College president pleads guilty before Arkansas fraud trial
Legal Events
The president of a Christian college in Springdale pleaded guilty to a fraud charge Wednesday, admitting he took part in what prosecutors called a kickback scheme involving his school.
Oren Paris III had faced a trial Monday with former state Sen. Jon Woods and consultant Randell Shelton. Instead, the president of Ecclesia College pleaded guilty in federal court.
Prosecutors say Paris paid kickbacks to Woods and then-Rep. Micah Neal in return for $550,000 in state grants in 2013-14, using Shelton's consulting firm as a go-between. Neal pleaded guilty last year but has not been sentenced.
Woods, a Republican, faces 15 fraud counts while Paris and Shelton were named in 14 counts. Paris pleaded guilty to a fraud charge Wednesday. All had been charged with conspiracy, and Woods also faces a money-laundering charge.
Paris plead guilty to transferring $50,000 of a $200,000 in grant money from Woods and Neal to Shelton. Shelton sent $40,000 of the money to Woods as a kickback, according to Paris' plea.
In addition to pleading guilty, Paris quit as the college president and resigned from the board of the school his father founded. Woods and Shelton have each pleaded not guilty.
His lawyer, Travis Story, said Paris was allowed to retain the right to appeal the judge's refusal to dismiss the case against him. If Paris wins on appeal, the indictment and guilty plea would be voided, Story said. Paris said Woods' indictment alleged wrongdoing that didn't involve Ecclesia and that he shouldn't stand trial with him. The judge denied his request for a separate trial.
Paris remains free on bond but cannot travel beyond three northwestern Arkansas counties.
Shelton was present as Paris pleaded guilty, but his lawyer, Shelly Hogan Koehler, declined comment.
Ecclesia had received money from the state General Improvement Fund, which was controlled by legislators until the state Supreme Court declared last fall that the method of distributing money was unconstitutional.
Neal, a Republican, said he took two kickbacks totaling $38,000. The indictment doesn't detail what Woods is accused of receiving, as prosecutors say part of it was paid in cash.
Related listings
-
Amazon cuts about 16,000 corporate jobs in the latest round of layoffs
Legal Events 01/26/2026Amazon is slashing about 16,000 corporate jobs in the second round of mass layoffs for the ecommerce company in three months.The tech giant has said it plans to use generative artificial intelligence to replace corporate workers. It has also been red...
-
A federal judge is set to hear arguments on Minnesota’s immigration crackdown
Legal Events 01/17/2026A federal judge will hear arguments Monday on whether she should at least temporarily halt the immigration crackdown in Minnesota that has led to the fatal shootings of two people by government officers.The state of Minnesota and the cities of Minnea...
-
A South Korean court sentences former President Yoon to 5 years in prison
Legal Events 01/09/2026A South Korean court sentenced former President Yoon Suk Yeol to five years in prison Friday in the first verdict from eight criminal trials over the martial law debacle that forced him out of office and other allegations.Yoon was impeached, arrested...
Workers’ Compensation Subrogation of Administrative Fees and Costs
When a worker covered by workers’ compensation makes a claim against a third party, the workers’ compensation insurance retains the right to subrogate against any recovery from that third party for all benefits paid to or on behalf of a claimant injured at work. When subrogating for more than basic medical and indemnity benefits, the Texas workers’ compensation subrogation statute provides that “the net amount recovered by a claimant in a third‑party action shall be used to reimburse the carrier for benefits, including medical benefits that have been paid for the compensable injury.” TX Labor Code § 417.002.
In fact, all 50 states provide for similar subrogation. However, none of them precisely outlines which payments or costs paid by a compensation carrier constitute “compensation” and can be recovered. The result is industry-wide confusion and an ongoing debate and argument with claimants’ attorneys over what can and can’t be included in a carrier’s lien for recovery purposes.
In addition to medical expenses, death benefits, funeral costs and/or indemnity benefits for lost wages and loss of earning capacity resulting from a compensable injury, workers’ compensation insurance carriers also expend considerable dollars for case management costs, medical bill audit fees, rehabilitation benefits, nurse case worker fees, and other similar fees. They also incur other expenses in conjunction with the handling and adjusting of workers’ compensation claims. Workers’ compensation carriers typically assert, of course, that, they are entitled to reimbursement for such expenditures when it recovers its workers’ compensation lien. Injured workers and their attorneys disagree.