Selectmen probe town $$$ used for Rescue Corp.

Former selectman and assistant rescue chief Jason Cole and his wife,the former Rescue Department chief, at a meeting with town auditors and town counsel in December. (Lebanon Voice file photo)

LEBANON - Selectmen have identified at least two town credit card accounts used for what they believe were Lebanon Rescue Corporation purchases of which the town had no knowledge, prompting them to delve into negotiations with an investigative auditing firm to see whether a wider probe into financial dealings between the town, the Rescue Department and corporation is appropriate.

Town treasurer Jeannette Lemay apprised selectmen last week about several purchases made on at least two town accounts, one a Walmart credit card for a purchase of almost $700 and another at Staples in which several boxes of colored paper and other crafts equipment was purchased for about $200.

All the purchases discussed occurred prior to the Rescue Department’s transition to new leadership at the beginning of the year.

During the meeting Thursday night, selectmen agreed to pay all of the credit card payments due to protect the town’s credit rating, but filed all purchases made with town credit cards that appeared bound for Lebanon Rescue Corporation usage in a separate folder to take up with new corporation leaders at a later date. Selectmen would expect reimbursement to the town on such purchases.

Selectmen Ben Thompson on Monday refused to comment on what the balance of the Walmart account was, and what the Walmart purchase or purchases comprised.

He said prior to former Assistant Rescue and Selectman Jason Cole’s departure from the board and department at the end of the year, the town had never seen the bills or been aware of the existence of the accounts, which use the town’s tax ID number.

Two separate purchases at Staples were discussed at the Thursday meeting: one on Dec. 4 for about $120 worth of white and red paper, and the other on Oct. 29 for about $90 for craft materials, which selectmen theorized may have been for the Lebanon Rescue Department Corporation’s (Lebanon Rescue Squad, Inc.) Halloween party.

According to its annual filing with the Secretary of State’s Office last year, Jason Cole was the chief agent, president and served on the board of directors of the corporation. His wife, the former Rescue Chief, was the corporation’s secretary and also served on the board of directors.

Jason Cole resigned his position as president of the corporation earlier this month, with Teena Meserve assuming control after a vote by corporation officers.

Lebanon Rescue Squad, Inc. treasurer Ron German also resigned his position.

It is not clear whether Samantha Cole resigned as secretary of the corporation or whether Jason resigned his position on the board of directors. Samantha Cole resigned as Rescue Department chief at the end of last year.

Meanwhile, the revelation of such town accounts, which have apparently been flying under the radar of town officials, including treasurers for years, is very troubling, Thompson said.

He added that the Walmart account in question has been closed, but not the Staples in that it is a townwide account used by various departments. He said they are monitoring the account, however.

Selectmen have also taken steps to find out what funds were paying the Walmart card and get their hands on the statements for the account, which dates back to 2009. That should take about two weeks, Lemay said.