SOUTH PADRE ISLAND, Texas — Federal agents are investigating an unauthorized transfer involving the South Padre Island Economic Development Corporation after money was sent to a fraudulent account, city officials said.
Mayor Patrick McNulty read a prepared statement during an Oct. 7 City Commission meeting stating that the incident involved an unauthorized transfer and that federal investigators were working with the EDC to investigate and trace it. The city has not disclosed the amount transferred.
Officials said the EDC receives a half-cent of local sales-tax revenue maintained within city coffers. The EDC has described the matter as an isolated incident and said its email system is separate from the city’s system.
No suspect or allegation of responsibility has been publicly announced. The city said it reviewed administrative security protocols after the incident. BTX Today will update this story as public records or investigative findings become available.
Source: KRGV
