Kentucky

Audit prompts Rockcastle clerk to seek police investigation

Rockcastle County Clerk Danetta Ford Allen asked state police to investigate after an audit found nearly $4,000 came into her office in 2011 but was not deposited in a bank.

Such undeposited receipts can be an indication of theft.

The audit, released Thursday by state Auditor Adam Edelen's office, found that the log of chattel mortgages filed did not agree with the amount collected for recording them.

There was $3,926 in undeposited receipts for chattel mortgages in 2011, the audit said. Those are mortgages on such items as cars and tractors.

Field auditors also found that receipts for recording chattel mortgages in 2010 were $4,829 less than would be expected based on the number of such mortgages issued, according to a news release from Edelen's office.

The audit said one deputy clerk was in charge of collecting, recording and accounting for chattel mortgage receipts.

That was an accounting weakness because there was no independent check on the accuracy of the amounts recorded, the audit said.

Allen said she began having another employee double-check chattel mortgage receipts after learning the audit results, and contacted state police.

Police may present information about the case to the grand jury in December, Allen said.

She would not comment on the job status of the employee who had been solely in charge of accounting for chattel mortgages.

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