Possible Embezzlement of District Funds

July 28, 2025 Update:  Shortly after the District secured a temporary restraining order, the Pima County Superior Court entered a preliminary injunction against a former District empoyee alleged to have misappropriated over $2,000,000. This injunction orders the former employee to limit expenditures, to preserve monies/assets misappropriated, prevents her from transferring real property, and prevents her from destroying evidence. The District's investigaton is making significant progress in determining what happended and how, but will take several weeks to complete.

July 21, 2025 Update:  The Green Valley Domestic Water Improvement District continues to take steps to recover funds allegedly misappropriated by a former empoyee. On July 14, 2025, the District filed a civil suit seeking to recover an estimated $2,100,000 alleged to have been misappropriated over several years. On July 17, 2025, the Pima County Court, at the District's request, entered a temporary restraining order (TRO) to prevent spending or hiding assets and to prevent the destruction of evidence. The District's forensic investigation will take several weeks to complete.

The District is cooperating with a separate investigation undertaken by the Pima County Sheriff's Department.

July 13, 2025 Update:  On July 3, 2025, the Green Valley Domestic Water Improvement District learned of suspicious activity relating to the District's funds and financial records. The District is in the process of investigating, and has retained outside professionals to assist.

The District reported its concerns to the Pima County Sheriff's Office on July 10, 2025.

"Due to the seriousness of the District's preliminary findings, and the continued internal investigations, the District asked law enforcement to become involved and to investigate," said Eric Sullwold, Chair of the District's Board of Directors. "Additionally, the District placed one employee on unpaid administrative leave."

Sullwold confirmed the issues are unrelated to water quality or service, and that there will be no interruptions in service due to the recent discoveries.