In the wake of a $1 million embezzlement scheme at Tennessee's Shelby County Chancery Court, the county commission recently approved a resolution to improve the flow of information regarding both internal and external audits, according to The Commercial Appeal.
Commissioner Melvin Burgess proposed the resolution to ensure that the audit commission he heads has access to up-to-date information about investigations carried out in the county, including accounts payable audits and recovery audits. Although Burgess claims he has been making efforts to improve the effectiveness of the committee since before the Chancery Court embezzlement was discovered, the situation underscores the need for a more effective auditing system.
Last month, court clerk Dewun Settle resigned after he was found to have committed a number of financial oversights – the most egregious of which involved keeping an employee on the payroll for two months after indicators of embezzlement were first noticed, according to a separate article by the news source. The county's fraud protection policy was canceled as a result of the losses.