Central Ohio Today

A longtime Clark County employee faces criminal charges for allegedly embezzling money from the auditor’s office.

Robert Vanderhorst has been charged with one count of theft from the county department. He was indicted Monday in Clark County Common Pleas Court and is scheduled to appear in court Friday.

Clark County Auditor John Federer, on a website he set up to share information on the case, said it appears the money was stolen from an operational account funded by fees charged for real estate transactions and not public tax dollars. 

Former Clark County Commissioner John Detrick. | LinkedIn

“The full scope of this fraud is still under investigation, but the first dollar taken was a breach of trust and can never be tolerated,” Federer said.

The case is being investigated by Ohio Auditor of State Keith Faber, who assigned his Special Investigation Unit to perform a forensic audit. Clark County prosecuting attorney Dan Driscoll is handling the criminal investigation.

Federer created a website, ClarkCountyFacts.com, to share information on the fraud and the criminal investigation and how he and his office are dealing with the matter.

Federer, who was elected to the position in November 2010 following a 34-year career as a bank president, said he is paying for the website from his personal funds and no taxpayer dollars have been spent on it.

“The indictment of a longtime Clark County auditor’s office employee Bob Vanderhorst represents a shocking betrayal of every Clark County citizen and every employee of my office,” he said on the website. “Vanderhorst appears to have used his intimate knowledge, tenure and trust to steal from our office.

“I fired Vanderhorst the day I learned of the allegations and began an intensive internal review of operations to learn how the alleged crime was committed and to start the process of implementing additional policies and procedures that will go further to protect residents of Clark County from any future fraud,” he added.

Federer said he is committed to maintaining his department’s ability to serve the county and its people.

“This indictment represents an early first step in the legal process, but my office is well on its way to ensuring the auditor’s office remains highly functioning and is one the public can trust,” he said.

A new financial management system that was implemented by Federer between 2013 and 2015 will serve as a fraud deterrent, he said.

Former Clark County Commissioner John Detrick admitted the news was a complete surprise.

“This is a shock, no doubt,” Detrick told Central Ohio Today. “The most important thing John has done is implement a new financial management system. That’s a huge step in helping to make Clark County and the auditor’s office more efficient. It’ll also serve as a fraud deterrent, and I believe it would have in this case if the fraud hadn’t started before the new system was in place.”

On his website, Federer said the evidence is revealing exactly what happened, in part because of security advances made during the past decade.

“The current system is a massive step forward in financial management and fraud detection for the people of Clark County. It appears that Vanderhorst’s theft was hardwired into our system years before the upgrade,” he said. “The fake account used for his criminal activity existed in the old system, and Vanderhorst ensured it was ported over into the new system. 

"The investigation is ongoing, but I believe that Vanderhorst was sloppy, didn’t cover his tracks very well, and it allowed an employee looking at reports to suspect potential fraud," Federer added. "While it’s possible that fake vendors could make it into the system even now, I have taken pains to implement policies that include the regular review and confirmation of all county vendor accounts.”

Jon Paul Rion, the lawyer representing Vanderhorst, 63, said his client is cooperating with the investigation. According to Springfield News Sun, the amount of money diverted was more than $7,500 and less than $150,000.

“I’m not sure we know the scope yet, but as Auditor John Federer has said, we have a right to be upset about the dollars being taken from the county office,” Detrick said. “This is a betrayal to the taxpaying citizens of Clark County. John’s response has been strong. He is being transparent with the citizens and has taken on procedures to strengthen the office so this can’t happen again. We will hear more as the investigation and legal move forward, but I’m impressed with John’s leadership so far.”

It’s a dark period but the former commissioner said he is confident Clark County will emerge stronger from the controversy.

“I have full confidence in John Federer,” Detrick said. “This was an employee using his knowledge of the office, tenure in office and trust placed in him after 30 years on the job to betray our trust. The justice system is set up to deal with this man’s mistakes.

“John is committed though his experience managing employees to run a highly functioning office in which the public can and should trust,” Detrick added.

The one-time county commissioner has the background to understand the need for financial security measures. In addition to teaching at both Mechanicsburg High School and the former Springfield South High, Detrick, 79, took over his father’s business, Springfield Tire and Battery, in 1970 and operated it.

“Having been in business myself, you must always have accounting safeguards in the public and private sector,” Detrick said. “Clark County has used its safeguards in the past plus has the tools — bonding, insurance, attached assets and imprisonment. John Federer has experience in these matters.”

Detrick, a Republican, retired from the commissioner's office in 2017 after serving five terms. He never lost a primary or a general election over two decades.