Former Atlanta CFO sentenced over multi-year fraud scheme

Appellate Courts
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Ryan K. Buchanan U.S. Attorney | US Attorney's office Northern District of Georgia

The City of Atlanta’s former Chief Financial Officer, Jimmie “Jim” A. Beard, has been sentenced to federal prison for a multi-year scheme involving theft of funds, purchase and possession of two machine guns, and obstructing federal tax laws using altered documents and a fake business.

“Jim Beard abused the trust and confidence placed in him by the people of the City of Atlanta when he decided to steal tens of thousands of dollars from taxpayers to support his lavish lifestyle,” said U.S. Attorney Ryan K. Buchanan. “Beard’s sentencing is a demonstration of our commitment to hold accountable public officials who trade their position of power for greed and personal gain.”

“As this prosecution shows, the Department of Justice will work vigorously to protect the integrity of federal funds. Today’s sentence sends a strong message of deterrence to prevent fraud and theft from state and local governments receiving federal benefits,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri.

“Beard’s actions eroded public trust in government. As one of the most powerful people in Atlanta city government, he stole tens of thousands of dollars from taxpayers so he could go on luxurious trips and even buy custom-made machine guns,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Public corruption is one of the FBI’s top priorities and we continue to work to protect citizens against officials who abuse that trust.”

“Public officials are entrusted by the citizens they serve to conduct the business of government on their behalf,” said Demetrius Hardeman, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “Jim Beard failed in his responsibilities to the community and utilized public tax dollars to satisfy his greed. The sentence today reinforces IRS Criminal Investigation’s commitment to investigating and forwarding for prosecution those who commit financial fraud.”

“Beard repeatedly abused his position, broke the law he was sworn to uphold and betrayed the trust of the people of Atlanta,” said ATF Assistant Special Agent in Charge Alicia D. Jones. “This case demonstrates the partnerships of law enforcement to enforce the law and hold individuals accountable, regardless of their position or status.”

According to U.S. Attorney Buchanan, from approximately November 2011 to May 2018, Beard served as CFO for Atlanta where he directed and managed its Department of Finance with primary responsibility for oversight and management earning over $260,000 per year.

During his tenure, Beard devised a scheme using City funds for personal luxury travel expenses for himself, his family, companions; buying items including two machine guns; pocketing reimbursements meant for City expenses; falsely claiming business deductions on taxes for a non-existent consulting business.

Examples include:

- In summers 2015-2016: nearly $4,000 charged for stays at J.W. Marriott Hotel Chicago during Lollapalooza festival.

- December 2015: ordered custom-built machine guns with $2,641.90 check telling manufacturer it was for APD but kept them at home.

- April 2016: more than $2,600 charged for New Orleans Jazz Festival trips.

- June 2016: $975.52 charged for Washington D.C., MSRB meeting but reimbursed personally.

- April 2017: more than $10k charged four-day stay Shangri-La Hotel Paris deluxe suite view Eiffel Tower.

Beard exploited his position ordering staff processing reimbursements without documentation describing culture under him as "if CFO asks you something you do not ask questions."

While CFO submitted fraudulent tax returns claiming personal business expenses lowering owed taxes lying during audits submitting receipts paid by City official duties revealed no personal business years based lie.

Jimmie “Jim” A. Beard (60) Fort Lauderdale Florida sentenced U.S District Judge Steve C Jones three years prison followed three years supervised release fined $10k restitution amount $17719748 convicted charges April 8 pleaded guilty investigated FBI IRS Criminal Investigations assistance ATF prosecuted Garrett Bradford Tiffany Johnson Trevor Wilmot Jeffrey Davis contact USAGAN PressEmails@usdoj.gov (404)5816016 http://www.justice.gov/usao-ndga