A 46-page document leaked to the Bahama Journal on how the Police Staff Association (PSA) spent and made its money confirms that for years, the PSA’s funds have been misappropriated, mismanaged and uncontrolled.

The report, similar to an audit, was conducted between 2008 and 2009.

The original plan was to conduct a review for the 2005 to 2009 period, but the report said based on the lack of information provided, that did not happen.

The report, dated January 27, 2011, noted that there were “control weaknesses” within the operations of the PSA, accounting errors and instances of misappropriation of the PSA’s assets and that cash received by the association from 2008 to 2009, whether as book drive revenue, loan repayments, or private engagement reimbursement, in most instances appears to not be deposited into the association’s bank accounts.

According to the report, at the time, payments were often made by the association to vendors and PSA staff members without supporting documents; loans provided to PSA staff members were not properly documented and no adequate system was in place at the time to record and monitor imbursement and timely repayment of loans.

The document said this “ad hoc system,” opened the system to abuse.

It further found that there does not appear to exist proper oversight and management of the association’s Freeport office operations; that a book drive managed by the PSA appeared to be mismanaged and much of the cash was misappropriated.

“The book drive was extended to collect additional funds, which appear to only benefit the book drive coordinator and the publishing company,” the report noted.

It was also discovered that from 2008 to 2009, the association spent over $75,000 on 2,300 hams and 2,300 turkeys.

Much of the hams and turkeys were resold to outside parties, but all the funds did not appear to be deposited in the PSA’s bank accounts, according to the report.

The report also determined that lack of controls around expenses were found as miscellaneous like travel, entertainment as well as phone card expenses; all open to abuse.

Additionally, the investigators found no proper authorisation process of annual bonuses for association executives and board members.

As it related to private engagements, which involves the third party engagement of police officers for security related work, the report said it appears that “a fair work sharing system is lacking.”

It was determined that private engagement cheques were often made out to friends of those managing the private engagements system; a system the report noted at the time was open to abuse.

Sources told our news team on Tuesday that this report was not sanctioned by the PSA and is in direct breach of the association’s by-laws.

New Chairman Inspector Dwight Smith said legal action is sure to come.