Ex-county clerk arraigned in theft

Charges say $1.5 million taken

“You could wind up sitting in jail until it’s over. That could be two or three years from now and you don’t want that to happen.” —

U.S. Magistrate Judge Joe Volpe

LITTLE ROCK — Jacob Kade Holliday, the former Craighead County clerk indicted on federal wire-fraud charges and accused of stealing $ 1.5 million in county funds between Jan. 29 and June 24 of this year, was arraigned Wednesday before U. S. Magistrate Judge Joe Volpe, and ordered to appear before U. S. District Judge James Moody on Jan. 25.

Volpe said he had estimated seven days would be needed for the trial “exclusive of any defense.”

Holliday, 32, was arrested June 29 after auditors alerted officials to suspicious activity and he resigned his office that same day.

Holliday is suspected of transferring thousands of dollars from the county’s payroll holding account into his personal account beginning on Jan. 23 and continuing until June 24, eventually transferring more than $1.5 million.

Originally facing charges from the state in Craighead County Circuit Court, Holliday was arrested last summer on various counts of property theft, but the criminal case against him moved to U.S. District Court in Little Rock after a Dec. 1 grand jury indictment.

Holliday is facing federal charges of 11 counts of wire fraud.

The investigation was handled by the Arkansas State Police and the FBI, authorities said.

Noting that Holliday is currently free on his own recognizance, Volpe asked him about his work status.

“Currently, I’m unemployed,” Holliday said, speaking remotely over a teleconference line.

“I want you to get employment as a condition of release,” Volpe said. “I know it’s difficult to find employment currently but I want you to be actively engaged in looking.”

Volpe ordered Holliday to maintain his current residence, to submit to drug testing, seek mental-health counseling, and to surrender his passport.

“I’m putting you on bond and in theory you can remain on bond throughout the disposition of your case,” he told Holliday, but cautioned him about doing anything that might get his release revoked.

“You could wind up sitting in jail until it’s over,” he said. “That could be two or three years from now and you don’t want that to happen.”

In addition, Volpe warned Holliday that he could face additional time if he engages in any misconduct while out awaiting trial, if any additional charges are filed against him, or if he is found to have any weapons. The judge told him to report any contact with law enforcement officials and to maintain regular contact with his attorneys.

“You’ve got able counsel and if you listen to them you won’t have any problems with me,” he said.

Once a rising star in Craighead County politics, Holliday was first elected to public office at the age of 24 in 2012 and was named in Arkansas Business’ “20 in their 20s” list.