The news from The Chronicle of Higher Education found its way to digital inboxes and physical mailboxes on Oct. 14 that two former employees were terminated from Iona College due to an embezzlement scandal.

Iona’s tax forms reported to the Internal Revenue Service in 2008-9 show that over the course of 10 years, $80,000 in funds was misappropriated per year.  The Chronicle reported that this occurred in small payments through fraudulent checks and an approved college credit card.

When President Br. Liguori was informed of the issue, the employee was terminated from work at the College, and it is unclear whether legal action took place.

Lohud’s Jonathan Bandler looked at the timeline of Iona’s firing history, and suggested that the departure of former Vice President of Finance and Administration Sister Marie Thornton coincided with the discovery of the embezzled funds.

At the beginning of the fall 2009 semester, it was announced via memo that Thornton would be leaving due to medical absence, and would not be returning to Iona.  Thornton was replaced with an acting Vice President of Finance and Administration Kelli Hudson until the College found a suitable replacement.

Lohud also reported that former men’s basketball coach Jeff Ruland mentioned the incident on a WFAN talk show briefly.  Ruland is reported to have said, “I think she absconded with some funds or something down to Atlantic City, but that’s neither here nor there.”

Some media outlets have criticized the college for not taking legal action against the two employees, and filing a report with the police or the county clerk’s office.

In response to the discovery, the College conducted a full investigation of Iona staff and personnel. Liguori’s memo to the community states, “In addition, forensic analysis was conducted in a manner that identified the theft, how it occurred and whether other individuals were involved. Based on the firm’s findings, the College implemented additional procedures in order to safeguard against another situation. The College complied with regulatory reporting requirements.”

Parents, students and donors alike have voiced concerns over the amount of money misappropriated over the years. Ten years of embezzling $80,000 per year adds up to a total loss of $800,000. The College assures that the majority of the money was recovered, and the College is not suffering due to these losses.

The news outlets’ discovery of the embezzlement has caused some to question the leadership of Liguori as he finishes his term at Iona. The College and most of the Board of Trustees have declined comment to news medias, respecting the policy of the College to not discuss private matters dealing with its personnel.