Ex-KSU employee charged with conspiracy to defraud state

A former Kennesaw State University employee was arrested Thursday night and charged with conspiracy to defraud the state.

Gerald Donaldson, former executive director of environmental health and safety at KSU, was allegedly part of a crime ring that created “shell companies” to conduct fraud of almost $1 million, including within the unit he managed, the university said in a press release.

Five other people have been charged in the case. No information on them was immediately available.

Donaldson was arrested by the GBI and KSU police.

He was terminated from the university in October after officials discovered fraudulent business transactions in his department after being tipped off by an informant. It is alleged that during the scheme, false vendor profiles were created, and the fake vendors were paid.

The alleged fraud also included organizations and people outside the school system, the university said.

“Malfeasance and fraudulent behavior absolutely are not tolerated, and we will prosecute any and all employees who abuse their roles to steal from this institution,” Vice President of Operations Randy Hinds said in the news release. “We will exercise the full extent of the law to prosecute such criminal activity.”