Former University of New Mexico athletic director acquitted of embezzlement charges in lavish golf trip case

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Former University of New Mexico athletic director Paul Krebs has been found not guilty of embezzlement charges that stemmed from accusations that he used public money for a lavish golf trip that he said was meant to strengthen relationships with donors.

The verdict was reached just after 10:30 a.m. Friday following a trial in state district court. Krebs raised his head in relief as the verdict was read, the Santa Fe New Mexican reported.

"We think justice was done. It was a long, slow process, but we’re glad it’s over," Krebs' attorney, Paul Kennedy, told The Associated Press in a brief phone call after the verdict. "He’s a good man, and it’s the correct verdict that he should be acquitted."

Krebs left the university in 2017 amid questions over spending and was later indicted by a grand jury on multiple charges. Weeks before the trial, prosecutors dropped all but two of the embezzlement counts following a review of the case.

State Attorney General Raúl Torrez said in a statement that his office was disappointed by the jury’s decision.

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"Despite today’s verdict," the statement said, "the New Mexico Attorney General’s Office remains committed to protecting the public interest and ensuring that public leaders hold themselves to the highest level of integrity and professionalism."

Kennedy told jurors at the start of the trial that Krebs did not commit a crime because he received no financial benefit from the 2015 trip to Scotland.

The University of New Mexico's former athletic director, Paul Krebs, has been acquitted of embezzlement charges over the alleged misuse of public funds for a golf trip to foster donor relations.

On Thursday, before the case went to the jury, Krebs took the stand and fielded questions from prosecutors about his lack of knowledge of university policies and his response to media reports about the international trip, the Santa Fe New Mexican reported.

Krebs, 66, was accused of using university and Lobo Club funds to help pay for the trip, which included himself and family members, several prospective donors, and former UNM men’s basketball coach Craig Neal. The Lobo Club is a nonprofit fundraising organization that helps student-athletes.

At the time he announced his retirement in 2017, Krebs was the longest-tenured athletic director in Mountain West Conference history. He was hired by UNM in 2006.

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Prosecutors allege that the athletics department paid about $24,500 for golf tours for three people not affiliated with the university or the UNM Association. They also claim that Krebs used $13,625 in university funds to reimburse the Lobo Club for a golf tour package after Lobo Club funds were used to pay a deposit to a travel company.

Many of the witnesses called to the stand explained how the Lobo Club operated and described the inner workings of the accounting procedures for moving money between university departments.

During the trial, Judge Cindy Leos paused the proceedings after learning that at least one television station violated an order by livestreaming while court was in session. She ordered cameras from the local television outlets to be removed from the courtroom.

Leos had issued an order ahead of the trial that set guidelines for media outlets given interest in the case.