Episcopal Church Recovers all but $100,000 from Ellen Cooke Embezzlement
Episcopal News Service. December 5, 1996 [96-1634]
Ed Stannard, News Editor for Episcopal Life
(ENS) The Episcopal Church has recovered all but about $100,000 from the $2.2 million embezzlement by former treasurer Ellen Cooke, according to a report to Executive Council meeting in Toronto, November 7-11.
After deducting about $320,000 in costs associated with the case, the net loss to the church has been $422,094, the church treasurer's office reported. The treasurer's report did not include interest that would have been earned on the lost funds.
"Those are the figures, and that ends it as far as we're concerned," said Bishop Don Wimberly of the Diocese of Lexington, speaking for the council's administration and finance committee.
Staff at the Episcopal Church Center discovered in February, 1995, that Cooke had embezzled the $2.2 million. She is serving a five-year term in a prison in West Virginia after pleading guilty to income tax evasion and transporting stolen money across state lines.
"We promised that we would make a full report on the situation," said Presiding Bishop Edmond Browning. "And I consider this a closing of the door on that chapter." He noted that he was "very pleased with the way it's come out," and added that Cooke "continues to be in my prayers."
Pamela Chinnis, president of the House of Deputies, pointed out the personnel changes and improvements in the functioning of the treasurer's office since Cooke's departure. "While that particular chapter had been one we'd rather not have lived through, I think [Browning] can be very pleased that he is leaving the Episcopal Church in a much stronger position financially," she said.
The final report breaks down as follows:
Misappropriated funds (according to Coopers & Lybrand audit): $2,203,884.
Recovered funds:
- $1,000,000, proceeds from insurance.
- $295,060 from sale of New Jersey house.
- $217,462 from sale of Virginia farm.
- $485,000, settlements with commercial institutions (the church agreed not to identify the institutions involved).
- $105,283 from sale of jewelry, cash and other proceeds.
Total recovered: $2,102,805.
Costs:
- $139,361 to Shea & Gardner law firm.
- $107,713 to Coopers & Lybrand, auditors.
- $28,855 to Kroll & Associates, asset-recovery firm.
- $45,086, other costs.
Total costs: $321,015.