Three York University employees were arrested Wednesday for allegedly defrauding the school of $1.6 million over seven years, the second multi-million dollar fraud allegation to rock the university in recent years.

Police allege the employees issued fraudulent invoices to the university between November 2005 and October 2012.

In a statement Thursday, York University said it had successfully recovered the money, plus costs.

The university said it became aware of an alleged fraud scheme in October 2012 when a whistleblower came forward with information about suspicious activity.

The university said it immediately contacted police and hired an external firm to conduct a forensic audit, the findings of which were provided to police.

“York University takes its fiduciary responsibilities very seriously as an institution entrusted with monies from our students and the public,” according to a statement from Harriet Lewis, York University’s general counsel.

Police said the investigation took about four months to conduct, adding they expect more charges and arrests.

Vittoria Caparello, 51, Yossi Zaidfeld, 38, and Melissa Caparello, 27, all of Vaughan, were arrested and charged on Wednesday.

Vittoria Caparello, who also goes by Victoria, was a business manager with the continuing education department. She started working for the university in 1984 and stopped in Nov. 2012. She faces two counts of fraud over $5,000 and appeared in court yesterday.

Zaidfeld was a manager of operations with the faculty of liberal arts and professional studies. He started in Sept. 1997 and worked until July 2013. He was charged with fraud over $5,000.

For privacy reasons, the university said it was unable to confirm why Victoria Caparello and Zaidfeld departed when they did.

Melissa Caparello has worked on and off for the university since Sept. 2005 and is currently still working as an administrative assistant in the dean’s office at the faculty of environmental studies. The university said it is reviewing the matter and will take appropriate action as to the future of her employment. She was charged with possession of property obtained by crime under $5,000.

Zaidfeld and Melissa Caparello are expected to appear in court at Old City Hall on April 28.

The alleged scheme isn’t linked to another alleged fraud which came to light two years ago, said Toronto Police financial crimes detective Gail Regan.

In 2012, police charged two former managers, Mike Markicevic and Phil Brown, with fraud after they allegedly billed the university for about $1.2 million in goods and services that the school never received between May 1, 2007 and April 30, 2010.

But both men were cleared of criminal wrongdoing in 2013 after prosecutors deemed a pair of key witnesses unreliable. Both witnesses were York University employees implicated in the alleged ‎fraud, but were not charged after agreeing to provide evidence.

York University appealed the initial acquittal. That appeal is expected to be heard in May, according to Joanne Rider, York’s director of communications.

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York then filed a $4-million civil suit against Markicevic, Brown , 17 other individuals and six companies. Markicevic countersued. Both the suit and countersuit are still continuing.

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