The yearlong state investigation found that Mortenson's poor record keeping and personnel management resulted in unknown amounts of cash spent overseas or for management costs without receipts or documentation. CAI's two other board members were Mortenson loyalists who generally did not challenge him, and he resisted or ignored other employees who questioned his practices, the investigation said.
Mortenson also reaped financial benefits at the charity's expense, including the free promotion of his books, and the royalties from thousands of copies the organization bought to donate to libraries, schools, churches and military personnel, the state found.
The organization spent more than $2 million on Mortenson's charter flights to speaking engagements, and Mortenson and his family charged personal items to the charity, according to the report.
Anne Beyersdorfer, CAI's interim executive director, has said Mortenson will remain the face of the charity but not as executive director, and that he is barred from being a voting member of the board of directors as long as he draws a paycheck from CAI.
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