Audit uncovers over $1.3M in missing funds at Jefferson Parish Sheriff’s Office

(The Center Square) − An audit of the Jefferson Parish Sheriff’s Office revealed more than $1.3 million in misappropriated public funds during fiscal year 2024, according to findings submitted by the Louisiana Legislative Auditor’s Office. The losses stem from three separate incidents, including a major wire fraud case, payroll fraud, and a cash skimming scheme inside the parish correctional facility.The largest incident involved more than $1.1 million in fraudulent wire transfers after malicious actors compromised the email server of a government agency JPSO regularly assists.The attackers used an employee’s email address to submit a fake change request for bank account information. JPSO personnel accepted the request without verification and updated payment details in the agency’s online banking platform, resulting in multiple unauthorized transfers to an unrelated account.So far, about $293,000 of the $1.1 million has been recovered. The matter has been referred to the U.S. Secret Service for further investigation.Auditors attributed the fraud to JPSO’s failure to follow proper procedures for verifying bank account changes, in violation of Article 7, Section 14 of the Louisiana Constitution. The audit recommends that JPSO implement a policy requiring secondary confirmation of any such requests.In a separate case, an employee at the correctional center was found to have submitted false overtime hours through the parish’s timekeeping system, resulting in $83,972 in improper payments.The employee has since been terminated, arrested, and charged with theft under Louisiana law. Auditors faulted weak oversight in the overtime approval process and urged the agency to strengthen controls.A third incident involved another corrections employee who skimmed $130,830 in cash receipts paid by individuals seeking to bail out inmates. That employee was also terminated, arrested, and charged under the same law.In each case, JPSO management said it is implementing new procedures to prevent future abuses and ensure compliance with state law. The audit findings highlight ongoing concerns about financial controls within the sheriff’s office, particularly in high-cash or high-volume transaction areas.