JACKSON - Former Madison County Supervisor David Richardson and a Canton attorney were arrested Friday on multiple charges stemming from an alleged scheme to cheat a Texas woman in a land deal.
Richardson faces charges of conspiracy, false pretense and money laundering in the Madison County scheme, District Attorney David Clark said. Attorney Don McGraw is accused of conspiracy, false pretense and mail fraud.
Richardson faces up to 46 years in prison if convicted, while McGraw could face 26 years behind bars. Both also could receive substantial fines.
Both men posted bond of $10,000 each.
A Madison County grand jury indicted them Tuesday following an investigation by a task force composed of FBI agents and Clark's office.
The indictment alleges that Richardson and McGraw conspired to defraud 82-year-old Texas widow Frances Roehrig out of 80 acres of Madison County property. The land is next to Bridgewater subdivision, a residential development which sells lots for $150,000 a piece.
Clark said Roehrig was given a low appraisal and convinced to sell the land for $2,000 an acre. He said the defendants then resold the property to the subdivision for $14,000 an acre.
Last September, Richardson and McGraw settled an $8 million suit filed by Roehrig. Terms of the settlement were not disclosed. Richardson was sued as a private individual. The two had been accused in the 2002 civil lawsuit of swindling Roehrig out of the true value of her 80 acres.
The land was part of a family trust established by Roehrig and her late husband for the benefit of their children and grandchildren.
The suit alleged that Richardson and James Butler of Madison purchased the land for $160,000 and then resold it for about $1.1 million. Initially, Dennis Ford was trustee for Roehrig, but the suit contended Richardson persuaded Roehrig to replace Ford with McGraw. Butler also was sued, but later dropped as a defendant.
McGraw's law firm represented the Madison County Board of Supervisors.
The task force was formed in February and has other cases under investigation.
"The FBI approached me after I was elected in January and asked if my office to join the task force," Clark said.
FBI agents said they had heard anti-corruption speeches Clark made during the campaign.
And they knew his reputation. Clark's home was torched after he successfully prosecuted county officials almost 15 years ago.
"It was 5 a.m. when I woke up because the house was in flames," Clark said.
He and his family escaped, but the culprit was never caught.
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