MORLEY — An audit by the Office of New York State Comptroller’s Office focused on the misappropriation of more than $64,000 Morley Volunteer Fire Company funds by former company treasurer Cindi Perkins.

The audit, dated March 22, stated company officials did not provide oversight of financial operations to ensure funds were safeguarded. As a result, the former Treasurer was able to misappropriate $64,972 of Company funds from January 2016 through December 2019.

The former Treasurer was able to obtain cash totaling $45,400 by making inappropriate automated teller machine (ATM) and in-bank withdrawals, writing unauthorized checks to herself and receiving cash from Company funds presented for deposit, and making 178 personal purchases totaling $19,572 using a Company debit card.

“These improper transactions went undetected because Company officials did not review monthly bank statements and canceled check images, receive monthly financial reports, audit bills (claims) prior to payment or compare cash collections to deposits,” the audit read.

Perkins was arrested in July 2023 and pleaded guilty to grand larceny in the fourth degree in November 2023. She was sentenced to probation in January 2024 and ordered to pay $50,000 in restitution.

The comptroller’s office recommends the company officials routinely review the Treasurer’s work, discontinue using debit cards, and audit and approve claims prior to payment.

Company officials agreed with our recommendations and indicated they plan to initiate corrective action, the report states.

The Company is a not-for-profit organization that operates in affiliation with the Morley Fire District (District). The Company provides fire protection and emergency services to a portion of the Town of Canton in St. Lawrence County. The Company comprises volunteer members (membership) and is governed by its bylaws.

The members elect a five-member Board of Directors and also a five-member Advisory Board comprising the President, Vice President, Fire Chief, and 1st and 2nd Assistant Chiefs. Annually, members also elect a Treasurer, who is the chief fiscal officer responsible for receiving and maintaining custody of all Company funds, and disbursing and accounting for those funds.

The Company’s primary sources of revenue include a fire protection contract, funding from the District and fundraisers.