June 11, 2010
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News: RPI Cancels Credit Card Program
Rensselaer Polytechnic Institute (RPI) announced it has cancelled all school credit cards after learning of serious abuse incidents. It began in May after the arrest of a former RPI employee who allegedly racked up over $100,000 of personal expenses on the school's credit card. While Christine Dickson continues to face charges of grand larceny for her alleged theft, the school has uncovered additional abuse which has led to the firing and resignation acceptance of several employees. Mark Marchand, of the school's Media Communications Office said that the abrupt announcement came after it was discovered that several employees had used their school MasterCard credit card issued by Chase Bank for a multitude of personal transactions including trips to exotic locales.
Viginia Gregg, RPI's Chief Financial Officer took the faculty and staff by surprise when she announced the suspension of the school's credit card program. The suspension will make it difficult for some Professors who have been traveling on school business and using their school issued credit card for expenses. There was no comment on how the school will be handling the situation so that they are not left stranded. The cards were issued to employees and students a number of years ago in response to efforts to save costs by cutting administrative paperwork to a minimum. The cards were issued with the intent to purchase routine office supplies. According to Gregg's e-mail announcing the cancellation of the card program, they may have been an oversight on monitoring card usage.
According to Marchand, there is an ongoing effort to evaluate the school's current policies that regulate credit card and P-card usage. The school hopes to "improve and enhance" its practices. The decision to suspend the cards has not been taken well with many professors and staff member who have used their cards responsibly. It has left professors and staff in limbo while a resolution is being developed. However, after the discovery of how extensive the problem is, the school had no alternative but temporarily stop the card program. At this time, the Troy police say there have been no additional arrests in connection the RPI fraud.