Former Center City Clerk pleads guilty to wire fraud

The former Center, Missouri city clerk who embezzled more than $300,000 from the small Ralls County town of about 500 people, has pleaded guilty to a few of the myriad of charges she faces.

Tracey Ray was in U.S. District Court in St. Louis on Friday. She pleaded guilty to one count of wire fraud and one count of federal program theft. Federal prosecutors are dropping two other wire fraud counts.

In court, Ray, 48, admitting stealing more than $317,000 from City of Center bank accounts beginning in January 2015 into 2019. According to her indictment, here’s where the money went:

“As part of her fraudulent scheme, on approximately 30 occasions, Ray used Center bank funds to pay for charges on her personal GM credit card.  Center funds used to pay for personal charges on Ray’s GM credit card totaled approximately $206,342.53, and were for such personal expenses as retail vendor charges, entertainment, lodging and travel, hair salons, restaurants and grocery store charges.  These personal credit card payments were made either by Ray’s issuance of Center bank checks, or by Ray’s wire transfer of Center bank funds.  Further, through these unauthorized credit card charges and payments, Ray earned and spent an additional approximately $1,911.00 in reward funds.  On approximately 39 occasions, defendant Ray issued Center bank account checks in the approximate total amount of $62,537.76 to Anthem Blue Cross and Blue Shield to pay for the premiums on a family health insurance policy, as well as on life and disability policies for her and her family members.    

As a further part of her scheme, Ray issued five additional Center payroll checks to herself in the total amount of approximately $3,580.00, depositing each of those checks into her own personal bank account.  On 49 occasions, Ray issued checks on one or more City bank accounts, in the total approximate amount of $35,546.85, to directly pay for the purchases of personal items and services unrelated to the legitimate business and operations of Center.  Ray issued these Center checks to make personal purchases at a number of retailers, such as Kohl’s, Lowe’s, Walmart, and Hobby Lobby, as well as to pay for her personal residential mortgage and personal insurance policies.  She also issued one or more of these Center checks to her family members, unrelated to the legitimate business and operations of Center.  Further, Ray, as Center’s City Clerk, received cash payments from Center residents for various city charges, but Ray failed to deposit those cash receipts into the appropriate Center bank account.  Instead, Ray used those cash proceeds, in the total amount of approximately $7,407.45, for her own personal use, unrelated to the legitimate business and operations of Center without the knowledge and authority of Center and its Board of Aldermen.“

Ray remains free on bond with sentencing scheduled for August 17.

While facing the embezzlement charges, she was still Center City Clerk during a July 2019 shootout with officers from Ralls County Sheriff’s Department. The Center Board of Aldermen fired her as clerk the next day.

Ray faces two counts of 1st Degree Assault and two counts of Armed Criminal Action in the incident that wounded former Ralls County Sheriff Gerry Dinwiddie and former Chief Deputy Ronald Haught. Ray was also wounded during the altercation.

Ray has pleaded not guilty to the charges in connection with the shooting. That case is being heard in Boone County Circuit Court on a change of venue.