OKLAHOMA CITY — A high-profile fraud trial over a state park restaurant deal is putting Oklahoma’s contracting and oversight practices under scrutiny, as former tourism director Jerry Winchester testified he did not approve inflated invoices submitted by restaurateur Brent Swadley.
According to reporting by The Oklahoman, Winchester told jurors Tuesday he would have stopped any improper billing had he known about it.
“If you knew they were doing it, would you have put an end to it?” prosecutor Gayland Gieger asked.
“Yes, sir,” Winchester responded.
Prosecutors allege Swadley defrauded the state through padded invoices tied to a contract with the Oklahoma Department of Tourism and Recreation, raising broader questions about how the agreement was structured and monitored.
The deal reimbursed Swadley’s company for construction costs, covered operating losses — eventually exceeding $2.1 million annually — and paid management fees that grew to more than $1.3 million per year. Prosecutors argue the arrangement minimized financial risk for the vendor while enabling inflated claims to be submitted for reimbursement.
Swadley, 55, faces one count of conspiracy to defraud the state and five counts of presenting fraudulent claims. He has denied wrongdoing and could face up to 20 years in prison if convicted.
Winchester testified the department canceled the contract in April 2022 after concerns surfaced about questionable invoices, including charges for “new” meat smokers that were later determined to be used equipment.
“This was an insurmountable problem,” he said.
Jurors have also heard testimony that supporting paperwork was falsified. A restaurant supplier testified he was instructed to inflate prices on documents submitted to the state, according to The Oklahoman.
Defense attorneys have challenged that narrative, questioning whether documentation explicitly described the equipment as new and probing Winchester’s role in the contract. District Judge Susan Stallings limited some of that questioning, emphasizing the case centers on alleged fraudulent claims rather than contract terms.
Winchester, appointed by Gov. Kevin Stitt in 2019, resigned the same day the contract was terminated and the state filed suit against Swadley’s company. He acknowledged he had a prior business relationship with Swadley before entering state government.
The trial is ongoing.
— Reporting by The Oklahoman
