Gatesville CEO Arrested, Accused of Misusing More Than $300,000 in Company Funds

Coryell County law enforcement announced the arrest of 32 year old Timothy Cottongim of Gatesville on December 11, 2025, after an affidavit alleged he used Mavrick Rentals LLC accounts for personal spending. The charge is misapplication of fiduciary property over $300,000, a first degree felony. Investigators allege bank records showed transfers inconsistent with legitimate business expenses and that Cottongim admitted using the business account for personal expenditures during an interview.

The sheriff’s office affidavit says investigators began looking into complaints in October after bank statements flagged transactions that included transfers to personal accounts, veterinary bills, healthcare costs, grocery bills and other non business spending paid from company accounts. The Coryell County Sheriff’s Office Criminal Investigation Division is working the case with federal partners including U.S. Army CID and the U.S. Secret Service. Investigators reported the inquiry remains ongoing and that further steps including possible additional charges and court dates are pending.

For local residents and landlords, the case underscores how financial mismanagement at small property management firms can ripple through the rental market. An alleged misapplication exceeding $300,000 represents a substantial sum for a locally based rental company and could translate into delayed maintenance, missed vendor payments, or disruptions to services tenants expect. Vendors and contractors who performed work for Mavrick Rentals may face delays in payment until investigators and any receivership or court processes resolve the company’s accounts.

The involvement of U.S. Army Criminal Investigation Division is notable given the presence of military personnel and installations in the region, and the Secret Service partnership indicates investigators are treating the matter as a complex financial crime that may cross jurisdictions. The sheriff’s office emphasized its focus on thoroughly investigating alleged fraud and coordinating with federal partners to ensure proper handling of financial records.

Tenants and contractors who believe they were affected can contact the Coryell County Sheriff’s Office Criminal Investigation Division to report their concerns. As the case moves toward potential indictments and court proceedings, it will be important for local property owners and small business operators to review accounting controls and for regulators to consider whether stronger oversight is needed for firms holding client funds.