Pines is assisting police, board chair confirms

| 20/05/2013

(CNS): Allegations that the board and management are attempting to protect the former manager who was dismissed from the Pines Retirement Home several weeks ago have been emphatically denied by the board chair. In a statement outlining events since the financial irregularities came to light and efforts to recover what was described as a material amount of funds missing from the homes coffers, Julian Reddyhough said the board was assisting the police and had made a report on 10 May to the FCU. The RCIPS told CNS that no report had been received on the same day. Denying any cover-up, the board said it was concerned about the theft and the impact it may have on future fundraising.

“We are concerned that misunderstandings about the response from our board to the financial irregularities that have recently been uncovered may damage the reputation of The Pines to the detriment of our elderly residents,” Reddyhough said. “We are not a secretive organization and believe in transparency and honesty.”

In an effort to address what he said were “inaccuracies and misunderstandings” in the comments posted on Cayman News Service, Reddyhough set out in a statement posted below the information relating to the case that he felt comfortable would not prejudice any criminal prosecution. 

“Our board has certainly not sought to protect our former Manager. Indeed, as a Board we feel betrayed and angry that financial irregularities may prejudice our future fund raising abilities and support in the community. For that reason, we are determined that all missing funds are recovered, that we provide all possible assistance to the police and that we disclose what has occurred to the extent possible,” he added.

Cataloging the chain of events from the discovery of the irregularities in April when the manger was on leave, Reddyhough said the board was not satisfied with the answers given by her in an email exchange and an emergency board meeting was convened on 17 April, when it was decided to terminate the former manager and take steps to recover the cash and undertake a forensic investigation for the police.

“Any suggestion of a 'cover-up' is unfounded,” he said, noting that the police were contacted before the CNS article suggested a report had not been made.

However, CNS had contacted the RCIPS and enquired about a report and were told several times that no report had been made, including on the day the report was filed. We also contacted the chair of the board and the Pines home via email and telephone but received no response.

“It will be for the police and not the Board of The Pines to determine whether to proceed with a criminal prosecution and, if necessary, extradition. We will provide the police with whatever assistance they require,” Reddyhough said indicating that Nicholson still remains out of the country.

The chair said that the board was confident that it could recover the missing cash without litigating, and although there is no final figure at present as the forensic review is ongoing, the sums identified are material and would be disclosed when available.

Addressing conflict of interest allegations, Reddyhough said that he had retired in 2009 as a partner of Maples and Calder, the firm which is assisting the retirement home to recover the money. . 

“There is no conflict in their performance of that role and my position as a retired partner of that firm. Maples have also generously agreed to undertake their work on a pro-bono basis, thus saving us many thousands of dollars of legal fees,” he said, adding that the former manager’s husband left KPMG in 1990.

“To suggest that an organization of KPMG’s standing would improperly undertake a forensic review to protect the spouse of an employee who left 23 years ago is, quite simply, silly,” the chair stated as he pointed to the services KPMG were also supplying pro-bono.

See full statement below.

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Category: Crime

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  1. POLLY says:

    The board knew all that was going on  with her ,the board never care for the staff. 

    They robbbed hard working  and pocket it.

    Carers worked their butts off for ten ,twenty years and not even a two weeks vacation  that is by law   much less the increase of it..

  2. Anonymous says:

    The letter to the Compass is baffling.  Who possibly could have advised that the police do not need to be contacted until the end of a forensic investigation? 

  3. Richard Wadd says:

     It is highly admirable that Mr Nicholson would display such courage as to stand beside his wife in the face of such damning evidence and allegations against her.

     To support one's wife in answering for her actions instead of abandoning her to save his own face, is nothing short of INTEGRITY of the highest order.

     As human beings, how much better-off we would all be to adopt the humility of Mr Nicholson in our own lives.

     May our Heavenly Father give him strength through his ordeal. 


  4. Anonymous says:

    She is and should be accountable for any wrong she has done but to attack her spouse is wrong and unfair. And yes he says he is going to stand by his wife so what that is what he should do “for better for worse” – very admirable of him bout that does not make him guilty of supporting her wrong doing. It is not fair to punish him.

  5. Anonymous says:

    There have been questions about this woman’s behavior for years but no one was listening. RCIPS needs to keep digging and you will certainly find.

  6. Anon says:

    I suspect that this has been going on for years and judging by the way she hired her temp staff to the Pines at top dollar, the sums of money will be astronomical. Apparently, they have property in several places, Switzerland included.

    I would suggest a forensic audit from a firm totally unaffiliated with the Nicholsons and the Pines Directors.


    No, this cannot be whitewashed by a bunch of apparently-priviledged expats who are suddenly above the law.

    This is a heinous crime and has disadvantaged the weaker members of our society, the elderly. It is a disgrace. If I had my relative there and he or she had been deprived of a little TLC because some crook decided to feather their nest(s), I wouldn't accept a simple payback.

    I would want justice. Much. much damage has been done.

    I'd like to see what the current Attorney General has to say, if anything? There is nothing hidden that won't come to light. It's just a matter of time.

    • Anonymous says:

      The Attorney General has absolutely nothing to do with criminal prosecutions anymore, only the DPP can initiate criminal proceedings. This was a fundemental part of the new Constitution.

      • Anonymous says:

        The AG has nothing to do at all. You couldn't have a more stupid arrangement.

        • Anonymous says:

          The Attorney General oversees all civil matters against gov, so is pretty busy at the moment!

    • Anonymous says:

      You need to dig into who provides her the temp staff and who owns the company that provides those temp staff.

  7. Anonymous says:

    Julian is correct that it is wrong for us to assume KPmg or Maples would be wrongly hired to assist in this process. I do think they were wrong to have alerted Sue that they were aware of her activities before she returned to Cayman. This is not all about returned funds or the repayment of the money from whichever sources they seek it from, which is important, but it is also about her facing the consequences of her alleged hiddeous behavior. Once again it is reprehensible that Mr Nicholson and his Rotary buddies think its okay for him to stand behind her and continue doing business as usual. We have to change our outlook on crime and stop simply thinking they can pay it back and there will be no consequences. These 2 characters bought themselves prestige and honesty through rotary and they apparently intend to keep it.