The Alabama Attorney General's Office is investigating Wedowee Utilities after allegations of mismanagement of public funds.
Preliminary findings from an audit of the utility showed multiple serious internal control weaknesses, financial mismanagement, compliance violations and governance issues. Councilman Jerry Huddleston presented the audit notes and entered them into the public record.
Fifth Judicial Circuit District Attorney Mike Segrest said the AG's office was made aware of the findings after an article by 1819 News.
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"Whenever I, as a district attorney or the attorney general's office, is made aware of possible misuse of public funds, I think we have a duty to investigate that," Segrest said. "I can confirm that the AG's office is aware and has opened an investigation into this. Any further media questions should be directed to them."
The Wedowee Town Council replaced two of the three board members following the audit finding. Mayor Tim Coe, who served as chairman of the Wedowee Utilities Board, was one of those replaced.
Brenda Boone, a contracted employee who handles payroll and bookkeeping, was suspended with pay by the new board during a special-called meeting on Wednesday. New board chairman Barry Waldrep said the board hopes to find no wrongdoing, but does not feel comfortable with Boone handling finances until the board has answers.
Boone said she also has questions and will provide documentation to address all issues noted in the preliminary audit report.
No charges have been filed in the case.
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