OSHKOSH, WI (WTAQ-WLUK) – WLUK is reporting two former leaders at UW-Oshkosh are expected to enter pleas next week to fraud charges.
Former chancellor Richard Wells and former Vice-Chancellor Tom Sonnleitner each face five counts of misconduct in office.
Court records show plea hearings are scheduled for Wednesday afternoon. A similar hearing was scheduled last summer, however, but never took place.
The state filed criminal charges after its investigation into the financial relationship between UW-Oshkosh and the private non-profit UW-Oshkosh Foundation. Wells and Sonnleitner are accused of making financial guarantees they didn’t have the authority to make.
Between 2012 and 2016 the foundation set up five limited liability companies to fund, among other things, the development of the Oshkosh Sports Complex that includes Titan Stadium, and the Alumni Welcome and Conference Center.
But according to court documents Wells and Sonnleitner in their roles with the university “knowingly and without lawful authority signed loan guarantees on behalf of the UW-Oshkosh Foundation.”
When the foundation couldn’t make loan payments, that ultimately created millions of dollars in debt for state taxpayers. A federal bankruptcy judge ruled UWO must pay $15 million to cover the debts.
Neither Wells nor Sonnleitner are accused of personally profiting in any way.
