Sheriff’s Trial Moved to Marion Co. as State Places Lien on His Home

INDIANAPOLIS — A judge has officially granted a change of venue for the high-profile felony official misconduct trial of Clinton County Sheriff Richard Kelly and his wife, former jail matron Ashley Kelly.
Originally set to take place in Clinton County, the trial will now be held on May 11, 2026, in Marion County. The couple’s defense team successfully argued that “public hostility and outrage” in their home county had reached an “all-time high,” making a fair trial impossible.
They specifically pointed to recent reporting and a separate set of felony fraud charges filed against them in Marion County as factors that have “prejudiced and castigated” public opinion. The move marks a shift in a sprawling legal saga that now involves both the criminal and civil divisions of the Indiana justice system.
Attorney General Targets Personal Property for Restitution
While the Kellys prepare for their May trial, Indiana Attorney General Todd Rokita’s office is moving to secure the money they reportedly owe the public.
On Friday, the AG filed a formal notice on the Kellys’ Frankfort home. This move follows a September 2025 court ruling ordering the couple and their business, Leonne LLC, to repay $329,360.47. An audit by the State Board of Accounts revealed that the couple improperly funneled jail commissary funds—money intended for inmate welfare—into their own pockets and business without county approval.
The misappropriated funds included:
$190,916.61 issued to Leonne LLC.
$32,967.92 issued directly to Ashley Kelly.
The Attorney General’s office stated that placing a lien on their property is a “priority” to prevent the couple from dissolving assets before a separate July trial regarding the disability fraud.
The legal walls closed in further as Clinton County officials utilized a new, sweeping nepotism ordinance to strip the Kellys of their workplace influence.
The new policy prohibits any county employee from being in a direct line of supervision over a relative. It explicitly names the role of Jail Matron, the position formerly held by Ashley Kelly under her husband’s supervision.
“Considering the most recent felony charges, this is a workplace safety issue,” said Board President Jordan Brewer. “There’s no way we can have employees feel unsafe or fear retaliation.”