Former town clerk arrested in Mississippi for embezzling town funds for three years

A former town clerk in Mississippi was arrested on Tuesday on charges of embezzlement.

Stephanie Churchill, who served as town clerk for Hickory Flat in Benton Count, was arrested by Special Agents for the State Auditor’s Office this week for embezzling funds from water and sewage bills between 2018 and 2021.

Churchill is accused of not depositing the funds and instead keeping them. Churchill was given a demand letter upon her arrest in the amount of $104,256. The amount covers the costs of the investigation and interest on the funds Churchill kept.

“This is, once again, another case where money intended to pay for water in a small town was embezzled. It resulted in a big loss for the people of Hickory Flat,” said Auditor Shad White in a press release.

“My office investigates these matters, identifying the facts, but we only make arrests when prosecutors choose to charge someone. We cannot make that choice for them. We also do not control sentences. Courts do that. But when we all work together, taxpayers see results, like in this case.”

If convicted, Churchill may face fines of up to $25,000 and up to 25 years in prison. A grand jury indicted Churchill this week on one charge of embezzlement. No bond information is yet available, and it remains unclear whether Churchill has legal representation yet.