AP audit reveals misappropriation of funds at healthcare nonprofit

Jefferson Community Health Care Centers (JCHCC), a nonprofit organization in Louisiana, recently underwent an accounts payable audit after the company allegedly misused more than $537,000 in public funds.

After the Louisiana Legislative Auditor Daryl Purpera released the findings from the audit, the CEO of JCHCC resigned from her position and the CFO was fired. The AP audit found that approximately $194,039 went toward excessive payments, including janitorial, legal and management services to various companies, and there was also a significant lack of documentation for the funds. It was revealed that $207,135 was improperly transferred to the personal account of the former CFO, Ebony Williams. Additionally, public funds were used by JCHCC to cover costs for unearned leave benefits, political donations and uncollected personal loans.

According to WWL-TV, the clinic also misappropriated funds by making improper payments to a company owned by a state representative that had a rebuilding contract with the Jefferson Parish government following Hurricane Katrina. JCHCC officials say steps have been taken to implement new policies and integrate the audit's recommendations in order to avoid similar situation from happening again, states the news source.

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