Several financial discrepancies have been discovered by an accounts payable audit of a new construction project for the Parkland Memorial Hospital in Dallas, Texas.
According to the Dallas Business Journal, the audit revealed that there is a severe lack of documentation to support contracting expenses for the construction. Additionally, there was insufficient internal controls over finances and costs. The project, on track to finish in 2014, will create more space for patient services within the facility.
Out of the $51 million in expenditures that were audited, $16 million were found to have not been operating effectively when they were paid out, states the source. The hospital has decided to implement stronger controls, oversight as well as a checks and balances system to avoid future instances of misappropriation.
The healthcare facility is also facing a fine of $1 million after several patients filed complaints against the hospital. The Texas Department of State Health Services is requiring the Parkland Health and Hospital System to pay the record amount, reports the Star-Telegram. This is due to several reasons, including improper surgery, failure to effectively manage medical records and lack of adequate nurses in certain areas, among other complaints.