November 26, 2010
DiNapoli's Office Completes Audit of the Village of Newark Justice Court
New York State Comptroller Thomas P. DiNapoli today announced his office completed the audit: Village of Newark Justice Court.
“My office’s audits of local governments improve their financial management practices,” DiNapoli said. “These audits are tools for local officials to make sure proper policies and procedures are in place to protect taxpayer dollars. The Newark board did not provide the necessary safeguards to ensure these taxpayer dollars are protected. The failure to record, deposit, and report court moneys in a timely manner increases risk. Thankfully, these deficiencies did not result in any lost or misused cash, but that doesn’t mean we’ll be so lucky in the future."
DiNapoli’s auditors found no systems in place to ensure that cash received by the court was properly accounted for and safeguarded. Furthermore, the board failed to enact adequate cash collection policies and procedures in the court, police department or the justice’s law office (where some fines and bails were collected). When these moneys were turned over to the justice, no receipts were exchanged. Failure to exchange receipts breaks the chain of accountability for the moneys. As a result, court moneys were at risk of being lost or misused. Although the internal controls were improved from April 1, 2005 to May 31, 2009, some deficiencies still existed.
For a full copy of the audit, see: http://www.osc.state.ny.us/localgov/audits/villages/2010/newark.pdf
If you have any questions, or would like a comment from the Comptroller’s press office regarding this audit, please call 518-474-4015, or send an email to firstname.lastname@example.org.