The population is now 60,000 with a budget of more than $13 million. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. Lary was also ordered to pay $120,000 in restitution as well. Main Office:
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. Channel 2s Audrey Washington called and emailed Stonecrest officials about the announcement and the hack. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal . Official websites use .gov He has not been charged with a crime. 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. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. 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. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". Lary did not tell the businesses that he controlled these entities. . 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. Lary wont be required to report to prison until after Dec. 15, giving him time for more cancer treatments. We will continue to uncover and prosecute those who exploit government positions and COVID relief programs to fuel their own greed., 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 Keri Farley, Special Agent in Charge of FBI Atlanta. Lary announced his resignation during a Zoom meeting on Tuesday. If you have additional information, pictures, or video email newstipsatlanta@fox.com. Official websites use .gov 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 . 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. 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. An official website of the United States government. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID relief funds 585 views Feb 11, 2022 5 Dislike Share 11Alive 856K subscribers Jason Lary, the former mayor of. 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. 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. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. The. 2023 FOX Television Stations. Police searching for suspect in northwestern Georgia elementary school burglary, Dunwoody Police catch man impersonating officer, Ex-officer charged in Susana Morales' death now charged in 2019 Snellville burglary, Frederick, MD tanker explosion leaves 1 dead; Shuts down part of US-15, Photos show rescue of Woodstock man 'buried up to his neck' in collapsed trench, Prominent Roswell restaurant owner charged with sexual crimes involving 2 minors, Clayton County twin sisters make history rising the ranks in Georgia UPS facility, Alex Murdaugh killed wife, son to buy time, prosecutor says, Families intensify search for two men missing for more than a week, Disneyland banned Rebel Wilson over selfie, actress says, Georgia baby girl reported missing with man diagnosed with mental illness, police say, Sheriff's office continues five-year-long search for missing Carrollton man. Lary announced his resignation to the city on a Zoom call Tuesday.. Hardworking people like us, Will Morrell said. 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. Lary previously denied the accusations of fraud. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. 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. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. February 21, 2022 Chris Butler. "If you don't know protocol, you better learn it with me," said Lary. Check back for details. This story is breaking. 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. 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. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. The relief funds were designed to cover costs during the public health emergency. The U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. His plea came the same morning his resignation as mayor of Stonecrest became official. The city will hold a special election to select a new mayor. 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. In or about November 2020, Stonecrest published an application on its website for businesses to apply for relief funds under the Small Business Program. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. Lary is expected to be sentenced on July 13 at 10 a.m. 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. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. The about-face came in. One of the grants was to his church, which he awarded $150,000. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. U.S. Attorney's Office, Northern District of Georgia, Former U.S. Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. 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. Author: 11alive.com Published: 6:24 PM EST February 11, 2022 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. 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. 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 former mayor of Stonecrest and a bookkeeper who administered COVID-19 relief funds to the town pleaded guilty in federal court this month to charges related to the theft of pandemic relief funds. Andrea V. Watson. 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. (FOX 5). Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. That decision will be made at a later date. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. Lary continued with the meeting after an IT tech fixed the problem. 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. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. 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. Jason Lary, whose resignation went into effect at 10 a.m. Wednesday, pleaded guilty to three counts involving wire fraud, theft of government funds and conspiracy. Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. The potential stakes are high for offenders who break new guidelines. "I did the best I could do with what we had in place.". Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. Residents will soon get a chance to elect a new mayor in Stonecrest. Small businesses that applied for financial relief were asked on an application form if theyd be willing to give 25% of the grant to one of three companies to market their business. 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. Candidates must pay a $600 qualifying fee. 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. But he was using it for his own personal needs.. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. 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. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. 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. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. 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. 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. Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. STONECREST MAYOR JASON LARY RESIGNS DAY BEFORE FEDERAL COURT DATE, FORMER STONECREST MAYOR ADMINS ROLE IN COVID RELIEF FRAUD SCHEME. 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. 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. 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. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. They are purposely seeking to tear down everything I have worked to build in Stonecrest. Jason Lary was accused of stealing more than. City leaders have not chosen a specific location for the special election to be held. 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. 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. Assistant U.S. Attorney Garrett L. Bradford, Chief of Public Integrity and Civil Rights, is prosecuting the case. ) or https:// means youve safely connected to the .gov website. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. His resignation went into effect Wednesday. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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. 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. 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. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. 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. accused of personally profiting from COVID-19 relief money. Learn about careers at Cox Media Group. 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. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. Lary is free on bond. The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. 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. The resolution also adopted a funding plan for most of Stonecrests relief funds. Stonecrest could hold a special election to fill the vacant mayor's seat as early as March. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. The first is verse 22, "The stone rejected by the builders has become the corner-stone". 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. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. 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. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. 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. A locked padlock That money was supposed to go to people like us. It's been five years since a Carroll County man mysteriously disappeared from his home. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. STONECREST MAYOR RESPONDS TO ACCUSATIONS OF CARES ACT FUNDS MISUSE. Share sensitive information only on official, secure websites. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. 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The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus.