EUGENE, Ore. – On Monday, January 30, 2017, Krista Jean Mudrick, 36, a resident of Deschutes County, Oregon and former Deschutes County Sheriff employee, was sentenced to three years of probation and 200 hours of community service by U.S. District Judge Michael J. McShane for lying to FBI and IRS agents.
On September 15, 2016, Mudrick pleaded guilty to making material false statements to federal agents about her relationship with former Deschutes County Sheriff Captain Scott Raymond Beard and receiving cash and gifts from him. On September 8, 2016, Judge McShane sentenced Beard to five years in prison for stealing $205,747 in public funds designated for use in combating drug crimes.
Beard falsified records to steal from programs receiving federal funds, which he was entrusted to manage, and then laundered the money by making cash deposits into Mudrick’s bank account. Beard also used some of the public money to fund an international vacation to a resort with Mudrick, bought her a motorcycle and paid for her apartment. U.S. District Judge McShane told Beard when imposing the five-year sentence that “[t]he community has to know that [this conduct] will not be tolerated.”
During her own sentencing hearing, Mudrick admitted lying to agents but denied knowing Beard was stealing public funds. A long-time volunteer for numerous charities, Mudrick offered to do community service work. When imposing the probationary sentence, Judge McShane noted this was Mudrick’s first offense and her lies had not impeded the agents’ investigation of Beard.
This case was investigated jointly by the FBI and IRS and prosecuted by Christopher Cardani and Frank R. Papagni, Jr., Assistant United States Attorneys for the District of Oregon.