Weber foundation sues over donations

Afraid that a criminal investigation may be taking too long and money is being diverted, the Weber School District Foundation has filed a lawsuit against its former secretary accusing her of embezzling nearly $1 million in private donations.

The lawsuit against Denise Aughney, her husband and her parents seeks to reclaim that money, which the foundation believes may have been shifted elsewhere.

"As far as I know, the assets have not been frozen by any criminal investigation," foundation attorney Bryan Benard told the Deseret Morning News on Friday. "That's ultimately why we decided to move forward."

A criminal investigation by the Weber County Sheriff's Office is wrapping up, with the case expected to go to prosecutors soon.

Weber School District officials revealed earlier this month that more than $900,000 is missing from the foundation. It was discovered during a November audit that found duplicate check entries.

"Further investigation revealed that the foundation secretary had been writing checks to her personal accounts and forging the signature," district spokesman Nate Taggart said.

The civil lawsuit alleges that Aughney would alter the check register to show that checks she wrote to herself had been spent on school projects. More than 100 checks were written since 2001, the foundation claims.

"During her employment with the district, Ms. Aughney began diverting foundation funds for her own personal and familial gain and away from the foundation and the children in Weber County," attorney James Barnett wrote in the lawsuit filed Thursday in Ogden's 2nd District Court.

A phone call to Aughney seeking comment was not returned Friday.

Aughney was placed on administrative leave on Dec. 14.

"During the district's investigation, Ms. Aughney, with her attorney present, admitted to district representatives that she had stolen foundation funds," Barnett wrote.

The lawsuit claims that the next day, Aughney filed two quit-claim deeds on properties she owned in South Ogden.

Copies of the deeds obtained by the Deseret Morning News show Aughney transferred one property to her husband for $10. Another property was transferred to her husband and parents for $10.

"It was an attempt to conceal assets," Benard said.