Arkansas Democrats Want Immediate Launch of State Police Investigation into Legislators' Money-Laundering Scheme

Arkansas Democrats Want Immediate Launch of State Police Investigation into Legislators’ Money-Laundering Scheme


LITTLE ROCK - The Democratic Party of Arkansas today released a statement demanding a State Police Investigation into lawmakers' fraudulent use of state money in a kickback scheme through the General Improvement Fund (GIF). The Democrat Gazette reported on at least $40,000 of the grant money's misuse and, in some cases, disappearance. The GIF's intended purpose is to give lawmakers resources to improve communities and towns, but was chosen as the preferred method of the money-laundering scheme because of the limited oversight and accountability involved in the approval process.

"When you hold a position of power, you have the opportunity to use that power for the good of the people, or to use it for selfish gain," Party Chairman Michael John Gray said. "It would appear many legislators have chosen the latter. The FBI has taken notice, already issued one indictment, and they've warned more may come. This money could have been used to bolster community programs such as emergency services and food pantries. Instead, these legislators chose to put themselves over their communities."

"While the GIF money is no longer in the hands of these fraudsters, Governor Hutchinson has not mentioned these illegal acts once," Chairman Gray continued. "A state police investigation on the matter should already be underway, but since it's not, I am calling for one today to get to the bottom of this. It's now known that these representatives stole at least $40,000 from the Arkansas taxpayer. We must find out exactly how much money was stolen, where the money went, and who was involved."