The University of Wisconsin System is filing a civil lawsuit against a retired UW Oshkosh chancellor and a former vice-chancellor over deals with the university’s foundation.
The state Justice Department investigated former Chancellor Richard Wells and former vice chancellor of administrative services and chief businesses officer, Tom Sonnleitner, in connection with five projects.
Current Chancellor Andrew Leavitt reported finding financial irregularities last April. The two men are accused of illegally guaranteeing that the school would back the U-W Oshkosh Foundation’s bank loans.
Investigators also found that they transferred money from the university to the foundation without properly recording that. Under the state constitution the university and its non-profit foundation are separate entities.
Leavitt also fired the president of the U-W Oshkosh Foundation, Art Rathjen, on Tuesday. The projects were the renovation of the downtown Best Western Waterfront Hotel, the Alumni Welcome and Conference Center, two biodigesters and the Oshkosh Sports Complex.