State Audit Finds City of Homewood Lacked Oversight, Leading to Nearly $950,000 Embezzlement
The City of Homewood is reeling from a recent state audit that uncovered shocking financial mismanagement and embezzlement totaling nearly $950,000. Former finance director Robert Burgett pleaded guilty to three counts of wire fraud after admitting to transferring city funds to his personal account through falsified bank statements and accounting records.
The audit revealed a lack of internal controls and oversight by the city council and management, allowing for the misuse of city credit cards and unauthorized purchases totaling over $860,000 in FY 2023. City employees were found to have used city credit cards for personal items, with some purchases even being shipped to their homes.
Furthermore, the audit highlighted a lack of documentation for various expenses, including payments to colleges and universities for tuition reimbursement and purchases of tactical supplies for police officers. The city is now facing demands for reimbursement of over $29,000 in credit card purchases.
In response to the audit findings, the City of Homewood has implemented new policies and procedures, including hiring a new finance director and external CPA firm. The city is committed to addressing the issues raised in the audit and ensuring accountability for the use of public funds.
This scandal serves as a stark reminder of the importance of proper financial oversight and internal controls in government operations. The City of Homewood is now faced with rebuilding trust with its residents and restoring financial integrity in the wake of this devastating revelation.
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