Whitesboro, NY (WIBX) - An audit of the Village of Whitesboro found conflicts of interest with its former mayor.

That from State Comptroller Thomas DiNapoli who found former mayor Richard Pugh, as sole owner of an equipment repair shop, had a prohibited interest in seven contracts with the village.

The Comptroller also found the village board overestimated revenues of $1 million over the past five years. The audit also found the village had operating deficits in the general fund for fiscal years 2005-06 through 2008-09. And, to address cash flow problems, the village had to rely on short-term borrowing, increasing taxes by 50 percent in the 2010-11 budget to help resolve the deficit.

DiNapoli says his office's audits are a way to protect taxpayer dollars and improve financial management practices.