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Nashville, TN - A state audit has uncovered over $250,000 in questionable credit card charges at the Davis House Child Advocacy Center, a nonprofit serving at-risk youth in Williamson, Hickman, Lewis, and Perry counties. The Tennessee Comptroller’s Office found that the organization, which relies on government grants, donations, and fundraisers, operated at a financial deficit for multiple years while accumulating high credit card balances, interest, and late fees.
Audit Findings - Investigators determined that officials at the nonprofit failed to maintain documentation for more than $250,000 in charges made on two credit cards. These expenses included:
- Upscale restaurants
- Retail stores
- Entertainment venues
- Alcohol purchases for events and training sessions
Additionally, the former executive director used one of the credit cards for at least $345.55 in personal purchases, including charges made during a Florida conference at Walt Disney World. While he later repaid a portion of the personal expenses, the audit raises concerns about financial oversight within the organization.
State Officials Call for Accountability - "It is essential that nonprofit organizations with public funding operate transparently and within clearly defined financial policies," said Tennessee Comptroller Jason Mumpower. "Proper oversight by the Board of Directors and documentation help prevent wasteful spending, protect the organization’s mission, and promote public trust."
The findings have been forwarded to the Offices of the District Attorneys General for further review. Meanwhile, Davis House leadership has responded, stating that corrective actions have been taken under new management.
