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Dean Audit Leads to Prosecuting Attorney

The investigation into the misuse of university funds by the former dean of the UALR College of Business began Nov. 4, 2011, the day college staff and faculty reported to Interim Provost Sandra Robertson allegations of improper use of funds for personal travel and abuse of leave time regulations.

Chancellor Joel E. Anderson immediately forwarded the allegations to the University of Arkansas System Office of General Counsel and launched an internal investigation.

Results of the General Counsel’s audit and investigation of former dean Anthony Chelte will be presented to the Board of Trustees on Thursday, May 24.

Anderson removed Chelte as dean on Jan. 6 during the internal UALR investigation and audit. After receiving a draft report on April 19, the chancellor wrote to Chelte on April 20 that if the final report reflected the same or similar findings, he would initiate dismissal procedures to terminate the former dean’s employment as a tenured faculty member for cause.

Chelte sent a letter of resignation to Chancellor Anderson the next day, April 21, effective April 30.

The final audit report, received by Anderson on May 8, calculated a net loss of $12,612 to UALR from duplicate travel expenses and unauthorized and/or non-university business related travel expenses submitted by Chelte. As of the date of the report, UALR management has recovered $3,850 of the calculated loss from Chelte, leaving a balance of $8,762 for which the university will demand repayment.

The audit committee offered recommendations to UALR for strengthening internal controls regarding travel policy, agreements with foreign schools, international data plans, and use of signature stamps. All recommendations of the audit committee are in the process of implementation at UALR.

Based on the audit findings, Chancellor Anderson and University of Arkansas System President Donald Bobbitt requested that the UA General Counsel’s Office forward the reports to the Prosecuting Attorney’s Office for review.

Chancellor Anderson expressed his admiration and appreciation for the faculty and staff of the COB and for the good things happening in the college.