Hacker Steals $120K From Sheltered Living

TOPEKA, Kan. (WIBW) - Officials with Sheltered Living, Inc. say a major loss the organization suffered from a hacking incident last week will be recovered.

The local non-profit agency suffered the theft after two fraudulent payment entries were added to its payroll, totalling $120,398.

Sheltered Living processes its payroll through a bank. The theft was discovered last Thursday, when the bank notified the agency.

Vice President of Development John Ratzenberger says no other breach of its internal systems occurred and client information was not compromised.

"What we normally do in our payroll process, is we submit our payment electronically. At that time we also fax the hard copy of the record [to the bank]," Ratzenberger said, "So that it'd be verified before any payments are sent out."

"Somewhere after we had sent the paperwork in and electronically submitted our payroll process to the bank, two more transactions were added on them and illegally processed." Ratzenberger said.

"At that time those transactions were processed without it being fully verified, from what we see so far," he said.

Authorities are investigating the matter and Ratzenberger said he fully expected the amount to be recovered.

"This is a significant loss to our organization," he said."We do hope tohave these funds recovered," he said. adding that the agency has policies in place to prevent a disruption to services to its clients.

Sheltered Living has dipped into its payroll reserve for the time being.

Sheltered Living serves 261 clients, adults and children, with intellectual disabilities.


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