Covering Louisiana

Nov 27, 2013 10:54 AM by AP

State moves to recover funds charity groups

NEW ORLEANS (AP) - State officials will try to recoup more than $2.3 million from 21 community and charitable organizations found to be in violation of Louisiana's financial reporting laws.

The move is part of a push initiated by state Treasurer John Kennedy in late July, when he identified 34 non-governmental organizations that received $4.2 million from state coffers in 2007 and 2008, but didn't provide proper accounting for how that money was used.

Under reporting rules enacted after Hurricanes Katrina and Rita, any NGO that receives money from the state general fund is required to provide quarterly reports on how it used that money.

Officials tell The Times-Picayune the remaining 21 groups will be referred to a newly created debt recovery office.

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