Former Bentonville American Legion leaders accused of theft

BENTONVILLE -- American Legion Post 77 is looking to recoup money after two of its former leaders were arrested in connection with embezzling money from the Legion's sale of a downtown building in 2009.

Police arrested Marvin Dale Akers, 51, and Kim Roland Emerson, 60, on Tuesday and both were released from the Benton County jail after posting bond. A warrant issued Monday called for them to be charged with felony property theft-embezzlement. Akers was commander of Bentonville's post and Emerson was treasurer in 2009.

The men withdrew and cashed checks that year for nearly $121,000, according to a probable cause affidavit. An additional $32,000 was withdrawn from the post's bank account at ATMs around the area from 2009 through 2011.

Police were alerted by the current post leadership March 10 after they did an internal investigation. The initial complaint said legion officials estimate $175,000 missing since about 2009.

The legion post sold a downtown building Sept. 22, 2009, for $176,850, according to documents provided to police.

A check for $90,000 from the post's account was made out to "cash" on Sept. 24, 2009. The memo line said it was a donation for services rendered and it was signed by Emerson and Akers. In police interviews, the two men said they divided the check for their work in the sale of the building and for saving the organization from having to pay a lawyer. Akers received $50,000 and Emerson received $40,000, according to the affidavit.

The men told police a letter from the national organization gave them permission for the split. But the organization's national adjutant told police no one in the American Legion would have authorized members to be paid as described by Emerson and Akers. Post accounts showed another check made to Williams & Hutchinson, a Rogers law firm, for $2,734 about the time of the sale.

According to the police affidavit, Akers received $55,446, including $50,000 from the check the two divided. Emerson wrote several checks to "cash" totaling $65,400, including the $40,000 he received from the check they divided.

Both men offered during police interviews to repay the $90,000, the affidavit says.

The investigation found ATM withdrawals, including $4,261 from Cherokee Casino in West Siloam Springs, Okla., and $8,111 from other ATMs in Siloam Springs between May 2009 to June 2011.

Emerson told police he had access to a debit card for the group but never used it for anything but post business.

Akers told police he made the casino ATM withdrawals and handed $100 bills to homeless veterans living under bypasses, women and children living in shelters and paid a woman's electric bill.

Emerson and Akers both signed a $5,000 check dated Sept. 23, 2009, payable to an unnamed member of the group for services rendered and a second check to the same unnamed person for $5,000 on Oct. 1 for "donation services rendered."

A $2,000 check signed by Emerson had a loan payment number on it when no loan existed, according to the probable cause affidavit.

Akers told police he and Emerson agreed to give $10,000 of the money they'd received back. Police noted no such sum had been paid.

Ray Brust, Post commander, took the position in December. He declined to comment on the investigation Wednesday, but said the group will rebound.

There were six members in December and the group now has 65 members, Brust said. Wal-Mart founder Sam Walton was once a member of Post 77. It was probably established in 1939, Brust said.

"It's an old post. You can tell by the number," Brust said.

Future plans for the group include baseball and Boy Scout activities. The group's one limitation, he said, is the lack of a building. He's hopeful missing money can be reclaimed and used for the benefit of the group.

The Benton County jail website doesn't list bond amounts for the men and a spokesman for the Benton County Sheriff's Office didn't respond to a request for the information.

NW News on 04/16/2015