After leaders at St. John’s Lutheran Church in Carnegie, Pennsylvania, realized that some accounting discrepancies were growing “larger and larger,” they confronted a lifelong member who had access to church funds. Now William Reed, 73, has been charged with stealing almost a quarter-million dollars from the church’s Good Samaritan account.
Money from that account, of which Reed had sole control, was intended to help neighbors in need. Instead, according to the criminal complaint, Reed moved $224,000 from that account to his personal American Express account.
Reed held several finance-related positions at the church for the past 14 years, authorities said. When board members pointed out “small accounting issues” to Reed, he allegedly offered assurances that “everything was in order, and there was nothing to worry about,” the criminal complaint noted. And church leaders took him “at his word.”
New Accounting System Stopped Treasurer’s Stonewalling
Board members at St. John’s told investigators Reed would “stonewall” when they tried to discuss financial discrepancies. He also refused to provide requested documents, they said, especially ones related to the Good Samaritan fund’s checking account.
Two years ago, when St. John’s switched to a new accounting system, additional concerns arose. After Reed began closing some church accounts, board president Rob Windhorst confronted him and said they would contact police.
According to the complaint, Reed then emailed board members, admitting in May to theft and misappropriation. He also allegedly met with one board member and offered to pay the church $20,000 to “make this go away.”
The church gave police seven years of bank statements, and authorities also accessed 800 pages of documents via search warrant. Investigators pinpointed $224,000 in payments that Reed made to himself from church funds, the complaint stated.
Reed, who turned himself in Aug. 26, is out on bail and scheduled to appear in court Sept. 5. His attorney said he’s reviewing the case, which involves charges of theft by unlawful taking, receiving stolen property, and misapplication of entrusted property.
Longtime Member Allegedly ‘Violated’ Church’s Trust
Windhorst, the board president, said, “It’s very unfortunate for the church that somebody that was so respected and trusted has violated that trust with our church.” The Good Samaritan account, Windhorst said, was “set up to help people in need in the local community, and it was also a fund that was meant to be very discreet.”
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St. John’s removed Reed from the church and enacted preventative measures to avoid future theft. Windhorst said although the church is in good financial shape, the situation is distressing. “All of the good works that [Reed’s] family has done for decades is now going to be tarnished by what he’s done here,” he said. “Our church is praying for everybody in the congregation and the Reeds as well.”
