Henry County Bookkeeper Took Nearly $30,000 In Public Funds, Probe Finds

Friday, December 21, 2012

A bookkeeper for the Henry County General Sessions Court Clerk improperly took almost $30,000 in court funds for personal use over a five-year period, an audit by the Comptroller’s Division of Local Government Audit has revealed. 

Auditors were alerted to the potential problem after General Sessions Court Clerk Mike Wilson reported that some funds that were received in his office by mail were not recorded by the bookkeeper.

That prompted a wider look at the bookkeeper’s practices dating from Jan. 1, 2007 through Aug. 22, 2011. Auditors concluded that the bookkeeper pocketed cash paid to the office for court fines, costs and fees, then substituted checks received from other transactions that had not been recorded to reconcile the office’s records. 

The bookkeeper was fired and the auditors’ findings have been shared with the local district attorney’s office. 

Auditors said the bookkeeper had been allowed to manage all aspects of those fee collections, from the receipt of funds to the deposit and recording of them, which was a contributing factor that allowed the misappropriation of money to continue for such a long time.

Good accounting practices call for multiple employees to share money-handling responsibilities to reduce the opportunities for one individual to steal funds, officials said.

The audit also found that the offices of the county register and sheriff also had similar problems with failure to adequately separate money-handling responsibilities, although no funds were unaccounted for in those offices. 

"The lack of proper segregation of duties is a common problem in local governments across Tennessee, but it is also one that creates the potential for serious fraud to occur,” Comptroller Justin P. Wilson said. “Having more than one employee involved in processing financial transactions sets up a system of checks and balances – what our auditors refer to as ‘internal controls’ – that can prevent the theft of public funds. I encourage other local governments to learn from what happened in Henry County and take appropriate corrective action.”

Among other recommendations, auditors also suggested that Henry County centralize its accounting, budgeting and purchasing operations and set up its own audit committee to review the financial reporting process, internal controls, the audit function and other best practices in financial management.

To view the full report online, go to: http://www.comptroller.tn.gov/la/SpecialReports.asp


Latest Hamilton County Jail Booking Report

Here is the latest jail booking report from Hamilton County: BALDWIN, TOMMY LEE  2015 RAWLINGS ST CHATTANOOGA, 37406  Age at Arrest: 54 years old Arresting Agency: Chattanooga LEFT OF CENTER VIOLATION LEAVING SCENE OF ACCIDENT W/DAMAGE TO VEHICLE DRIVING UNDER THE INFLUENCE --- BENNETT, CARLA RUTH  2109 WILSON STREET CHATTANOOGA, 37340  ... (click for more)

Floyd Charged With Fighting Police Officer On Station Street In Incident Caught On Video

Police have charged 21-year-old William Alexander Floyd after a fight with an officer on Station Street that was caught on video and quickly shared on social media. Floyd, of Ringgold, Ga., was charged with assault, disorderly conduct, vandalism, public intoxication and resisting arrest. Police said they were providing crowd control in front of Regans Dance Club when a fight ... (click for more)

Will Chattanooga Miss Another Reinvestment Opportunity?

In April, First Tennessee Bank and the National Community Reinvestment Coalition announced an agreement on a $3.9 billion reinvestment plan for economic development in low to moderate income communities under the 1977 Community Reinvestment Act. The Chattanooga Times Free Press soon followed with an article reviewing the plan in depth. The plan presented Chattanooga, as well as ... (click for more)

Roy Exum: Are We Like Nazis?

Four years after William Styron’s best-seller ‘Sophie’s Choice,’ had achieved the highest height of an atrocity that the literary world had known at the time, a little girl who was birthed the same year as the book (1979) was cast as Meryl Streep’s daughter in the movie. The four-year-old blonde knew nothing about evil, not to mention the Holocaust, but she became enamored with ... (click for more)

Lookouts Break Out Their Bats In Saturday's Rain Shortened Game Beating Barons, 12-2

Birmingham AL --  On a wet night at Regions Field, the Birmingham Barons (32-36) fell to the Chattanooga Lookouts (36-33) by a 12-2 score on Saturday night in a rain-shortened contest. The Birmingham loss evens up the five-game series at two games each with one game to play in the first half. Rain and the Lookouts were the winners on Saturday night in Birmingham as the ... (click for more)

CFC Wins 2-0 At Inter Nashville FC

Chattanooga FC remained undefeated in NPSL play Wednesday night, beating Inter Nashville FC 2-0 in Nashville.   David Valenciano had CFC's first goal late in the first half.  Jose "Zeca" Ferraz scored the second goal minutes before the final whistle.  This is the fourth road game in the last two weeks and they play their final rode game at New ... (click for more)