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Oregon Weekly Newspaper Embezzlement
ASSOCIATED PRESS

Embezzlement of Oregon weekly newspaper's funds forces it to lay off entire staff and halt print

An Oregon weekly newspaper has had to lay off its entire staff and halt print because its funds were embezzled

By CLAIRE RUSH
Published - Dec 29, 2023, 06:09 PM ET
Last Updated - Dec 29, 2023, 07:00 PM EST

PORTLAND, Ore. (AP) — An Oregon weekly newspaper has had to lay off its entire staff and halt print after 40 years because its funds were embezzled by a former employee, its editor said, in a devastating blow to a publication that serves as an important source of information in a community that, like many others nationwide, is struggling with growing gaps in local news coverage.

About a week before Christmas, the Eugene Weekly found inaccuracies in its bookkeeping, editor Camilla Mortensen said. It discovered that a former employee who was “heavily involved” with the paper's finances had used its bank account to pay themselves $90,000 since at least 2022, she said.

The paper also became aware of at least $100,000 in unpaid bills — including to the paper's printer — stretching back several months, she said.

Additionally, multiple employees, including Mortensen, realized that money from their paychecks that was supposed to be going into retirement accounts was never deposited.

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