BY SHERI McWHIRTER
CHEBOYGAN -- An Indian River woman faces felony charges for allegedly embezzling $40,000 from a nonprofit medical group in Cheboygan County.
Vicky Lee Johnson, 56, is charged with uttering and publishing, embezzlement of more than $20,000, larceny of more than $20,000 and receiving and concealing stolen property. Johnson was arraigned in 89th District Court and is set to appear Feb. 14 in 53rd Circuit Court in Cheboygan.
She faces up to 14 years in state prison, if convicted.
Johnson worked as a bookkeeper for the Northeast Michigan Osteopathic Association and allegedly bilked the nonprofit professionals group out of about $40,000 between January 2005 and June 2007, said Detective Sgt. Ron Nightingale, of the Michigan State Police post in Cheboygan.
Officials with the association noticed a discrepancy in their bank accounts after an annual continued training session for physicians held last summer on Mackinac Island, said Dennis Paradis, executive director of the Michigan Osteopathic Association, the parent organization for the local chapter.
"It just started people asking questions," Paradis said.
The problem was discovered in December when the state and the chapter reconciled bills and revenues from the conference. Police began to investigate last month.
Dr. Keith Wright of Rogers City is president of the northeast Michigan chapter, but could not be reached for comment.
The tally for missing money could increase, as auditors are now looking through another four years of records, Nightingale said.
Johnson admitted to police that she has financial problems, the reason police contend she allegedly drafted and forged checks made out to her for amounts in the thousands.
She could not be reached at her home for comment. Johnson's defense attorney, Gregory Rotter of Indian River, also could not be reached.
Johnson is free on a $20,000 personal recognizance bond after she surrendered to police. Cheboygan County Prosecutor Catherine Castagne issued an arrest warrant for her last week.
Police said it's another case in an upward trend of large embezzlement crimes across northern Michigan. Several other counties have pending or recently closed embezzlement cases involving large dollar figures.
"Common sense would tell us that in tough economic times, people are under more financial stress and may be tempted to get involved in embezzlement. Informally, it seems there's been a spike in these crimes lately," Nightingale said.
