DETROIT – Michigan State Sen. Bert Johnson (D-Highland Park) is accused of hiring a "ghost employee" with whom he allegedly conspired to pay off his personal loan debt.
He pleaded not guilty Tuesday on conspiracy and theft charges after a grand jury indicted him earlier this month.
Federal investigators believe Johnson borrowed $10,000 from a woman caught up in the Detroit Public Schools kickback scandal. Johnson didn't have the money to repay her, so he turned her into a "ghost employee." He added her to his state Senate office payroll. She earned $20 an hour without doing any work.
The arraignment is scheduled for 1 p.m.
Johnson's Highland Park home and Lansing office were raided by FBI agents and Michigan State Police troopers in March. In an interview with Local 4 after the raid, he was adamant that he had done nothing wrong.
"(I was) very surprised and even disappointed," Johnson said. "Had they called, we would have been willing to meet with them and turn over any documents they may have been looking for."
Johnson is a two-term Second District senator. If convicted, he could face up to 10 years in prison.
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