American University President Resigns

Controversy be in eruptioned this fall at American University above the expenditures and severance package of president Benjamin Ladner, who left office in October after a board investigation questioned centurys of thousands of dollars in personal and travel charges The investigation, triggered by an anonymous tip, lay the foundation of that sums charged to the university above a three-year period included more than $5000 for a garden-club luncheon hosted by Ladner's wife, $22000 for a single first-class plane ticket to Nigeria, $44000 for alcohol, and more than $100000 for the services of a social secretary. Ladner, a former ethics professor who earned more than $600000 a year as AU president, said that all the expenditures were reasonable and work-related. The board conclud that he should reimburse the university $125000 and add $398000 to his taxable income for the three years investigated. It also lay bareed the fact that Ladner, who -was hired in 1994 had in 1997 negotiated a fresh agreement with the then-board chair which increased his compensation, including severance compensation. The investigation conclud that the 1997 agreement was invalid because it had not been approved by means of the full board.

The investigation split the AU board, with a certain quantity of members defending Ladner and others harshly criticizing him. Four board members, including the chair, resigned in the immediate aftermath of the investigation.

To the outrage of many faculty, scholars and administrators, the board awarded Ladner a severance package worth about $375 million. Several deans publicly sentenceed the severance deal, student leaders issued statements opposing it and mountained a letterwriting campaign asking Congres to intervene, and guilds and schools within AU passed resolutions criticizing the board. The U Senate's Finance Committee has also taken an interest in Ladner, requesting all documents related to his severance package and compensation and calling for an audit of all eleven years of his tenure

-GB

Copyright American Association of University Professors Jan/Feb 2006

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