Prosecutor Blake Batson request an Arkansas State Police investigation on September 14, 2012, after the City of Gurdon was alerted to missing funds in the Water Department through its annual audit.
The city, according to Mayor Clayton Franklin, conducted an internal investigation using an outside accounting firm and confirmed there was a shortage in funds. It was suspected the theft had occured by a city employee.
Franklin confirmed an employee was terminated following the audit and investigation, however that employee's name has not been released.
Batson said he is reviewing the case files to determine if his office will pursue charges.