Rutherford County Sheriff Robert Arnold Pleads Guilty to Corruption

Robert F. Arnold, 40, the suspended Sheriff of Rutherford County, Tennessee, pleaded guilty today in United States District Court to wire fraud, honest services fraud, and extortion under color of official right. The charges stem from a brazen corruption scheme that exploited his office to profit from the sale of electronic cigarettes to inmates inside the Rutherford County jail.

Arnold admitted in court before Chief U.S. District Judge Kevin H. Sharp that he co-founded JailCigs, LLC, in 2013 alongside his former Chief Administrative Deputy, Joe L. Russell II, 49, and his uncle, John Vanderveer, 58, of Marietta, Georgia. He acknowledged using his authority as Sheriff to allow JailCigs products into the jail, directing county employees to distribute them—all while concealing his ownership and siphoning off commission payments rightfully owed to Rutherford County.

The indictment, returned in May 2016, detailed how Arnold misrepresented the benefits JailCigs provided to the county and falsified records to hide the operation. He admitted personally receiving over $66,000 from the business and lying to local media in April 2015 when questioned about his income and involvement. The scheme enriched the defendants while violating both public trust and federal law.

Under the terms of his plea agreement, Arnold has agreed to pay $52,500 in restitution to Rutherford County. No sentencing recommendation was included in the agreement, leaving the final decision to the judge. Each of the three counts he pleaded guilty to carries a maximum penalty of 20 years in prison, meaning Arnold could face decades behind bars at sentencing.

Acting U.S. Attorney Jack Smith emphasized that Arnold’s actions were an aberration, not the norm. “His guilty pleas hold him accountable for his criminal conduct,” Smith said, thanking the FBI, the Tennessee Bureau of Investigation, District Attorney General Jennings Jones, and the DOJ’s Public Integrity Section for their roles in the investigation. “The conduct of Arnold is in no way representative of the fine and often heroic work done daily by law enforcement officers in our district.”

“We all rely on those who hold positions of public trust to execute their duties with integrity,” said FBI Memphis Division Special Agent in Charge Michael T. Gavin. TBI Director Mark Gwyn added, “It’s always disheartening when an elected official abuses the public’s trust, especially someone sworn to uphold the law.” Arnold awaits sentencing, his badge stripped, his legacy in ruins.