Politixia
A newly unsealed federal indictment charges a former professional wrestler from Mississippi with misappropriating millions of dollars that were intended for needy families.Ted DiBiase Jr., 40, of Madison, is the first person indicted by a federal grand jury in Mississippi’s massive welfare fraud scandal. DiBiase was in custody when he appeared in federal court Thursday, with shackles on his ankles and chains at his waist, along with handcuffs. The former wrestler is accused of fraudulently obtaining federal funds from The Emergency Food Assistance Program and the Temporary Assistance for Needy Families program, according to a release from the U.S. Department of Justice. DiBiase, along with former Mississippi Department of Human Services Executive Director John Davis and Christi Webb, Nancy New and others, are accused of misappropriating the money for “their own personal use and benefit,” the DOJ said in the release. Federal prosecutors said Davis is accused of directing Webb and New, who was the president of New Summit School, “to award sham contracts to various individuals and entities purportedly for the delivery of social services, including at least five sham contracts that were awarded to DiBiase’s companies, Priceless Ventures LLC and Familiae Orientem LLC.” According to the indictment, millions in federal funds from MDHS were given to DiBiase and his companies for social services that DiBiase did not provide. “DiBiase allegedly used these federal funds to buy a vehicle and a boat, and for the down payment on the purchase of a house, among other expenditures,” prosecutors said in the release. DiBiase is charged with one count of conspiracy to commit wire fraud and to commit theft concerning programs receiving federal funds, six counts of wire fraud, two counts of theft concerning programs receiving federal funds, and four counts of money laundering. He pleaded not guilty during Thursday’s hearing. “Prosecutors decide whom to charge with a crime, and we’re grateful to see them continuing to advance this case,” State Auditor Shad White said in a statement. “We will continue to support their efforts with the evidence that our investigators and federal investigators have uncovered.” Prosecutors said DiBiase tested positive Thursday morning for marijuana and Adderall. His attorney said DiBiase used hemp oil and consumed a CBD gummy, which is the reason for the positive marijuana test. The attorney said DiBiase has been diagnosed with ADHD, but his prescription expired two years ago, so he had been using his brother’s prescription. DiBiase, who was released on bail, said “Jesus loves you, brother. God bless you, man,” as he left the courthouse.The trial is set for June 19. If convicted, DiBiase faces a maximum penalty of five years in prison for the conspiracy count, a maximum penalty of 20 years in prison for each wire fraud count, and a maximum penalty of 10 years in prison for each count of theft concerning programs receiving federal funds and for each count of money laundering.Civil lawsuitsMississippi Department of Human Services Executive Director Bob Anderson said the agency has filed civil lawsuits against 38 entities connected to the $88 million fraud scheme.As he left court Thursday, Anderson was asked about former Gov. Phil Bryant and NFL Hall of Famer Brett Favre, who have been named in the civil suits”I can’t really speak to that because we are in active litigation with Mr. Favre. We will say everything we have to say about his situation through our court pleadings, as we have been doing up until now,” Anderson said. “I really have no comment on the former governor at this point.”Anderson said MDHS is cooperating with the federal investigation. “They’ll take the investigation wherever they deem appropriate,” he said.
A newly unsealed federal indictment charges a former professional wrestler from Mississippi with misappropriating millions of dollars that were intended for needy families.
Ted DiBiase Jr., 40, of Madison, is the first person indicted by a federal grand jury in Mississippi’s massive welfare fraud scandal. DiBiase was in custody when he appeared in federal court Thursday, with shackles on his ankles and chains at his waist, along with handcuffs.
The former wrestler is accused of fraudulently obtaining federal funds from The Emergency Food Assistance Program and the Temporary Assistance for Needy Families program, according to a release from the U.S. Department of Justice. DiBiase, along with former Mississippi Department of Human Services Executive Director John Davis and Christi Webb, Nancy New and others, are accused of misappropriating the money for “their own personal use and benefit,” the DOJ said in the release.
Federal prosecutors said Davis is accused of directing Webb and New, who was the president of New Summit School, “to award sham contracts to various individuals and entities purportedly for the delivery of social services, including at least five sham contracts that were awarded to DiBiase’s companies, Priceless Ventures LLC and Familiae Orientem LLC.” According to the indictment, millions in federal funds from MDHS were given to DiBiase and his companies for social services that DiBiase did not provide.
“DiBiase allegedly used these federal funds to buy a vehicle and a boat, and for the down payment on the purchase of a house, among other expenditures,” prosecutors said in the release.
DiBiase is charged with one count of conspiracy to commit wire fraud and to commit theft concerning programs receiving federal funds, six counts of wire fraud, two counts of theft concerning programs receiving federal funds, and four counts of money laundering. He pleaded not guilty during Thursday’s hearing.
“Prosecutors decide whom to charge with a crime, and we’re grateful to see them continuing to advance this case,” State Auditor Shad White said in a statement. “We will continue to support their efforts with the evidence that our investigators and federal investigators have uncovered.”
Prosecutors said DiBiase tested positive Thursday morning for marijuana and Adderall. His attorney said DiBiase used hemp oil and consumed a CBD gummy, which is the reason for the positive marijuana test. The attorney said DiBiase has been diagnosed with ADHD, but his prescription expired two years ago, so he had been using his brother’s prescription.
DiBiase, who was released on bail, said “Jesus loves you, brother. God bless you, man,” as he left the courthouse.
The trial is set for June 19. If convicted, DiBiase faces a maximum penalty of five years in prison for the conspiracy count, a maximum penalty of 20 years in prison for each wire fraud count, and a maximum penalty of 10 years in prison for each count of theft concerning programs receiving federal funds and for each count of money laundering.
Civil lawsuits
Mississippi Department of Human Services Executive Director Bob Anderson said the agency has filed civil lawsuits against 38 entities connected to the $88 million fraud scheme.
As he left court Thursday, Anderson was asked about former Gov. Phil Bryant and NFL Hall of Famer Brett Favre, who have been named in the civil suits
“I can’t really speak to that because we are in active litigation with Mr. Favre. We will say everything we have to say about his situation through our court pleadings, as we have been doing up until now,” Anderson said. “I really have no comment on the former governor at this point.”
Anderson said MDHS is cooperating with the federal investigation.
“They’ll take the investigation wherever they deem appropriate,” he said.
