Rathke Gone from ACORN; Funds Missing
Posted On Monday, July 14, 2008 at at 12:41 PM by Dan
This is a letter from Bertha Lewis, ACORN executive director. My getting a copy of this letter coincides with also getting a comment about a post I wrote a couple of years back about Wade Rathke. That post dealt with Rathke's behavior toward the People's Hurricane Relief Fund, but the comment is all about how messed up ACORN is. I have been debating what to do with the comment since it references the missing funds. Getting this letter served as confirmation for me that the comment is at least within the bounds reasonableness. The New York Times article is a damning indictment of ACORN's behavior. You can read the comment from an ACORN organizer here.
9 July 2008
An article in today’s New York Times reported the misappropriation of funds eight years ago by a former ACORN employee.
On behalf of the Board of Directors of ACORN, I want to express our regret over this situation and to tell you about the measures we have already put into place to ensure this can never happen again.
First, I believe it is imperative for donors and friends of ACORN to understand that the Board of Directors acted quickly and decisively on this matter as soon as it became known to us in May 2008. Since then, the Board has made a number of decisions, some of them painful, but all of them necessary to preserve ACORN’s reputation and mission, as well as strengthen it for the future.
Our first action was to terminate the employee in question, Dale Rathke.
An agreement has been finalized to recover the remainder of the funds due under the restitution agreement. We also asked for, and received, Wade Rathke’s resignation as Chief Organizer of ACORN. We thank him for his countless contributions to ACORN, but believe it is best at this time to part ways and move ahead with new leadership.
To that end, the Board has named me Director of the Interim Management Committee. In this role, I will ensure that we continue the many actions we have already taken to strengthen our administrative, financial and accounting controls. We have brought in outside experts to investigate, report and recommend what steps should be taken to bring ACORN fully into the best practices of a large not-for-profit organization.
One of our primary goals is to achieve maximum transparency.
ACORN cannot demand transparency of government agencies and private industries if we do not practice it ourselves.
The restructuring will take some time. We will update you on what our retained experts find and what changes we make as a result.
Some of our donors and allies already are telling us that we are handling this unfortunate event in a constructive way. We hope that you agree.
If you have any questions or suggestions, please do not hesitate to contact me. Thank you.
- Bertha Lewis
Director of Interim Management Committee, ACORN
VIva Bertha, if anyone can change the ridiculous ways the staff have been managed and empower organizers of color. Here in my concern. Why is Wade allowed a golden parachute in that he is allowed to continue as chief organizer of International ACORN and that the team that helped him cover up the CRIME is still in place.
I advise bringing Gary DelGado in as a consultant. Gary has written a well researched critique about the infamous problems of racism, labor issues, and substandard community organizing. Gary was a founder and is a well respected consultant for orgs,
Rathke has confirmed suspicions of much larger issues than the million embezzled of many members and current and ex acorn staff.
Bertha should not have to answer for the actions of others. IF they are not all cut loose this is going to be a virus that spreads to the members.
Reform NOW ACORN! Reform NOW !