(1) If the state auditor finds in the course of an audit evidence of improper practices of financial administration or inadequacy of fiscal records, the state auditor shall report the same immediately to the committee. With the approval of the committee, the state auditor shall also report the same to the governor and the head of any department, institution, or agency affected thereby.
(2) If the state auditor in the course of an audit finds evidence of apparently illegal transactions or misuse or embezzlement of public funds or property, the state auditor shall immediately report such transactions to the committee; moreover, with the approval of the committee, the state auditor may file a written copy of the report with the governor but shall give notice thereof to the district attorney of the district wherein such transactions are reported to have taken place.
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