A Pulaski County man who has 11 children of his own was sentenced Thursday to 14½ years in prison for participating in a conspiracy that defrauded a federal child nutrition program of millions of dollars.
Weighing heavily against Anthony Waits, 39, who grew up in North Little Rock but lived in England when arrested in a scheme that bilked more than $11 million from the U.S. Department of Agriculture, was his history of criminal convictions, at least one of them violent.
Even though two of his ex-girlfriends testified to retract statements they made to police years ago alleging that he had threatened them or stolen things from them, federal prosecutors argued that Waits had a history of violence that was confirmed by a first-degree battery conviction for shooting someone through a closed door, for which he served time in state prison. They also said his proclivity for violence was captured on audiotape when, during the investigation leading to his indictment, he was secretly recorded telling a co-conspirator how he would deal with anyone who testified against him. In the tape, he described knocking on those peoples’ doors when he got out of prison. He imitated them saying, “Who is it?” and then imitated sounds of gunshots — “Doon! Doon! Doon!” — followed by laughter.
Waits downplayed the significance of the recording, telling U.S. District Judge James Moody Jr. that he was “just responding, having fun, talking,” and emphasizing, “I am not seeking revenge on anyone.”
Assistant U.S. Attorney Jana Harris argued that because of Waits’ criminal history, his leadership role in the fraud scheme and the amount of money involved, he deserved a sentence of at least 15 years. That was at the high end of a 12½- to 15½-year penalty range recommended by federal sentencing guidelines for Waits’ April 6 jury conviction on a charge of wire-fraud conspiracy.
In the sentencing hearing that lasted more than five hours, defense attorney Willard Proctor Jr. fought hard to dispel prosecutors’ contentions that in 2013, Waits was a leader and recruiter in the scheme that Proctor said was masterminded by Waits’ new wife, Gladys Elise Waits, a state Department of Human Services employee.
Gladys Waits, 37, who is also known as Gladys King, is serving a 9-year sentence for admittedly using her position to approve unqualified co-conspirators as “sponsors,” who then submitted false reimbursement reports to the USDA, through the state, claiming they had fed hundreds of underprivileged children at after-school or summertime feeding sites. Tonique Hatton, 39, of North Little Rock, another state employee who admitted she and King were the “gatekeepers” who allowed the others to defraud the program, is also serving a 9-year sentence.
Those are the steepest sentences handed out so far in the case, which remains under active investigation. It has so far resulted in the convictions of 15 people, several of whom await sentencing, and a recent guilty plea by a 16th person.
Of those convicted, only Anthony Waits and Jacqueline Mills, 41, of Helena-West Helena went to trial. They were jointly tried in the spring, resulting in Waits’ conviction on a single charge of conspiracy. Mills, the most prolific of the sponsors to be indicted so far, was convicted of 39 charges stemming from her receipt of millions of dollars in “reimbursements” for false or exaggerated claims she submitted claiming to have have fed underprivileged children in 34 feeding programs throughout the Eastern District of Arkansas. She is scheduled to be sentenced Dec. 6.
Proctor emphasized that Anthony Waits didn’t recruit Mills, who he said was a sponsor before Waits ever got involved with Gladys King, whom he eventually married.
Proctor tried to disavow the testimony of various cooperating prosecution witnesses in the trial who said that Waits had recruited them. They included Waits’ brother-in-law Reuben Nims; his nephew Christopher Nichols; James Franklin; and Waymon Weeams Jr. Moody said the evidence showed that Anthony Waits recruited Nichols, Franklin and Weeams, as well as another person.
Proctor also argued that during the time Waits was accused of being actively involved in the scheme, he was behind on his bills and was struggling to feed his children, who lived with different mothers but were regularly in contact with Waits. But Moody dismissed the argument, saying he didn’t agree that Waits’ inability to pay his bills meant that he “didn’t take that money.”
“Mr. Waits’ name wasn’t on anything, but he was working behind the scenes to make sure these crimes were committed,” argued Assistant U.S. Attorney Cameron McCree, who reminded the judge that according to testimony, Waits made the people he recruited as sponsors pay him 40 percent of what they received from the USDA in direct-deposited “reimbursement” checks. McCree noted that Waits was particularly clever in the way he had the others use their names and bank accounts without ever having his own name appear on any documents.
“Mr. Waits was an essential player to this fraud,” Mc-Cree said.
About 20 people filled benches in the courtroom Thursday in support of Waits, including his ex-girlfriends, the mothers of some of his children, at least two of his children, and his mother.
When Moody announced that he was sentencing the former mechanic to close to the top of the guideline range, Waits’ mother sobbed loudly. When she stood up to follow several other people out of the courtroom, she collapsed near the door, prompting Waits to yell to her from the counsel table, “Mama!”
The woman was helped up by others and, as was the case for several spectators, walked out of the courthouse in tears.
