Investigation into late payments by a New Jersey labor union led to the arrest of its treasurer, who audit solutions found had taken accounts payable funds and issued himself duplicate payments for a total of over $100,000.
Gregory Taylor pleaded guilty to charges that he had used unearned cash by writing himself fraudulent checks to boost his income illegally while working as the secretary-treasurer of Newark's ILA Local 1233, according to The Star-Ledger.
The source reports the AP audit did not reveal exactly what Taylor used the stolen money for, but it did show at least one payment of $7,852 he issued himself independently for time out of work. He also failed to hand out at least $6,000 in gift certificates that were bought by the organization, the source claims, which were meant to be given to union members for holiday dinner expenses in 2008. Instead, the money was used for Taylor's personal and family grocery expenses, based on the official report.
The claims filed by investigators cite extra unauthorized pay, duplicate payments, excessive company credit card use and the coupon abuses as findings of embezzlement by the former union treasurer. Organizations experiencing similar unexplained losses of funds may benefit by consulting with expert accounts payable recovery firms.