Harrah city manager under investigation
Misuse of credit card alleged during former job as Sallisaw city manager
A former Sallisaw city manager is under investigation by the Oklahoma State Bureau of Investigation for the alleged misuse of a city-issued credit card.
Clayton Lucas II, who is now city manager of Harrah, used a city of Sallisaw credit card to make more than $11,800 in “unallowable” purchases and more than $6,500 in “questionable” purchases during his time as Sallisaw city manager, according to an audit recently released by State Auditor and Inspector Cindy Byrd.
“Lucas consistently ignored, changed, or eliminated purchasing and travel policies,” state auditors reported. “His credit card expenditures were subjected to very little to no oversight by the Board of City
Commissioners and he continually `pushed the envelope' exhibiting a pattern of behavior that showed a blatant disregard for the proper use of public funds.”
Auditors classified Lucas' credit card expenditures as “unallowable” in cases where
they deemed them to be an improper use of public funds and labeled them as “questionable” when a lack of supporting invoices or itemized receipts prevented auditors from determining the exact nature of the transactions.
Lucas served as Sallisaw's city manager from May 4, 2015, through Dec. 12, 2017.
Sequoyah County District Attorney Jack Tho rps aid he requested both a state audit and OSBI inquiry after questions were raised about Lucas' spending practices.
Initially requested in December 2017, the OSBI investigation is“open and ongoing,” said Brook Ar be it man, the OS B I' s public information officer.
Now that the audit is complete, the OSBI will continue to move forward with its investigation, she indicated. Thorp said once he receives the OSBI's report he will decide whether criminal charges should be filed.
Lucas did not return telephone calls to Harrah City Hall seeking comment.
State auditors examined more than $55,000 in credit card purchases by Lucas and reported that more than $18,400 of those purchases
were either unallowable or questionable.
More than $8,500 of the expenditures that auditors labeled “unallowable” were linked to Lucas' use of a city credit card while on a family vacation to Salt Lake City, in the summer of 2016.
Lucas was driving a Ford Expedition owned by t he city and towing his personally owned RV camper when his family was involved in a crash, which destroyed both of those vehicles, auditors reported.
Lucas proceeded to charge more than $8,500 in personal expenses to the city's credit card while on that trip “without board authorization,” auditors said.
Lucas' explanation for using the city credit card to purchase food, clothing, lodging and other supplies was that he had misplaced his wallet in the accident and didn't get it back until two days later when he retrieved it from the impound lot, auditors reported. Lucas continued charging vacation expenditures to the city credit card even after he had recovered his wallet,
claiming he thought it would provide better record keeping to keep using the city-owned card until he got back to Sallisaw.
Lucas later paid the city back about $7,300, but never paid back the remaining balance of more than $1,200, auditors said. Even the credit card purchases that Lucas reimbursed appeared to violate a state law which “prohibits a person from receiving, directly or indirectly, any interest, profit or perquisites, arising from the use or loan of public funds,” auditors said.
Lucas frequently traveled to conferences with his family, staying in hotel suites that he charged to the city, resulting in costs that were higher than what would have been required if he had been traveling alone, auditors said.
“Lucas incurred $2,399.90 in unallowable credit card charges related to out-ofstate travel,” auditors said. “These charges included costs which exceeded lodging expenditure policy limits and included purchases made for personal benefit.”
“Lucas incurred $2,399.90 in unallowable credit card charges related to out-of-state travel. These charges included costs which exceeded lodging expenditure policy limits and included purchases made for personal benefit.” State Auditor and Inspector Cindy Byrd