As you’ll no doubt remember, in October Audit Wales published two public interest reports into the finances of Ynysawdre Community Council and Llangynwyd Middle Community Council.
A former clerk to two community councils paid more than £100,000 to herself
Ynysawdre Community Council and Llangynwyd Middle Community Council have been heavily rebuked by Audit Wales for historic financial mismanagement after...
Read moreDetailsThe reports revealed that a former clerk to both councils, Natalie Morgan, had used her position to pay more than £100,000 of taxpayers money to herself over several years.
Both councils were required to hold meetings to discuss the report and any actions they want to take in response to it. Earlier this week, Ynysawdre Community Council held their meeting.
The video was published on the community council’s website. If you have a decent enough internet connection I’d recommend downloading the video (184MB) – right-click on the video as it’s playing then select “save video as” – as it’s a bit choppy in the web browser.
The report made “painful reading”, but progress has been made
The Chair of the Council, Cllr. Tim Thomas, said the council has passed a recent internal audit and a lot of the recommendations from Audit Wales have been implemented. However, he accepted that the report made “painful reading”.
The Chair ran through the recommendations and measures the council has taken. These measures include:
- Improved administrative tools (Scribe) to secure records and ensure they’re available to internal and external auditors, as well as an asset register and document backup.
- Returning to traditional in-person backing from online banking and approving transactions before they’re made. A third person – other than the clerk and chair – rotating around the council will authorise cheques and check financial paperwork. An annual meeting will be set aside to go through finances thoroughly.
- Future clerks will need to fill in timesheets to show what work they’ve done and when.
- They’ve sought further advice on their tax obligations.
- The council will have an improved, member-led (rather than clerk-led) relationship with their future internal auditor(s).
- Training of members and meeting minutes have been improved. A member of the public called for minutes to be written “in plain English” to minimise jargon.
Not wanting to be the naysayer here – though I suppose that’s my job – it’s worth pointing out that the council should’ve been doing a lot of these things in the first place. Yes, it’s a voluntary role but community councils can only go so far in patting themselves on the back for meeting minimum expectations.
The council will now send a report to Audit Wales for approval.
Prosecution could be re-opened but it’s a “big ask”
The main topic is, of course, how the council intends to recover the missing funds.
Members shared the public’s anger that the Crown Prosecution Service has decided not to prosecute Natalie Morgan.
On behalf of the Council, the Chair has contacted South Wales Police and the Chief Constable has forwarded that to the Police Standards Department. A criminal case may be reopened against Natalie Morgan but it’s “a big ask”.
One member argued that the Audit Wales report will count as technical evidence and may strengthen the prosecution case retrospectively.
A private prosecution may be considered, though a full judicial review – which could cost anything above £25,000 – is probably off-limits and any legal action needs to be cost-effective; there was no point bankrupting the council trying to pursue it.
What about Llangynwyd Middle Council?
“Cordial” talks have started between the two councils over ~£6,000 that was unlawfully transferred from Ynysawdre to Llangynwyd Middle by Natalie Morgan. This may be covered by insurance.
Based on their meeting agendas and minutes Llan. Middle Council is seeking their own legal advice on how to reclaim their share of the lost money. They held their equivalent meeting on the 16th November.
There’s no public webcast so you’ll have to wait for the minutes to be published after the next meeting on 8th December. I assume it covered a lot of the same ground anyway.
