William Smith, the former chief financial officer of the Detroit Riverfront Conservancy, pleaded guilty on Friday to charges of wire fraud and money laundering after being accused of stealing $44 million from the organization. Smith’s actions not only stunned the nonprofit but also led to significant delays in a major riverfront redevelopment project.
Smith’s Misuse of Funds for Personal Gain
For years, Smith, 52, had control over the finances of the Detroit Riverfront Conservancy, an organization responsible for transforming the Detroit River shoreline into public recreational spaces, including parks, plazas, and pavilions. According to investigators, Smith used his position to siphon funds from the organization for his personal benefit.
Smith used the stolen money to fund lavish personal expenses such as travel, hotels, limousines, household goods, clothing, and jewelry. Investigators also discovered Smith was involved in other business ventures, including real estate, running a nightclub, and even amateur basketball.
Riverfront Conservancy Hit Hard by Theft
The Riverfront Conservancy, which has been overseeing the transformation of the Detroit riverfront, has publicly acknowledged the financial blow caused by Smith’s actions. As a result, the nonprofit has been forced to delay parts of its ongoing riverwalk project. The theft has also caused significant disruption to the organization’s ability to fulfill its mission of revitalizing Detroit’s waterfront for public enjoyment.
“We are pleased to see Will Smith begin to be held accountable for his disgraceful actions,” said Ryan Sullivan, Chief Executive of the Riverfront Conservancy.
Smith Faces Serious Legal Consequences
During his court appearance in Detroit federal court, Smith pleaded guilty to wire fraud and money laundering, admitting that the total loss to the Riverfront Conservancy was at least $44 million. As part of the plea, Smith faces the possibility of more than 15 years in prison, with his sentencing scheduled for March.
The case has drawn attention to the severity of financial crimes within nonprofit organizations, particularly those with significant public and governmental support.