By Rob Moritz
Arkansas News Bureau
LITTLE ROCK — A former member of the state Ethics Commission is under criminal investigation for allegedly misappropriating $753,360 in funds while he served as director and consultant of a regional solid waste district, legislators heard Friday.
According to a report state auditors presented to the Legislative Joint Auditing Committee, Joe Ball, who worked for the Upper Southwest Arkansas Regional Solid Waste Management District from 1991 to July 2009, allegedly used district checks to make payments to a company he created, Secondary Sources & Recycling Consulting.
The checks were then mailed to post office box in Bonnerdale in Northwest Hot Spring County, the report said.
Also Friday, auditors told the committee that an Arkansas State University employee allegedly misappropriated $747,190 in funds, according to a state audit. The employee has since been fired and charged with theft of property.
Ball, who lives in Hot Springs, served on the state Ethics Commission from 2003 to 2008. From 1979 to 1981, he was mayor of Nashville.
State auditor Kim Williams said the audit of the solid waste district discovered the district checks were written by Ball to SSR. She said there “is no evidence” suggesting SSR is an active business.
Former Howard County Judge Max Tackett, who recently was named director of the solid waste district, said he regretted the audit findings.
“We all just believed (Ball),” Tackett said, adding the solid waste district, which operates a landfill north of Nashville in Howard County and serves a nine-county area, is now faced with more than $563,000 in unpaid bills and financial obligations.
Howard County Prosecutor Bryan Chesshir said Friday the investigation is ongoing and could last another six to eight weeks.
“We’re investigating this along with the Arkansas State Police, the FBI and U.S. attorney’s office,” Chesshir said.
Ball’s attorney, Q. Byrum Hurst, did not immediately return a telephone call seeking comment Friday afternoon.
A report on the ASU audit said Virginia DeMaine, program coordinator of the university’s Childhood Development Associate Program, was fired after a state audit discovered she had misappropriated $747,190 in funds.
She was later charged with theft of property in Craighead County and a trial is scheduled for later this year.
