Former Arkansas lobbyist asks to be freed, cites cooperation in graft probe

Milton "Rusty" Cranford is shown in this file photo.
Milton "Rusty" Cranford is shown in this file photo.

A former Arkansas lobbyist who became a key target and witness in a two-state public corruption scandal cited his "exhaustive cooperation" when he asked a judge Friday to free him pending sentencing for a bribery conviction.

Milton "Rusty" Cranford, 58, who has been locked in a Springfield, Mo., jail for 17 months, has met nine times with investigators and made three appearances before a federal grand jury as part of the wide-ranging inquiry, attorney Kathleeen Fisher said in a six-page court filing on his behalf.

"Upon release, Mr. Cranford will continue to cooperate with the government, making himself available for any additional [interviews] or grand jury testimony, without regard to time or place," Fisher wrote, noting that Cranford is "committed to total cooperation."

U.S. Magistrate Judge David Rush in March 2018 ordered Cranford detained without bail in part because he found that Cranford tried to persuade an unidentified person to kill a government witness.

Federal defendants are commonly released pending trial or sentencing. Those who are ordered detained are in the custody of the U.S. Marshals Service. The federal government does not operate jails -- only prisons -- so it contracts with local jails to hold pretrial inmates.

Cranford's motion also says the jail -- a pretrial holding facility for inmates facing Missouri charges -- cannot provide him the health care he needs and does not allow him to go outside.

A captain at the jail pushed back against those claims during a phone interview Friday afternoon.

Cranford pleaded guilty in June 2018 to paying bribes to former state Sen. Jeremy Hutchinson, R-Little Rock, and former state Rep. Henry "Hank" Wilkins IV, D-Pine Bluff, in an attempt to increase revenue for Missouri-based nonprofit Preferred Family Healthcare.

Both ex-lawmakers separately pleaded guilty to accepting bribes.

Aside from working the state Capitol as a lobbyist, Cranford was the nonprofit's director of Arkansas operations. The motive behind the bribes was to increase money that Cranford and other Preferred Family executives could embezzle from the nonprofit, he said in his guilty plea. The firm was Arkansas' largest Medicaid provider of mental-health treatment.

Two of the nonprofit's former executives -- Chief Operating Officer Bontiea Goss and Chief Financial Officer Tom Goss -- have pleaded innocent to more than 20 federal charges each in connection with the scandal. Their trial has been delayed until 2021.

SENTENCING DELAYED

Meanwhile, sentencing for several potential witnesses who have pleaded guilty to related crimes, including Cranford, has been delayed.

Authorities arrested Cranford in February 2018, the same month a federal grand jury delivered a nine-count, 13-page indictment against him. Cranford was denied bail one month later and pleaded guilty in June 2018 to one count of bribery of a federal program.

Cranford has not been charged in the murder-for-hire plot.

Fisher told the judge that the government's theory used at the bail hearing "was incomplete and unsupported by the totality of the record."

Going forward, any attempt by Cranford "to harm another person or otherwise obstruct justice in any way would betray the demonstrated sacrifices he has made and materially undermine the entire purpose behind ... his cooperation," Fisher also wrote in the motion for his release.

A spokesman for the federal prosecutor's office in the Western District of Missouri declined to say whether the office would oppose Cranford's motion. Their response is due to the court by July 26.

"We will file a response with the court, but withhold any public comment until that time," said the spokesman, Don Ledford.

The government at Cranford's detention hearing also described him as a flight risk, citing $17,700 that agents recovered from a backpack when they arrested him and noting that Cranford had changed his hair style.

Cranford does not have a passport and has no money to pay for an escape, Fisher wrote in her motion Friday.

The full scope of information Cranford has provided to investigators since his guilty plea has not been made clear. Formal charges against Hutchinson, the married Goss couple and other former Cranford associates referred to their dealings with the ex-lobbyist.

"Mr. Cranford's cooperation over the past year has directly and materially aided in the prosecution and conviction of others," Fisher wrote.

JAIL CALLED LACKING

Cranford's attorney also relayed details about his detention in the Greene County, Mo., jail, which she called "unsuited for the long-term detention of inmates."

"The jail has no medical facility, which has taken a particular toll on Mr. Cranford, who suffers from reduced kidney function, vision problems and a number of other physical health concerns," Fisher wrote. "Mr. Cranford is afforded no outdoor exposure or recreation. Further, Mr. Cranford's frequent meetings with the government has made his cooperation common knowledge among the inmate population, causing him significant and justifiable concern."

Because the jail does not have a "facility for contact visits with family," Cranford has not seen any family members, including his children, since his arrest, Fisher wrote. Before his arrest, Cranford's wife filed for divorce.

Greene County sheriff's office Capt. Jeff Coonrod said the 940-inmate jail provides around-the-clock medical care. Medical staff includes registered nurses and a contracted medical doctor, he said. The jail has a "medical area" where inmates can be treated, he said.

In the event inmates need medical care beyond the staff's capability, they are transported to nearby hospitals, he said. Coonrod said he was not familiar with Cranford's specific ailments and whether they could be treated on-site.

For recreation, inmates are allowed access to an open-air, concrete-floor room throughout the day, Coonrod said. The room is subject to the outdoor elements, including sunshine, rain and snow, the captain said. The room's walls are made up of concrete and glass, and the roof is a cage, he said.

"Most of these questions that you asked me reference claims [made in the motion]," Coonrod said. "The only thing that I can see that is actually true is the fact that we do not have personal visits, and we haven't for quite some time, probably more than a year."

The jail replaced personal visitation, which was limited to 20 minutes, with videoconferencing, Coonrod said. The first 30 minutes of the calls are free, he said.

Fisher did not respond to an email seeking additional comment.

The Arkansas Democrat-Gazette has tried to obtain Cranford's inmate file from the Greene County sheriff's office since December. The office's rationale for withholding the file changed over time, and the newspaper filed an open-records complaint with Missouri Attorney General Eric Schmitt's office in March. That complaint is pending.

Information for this article was contributed by Lisa Hammersly of the Arkansas Democrat-Gazette.

A Section on 07/13/2019

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