The trial of former Michigan House Speaker Lee Chatfield, who faces multiple charges alleging he misused hundreds of thousands of dollars from a series of political funds, faces another delay after his attorney said he will appeal the inclusion of a government witness.
Chatfield had been scheduled to face trial starting Tuesday, Sept. 22, in Ingham County's 30th Circuit Court, more than two years after Attorney General Dana Nessel's office issued 13 felony charges related to embezzlement and fraud, the most serious of which carries a maximum penalty of 20 years in prison, if convicted.
Chatfield, a Republican from Levering who led House Republicans in 2019 and 2020, has pleaded not guilty to all charges.
His attorney, Mary Chartier, argued at a hearing
in front of Ingham Circuit Judge Morgan Cole on Monday, Sept. 21 against the inclusion of Michelle Gallagher, a forensic accountant hired by government prosecutors to analyze Chatfield's spending. Chartier confirmed she will appeal the inclusion of Gallagher's testimony, pausing the trial pending a ruling from the Michigan Court of Appeals.
Nessel's office confirmed Cole issued a stay in the case, adjourning proceedings until the Court of Appeals weighs in. It's not clear when the Court of Appeals could issue a ruling, meaning Chatfield may not be tried for months.
The delay is notable since Nessel, whose office has handled the case after police opened an investigation into Chatfield in late 2021, is term-limited and will be replaced by a new attorney general at the start of 2027.
In a statement provided to the Free Press by her office, Nessel slammed the latest delay and said the court had been "bending over backwards" to accommodate efforts to delay the trial further.
"This case was charged two and a half years ago, bound over to this court for trial 15 months ago ― this case should have been tried by now, and would have been, if not for the Court's excessive, needless, and irrational adjournments," Nessel said Sept. 21. "And now it's possible the case may never be tried at all if the next attorney general simply dismisses the charges for political purposes."
State prosecutors, in court filings and previous testimony, have alleged Chatfield used funds during his time in office from a series of 501(c)4 nonprofits to cover personal expenses, including clothes, vacations and tabs at upscale restaurants.
During his time in Lansing, Chatfield was considered a darling of Republican politics and an extremely strong fundraiser. Chatfield used multiple 501(c)4 nonprofit funds to raise millions of dollars in campaign funds.
Sometimes called social welfare funds, 501(c)4s are advantageous for lawmakers because they allow for greater fundraising and less transparency than traditional campaign committees because they’re not subject to the same contribution limits and disclosure requirements. Funds controlled by Chatfield took in more than $5 million in six years and more than $2 million during his last year as speaker, Nessel said in April 2024 when charges against Chatfield were announced.
In previous hearings, Chartier has argued in court Chatfield did not commit any wrongdoing. And if any spending or reimbursements made by the funds were improper, she previously argued it should have been flagged by the law firms hired to oversee the accounts, and Chatfield should not be held responsible.
Gallagherpreviously testified at a preliminary examination hearing for Chatfield in Feb. 2025. At that hearing, she testified one such fund controlled by Chatfield, the Peninsula Fund, paid off nearly the entirety of a $153,000 credit card balance and many of the purchases on the card didn't appear to line up with the Peninsula Fund's stated goals.
Chatfield was charged in April 2024 following a yearslong investigation after Rebekah Chatfield, his sister-in-law, told Lansing police in December 2021 she had been sexually assaulted by Lee Chatfield from the time she was 15 years old and a student at the northern Michigan religious school where Lee Chatfield taught.
At the time, Lee Chatfield's attorney, Chartier, denied any sexual assault took place. Chartier previously said a years-long consensual affair took place between Lee Chatfield and Rebekah Chatfield, when both were adults.
Michigan State Police began investigating Lee Chatfield after the allegations were made and were later joined by Nessel’s office in the investigation. The probe later expanded to investigate allegations of campaign finance violations.
Nessel announced a series of charges related to alleged financial misconduct against Lee Chatfield and his wife Stephanie Chatfield in April 2024. At the time, she said the investigation into allegations of sexual assault were closed without charges.
In June, Stephanie Chatfield pleaded guilty to a single count of embezzlement of between $200-$1,000 from a nonprofit organization. Previously, she faced two more serious charges of embezzlement in the probe, each carrying maximum penalties of up to 10 years in prison, if convicted. She was later sentenced to six months probation.
Rebekah Chatfield testified as a government witness during the case's preliminary exam. She did not address the sexual assault allegations during her testimony but said she reported financial misconduct took place when she approached police in December 2021.
You can reach Arpan Lobo at alobo@freepress.com
This article originally appeared on Detroit Free Press: Trial for ex-Speaker Lee Chatfield delayed after lawyer challenges witness
