Updated: Accounting Chair at Minnesota School of Business-Shakopee Sentenced for Fraud

's accounting department chair was sentenced Tuesday to five years in prison for his role in defrauding banks to the tune of roughtly $8 million, according to a story in the Star Tribune today.

Joseph W. Traxler, 64, was senior vice president and chief financial officer for the Centennial Mortgage and Funding Inc. mortgage company in Bloomington in 2007 and 2008, the Star Tribune story said. Traxler, of Bloomington, was sentenced in federal court in Minneapolis.

Although Minnesota School of Business-Shakopee officials declined to comment to Patch on the matter Wednesday morning, MSB officials issued a statement later in the day saying Traxler was terminated on Wednesday.

He had joined the staff of MSB-Shakopee in 2009 and had been teaching classes, including one on fraud. Under Traxler's direction, the school began offering  – designed to provide students with the knowledge, technical skills and professional habits to pursue a career helping businesses detect and prevent fraud.

In January, after Traxler pleaded guilty, MSB-Shakopee Faculty Dean Linda VanDuzee and Campus Director Bruce Christman wrote to the court that it would be a significant blow to students and staff if Mr. Traxler were to leave the school, the Star Tribune reported.

"Traxler had no financial oversight responsibilities at MSB, and the fraud had no financial impact on MSB, its students or programs," the MSB statement said. "This is an isolated incident at the Shakopee campus and does not reflect the caliber of other staff at the Shakopee campus or at other MSB campuses. MSB is conducting a thorough internal review of procedures and protocols following this incident."