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| NM Corrections Department overbilled |
| By forbes.com - BARRY MASSEY |
| Published: 06/09/2011 |
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New Mexico's prison system agency was overcharged by contractors and made nearly $4 million in questionable payments during former Gov. Bill Richardson's administration, according to a state audit that found potential corruption in the handling of contracts. State Auditor Hector Balderas released the audit Wednesday and said its findings had been sent to federal and state law enforcement agencies because of possible criminal violations. Charges already have been filed against one former Corrections Department official who was responsible for selecting companies to do maintenance and construction work on prison system buildings. The audit faulted the department for poor oversight of transactions involving three contractors in the 2007 to 2010 fiscal years. The report found $3.7 million in payments to the companies in which invoices weren't good enough to determine what the agency received. The department's former facilities manager, Laurie Chapman, was indicted in April on accusations that she accepted $237,000 in bribes in exchange for selecting one of the contractors, Santa Fe-based Omni Development Corp., for roofing projects. She has pleaded not guilty. Chapman was fired after Republican Gov. Susana Martinez took office in January. Read More. |
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