Dale “Brett” DiBiase pleads guilty to conspiracy charge in connection with Mississippi’s largest welfare embezzlement scandal

Former wrestler Dale “Brett” DiBiase has pleaded guilty to a federal charge of conspiracy to defraud the United States in connection with Mississippi’s largest welfare embezzlement scandal, WLBT reports. DiBiase’s plea follows similar guilty verdicts in Hinds County Circuit Court over two years ago.

The charges stem from DiBiase’s involvement in a vast embezzlement scheme that siphoned off millions of dollars in Temporary Assistance for Needy Families funding. The fraud is considered the largest in the state’s history.

DiBiase is alleged to have falsely claimed payments totaling $48,000 through his company, Restore2, LLC, and to have falsified invoices and other documents to cover up the fraud. He was paid for teaching classes about drug abuse, but investigators say he did not do that and instead was at a luxury rehab facility in California.

In addition to his sentence in state court, DiBiase now faces up to five years in federal prison and a fine of $250,000. He is one of several individuals who have been indicted and convicted for the fraud, including former DHS Executive Director John Davis and Nancy New, Zach New, Latimer Smith, and Ann McGrew.

The investigation revealed that the fraud involved the embezzlement of millions of dollars in Temporary Assistance for Needy Families funding. The fraudsters created false invoices to pay DiBiase for teaching classes about drug abuse, among other things. The fraudulent claims were made under the guise of a wellness program for low-income residents, which was meant to provide counseling and treatment for substance abuse.

The scheme was eventually exposed by a whistleblower, who alerted authorities to the suspicious transactions. The scandal prompted a sweeping investigation that led to multiple arrests and convictions.

Mississippi District Attorney Jody Owens has applauded the federal authorities for continuing to pursue federal charges against those responsible for stealing from Mississippi’s most vulnerable citizens.