A federal grand jury indicted Nancy and Zach New on 17 counts of conspiracy, wire fraud, aggravated identity theft, and monetary transactions with proceeds of illegal activity. The indictment is posted below. These indictments are not a repetition of the DHS scandal but accuse the News of bilking the Mississippi Department of Education for MAEP funds for New Summit schools.
The indictment charges the News submitted phony claims to MDE for reimbursement of MAEP funds. The defendants allegedly filed claims for teachers who no longer worked at New Summit, employees who were not teachers, a person who was never a school employee, and students who longer attended or never attended the school. The indictment states the fraud occurred from 2017 to 2020 and involved $4.7 million.The indictment provides a list of the transactions (p.3).
The alleged fraud covered identity theft as well. The News allegedly used the names and Social Security numbers without permission to submit phony claims. A series of withdrawals occurred in the spring and summer of 2019. Ms. New used the cash to purchase a home on 1800 Sheffield Drive in Jackson in June 2019.
Hinds County property records state Ms. New still owns the home. The home is assessed at nearly $200,000 but it undoubtedly has a much higher market value. The indictment states the feds will seek the forfeiture of assets gained through the use of fraudulent means.
The News face up to 20 years in prison for the wire fraud charges. The aggravated identity theft counts have a prison sentence of 2 years that must run consecutive to any other prison sentence. The money laundering counts have a maximum sentence of ten years in prison. All counts have a maximum fine of $250,000.
The News will be arraigned at 1 PM.
A Hinds County grand jury indicted the News last year for embezzling millions of dollars in DHS and TANF funds. Those cases are still pending in Hinds County Circuit Court.
57 comments:
They were going around saying that all of this was false. The feds rarely indict without absolute proof.
Oh what a deadly web we weave-
@11:37 keyword “rarely”
@11:49am - You must be “New” here...
Hehehehehe
Well, well, well.
Hopefully the same AUSA that scared to indict Seawright and Alexander won't be handling this case.
Phil told it all I see.
Pages 10-11 - doesn't name a the third person on the account at Trustmark.
This the canary?
They are obviously very qualified to run for any public office on a Dem ticket.
Are there no safeguards with the state of Mississippi? It sounds like if you send them a preposterous bill, they just pay it. There is a lot we don’t and probably will never know. When it comes time to sentence, these 2 will be singing like birds.
Shit got real!
I tell you what....you can’t trust white people with all this government money!
Every time white people get access to federal money they steal it!
Now these white people ruined Jackson! Ruined Sheffield. Ruined it all!
I hope of the feds see fit to improve Jackson’s water system they make sure whites don’t get the money!
Once again, millions hidden, washed, and rinsed through the MDE (or MSCCB or IHL)....those three organizations are the most corrupt in the state. They all need federal forensic audits before anymore fed dollars disappear into the Mississippi hole in the ground.
Where are all the race comments about Jackson?
1:47, this all transpired under an entirely Republican regime headed by Governor Gomer Bryant. Shazaam!
Start Spreading the News.
Is this what Ronnie Musgrove was screaming about in the lawsuit to fund MAEP?
I have a burning question for these two:
What did New know and when did New know it?
@1:47. Nice try. These are solid, Jesus-loving Republicans. She always bragged about having Phil on speed dial. You may want to look into the corruption in your own party before you start throwing stones.
What is the MSCCB
While most of you are squabbling over who is at fault you are getting robbed blind. You idiots can't stop for a second and realize that neither party, republican nor democrat, gives two shits about you. Both are playing you like a fiddle.
No back to the normal programming.
I'm just glad I pulled my kiddo out of NSS, tuition kept going up and results were lacking. I feel for parents of Autistic kids because NSS seemed like the best option for them. Yes, some got excellent help but it always seemed like they needed more money for this and that and to learn all this makes me sick. FYI my son is in a new school and is doing very well for half the f'n cost.
David Lane should have been in line ahead of them. How did they get to jump ahead of the Lanes?
2:49a, wins the internet for today.
3:35
Exactly! How is he still out and about!
Somebody in state government okayed these payments. WHO WAS IT?
Second Post @2:49 PM - Preach, brother, preach!
@2:54pm MSCCB = MS Community College Board
@3:12pm You couldn't be more on point. Not sure why this state is so much against Democrats.....with Republicans at the wheel, it couldn't be any worse. Whitey is robbing Mississippians blind, and while they waste the rest of it. But hey! We're #50! We're #50! There's that.
Amen 3:12...these corrupt politicians thrive while we peasants fight over skin color and political party.
I vaguely recall a time when a crime was bad no matter who committed it.
But by all means, lets squabble over the demographics of the assholes that are robbing us all.
I don't know what prize you win if you hurl the best insult at the "other" party or race, but it must be impressive.
Can someone provide a list of Phil's appointees/close associates that have been indicted? The list must be quite long.
People of all colors and creeds have made choices to cheat and steal since the beginning of time. Skin color does not determine if you are going to steal. It is a choice. And those who choose, whether white, black, male, female, Dem, Rep, etc. should pay the price. A thug is a thug. But posters on this site (most or whom are blinded by their own prejudiced ignorance) want to try to make a point about the opposite race or party every time there is an arrest. Common stupidity.
What is the latest on the Lanes?
What the hell is a creed anyway?
Deppity Pheel gets his crooks!
I bet Tater will have some choice words about having to lock up friends and family!
Like Gramps always said (well when he was in the home brew shine anyway!)
Try'n to clean up corruption in Mississippi is like using a barrel hoop to wipe yer butt. The job jest goes on and on and it don't seem to get you there very fast neither!
Why in hell are cases from over a year ago still 'pending'? Regardless of bond, these people have zero incentive to hang around. Say it with me....ZERO.
At least we are in the top 50. No matter which party is in charge, we stay in the 49-50 rank in every category. A football coach would be fired after 3 years max. But a political party? Well, there's only 2.
Point being, we have not moved in national rankings since integration. Apparently our state GOP leadership is ok with being 50th and so are the voters.
Let the shell games continue.
Anyone have any news on the DMR Walkers?
Debts paid? Judge still upset? Any new arrests?
People still able to take fancy vacations?
These folks: https://www.wlox.com/2020/10/22/trinity-walker-buys-billboards-thanking-husband-repaying-stolen-taxpayer-money/
The DA flipped the bookkeeper. Judge Wooten threw out the plea deal. So that screwed things up.
Lots of talk here about political parties and who's at fault - but seem to miss one important part (besides the fact that the one's "at fault" are the News. They were the crooks in the deal and evidently scammed the government.
But point being - with the DHS scandal, it is true that the head of the agency, appointed by Phil, was part of the corruption. But this case, as KF pointed out, is not the DHS scandal that the News were part of. This case was at the Department of Education - where the Governor, no matter who is Governor, has little control over its operation. The State Superintendent is hired by a board, and the Governor doesn't control who is on the board at any point in his/her term. And whether a scam such as this one should be placed entirelyn on the State Superintendent is still somewhat questionable if there is no indication that she was part of the process. This looks to be the News filing a bunch of bogus invoices under standard operating programs - that were probably reviewed and approved by someone thirteen levels below the Superintendent.
Not trying to defend anyone here -- but don't think you can place this theft at the foot of politicians. (But hey, facts be damned - its a whole lot more fun to type nasty crap about elected officials whether its due or not.)
Shouldn't this 4 million repayment help with the approved teach pay raise?
7:55pm Thank you for being the most reasonable person here. The News are (apparently) total crooks. Why is everybody looking for someone else to blame? I read two names in the indictment. I'm going to assume the feds took a look at everybody else before springing this one.
Point blank, these were Phil Bryant’s hand picked friends. If the News are smart they will flip on him and Deb.
You can bet Homer's Over-Hauls that Feel is feeling a twitch down around the hind-part. I hope he gets to room with Epps in the Mississippi suite.
Has Farve payed back the other half million or is he holding on to it to put on his friends accounts once they start doing their time.
As for Phil Bryant, my Daddy always said birds of a feather stick together. He was too close to these crooks and probably reaped some of gains, I met him once and he just isn’t that dumb.
Proverbs 18:17
All the "boards" in Mississippi were/are created to obfuscate any accountability for the executive branch. They claim it's for oversight, but it's really to deflect blame and obscure anyone from knowing who is doing what. "No one" ends up being responsible.....but the citizens pay the through the nose to live in the poorest state in the Union. It's actually not, but the money isn't being utilized properly so its service "outcomes" are zilch.
It's more and more visible everyday.
Dept. of Corrections = Disaster (and billions stolen)
Dept. of Education = Teacher shortage (and getting worse)
Dept. of Mental Health = About to be under Federal oversight
Dept. of Transportation = Billions needed for roads and bridges
Jackson = Capitol of Mississippi(on the verge of bankruptcy and major civil unrest)
The last large pot of money (Division of Medicaid) will also have an "oversight" commission in order to raid its coffers. That's how desperate and brazen the corrupt have become. Mississippians - sadly - have the government they deserve, and of their own making.
Don't forget about the New Summit Academy in Costa Rica. The update to their website is a good attempt to disconnect them but a simple google search shows they were on the list of schools for "New Learning Resources School District" in 2017.
Republicans stealing but as usual excuses being made for them. These are PhilBilly’s appointees.
@Anderson Studios: That $4 million would give each public school teacher about $106, for one year.
It’s not fair that the New’s can’t give their side of the story because of a gag order, yet that doesn’t seem to apply to Shad White and his benefactor! It irritates the hell out of me that higher ups will never be touched!
@1:51pm The judges in Mississippi are as corrupt as the thieves....they cover for them all the time.
The comment at March 19 at 2:38 is cynical BS. The judges before whom I regularly practice are people of integrity. Some are more diligent/hard-working than others, but they really don't seem to play favorites. Caveat: I don't regularly practice in Jackson/Hinds County.
11:59am You are the exception, and fortunate. Faaaaar too many judges in MS are good ole' boys/girls plugged in to the matrix of corrupt power that keeps MS #50. Perhaps you don't see, because you do not wish to see.
These schools are needed. I pray they can survive. Has there been any information given they indicated them closing? These poor children, their parents, and teachers must be so worried.
I heard a podcast from Mississippi Today reporter Anna Wolfe. It seems to be fairly impartial and states a lot of facts from research. The podcast all but names King Phil as the guiltiest of the guilty. Still can’t figure why Shad refuses to investigate his mentor. Hmmmmm
@10:27......you really can’t figure out why Shad won’t go after Phil? C’mon man!!
Anna Wolfe is Shad’s patsy. She wants to tell the truth (I think) but it seems she’s been spoon fed a narrative that is missing an entirely other perspective. She keeps regurgitating “facts” and keeping Shad’s story going why he’s under the gag order. I too believe Phil is behind this all, but he’ll never get touched. Word out of the DA’s office is Shad state case is dead in the water based on the actual facts and evidence. He’s now been bailed out....happens all the time. The powers that be want to bury folks without the other side of this story coming out.
New Summit School is a Godsend for so many children and their families. There isn't another school like it in Mississippi. We sincerely hope it will remain open.
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