$600K stolen over a twelve-year period! How? By "creating phony invoices to pay family and friends for work they did not perform and then falsely signing the checks herself. And the non-profit manager was able to do this for 12 years. And how did she get caught? Not by the nonprofit's managers but by a whistleblower call to a state regulator.
The list of what went awry in this case is huge. Clearly this is a case of little or no check-and-balance policies and processes in place. Were I the board, I'd be holding one or more administrators accountable. Also, if I was the board, I'd be putting-out a statement to the public, perhaps first an apology for failed oversight and then assurances that all is under control. I'd also be wondering about my auditor - $50K out the door with no paper trail - invoices to match work or..... So, here's a board that may care but is certainly not actively engaged. It's time to step-up or find another nonprofit that can do better.
A former manager at a Northwest Philadelphia mental-health treatment facility has admitted that she embezzled more than $600,000 in public funds meant to help children suffering from trauma and behavioral disorders.
In a hearing Monday before U.S. District Judge Gene E.K. Pratter, McQuillar, 50, of New Castle, Del., acknowledged that she forged signatures to cash the checks and pocketed the money.
Her lawyer, Jose Luis Ongay, did not immediately return calls for comment Tuesday.
McQuillar’s theft first came to light through a tip to the Philadelphia Office of Inspector General. The nonprofit’s administrators discovered the financial improprieties in June 2014.
Administrators have since said that some of the money McQuillar took might have been used to pay for the necessary maintenance.
Northern Children’s Services offers residential and outpatient programs that serve thousands of low-income children and families. The agency, founded in 1853 as the Northern Home for Friendless Children, is a regular recipient of federal grant funds awarded by the city and the Philadelphia School District.