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HomeMy WebLinkAbout1763 TarleckiPHONE' 717-783-1610 TOLL FREE1-800-932-0936 In Re: Linda Tarlecki, Respondent STATE ETHICS COMMISSION FINANCE BUILDING 613 NORTH STREET, ROOM 309 HARRISBURG, PA 17120-0400 File Docket: X-ref- Date Decided Date Mailed: FACSIMILE: 717-787-0806 WEBSITE: VyWge1hkJp.&Q_0Y 19-004 Order No. 1763 10/31/19 11/4/19 Before: Nicholas A. Colafella, Chair Mark R. Corrigan, Vice Chair Roger Nick Melanie DePalma Michael A. Schwartz Shelley Y. Simms This is a final adjudication of the State Ethics Commission. Procedurally, the Investigative Division of the State Ethics Commission conducted an investigation regarding possible violation(s) of the Public Official and Employee Ethics Act ("Ethics Act"), 5 Pa.C.S. § 1101 et seq., by the above -named Respondent. At the commencement of its investigation, theT-nvest ative Division served upon Respondent written notice of the specific allegation(s). Mpon completion of its investigation, the Investigative Division issued and served upon Respondent a Findings Report Nentified as an "Investigative Complaint." An Answer was not filed and a hearing was deemed waived, The averments in the Investigative Complaint are admitted and are set forth as the following Findings. The record is complete. - a That Linda Tarlecki, a public official/public employee in her capacity as a Supervisor and/or Secretary/Treasurer for Con h Township ("Township'), Columbia County, violated Sections 11 03g%, 11 04(a), YT84(adim), and 11 05(a)] of the State Ethics Act (Act 93 of 1998) she utilize t e authority of her public office and/or employment for a private pecuniary benefit, when she converted public monies of the Township for her personal use issuing payments to herself which were neither approved nor authorized by the ownshilS Board of Supervisors; and when she failed to file Statements of Financial Interests for calendar years 2013 through 2017, in association with her public office/employment. III. FINDINGS: 1 The Investigative Division of the State Ethics Commission received a signed, sworn complaint alle ing that Linda Tarlecki ("Tarlecki") violated provisions of the State �41 ? Ethics Act (Ac 99 of 1998). 2. Upon review of the complaint the Investigative Division initiated a preliminary inquiry on January 24, 21019. 3. The preliminary inquiry was completed within sixty days. a. The Commission, through the Executive Director, initiated a full investigation on March 13, 2019. Tairlecki, 19-004 ally 4. On March 13, 2019, a letter was forwarded to Tarlecki, by the Investigative Division of the State Ethics Commission, informing her that a complaint against her was received by the Investigative Division and that a full investigation was being commenced. a. Said letter was forwarded by certified mail, no. 7016 3560 0001 00414828. b. The domestic return receipt bore the signature of Linda L. Tarlecki, with a delivery date of March 17, 2019. 5. On March 15, 2019, an amended Notice of Investigation was forwarded to Tarlecki by the Investigative Division of the State Ethics Commission informing her that the allegations contained in the March 13, 2019, Notice of Investigation were being amended. a. Said letter was forwarded by certified mail, no. 7016 3560 0001 00414835. b. The domestic return receipt bore the signature of Linda L. Tarlecki, with a delivery date of March 23, 2019. 6. Periodic notice letters were forwarded to Tarlecki at least every ninety (90) days in accordance with the provisions of the Ethics Act advising her o the general status of the investigation. 7The Investigative Complaint/Findings Report was mailed to the Respondent on September 9, 2019. a. The Investigative Complaint/Findings Report was issued within 180 days of the initiation of a full investigation. & At all times relevant to the instant matterTarlecki held the followinapositions of i public office and/or public employment n Conyngham Township -(4ownship"), Columbia County: 0 Township Secretary and Treasurer (2006 to 2018) 0 Township Supervisor (2016 and 2017) 0 Conynpham Township Sewer Authority ("Sewer Authority") Board Member (2015 (o 2017) 0 Sewer Authority Secretary (2009, 2014 through 2017) 9. Tarlecki served as Township Secretary and Treasurer from January 2006 through January 2018. a. The Township Board of Supervisors ("Board of Supervisors") did not reappoint Tarlecki as Township Secretary and Treasurer during the January 2018 reorganizational meeting. b. As Township Secretary, Tarlecki was responsible for the following duties: • Communicating with Township residents regarding complaints and inquiries. • Preparation of monthly reports for public meetings, including financial reports. • Completion of payroll for Township employees and the Board of Supervisors. • Payment of monthly Township bills. • Depositing Township funds into designated Township accounts. Tarlecki, 19-004 Page 3 • Communication with Township road workers to address immediate issues. • Attending meetings with PennDOT, Columbia County Commissioners, 911 Center, District Magistrate, and various other government agencies. 10. Tarlecki was allotted 25 hours per week as a part-time Township Secretary/Treasurer. a. Additional hours or overtime were to be approved by the Board of Supervisors. b. Tarlecki's work hours as Township Secretary were 12:00 p.m. until 5:00 p.m. C. Tarlecki received the following hourly rates of pay as 'Township Secretary from calendar years 2014 through 2017: • 2014 - $1015 • 2015 - $11.75 2016 - $11.75 2017 - $12.25 11. The Sewer Authority provides wastewater management to the residents of Conyngham Township -Columbia County (and the Locustdale portion of Schuylkill County). a. The Sewer Authority filed Articles of Incorporation in calendar year2009 and began providing service during the 2011 calendar year, b. The Sewer Authority is comprised of a five -Member Board. C. Sewer Authority Board Members are appointed by the Board of Supervisors. d. Members of the Sewer Authority Board are not compensated other than expenses and mileage reimbursement at the State rate for any travel on Sewer Authority business beyond regular meetings. 12. Tarlecki served as Sewer Authority Secretary during calendar years 2009, 2014, 2015, 2016, and 2017. a. Tarlecki completed her duties as Sewer Authority Secretary during her work hours as, Township Secretary. 1. The Township and the Sewer Authority share the same office facility. 2. Tarlecki was not approved to receive additional salary or compensation for her service as Sewer Authority Secretary. b. Tarlecki's duties and responsibilities as Sewer Authority Secretary are listed below: 1. Respond to PA One Call to mark sewer lines. 2. Preparation of shut off notices and post shut off notices. 3. Maintenance of Sewer Authority records. 4. Payment of Sewer Authority bills. Tarlecki, 19-004 Page 4 5. Deposit of Sewer Authority funds in the designated Sewer Authority account. 6. Attend Sewer Authority meetings and record meeting minutes. C. Tarlecki also served as a Member of the Sewer Authority Board from calendar years 2015 through 2017. d. The Sewer Authority maintains one depository account with Fulton Bank, N.A. 1 Signature authority over the Sewer Authority account rests with the Sewer Authority Board. 13. Tarlecki was elected as a Township Supervisor in November 2015 for a two-year term. a. Tarlecki ran for election in November 2015 to complete the remaining two- year term vacated by former Township Supervisor David Razzis. b. Tarlecki served as a Township Supervisor in calendar years 2016 and 2017. C. Tarlecki served as Chairperson of the Board of Supervisors in calendar years 2016 and 2017. d. Tarlecki lost the November 2017 election and was no longer on the Board of Supervisors after January 201 & 14. The Township is a Second Class Township [governed by] a three -Member Board of Supervisors, that is charged with general governance of the Township and corporate powers of the Township. a, The Board of Supervisors holds one legislative meeting each month. Board of Supervisors meetings are held on the second Monday of the month, 2. Special meetings are held as necessary. b. Township Supervisors receive $44.10 per month or approximately $529.20 per year for their attendance at monthly meetings. C. Voting at a Board of Supervisors meeting occurs via a roll call vote after a motion is made and properly seconded. 15. Meeting minutes of Board of Supervisors meetings are prepared by the Township Secretary. a. Members of the Board of Supervisors are presented with the meeting minutes prior to the following meeting to review for accuracy. b. The Board of Supervisors votes to approve minutes of the prior meeting at each subsequent legislative meeting. 16. Pay rates for Township employees are set by the Board of Supervisors. a. The Township Secretary and Treasurer position appointment and compensation are approved during a Board of Supervisors Reorganization meeting held in January of each year. Tarlecki, 119-00 Page 5 b. Township employees are paid on a bi-weekly basis. 17. Monthly Treasurer Reports are presented to the Board of Supervisors at each monthly meeting.. a. The Treasurer Reports are separated individually by Payroll Account, General Fund Account, and Liquid Fuels Account. b. The purpose of the Treasurer Reports is to detail expenditures from each Township account. c. The Township Secretary/Treasurer is tasked with the responsibility of authoring and presenting the monthly Treasurer Reports during monthly Board of Supervisors meetings. 18. The Township maintains three depository accounts with Fulton Bank, N.A. a. The Township Payroll Account ("Payroll Fund") is designated to fund the payment of Township employees for their service to the Township. b. The Township General Fund Account ("General Fund") is designated to finance the daily and long-term administrative and operational responsibilities of the Township. C. The Township Liquid Fuels Account is designated for road projects, maintenance, and repair of public roads and streets. 19. Signature authority over the Township financial accounts rests with the Board of Supervisors. a. All Payroll Fund checks, General Fund checks, and Liquid Fuels checks are live signed by two Township Supervisors. 1. The Board of Supervisors has never used a signature stamp/facsimile stamp. b. All Township checks are produced by the Township Secretary (Tarlecki). 1. QuickBooks payroll software is used to issue checks from both the General Fund and Payroll Fund. THE FOLLOWING FINDINGS DETAIL TARLECKI'S USE OF HER PUBLIC POSITION TO OBTAIN TOWNSHIP FUNDS FROM THE 2010 THROUGH 2O12 CALENDAR YEARS. 20. After completing the 2010 calendar year Township audit, elected Township Auditors Susan Darrah ("Darrah") and Ed Sulick ("Sulick") determined that Tarlecki, as Township Secretary/Treasurer, had issued pa ments to herself totaling $20,158.64 from the Payroll Fund and General Fund that were not approved by the Board of Supervisors. a. In April of 2011, Darrah and Sulick met with Township Supervisors Karl George ("George") and James Tarleck€ (Tarleck€'s spouse) at Darrah's private residence to present their findings. 1. Then -Township Supervisor David Razzis ("Razz€s") was not present at the meeting. Tairlecki, 19-004 Page 6 b. George and James Tarlecki advised Darrah and Sulick that Tarlecki would provide repayments for the Township funds that she issued to herself without authorization. 1 Neither Tarlecki nor her husband, James Tarlecki, disputed/refuted/challenged the findings of the Township Auditors. 2. Pursuant to a Township Ordinance, reconciliation payments were permitted to the Township. 3. Razzis was never informed of Tarlecki's unauthorized payments to herself of Township/public /public funds or that she (Tarlecki) was making repayment to the twnship. c. George and James Tarlecki instructed Darrah and Sulick not to inform anyone else of their findings, namely that Tarlecki misypropriated Township funds by issuing payments to herself without approval. 21 Upon completion of the Township financial audits for 2011 and 2012, Township Auditors Darrah and Sulick discovered that Tarlecki had again used her public position to issue payments to herself from Township funds without Township pervisor approval during the 2011 and 2012 calendar years. a. Audit reports for the 2010 2011, and 2012 calendar years were not made available to Investigators for the State Ethics Commission. b, After she was not reapointed as Township Secretary in January 2018, Tarlecki removed and/or destroyed numerous public files and Township records. 22. As they had done previously in 2011, Township Auditors Darrah and Sulick again met with George in April of 2012 and 2013 to present their audit findings, a. James Tarlecki was not present for the meetings with Darrah and Sulick in 2012 and 2013. 23. Darrah and Sulick informed George that Tarlecki had again misappropriated Township payroll funds during the 2011 and 2012 calendar years! by issuing payments to herself without approval of the Board Of Supervisors. a. George informed Darrah and Sulick that Tarlecki would provide reconciliation (repayment) for the unapproved Township payroll funds for both years 2011 and 2012 that she had issued to herself. b. George informed Darrah and Sulick not to inform Tarlecki's husband, James Tarlecki, or Razzis. C. Tarlecki was permitted by George to make repayments to the Township for Township funds she issued to herself in calendar years 2011 and 2012 that were not approved by the Board of Supervisors. d. There are no Township records to confirm if Tarlecki ever made any repayments for the 2011 and 2012 misappropriated funds. 24. Tarlecki never disputed/refuted/challenged the findings of the Township Auditors. 25. Despite the findings of the Township Auditors in 2011, 2012, and 2013, Tarlecki was permitted to continue to hold her position as Township Secretary and Treasurer. Tarlecki, 1 91-004 T1 —ag—e—r a. The Board of Supervisors took no action (administrative or otherwise) against Tarlecki following the findings of the Township Auditors. Following the 2011 Township Auditors' Report, James Tarlecki stated to George that he (James Tarlecki) sought to protect his wife's position with the Township. 2. George was instructed by James Tarlecki to "keep this quiet." b. Township Solicitor David Noon was never informed by either James Tarlecki or George of Tarlecki's misappropriation of Township funds, The Board of Supervisors never sought any advice or guidance pertaining to any potential action against Tarlecki. 26. Independent of the Township Auditors' Reports of 2011, 2012, and 2013, Razzis began to openly question Tarlecki's repeated travel in 2013 to Bloomsburg Airport to meet with George during business hours. a. Tarlecki routinely traveled to Bloomsburg to purportedly have George sign blank Payroll Fund and General Fund checks, many of which were used gy Tarlecki to issue unauthorized payments to herself. b. Tarlecki authorized her mileage reimbursement from the Township for this travel. 27, Razzis resigned from the Board of Supervisors in December 2013 atthe direction of George Tarlecki's husband, James Tarlecki. a. Razzis resigned from the Board of Supervisors after receiving threats from James Tarlecki. 28. Despite repeated findings that Tarlecki used her position to issue unauthorized payments of Township ?1unds to herself, neither Darrah nor Sulick revorted their audit findings to law enforcement in calendar years 2011, 2012, or 2013, a. Darrah explained that she informed George and James Tarlecki of Tarlecki's misappropriation of Township funds and she believed that the Township c ors did not have4risdiction to act to remove her (Tarlecki) from her position as Township ecretary and Treasurer. THE FOLLOWING FINDINGS REFLECT THE REMOVAL OF THE ELECTED TOWNSHIP AUDITORS IN DECEMBER 2014. 29. In April of 2014, Tarlecki informed Darrah that the elected Township Auditors would no longer be completing the yearly Township audits. a. Tarlecki reported to Darrah that a private accounting firm would be hired to complete the audits. b. Based upon Tarlecki's statement to Darrah, no Township audit was completed for the 2013 calendar year. C. Meeting minutes reflect that during the October 13, 2014, Board of Supervisors meeting, Sulick submitted a resignation letter as Township Auditor. Meeting minutes from October 13, 2014, record the following: Tarlecki, 1 9-0�04 pa-9-6-9- "Ed Sulick handed the board a letter statinq that he is resigning as auditor of the township."- 30. Tarlecki's notification to the Township Auditors that they would no longer audit Township funds occurred after the Township Auditors identified her as issuing payments to herself without approval of the Board of Supervisors for three consecutive years. 31. On October 28, 2014, Tarlecki contacted Edwin Ebling ("Ebling") of Jones & Company, CPA ("Jones & Company"), to inquire about auditing services for the Township. a. Ebling spoke with Tarlecki telephonically on October 29, 2014, regarding levels of Township staffing, the amount of checks issued each year, the total amount of accounts managed, and the type of software used for employee payroll. b. Tarlecki was the only representative from the Township that communicated with Ebling. 32. During the November 11, 2014, Board of Supervisors meeting, James Tarlecki introduced Resolution 14-1 to dissolve the elected Township Auditors and to hire the private Certified Public Accountant (CPA) firm Jones & Company of Pottsville, Pennsylvania to conduct annual Township fiscal audits. a. Township meeting minutes of November 11, 2014, record the following: "Chairman Tarlecki read a resolution to dissolve elected auditors and to have a CPA firm do the auditing. Jones and Company gave the township a price not to exceed $2200. Chairman Clecki made a motion to advertise the resolution. A second by Supervisor Devine. Motion carried." 33. At the following Board of Supervisors meeting on December 8, 2014, James Tarlecki motioned to pass Resolution 14-1 to replace the elected Township Auditors with Jones & Company. a. Meeting minutes of December 8, 2014, record the following: "A motion was made by Chairman Tarlecki to pass the Resolution 14-1 (replacing the elected auditors). A second by Supervisor Devine. All members were in favor. Motion carried." b. The motion carried and the vote to approve Resolution 14-1 was unanimous with a 3-0 vote. C. All three Members of the Board of Supervisors, George, Vincent Devine ("Devine"), and James Tarlecki, signed Wesolution 14-1. d, Tarlecki signed Resolution 14-1 as Township Secretary. 34. Following his conversation with Tarlecki on November 11, 2014, Ebling (Jones & Company) submitted an official Letter of Engagement to the Board of Supervisors. a. The Letter of Engagement detailed the scope of the auditing services to be provided, audit objectives, audit procedures, and management responsibilities. Tarlecki, 19-0104 pa—geg- b. Jones & Company requires the receipt of the signed Letter of Engagement prior to performing any auditing services. The Letter of Engagement was signed and dated on December 8, 2014, by the Board Supervisors Chairman, James Tarlecki, but never mailed to Jones & Company. C. During a February 28, 2018, investigative interview Ebling confirmed that Jones & Company never received a signed Letter of Engagement from the Township. d. As Township Secretary, Tarlecki was responsible for providing the signed Letter of Engagement to Jones & Company. 35. On January 18, 2015, Ebling scheduled a meeting with Tarlecki at the Township Office to review financial records and to further assess the auditing needs of the Township, a. On the day of the scheduled meeting January 18, 2015, Tarlecki contacted Ebling telephonically to cancel the meeting. b. On January 18, 2015, Ebling left a voice mail message for Tarlecki in an effort to reschedule the meeting. 1. Tarlecki never returned Ebling's call to reschedule the meeting. 36. OnApril 17,2015 Ebling contacted Tarlecki telephonically to ascertain whether the Township was still in need of auditing services. a. Tarlecki never returned Ebling's phone call. 37, Jones & Company never provided any auditing services for the Township and never received payment from the Township. 38. Tarlecki was responsible for arranging the audit to be completed by Jones & Company but never contacted Ebling to complete the audit. a. Ebling made no further attempts after April 2015 to contact Tarlecki or the Township. b, No Member of the Board of Supervisors ever contacted Ebling or Jones & Company regarding auditing services for the Township. C. Ebling believed that the Township had "decided to go in another direction" with respect to Jones & Company performing the annual Township audits. 39. No annual audits were completed of the Township finances for calendar years 2013 through 2017. a. From calendar years 2015 through 2017, no less than $2,500.00 was annually allocated in the yearly Township budget for the specific purpose of engaging an auditing firm to conduct an annual audit. b. The Board of Supervisors failed to ensure that the financial audits were being completed each year. C. Tarlecki deliberately failed to meet with Jones & Company in order to conceal her continued use of her public position to issue payments to herself without Board of Supervisors approval. Tarlecki, 19-0104 Fa—g _e _f 0 40. During the 2016 calendar year, Township resident (and current Township Supervisor) John McGee ("McGee") attended monthly Board of Supervisors meetings and publicly questioned the Board of Supervisors regarding the lack of audit reports being made available to the public. a. Tarlecki, in her capacity as a Township Supervisor, assured McGee that Jones & Company was in the process of completing the Township audits, even though Tarlecki had already determined not to utilize ones & Company. b. McGee additionally requested Treasurer Re arts following Tarlecki's failure to produce completed annual audit reports rcr the Township, 1 McGee was eventually provided Treasurer Reports for calendar year 2016 and observed that transfers of $7,000.00 from the General Fund to the Payroll Fund for each month were in excess of what was needed to fulfill payments to Township employees. 2. The Township maintains one (1) full-time roadworker, one (1) part- time Secretary (Tarlecki), and three (3) to four (4) part-time employees. C. In February 2017, McGee submitted a Right -to -Know request to the Township in an effort to obtain financial and payroll records. 41. During a March 2017 Boar' of Su ervisors, meeting, Township Solicitor David Noon Noon") advised McGee that his request was lawful and that the Township should provide the requested records. a. Tarlecki contacted Noon following the March 2017 meeting and informed him that he (Noon) was no longer to attend monthly Board of Supervisors meetings. b. Tarlecki was not satisfied with Noon's response to McGee regarding McGee's Right -to -Know request and wanted to keep Noon from gaining knowledge of her activities to prevent the audits. C. Tarlecki was aware that by �rovidinq. the records requested by McGee, her continued abuse of her public position to obtain a private pecuniary gain would be exposed. 42. McGee was never provided the Township financial records he requested from the Township as a result of actions taken by Tarlecki. a. McGee was elected as a Townsh1D Supervisor in November 2017 and began his first term of office in January 2018. b. Upon taking office in January 2018, McGee requested all bank statements and financial records from the Township depository, Fulton Bank, for calendar years 2013 through 2018. C. Upon reviewing the Township bank records, McGee determined that Tarlecki had issued numerous duplicate payroll checks within the same pay period from 2013 through 2018. 43, McGee presented his findings to the Board of Supervisors in early 2018. Tarlecki 19-004 P_ag_e__Tl' a. Township Supervisors McGee and Martin Wolf requested that Darrah and newly -elected Township Auditor Shelly McGinley complete audits of the Payroll Fund and General Fund from calendar years 2013 through 2017. THE FOLLOWING FINDINGS DETAIL ELECTED TOWNSHIP AUDITORS DARRAHS AND McGINLEYS AUDIT REPORT FINDINGS FOR CALENDAR YEARS 2013 THROUGH 2017. 44. Upon completing the Township audits for calendar ears 2013 through 2017, Darrah and McGinley identified numerous payroll checks Tarlecki issued herself that were paid on the same date and within the same pay period. a. Darrah and McGinley found that during the 2015, 2016, and 2017 calendar years, Tarlecki issued herself payroll checks from the General Fund at the same time she was issuing herself payroll checks from the Payroll Fund. b. Darrah and McGinley [found that] Tarlecki issued herself multi�le mileage reimbursement checks between calendar years 2013 and 201 that were excessive and exceeded her mileage traveled. C. Darrah and McGinley found that during the 2016 and 2017 calendar years, Tarlecki issued herself reimbursement checks for supplies with no receipt or justification for the payments. d. During the 2017 calendar year, Tarlecki issued herself multiple checks with blank check memos or "miscellaneous" typed on the memo. 45. Darrah and McGinley determined that Tarlecki issued herself checks during the 2017 calendar year for equipment reimbursement, rental of equipment, and use of her home computer. a. There were no authorizations by the Board of Supervisors for such payments or records that such rentals or use of equipment occurred. 46. Darrah's and McGinley's 2013 calendar year audit report concluded that Tarlecki misappropriated $25,063.60 in Township funds by the issuance of unauthorized payments to herself. THE FOLLOWING FINDINGS PERTAIN TO TARLECKI ISSUING UNAPPROVED PAYMENTS TO HERSELF FROM THE TOWNSHIP PAYROLL ACCOUNT BETWEEN CALENDAR YEARS 2014 AND 2017. 47. Tarlecki, as Township Secretary, completed Township employee payroll using QuickBooks software. a. Tarlecki used QuickBooks to produce payroll checks for each Township employee, including herself, for each payroll period. 4& Prior to being removed from her position as Township Secretary in January 2018, Tarlecki intentionally deleted QuickBooks payment records from the Township Office computer and removed/destroyed Township financial records to conceal her actions of misappropriating Township funds. 49. Between calendar years 2014 and 2017, Tarlecki issued herself multiple checks with the same pay date, within the same pay period, and with the same dollar amount, under the guise that the payments were compensation. 2014: Tarlecki, 19-004 P age— T2 50. Township employees are paid on a bi-weekly basis. a. There were 26 bi-weekly pay periods during the 2014 calendar year. b. Tarlecki was eligible to receive no more than 26 paychecks during the 2014 calendar year. 51. Tarlecki issued herself 47 checks from the Payroll Account during the 2014 calendar year, in an amount totaling $28,927.36. a. Tarlecki received a total of 21 unauthorized payroll checks during the 2014 calendar year. 52. The checks Tarlecki received from the Payroll Account during the 2014 calendar year were signed by George and Devine. a. George signed blank payroll checks for Tarlecki during calendar years 2014 through 2016. George confirmed that Tarlecki drove from the Township Office in Wilburton, Pennsylvania to his place of employment in Bloomsburg, Pennsylvania to have him sign blank Payroll Fund and General Fund checks. b. Devine asserted that the additional numerous paychecks that Tarlecki issued herself with his signature appeared to have been forged. Devine denied that he ever gave Tarlecki authorization to sign payroll checks with his signature. 53. Tarlecki's actions of using her position to issue additional unapproved paychecks to herself resulted in her receipt of $12,991.50 of unauthorized Township payroll funds during the 2014 calendar year., a. Tarlecki's 2014 calendar year W-2 wage and tax form was not available at the Township., b. Treasurer Reports for the 2014 calendar year were not available at the Township. Tarlecki removed Township financial records after she was not reappointed as Township Secretary in January 2018. 54. George, Devine, and James Tarlecki confirmed that Tarlecki was never approved to receive the additional [Township payments/money/salary/compensation of $12,991.50] during the 20 f4 calendar year. a. Tarlecki was approved to work approximately 25 hours per week as a part- time Township Secretary/Treasurer. b. Any additional pay increases or overtime would have required the approval of the Board of Supervisors. C. The Board of Supervisors gave no approvallauthorization for Tarlecki to issue herself additional Township payments/money/compensation of $12,991.50] during A: 2014 calendar year. 2015: Tarlecki, 19-004 Page 1 55. The Township had 27 bi-weekly pay periods during the 2015 calendar year. a. Tarlecki issued herself 63 checks from the Payroll Account during the 2015 calendar year, totaling [approximately $44,833.99]. 56. The 36 additional checks Tarlecki issued from the Payroll Account to herself during the 2015 calendar yearwas nearly double the number of paychecks she was eligible to receive. 57. The payroll checks that Tarlecki issued to herself during the 2015 calendar year were signed by George and Devine. a. George confirmed that he signed blank payroll checks for Tarlecki during the 2015 calendar year. b. Devine claimed that his signature appeared altered on numerous payroll checks that Tarlecki received during the 2015 calendar year. Devine never gave Tarlecki authorization to sign his name to payroll checks that she received. 58, Tarlecki's use of her public position to issue an additional 36 unauthorized paychecks to herself resulted in $26,053.47 in misappropriated Township payroll funds being paid to her during the 2015 calendar year. a. Tarlecki's 2015 calendar year.W-2 Wage and Tax Statement reports earnings of $24,742.33 in gross income in 2015. 1. Federal, State, and Local Income Tax withheld totaled $5,844.15. 2. Tarlecki's 2015 W-2 reflects an after-tax net income of $18,898.18 from the Township. 3. Tarlecki was responsible for the W-2 preparation and underreported her income to conceal her use of office to misappropriate Township fu nds. b Tarlecki received no less than $44,833.99 from the Township Payroll Fund during the 2015 calendar year when she utilized the authority of her public position to issue herself unauthorized checks from Township financial accounts. C. Tarlecki misap ropriated a minimum of $25,935.81 in Townshipp pa roll funds during the9 calendar year ($44,833.99 - $18,898,18 = $50,V'51.81). d. The 2015 calendar year Treasurer Reports were not available at the Township. 59. George, Devine, and James Tarlecki confirmed that Tarlecki was not authorized to receive an additional $25,935.81 in salary during the 2015 calendar year. a. The Board Of Supervisors gave no approval/authorization for Tarlecki to issue and receive an additional $25,935.81 in Township payments/money/compensation during the 2015 calendar year. 2016: 60, The Township had 26 bi-weekly pay periods during the 2016 calendar year. Tarlecki 19-0104 0 Sa M a. Tarlecki issued herself 45 checks from the Payroll Account during the 2016 calendar year, totaling $32,889.43. b. Tarlecki issued 19 additional payroll checks to herself during the 2016 calendar year that she was not eligible to receive. C. The payroll checks that Tarlecki received during the 2016 calendar yearwere signed by Supervisors George and Todd Croker ("Croker"). George confirmed that he signed blank payroll checks for Tarlecki during the 2016 calendar year. 2. Croker asserted that his signature appears to have been altered on checks that Tarlecki received during the 2016 calendar year. 3. Croker denied signing blank checks for Tarlecki. 61. Tarlecki issued $14,285.22 in unapproved Township payroll funds to herself during the 2016 calendar year, 62. Tarlecki's 2016 calendar year W-2 Wage and Tax Statement reports earnings of $24,130.22 in gross income in 2016. a. Federal, State, and Local Income Tax withheld totaled $5,526.01. b. Tarlecki's 2016 W-2 reflects an after-tax net income of $18,604.21 from the Township. C. Tarlecki received no less than $32,889.43 from the Township Payroll Fund during the 2016 calendar year when she utilized the authority of her public position to issue herself unauthorized checks from Township financial accounts. d. Tarlecki misappropriated a minimum of $14,285.22 in Townshin payroll funds during the 2016 calendar year ($32,889.43 - $18,604.2 $14,285.22). 63, The Treasurer Reports presented to the Board of Supervisors were completed by Tarlecki prior to each monthly Board of Supervisors meeting. a. The Treasurer Reports contained individual Township employees' dates of pay, check numbers issued, and amount paid for each month. b. A review of the calendar year 2016 Treasurer Reports confirmed that Tarlecki failed to list the additional payroll checks that she issued to herself. Tarlecki's failure to include the additional payments she received concealed her misappropriation of Township funds for her benefit. 64. The chart below details the amounts Tarlecki reported she received in payroll on the monthly 2016 Treasurer Reports, compared to the actual amount she received from the Township Payroll Account during the 2016 calendar year, Tarleckii, 19-004 75-9-67 Month Payroll Reported Actual Pavments Jan-1 6 $2,143.27 Feb-16 Mar-1 6 _11,426.10_ $2,112.78 $1,373,79 $4,280.88 $5,921.05 Apr-1 6 $1,352.99 $4,488.08 May -I 6 $1,388.42 $2,778.85 Jun-16 $1,45274 $1,452.74 Jul-16 Aug-16 $1,373,35 $2,089,53 $1,373.35 $2,099.53 Sep- 16 $1,342.97 $2,220.99 Oct -I 6 $1,444,59 $2,389.75 Nov-16 1, 446.A7 $2,262.84 Dec-16 -$ $1,478.10 $1,478.10 Total(s) li18,281.83 $32,889.43 a. Calendar year 2016 was the only year [for which] a Treasurer Report was on file with the Township. 65. George and Croker confirm that Tarlecki was never authorized to receive an additional $14,285.22 in Township payments/money/compensation during the 2016 calendar year. a. Any pay increase or overtime requires the approval of the Board of Supervisors,. b. There were never any approvals by the Board of Supervisors for pay increases for Tarlecki. 20,17: 66. The Township had 26 bi-week] pay periods during the 2017 calendar year for which Tarlecki was eligible to be pail a. Tarlecki issued herself 36 checks from the Payroll Account totaling $24,099.21 during the 2017 calendar year. 67. Tarlecki received 10 additional payroll checks during the 2017 calendar year that she was not eligible to receive. a. Tarlecki's (as a Supervisor) and Croker's sinatures are affixed to the payroll checks that Tarlecki received during the 2017 calendaryear, b. Tarlecki used her public positions as a Township Supervisor and Township Secretary/Treasurer to sign payroll checks to herself authorizing payments that she received in the 2017 calendar year, 1 Tarlecki participated ated in signing every payroll check she received during the 201 calendar year. 2. Croker denied signing blank checks for Tarlecki. aa. Croker reported that multiple payroll checks with his signature appeared to have been forged. Tarlecki 19-0104 f736_ bb. Croker asserted that he never gave Tarlecki permission to sign the checks with his signature. 68. Tarlecki's 2017 calendar year W-2 Wage and Tax Statement reports earnings of $22,963.83 in gross income in 2017. a. Federal, State, and Local Income Tax withheld totaled $4,970.87. b, Tarlecki's 2017 W-2 reflects an after-tax net income of $17,992.96 from the Township. c. Tarlecki received no less than $24,099.21 from the Township Payroll Fund during the 2017 calendar year when she utilized the authority of her public position to issue herself unauthorized checks from Township financial accounts. d. Tarlecki misap ropriated a minimum of $6,106.25 in Township pa roll funds during the � calendar year ($24,099,21 - $17,992.96 = $6,1 N25). e. Treasurer Reports were not available at the Township for the 2017 calendar year, 69. Croker confirmed that Tarlecki was never approved to receive an additional $6,106,25 in Township payments/money/compensation during the 2017 calendar year. 70. The chart below reflects payroll checks Tarlecki issued to herself in excess of approved bi-weekly received from the Township Payroll Fund between calendar years 20 and 2017. Data Check # Amount Payee Acct Date De p Deposited to Chk Memo Endorsed 02/24114 2348 $573.31 L. Tarlecki Payroll 712412014 PSECU 02109/2014-02/22/2014 Yes 02124J14 2351 $542.36 L. Tarlecki Payroll 212812014 PSECU 02109)2014-02/22/2014 Yes 03110/14 2360 $62921 L. Tarlecki Payroll 317/2014 PSECU ending 3/8/2014 Yes 04121/14 2378 $629.90 L. Tarlecki Payroll 4/17=14 PSECU 3110/2014-3/23/2014 Yes 05102/14 2379 $591.77 L. Tarlecki Payroll PSECU 4/2=014-5/0312014 Yes 06105/14 2392 $593m L. Tarlecki Payroll _4130/2014 6/912014 PSECU 6/01/2014-6114/2014 Yes 06127/14 2403 $630,06 L. Tarlecki Payroll 7/18/2014 PSECU 6/1512014-6/28/2014 Yes 07111/14 2410 $589.26 L. Tarlecki Payroll 1 7/17/2014 PSECU 6/1512014-6/2812014 Yes 08111/14 2422 $624.93 L. Tarlecki Payroll 8/15/2014 PSECU 7/27/2014-8/09/2014 Yes 09108/14 2436 $585.52 L. Tarlecki Payroll 9/5/2014 PSECU 8/2412014-9/0612014 Yes 09/19/14 1 2441 $633.19 L. Tarlecki Payroll 911912014_PSECU 910712014-9/20/2014 Yes 09/23/14 2442 $64T84 L Tarlecki Payroll 9/23/2014 PSECU 0910712014-9/2012014 Yes 10/07/14 2443 $620.20 L. Tarlecki a roll Payroll 10/10/2014 PSECU 9/211120`14-10104/2014 Yes 10117114 2454 $61Z70 L. Tarlecki Payroll 10/1712014 PSECU 10/05/2014-1 Oil 8/2014 Yes 11/03/14 2456 $624.93 L. Tarlecki Pa Payroll 11/5/2014 PSECU 10/612014-1011812014 Yes 11/03/14 2459 $624.93 L. Tarlecki I Payroll I I 1012014 L .......... PSECU 10150014-10/18/2014 Yes 11117/14 2465 $671.84 L. Tarlecki Payroll 1111912014 PSECU 11/02M14-11/15/2014 Yes 1 1J24/14 2468 $652,13 L. Tarlecki Payroll 11/2512014 PSECU I V0212014-1111512014 Yes Tarlecki, 1 9-1004 P-ag-e-f 7 12/05114 2476 $642.12 L Tarlecki' Payroll 112/612014 PSECU 3/23/2014-4105/2014 Yes 12/15/14 2484 $636,15 L Tarlecki Payroll 12118/2014 PSECU 12/14/2014-12/27/2014 Yes 12/16/14 2485 $636.15 L. Tarlecki Payroll 12/23/2014 PSECU 12/14/2014.12/27/2014 Yes Total $12,991.50 01/09/15 2491 $686.89 L. Tarlecki Payroll 1/12/2015 PSECU 12114/2014-12/27/2014 Yes 01/09/15 2496 $686.89 L. Tarlecki Payroll 1115/2015 PSECU 12114/104-12/2712014 Yes 01/26115 2499 $69526 L. Tarlecki Payroll 1/2712015 PSECU 01/25/2015-2107/2015 Yes 01/26/15 2501 695,26 L. Tarlecki Payroll 212712015 PSECU 01I2512015-0210712015 Yes 02/06/15 2508 $676,36 L. Tarlecki Payroll 2/1112015 PSECU 01125/2015-02/0712015 Yes 02125/15 2514 $704,63 L. Tarlecki Payroll 212512015 PSECU 2108/2015-2/2112015 Yes 03/05/15 2518 $893,00 L. Tarlecki Payroll 31512015 PSECU 210812015-2/21/2015 Yes 03/10115 2517 $893.00 L. Tarlecki Payroll 311312015 PSECU 02/2212015-03/07/2015 Yes 03123115 2528 $910.63 L. Tarlecki Payroll 312412015 PSECU 3/0812015-3/21/2015 Yes 03/23115 2530 $895.27 L. Tarlecki Payroll 312312015 Unk 03108/2015-03/3112015 Yes 04/07/15 2534 $719.28 L. Tarlecki Payroll 417/2015 PSECU 0312212015-04/04/2015 Yes 04120/15 04120115 2545 2546 $70571 $70571 L. Tarlecki L. Tarlecki Payroll Payroll 4/2512015 4/30/2015 PSECU PSECU 04/0W2015-0411812015 04/06/2015-04/1812015 Yes Yes 05/04115 05/04115 06/04/15 2550 2555 2556 $693.18 $798.18 $69318 L. Tarlecki L. Tarlecki L. Tarlecki Payroll Payroll Payroll 514/2015 5/412015 5/1212015 PSECU PSECU PSECU 04119/2015-05102/2015 04/19/2015-05/0212015 04/19/2015-05/0212015 Yes Yes Yes 05/19115 2560 $701 .55 L. Tarlecki Payroll 5/19/2015 PSECU 05/03/2015.05/16/2015 Yes 06/01/15 2563 $701.54 L. Tarlecki Payroll 61412015 PSECU 05/1 V2015-05/30/201 5 Yes 06/01115 2569 $701.54 L. Tarlecki Payroll 61912015 PSECU 05/17/2015-05/3012015 Yes 06/15f15 2579 $693.18 L. Tarlecki Payroll 612412015 PSECU 05/31/2015-06/13/2015 Yes 06129115 2583 $740.18 L. Tarlecki Payroll 6/26/2015 PSECU 06114/2015.0812-112015 Yes 07/24115 2587 $665.99 L. Tarlecki Payroll 81212015 PSECU 06/28/2015-0711112015 Yes 08/06/15 2597 $674.35 L. Tarlecki Payroll 81712015 PSECU 06/2812015-0711 M2015 Yes 08/24/15 08/24115 09/02115 09108/16 2600 2602 2607 2609 $713.00 $713.00 $684.71 $712.99 L. Tarlecki L. Tarlecki L. Tarlecki L. Tarlecki Payroll Payroll Payroll Payroll 8/28/2015 8/2612015 91412015 919/2015 PSECU PSECU PSECU PSECU 0810912015-0812212015 08109/2015-0812212015 08/23/2015-0910612015 08/23/2015-09/06=15 Yes Yes Yes Yes 09/16115 09121/15 2617 2620 $725.53 $725.53 L. Tarlecki L. Tarlecki Payroll Payroll 9116/2015 9/2812015 PSECU PSECU 08/23/2015-09/0512015 08123/2015-0910512015 Yes Yes 10/02115 10/15/15 10115115 11/03/15 11/16115 11130/15 12110/15 2624 2633 2634 2638 2646 2650 2660 $69527 $704.63 $704.63 $682,71 $700.44 $660.80 $699.47 L. Tarlecki L, Tarlecki L, Tarlecki L. Tarlecki_ L. Tarlecki L. Tarlecki 1 L. Tarlecki Payroll Payroll Payroll _-Pa roll_ Payroll Payroll Payroll 10/812015 10115/2015 1012112015 11/5/2015 h 1/24/2015 121312015 1211012015 PSECU PSECU PSECU PSECU PSECU PSECU PSECU 8/23/2015-915/2015 10/0312 015-1 OY 1612015 10/0312015-10/16/2015 10/1 D2015-10130/201 5 11101/2015-11/1412015 11 /15/2015-11128/2015 11/29/2015-12112/2015 Yes yes Yes Yes Yes Yes yes Tarlecki, 19-004 aP ge fB Total $26 053.47 01/22/16 2673 $717,17 L. Tarlecki Payroll 1126/2016 PSECU 01/10/2016.01/23/2016 Yes 02/04/16 2677 $723.01 L. Tarlecki Payroll 2/5/2016 PSECU 0111012016-01/2312016 Yes 02/11/16 2685 $723.01 L. Tarlecki Payroll 211212016 PSECU 01110/2016-01/2312016 Yes 02112/16 2686 $729,72 L. Tarlecki Payroll 2/13/2016 Cashed walmart 01110/2016.01/23/2016 Yes 02/19/16 2689 $691.07 L. Tarleckl Payroll 2/2512016 PSECU 01110/2016-01/23/2016 Yes 03/04/16 2693 $698.70 L. Tarleckl Payroll 3/8/2016 PSECU 0111012016-01/23/2016 Yes 03/04/16 2695 $698.70 L. Tarleckl Payroll 311412016 PSECU 01/10/2016-0112312016 Yes 03/14/16 2700 $846.39 L. Tarlecki Payroll 3/1512016 PSECU 01110/2016-01/2312016 Yes 03/18/16 2702 03/18/16 2705 $699.44 $699A4 L. Tarlecki L. Tarlecki Payroll Payroll 3125/2016 3/2112016 PSECU PSECU 03/06/2016-03/1912016 03106/2016-03/1912016 Yes Yes 04113/16 2714 $68t73 L. Tarlecki Pa ro€t 4113/2016 PSECU 04103/2016/4116/2016 Yes 04/13/16 2718 $786.73 L. Tarlecki Payroll 4118/2016 PSECU 04/03/2016-0411612016 Yes 04/20/16 2723 $788.88 L. Tarlecki Payroll 4/22/2016 PSECU 04/03/2016-04/1612016 Yes 05/02/16 2726 $671,26 L. Tarlecki Pa roll 61312016 PSECU 04117/2016-04130/2016 Yes 05/18/16 2734 $682.71 L. Tarlecki Payroll 5/19/2016 PSECU 04117/2016-04/30/2016 Yes 05/31/16 2738 $706.71 L. Tarlecki Payroll 5/31/2016 PSECU 4/17/2016-4/3012016 Yes 9/16 2774 3/16 2787 3/16 2798 Total r $878,02 $845.16 $816.37 $14,083.22 L. Tarlecki L. Tarlecki L. Tarlecki Pa roll Pa roll Payroll 9/2612016 10/19/2016 11127/2016 PSECU PSECU PSECU 09104/2016-09/17/2016 09104/2016-09117/2016 0910412016-09/1712016 Yes Yes Yes 01109117 2814 $833.77 L. Tarlecki Payroll 1/1112017 PSECU 0110812017-01/21/2017 Yes 0'1/20117 2821 $738.53 L. Tarlecki Payroll 1/20/2017 PSECU 01/0812017-01/2112017 Yes 02106/17 2824 $720.92 L. Tarlecki Payroll 2/912017 PSECU 01/08/2017-01/2112017 Yes 05102/17 2847 05/09/17 2851 $68129 $738.19 L. `rarlecki L. Tarlecki Payroll Pa roll 5/3/2017 5/912017 PSECU PSECU 4/16/2017-04/29/2017 04/16/2017-0412912017 Yes Yes 10/30/17 2898 $524.45 L. Tarlecki Payroll 11/312017 PSECU 10/1512017-10128/2017 Yes 11/21/17 2905 $614.20 L. Tarlecki Payroll 11/21/2017 PSECU 10/19/2017-11101/2017 Yes 12108/17 2911 12/26/17 2914 $613,48 $526.57 L. Tarlecki L. Tarlecki Payroll Payroll 12/2312017 12/2612017 PSECU PSECU 1112612017-12109/2017 12/17/2017-12130/2017 Yes Yes 12126117 2916 $526.57 L. Tarlecki Payroll 12/29/2017 PSECU 12/17/2017-12130/2017 Yes Total $6 517.97 Total $59 646.16 The W-2's issued to Tarlecki do not reflect the unauthorized payments Tarlecki issued to herself between 2015 and 2017. 71. Tarlecki maintains a checking account at the Pennsylvania State Employees Credit Union (",PSECU"), Tarlecki, 19-004 P-59-6TD a. Between calendar years 2014 and 2017 Tarlecki utilized Automated Teller Machines (ATMs) at First National Bank, First Keystone CommunityBank, and 13130 Bank to deposit unapproved Township funds(namely duplicate/excessive payroll checks) directly into her PSECU account. I First National Bank, First Keystone Community Bank, and BB&T Bank have a shared deposit service with PSECU that allows for the funds to be directly credited to a PSECU account. Z In April 2017„ Tarlecki began depositing misappropriated funds directly into her PSECU account using PSECU mobile app. aa. The PSECU mobile app allows members to deposit a check by photographing the front and back of the check using a mobile device. 72. Tarlecki's PSECU bank account statements between calendar years 2014 and 2017 confirmed that Tarlecki utilized a First National Bank ATM on multiple occasions between calendar years 2014 and 2017 to deposit misappropriated payroll checks directly into her PSECU account. a. First National Bank has a shared deposit service with PSECU that allows for the funds to be directly credited to a PSECU account. 73. A review of statements from the Township's Fulton Bank Payroll Account between calendar years 2014 and 2017 confirms that every payroll check that was issued by Tarlecki to herself was paid out of the account. a. None of the checks Tarlecki issued to herself were voided or unaccounted for. b. A review of Township payroll checks issued to Tarlecki confirmed that Tarlecki endorsed every check as the payee between calendar years 2014 and 2017. 74. Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public employment/public office to misappropriate no less than $59,646.16 in Township Payroll Account funds for her own pecuniary benefit between calendar years 2014 and 2017, THE FOLLOWING FINDINGS DETAIL TARLECKI'S MISAPPROPRIATION OF TOWNSHIP GENERAL FUNDS FOR PERSONAL USE THROUGH THE RECEIPT OF ADDITIONAL CHECKS BETWEEN CALENDAR YEARS 2015 AND 2017. 75. In addition to issuing unapproved payments to herself from the Payroll Fund, Tarlecki also misappropriated payments to herself from the General Fund. a. uring calendar years 2015, 2016, and 2017, Tarlecki routinely issued herself payments from the General Fund which were not authorized by the Board of Supervisors. la. To conceal that she was issuing unapproved payments to herself, Tarlecki identified payments as compensation. 1 Township employee payroll was not to be issued from the General Fund. Z The Township established a designated Payroll Fund specifically for the purpose of issuing Township employee compensation/pay. Ti ,arllecki, 19-004 �Page 2 76. Payments issued by Tarlecki to herself from the General Fund contain the signatures of Township Supervisors. a. In 2015, the checks contained the signatures of George and Devine. b. In 2016 and 2017, the checks contained the signatures of George and Croker. C. George admittedl signed blank General Fund [checks] at the request of Tarlecki from 2M through 2017. d. Devine denied signing blank checks and asserted that his signature appeared to be forged. e. Croker asserted that his signatures on checks were forged. f. All three Township Su ervisors confirmed that Tarlecki was not authorized to receive payments Trom the General Fund that she identified as compensation. KIT" 77. On July 24, 2015, Tarlecki issued herself no less than three checks from Township accounts in the amount of $665.99 each. a. Tarlecki issued herself checks (#2585 and #2587) in the amount of $665.99 each from the Payroll Fund. b. Tarlecki also issued herself check #2622 from the General Fund, in the amount of $665.99. C. There was no justification or approval by the Board of Supervisors for Tarlecki to receive three checks on the same date in the amount of $665.99 each. 2016: 78. Duringcalendar year 2016, Tarlecki issued herself 15 checks under the guise of "paycecks" from the General Fund. a. Tarlecki issued herself the checks from the General Fund while simultaneously receiving separate paychecks from the Payroll Fund. b. Tarlecki issued herself a total of $12,450.49 from the General Fund under the guise of "paychecks" during the 2016 calendar year. C. George and Croker confirmed that Tarlecki was never authorized to receive $12,450.49 in additional pay from the General Fund. 1 George and Croker confirmed that the General Fund was not to be used for employee payroll as the Township has a designated Payroll Account. 79. Tarlecki did not include her issuance/receipt of the additional payments she paid herself from the General Fund on any of the 2016 calendar year monthly Treasurer Reports. Tarlecki, 119-1004 P—ag—e-T a. Tarlecki deliberately did not report the payments she received from the General Fund to conceal her misappropriation of Township funds. RDW 80. During calendar year 2017 Tarlecki issued herself 23 checks from the General Fuind, under the guise of "paychecks." a. Tarlecki issued these payments to herself from the General Fund while simultaneously receiving paychecks from the Payroll Fund. b. Tarlecki issued herself atotal of $17,407.59 from the General Fund under the guise of "paychecks" during the 2017 calendar year. C. These payments were not authorized or approved by the Board of Supervisors. 81. Checks from the General Fund that Tarlecki issued to herself contain the signatures of Township Supervisors Croker and Tarlecki. a Croker reported that his signature appeared to be altered on checks issued to Tarlecki from the General Fund. 82. A review of Tarlecki's personal PSECU bank statements confirmed that the additional General Fund checks Tarlecki issued herself during calendar years 2015 through 2017 were deposited into her PSECU account. a. Tarlecki, in most instances, routinely used a First National Bank ATM to deposit the funds into her personal PSECU account. b. On some occasions Tarlecki deposited the funds directly with PSECU. C. None of the checks paid to Tarlecki from the General Fund were voided or otherwise unaccounted for. d Tarlecki endorsed each of the General Fund checks issued to her for calendar years 2015 through 2017 as the payee. 83. The chart below identifies checks that Tarlecki issued to herself from the General Fund under the guise of "paychecks" from calendar years 2015 through 2017, [and] her endorsement and disposition [of the checks]. Date Chk 4 Amount Payee AcGt Date Dep Funds Deposited Chk Memo Endorsed 7/24/2015 2622 $665.99 L Tarlecki General 7/25/2015 PSECU pay period 6/28/2015-7/11/2015 Yes 5131/2016 2720 $914.85 L Tarlecki General 6110/2016 PSECU pay period 04117/2016- 04/30/2016 Yes 5/31/2016 2721 $914,85 L.Tarlecki General 6/2/2016 PSECU pay period 0411712016- Yes I 1 04/3012016 6/13/2016 2729 $98122 L. Tarlecki General 6120/2016 PSECU pay period 04117/2016- 04/30/2016 Yes 6/21/2016 2250 $801.27 L.Tarlecki General 6121/2016 PSECU pay period 06/12/2016- 06/25/2016 Yes 7/11/2016 2730 $840.18 L. Tarlecki General 7/11/2016 PSECU pay period 06126/2016- 07/0912016 Yes 8/5/2016 2743 $876.08 L. Tarlecki General 815/2016 PSECU pay period 06/26/2016- 07/0912016 Yes 818/2016 2749 $90620 L. Tarlecki General 8/1512016 PSECU pay period 06126/2016- 07/09/2016 Yes 8/2512016 2750 $705.73 L. Tarlecki General 813012016 PSECU pay period 6126/2016- 07/0912016 Yes TarlieckG, 19-004 Page 2 9114/2016 2761 $887.13 L. Tarlecki General I 9/15/2016 PSECU pay period 09/0412016- 0911712016_ Yes 9130/2016 2762 $71828 L. Tarlecki General 913012016 PSECU pay period 09/0412016- 09/1712016 Yes 10/2412016 2770 $806.43 L. Tarlecki General 10/25/2016 PSECU pay period 09/04/2016- 09117/2016 Yes 10/28/2016 2771 $806.43 L. Tarlecki General 10/2912016 PSECU pay period 09/0412016- 1 09/1712016 Yes 1111012016 2772 $810.75 L. Tarlecki General 11112/2016 PSECU pay period 09/0412016- 09117/2016 Yes 10/412016 2783 $718.28 L. Tarlecki General 10/7/2016 PSECU pay period 09/04/2016- 09117/2016 Yes 1212812016 2795 $760.81 L. Tarlecki General 1212812016 PSECU pay period 09/0412016- 0911712016 Yes 2/612017 2809 $720.92 L. Tarlecki General 21612017 PSECU pay period 01/08/2017- 1 01121J2017 Yes 11112 0" 2819 $743.68 L. Tarlecki General 3/312017 PSECU pay period OV19/2017- 0310412017 Yes 201742821 $764.60 L. Tarlecki General 3110/2017 PSECU pay period 02/19t2017 0310412017 Yes 5112/2017 2823 $681.29 L. Tarlecki General 5/1212017 PSECU pay period 0411612017- 04/29/2017 Yes 3/2012017 2825 $76T01 L. Tarlecki General 3124/2017 PSECU pay period 03/05/2017- 03118/2017 Yes 3/20/2017 2826 $683.67 L. Tarlecki General 3128/2017 PSECU pay period 03/06/2017- 03118/2017 Yes 3/8/2017 2827 $684.71 L Tarlecki General 313012017 PSECU pay period 02/1912017- 03104/2017 Yes 4/3/2017 2828 $75434 L Tarlecki General 4/312017 PSECU pay period 0311912017- 0410112017 Yes 41312017 2834 $819.44 L.Tarlecki General 4RI2017 PSECU pay period 03/1912017- 1 04101/2017 Yes 4110/2017 2840 $801 , D4 L. Tarlecki General 4/1112017 PSECU pay period 04/0212017- 0411512017 Yes 411812017 2842 $713.66 L. Tarlecki General 4125/2017 PSECU pay period 04116/2017- 0412912017 Yes 411312017 2845 $713.66 L. Tarlecki General 411712017 PSECU pay period 04M212017- 04115/2017 Yes 4118/2017 2846 $822.66 L. Tarlecki General 4119/2017 PSECU pay period 04/16/2017- 04121912017 Yes 4128/2017 2849 $787,43 L Tarlecki General 4128/2017 PSECU pay period 04/1612017- 04/2912017 Yes 5124/2017 2859 $833.00 L Tarlecki General 5/2412017 PSECU pay period 04/1612017- 04129/2017 Yes 511512017 2860 $851.10 L. Tarlecki General 512212017 PSECU pay period 0411612017- 1 04129/2017 Yes 5/30/2017 2865 $651 ,34 L. Tarlecki General 513012017 1 PSECU pay period 04/1612017- 0412912017 Yes 61912017 2866 $771,03 L. Tarlecki General 6/1412017 PSECU pay period 05/2812017- 06110/2017 Yes 616/2017 2867 $854.99 L. Tarlecki General 61612017 PSECU pay period 05128/2017- 06110/2017 Yes 61912017 2868 $88613 L. Tarlecki General 612212017 PSECU pay period 05/28L9017- 06/10/2017 --- Yes 6126/2017 2873 $773,97 L Tarlecki General 6130/2017 PSECU pay period 06/1112017- 06/24/2017 Yes 7/6/2017 2878 $706.29 L. Tarlecki General 711 DJ201 7 PSECU pay period 06/11/2017- 06/24/2017 Yes 8/1412017 2891 $621.63 L, Tarlecki General 8/1 OP201 7 PSECU pay period 6116/2014-6/29/2014 Yes Total.... -$39,.52A.-07t- — - 84. Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public uhblpi c employment/public office to misappropriate no less than $30,524.07 in Township general funds, under the se of "payroll" for her own pecuniary benefit between calendar years 2015 aU2017.0 Tarr ecki, 19-004 Page THE FOLLOWING FINDINGS DETAIL TAR.ECKI'S USE OF THE AUTHORITY OF HER PUBLIC POSITION TO MISAPPROPRIATE TOWNSHIP FUNDS FROM THE GENERAL FUND THROUGH HER ISSUANCE OF CHECKS FOR UNDOCUMENTED SUPPLIES DURING CALENDAR YEARS 2016 AND 2017. 85. Between calendar years 2016 and 2017, Tarlecki issued herself checks totaling approximately $7,401.23 under the guise of "supply reimbursement" from the General Fund.. a. Tarlecki issued herself $2,625.13 as "supply reimbursement" from the General Fund during the 2016 calendar year. b. Tarlecki issued herself $4,776.10 as "supply reimbursement" from the General Fund during the 2017 calendar year. 86. There were no records or receipts maintained at the Township reflecting items or supplies that Tarlecki purports to have purchased for the Township. a. None of the checks issued to Tarlecki for supplies detail specific supplies or items Tarlecki purchased to warrant reimbursement from the General Fund. b. The Township's General Account funds confirmed that the Township would routinely issue checks to Staples, Coles Hardware, and the U.S. Post Office for office supplies during calendar years 2016 and 2017. 87. Tarlecki's personal PSFCU account and her personal Fulton Bank account did not evidence Tarlecki making purchases of supplies for the Township. 88. Tarlecki failed to list the "supply reimbursement" payments she issued to herself on any of the monthly 2016 calendar year Treasurer Reports. a. Tarlecki's failure to list the payments concealed her misappropriation of Township funds for her personal benefit. 89. The "supply reimbursement" checks Tarlecki issued herself during the 2016 and 2017 calendar years contained the signatures of Township Supervisors, including Tarlecki. 90. Tarlecki was not authorized or approved by the Board of Supervisors to receive $7,401.23 as reimbursement payments for supplies during the 2016 and/or 2017 calendar years. a. George and Croker have no knowledge of Tarlecki making purchases for supplies with her personal funds. b. When supplies were needed for Township use a check would routinely be issued for a specific vendor to purchase supplies for the Township. 91. Bank statements from the General Fund confirm that every check issued by Tarlecki to herself for "supply reimbursement" was deposited into an account controlled by Tarlecki. a. None of the General Fund checks Tarlecki issued to herself as "supply reimbursement" were voided or otherwise unaccounted for. b. Tarlecki endorsed each check as the payee. Tarlecki, 19-004 D ge-24 92. The chart below reflects the disposition of General Fund checks Tarlecki issued to herself under the guise of "supply reimbursement." Date Check# Amount Payee Acct Date Dep Funds Chk Deposited Memo Endorsed 12/612016 2780 $768.63 L. Tarlecki General 12f7/2016 PSECU Supplies Yes 12/1612016 2784 $928.25 L. Tarlecki _ General 12119/2016 PSECU Supplies Yes 12123/2016 2786 1 $928.25 L. Tarlecki General 12123/2016 PSECU Supplies Yes 2/13/2017 2818 $707.26 L. Tarlecki General 2/14/2017 Unk Supplies Yes 9/29/2017 2908 $585.35 L. Tarlecki General 9/29/2017 PSECU Supplies Yes 9/27/2017 2911 $783.49 L. Tarlecki General 9127/2017 PSECU Supplies Yes 10/5/20'17 2912 $1,200.00 L. Tarlecki General 10/5/2017 PSECU Supplies Yes 10/3/2017 2924 $1,500A0 L. Tarlecki General 10/10/2017 PSECU Supplies Yes Total $7 401.23 93. Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public employment/public office to misappropriate no less than $7,401.23 in Township general funds, under the guise of"supplyy reimbursement" for her own pecuniary benefit between calendar years 2016 and 2017. THE FOLLOWING FINDINGS DETAIL CHECKS TARLECKI ISSUED TO HERSELF DURING THE 2017 CALENDAR YEAR WiTH BLANK CHECK MEMOS OR MISCELLANEOUS TYPED ON CHECK MEMOS. 94. Tarlecki issued $17,279.61 in payments to herself during the 2017 calendar year from the General Fund. a. The memo portion of the checks was left blank or "miscellaneous" was typed in the memo [portion of the checks]. b. Tarlecki issued herself no less than 13 General Fund checks during the 2017 calendar year with blank memos and no less than 8 General Fund checks with "miscellaneous" typed in the memo portion of the checks. 95. The "miscellaneous" checks and "blank memo" checks were made payable in amounts similar to payroll checks Tarlecki issued herself during the 2017 calendar year. 96. The checks that Tarlecki issued herself during the 2017 calendar year containing blank and/or "miscellaneous" memo sections contained the signatures of Supervisors Croker and Tarlecki. a. Croker reported that his signature appeared to be forged on the numerous checks paid to Tarlecki. b. Croker denied signing or approving any checks for Tarlecki containing a blank or "miscellaneous" memo section. 97, The Township's Fulton Bank General Fund Account confirms that all checks Tarlecki issued herself containing a blank or "miscellaneous"' memo section were deposited into accounts controlled by Tarlecki, a. None of the General Fund checks were voided or otherwise unaccounted for. b. Tarlecki endorsed every check as the payee. Tarlecki, 19-004 age M 98. The chart below reflects the disposition of checks Tarlecki issued herself during the 017 calendar year containing a blank or "miscellaneous" check memo. Date Chk # Amount Payee Acet Date Dep Funds Deposited Chk Memo Endorsed 3116/2017 2822 W5.63 L. Tarlecki General 3/17/2017 PSECU *blank Yes 7/24/2017 2877 $863.63 L. Tarlecki General 7/2412018 PSECU `.blank Yes 7/2812017 2883 $863.60 L. Tarlecki General 7/28/2017 PSECU `blank Yes 8/2/2017 2884 $651.23 L. Tarlecki General 8/212017 PSECU rnisc Yes 8/1/2017 2885 $927.56 L. Tarlecki General 713l/2017 PSECU rnisc Yes 8/1412017 2892 $709.00 L. Tarlecki General 8/14/2017 PSECU *blank Yes 8/2512017 2893 $709.50 L. Tarlecki General 8/28/2017 PSECU *blank Yes 8/2912017 2894 $726.31 L. Tarlecki General 8/3012017 PSECU *blank Yes 911/2017 2901 $705.38 L, Tarlecki General 9/1/2017 PSECU misc Yes 9/1/2017 2902 $789.32 L, Tarlecki General 9/5/2017 PSECU 'blank Yes 9/13/2017 2903 $726.89 L, Tarlecki General 9113/2.017 PSECU misc Yes 9/15/2017 2904 $648.75 L. Tarlecki General 9/15/2.017 PSECU misc Yes 9/25/2017 2905 $975.62 L. Tarlecki General 9/25/2017 PSECU misc Yes 9/20/2017 2906 $943.81 L, Tarlecki General 9/21/2017 PSECU _ misc Yes 91812017 2909 $835.50 L, Tarlecki General 9/8/2017 PSECU "'blank Yes 101212017 10/13/2017 2910 2923 $658.25 $750.00 L, Tarlecki L. Tarlecki General General 10/2/2017 10/12/2017 PSECU PSECU mise `blank Yes Yes 10/13/2017 10/15/2017 10/17/2017 10/24/2017 2925 2926 2927 2928 $560.00 $769.63 $1,500.00 $1,300.00 L. Tarlecki L. Tarlecki L. Tarlecki L. Tarlecki General General General General 10/1312017 10/1612017 10/1712017 10/2512017 PSECU PSECU PSECU PSECU *blank *blank "blank *blank Yes Yes Yes Yes Total $17,279.61 99, Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public employment/public office to misappropriate no less than $17,279.61 through issuance of Township general funds Identified as "blank" or "miscellaneous" for her own pecuniary benefit during calendar year 2017. a. Tarlecki was not authorized to receive $17,279.61 in additional payments from the General Fund. THE FOLLOWING FINDINGS DETAIL CHECKS TARLECKI ISSUED TO HERSELF WITHOUT APPROVAL FROM THE BOARD OF SUPERVISORS FROM THE GENERAL FUND DURING THE 2017 CALENDAR YEAR FOR ALLEGED USE OF A BACKHOE, RENTAL OF EQUIPMENT AND USE OF A HOME COMPUTER, 100. During the 2017 calendar year Tarlecki issued herself no less than $7,575.00 through 10 checks drawn from the General Fund, under the guise that payments were reimbursements for use of personal equipment and computer. a. Tarlecki would document that the checks were reimbursement for the alleged use of her personal backhoe, rental of equipment, and use of her home computer. Tarlecki, 19-004 'P —ag-e-M 101. The 10 checks Tarlecki, in her capacity as a Township Supervisor and Township Secretary/Treasurer, issued to herself in 2017, which were labeled as equipment ment rental, backhoe or computer to give the appearance of a valid expenditure, included the following: (5) checks: backhoe use $3,950,00 (2) checks: use of equipment $1,125.00 U2checks: rental $1,850.00 (1) check: use of home q2Tputer A650.00 ­1" Total F$7 51 7­ 5­ .O0­ 102. The Township had no need to rent a backhoe from Tarlecki as the Township purchased a backhoe in December 2014. 103. Interviews and Township records confirm that Tarlecki never rented or utilized her privately -owned backhoe for any Township purpose. a. Interviews confirmed that Tarlecki never provided her backhoe to the Township or completed additional work with her backhoe for the Township. b, During a May 30, 2019, investigative interview James Tarlecki (Tarlecki's spouse) confirmed that his wife never rented a backhoe to the Township or performed additional work for the Township with their personal backhoe. C. Interviews confirmed that Tarlecki utilized the Township computer for official Township business. 104. The Township maintains no receipts or invoices reflecting Tarlecki incurring out of pocket expenses for the rental of equipment. a. Tarlecki was solely responsible for maintaining such records. b. Tarlecki was not entitled to any reimbursement. 105. The 10 checks issued by Tarlecki to herself that she labeled as reimbursement for use of her personal computer, backhoe, and rental of equipment during the 2017 calendar year were all signed by Tarlecki and Croker. a. Croker asserted to Commonwealth Investigators that his signature on many of the checks appeared to be forged. b. Croker never authorized Tarlecki to sign his name to checks that were issued to her. 106. Checks Tarlecki issued to herself that were labeled as reimbursements from the General Fund were deposited into Tarlecki's PSECU account. IOT All checks Tarlecki issued to herself for purported use of a backhoe, rental of equipment, and use of her home computer were paid from the General Fund Account at Fulton Bank. a. None of the checks that Tarlecki received from the General Fund were voided or otherwise unaccounted for. b. Tarlecki endorsed each check as the payee. Tairlecki, 19-004 Page 2 108. The chart below details the disposition of checks Tarlecki issued to herself from the General Fund that were labeled as use of a backhoe, rental of equipment, and use of her home computer. Date Chk # Amount Payee Acet Date Dep Fu Deposited nds Memo ChicMemo 11/812017 2936 $650.00 L. Tarlecki General 11/8/2017 PSECU use of home computer Yes 11/1612017 3/31/20-17 11/2312017 2941 2942 2946 $650.00 $1,500.00 $675.00 L Tartecki L. TadeGki L. Tarlecki General General General 11116/2017 1112212017 11128/2017 PSECU PSECU PSECU use of backhoe use of backhoe use of equipment Yes Yes Yes 9/17/2017 2947 $500.00 L. Tarlecki General 112/1/2017 PSECU use of backhoe Yes 12/3/2017 2948 $650.00 L. Tarlecki General 42/512017 PSECU use of backhoe Yes 12/712017 2949 $450.00 L. Tarlecki General 121712017 PSECU use of equipment Yes 1211412017 2954 $1,200.00 L. Tarlecki General 1211512017 PSECU rental Yes 12115/2017 2956 $650.00 L. Tarlecki General 12/1912017 PSECU rental Yes 12/6t2017 2957 $650.00 L. Tarlecki General 12/27/2017 PSECU use of backhoe Yes --- - Total - $7 ,575-,00.---- 109. Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public employment/public office to issue checks totaling $7,575.00 for issuance of Township general funds identified as "reimbursement(s)' for her own pecuniary benefit during calendar year 2017. a. Tarlecki purposely identified the payments as reimbursements to conceal the use of her public position for private gain. b, Tarlecki was never approved to receive the additional $7,575.00 in reimbursement payments from the General Fund for use of her personal computer, use of a backhoe, and rental of equipment. THE FOLLOWING FINDINGS DETAIL TARLECKI'S RECEIPT OF GENERAL FUNDS FOR MILEAGE REIMBURSEMENT PAYMENTS FROM CALENDAR YEARS 2014 THROUGH 2017. 110. Between calendar years 2014 and 2017 Tarlecki issued payments to herself of no less than $18,711.37 from Township financial accounts for purported mileage reimbursements. a. Tarlecki issued herself two mileage reimbursement checks nearly every month during the 2014 and 2015 calendar years. 1. During calendar year 2014 Tarlecki issued herself $5,084.16 in mileage reimbursements. 2. Tarlecki issued herself $4,574.30 in mileage reimbursement payments from the General Fund during the 2015 calendar year. b. Tarlecki's mileage claims were not approved by the Board of Supervisors for the 2014 and 2015 calendar years, C. Tarlecki routinely claimed mileage reimbursements clearly in excess of actual miles traveled while on official business. Tarlecki, 19-004 7a—g —en 111. Between calendar years 2014 and 2017, Tarlecki routinely claimed that she traveled over 400 miles a month for Township business. a. Typically, Tarlecki would travel to Fulton Bank in Shamokin, Pennsylvania to make deposits several times a month. The Fulton Bank Shamokin branch is approximately 19 miles round trip from the Township Office in Wilburton, Pennsylvania. b, George confirmed that Tarlecki often traveled to Bloomsburg Airport to have him sign blank checks. 1 Bloomsburg Airport is approximately 40 miles round trip from the Township Office. 112, The Township does not maintain mileage reimbursement forms or mileage logs. a. The Township has a total area of 20.50 square miles according to the United States Census Bureau. b. The Township [has 6.8 miles of Township -maintained roadway according to the 2019 Municipal) Fuels allocation report. 113. At all relevant times, during calendar years 2015 through 2017, Tarlecki operated a red Ford Escape with a Pennsylvania [license plate]. a. The vehicle was titled with the Pennsylvania Department of Transportation ("PennDOT") in August 2015. b. The registered owner of the vehicle is Tarlecki's husband, James Tarlecki, C. Tarlecki renewed the vehicle registration each March. 114, During the vehicle registration process PennDOT requires the registered owner to report the current odometer reading. 115, PennDOT records from calendar years 2015 through 2018 confirmed odometer readings reported by Tarlecki. 116. The chart below illustrates Tarlecki's reported registration odometer readings, total mileage, and the percentage of total miles Tarlecki claimed were business miles. Odometer Actual Miles Claimed Business % Claimed Business Dates Reading Traveled Miles Miles Aug 2015-Mar 2016 9,321 9,125 3,767 41% Mar 2016-Mar 2017 23,621 14,300 6,840 48% Mar 2017-Mar 2018 36,901 13,280 1 7,526 1 57% a. Tarlecki claimed 41% of the total miles she traveled from August 2015 until March 2016 as business miles. b. From March 2016 until March 2017 Tarlecki claimed 48% of the total miles she traveled as business miles. C. Tarlecki claimed that 57% of the total miles she traveled from March 2017 until March 2018 were business miles. Tarlecki, 19-0104 Vag —e M 117. Tarlecki traveled an average of 12,235 miles each year from August 2015 until March 2018. a. Tarlecki claimed that she traveled an average of 6,044 business miles each year. 118. From March 2018 until March 2019 Tarlecki traveled 14,747 miles. a. Tarlecki was not reappointed as Township Secretary in January 2018. b. Tarlecki traveled more miles after she was no longer employed with the Township. 119. During a May 30, 2019, interview with Commission Investigators, James Tarlecki stated that he maintained the vehicles that Tarlecki drove while she was employed with the Township. a. James Tarlecki was fully aware of the amount of mileage Tarlecki was traveling each month. b. James Tarlecki confirmed that his wife's business mileage claims were not accurate. 120. George and Devine signed the checks Tarlecki issued to herself as "mileage reimbursement" during the 2014 and 2015 calendar years. a. George and Devine admitted to signing blank checks that were presented by Tarlecki as being for mileage reimbursement. 121. In her capacity as a Township Supervisor, Tarlecki signed every mileage check issued to her during the 2016 and 2017 calendar years. a. George was the only other Township Supervisor to sign mileage reimbursement checks for Tarlecki during the 2016 calendar year. I George reported that Tarlecki would present blank checks for him to sign during the 2016 calendar year. b. George and Croker both signed mileage reimbursement checks for Tarlecki during the 2017 calendar year. C. George and Croker asserted that Tarlecki was not authorized to receive $4,09-2.59 in mileage reimbursements during the 2016 calendar ear and $4,970.32 during the 2017 calendar year even though they admittelly signed blank checks authorizing reimbursement. 122. The Township's General Fund Account held at Fulton Bank confirms that every check Tarlecki issued to herself as "mileage reimbursement" was paid from the account during calendar years 2014 through 2017. a. A review of canceled "mileage reimbursement" checks Tarlecki issued to herself between calendar years 2014 and 2017 confirmed that Tarlecki endorsed every check as the payee. 123. The chart below reflects the dis osition of the "mileage reimbursement" checks Tarlecki issued herself during calendar years 2014 through 2017. Tarlecki, 19-004 Page 3 � Date Check # Amount Payee Account Date Dep DepositFunds ed Chk Memo Endorsed 1/6/2014 2362 $21&211 L. Tarlecki General 112912014 PSECU 373 miles Yes 1/15/2014 2357 $237,51 L. Tarlecki General 111512014 Unk 406 (mileage) Yes 2/18/2014 2377 $184,86 L. Tarlecki General 211912014 PSECU 318 miles Yes 2/2412014 2378 $208,85 L. Tarlecki General 2/25/2014 PSECU 357 miles Yes 3/10/2014 2380 $138,65 L. Tarlecki General 3111/2014 PSECU 237 miles Yes 3125/2014 2387 $356.61 L. Tarlecki General 312612014 PSECU mileage mileage Yes 4/10/2014 1 2392 $268.52 L. Tarlecki General 4/1012014 PSECU 439 miles Yes 51512014 2398 $244.92 L. Tarlecki General 5/612014 PSECU 872 miles Yes 5/13/2014 2411 $16614 L. Tarlecki General 511512014 PSECU 284 miles Yes 5123/2014 2414 $126.54 L Tarlecki General 5119/2014 PSECU 219 miles Yes 619/2014 2422 $141.12 L. Tarlecki General 6110/2014 PSECU 230 miles/postage Yes 6/2612014 8/612014 812112014 9116/2014 2427 2443 2450 2463 $243.95 $366.80 $366.80 $250,38 L. Tarleckl L. Tarlecki L. Tarleckl L. Tarlecki General General General General 6/27/2014 81612014 8121/2014 9115/2014 PSECU PSECU PSECU PSECU 417 miles 427 miles 427 miles 347 miles Yes Yes Yes Yes 10/7/2014 2473 $201.24 L. Tarlecki k' General 10/8/2014 PSECU 314 miles Yes 10114/2014 2479 $187.79 L. Tarlecki General 10/1412014 PSECU 321 miles Yes 10130/2014 2481 $207.09 L. Tarlecki General 10/30/2014 PSECU 354 miles Yes 11110/2014 2496 $250,97 i L Tarlecki General 11112/2014 PSECU 429 miles Yes 1112112014 2498 $176,67 L Tarlecki General 11/23/2014 PSECU 382 miles Yes 12/9/2014 2515 $294.84 L, Tarlecki General 1219/2014 PSECU 504 miles Yes 12/15/2014 2522 $24510 L. Tarlecki General 12/2012014 PSECU 430 miles Yes Total $5,084.1 112/2015 2527 $244.53 L. Tarlecki General 1/5/2015 PSECU 419 miles Yes 1/2012015 2/4/2015 2242 2546 $205,92 $334,62 L. Tarlecki L. Tarlecki General General 1/20/2015 215/2015 PSECU PSECU 352 miles 572 miles Yes Yes 2/9/2015 2551 $344,62 L. Tarlecki General 2111/2015 PSECU 572 miles W Yes 314/2015 2564 $149,76 L. Tarlecki General 3/412015 PSECU 256 miles Yes 402015 4/312015 2625 2595 $32T45 $327,45 L. Tarlecki L. Tarlecki General General 413/2016 4/7/2015 PSECU PSECU mileageireimbursement mileage/reimbursement Yes Yes 4/1612015 2596 $225.81 L. Tarlecki General 4116/2015 PSECU 386 miles Yes 511912015 2560 $222.51 L. Tarlecki General 5119/2015 PSECU mileage book case Yes 5/1912015 7171201 5 7/29/2015 8/2112015 8/31/2015 2607 2621 2640 2657 2658 $222.51 $373.23 $174.33 $270.27 $21117 L. Tarlecki L. TarteGki L. Tartecki L Tarlecki L. Tarlecki General General General General General 612/2015 717/2015 812/2015 8121/2015 9/1/2015 PSECU PSECU PSECU PSECU PSECU mileage book case 638 miles 298 miles 462 miles 362 miles Yes Yes Yes Yes Yes 913012015 2667 $303.03 L. Tartecki General 10/2/2015 PSECU 518 miles Yes 11/2/2015 2648 $156.20 L. Tarfecki General 1113/2015 PSECU 207 miles yes Tarlecki, 19-004 7a—g—e-7 1111012015 2678 $259,16 L. Tarlecki General 11113/2015 PSECU 443 miles Yes 121412015 2688 $221.13 L. Tarlecki General 1216/2015 PSECU 378 miles Yes Total $4,574,30 112612016 2699 $338.72 L. Tarlecki General 1128/2016 PSECU 579 miles Yes 31112016 2708 $478.53 L. Tarlecki General 3/1120,16 PSECU 818 miles Yes 4115/2016 2689 $203.00 L Tarlecki General 4115/2016 PSECU 47 miles Yes 611012016 2723 $244.53 L. Tarlecki General 6110/2016 PSECU 418 miles Yes 7121/2016 2741 $314.73 L Tarlecki General 7122/2016 PSECU 538 miles Yes 9113/2016 2760 $273.20 L. Tarlecki General 9/15/2016 PSECU 467 miles Yes 9128/2016 2775 $198.90 L Tarlecki Payroll 9129/2016 PSECU 340 miles Yes 10/2112016 11122/2016 2769 2779 $255M $348,66 L. Tarlecki L. Tarlecki General General 10/22/2016 11/22/2016 PSECU PSECU 436 miles 596 miles Yes Yes 1211412016 2781 $499.01 L. Tarlecki General 12115/2016 PSECU 853 miles Yes 12f23/2016 2786 $928,25 L. Tarlecki General 12123/2016 PSECU sp mi Yes Total $4,082.59 1117/2017 2797 $462.74 L Tarlecki General 1117/2017 PSECU 791 miles Yes 112012017 2806 $379M L. Tarlecki General 1/30/2017 PSECU 648 miles Yes 3/23/2017 2824 $308.00 L. Tarlecki General 312312017 PSECU 570 miles Yes 4/27/2017 2847 $39949 L. Tarlecki General 4/27/2017 PSECU 733 miles Yes 511912017 2854 $279.18 L. Tarlecki General 5/1912017 PSECU 517 miles Yes 618/2017 2856 $336,42 L. Tarlecki General 6/8/2017 PSECU 623 miles Yes 6/26/2017 715/2017 1115/2017 12113/2017 2869 2875 2935 2953 Total $672.94 $79013 $618.58 $723.76 $4,970.32' L. Tarlecki L. Tarlecki L. Tarlecki L. Tarlecki General General General General 6/28/2017 715/2017 I I f7/2017 12/13/2017 PSECU PSECU PSECU PSECU 1143 miles 73.5 1136 miles 1329 miles Yes Yes Yes Yes Total $18,711 37 124. Tarlecki, as Township Secretary/Treasurer and/or a Township Supervisor, utilized the authority of her public employment/public office to misappropriate no less than $18,711.37 through issuance of Township general funds identified as "mileaqe reimbursement(s)' for her own pecuniary enefit during calendar yea 4 through 2017, THE FOLLOWING FINDINGS DETAIL TARLECKI'S MISAPPROPRIATION OF SEWER AUTHORITY FUNDS DURING THE 2014 CALENDAR YEAR. 125. From calendar years 2014 through 2017 Tarlecki, as the SewerAuthority Secretary, was responsible for marking sewer lines for PA One Call. a. Tarlecki marked sewer lines during her work hours as Township Secretary. 126. On May 30, 2014, Tarlecki issued herself Sewer Authority Fulton Bank check #267 in the amount of $5,540.00, a. The memo portion of check #267 contained the phrase "marking lines." Tarlecki, 19-004 P —59—e M b, Check #267 was deposited into Tarlecki's PSECU account on June 2,2014, 1. Tarlecki endorsed check #267 as the payee. C. Tarlecki deposited the check into a First National Bank ATM and [it] was immediately credited to her PSECU account. 127. Sewer Authority Board Members James Tarlecki, George, Devine, and Croker confirmed to Commission Investigators that Tarlecki was never authorized to receive a $5,540.00 payment for marking sewer lines. & Tarlecki was never approved by the Sewer Authority Board to receive additional compensation for marking sewer lines. b. Any compensation that Tarlecki received for markin sewer lines would have been part of her hourly pay as Township SecretaryW"reasurer. C, During the 2014 calendar ear Tarlecki's hourly rate of pay as Township Secretary/Treasurer was $T0.75. d. Tarlecki would have [needed to work] 515.34 hours at $10.75/hour marking lines to earn $5,540.00. 128, Tarlecki altered the June 2014 Sewer Authority Ledger to reflect that check #267 in the amount of $5,540.00 was paid to Thomas Insurance on June 20, 2014. a. Thomas Insurance provided insurance to the Township and the Sewer Authority. b. Thomas Insurance payment records obtained for calendar years 2014 and 2015 confirmed that Thomas Insurance never received a payment from the Sewer Authority in the amount of $5,540.00, 129. A review of the June 2014 Fulton Bank Sewer Authority account bank statement confirmed that check #267 was paid to Tarlecki in the amount of $5,540.00 on June 2,2014. 130. On June 13, 2013, Tarlecki was loaned approximately $5,000.00 from her uncle, Terry Lindner ("Lindner"). a. Tarlecki requested the loan from Lindner to pay the Township reconciliation for funds she misappropriated during the 2012 calendar year. 131. On June 14, 2013, Tarlecki submitted check #111 from her personal PSECU account to the Township in the amount of $3,600.00 one (1) day after receiving the $5,000.00 loan from Lindner. a, The Source of the $3,600.00 Tarlecki paid to the Township for the 2012 misappropriation was the loan from Lindner. 132. Tarlecki repaid Lindner's $5,000.00 loan through two (2) payments during the 2014 calendar year. a. PSECU check #125 in the amount of $100.00 was paid to Lindner on April 3, 2014, b. PSECU check #126 in the amount of $4,900.00 was paid to Lindner on June 3,,2014. Tarlecki, 19-004 Page 3 133. Tarlecki used the misappropriated funds she issued to herself from Sewer Authority check #267 to pay back Lindner on June 3, 2014, for the loan made in 2013. a. Tarlecki used the misappropriated Sewer Authority funds to pay back Lindner's $5,000.00 loan. 134. Tarlecki, as Secretary for the Sewer Authority, utilized the authority of her public employment/publico ice to misappropriate nAclless than $5,540.00 through issuance of Sewer Authority general funds identified as "line marking" for her own pecuniary benefit during calendar year 2014. THE FOLLOWING FINDINGS DETAIL THE DISPOSITION OF TOWNSHIP FUNDS MISAPPROPRIATED BY TARLECKI. 135. Tarlecki's personal PSECU bank account statements confirmed that Tarlecki would routinely travel during working hours to Turkey Hill locations in Mt. Carmel, Kulpmont, Ashland, Erysburg, Lavelle, and Shamokin to make purchases. 136. Tarlecki utilized the public funds she misappropriated to herself to make various purchases and cash withdrawals at various convenience stores. a. Between calendar years 2014 and 2017, Tarlecki made a total of $229,442.37 in purchases and cash withdrawals at various Turkey Hill and Friendly Choice convenience stores. 1 Between calendar years 2014 and 2017 Tarlecki spent approximately $148,651.08 at various Turkey Hill locations. Z During calendar year 2017 Tarlecki spent approximately $4,178.00 at various Friendly Choice convenience stores. 1 Between calendar years 2014 and 2017 Tarlecki withdrew an additional $76,613.29 in cash from her PSECU account. b. Tarlecki would regularly purchase large quantities of $5.00 Pennsylvania Lottery scratch N, tickets at various Turkey Hill and Friendly Choice locations. C. The chart below illustrates Tarlecki's expenditures from her PSECU account from calendar years 2014 through 2017. 7 e of Transaction 2014 2016 2016 2017 Total Turkey,H111 Purchases $ 29,373.54 $ 36,311.57 $ 33,810.37 $ 49,155.60 $ 148,651.08 Friendly Choice Purchases $ $ $ - $ 4,178.00 $ 4,178.00 ATM Withdrawals $ 22,210.03 $ 18,15615 $ 76,613,29.. $ 46,896.04 $ 55,03&58 $ 56,020,40 $ 71 490.35 229,442.37 137. Tarlecki used the misappropriated funds from the Township to purchase large quantities of Pennsylvania Lottery tickets. 138. Tarlecki purchased such a large quantity of lottery tickets daily from convenience stores that she was known locally as "Lotto Linda." 139. The chart below reflects Pennsylvania Lottery winnings Tarlecki received from calendar years 2014 through 20f 7. Tarlecki, 119-004 e Date Location Amount Won 1/2/2014 Turkey Hill - Hazelton Tw $1,000.00 1/612014 Turkey Hill - Kul mont $1,000.00 8/8/2014 Turkey Hill - Mt. Carmel $1,000.00 12/3/2014 Turkey_t1ill -- Mt. Carmel $110.00 12/3/2014 1/30/2015 Turkey Hill - Mt. Carmel Turkey Hill - Mt. Carmel $400.00 $1,000.00 5/21/2015 6/12/2015 7/9/2015 11/5/2015 119/2016 Turkey Hill - Mt. Carmel Turkey Hill - Shamokin Turkey Hill - Mt. Carmel Turkey Hill - Mt. Carmel Ro ers Food - Schuylkill Haven $1,000.00 $1,000.00 $1 000.00 $10,000.00 $1,000.00 3131/2016 Turkey Hill _ Kul mont $1„000M 6/2/2017 Ro ers Food - Ashland $1,000.00 Total Winnings $20 510.00 140. Tarlecki's Pennsylvania Lottery winnings were from playing $5.00 crossword scratch off tickets between calendar years 2014 and 2017. 141. Tarlecki received approximately $20,510.00 from playing the Pennsylvania Lottery from calendar years 2014 through 2017. 142. Tarlecki won approximately $100,000.00 in March 2011 playing the Pennsylvania Lottery. THE FOLLOWING FINDINGS RELATE TO ALLEGATIONS REGARDING TARLECKI'S FAILURE TO FILE STATEMENTS OF FINANCIAL INTERESTS FOR CALENDAR YEARS 2014 THROUGH 2O17. 143. On January 28, 2019, a Statement of Financial Interests compliance review was conducted at the Township Office by a State Ethics Commission Investigator. a. The purpose of the compliance review was to review the Statement of Financial Interests forms that were completed and on file for all Township officialslemployees required to file. 144. The compliance review found that Tarlecki failed to file a Statement of Financial Interests for calendar years 2014, 2015, 2016, and 2017. a. Tarlecki was required to file a Statement of Financial Interests form as a Township Secretary and Treasurer from calendar years 2014 through 2017 and as a Member of the Board of Supervisors for calendar years 2016 and 2017. b. Tarlecki was required to file a Statement of Financial Interests form as the Sewer Authority Secretary during calendar years 2014 through 2017 and as a Member of the Sewer Authority Board during calendar years 2015 through 2017. 145. Tarlecki received the following salary as a Township Supervisor during calendar years 2016 and 2017. Tarlecki, 19-004 146. Between calendar years 2014 and 2017 Tarlecki misappropriated approximately ip $146,677.44 from the Township and the Sewer Authority. a. Tarlecki used her positions as Township Secretary, Township Treasurer, Township Supervisor, and Sewer Authority Secretary to issue herself checks that she was never approved for. 147. Tarlecki, as Township Secreta7[misappropriate/obtain] and/or a Township Supervisor, utilized the authority, of her public emp oyment/public office to no less than $ 47,206.62 in Township funds for her own pecuniary benefit between calendar years 2014 and 2017. a. Payroll Account Misappropriation: 2014: $12,991 ZO 2015: $26,053.47 2016: $14,083.22 2017: $ 6,517,97 Frei MINIMS, M. b. General Fund Account Misappropriation: 2015: $ 665.99 2016: $12,450.49 2017: $17,407.59 Total: $30,5124.07 C. Supply Reimbursement Misappropriation* 2016: 2,625.13 2017: 14,776.10 Total: $7,401.23 d. 2017 General Fund Misappropriation (Blank/Miscellaneous) Total $17,279.61 e. 2017 Equipment Rental Misappropriation Total: $7,575.00 f. Mileage Reimbursement Misappropriation: 2014: $5,084.16 2015- $4,574.30 2016': $4 082.59 2017: $4,970.32. Total* $18,711.37 91 Sewer Authority General Misappropriation, T,airlecki, 19-0�04 Page 3, Total: $5,540.00 h. Township Supervisor Salary: 2016- $222.38 2017- $306.80 Total: $529.18 Total of [Misappropriated/obtained] Township Funds received by Tarlecki: $147,206.62 Ill. DISCUSSION: In her capacities as the Secretary and Treasurer ("Secretary/Treasurer") for Con ngham Township ("Township"), Columbia County, from January 2006 throuph January 2018, and as a Township Supervisor during 2016 and 2017, Respondent Lind -a Tarlecki, also referred to herein as "Respondent," during Tarlecki, Respondent "Tarlecki," was a pUblicofficial/publicem loyee subject to the provisions of the Public Official and Employee Lit'hics Act ("Ethics Act"�, 65Pa.C.S. §1101 et sue. The allegations are that Tarlecki, in her capacity(ies) as a Township Supervisor and/or the Township Secretary/Treasurer, violated Sections 1103(a), 11 04(a), 1104(d), and 1105(a) of the Ethics Act whenshe utilized the authority of her public office and/or m eployment for a private pecuniary benefit, when she converted public monies of the To wnship for her personal use by issuing payments toherself which were neither approved nor authorized by the Township Board of Supervisors; and when she failed to file Statements of Financial Interests ("SFIs") for calendar years 2013 through 2017 in association with her public office/employment. Pursuant to Section 1103(a) of the Ethics Act, a public official/public employee is prohibited from engaging in conduct that constitutes a conflict of interest: § 1103. Restricted activities (a) Conflict of interest. —No public official or Public employee shall engage in conduct that constitutes a conflict of interest. 65 Pa,C.S. § 1103(a). The term "conflict of interest" is defined in the Ethics Act as follows: § 1102. Definitions "Conflict" or "conflict of interest." Use by a public official or public employee of the authority of his office or employment or any confidential information received through his holding public office or employment for the private pecuniary benefit of himself, a member of his immediate family or a business with which he or a member of his immediate family is associated. The term does not include an action having a de minimis economic impact or which affects to the same degree a class consisting of the general public or a subclass consisting of an industry, occupation or other group which includes the public official or public employee, a member of his immediate family or a business with which he or a Tarlecki 19-004 0 a �6_e TV member of his immediate family is associated. 65 Pa.C.S. § 1102. Section 1103(a) of the Ethics Act prohibits a public official, ublic employee from using I?C i the authority of public office/employment or confidential information received by holding such a public position for the private pecunia benefit of the public official/public employee himself, any member of his immediate fam7iy, or a business with which he or a member of his immediate family is associated. Section 11 04(a) of the Ethics Act provides that each public official/public employee must file an SH for the preceding calendar year, each year that he holds the position and the year after he leaves it. Section 11 04W) of the Ethics Act provides that no public official shall be allowed to take the oath of o ice, or enter or continue upon his duties, nor shall he receive compensation from public funds, unless he has filed an SFI as required by the Ethics Act. Section 1105(a) of the Ethics Act provides that the SH shall be filed on the form prescribed by this Commission; that all information requested on the form shall be provided (o the best of the knowledge information and belief of the filer; and that the form shall be signed under oath or equivalent affirmation. We shall now summarize the facts pertaining to this case. Given Tarlecki's failure to file an Answer to the Investigative Complaint, the facts as averred b the Investigative Com laint are deemed admitted by Tarlecki. 65 Pa.C.S. � 1108(e�; 51 Pa. Code § 21.55(l). We parenthetically note that although the Fact Findings as deemed admitted by Tarlec 1 provide that she used the authority of her public position as the Secretary for the Conyngham Township Sewer Authority ("Sewer Authority') to misap ropriate$5,540.00in SewerAuthority funds in 2014 (see, Fact Findings 125 through 134), tha particular conduct by Tarlecki is not encom asse—d—within the allegations in the instant matter and may not form the basis for the finding of a violation of Section 11 03(a) of the Ethics Act. Background The Township is governed by a three -Member Board of Supervisors (the "Board of Supervisors"). Township Supervisors receive $44.10 per month or approximately $529.20 per year for their attendance at monthly meetings of the Board of Supervisors. The Township maintains a Township Payroll Account ("Payroll Fund") and a Township General Fund Account ("General Fund") at Fulton Bank, N.A. ("Fulton Bank"). All Township checks are produced by the Township Secretary. Signature authority over Township financial accounts rests with the Board of Supervisors. All Payroll Fund checks and General Fund checks are signed with the live signatures of two Township Supervisors. The Board of Supervisors has never used a signature stamp/facsimile stamp. Tarlecki served as the Township Secretary/Treasurer from January 2006 through January 2018. Tarlecki's duties included, in pertinent part, completing payroll for Township employees, payingmonthly Township bills, and preparing ly Treasurer Reports and presenting resenting them almonthil meetings of the Board of Supervisors. arleckiwas allowed 25 hours per week as a part-time Township Secretary/Treasurer, and additional hours or overtime were to be approved by the Board of Supervisors. After Township Auditors Susan Darrah (Darrah") and Ed Sulick ("Sulick") completed the Township audit for calendar year 2010, they determined that Tarlecki, as the Township Secretary/Treasurer, had issued herself payments totaling $20,158.64 from the Payroll Tarlecki, 19-0104 P—ag—e—M Fund and the General Fund that were not approved by the Board of Supervisors.' In April 2011, Darrah and Sulick met with TownshiSupervisors Karl George ("George") and James Tarlecki ("Mr. Tarlecki"), who Tarlecki'sisspouse, to present their findings. Geor e and Mr. Tarlecki advised Darrah and Sulick that Tarlecki would provide repayments for t9e Township funds that she had issued to herself without authorization. George and Mr. Tarlecki instructed Darrah and Sulick not to inform anyone else of their findings with regard to Tarlecki's misappropriation of Township funds. Upon completion of the Township audits for calendar years 2011 and 2012, Darrah and Sulick discovered that Tarlecki had again used her public position to issue herself pa yments a ments. from Township funds without the approval of the Board of Supervisors. When Darrah and Sulick met with George an informed him that Tarlecki had again misappropriated Township payroll funds, George informed them that Tarlecki would provide repayment for the misappropriated funds. Despite the findings of the Township Auditors, the Cird of Supervisors took no action against Tarlecki, and she was permitted to continue to hold her position as the Township Secretary/Treasurer. Re: The Removal of the Elected Township Auditors In April 2014, Tarlecki informed Darrah that the elected Township Auditors would no loner be completing the yearly Township audits and that a private accounting firm would be Nred to complete the audits. Based upon Tarlecki's statement to Darrah, no Township audit was completed for calendar year 2013. On October 28, 2014, Tarlecki contacted Edwin Ebling ("Ebling") of Jones & Company, CPA ("f Jones & Company") to inquire about auditing services or �he Township. Tarlecki was the only representative from the Township who communicated with Ebling. On December 8, 2014, the Board of Supervisors voted to approve a Township resolution 10 dissolve the elected Township Auditors and hire Jones & Company to conduct the annual Township audits. Although Mr. Tarlecki, as Chairman of the Board of Supervisors, signed a Letter of Engagement for Jones & Company to perform the auditing services, the Letter of Engagement was never mailed to Jones & Company. Tarlecki, as the Township Secretary/Treasurer, was responsible for providing the Letter of Engagement to Jones Company. On January 18, 2015, Tarlecki telephoned Ebling to cancel a meeting that was scheduled for the review of financial records and the assessment of the Township's auditing needs. Tarlecki, who was responsible for making arrangements for Jones & Company to complete the yearly Township audit, never returned telephone calls that Ebling made to -her in attempts to reschedule the meeting or to ascertain whether the Township was still in need of auditing services. Tarlecki deliberately failed to meet with Jones Company in order to conceal her continued use of her public position to issue payments to herself without approval of the Board of Supervisors. Jones & Company never provided any auditing services to the Township. The Board of Supervisors failed to ensure that audits of the Township's finances were being completed each year and audits of the Township's finances were not completed for calendar years 2013 tkrough 2017. Re: Tarlecki's Service as a Township Supervisor and Subsequent Township Audits for Callendar'Years ZU1 3 1 hrough 2017 In November 2015, Tarlecki was elected to serve a two-year term as a Township Supervisor. Tarlecki served as a Member and Chairperson of the Board of Supervisors in 2016 and 2017. In 2016, Township resident John Mee ("McGee") attended monthly meetings of the Board of Supervisors and publicly questioned the Board of Supervisors 11 We m not rule urin Tarlecki's activities prior to 2014 due to the statute of limitations of the Ethics Act, See, 65 %.C.S. § V 08(m). Tarlecki, 19-004 Fa—g-e-P with regard to the lack of audit reports being made available to the public, Tarlecki, in her capacity as a Township Supervisor, assured McGee that Jones Company was in the 1� e Township process of completing t audits, After McGee requested and received Treasurer Reports for 2016, he observed that transfers of $7,000.00 from the General Fund to the Payroll Fund each month were in excess of what was needed to fulfill payments to Township employees. In February 2017, McGee submitted a Right -to -Know request to the Township in an effort to obtain financial and payroll records. During a March 2017 meeting of the Board of Supervisors, Township Solicitor David Noon Noon") advised McGee that his Right -to - Know request was lawful and that I Township should provide the requested records. Tarlecki was not satisfied with Noon's response to McGee regarding his Right -to -Know request and wanted to keep Noon from gaining knowledge of her activities to prevent the Township audits, so she contacted Noon following the March 2017 meeting and informed him that he was no longer to attend monthly meetings of the Board of Supervisors. As a result of Tarlecki's actions, McGee was never provided with the Township financial records that he had requested, Tarlecki lost the November 2017 election and was no longer on the Board of Supervisors after January 2018. The Board of Supervisors did not reappoint Tarlecki as the Township Secretary/Treasurer during the January 2018 reorganizational meeting. Prior to being removed from er position as the Township Secretary/Treasurer, Tarlecki deleted payment records from the Township Office computer and removed/destroyed Township i nancial records in order to concealher misappropriation of Township funds. McGee was elected as a Townsh Supervisor in November 2017, and upon taking office in January 2018, he requested all ?Cwnship bank statements and, financial records from Fulton Bank for calendar years 2013 through 2018. Upon reviewing the Township bank records, McGee determined that Tarlecki had issued numerous ndguplicate payroll checkswithin the same pay eriods. McGee presented his findings to the Board of Supervisors in early 2018, and'McGee and Township Supervisor Martin Wolf requested that Township Auditors Darrah and Shelly McGinley ("McGinley") complete audits of the Payroll Fund and the General Fund from calendar years 2013 through 2017. Upon completinthe Township audits for calendar years 2013 through 2017, Darrah and McGinley identifiednumerous payroll checks that Tarlecki had issued to herself which were paid on the same date and within the same pay period. Darrah and McGinley also found that during various years, Tarlecki: (1) issued herself payroll checks from the General Fund at the same time that she was issuing herself payrolf checks from the Payroll Fund; (2)issued herself reimbursement checks for supplies with no receipts or justification for the payments; (3) issued herself Multiple checks with blank check memos or with miscellaneous" typed on the check memos; (4) issued herself checks for equipment reimbursement, rental of equipment, and use of her home computer where there were no authorizations by the Board o�supervisors for such payments or records that such rentals or use of equipment occurred; and (5) issued herself multiple mileage reimbursement checks that were excessive and exceeded her miles traveled. From 2014 through 2016, Tarlecki, as the Township Secretary/Treasurer, had routinely traveled to Bloomsburg, Pennsylvania, to have George sign blank Payroll Fund and General Fund checks, many of which Tarlecki used to issue unauthorized payments to herself. Tarlecki, as a Towns TO h* Supervisor signed General Fund checks that she used to issue unauthorized payments herself in M16 and 2017. Re: Tarlecki's Misappropriation of Township Payroll Funds Township employees are paid on a bi-weekly basis. Tarlecki, as the Township Secretary/Treasurer, used QuickBooks software to produce payroll checks for eac Township employee, including herself, for each payroll period. From 2014 through 2017, Tarlecki, 19-004 �Pag�e 4 Tarlecki issued herself multiple checks with the same pay date, pay period, and dollar amount under the guise that the payments were compensation. In 2014, Tarlecki issued herself 47 payroll checks from the Payroll Fund. Tarlecki received additional Township payroll funds totaling $12,991.50 as a result of issuing herself 21 additional payroll checks that had not been approved by the Board of Supervisors. In 2015, Tarlecki issued herself 63 payroll checks from the Payroll Fund. Tarlecki received additional Township payroll funds totaling $26,053.47 as a result of issuing herself 36 additional payroll checks that had not been approved by the Board of Supervisors. In 2016, Tarlecki issued herself 45 payroll checks from the Payroll Fund, Tarlecki received additional Township � ayroll funds totaling $14,083.22 as a result of issuing herself 19 additional payroll checks that had not been approved by the Board of Supervisors. In 2017, Tarlecki issued herself 36 pa roll checks from the Payroll Fund. Tarlecki received additional Township payroll funds tolling $6,517.97 as a result of issuing herself 10 additional payroll checks that had not been approved by the Board of Supervisors. Per admitted Fact Findings of the Investigative Complaint, from 2014 through 2017, Tarlecki utilized the authority of her public employment/public office as the Township Secretary/Treasurer and/or a Township Supervisor to misappropriate no less than $59,646.16 in Township payroll funds for her own pecuniary benefit, See, Fact Findings 70,74. Re: Tarleckli's Misappropriation of Township General Funds During 2015, 2016, and 2017, Tarlecki routinely issued herself payments from the General Fund, which were not authorized by the Board of Supervisors and which she issued in the guise of "paychecks" in order to conceal that she was issuingi unapproved payments to herself. On July 24, 2015, Tarlecki issued herself a check e amount of 6 5.99 from the General Fund. During 2016, Tarlecki issued herself 15 checks, totaling $12,450.49, from the General Fund. In 2017, Tarlecki issued herself 23 checks, totaling $17,407.59, from the General Fund. From 2015 through 2017, Tarlecki utilized the authority of her public p em 10 ment/public office as the Township Secretary/Treasurer and/or a Township ownship Supervisor visor to misappropriate no less than $30,524.07 in Township general funds, under the guise of "paychecks," for her own pecuniary benefit. See, Fact Findings 83, 84. In 2016 and 2017, Tarlecki issued herself checks from the General Fund under the uise of "suply reimbursement." In 2016, Tarlecki issued herself three checks, totaling 2,625,13, from the General Fund as "supply reimbursement," In 2017, Tarlecki issued herself five checks, totaling $4,776 10 from the General Fund as "supply reimbursement," None of the checks issued to Tarlecki detailed specific supplies or items purchased to warrant reimbursement from the General Fund. Tarlecki was not authorize or approved by the Board of Supervisors to receive the aforesaid payments totaling $7,401.23 as reimbursement for supplies. From 2016 through 2017, Tarlecki utilized the authority of her public employment/public office as the Township Secretary/Treasurer and/or a Township Supervisor to misappropriate no less than $7,401.23 in Township general funds, under the guise of "supply reimbursement," for her own pecuniary benefit. See, Fact Findings 92, 93. In 2017, Tarlecki issued herself thirteen General Fund checks where the memo portion of each check was left blank and eight General Fund checks where "miscellaneous" was typed in the memo portion of each check. The "blank memo" and "miscellaneous" checks that Tarlecki issued to herself totaled $17,279.61 . Tarlecki was not authorized to receive these additional payments from the General Fund. Tarlecki, 19-004 Page 4 Also in 2017, Tarlecki issued herself ten General Fund checks, totaling $7,575.00, under the guise that the �ayments were reimbursement for the rental of equipment and the use of her personal bac, hoe and home computer. However, Tarlecki was not entitled to any reimbursement for out-of-pocket expenses for the rental of equipment, she never rented or utilized her privately -owned bacvhoe for any Township purpose, and she utilized the Township Computer for official Township business. Tarlecki was never approved to receive $7,575.00 in reimbursement payments from the General Fund for the purported rental of equipment and use of her personal backhoe and home computer. From 2014 through 2017, Tarlecki routinely claimed mileage that was clearly in excess of actual miles traveled while on official business, The Township has a total area of 20.50 square miles. Tarlecki typically traveled to Fulton Bank in Shamokin, Pennsylvania, several times a month to make deposits, and she often traveled to Bloomsburg Airport to have George sign blank checks. The Fulton Bank branch in Shamokin is approximately 19 miles round trip from the Township Office, and Bloomsburg Airport is approximately 40 miles round trip from the Township Office. Tarlecki routinely claimed that she traveled over 400 miles a month for Township Tusiness. Tarlecki issued herself mileage reimbursement checks from the General Fund that totaled as follows: (1) $5,084.16 for 2014; (2) $4,574.30 for 2015; (3) $4,082.59 for 2016; and (4) $4,970.32 for 2017. Tarlecki utilized the authority of her public employment/public office as the Township Secreta [Treasurer and/or a Township Supervisor to misappropriate no less than $18,711 �7 in Township funds for purported mileage reimbursement from 2014 through 2017. See, FactFindings 110, 124. Re: The Disposition of Township Funds Misappropriated by Tarlecki Tarlecki utilized the Township funds that she misappropriated to make purchases and cash withdrawals at convenience stores. Tarlecki regupz rl� purchased large quantities of $5.00 Pennsylvania Lottery scratch off tickets at various Turkey Hill and Friendly Choice convenience stores. Tarlecki purchased such a large quantity of lottey tickets daily from convenience stores that she was known locally as "Lotto Linda." From 014 through 2017, Tarlecki made purchases that totaled $148,651.08 at Turkey Hill locations, purchases that totaled $4,178.00 at Friendly Choice locations, and ATM cash withdrawals that totaled $76,613.29. Re: Tarlecki's Failure to File SFIs Tarlecki, as the Township Secretary/Treasurer, was required to file SFIs for calendar years 2014 through 2017. Tarlecki was also required to file SFIs in her capacity as a Township Supervisor from 2016 through 2017, On January 28, 2019, a Natei Ethics Commission Investigator conducted an FI compliance review at the Township Office, The compliance review determined that Tarlecki failed to file SFIs for calendar years 2014, 2015, 2016, and 2017. Tarlecki, as a Township Supervisor, received a salary totaling $222.38 in 2016 and $306.80 in 2017. Tarlecki received Township Supervisor compensation in the total amount of $529.18 at a time when she did not have the required SFIs on file with the Township. We must now determine, based upon the record, whether the actions of Tarlecki violated the Ethics Act. As we apply the facts to the allegations, due process rejuires that we not depart from the allegations. Penns v v. DepartFnent of State, 594 A,21 845 (Pa. Commw. Ct. 1991). A violation of the r-tics Act must be based upon clear and convincing proof. 65 Pa.C.S. § 11 08(g). Clear and convincing proof is "so 'clear, direct, weighty, and convincing as to enable the trier of fact to come to a clear conviction, without hesitance, of the truth of the precise facts in issue."' In Re: Charles E.D.M., 550 Pa. 595, 601, 708 A.2d 88, 91 (1998) (Citation omitted). Based upon the Fact Findings as deemed admitted by Tarlecki, it is indisputable that Tarlecki violated Section I I 03(a) of the Ethics Act. Tarlecki, 19-0104 Page 4 Tarlecki used the authority of her public office and/or public employment as the n h iSe e a 'Treasu rer and/or a Township i Supervisor when: (1) in 2014, she failed Letter f Engagement ementto ' w s cr t ' r 0 ' d deliberately a signed the Township nsh ip an 8 c of t_ t l si awn e a en s To ones & Company for the performance of o auditing t n services e f failed to meet with Jones & Company in provide u I c or 0 order 0 once her issuance m to herself without approval of the Board of 7 ,she I P �01 r r u S upe i or - (2 from 20 4 through t not . issued herself additional pa roll checks, totaling ota I i Supervisors; s 0 s' s a 0 � 59 1 a had n b ng n _ less s fh n _ _1646� 1 61 t been arproved by the Board of Wervisors; (3) from 2015 thrOLIV 2017, she issued herself s from the General Fund, totaling no less than $30,524. 7, that were issued under the guise the payments were "paychecks" and that had not been approved by the Board of Supervisors; (4) in 2016 and 2017, she issued herself checks from the General Fund, totaling $7,401,23, that were issued under the guise the payments were "supply reimbursement and that had not been approved by the Board of Supervisors; (5) in 2017, she issued herself "blank memo" and "miscellaneous" General Fund checks that totaled $17,279.61 in additional payments she was not authorized to receive; (6) in 2017, she issued herself General Fund checks, totaling $7,575.00, under the guise that the payments were reimbursement for the Durpo ed rental of equipment and use of her personal backhoe and home computer, (7) from 2014 through 20W she issued herself mileage reimbursement checks, totaling no less than $18,711.3 for claimed mileage in excess of actual miles traveled; General ) from 2014 through 2016, she had Supervisor George sign blank Payroll Fund and Fund checks, many of which she used to issue unauthorized payments to herself; and (9) in 2016 and 2017, she signed, as a Township Supervisor, General Fund checks that she used to issue unauthorized payments to herself. Based upon the Fact Findings deemed admitted by Tarlecki, Tarlecki realized a private pecuniary benefit of no less than $141,137.44 when she utilized the authority of her pu blic office and/or public employment to misappropriate the aforesaid Township funds for her personal use. With each element of a violation of Section 11ONa) established, we hold that Tarlecki violated Section 1103(a) of the Ethics Act, 65 Pa.C.S. § 1103(a), when she utilized the authority of her public office and/or employment for a private pecuniary benefit, when she converted public monies of the Township for her personal use by issuing payments to herself which were neither approved nor authorized by the Township Board of Supervisors. As for the allec a it* , ions regarding Tarlecki's SFIs, we hold that Tarlecki violated Section 1104(a)/1105(a) of the RhicsAct, 65 Pa.C.S. 1104(a)/1105(a), when she failed to file SFIs for calendar years 2013 through 2017 in association with her public office/employment. In contravention of Section 1104(d) of the Ethics Act, 65 Pa.C.S. § 1104(d), Tarlecki received Township Supervisor compensation in the total amount of $529.18 at a time when she did not have the required SFIs on file with the Township. Section 1107(13) of the Ethics Act, 65 Pa.C.S. § 1107(13}, ,, empowers this ffi Commission to order restitution in instances where a public ocial,�Ipu c employee has obtained a financial gain in violation of the Ethics Act. Tarlecki is ordered to make payment of restitution in the amount of $141,137.44 payable to Conyngham Township and forwarded to this Commission by no later than the thirtieth (30th) day after the mailing date of this adjudication and Order. Tarlecki shall be required to disgor e the Townshipl Supervisor compensation that she received when she did not have tC required SFIs on file with the Township. Accordingly, Tarlecki is directed to make an additional payment in the amount of $529.18 Fayable to Conyngham Township and forwarded to this Commission by no later than the thirtieth (30th) day after the mailing date of this adjudication and Order. Tarlecki, 19-004 Page 4 Tarlecki is directed to not accept an reimbursement, compensation or other payment from the Township representing a fullorpartial reimbursement of the aforesaid restitution or disgorgement of her Towns -hip Supervisor compensation. To the extent she has not already done so, Tarlecki is directed to file complete and accurate SFIs for calendar years 2013 throu h 2017 with the Township, through this h Commission, by no later than the thirtieth 30tday after the mailing date of this adjudication and Order. Non-compliance will result in the institution of an order enforcement action. Additionally, this case will be referred to the District Attorney of Columbia County, Pennsylvania, the Pennsylvania Attorney General, and the Internal Revenue Service for review and appropriate action. IV. CONCLUSIONS OF LAW: 1 As the Secretary and Treasurer for Conyngham Township ("Township"), Columbia County, from January 2006 through January 2018, and as a Township Supervisor during 2016 and 2017, Respondent Linda Tarlecki ("Tarlecki") was a public official/ublic employee sub ecttoth rovisions of the Public Official and Employee Ethics Act ("Ethics Act"), V Pa.C.S. 71 101 et sue. 2. Tarlecki violated Section 11 03(a) of the Ethics Act, 65 Pa.C.S. § 11 03(a), when she utilized the authority of her public office and/or employment for a private pecuniary benefit, when she converted public monies of the Township for her personal use by issuing payments to herself which were neither approved nor authorized by the , Township Board of Supervisors. 1 Tarlecki violated Section 1104(a)/1105(a) of the Ethics Act, 65 Pa.C.S. § 1104(a)/1105(a), when she failed to file Statements of Financial Interests for calendar years 2013 through 2017 in association with her public office/employment. 4. In contravention of Section 11 04(d) of the Ethics Act, 65 Pa.C.S. § 11040, Tarlecki received TownshipSupervisor compensation in the total amount of $ 9.18 at a time when she did have the required Statements of Financial interests on file with the Township. 5. Restitution and disgorgementof the Township Supervisor compensation that Tarlecki received w, en she did not have the required Statements of Financial Interests on file with the Township are warranted. In Re: Linda Tarlecki, File Docket: 19-004 Respondent Date Decided, 10/31/19 Date Mailed: 11/4/19 ORDER NO. 1763 Linda Tarlecki ("'Tarlecki"), in her capacitI(ies) as the Secretary and Treasurer for Conyngham jownship ("Townshi "), Columbia County and/or a Township Supervisor, violated Section '�of the Public Official and Employee Ethics Act ("Ethics Act"), 65 Pa.C.S. § 1103(a), when she utilized the authority of her public office and/or employment for a private pecuniary benefit, when she converted public monies of the Township for her personal use b issuing payments to herself which were neither approved nor authorized by the by Board of Supervisors. 2. Tarlecki violated Section 1104(a)/1105(a) of the Ethics Act, 65 Pa.C.S. § 1104(a)11105(a), when she failed to file Statements of Financial Interests for calendar years 2013 through 2017 in association with her public office/employment. 1 In contravention of Section 11 04(d) of the Ethics Act, 65 Pa.C.S. § 1104 dq; Tarlecki received Township Supervisor compensation in the total amount of $ 9.18 at a time when she Znothaverequired Statements of Financial Interests on file with the Township. 4. Pursuant to Section 1107 13� of the Ethics Act, 65 Pa-C.S. 1107�13), Tarlecki is directed to snake paymen� M,13 44 payable to Conyngharn Township and forwarded to the Pennsylvania State Ethics Commission by no later than the thirtieth (30th) day after the mailing date of this Order. 5. Tarlecki is directed to make an additional payment in the amount of $529.18 parable to Cogy gham Township and forwarded to the Pennsylvania State thics Commission by no later than the thirtieth (30th) day after the mailing date of this Order, with such payment representing the disgorgement of the Township Supervisor compensation Tarlecki received at a time when she did not have the required Statements of Financial Interests on file with the Township. 6. Tarlecki is directed to not accept any reimbursement, compensation or other payment from the Township representing a full or partial reimbursement of the aforesaid restitution or disgorgement of her Township Supervisor compensation. 7. To the extent she has not already done so, Tarlecki is directed to file complete and accurate Statements of Financial Interests for calendar years 2013 through 2017 with the Township through the Pennsylvania State Ethics Commission, by no later than the thirtieth (�30th) day after the mailing date of this Order. 8. Non-compliance with Paragraph 4, 5, 6, or 7 of this Order will result in the institution of an order enforcement action. This matter will be referred to the District Attorney of Columbia County, Pennsylvania, the Pennsylvania Attorney General, and the Internal Revenue Service for review and appropriate action.