Detroit Riverfront Conservancy's contract with ex-CEO Mark Wallace ending this month
(CBS DETROIT) - The Detroit Riverfront Conservancy will no longer be working with former CEO Mark Wallace after his role as a transitional advisor ends on Sunday.
The conservancy confirmed that Wallace's contract will end one month after he resigned as CEO on May 31. Officials did not provide any further details. Following his resignation, the conservancy hired Ryan Sullivan as the interim CEO.
At the time of Wallace's resignation, the conservancy announced it was firing former CFO William A. Smith amid a federal investigation.
Wallace is not accused of any wrongdoing and the conservancy did specify his reason for resigning.
Smith is accused of embezzling $40 million from the organization over the years. Officials said Smith allegedly used conservancy funds to pay charges that he and his family had accrued on his American Express account, and he also diverted the nonprofit's funds to The Joseph Group, a company he controlled.
A federal judge granted a temporary restraining order, banning Smith and other individuals from accessing up to $39.3 million in assets. The restraining order applies to checking and savings accounts, retirement and investment accounts, loans and lines of credit associated with Smith or his business. Court documents also listed two Can-Am motorcycles, a yacht, and 21 properties in Detroit, Texas and Georgia, and a condominium in Mexico.
In the court filing, Judge Linda Parker wrote that Smith attempted to hide his assets under "Smith Entities", which are 17 corporate entities that he owns or controls. Parker also wrote that Smith attempted to sell the properties and the yacht.