NRCC Finds Accounting Irregularities Due To Theft?

Robert K. Kelner, a lawyer with Covington & Burling, who was brought in by the National Republican Congressional Committee to investigate accounting irregularities, said a new audit showed that the committee had $740,000 less on hand than it believed. Mr. Kelner said it was unclear whether that amount represented money siphoned off by the former treasurer, Christopher J. Ward.

Mr. Ward, who is under investigation by the Federal Bureau of Investigation, had the authority to make transfers of committee money on his own, Mr. Kelner said.

He said an investigation with the help of PricewaterhouseCoopers had “found a pattern in which Mr. Ward would transfer funds by wire out of the N.R.C.C. to outside committees.” From those outside committees, Mr. Kelner said, money was then transferred to “personal and business accounts of Mr. Ward.”

Mr. Kelner said that all of this was discovered on Jan. 28 after the current chairman of the committee’s auditing panel, Representative Michael K. Conaway of Texas, a certified public accountant, made repeated requests to speak to the committee’s outside auditors.

Mr. Conaway has said that after he was repeatedly put off by Mr. Ward, a meeting supposedly with the auditors was scheduled for that day.