Urban League Board chairman doubts CEO's resignation stemmed from fraud allegations

The chairman of the Urban League of the Upstate Board said Tuesday that he doubted a potential investigation into fraud allegations in the organization contributed to CEO Bill Whitney's resignation announcement.

Whitney announced Monday that he would step down next month as the Upstate organization's chief executive officer, but did not give a reason for his departure.

"He gave no specific news peg as to why he's leaving," said Bern Mebane, the Urban League's Regional Board chairman.

Mebane said Whitney told him about two weeks ago that he thought it was time to retire.

"He gave us a letter and said it had been his second love for 27 years, and it was time to move on," Mebane said.

Whitney's announcement came less than two weeks after news reports surfaced about Urban League employees writing letters to the organization's national president, claiming they had been told to commit Medicaid fraud in order to fulfill billing goals.

Officials from the state Department of Health and Human Services later determined the Urban League had overcharged the government three times during the past year, and the organization is paying the state for the discrepancy.

Health and human services officials also contacted the S.C. Attorney General's Office, which is currently determining whether a full investigation is needed.

"It's just an unfortunate sequence of events," Mebane said. "He's put his blood, sweat, and tears into the Urban League."

Whitney did not return calls seeking comment Tuesday.

The Urban League of the Upstate has fallen short of fundraising goals in recent months, which forced Whitney to cut several positions earlier this year.

Spartanburg Mayor Bill Barnet, a former board member of the Urban League's Spartanburg branch, said Whitney has "stood the test of time" and led an organization during changing times.

"Bill Whitney has labored in a world of trying to attract public and private resources to help with key housing, education and quality-of-life services to people of poverty," Barnet said. "He's labored with great care and with great energy and he's made a significant contribution to a key institution in our society."

Mebane said the board hopes to find a replacement for Whitney by Jan. 1. In the meantime, Mebane said trustees might hire an interim to fill in after Whitney leaves Aug. 31.

Ashlei N. Stevens can be reached at 562-7425 or Ashlei.stevens@shj.com.