The investigation continues into what Mississippi officials are calling the largest embezzlement scandal in state history. MPB's Kobee Vance reports that four millions of taxpayer dollars were stolen.
State Auditor Shad White says the ongoing investigation involves 6 individuals connected with embezzling millions in federal money meant for the poor. Former Mississippi Department of Human Services Director John Davis and Director of the Mississippi Community Education Center Nancy New were among those indicted and arrested. White says his office moved forward with the arrests to prevent any further theft.
"We did not want any more money to flow to individuals who were fraudulently obtaining that money. So we felt that the most efficient way to do that, the most efficient way to put a stop to this was to do it in state court here with District Attorney Owens, and we've got complete confidence in his team to handle this."
White says that some of the money was used to fraudulently pay former wrestler Brett DiBiase to teach drug abuse classes in Mississippi even though DiBiase was in a luxury drug rehabilitation program in Malibu, California, at the time. Nancy New and her son Zach New are accused of using nearly 2.2 million in federal funds to make personal investments in medical device companies in Florida. This is among several charges they face. Prosecuting the case is Hinds County District Attorney Jody Owens. He says it was the right time to move forward and will prosecute the case to the fullest extent of the law.
"And when we preach the principals of smart justice, these type of crimes hurt our communities just as much as the violent crimes. Now we're an agency that works well with all state agencies and governmental bodies, and we will continue to do so to get this thing resolved."
The Department of Human Services said in a statement that they brought the information to the State Auditor's office in June of 2019, which started the investigation. Some of the indicted face up to 170 years in prison.