Kerry Morgan, an attorney representing the Grand Traverse Academy's Board of Directors, confirmed exclusively to Miss Fortune today that the Academy filed a restitution claim seeking the return of a $1,626,020 "shortfall" from Steven Ingersoll.
As I originally reported on December 16, the Academy board voted during a November 30 "special meeting" to authorize Morgan to make the claim for entitlement to restitution in Steven Ingersoll's federal fraud case.
In his email confirming the amount, Morgan indicated that a "2014 review of the balance due established a $1,626,020.00 dollar shortfall based on the Independent Accountant's Agreed Upon Procedures Report, August 21, 2012, p.2." (An agreed-upon procedures engagement is one in which an licensed CPA firm is engaged by a client to issue a report of findings based on specific procedures performed on specified subject matter.)
As Morgan noted, "restitution is either mandatory or discretionary under the federal sentencing guidelines." Confirming that the Grand Traverse Academy sought restitution of $1,626,020.00, provided that "Ingersoll is found subject to mandatory restitution".
Morgan stated that if not, the the "GTA sought whatever lesser amount is determined in the Court's wisdom, as discretionary restitution requires the Court to also balance the Defendant's financial resources".
And, finally, Morgan concluded that if "the Court is likewise inclined to offset fees which Ingersoll claims is owed to SSM by GTA, then the net restitution under this scenario would be at the Court's discretion."
Still, it doesn't explain why the Grand Traverse Academy didn't just sue Ingersoll back in 2013 after the Thrun Law Firm's May 30, 2013 letter recommended that action...nearly a year before he was indicted!