SAN FRANCISCO — California Controller John Chiang has ordered an investigation of the troubled city of Hercules after uncovering what he calls major discrepancies in its financial reports.

"We have serious concerns about the reliability and accuracy of the information in the annual financial transaction reports for the city and the" Hercules Redevelopment Agency, Chiang said in an Aug. 18 letter to the city's interim city manager Liz Warmerdam notifying her of the audit.

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