Statement to Saint Mary Parishioners
From the Most Reverend Paul J. Swain
Apostolic Administrator, Diocese of Sioux Falls
January 31, 2020
Memorial of Saint John Bosco, Priest

Regarding Revelations Concerning the Finances at Saint Mary Parish, Sioux Falls

It is with a heavy heart that I write to inform you that your former pastor, Father David
Desmond, has been indicted for inappropriate receipt and use of parish funds.
After being confronted over his inattentiveness to pastoral responsibilities, including
repeated absences from the parish, he resigned his pastorate and accepted being placed on leave
without faculties, meaning he would no longer be allowed to publically-function in priestly
ministry. Father Desmond accepted this stipulation with the counsel of his Canonical advocate.
This leave became effective July 10, 2019. He has been supported financially by the diocese
these last months in accord with Diocesan policy.
Following Father’s departure, a review of the financial records of the parish was
conducted by the Finance Office of the diocese. The initial review revealed irregularities. Given
those findings, Eide Bailly, a reputable and independent accounting firm, was engaged to
perform a forensic accounting examination of parish financial records.
Eide Bailly’s examination of St. Mary’s financials evidenced multiple examples of
irregularities. The irregularities included questionable bank disbursements and Father
Desmond’s use of altered or duplicated receipts when submitting for reimbursement. Over a
five-year period, the examination identified $95,394.87 in questionable parish disbursements.
Based on these independent findings and with the assistance of legal counsel, I referred
the independent forensic accounting examination report to the States Attorney in Minnehaha
County. This decision to take the report to law enforcement was rooted in our moral
responsibility to assure justice, my pastoral responsibility to ensure fiscal stewardship and
practice transparency in the administration of financial matters, and the reality that funds of the

 Statement to Saint Mary Parishioners
January 31, 2020
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parish are the result of sacrificial giving by parishioners. At the direction of the States Attorney,
the Sioux Falls Police Department conducted an investigation.
Finding the irregularities noted to be criminal in nature, the States Attorney convened a
grand jury which issued an indictment against Father Desmond for grand theft embezzlement.
The Court authorized a warrant for Father Desmond’s arrest.
Father Desmond deserves the right to the presumption of innocence and to counsel as all
citizens of our democratic republic deserve. We of course are also concerned about his personal
and spiritual well-being and will offer support in the ways the Diocese is able.
This is a heavy burden for us all. Given that the criminal proceedings are not concluded,
it would be inappropriate for me to comment further. However, a public meeting will be held in
St. Mary Church on Thursday, February 6 beginning at 7 PM to assist parishioners as they
process this difficult news. Diocesan officials will be present at the forum.
It is important that parishioners know that the parish has insurance for employee
dishonesty and that a claim for losses has been submitted to the insurer.
Please pray for Father Desmond, for the faithful of Saint Mary parish during this early
Lent, and for those in government who defend the rights and responsibilities of our
representative republic and our personal rights.
May Our Lady, Saint Joseph and Saint Thomas More pray for and intercede for us all.