Marysville Little League leader who stole $70K pleads guilty

Published 1:30 am Monday, October 28, 2019

EVERETT — The former president of the Marysville Little League has pleaded guilty to embezzling more than $70,000.

Leo Carlos, 50, is charged with first-degree theft and abuse of trust and faces up to 90 days in jail, according to state guidelines. Prosecutors recommended a lighter sentence, if Carlos can pay $20,000 in restitution before his sentencing date in February. He pleaded guilty Wednesday.

A board member questioned the league’s financial reporting as early as 2014. And, eventually, the league hired a forensic accountant to review finances between 2012 and 2016.

The auditor “quickly learned any financial reporting was basically non-existent and had not been accurate for years,” deputy prosecutor Jacqueline Lawrence wrote in charging documents.

Court paperwork described unauthorized bank withdrawals, including $3,100 used to purchase food and $3,600 spent on phone bills, for a personal account belonging to Carlos.

In an interview with detectives, Carlos admitted to spending $1,000 while vacationing in Ocean Shores, because he had run out of money.

Carlos initially denied any wrongdoing, but couldn’t explain the missing money. He talked about experiencing personal and financial challenges in his life, according to court documents. He lost his house due to foreclosure. He resorted to using the league’s funds for daily expenses, such as gas.

The board’s treasurer told detectives that she had trouble fulfilling her role, and at one point tried to quit, only to have Carlos convince her to stay in the position.

She recalled confronting Carlos about questionable ATM charges, according to charging papers. Carlos told her the withdrawals were for league-related purchases, but didn’t provide receipts for the transactions, she reportedly said. Another time, Carlos told her he was stuck in Oregon on vacation with no money. So he loaned himself some of the league’s funds, with the promise of paying it back. She couldn’t say for sure whether he ever did.

The league took measures to make up for the missing money, such as raising player fees. The organization lost its nonprofit status when it failed to file tax returns between 2011 and 2014.

“The defendant used his position of trust, confidence and fiduciary responsibility to facilitate theft from the league,” Lawrence wrote.

Zachariah Bryan: 425-339-3431; zbryan@heraldnet.com. Twitter: @zachariahtb.