A recent audit done of the accounting records of Waverly Village Court in New York showed a dismal state of affairs. During the audit period, Jan. 1, 2010, to Feb. 24, 2012, the audit noted that the village judges didn’t make sure court clerks kept track of the money. In 42% of the transactions that were tested, there were missing accounting records and missing money! As the court records were in such bad state, the auditors were not able to identify the reason for the missing money, it might very well have been stolen!
The auditors also found that the board was not made aware of the state of affairs by the accounting firm that kept the books. The recommendation of the auditors is to remove the accounting firm and straighten the records. It is perhaps too soon to say whether it is a case of embezzlement, but definitely shoddy accounting.
