HAYSI, Va. (WCYB) — Haysi Mayor Larry Yates was arrested Thursday on multiple financial fraud charges, according to Southwest Virginia Regional Jail Authority and Virginia court records.
Records for Dickenson County Circuit Court and jail roster listed charges against Yates, 72, including embellzement of public funds, use of public funds for personal purposes, credit card theft and credit card fraud.
Online records show Yates had a court hearing Monday in Dickenson County.
News 5 has reached out to Virginia State Police and Haysi Police for additional information but has not heard back yet.
A spokesperson for the Town of Haysi provided the following statement about the arrest on behalf of the town:
Today is a difficult and deeply concerning day for our community. We understand that many residents have questions and concerns. First and foremost, we want our residents to know this:…
MANAGEMENT & CULTURE (THE “TONE AT THE TOP”)
Fraud thrives in “sloppy” environments where leadership ignores the rules.
- The Fraud Triangle: For fraud to occur, three elements must be present: Pressure (the need for money), Rationalization (thinking “I deserve this”), and Opportunity (weak controls). You can only control the Opportunity.
- Whistleblower Hotline: Provide an anonymous way for staff to report “odd behavior.” Most internal frauds are caught via tips, not audits.
- Background Checks: Conduct credit and criminal record checks for all employees in financial or data-sensitive roles.
- Annual Ethics Training: Make sure every staff member knows that the company has a Zero Tolerance policy toward “borrowing” from petty cash or fudging overtime.