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Kentucky Auditor Demands Answers After Whistleblower’s Fraud Allegations

A fired clerk’s on-record interview triggered a state audit focused on alleged DMV misconduct following years of unverified license issuance.

Overview

  • Melissa Moorman filed a whistleblower lawsuit in April under the Kentucky Whistleblower Act seeking reinstatement and back pay after her January 2025 termination.
  • Moorman alleges two coworkers sold standard driver’s licenses to undocumented immigrants for roughly $200 each up to five times daily over two years without proper testing or immigration verification.
  • She claims coworkers used her shared login credentials to issue fraudulent licenses and that KYTC dismissed her the day she met with federal investigators in January.
  • Kentucky auditors have revoked about 1,985 credentials, with Auditor Allison Ball demanding by September 1 a corrective plan from top officials to restore public confidence.
  • Attorney General Russell Coleman confirmed a joint state-federal investigation into the fraud allegations and state lawmakers are pressing for tighter oversight of the Transportation Cabinet.