dimanche 23 octobre 2016

State of California is watching the City of Hemet closely for financial fraud

State of California is watching the City of Hemet closely for financial fraud.

Scientology Gold Base is north of Hemet.

The following may, or may not, prove relevant to Scientology. It is worth keeping an eye on.

Los Angeles Times: The state is watching these 6 cities closely for financial fraud

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The corruption scandal in Bell, which led to the conviction of seven city officials, had sweeping implications for governments in California. Scrutiny by state agencies increased for some cities, and legislators created bills to pump up accountability and transparency, and to curtail political malfeasance. It inspired a 2011 bill aimed at preventing a similar scandal.

The Assembly bill — AB187 — was signed into law that year, leading to the creation of the “high-risk local government audit program” and expanded the auditor’s powers to investigate local agencies heading down the wrong fiscal path.

The state auditor already had an existing program to identify agencies at high risk of fraud or waste, but that law was limited to state functions. The auditor could investigate local agencies only if directed to do so by an audit committee.

“We wanted to give proper authority to the auditor to review these local governments and ensure that the Bell situation would not happened again,” said state Sen. Ricardo Lara (D-Bell Gardens), who had pushed for the measure. “Now we have a third-party entity that can look at and prevent other local governments from falling into corruption.”

Lara said corruption and mismanagement not only undermines the public’s trust but that of state and federal agencies that might balk at providing resources to cities with serious problems.

“At the end of the day, it’s our constituents and communities that suffer,” he said.

The cities being monitored by state auditors are Chico, Richmond, Ridgecrest, Monrovia, Hemet and Maywood.

Margarita Fernandez, spokeswoman for the state auditor, said the cities were identified after auditors looked over public records such as budgets and previous audits.

She said auditors looked for “key financial indicators” such as a city’s ability to respond to financial emergencies, pay short-term debts and meet its pension obligations. They also looked at their revenue growth and projected fiscal outlook.

Most of the six cities were ranked poorly in some or all of the categories. But it was Maywood and Hemet that required audits after they failed to address issues raised by the state auditor.

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State of California is watching the City of Hemet closely for financial fraud

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