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County shocked by treasurer's arrest - Offical Contest Rules

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2<br />

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Grubbs<br />

GOVERNMENT: News and Events<br />

continued from > page 1<br />

By Thursday the state police<br />

had begun their investigation,<br />

searching Grubbs’ home<br />

on Whitehall Road, while the<br />

Sheriff’s Office seized materials<br />

from the treasurer’s office.<br />

At the time of her <strong>arrest</strong>,<br />

Goochland Sheriff’s deputies<br />

found Western Union receipts<br />

indicating “the wiring of large<br />

sums of money,” according to<br />

the search warrant affidavit<br />

issued for the search of the treasurer’s<br />

office.<br />

<strong>County</strong> employees have<br />

assumed duties at the treasurer’s<br />

office, while employees there<br />

have taken administrative leave,<br />

said Dickson last week, who was<br />

quick to add that there was no<br />

reason to believe any one else<br />

was involved.<br />

“The staff in the treasurer’s<br />

office willingly took some<br />

administrative leave to allow law<br />

enforcement personnel complete<br />

access to potential evidence,” said<br />

Dickson.<br />

Items recovered from<br />

Grubbs’ residence included two<br />

computers and electronic and<br />

paper records.<br />

Items taken from the treasurer’s<br />

office included financial<br />

documents, emails and a hospital<br />

bill from Dubai.<br />

Grubbs was first elected<br />

treasurer in 2003, succeeding<br />

Geraldine Parrish. Grubbs earned<br />

$72,034 annually, according to a<br />

2009 list of salaries provided to<br />

the Gazette <strong>by</strong> the county.<br />

Since that time, the county<br />

has suffered a number of financial<br />

embarrassments, leading to<br />

the hiring of a new accounting<br />

firm, KPMG, to conduct an audit<br />

of the county’s finances. KPMG’s<br />

report indicated the need for better<br />

reporting procedures <strong>by</strong> the<br />

treasurer’s office, but did not indicate<br />

any wrongdoing.<br />

KPMG noted in a January<br />

3, 2011 letter to included in the<br />

Comprehensive Annual Financial<br />

Report presented to the Board of<br />

Supervisors on Jan. 4 that the<br />

treasurer’s office suffered from a<br />

“lack of segregation of duties and<br />

functioning controls.”<br />

KPMG noted “Treasurer has<br />

the ability to initiate, approve<br />

and post wire transfers without<br />

a secondary review and approval,<br />

and Treasurer has access to post<br />

entries to the general ledger system<br />

and assists in the preparation<br />

of cash reconciliations for certain<br />

bank statements on a monthly<br />

basis.”<br />

In that same report, Deputy<br />

<strong>County</strong> Administrator John<br />

Wack noted that new written<br />

policies had been put in place<br />

relating to the treasurer’s office<br />

after June 30, 2010.<br />

Wack said Tuesday that it<br />

is unknown if any alleged wire<br />

transfers made <strong>by</strong> Grubbs came<br />

from county accounts. He said<br />

KPMG had planned to meet<br />

with Grubbs to discuss new procedures<br />

for wire transfers.<br />

Want more? Visit us on the web at<br />

www.goochlandgazette.com<br />

Dickson sent a letter to<br />

Grubbs Jan. 21 asking for more<br />

cooperation on dealing with concerns<br />

raised <strong>by</strong> KPMG.<br />

Grubbs has not resigned<br />

from her position as Goochland<br />

Treasurer but a special<br />

meeting of the Board of<br />

Supervisors has been called<br />

for Wednesday, Feb. 9 to discuss<br />

the status of the treasurer<br />

and the operation of the<br />

Treasurer’s Office.<br />

At the same time, a recall<br />

petition may be in the works.<br />

Goochland Republican<br />

Committee chairman Ben<br />

Slone said he plans to collect<br />

enough signatures to present to<br />

a judge to have Grubbs recalled.<br />

He figures he needs 486, 10<br />

percent of the votes Grubbs<br />

received in her uncontested<br />

2007 reelection.<br />

“It’s a no-brainer,” said<br />

Slone, who attended Grubbs’<br />

Monday arraignment. “She’s<br />

collecting a salary from the citizens.<br />

The confession says it all.”<br />

Photo <strong>by</strong> Jim Ridolphi<br />

Goochland <strong>County</strong> Treasurer Brenda Grubbs leaves the courthouse area after her arraignment as TV cameramen attempt to get<br />

her photo.

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