An Oregon weekly newspaper has had to lay off its entire staff and halt print after 40 years because its funds were embezzled by a former employee, its editor said, in a devastating blow to a publication that serves as an important source of information in a community that, like many others nationwide, is struggling with growing gaps in local news coverage.
About a week before Christmas, the Eugene Weekly found inaccuracies in its bookkeeping, editor Camilla Mortensen said. It discovered that a former employee who was “heavily involved” with the paper’s finances had used its bank account to pay themselves $90,000 since at least 2022, she said.
The paper also became aware of at least $100,000 in unpaid bills — including to the paper’s printer — stretching back several months, she said.
A company large enough would have internal auditors so that would probably be unnecessary. But best practice is to have segregation of duties and layers of authority, so that no one person has too much power. (source, am an auditor)