Auditors found widespread internal control failures in Stockton’s financial operations, including accounting errors, delayed reporting and weak oversight of millions of dollars in public funds, according to a new audit report.
The Santa Ana-based accounting and advisory firm The Pun Group, in a 44-page report reviewing the city’s finances for the fiscal year ending June 30, 2024, identified multiple material weaknesses tied largely to staffing shortages, high turnover and breakdowns in basic accounting procedures.
Auditors said those issues led to significant errors and delays, including more than 100 post-closing adjustments to the city’s books, unexplained cash discrepancies and millions of dollars in misreported or late-recorded transactions…