NYP: NEW ORLEANS — A former Louisiana Democratic Party leader who resigned from the state Senate earlier this year, citing depression and a gambling addiction, pleaded guilty Monday to a federal wire fraud charge.
Former Sen. Karen Carter Peterson entered the plea before U.S. District Judge Sarah Vance, court records show. Documents filed Monday outlined a scheme in which she diverted more than $94,000 in campaign funds for personal use, including for casino gambling. Prosecutors said she also arranged for another $53,000 in state Democratic Party funds to be kicked back to her by associates she arranged to be hired by the party, who remained unidentified as of Monday. MORE