Missouri State Auditor has eyes on SLDC following complaint; no investigation yet

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ST. LOUIS (KMOX) - A complaint to the Missouri State Auditor has opened up a review of the St. Louis Development Corporation (SLDC) North St. Louis Small Business and Non-Profit Grant Program.

Missouri State Rep. Steve Butz (D) says he is concerned with news coverage of grants potentially going to fake businesses or those with ties to the SLDC board.

Butz says he was surprised to learn nobody had brought this up to the auditor prior to his conversation.

"I made the comment 'I'm sure you've had fifty people calling for an audit,' and [the auditor's staffer] said 'actually, we haven't, you're the first.'" said Butz to KMOX News.

Butz says his concerns mostly stem from the vetting process.

"I was completely befuddled. I thought, 'surely the first thing you would do is Google the business or the enterprise and see what comes up.'" said Butz.

Butz isn't of the belief there is anything nefarious being done, but says the public needs another set of eyes to take a look.

"I think there's enough smoke here, enough doubt, enough lack of transparency that we needed their expertise to look into it," said Butz.

A spokesperson for Missouri State Auditors Office confirmed to KMOX News an official investigation has not been opened yet and they are treating Butz's conversation as a whistle blower complaint.

Currently, they are in the process of reviewing the information they have received from Butz.

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