In Utah, Petersen is accused of operating an enterprise to move pregnant Marshallese girls to the state for adoptions. The ladies got here from the islands in the central Pacific and have been housed in residences he allegedly owned or leased.

“The defendant collected proceeds from every adoption within the type of charges paid to him by adoptive mother and father,” the paperwork stated.

He resigned from his job and was arrested in October final 12 months.

“Whereas Paul Petersen loved a place of respect and belief locally, he manipulated adoptive households and bilked Arizona taxpayers for his personal revenue,” Arizona Lawyer Normal Mark Brnovich stated. “Mr. Petersen should now reply for his crimes. It does not matter if you happen to’re politically linked, rich, or an elected official, the rule of regulation applies equally to everybody.”

In Arizona, the scheme defrauded the state out of greater than $814,000, in keeping with the workplace of the state’s legal professional basic.

As a part of the plea settlement with the state, Petersen pays $650,000 to the Arizona Well being Care Price Containment System, which is Arizona’s Medicaid company. He’ll additionally pay $11,000 to an uncharged sufferer and $18,000 to the Arizona legal professional basic’s workplace for investigative prices, Brnovich stated.

In December, his co-defendant Lynwood Jennet pleaded responsible over her involvement within the adoption fraud scheme. As a part of her plea settlement, Jennet agreed to testify towards Petersen, Brnovich’s workplace stated.

After the adoptions, the ladies both moved to Arkansas or returned to the Marshall Islands. Petersen and Jennet are accused of directing the moms to fraudulently misrepresent their residency standing to acquire well being care advantages.

Authorities in Arizona and Utah harassed they’ve no real interest in interfering with adoptions which have already taken place. “They aren’t beneath investigation, and their adoptions should not at risk if they’re full,” stated Richard Piatt, a spokesman for the Utah legal professional basic.

Petersen faces three to 12.5 years within the Arizona Division of Corrections in his first case and as much as 4 years within the second case, officers stated.

He additionally faces a second prison investigation over allegations he supplied false data on the beginning moms’ charges to potential adoptive mother and father and to the Maricopa County Superior Court docket Juvenile Division.

As well as, he inflated the period of time he paid for a beginning mom’s residing bills whereas charging the adoptive household.

In a single instance, authorities stated, a household paid him $33,000 for an adoption. In accordance with an affidavit, $11,000 was for residing bills after Petersen alleged he’d paid for the beginning mom to dwell in Arizona for 5 months. In actuality, the beginning mom arrived in Arizona a day earlier than she gave beginning and solely stayed for 2 weeks, officers stated.

Jennet faces between two to 4 years within the Arizona Division of Corrections and is anticipated to have a sentencing listening to in August. A sentencing listening to for Petersen has not but been scheduled.