Friday, May 17 2013 11:23 PM EDT2013-05-18 03:23:44 GMT
A Hattiesburg High School senior will soon be on his way to the U.S. Naval Academy in Annapolis, Maryland. Parker Krag has received an appointment to the academy. He got his acceptance packet Friday morning.More >>
A Hattiesburg High School senior will soon be on his way to the U.S. Naval Academy in Annapolis, Maryland.More >>
Wednesday, May 15 2013 10:08 AM EDT2013-05-15 14:08:44 GMT
ORLANDO (WFTV/CNN) – Hurricane season is almost here and the National Hurricane Center has released its annual list of storm names. The list alternates between boy and girl names. The list kicks off withMore >>
Hurricane season is almost here and the National Hurricane Center has released its annual list of storm names.More >>
Monday, May 13 2013 12:24 PM EDT2013-05-13 16:24:04 GMT
MARION COUNTY, MS (WDAM) - A weekend-long drug raid left 22 individuals behind bars, and more arrests to come. According to Marion County Sheriff Berkley Hall, the drug raid is the result of severalMore >>
A weekend-long drug raid left 22 individuals behind bars, and more arrests to come.More >>
Friday, May 17 2013 4:04 PM EDT2013-05-17 20:04:23 GMT
Grant Matheny with Arinder Logging says, "Used to it was all cut down by saws and pulled up with cable skidders. It's changed a lot but its still easy to get hurt if you don't pay attention." No betterMore >>
No better start to Pinebelt Tough than its own namesake. Agriculture is the number one Mississippi industry and forestry brought in more than $1.3 billion to the state in 2012. Our story begins with the loggers.More >>
South Korea says North Korea has fired three short-range guided missiles into its eastern waters. Pyongyang routinely test-launches such missiles.More >>
North Korea fired three short-range guided missiles into its eastern waters on Saturday, a South Korean official said. It routinely tests such missiles, but the latest launches came during a period of tentative diplomacy...More >>
What started out as a routine audit of a newly acquired business has now turned into a multi-million dollar lawsuit filed by the former owner and new owners of one of the area's most recognizable construction companies.
TL Wallace Construction Company has been one of Columbia's largest employers for years, building roads and bridges all across the south.
In 2012, the company's founder and sole owner Thomas Wallace sold the business to Jim and Thomas Duff, two brothers and Columbia natives.
The Duff's had already built an empire employing 4,300 people, mainly through the tire and transport business. As part of their due diligence, the Duff's reviewed the books of TL Wallace and were furnished an audited balance sheet prepared by Wallace's accounting firm McArthur, Thames, Slay, and Dews.
According to Thomas Duff, "The accounting firm reflected a net worth of 6.7 million dollars when in fact, the company was on the verge of bankruptcy. Digging further, it only got worse from there."
In January, TL Wallace Construction Company, now owned by the Duff's, and former owner Thomas Wallace filed suit, alleging the company's assets had been misappropriated, and accuses McArthur, Thames, Slay, and Dews accounting firm of Hattiesburg and its C.P.A. representative Raymond Polk of failure to properly audit company books.
The suit also alleges the accounting firm failed to audit purchases made with company credit cards and failed to notify the company of weaknesses in accounting controls leading to widespread abuse of corporate funds for personal benefit.
The suit goes on to claim the firm failed to discover the chief financial officer was misappropriating funds for years, and failed to detect transactions involving hundreds of thousands of dollars in company funds to pay for home improvements of non-shareholder employees.
Other details in the suit state that the accounting firm overstated assets and understated liabilities in its audits and Wallace made business decisions based on those audits. When the irregularities were discovered in 2012, the company was unable to bid on new jobs, costing them 30-50 million dollars in revenues.
The suit is asking for punitive damages from the accounting firm and Polk claiming they have committed intentional wrongs against the company.
Plus, the damage may not end there. The IRS has is now involved. The government audited the company for tax years 2008-2011 and is aware of the alleged misreporting of personal expenses, which could mean the payment of more taxes, plus interest and potential penalties
The attorneys for McArthur, Thames, Slay, and Dews released a statement Tuesday in response to the lawsuit:
"We believe this suit by Mr. Wallace and the new owners of Wallace Construction, who fully knew the condition of the company before they bought it, is a misguided attempt to compensate for bad business decisions during difficult economic times and unfairly shift blame for the financial failings of the company to outside accountants. It is our belief that Mr. Wallace created and fostered the financial policies and corporate culture responsible for the financial decline of his company. We regret that Wallace Construction, and especially Mr. Wallace, who has been a politically active leader in our state and local community, have resorted to such conduct. This will require us to defend our reputation and we will."
Saturday, May 18 2013 10:08 PM EDT2013-05-19 02:08:12 GMT
Officials with the Jackson County Sheriff's department say the body of Timothy Gordon, Sr. was found just after 12 p.m. Saturday on the Escatawpa River. Friday evening around 5:30, Gordon and anotherMore >>
The search in Moss Point is over. The body of 55-year-old boater Timothy Gordon has been pulled from the Escatapwa River. Now investigators are saying marijuana may have been involved in the accident.
Saturday, May 18 2013 10:00 PM EDT2013-05-19 02:00:02 GMT
Observers are predicting a speedy confirmation to the federal bench for Jackson attorney Debra M. Brown. If confirmed, Brown would become the state's first black female district judge. Carl Tobias, aMore >>
Observers are predicting a speedy confirmation to the federal bench for Jackson attorney Debra M. Brown.More >>
Saturday, May 18 2013 7:29 PM EDT2013-05-18 23:29:38 GMT
A local patriotic organization has honored the Covington County men who were killed in action in the Vietnam War. In a ceremony Saturday, the Covington County Genealogical and Historical Society SocietyMore >>
In a ceremony Saturday, the Covington County Genealogical and Historical Society Society unveiled a monument on the grounds of the county courthouse.More >>
Saturday, May 18 2013 4:16 PM EDT2013-05-18 20:16:49 GMT
The North Lamar Water Association has issued a boil water notice for all of Bellewood Subdivision until further notice. It was issued just before 3 p.m. Saturday. Officials with the association sayMore >>
Officials with the association say a break in a main water line prompted the notice.More >>
2362 U.S. Hwy 11
Moselle, MS 39459
1-800-844-WDAM (9326) Email Us