FSB Dean returns $1.25 million in consultant fees
Published: Friday, August 24, 2012
Updated: Friday, August 24, 2012 00:08
The dean of Miami University’s Farmer School of Business, Roger Jenkins, voluntarily returned $1.25 million in independent consultant fees he received from Thomas Petters between 2005 and 2008, according to a statement made by the university. Petters is serving a 50-year prison sentence after being convicted in 2009 for fraud.
Jenkins turned over the compensation he received to Petters’ court-appointed receiver without any litigation, according to Jenkins’ lawyer Grant Cowan.
“This was a good result arrived at without litigation that contributes to the receiver’s efforts to provide compensation to people who invested with Petters and suffered economic losses,” Cowan said in a written statement.
According to Cowan, Jenkins was unaware of any of Petters’ illegal activity while he was providing consulting services to him.
“As with many other individuals who provided services to Tom Petters and his companies, Jenkins was shocked and dismayed to learn of the allegations concerning Petters and his companies,” Cowan said in his statement.
In 2010, Miami and the Miami University Foundation returned $5 million in donations received from Petters.
Petters made those donations between 2004 and 2006 as part of a pledge for $14 million to the university. Miami only received $5.2 million of that $14 million.
It is common for faculty to do consulting work outside the university employment, according to Deedie Dowdle, associate vice president of University Communication and Marketing.
“There is, I would say, an extensive amount of work done by faculty, deans, and administrators in partnerships with corporations and organizations and you would find that to be true at most universities,” Deedie Dowdle. “And as long as there is no conflict of interest we encourage that as part of engagement, outreach, visibility of for the university and civic involvement.”