It is extremely disheartening when an elected official, someone sworn to protect the community they serve, violates that oath by stealing relief funds intended to aid their community, said Keri Farley, special agent in charge of FBI Atlanta. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. Stonecrest mayor pleads guilty to federal fraud charges, Former mayor of Stonecrest, bookkeeper plead guilty to theft of COVID-19 relief funds, LIST: Schools across Georgia closing early ahead of possible severe weather, Gallery of storm damage across GA: Send us your photos, videos, Firefighters rescue Cherokee County man buried up to his neck in trench, Excel Church gives despite recovery from fire, Father and 9-month-old daughter reported missing in Clayton County, 26-year-old woman shot while driving in Decatur, Sign up for Atlanta News First Newsletters. The first is verse 22, "The stone rejected by the builders has become the corner-stone". Mayor Jason Lary and others in the city of Stonecrest is charged with mishandling 650,000 of CARES money meant for the citizens of Stonecrest. He's accused of federal fraud related to COVID-19 relief funds. Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. Lary, 60, pleaded guilty in January to wire fraud, federal program theft and conspiracy to commit federal program theft. Lary, 60, pleaded. He also resigned as the citys mayor. Sentencing is scheduled for May 12. Instead, Lary spent the money to pay his own property expenses and his dues to the Georgia Campaign Finance Committee. Lania Boone, Larys co-conspirator, pleaded guilty to conspiracy on February 11, 2022. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. The government said no marketing was ever done. Boone and the former Mayor conspired to fraudulently line each others pockets with relief funds that were desperately needed by struggling businesses in Stonecrest, said U.S. Attorney Ryan K. Buchanan. Stonecrest mayor appeared in federal court about misusing CARES fund Mayor Jason Lary and others in the city of Stonecrest is charged with mishandling 650,000 of CARES money meant for the citizens of Stonecrest. The city will hold a special election on May 24 to fill the rest of the mayor's term after the office was vacated by Jason Lary in January. One of the grants was to his church, which he awarded $150,000. ATLANTA - After spending nearly a year proclaiming his innocence, former Stonecrest mayor Jason Lary admitted masterminding a scheme to steal COVID relief funds. It's been five years since a Carroll County man mysteriously disappeared from his home. Now, the sheriff's office is hoping to reignite the search on this cold case. The City Council voted Monday to set the election date, determine qualifying information and formally ask ask the DeKalb County Board of Registrations and Elections to run the election. Credit: Photo courtesy of Boston College Athletics, Former Stonecrest mayor pleads guilty to federal fraud charges, Stonecrest passes on March election date to replace mayor after guilty fraud plea, Jahmyr Gibbs: Georgia Tech helped make me who I am today, Georgia Tech closes regular season with win over Boston College. In or about November 2020, Stonecrest published an application on its website for businesses to apply for relief funds under the Small Business Program. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. She is scheduled to be sentenced on August 15, 2022. An official website of the United States government. Lary agreed that he diverted at least $650,000 in relief money by requiring Stonecrest churches and businesses to kick back a portion of their grant money to companies he controlled. Official websites use .gov Former Stonecrest Mayor Jason Lary and his former bookkeeper have pleaded guilty to charges related to allegedly stealing COVID relief funds awarded to Stonecrest during the pandemic, officials said. Learn about careers at Cox Media Group. The city will hold a special election on May 24 to fill the rest of the mayors term after the office was vacated by Jason Lary in January. Former Los Angeles City Councilmember Jose Huizar pleaded guilty Friday to charges of racketeering and tax evasion, admitting that he extorted at least $1.5 million in bribes from real estate . An official website of the United States government. A bookkeeper was also involved in the scheme and arraigned, records show. He then asked the church to give $50,000 back to one of the companies included in the scheme. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. Atlanta, GA 30303-3309. As you can tell with technology, it can be immature and ridiculous, and thats fine, Lary said. Jason Lary was accused of stealing more than. Hardworking people like us, Will Morrell said. Jason Lary, the former mayor of Stonecrest, pleaded guilty, according to a news release. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. Residents will soon get a chance to elect a new mayor in Stonecrest. Former Stonecrest mayor pleads guilty to federal fraud charges, Former Stonecrest mayor resigns and plead guilty to federal fraud charges, WSB-TV Channel 2 - Atlanta facebook feed(Opens a new window), WSB-TV Channel 2 - Atlanta twitter feed(Opens a new window), WSB-TV Channel 2 - Atlanta instagram feed(Opens a new window), WSB-TV Channel 2 - Atlanta youtube feed(Opens a new window), more than $650,000 in COVID-19 relief funds, Reality star Honey Boo Boo was inside speeding Dodge Charger involved in chase with Ga. deputies, 49-year-old man shot multiple times during drug deal in northeast Atlanta, police say, A 17-year-old Gwinnett County girl thought she was taking Percocet; now shes dead, Man rescued after being accidentally buried alive in Cherokee County, Our capital city will die: Georgia senators reject proposal to separate Buckhead from Atlanta. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. 75 Ted Turner Dr. SW U.S. District Judge Thomas W. Thrash sentenced Stonecrest ex-mayor Jason Lary to 57 months in federal prison and ordered him to pay nearly $120,000 in restitution. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. February 21, 2022 Chris Butler. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. Lary previously denied the accusations of fraud. Court documents show he was arraigned on the charges after relief funds expected to be allocated to the Stonecrest Cares Program and Small Business Program never made it to the city initiatives. Last year the Northern District of Georgia US Attorney's office prosecuted at least 100 people involved in a total of $26 million in CARES Act fraud. Former Stonecrest Mayor Jason Lary is met by FOX 5 I-Team Reporter Randy Travis as he walks into the federal courthouse in Atlanta to enter a guilty plea to stealing CARES Act money on Jan. 5, 2022. Briefs: 11Alives news director goes to Gray; Honey Boo Boos boyfriend arrested; Marlon Woman accused of killing ill husband released from jail, Class 7A: Semifinal coverage from Georgia State, DeKalb volunteers to plant 150 trees during March, Decatur hosts second community meeting on March 2, Atlantas Carter Center preps for future without founder, Photography club captures hope during pandemic, March food and drink events to check out in metro Atlanta. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. Both Boone and Lary remain out of jail on bond until their sentencing hearings. STONECREST CITY COUNCIL VOTES TO CENSURE MAYOR AFTER IMMATURE PUBLIC REMARKS, "Lary allegedly abused the power and trust conferred on him as Mayor of Stonecrest to steal hundreds of thousands of dollars intended for COVID-19 relief," said Acting U.S. Attorney Kurt R. Erskine. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. In another case, Lary allegedly gave a church $50,000. Lania Boone received a sentence of six months and one day in prison to be followed by three years of supervised release and was ordered to pay restitution in the amount of $7,657.47. The rescue team said the man was buried up to his neck in soil. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). This story is breaking. Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. Lary was supposed to be in office until the end of 2023. His sentencing hearing has been set for May 2. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. Briefs: 11Alives news director goes to Gray; Honey Boo Boos boyfriend arrested; Marlon Woman accused of killing ill husband released from jail, Class 7A: Semifinal coverage from Georgia State, DeKalb volunteers to plant 150 trees during March, Decatur hosts second community meeting on March 2, Atlantas Carter Center preps for future without founder, Photography club captures hope during pandemic, March food and drink events to check out in metro Atlanta. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. The city's first mayor did not mention his legal troubles in a resignation speech. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. His legal team is citing his health and lack of criminal record should merit a lighter sentence. He then asked the church to give $50,000 back to one of the companies included in the scheme. InJuly 2020, the DeKalb County Board of Commissioners voted to disburse some of the relief funds to its municipalities, including a $6.2 million grant to Stonecrest. The population is now 60,000 with a budget of more than $13 million. Lary did not tell the businesses that he controlled these entities. Lock The 60-year-old Lary pleaded guilty in January to fraud and theft charges. ) or https:// means youve safely connected to the .gov website. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justices National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. A bookkeeper and spouse of a former Stonecrest official accepted a plea deal in federal court Friday afternoon for participating in the same fraud scheme that brought down the city's founding. On Wednesday, Channel 2s Tom Jones was in the courtroom as Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Hopefully, he gets all of that, Morrell said. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. Andrea V. Watson. 2023 FOX Television Stations. Richard B. Russell Federal Building A .gov website belongs to an official government organization in the United States. The former mayor of Stonecrest who pleaded guilty to federal fraud charges is making a punishment request. With Lary now 60 years old and with no criminal history, his legal team requested that house arrest, community service and statutory required supervision be considered for his sentence. Instead Lary worked behind the scenes to form a private company, Municipal Resource Partners Corporation, Inc. (MRPC), recruit its CEO, open its bank accounts, and ensure that Lania Boone, his convicted co-conspirator, would be hired as MRPCs bookkeeper. Lary did not tell Church 1 at this time that he actually controlled REMC. Learn about careers at Cox Media Group. Richard B. Russell Federal Building The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. This material may not be published, broadcast, rewritten, or redistributed. Suite 600 BREAKING: A bookkeeper and spouse of a former Stonecrest official accepted a plea deal in federal court Friday afternoon for participating in the same fraud scheme that brought down the city's. Cobbles term is set to expire in 2026, so another special election will be necessary. His sentencing is set for May 2. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. The phrase is quoted by Jesus, who applies it to his mission of death and glory, after having told the . In one case, federal investigators alleged that Lary gave a church $150,000 under the condition that they would give a third of the money to a company called Real Estate Management Consultants LLC, which Lary controlled. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. U.S. District Judge Thomas W. Thrash sentenced Stonecrest ex-mayor Jason Lary to 57 months in federal prison and ordered him to pay nearly $120,000 in restitution. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. Boone agreed to cooperate with government agents, provide records and testify at future trials. Lary announced his resignation to the city on a Zoom call Tuesday. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. Lary issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. The relief funds were designed to cover costs during the public health emergency. Later, in March 2021, after learning of an investigation into the citys handling of relief funds and knowing that the business had never filed paperwork to support the grant, Clarence Boone attempted to conceal the scheme by directing the businesss owner to submit an application that contained false statements, even though the Small Business Program had already ceased operations. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. STONECREST, Ga. - A bookkeeper hired by former Stonecrest mayor Jason Lary has pleaded guilty to conspiracy for her part in a scheme to steal COVID relief funds. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes., It is extremely disheartening when an elected official, someone sworn to protect the community they serve, violates that oath by stealing relief funds intended to aid their community, said Keri Farley, Special Agent in Charge of FBI Atlanta. His sentencing is set for May 2. The last day Stonecrest residents can register to vote in time for the special election is April 25. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. Father defends terrified family with machete after home intruder breaks through window in middle of night, Paolo Banchero scores 31 points, Magic beat Hornets 117-106. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. U.S. Attorney's Office, Northern District of Georgia, Former U.S. SB 300, also called the Sentencing Reform Act, would rewrite part of Proposition 115, a 1990 ballot initiative that expanded the definition of first-degree murder to include murder committed . A locked padlock "Instead of providing aid to Stonecrests deserving citizens, Lary allegedly diverted funds for his own use, including to pay off his taxes and the mortgage on his lakefront home.". Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. That decision will be made at a later date. Since Larys term was set to expire at the end of 2023, the city charter requires a special election to fill his post. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. She also agreed to pay restitution. He said he had surgery in late December 2020. Stonecrest Mayor Jason Lary on Wednesday pleaded guilty to wire fraud, federal program theft and conspiracy to commit federal program theft, The Atlanta Journal-Constitution reported. Attorneys for the Northern District of Georgia, Stonecrests former Senior Economic Development Manager pleads guilty to theft of COVID-19 relief funds, https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form, CEO of Atlanta engineering firm pleads guilty to failing to pay payroll taxes, Arizona man pleads guilty to extorting Georgia Tech, Georgia woman charged with stealing over $450,000 in government and retirement benefits, Stonecrests Former Senior Economic Development Manager Pleads Guilty To Theft of COVID 19 Relief Funds. Jason Lary, whose resignation. Former Stonecrest mayor Jason Lary is asking for a lighter sentence than he faces after pleading guilty to allegedly stealing COVID relief funds awarded to the city during the pandemic. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . District 3 Councilwoman Jazzmin Cobble announced last week she will resign her post once she qualifies to run for mayor, and former District 5 councilwoman Diane Adoma told The Atlanta Journal-Constitution she will run as well. All rights reserved. Stonecrest residents that Jones talked to were outraged. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Candidates must pay a $600 qualifying fee. He explained he needs to take some time to work with doctors and care for himself. Secure .gov websites use HTTPS The potential stakes are high for offenders who break new guidelines. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. [SIGN UP: WSB-TV Daily Headlines Newsletter]. The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. Under the CARES Act, the federal government distributed COVID-19 relief funds to individual Americans, federal agencies, and state and local governments, including $125 million to DeKalb County. Official websites use .gov Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. Under the CARES Act, the federal government distributed COVID-19 relief funds to individual Americans, federal agencies, and state and local governments, including $125 million to DeKalb County. Former Stonecrest mayor pleads guilty to federal fraud charges, Former Stonecrest mayor resigns and plead guilty to federal fraud charges, Stonecrest mayor appeared in federal court about misusing CARES fund. . His plea came the same morning his resignation as mayor of Stonecrest became official. Now, the sheriff's office is hoping to reignite the search on this cold case. Lary is free on bond. Instead of being a trustworthy steward of CARES Act funding, Clarence Boone and his co-conspirators schemed to misappropriate those funds to enrich themselves at the expense of those less fortunate. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. Ignoring input from the official selection committee, from about November 2020, until about February 2021, Boone signed dozens of checks on behalf of MRPC, directing relief funds to individuals, businesses, churches, and non-profit organizations of Larys own choosing. and were incurred during the period that [began] on March 1, 2020, and [ended] on December 30, 2020. Examples of eligible expenditures were medical expenses, public health expenses, and grants to small businesses to reimburse the costs of business interruption caused by required closures. Former Stonecrest Mayor Jason Lary is met by FOX 5 I-Team Reporter Randy Travis as he walks into the federal courthouse in Atlanta to enter a guilty plea to stealing CARES Act money on Jan..
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