Stevens Tech settles NJ lawsuit over financial mismanagement; president to resign in July

Stevens Tech settles NJ lawsuit over finances

TRENTON, N.J. — Stevens Institute of Technology has settled a lawsuit filed by the state of New Jersey that alleged financial mismanagement and excessive executive compensation.

Under terms of the settlement announced Friday, the school’s board of trustees will retain former state Supreme Court Justice James Zazzali to oversee reforms for the next two years.

The Hoboken-based college’s president, Harold J. Raveche (rah-VEE’-chee), will resign on July 1.

A civil complaint filed last fall by Attorney General Anne Milgram alleged Raveche’s administration spent more than was authorized by the board and improperly used endowment funds to pay university expenses and as collateral for lines of credit.

It also alleged excessive compensation of Raveche.