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Mason's request to halt the state's financial takeover denied

Although Chancellor Anne Martin did not rule in Mason's favor, she did sympathize with Mason's discomfort with the state's strict oversight of the town's finances.
Credit: Tennessee Comptroller's Office

MEMPHIS, Tenn. — A Davidson County judge ruled Friday not to grant the town of Mason's request to stop the Tennessee Comptroller's Office from taking control of its finances. 

In a lawsuit, Mason's attorneys argued the town was being treated unfairly because of its majority Black demographic, noting that other predominantly white towns in worse financial predicaments received more leniency from the Tennessee Comptroller's office.

The Comptroller's Attorney, Terry Clayton, said that Mason's claims of discrimination were baseless and a "distraction."

RELATED: The Fight for Mason | The majority-Black town sues Tennessee Comptroller to retake financial control from the state

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According to the court, Mason's attorneys did not provide enough evidence to determine foul play, and Chancellor Anne Martin was unable to rule in support of Mason's claims that the Comptroller's lack of leniency from one small town to the next was due to racial discrimination.

“The allegations are significant and raise serious concerns about the Comptroller’s equitable exercise of his broad authority,” Martin wrote. “The Court does not have enough information, however, to determine if the circumstances of the other municipalities Mason cites as receiving different treatment are sufficiently similar to support these claims.”

Tennessee Treasury Comptroller Jason Mumpower moved to take control of the town's finances back in March, claiming that the town has mismanaged its money for years.

News of Tennessee’s plan to take over Mason’s finances sparked criticism from many of the state’s Black and Democratic leaders. Republican Gov. Bill Lee told reporters last month that he had not spoken to Mumpower about the decision. However, his office acknowledged in mid-March that “Ford is a bit spun up over this” in an email provided to The Associated Press through a public records request.

Mason has not submitted its annual audit on time since the 2001 fiscal year and financial statements from 2004 to 2016 “were essentially un-auditable,” the comptroller’s office has said. Budget deficits have mounted, from $126,659 in the 2016 fiscal year to $481,620 in 2020.

The Associated Press contributed to this report.

RELATED: TN Comptroller taking financial control of a small town outside of Memphis | Here's why it matters

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