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Audit shows $230,000 in financial irregularities in Neola

DES MOINES, Iowa (AP) — The state auditor says improper management of city finances over a five-year period cost the city of Neola more than $230,000.

City officials requested a special audit after a new city clerk discovered financial irregularities following the firing of previous clerk Deb Schierbrock in August 2013.

State auditors say in a report released Tuesday they found more than $41,000 of improper spending and $122,000 of payments that couldn't be confirmed as legitimate city expenses.

Auditors also found Schierbrock didn't bill late fees to herself and others failing to pay utility bills on time. The audit covers city finances from 2009 through 2013.

Neola, a city of about 840 people, is 20 miles northeast of Council Bluffs.

Schierbrock hasn't been charged. She didn't immediately respond to a telephone message.

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