The U.S. attorney in Manhattan said that from 1999 to 2009, Sister Marie Thornton used Iona College funds for her personal expenses. The complaint says she submitted false invoices and had Iona pay her credit card bills.
The 62-year-old Thornton was arrested Thursday and pleaded not guilty in Manhattan. A message left Friday for defense attorney Sanford Talkin was not immediately returned.
Thornton could face nearly four years in prison if convicted.
The U.S. attorney's office originally reported more than $1.2 million was embezzled. It said Friday the correct amount was $850,000.