The city of Chaska and the League of Minnesota Cities Insurance Trust have filed a lawsuit in Scott County District Court to recover more than $100,000 they say was taken by a former city employee.
The suit says that Lois Wolters, a former accounting clerk, stole $108,686 between 2001 and 2010. The thefts were discovered by the city in 2013 after Wolters resigned.
After an investigation by the Chaska Police Department, evidence of the thefts was presented to the Carver County Attorney’s Office, which declined to prosecute because it determined the facts and state law did not provide for criminal charges to be filed.
The city recovered most of its losses through coverage provided by the League of Minnesota Cities Insurance Trust. The suit seeks $108,686 in damages, plus unspecified punitive damages, accounting fees and costs resulting from the thefts.
The city has subsequently put into place a new financial accounting computer system and procedures designed to prevent thefts of this type.