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Report: Resigned fire chief took $62K from city

A state audit report says the Speedway, Ind. chief funneled money into a personal bank account; he resigned without explanation in October 2014

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By Steven Penn
The Hendricks County Flyer

SPEEDWAY, Ind. — In October, Speedway Fire Department Chief Mark Watson resigned without explanation, prompting confusion throughout the community.

After an Audit Report from the State Board of Accounts was released Friday, it seems the public may have answers.

According to the report, Watson is accused of misusing more than $62,000.

Per the report, the investigation of Town of Speedway records spanned from Jan. 1 2011 to Dec. 31 2014, which was Watson’s entire tenure as fire chief. The investigation was limited to receipts, bank deposits, disbursements, disbursement documentation, and supplies and equipment inventory.

According to the report, Watson allegedly opened a personal checking/savings account in the name of “Mark Watson, DBA: Speedway F.D.” He then deposited $42,992.53 of funds belonging to the Speedway Fire Department into that personal bank account from 2011-14. The funds deposited into thw account were not used for fire department purchases. The money was reportedly used for payments to Watson’s personal credit card accounts, cash withdrawals, payments to soccer organizations, payments on a 2013 Toyota Tacoma, and other purchases.

Watson is also accused of using town credit cards, credit accounts, and purchase orders from 2012-14 to buy personal items totaling $7,356.23. According to the report, the items included a gun, baton, holster, a 46-inch television, two sets of tires, tools, snow blowers, a grill, home improvement items, lawn and garden items, a GPS device, several items of clothing, and various other items.

The report states Watson “rarely submitted original receipts for charges to credit cards and credit accounts. In addition, some invoices submitted for payment were fictitious and not created by the named vendor. These fictitious invoices were submitted for payment in replacement of actual vendor invoices which included items purchased for personal use.”

According to the report, in August 2014, Watson created a post office box in the name of Fireprof and in September, presented a purchase order to Speedway Clerk-Treasurer Monty Combs so $4,491.67 could be paid to Fireprof for “SCBA Repair.”

An invoice and detailed parts and labor costs for services to be performed by Fireprof was created, requesting payment be sent to the post office box Watson himself opened.

The report reads: “The Clerk-Treasurer’s office prepared an accounts payable voucher and after approval by the Town Council, a check in the amount of $4,491.67 was mailed to the post office box. The uncashed check was recovered upon Mark Watson, former fire chief’s separation from employment from the Town of Speedway on Oct. 27, 2014.”

Other charges listed in the report summary include, missing computer equipment totaling $1,129.98, testing fees not remitted to town funds totaling $3,160, proceeds from a clothing sale not remitted to town funds totaling $2,872.46, and an overpayment of the clothing allowance totaling $582.69. The total amount of the charges is $62,585.56. SBOA officials are recommending that Watson be required to pay the state $21,000 to cover the costs of the investigation, in addition to the $62,000.

A joint statement from Speedway Town Manager Ian Nicolini and Combs read in part: “While we are shocked and dismayed by the totality of Mark Watson’s alleged actions, it is reassuring to know that internal financial oversight led to the exposure of these alleged actions, and immediate action was taken to prevent any further misuse of town funds.”

Both employees wanted to make sure the public knows this isn’t a reflection on the town as a whole.

“These allegations are in no way a reflection on the men and women of the Speedway Fire Department or the employees of the Town of Speedway,” the statement read.

The SBOA report has been forward to the Indiana Attorney General and Prosecutor Terry Curry.

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(c)2015 the Hendricks County Flyer (Avon, Ind.)

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