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State: Former Lauderdale County employees indicted on theft charges

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LAUDERDALE COUNTY, Tenn. -- Two former Lauderdale County Department of Education employees were indicted on theft charges after authorities say they continued to receive funds after they parted ways with the school system.

Between the two, the county lost more than $42,000, the Tennessee Comptroller of the Treasury's office said.

According to the state, Devlyn Green left her position in May 2014.

However, a recent audit showed she continued to receive a salary for almost two years, resulting in an accumulation of $33,510.

The department even paid more than $2,000 to cover their portion of Green's social security and Medicare, and made a $1,769 contribution to the state retirement system on her behalf.

A second former employee, Milton Waller, had a similar experience in which he continued to receive direct deposits totaling almost $4,500.

The school department also paid $341 for social security and Medicare.

The comptroller’s report said the deficiency was because of  a lack of oversight and failure of school department personnel to follow the procedures in place regarding the termination of employees.

On Monday the Lauderdale Schools superintendent, Shawn Kimble, told WREG as soon as his office knew there might be some kind of fraud going on—they immediately notified the State Comptroller of Treasury’s Office to start an investigation.

Through the district’s investigation they discovered the payments were the result of unintentional and undetected clerical errors.

The superintendent told the state as a result of the findings management has implemented a second internal audit process which will routinely cross-reference active personnel lists/timesheets submitted by each department with a Human Resource database which will then be compared to the current payroll file.

Employees will also be re-trained on a variety of payroll practices to catch potential fraud.

District Attorney Mike Dunavant said no one else related to the case is facing charges.

The county mayor declined to comment because he said it’s an ongoing investigation.