April 24, 2014

Audit shows theft by former Honey Creek employee

A state audit shows a former employee at the state-owned Honey Creek Resort made thousands of dollars in improper transactions last year. Kathy Ewing worked as a Group Sales Assistant at the resort located on Lake Rathbun in south-central Iowa.

State Auditor David Vaudt says an investigation by his office found Ewing made 10 improper refunds totaling $2,770. “What she would do is issue refunds, but the refunds would actually get processed through to her own personal bank account or credit card rather than going to the organization because the refund was simply a fabricated refund,” Vaudt said.

Ewing was in charge of preparing, billing and adjusting group bills. Vaudt commended the Iowa Department of Natural Resources, which manages Honey Creek, for quickly catching Ewing’s actions and requesting the audit.

“The good part was, when it actually came down to the investigation, it was caught very quickly…so it only occurred over a two-month period in 2011,” Vaudt said. Copies of the State Auditor’s report have been filed with the Attorney General’s office, the Iowa Division of Criminal Investigation and the Appanoose County Attorney’s office.