Paine College having trouble maintaining financial records

Schools and Universities across the United States are constantly building student records and storing them in filing cabinets. Institutions also need to track financial information, including incoming tuition, scholarship information and total cash on hand. However, some colleges have difficulty maintaining this information.

Georgia's Paine College, for example, recently lost some of its funding because of improper financial record keeping, according to the Augusta Chronicle. When an audit of the school exposed the situation back in April, some federal scholarships were revoked. The investigation found that the college was accidentally registering students under a scholarship program after they had dropped out or graduated, and was failing to return federal money given to the university for students that had left the school.

The poor information management has caused serious complications for the college, including budget problems. The lack of federal funding left some students receiving bounced checks or waiting several months to receive their aid.

"Since becoming aware of these budget issues, Paine has moved swiftly to identify the necessary steps to ensure financial continuity," a statement from the college reads. "The school promptly put in place financial responsibility measures, including the termination of relevant personnel, and a complete review of college fiscal policies and procedures."

Paine has since attempted to fix the problems by adjusting the its financial management, but still faces the potential loss of its accreditation.

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