An audit has found the Kentucky Workers’ Compensation Funding Commission paid about $510,000 to a private financial adviser when the law requires it to use state-employed advisers.
Auditor Crit Luallen said the commission has paid Morgan Stanley Smith Barney $40,000 to $50,000 a year since 1999. State law requires the commission to use the Kentucky Finance and Administration Cabinet’s Office of Fiscal Management.
Luallen audit found no evidence of conflicts of interest.
The commission, which manages more than $350 million in assets, has agreed to begin using the Office of Fiscal Management as its financial adviser.
Board member Jeff McIntosh said he is the person who asked for the audit. He said he is not satisfied with the board’s response because nobody inside the agency has explained why it ignored the law.
Topics Workers' Compensation Talent
Was this article valuable?
Here are more articles you may enjoy.
Travelers: Aging Workforce, New Employees Drive Complexity in Injury Claims 
After Greg Biffle Plane Crash, Police Think ‘Friends’ Stole From His NC Home 
Most Are Overcharged for Property Insurance, Vanderbilt Study Says 
Trump Administration Targets Dismantling of Already-Weakened DEI 
