Arkansas Treasurer Under Fire for Possible Mismanagement of State's Money
By: Adam Rodriguez, KARK 4 News
Updated: September 17, 2012
Arkansas' State Treasurer is under fire for possible mismanagement of the state's money.
Martha Shoffner got pounded by a legislative committee Monday afternoon, and was even called out by one of her key deputies.
Monday's legislative hearing was just the beginning for Shoffner, who also had to explain why she skipped last week's hearing and dodged a subpoena.
The treasurer was very apologetic in Monday's joint audit hearing.
"I just want to apologize, but I just want you to know the treasurer of the state is working for the people of Arkansas," she said.
But members were more interested in knowing why the treasurer was signing off on bad investment deals.
"You are my friend and I love you dearly, but I need to know why these bonds were sold for a loss," asked Senator Linda Chesterfield, saying after a period of silence, "And so far, I haven't heard anything that makes sense to it."
The treasurer responded, "Which bonds are you talking about?"
Shoffner claimed no one told her she was making bad deals.
That's when her chief investments officer spoke up: "Mr. Chairman, I have to ask if I'm going to be protected under the whistleblower act at this time," Autumn Sanson said.
Sanson said her boss wasn't telling the truth, and that she previously warned Shoffner against the bad deals.
But Shoffner stuck to her guns after the hearing, saying she'll have to wait and see what happens at the next one.
When asked if she was surprised by Mrs. Sanson's comments, Shoffner replied, "Absolutely. Absolutely."
Shoffner also dismissed the idea that Sanson was giving her information not to make those sales, but she did it anyway, saying, "That is not true. That is not true."
Now the committee wants to know more about what's going on at the treasury, and voted for a more extensive audit.
After the hearing, Shoffner said she had a bad day when she was subpoenaed on Friday, and another bad day on Monday.
"It didn't turn out the way I wanted it to, but today didn't either," she said. "But we're going to go forwards and get the information they need and we're going to take a new direction in my office."
Martha Shoffner got pounded by a legislative committee Monday afternoon, and was even called out by one of her key deputies.
Monday's legislative hearing was just the beginning for Shoffner, who also had to explain why she skipped last week's hearing and dodged a subpoena.
The treasurer was very apologetic in Monday's joint audit hearing.
"I just want to apologize, but I just want you to know the treasurer of the state is working for the people of Arkansas," she said.
But members were more interested in knowing why the treasurer was signing off on bad investment deals.
"You are my friend and I love you dearly, but I need to know why these bonds were sold for a loss," asked Senator Linda Chesterfield, saying after a period of silence, "And so far, I haven't heard anything that makes sense to it."
The treasurer responded, "Which bonds are you talking about?"
Shoffner claimed no one told her she was making bad deals.
That's when her chief investments officer spoke up: "Mr. Chairman, I have to ask if I'm going to be protected under the whistleblower act at this time," Autumn Sanson said.
Sanson said her boss wasn't telling the truth, and that she previously warned Shoffner against the bad deals.
But Shoffner stuck to her guns after the hearing, saying she'll have to wait and see what happens at the next one.
When asked if she was surprised by Mrs. Sanson's comments, Shoffner replied, "Absolutely. Absolutely."
Shoffner also dismissed the idea that Sanson was giving her information not to make those sales, but she did it anyway, saying, "That is not true. That is not true."
Now the committee wants to know more about what's going on at the treasury, and voted for a more extensive audit.
After the hearing, Shoffner said she had a bad day when she was subpoenaed on Friday, and another bad day on Monday.
"It didn't turn out the way I wanted it to, but today didn't either," she said. "But we're going to go forwards and get the information they need and we're going to take a new direction in my office."
