Auditor's Report Finds Problems, But Improvement Over Last Year

FRANKFORT, Ky. -- – An audit of the state's finances has found continued problems with data security and with reconciling bank accounts at the Kentucky State Treasury but overall improvement from a year ago.

Kentucky Auditor Crit Luallen released the first half of the annual statewide audit Thursday. It examined the state's $24.7 billion in expenditures for the fiscal year that ended June 30.

The audit found 53 deficiencies as opposed to last year, when there were 70 findings.

A news release from Luallen's office says one serious problem was with reconciling the state's bank accounts at the Kentucky State Treasury. The release said it could lead to a significant misstatement on financial statements.