Complete 2012 forensic audit documents - Kansas Bioscience ...

have all provided information and identified potential sources of information pertaining to the
investigation. The participation of the representatives of the State of Kansas in this process, in
our judgment, has been helpful to the breadth and scope of the investigation.
Before getting into the specifics of our findings and recommendations, we note that several
unusual events occurred during the course of our investigation:
• Tom Thornton resigned as the President/Chief Executive Officer on April 13, 2011,
shortly after the Forensic Audit started.
• After his resignation, Tom Thornton’s KBA computer was returned to KBA. Upon
examination of the computer by BKD’s computer forensics team, we discovered that
information had been wiped from the computer.
• KBA’s former Chief Financial Officer/Chief Operating Officer, Jan Katterhenry, changed
employment status during the course of the Forensic Audit and is now no longer
employed by KBA.
These are unusual events in the course of any business and are particularly unusual in the course
of a Forensic Audit.
These matters have been investigated and will be the subject of supplemental disclosures and
recommendations to KBA’s Board of Directors. To the extent possible, consistent with
confidentiality of personnel matters, our findings relating to these issues are also set forth in this
report.
This report and the attached exhibits are voluminous. Where appropriate, we have attempted to
provide both the detail relating to our findings and summaries of information to improve the
readability of this report.
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