Recommendation:
YWCA of Western Massachusetts Inc.’s internal control procedures should be revised to ensure an adequate
review process is in place to ensure expenditures incurred are allowable under the terms of the grant. Views of Responsible Officials:
Despite DPH's mandate to remove all personally identifiable information from these funding requests, the
YWCA reconstructed every ERAP request using identifying vendor numbers. The YWCA ultimately
identified how and where the three former employees illegally used ERAP funds to pay their bills as well
as some of their family members or friends. They stole ERAP funds to illegally pay such bills as electricity,
water and sewer bills, rent, car insurance payments, and credit card payments. As soon as the YWCA
discovered these thefts, the YWCA immediately notified the appropriate authorities (such as the YWCA's
Board of Directors, the police, and DPH) and kept them updated. Additionally, the employment ended for
the three YWCA employees responsible for this fraud and theft. As of this audit issue date, all three former
employees have been indicted for multiple felonies such as credit card fraud over $1300, larceny over
$1200, and false entry in corporate books. Their criminal cases are pending in Hampden County Superior
Court. The YWCA maintains an expectation that justice will be served. Finally, to prevent future theft and
misuse of any grant funding, the YWCA has implemented some new policies and procedures. One, the
YWCA will not hire close relatives. Two, a thorough review of all financial policies and procedures is in
process to ensure that the appropriate checks and balances are in place. Three, any supervisor, who has
access to YWCA funds, will be required to participate in a background check to ensure that do not have
any personal or financial problems.