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This story online at: http://www.pcusa.org/pcnews/2006/06617.htm
06617 November 22, 2006
Guatemalan Presbyterian Church reports funds missing
PC(USA) Guatemala funds frozen until audit is completed
by Jerry Van Marter
LOUISVILLE * The Iglesia Evangelica Nacional Presbiteriana de Guatemala (IENPG * National Evangelical Presbyterian Church of Guatemala) has notified the international mission offices of the Presbyterian Church (U.S.A.) of an apparent misappropriation of funds by an IENPG official.
The misappropriation within one of the PC(USA)'s most historic partners was first suspected last year when various programs and institutions of the IENPG, as well as PC(USA) presbyteries and congregations in mission partnerships with the IENPG, reported that program funds earmarked for Guatemala were not reaching their destination in a timely manner.
PC(USA) officials expressed concern to the Executive Committee of the IENPG and in May of this year, the Synod of the IENPG appointed a commission to investigate the finances of the denomination after its former treasurer was not re-elected.
Shortly after the May synod assembly, Stanley DeVoogd, PC(USA) area coordinator for Central American and Mexico, informed the IENPG Executive Committee that, effective immediately, all transfers of funds from the PC(USA) to the IENPG would be frozen until the situation was clarified and appropriate assurances of financial accountability and transparency were forthcoming.
"We are saddened by these revelations," said DeVoogd, "but also grateful that we have been able to isolate the problems that we've found over the past year."
DeVoogd told the Presbyterian News Service that he asks that Presbyterians continue to support the IENPG in prayer, "especially for the many programs and institutions of the IENPG whose ministry has been negatively impacted by the loss of these resources and for the leadership of the IENPG as they try to be faithful stewards of the resources entrusted to their care."
In June, the Synod commission hired an accounting firm to perform an audit of the IENPG, its programs and institutions. This audit is still going on. The IENPG has instructed the auditors to prepare a report to be presented to a special assembly of the synod in January.
A preliminary review by international mission staff in Louisville confirmed that substantial funds remitted by the PC(USA) and designated to specific IENPG programs and institutions had yet to be received by the designated recipients.
"Until the audit is complete," said DeVoogd, "we won't know what funds were disbursed properly, what funds failed to reach designated programs and what funds might have gone missing."
In late August, DeVoogd, and PC(USA) regional liaison Tracey King met for the first time with the IENPG Executive Committee that had been elected at the May synod assembly. At that time, the Rev. Iván Paz, who had recently been elected IENPG executive secretary, officially advised DeVoogd that funds were missing and that an audit was underway.
DeVoogd said the PC(USA) staff will closely monitor reports from the Guatemalan church and will make a report to the March meeting of the PC(USA)'s General Assembly Council.
"The IENPG Executive Committee has accepted responsibility for the missing funds and will do everything possible to find them and get them to the designated projects," DeVoogd said.
In a Sept. 29 memo Paz stated that the new Executive Committee had worked with local banks to freeze the assets of the IENPG while they complete the legal procedures necessary to change the signatures on the denomination's accounts.
The PC(USA) has been involved with the IENPG in a variety of ministries, including community health, disaster assistance, evangelism, literacy, communications, women's ministries and theological education.
Seven PC(USA) mission workers serve in Guatemala and 12 PC(USA) presbyteries maintain partnerships with eight presbyteries of the IENPG. Over the years, the IENPG has also received a number of Young Adult Volunteers and frequent mission delegations from presbyteries and local churches in the U.S. The Guatemala Mission Network links U.S. Presbyterians who have a mission interest in Guatemala.
For more information about PC(USA) involvement in Guatemala and the work of the IENPG, visit the PC(USA) Guatemala Web site [http://www.pcusa.org/worldwide/guatemala/].
Information for this story was furnished by Pat Cole, Worldwide Mission in Partnership communications officer.
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