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Mother-Daughter Duo Jailed for Saipan School Fraud

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A mother and daughter originally from the Philippines have been sentenced to federal prison in the Northern Mariana Islands. Clarissa Adlawan received a 48-month sentence and her daughter Giselle Butalid 18 months for siphoning funds from the Commonwealth of the Northern Mariana Islands (CNMI) Public School System. They used these funds for personal expenses, including overseas travel, luxury accommodations, and building a house in the Philippines.

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US District Court Judge Ramona Manglona delivered their sentences on May 6 in Saipan. The fraudulent activities, taking place from October 2021 to August 2022, involved using their company, One Legacy LLC, to sell fictitious educational materials. Butalid, who worked for the CNMI Public School System, facilitated these transactions by manipulating procurement processes and forging documents.

Investigations revealed substantial financial gains from these fraudulent deals. For instance, they received payments of $50,000 and $52,500 for materials that were never delivered. Following these transactions, they made several overseas trips, withdrawing up to $10,000 in cash on one occasion and a further $65,000 following another fake purchase.

Both women face substantial financial penalties alongside their prison terms. They are liable for $548,788 in restitution and face forfeiture of two properties in the Philippines. US Attorney Shawn N. Anderson emphasized the impact on the school system, noting that the fraud deprived students of essential educational resources.

Adlawan and Butalid pleaded guilty to conspiracy and money laundering charges. Their sentences include three years of supervised release and 100 hours of community service. The investigation involved multiple agencies, including IRS-Criminal Investigation and the FBI.

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image.png  Adapted by ASEAN Now · Philstar · 11 May 2026

They tried to screw the wrong peeps ! Not smart, not smart at all.

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