NETO employees suspected of over $725,000 fraud
Multiple Northeast Texas Opportunities Inc. (NETO) employees have been suspected of having committed an estimated $726,430 in fraudulent checking writing to themselves and invalid vendors. It is believed they were using NETO’s credit card to purchase gift cards. This is still under investigation and more employees may be implicated in the wrongdoings.
According to NETO, Inc. Executive Director Beverly Logan, four employees have been dismissed from the agency. The names of the former employees are being withheld pending the completion of a FBI criminal investigation.
The 2012-13 Audit Report by the firm Gomez and Company, CPAs of Houston and forensic audit by a Kansas firm reveal all employees who had access to the financial data. The audit showed over $500,000 will be required to be returned to the Texas Department of Housing and Community Affairs grant fund.
NETO, Inc. was chartered in 1970 and serves Delta, Franklin, Hopkins, Lamar, Morris, Rains, Red River and Titus. The 501(c) (3) non-profit Community Action Agency serves the needs of the elderly, low income, and handicapped in the eight county regions as well as Head Start program funding. The NETO Inc. Executive Board will be meeting on Wednesday, May 27 at noon at the Franklin County Multi-Purpose building, houses the NETO offices, at the corner at 208 Taylor Street in Mount Vernon, Texas.