Exec for San Jose police nonprofit investigated for embezzlement allegations

SAN JOSE A longtime executive for a nonprofit founded to assist injured San Jose police officers and their families is now the subject of an arrest warrant on charges she embezzled tens of thousands of dollars as the organization ran deficits for the past several years The San Jose Police Department quietly posted an announcement on its website Monday stating that detectives were researching Margie Thompson chief financial officer of the Keith Kelley Club after a volunteer alerted police in March to alleged discrepancies in the nonprofit s financial records Thompson is the nonprofit s sole paid employee earning about in double her compensation and has held titles including treasurer and office manager over more than years with the organization according to tax filings The Keith Kelley Club has a c designation meaning that donor contributions are not tax deductible but the organization is allowed to engage in political activity The rest of the organization s leadership is composed of San Jose police officers who serve on an unpaid basis the tax filings show Police explained the SJPD Financial Crimes Unit exposed evidence showing that between January and January Thompson siphoned away about from the nonprofit Detectives secured a warrant for Thompson s arrest police declared The department declined further comment citing that the inspection is operational and ongoing Thompson could not be without delay reached by this news organization and it was unclear Tuesday if Thompson had retained an attorney Related Articles Santa Clara County sheriff sued over onerous concealed-carry requirements Santa Clara police ID stabbing suspect fatally shot by officer No loose ends San Jose triple homicide stemmed from domestic violence personnel say Suspect arrested in Morgan Hill injury shooting South Bay gun shop owner facing heat after firing into air while chasing alleged thief Tax filings show that was the most of up-to-date year when the Keith Kelley Club operated in the black posting a net income of nearly Every year since then filings show the organization drew on its reserves after posting deficits of approximately and while contributions were relatively steady averaging around annually In that same period the group s listed assets shrank from about in to about in It should be noted that during the last non-deficit year which coincides with the start of the COVID- pandemic the group s expenses at least part of which had to be from supporting officers were one-fifth of the average spent in each year since Keith Webster Kelley was a San Jose police officer when he enlisted with the U S Navy to serve in World War II He was presumed dead after his ship the USS Hull sank amid a typhoon in the Philippine Sea in December eight months before the end of the war The nonprofit was formed in his name by San Jose police detectives with the aim of helping injured officers and the families of officers who have died