State Controller John Chiang says the city and agency have not submitted the required annual financial reports to the state, and that the information they have forwarded may be inaccurate or incomplete.
He says the false data may date back several years.
Montebello Councilwoman Christina Cortez says she is thankful the state controller's office is looking into the matter, saying she recommended a third party investigation of the city's finances with no support from other council members.
