A new audit has found that 62 town employees and three aldermen in Spring lake misused procurement cards and travel expenses to the tune of $122,434.

In addition, at least $335,756 was spent without purchase orders, travel forms, or receipts. The town also failed to bill, record, and collect $90,930 from a utility customer.

The audit covered the period from July 1, 2010, through March 31, 2015. During much of that period, Chris Rey, a candidate for the Democratic Party’s U.S. Senate nomination, was mayor of Spring Lake.

State Auditor Beth Wood’s office received allegations through its hotline concerning possible abuse of the town’s procurement cards and missing revenues. During the office’s investigation, concerns about other expenditures and other violations of town policies were found.

Among the items purchased were Thirty-One brand tote bags, caddies, and organizers. Also, the audit says, the former town manager charged food to various restaurants. He held meetings at local restaurants instead of holding them at town hall, the report says.

The report recommended that the aldermen provide oversight to ensure accountability for town resources. It also recommended that the town consider disciplinary actions against members of management that did not properly enforce its policies or misused their procurement cards. It recommended that the town seek reimbursement for improperly spent funds, and retroactively bill the real estate management company for unbilled water services.

The report said findings from the investigation have been turned over to the State Bureau of Investigation to determine if criminal charges should be pursued.

Rey, in his response, said the town takes the audit findings seriously and will strive to improve accountability.

“I believe it is also important to note that the town has already made significant progress to address two of the three findings, and developed a methodology to address the remaining finding,” Rey wrote.