The chief financial officer for the Prince George’s County school system and his wife, who works for the school district as an internal auditor, resigned Monday, just days after school officials learned that Maryland state investigators had found them responsible for insurance fraud.
Board of Education Chairman Segun Eubanks and schools chief Kevin M. Maxwell said in a joint statement that the resignations of Colby R. White and his wife, Keisha, were accepted and are effective immediately.
Colby and Keisha White did not respond to requests for comment.
Both had been placed on administrative leave with pay Friday after Maxwell learned that the Maryland Insurance Administration ordered them to pay $6,000 for filing a false insurance claim for a lost wedding ring.
According to an order filed by the state insurance administration in August, White filed two claims for his wife’s 1.5-carat ring with two different insurance companies within a five-month span.
Insurance investigators for Erie Insurance Exchange found that White’s claim last September for a lost ring was the second one he had filed. Traveler’s Indemnity Insurance paid White $16,313 to settle a claim he filed in April 2013.
During a recorded interview with an insurance investigator, White said he had not filed a prior lost jewelry claim for the ring, according to the order.
“However, when confronted with evidence of the prior claim he had made to Travelers for the loss of the same ring, he admitted making the prior claim and receiving compensation,” according to the order. White then withdrew his claim with Erie.
Colby White, who earned $169,008 annually, has worked for the school system since 1995. Keisha White joined the school system in 2001 and had a salary of $95,540.
Both had signed documents for the claim with Erie, which included an insurance fraud warning statement.
School officials said Monday that they have begun an investigation of school system finances that will be performed by CliftonLarsonAllen, an external auditor.
As chief financial officer, White was responsible for drawing up the school district’s $1.8 billion budget and had a staff of 175 employees. His office includes payroll, purchasing and workers’ compensation.
“In an abundance of caution, we will ask our external independent auditors to confirm there are no improprieties,” Maxwell and Eubanks said in a joint statement.
Maxwell appointed White as the top budget official in July as part of a major overhaul of the school system’s executive team. White replaced Thomas E. Sheeran, the former acting chief financial officer, who served under former interim superintendent Alvin Crawley.
Before the July appointment, White was the district’s budget director.
During his nearly 20-year career in Prince George’s schools, White has worked as an accountant, budget technician,budget analyst, supervising budget analyst and data warehouse officer.
Chief Operating Officer Monica Goldson was named on Friday to assume White’s responsibilities temporarily.
Jennifer Jenkins contributed to this report.