Former CEO of Merced health clinic fired and sued for mishandling finances

Leaders of Horisons Unlimited Healthcare, a clinic serving Merced and Mariposa counties, have filed a suit against their former CEO and her family for alleged mismanagement and misuse of funds.

The lawsuit filed in Merced County Superior Court last month alleges former CEO Sandra Haar, her husband, two daughters and a former board member engaged in misconduct that allowed Haar and her family to profit from the clinic.

Among several allegations, Haar is alleged to have authorized “excessive personal salary and benefits” without the knowledge of the clinic’s board; authorized and received a loan of $758,346 that was used to “purchase properties that were then to be leased to and occupied by Horisons,” and employing her husband for an annual salary of $65,000 with a $50,000 annual pension “even though he had no formal position or actual operational duties.”

The alleged misconduct came to light after Haar went on medical leave at the end of December and appointed Cylia Estrada as the interim CEO, the suit says.

In Haar’s absence, Estrada and Horisons CFO Daniel Kazakos “discovered several issues of misconduct” and opened an investigation.

Haar, who had been CEO since the clinic’s opening in 2004, was fired from her position in early February, according to the suit.

Reached by phone on Monday, Haar’s husband, Norman, said neither he nor his wife wished to comment to the Sun-Star.

Norman Haar owns Norman Haar Rental Property, which leases several properties to Horisons, according to the suit.

The document also alleges that Haar established a 401K plan for her and her husband, paid herself an “excessive personal salary” with benefits and made undocumented cash transactions between herself and Horisons without the knowledge of the non-profit’s board.

The lawsuit states Sandra Haar is believed to have made “undocumented” lease arrangements and vendor relationships with other companies owned by the Haars and one of their daughters, Sara Price, who is among the defendants. Another daughter, Katie Haar, and former board member Barbara Rolland also are named.

The suit also alleges that “despite being removed as company CEO,” Haar continued to hold herself as a representative of the clinic, trespassed on the company’s premises, attempted to misappropriate or convert the company’s property, and engaged in a continual “barrage of harassment toward company executives, board members and employees.”

Horisons Unlimited, with eight locations in Merced and Mariposa counties, offers patients pediatric, OBGYN, chiropractic, dental, family practice and mental health services.

This story was originally published April 17, 2017 at 5:50 PM with the headline "Former CEO of Merced health clinic fired and sued for mishandling finances."