Metro East Township Supervisor Makes Off with $700-750,000 Since 2003

By no means do I think this is the standard operating procedure for township supervisors, but it does show how loose the bill approval process can be.

And, one must keep in mind that the area across the river from St. Louis has a deserved reputation for corruption.

But this is not a river township.

Moro Township is in the top tier of townships in Madison County.

Moro Township is in the top tier of townships in Madison County.

This is a pretty rural area.

Having said that, the reporting of the guilty plea of Former Moro Township Supervisor Donald R. Flack, 77, to making off with something near three-quarters of a million ($700,000 reported here), which he disguised as “office expenses” is truly staggering.

He ran unopposed in the April township election.

An audit showed $113,310 was stolen during the year ending March 31.

The thefts took place from 2006-2013.

“’Lack of controls allowed the former supervisor to embezzle $113,310 during the fiscal year ending 2013. The embezzlement appears to have begun in 2003 and was not detected on the March 31, 2005, or March 31, 2009, certified audits of the financial statements,’ according to a schedule of findings and responses filed in the audit,” the Telegraph, published in Alton, said.

Continuing,

“‘The township supervisor performs all financial duties with no supervision or oversight. There is inadequate segregation of duties,’ the notes state, referring to the year ending March 31.”

The auditing firm was Kenneth E. Loy and Co. of Alton.

The article in the St. Louis Post-Dispatch says the township was insured against fraud.

The township has about 3,300 people. It has been represented by a Democrat on the Madison County Board.

In Fiscal Year 2012, “General Revenue” is about $77,000, but there is about $361,000 in “Special Revenue” listed on the State Comptroller’s web site.

Because the township is so small, it is only audited once every four years.  The two previous audits of Flack’s stewardship did not uncover any wrong-doing.

Flack said he took the money to invest.


Comments

Metro East Township Supervisor Makes Off with $700-750,000 Since 2003 — 3 Comments

  1. Instead of wasting time changing the constitution of the State to eliminate Townships, why does the state legislature not simply modify township law to force TWO signatures on all Bank Transactions?

    Don’t Township Supervisors sign their own pay checks?

    Trustees in Townships which have money stolen by the Supervisor should be held criminally liable for not exercising ‘due diligence’ in protecting the tax dollar.

  2. Well Knowledge voter, I guess that would depend on what bank they use.

    In McHenry County they can come in and change signature cards, unless you have an employee who blows the whistle.

Leave a Reply

Your email address will not be published. Required fields are marked *