Monday, April 18, 2016
New details released regarding arrest of former commissioner
Lawrenceburg Now
Authorities have released additional information regarding last week’s arrest of former Lawrence County Commissioner Jeffrey Hughes.
Hughes was processed through the Lawrence County Detention Center Friday afternoon on one count of theft over $250,000, one count of theft over $10,000, and one hundred thirty-six counts of forgery. The indictments were issued during a special session of the Lawrence County Grand Jury earlier in the day.
According to information released from the Tennessee Comptroller’s Office, Hughes is accused of stealing a total of $256,066 from Lawrence County Fire and Rescue and Crossroads Volunteer Fire Department between May of 2009 and November of 2015. During that time Hughes had served as treasurer for both organizations.
Authorities indicate that Lawrence County Fire and Rescue, Inc., is an umbrella organization through which funds are received, then distributed as appropriated to thirteen fire departments within the county.
A press release issued through the comptroller’s office explains that, during that 5 ½ year time period, Hughes allegedly, “Stole $254,266 while serving as treasurer for Lawrence County Fire and Rescue. He stole most of that money by writing more than eighty checks to “cash” and cashing them for his personal benefit. Mr. Hughes also wrote more than eighty fire and rescue checks to Walmart to purchase gift cards.” Authorities allege that he utilized other improper means to withdraw cash and make payment of personal bills.
The press release indicates that, “Jeffrey Hughes also served as treasurer for the Crossroads Volunteer Fire Department in Lawrence County. Investigators found that from October 2013 through November 2015 he wrote additional unauthorized checks from the Crossroad’s bank account made payable to cash or Walmart. These checks totaled $10,800 and Mr. Hughes used the money for his personal benefit.
Results of the investigation released through the comptroller’s office Monday show that, “During the period May 2009 through March 2016, former treasurer Jeffrey Hughes issued unauthorized Lawrence County Fire and Rescue checks totaling $254,266 for his personal benefit. Mr. Hughes wrote more than eighty checks totaling $188,679 payable to “cash,” which he cashed for his personal use. He also wrote more than eighty checks totaling $42,491 to Walmart which he used primarily to purchase gift cards for his personal benefit. Mr. Hughes made other improper withdrawals from the Lawrence County Fire and Rescue bank account totaling $12,651 in order to obtain cash or to make unauthorized payments of personal bills. For instance, Mr. Hughes issued a Lawrence County Fire and Rescue check to repay a personal loan obtained against his retirement account with the State of Tennessee. In addition, on at least three occasions, Mr. Hughes received cash back for his personal use when making deposits into the Lawrence County Fire and Rescue bank account.
“Mr. Hughes also funneled $10,445 from the Lawrence County Fire and Rescue bank account into the Crossroads VFD bank account, which he also controlled. Crossroads VFD was not due to receive this money. Using his access to the Crossroads VFD bank account as treasurer, Mr. Hughes diverted those excess funds for his personal use.
“Lawrence County Fire and Rescue officers indicated that their signatures on the unauthorized checks prepared by Mr. Hughes were not authentic. The Lawrence County Fire and Rescue board did not approve and was unaware of Mr. Hughes’ fraudulent financial activity.
“During the period October 2013 through November 2015, Mr. Hughes prepared and issued unauthorized checks totaling $10,800 from the Crossroads VFD bank account for his personal benefit. These payments were made payable either to cash or to Walmart and were in addition to the other excess funds noted that Mr. Hughes had siphoned from the Lawrence County Fire and Rescue bank account.”
Comptroller Justin P. Wilson says that it was a lack of oversight that allowed the situation to continue unchecked for several years. “A key contributing factor to these thefts was the failure to separate money handling responsibilities. One person shouldn’t prepare and sign checks and review bank statements without oversight. When one person has too much control, theft can go on for years.”
District Attorney General Brent Cooper said Friday that the charges against Hughes were a result of a joint investigation between his office and the Lawrence County Sheriff’s Department. He said that Hughes’ bond had been set at $100,000, “And can’t be posted unless the funds used to post bail are approved as being from a legitimate source.”
