Arkansas Blog: School district arrest

A criminal investigation is underway into affairs of the Pulaski County Special School District.

We learned today of what is expected to be the first of several charges filed stemming from a fraudulent purchasing scheme in the district The district maintenance supervisor was taken into custody in Saline County yesterday on charges of felony theft by receiving. An investigator said James Diemer's arrestwas part of "a very large case" being run by the Pulaski County sheriff's office.

Saline County prosecutor's office investigator Richard Friend said he expects there will be additional charges for Diemer, who was arrested at his Hensley home after he acknowledged he'd been selling school district property to support a drug habit since 1998. The sheriff's office hauled away enough tools, equipment and other items to fill two flatbed trucks and a pick-up truck, Friend said. The affidavit says that several items were permanent or too large to move and will be removed later. They included some items (see jump), which seemingly would have raised eyebrows on a school purchase order -- a Polaris See-Do with trailer and a Polaris 330cc ATV. But it's unclear if these items were the result of direct district purchases or from ill-gotten money.

Friend said Diemer had told investigators "I've done wrong" and explained that since 1998 he had purchased with school money to resell at least $100,000 worth of tools, equipment and personal items valued at $2,500 or less using an open purchase order system. According to the affidavit:

Diemer stated that he had become addicted to Hydrocodone after a vehicle accident and abused the purchase order system as a means to obtain items to sell or trade for hydrocodone and oxycontin. Diemer advised that he had driven his PCSSD vehicle to transport and sell or trade the items in Mayflower, Conway, Little Rock and Sherwood and the surrounding areas. Diemer then detailed who he had traded certain items to and whether the items were traded directly for drugs or sold for money to purchase the drugs.

Diemer said he turned in purchase orders to secretary April Williams, who would then submit them to James Warren, Diemer's supervisor. We called Warren to ask about Diemer's account. Warren, executive director for support services, is on leave. He said he'd been on a medical leave for about a month. He said he knew nothing about the investigation and that nobody had contacted him about it. Read some of the contents of the affidavit, Warren expressed surprise but said he had no comment.

State Legislative Audit, which has been looking at the PCSSD books at the request of School Board president Tim Clark, is working with the sheriff's office on an examination of district finances. Clark today said he asked for the audit four months ago because of rumors he'd heard and "things I've seen firsthand that made me uncomfortable." Among those things was the money in the buildings budget, which he said "would seem to change from one day to the next."

The acting superintendent of the PCSSD, Rob McGill, did not return phone calls.

The district has been roiled by conflict over a variety of issues in recent months and a divided school board. The friction, including discord over construction problems at two district schools, ultimately led to the buyout of Superintendent James Sharpe's contract for $185,000.

Items listed in evidence in Diemer's arrest:

Red metal canopy garage with storage room.

16-foot traler

1993 Polaris See-Doo with trailer.

Alumnium diamond plate truck toolbox

Honda pressure washer

Ladder

Copper tubing

Chainsaw

Ice chest

Milwaukee chop saw

Milwaukee power charger

Westward tool set

Orek vacuum

Dayton Wall vacuum

Bosch construction radio

Crescent brand socket set

Milwaukee saw

Sump pump

Dayton vacuum

Polaris 330CC ATV

Comments

Friend said Diemer had told investigators "I've done wrong".......Well if Mr. "done wrong" signs up for "New Start (motto: "A Place of Recovery Where God is Changing Lives").. He will be forgiven.

Posted by: HenryS | May 21, 2009 05:18 PM

If James Warren didn't see a red flag on a $5000 jet water ski
you must wonder about his competence.

Until caught in a crime do most of them have lifetime jobs?

Posted by: eLwood | May 21, 2009 05:44 PM

I know this is a really stupid question, but i haven't lived in Little Rock for over 25 years.

What exactly is the Pulaski County Special School District?

KTHV just now told us that the feds are giving the PCSSD several million $ in stimulus money. at least that can't be embezzled and spent on jet skis. That IS a rather odd purchase.....and nobody said anything about it.

Posted by: tina | May 21, 2009 06:02 PM

It will be interesting to see what kind of controls and/or oversight the district has in placed and where the breakdown occurred and who will be held accountable, besides the confessed emblezzer. Looks like it's pretty loose if this has been going on for so long (1998?). Might just be the tip of the iceburg.

I want to share Tina's viewpoint that federal stimulus funds can't be embellzed, but where there's a will there's a way. I'm afraid Fed stimulus funds are not exempt from misuse, abuse, misappropriation or fraud. Guess we will see the further we get into the spending of the funds. Hope you are right Tina.

Posted by: ckamerica1 | May 21, 2009 06:40 PM

thanks, ckamerica1 -- but we both know Im probably wrong. At lesat we can hope.

Posted by: tina | May 21, 2009 09:29 PM

I don't live in Pulaski County either, Tina, but my understanding is that the Pulaski County Special School District encompasses all of Pulaski County not included in the Little Rock and North Little Rock districts. I don't know where Jacksonville fits in the picture -- their own district or PCSSD. Now some of you folks up nawth correct me if I'm wrong.
Looks like somebody placed way too much trust in a long time employee, but there should have been a system of accounting for equipment -- not just the purchasing of that equipment, but also some kind of inventory control.

Posted by: Doigotta | May 21, 2009 09:30 PM

thats weird i didnt no polaris made sea doo i thought it was bombardier and a 1993 see doo would not be worth 5000 dollars it would only be about 1500 dollars.

Posted by: bob | May 21, 2009 11:31 PM

I live in the PCSSD, God help my child. She will be going to Daisy Bates starting kindergarten this year. It is a pretty new school so the roof is holding up pretty well at this point. I have not seen the bathrooms. From what I hear, the district has not been keeping up well with maintenance at other schools. And you guys are right, PCSSD encompasses all schools not in LRSD or NLRSD. I don't really understand WHY though. Perhaps it should be dismantled and absorbed into other districts. I actually thought about private school but the only ones out here in our part of town are sort of fundamentalist and weird. I am not a white flighter but if this district doesn't get its crap together soon, we will have to find a way to move. Either LRSD, Benton or Sheridan would be better from what I've seen. I want after-school care (I will pay) and a decent curriculum, a safe, healthy environment and good teachers who care about the kids. Maybe I will get some of that at PCSSD but not all of it. Is anyone on the board concerned about the kids, or just serving their own petty purposes? I'm not sure about McGill yet but since the president of the board is probably pulling his strings, I don't hold out much hope. Be a man, McGill, and prove me wrong! The kids are counting on you, and so am I!

Posted by: jps | May 27, 2009 11:28 AM

Arkansas Blog

School district arrest

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