State Auditor Uncovers Over $70,000 Embezzled by Coates and Smith

October 13, 2010

JACKSON- In two separate cases of embezzlement investigated by the State Auditor’s Office, Carolyn L. Coates, 57, former administrative manager for the Yazoo County Chamber of Commerce, and Karen Smith, 43, former Director for the Yazoo County Convention and Visitors Bureau, have both entered guilty pleas on separate charges of embezzlement.

Coates embezzled funds by using the Yazoo County Chamber of Commerce agency credit card for personal use and only repaying a portion of the personal expenses a month. In addition, Coates opened a business account on the Yazoo County Chamber of Commerce without the Chamber’s knowledge or approval. Recovery of $25,970.98 was made from an insurance policy which covered Coates and other employees of the Yazoo County Chamber of Commerce. Coates was sentenced, with her guilty plea to be held by the Court, and she was ordered to make restitution of $13,546.40 for interest and investigative costs.

Smith embezzled funds by using the Yazoo County Convention and Visitors Bureau agency credit card for personal use. Smith was sentenced, with her guilty plea to be held by the Court, and she was ordered to make restitution of $58,636.51 for partial principal, interest and investigative costs. Recovery of a portion of the embezzled amounts, $25,000.00, had previously been made from a surety bond on Smith.

“Our office continues to be successful in indentifying fraud cases in which the individuals should have been held to the highest level of accountability,” said State Auditor Stacey Pickering. “We thank these two entities for their assistance and cooperation in helping us bring this to a satisfactory conclusion.”

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