The former East Hampton budget director was arrested Thursday for allegedly transferring preservation fund money illegally.

Suffolk County District Attorney Thomas Spota says Ted Hults stole money from a fund that is only used to purchase open space and farmland. Prosecutors say Hults used the money to pay town workers in 2006.

According to Spota, Town Supervisor William McGintee was also in on the illegal transfers. Spota says an investigation into McGintee?s role is still ongoing.