Friday, August 31, 2007
BISHOP PILLA CLAIMS SHOCK
From the most recent testimony as reported by Ohio.com:
Pilla, who retired last year after 25 years leading the eight-county diocese of 800,000 Catholics, said he learned of the alleged kickbacks from William Reidy, a financial adviser who received a whistle-blower's anonymous letter detailing the alleged payments in late 2003.
''Shock,'' Pilla responded quietly when asked his reaction at the time. Smith ''was a valued co-worker in whom I had great trust,'' Pilla said. ''I had complete trust.''
Pilla, after meeting with a lawyer and advisers, placed Smith on leave one day later. Smith quit within a month as the FBI mounted an investigation into financial irregularities.
Pilla said he was unaware of any off-the-books payments to Smith. Asked if he would have approved the $250,000, five-year, lump-sum incentive payment authorized by Smith's predecessor for Smith, Pilla said he would have done so only if it had been recommended by his outside financial advisers.
UPDATE
The Commonweal blog offers a clever spin on Bishop Pilla's shock:
One exchange in court was memorable, if only for Bishop Pilla’s demonstration that he is not a fan of movie classics. When asked by Assistant U.S. Attorney, John Siegel, about his reaction to a letter he received in January 2004 informing him of allegations (and corroborating evidence) of a kickback scheme in the diocese, Pilla said he was “Shocked, Shocked” because he had complete trust in his chief financial officer. As any Casablanca fan knows, Inspector Renault is “shocked, shocked, to find gambling” at Rick’s Café.
