Pennsylvania police charged former fire chief of the Fayette County (Pa.) Fire Department Randy Smalley with misappropriating department funds to buy himself a boat, reports the Pittsburgh Tribune-Review. He was arraigned on two counts of theft and released on bond.

Smalley reportedly purchased three boats while he was chief to raffle off as prizes in two fire department fundraisers. He paid for the boats with checks drawn on the department's account, co-signed by his girlfriend and financial secretary Roxanne Ceccarelli, who has not been charged.

Two of the boats were given to legitimate winners. The third was traced to the A.C.C. Marine Center, who sold the boat to a Bulter County resident. According to charges filed by trooper Walter Borish, Smalley allegedly told the marine center he won the boat in a raffle. The marine center agreed to sell the boat for Smalley, who used the $9,700 he received towards purchasing a different boat from the center.

During an interview with Borish, Smalley claimed he won the boat and gave him the names of several people who could vouch for him, however, Borish said that none of them could back up Smalley's story.

The charges against Smalley follow last year's forensic audit that examined financial problems in the volunteer department while Smalley served as chief. The audit found that Smalley and other township officials cost the department between $175,000 and $200,000 in revenue from deals that he arranged. Smalley was removed from his position in 2004 when the department went broke, according to the Pittsburgh Tribune-Review.

The audit also could not account for a portion of a $75,000 grant from the Federal Emergency Management Agency to buy communications equipment and protective gear, which instead was paid to a company owned by Smalley. The fire department was forced to repay part of the money. The audit also discovered that Smalley rented a house for the fire department for 30 months but never paid rent, and also that Smalley grossly undersold the department's social hall valued at more than $100,000 to a township supervisor for $35,000.