San Jose State Allegedly Misused $6.3 Million Intended for Scholarships

Less than 5 percent of funds intended for athletic scholarships was distributed to San Jose State University athletes from 2013 to 2016, the Spartan Daily reported May 15.

The campus newspaper cited several sources who are or were employed by the athletics department or the Spartan Foundation, as well as documents reviewed by reporters.

“The documents detail misuse of more than $6.3 million during the tenure of former athletic director Gene Bleymaier,” the newspaper reported. “Less than $275,000 from the Spartan Foundation fund was distributed from 2013 to 2016, according to the account details.”

The foundation was marketed to donors on SJSU athletics’ website as a fund that provides athletic scholarships, and was managed as part of the Tower Foundation since 2014.

“Money intended to go to the Spartan Foundation fund was sent to the athletics department office on South Campus, instead of Tower Foundation in Clark Hall, according to university documents reviewed by the Spartan Daily,” the newspaper stated. “Athletics staff opened the envelopes and were supposed to identify which checks should go to the Tower Foundation and which should go into athletics’ current use accounts, according to the university documents. The latter accounts were used for car allowances and stipends for coaches and staff, rather than athletic scholarships, according to a Spartan Foundation account summary. … The Spartan Daily reviewed documentation on four separate occasions. Each time, account details confirmed that in the 2013-2014 and 2015-2016 fiscal years, $0 was distributed to athletic scholarships from the Spartan Foundation fund.”


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