Saturday, June 10, 2023

Auditors Missed Finance Director RAYE BRUTNELL's $785,786 Sheriff's Office Embezzlement: Two Week Jury Trial Set









Like the dog that didn't bark in "The Adventure of Silver Blaze," one of Sir Arthur Conan Doyle's Sherlock Holmes novels, St. Johns County's outside auditors, CARR, RIGGS and INGRAM, allegedly failed to do its jobs after years of serving as the Count's supposedly "independent auditor."  

CRI allegedly failed to detect embezzlement by Raye Brutnell, the Finance Director who allegedly stole $785,786+ commencing in 2012, from  the St. Johns County Sheriff's office, while sitting only some 25 feet from controversial longtime Sheriff DAVID SHOAR.

On December 15, 2020, less than three weeks before controversial St. Johns County Sheriff SHOAR left office, St. Johns County sued its former auditors, the Alabama-based, 2000 professional CPA firm of CARR, RIGGS and INGRAM, for professional negligence for failing to detect Sheriff DAVID SHOAR's CFO's stealing hundreds of thousands of dollars.  The sixteen-page complaint was baccked by some 221 pages of exhibits on the County's Request for Proposals, the defendant's response and contractual commitments, applicable GASB auditing standards, and the auditor's alleged  malfeasance, misfeasance and nonfeasance.   St. Johns County v. CARR, RIGGS & INGRAM, LLC, Case No. 2020-1331 (St. Johns County Circuit Court).

The Sheriff office Finance Director's embezzlement scheme went on, undetected, for at least some. six (6) years.  Married to an FDLE supervisor, RAYE BRUTNELL created phony front companies and accounts, which she used our tax monies to pay for nonexistent work for SHOAR's St. Johns County Sheriff's office. She then moved our tax money to her own accounts.  Then one day she deposited one of the Sheriff's office checks directly in her own account. She got caught. The Bank of America and two ethical SJSO employees blew the whistle on Raye Brutnell's $702,000+ embezzlement. Brutnell pled guilty to criminal charges and is incarcerated until December 24, 2028. Her scheduled video deposition will become part of the evidence presented to the jury in the County's lawsuit, commencing on or about September 11, 2023.

On June 6, 2023, the St. Johns County Board of County Commissioners (BoCC) held a confidential "shade meeting," with several of our County's in-house and outside lawyers, the County Administrator and a court reporter.   (After the case is over, the transcript will become available to the public).

The subject of the confidential shade meeting was listed as litigation expenses.  The private "shade meeting" went on for about 90 minutes, with no settlement announced.  The defendant sent a settlement proposal on or about March 16, 2023.  Further discovery is pending.

Before the shade meeting, I spoke out in public comment against any settlement with CARR RIGGS & INGRAM, LLC in public comment (Item 1, re: Sheriff's and SoE budget, here).  Some cases are so important that the public interest is better served by having a trial and letting the courts decide.  What if  the case of Brown v. Board of Education had been a secret settlement instead of a Supreme Court case?  There would have been no precedent, no justice, no final judgment of law and history.  A St. Johns County jury will do public justice on the auditing malpractice of CARR, RIGGS & INGRAM, LLC, which allowed embezzlement to go on for five years. See Yale Law Prof. Owen M. Fess, Against Settlement (Yale Law Journal, 1984).

The County's outside lawyers are from the Jacksonville office of the 217-lawyer New Orleans founded law firm of Adams & Reese, including recently re-elected Adams & Reese Executive Committee Chair Timothy W. Volpe and partner Thomas P. White. 

The court-appointed mediator was Timothy J. McDermott.

The County's former auditing firm, CARR, RIGGS and INGRAM, LLC is defended by J. Nixon Daniel of the Pensacola law firm of Beggs & Lane, RLLP, which asserts in its Answer that the County was negligent and that its negligence was the "sole cause" or a contributing cause to any loss, injury or damages" the County claims. 

Wikipedia states: "Carr, Riggs & Ingram, LLC is the largest certified public accounting firm headquartered in Southern Alabama.[1] With offices located in Alabama, Florida, Georgia, Kentucky, Louisiana, Mississippi, New Mexico, North Carolina, Tennessee, and Texas,[2] Carr, Riggs & Ingram ranks 22nd in the top 100 U.S. accounting firms[1] and employs over 2,000 professionals."

The auditor professional liability case is set for trial commencing on or about September 11, 2023 before Hon. Howard M. Maltz, Circuit Court Judge.  From Judge Maltz's order:

TRIAL DATE AND DOCKET SOUNDING. This case is set for trial during the two (2) week period commencing September 11, 2023, at 9:00 a.m., in courtroom 351, Richard O. Watson Judicial Center, 4010 Lewis Speedway, St. Augustine, Florida. The first day of the trial period is hereinafter referred to as the “trial date.” Docket sounding (calendar call) will be held in courtroom 351, Richard O. Watson Judicial Center, on September 5, 2023, at 1:30 p.m. Appearance at docket sounding by counsel and all unrepresented parties is mandatory. Docket sounding shall be attended by an attorney who will participate in the trial of the case. Trial counsel may appear in person or by Zoom. If trial counsel desires to attend docket sounding via Zoom, the Court and all counsel shall be notified of counsel’s intention to appear by teleconference prior to the docket sounding date by filing a notice of the same and notifying the judicial assistant. Failure to attend docket sounding may result in the dismissal of this action, the entry of a default or other appropriate sanctions. Parties shall be prepared to try the case anytime during the designated trial term. Trial will commence immediately after jury selection, unless otherwise stated by the Court.


Here is the Docket as of June 7, 2023:

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Judge:
MALTZ, HOWARD M. 
Case Number:
CA20-1331 
Clerk File Date:
12/16/2020 
Total Fees Due:
0.00 
Agency Report Number:
 
Court Type:
Circuit Civil 
Uniform Case Number:
552020CA001331A000XX 
Status Date:
12/16/2020  
Custody Location:
 
Case Type:
Contracts and Indebtedness 
Status:
OPEN  
Waive Speedy Trial:
Agency:
 
TYPEPARTY NAMEATTORNEY
PLAINTIFF 
Active WHITE, THOMAS PAUL (Main Attorney)
DEFENDANT 
Active DANIEL, J NIXON III (Main Attorney)
MEDIATOR 
DATEEVENTJUDGELOCATIONRESULT
9/5/2023 1:30 PM CIVIL DOCKET SOUNDING MALTZ, HOWARD M. Courtroom 351  
2/6/2023 1:30 PM CIVIL DOCKET SOUNDING MALTZ, HOWARD M. Courtroom 351 CANCELLED  
12/19/2022 9:30 AM HEARING (CIVIL) MALTZ, HOWARD M. Chambers COMPLETED  
9/1/2022 10:30 AM HEARING (CIVIL) MALTZ, HOWARD M. Chambers CANCELLED  
IMAGEDINDATEENTRY
 875/31/2023NOTICE OF TAKING VIDEOTAPED DEPOSITION 
10  865/19/2023PLAINTIFF, ST. JOHNS COUNTY'S NOTICE OF TAKING DEPOSITION OF RAY ROBERTS AS CORPORATE REPRESENTATIVE OF DEFENDANT CARR, RIGGS & INGRAM, LLC VIA REMOTE VIDEOCONFERENCE 
10  855/19/2023PLAINTIFF, ST. JOHNS COUNTY’S NOTICE OF TAKING DEPOSITION OF FRANK MASON AS CORPORATE REPRESENTATIVE OF DEFENDANT CARR, RIGGS & INGRAM, LLC VIA REMOTE VIDEOCONFERENCE 
 845/10/2023PLAINTIFF’S NOTICE OF TAKING DEPOSITION OF TINA ROBINSON 
 835/10/2023AMENDED NOTICE OF TAKING DEPOSITION DUCES TECUM OF MELISSA FARRIS AS CORPORATE REPRESENTATIVE OF ST. JOHNS COUNTY 
 825/8/2023ST. JOHNS COUNTY'S NOTICE OF SERVICE OF ANSWERS AND OBJECTIONS TO DEFENDANT CARR, RIGGS & INGRAM, LLC'S SECOND SET OF INTERROGATORIES 
 815/8/2023PLAINTIFF ST. JOHNS COUNTY'S RESPONSES TO DEFENDANT CARR, RIGGS & INGRAM, LLC'S SECOND REQUEST FOR PRODUCTION 
 805/8/2023AMENDED NOTICE OF TAKING DEPOSITION DUCES TECUM OF HUNTER CONRAD AS CORPORATE REPRESENTATIVE OF ST. JOHNS COUNTY 
 794/21/2023NOTICE OF TAKING DEPOSITION DUCES TECUM OF HUNTER CONRAD AS CORPORATE REPRESENTATIVE OF ST. JOHNS COUNTY 
 784/21/2023NOTICE OF TAKING DEPOSITION DUCES TECUM OF MELISSA FARRIS AS CORPORATE REPRESENTATIVE OF ST. JOHNS COUNTY 
 774/7/2023CARR, RIGGS & INGRAM, LLC'S REQUEST FOR PRODUCTION OF DOCUMENT TO ST. JOHNS COUNTY 
 764/7/2023CARR. RIGGS & INGRAM, LLC'S NOTICE OF SERVING SECOND SET OF INTERROGATORIES TO ST. JOHNS COUNTY 
 753/31/2023PLAINTIFF, ST. JOHNS COUNTY’S PRIVILEGE LOG 
 743/17/2023PLAINTIFF ST. JOHNS COUNTY'S AMENDED RESPONSES TO DEFENDANT CARR, RIGGS & INGRAM, LLC'S FIRST REQUEST FOR PRODUCTION 
 733/16/2023NOTICE OF SERVICE OF PROPOSAL FOR SETTLEMENT 
 721/6/2023PLAINTIFF’S NOTICE OF CANCELLATION OF VIDEOTAPED DEPOSITION OF RAYE BRUTNELL 
 711/6/2023NOTICE OF CANCELLATION OF VIDEOTAPED DEPOSITION 
 701/6/2023PLAINTIFF'S NOTICE OF CANCELLATION OF VIDEOTAPED DEPOSITION OF RAYE BRUTNELL 
 6912/28/2022PLAINTIFF’S CROSS-NOTICE OF TAKING VIDEOTAPED DEPOSITION OF RAYE BRUTNELL 
  6812/21/2022EMAIL SENT TO: WHITE, THOMAS PAUL; DANIEL, J NIXON III; ADAMS, JOHN HARDY; VOLPE, TIMOTHY WAYNE; MCDERMOTT, TIMOTHY J REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 2 ATTACHMENTS FROM DOCKET: ORDER GRANTING PLAINTIFF'S MOTION FOR CONTINUANCE OF TRIAL/ORDER RESCHEDULING JURY TRIAL AND DIRECTING PRETRIAL PROCEDURES-12/21/2022 
 6712/21/2022ORDER GRANTING PLAINTIFF'S MOTION FOR CONTINUANCE OF TRIAL 
 6612/21/2022ORDER RESCHEDULING JURY TRIAL AND DIRECTING PRETRIAL PROCEDURES- DOCKET SOUNDING SET FOR SEPTEMBER 5, 2023 AT 1:30 PM 
 6312/19/2022COURT NOTES 
 6512/16/2022ST. JOHNS COUNTY'S NOTICE OF SERVICE OF ANSWERS AND OBJECTIONS TO DEFENDANT CARR, RIGGS, & INGRAM, LLC'S FIRST SET OF INTERROGATORIES 
 6412/16/2022PLAINTIFF ST. JOHNS COUNTY'S RESPONSES TO DEFENDANT CARR, RIGGS & INGRAM, LLC'S FIRST REQUEST FOR PRODUCTION 
 6212/15/2022DEFENDANT'S NOTICE OF INTENT TO APPEAR VIA VIDEOCONFERENCE 
  6112/13/2022EMAIL SENT TO: JA S.MILLER REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: NOTICE OF HEARING ON PLAINTIFF ST. JOHNS COUNTY'S MOTION FOR CONTINUANCE OF TRIAL - ON DECEMBER 19, 2022, AT 9:30 AM -12/13/2022 
 6012/13/2022NOTICE OF HEARING ON PLAINTIFF ST. JOHNS COUNTY'S MOTION FOR CONTINUANCE OF TRIAL - ON DECEMBER 19, 2022, AT 9:30 AM 
  5912/8/2022EMAIL SENT TO: JA - S. MILLER - . REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: PLAINTIFF ST.ST. JOHNS COUNTY'S MOTION FOR CONTINUANCE OF TRIAL - 12/8/2022 
 5812/8/2022PLAINTIFF ST. JOHNS COUNTY'S MOTION FOR CONTINUANCE OF TRIAL 
  5712/8/2022EMAIL SENT TO: JA S.MILLER REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: PLAINTIFF'S AGREED MOTION TO SCHEDULE PRETRIAL CONFERENCE -12/7/2022 
 5612/7/2022PLAINTIFF'S AGREED MOTION TO SCHEDULE PRETRIAL CONFERENCE 
 5512/7/2022NOTICE OF TAKING VIDEOTAPED DEPOSITION 
  5411/29/2022EMAIL SENT TO: WHITE, THOMAS PAUL; DANIEL, J NIXON III; ADAMS, JOHN HARDY; MCDERMOTT, TIMOTHY J REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: AMENDED MEDIATION ORDER-11/29/2022 
 5311/29/2022AMENDED MEDIATION ORDER 
  5111/28/2022EMAIL SENT TO: WHITE, THOMAS PAUL; DANIEL, J NIXON III; ADAMS, JOHN HARDY; MCDERMOTT, TIMOTHY J REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: MEDIATION ORDER-11/28/2022 
 5011/28/2022MEDIATION ORDER 
 5211/23/2022PLAINTIFFS EXPERT WITNESS DISCLOSURE 
 4911/4/2022CARR, RIGGS & INGRAM, LLC’S FIRST REQUEST FOR PRODUCTION OF DOCUMENTS TO ST. JOHNS COUNTY 
 4811/4/2022CARR, RIGGS & INGRAM, LLC’S NOTICE OF SERVING FIRST SET OF INTERROGATORIES TO ST. JOHNS COUNTY 
 4710/4/2022NOTICE OF TAKING DEPOSITION 
 4610/4/2022NOTICE OF TAKING DEPOSITION 
 4510/4/2022AMENDED NOTICE OF TAKING DEPOSITION 
 449/12/2022PLAINTIFF'S REPLY TO DEFENDANT'S AMENDED AFFIRMATIVE DEFENSES 
  439/2/2022EMAIL SENT TO: WHITE, THOMAS PAUL; DANIEL, J NIXON III; ADAMS, JOHN HARDY REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: UNOPPOSED ORDER GRANTING DEFENDANT'S AMENDED MOTION FOR LEAVE TO AMEND AFFIRMATIVE DEFENSES-9/2/2022 
 429/2/2022UNOPPOSED ORDER GRANTING DEFENDANT'S AMENDED MOTION FOR LEAVE TO AMEND AFFIRMATIVE DEFENSES 
 418/31/2022NOTICE OF CANCELLATION OF HEARING 
 408/30/2022AMENDED NOTICE OF HEARING 
15  398/30/2022DEFENDANTS' AMENDED MOTION FOR LEAVE TO AMEND AFFIRMATIVE DEFENSES 
 388/29/2022PLAINTIFF, ST. JOHNS COUNTY'S RESPONSE IN OPPOSITION TO DEFENDANT CARR, RIGGS & INGRAM, LLC'S MOTION TO AMEND AFFIRMATIVE DEFENSES 
 378/5/2022PLAINTIFF'S NOTICE OF TAKING DEPOSITION OF MICHELLE HAM 
 368/5/2022PLAINTIFF'S NOTICE OF TAKING DEPOSITION OF MARTHA GARCIA-BAKER 
 358/5/2022PLAINTIFF'S NOTICE OF TAKING DEPOSITION OF BRET STONE 
 347/21/2022AMENDED NOTICE OF TAKING DEPOSITION 
 337/14/2022NOTICE OF HEARING- SEPTEMBER 1, 2022 AT 10:30 AM 
 327/7/2022MOTION TO AMEND AFFIRMATIVE DEFENSES 
  317/5/2022ATTORNEY: ADAMS, JOHN HARDY ASSIGNED TO CARR, RIGGS & INGRAM, LLC 
 307/1/2022NOTICE OF APPEARANCE AND DESIGNATION OF E-MAIL ADDRESS 
 295/2/2022NOTICE OF TAKING DEPOSITION 
 285/2/2022NOTICE OF TAKING DEPOSITION 
 275/2/2022NOTICE OF TAKING DEPOSITION 
 265/2/2022NOTICE OF TAKING DEPOSITION 
 215/2/2022NOTICE OF TAKING DEPOSITION (VIA ZOOM VIDEOCONFERENCE) 
  202/21/2022EMAIL SENT TO: WHITE, THOMAS PAUL; DANIEL, J NIXON III REGARDING SERVICE OF COURT DOCUMENT – CA20-1331, ST. JOHNS COUNTY VS. CARR, RIGGS & INGRAM, LLC WITH 1 ATTACHMENTS FROM DOCKET: ORDER SCHEDULING JURY TRIAL AND DIRECTING PRETRIAL PROCEDURES-2/21/2022 
 192/21/2022ORDER SCHEDULING JURY TRIAL AND DIRECTING PRETRIAL PROCEDURES- DOCKET SOUNDING SET FOR FEBRUARY 6, 2023 AT 1:30 PM 
 185/10/2021DEFENDANT'S RESPONSE TO PLAINTIFF'S FIRST REQUEST FOR PRODUCTION OF DOCUMENTS 
 174/19/2021OF DEFENDANT, CARR, RIGGS & INGRAM'S RESPONSES TO PLAINTIFF'S FIRST INTERROGATORIES 
 164/19/2021RESPONSE TO REQUEST FOR ADMISSIONS - DEFENDANT 
 153/1/2021PLAINTIFF'S REPLY TO DEFENDANT'S AFFIRMATIVE DEFENSE 
10  142/9/2021ANSWER 
 131/22/2021NOTICE OF FILING STIPULATION OF ACCEPTANCE OF SERVICE OF PROCESS - CORPORATE SUMMONS STATUS SET TO CIVIL SUMMONS RETURNED SERVED ON 01/13/2021 FOR CARR, RIGGS & INGRAM, LLC 
 1212/17/2020PAYMENT $410.00 RECEIPT #2020034008 
 1112/16/2020STANDING ORDER FOR CIVIL CASES IN DIVISION 55 
 1012/16/2020CORPORATE SUMMONS STATUS SET TO CIVIL SUMMONS ISSUED ON 12/16/2020 FOR CARR, RIGGS & INGRAM, LLC 
  312/16/2020ATTORNEY: WHITE, THOMAS PAUL ASSIGNED TO ST. JOHNS COUNTY 
  212/16/2020JUDGE MALTZ, HOWARD M.: ASSIGNED 
  112/16/2020CASE FILED 12/16/2020 CASE NUMBER CA20-1331 
11  812/15/2020PLAINTIFF'S FIRST REQUEST FOR PRODUCTION OF DOCUMENTS TO DEFENDANT 
 712/15/2020PLAINTIFF'S FIRST REQUEST FOR ADMISSIONS TO DEFENDANT 
14  612/15/2020ST. JOHNS COUNTY'S NOTICE SERVING FIRST SET OF INTERROGATORIES ON DEFENDANT CARR, RIGGS & INGRAM, LLC 
 412/15/2020CIVIL COVER SHEET 
237  512/15/2020COMPLAINT FOR DAMAGES 
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4 comments:

Anonymous said...

Ed for mayor! Ed for County commission! Ed for Senate! Let's put a dent in these crackers!!

Anonymous said...

Gnarly prison picture dude!!! Thanks to the GOP, everyone's mugshot is available for misuse and smearing by the mob...a life sentence of public humiliation and only a small part of the American social credit system. Just goes to show you the right wing police state is all fine and dandy until it's you or one of your kids. I wonder if she will get clemency (yeah right), get her voting rights back (yeah right), and continue to vote GOP!!!

Anonymous said...

Speaking of indicted hogs... Trump indicted again today! Next indictment will be for, "I just need you to find more votes than we have!" Trumpists are now pro criminal if they still support!

Elliott Offen said...

Noam Chomsky said it best: Trump is a megalomaniac and psychopath. If he accidentally ends up in office again then the planet is in trouble.