Reddit AMA recap: Inside Mississippi’s welfare scandal investigation with Anna Wolfe

Anna Wolfe — the investigative reporter behind essentially the most in-depth protection of the largest public welfare embezzlement scheme in Missississippi historical past — answered query’s concerning the state’s welfare scandal and her reporting on Friday, August 5.

Click on to leap to a selected query about Mississippi’s welfare scandal :

Q: It appears at this level this might be finest investigated by outdoors authorities. Have you learnt if the U.S. Legal professional Common’s workplace or Justice Division is, or will probably be investigating?

A: Nancy New’s plea settlement indicators federal authorities are investigating, sure. We additionally know federal authorities have met with different figures within the case, reminiscent of a defendant within the civil swimsuit.

Q: Did Phil Bryant know that you simply had his textual content messages earlier than he sat down for the interview with you?

A: Sure, he did. It’s the one motive he agreed to the interview. He wished to “look me within the eye,” his spokesperson stated, as a result of he had issues about “crucifixion by innuendo.”

Q: That is an opinion query of kinds, however assuming Tate’s transfer was political, why would he have incentive to take away Pigott? It looks like an unforced error that simply attracts scrutiny on him.

A: Sure, Gov. Reeves’ feedback final week illustrated how a lot management his workplace has had over the welfare division’s dealing with of the case. The welfare division is, in fact, an govt company underneath the management of the governor and run by a Reeves-appointed director. Primarily based on Reeves’ connections to a number of the defendants or potential defendants, it does elevate questions on how MDHS may be an neutral lead on the case.

Q: Please inform me extra about what may probably occur to former Governor Phil Bryant. Wasn’t he supposedly getting a kick-back from it?

A: Two days after Bryant left workplace, the founding father of Prevacus texted him and stated, “Now that you simply’re unemployed I’d like to present you an organization bundle for all of your assist …We wish and want you on our workforce!!!”

Over his final yr in workplace, Bryant helped Favre and Prevacus by collaborating in fundraisers, connecting them with an investor and making inroads with the FDA. The corporate additionally acquired $2 million in stolen welfare funds from Mississippi.
“Sounds good,” Bryant responded. “The place can be the most effective place to fulfill. I’m now going to get on it exhausting…”

Bryant says he by no means accepted the inventory, however even an try and obtain a bribe or kickback may be thought of against the law in statute. Nancy New has additionally alleged that Phil Bryant directed her to make the $1.1 million fee to Brett Favre.

READ MORE: Phil Bryant had his sights on a payout as welfare funds flowed to Brett Favre

Q: Simply how concerned/responsible is Brett Favre on this?

A: Brett Favre was the inspiration behind not less than $8.25 million in TANF spending (volleyball, $5M, Prevacus/PreSolMD, $2.15M, himself, $1.1M). And he knew these had been grant funds, his texts present.

READ MORE: ‘You caught your neck out for me’: Brett Favre used fame and favors to tug welfare {dollars}

He additionally stated, “Don’t know if authorized or not however we have to minimize him in,” as regards to giving then-Gov. Phil Bryant inventory in Prevacus in trade for his assist.

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Q: Do you assume Auditor Shad held onto the case for too lengthy earlier than alerting the feds?

A: Some specialists we talked to famous that was unusual.

READ MORE: ‘It doesn’t look good’: At 3-year mark, extra questions than solutions in Mississippi welfare fraud scandal

Q: Do you are feeling circumstances like this embezzlement scandal make your job as an investigative journalist simpler or more durable? What’s essentially the most pleasing elements about all of it for you?

Please please please preserve your foot on the gasoline; your efforts are invaluable to these of us residents who acknowledge the abject corruption on this state.

A: I started reporting on TANF earlier than this scandal broke and that was actually, actually exhausting. I knew one thing wasn’t proper, however the company blocked me from getting any info that may enable me to inform the tales I knew had been there. Shad White’s arrests in February 2020 undoubtedly set off a series response for me. I targeted my reporting on parts of the case that weren’t public (or not less than public but), like breaking tales concerning the USM volleyball stadium, Marcus Dupree’s horse ranch, and naturally, Phil Bryant’s textual content messages with Brett Favre. Making my very own discoveries and making connections I didn’t choose up on earlier than is unquestionably one of many [most fun] elements of my job.

Q: Geoff Pender writes.., “(Tate Reeves) stated prison investigations are ongoing by the U.S. Division of Justice, FBI, Well being and Human Providers fraud investigators and others.”

I hate to confess it, however doesn’t Reeves have some extent in utilizing this because the protection for firing Pigott?

Why would Pigott be investigating one thing the Feds aren’t? WHY would the feds not have an interest within the issues Pigott’s concerned about?

A: I don’t assume anybody is arguing that the feds aren’t investigating USM. It wasn’t Pigott’s accountability to know what the feds thought of against the law or not. He was bringing a separate civil swimsuit, which makes an attempt to recoup the cash. Some targets within the civil swimsuit (reminiscent of Prevacus, John Davis, and so on.) are nonetheless wrapped up in prison proceedings and investigations, so it’s not as if the state is avoiding any of these people in its present civil swimsuit.

The $5 million the USM athletic basis acquired can be an apparent goal for any civil litigator as a result of 1) it’s the largest ticket merchandise in your entire scheme, 2) it’s straightforward to show legal guidelines had been damaged—a defendant has already pleaded responsible to such in state court docket and three) the athletic basis may even have the cash to pay it again, not like many different defendants.

Q: Do you’ve got any hope this reporting will result in any optimistic modifications? I solely ask as a result of I’m a disenfranchised Mississippian who sees the identical state of affairs play out repeatedly with minimal repercussions on the “politicians” that began the mess to start.

A: I completely perceive this sentiment and I ask myself this query lots. Ideally, we’d see some massive consequence or coverage change that we may level to, to know we’re making an impression, however that’s not often the fact. After the Backchannel printed, I acquired a name from somebody fairly excessive up in authorities that advised me due to the reporting, “I really feel emboldened greater than ever to simply inform the reality and know that that’s the fitting factor to do.” That caught with me. Too lots of the ills of this state are the results of secret-keeping. I can’t consider many higher methods for us to have a optimistic impression than penetrating the tradition of silence that has stored Mississippians at nighttime.

Q: The welfare cash is federal cash. The FBI, Division of Justice and doubtless the IRS and US Postal Inspector needs to be swooping in and investigating everybody and each group concerned. Any phrase on that facet?

A: You’re proper. Nancy New’s plea deal struck in April indicators that state and federal authorities are nonetheless investigating. They usually acquired a reasonably candy deal to cooperate, which might lead one to consider they’re pursuing these concerned on the high.

Q: Is there any likelihood anybody apart from Nancy New and her group [is] being punished for this? After I say punished I imply precise punishment, not a slap on the wrist sort tremendous for lower than what was stolen.

A: Sure, the six folks arrested in 2020 are definitely dealing with penalties, even when they haven’t but been sentenced to jail time. Sentencing gained’t occur till the investigation is concluded and it’s exhausting to foretell how a lot time, if any, every defendant will get. I’ve heard plenty of doubt concerning the civil swimsuit being fruitful: Most of the defendants possible don’t have the funds to pay no matter damages they might be hit with. If it’s decided they broke the legislation, wage garnishment is an choice, however a few of them aren’t even working proper now. So what I feel you’re asking is, will anybody else be arrested? The feds, as is typical, have been tremendous quiet so I can’t reply that.

Q: Does the Biden justice division even have the urge for food to take this on? We hear lots concerning the FBI and the federal a part of this, however earlier JDs had been hesitant to get entangled in apparent circumstances.

A: That’s a superb query. Biden hasn’t appointed a U.S. Legal professional in Jackson, which has inevitably had an impression on the progress of the case. They haven’t any political motive to not pursue this case to the furthest extent. However it’s additionally not precisely a cut-and-dried investigation. It’s a mammoth.

Q: Are you conscious of any people who had been knowingly concerned however whose names have by no means been made public?

A: Nancy New’s response to the civil swimsuit was pretty complete.

READ MORE: Gov. Phil Bryant directed $1.1 million welfare fee to Brett Favre, defendant says

Q: The place did you get the textual content messages??

A: Sometime I’ll inform the story…