The Investigators

Memorial Fund Expenses Upset UTSW Donor's Family

CBS 11 News is making available to you copies of documents from our investigation. Links to them are at the bottom of this story.

DALLAS (CBS 11 News) ―

University of Texas Southwestern Medical Center officials were in a jovial holiday spirit as they dined on a sumptuous spread of hors d'oeuvres and imbibed at open bar paid for with money from a donor's memorial fund last December.

CBS 11's hidden camera was there to record how the state university has been using money from the Jesse Brittain Memorial Fund. 

The family of the late donor says the money was intended to help train employees and not for what CBS 11's investigation found.

The undercover video captured an annual holiday party held for a select group of the university's business administrators.

The state officials gathered in a luxurious penthouse dining room on the University's North Campus. It is a rarified atmosphere with a half million dollar collection of sleek tables designed by the internationally recognized Spanish architect Santiago Calatrava and a breathtaking night vista of twinkling lights on the Dallas skyline.

A white jacketed chef carved slices of herb crusted sirloin from a $450 side of beef.  A waiter strolled through the party serving risotto crab cakes that cost $316 and artichoke hearts filled with goat cheese that cost $316. 

Tables of silver serving trays filled with specialty appetizers were decorated with large gingerbread houses.

Partygoers bellied up to an open bar where more than $1000 worth of drinks were served.

The party that CBS 11 found in full swing is one of three annual holiday parties that have been paid for with more than $15,000 from the Jesse Brittain Memorial Fund.

In a prepared statement, UT Southwestern says, "All expenditures from the Brittain Fund have been in keeping with the terms of Mr. Brittain's bequest..."

But, Ron Brittain of Houston says his uncle would turn over in his grave if he knew that money from his donation was being spent on entertainment and meals, "They robbed him. It's just wrong. It's thievery."

Jesse Brittain was a proud World War II Army veteran and an auditor at UT Southwestern with a reputation as a penny pincher.

Brittain never owned a home, rented an apartment within walking distance of the university, drove an old Ford Maverick, and maintained a frugal lifestyle in order to scrimp and save up a nest egg to donate to UT Southwestern.

Upon his death in 1986, Brittain left his life savings of more than $390,000 to UT Southwestern.  Brittain's endowment agreement specified that the money was to be used "for the sole purpose of enhancing the business operation of UT Southwestern giving priority to the professional development of personnel in the business operation, including training courses, books, seminars, etc."

CBS 11's review of financial records obtained under the Public Information Act indicates that more than $40,000 was spent on meals and refreshments which were paid for with money from Brittain's Memorial Fund over the past two years.  Ron Brittain says his uncle would never have spent money that way, "I would be surprised in his time if he made that much money in two years. Yet he saved to support these people and that they are spending that much money in a year or two is outrageous."

John Roan, UT Southwestern Executive Vice President for Business Affairs, is in charge of Brittain's Memorial Fund.

Roan used Brittain's Fund to host a $2700 outing to a Texas Rangers baseball game last August for UT System Vice Presidents and UT Southwestern officials.

Receipts and invoices obtained under the Public Information Act show that Brittain's Fund was tapped to pay: $474.23 for a chartered bus to carry the group roundtrip to the Ballpark in Arlington; $1115 for 30 tickets to the Texas Rangers game against the Kansas City Royals on August 14th, and $1080 for a buffet in the Diamond Club at the park.

Roan, when confronted leaving lunch with fellow UT Southwestern executives, claimed he did not charge the Texas Rangers tickets to Brittain's Fund.  According to the receipts, senior staff members in Roan's office handled the arrangements and Roan's signature is on the check for the Diamond Club buffet. 

Asked if he controlled Brittain's fund Roan replied, "I will be glad to meet with you another time." Roan then drove away with UT Southwestern President Kern Wildenthal at the wheel.   Wildenthal personally approved the holiday parties that were paid for with money from Brittain's Fund.  UT Southwestern spokesman John Walls later told CBS 11 that neither official would conduct an on camera interview.

Ron Brittain says such spending is disrespectful of Jesse Brittain's donation, "I'm sure he would be quite upset knowing the extravagance of the spending. It's just wasteful."

In a prepared statement, UT Southwestern states that the tickets to the Texas Rangers game were used for official guests when it hosted business officers from across the state and that, "this is totally in keeping with the types of expenditures in Business Affairs intended by Mr. Brittain when he wrote his bequest to UT Southwestern."

CBS 11's hidden camera investigation also went inside the prestigious A.W. Harris Faculty dining room at UT Southwestern.  Records indicate that Brittain's Memorial Fund was used to pay for $4500 worth of bills at the Faculty Club.

Roan frequently received reimbursements from Brittain's Fund for his buffet checks at the Faculty club. He claimed on expense reports that the buffet lunches were business meetings with other UT Southwestern officials for such purposes as to keep abreast of business affairs issues.

Ron Brittain questions why officials can't hold business meeting in their offices without dipping into his late uncle's endowment money.  He says Jesse Brittain wanted his donation to be used to help train auditors to help reduce waste, "Jesse gave his life savings. He wanted it to be used for educational purposes."  

CBS 11's review of a sampling of receipts also found that Brittain's memorial dollars also paid for:

• A $394 dinner at the posh Palomino Restaurant located next door to the Crescent Hotel in Dallas, for John Roan, 2 fellow administrators, and their wives.  Roan claimed on his expense report that the dinner was "to ensure a smooth working transition for a new VP."
• A $289 dinner at New York City's historic Keen's Steakhouse for Roan and 5 other officials.
• A $177 breakfast buffet for President Dr. Kern Wildenthal to discuss business software with Roan and 5 others.
• $366.98 for wine and beer at a retirement party.
• $1 each for chocolate dipped strawberries at a farewell reception.
• $77 for seven dozen cookies ordered for one of Roan's meetings from the Doughmonkey pastry house in University Park.
• $1971 for Ozarka water.
• $370 for a Wall Street Journal subscription for Roan's office.

Jan Soifer, an Austin attorney and former Assistant Texas Attorney General who specializes in investigating non profit organizations, reviewed Brittain Memorial fund documents that CBS 11 obtained using the Public Information Act, "This situation as you've described it seems to me to be an abuse of these assets. It's hard for me to imagine a scenario as you've described it where the kinds of uses you are talking about would be acceptable under this agreement."

Soifer says that if a donor gives money to a charity for a particular purpose then the charity must use those funds for that purpose unless they get permission from the donor or a court to do differently, "It may not be a crime but it may be a real serious moral and civil law violation."

Texas Governor Rick Perry, in response to CBS 11's questions, says Brittain's family should ask the Texas Attorney General to investigate their complaints, "It would be like having a will and the lawyer taking the money and doing something 180- degrees from what the deceased or the family of the deceased wanted done.  And I would suggest that the Attorney General is the right location for those individuals to give that complaint to. And I have full confidence that Attorney General [Greg] Abbott would address it."

UT Southwestern told CBS 11 in a prepared statement that, "all expenditures from the Brittain Memorial Fund have been totally appropriate, ethical, legal, and 100% in keeping with the intentions and wishes of the donor."

Ron Brittain says his uncle would rethink his donation if he were alive today and urges UT Southwestern to change the way it uses money from the Jesse Brittain Memorial Fund.  "Stop! Look at what you're doing!  Change your habits!"

CBS 11 is making available to you copies of documents from our investigation.  They are in .pdf format.  To read them, you must download the free Adobe Acrobat reader.

Click here to read the agreement that states how Brittain's estate would be used.
Click here to see the check that paid for the buffet at the ballpark.
Click here to read the catering contract for the buffet at the ballpark.
Click here to see the receipt for the chartered bus trip to the ballpark.
Click here to read the UT Southwestern internal check request to pay for the tickets to the Rangers' game.
Click here to see the receipt for those Rangers' tickets.
Click here to read Brittain's obituary.
Click here to read UT Southwestern's statement to CBS 11 News.

UPDATE: On Monday, February 8, UT Southwestern posted a new statement  on its website regarding this story.  Click here to read that statement.

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