Former Arkansas CASA chapter director arrested on theft charges

The former executive director of a child advocacy group in northern Arkansas was charged Thursday in connection to money stolen from the organization.

Katie Rylee, 31, faces charges of theft of property greater than $25,000, second-degree forgery, criminal possession of a forgery device, tampering with physical evidence, obtaining a signature by deception and falsifying business records.

Rylee, of Harrison, served as executive director for two years of Court Appointed Special Advocates of the 14th Judicial District of Arkansas in Harrison. CASA appoints volunteers to represent the interests of abused and neglected children in court, including more than 200 children in the 14th Judicial District.

Authorities believe Rylee stole more than $43,000 from the organization and, because of unpaid fund fees and other interests on unpaid taxes and loans, cost the organization an additional estimated $19,000.

Investigation into the organization’s finances began after a new CASA board president, Chonda Tapley, found CASA was struggling in July with the organization’s day-to-day expenses.

Bank records showed suspicious activity, and Tapley confronted Rylee, who court records state admitted to the board president misusing funds. She told Tapley she would pay back the money, created a highlighted document of thefts and provided a typed apology.

After a review of CASA finances with banks, court documents state the suspicious transactions involved personal shopping, food, gift cards, manicures, airline tickets, hotels, home decor, entertainment and more.

Court documents state that Rylee also falsely claimed mileage reimbursement for herself and another employee and misled Tapley into signing a check used for gift cards, not for the organization’s rent as she had told the president.

Beyond misuse of funds, authorities say Rylee was also “untagged” from Facebook photos that tied her to locations where inappropriate purchases were made, and incriminating files were moved to Rylee's CASA Google Drive trash can after Tapley confronted her.

Two employees were laid off due to financial troubles during Rylee’s tenure, but court documents state they continued volunteering with the organization and “remained dedicated to the cause.”

Authorities say the stolen funds also caused water, electric and communications to be shut off in the organization's building.

Court documents state Rylee deposited in August a cashier’s check into CASA’s account for $7,000, a fraction of what the organization lost.

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