Announcing a Resolution to Last Year’s Embezzlement

It is with a bittersweet note that we announce we have come to a resolution regarding last year’s fraud issue. One of our former directors fraudulently converted Legion of Tech funds of approximately $29,000. As many of you know, it has taken us a bit over a year for the legal system to resolve this issue. We apologize for remaining largely silent during these months; this was done at the advice of our attorney.

Moving forward, Legion of Tech is committed to ensure that such financial impropriety is not committed again. We have now instituted a number of checks and balances to assure our finances are managed appropriately.

We have reached a restitution agreement with the individual and he has agreed to a plan to pay back the funds that he has taken, with interest, along with attorney’s fees and costs incurred in the matter. Our agreement with this individual gives us recourse should he default on his repayment and is designed to be nondischargeable in bankruptcy.

Additionally, he has offered the following apology:

I apologize to Legion of Tech, and especially to the community it serves, for misappropriating funds intended for use by the organization. I regret abusing the trust of those individuals and organizations who supported the mission of Legion of Tech.
— Todd

Finally, we want to thank our community, including our volunteers and sponsors, for supporting us through these difficult times. We look forward to your continued trust and respect and also to continue to bring you fantastic tech events.

Sincerely,
the Legion of Tech Board

4 thoughts on “Announcing a Resolution to Last Year’s Embezzlement

  1. Congratulations on coming to a resolution on this, and thank you for sharing it with the community. It’s been a tough year.

    You mentioned “a number of checks and balances” which have been implemented. Will those be enumerated in a future blog entry, or are they currently implemented in the bylaws?

  2. Good question! We have been practicing the checks and balances for some time and are working to codify them via amended bylaws. As soon as we have done this, we will update the bylaws posted on this site.

  3. Pingback: Legion of Tech reaches resolution on embezzlement « Silicon Florist

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