CHARLESTON, S.C. (BP)–Charleston Southern University has reached an agreement with a court-appointed receiver to settle allegations arising from its relationship with Al Parish, a former economics professor at the university. Parish, who pleaded guilty to defrauding hundreds of investors out of more than $90 million, awaits sentencing in federal court.
According to the agreement negotiated with court-appointed receivership attorney David Dantzler filed Feb. 5, the Baptist-affiliated university’s insurance company will pay $3.75 million and the school will pay $160,000 to the receivership.
Charleston Southern also has agreed to waive its claim to $8.4 million, which it had invested with Parish, until other investors recover at least 18 percent of their investment.
U.S. District Court Judge David Norton has set a hearing on terms of the agreement for Feb. 25.
The university has denied that it knew of any illegal activities that Parish conducted through Parish Economics, LLC., which Dantzler affirmed. “Clearly, we would not have settled with the school if we thought anyone had been knowingly complicit with Parish in the wrongdoing,” he said.
Charleston Southern hired Parish as a professor in 1990. He also directed the university’s Center for Economic Forecasting. His Parish Economics office was not located on the CSU campus.
Reported by the Baptist Courier, newsjournal of the South Carolina Baptist Convention.