NEW JOHNSONVILLE, Tenn. (WKRN) – New Johnsonville Mayor Lance Loveless has been indicted after an investigation revealed he allegedly received improper supplemental insurance coverage paid for by the city totaling at least $5,618.
Mayor Loveless was indicted by the Humphreys County Grand Jury on one count of theft over $1,000 and two counts of official misconduct.
He was also previously charged with theft in 2014 after authorities say he used city resources for personal use.
The Tennessee Comptroller’s Office led the investigation in conjunction with the District Attorney General’s Office of the 23rd Judicial District.
Officials allege that from Sept. 2011 through March 2015, Mayor Loveless held up to four supplemental insurance policies covering both himself and his spouse.
These policies were to be paid by him through payroll deductions, but the investigation revealed he did not have any deductions from his payroll for the policies.
The policies came to light when a newly appointed city recorder noted the omission and began making the proper deductions.
When this correction was made, the mayor promptly cancelled all of his supplemental policies.
Officials also report that a New Johnsonville police officer also received supplemental insurance for himself totaling $1,126.
After the newly appointed clerk noticed that payroll deductions were not occurring, the officer promptly cancelled his policy.
The officer told investigators that although he signed the application, he did not want and never intended to receive the supplemental insurance coverage.
“Government works better when there are strong financial processes in place,” Comptroller Justin P. Wilson said. “Reconciling insurance payments with payroll deductions may have prevented these improper benefits.”