Ball State University has a lot of explaining to do. University officials entrusted a former employee with choosing people to invest university funds who was either corrupt or incompetent. Two out-of-state charlatans have been prosecuted by federal authorities for defrauding the university out of $13.1 million they were entrusted with investing. The former employee, Gale Prizevoits, just built a new home in Florida that she co-owns with another university official in charge of risk management. She had a checkered past that included allegations of running scams that nobody at the university apparently considered when they hired her.
The board of trustees chairman, Rick Hall, a Barnes & Thornburg attorney appointed by former Gov. Mitch Daniels, has designated Mitch's sister, Deborah Daniels, with the task of investigating how it happened and what can be done to prevent it from happening again. A news story about Daniels' hiring bolsters her by noting her former work as a U.S. Attorney, a position she would have never gotten without her brother pulling strings for her. She was a useless federal prosecutor despite all the puffery she got from the Indianapolis Star where her husband worked as an editor, but as long as she's got Mitch to take care of her, it really doesn't matter how competent she is; there will always be work for her.
6 comments:
The Wheel of Elites goes 'round and 'round, and the country is managed by well-off idiots who keep everyone else out.
There is some irony in relying on cronyism to get to the root of a corrupt matter.
If I had stolen a bunch of government money, I would be relieved if D. Daniels was put in charge of the investigation.
"It's a herd of elephants in a foot of wet snow...which way did they go??"
Will Crowe Horwath also get a piece of this investigative pie, at $350 to $500 per hour?
No set scope or no set delivery date of findings. Sounds like a great plan of attack to find out what happened? No wonder they had $13 million taken from them.
WHY NO CERTIFIED FORENSIC ACCOUNTANT??? Particularly one not ever in govt here and not from here
Wilbur ShooterflyJuly 12, 2014 7:54 AM
No disrespect to Ms. Daniels but the taxpayers of Indiana who support this school and all those who contribute to the BSU Endowment deserve the best to investigate a financial loss of $13,000,000 against a endowment of $165 mill. What experience does she have? They should hire the best Certified Forensic Accountant to provide clarity to all involved and why it was kept under the rug! Here is my recommendation as a Indiana Taxpayer: http://www.grantthornton.com/staticfiles/GTCom/Advisory/FAIS/FAIS%20bio%20pages/Resnick_Peter.pdf This guy can knock it out of the park and also make sure the right controls are in place going forward. Any problems at any other State Schools?
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