Farmington Hills home (photo from Zillow)
Norman Shy lived like a king
If they feds have their way, Norman Shy, the vendor for the Detroit Public Schools at the center of a kickback scheme involving millions of dollars, will be living a far different lifestyle then he currently lives.
Shy, 74, had previously lived in a new, custom-built mansion in Farmington Hills that was replete with with an indoor lap pool, massive marble foyer, paneled library, movie theater and nine bathrooms, Tresa Baldas of the Detroit Free Press reports. He sold the home in 2014 for $2.4 million and now lives in the upscale suburb of Franklin.
Authorities have alleged that Shy paid bribes and kickbacks, using a portion of the payments he received from DPS from the fraudulent invoices for items such as chairs, supplemental teaching materials and raised line paper.
In all, Shy allegedly paid 13 school officials about $908,518 in kickbacks and bribes. In exchange, Shy and his company received approximately $2.7 million from the school system for the fraudulent invoices. The feds alleged that the scam ran from 2002 to 2015 while he lived like a king.
He has now cut a deal with the feds and is awaiting a plea hearing.
Baldas spoke to contractors who helped build his 14,000-square-foot Farmington Hills home.
Baldas reports:
When contractors who built the house learned of the criminal case against Shy, they were outraged and claimed Shy had caused them plenty of legal grief over the years. After the house was built, Shy sued eight contractors for more than $500,000, claiming poor workmanship. The cases settled for significantly less.
"It touched a raw nerve," marble contractor Harry Ashbaugh said of the federal case. "To live like lords and pretend they are great business people turns my stomach."
See more photos of the home here.
