Corsicana Daily Sun, Corsicana, Texas

August 14, 2013

Jenkins: Filing tracks money, movement

By Janet Jacobs
Corsicana Daily Sun

Corsicana — The same day that Sandy Jenkins was fired from his controller’s position at the Collin Street Bakery, he and his wife gathered up $62,500 in cash and 40 pounds of expensive watches and jewelry and fled to Austin, according to legal papers filed by the FBI.

Jenkins is accused of having stolen nearly $17 million from the bakery between 2005 and June 21 of this year, when he was fired. He is alleged to have used his powers to write checks on the bakery’s accounts to pay his own credit card bills and even his mortgages. He was arrested by the FBI on Monday and is being held in a Dallas federal lock-up.

According to a motion to detain, Jenkins put the valuables in a safe controlled by Allison, his daughter, and then Sandy and his wife Kay went to Santa Fe, where they have a second home.

Almost a month later, Sandy and Kay returned to Austin. On July 24, the FBI searched his Corsicana home and a storage unit he had on Hardy Avenue. When Jenkins heard they were searching his house, he gave the cash to his wife and daughter and told them to go hire a lawyer. He took the jewelry and watches and put them into a blue insulated Whole Foods grocery bag and told Allison to hide it for him, the filing says.

He called it “his retirement account,” according to the motion. Allison said it weighed between 40 and 60 pounds.

When Allison met with a lawyer, however, he told her to return it all to her father, which she did.

The next day, on July 25, Sandy left his daughter’s apartment with the bag of jewelry. Later that day, a gold bar, two gold coins and 16 watches worth more than $250,000 were found in and around Lady Bird Lake in Austin near the hike and bike trail by an off-duty officer with the University of Texas police department. At least a few of the watches were registered as belonging to Kay Jenkins, or were bought from the Jenkins’ favorite jewelers.

Although some of the valuables were found, the FBI asserts that there was much more hidden by Jenkins that day.

“The government was able to recover 16 watches, one gold bar, and two gold coins, but that is unlikely the full extent of the valuables in the blue, insulated Whole Foods bag,” the motion states. “No one has seen that bag since approximately July 25, the day after the FBI executed the search warrant.”

On Monday, when the FBI was searching Jenkins’ house on Third Avenue for the second time, Allison texted Sandy asking about the bag of jewelry, but he didn’t answer, according to the FBI papers.

There hasn’t been an indictment yet, but the FBI claims the evidence is stacking up against him.

He allegedly misused the U.S. Postal system 888 times, each of which is a separate mail fraud charge, punishable by up to 20 years in federal prison for each count. The government could also seek charges for money laundering, tax evasion or obstruction of justice counts, the motion states.

A civil suit filed in Navarro County by the bakery against Jenkins alleges that he stole from them by paying his own bills off the bakery’s bank accounts. He covered it up by posting the checks as voided in the computer system, then writing fake checks to actual bakery creditors. Among the checks written were more than $11 million to Jenkins’ American Express account.

Over the course of eight years, he allegedly bought 43 luxury automobiles for himself and his wife, as well as 232 flights on private jets to fly to his second home in Santa Fe, and trips to Martha’s Vineyard, Aspen, Turks and Caicos, and Napa, Calif.

One of their favorite jewelers was DeBoulle in Dallas, although they also spent more than $1 million at Nieman Marcus over the years.

The jewelry collection was estimated to be worth more than $3 million, and included three gold Rolex watches, a platinum President Rolex, two additional Rolex watches, GBW watches, Prada watches, three Wellendorff rings, and “incredible” amounts of jewelry, according to the temporary injunction filed in District Court in Navarro County. The injunction was put in place to freeze his assets, including his credit cards and bank accounts.


Janet Jacobs may be reached via email at Want to “sound off” to this article? Email: