Audit discovers $878,000 in ‘misappropriated’ Washington state funds

A single employee is blamed for the largest case of internal fraud since 2009, perhaps ever.

OLYMPIA, Wash. — Washington state auditors said they discovered what may be the largest example of internal fraud against a state agency ever.

Investigators said a management analyst at the Office of Administrative Hearing paid himself more than $878,000 in agency funds between June of 2019 and May of 2023. The employee is accused of using the agency’s credit card to make payments to businesses he owns.

A spokesperson at the state Auditor’s Office said that is the highest alleged internal theft of state agency funds, perhaps ever.

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