Auditor’s Office Arrests Former North Sunflower Medical Center Board Member and Business Associate

JACKSON, Miss. (VDN) – State Auditor Shad White announced Tuesday that special agents from his office have arrested Phil McNeer, a former North Sunflower Medical Center board member, and Chris Waldrup, McNeer’s employee, for allegedly concealing the true identity of McNeer’s business through fraudulent invoices submitted under Waldrup’s name.

The Office of the State Auditor also issued a $1.2 million demand to McNeer and Waldrup, one of the ten largest demands made during White’s tenure.

Between March 2015 and March 2025, the pair allegedly submitted 216 fraudulent invoices to the medical center, causing the hospital to make payments to businesses owned by McNeer. As a board member, McNeer was legally prohibited from using his position for personal or business gain.

“My office has a no-tolerance policy for theft of taxpayer dollars,” White said. “The dedicated team at the State Auditor’s Office will continue to work closely with prosecutors to get record results for taxpayers.”

If convicted, McNeer faces up to $26,000 in fines and 30 years in prison. Waldrup faces up to $21,000 in fines and 20 years in prison.

All individuals arrested by the Mississippi Office of the State Auditor are considered innocent until proven guilty in a court of law.

Suspected fraud can be reported to the auditor’s office at www.osa.ms.gov
or by calling 1-800-321-1275 during business hours.