The City of Atlanta’s former Chief Financial Officer, Jimmie “Jim” A. Beard, has been sentenced to federal prison for a multi-year scheme involving theft of funds, purchase and possession of two machine guns, and obstructing federal tax laws using altered documents and a fake business.
“Jim Beard abused the trust and confidence placed in him by the people of the City of Atlanta when he decided to steal tens of thousands of dollars from taxpayers to support his lavish lifestyle,” said U.S. Attorney Ryan K. Buchanan. “Beard’s sentencing is a demonstration of our commitment to hold accountable public officials who trade their position of power for greed and personal gain.”
“As this prosecution shows, the Department of Justice will work vigorously to protect the integrity of federal funds. Today’s sentence sends a strong message of deterrence to prevent fraud and theft from state and local governments receiving federal benefits,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri.
“Beard’s actions eroded public trust in government. As one of the most powerful people in Atlanta city government, he stole tens of thousands of dollars from taxpayers so he could go on luxurious trips and even buy custom-made machine guns,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “Public corruption is one of the FBI’s top priorities and we continue to work to protect citizens against officials who abuse that trust.”
“Public officials are entrusted by the citizens they serve to conduct the business of government on their behalf,” said Demetrius Hardeman, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “Jim Beard failed in his responsibilities to the community and utilized public tax dollars to satisfy his greed. The sentence today reinforces IRS Criminal Investigation’s commitment to investigating and forwarding for prosecution those who commit financial fraud.”
“Beard repeatedly abused his position, broke the law he was sworn to uphold and betrayed the trust of the people of Atlanta,” said ATF Assistant Special Agent in Charge Alicia D. Jones. “This case demonstrates the partnerships of law enforcement to enforce the law and hold individuals accountable, regardless of their position or status.”
According to U.S. Attorney Buchanan, the charges and other information presented in court: From approximately November 2011 to May 2018, Beard served as the Chief Financial officer (“CFO”) of the City of Atlanta (the “City”). As CFO, Beard directed and managed the Department of Finance, with primary responsibility for oversight and management of the City’s financial condition, earning a salary of over $260,000 per year.
During his tenure, Beard devised and executed a scheme to obtain money and property from the City for private use, including using City funds to: (1) pay for personal luxury travel expenses for himself, his family, and his travel companions; (2) buy items for personal use, including two machine guns; (3) pay for travel to conferences or meetings for which the conference or meeting host reimbursed Beard, with Beard pocketing the reimbursements instead of giving them to the City; and (4) pay for travel that Beard falsely claimed as business deductions on his taxes for a non-existent personal consulting business.
In total, Beard stole at least tens of thousands of dollars from the City. By way of example only:
•In the summers of 2015 and 2016, Beard charged nearly $4,000 to the City for weekend stays at the J.W. Marriott Hotel in Chicago, Illinois. However, Beard was not in Chicago those weekends and the hotel rooms were actually for his stepdaughter to attend the Lollapalooza music festival.
•In December 2015, Beard ordered two custom-built machine guns using a purchase order and $2,641.90 check from the City, telling the manufacturer that the machine guns were for the exclusive use of the Atlanta Police Department (“APD”) – even though Beard took the guns to his own home and APD had no knowledge of them.
•In April 2016, Beard charged more than $2,600 to the City for airfare and hotels for two weekend trips to the New Orleans Jazz and Heritage Festival. Beard had no City business in New Orleans during either trip, and took his wife one of the weekends and a different personal companion the other.
•In June 2016, Beard charged $975.52 to the City for travel to Washington, D.C. for a meeting with the Municipal Securities Rulemaking Board (“MSRB”). Even though Beard had the City pay for this travel, Beard asked the MSRB to reimburse him personally for these costs and submitted copies of his receipts to the MSRB. As a result, the MSRB issued a check to Beard, which he kept and deposited into his personal bank account.
•In April 2017, Beard charged more than $10,000 to the City for a four-day stay for him and his wife at the Shangri-La Hotel in Paris, in a deluxe suite with a view of the Eiffel Tower.
Beard exploited his position and power to execute his scheme. When lower-level City staff members responsible for processing travel reimbursements asked him for receipts or work justifications for his trips, Beard refused and ordered the staff (who worked for him) to process the reimbursements without the requisite documentation. A City employee described the culture under Beard as, “if the [] CFO asks you for something, you do not ask questions.”
While CFO, Beard also submitted years of fraudulent tax returns in which he claimed personal business expenses to lower what he owed in taxes. During a 2015 audit of one of those returns, Beard lied to the IRS and obstructed auditors by submitting receipts for transactions that were actually paid by the City in connection with Beard’s official duties. The investigation later revealed that Beard did not operate a personal business, and years of tax deductions were based on a lie.
Jimmie “Jim” A. Beard, 60, of Fort Lauderdale, Florida was sentenced by U.S. District Judge Steve C. Jones to three years in prison to be followed by three years of supervised release. Beard was also ordered to pay a fine of $10,000 and restitution in the amount of $177,197.48. Beard was convicted on these charges on April 8, 2024, after he pleaded guilty.
This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service Criminal Investigations, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Assistant U.S. Attorneys Garrett Bradford and Tiffany Johnson, Department of Justice Trial Attorney Trevor Wilmot, and former Assistant U.S. Attorney Jeffrey Davis prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
