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Lary placed the defendant, Clarence Boone, who was then Senior Economic Development Manager for Stonecrest, in charge of overseeing the Small Business Program. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. 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. Lary allegedly had the city improperly enter into a contract with a recently founded nonprofit, Municipal Resource Partners Corporation, to distribute the citys funds as a way to siphon money toward himself and cohorts. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. Up to $10,000 reward now being offered in finding missing Georgia family man in Baton Rouge, Woman shot near DeKalb gas station; police say person cut her off, pulled out handgun, Forecast | Bright sunshine returns for the weekend, Metro Atlanta, north Georgia hit with widespread damage after storms produce powerful winds, Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID relief funds, Ex-Stonecrest mayor pleads guilty to federal fraud charges, Stonecrest mayor, who is facing federal charges, says he will resign. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. He's accused of federal fraud related to COVID-19 relief funds. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia 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. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. The first is verse 22, "The stone rejected by the builders has become the corner-stone". The potential stakes are high for offenders who break new guidelines. Those companies were all connected to Lary. . None the less, I will continue to serve the people of the great city of Stonecrest.". Atlanta, GA 30303-3309. 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. Share sensitive information only on official, secure websites. A former health care executive, Lary was instrumental in convincing the General Assembly to create the city of Stonecrest along I-20 in south DeKalb County. Stonecrest received $6.2 million in Coronavirus Aid, Relief and Economic Security (CARES) Act funds, and the two are accused of taking some of the funds for themselves. 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. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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 U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. 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. However, federal authorities said Lary worked behind the scenes with an organization known as Municipal Resource Partners Corporation, Inc. ("MRPC") to disburse the relief funds. 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. He was ordered to pay restitution in the amount of $119,607.69. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. 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. As mayor, he took control of who received $6.2 million in CARES Act money. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. The city's first mayor did not mention his legal troubles in a resignation speech. Clarence Boone, 60, of Decatur, Georgia, pleaded guilty to conspiracy to commit federal program theft and is scheduled to be sentenced on March 13, 2023. His sentencing is set for May 2. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. He explained he needs to take some time to work with doctors and care for himself. Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and advertising. Lary, 60, pleaded guilty in January to wire fraud, federal program theft and conspiracy to commit federal program theft. According to U.S. Attorney Buchanan, the charges and other information presented in court: In March 2020, the President signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act into law in response to the economic fallout of the COVID-19 pandemic. This material may not be published, broadcast, rewritten, or redistributed. Stonecrest could hold a special election to fill the vacant mayor's seat as early as March. Assistant U.S. Attorney Garrett L. Bradford, Chief of Public Integrity and Civil Rights, is prosecuting the case. Lary announced his resignation to the city on a Zoom call . Stonecrest residents that Jones talked to were outraged. 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. 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. . 2023 Cox Media Group. Learn about careers at Cox Media Group. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. Suite 600 "The FBI will do everything in our power to make sure stolen funds are returned to the public, and individuals involved in this type of criminal behavior are prosecuted to the fullest extent of the law.". A .gov website belongs to an official government organization in the United States. Both Boone and Lary remain out of jail on bond until their sentencing hearings. Lary and Boone knew the purpose of the transfer was to pay off the mortgage on a lakefront home owned by Lary. Jason Lary received a sentence of four years and nine months in prison to be followed by three years of supervised release and was ordered to pay restitution in the amount of $119,607.69. ", 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. Suite 600 Former Mayor of Stonecrest sentenced to prison for stealing COVID-19 relief funds ATLANTA - Jason Lary, the former Mayor of the City of Stonecrest, has been sentenced for using his elected office to steal hundreds of thousands of dollars in federal COVID-19 relief funds allocated to the city. ATLANTA Jason Lary, the former Mayor of the City of Stonecrest, has been sentenced for using his elected office to steal hundreds of thousands of dollars in federal COVID-19 relief funds allocated to the city. Now, the sheriff's office is hoping to reignite the search on this cold case. This material may not be published, broadcast, rewritten, or redistributed. FORMER MAYOR ADMITS ROLE IN COVID RELIEF FRAUD SCHEME. 2: Person of Interest. Lary issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. Lary resigned a day before he pleaded guilty to. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. He also settled income taxes he owed going back to 2015. 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. His sentencing hearing has been set for May 2. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Jason Lary was accused of stealing more than. STONECREST, Ga. Editor's note: The video above is from a previous story. 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. Sentencing is scheduled for May 12. ATLANTA Former Stonecrest Mayor Jason Lary was sentenced to 57 months in prison Wednesday after he stole more than $650,000 in COVID-19 relief funds meant for the recovery of businesses, churches and the people of the city. Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. 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. He resigned his post on Jan. 4 and accepted a plea deal the next day for concocting the scheme. Lary announced his resignation to the city on a Zoom call Tuesday. Hardworking people like us, Will Morrell said. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. Federal authorities brought the mayor of Stonecrest to court alleging he stole hundreds of thousands of dollars in COVID-19 relief granted to the city. 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. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. 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 citys founding mayor. 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.. Puede participar en nuestro ensayo sobre EPOC? The church was then told to contribute $4,500 to REMC, which officials say the mayor used to pay his own property expenses and dues. In January 2021, Boone used her access to one of MRPCs bank accounts to wire transfer approximately $108,000 of relief funds to a mortgage servicing company. ATLANTA (AP) A former Georgia mayor will serve nearly five years in federal prison after stealing nearly $925,000 in COVID-19 relief funds that his city handed out. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. 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. Lary did not tell the businesses that he controlled these entities. In another case, Lary allegedly gave a church $50,000. 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. One of the grants was to his church, which he awarded $150,000. 2023 Cox Media Group. As another example, Lary presented a check from MRPC for $50,000 to Church 2. Later, a person acting on Larys behalf told Church 2 to contribute $4,500 of the relief funds to REMC, purportedly for rent assistance. STONECREST MAYOR JASON LARY RESIGNS DAY BEFORE FEDERAL COURT DATE, FORMER STONECREST MAYOR ADMINS ROLE IN COVID RELIEF FRAUD SCHEME. Lary was arraigned in November 2021, accused of personally profiting from COVID-19 relief money. But he was using it for his own personal needs.. As you can tell with technology, it can be immature and ridiculous, and thats fine, Lary said. The Justice Department on Monday released President Trump's clemency order for longtime GOP operative Roger Stone showing the president not only wiped away Stone's prison sentence but also a . 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. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. Lary faces up to 35 years in prison on all three counts. Cobbles term is set to expire in 2026, so another special election will be necessary. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. In September 2020, Jason Lary, the former Mayor of Stonecrest, allocated $5 million of the relief funds to a Small Business Program which would disburse relief funds based on applications submitted by local businesses. She is scheduled to be sentenced on August 15, 2022. 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. 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. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. 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 mayor. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. He then asked the church to give $50,000 back to one of the companies included in the scheme. STONECREST MAYOR RESPONDS TO ACCUSATIONS OF CARES ACT FUNDS MISUSE. He then asked the church to give $50,000 back to one of the companies included in the scheme. Lary betrayed the trust placed in him by the citizens of Stonecrest by stealing the very funds meant to help his constituents weather the COVID-19 pandemic, said U.S. Attorney Ryan K. Buchanan. A .gov website belongs to an official government organization in the United States. The FBI and prosecutors found that $108,000 of relief funds were used to pay off the mortgage on a lakefront home owned by Lary, while another $7,600 was used to pay college tuition and rent for Boones son. Residents will soon get a chance to elect a new mayor in Stonecrest. The population is now 60,000 with a budget of more than $13 million. This story is breaking. His resignation went into effect Wednesday. A locked padlock By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Like the rest of the country, the residents and businesses of Stonecrest community looked to its government for vital assistance in response to the COVID-19 pandemic. "The question of compassion to this Honorable Court is what is the appropriate sentenced for the conduct of this Defendant who, when confronted 'fessed up' and avoided costly indictment and made good faith efforts to cooperate with the Government," court documents read. His plea came the same morning his resignation as mayor of Stonecrest became official. "Mr. Lary has serious health challenges and at age 60 the Defendant finds himself facing a legacy of criminal history that is and was 'money motivated,' and not violence or physical harm to others, nor drug related," his legal team writes in a sentencing memorandum filed with the court. 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. Lary was supposed to be in office until the end of 2023. Lary previously denied the accusations of fraud. The details of Boones plea deal are similar to the one Lary accepted. 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. Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. 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. The last day Stonecrest residents can register to vote in time for the special election is April 25. The relief funds were designed to cover costs during the public health emergency. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. I let us down, he told the court, according to the Atlanta Journal-Constitution. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal . In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. The former Mayor of Stonecrest Jason Lary pleaded guilty in federal court to stealing COVID-19 relief funds that were supposed to go to struggling businesses. A Georgia Senator said he was unsurprised to hear about the indictment. ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. . Main Office: In general, according to the Department of the Treasury, relief funds could only be used to cover costs that [were] necessary expenditures incurred due to the public health emergency. The. Author: 11alive.com Published: 6:24 PM EST February 11, 2022 "CARES Act funds were intended to help people and businesses harmed by the pandemic, not to line the pockets of public officials entrusted to lead a community", said Philip Wislar, Acting Special Agent in Charge of FBI Atlanta. The Atlanta Journal-Constitution was the only news outlet at the hearing. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. Andrea V. Watson. The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". Lary was also ordered to pay $120,000 in restitution as well. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. Jason Lary, whose resignation. 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. Lary, who faces up to 35 years in prison, will be sentenced on May 2.

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