Files show execs at nonprofit netted $17M with deal
Four former executives of a Missouri nonprofit netted $4 million each through a deal in which the nonprofit paid more than $47 million to a publicly traded company over 10 years, records show.
One of the four, Keith Noble, pleaded guilty Tuesday to a federal charge of not reporting a felony. Noble was chief clinical officer of Alternative Opportunities, which provided mental-health, substance-abuse and other taxpayer-funded services in several states, including Arkansas. Noble also was a member of the nonprofit's "Resource Team."
Noble's plea agreement includes accusations that unnamed colleagues stole, embezzled and misapplied more than $30 million. Among the claims addressed in court documents is the $17 million-plus sale of the nonprofit's management company, or "Entity A," to a publicly traded corporation, or "Company A."
Records filed with the U.S. Securities and Exchange Commission show the description of Company A matches Providence Service Corp., a Stamford, Conn., holding company, and Entity A is W.D. Management LLC, which was jointly owned by Noble and four other Alternative Opportunities executives, known as the "Resource Team."
Read more: https://www.arkansasonline.com/news/2018/sep/16/execs-at-nonprofit-profited-with-deal-2/