DENVER - Arapahoe County sheriff’s deputies have arrested a 61-year old man who investigators say embezzled nearly $500,000 cash and stole more than 15,000 gold and silver coins worth more than $472,000 from a charity whose main focus is fighting colon cancer.
David Lawrence Greenwald is facing eight counts of theft, one count of computer crime and one count of forgery in connection with the alleged thefts.
Greenwald was the former chief financial officer of the Foster Charitable Foundation.
While the Foundation is based in Kerrville, Texas, Greenwald operated out of a suite on the 15th floor of an office building near Colorado Boulevard and I-25 in Denver.
The foundation’s president, Jana Smith, told investigators that Greenwald was hired as Vice President and CFO in August of 2006 and was paid $120,000 a year.
In that capacity, he acted as the foundation’s CPA and internal accounting officer.
She said Greenwald was asked to resign on March 29, 2011, because of issues surrounding the alleged forgery of an executor’s signature on a roughly $1 million Foster Estate income tax return check.
After Greenwald’s resignation, Smith saw an invoice for $8,400 to a company called Media Values in Denver.
The charity began an audit.
The team arrived at Pueblo Bank and Trust on South Colorado Boulevard to check the safe deposit boxes which should have contained more than $2 million worth of precious metals and coins which were purchased on the foundation’s behalf as an investment.
They determined that several thousand coins were missing, among them:
- 272 gold coins worth $395,760
- 7 gold St. Gaudens collector coins worth $14,000
- 600 silver coins worth $24,066
- 22 pieces of platinum worth $39,039
The total market value of the missing coins was $472,865.
Court documents state that the foundation’s financial advisor, Dan Noven, confronted Greenwald about the missing coins.
Noven told investigators that Greenwald said he “didn’t know what he was going to do, or how to fix the situation he was in.”
Noven said he asked, “based on everything we are seeing and my fears about what you might have done, am I crazy?”
He said Greenwald looked down and said, “No, you’re not crazy.”
Additionally, investigators say that between January 2008 and March 2011, Greenwald embezzled approximately $493,105 in foundation funds.
The affidavit states that Greenwald primarily embezzled funds by:
- Transferring money into his personal bank account
- Issuing foundation checks to himself or his own businesses
- Issuing foundation checks to his son, Brian
- Issuing payments to his personal credit card companies
Greenwald was arrested in Arapahoe County Monday night and will be transferred to the Denver detention center.
Investigators say the suspect has paid some money back to the foundation, but still owes more than $853,000.