Oral Roberts president faces corruption lawsuit

updated 8:01 p.m. ET Oct. 5, 2007

TULSA, Okla. - Twenty years ago, televangelist Oral Roberts said he was reading a spy novel when God appeared to him and told him to raise $8 million for Roberts’ university, or else he would be “called home.”

Now, his son, Oral Roberts University President Richard Roberts, says God is speaking again, telling him to deny lurid allegations in a lawsuit that threatens to engulf this 44-year-old Bible Belt college in scandal.

Richard Roberts is accused of illegal involvement in a local political campaign and lavish spending at donors’ expense, including numerous home remodeling projects, use of the university jet for his daughter’s senior trip to the Bahamas and a red Mercedes convertible and a Lexus SUV for his wife, Lindsay.

She is accused of dropping tens of thousands of dollars on clothes, awarding nonacademic scholarships to friends of her children and sending scores of text messages on university-issued cell phones to people described in the lawsuit as “underage males.”

Roberts: Suit about blackmail
At a chapel service this week on the 5,300-student campus known for its 60-foot-tall bronze sculpture of praying hands, Roberts said God told him: “We live in a litigious society. Anyone can get mad and file a lawsuit against another person whether they have a legitimate case or not. This lawsuit ... is about intimidation, blackmail and extortion.”

San Antonio televangelist John Hagee, a member of the ORU board of regents, said the university’s executive board “is conducting a full and thorough investigation.”

Colleagues fear for the reputation of the university and the future of the Robertses’ ministry, which grew from Southern tent revivals to one of the most successful evangelical empires in the country, hauling in tens of millions of dollars in contributions a year. The university reported nearly $76 million in revenue in 2005, according to the IRS.

Oral Roberts is 89 and lives in California. He holds the title of chancellor, but the university describes him as semi-retired, and his son presides over day-to-day operations on the campus, which had a modern, space-age design when it was built in the early 1960s but now looks dated, like Disney’s Tomorrowland.

Students worry about school's reputation
Cornell Cross II, a senior from Burlington, Vt., said he is looking to transfer to another school because the scandal has “severely devalued and hurt the reputation of my degree.”

“We have asked and asked and asked to see the finances of our school and what they’re doing with our money, and we’ve been told no,” said, Cross who is majoring in government. “Now we know why. As a student, I’m not going to stand for it any longer.”

The allegations are contained in a lawsuit filed Tuesday by three former professors. They sued ORU and Roberts, alleging they were wrongfully dismissed after reporting the school’s involvement in a local political race.

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