It seems that Duane Rathke's reported $1 million embezzlement was more like $5 million; and since some of that may have been public funds...
The New Orleans Times-Picayune reports that LA Attorney General Buddy Caldwell, a Democrat, is on ACORN, as we say, like gravy on rice.
ACORN embezzlement was $5 million, La. attorney general says
The organization, until recently headquartered in New Orleans, had tried to keep the details of an embezzlement quiet. The embezzler, Dale Rathke, was the one-time bookkeeper for the organization. His brother, Wade Rathke, was President of ACORN International at the time, and saw to it that the unpleasantness was handled when he and “a donor” repaid $1 million of Dale’s improper credit card charges.
Now, however, AG Caldwell is following up on an ACORN internal report that the embezzlement was closer to $5 million.
Attorney General Buddy Caldwell has been conducting an investigation of ACORN since June. He issued subpoenas in August seeking documents related to former ACORN International President Wade Rathke and his brother Dale Rathke, who kept the group’s books. Those subpoenas were focused on possible ACORN violations for non-payment of employee withholding taxes, obstructing justice and violating the Employee Retirement Security Act. No charges have been made. …
“Current high-ranking members of ACORN have publicly acknowledged that embezzlement did in fact occur, but the exact amount of the embezzlement was unknown until it was recently acknowledged in a board of directors meeting on Oct. 17, 2008, by Bertha Lewis and Liz Wolf that an internal review had determined that the amount embezzled was $5 million, ” the new subpoena says.
The subpoena says, “It is still unclear if some of the monies embezzled are from state, federal or private funds.”
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