Transfer of Money Raises Questions at California U. of Pennsylvania

Officials of the Pennsylvania State System of Higher Education are looking into the transfer of nearly $6-million in housing profits at California University of Pennsylvania to a private foundation’s account at the institution, reports the Pittsburgh Post-Gazette. Auditors concluded that the income, which is characterized as public money, cannot be transferred to a private organization. The university has defended the practice as legal. Some of the profits, which were supposed to be used for scholarships after being shifted to the foundation, instead went to a fund controlled by Angelo Armenti Jr., the university’s former president, who was fired in May. That fund covered expenses including those from speaking engagements and a feasibility study on the construction of a hotel. A university spokesperson said the institution would henceforth use the fund for its primary purpose, to support scholarships.