State audit reveals new details on mismanaged tax payer money - 14 News, WFIE, Evansville, Henderson, Owensboro

State audit reveals new details on mismanaged tax payer money in Chandler

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Timothy Osha. Source: Warrick County Jail Timothy Osha. Source: Warrick County Jail
CHANDLER, IN (WFIE) -

New details on Tuesday night after a state audit reveals tax payer money in Chandler was mismanaged and used for personal use.

Former Chandler Clerk Treasurer, Tim Osha, has been charged with one count of felony theft and one count of fraud after state police said he used more than $23,000 worth of town funds to purchase personal items, including TV's, an iPad and other electronics.

The details in a report reveal that not only did Osha use more than $23,000, but all together cost the Town of Chandler more than $100,000 in late fees, overdrawn fees, and just plain mismanaged funds.

"A little bit of betrayal you look at the clerk treasurer and you have to be able to trust what they are telling you is there. Just a lot of disappointment," Brian Lucas said.

Brian Lucas, Chandler Town Council President, is speaking for the first time about the results from the state audit.

Revealing four years worth of mismanaged funds by Osha.

The audit claims Osha purchased lap tops, batteries for a golf cart and a motorcycle, iPads and home computer programs totaling $23,633.

"Naturally this is a black eye for us, but one good thing about it since I've been here with the Town of Chandler, we've always taken things head on," said Grover Fisher, Chandler Environmental Manager. 

The audit also revealed Osha didn't file taxes on time 22 times, often overdrew accounts, costing the town a combined $103,000 between Osha's shopping and penalties. 

"He flat didn't do his job," Lucas said to 14 News.

The audit also mentions Osha's wife, Julie, who also worked at the town office saying Tim signed off on extra comp and overtime hours, state auditor's say she didn't work.

Since the investigation began, town members began taking action.  A utility clerk was hired to handle the money for the town's new water billing system and Kathy Lemmons, former board member, was elected as new clerk treasurer.

"The proper measures to teach us from this happening again has been set forth. We are all being studied on them every position that needs to be involved in this, is involved in it and we are learning to write things in the right places, so hopefully something like this will never happen again," Fisher said.

Lucas says a public official bond will pay for all but about $6,000 which he says Osha will pay back in restitution.

Chandler officials just ready to put this story to rest.

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