{"version":"1.0","provider_name":"The News Journal","provider_url":"https:\/\/qa.thenewsjournal.net","title":"Computer error to blame for bookkeeping errors in Knox Sheriff's audit &ndash; The News Journal","type":"rich","width":600,"height":338,"html":"<blockquote class=\"wp-embedded-content\" data-secret=\"jx74dknVjB\"><a href=\"https:\/\/qa.thenewsjournal.net\/computer-error-blame-bookkeeping-errors-knox-sheriffs-audit\/\">Computer error to blame for bookkeeping errors in Knox Sheriff&#8217;s audit<\/a><\/blockquote><iframe sandbox=\"allow-scripts\" security=\"restricted\" src=\"https:\/\/qa.thenewsjournal.net\/computer-error-blame-bookkeeping-errors-knox-sheriffs-audit\/embed\/#?secret=jx74dknVjB\" width=\"600\" height=\"338\" title=\"&#8220;Computer error to blame for bookkeeping errors in Knox Sheriff&#8217;s audit&#8221; &#8212; The News Journal\" data-secret=\"jx74dknVjB\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\" class=\"wp-embedded-content\"><\/iframe><script type=\"text\/javascript\">\n\/* <![CDATA[ *\/\n\/*! This file is auto-generated *\/\n!function(d,l){\"use strict\";l.querySelector&&d.addEventListener&&\"undefined\"!=typeof URL&&(d.wp=d.wp||{},d.wp.receiveEmbedMessage||(d.wp.receiveEmbedMessage=function(e){var t=e.data;if((t||t.secret||t.message||t.value)&&!\/[^a-zA-Z0-9]\/.test(t.secret)){for(var s,r,n,a=l.querySelectorAll('iframe[data-secret=\"'+t.secret+'\"]'),o=l.querySelectorAll('blockquote[data-secret=\"'+t.secret+'\"]'),c=new RegExp(\"^https?:$\",\"i\"),i=0;i<o.length;i++)o[i].style.display=\"none\";for(i=0;i<a.length;i++)s=a[i],e.source===s.contentWindow&&(s.removeAttribute(\"style\"),\"height\"===t.message?(1e3<(r=parseInt(t.value,10))?r=1e3:~~r<200&&(r=200),s.height=r):\"link\"===t.message&&(r=new URL(s.getAttribute(\"src\")),n=new URL(t.value),c.test(n.protocol))&&n.host===r.host&&l.activeElement===s&&(d.top.location.href=t.value))}},d.addEventListener(\"message\",d.wp.receiveEmbedMessage,!1),l.addEventListener(\"DOMContentLoaded\",function(){for(var e,t,s=l.querySelectorAll(\"iframe.wp-embedded-content\"),r=0;r<s.length;r++)(t=(e=s[r]).getAttribute(\"data-secret\"))||(t=Math.random().toString(36).substring(2,12),e.src+=\"#?secret=\"+t,e.setAttribute(\"data-secret\",t)),e.contentWindow.postMessage({message:\"ready\",secret:t},\"*\")},!1)))}(window,document);\n\/* ]]> *\/\n<\/script>\n","thumbnail_url":"https:\/\/qa.thenewsjournal.net\/wp-content\/uploads\/2017\/11\/audit.jpg","thumbnail_width":323,"thumbnail_height":216,"description":"The results of the 2016 financial audit for Sheriff Mike Smith was released Monday, with only minor comments from State Auditor Mike Harmon. The biggest area of concern involved the sheriff\u2019s accounting. According to the audit findings, \u201cThe sheriff\u2019s receipts and disbursements ledgers did not agree to his annual settlement or to the bank records. The sheriff\u2019s computerized receipts and disbursements ledgers did not agree to the fourth quarter report\/annual settlement submitted to the Department for Local Government (DLG) and to the fiscal court. The sheriff\u2019s ledgers showed receipts of $1,062,844, disbursements of $1,058,474, and excess fees of $4,371. The settlement submitted showed receipts of $1,021,306, disbursements of $1,029,141, with a deficit of $7,835. In addition, neither the computerized ledgers nor annual settlement agreed to the bank records because the bank showed a balance of $31,946 (submitted to the fiscal court on March 15, 2017). The accounting software was not set up properly, which caused tax liabilities to be duplicated and the 2016 receivables not to be posted. The amount of revenues and expenses reported to the regulating bodies and to the public were not accurate. Inaccurate reporting results in lack of government transparency and may lead to further errors.\u201d The errors, according to Sheriff Smith and corroborated by the response given to the auditor were \u201cDue to a computer glitch with Quick Books Software, the profit and loss report did not match the bank reconciliation. CPA was consulted to correct the problem with Quick Books set up. All reports now match bank reconciliation and have been submitted to fiscal court.\u201d Also an area of concern was the segregation of accounting duties for the sheriff\u2019s office. According to the auditor\u2019s report, \u201cThe sheriff\u2019s office manager collects payments from customers, prepares bank deposits, issues checks and posts to the receipts and disbursements ledgers. The sheriff\u2019s part-time bookkeeper prepares bank reconciliations, prepares payroll and occasionally collects payments from customers. Front line office personnel prepare their own deposits, but the office manager takes them to the bank. Neither the office manager nor the part-time bookkeeper are authorized check signers, but both are responsible for preparing monthly and quarterly reports. The sheriff or another employee did not provide oversight of any of these activities.\u201d The auditor\u2019s recommendation is for \u201cThe sheriff further separate the duties involved in receiving cash, posting to ledgers, and preparing reports. If this is not feasible due to a limited budget, cross checking procedures should be implemented and documented by the individual performing the procedure.\u201d According to Sheriff Smith, the money just isn\u2019t available to hire a dedicated bookkeeper. The auditor\u2019s response was to implement controls using existing employees as suggested in their recommendation."}