A state audit cites the St. Charles Parish Clerk of Court’s office for failing to return lawsuit funds, and lacking adequate controls on credit card expenditures and cash receipts.
The audit, covering the fiscal year ending June 30, was conducted by Carr, Riggs & Ingram LLC of Metairie and made public by the Louisiana Legislative Auditor’s office.
Clerk of Court Lance Marino said they addressed the issues in the audit and, overall, considered the audit favorable. “These improvements and transparencies are what I promised when taking office in July of 2012,” Marino said. “Part of the audit process is identifying long-standing accounting concerns and addressing them. I have been able to do that to a great degree in my first term in office.”
Marino said he observed similar issues reported in clerk of court offices in the River Parishes.
According to the audit, the Clerk of Court’s office violated state law when it failed to return deposits on cases dormant more than five years, as well as lacked adequate policies to prevent potential thefts or misuse of funds.
State law state mandates after an ordinary suit has been filed, but goes five years without pleadings filed and remains inactive during that period, the clerk must refund any unused balance remaining in an advance deposit fund to the person who made the it after all fees or charges are paid.
Marino said the previous administration discontinued these refunds in 2009, but they’ve been reinstated and all outstanding deposits have been reconciled.
“While state law does require such monies to be refunded in a timely fashion, it is quite an accounting challenge for Louisiana Clerks, whose budgets are finite, fee-driven and exist totally without the benefit of tax dollars,” Marino said. “Nevertheless, we were able to make clear in our audit response that the St. Charles Parish Clerk’s Office has responded to this task and has in place a procedure which returns unused deposits on time.
”The office also was cited for lacking adequate policies, procedures and controls over credit card expenditures. In a review of credit card transactions, auditors found two payments were made for purchases lacking an itemized receipt.
Marino’s office responded that a policy has been established and each use of these cards will be accompanied by a receipt and written documentation stating the “legitimate business purpose of the transaction, without exception.
The procedure puts in place control over the use of the sole credit account at the St. Charles Parish Clerk of Court’s office.”The audit also states the clerk’s office lacks adequate policies and procedures to properly record and monitor cash receipts.
During the audit, it was reported that cash receipt books were not reconciled on a regular basis. In addition, the clerk’s office has a small number of employees in the accounting department.
Marino’ said the office will handle cash sales with receipts handwritten in a triplicate and numbered. Money will be turned in daily and weekly, counted daily and excess cash locked up until reconciled by monthly report and deposited.
“We did have policies in place on cash and credit cards, but not to the auditor’s satisfaction so we have addressed all of the funds,” Marino said.
Be the first to comment