SPRINGFIELD, Mo. – A former Arkansas state senator pleaded
guilty in federal court today to accepting multiple bribes in connection with a
multi-district investigation spanning the Western District of Missouri and
Eastern and Western Districts of Arkansas.
Jeremy Hutchinson, 45, of Little Rock, Arkansas, pleaded
guilty before U.S. Magistrate Judge David P. Rush to one count of conspiracy to
commit federal program bribery. Hutchinson, who was previously a state senator
and representative, resigned in August 2018 after he was indicted in the
Eastern District of Arkansas.
Hutchinson pleaded guilty today to his role in a
multi-million-dollar public corruption scheme that involved embezzlement,
bribes and illegal campaign contributions for elected public officials.
Hutchinson admitted that he was hired by then-Chief Operating Officer Bontiea
Goss as outside counsel for Preferred Family Healthcare, Inc. (formerly known
as Alternative Opportunities, Inc.), and in exchange for payments and legal
work, Hutchinson performed official acts on behalf of the Springfield,
Missouri-based healthcare charity, including holding up agency budgets and
drafting and voting on legislation. Goss, a former executive at the charity, is
charged in the same superseding indictment to which Hutchinson pleaded guilty.
According to today’s plea agreement, the charity paid
Hutchinson a monthly retainer from May 2014 until 2017. In total, Hutchinson
was paid more than $350,000 in charity funds. Hutchinson also received hotel
rooms and Major League Baseball tickets paid for by the charity, and the use of
the charity’s luxury and recreational real estate.
Hutchinson further admitted as part of his plea that: he
understood that he was paid by Alternative Opportunities, Inc., and Preferred
Family Healthcare, Inc., primarily because of his position as an elected public
official; that he worked to further the interests of the non-profit while in
the Arkansas State Legislature; that Goss, along with Milton Russell Cranford
(also known as “Rusty”) and Robin Raveendran, both of whom served as executives
for the charity and have also pleaded guilty for their role in the bribery
scheme, directed Hutchinson to move the charity’s political agenda forward in
the Arkansas Senate; and that Hutchinson performed some legal work for the
charity to conceal his corrupt arrangement with the charity’s executives.
Under federal statutes, Hutchinson is subject to a sentence
of up to five years in federal prison without parole and a fine of up to
$250,000. The maximum statutory sentence is prescribed by Congress and is
provided here for informational purposes, as the sentencing of the defendant
will be determined by the court based on the advisory sentencing guidelines and
other statutory factors. A sentencing hearing will be scheduled after the
completion of a presentence investigation by the United States Probation
Office.
Hutchinson previously pleaded guilty on June 25, 2019, to
bribery and tax fraud as part of a multi-district plea agreement. Hutchinson
pleaded guilty to an information filed in the Western District of Arkansas,
charging him with conspiracy to commit federal program bribery as part of a
separate scheme involving an unidentified individual who owned and operated
orthodontic clinics throughout the state of Arkansas, for whom Hutchinson had
taken official action in exchange for bribes. He also pleaded guilty to one
count of filing a false tax return that was part of a 12-count federal
indictment in the Eastern District of Arkansas, charging him with devising a
wire and tax fraud scheme in which Hutchinson stole and misappropriated
thousands of dollars in state campaign contributions for his own personal use,
and then filed false federal income tax returns to conceal his conduct.
The multi-district investigation was conducted by
IRS-Criminal Investigation, the FBI, and the Offices of the Inspectors General
from the Departments of Justice, Labor, and the Federal Deposit Insurance
Corporation (FDIC). The cases are being prosecuted by Assistant U.S. Attorney Steven
M. Mohlhenrich of the Western District of Missouri; Trial Attorneys Marco A.
Palmieri and Sean F. Mulryne of the Criminal Division’s Public Integrity
Section; Assistant U.S. Attorneys Ben Wulff and Aaron Jennen of the Western
District of Arkansas; and Assistant U.S. Attorneys Stephanie Mazzanti and
Patrick Harris from the Eastern District of Arkansas.
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