Ted DiBiase Jr. Welfare Fraud Trial Set To Begin
The welfare fraud trial against former WWE star Ted Dibiase Jr. is set to go ahead this week in the Southern District of Mississippi.
In 2022, Dibiase Jr. was among a group of individuals, alongside his father, brother Brett, and legendary NFL quarterback Brett Favre, to be sued by the Mississippi Department of Human Services.
The department alleged the group had participating in defrauding $20 million from the Temporary Assistance for Needy Families anti-poverty program, with Dibiase Jr. in particular accused of receiving $3 million for his businesses. Dibiase Jr. was indicted on several charges including conspiracy to commit wire fraud and money laundering.
A total of seven people have plead guilty to state or federal charges related to the case, but Dibiase Jr. will stand trial after pleading not guilty. He is the only person indicted after choosing to fight the allegations. The trial is due to begin on Tuesday, January 6.
Prosecutors allege that Dibiase Jr. concealed money through faux contracts with non-profit organizations including the Mississippi Community Education Center, conspiring to steal funds from welfare programs including TANF and embezzling them to buy luxurious items; per the faux contracts, two companies owned by Dibiase Jr. were supposed to look into the need for emergency food aid and provide leadership outreach to the community.
The latest dispute in the case comes as former advisor to President Donald Trump, Eric Herschmann, attempted to enter the case on Dibiase Jr.'s side. Prosecutors have argued in a filing on Monday that there could remain a conflict of interest as it pertains to Herschmann's pre-existing representation of Favre and how that could prejudice his defense of Dibiase Jr..
The only person involved in the scandal to have been sentenced thus far is former Department of Human Services Head John Davis. Davis was sentenced to 32 years in prison for his state charges. But he has yet to be sentenced for his federal crimes at the time of writing.