Hello,
I was wondering if anyone had any experience with the problem of misappropriation of funds involving their PTO treasurer?

Wow--that's a can of worms overseas...while I personally have not there are articles and instances of just that occurring. The issues range from small amounts of money (i.e. not paying for a fundraiser item) to huge amounts of money - a woman was recently arrested in Fairfax VA for embezzelling 50,000 dollars from her school's PTA. That is what it is by the way, embezzelment---but of course there are circumstances that will define the way you proceed in resolving the case. Some can be handled in house with meetings and resolutions and repayment, others require calling in the authorities.
d

The big problem is, is that we are located on a military base overseas and the PTO board has reported the situation to who we thought would follow through with it. So far no one wants to take charge and see it through. We did have an outside audit conducted. Their findings were extraordinary, possibly in the 40-50k range missing without explanation. Just like the one you mentioned in VA.

Amazing what folks will do...I would do a couple of things...file a report with the local MPs or SP on base. Then I would contact the commander of the person in the organization. As any theft however, the MPs or CID (if you are Army, or the other appropriate investigative service should step in to check into this--and you all should demand it. Especially if this can be tied to one person. If you cannot do anything else, take your information to the Post Commander or the Provost Marshall (again if Army if another service there are base commanders and the senior Police Person) and explain that you would like to file charges of theft against the individual involved. If that doesn't work, call the Stars and Stripes (tell the post commander you plan to do that). This person swindled your kids out of 50k and is exploiting the fact that you are overseas and in a constant state of movement.

Above all of that however, it is of course time to examine how you do business and put safeguards in place. No one person can write and sign checks, receipts for everything, random bank checks by the President of the group, etc. If you are unsure of what checks and balances to put into place talk with your local Spouse's Club to see how they work or search these boards to see what has been recommended in the way of financial safeguards.

Good Luck
d
LTC (R)
US Army

Just thought too that you can go up the chain of the DODs folks and see what if any involvement they might want to have. Talk to the president of the spouse's club there as well--he/she may have a "significant other" that they can influence since it is for the good of the children. There may be a need to file a complaint in the host nation (there should be a liaison person at the Police office).The final stop in my mind would be a letter to your congressman that you are out there in the middle of whereever and are not being given the support required to investigate the issue. Do that LAST though and give the chains of command a chance to work this (also get you spouse's buy in since there may be aspects of your complaint process that will involve him). You MUST however, have all your ducks in order before you proceed with this. The audit findings etc...to make your case in a logical manner to whomever you ask to participate.

d

Thanks so much for your advice, I will definitely try again and use your suggestions.