In a statement Thursday, the organization’s Board of Directors said the investigation began after an unexpected discrepancy involving the organization’s IRS status.
The board found what it believes was fraud involving falsified financial records, accounting irregularities and potentially missing funds dating back several years.
Pet Network said the suspected activity has been traced to one employee, who has since been terminated and appears to have acted alone.
Executive director Simi Balter offered to resign, but the board declined her offer. The board found no evidence that Balter knew about or was involved in the suspected illegal activity.
Pet Network said it is taking civil and criminal legal action to recover the missing funds.
The organization also says it is putting new financial safeguards in place and will conduct an independent review.
The organization says it remains financially stable and fully operational.
