HALIFAX - The Nova Scotia government has ordered a forensic audit into the books at Bridgetown after the entire town council quit this week over the municipality's finances.

Municipal Relations Minister John MacDonell says some town residents are able to prove they have paid their tax or water bills, yet the town's books show them as unpaid.

Staff from the provincial government have been reviewing the town's financial statements, water and tax bills since the council quit on Tuesday.

The council says they resigned en masse because of undisclosed financial problems, and the RCMP has launched an investigation into a possible theft.

The government has said three people will be appointed to run the town within the next 30 days, and elections will be held during the regular voting period in October 2012.

MacDonell says the appointed panel will hire an accounting firm to do the audit.

He says the province will pay for the audit, which it expects to cost about $125,000 and take about three months to complete.