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Bills Proposed to Aid State Auditor Following Nearly $40 Million Theft


Arizona lawmakers are taking action in response to a major embezzlement scandal involving former Santa Cruz County Treasurer Elizabeth Gutfahr, who stole nearly $40 million over a decade. The House Government Committee passed a series of bills to give state auditors more oversight over county treasurer offices to prevent such incidents in the future. The primary bill, HB2368, would allow auditors to access financial documents directly from banks, providing a crucial tool in detecting fraudulent activities. County treasurers have expressed support for the measures, emphasizing the need for transparency and accountability in their offices. Gutfahr is awaiting sentencing, and Santa Cruz County is seeking damages from the Auditor General’s Office for negligence in detecting the embezzlement scheme. The Auditor General’s Office has filed a motion to dismiss the case, arguing that the county failed to prove specific false representations by auditors. The case highlights the importance of strengthening auditing procedures and ensuring that state entities have access to critical financial information to prevent fraud and financial misconduct in government agencies.

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