FORT SMITH -- The decision to charge a Republican candidate for Sebastian County judge last year stemmed from a report of him trying to bribe one of his political opponents.
An investigation showed Denny Altes, 74, of Fort Smith attempted to persuade Steve Hotz to withdraw from the county judge race during the May 24 primary election in exchange for a job opportunity or financial support for a campaign for another elected position, according to court documents unsealed Thursday.
Altes was charged with one count of abuse of public trust in the Sebastian County Circuit Court in May, court records state. He entered a negotiated guilty plea Monday and was sentenced to one year of unsupervised probation.
Altes was also ordered to pay a $250 fine and court costs, according to the judgment. The document states Altes' guilty plea prohibits him from ever seeking public office in Arkansas again as well.
Altes' charge was reduced from its original classification as a class C felony to a class A misdemeanor under Arkansas Code Annotated 5-52-101, which defines abuse of public trust. A class A misdemeanor is punishable by up to one year in jail and a fine not exceeding $2,500.
At the time of the charge, Emily White, a special prosecuting attorney for the 12th Judicial District, asked the court to limit public disclosure of details about the case "to avoid unfair publicity that would prejudice the community against either the defendant and the state of Arkansas."
Altes is chief executive officer of the Sab Corp. in Fort Smith. He served in the state House of Representatives from 1999 to 2003 and returned to represent District 76 from 2011 to 2015. Altes also represented Senate District 13 from 2003 to 2011 and has served two stints on the Sebastian County Quorum Court.
AN OFFERED BRIBE
Altes and Hotz, along with Jeff Turner, ran as Republicans for the county judge position during last year's primary election. Hotz ultimately won the seat, with Altes and Turner finishing second and third respectively, according to official results from the Arkansas secretary of state's website.
JayP Massiet, a special agent with the Public Integrity Division of the Arkansas Attorney General's Office, wrote in an arrest affidavit filed May 6 he spoke with Hotz on Feb. 25.
Hotz, who was county treasurer/collector at the time, said Altes invited Hotz and his wife to his home Feb. 21 and offered a proposition regarding Hotz's candidacy for county judge. Altes proposed if Hotz withdrew from the county judge race, Altes would refund all the money people had donated to Hotz's campaign and give Hotz his previous job in the county's Human Resources Department back with a pay increase.
Hotz said Altes called him the next morning with an alternate proposal: If Hotz withdrew from the county judge race and ran for the county circuit clerk position instead, Altes would not only pay off the contributions made to Hotz's county judge campaign, but also support his new campaign.
Massiet also said Hotz sent him two videos Feb. 25 depicting phone conversations he had with Altes.
In the first video, Hotz called Altes and asked if his offer for Hotz to withdraw from the county judge race was still available and if Altes would still both help him repay donors and get him his old job back. Altes replied in the affirmative. Hotz then asked if Altes could get the salary for that job increased, to which Altes responded he would "work on it."
"Hotz then repeats the suggestion of paying back the donors, adding that it would be about $7,000, asking Altes if he was aware of that," Massiet wrote. "Altes responds with a chuckle, and then states that his campaign manager told him that his campaign will cost him a little more than that. Hotz then asks, 'So 7,000 does not scare you off then.' Altes replies, 'Oh no.'"
Hotz also brought up Altes' second proposal, asking Altes how Altes would help him if he ran for circuit clerk. Altes said he would provide $2,800 to Hotz's campaign, in addition to helping Hotz pay back his county judge donors. Hotz then informed Altes he would confer with his wife and call him later.
In the second video, Hotz responded to a call from Altes. Altes said if Hotz decided to run for a different office, he could use stickers to cover the county judge seat on his campaign signs with the new office, allowing him to still use the signs. Altes said he used this tactic in past campaigns.
"This call is then concluded with Altes stating that both he and his wife would love to support him if he runs for another race, contributing $2,800 to his campaign," Massiet wrote.
Hotz commented on the case Thursday, saying he thought it was "sad" someone would try to interfere with a local election.
"It upset me," Hotz said. "I was upset that anyone would think that I would want to get involved in anything of that nature."
Hotz said while many may think Altes "got off lucky" after his plea bargain given his sentence of probation and a fine, he believes the biggest penalty Altes received was being barred from running for public office in the future.
"I'm just glad it's over, and he and the state worked out something," Hotz said. "I just hope others realize it's just not the right thing to do."
Thomas Saccente can be reached by email at tsaccente@nwaonline.com.
Arkansas Code Annotated §5-52-101 (a), (c)(2)(4)
A person commits the offense of abuse of public trust if the person:
(1) Solicits, accepts or agrees to accept on behalf of any person, political party or other organization any benefit from another person upon an agreement or understanding that the other person will or may be appointed a public servant or designated or nominated as a candidate for public office;
(2) Offers, confers or agrees to confer any benefit and the receipt of the benefit is prohibited by this section;
(3) Solicits, accepts or agrees to accept any benefit as compensation or consideration for having given as a public servant, or as a person elected, appointed or otherwise designated to become a public servant although not yet occupying that position, a decision, opinion, recommendation or vote favorable to another person or for having otherwise exercised his or her discretion in favor of another person; or
(4) Offers, confers, or agrees to confer any benefit upon a public servant, or a person elected, appointed, or otherwise designated to become a public servant although not yet occupying that position, and the receipt of the benefit is prohibited by this section.
Abuse of public trust is a class C felony if the value of the benefit is $5,000 or more but less than $25,000. It is a class A misdemeanor if the value is less than $500 or can’t be determined.
Source: Arkansas Code of 1987