Selden fire district audit finds new issues

The Selden Fire District failed to establish written procedures for wire transfers, and as a result, more than $2 million worth were made without proper authorization, according to an audit released by the state comptroller on Friday.

The audit also said about $27,000 in travel and conference expenses was not properly authorized for three trips for officers and firefighters in the audit period of January 2008 to June 2009.

The new irregularities took place only one year after five district commissioners pleaded guilty to misdemeanor charges of misusing district funds during out-of-state conferences.

"Two million dollars in wire transfers without proper authorization is a gamble the district should not have made," state Comptroller Thomas P. DiNapoli said through a statement released with the audit. "This isn't good for the fire district, and it isn't fair to the taxpayers."

The district said in its written response that all the transfers were legitimate and a new procedure was immediately put in place to verify them.

No written procedures

The audit said the district should have developed written procedures for wire transfers or had agreements with banks.

There were 35 wire transfers in November 2008 and June 2009, the audit said, that were not authorized by the Selden fire commissioners.

The audit said the district should have developed written procedures for wire transfers or have agreements with banks.

On the three business trips, the audit states that more than $27,000 of the $36,330 spent did not have proper documentation.

"Furthermore, a portion of the expenditures may have been incurred for individuals other than fire department officers and firefighters," the report said.

Guilty pleas in 2007

The five former Selden fire commissioners who pleaded guilty in 2007 to misusing district funds at out-of-state conferences were ordered to pay back $50,000 in the plea deal. The agreement with the district attorney's office also required the district to have an independent auditor examine all travel vouchers, which the district's attorney, Salvatore Sapienza of Massapequa, said has been done.

Sapienza said the person was authorized to attend a conference, but was left off the list that was published in the board minutes.

"The Board of Fire Commissioners disputes your characterization that the district incurred travel expenses that were unauthorized or unsupported," the district's response letter said. It added that it was in compliance with the district's agreement with the district attorney.