A former lieutenant at Plainfield Correctional Facility has pleaded guilty to falsifying employee time records in a scheme that cost Indiana taxpayers more than $3,163 in overpayments. Jacob Kauth, who was fired from his post on June 18, 2024, admitted to approving or submitting false time records for a subordinate who was also his romantic partner and lived with him.
The Hendricks County prosecutor reached a plea agreement with Kauth on August 31, according to WISH-TV, resolving a case that began with felony charges of official misconduct, fraud, and conspiracy to commit theft filed in May 2025. Under the deal, Kauth's fraud charge was entered as an Alternative Misdemeanor, a resolution permitted under Indiana law that allows qualifying Level 6 felonies to be resolved as Class A misdemeanors, sparing defendants long-term felony consequences, according to the Hayes Law Office. Official misconduct by a public servant is otherwise classified as a Level 6 felony under Indiana law, carrying six months to two-and-a-half years in prison and fines up to $10,000, according to Justia Law.
An Internal Audit Uncovered the Scheme
An Indiana Department of Correction audit uncovered the fraud, which involved more than 98 falsified hours. The employee had not submitted proper time slips and did not enter the facility on multiple dates despite being paid for shifts, per the same reporting from WISH-TV. As part of the plea, Kauth must repay the $3,163.90 to the state, serve one year of probation, complete 80 hours of community service, and attend a theft class.
Court records tied to the May 2025 charging of co-defendant Sandra Vargas, Kauth's romantic partner who lived with him, show she transferred to the night shift under his direct supervision at Plainfield Correctional Facility in December 2023. An internal audit identified eight specific unworked shifts paid to her across March, April, and May 2024, according to WRTV.
Inspector General Calls It a Breach of Public Trust
Indiana Inspector General Jared Prentice said falsifying time records is a gross violation of public trust, adding that state employees are taxpayer-paid employees and are expected and entrusted to serve Hoosiers honestly and responsibly. Prentice's office said it will continue working with agency partners and prosecutors to hold individuals accountable for criminal activity and misconduct. Governor Mike Braun appointed Prentice to the role on January 31, 2025, tasking him with overseeing investigations into fraud, waste, abuse, and mismanagement across state executive branch agencies, according to the Office of Governor Mike Braun.
Timekeeping enforcement at state agencies, including the Department of Correction, has been a recurring focus for the Inspector General's office. The agency's 2024 case reports explicitly listed investigations into Department of Correction ghost employment and misuse of state property among its primary completed cases, according to the Office of the Indiana Inspector General. In May 2026, the office announced Level 6 felony theft and official misconduct charges against former Indiana Veteran's Home employee Steven L. Harris, alleging he claimed state pay for visits he never performed while using a state vehicle for unauthorized personal travel, according to The Indiana Lawyer. And in September 2025, the Inspector General filed a formal ethics complaint against former Public Safety Secretary Jennifer-Ruth Green, alleging she directed state staff to perform non-official duties while on state-paid time, per WFYI.
A Shift in Transparency Policy
In July 2026, Prentice altered agency policy to stop publishing public investigative summary reports online prior to formal court or ethics adjudications, citing legal risks and due process rights for accused individuals, WTHR reported. The OIG had previously published investigative reports online dating back to 2005.
Plainfield Correctional Facility is a medium-security prison in Hendricks County housing approximately 1,600 adult male inmates in dormitory-style units, and it originally opened in 1969 as the Indiana Youth Center before transitioning to an adult facility. The prison has faced other scrutiny this year: in July 2026, an inmate was sentenced to 50 years for fatal beating of a medically vulnerable fellow prisoner inside the facility, a case that prompted calls from prisoner rights advocates for institutional reforms.
