DIOCESE OF TEXAS: EX-TREASURER ACCUSED OF TAKING FUNDS

MISSING $600,000, DIOCESE ORDERS AUDIT

By RICHARD VARA Houston Chronicle Religion Editor

6/4/2004

The Houston-based Episcopal Diocese of Texas is accusing its former treasurer of misappropriating about $600,000 from the diocese.

A statement released by the diocese Thursday said that "former treasurer Ronald D. Null misappropriated money from the diocese and concealed this fact, both from the diocese and its auditors, over a number of years."

"At the present time the diocese is conducting an investigation and has ordered a special audit," the statement said.

The diocese has notified the Harris County District Attorney's office of the misappropriation and will forward the results of its audit to investigators, spokesman Bill Ferrell said.

The discrepancies are in a fund used primarily for the purchase of property and not the diocese's operating budget, Ferrell said. The fund contained $5.5 million in cash and other assets as of March 31, he said.

Null's attorney, Robert C. Bennett, said the former treasurer informed the diocese of the financial irregularities on May 25 in a meeting with Bishop Don Wimberly.

"There are some financial discrepancies in the financial records of the diocese and Ron voluntarily came forward and brought this matter to the attention of the diocese," Bennett said. "He is cooperating in the identification and explanation of the transactions involved."

Bennett would not comment on whether Null, who had been treasurer since 1995, was responsible for the discrepancies.

"It is not a time for us to enter any sort of a plea at this time," Bennett said. "The important thing is to note that Ron was the one who brought the matter to the attention of the diocese."

Ferrell said Null's account of notifying the diocese of the irregularities was "a point of dispute," but would not comment further because of pending litigation. He did say, however, that Null had been dismissed.

Null announced his resignation from the diocese earlier this year to join St. Stephen's Episcopal School in Austin as its chief financial officer. But Head of School Roger Bowen said Null has never officially joined the staff.

"He was to have begun the first of August," Bowen said. "He has not been in the employ of the school."

Wimberly informed local clergy of the situation in a meeting Wednesday.

"We are deeply disappointed and saddened by these events," he said in Thursday's statement. "While the news is devastating for us, it is important to remember that this circumstance does not compromise the mission and ministry of this diocese."

The Rev. Larry Hall, rector of St. John the Divine Episcopal Church, said Null was highly regarded and respected throughout the diocese.

"He was always honorable, always acting with warmth and grace and compassion," Hall said. "I would say even today he is a good man."

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