PHILADELPHIA — A Philadelphia newspaper says a central Pennsylvania school for disadvantaged children has paid compensation to former students for alleged sexual abuse.

The Philadelphia Inquirer cited sources, including a high-ranking official at the century-old school, as saying the Milton Hershey School paid $3 million earlier this year to five former students. The school on Wednesday confirmed making payments but would not disclose the number of recipients or the amount.

School spokeswoman Connie McNamara said officials believed the allegations and called them "devastating."

The paper said the payment was discussed in February and finalized at about the same time 40-year-old Charles Koons II of Middletown pleaded guilty in Dauphin County Court in March to molesting 17 boys in the area over the past decade, including one Hershey School student. He was sentenced to 35 to 100 years.