Former Lab Director Stanley Formally Terminated by UK

The University of Kentucky has terminated the employment of former lab director Scott Scanley following what they call “a serious breach of ethics and policy violations related to misconduct and mismanagement of the institution's former Equine Analytical Chemistry Lab (EACL), which provided drug testing for the equine industry,” according to a Sept. 11 press release from UK.

After the initial findings from a UK Internal Audit investigation, the university announced last September that it had begun the process to revoke Scott Stanley's tenure as a faculty member, with the intention of terminating him as a university employee.

The press release says that among the audit findings was confirmation that a test commissioned by the Horseracing Integrity and Welfare Unit (HIWU)–a result that Stanley reported-was never performed. The findings also indicate that some other test results may have been compromised by Stanley's actions, according to UK.

UK says that Stanley exploited vulnerabilities in technology, governance and oversight, the audit concludes. Additionally, they say that investigation found that Stanley potentially engaged in business and employment relationships that constitute conflicts of interests. Specifically, Stanley purposefully chose not to disclose external work, violating university rules requiring disclosure, UK says.

Stanley was charged with the following violations:

1. Failure to perform duties: Misrepresentation, falsification of test results and fraudulent billing
2. Failure to perform duties and/or incompetence: Lack of internal controls (to prevent tampering and manipulation of data) and lack of oversight of EACL operations
3. Failure to perform duties and/or incompetence: Conflicts of interest/commitment and improper hiring practices

The decision made Thursday by the Board of Trustees concluded a year-long process in accordance with the university's Administrative Regulations, which included:

• Charges presented by the provost to Stanley and the opportunity for him to respond
• A review and recommendation by the Faculty Advisory Committee on Privilege and Tenure to the president to initiate dismissal proceedings
• The opportunity for Stanley to be heard by the Faculty Advisory Committee on Privilege and Tenure
• A report from the committee to the president confirming adequate cause for dismissal has been established
• An additional opportunity for Stanley to respond before the case was sent to the Board of Trustees
• And, prior to a final decision to dismiss Stanley from the university, the right to a hearing before the Board of Trustees. Stanley waived that right, according to the press release.

In lieu of the hearing before the Board of Trustees, the process concluded with a board special session on Sept. 11. Board members questioned both Stanley's attorney and the university's attorney on the matter and reviewed university and legal filings. They subsequently voted to revoke his tenure and dismiss him from university employment.

“At the University of Kentucky, we are committed to advancing Kentucky through research and service of the highest quality,” said UK Board Chair Britt Brockman. “We must uphold the highest ethical standards and comply fully with university and industry regulations. Any violations of these policies are taken seriously and addressed to maintain the integrity of this work – the work of thousands of people across this institution.”

In February 2024, the UK College of Agriculture, Food and Environment (CAFE) first began investigating Stanley's management of the lab. At the same time, the Horseracing Integrity & Welfare Unit (HIWU) and Horseracing Integrity and Safety Authority (HISA) met with the college to raise concerns about the lab's management and customer service. Soon after that meeting, HIWU informed the college that they had evidence that Stanley lied about analyzing a sample. Once university officials became aware of these concerns, the university launched a thorough investigation through its Internal Audit office, working in parallel with HIWU to uncover facts and remedy issues.

In the early stages of the investigation, UK auditors, based on information systems evidence, said they had confirmed that Stanley had not performed at least one contracted test and, in other cases, had not followed certain protocols in accordance with industry standards as established by HISA.

In March 2024, Stanley was removed from his administrative role as director of the lab. Stanley's tenured faculty position is distinct from his role as lab director and disciplinary action with respect to his employment at the university was a separate process.

In September 2024, following a months-long investigation, UK Internal Audit published its draft report and the university announced it was initiating the tenure termination process.

When reached for a statement, Scott Stanley's legal representative said, “Dr. Scott Stanley strongly rejects the University of Kentucky Board of Trustees' decision to revoke his tenure, calling the process 'deeply flawed and fundamentally unfair.'

“Dr. Stanley categorically denies the University's allegations and disputes the conclusions of both the UK Internal Audit and the Horseracing Integrity & Welfare Unit (HIWU) Report. Despite repeated requests, he was never granted access to the underlying evidence, data, or witness notes, only the reports that, he says, 'confuse speculation with proof.'

“He points to an email obtained through subpoena in connection with his on-going defamation suit against Dr. Cecily Wood, Stanley v. Wood, 24-CI-4027, Fayette Circuit Court, between HISA CEO, Lisa Lazarus, and Nancy Cox, Dean at UK CAFE in which HISA instructed the University that it 'cannot possibly allow Dr. Stanley to work in any way, shape or form in the horseracing industry,' a directive made before either the internal audit or the HIWU investigation were complete.

“I have devoted my career to science, integrity, and transparency,” Stanley said as part of the statement. “Tenure exists to protect due process, yet that principle has been disregarded. I am considering all legal remedies to ensure fairness is upheld.”