Internal audit reveals mismanagement of high school's funds - Action News 5 - Memphis, Tennessee

Internal audit reveals mismanagement of high school's funds

Posted: Updated:
According to the audit, the Melrose High School librarian seemed to be at the center of several violations. According to the audit, the Melrose High School librarian seemed to be at the center of several violations.
MEMPHIS, TN -

(WMC-TV) - An internal audit of Melrose High School shows fraud and mismanagement of money rampant at the school.

Parents and alumni who had a bad feeling the student body at Melrose was getting cheated triggered the investigation.

According to the audit, the Melrose High School librarian seemed to be at the center of several violations.

The librarian operated concessions stands after school, and at football and basketball games – but failed to maintain daily inventory or turn in receipts. Sales should have brought in more than $16,500, but the librarian only turned in about $12,000.

Another finding from the audit revealed the librarian was also paid to be the wrestling coach, even though the school did not have a team.

The librarian made road trips with the basketball team, exceeding the food per diem by $2,100.

The audit lists basketball coaches taking trips to tournaments without players. The school paid for the trip, but no students benefited – which is a violation of school board policy.

School administrators also failed to pay more than $18,300 dollars in taxes on items sold.

Also, it appears more than 185 pieces of school equipment are unaccounted for. That means that federal state and student funds were used to buy tools for students they will never use.

Some of the missing items include tablets, projectors, and a tracking system.

The audit shows several school board and state violations, but it is not clear if criminal charges will follow. However, the state comptrollers office will review the audit. The principal has been suspended.

Shelby County Schools released the following statement in regards to the audit:

"The findings of the Melrose High School audit have been forwarded to the State Comptroller and the district's Labor Relations Department for further investigation. The principal has been placed on administrative leave pending the outcome of the investigation.

Out of respect for the implicated employees' due process rights, we will not comment on the audit until the investigation is complete."

Copyright 2013 WMC-TV. All rights reserved.

Powered by WorldNow