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The former treasurer for the Esterhazy Minor Hockey Association bled the organization’s bank accounts nearly dry.
Cory Johnathon Smith, 37, made dozens of e-transfers and stole nearly $45,000 over a seven-month period last year.
On Tuesday, he was in court for his sentencing in Esterhazy, Sask., about 180 kilometres east of Regina.
Crown prosecutor Fred Fisher said in court that after discovering the non-profit organization had close to zero dollars, board members were worried they’d have to cancel the hockey season in Esterhazy.
They pleaded with the town to temporarily suspend ice fees and embarked on fundraising efforts, Fisher said.
“It affected the operation of our organization, placed substantial burdens on volunteers, strained community resources, undermined trust and jeopardized programming for the young athletes we are committed to serving,” the association wrote in its victim impact statement.
Glen Simon, who was president of the Esterhazy Minor Hockey Association at the time, discovered the theft after businesses started contacting him about unpaid bills, Fisher said. Simon contacted the bank and got copies of the organization’s bank records.
That’s when Simon learned the financial updates Smith had been supplying at board meetings “were not accurate” — because the funds had been depleted to “almost zero,” Fisher said.
Simon confronted Smith, who said he would pay the money back. Smith initially repaid $20,000 and, on Tuesday, the remaining $24,798 he had stolen was sitting in his lawyer’s trust account, ready to be paid back as well.
Smith was removed as the hockey association’s treasurer.
Fisher said like many non-profit organizations, the Esterhazy Minor Hockey Association required two signing authorities for cheques, but that e-transfers could be done by one individual. It has since changed its policies so that’s not allowed anymore.
Fisher argued that Smith should receive a one-year conditional sentence order, a jail sentence served in the community.
‘Truly irrational’ theft, defence lawyer says
Defence lawyer Raman Sharma argued for a two-year conditional discharge, which would mean that if Smith abided by probation conditions for two years, he would have no criminal record.
He said in court that Smith is “extremely apologetic” and has taken full responsibility for his actions.
When he stole the money, Smith was going through a difficult separation from his wife of 17 years, and his mental health was affected. He wasn’t sleeping, wasn’t eating and wasn’t able to work, so he was unable to keep up with regular payments.
That led to Smith’s “poor decisions” and “truly irrational choice” to steal from an association that benefited his own children, Sharma said.
Smith is a plumber and his workplace requires criminal record checks, so getting a criminal record would “effectively end” his employment and jeopardize his financial future, including being able to make child support payments, Sharma argued.
Plus, there have already been “severe repercussions” outside of court for his actions.
“Mr. Smith has faced immense public stigma in the Esterhazy community, lost friendships, suffered severe damages to his family dynamics,” Sharma said. “He wears his denunciation and deterrence every day.”
Written apology directed
Fisher said the Crown “vigorously” opposed a conditional discharge.
“In essence, his submissions almost appear to make him the victim in this scenario, and from the Crown’s perspective, he chose to make these improper transactions and he is not the victim, he’s the perpetrator,” Fisher said.
He emphasized that Smith was in a position of trust and the thefts spanned more than 50 transactions over a seven-month period.
Judge Ross Green said he agreed with the Crown.
He imposed a 12-month conditional sentence order, which means that he will have a criminal record and if he breaches the conditions, he could serve the remainder of the sentence in jail.
The conditions include a curfew of 10 p.m. to 5 a.m. unless he has prior permission from his supervisor, and he must abstain from alcohol and drugs, take mental health programming as directed, pay the money back in full and provide a written apology to the Esterhazy Minor Hockey Association.
