A recent accounts payable audit of the city of Lindsay, California, found that poor recordkeeping and a lack of internal controls resulted in financial mismanagement, according to the Fresno Bee.
Several problems were uncovered by the AP audit, including staff members' failure to balance cash accounts on a monthly basis. This led to several unexplainable credit card and travel expenditures going unchecked. City manager Rich Wilkinson asked the Tulare County District Attorney's Office to look into the audit findings in an effort to identify potential criminal wrongdoing.
Mismanagement was also rife within the city's redevelopment agency, as state funds for home loans were found to have been improperly disbursed to people who made too much money to qualify.
According to a separate article by the news source, the Tulare County Association of Government asked the city to repay $3.75 million in public funds that it used to upgrade streets and sidewalks as a result of insufficient documentation. Although Wilkinson argued that the city does not owe the full amount, TCAG chairman Pete Vander Poel threatened to sue if it is not repaid.