The Social Justice Co-Op of Newfoundland and Labrador says they have been left in a precarious position after a former board member allegedly misappropriated some $60,000 in funds.

The organization says they became aware on February 13, involving a board member who has since formally resigned.

They say the board has tightened controls and strengthened banking security protocols to safeguard existing fund.

The board admits that the impact of the situation to the group, including members and community partners, is “enormous.”

They say they are committed to hearing from everyone impacted by the situation, and are taking measures to ensure such a situation does not happen again.

As well, they say that in order to ensure their sustainability the board has paused Cooperative-funded activities until further notice, as well one staff member has been laid off.

The board remains firm in their ability to overcome the situation, noting that their “demonstrated resilience and collective power” will help them move forward.