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Utah and its insurance company are suing a Salt Lake City accounting firm to recover $860K lost to embezzlement

New legal action has emerged in the $1 million-plus embezzlement from a state agency that oversees 911 and emergency radio services throughout Utah, with a lawsuit against an accounting firm hired to review the agency’s finances.

The civil suit filed by the state and its insurance agency this week in 3rd District Court against the Salt Lake City firm of Karren, Hendrix, Stagg, Allen & Company seeks $860,000, plus interest and attorneys fees.

The accounting firm was hired to audit the Utah Communications Authority’s (UCA) financial statements from 2013-2015, but breached its fiduciary duties to the state, according to the suit.