Former Georgia Board Of Regents Members Charged With $1.8 Million Racketeering Scheme
The Georgia Bureau of Investigation and attorney general’s office issued arrest warrants Thursday for a former Georgia Board of Regents member.
Clarence Dean Alford was accused of racketeering and attempt to commit theft. Alford resigned from the board, effective immediately.
He’s accused of trying to deceive Versant Funding LLC of nearly $1.8 million. The attorney general’s office said he tried to do so using "factoring."
Factoring is defined as a “financial transaction in which a business may sell its accounts receivable to a third party at a discount.” In Alford’s case, it’s alleged that he tried to sell purchase agreements and accounts receivable to Versant, except they didn’t exist.
“Acts of fraud and corruption have no place in Georgia’s state government,” Attorney General Chris Carr said in a press release.
The investigation also alleged that Alford attempted to steal nearly $500,000 by providing a fake invoice to Versant.
According to the GBI and attorney general’s investigation, the invoice, dated September of this year, said the University of Georgia would pay Versant the money that was owed to Alford’s company.
His company is called Allied Energy Services, LLC.
Board of Regents Chairman Don Waters released a statement saying members must adhere to the highest standards.
“The allegations brought against Dean Alford are shocking and deeply upsetting,” Waters said.
He also said they would continue to work with law enforcement in “any capacity necessary throughout the investigation.”
The Board of Regents oversees the University System of Georgia.