CHARLOTTE — The former principal of Charlotte Catholic High School has pleaded guilty to one felony count of misappropriating more than $160,000 from accounts associated with the school.
Gerald Healy appeared Sept. 4 before U.S. District Magistrate Judge David Cayer. During a hearing at the federal courthouse in Charlotte that lasted less than 20 minutes, Healy admitted to mishandling $161,399 from the non-profit Charlotte Catholic High School Foundation, using checks drawn out of a Bank of America account from April 2007 to February 2014 to pay for personal expenses.
He was sentenced April 19.
According to the U.S. attorney's charges, Healy "misappropriated both the School's and the Foundation's money for his personal use ... by writing or having his assistant write checks to him. On at least four occasions, Healy forged the name of his assistant on Foundation checks made payable to himself." (Read the U.S. Attorney's full bill of information against Healy.)
Healy resigned as principal on May 20, 2014, following a separate audit of school finances by the Diocese of Charlotte that uncovered unspecified "questionable disbursements" from high school accounts.
Specifics were not disclosed at the time, but a June 17, 2014, letter from the Charlotte Catholic High School Foundation, an independent fundraising organization that provides scholarships and supplies for the high school, said Healy had been "making personal use of funds held by the foundation."
Healy's attorneys had insisted that the foundation had no written procedures for use of the funds in the account, and that the money had been used to help members of the Charlotte Catholic High School community.
In the plea hearing, Assistant U.S. Attorney Kevin Zolot said Healy "has been completely cooperative" throughout the federal investigation that followed the audit of the funds.
Zolot said he is recommending probation, but a specific sentence has yet to be determined. Healy could have faced up to 10 years in prison and a $250,000 fine if convicted. He remains free on a $25,000 unsecured bond until his sentencing hearing.
Outside the courtroom before the hearing, Healy hugged a small group of supporters and wiped away tears as he signed documents. In the courtroom he gave no statement, but Healy's attorneys issued the following written statement after the hearing: "Jerry Healy is deeply sorry for his actions and the hurt and disappointment he caused. His mishandling of funds resulted in the end of a remarkable 44 years in the Charlotte Catholic school system, during which time he transformed the lives of countless students and families with his guidance, generosity, and compassion. He expresses his deep gratitude for the love and support provided by so many within the ... Charlotte Catholic High School family."
In a statement issued Sept. 4, diocesan officials said the case "is an unfortunate incident that will not impact the instruction, tuition or fees of Charlotte Catholic High School students or any Mecklenburg Area Catholic School."
The Charlotte Catholic High School Foundation is an independent organization which is not managed, administered or controlled by the diocese, the statement said. The investigation of the foundation's finances had no impact on the school's education program or tuition accounts, noted David Hains, diocesan director of communication.
"As we approach the Year of Mercy, as designated by Pope Francis, we as Catholics ask for prayers for all who were hurt by this unfortunate situation," the diocese's statement also said.
The investigation began in 2013 after the foundation lost its 501(c)(3) tax-exempt status after failing to report its finances to the Internal Revenue Service in 2008, 2009 and 2010.
The IRS notice led the foundation to investigate its internal financial practices, a review which it said found "a significant number of irregular and unauthorized transactions" by Healy and another former school employee who also worked with the foundation, according to the June 17, 2014, letter to donors.
"Those transactions included disbursement of Foundation funds to each other and to family members," the letter stated, as well as "payments of expenses unrelated to the Foundation" that included "personal travel abroad, monies re-directed from Foundation accounts to a personal checking account, unexplained cash disbursements from Foundation accounts and checks payable to families who did not have students at CCHS."
The foundation reported to the IRS that the amount lost, misappropriated or unauthorized totaled more than $88,000, but it acknowledged that "the ultimate dollar amount is not known at this time."
The foundation regained its tax-exempt status from the IRS in June 2014.
Foundation officials alerted diocesan leaders in March 2014 to the financial discrepancies. Deloitte & Touche then conducted an independent audit of the high school's finances, at the request of diocesan officials, in an "abundance of caution," diocesan officials said at the time.
"In addition to reviewing all CCHS accounts, their work included interviewing personnel and reviewing electronic files," diocesan schools superintendent Dr. Janice Ritter said in a letter to Charlotte Catholic High School parents following Healy's resignation. "Key staff at the diocese, along with the hired consultants, took the time to carefully review the information so that we would be certain that follow-up steps taken would be prudent, fair, and fact-based.
"The auditors did uncover instances of questionable disbursements from accounts belonging to CCHS; these transactions are separate and apart from Charlotte Catholic High School Foundation accounts."
Charlotte Catholic was founded in 1955. The school is continuing its strong tradition of faith and academic excellence under the leadership of new Principal Kurt Telford.
— Patricia L. Guilfoyle, editor
CHARLOTTE — Think all your parish priest does is say Mass on Sundays and holy days? Think again.
Appointed by the bishop, pastors are ultimately responsible for every aspect of parish life – from celebrating the sacraments and teaching the faith to managing the finances and repairing the roof. While each molds his role as servant leader or shepherd to best serve the needs of his particular flock, some parts of the job are universal, laid out in Church law. Primarily, his mission is "exercising the pastoral care of the community committed to him under the authority of the diocesan bishop in whose ministry of Christ he has been called to share, so that for that same community he carries out the functions of teaching, sanctifying, and governing, also with the cooperation of other presbyters or deacons and with the assistance of lay members of the Christian faithful..." (Canon 519)
In fact, Church law is pretty specific when it comes to the personal qualities of a pastor. For one, "he is to be outstanding in sound doctrine and integrity of morals and endowed with zeal for souls and other virtues..." (521 §2)
And his duties are explicitly described as follows:
"A pastor is obliged to make provision so that the word of God is proclaimed in its entirety to those living in the parish; for this reason, he is to take care that the lay members of the Christian faithful are instructed in the truths of the faith, especially by giving a homily on Sundays and holy days of obligation and by offering catechetical instruction. He is to foster works through which the spirit of the gospel is promoted, even in what pertains to social justice. He is to have particular care for the Catholic education of children and youth. He is to make every effort, even with the collaboration of the Christian faithful, so that the message of the gospel comes also to those who have ceased the practice of their religion or do not profess the true faith." (528 §1)
"The pastor is to see to it that the Most Holy Eucharist is the center of the parish assembly of the faithful. He is to work so that the Christian faithful are nourished through the devout celebration of the sacraments and, in a special way, that they frequently approach the sacraments of the Most Holy Eucharist and penance. He is also to endeavor that they are led to practice prayer even as families and take part consciously and actively in the sacred liturgy..." (528 §2)
And, Church law states, "In order to fulfill his office diligently, a pastor is to strive to know the faithful entrusted to his care. Therefore he is to visit families, sharing especially in the cares, anxieties, and griefs of the faithful, strengthening them in the Lord, and prudently correcting them if they are failing in certain areas. With generous love he is to help the sick, particularly those close to death, by refreshing them solicitously with the sacraments and commending their souls to God; with particular diligence he is to seek out the poor, the afflicted, the lonely, those exiled from their country, and similarly those weighed down by special difficulties. He is to work so that spouses and parents are supported in fulfilling their proper duties and is to foster growth of Christian life in the family." (529 §1)
"A pastor is to recognize and promote the proper part which the lay members of the Christian faithful have in the mission of the Church, by fostering their associations for the purposes of religion. He is to cooperate with his own bishop and the presbyterium of the diocese, also working so that the faithful have concern for parochial communion, consider themselves members of the diocese and of the universal Church, and participate in and sustain efforts to promote this same communion." (529 §2)
The list goes on, but we don't have the space here to include all of a pastor's myriad duties.
So how does all this work in reality?
The Catholic News Herald recently took its cameras to St. Vincent de Paul Church in Charlotte to capture "a day in the life" of its pastor, Father Mark Lawlor. Ordained to the priesthood in 1995, Father Lawlor has served as pastor at St. Vincent de Paul Church since 2003. He graciously allowed us to film him all day on Aug. 4 – the feast of St. John Vianney, patron of priests – to help illuminate a portion of what all of our priests do for us each day, and how much they love serving Christ and His Body, the Church.
— Catholic News Herald