RALEIGH — A recent investigative report from the North Carolina Office of the State Auditor found no evidence that the city of Randleman’s former finance director embezzled funds, misused a city-issued credit card, or received a special payout to leave her job.
The report also confirmed that the City of Randleman, which has about 4,595 residents, is behind on its required annual financial audits for fiscal years 2024 and 2025. As a result, the city remains on the Local Government Commission’s Unit Assistance List.
Key findings from the report included auditors finding no evidence that the former finance director stole city money. When she left the job, the city paid her $59,183.96 for regular wages, insurance reimbursement, and accrued vacation time after a mutual separation. The payment was not a severance to make her quit.
The findings also showed no sign that the former director improperly used her city-issued procurement card.
The report also looked at outside accounting costs between 2022 and 2025, which showed the city paid an external accounting firm $154,562 for work that fell within the normal duties of the finance director.
Another allegation involved mowing of non-city owned property. Auditors could not determine whether a member of the Board of Aldermen paid Public Works employees to use city equipment to mow private property.
The audit was launched after the Randolph County District Attorney and members of the public raised concerns.
The state auditor’s report recommended that Randleman submit future financial audits on time, train finance staff so the city relies less on outside consultants and avoids payroll errors, and make sure board members complete required ethics training and that all employees follow city personnel policies.
In response to the audit, Randleman city manager Eric Raper said the city “supports the findings” of the report. He noted that the finance department has made major improvements since July 2025, including new policies, better internal controls, and staff changes. The city has ended its contract with the outside accounting firm, hired professional finance staff, and is working with the North Carolina League of Municipalities to finish the overdue audits and install new financial software.
Raper said the changes are meant to restore public confidence.
“We hope that with the conclusion of this investigation, the public is reassured that the proper oversight now exists to effectively and efficiently manage the City’s financial resources,” he wrote.
The audit closes the public complaints that triggered the investigation. City officials say they welcome any future cooperation with the State Auditor’s Office.