Second Arrest Made in TDC Fraud Case

The Bay County Sheriff’s Office has arrested Stephen Bailey, the Vice President of Sales and Marketing for the Tourist Development Council (TDC), on charges of Grand Theft and 22 counts of Fraudulent Use of a Credit Card.

Investigators initiated a probe on January 3, 2026, into the alleged misuse of TDC funds. They uncovered that between August 2024 and February 2025, Bailey made unauthorized charges on a TDC-issued American Express card. These expenses included dinners in Atlanta, Fairhope, Alabama, Las Vegas, and a travel show dinner in New York City, as well as personal grocery purchases at Publix.

Further scrutiny revealed that Bailey claimed certain local dinners were client-related. However, some clients listed were out of the country at the time, indicating potential falsification of records.

Bailey initially reimbursed the TDC for some charges after being reported but later admitted to additional unauthorized expenses upon further investigation.

This arrest follows the recent detention of Aaron Lee, Vice President of Administration for the Panama City Beach Convention & Visitors Bureau (CVB), on similar charges. Lee allegedly made over 1,000 unauthorized transactions totaling nearly $1 million since April 2024, including expenditures on high-end hotels, international flights, cruises, and luxury items such as Rolex and Cartier watches.

The Bay County Sheriff’s Office continues to investigate the misuse of TDC funds, emphasizing their commitment to maintaining the integrity of public resources.

In related developments, the Bay County Clerk of Court has assumed financial oversight of the CVB to implement stricter controls and prevent future misappropriations.

Residents and stakeholders are encouraged to stay informed as the investigation progresses and to report any suspicious activities to local authorities.

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