Narcotics chief used seized drug money on Apple shopping sprees, home repairs, feds say
.jpg "David Henderson, former chief of the narcotics unit in the Knox County Sheriff’s Office, has been indicted on charges he used cash seized from criminal enterprises to buy Apple products and pay for home repairs.")
The former head of the narcotics division in the Knox County Sheriff’s Office is accused of rampant fraud against the department by siphoning money seized from criminal enterprises for a slew of personal expenses.
David Henderson is accused of having his employees use the money to buy a variety of Apple products and do repairs on his home and other construction projects while on duty.
A grand jury in the Eastern District of Tennessee indicted Henderson on charges of conspiring to commit program fraud related to the alleged scheme, court documents unsealed on Feb. 17 show.
Henderson, who was chief of the narcotics unit from 2011 to 2018, pleaded not guilty during his arraignment. He could not be reached for comment, and a defense attorney representing him declined to comment on pending litigation.
A representative from the Knox County Sheriff’s Office in Tennessee did not immediately respond to McClatchy News’ request for comment on Feb. 21. But Sheriff Tom Spangler told the Knoxville News Sentinel he wanted to be “crystal clear” that the allegations at the center of the indictment happened under the previous administration.
“This is obviously a breach of public trust and should never be tolerated,” Spangler told the newspaper.
Henderson was reassigned to the special services division in January 2019 when Spangler took office, the Knoxville News Sentinel reported. He retired in April 2020 after the FBI searched his house.
According to the 22-page indictment, Henderson’s alleged fraud centered on the narcotic unit’s cash fund and credit card. Prosecutors said the cash fund is money seized by the sheriff’s office from criminal enterprises that’s been set aside to pay for equipment and other supplies within the agency.
The credit card was only supposed to be used for “covert purposes,” such as surveillance equipment, according to the indictment.
Prosecutors said Henderson used both the cash fund and credit card for his personal enrichment and to reward subordinates who did his bidding. He concealed the alleged fraud by telling the finance department that all of the purchases had been for official use, and he rarely — if ever — used the cash or cards himself.
‘When the chief needs something done, we do it’
Henderson is accused of directing his subordinates to buy all of the latest Apple products — from iPads and MacBooks to iPhones and Apple Watches — using the narcotics unit credit card.
Apple products weren’t typically used among other divisions of the Knox County Sheriff’s Office, according to the indictment, but Henderson reportedly “made sure that certain officers in the narcotics unit had access to the newest Apple products.”
He often told them to replace their old products as soon as new ones became available, the government said, and then directed them to give the old ones to family members and friends.
Henderson ultimately spent $138,000 on Apple products using the narcotics unit credit card between 2011 and 2018, the indictment states.
He also directed his subordinates to perform home repairs and construction projects while on duty — often for himself, his family or the then-sheriff, prosecutors said. Materials for those projects were reportedly purchased with money from the narcotics division cash fund or credit card.
The projects ranged from building a swing set, hooking up a garbage disposal and moving furniture to renovating Henderson’s garage and building a privacy fence at a previous sheriff’s personal residence, according to the indictment.
One particular project involved installing a metal roof on an officer’s house in March 2018. Prosecutors said the officers took a picture of themselves on the roof when it was done and sent it in a group chat.
According to the indictment, another officer who was not present for the roof installation because he was teaching a law enforcement class questioned why they were acting like construction workers. Someone reportedly responded, “Two words.... Chief Henderson.”
A former captain who worked under Henderson also responded, saying they didn’t want to be doing manual labor but “we do what we have to do,” the indictment states.
“You learn three things in this unit,” the captain reportedly said. “1. How to keep your mouth shut when needed. 2. When the chief needs something done, we do it. 3. Take care of SIU before anyone else. You want to piss me off? Tell me you got paperwork to do and teaching a class again next time your partners are having to put on a f---ing roof. Refer to number 3 above. Let this be a lesson learned.”
SIU refers to a special investigations unit in law enforcement.
Duck blind, antique car restoration
In addition to Apple products and building materials, prosecutor listed a slew of personal goods reportedly purchased with money from the narcotics unit in the indictment. Among them:
▪ $1,299 for two Yeti coolers
▪ $6,000 on two thermal imagers used by Henderson and his superior
▪ $191 on herbicide to treat Henderson’s lawn before he hosted a party
▪ $210 on two Thunderstruck AR-15 Speed Loader Magazines for Henderson
▪ $1,000 on framing for a renovation project at Henderson’s house
▪ $459 on two La-Z-Boy leather executive chairs for Henderson and his associates
Henderson is also accused of directing his subordinates to construct a duck blind for the sheriff while they should have been on duty. The project cost hundreds of dollars and took over a month to complete, according to the indictment.
The Knox County Sheriff at that time was Jimmy “J.J.” Jones, who served for 11 years before he left office in 2018, WBIR reported. Jones is running for sheriff again and said in a statement to WBIR that it’s not uncommon for officers and firefighters to get paid for off-duty work.
“Any work done for me occurred with me providing the materials, and with payment from me to the individuals who did the work,” he said, according to the news outlet. “Some of the same officers have done similar personal work for the (current) sheriff’s administrative staff, photos of which have been posted on Facebook. The timing of this action — which does not name me personally — so close to an election is suspect and disappointing.”
According to the indictment, the narcotics unit also had access to property intended for maintaining and assembling undercover equipment. Prosecutors said Henderson and his officers instead used it to restore antique cars.
Henderson’s cars that were restored in the building included a 1968 Chevrolet Chevelle and a 1972 Ford F-100, the government said.
Court documents show Henderson has until March 28 to take a plea deal or his trial will begin April 26. In the meantime, the judge barred Henderson from making contact with any victims, witnesses or co-defendants, excluding his wife and children. He’s also not allowed to have a gun or drink alcohol.
This story was originally published February 21, 2022 at 1:19 PM with the headline "Narcotics chief used seized drug money on Apple shopping sprees, home repairs, feds say."
