WALTERBORO--State investigators have agreed to look into concerns about how former Colleton County Sheriff Allan Beach spent millions of dollars in federal drug-seizure money, authorities said Thursday.

Robert Stewart, chief of the State Law Enforcement Division, said the purpose of the "preliminary inquiry" is to determine whether there is a basis for a criminal probe.

Attorney General Henry McMaster requested the division's involvement after County Council Chairman Steve Murdaugh and Sheriff George Malone wrote a letter asking him to investigate "numerous and wide-ranging speculations concerning possible financial improprieties" between Jan. 1, 2000, and Dec. 31, 2004, when Beach was in office.

Beach said he's confident agents will find that everything was done properly.

"If that's what they want to do, that's fine," he said. "It's their time."

He also called on Sheriff George Malone to resign for "choosing to be ignorant" and trying to ruin his reputation.

Malone said if he's ignorant, it's only because he doesn't know how Beach spent the money.

"In a way, he's right," Malone said. "I'm ignorant about where all the money went because I still don't know."

Stewart said Thursday that the first step will be to determine whether there's a basis for a criminal investigation. His office doesn't do administrative reviews or financial audits, but agents may ask that an audit be done, he said.

"As you know, we don't investigate rumor and innuendo," Stewart said.

So far, his office hasn't received any more specific information other than the letter, which also states that no evidence of misconduct has been discovered.

In the coming weeks, division agents will talk with Murdaugh, Malone and anyone else who may have information about whether the money was spent improperly.

Stewart said one of the agents performing the inquiry is a former U.S. Drug Enforcement Administration agent with expertise in the area of federal drug funds.

"If there's something to be acted upon, he'll be able to tell," Stewart said.

Beach estimated the amount of money his office seized -- mostly from cars running drugs on Interstate 95 -- to be about $4 million.

He said the money went toward buying his agency cars, a new 911 system and improvements at the jail.The work at the jail raised serious questions when, shortly after he came into office, Malone received an outstanding bill from the company that did the work asking for more than $300,000.

Beach said he intended to pay the bill with federal drug seizure money and feels Malone should do the same.

Malone said there isn't enough money pending to cover the bill.

Beach said Malone and Colleton County Council had ample opportunity to question him about the money before asking for an investigation.

"He wants to color my whole 30 years of service with a dirty paint brush," Beach said of Malone. "He doesn't have the best interest of the people in mind. He should resign and get out of office and let someone else handle it."

Malone said he has no intention of resigning.

"I was elected to this position by the people of Colleton County," Malone said.

"I consider the source and leave it at that," he said.