Rep. Mary McAllister: Safe Sex Scammer

Updated March 4, 2009

A cynic might suggest public school attendees can’t read package instructions. But according to the audit and the organization’s IRS Form 990 reports, the non-profit’s largest expenditure isn’t for condoms or assistance to sickle cell treatment. Instead, it’s for executive director Mary McAllister’s $115,000 salary.

McAllister, a Cumberland County Democrat, solicited and received nearly $1.5 million in state grants for Operation Sickle Cell from 2004-2007, while she was serving in the State House of Representatives. The money was supposed to be used for public health purposes like AIDS prevention through safe sex education, but the state auditor documented that the grant funds were misused under McAllister’s leadership.

The questionable use of funds came to light after famed public watchdog Joe Sinsheimer filed a complaint which also led to investigation of fellow Shamed members Jim Black and Thomas Wright. Sinsheimer alleged that McAllister’s illegally paid herself a salary out of her campaign account.

While awaiting a hearing before the State Board of Elections regarding the complaint, it was discovered that McAllister had filed a bill in the General Assembly to appropriate $500,000 to the non-profit Operation Sickle Cell, of which she served as executive director. The revelation triggered the antennae of the state auditor, who launched an investigation that McAllister fought at every turn.

After repeatedly being denied access full disclosure to the records of the organization, the auditor was forced to issue subpoenas to gain access. The resulting auditor’s report revealed that while McAllister’s salary was not unethical, the actions of the organization in failing to comply with an audit by his office were “unlawful.” Further, computers bought with taxpayer money had actually been used for political mailings and ad production for McAllister’s political campaigns. That fact was learned after a judge ruled that Operation Sickle Cell had no legal right to conceal the contents of computer hard drives from auditors, who also found questionable records of spending and missing equipment.

On September 7, 2007, the State Board of Elections fined Rep. Mary McAllister $16,294 for making improper loan repayments to herself for campaign loans she never made, failing to report campaign contributions and illegal depositing some campaign contributions into personal accounts.

Still, as she was safely ensconced in her House seat, McAllister’s situation led to a bigger question for taxpayers and voters – why did her fellow lawmakers keep pouring money into McAllister’s rat hole after serious ethical clouds were already swirling around her?

• In 2007, the Board of Elections fined her $15,000 for violating campaign laws including improper payments to herself. (News & Observer 6/28/07)
• In 2005, she was under fire for her excessive salary, then $108,000, which exceeds the minimum pay of the Cumberland County Health Director (News & Observer 3/11/05, Cumberland County pay scale 2008) – and far exceeds the salaries paid to other Operation Sickle Cell leaders.
• In 1997, she admitted using a state car and infamous DMV hack Algie Toomer as her Chauffeur. (News & Observer 12/30/97)

All the warning signs of a rip-off were in obvious sight years ago at Operation Sickle Cell, whose tax filing for 2006-07 indicates a clear lack of private enthusiasm for the non-profit. Only 5-percent of the organization’s receipts came from private sources, with the rest coming from taxpayers, mostly without their knowledge.

Would the organization be operational today were it not for the political sway of Rep. Mary McAllister, whose appalling lack of judgment earned her a place in the Capitol Monitor’s Hall of Shame?