State hires firm specializing in ‘crisis and transformation’ to audit IEDC
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Following concerns of potential “impropriety” at the Indiana Economic Development Corp., the state has hired an independent firm to conduct a forensic audit of the agency and its affiliated entities.
In a written statement shared with IBJ on Wednesday, the Governor’s Office said it had hired Carmel-based FTI Consulting to conduct the audit. The global firm specializes in services for “organizations facing crisis and transformation,” according to its website.
Gov. Mike Braun said in an April 24 news conference that his office had reported concerns to the Office of the Inspector General regarding activities within the IEDC and its affiliated entities. At the same time, Braun announced a freeze of all state funds associated with the IEDC’s spun-off venture capital firm, Elevate Ventures.
Spending from the IEDC’s affiliated nonprofit, the Indiana Economic Development Foundation, has also been suspended.
The April announcement came days after a wide-ranging report by Hannah News Service called into question the governance of the IEDC and its relationship with Elevate.
Consultants are expected to begin their work immediately. State Secretary of Commerce David Adams previously said the audit is expected to take six to 12 months to complete.
In April, Braun and Adams said they are waiting to see the audit’s results before taking any additional steps, which could include changes to the IEDC board.
The Governor’s Office on Wednesday said it does not anticipate releasing an additional updates until the audit is completed.