Dauphinais: Taxpayers and Donors Deserve Stronger Safeguards for Every Dollar

KILLINGLY- State Representative Anne Dauphinais (R-44) is demanding greater safeguards and protection of donor and taxpayer money after a local man has now admitted stealing more than $775,000 from two CT nonprofits, including hundreds of thousands of dollars through unauthorized wire transfers, checks, ATM withdrawals and purchases.

One of the most victimized non-profits in this instance was the Holy Family Home and Shelter in Willimantic. 

Rep. Dauphinais said, “This case is a painful reminder that when we are dealing with taxpayer dollars and charitable donations, trust is not enough — we need safeguards. That should make every taxpayer and donor ask a simple question: Who is watching the money?” 

Rep. Dauphinais established that municipalities have safeguards in place for this very reason. In Connecticut, municipal financial systems may require multiple levels of authorization, and state law provides significant checks on how municipal money is paid out. For example, Connecticut law requires certain town orders to be signed by a majority of the selectmen before a town treasurer can pay them. 

“We should be looking at whether similar protections are being applied consistently when state dollars are awarded to nonprofit organizations,” said Rep. Dauphinais. "Every dollar matters. Families are working hard to pay their taxes, and people who donate to charitable organizations expect their money to help the people it was intended to serve — not end up in someone's personal bank account. 

Furthermore, the primary victim of this kind of crime is the person who is not receiving the services they so desperately need: shelter, food and other services. The secondary is the Connecticut taxpayer who believes that these services are important to helping residents in their communities to overcome difficult times."

Rep. Dauphinais believes, we as a state, should consider commonsense financial safeguards such as a two-signature rule for significant withdrawals or transfers, independent financial review, stronger separation of financial duties, regular audits and clear reporting showing exactly where taxpayer dollars are going. There are additional safeguards that non-profits who receive taxpayer dollars must be required to comply with, and at the very least should include specific oversight regulations.   

“Let’s be honest, this isn't just about nonprofits. If the state's own top financial officials cannot clearly account for money allocated to outside organizations and demonstrate how those dollars are being spent, that is a serious problem. Connecticut taxpayers deserve transparency. They deserve accountability. And most importantly, they deserve to know that there are multiple sets of eyes on their money”.