Jaggers gets jail time for theft, misuse of funds conviction

Terri Jaggers enters the 9th state District Court of Phil Grant beside her attorney E. Tay Bond at the Lee G. Alworth Building, Tuesday, June 25, 2019, in Conroe. Jaggers pleaded guilty and was sentenced to three days in the Montgomery County Jail for misdemeanor theft and a third degree felony charge of misapplication of fiduciary property for using more than $50,000 from nonprofit organization Orphan Care Solutions of Texas to fund home improvements and personal vacations. less Terri Jaggers enters the 9th state District Court of Phil Grant beside her attorney E. Tay Bond at the Lee G. Alworth Building, Tuesday, June 25, 2019, in Conroe. Jaggers pleaded guilty and was sentenced to ... more Photo: Jason Fochtman/Staff Photographer Photo: Jason Fochtman/Staff Photographer Image 1 of / 14 Caption Close Jaggers gets jail time for theft, misuse of funds conviction 1 / 14 Back to Gallery

A Montgomery County nonprofit leader pleaded guilty Tuesday to charges of theft and misuse of funds arising from her use of more than $50,000 from the nonprofit Orphan Care Solutions of Texas to purchase items for her home, fund vacations and buy jewelry.

Terri Jaggers, who also serves as president for nonprofit organizations Hope’s Path and the Montgomery County Child Welfare Board, was sentenced to three days in jail by Judge Phil Grant. She was taken into custody after the proceeding.

Tyler Dunman, special crimes bureau chief for the Montgomery County District Attorney’s office, said it is unfortunate that Jaggers violated the trust of so many by misusing the funds for “luxury items” and “extravagant trips” for herself.

“There are over 700 children in CPS custody right now in Montgomery County,” Dunman said, referring to Child Protective Services. “Churches, corporations, and hundreds of individuals have given their hard earned money to Orphan Care Solutions and Terri Jaggers in complete trust that those funds would be used to help the children in foster care in our area. Unfortunately, Terri Jaggers decided to use these funds for her own benefit to purchase luxury items for herself and home and take extravagant trips. We now understand why Terri Jaggers fought so hard to control every aspect of this work in Montgomery County - to cover up her criminal conduct.”

E. Tay Bond, Jaggers’ attorney, said his client is “merely mortal.”

“Terri Jaggers has years and years of doing nothing but helping foster kids,” Bond said “She did testify in front of the grand jury and admitted her mistakes and is ready to accept responsibility, apologize and get this behind her.

As part of a plea agreement for the third-degree felony, Jaggers was sentenced to seven years’ probation and a $1,000 fine in addition to the jail time. She also must resign from all leadership board positions including those on the Montgomery County Child Welfare board and CPS board, Hope’s Path, Pay It Forward and the Texas Foster Family Association.

The agreement also requires her to pay $43,612.07 in restitution to the Montgomery County CPS board; pay $47,703.27 in Orphan Care Solutions funds to the Montgomery County CPS board; formally dissolve and terminate Orphan Care Solutions as a nonprofit organization; purchase a $20,000 generator for Hope’s Path; transfer remaining Orphan Care Solutions vehicles and tangible property to Hope’s Path; and agree not to serve as a leader in nonprofit organizations or child welfare/orphan care/or foster care organizations.

According to a May 31 search warrant, the district attorney’s office Montgomery County District Attorney’s Office received several complaints in August 2018 that funds of Montgomery County-based Orphan Care Solutions were being mishandled by Jaggers.

Jaggers has served as president of Orphan Care Solutions since 2013; her husband, Patrick Jaggers, serves as vice president for the nonprofit.

During the investigation, the warrant states, investigators with the DA’s Office, the Federal Bureau of Investigation and the Texas Rangers obtained bank records, receipts and invoices showing Jaggers purchased many items, including a $20,000 generator for her home, in 2018 and paid for it with funds from Orphan Care Solutions.

The organization is a collaboration of child welfare stakeholders in Montgomery County including other nonprofits, as well as city and county officials focused on foster care. The group’s work currently extends beyond Montgomery County into the counties of Harris, Walker, Waller, Liberty, Chambers and Galveston.

According to the search warrant, Orphan Care Solutions uses Spirit of Texas Bank; records from the financial institution show Jaggers on that account and having been issued a Master Card attached to the nonprofit.

On Feb. 2, 2018, bank records show, $19,983.55 was taken out of the nonprofit’s account and paid to Lowe’s Home Improvement. Receipts from Lowe’s obtained by investigators show the purchase of a 27kW Generac Standby Generator for $19,983.55 that was installed at the Jaggerses’ Bentwater home. A certificate of completion of the project was signed by Terri and Patrick Jaggers.

In addition to the generator, records from Lowe’s show, the Jaggerses used the nonprofit’s account to purchase outdoor kitchen appliances including a modular outdoor refrigerator, outdoor griddle, outdoor stove, bar top, sink, cooler and storage in the amount of $5,742.97.

Also in April, bank records show, Jaggers purchased a large aluminum fire pit and cover from The Fireplace and Patio Shop for $4,226.38. The warrant states the fire pit was delivered to the Jaggerses’ home May 24.

Financial records from the nonprofit list some of the expenditures as being for “Harvey” and “Harvey recovery,” referring to catastrophic 2017 storm.

Along with items for her home, bank records show, Jaggers purchased tickets for her and her husband in January for a cruise that took them to Cozumel, Belize City and Roatan. In December 2018, financial statements from the nonprofit show, there was an expenditure of $7,857.20 to British Airways with the details of the expense listed as “loan to Jaggers.” Information from British Airways confirmed Jaggers purchased two round-trip tickets totally $7,857.20 that same month for a February flight to London.

Jaggers also purchased jewelry and dietary supplements with funds from Orphan Care Solutions, according to the search warrant.

Bond said Jaggers’ case reinforces why nonprofit organizations should have better financial oversight and have an independent auditor to monitor records and create “check and balances.”

District Attorney Brett Ligon echoed Bond and said there is historically a lack of effective oversight with nonprofit organizations and governmental boards. The conviction, he hopes, sends a loud and clear message.

“Individuals take advantage of people and resources for their own benefit,” Ligon said. “I am confident after these events, the Montgomery County Judge and Commissioners Court will thoroughly review the child welfare board membership, bylaws, and processes for Montgomery County.

“It’s time for a fresh start and new beginning as we all work to ensure the vulnerable children in Montgomery County CPS custody have everything they need to succeed in life.”