Audit Objective
Determine whether the Town of Throop (Town) Supervisor and Town Board (Board) ensured cash assets in the Supervisor’s custody were properly collected and disbursed.
Key Findings
The former Supervisor did not properly collect and disburse cash assets in his custody, nor did the Board ensure the Supervisor properly performed those duties. Our audit found $15,823 in missing funds. We also found that the former Supervisor:
- Was inappropriately reimbursed $1,526 for expenditures on the Town’s credit card.
- Did not deposit five cash receipts totaling $22,464 intact, which could indicate cash was diverted.
- Routinely circumvented the approval process by manually writing checks using a typewriter and blank check stock.
- Disbursed 106 payments totaling $782,518 prior to Board approval.
- Kept a Town computer used to record cash transactions upon leaving elected office. The computer was eventually returned; however, all data had been erased prior to its return.
In January 2024, the former Supervisor was arrested for stealing Town funds and pleaded guilty to grand larceny in the fourth degree and official misconduct. The former Supervisor was sentenced in February 2024.He paid full restitution of nearly $11,000 and was barred from seeking public office again.
Key Recommendations
- Ensure cash receipts are deposited intact.
- Ensure cash disbursements are adequately supported and have prior Board approval.
- Ensure all claims and supporting documentation are thoroughly and deliberately audited before approving for payment.
Town officials agreed with our recommendations and indicated they were initiating corrective action.