According to a statement from City Attorney, Jay Matheny, officials, "discovered financial irregularities associated with its general operating account, as well as its community events account." They contacted law enforcement and have been cooperating with the subsequent investigation by Kentucky State Police.
The city is still conducting their own internal investigation and has reported findings to an auditor. They hope to get a report in coming weeks, and have asked a CPA to reconcile the city's books.
Trooper Jay Thomas from Kentucky State Police told West Kentucky Star they are still investigating the clerk's office. He said an arrest warrant for Harrison has been obtained, and more charges against her may be filed. Thomas said since the warrant has been issued, police have not located Harrison in the state of Kentucky.
While the city is prohibited from discussing personnel matters, multiple media inquiries about Harrison prompted Matheny to say, "the City of Kuttawa can confirm that Katie Harrison is no longer an employee," and they have no knowledge of her whereabouts.
On the Net:
Statement from Kuttawa City Attorney