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             Upcoming Stevensville audit will show 'some embezzlement activity' in '09

Perry: Improper use of debit card took place early in the 2009-10 fiscal year
By WILLIAM F. AST III - H-P Staff Writer
Published: Friday, July 9, 2010 1:34 PM EDT
STEVENSVILLE - The upcoming audit of Stevensville's books for the year that ended March 31 will show "some embezzlement activity," Village Manager Derek Perry told the Village Council on Thursday.

Perry said he wants the council to be prepared for that in the audit being prepared by the Michigan Department of Treasury. Some improper use of a village debit card will show up in the starting months of the fiscal year, he said.

Former village manager Todd Gardner goes to trial starting Tuesday on charges that he embezzled $293,141 from the village from April 1, 2006, to May 31, 2009. That trial will take place in U.S. District Court in Grand Rapids.

The Stevensville Village Council hired Gardner in April 2006 and in May 2009 did not renew his contract. Gardner pleaded not guilty to the charges in February.

A state audit of the previous two fiscal years criticized the council for not keeping a closer watch on Gardner.

Trustee Don Meyer said Perry and Treasurer Dawn Rush have been very helpful in telling the council how the books work and how to keep an eye on things.

The council has been limiting itself to paying bills of no more than $35,000 a month until the arrearage is paid off. The council on Thursday approved paying bills totaling $34,980.

Meanwhile, Perry said the village tax levy remains unchanged at 8.7345 mills. There were rumors that the village would hike taxes in response to the thefts.

Also Thursday, the council approved paying around $170 for a sign welcoming Postal Connections and State Farm Insurance to the village.

The two businesses moved when the Martin's Super Market strip mall in Lincoln Township was closed to make way for a new store. The council previously approved a sign welcoming the new Meijer store.

The council also approved placing "no smoking" signs around Village Hall to comply with a new state law.

wast@TheH-P.com