INDIANAPOLIS - An audit just released by the State Board of Accounts is questioning the financial management at the Indiana School for the Deaf.
The audit questions the school's 2006 purchase of 108 gift cards totaling $27,000 using private grand funds.
"Gift cards from this purchase, with a total remaining balance of $6,737, were stolen from a safe in the ISD accounting office in August of 2011," the audit read. "No sign of forced entry was noted in the police report."
The report said the Indiana School for the Deaf was unable to cancel the gift cards or proceed further with the theft investigation.
"Proper controls to safeguard assets were not in place," the audit read.
The audit also questioned why the deaf school deposited private grant funds totaling $150,000 into the school's Recreation Fund bank account outside the state's accounting system.
"ISD does not have the authority to deposit these funds outside the state's accounting system," the audit read.
"The grants do not state a clear Recreation Fund purpose."
Auditors also cited ISD for $3,099 in late payments to vendors from 2011 through the current fiscal year.
The State Board of Accounts criticized the deaf school for not maintaining a trust fund to record and safeguard funds belonging to students, and for not properly reporting its capital assets within the state's ENCOMPASS financial system.
When contacted by Call 6 Investigator Kara Kenney via email, Superintendent David Geeslin declined comment beyond his response to the State Board of Accounts.
"Internal controls to ensure the safeguarding of financial assets are now in place," Geeslin wrote in his response to SBOA. "ISD is also seeking to secure a bond that will cover employees in the event of a future loss."