Operation Mississippi Hustle

Operation Mississippi Hustle is an ongoing federal investigation initiated in 2014 or earlier by the United States Attorney and prosecuted in the United States Court for the Southern District of Mississippi. It has examined the relationship between officials of the Mississippi Department of Corrections and various prison contractors and subcontractors who have provided services to the five private prisons in the state. (One has since been closed in September 2016.)

The FBI revealed a long history of corruption and bribery, beginning as early as 1997. The investigation resulted in indictments on November 6, 2014 against Chris Epps, long-serving Commissioner of the Department of Corrections; the previous day he resigned from his state office and as president of the American Correctional Association. He had received bribes and kickbacks worth at least $1.47 million, based on contracts of $868 million with private prison operators and related service providers. By 2017, the US Attorney for Southern Mississippi had won indictments against thirteen other officials, consultants, contractors and businessmen, including two former state legislators, and more were expected. Ten have pleaded guilty, one killed himself, two await trial and the identity of another has not yet been made public. The ex-mayor of Walnut Grove, William Grady Sims finished his sentence, and six more defendants were convicted and are in federal custody. Five are currently released on bail; two await sentencing, and two more await trial.

The Mississippi Attorney General announced in February 2017 that he was filing civil suits against 15 prison contractors and several individuals, for damages and punitive damages related to the corruption cases. He said that "state law requires that they must also forfeit and return the entire amount of the contracts paid by the state."

In the late 20th century, Mississippi began to enter into contract with private prison management companies to build and operate prisons under contract to the state. It eventually had contracts for five private prisons: Walnut Grove Youth Correctional Facility, for inmates under 18 who had been convicted as adults; East Mississippi Correctional Facility, devoted to treatment of state prisoners with mental illness; Marshall County Correctional Facility; Tallahatchie County Correctional Facility; and Wilkinson County Correctional Facility, which was converted to maximum security after receiving numerous prisoners transferred from Mississippi State Penitentiary following settlement of a class-action suit there. Contracts were also made for related mental and medical health services, education, telecommunications, and food services. In 2002 Christopher Epps was appointed as Commissioner of Mississippi Department of Corrections; he served under three governors.

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