Sweetwater to be audited over potential fraud, state agency cites 'years of weak governance and lead

Sweetwater to be audited over potential fraud, state agency cites 'years of weak governance and leadership'


The San Diego County Office of Education will order an audit of the Sweetwater Union High School District to find out whether the district committed financial fraud or misappropriation of funds.

The county office announced the action less than an hour after state officials gave a scathing report on the district’s financial management at a special board meeting Monday night. The officials said the district has for years misrepresented its finances and spent more money than it has.

They found problems with how Sweetwater has long handled budget development, cash borrowing, deficit spending, position control, data management and more. Sweetwater’s budget mishandling has been happening for so long that the budget solutions the district has introduced this fall will not be enough, said officials with the Fiscal Crisis and Management Assistance Team, the independent state agency that studied the district’s finances.

“Situations like yours are the manifestation of many years, many years of weak governance and leadership,” said Michael Fine, CEO of the fiscal state agency.

Read more: https://www.sandiegouniontribune.com/news/education/sd-me-sweetwater-financial-crisis-20181217-story.html