Social Justice Co-op says former board member stole $60K in funds
Loss affects multiple programs and funds administered by the group
The Social Justice Co-operative of Newfoundland and Labrador says a former board member has misappropriated $60,000 from their collective funds.
The theft, largely of donated funds, has forced the non-profit organization to lay off staff and suspend funding and activities provided by the group, including a fund that helps provide essentials like food and clothing to members of the LGBTQ community.
The group plans to hold a series of meetings beginning this week with members and community partners to address concerns and discuss next steps.
'A precarious position'
In an internal memo obtained by CBC News, the board said the loss places the organization "in a precarious position."
The Social Justice Co-operative was founded in 2013 in reaction to the closure of the Oxfam Canada office in downtown St. John's.
Their work has focused on addressing climate change, racism and colonialism in the province.
Last month the group championed 82-year-old Shirley Cox, following her eviction by the City of St. John's, drawing attention to the danger of no-fault evictions.
According to the memo, the board of directors became aware of the issue on Feb. 13.
The memo accuses an unnamed board member of the theft, saying they have since resigned.
In addition, the memo says the board has secured the organization's bank account and strengthened its security protocols and is finalizing an incident report.
The loss affects multiple programs and funds administered by the group.
The board has announced a spending freeze to "ensure the SJCNL's ongoing sustainability." Monthly and quarterly activity funds have been suspended, as have all events requiring funding.
This includes the 2SLGBTQ+ mutual aid fund, designed "by trans, two-spirit and queer people in Newfoundland and Labrador wanting to help one another during the pandemic" to provide emergency aid, such as money, food, clothing and gender-affirming products.
As well, the group's sole employee, a volunteer co-ordinator position, has been laid off.
CBC News has asked the board for comment. They say they are holding off on speaking to the matter until they have filed an incident report and completed consultations with members.