Town of Eros in Financial Jam

Add the Town of Eros, in northeast Jackson Parish, to the list of municipalities in North Louisiana that are having money problems.

A just-released financial report from the Louisiana Legislative Auditor (LLA) has revealed several significant findings – a negative balance in the town’s funds, alleged criminal activity, and unpaid payroll taxes. There is doubt whether the town can remain a going concern, the report stated.

Condition: During the compilation of the Town of Eros, it was discovered that payroll taxes collected by the Town due to federal and state governmental agencies were not remitted to the agencies in a timely manner. The Town Clerk is responsible for accounting for and remitting the payments and forms to the correct agency on behalf of the employees of the Town of Eros in a timely manner. Inquiries to the Town Clerk and the Mayor were made as to the reason for the delinquency in the tax payments.

Cause: Due to shortage of funds, the town did not submit taxes as required.

Effect: As a fiduciary agent for the employees of the Town of Eros, payments to governmental agencies must be made timely. If payments are not made timely, the Town will be held responsible for payments and any penalties and interest associated with late payment of the taxes.

Condition: During the course of completing our compilation and subsequent to the compilation period end date, we were made aware that the newly appointed Town Clerk was allegedly misappropriating town funds.

Cause: The Town Clerk misappropriated public funds.

Effect: The Town was at risk for fraud from the misappropriation of assets by the Town Clerk. Subsequent to the compilation period, the Town Clerk committed fraud by setting up online automatic withdrawals from the Town bank account and took approximately $1,794. The.Town Clerk also destroyed bank statements that showed the misappropriation of funds.

Condition: As of the year ended December 31, 2013, the Town’s governmental activities current liabilities exceeded its current assets by $10,482, and the Town of Eros showed a decrease in unrestricted net position of $7,390. These factors, as well as the uncertain conditions that the Town faces regarding revenue sources, create uncertainty about the Town’s ability to continue as a going concern.

Cause: The Town must derive all governmental revenues from occupational licenses, franchise fees based on usage, sales taxes, and fines and forfeitures revenues. Although the Town has employed a Police Chief to generate fines and forfeiture revenues, there has been a significant decrease in revenues from fines and forfeitures over the past compilation periods. In addition, the sales tax passed by the residents of the Town of Eros has only generated $755 in general revenues.

Effect: Because of the lack of revenues, the Town could be at risk to be unable to meet its obligations to customers, vendors, and to the residents of the Town.

See here the complete report.

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5 Responses to “Town of Eros in Financial Jam”

  1. Anonymous Says:

    wow..that village has ALWAYS been known as a speed trap I am betting the blue lites will be spinning there even more than normal on the coming day/months with their revenues being so dependent on the police chief

  2. sunrisesunset Says:

    How hard can it be to manage a very SMALL municipality? What is the population of Eros?

  3. Oldman Says:

    Must be a virus going around.How many small towns in a 100 mile radius has this been now? I guess LesLie will have more company now.

    • JustMe Says:

      Well, I heard that Leslie is getting “out” of jail sometime in October for good behavior and KNOE8 had a news bit that his wife (Yoshi) was appointed as Interim Mayor by the Secretary of State. Here we are with an election for a new Mayor next month in the Town of Jonesboro and this happens?? Perhaps the Town is going to be billed for back wages as an interim Mayor. Good Lord help us all. You don’t know what to believe anymore.

  4. Oldman Says:

    Just thinking,were did the money go? There needs to be some jail time for this,make it hard enough so nobody will take a chance and do it again.At least five years plus a real big fine and not being able to run for any office again.Make it hurt.

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