Ex-county worker accused of embezzlement

SANDPOINT — A criminal case is pending against a former Bonner County employee who is accused of embezzling public funds while serving as manager of the University of Idaho’s extension office in Sandpoint.

The allegations against Kristan Peacock surfaced six months ago, but she has yet to be charged because her defense attorney and the prosecution are in discussions to resolve to matter with a plea agreement, which would eliminate the need and expense of a trial.

Kootenai County Prosecutor Barry McHugh has been appointed special prosecutor in the matter because Peacock was a Bonner County employee.

McHugh declined to say what charges are being contemplated in the case.

“I’ve been in communication with her attorney regarding the investigation and to comment beyond that would probably be inappropriate,” McHugh said on Friday.

Peacock’s defense counsel, Bryce Powell, did not respond on Friday to an e-mail or a phone message seeking comment on the case. A message left at Peacock’s Laclede home was not returned on Friday.

County commissioners decline to comment on the matter.

“The Commissioners have been advised not to give any interviews as this matter is currently under prosecutorial investigative review by the Kootenai County Prosecutor,” Pamela Allen, the county’s personnel director and risk manager, said in an e-mail to The Daily Bee.

Although Peacock managed the university’s extension office, her salary was paid by Bonner County. Her duties included overseeing personnel functions and county budget responsibilities. She was also site manager for the university’s teleconferencing center in Bonner County.

Allen said Peacock was hired by the county in 2000 and her employment ended on Dec. 30, 2009. Her annual salary was $34,900, Allen said.

A source who spoke on condition of anonymity said Peacock forged checks to herself and to retail stores using public funds.

The amount of county tax dollars involved reportedly reaches into the tens of thousands of dollars, although McHugh declined to confirm a sum.

Peacock, whose age could not be immediately verified, has no prior criminal record in Idaho, according to the state supreme court’s data repository.

The scandal has been something of an open secret in Bonner County and the amount of time it is taking to bring criminal charges has raised eyebrows.

However, McHugh said pre-charging negotiations are appropriate in a fraud-related case with a lengthy paper trail and a chance at swift resolution once it enters the courts.

“Sometimes you avoid a lot of delay by engaging in discussions that result in the case resolving,” he said.