Lake Region—The Lake Region Conference held a special constituency session on Sun., July 24, 2005, in Berrien Springs, Mich. The special session was called by a required 20 percent of the constituent churches for the purpose of electing a new president.

Prior to the actual meeting, it was determined the Lake Region Conference Constitution and Bylaws had no provision for delegates to elect a president at the specially-called meeting. There was provision for a special committee, made up of the executive committee and remaining active members of the nominating committee of the previous session, to elect a new president. However, the delegates voted to have the Constitution and Bylaws committee review the process for electing a president and bring a recommendation back to the delegates at a future session.

The session opened with a devotional message from Calvin Rock, a retired vice president of the General Conference, who reminded attendees their focus must always be on the cross. Several times throughout the day, session delegates were brought back to that theme and times of prayer. The discussion of the day was helpful as delegates were given an opportunity to participate and express their concerns regarding the governance of their conference.

The session concluded with a report from Lake Union administration on issues relating to the Lake Region Conference, followed by a time for questions and answers. The sobering report described activities that came to light during the ongoing audit and internal investigation into the conference. Most of the delegates were aware the situation was serious from a statement read in the churches and published on the Lake Union website on July 16, which indicated six individuals had been placed on administrative leave of absence.

As a result of noted irregularities in the 2001, 2003, and 2004 audits, the Lake Union executive committee voted to initiate an in-depth financial investigation of the Lake Region Conference at their Feb. 2005 meeting. Although moral and civic responsibility prevented sharing specific details of the internal investigation, Lake Union administration indicated it had revealed serious irregularities in the handling of accounts. When asked by a delegate how many people were being investigated, Walter Wright, Lake Union president, responded that they were not investigating people, but accounts and records; the appropriate people were then being held accountable for the irregularities found.

To date, this investigation has resulted in the following personnel changes: Lillian Williamson, assistant treasurer, terminated; Leroy B. Hampton, treasurer, resigned; Hugo Gambetta, vice president, terminated; Vernice Shorey, accountant, suspended. The following pastors were placed on administrative leave of absence, pending further action by the conference executive committee: Ciro Aviles, Osmin Hernandez, William Rojas, and Alfredo Solis.

Recent reports in the press indicated the Lake Region Conference is under investigation by federal law enforcement agencies. When this issue went to press, the Church had no knowledge of the nature or timing of any such investigation, but will fully cooperate when requested. Press reports also referenced missing assets. This appears to be a misdirected reference to a recommendation in a financial statement concerning accounting practices that have now been implemented.

One observer commented, "It would be easy to speculate, but I think the whole matter suggests that the Conference became aware of a problem, the Conference executive committee then acted in what appears to be a responsible manner, and appropriate information was shared with delegates from the churches. The system, while possibly broken for a while, seems to now be working."

Delegates expressed concern for the possible impact on the work within Hispanic ministry initiatives. Wright pledged the full support of the Lake Union to ensure the Hispanic work would not only continue, but could look forward to the implementation of sound policies, better representation, and a greater commitment of resources for the work.

During the transition in personnel, the Lake Union administration is giving personnel resources and support to the Lake Region Conference; Carmelo Mercado, Lake Union vice president, is providing additional support for the Hispanic pastors and churches.

Gary Burns, Lake Union Conference communication director