Filed: 5/10/2024 3:17 PM

Clerk
Clark Circuit Court 1 Clark County, Indiana

STATE OF INDIANA IN THE CLARK CIRCUIT COURT

SS:
COUNTY OF CLARK CAUSE NO. 10C01-2405-PL-000037

STATE OF INDIANA ex rel. TODD

ROKITA ATTORNEY GENERAL
OF INDIANA,

Plaintiff,
v.

JAMEY NOEL, KENNETH

HUGHBANKS, and AUTO-
OWNERS INSURANCE
COMPANY,

Defendants.

COMPLAINT TO RECOVER PUBLIC FUNDS

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana

(“Plaintiff”), by counsel, Marielle Riedle, Dane Kurth, and Lydia Golten, Deputy

Attorneys General, for its Complaint to Recover Public Funds, states the following:

INTRODUCTION

1. Plaintiff brings this action pursuant to Indiana Code § 5-11-1-27(m),

Indiana Code § 5-11-5-1, Indiana Code § 5-11-5-4, Indiana Code § 5-11-7-1, Indiana

Code § 34-24-3-1, and various common law claims.

2. Plaintiff seeks to redress harm done to: the public welfare; the property

of the State of Indiana (“State”); the property of the Clark County Sheriff’

Department, Jail Commissary; (“Department”) and/or Clark County, Indiana, which

resulted from the misappropriation and diversion of public funds by Defendants,

Jamey Noel and/or Kenneth Hughbanks.

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 FACTS

3. Pursuant to Ind. Code § 5-11-1-9, State Board of Accounts (“SBOA”)

performed an examination of the books, accounts, and records of the Department for

the period of January 1, 2015, to December 31, 2022, (“Audit Period”). The results of

the examination are set forth in SBOA Special Investigation Report 84477I (“Audit

Report”), dated February 15, 2024. See Audit Report, attached hereto and

incorporated herein as Exhibit 1.

4. The Office of the Attorney General is an agency and instrumentality of the State of

Indiana (“State”), headquartered in Marion County, Indiana.

5. The Audit Report disclosed malfeasance, misfeasance, and/or

nonfeasance on the part of public officials, public employees, and/or other proper

persons, and was placed by the State Examiner with the Attorney General pursuant

to Ind. Code § 5-11-5-1(a).

6. The Audit Report also disclosed that public funds the State seeks to

recover upon this Complaint, were either:

a. misappropriated, diverted, or unaccounted;

b. illegally received;

c. illegally retained;

d. unaccountable for or not paid over any money so received;

e. obtained by fraud or in any unlawful manner; and/or

f. wrongfully withheld from the public treasury.

7. The State’s claims arise from systematic violations of a position of trust

by a public official, misappropriation and diversion of public funds, malfeasance,

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misfeasance, nonfeasance, dishonest acts, breached fidelity of duties by a public

official, overt acts, fraud, and other conduct in breach of the duties owed to the State

and the public by a public official and other proper persons and/or entities.

8. The Audit Report further disclosed that public money had been

unlawfully expended, obtained by fraud or any unlawful manner, or wrongfully

withheld from the public treasury pursuant to Ind. Code § 5-11-6-3.

9. The State seeks damages, disgorgement of ill-gotten gains, enhanced

damages pursuant to the Indiana Crime Victims Relief Act, and other appropriate

relief.

PARTIES

10. The Attorney General of Indiana is exclusively charged with the

responsibility and sovereign powers of recovering public funds, pursuant to Ind. Code

§ 5-11-5, et seq. of the State Board of Accounts Act. This Complaint is brought by the

State of Indiana on the relation of the Attorney General of Indiana, pursuant to Ind.

Code §§ 5-11-5-4 and 5-11-7-1, for the benefit of the Department and the citizens of

the State of Indiana.

11. Defendant, Jamey Noel (“Noel”) served as the Clark County Sheriff

(“Sheriff”) for the Department at all relevant times during the Audit Period.

12. During the Audit Period, Noel also served as the president of the

domestic nonprofit corporation, Utica Township Volunteer Fire Fighters Association

d/b/a New Chapel Emergency Medical Service (“New Chapel EMS”), which upon

information and belief, was originally organized as a volunteer fire department, but

currently operates as an ambulance service provider.

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 13. In addition to serving as the Sheriff and president of New Chapel EMS

during the Audit Period, Noel also served as the Fire Chief for Utica Township Fire

Department Incorporated d/b/a New Chapel Fire, and Emergency Medical Services,

Inc. (“New Chapel Fire and EMS”) at all relevant times during the Audit Period.

14. Noel is either a delinquent officer/employee, surety of the officer, or any

other proper person against whom recovery of such misappropriated, diverted, or

unaccounted for funds may be had, pursuant to Ind. Code § 5-11-5-1.

15. Defendant, Kenneth Hughbanks (“Hughbanks”) served as the registered

agent and/or owner of Hughbanks Enterprises LLC, which he registered with the

Indiana Secretary of State on or about December 14, 2006, at all relevant times

during the Audit Period.

16. Hughbanks and/or Hughbanks Enterprises LLC wrongfully received

unsupported payments from the Clark County Sheriff’s Department and/or the

Sheriff’s Department Jail Commissary Fund.

17. Hughbanks began his employment at the Clark County Jail as a

Correctional Officer on or about November 28, 2004, where he served for

approximately two years.

18. Hughbanks was moved to a separate division in Clark County’s jail

services in 2006, where he worked as a maintenance repair person.

19. On or about February 15, 2015, Hughbanks resigned from the Clark

County Jail.

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 20. On or about October 10, 2016, Hughbanks was again hired by the Clark

County Sheriff’s Department and assigned to the Office of Information Technology as

an Information Technology Generalist.

21. Hughbanks was appointed as Scott County Sheriff on or about April 12,

2018, and served as a Sheriff through December 31, 2018.

22. Hughbanks returned to work full-time at the Clark County Sheriff’s

Department in January 2019, serving as Operations Commander under Corrections,

where he served until he resigned on or about December 8, 2019.

23. On or about December 9, 2019, Hughbanks was appointed as a Special

Deputy at the Clark County Sheriff’s Department by Noel.

24. Hughbanks is either a delinquent officer/employee, surety of the officer,

or any other proper person against whom recovery of such misappropriated, diverted,

or unaccounted for funds may be had, pursuant to Ind. Code § 5-11-5-1.

25. Defendant Auto-Owners Insurance Company (“Auto-Owners”) is a

corporation duly authorized to conduct business in Indiana. Auto-Owners was

engaged in the business of issuing insurance policies and/or surety bonds in the State

of Indiana at all relevant times during the Audit Period.

26. Auto-Owners is an entity, surety, or any other proper person against

whom recovery of such misappropriated, diverted, or unaccounted for funds may be

had, pursuant to Ind. Code § 5-11-5-1.

JURISDICTION

27. This Court has both subject matter jurisdiction over the claims and

personal jurisdiction over the parties.

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 28. Venue is proper pursuant to Indiana Rule of Trial Procedure 75.

COUNT I
Malfeasance, Misfeasance, and/or Nonfeasance – Jamey Noel

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana, by

and through its undersigned counsel, complains of Defendant Noel, and says:

29. The State restates and pleads each and every allegation contained in the

previous paragraphs, and those paragraphs are incorporated in Count I as if wholly

set forth herein.

30. During the Audit Period, Noel had a duty to not commit acts of

malfeasance, misfeasance, and/or nonfeasance.

31. During the Audit Period, Noel had a duty to comply with all relevant

portions of the Accounting and Uniform Compliance Guidelines Manual for Counties

of Indiana (“Accounting Guidelines for Counties”) and all relevant laws, rules,

policies, and/or ordinances.

32. More specifically, during the Audit Period as Sheriff, Noel had a duty to

not use public funds to pay for personal items or for expenses which do not relate to

the function and purpose of the unit;

33. Additionally, during the Audit Period as Sheriff, Noel had a duty to

make available for examination supporting documentation such as receipts, canceled

checks, tickets, invoices, bills, contracts, and other public records to provide

supporting information for the validity and accountability of monies disbursed;

34. Also during the Audit Period as Sheriff, Noel had a duty to complete

conflict of interest disclosures on Gateway; consult the attorney for the unit or a

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private attorney in regard to whether a conflict of interest disclosure statement must

be filed and whether the format of the disclosure is sufficient; have all payments made

or received for contractual services be supported by a written contract; have all

payments for services supported by a written contract; comply with all grant

agreements, rules, regulations, bulletins, directives, letters, letter rulings, court

decisions, and filing requirements concerning reports and other procedural matters

of federal and state agencies; must file accurate reports required by federal and state

agencies; limit sources and uses of funds to those authorized by the enabling law,

ordinance/resolution, or grant agreement;

35. As the Clark County Sheriff at all relevant times, Noel was responsible

for overseeing and disbursing funds from the Jail Commissary Fund; among other

responsibilities prescribed by Noel’s position.

36. Indiana Code § 36-8-10-21 provides criteria concerning expenditures

that can be made from the Jail Commissary Fund.

37. Only disbursements that are expressly authorized under Ind. Code § 36-

8-10-21(d) can be made from the Jail Commissary Fund at the sheriff’s discretion and

without appropriation by the county fiscal body1. All other expenditures not

specifically listed under this statute must be mutually agreed upon by both the

Sheriff and the county fiscal body. See I.C. § 36-8-10-21.

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The sheriff or the sheriff’s designee may only disburse money from the fund without appropriation by the county
fiscal body for things such as, but not limited to: merchandise for resale to inmates through the commissary;
expenses of operating the commissary; special training; equipment installed in the county jail; activity or program to
prevent criminal activity, such as substance abuse or child abuse, etc. See I.C. 36-8-10-21 (d).

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 38. Pursuant to the Accounting Guidelines for Counties, Chapter 1, “Public

funds may not be used to pay for personal items or for expenses which do not relate

to the functions and purposes of the unit. Any personal expenses paid by the unit may

be the personal obligation of the responsible official or employee.”

39. Additionally, “Supporting documentation such as receipts, canceled

checks, tickets, invoices, bills, contracts, and other public records must be available

for examination to provide supporting information for the validity and accountability

of monies disbursed. Payments without supporting documentation may be the

personal obligation of the responsible official or employee.” See Accounting Guidelines

for Counties, Chapter 1; see also generally, I.C. 36-8-10-21 (e).

40. As a result of its investigation, SBOA found that Noel was noncompliant

with I.C. 36-8-10-21, and that he failed to properly oversee the disbursements from

the Jail Commissary Fund.

41. For the charged amounts, SBOA found no occasion wherein Noel sought

approval from the county fiscal body on disbursements from the Jail Commissary

Commission from the county fiscal body as required.

42. SBOA also found that Noel failed to maintain documentation to show

the expenditures or disbursements at issue from the Jail Commissary Fund were

related to the functions and purposes of the unit, as required of him.

43. During the Audit Period, Noel is responsible for questionable

expenditures from the jail commissary, in the total amount of $101,472.00.

44. During the Audit Period, Noel is responsible for unsupported

expenditures from the jail commissary, in the total amount of $356,842.39.

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 45. During the Audit Period, Noel is responsible for fictitious invoice(s) paid

from the jail commissary fund, in the total amount of $6,539.12.

46. During the Audit Period, Noel is responsible for compensation paid for

work which was unrelated to Clark County, in the total amount of $878.15.

47. During the Audit Period, Noel is responsible for proceeds of vehicle

sale(s) which were not deposited, in the total amount of $1,500.00.

48. During the Audit Period, Noel is responsible for jail commissary funds

being inappropriately used to purchase a bus titled by New Chapel Fire and EMS, in

the total amount of $6,100.00.

49. During the Audit Period, Noel is responsible for a Sheriff’s Department

vehicle which was inappropriately used as a trade-in on a van purchased by New

Chapel EMS, in the total amount of $10,000.00.

50. During the Audit Period, Noel is responsible for a television purchased

from jail commissary funds inappropriately found at the personal property or

residence of Noel, in the total amount of $1,398.59.

51. During the Audit Period, Noel is responsible for the loss on the sale of a

Kawasaki Mule, in the total amount of $6,698.00.

52. As a direct and proximate result of the breach of Noel’s duties, the

Department suffered a pecuniary loss in the total amount of $491,428.25.

53. As a direct and proximate result of the breach of Noel’s duties, SBOA

incurred additional audit costs in the amount of $146,920.93.

54. Consequently, Plaintiff is entitled to restitution and disgorgement from

Noel of all ill-gotten gains unjustly and wrongfully received.

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 COUNT II
Malfeasance, Misfeasance, and/or Nonfeasance – Jamey Noel & Kenneth
Hughbanks, Jointly and Severally

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana, by

and through its undersigned counsel, complains of Defendants Noel and Hughbanks,

jointly and severally, and says:

55. The State restates and pleads each and every allegation contained in the

previous paragraphs, and those paragraphs are incorporated in Count II as if wholly

set forth herein.

56. At all relevant times, Hughbanks was responsible for complying with all

the ordinances, resolutions, and policies the unit adopted; complying with all relevant

laws; ensuring any conflict of interest disclosure was properly completed; and/or not

committing acts of misfeasance, malfeasance, and nonfeasance.

57. On or about December 14, 2006, Hughbanks registered the company

Hughbanks Enterprises LLC, with the Indiana Secretary of State and remained its

registered owner, at all relevant times during the Audit Period.

58. Hughbanks failed to properly disclose ownership interest in Hughbanks

Enterprises LLC and/or complete or submit all required conflict of interest

disclosures, as required by Indiana Code 35-44.1-41-4.

59. At all times relevant, and upon information and belief, the Department

did not enter into a written agreement with Hughbanks Enterprises LLC.

60. At all times relevant, and upon information and belief, Clark County did

not approve any agreement with Hughbanks Enterprises LLC for services.

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 61. On or around March of 2015, Hughbanks (on behalf of Hubanks

Enterprises LLC) began submitting invoices for “consulting services” to the Clark

County Sheriff’s Department.

62. From December of 2015 until October of 2022, monthly invoices were

submitted by Hughbanks Enterprises LLC, and were paid exclusively from the

Sheriff’s Department Jail Commissary Fund. Hughbanks Enterprises LLC was paid

between $1,500 to $3,500 per month from the Jail Commissary Fund during this

period.

63. At all times relevant, and upon information and belief, Hughbanks

received his full ownership share of the payments made to Hughbanks Enterprises

LLC from the Jail Commissary Fund.

64. According to IC 36-8-10-21(d)(9), disbursements of Jail Commissary

Funds for purposes not listed in sections 1 through 8 must be mutually approved by

the sheriff and the county fiscal body.

65. However, upon information and belief, there was no resolution or

agreement in the records of either the county or the Sheriff's Department establishing

that the county fiscal body reviewed or approved the disbursement of Jail

Commissary Fund for services provided by Hughbanks Enterprises LLC.

66. Consequently, disbursements during the Audit Period from the Jail

Commissary Fund to Hughbanks Enterprises LLC and ultimately received by

Hughbanks were improper.

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 67. During the Audit Period, Noel and Hughbanks (jointly and severally)

are responsible for unsupported expenditures disbursed to Hughbanks Enterprises,

LLC, in the total amount of $262,567.35.

68. During the Audit Period, Noel and Hughbanks (jointly and severally)

are responsible for payments made to Hughbanks Enterprises, LLC, which were not

in accordance with grant agreements, in the total amount of $17,500.00.

69. As a direct and proximate result of the breach of Noel’s and/or

Hughbanks’ duties to the Department, the Department suffered a pecuniary loss in

the total amount of $280,067.35.

70. As a direct and proximate result of the breach of Noel’s and/or

Hughbanks’ duties to the Department, SBOA incurred additional audit costs in the

amount of $146,920.93.

71. Consequently, Plaintiff is entitled to restitution and disgorgement from

Noel and Hughbanks of all ill-gotten gains unjustly and wrongfully received.

Count III
Tortious Conversion - Kenneth Hughbanks

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of

Indiana, by and through its undersigned counsel, complains of Defendant

Hughbanks, and says:

72. The State restates and pleads each and every allegation contained in

the previous paragraphs, and those paragraphs are incorporated in Count III as if

wholly set forth herein.

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 73. As provided above, Hughbanks wrongfully received payments from the

Jail Commissary Fund over the course of the Audit Period in the total amount of

$280,067.35.

74. Hughbanks wrongfully received, exercised dominion over, and/or

withheld public funds paid to him and under a claim of title inconsistent with

applicable law as provided in the Audit Report.

75. Hughbanks retained the use and benefit of public funds without

justification, and to the detriment of the taxpayers of the State of Indiana, and

particularly to the detriment of the Department and/or Clark County.

76. Hughbanks received a measurable benefit, and it would be unjust if he

were permitted to retain that benefit.

77. Hughbanks conduct constitutes tortious conversion, and in the

alternate, unjust enrichment.

COUNT IV – IND. CODE § 34-24-3-1

Treble Damages Pursuant to Indiana’s Crime Victims Relief Act – Jamey
Noel

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana, by

and through its undersigned counsel, complains of Defendant Noel, and says:

78. The State restates and pleads each and every allegation contained in the

previous paragraphs, inclusive of Count I through III, and those paragraphs are

incorporated in Count IV as if wholly set forth herein.

79. Indiana Code § 34-24-3-1 provides that if a party suffers a pecuniary loss

as a result of a violation of Ind. Code Art. 35-43, Ind. Code § 35-42-3-3, Ind. Code §

35-42-3-4, and/or Ind. Code § 35-45-9, the party may bring a civil action against the

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person(s) who caused the loss for: (1) “an amount not to exceed three times the actual

damages of the person suffering the loss;” (2) court costs; (3) a reasonable attorney’s

fee; (4) and other miscellaneous costs and expenses.

80. The State is a party suffering a pecuniary loss as a result of a violation

by Noel of one or more of the following: Ind. Code § 35-43-4-2, Ind. Code § 35-43-4-3,

and/or Ind. Code § 35-43-5-3, where he knowingly, intentionally, and wrongfully

diverted public funds as described in the Audit Report, and specifically relating to the

charges for: (1) questionable expenditures from the jail commissary, in the total

amount of $101,472.00; (2) unsupported expenditures from the jail commissary, in

the total amount of $356,842.39; (3) fictitious invoice(s) paid from the jail commissary

fund, in the total amount of $6,539.12; (4) compensation paid for work which was

unrelated to Clark County, in the total amount of $878.15; (5) proceeds of vehicle

sale(s) which were not deposited, in the total amount of $1,500.00; (6) jail commissary

funds being inappropriately used to purchase a bus titled by New Chapel Fire and

EMS, in the total amount of $6,100.00; (7) Sheriff’s Department vehicle which was

inappropriately used as a trade-in on a van purchased by New Chapel EMS, in the

total amount of $10,000.00; (8) television purchased from jail commissary funds

inappropriately found at the personal property of Noel, in the total amount of

$1,398.59; and (9) the loss on the sale of a Kawasaki Mule, in the total amount of

$6,698.00; for a combined misappropriated amount of $491,428.25, as described in

SBOA Audit Report 84477I.

81. On or about November 8, 2023, Noel was charged in a correlated

criminal matter under cause 10C01-2311-F5-000297 in Clark Circuit Court. In that

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matter, Noel was charged with 25 counts. More specifically, Noel is charged with one

count Corrupt Business Influence/F5; two counts Theft/F5; three counts Theft/F6; one

count Obstruction of Justice/F6; four counts Ghost Employment/F6; four counts

Official Misconduct/F6; five counts Theft/F5; and five counts Tax Evasion/F6.

82. The State, for the benefit of the Department, is entitled to the relief

described in Ind. Code § 34-24-3-1, including three times that actual loss discussed in

Paragraph 79, totaling up to an additional $982,856.50 in enhanced damages, plus

court costs, and a reasonable attorney’s fee.

COUNT V – IND. CODE § 34-24-3-1

Treble Damages Pursuant to Indiana’s Crime Victims Relief Act – Jamey
Noel and Kenneth Hughbanks (Jointly and Severally)

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana, by

and through its undersigned counsel, complains of Defendant Noel, and says:

83. The State restates and pleads each and every allegation contained in the

previous paragraphs, inclusive of Count I through IV, and those paragraphs are

incorporated in Count V as if wholly set forth herein.

84. Indiana Code § 34-24-3-1 provides that if a party suffers a pecuniary loss

as a result of a violation of Ind. Code Art. 35-43, Ind. Code § 35-42-3-3, Ind. Code §

35-42-3-4, and/or Ind. Code § 35-45-9, the party may bring a civil action against the

person(s) who caused the loss for: (1) “an amount not to exceed three times the actual

damages of the person suffering the loss;” (2) court costs; (3) a reasonable attorney’s

fee; (4) and other miscellaneous costs and expenses.

85. The State is a party suffering a pecuniary loss as a result of a violation

by Noel and/or Hughbanks of one or more of the following: Ind. Code § 35-43-4-2,

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Ind. Code § 35-43-4-3, and/or Ind. Code § 35-43-5-3, where they knowingly,

intentionally, and wrongfully diverted public funds as described in the Audit Report,

and specifically relating to the charges for: (1) unsupported expenditures to

Hughbanks Enterprises, LLC, in the total amount of $262,567.35; and (2) payments

made to Hughbanks Enterprises, LLC, which were not in accordance with grant

agreements, in the total amount of $17,500.00; for a combined misappropriated

amount of $280,067.35 as described in SBOA Audit Report 84477I.

86. On or about November 8, 2023, Noel was charged in a correlated

criminal matter under cause 10C01-2311-F5-000297 in Clark Circuit Court. In that

matter, Noel was charged with 25 counts. More specifically, Noel is charged with one

count Corrupt Business Influence/F5; two counts Theft/F5; three counts Theft/F6; one

count Obstruction of Justice/F6; four counts Ghost Employment/F6; four counts

Official Misconduct/F6; five counts Theft/F5; and five counts Tax Evasion/F6.

87. The State, for the benefit of the Department, is entitled to the relief

described in Ind. Code § 34-24-3-1, including three times that actual loss discussed in

Paragraph 84, totaling up to an additional $560,134.70 in enhanced damages, plus

court costs, and a reasonable attorney’s fee.

COUNT VI
Surety Liability – Auto-Owners Insurance Company

Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney General of Indiana, by

and through its undersigned counsel, complains of Auto-Owners Insurance Company

(“Auto-Owners”), and says:

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 88. The State restates and pleads each and every allegation contained in the

previous paragraphs, inclusive of Counts I through V, and those paragraphs are

incorporated in Count VI as if wholly set forth herein.

89. The Department and/or Noel obtained Public Official Bonds (“Bonds”)

from Auto-Owners during the Audit Period, to cover dishonest acts and unfaithful

performance of duties of Noel, in his capacity as the Clark County Sheriff. See

Bond(s), attached hereto and incorporated herein as Exhibit 2.

90. The Bonds issued by Auto-Owners provided $90,000.00 in annual bond

coverage for Noel for the term of 01/01/15 to 01/01/16 and $90,000.00 in coverage from

01/01/16 to 01/01/17; as well as $240,000.00 in annual bond coverage for Noel for the

terms of 12/31/16 to 12/31/17; 12/31/17 to 12/31/18; 12/31/18 to 12/31/19; 12/31/19 to

12/31/20; 12/31/20 to 12/31/21; and 12/31/21 to 12/31/22, respectively.

91. During the terms of coverage by Auto-Owners’ Bonds, Noel failed to

honestly and faithfully perform the duties of his office where he inappropriately,

wrongfully or negligently: he (1) made or allowed questionable expenditures from the

jail commissary; (2) made or allowed unsupported expenditures from the jail

commissary; (3) created or allowed fictitious invoice(s) paid from the jail commissary

fund; (4) allowed for compensation paid for work which was unrelated to Clark

County; (5) allowed for proceeds of vehicle sale(s) which were not deposited; (6)

allowed jail commissary funds to be inappropriately used to purchase a bus titled by

New Chapel Fire and EMS; (7) was responsible for and/or allowed a Sheriff’s

Department vehicle to be inappropriately used as a trade-in on a van purchased by

New Chapel EMS; (8) allowed a television purchased from jail commissary funds to

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be inappropriately found at the personal property of Noel; (9) allowed or is responsible

for the loss on the sale of a Kawasaki mule; (10) made unsupported expenditures to

Hughbanks Enterprises, LLC; (11) made payments to Hughbanks Enterprises, LLC,

which were not in accordance with grant agreements; or otherwise committed acts of

malfeasance, misfeasance, and nonfeasance which resulted in the misappropriation,

diversion, and misapplication of public funds.

92. Noel’s acts, or failures to act, as provided constitute dishonesty, gross

negligence, and/or an intentional disregard of the requirements of his position.

93. The total amount of funds misappropriated, diverted, or misapplied by

Noel during the terms and time frames of Auto-Owners’ Bonds is $918,416.53; this

includes Audit Costs incurred.

94. As a result of the matters alleged in the rhetorical paragraphs above,

Auto-Owners is jointly and severally liable with Noel for the remaining outstanding

charged amounts in the total amount of $918,416.53.

PRAYER FOR RELIEF

WHEREFORE, Plaintiff, State of Indiana ex rel. Todd Rokita, Attorney

General of Indiana, by counsel, respectfully requests the Court:

(a) Award judgment against Defendants Jamey Noel and Kenneth

Hughbanks, on each cause of action asserted against them, respectively, in this

Complaint for any and all damages;

(b) Award judgment against Defendants Jamey Noel and Kenneth

Hughbanks, respectively, in an amount not exceeding three times the pecuniary loss

pursuant to Ind. Code § 34-24-3-1, plus attorney fees, and costs;

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 (c) Order Defendants Jamey Noel and Kenneth Hughbanks to disgorge any

and all ill-gotten gains unjustly and wrongfully received;

(d) Award judgment against Defendant Auto-Owners Insurance on each

cause of action asserted against it in this Complaint for any and all damages;

(e) Award judgment in favor of Plaintiff for the costs of this action, including

reasonable attorney’s fees in accordance with Indiana Code 34-24-3-1, plus post

judgment interest at the maximum legal rate of eight percent (8%) per annum;

and(f) Grant any and all other just and proper relief.

Respectfully submitted,

THEODORE E. ROKITA
Indiana Attorney General
Atty. No. 18857-49

By: /s/ Marielle Riedle_______

Marielle Riedle
Attorney No. 27375-53
Deputy Attorney General

/s/ Dane Kurth__________

Dane Kurth
Attorney No. 27212-29
Deputy Attorney General

/s/ Lydia Golten__________

Lydia Golten
Attorney No. 36440-49
Deputy Attorney General

OFFICE OF ATTORNEY GENERAL TODD ROKITA

302 West Washington Street
Ind. Government Center South, 5th Floor
Indianapolis, IN 46204
Ph: (317) 234-6783
Fax: (317) 232-7979

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