By Jim Hannah
The Cincinnati Enquirer

COLD SPRING - The attorney for Rev. Larry Davis said Tuesday that the First Baptist Church pastor has not taken any money from the congregation's building fund.

"In the 18 years he has been pastor of this church, Larry Davis has not stolen one cent," said Jim Morgan of Newport. "The money in question has been spent on proper church expenses."

Kentucky State Police and the Campbell County commonwealth's attorney launched an investigation into the congregation's finances after its treasurer wrote a letter Jan. 23 to police. The letter stated that money had been withdrawn at horse race tracks and at Internet gambling sites.

The treasurer told police he pinpointed $500,000 worth of questionable transactions after getting a call from Fifth Third Bank.

Morgan would not explain why the treasurer thought money had been spent on gambling, but said Davis had provided him with a reasonable explanation for all the questions raised by the treasurer.

"This has all been very frustrating to (Davis)," Morgan said.

State police detectives seized financial records at both the church and Davis' home on Friday. No charges have been filed against Davis.

On Thursday, a Campbell County grand jury will begin hearing testimony in the case.

E-mail jhannah@enquirer.com