Audit of NMFA finds no embezzlement

Posted at: 12/14/2012 12:39 PM
Updated at: 12/14/2012 6:02 PM
By: KOB.com staff and The Associated Press

ALBUQUERQUE, N.M. (AP) - State Auditor Hector Balderas says his review of the New Mexico Finance Authority found no evidence of embezzlement by the former controller accused of faking an audit.

 
But he says the deception was able to occur because the NMFA board and executive management "were asleep at the wheel."
 
The findings echo those earlier this month from the state Securities Division, which blamed management and oversight failures as well as a "culture of complacency" at the agency.
 
Balderas's report is the first to say definitely that no money is missing.
 
The report also makes a number of recommendations for improving controls at the authority.
 
Former controller Greg Campbell has pleaded guilty to felonies for faking the audit and misrepresenting the authority's finances to investors who bought the agency's bonds earlier this year.
 
(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)