Benton Harbor commissioners vote to pursue forensic audit after credit-card, financial discrepancies raised

The Benton Harbor City Commission voted to pursue a forensic audit aimed at credit-card transactions and related financial discrepancies after Commissioner Ethel Clark-Griffin said prior reviews found ‘‘missing receipts, purchases made with no pre-approval’’ and other irregularities.

Clark-Griffin said the previously identified problems were substantial and included what she described as about $100,000 ‘‘that’s been missing from the cemetery.’’ She told the commission those issues—along with transactions that lacked pre-approval and cardholders not conforming to policy—warranted a targeted forensic review. ‘‘All those discrepancies plus more, that’s why I made the motion to suspend the rule and call for a forensic audit,’’ Clark-Griffin said.

City Attorney Seneca cautioned that forensic audits are typically more expensive than regular financial audits and suggested the commission solicit quotes rather than commit to a specific contract immediately. ‘‘Forensic audits are very expensive,’’ Seneca said, noting an example of a focused review that ‘‘came in at 24,000’’ and recommending the commission obtain cost estimates and clarify the scope before proceeding.

Commissioners who supported the audit said the city has recurring questions about how funds have been handled—including whether interest on ARPA funds was considered and whether prior audit recommendations were fully implemented. Opponents and cautious members said the commission should not commit to costly work without identifying funds and narrowing the audit scope.

The forensic-audit motion was moved by Commissioner Ethel Clark-Griffin and supported in the meeting. The motion carried on a recorded roll call; commissioners voting in favor included Clark-Griffin and Commissioner Fields, while several members voted no or voiced concern about cost and budgetary authority.

Next steps: the city attorney recommended obtaining quotes and returning cost estimates to a future meeting so commissioners can consider scope and funding. No contract or vendor was selected at the meeting.