SUNFLOWER COUNTY, Miss. (WJTV) – A former North Sunflower Medical Center (NSMC) Board of Trustees member and his employee were arrested for submitting fraudulent invoices, according to the State Auditor’s Office.

State Auditor Shad White said Phil McNeer, the former board member, and Chris Waldrup concealed the true identity of McNeer’s business through the submission of fraudulent invoices to the NSMC under Waldrup’s name.

McNeer and Waldrup are accused of submitting 216 fraudulent invoices between March 2015 and March 2025, causing the hospital to make payments to, and for the benefit of, businesses owned by McNeer. As a NSMC board member, White said McNeer was prohibited by law from using his position to benefit himself or any business he is associated with.

The State Auditor’s Office issued a $1.2 million demand to McNeer and Waldrup.

If convicted, McNeer faces up to $26,000 in fines and up to 30 years in prison, and Waldrup faces up to $21,000 in fines and up to 20 years in prison.