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Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. STONECREST, Ga. Editor's note: The video above is from a previous story. "He certainly, as alleged by the Grand Jury, used his position as mayor of Stonecrest to divert those funds and used his influence and connections," Erskine said. 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. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Sentencing is scheduled for May 12. ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. Now, the sheriff's office is hoping to reignite the search on this cold case. 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. In or about November 2020, Stonecrest published an application on its website for businesses to apply for relief funds under the Small Business Program. Per federal rules, Stonecrest officials could only spend these relief funds on necessary expenditures related to . City leaders have not chosen a specific location for the special election to be held. The relief funds were designed to cover costs during the public health emergency. The Atlanta Journal-Constitution was the only news outlet at the hearing. ATLANTA - The former Mayor of Stonecrest pleaded guilty in federal court to stealing COVID-19 relief funds that were supposed to go to struggling businesses. His coconspirators previously pleaded guilty and received the following sentences: This case is being investigated by the Federal Bureau of Investigation and the DeKalb County District Attorneys Office. Jason Lary, who announced his resignation as the mayor of Stonecrest, pleaded guilty Wednesday to federal charges of wire fraud, conspiracy to commit federal. Hopefully, he gets all of that, Morrell said. 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. Boone is scheduled to be sentenced on May 12. Share sensitive information only on official, secure websites. ATLANTA - Jason Lary, the former mayor of Stonecrest, and Lania Boone, a bookkeeper for the entity that administered COVID-19 relief funds awarded to Stonecrest, have pleaded guilty to. Second, Lary told churches that received relief funds from the Stonecrest Cares Program that they were required to contribute a portion of those funds for purposes identified by Lary. A bookkeeper was also involved in the scheme and arraigned, records show. 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. 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. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. A .gov website belongs to an official government organization in the United States. 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. "I ask that you measure me by the whole story," Lary said. Credit: Photo courtesy of Boston College Athletics, Former Stonecrest mayors accomplice pleads guilty to felony, Stonecrest councilwoman among candidates running to replace disgraced mayor, Jahmyr Gibbs: Georgia Tech helped make me who I am today, Georgia Tech closes regular season with win over Boston College. The rescue team said the man was buried up to his neck in soil. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. [SIGN UP: WSB-TV Daily Headlines Newsletter]. 75 Ted Turner Dr. SW Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. 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. Author: 11alive.com Published: 6:24 PM EST February 11, 2022 Lary did not tell the businesses that he controlled these entities. Stonecrest was required to spend the relief funds in accordance with the CARES Act. Those companies were all connected to Lary. U.S. Attorney's Office, Northern District of Georgia, Former U.S. 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . 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. The. Lary continued with the meeting after an IT tech fixed the problem. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. 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 about-face came in. Lary is accused of stealing more than $650,000 in COVID-19 relief funds meant to help the people of Stonecrest who he was supposed to serve. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. 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. The first is verse 22, "The stone rejected by the builders has become the corner-stone". MATTIE'S CALL: A 9-month-old baby girl was reported missing from the Ellenwood area with a man police say was diagnosed with a mental illness. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. Check back for details. . His sentencing hearing has been set for May 2. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. This article originally appeared on the Decatur-Avondale Estates Patch, Reports: 3 children dead, 2 wounded in attack at Texas home, Kellyanne Conway, George Conway To Divorce After Decadeslong Marriage: Report, School punished teen girl for working out in sports bra in 100-degree Texas heat, ACLU says, U.S. court won't require FAA to make airplane seat size, spacing rules, 'Extremely dangerous': Spike in illegal crossings at Canada-Vermont border has feds sounding alarm, SoCal in for cool start to weekend, butlight showers make brief return. Lary won the mayors race twice, the citys only mayor in its brief history. A former suburban Atlanta mayor was sentenced to nearly five years in prison on Wednesday for masterminding a scheme to steal nearly $925,000 of the $6.2 million in COVID-19 relief funds that. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. Lary faces up to 35 years in prison on all three counts. 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 potential stakes are high for offenders who break new guidelines. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. 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. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. In Larys guilty plea, he admitted to making sure that Boone was hired as Municipal Resource Partners bookkeeper. 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 . Stonecrest mayor charged in alleged misuse of CARES Act federal funds Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". 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. 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. 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. The resolution also adopted a funding plan for most of Stonecrests relief funds. His plea came the same morning his resignation as mayor of Stonecrest became official. 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. 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. Official websites use .gov Lary was also ordered to pay $120,000 in restitution as well. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. Lary, who faces up to 35 years in prison, will be sentenced on May 2. On October 28, 2020, for example, Clarence Boone and Lary circumvented the application process and directed more than $50,000 to a business that they knew was not conducting any legitimate operations, and Lania Boone ultimately wrote the check to disburse the funds. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. 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. 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. Federal prosecutors said that in addition to paying off personal debt, Lary conducted a scheme where he asked small businesses and churches to whom he allocated grants to give 25% of the money to companies connected to himself and co-conspirators. Lary resigned a day before he pleaded guilty to. MATTIE'S CALL: A 9-month-old baby girl was reported missing from the Ellenwood area with a man police say was diagnosed with a mental illness. 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. The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. Jason Lary was accused of stealing more than. 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. His legal team is citing his health and lack of criminal record should merit a lighter sentence. 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. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. But he was using it for his own personal needs.. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. ATLANTA - Clarence Boone, the former Senior Economic Development Manager of Stonecrest, pleaded guilty to conspiring with his wife, Lania Boone, and the former Mayor of Stonecrest, Jason Lary, to steal pandemic relief funds intended to support small businesses in Stonecrest. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. This station is part of Cox Media Group Television. 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 also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. 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. Have a question about Government Services? This material may not be published, broadcast, rewritten, or redistributed. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. Lary announced his resignation to the city on a Zoom call . 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. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. An official website of the United States government. 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. 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. Andrea V. Watson. Attorneys for the Northern District of Georgia, Former Mayor of Stonecrest sentenced to prison for stealing 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, Former Mayor of Stonecrest Sentenced To Prison For Stealing COVID 19 Relief Funds. "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.". Lock 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. Inpractice, the Stonecrest Cares Program directed relief funds to churches and non-profit organizations in and around Stonecrest. ATLANTA - After spending nearly a year proclaiming his innocence, former Stonecrest mayor Jason Lary admitted masterminding a scheme to steal COVID relief funds. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. The image comes from the ancient quarries where highly-trained stonemasons carefully chose the stones used in construction. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. Stonecrest residents that Jones talked to were outraged. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. Those duties include acting as the figurehead of the city and appointing members to boards and committees. "If you don't know protocol, you better learn it with me," said Lary. 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. Candidates must pay a $600 qualifying fee. his resignation as mayor of Stonecrest became official. Lary announced his resignation during a Zoom meeting on Tuesday. 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. Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. The application included the question, are you willing to allocate 25% of your grant to marketing your business? Hundreds of businesses applied for relief funds, but most of the applicants were rejected. Atlanta, GA 30303-3309. I should've stayed out for several months, but circumstances prevailed where I needed to come back earlier," Lary said. Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. The city of Stonecrest could hold a special election as early as March to decide Larys replacement. Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. He's accused of federal fraud related to COVID-19 relief funds. While I was out on cancer leave, they removed me from every committee I created, refused to pay my car allowance, while paying six figures to the finance director and $209,000 annually to the acting city manager (including a car allowance). The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). For example, Lary presented a check for $150,000 in relief funds to Church 1, on the condition that $50,000 be given to a company called Real Estate Management Consultants, LLC (REMC). Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. 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. A lock ( Official websites use .gov Larys last public address to his constituents delivered one last bombshell moment to his tenure. 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. Lary issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. "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. 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 . None the less, I will continue to serve the people of the great city of Stonecrest.". Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal federal pandemic relief funds. 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. In total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. Lary is expected to be sentenced on July 13 at 10 a.m. Lary did not disclose he controlled these companies. 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. 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. Puede participar en nuestro ensayo sobre EPOC? He was ordered to pay restitution in the amount of $119,607.69. 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. ATLANTA - The former Mayor of Stonecrest pleaded guilty in federal court to stealing COVID-19 relief funds that were supposed to go to struggling businesses. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case.