Jury Finds Woman Guilty Of Misusing Federal Funds

The former director of the Idaho Falls Human Services Center faces prison and fines following her conviction for misusing federal Head Start funds.

Susan Ohman, ex-wife of former state Transportation Board Chairman John Ohman, will be sentenced Oct. 18 for lying when she said she was buying a 1987 utility sports vehicle from the state Transportation Department when she actually bought a 1984 model owned by then-department Director Kermit Kiebert.

Ohman now is living with Kiebert in North Idaho.

A federal jury deliberated more than nine hours following the conclusion of the week-long trial before returning the guilty verdict but finding no agreement on a second charge that she improperly had spent $10,000 to renovate a cabin owned by her ex-husband and leased to the Head Start program.

Ohman and her attorney, former state Rep. Janet Jenkins, declined comment.

Assistant U.S. Attorney Jack Haycock said he will review the second charge before deciding whether to press it in a second trial.

U.S. District Judge Edward Lodge could impose a maximum penalty of five years in prison and $250,000 in fines for the conviction on the first charge. But under federal sentencing guidelines, based in part on her lack of a prior criminal record, Ohman could receive significantly less time or no prison time at all.

Ohman left the Idaho Falls job in February 1993 and has been working as director of the non-profit Panhandle Special Needs organization in Sandpoint.

In sometimes emotional closing arguments, Jenkins accused the Idaho Falls center’s board of directors of blaming Ohman for the agency’s former financial problems; Jenkins portrayed Ohman as a diligent and over-worked director acting only in the interests of the children the agency served. The attorney vilified federal prosecutors for attacking Ohman because she had bought the cheaper vehicle.

But Haycock contended Ohman’s fraud had been intentional and detrimental to Head Start students. Though Lodge didn’t allow direct references in court, the agency spent $5,000 on repairs to the vehicle, which two mechanics testified was in poor condition at the time of its purchase.

“That money could have gone to other things to help those children,” Haycock said.