Auditor Shad White issued letters Wednesday to former Pascagoula City Manager Joe Huffman and former City Comptroller Bobby Parker.
He says the two improperly mixed $27 million the Gulf Coast city borrowed in 2017 into its general fund.
White’s office says Huffman and Parker owe the interest the city would have earned if bond proceeds had been deposited separately. He demands $54,000, including lost interest and investigative costs.
The auditor says Pascagoula appeared to have more money than it did and some bond money was spent on non-bond purposes.
Mayor Dane Maxwell blames the prior administration for spending cuts and layoffs.
Jackson County grand jurors declined to indict Huffman and Parker.
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