DETROIT – The construction of a brand new riverfront park in Detroit won’t stop because of the millions of dollars stolen from the nonprofit behind the project, officials said this week.
The Detroit Riverfront Conservancy is working to to stabilize operations after its former Chief Financial Officer William Smith was federally charged with bank and wire fraud after reportedly stealing millions from the nonprofit. During a fundraiser this week, nonprofit leaders told donors that they’re trying to get back every dime of the $40 million allegedly stolen by Smith.
Fundraising season kicked off with an event unlike any other for the Detroit Riverfront Conservancy simply because of the position Smith is accused of putting it in. Smith allegedly siphoned $40 million from the nonprofit for over a decade, spending that money on airline tickets, hotels, limos, clothing, jewelry, luxury goods, and more.
“We’ve all been betrayed by a bad guy we trusted who has now been charged by federal prosecutors,” Matt Cullen, board chairman, said to donors at a fundraising party on Monday, June 10. “The consequences of that betrayal are devastating on all of us.”
The investigation into how Smith allegedly pulled it off is ongoing. The conservancy has already replaced the CEO, who recently resigned.
Despite the theft, the nonprofit vowed to continue its mission.
The nonprofit is already midway through developing a massive new park on the west side of the Detroit Riverfront. That project now hangs in the balance because of those depleted coffers.
But Cullen and the entire team vowed to continue the work. Karen Slaughter Duperry, a former General Motors executive, has been brought in to oversee construction.
“Remember who you are building this for,” Duperry said to the crowd of supporters and donors. “You’re building it for kids who can barely get to Cedar Point. You’re building it for kids for whom Disney Land is out of the question. You’re building it so that they can have fantasies and that they can have great childhood memories.”
The conservancy has vowed that the new park will open in 2025.
Watch Mara MacDonald’s full report on this below.