BENNINGTON, Vt. (AP) - Two former employees of a Vermont school have pleaded guilty to tax fraud.
Prosecutors say they provided cars, gasoline and other benefits to some Bennington School employees that weren't reported on tax returns.
The Bennington Banner reports the investigation was launched in 2011.
Matthew Merritt III, of Lenox, Mass., the school's former plant manager, and Raymond Crowley, of Great Barrington, Mass., the former chief financial officer, pleaded guilty to tax fraud Monday in federal court in Burlington.
Matthew Merritt Jr., of West Stockbridge, Mass., former school president and father of Merritt III and father-in-law of Crowley, pleaded guilty to health care fraud and filing a false tax return.
Jeffrey LaBonte, the school's former executive director, pleaded guilty to tax fraud.
The four must pay $4.3 million in restitution.
Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.