Bank sues former homeless shelter head

November 04, 1997


Staff Writer, Charles Town

CHARLES TOWN, W.Va. - The former director of a Jefferson County homeless shelter faces additional legal problems as Jefferson Security Bank filed a lawsuit Tuesday in an attempt to get back money she is accused of embezzling from the Coalition for the Homeless.

Elizabeth Hope Hudson was charged Oct. 17 with one count of embezzlement and seven counts of theft, according to court records. She is expected to face a preliminary hearing today in Jefferson County Magistrate Court on the criminal charges.

Hudson, of Boyce, Va., was released after posting $500 bond.

Jefferson Security Bank filed the lawsuit Tuesday for $11,371.

The Coalition for the Homeless of Jefferson County kept several accounts with Jefferson Security Bank, over which Hudson had no authority to sign for withdrawals, according to the lawsuit.


On several occasions in 1997, names of authorized people were forged and funds totaling at least $11,371 were withdrawn, the suit alleges.

Since May, West Virginia State Police have been investigating the disappearance of the funds from the coalition bank account.

During the investigation, Hudson moved from Jefferson County to Boyce, shortly after leaving the center in May, according to court records in the criminal case.

Hudson was in charge of the Willowbrooke Center for the Homeless when the names of two board members were forged and money transferred into a bank account that only she had access to, court records allege.

Hudson did not have the authority to sign the names of the board members or to withdraw money from the bank account without permission, court records said.

Money was transferred from the center's account to an account in Hudson's name, court records said. Cashed checks were written under the new account, according to allegations contained in court records.

She did not offer to pay the money back and used the money for her personal needs, not for the center, according to court records.

When Willowbrooke officials discovered the forgeries, officials demanded reimbursement, according to the lawsuit.

The bank reimbursed the money on July 29, the lawsuit said.

The Willowbrooke Center, on W.Va. 9 outside of Charles Town, closed June 30.

Officials said at the time that the center was being closed because of financial problems.

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