Bryan Cohen May 7, 2013, 5:10pm

CHICAGO (Legal Newsline) - Illinois Attorney General Lisa Madigan filed a lawsuit Monday against the former chief financial officer of the Marcy-Newberry Association social services charity after he allegedly misappropriated more than $205,000.

Donald Chew allegedly misappropriated at least $205,372 from the charity's accounts in violation of the state's Charitable Trust and Solicitation for Charity acts. MNA is a social services charity that assists adults and children on the West side of Chicago.

"The Marcy-Newberry Association provides vital assistance such as early childhood education, after-school programming, job training and senior services for some of the neediest in our communities," Madigan said. "By taking charitable contributions, it damages the people who rely on the good works of this charity and violates state law."

The Illinois Department of Insurance brought action against Chew in December 2011 for allegedly selling insurance policies without a license through Reassurance Health Inc., his for-profit company. The IDOI alleged that Chew made multiple large and questionable transfers of money from MNA's accounts into his personal and business accounts. MNA terminated Chew's employment and alleged Chew misappropriated at least $205,372 in charitable funds.

Madigan's lawsuit requests that the court require that Chew account for any misappropriated funds, forfeit any salary and compensation he received from MNA while he was in violation and pay a $50,000 civil penalty for each violation of the Charitable Trust and Solicitation for Charity acts. The lawsuit also requests that the court permanently prohibit Chew from acting as a charitable fiduciary in Illinois and hold Chew liable for at least $205,372.

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