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Lexington implementing new safeguards regarding electronic financial transfers

Stu Johnson

Lexington city officials are implementing new measures in an effort to prevent any future criminal diversion of funds. The investigation continues into the theft of $4 million in federal rent assistance and transitional housing funds. Criminal actors inserted themselves into communication between the urban county government and Community Action Council. Chief Administrative Officer Sally Hamilton said verbal confirmation is important.

“And we know now that anytime that somebody writes in any kind of email or anything that there has been a change of account, we are going to immediately call and verify that. Not through email, not through anything electronic. But, through a call,” said Hamilton

Hamilton said the theft was not a cyber-attack on the government’s system. She noted the hope is to get the money back, but the criminal action is not affecting the flow of $4 million to those eligible for housing assistance.

Stu has been reporting for WEKU for more than 30 years.
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