Audit firm sued by Dixon for not detecting fraud - – Rockford’s News Leader

Audit firm sued by Dixon for not detecting fraud

Rita Crundwell - File Rita Crundwell - File

Officials with the City of Dixon are suing CliftonLarsonAllen, the firm in charge of auditing the city's books, for not detecting the fraud allegedly carried out by its former comptroller.

Rita Crundwell pleaded guilty to one count of wire fraud for embezzling over $53 million from Dixon last year. Now, the city is claiming CliftonLarsonAllen should have noticed things such as bogus invoices while auditing the city's books, processing checks, and even preparing Crundwell's tax returns.

However, the firm claims it was not required to do testing that could have revealed the fraud.

Crundwell is scheduled to be sentenced on the federal count of wire fraud on February 14.

Powered by WorldNow
All content © Copyright 2000 - 2014 WorldNow and WREX. All Rights Reserved.
For more information on this site, please read our Privacy Policy and Terms of Service and Mobile Privacy Policy & Terms of Service.

Persons with disabilities who need assistance with issues relating to the content of this station's public inspection file should contact Administrative Assistant Trista Truesdale at (815) 335-7856. Questions or concerns relating to the accessibility of the FCC's online public file system should be directed to the FCC at 888-225-5322, at 888-835-5322 (TTY) or at