Okla. Stat. tit. 70, § 70-18-118: Audit of state monies received by public school

districts - Withholding from subsequent allocations.

A. The State Auditor and Inspector shall approve auditors who

shall audit the funds of the public school districts and the use

made of the monies thereof, and shall make such other audits as may

be required by the State Auditor and Inspector.

B. School districts and officers and employees thereof who

divert any monies received by a district from the purpose for which

the monies were apportioned to the district shall be jointly and

severally liable for any such diversion.

C. If audits disclose that state monies have been illegally

apportioned to, or illegally disbursed or expended by, a school

district or any of its officers or employees, the State Board of

Education shall make demand that the monies be returned to the State

Treasurer by such school district. If the monies are not returned,

the State Board of Education shall withhold the unreturned amount

from subsequent allocations of state funds otherwise due the

district. The State Board of Education shall cause suit to be

instituted to recover for the state any monies illegally disbursed

or expended, if not otherwise recovered as provided herein.