Former treasurer's refusal to handing over club's financial documents

[Guest Cynce]

Our former treasurer who was replaced on Jan. 1st says she's in charge of the 2022 audit (even though she is not the current treasurer) and is dragging her feet in getting it completed. Every month, our board of directors asks her twice (during the assembly general meeting and the board meeting) for the audit. She gets defensive and says, "you'll get it when I get to it". Problem is, our by-laws are vague and don't stipulate a completion date. However, the by-laws state that all office terms commence on Jan. 1st and terminate on Dec. 31st.  So one would summize that her responsibility to complete the audit would terminate along with the term of her office. She is in possession of the club's check book register and says we'll get it back when she completes the audit. The whole club is waiting on her to complete this task and we believe she is digging in her heels because she doesn't want to give up control. We need those financial records and audit to file the club's taxes. We believe that because her term is up and she is no longer the treasurer, she is illegally possessing the club's financial documents. What is the course of action and do we need to get law enforcement involved to retain custody of these documents?

[Richard Brown]

She has an affirmative duty to turn over all organization property, documents, and records in her possession upon the completion of her term. She should also prepare and present an annual report (not an audit) at the annual meeting. It would be most unusual for the outgoing treasurer to be in charge of auditing his or her own records. That’s just not the way it’s done. An auditing committee of two or three people should be appointed to audit the books and she should cooperate with the audit. It might be necessary for the organization to adopt a motion directing her to turn over all records and property, including the checkbook, by a certain date and also to instruct the auditing committee to complete its audit by a date certain. 

Edited to add:  See sections 48:20 - 48:27 in RONR (12th ed.) for information  on the annual treasurers report and auditing auditing the report.
 

Edited May 12, 2023 at 11:08 PM by Richard Brown
Added last paragraph

[Gary Novosielski]

Agreeing with @Richard Brown, it's time to stop asking and start instructing.

Edited May 13, 2023 at 05:52 AM by Gary Novosielski
mistaken identity

[Richard Brown]

On 5/12/2023 at 7:33 PM, Gary Novosielski said:

Agreeing with @Josh Martin, it's time to stop asking, and start instructing.

Mr. Martin responded in this thread? That’s funny, I do not see it. My response and your response are the only two responses.

[Gary Novosielski]

Oh, lordy!   I dunno what I was thinkin'.

Sorry about that good sir!   Fixed it up.