Story Begins Prison Term
FARMINGTON — Farmington former district court clerk and finance director Jimmy Story reported to prison last week on a 46-month sentence after pleading guilty to stealing city and court funds and tax fraud.
According to the website for the U.S. Bureau of Prisons, Story’s registration number is 14902-010, and he is an inmate at Federal Medical Center Fort Worth in Fort Worth, Texas. Story was ordered to report to prison by noon, Aug. 22.
The prison is a low-security federal medical center with only male offenders.
The website says FMC Fort
Worth has 1,602 total inmates. It was formerly a federal correctional institution but was converted to a federal medical center in early 2017.
Story, 57, pleaded guilty in U.S. District Court on Nov. 27, 2017, to one count of theft concerning programs that receive federal funds and one count of filing a false income tax return. He was allowed to remain free while awaiting a sentencing date.
He embezzled more than $1 million over a period of eight to nine years while working for the city of Farmington. Most of the money was fines and fees paid to Farmington’s district court.
U.S. District Judge Timothy Brooks, on July 11, sentenced Story to serve a 46-month prison term
on Count 1 and a 36-month prison term on Count 2 for the convictions. The sentences will run concurrently.
Upon his release, Story will have to serve three years supervised release on Count 1 and one year supervised release on Count 2, to run concurrently.
Brooks also ordered Story to pay restitution of $1,283,966 to the city and $371,956 to the Internal Revenue Service.
The money judgment filed following the court proceeding states that the United States is authorized to seize any specific property that is subject to forfeiture and to conduct any discovery the Court considers property in identifying, locating or disposing of the property.
For the IRS restitution, Story was ordered to pay $10 per month with the entire balance to be paid in full no later than one month prior to the end of the period of supervised release.
Brooks followed federal sentencing guidelines for the offensive level of Story’s convictions, which recommended a 37- to 46-month penalty range, but told Story he believed the seriousness of the crimes warranted more time.
“You worked for the government and you stole from the government. Stealing from a local municipality is on the more serious end of the spectrum,” Brooks said.
Brooks added, “You tarnished the reputation of the court system in Washington County. You’ve not only stolen but you created an administrative nightmare. You fudged and falsified and concealed court records.”
After the sentencing, Brooks allowed Story to remain out on a $5,000 bond and to self-report to a designated prison, yet to be named at the time. Story’s attorney said he had multiple medical conditions and those were to be evaluated to determine the best federal prison to meet his physical needs.
Fort Worth FMC provides level 3 medical care, which is for inmates who are considered fragile patients requiring frequent clinical contact and who may need assistance with daily activities, such as bathing, dressing, or eating – but do not require daily nursing care.
Story began working for the city of Farmington in 1995. He resigned Dec. 5, 2016.
City staff discovered discrepancies in revenues and deposits after Story’s resignation and turned over information to the county prosecuting attorney’s office, which then brought in the FBI and Arkansas Legislative Audit.
A legislative audit report issued Oct. 13, 2017, showed Story misappropriated more than $1.57 million over an eight-year period from Jan. 1, 2009, to Dec. 6, 2016. Almost all the money, $1.53 million in revenues, was missing from fines, costs and fees for District Court. Another $43,629 of revenue was not deposited into the city’s general fund during the same period.
The U.S. Attorney’s office issued a news release Nov. 27, 2017, after Story pleaded guilty to the charges.
The news release stated that Story made five types of fraudulent adjustments in the district court’s management system to reduce the money balance due from defendants and concealed the funds not deposited.
“In each case, Story altered the records, stole the cash, and used it for his own personal benefit,” the news release said.
Legislative auditors found that Story made more than 14,000 illegal adjustments to fabricate reasons that fines, costs and fees collected were not entered into the system.