Stevens Gate House - from Wikipedia Commons
The New York Times has coverage of this event today amd here are two brief excerpts from the article:
The institute’s trustees tripled Dr. Raveché’s salary over a decade, to $1.1 million last year, higher than presidential salaries at Harvard, M.I.T. and Princeton, and, the lawsuit says, Stevens used multiple sets of books to hide its deteriorating financial condition.
“We found extensive misconduct going back years, a pattern of misinformation to the board and misuse of the endowment,” the attorney general, Anne Milgram, said in an interview this month. “Stevens Institute needs real reform.”
..........
Jack B. Siegel, a Chicago lawyer who follows nonprofit cases nationwide, called the allegations against Stevens “the case of the year” because, unlike previous campus scandals focusing on presidents’ salaries or spending, the case against Stevens outlines a sweeping list of accusations.
“You’ve got allegations involving excessive compensation, but also abuse of the endowment, keeping two sets of books, misleading the board and forgiveness of below-market-rate loans,” Mr. Siegel said. “The entire process of oversight looks tainted. You rarely see a case this extreme.”
Here is the entire NY Times article by Sam Dillon:
NY Times - Stevens Is Beset by Accusations
My comment: It is now apparent that two major employers in Hoboken are now in some financial trouble. They are the Stevens Institute and the HUMC. The process of justice must take its course but the evidence uncovered so far could mean larger financial problems down the line for the university. How much more bad financial news can Hoboken take? ◦
