Former superintendent embezzlement case sparks stricter rules

The Dec. 14 sentencing of former Union Township Superintendent Gwen Plowman has changed the way the township tracks its money.

It originally had credit cards in nearly every major vendor in the community. Now it has one credit card used for all expenses, said Union Township Supervisor John Barker.

Problems with the previous accounting system were brought before the board for many years, Barker said. He said the hodgepodge system is what presented the opportunity for embezzlement Plowman took advantage of.

“The problems with the accounting system were brought before the board five years ago,” Barker said. “The response was to change auditors, not to change policies.”

Plowman was charged with embezzlement by a public official. She allegedly used the township credit card to purchase fuel when out of town without authorization and billed the township for mileage reimbursements.

“She was ordered to pay $39,200 in restitution to Union Township,” said Isabella County Prosecuting Attorney Larry Burdick.

That money also is for the forensic accountant that Union Township hired to reconstruct the case to determine what happened, he said.

Plowman’s fuel purchases date back to 1999 and the charges came to light in October 2008.

Ninety days of her jail time is to be served in Mount Pleasant before the probation, and the other half would be served at the end of her probation if she fails to complete it.

Plowman will be released from her 90-day sentence later this month.

Many Union Township members were concerned by the accounting system’s problems, but none of the current board realized how large they were until elected into office. There was low transparency with the accounting policies of the township and how the embezzlement occurred would have been hard to catch in a regular audit.

Now Union Township has a system similar to that of Mount Pleasant. Both groups have stronger systems of checks and balances, with higher levels of accountability, officials say.

“We have multiple layers of review,” said Mount Pleasant City Manager Kathie Grinzinger. “And the credit card is not in the hands of the person who is reviewing it.”

Union Township requires people who use credit cards to turn in receipts and all charges must be allocated budget items.

The township also brought in an entirely new accounting system with a new township manager, Brian Smith, and a new staff accountant.

“It’s been a delight because it makes things simpler for everyone,” Barker said. “Anecdotally, I’ve received a lot of support from local government officials in the community.”