Joseph Schwartz was released from the Cummins Unit Tuesday after the Arkansas Post-Prison Transfer Board granted him parole last week. ARKANSAS, USA — A New York man who reported to an Arkansas prison last month to serve a state sentence after receiving a presidential pardon for his federal crimes has been released on parole less than a month later, according to the Arkansas Department of Corrections (DOC). Rand Champion, a spokesperson with the DOC, confirmed Joseph Schwartz was released from the Cummins Unit on Jan. 20 after the Arkansas Post-Prison Transfer Board (PPTB) granted him parole last week. "The Arkansas Post-Prison Transfer Board has no authority to grant pardons or commute sentences," the board said in a statement. "The sentence imposed by the circuit court was in no way shortened or commuted by this nondiscretionary action of the Board. Mr. Schwartz will complete his entire sentence." Schwartz was Skyline Health Care's (SCH) principal operator, and the company operated multiple nursing home facilities in Arkansas, court documents say. Arkansas Attorney General Tim Griffin said Schwartz submitted false and misleading information that impacted the daily rate paid to the Arkansas facilities and failed to pay taxes withheld from his employees' paychecks. SCH was headquartered in New Jersey. While the case in Pulaski County was ongoing, Schwartz also faced federal charges in the District of New Jersey for his role in the $38 million employment tax fraud scheme. The U.S. Attorney’s Office for the District of New Jersey said he pleaded guilty to willfully failing to pay over employment taxes withheld from employees and willfully failing to file a required annual financial report for an employee 401(k) plan with the Department of Labor. In April 2025, he was sentenced to 36 months in federal prison. Later that same month, Schwartz was sentenced to one year in the Arkansas Department of Corrections with four years suspended after pleading guilty to Medicaid fraud and tax evasion in the state case on April 30, 2025. Presidential pardon for federal crimes Schwartz served 90 days in a federal facility before President Donald Trump pardoned Schwartz for his federal crimes in November 2025, meaning he would not have to serve the rest of the federal prison sentence. However, presidential pardons cannot apply to state convictions. Schwartz was still required to report for his sentence in the Arkansas Department of Corrections. "The status of Schwartz’s federal case has no bearing on his obligations to the State, and it is completely appropriate that he be mandated to serve out the remainder of his sentence," Griffin said in a December press release. Documents say the court ordered Schwartz to report to the Arkansas Department of Corrections on Dec. 29. Despite efforts to delay his report date twice, the court denied his request. “Schwartz still owes the State of Arkansas nine months of incarceration per his plea deal, and I am pleased that the Court has ordered him to report to the Department of Corrections to complete his incarceration," Griffin said in December. Release from prison The PPTB granted Schwartz's transfer during his parole hearing on Jan. 15. A statement provided by the board explained that his parole was granted because he was convicted of non-violent crimes. Additionally, under state law, the board does not have the authority to block a transfer from prison to community supervision. "Nondiscretionary offenses are non-violent offenses which are statutorily non-deniable for parole," the board said in a statement. "The Post-Prison Transfer Board has no volition in these cases to deny an offender’s transfer from prison to community supervision once that offender becomes parole eligible." The board said Schwartz would serve the remainder of his sentence under the supervision of the Arkansas Division of Community Correction. "This action of the board was simply to ratify the conditions of supervision that are appropriate for this offender, which includes stipulating that he repays the restitution owed," PPTB said. The Arkansas Attorney General's Office shared the following statement after Schwartz's release: “Joseph Schwartz returned to Arkansas on December 29 to serve the remainder of the time he owed the state per his plea agreements. While in custody, the Department of Corrections adjusted him from Class II to Class I, making him eligible for an earlier parole. He followed state procedures in obtaining the Arkansas Post Prison Transfer Board’s parole decision. His release notwithstanding, he still must pay the restitution he owes, and we will continue working to ensure he does.”