Supervisor going to jail for Hurricane Katrina kick-back deals

Earnest Holder

HATTIESBURG – A Greene County supervisor has been sentenced to more than six years in prison and a $125,000 fine after being convicted in April of crimes relating to debris removal following Hurricane Katrina. Earnest Holder, III, 70, was convicted of bribery, conspiracy to commit bribery, and perjury before a federal grand jury. He was sentenced to 78 months by U.S. District Judge Keith Starrett in Hattiesburg.

Holder, the former District II Supervisor, also has to pay restitution in the amount of $18,480, and he will be on three years supervised release following his release from prison.

The evidence at trial showed that Holder voted to award county contracts in his district in Greene County to a particular company. Holder awarded those contracts to that company, knowing in advance that the owner of the company had agreed to pay him illegal cash kick-backs in exchange for being awarded the contracts.

The contracts were funded by the Federal Emergency Management Agency (FEMA).

During their investigation, agents retrieved $17,200 in cash from Holder’s home, and the money was taken by the FBI and logged into evidence.

Holder was also convicted by a jury in federal court in August of 2010 of filing false income tax returns.

“All public officials who choose to sell their office in a corrupt manner should heed this sentence as a clear warning,” said U.S. Attorney Dowdy. “We will continue to pursue and prosecute corrupt public officials to the fullest extent of the law.”

Following his initial arrest, prosecutors asked the judge in the case to hold Greene in jail as they considered him a flight risk. The judge disagreed and set bond for Holder at $20,000.

The judge also ordered Holder not to have contact with any potential witnesses in his trial, but he was still allowed to attend county board meetings.

On May 20, Holder was officially removed from his position as a Greene County Supervisor.

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