A nonprofit organization that runs a transitional shelter for homeless people in Kalaeloa is suing a former employee it accuses of stealing more than $700,000 from the organization.
Waianae Community Outreach filed its lawsuit against former program director Laura Pitolo in Circuit Court on Thursday. WCO claims Pitolo stole $762,046 in operational and client trust funds from 2007 to 2010.
Pitolo stole the money by making purchases and ATM cash withdrawals using WCO’s debit card and by writing unauthorized checks from the organization’s bank accounts to herself as well as to a family member and a friend, according to the lawsuit.
WCO Executive Director Sophina Placencia discovered part of the alleged theft in May 2010 when she found some unauthorized checks on a day Pitolo didn’t show up for work, said WCO lawyer Christy L. Ho. She said Placencia immediately called for a meeting of the board, which fired Pitolo.
At that time, WCO was aware of the theft of about $69,000. Placencia filed a police report based on that amount in August 2010.
Ho said Placencia met with a detective twice that month and in the second meeting provided him all the documentation she had on the alleged theft. She said Placencia didn’t talk to the detective again and thought police were pursuing the case against Pitolo.
When the company that had been doing WCO’s accounting and bookkeeping tried to contact the detective in April, it learned that the three-year statute of limitations on the theft claim was about to expire. Placencia then called the Honolulu Police Department and talked to a lieutenant who told her authorities were waiting on a grand jury indictment, Ho said.
To date, no criminal charges have been filed against Pitolo.
An HPD spokeswoman said that after Placencia filed the report in August 2010, the detective called her twice requesting additional information, which she never provided. The spokeswoman said the detective informed Placencia that she could also file a civil claim against Pitolo.
Ho said WCO discovered the alleged theft of the additional money within the past month.
Pitolo could not be reached for comment.
Ho said the organization is doing what it can to recover from the losses. She said WCO continues to conduct business as usual and that the theft has not hampered its mission.
WCO has 215 residents in its shelter.
