A series of financial shortcomings at Bridgnorth Town Council, including failure to pay a creditor on time and a payment made without authorisation, have been revealed in public.
A detailed report on the 2009/10 year from the council’s internal auditors, accountants Wallace Crook & Co, was presented to town councillors on Tuesday by Martin Jones and Richard Pratley.
Mr Jones blamed staff being stretched and in some cases inexperienced and not aware of financial regulations.
He said there had been an instance of a supplier not being paid on time which was in breach of contract – a situation which could result in the council being dragged into legal action. Mr Jones also revealed that a purchase invoice from a firm of architects was paid without town council authorisation.
Councillor Adrian Tacchi said that he considered this payment to be “unlawful”.
At least 17 purchase invoices showed no evidence of an official order or letter being issued for work, goods or services.
‘In the case of at least eight purchase invoices tested, where the net amount was greater than £500 but less than £2,500, there was no evidence of town council authority being obtained before the expenditure was occurred,’ stated the report, adding the expenditure was not considered to be of extreme urgency.
The auditors also concluded that no credit note had been issued for VAT on the cost of hanging baskets.
‘Three purchase order books requested during the examination were unable to be located,’ the auditors reported.
‘As a result it was unable to be determined whether an official order had been raised in respect of a further two purchase orders examined.’
They also revealed that a ‘significant number’ of salaries and wages time sheets showed no evidence of being certified for accuracy by or on behalf of the clerk – most instances occurring before January. A £500 purchase invoice contained no evidence about the goods being received.