PRESS RELEASE ON MISSISSIPPI BEEF PROCESSORS INVESTIGATION

Jim M. Greenlee, United States Attorney, Northern District of Mississippi, Steve Gomez, Acting Special Agent in Charge, FBI, Jackson Division and Phil Bryant, Mississippi State Auditor, jointly announce that Sean Carothers, President of Carothers Construction Company, has pleaded guilty to a one count information charging him with fraud in conjunction with the failed Mississippi Beef Processor project. Carothers entered his plea this afternoon before Senior U. S. District Judge Neal B. Biggers, Jr. in Oxford, Mississippi. The charge and plea agreement are attached. Carothers was released on bond pending sentencing which is expected within two or three months. In addition to his plea of guilty, Carothers agreed to pay restitution in the amount of $250,000 to the State of Mississippi.

Mr. Bryant commented, "This guilty plea is another significant event in the prosecution of this important case. Mr. Carothers, like all those who violated the law, must be held accountable. I appreciate the leadership of the U. S. Attorneys Office of the Northern District and the F. B. I. With their help, the $250,000 restitution will be returned to the taxpayers of Mississippi and our efforts to bring others involved to justice will continue".

Mr. Gomez stated that although today's guilty plea will enable the State of Mississippi to recover a portion of the funds lost to this project, this investigation into the fraudulent activities committed in connection with the development and operation of the Mississippi Beef Processor plant is ongoing. Anyone with information concerning these allegations is encouraged to contact the FBI, the Mississippi State Auditor's office or the United States Attorney for the Northern District of Mississippi.

Mr. Greenlee thanked the Mississippi Beef Processors Investigative Task Force, consisting of the FBI and the Mississippi State Auditor's Office, for their untiring and methodical investigative efforts, stating that without the exceptional work of the Investigative Task Force this charge and plea with restitution could not have been accomplished.