Audit Wars: Episode II?

One audit looks good on a past record, a second one would make it fashionable.

Democrat and Chronicle
May 7, 2008

GREECE — The Greece school board could soon initiate a detailed forensic audit of a building project the state Comptroller's Office said was rife with financial mismanagement and wasteful spending.

During a meeting Tuesday, the board formed a committee to investigate how much such an audit of the 2001 Capital Improvement Project would cost and what it would cover.

"We need to see what we will gain from a forensic audit," said Roger Boily, board president. "We don't want to pay for it if we get less information than we already have."

Forensic audits are often used to trace fraudulent accounting practices and pinpoint economic crimes.

A recently released Comptroller's Office audit of the Greece Central School District identified more than $2.5 million in excess spending on the building project and determined former district officials deliberately split orders for changes to the project into multiple parts in order to shield some spending from Board of Education review. The audit faulted former boards of education for lax financial oversight.

Also during the meeting, board member Joseph Moscato asked the board to rescind lifetime health care benefits given to former Superintendent Steven L. Walts, who left in 2005 to lead the Prince William County schools in Virginia.

With no concrete evidence of wrongdoing on Walts' part, doing so would be premature and defamatory, said board member Patrick Tydings.

"This calls for action before an investigation is done," he said, voting to defeat the proposal.

Moscato's motion to hire an outside agency to investigate whether the comptroller's findings warranted criminal charges also failed. In other audits, when significant criminal activity was found, the Comptroller's Office has referred the matters to local law enforcement. It made no such referral in Greece.

However, Superintendent Steven Achramovitch has asked the Monroe County District Attorney's Office to review the audit. That review is ongoing.

Pending cost estimates, the board held off authorizing school lawyers to investigate the findings.

The matter could come up again May 13.

The effects of Insomnia are starting to rear their ugly heads. Nap time!