Sentencing Delayed in Department of Corrections Scandal Cases after an excess of $300 million contra
Jimmie E. Gates, The Clarion-Ledger
Jackson, MS
Former Mississippi Department of Corrections Commissioner (MDOC) Chris Epps and Rankin County businessman Cecil McCrory have asked a federal judge to delay their sentencing set for later this month after a pre-sentencing investigation report by the U.S. Probation Office blames contract loss due to their crimes at more than $300 million.
After a long delay, Epps' sentencing was set for Jan. 26 and McCrory's set for Jan. 28 for their role in a corruption scheme. Epps and McCrory pleaded guilty in February in plea deals. Epps pleaded guilty to money laundering conspiracy and filing a false tax return. McCrory pleaded guilty to money laundering conspiracy.
Both had originally been scheduled for sentencing in July, but their sentencings were put off without public explanation.
Now, McCrory and Epps are asking U.S. District Judge Henry Wingate to delay the recently set sentencing dates.
Assistant U.S. Attorney Scott Gilbert, lead prosecutor, isn't opposing the motion.
Epps' attorney, John Colette, said in court papers he is seeking the delay to further study the pre-sentencing report, which determines the recommended guideline range for sentences.
The more the loss involved in such a crime usually results in a longer sentence recommendation.
"Undersigned has recently received the P.S.R. in this case which is complex and extensive, alleging contracts in excess of $300 million as the potential loss amount for guideline purposes," Colette said in his motion seeking a delay in the sentencing of Epps. "Due to specific guidelines proposed by the United States Probation Office, undersigned needs additional time to research the applicability of those selected versus other provisions that may be more appropriate."
Colette said due to the extensive nature of the contracts involved versus actual payments, research is required to determine the correct calculation.
Epps faces a maximum prison sentence of 23 years and a $750,000 fine, but he is expected to receive a lesser sentence under federal sentencing guidelines.
Federal prosecutors handling the case said Epps received about $2 million in bribes and kickbacks over the last eight years prior to his indictment in exchange for steering hundreds of millions of dollars in prison contracts to companies owned by McCrory or ones he represented.
Epps resigned his $132,700-a-year government job in November 2014, just before his indictment.
McCrory, co-conspirator with former MDOC Commissioner Chris Epps, seeking delay in sentencing. (Photo: File/The Clarion-Ledger)
Epps said he first met Cecil McCrory in 1997 when the Rankin County businessman was serving in the Mississippi Legislature. "He gave me gratuities," said Epps, who was working for the state Department of Corrections but was not yet commissioner.
In 2008, after McCrory sold GT Enterprises and Epps had given him a favorable recommendation, Epps said McCrory sent him $200,000 in payments to pay off the mortgage he had on his 3,800-square-foot home in Flowood, valued at $310,000.
McCrory said Epps was the one who approached him about paying off his Flowood home.
Prosecutors said Epps used that home equity to take out a loan for a condominium in Biloxi. After McCrory paid off that condo, Epps used that equity to get a bigger condominium in Pass Christian.
When the FBI arrested Epps, agents found $69,600 in cash in his safe. There was also about $1 million in his investment account, prosecutors said.
McCrory has hired a new attorney, Carlos Tanner, to replace Clarence Leland. Tanner said he wanted the delay, citing his recent hiring, other court cases he had scheduled and the pre-sentencing report in McCrory's case.
"The discovery materials in this case consist of nearly 70 compact discs worth of investigative reports, audio / video recordings, and financial records," Tanner said in court papers. "Part of the allegations critical to Mr. McCrory’s sentencing is the government’s contention that the crime to which Mr. McCrory has pleaded guilty involves a loss amount of more than $300 million. The undersigned is already diligently combing through the record and discovery materials to prepare for, and to defend Mr. McCrory at sentencing; however, the undersigned needs additional time to review those materials and to prepare his sentencing presentation and his objections to the Presentence Investigation Report that was issued in this case."
Contact Jimmie E. Gates at (601) 961-7212 or jgates@jackson.gannett.com. Follow @jgatesnews on Twitter.
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