Felony charges filed against former Tippecanoe Township trustee

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Published: Saturday, 11 February 2017 18:08

Charges, including theft and forgery, against a former Tippecanoe Township Trustee have been filed in Pulaski Superior Court by the Pulaski County Prosecutor's office.

Chief deputy prosecutor Crystal Brucker Kocher announced in a report issued late Wednesday (Feb. 8) that following an investigation, the charges had been levied against Kathleen Keller, 44, Monterey.

The charges include felony counts of theft, forgery and official misconduct; and a misdemeanor charge of "violation of itemization and certification rule."

Keller served as the Tippecanoe Township Trustee from Jan 1, 2011 until she resigned last spring on April 26, 2016. Following a caucus, Martie White was elected to replace Keller as trustee.

Kocher reports that on Aug. 2 last year, the prosecutor's office received a request from the new trustee for an investigation due to "irregularities discoverd in the Tippecanoe Township accounts."

Irregularities were allegedly discovered following Keller's resignation when White took office and began her accounting and review of the township's budget.

On Aug. 4, two days after White's appeal to the prosecutor's office, a request was issued for an official criminal investigation by the Indiana State Police. As part of this investigation, the Indiana State Board of Accounts completed an audit and special investigation report relevant to the periods of Jan. 1, 2012 to April 26, 2016 showing undocumented or unsupported disbursements from township accounts totaling approximately $148,513.14.

The prosecutor's office reports that included in this total are unsupported cash disbursements payable to and endorsed by Keller between Jan. 1, 2013 and March 31, 2016 totaling $101,050; undocumented township fund payments made to the former trustee totaling $12,532.43; payments made to vendors from Jan. 1, 2012 to April 26, 2016 without supporting documentation totaling $21,832.94; unallowable utility, maintenance and rent expenses totaling $7,302; payments of penalties, interest and late fees totaling $251.27; as well as additional expenses associated with the costs of the special investigation assessed against the State of Indiana of $5,544.

Also discovered in the course of the investigation, as assisted by the current township trustee, was a bank loan issued on Nov 12, 2015. This loan was allegedly used by Keller to pay fire service expenses and to conceal the misappropriation of funds. This loan was allegedly obtained by Keller with a forged signature of a volunteer fire department board member, according to Kocher's released report.

The prosecutor's office notes that the investigation is ongoing.