By TERRYL ASLA

KINGSTON — In response to the June 2 findings of the State Auditor regarding the loss of public funds at the Port of Kingston, port Executive Director Jim Pivarnik is recommending that the port take prudent action.

The State Auditor reported that between Aug. 11, 2014 to Sept. 5, 2015, at least $767 in revenue was not receipted or deposited. Additionally, at least 12 receipts had been deleted from the point-of-sale system [cash register software] between Jan. 1, 2015 and Dec. 4, 2015.

There was no way to tell how much money the deletions might have amounted to as the system software erased the transactions; all that was left were the dates the records were deleted.

Nor was it possible to learn who deleted the record, as employees were not required to use personal IDs when they logged onto the system.

Responding to an email request for more details by the Herald, Megan McFarlane, assistant audit manager for the State Auditor’s Office, reported in a June 7 email, “We assigned responsibility of $44 loss to the Port Assistant on 8/31/14, and $35 loss on 4/6/15.”

With regard to the 12 deleted receipts, McFarlane wrote, “We were unable to identify a loss amount or assign responsibility for the activity related to the deleted receipts.”

McFarlane wrote that none of the 12 deleted receipts occurred after Sept. 8, 2015.

Christine Conners was terminated that date as port assistant. She subsequently sued the port, claiming her firing was based on “mistaken or falsified allegations” that she took money from the port.

Because the litigation is ongoing, Pivarnik was limited in what he could say.

“At this point, the goal is for the port to move forward,” he said. “We plan to take the two actions the auditor’s office recommended in their findings letter.

“First, responding to the recommendation that the port strengthen its internal controls over receipts and deposits, our point-of-sale system software will now require employees to log in with personal IDs and will no longer permit them to delete transactions.

“Second, I am recommending to the Port Commissioners that they follow the Auditor Office’s recommendation to seek recovery of the misappropriated [funds].”

Responding to the auditor’s findings, Conners’ attorney, Judith Lonnquist, said, “We believe the true story will come out at the trial. Ms. Conners categorically denies having taken any of the port funds.”