This is just not right. I would certainly let the head office know the problem you had, no telling how many other have been taken advantage of by this one employee.
My DD gave me lots of nice clothes to donate to a local church clothes closet. There had been an apt. fire and many were without clothing. One week later I was at the church helping set up for a wedding and the church secretary two daughters walked in WEARING my DD's donated clothes! Jeans, tops, sweater, hoodie, even the shoes! This family is not in need of anything! I went right to the secretary and asked her why her girls were wearing donated clothes from the church clothes closet. She turned red and stammered a few words. I talked to the pastor and he just shrugged his shoulders. I have never been back to that church.