Murky waters.

Byline: The Register-Guard

Anyone who has visited the "Passages of the Deep" exhibit at the Oregon Coast Aquarium in Newport knows there are some strange and ominous-looking creatures swimming and crawling about in this re-creation of the ocean's depths. Likewise, anyone familiar with the nonprofit organization's recent history knows there are some strange and ominous-looking financial dealings that need to investigated and explained.

A July 19 article by Register-Guard reporter Larry Bacon disclosed that Phyllis Bell, who has resigned as chief administrator of the aquarium, took out a $2 million loan for the aquarium, apparently without the knowledge of her board of directors and without authorization under the organization's bylaws. It appears that the loan may have been intended to cover $2.8 million in excess construction costs - an overrun that Bell also reportedly failed to disclose to the board.

Then there's the matter of more than $600,000 in vendor charges, some of them more than a year old, that have yet to be paid - and of which the board also was unaware.

Something smells fishy at the Oregon Coast Aquarium - so fishy the board has turned over information about the loan and other unreported financial transactions to the Lincoln County district attorney's office and the U.S. attorney's office in Portland.

That's an appropriate and necessary move. The disclosures raise many questions, ranging from the possibility of criminal activity to the board's puzzling detachment from the aquarium's financial realities. So far, there is no indication that any money is missing, and a full financial audit, currently under way, has yet to be completed.

The aquarium is a vital resource for the Oregon Coast, and Bell was the driving force in the conversion of a raggedy stretch of Yaquina Bay shoreline into an internationally known tourist attraction. She presided over the initial $24 million construction and opening, which were followed by floods of tourists that provided - and still provide - a huge boost to the local economy.

Bell was also at the controls seven years ago when the aquarium undertook the rehab of Keiko, the celebrity killer whale that was ailing in an undersized Mexico City aquarium. It was a shrewd move that brought a tidal wave of visitors - 1.3 million the first year after the charismatic Keiko went on display.

After Keiko's hyper-publicized departure, Bell recognized the need to replace the whale with another major draw, and she pushed for what was billed as an $8.8 million conversion of his old tank into the "Passages of the Deep" display. Attendance, which had sagged after Keiko split the scene, rebounded.

During a tenure of more than a decade, Bell served as the aquarium's president, executive director, chief financial officer and even as its spokesperson - an obviously oversized role that helps to explain the board's lack of knowledge of the aquarium's finances.

Thanks in no small part to the now-departed administrator's energy and vision - and to the faithful dedication of donors, staff and volunteers - the aquarium does not appear to be in immediate financial danger. But it's imperative that questions about the aquarium's financial dealings under Bell's leadership be fully investigated - and resolved as quickly as possible.