How Do You Manage? Case Study: Ratting Out the Boss

By Michael Rogers -- Library Journal, 09/01/2005

Carol Jean Packer ran a tight ship. She dotted her i's and crossed her t's. Packer, director of the multibranch Noel Public Library, was a hands-on woman acquainted with every job, from online research to changing toner cartridges in the PC printers. She had her fingers on the pulse of everything that went on in her library. She even balanced the books, which she stored under lock and key in her office, keeping a sharp eye on every penny spent.

Assistant director Tracy Caspary was minding the store while Packer spent three days with politicos at the state capital meeting on library funding. At the end of each day, Caspary stored the total fine receipts in a strong box in Packer's office and recorded the amount in a ledger that was locked along with the cash in a security cabinet.

As Caspary replaced the strong box and ledger on the second night, she noticed a second ledger pushed far back in the cabinet. Unlike the book in which she had been recording the daily fines, this second book had three columns: an initial figure in one, a deduction in the second, and a final sum in the third. In between the pages of the ledger were envelopes of receipts for items ranging from clothing to appliances to dinners at the city's poshest restaurants.

The ledger also had other envelopes containing check stubs all made out to Packer from the libraries account. As she thumbed the pages, Caspary felt a crumb of suspicion take shape in her mind. "Can't be," she thought. She turned another page, the dates going back further and further. The crumb grew larger. Caspary opened the ledger she had used to the previous week's date and then the corresponding date in the second ledger. She studied page after page in both books as the crumb swelled into a boulder. For an hour, she checked and rechecked the figures. She photocopied pages from both books, plus the check stubs and receipts, put them in her purse, locked up the ledgers, and went home. After a half-eaten dinner and two glasses of wine, Caspary told her husband, Jim, she had a headache and went to bed.

The next day, Caspary invited reference librarian Dorothy Nielson, her best friend, to lunch. Instead of their usual haunt, Caspary stopped at a place a few more miles up the road.

"Something wrong, Tracy? You don't seem yourself," Nielson said when they were seated.

Caspary hesitated a moment. "Yes, something's very wrong."

"What's matter, are you sick? Is everything all right with Jim?" asked a concerned Nielson.

"Nothing like that," Caspary said. "Carol is stealing from the library."

"What are you talking about?"

"After tallying up the branch fines last night, I found a second ledger locked in Carol's office," Caspary said, taking the copied pages from her purse and flattening them out on the table. "It has a figure with a deduction and then the final sum. The final sums correspond to the figures in the first ledger. Carol is recording the actual intake in one book, subtracting a small portion, and then copying the lesser amount in the official ledger that goes to the city accountant at the end of the year. I also found checks made out to Carol and receipts for items that are the exact amount as the checks. She's using library money to buy things for herself."

"Oh my God," Nielson said, inspecting the sheets. "I can't believe it. Carol? She's been the director for what, like 20 years? It's her life's work. Why would she do this?"

"Maybe she figured since she kept the books, she'd never get caught," said Caspary.

"So what are we going to do?" asked Nielson.

"I don't know," Caspary said, shrugging her shoulders. "I just don't know."

"No one likes a whistleblower," Nielson said.

"That's true. And think of the scandal this will cause the library if it gets out. It won't be good for our budget, not to mention that Carol will go to prison. She probably deserves to, but I like her. She's been a mentor to me, and I don't want to be responsible for ruining her life."

"Well, we have to do something," stated Nielson.

"I know," admitted Caspary, "but do we go to the cops or whoever you go to and rat her out? Or should we confront her and tell her to stop now and we'll keep quiet or else? What should we do?"

By Doris J. Van Kampen, Systems Librarian and Assistant Professor, Saint Leo University, FL

Caspary has discovered a potentially damaging ledger, one that could put Packer, the library director, in jail. If Caspary's suspicions are correct, her boss is a thief. However, before she calls in the police, she should first consider the reporting structure of the library. If she goes to the police first, she is quite likely going to place herself in a very awkward position, one in which the people who should be in the loop are left out and one in which she will have no answers to any of the questions that will be asked. She has no idea how much money is missing, for how long a period of time, or who else might potentially have known about the two sets of ledgers. She should be opening the lines of communication with the library's accountant and Board of Directors, the people who really do need to know immediately, rather than giving in to the temptation to share a highly incendiary tidbit about a boss who is clearly not well liked with her friend from reference.

Caspary's first step should not have been to tell Nielson, though it probably felt good to unload. However, a secret shared is no longer a secret, and it is just a matter of time before the director's perfidy is known by all the library employees and perhaps by the news media. It also makes an investigation by police more difficult, as they will be unable to determine who may have already known about the second set of books. It may also cast doubt on Caspary's own reputation and perhaps on Nielson's as well. They may be accused of trying to cover things up. Caspary will need to act quickly, otherwise the board and the police might find out from the media.

Caspary should confiscate the ledgers and call the head of the board to request an immediate meeting, with as many board members present as possible, asking that the library's accountant also be present. It is minimally possible that the board has authorized Packer to use a percentage of funds collected from fines for fundraising and personal spending that can be tied into fundraising, such as private dinners for big donors at her home, clothing and accessories for such occasions, and elegant dinners at posh restaurants. While this is highly improbable, it would explain why detailed accounts and receipts were being kept, something most thieves would attempt to avoid, unless in some way Packer is trying to convince herself it isn't actual stealing, it is just "borrowing."

Caspary needs to refrain from contacting the police until after she has met with the board and obtained its authorization. She should also inform her boss when Packer returns that she has turned over the ledgers to the board and the accountant for review after noticing discrepancies. It will then be up to the board to determine the correct course of action, including whether to call the police or to demand immediate repayment and terminate Packer's employment. If the board decides not to contact the authorities and Caspary decides in the end that she is unhappy with that course of action, she will then need to decide if she wishes to be a whistleblower.

By Peggy Welker, Manager, Library Administration and Staff Development, University of Cincinnati Libraries

Packer's ship has sprung a leak, and Caspary now must decide how to plug that hole without sinking the library. As the one who discovered and recorded the problem, Caspary has no choice but to confront the issue head on and immediately. She was behaving in an understandably emotional fashion when she could not eat her dinner and went to bed with a headache. It is also understandable that she would confide the problem to Nielson.

However, as the two friends talk, they make the mistake of bundling the possible outcomes in with the problem, instead of dealing with the bare essence of what Caspary needs to do about the theft. This is not Nielson's call. The problem must be addressed one on one between Caspary and Packer. Nielson should support her friend from the sidelines and not become part of a posse.

Caspary is shocked at the violation of her respect and trust for Packer, but she also cares that this is going to ruin Packer's life. Being second in command, it is also natural that Caspary is concerned about the library's reputation and future funding. She will have to ask herself at least three questions: What does she want for herself, what does she want for Packer, and what is best for the library? She was mentored by this woman and has years of trust and memories built up. One also wonders why Packer, who runs such a tight ship, left the second ledger in the security cabinet knowing that Caspary would be making the deposits there. Was this a silent cry for help?

Caspary obviously wants Packer to be held accountable for her actions. Confronting Packer and then promising to keep quiet if she stops is not a viable solution. Caspary doesn't want to be a whistleblower, but she knows this thing is a powder keg and is going to have to come out in the open.

Caspary should tell Packer to resign from the library, turn herself in to the appropriate authorities, and get the help she needs to understand how she got so far off track in her beloved profession. Since Packer kept such meticulous records of where the money came from, the checks and the purchases, it might be possible for her to make restitution to the county with interest. If Caspary handles this situation wisely, yet with courage, she will not be seen as a whistleblower but rather as a leader and problem-solver.