State Sen. Jeremy Hutchinson (R-Little Rock) was indicted on Friday by a federal grand jury for allegedly using tens of thousands of dollars of campaign contributions for his own personal benefit and concealing the scheme by falsifying campaign finance reports and income tax filings. The senator, who is the nephew of Governor Asa Hutchinson, disputes the allegations but nonetheless announced that he will resign from office.

Among the misuses of campaign funds listed in the indictment were tickets and accommodation expenses for a Caribbean cruise and a vacation to New Orleans, as well as shopping sprees at jewelry, clothing, and other retail stores. The government also alleges that he used campaign funds for more everyday expenses: groceries and gas charges, gym membership fees, and Netflix fees.

Here’s the indictment. Hutchinson is scheduled to appear before U.S. Magistrate Judge Patricia S. Harris on September 18.

Importantly, the charges brought against Hutchinson on Friday are distinct from allegations of bribery that emerged in the guilty plea of former lobbyist Rusty Cranford. A source familiar with the investigation tells the Arkansas Times that today’s indictment is not a signal that authorities have dropped the investigation of legal fees paid to Hutchinson and another unnamed senator in what has been characterized as payments for favorable legislative actions. Those investigations continue.


Shortly after the office of U.S. Attorney Cody Hiland announced the news, Hutchinson’s attorneys, Tim Dudley and Stephen Larson, released a statement calling the allegations in the indictment factually inaccurate. They maintain the senator is innocent but said he intended to resign from the Arkansas Senate so as not to be a distraction.

“The allegations in today’s indictment are mere allegations. We look forward to vigorously disputing their accuracy very soon before a jury,” the statement said. Dudley and Larson claim that “the government has irreparably impaired Mr. Hutchinson’s ability to defend himself by searching his computer without a warrant and then inexplicably destroying an image of his hard drive which possessed key exculpatory evidence.”


The attorneys also included a statement from Hutchinson himself:

It has been the greatest honor of my life to represent the people in my Senate district. I worked very hard to serve all of my constituents, and I appreciate the many gestures of support I have received from friends, neighbors and colleagues over recent weeks. Nobody would want to find themselves in my present position, but I intend to defend myself and offer truthful evidence to a jury as soon as possible. I do not agree with decisions that have led us to this place, but I am powerless to control those decisions. However, I continue to believe in our system of justice and will trust that it will produce a fair and just result in this case.

The indictment alleges that Hutchinson converted more than $200,000 in campaign contributions to his personal use over the period 2010 to 2017.

The government alleges that Hutchinson used $41,000 from his campaign-contribution account to cover vacations, tuition payments, food and various “personal luxuries and expenses,” including the Caribbean cruise and the New Orleans vacation.

Hutchinson also converted campaign funds into cash for his own personal use, according to the indictment. The government alleges that he withdrew $78,000 in cash from his campaign account; that he transferred another $41,000 by wire transfer or check; that he deposited around $42,000 in intended campaign contributions directly into his own personal account; and that he personally cashed five checks intended to be campaign contributions, totaling $6,400.


In his efforts to conceal the illicit use of campaign funds, according to the indictment, Hutchinson underreported approximately $71,000 in campaign contributions in his campaign filings submitted to the Secretary of State.

Hutchinson also falsified his federal income tax returns, the government alleges, by failing to report the contributions that he converted to personal use.

Finally, the government also alleges that during this same period, Hutchinson also falsified his federal income tax returns by underreporting the income that he made as an attorney. This charge may have little to do with the broader public corruption charges, but one detail pops: One of the entities that paid him as an attorney during this period, listed as Charity A, paid him $163,500 over the course of 2013 and 2014. In the federal information filed along with Cranford’s plea, prosecutors stated that Preferred Family Healthcare, the tax-exempt charity previously known as Alternative Opportunities, paid Hutchinson ostensible legal fees during this period that were in fact bribes to curry favor in the legislature.

Governor Hutchinson issued his own statement on Friday afternoon soon after the news broke:

I just learned of the indictment against Sen. Jeremy Hutchinson for campaign expenditure and federal tax violations. This is a very sad day for everyone when a family member is charged. I have to look at this sad news as an uncle but also as a political leader in the state. As an uncle, my heart aches for Jeremy’s children and expanded family. This is a tough time, and it will not get any easier in the coming months. As a political leader, I know the United States Attorney always reminds the public that these charges are only allegations and he is presumed innocent, but the reality is that the charges alone undermine public confidence in our system of government. For that reason, Jeremy understands he needs to resign from the Senate, and I support that decision. He will need to devote his resources and energy in answering these allegations.

The statement from Hutchinson’s attorneys also included this statement from his father, former U.S Sen. Tim Hutchinson (who is the brother of the governor):

I have faith in our courts and our system of justice. I have full faith in my son’s innocence of the allegations as set out in today’s indictment and believe that when the facts are fairly presented he will be exonerated.

The attorneys also included an announcement from Bud Cummins, a former U.S. attorney and Republican political operative, that he’s agreed to act as the trustee of a legal defense fund “to receive contributions from those who want to insure that Jeremy Hutchinson has the resources necessary to mount an adequate defense.” Cummins said he was doing so at the request of Hutchinson’s “friends, colleagues and family.”

Here’s the full press release from federal prosecutors: