Kenneth M. Donohue, inspector general of the U.S. Department of Housing and Urban Development, has been hired by Reznick Group as a principal in the firm’s government services group.

Donohue will start with Reznick Group in October and will continue to focus on compliance, fraud and abuse, and prevention and protection internal controls on behalf of the firm’s federal and state and local government clients.

Nominated by President George W. Bush as HUD inspector general, Donohue was confirmed by the U.S. Senate on March 25, 2002.

For the past eight years, Donohue has been a pivotal player in the federal government’s effort to investigate fraud in the mortgage industry. Recently, he was one of three chairs along with the attorney general and FBI director to lead a federal task force to investigate and prosecute individual and corporate fraud. Their joint effort resulted in more than 1500 arrests and more than $198M in recoveries from Operation Stolen Dreams.

“Ken Donohue brings to Reznick Group and our clients a storied career in public service and unmatched expertise in the prevention and detection of fraud, waste and abuse in the mortgage industry, “said Reznick Group managing principal and CEO Ken Baggett in a statement. “Donohue’s addition to Reznick Group is yet another step on the part of our government services group’s goal to bolster our service offerings for federal agencies.”

“Reznick Group offers me an outstanding platform on which to continue my interest in the stewardship of funds to federal agencies and protecting the interest of the American taxpayer,” Donohue said. “Innovation, integrity and commitment to the job are hallmarks of the Reznick Group client experience for the past 30 years and I am proud to be joining this nationally-known team of accountants and financial professionals.”

Donohue had a distinguished 21-year career with the U.S. Secret Service as a special agent. After the Secret Service, in 1990, he was named assistant director of investigations for the Resolution Trust Corporation. At the RTC, his staff was successful in uncovering fraud and abuse among directors and officers of failed savings and loan institutions.

Donohue is a Certified Fraud Examiner and Certified Protection Professional with the American Society of Industrial Security.

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