Financial transaction

Guilty plea and prison sentence of a former board member

The attorney general’s office has announced that Clarence Dean Alford, a former member of the Board of Regents representing Georgia’s 4th Congressional District, has pleaded guilty to Racketeering today.

He pleaded guilty before the Chief Justice of the Superior Court, Robert F. Mumford.

After presentations from the Attorney General’s office and Alford’s lawyer, Judge Mumford sentenced the defendant to 15 years. He will serve 8 years in prison and spend the rest on probation. As a condition of his probation, Alford cannot do any business with the state.

“I applaud the work of the Prosecution Division,” said Chief Deputy Attorney General Wright Banks. “Our office is committed to prosecuting those who commit fraud against companies, regardless of their position in society. Alford tried to rob a business and he is paying a heavy price for his crime.

Alford is said to have exploited a common industry practice called “factoring” in the financial services industry. Factoring is a financial transaction in which a business can sell its accounts receivable to a third party at a reduced price. The goal of Alford’s program was to get around $ 1.7 million by selling fake accounts receivable invoices worth around $ 2.2 million. As part of his scheme, Alford created fake invoices, contracts and other documents to show that his company owed money to state agencies. He also forged the signatures of government employees on these contracts and other documents. Alford was, at the time, a member of the State Board of Regents, and he used this position to further his fraud schemes. The Board of Regents is the body responsible for overseeing Georgia’s university system. Alford resigned from the Board of Regents in October 2019.

We thank the Georgia Bureau of Investigation for its work with our office on the investigation, as well as assistance from the Georgia University System and the Florida Department of Law Enforcement. This case was continued by Senior Deputy Attorney General Greg Lohmeier.

Attorney General’s Office


Leave a Reply

Your email address will not be published.