LITTLE ROCK, Ark. (AP) — Former Arkansas treasurer Martha Shoffner tried to plead guilty Friday to accepting more than $36,000 in cash payments, but a federal judge wouldn't accept her plea because Shoffner wouldn't admit that the money was in exchange for steering state business to a bond broker.
Shoffner, 68, was charged with attempt and conspiracy to commit extortion under color of official right under the Hobbs Act, a federal law often used to prosecute public officials for accepting bribes. The charges carry maximum penalties of 20 years in prison and up to a $250,000 fine.
In court Friday, Shoffner admitted taking money from the broker. But when asked by U.S. District Judge Leon Holmes if she had steered state bond business to the broker, she said it wasn't intentional.
Holmes said he couldn't accept her guilty plea because Shoffner didn't admit to all the elements of the charge — and prosecutors alleged she steered the business to the broker because of the money.
An FBI affidavit filed in federal court alleges that a broker — unidentified in court documents — would roll up cash in $6,000 increments and have it delivered to Shoffner's office every six months. At least two of the payments were delivered in a pie box with a pie. The broker "recognized his/her bond business with the state grew because of the payments," the affidavit said.
The payments were made after Shoffner asked the broker for $1,000 a month to pay her rent in Little Rock, according to the affidavit. The document said the broker was granted immunity in exchange for his or her cooperation.
Legislative auditors last year questioned Shoffner's selling of bonds before they matured, a practice that they said cost the state more than $434,000 worth of earnings.
Shoffner was arrested at her home in Newport two weeks ago after the broker agreed to record the meeting and bring $6,000 in a pie box, according to the affidavit. FBI agents executed a search warrant and found the cash inside a cigarette package in Shoffner's kitchen. Shoffner admitted that she accepted the payments from the broker, the FBI said in its affidavit.
Facing pressure from fellow Democrats as well as Republicans who threatened impeachment proceedings if she didn't resign, Shoffner stepped down last week.
Beebe on Wednesday appointed former Legislative Auditor Charles Robinson to serve the remainder of Shoffner's term, which ends in January 2015. Robinson is barred from running for the post next year since he was appointed to it.
Shoffner, a former state representative, was first elected treasurer in 2006 and won a second term in 2010 after defeating a Green Party challenger.
During her re-election bid, she apologized for referring to the state trooper driving Beebe as a "manservant." Shoffner made the comments while defending her personal use of a state vehicle.
http://news.yahoo.com/judge-rejects-guilty-plea-ex-ark-treasurer-194224834.html
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