Packers legend Brett Favre faces potential lawsuit over the $828,000 he still owes Mississippi after being paid $1.1million in state welfare funds for no-show speaking engagements
Green Bay Packers legend Brett Favre is facing a potential civil lawsuit unless he repays nearly $1 million to his native Mississippi for improper payments he received from a state fund for no-show speaking engagements.
The Mississippi auditor said Tuesday that he is demanding repayment of $77 million in misspent welfare money in one of the poorest states in the nation. This includes $828,000 the auditor is seeking from Favre and an employee of his business, Favre Enterprises.
The initial allegations of misspending came to light in early 2020 when former Mississippi Department of Human Services executive director John Davis and five other people were indicted in one of the state's largest public corruption cases, which the auditor characterized then as 'a sprawling conspiracy.'
Favre is not facing any criminal charges, but Auditor Shad White said in May 2020 that the retired Super Bowl champion, who lives in Mississippi, had repaid $500,000 of the $1.1 million in welfare money he received for multiple speeches for which he did not show up. The demand Tuesday is for the $600,000 balance, plus $228,000 in interest.
White issued the demands about two weeks after a Maryland-based CPA firm issued an independent report about how the Mississippi Department of Human Services spent federal money from 2016 through 2019 through Temporary Assistance to Needy Families. The report found nearly $41 million in 'questioned costs' for items including travel and programs to support college athletes.
The Mississippi auditor is demanding that interest be paid on the $77 million, bringing the total sought to more than $96 million. White is demanding that whole amount from Davis and most of it from two nonprofit organizations, Mississippi Community Education Center and the Family Resource Center.
Green Bay Packers legend Brett Favre is facing a potential civil lawsuit unless he repays nearly $1 million to his native Mississippi for improper payments he received from a state fund for no-show speaking engagements
Favre is not facing any criminal charges, but Auditor Shad White said in May 2020 that the retired Super Bowl champion, who lives in Mississippi, had repaid $500,000 of the $1.1 million in welfare money he received for multiple speeches for which he did not show up. The demand Tuesday is for the $600,000 balance, plus $228,000 in interest.
On Monday, an accountant pleaded guilty to one charge of conspiracy to commit embezzlement for her role in the case. Hinds County Circuit Court records show that as part of her guilty plea, Anne McGrew, 65, of Jackson, agreed to testify against others indicted, including her one-time employers, Nancy New and Zach New, a mother and son who ran nonprofit and for-profit organizations that received money from the state Department of Human Services.
McGrew said in court records that she assisted Nancy New, Zach New and others in moving money received by Mississippi Community Education Center to bank accounts owned by New Learning Inc. a for-profit company owned by Nancy New and Zach New.
McGrew, who could face up to five years in prison, signed a court document that said prosecutors will make a recommendation about her sentence based on her cooperation in the prosecution of co-defendants and her 'willingness to provide truthful testimony' at any trials.
Those indicted were the department's former director, John Davis; former professional wrestler Brett DiBiase; former Department of Human Services employee Latimer Smith; Nancy New, who has been the director of Mississippi Community Education Center and New Learning Resources; Zach New, who has been assistant executive director of the education center; and McGrew, an accountant for the education center.
Davis left the Department of Human Services in July 2019. He has pleaded not guilty and his trial is set for November 1. However, his attorneys are seeking a delay because they said in a September 29 court document that prosecutors have produced 'voluminous' information about the case.
Smith has pleaded not guilty, and his trial is scheduled to begin November 8.
Nancy New and Zach New also have been indicted on federal charges. They have pleaded not guilty in federal court and state court, and they await trial in both places.
The initial allegations of misspending came to light in early 2020 when former Mississippi Department of Human Services executive director John Davis (left) and five other people were indicted in one of the state's largest public corruption cases, which the auditor characterized then as 'a sprawling conspiracy.' Nancy New (right) and Zach New also have been indicted on federal charges. They have pleaded not guilty in federal court and state court, and they await trial in both places
Republican State Auditor Shad White, right, and Hinds County District Attorney Jody Owens discuss the auditor's office investigation of the former director of Mississippi's welfare agency and four other people, accused of embezzling millions in federal money meant for the poor
This February 5, 2020 Hinds County Detention Center booking photo shows Anne McGrew, an accountant for the Mississippi Community Education Center, in Raymond, Mississippi. The accountant has pleaded guilty to her role in what Mississippi investigators called a massive theft of welfare money in the nation's poorest state. Court records show McGrew pleaded guilty on Monday and agreed to testify against others
Mississippi Community Education Center, operating as Families First for Mississippi, received more than $44 million in government grants from mid-2014 to mid-2018, according to nonprofit tax filings. Amounts spiked to $12.9 million and $26.7 million in the final two years, as Davis outsourced a large portion of Mississippi's Temporary Assistance to Needy Families spending to the group.
DiBiase, now 33, pleaded guilty in December to one count of making a false statement. He said in court documents that he had submitted documents and received full payment for work he did not complete. He agreed to pay $48,000 in restitution, and his sentencing was deferred.
Indictments allege Davis conspired with Nancy New to send $48,000 in block grant money to pay for DiBiase's drug rehabilitation in Malibu, California, in early 2019. Payments were made to a company owned by DiBiase supposedly for his teaching classes about drug abuse, with Davis and Smith falsifying invoices and other records, prosecutors said.
In November 2020, Hinds County Circuit Judge Faye Peterson issued a gag order to prevent prosecutors, defense attorneys and others from publicly discussing the case against Nancy New. Another Hinds County circuit judge, Adrienne Wooten, issued the same order in February in McGrew's case.
A native of Gulfport, Mississippi, the 52-year-old Favre starred at Southern Miss in college before being drafted by the Atlanta Falcons in the second round of the 1991 NFL Draft.
After a year as a backup, Favre was traded to the Green Bay Packers and quickly became one of the premiere quarterbacks in the league thanks largely to his famously strong right arm.
By 1993 the Packers were a playoff team and in 1996, Favre won his only Super Bowl with the club.
He remained in Green Bay for 11 more seasons, losing Super Bowl XXXII to John Elway and the Denver Broncos, before moving on to brief stints with the Minnesota Vikings and New York Jets.
It was in New York that Favre was investigated by the NFL for allegedly sexting and leaving inappropriate voice messages for a hostess at Jets games.
After a year as a backup, Favre was traded to the Green Bay Packers and quickly became one of the premiere quarterbacks in the league thanks largely to his famously strong right arm. By 1993 the Packers were a playoff team and in 1996, Favre won his only Super Bowl with the club
No comments