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Behavioral health group in financial trouble

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BATESVILLE, Ark. (AP) - A behavioral health facility that treats residents at locations in 22.
Arkansas counties is in deep financial trouble and may have to close.

A new accountant for Batesville-based Health Resources of Arkansas told board members Thursday that the corporation is millions of dollars in debt.

The Batesville Guard reports (http://is.gd/QWemF0) that certified public accountant Michele L. Kemp of Little Rock said the agency that relies mainly on government grants to operate is years behind on payroll, unemployment and pension payments.

Kemp says she and new CEO Jim Clark have found massive inconsistencies in the agency's books and that state police are investigating.

Kemp says the corporation needs a detailed audit to determine the depth of the financial problems.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

 

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