Audit of Jefferson Co. town reveals mismanagement, improper spen - KMOV.com

Audit of Jefferson Co. town reveals mismanagement, improper spending

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By Daniel Greenwald By Daniel Greenwald

(KMOV.com) – A state audit of Pevely’s finances reveal city money was mismanaged for many years.

An audit conducted by Missouri Auditor Tom Schweich revealed the city failed to get bids to buy equipment for police cars and other purchases. The report also said the town failed to collect $350,000 in taxes, made inappropriate transfers of funds, used bad accounting procedures, and repeatedly violated state laws with closed sessions at board of aldermen meetings.

A former city clerk told News 4 she tried to make changes to how the town government functioned but said she was fired when a new slate of aldermen were voted in earlier in 2014.

“Small town, always been doing it, good old boy system, you know it’s worked all these years. What’s wrong with it,” said former city clerk Stephanie Haas.

Former Pevely Mayor John Knobloch, who resigned earlier in 2014, said city employees were to blame for the bad practices, but others disagree.

“He made the statement to them before, ‘you only work here because I let you work here,” said former alderman Don Menkhas. “He had complete control over the board, how he did it, I don’t know, but he did.”

The city also paid both Knobloch’s and his wife’s cell phone bill for many years. At times, the bill jumped to $275 per month with no explanation.

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