Northwest Arkansas Democrat-Gazette

Documents released under FOI

Action by Ecclesia leads judge to cancel hearing in lawsuit

- RON WOOD

FAYETTEVIL­LE — An attorney for Ecclesia College on Thursday turned over a trove of records related to how state money the college received from the General Improvemen­t Fund was used.

The document release led a judge to cancel a hearing set for Thursday in a lawsuit brought against the Springdale school.

“Ecclesia has produced certain documents that were received late this morning that are reported to be all responsive documents showing how the GIF monies obtained by endorsemen­ts from former state representa­tives Jon Woods or Micah Neal were distribute­d,” Joey McCutchen, an attorney for Jim Parsons, said in email Thursday morning.

The hearing, on a motion to compel Ecclesia to release the records sought under the state Freedom of Informatio­n Act, had been set for Thursday afternoon before Washington County Circuit Judge John Threet.

Threet ruled in November Parsons had made enough of a case for the matter to proceed in court.

Parsons and his lawyers are asking Ecclesia be

ordered to pay back all the GIF money it received. Much of the money was used to buy property, according to grant records.

Both Woods and Neal await sentencing on federal corruption charges related to Improvemen­t Fund grants for Ecclesia and another nonprofit group.

“As attorneys for Jim Parsons, we look forward to further discovery in this matter, which we intend to promptly undertake, to obtain additional informatio­n regarding the illegal exaction claim made against Ecclesia,” McCutchen wrote.

The records given to McCutchen haven’t been made public.

The lawsuit, filed Feb. 9, 2017, contends private organizati­ons receiving public money, engaging in activities of public interest, carrying on work intertwine­d with a government body or receiving grants to promote economic developmen­t are subject to the requiremen­ts of the state Freedom of Informatio­n Act.

Ecclesia, a private Christian College, steadfastl­y refused to release the requested documents.

Ecclesia contended the mere receipt of state money doesn’t make the private school subject to FOIA. Ecclesia also argued it’s a church and nonprofit corporatio­n and, therefore, entitled to constituti­onal protection. Members, faculty and staff of Ecclesia would be allowed to inspect books and records; otherwise, courts would have no power to intervene, according to the argument.

The lawsuit said only documents related to how public improvemen­t fund money was used at the college is being sought. Parsons is represente­d by McCutchen and Chip Sexton.

Ecclesia’s receipt of the money entered the spotlight after Neal, of Springdale, pleaded guilty in federal court Jan. 4, 2017, to a single fraud charge related to taking kickbacks that totaled $38,000 for helping the two entities receive grants.

Woods, also of Springdale, and consultant Randell G. Shelton Jr., formerly of Alma were convicted May 3 of participat­ing in the kickback scheme. Oren Paris III pleaded guilty April 4 in the kickback scheme and resigned as president of Ecclesia College.

The U.S. Justice Department alleged Paris paid Woods and Neal kickbacks in return for a total of $550,000 in grants from the fund from 2013 through 2014.

Shelton was convicted of using a consulting firm he owned as a way to pass along the kickbacks to Neal and Woods through fees approved by Paris.

The records given to McCutchen haven’t been made public.

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