Lutheran (ELCA) Ping!
Posted on 06/05/2008 9:27:51 AM PDT by SmithL
Federal prosecutors are reviewing the case of a Lancaster man accused of stealing more than $1 million from the regional governing body of the Evangelical Lutheran Church in America, lawyers said.
Lower Paxton Township police arrested Barry R. Herr, 61, of the 2100 block of Creek Hill Road in March and accused him of misappropriating $1,004,732 in church money.
Herr was charged with 36 felony counts of criminal use of a communication facility and one felony count of theft by deception in a scheme police said dates to at least 1991. Herr was released on $25,000 unsecured bail.
Prosecution of the charges are on hold as the U.S. Attorney's Office in Harrisburg reviews the case. Bruce Brandler, a prosecutor with the office, confirmed this last week.
Herr's attorney, Jerry Lord of York, said Herr met with police when they searched his house and he admitted to stealing money. The unresolved question is how much he took.
"We're helping the federal authorities pinpoint the (monetary) loss," Lord said. "Once we've done that, we can settle the case. It's complicated. . . . We're dealing with monetary activity that goes back to 1992."
Herr's plan is to settle the amount of restitution he owes and then plead guilty to mail fraud regarding the embezzlement of church funds, Lord said.
At his sentencing, the amount of restitution could affect the amount of time Herr spends in prison, Lord said.
Prosecutor Brandler would not Advertisement confirm this Friday except to say his office is reviewing the case, and the local charges are still outstanding.
Herr managed the financial accounts for the nine-county Lower Susquehanna Synod of the ELCA for 28 years until he was fired last July.
(Excerpt) Read more at yorkdailyrecord.com ...
Police said Herr set up a bogus checking account called "Cardinal Investments" to write checks for his own purposes, largely to buy and restore foreign-made classic cars.
Herr bought and sold numerous vehicles, and police said at the time of arrest that they linked three Herr then owned to the alleged scheme.
In synod documents, officials say the church has collected at least $242,528 in restitution from Herr, and is working with prosecutors to obtain additional money and property, including four classic cars.
The church's lawyer, David O'Leary, referred a request for comment to Brandler of the U.S. Attorney's Office.
In actions unrelated to the criminal charges, the synod says it is dealing with other matters stemming from Herr's time as treasurer. Among them are allegations that he miscalculated $319,219 in Social Security compensation for rostered staff in the synod office and that Herr took benefits he wasn't entitled to receive.
Lord declined to comment on these issues Monday.
The alleged miscalculation of compensation for rostered staff cannot be included in the restitution process because it's considered "employee error," according to synod documents.
In his annual report to the synod, the Rev. Thomas E. McKee, synod secretary, said the church body also can't recoup the cost of the investigation -- more than $100,000 to pay for auditors, lawyers and accountants.
annual CPA audits?
Whatever nimrod was this guy's boss is either in on it, too, or should be at least fired for incompetence if not also sued civilly for negligence. Unless he did have a CPA, for whom the same goes. And why doesn't this incompetent reporter mention (a) exactly whose job it was to oversee this thief and (b) whether there was CPA oversight and, if so, by whom?
In his annual report to the synod, the Rev. Thomas E. McKee, synod secretary, said the church body also can't recoup the cost of the investigation -- more than $100,000 to pay for auditors, lawyers and accountants.
Perhaps, Rev. McKee (and in suggesting this please know that I most assuredly don't mean to distract you from your heavenly meditations), if you had bothered with the necessary and normal precautions ahead of time, you might not now have these unrecoupable costs, now would you? Not to mention having utterly wasted the good-faith donations of so many. Perhaps, instead of cleaning up this mess, you might better be employed on latrine duty?
annual CPA audits?
Problem was, the Synod Treasurer had the power to set the parameters for the annual audit. He conveniently NEVER included the various endowment funds in the scope of the audit.
That situation will be changed next week when the Synod enacts a new By-law description of the Audit Committee, making it truly independent of the Financial Officers and Synod Council. Shutting the barn door after the horse gets out...necessary even if overdue.
Oh, brother!
I am always saddened when I hear about someone stealing from a church. I know that stealing from a bank is just as wrong, but somehow does not carry the same aura.
You can only imagine the sense of betrayal, especially since this Treasurer had just stood for re-election in June of last year, and after the ballot was announced told the Assembly how thankful he was that they affirmed what he believed to be his Vocation and how he loved serving Jesus and His Church.
So, who decided that? Whoever that was, be it individual or group, bears the real responsibility here and deserves appropriate chastisement.
When you steal God’s money, you are under his wrath. I feel sorry for this man when God gets ahold of him.
A woman who was treasurer in a church near us stole over $100,000. She left them with ninety three cents. Nobody ever oversaw her and the bank itself told them that she was withdrawing their money in a suspicious manner. Churches need to have overseers checking on these things. This was a small church. I doubt they’ll ever get it back. Sooo sad.
This was not God's money.
It's amazing how many people will look at these leaders and because they say stuff like this they cannot believe they would do anything wrong, and/or teach lies....
my thoughts exactly.
I dunno that the ELCA qualifies as being 'His' anymore.
and besides, it's all His money. :-)
This is the trouble with churches nowadays... they're SO naive about people in positions of leadership. If they're interviewed and put in position, that's it, no one ever checks again. Fishy things can go on and they say "well don't judge' or "don't complain" or they figure it COULDN'T be that this person is doing something wrong, they're too 'nice'!
In fact it's usually the ones who aren't 'nice' all the time who are less likely to do criminal things, because they aren't trying to put up a false front.
This isn’t an ELCA church. It’s just a little country church that’s been there for over a hundred years. Yes, it is all his money but when you take it (STEAL IT) for your own use, He is NOT pleased.
We have a pretty big budget so our leaders demand reports from time to time from the treasurer. We always have them for our quarterly meetings as well. When I told her about this other church, she was genuinely troubled for this woman who thought she could steal God’s money for her gambling habit and get away with it. Of course our treasurer has been with us for over 25 years. Her family has grown up in the church. She’s very particular about every jot and tittle, as they say.
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