The Corriverton Town Council has sent its treasurer on administrative leave after they discovered that she kept inaccurate records and could not account for an expenditure of some $3.2 million.
“As a direct of result of the municipal Treasurer’s actions, the Council spent money that it never had in 2017/2018, and now finds itself in a deficit of $3.2 million for the year 2019.
“This will adversely affect the execution of a number of projects and the delivery of services by the Council. Needless to say, the Council has been placed in an embarrassing position,” Mayor Winston Roberts lamented in a statement to the media.
Roberts explained that the glaring deficit was discovered back in February upon examination of the Council’s records and financial statements prepared by the Treasurer. According to the Mayor, the Council has been requesting a proper explanation from the Treasurer on the matter but she had been giving several different explanations.
“One explanation given by the municipal Treasurer is that the sum of $3.2 was utilised to purchase a skid steer in the year 2016. However, the records of the Council that were prepared by the Treasurer shows no expenditure in the year 2016,” Roberts stated.
Furthermore, the Mayor went on to claim that before a decision was made, the Treasurer’s personal file was reviewed by the Councillors and it was revealed that due to her “gross incompetence”, the Council lost in excess of $3.6 million in rates and taxes from the Black Bush Rice Milling Company for the period 2007 to 2016, which she claimed was a miscalculation.
The treasurer was sent on administrative leave effective May 22, 2019 and the issues were reported via a letter to the Local Government Commission (LGC). the Town Council is calling for swift action to be taken.