Steel Stephens testifies against Martha Shoffner

(KATV)- Former bond broker and informant to the FBI, Steel Stephens, took the stand today in the trial of former Arkansas treasurer Martha Shoffner.

Stephens said at first he had little contact with Shoffner, likening her to "The Wizard of Oz," adding "you don't contact the wizard."

But Stephens testified he eventually came to know her better and felt sorry for her financial situation.

"I felt kind of sorry for her. She had lost a lot. Her mother died. Her car was gone. I just felt sorry for her and thought I'd help her," Stephens said.

In their first encounter, Stephens said he went to the state capitol and met with her in a conference room. He said he gave her a roll of 100 dollar bills.

"She looked at it and said 'I hope there are no cameras in here' and put it in her purse," Stephens said.

Shoffner is accused of taking 36,000 dollars from Stephens and in turn doing more than double business with him than with other brokers.

Stephens also detailed how Shoffner would give him updated reports on the state's exclusive bond portfolio. They would meet at night because Shoffner said she was being watched by dark SUVs.

"We'd sit on a bench. Smoke a cigarette. We would talk. We'd get up and hug and that's when she'd hand it to me," Stephens said.