Three former cashiers at Grambling State University are accused of improperly increasing GFlex, or discretionary spending money, account balances for 35 students, including the personal accounts of two of the former employees.

An investigative audit into Grambling State University's internal financial operations resulted in six major findings, including the addition of $164,442 to the GFlex accounts.

Also detailed is over $12,000 in free meals provided to Grambling employees through the food service company Aramark.

According to a press release from the Louisiana Legislative Auditor, such a use of public money for personal benefit may violate both state and federal laws.

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Each student who enrolls at Grambling receives a Tiger1 Card, which serves as the student’s ID card and provides the student with access to three different accounts – a meal plan account, the GFlex account, and a bookstore account for textbooks.

GFlex accounts can contain a combination of federal student aid and personal contributions. According to the audit report, GSU applies federal aid toward student tuition, fees, meals and housing before depositing up to $1,500 in a student's bookstore account and up to $1,500, by request, into the GFlex account.

GFlex accounts can be used to purchase books, supplies, snacks and food items not covered under the dining plan. It can also be used to make purchases at select off-campus merchants.

In addition, auditors said, two former University cashiers and a former student worker used cashier numbers and PINs assigned to other employees to post transactions to student accounts.



The LLA conducted its investigation after being notified of discrepancies found during an internal audit.

Per the report, GSU President Rick Gallot notified the LLA on Feb. 9, 2017 that internal auditors uncovered $117,752 in funds misappropriated by former employees. The LLA broadened the investigation and found $46,690 in additional improper transactions.

In a management response signed by Gallot, the university implemented recommendations of the LLA, including eliminating the manual allocation of funds to GFlex accounts by cashiers, creating additional internal controls and requiring documented management review of the GFlex system and additional accounting systems.

Additional findings

Free meals for GSU employees

Auditors also noted that the University’s food service company, Aramark, provided at least $12,682 in free meals to certain employees from August 29, 2016, through May 5, 2017, which may violate state law.

The audit reports that GSU Vice-President of Finance and Administration Leon Sanders and the food services director for Aramark, Eddie Rushing, said certain GSU employees were provided complimentary meals since the inception of the company's contractor.

Per the report, Rushing said, as far he can tell, it is the company's practice to provide free meals for certain employees at all universities it services. Sanders told the LLA, the free meals were provided to ensure quality control.

Failure to act when false student ID made improper purchase

In addition, Grambling authorities used public funds to reimburse a student whose money was stolen, but did not pursue restitution, which may violate the state’s Constitution.

Student accounts not reconciled for five years



Auditors also found that the Blackboard software used for the Tiger1 Card accounts and Grambling’s Banner accounting system were not reconciled for more than five years. Each student’s Banner and Blackboard account balances should reconcile; however, auditors found 76 accounts where students appeared to have spent at least $500 more with their Tiger1 Cards than they had available in the Banner system.



Financial aid advances



Auditors found as well that the University used public money to advance funds to students who receive student financial aid up to 88 days before monies were received from the federal government and other sources. This could result in the use of financial aid for non-academic purposes and may violate the state Constitution.

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