FAYETTEVILLE, Ark. (KNWA) -- On Thursday Prosecutors continued to reveal the financial dealings of Jon Woods during the time he is accused of participating in a kickback scheme with Ecclesia College.
A fraud researcher with Arvest Bank testified in court that Woods took out more than $87,000 in loans with the bank between 2012 and 2014.
It was revealed that those loans were all guaranteed by other people. During that same time period, Woods is accused of receiving money for directing Government funds to non-profits.
Woods' attorney argues the money was transferred to pay back those loans. Woods was originally indicted in 2017 along with several other defendants.
---
Arkansas college at center of allegations against ex-lawmaker was broke despite grants, fundraiser says:
"Ecclesia hired Seth Duell in February 2015 to raise money, he testified Friday morning. Paris never told Duell that Paradigm Consulting had been hired to raise money, he said.
In cross examination defense attorneys produced emails from Paris to Duell dated as early as February 2015 referring specifically to Shelton and Paradigm in reference to fundraising suggestions. Duell testified he did not remember the emails and said they only made suggestions. He never coordinated fundraising with Shelton, he said.
Paris had paid Shelton’s consulting company $267,000 out of college funds from 2013 to 2015 without notifying his college’s board until October 2015 when federal investigators questioned Paris, according to the indictment and testimony.
Paris reported to his board in October 2015 about the payments to the consulting business over the previous two years, the indictment says, and said Shelton’s efforts “resulted in strategic positioning with new large donors, which was anticipated to result in multiple millions of dollars over the next few years.”
The campus was rundown, Duell testified. “Dorms were in a terrible state,” he said.
Ecclesia had no record of any donations greater than $15,000 when he came on board, Duell testified. The college lacked enough enrollment to cover its expenses with tuition, he testified.
“I was kept in the dark about who Paradigm was,” he said.
Duell raised the possibility of seeking General Improvement Fund grants, but was told by Paris that Paris handled those, Duell testified.
“Many people in Springdale had never heard of a Ecclesia, and there was skepticism from those who didn’t know” Duell testified about his fundraising efforts.
Duell worked for the college for about a year he testified.
“When FBI investigators interviewed Mr. Paris in his office, I knew it was time to find another job,” he said.
Woods supported a $200,000 grant to Ecclesia in September 2013, grant records show. Neal supported a $50,000 grant to the college and Woods another $150,000 in December, 2014, also according to grant records. The amount of money Woods is accused of receiving as a kickback isn’t specified in the indictment. It claims much of that money was paid in cash, except for one transaction made to Woods by wire transfer for $40,000.
Arkansas legislators gave nearly $700,000 of taxpayers’ money to help Ecclesia College buy almost 50 acres in Benton County."
'via Blog this'
---
JMort69 says...April 13, 2018 at 12:42 p.m.
BTW, the federal indictment also states that Paris and multiple members of his immediate family and their spouses were paid over 1 million in "compensation" over a 4 year period. I guess God called them all to suck this business dry. These people are an insult to Christianity and the truly good people in that religion. And, apparently no one involved in this mess had any fiscal capabilities or business acumen. Neal and Woods were broke. Paris and his board, primarily made up of preachers, displayed the normal inability, for which preachers are well known, to manage anything. And, one of their sponsors of the grants, Bob Ballinger, Senate 5 district seat candidate, was in default on his home loan 5 times in the last 5 years, finally resulting in foreclosure. Perhaps the lesson in all of this is don't elect people under financial duress. They are easy targets for unscrupulous people and schemes. I have long thought that, in many circumstances, we elect those who have failed in their business lives. They run for these seats because they need the income, not out of any concern for the people or our money. And, most particularly, starving attorneys. There are way to many in that profession and many of them struggle financially. They know the law and how to stay just inside the line, at least most of the time. Unfortunately, sometimes we are faced with only bad choices in these races. But, there is always a choice. Keep this in mind when you vote. There will be people who will vote for characters like Ballinger merely because he cloaks himself in phony religious garb. But, for the rest of us, I don't want anyone around the billions in our tax money paid to the state who can't manage his own business affairs. We are not electing Sunday School teachers, according to so-called "Evangelicals". That's true and it cuts both ways. We are electing people to run the business of our state. But, we do demand ethical behavior. And what we see here is neither. Its up to us to rid ourselves of these leeches with our votes.
Woods of Springdale; Oren Paris III, former president of Ecclesia College in Springdale; and Randell Shelton, formerly of Alma, were indicted in March 2017. Paris pleaded guilty April 4 to one count of conspiracy and will testify for the government. He resigned as Ecclesia's president and from the college's governing board the previous day.
Paris disguised the kickbacks as consulting fees paid to Shelton's company, Paradigm Strategic Consulting, according to the indictment. Shelton then passed money along, the government contends. The grants involved came from the state's General Improvement Fund.
TimberTopper says...April 13, 2018 at 12:25 p.m.