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Stonecrest was required to spend the relief funds in accordance with the CARES Act. 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. 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. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . ATLANTA - After spending nearly a year proclaiming his innocence, former Stonecrest mayor Jason Lary admitted masterminding a scheme to steal COVID relief funds. 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. 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. 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. 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. This man's imprisonment shows why California's 'special circumstances He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. 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. 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. He faces a max sentence of 35 years in prison. 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 L.A. Councilmember Jose Huizar pleads guilty in corruption case "I came back too early from my second round with cancer. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. He has not been charged with a crime. Stonecrest Mayor Pleads Guilty to Federal Fraud Charges Former Stonecrest mayor sentenced to nearly 5 years in prison for The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. The image comes from the ancient quarries where highly-trained stonemasons carefully chose the stones used in construction. The plan provided $1 million to the Stonecrest Cares Program for mask distribution, COVID-19 education and testing, and other purposes. 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). City leaders have not chosen a specific location for the special election to be held. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. Stonecrest residents that Jones talked to were outraged. STONECREST, Ga. Editor's note: The video above is from a previous story. Deana Timberlake-Wiley, Boones attorney, and federal prosecutors declined to comment. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. In Larys guilty plea, he admitted to making sure that Boone was hired as Municipal Resource Partners bookkeeper. Former Stonecrest mayor pleads guilty to federal fraud charges Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. Library : Stone Rejected Has Become Cornerstone, The Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and 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. A lock ( 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. 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. Secure .gov websites use HTTPS The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia His plea came the same morning his resignation as mayor of Stonecrest became official. 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), 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. Stonecrest mayor pleads guilty to federal fraud charges I let us down, he told the court, according to the Atlanta Journal-Constitution. Lary announced his resignation to the city on a Zoom call Tuesday.. The government said no marketing was ever done. Earlier this year, Lary pleaded guilty to one count each of wire fraud, conspiracy and federal program theft for his role in stealing more than $650,000. One of the grants was to his church, which he awarded $150,000. Have a question about Government Services? 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. His sentencing is set for May 2. The population is now 60,000 with a budget of more than $13 million. Bookkeeper admits to role helping former Stonecrest mayor steal COVID 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. . "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. 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). "If you don't know protocol, you better learn it with me," said Lary. The potential stakes are high for offenders who break new guidelines. 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. Lary was supposed to be in office until the end of 2023. Andrea V. Watson. A lock ( 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. Lary is expected to be sentenced on July 13 at 10 a.m. Lary resigned a day before he pleaded guilty to. Atlanta, GA 30303-3309. Per federal rules, Stonecrest officials could only spend these relief funds on necessary expenditures related to . 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. 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. 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. Share sensitive information only on official, secure websites. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. accused of personally profiting from COVID-19 relief money. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. Both Boone and Lary remain out of jail on bond until their sentencing hearings. Hardworking people like us, Will Morrell said. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. A Georgia Senator said he was unsurprised to hear about the indictment. "Larys guilty plea was the first in righting the wrongs committed against the people of Stonecrest, who were wrongfully deprived of hundreds of thousands of dollars intended to provide COVID-19 relief," said U.S. Attorney Kurt R. Erskine. 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. 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. A .gov website belongs to an official government organization in the United States. Jason Lary, who announced his resignation as the mayor of Stonecrest, pleaded guilty Wednesday to federal charges of wire fraud, conspiracy to commit federal. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. He also settled income taxes he owed going back to 2015. Boone agreed to cooperate with government agents, provide records and testify at future trials. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. 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. The city of Stonecrest could hold a special election as early as March to decide Larys replacement. Later in December 2020 and January 2021, Clarence Boone coordinated with Lary and Lania Boone to use $108,155.52 of relief funds to pay off the mortgage on Larys lakefront home in Macon, Georgia, and used more than $7,600 of relief funds to pay college tuition, a meal plan, books, and rent for Clarence Boones son. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. "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. In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Cobbles term is set to expire in 2026, so another special election will be necessary. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. (FOX 5). Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. The. Former mayor asks judge if he can serve sentence from home after Former mayor of metro Atlanta city pleads guilty to fraud "It's time for me to retire from politics and focus on my health," Lary said. "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. He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. Lania Boone, Larys co-conspirator, pleaded guilty to conspiracy on February 11, 2022. 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. Stonecrest sets May election date to replace mayor after guilty - ajc Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. 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. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. Example video title will go here for this video, Should Be Alive Ep. [SIGN UP: WSB-TV Daily Headlines Newsletter]. Roger Stone prosecutors quit after furor over Trump ally's sentence - CNBC 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. 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. 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. I should've stayed out for several months, but circumstances prevailed where I needed to come back earlier," Lary said. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. Now, the sheriff's office is hoping to reignite the search on this cold case. Main Office: This story is breaking. A bookkeeper and spouse of a - DeKalb County News Now | Facebook DeKalb County then disbursed $6.2 million of these relief funds to Stonecrest. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID We have no response about the Mayors resignation, city officials said. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds.