New Mexico Attorney General Raúl Torrez has filed an amended complaint against former Western New Mexico University President, Dr. Joseph Shepard and the university’s former Board of Regents, adding to the New Mexico Department of Justice’s case against them. The amended complaint expands on the original allegations by adding an aiding and abetting claim and attacking the indemnity clause in Dr. Shepard’s separation agreement, including the provision committing the University and an unknown amount of additional public funds to pay for Dr. Shepard’s legal counsel, as an additional constitutional violation.
“Public officials and university administrators have a legal and ethical responsibility to act in the best interest of the institutions they serve, not their own financial gain,” said Attorney General Torrez. “This case underscores the urgent need for greater transparency and accountability in higher education governance, which is why we are taking bold legislative action to prevent similar abuses in the future.”
The amended complaint reaffirms the original claims of breach of fiduciary duty, lack of consideration, unconscionable contract terms, violations of the Anti-Donation Clause, violations of the Open Meetings act, and unjust enrichment. It further alleges that Dr. Shepard knowingly assisted or encouraged the Board to prioritize his personal financial interests over their fiduciary duty to the university and the public, facilitating an improper and expedited payout.
On Monday, Attorney General Torrez, alongside – Senate Finance Chair George Muñoz and Speaker of the House Javier Martínez – introduced a transformative higher education reform package, including a proposed constitutional amendment and enabling legislation, to increase transparency and accountability, and reinforce the essential fiduciary responsibilities of university administrators and Boards of Regents. The package has been filed and consists of House Judicial Review (HJR) 12 and Senate Bill (SB) 266.
Original source can be found here.