Ex-secretary hid stolen money from family, husband claims

OGDEN — Throughout their 10-year marriage, John and Denise Aughney didn't discuss much about where she got her spending money.

"Accordingly, for much of our marriage, I have always had more disposable cash then (sic) John. My activities at the Foundation obviously contributed to this appearance. However, John and I never discussed the source of my income," Denise Aughney wrote in an affidavit filed in 2nd District Court on Wednesday.

The ex-secretary is facing a criminal investigation and a civil lawsuit accusing her of embezzling approximately $979,000 from the nonprofit Weber School District Foundation, where she worked for 11 years.

The fund-raising arm of the Weber School District wants its money back, and has gotten a judge to freeze her assets. A team of lawyers representing the foundation filed a civil lawsuit, seeking restitution.

According to affidavits filed in court and obtained by the Deseret Morning News, Denise Aughney kept the embezzlement scheme secret from her husband, her parents and just about everyone else.

Denise Aughney's husband, John, said he first learned of the missing money in December 2006, when he was contacted by Roger Bailey, the human resources director of the Weber School District.

"Prior to Mr. Bailey's call, I believed all the funds and resources of my wife came from her employment or from funds she told me were given to her by her parents or child support from Denise's former husband," John Aughney wrote. "On one occasion, I asked Denise about the source of the money and she told me her parents had given her some cash."

The Weber School District Foundation said it learned of the missing money in November, discovering duplicate checks that had been forged. The Deseret Morning News has obtained six pages of check ledgers, which show thousands of dollars paid to Denise Aughney.

The Aughneys are alleged to own two homes in a pricey South Ogden neighborhood, three cars, a pair of Wave Runners and numerous bank and credit card accounts. Some of the cars were paid for with money taken from the foundation, Denise Aughney admits.

"I also have a 2004 Kawasaki Wave Runner which is in my name. I believe it was purchased with illicit funds," she wrote.

Lawyers for the Weber School District Foundation claim that just days after being confronted about the missing money in November, Aughney filed a pair of quit claim deeds on the homes she owned. She transferred her interests in the properties to her husband and parents.