In a stunning fall from grace, two former elite athletes with Olympic aspirations have been handed federal prison sentences for their central roles in one of Mississippi's largest-ever public corruption scandals.
The Mississippi Welfare Fund Debacle
Philanthropist Nancy New and former professional wrestler and Olympic hopeful Brett DiBiase were sentenced this week for their participation in a massive scheme that diverted millions of dollars from Mississippi's Temporary Assistance for Needy Families (TANF) programme. The funds, intended to support the state's poorest families, were instead funnelled to personal projects and lavish expenditures.
From Olympic Dreams to Federal Crimes
Brett DiBiase, 38, once a promising wrestler who trained with Olympic ambitions, received a six-month prison term followed by supervised release. The court heard how he received substantial payments for work he never performed, including $48,000 for a drug treatment programme he never attended.
Nancy New, 69, owner of the New Summit School and a prominent figure in Mississippi's education and non-profit sectors, was sentenced to six years of home confinement and ordered to pay $1.3 million in restitution. Her non-profit organisation, the Mississippi Community Education Center, served as a primary conduit for the misappropriated funds.
The Lavish Misuse of Public Funds
Federal investigators uncovered astonishing details of how welfare money intended for struggling families was instead spent on:
- Elite athletic training facilities
- Personal fitness programmes for the wealthy
- Luxury vehicles and properties
- Wrestling promotions and events
- Exorbitant payments to connected individuals
Widespread Fallout and Ongoing Investigations
The scandal has rocked Mississippi's political establishment, with several high-profile figures, including former NFL quarterback Brett Favre, facing civil lawsuits for their alleged involvement. The scheme's mastermind, former Mississippi Department of Human Services director John Davis, has pleaded guilty to federal and state charges and awaits sentencing.
FBI Special Agent in Charge Jermicha Fomby emphasised the severity of the crimes, stating: "The defendants exploited their positions to steal millions intended for children in need. Today's sentences demonstrate our commitment to holding accountable those who abuse public trust."
The case continues to unfold as investigators trace the complete network of individuals and organisations involved in diverting approximately $77 million from Mississippi's most vulnerable citizens.
