The Astor Street Opry Co. has acknowledged staffing missteps that jeopardized the organization’s financial stability and left the board in “a state of shock and disillusionment.”

The W. Bond Street playhouse, which wrapped the 40th season of the melodrama “Shanghaied in Astoria” last weekend, faced a public auction at the Clatsop County Courthouse this month.

On Thursday, in a post on the Astor Street Opry Co.’s Facebook page addressed to theater patrons and the community, the board said they “take full responsibility for these errors and are committed to learning from them as we move forward.

“We have been diligently investigating discrepancies within our financial and operational records. Sadly, we have uncovered instances of dishonesty by individuals associated with the theater during and through Covid, leading to a substantial loss of funds and damage/loss to our equipment and property,” the board wrote. “The extent of these findings has proven to be far greater than initially anticipated, leaving us in a state of shock and disillusionment.

“The challenges of 2023 were particularly demanding, with numerous repair issues and escalating expenses that have put additional strain on our resources. The realization that we were subjected to fraudulent activities has compounded our difficulties, putting the organization in a vulnerable position both financially and operationally.”

The board said they felt it was essential to provide clarification and transparency, but the social media post did not detail the financial difficulties that prompted the scheduling of a public auction of the property. The post made references to a modified mortgage, the sale of the theater’s loan and new and more favorable financing.

“We are currently assessing the full impact of these losses and have taken appropriate measures to recover from this setback,” the board said. “Rest assured that we are working closely with our legal team to ensure that such events do not occur again and that we can fortify our internal controls going forward.”

Taz Davis, an Astor Street Opry Co. board member, said Friday that they were working on finalizing financial paperwork. According to a legal notice published in The Astorian, the public auction had been set for Tuesday.

A board statement released over the weekend said the theater is “pleased to announce a new partnership with a generous local supporter who has graciously stepped in as our new mortgage trustee.”