MIDDLEBORO — An independent audit conducted by an outside agency has given the town of Middleboro a clean financial bill of health.

The audit, led by accountant and attorney Mary Sahady, followed concerns raised earlier this year by former Finance Committee Chair John Barrella, who flagged alleged inconsistencies in payroll, debt service and several other budget areas. Barrella outlined his concerns in a May Finance Committee agenda, prompting the audit which cost $60,000.

Sahady, who has audited the town for several years, said the review — covering fiscal years 2021 through 2024 — did not uncover “any impropriety.”

When Select Board member Teresa Farley asked Sahady whether she saw any reason to conduct a forensic audit to investigate potential fraud or wrongdoing, Sahady responded, “Absolutely not.”

Barrella, who was absent during the presentation of Sahady’s findings, could not immediately be reached for comment.

“Overall, in terms of final takeaways, the town is doing a great job,” Sahady said.

She pointed to consistent growth in the town’s stabilization fund — often referred to as a “rainy day fund”— which increased from approximately $2.9 million in 2021 to about $6.4 million in 2024. Sahady also said Middleboro has managed its certified free cash effectively and described the town’s debt service as “well monitored.”

Middleboro’s overall debt rose from roughly $86 million in 2021 to $102 million in 2024, which Sahady attributed to the new Middleboro High School. During the same period, the town’s revenue increased from $83 million to $102 million. Sahady noted that Middleboro’s finances over the last five years have been “generally consistent” with those of other towns across the Commonwealth.

In early April, Barrella was removed as chair of the Finance Committee and replaced by Eric Machado. Shortly after his removal, the Select Board publicly admonished Barrella for what board members described as the “constant harassment” of Town Administrator Jay McGrail. Barrella was also barred from contacting McGrail. The harassment claim stemmed from what officials described as Barrella’s “constant requests” for information.

In early May, Barrella’s attorney accused town officials of defamation and issued a demand letter seeking a formal retraction of the Select Board’s statements, Barrella’s immediate reinstatement as chair, the release of all related documents within 15 business days, and a full independent investigation by a “neutral third party,” among other stipulations.

As of this writing, town officials have not retracted their statements, and Machado remains the Finance Committee chair.