Charlotte’s equity initiative leader resigns after questions surrounding previous role in

CHARLOTTE, N.C. — The woman hired to lead the city of Charlotte’s new racial equity initiative has resigned, according to a statement posted to her LinkedIn.

This comes after Channel 9 learned Kimberly Henderson previously led an agency that has been accused of mishandling billions of dollars, according to an audit.

In early February, Henderson was named the executive director of the Employer Office of Inclusion and Advancement to help support Mayor Vi Lyles’ “Mayor’s Racial Equity Initiative.” It’s a $250-million campaign to help address racial equity in the Queen City.

[ PREVIOUS COVERAGE: City’s racial equity initiative leader ran Ohio agency that mishandled $3.8B, according to audit ]

Before moving to North Carolina, Henderson was director of the Ohio Department of Job and Family Services.

Claims of fraud at Henderson’s last job totaled $3.8 billion, which prompted calls for a criminal investigation.

The State Auditor’s Office in Ohio said during the time when Henderson worked there, they found more than $475 million had been paid to criminals and more than $3.3 billion in overpayments in the state’s unemployment system during the pandemic.

The Ohio state attorney general’s office has called for an investigation.

The Charlotte Regional Business Alliance hired Henderson for the role with the “Mayor’s Racial Equity Initiative.”

“Janet LaBar has taken responsibility for the recent staffing decision, and we all regret the negative attention this process has brought to the Mayor’s Racial Equity Initiative and to Mayor Lyles. We are deeply sorry for the distraction this has caused to work that is critically important to our community. We also want to formally acknowledge the resignation of Kim Henderson as Executive Director of the Employer Office of Inclusion and Advancement. We are committed to more conversation, better process, and involvement with the Mayor and the broader community moving forward,” the Charlotte Regional Business Alliance said in an open letter Monday.

[ ALSO READ: Charlotte announces $250 million investment in step toward racial equity ]

Full statement from Henderson, posted to her LinkedIn:

“After careful consideration, I have decided that stepping down from my new role as Executive Director of the Employer Office of Inclusion and Advancement is in the best interest of the continued success of the Charlotte Mayor’s Racial Equity Initiative. The work of the Initiative is too critical to be jeopardized in any way by public misperceptions related to my prior leadership as a Cabinet Director for Ohio Governor Mike DeWine.

I am deeply sorry for the negative attention that has been brought to the Mayor’s Racial Equity Initiative, Mayor Lyles, and the Charlotte community.

I am not the subject of any criminal investigation. In response to the pandemic, my top priority as Director of the Ohio Department of Job and Family Services was assisting nearly two million citizens in need as quickly as possible. Foreign and domestic criminals used the pandemic as an opportunity to defraud unemployment benefits systems across the nation at an unprecedented scale.

Many of the improvements that were launched during my tenure are now fully operational. I am proud of what my team accomplished for the citizens of Ohio in the midst of historic challenges.

I appreciate the confidence in my leadership abilities that Janet LaBar, Malcomb Coley, and Michael Lamach have shown. I am also grateful for the kind people that I have met in Charlotte.

I am a devoted servant leader of high integrity. With the support of my husband and son, and a strong commitment to my faith, I look forward to continuing impactful work in Charlotte.”

(WATCH BELOW: Leader of Charlotte’s racial equity initiative ran Ohio agency at center of fraud investigation)