DALLAS — Board members for the nonprofit that manages Fair Park in South Dallas will meet behind closed doors Monday, the latest in a series of private meetings after it raised concerns a subcontractor may have inappropriately spent money the group raised.
Brian Luallen, the CEO of Fair Park First, said in a statement he became aware a little more than a week ago that the company tasked with running day-to-day operations of the facility "inaccurately, and we hope inadvertently, allocated and utilized restricted funds raised by Fair Park First for daily park operations."
The day-to-day operator, Oak View Group, said "We vehemently deny any wrongdoing on our part." In a letter shared with WFAA, the group's legal counsel accused Luallen of giving city officials "false and/or incomplete messaging" and said it would take legal action to protect its interest if needed.
The Oak View Group letter said "We are confident – and have documentation to support – that all uses of donated funds were with the full knowledge and approval of Mr. Luallen, acting on behalf of Fair Park First."
Neither group -- nor the city -- provided information about how much money may have been misappropriated.
Members of the City Council and the Dallas Park Board were briefed on the matter behind closed doors this week. Several contacted by WFAA declined to comment.
In a statement, the city said "The city takes these concerns seriously and is taking all necessary and appropriate actions to protect the city’s interest."
Luallen said Fair Park First has formally notified Oak View Group that it intends to investigate.
"If the inaccurate and unauthorized reallocation of funds occurred, it is a significant matter and shakes our confidence and trust," he said in a statement.
He continued: "If we discover any restricted funds donated to Fair Park First were utilized incorrectly, we will do everything in our power, in partnership with the City of Dallas, to ensure those funds are returned and redirected as envisioned by the donors."
Oak View said in its statement "We are very proud of our work at Fair Park over the last 5 years and we take our operating and financial responsibilities seriously."
The Oak View Group spokesperson said it couldn't comment on the audit's findings because it has not received the results yet.