NBC News Forensic Case Study

Booster Club Fund Embezzlement & Restitution Flow Auditor

Defendant: Julie Hanway Molina | Alleged Outflow: $400,000
Internal Safeguards (Checkpoints)

Toggle non-profit accounting controls to simulate prevention, early anomaly detection, and segregation of duties.

Dual Authorization / Signatures
Requires two unrelated officers to approve checks & withdrawals > $500
Monthly Bank Reconciliation
Independent monthly reconciliation of official statements with ledger books
Annual Independent CPA Audit
External inspection of invoices, donor receipts, and authorized disbursements
Alleged Fund Diversion Breakdown
Home Mortgage Payments $165,000
Credit Card Balance Payoffs $145,000
Other Personal Expenditures $90,000
Restitution Recovery Capacity
Forensic Insight: When zero segregation of duties exists, a single treasurer can route booster proceeds directly to personal escrows for years undetected until seasonal vendor bills bounce.
Forensic Audit Status & Metrics High Risk - Unchecked Diversion
Unreconciled Variance
$400,000
Total Unauthorized Outflow
Control Score
15
Threshold: 75/100
Restitution Horizon
80 mo
Approx. 6.7 Years
Channel Diversion Composition $400,000 Allocated
Mortgage
Credit Cards
Personal
Mortgage: $165,000 (41%)
Credit Cards: $145,000 (36%)
Personal: $90,000 (23%)
Multi-Year Restitution Amortization Schedule
Milestone Cumulative Paid Remaining Restitution Recovery Status
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