Judge denies Brett Favre's 'unpersuasive' motion to dismiss charge in Mississippi welfare fraud lawsuit
A Mississippi judge has denied Brett Favre's motion to dismiss civil charges against him in an ongoing welfare fraud scandal, calling his legal argument "unpersuasive and inapplicable."
Hinds County Circuit Court Judge Faye Peterson issued the ruling Monday, Mississippi Today reports. Favre is one of 47 defendants named in a sprawling lawsuit brought by the Mississippi Department of Human Services (MDHS) looking to recoup millions in misspent federal welfare funds that were allegedly funneled to prominent individuals and projects instead of addressing poverty in the nation's poorest state.
The lawsuit alleges that $77 million from the federal Temporary Assistance for Needy Families (TANF) was misappropriated in a scheme coordinated in part by ex-MDHS executive director John Davis and nonprofit organizer Nancy New. Both have pleaded guilty to criminal charges tied to the scandal.
Favre, a Hall of Fame NFL quarterback who made more than $141 million in career salary, stands accused of accepting $1.1 million in TANF funds for no-show speeches dating to 2017. He has since repaid the funds, but the state seeks to recoup $228,000 in interest.
The lawsuit accuses New of funneling $1.7 million in TANF funds to a Florida-based pharmaceutical startup call Prevacus that was run by Favre and his business partner, Jake VanLandingham.
The lawsuit also alleges that $5 million in TANF funds were improperly spent to build a volleyball arena at Favre's alma mater, Southern Miss, while his daughter played for the team. Text messages allegedly show that Favre and New coordinated to channel those funds with the aid of then-Mississippi Gov. Phil Bryant.
Favre, who does not face criminal charges, claims that he didn't realize the funds used to build the arena were intended for welfare recipients.
"No one ever told me, and I did not know, that funds designated for welfare recipients were going to the University or me," Favre wrote in an October statement. "I tried to help my alma mater USM, a public Mississippi state university, raise funds for a wellness center."
Favre's attorneys argued in the motion to dismiss that any fault involving misspent funds was that of state agencies and officials.
"If, as MDHS falsely alleges, Favre was part of a conspiracy, it was the most public and open conspiracy in Mississippi history, it was directed and carried out by MDHS itself to transfer funds from one public state entity to another, Southern Miss, and it was vetted and approved by numerous lawyers and State officials," the now-denied motion reads.
Per Mississippi Today, Peterson concluded in her ruling that Favre’s argument that MDHS “failed to allege that Favre formed an agreement with anyone to do anything unlawful” was “without merit.”
"Both claims stem from allegations surrounding his involvement with and dealings to secure funding for the construction of a brick-and-mortar volleyball facility at the University of Southern Mississippi as well as allegations surrounding his efforts to secure funds for a for-profit drug company, Prevacus,” Peterson wrote.
"Specifically, Plaintiff alleged that Favre personally guaranteed funds for the construction of a volleyball facility at USM, that he was unsuccessful at fundraising efforts, that he conducted months of negotiations and backdoor meetings with other named defendants and the University of Southern Mississippi Athletic Foundation to acquire funding, that the funding came from TANF funds and that said funds were used for non-TANF purposes, i.e. construction of a volleyball facility.
"Plaintiff further alleged that Favre, as the largest individual outside investor of Prevacus, engaged in similar meetings to assist in similar procurement of TANF funds that were, then, used to purchase stock in Prevacus, inconsistent with lawsuit TANF purposes."
Favre spokesman Alex Pfeiffer responded to the ruling with a statement that his legal team would pursue other avenues of defense.
“Obviously Brett Favre is disappointed in the court’s ruling," the statement reads. "His legal team is exploring their options."
