A couple days ago, news broke of the ATF taking over a break-in investigation at the Whitley County Sheriff’s office.
Whattya know? There’s more trouble for the sheriff. Auditor of Public Accounts Crit Luallen has released (you guessed it) two audits of the Whitley County Sheriff showing a total deficit of more than $216,000. The audits have been referred to the FBI for a $92,015 deficit. In June, five sheriff’s audits were referred to the FBI for a $124,000 deficit.
- 2008 fee account, used for day-to-day operations, had a $4,426 deficit
- 2007 fee account was used for 2008 fee receipts, creating a cumulative deficit of $15,054, including $10,628 from the 2007 account.
- The tax account has a deficit of $87,589.
- The audits recommend personal funds be used to cover the deficits
From a random sampling of taxpayer checks to the sheriff, auditors found:
- Eight taxpayers’ checks for 14 tax bills totaling $3,600 more than the amounts marked as paid on the tax bills and reported by the sheriff’s office
- Three of these 14 bills were marked as if they were paid during the face period and were reported to the taxing districts at the face period amounts. However, the sheriff’s office received payment at the five percent penalty amount.
- The remaining 11 bills were marked as if they were paid during the five-percent penalty period and were reported to the taxing districts at the five-percent penalty period amount. However, the sheriff’s office received payment at the 21-percent penalty period amount.
Auditors found that the sheriff didn’t maintain proper documentation for receipts and disbursements of the drug and alcohol account. This has occurred in previous audits of the office.
It only gets worse from there, so let’s dig in to the 2007 tax account and 2008 fee account audits…
REPORT OF THE AUDIT OF THE WHITLEY COUNTY SHERIFF’S SETTLEMENT – 2007 TAXES
The Sheriff’s Office Did Not Properly Account For And Distribute All Tax Payments Received From Taxpayers — As I mentioned earlier, 8 taxpayer checks for 14 tax bills totaled $3,600 more than the amounts marked as paid on the tax bills reported by the sheriff. 3 of the 14 were were marked as if paid during the face period. However, the sheriff received payment at a 5% penalty. The other 11 bills were marked as if they were paid during the 5% penalty period but were paid at the 21% penalty amount.According to the audit, supplemental reports can be used to conceal the theft of tax payments.
The sheriff didn’t respond.
The Sheriff Should Not Deposit Fee And Drug Account Money In His Tax Account — 127 checks that should have been deposited in the 2007 fee account totaling $3,923, one drug fund check totaling $1,400 and 239 checks meant for the 2008 fee account totaling $25,677 were deposited in the 2007 tax account.
3 of the 2008 fee checks totaling $10,029 were reimbursements for 2008 deputies’ salaries paid with Kentucky Law Enforcement Foundation Program Funds. 2 other 2008 fee checks totaling $5,023 were payments to the sheriff’s office for transporting prisoners and serving as a bailiff of the court. All 5 of the payments were posted to the 2008 fee receipts ledger. The auditor found that deposit details were altered after deposits had been made. They were able to determine that several smaller checks and cash made up the deposits to the 2008 fee account.
The sheriff didn’t respond.
Trust me – you’re going to want to read the rest of this mess after the jump…
Read moreAudit Reveals Major Corruption in Whitley Co