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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. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. 2023 FOX Television Stations. Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. He then asked the church to give $50,000 back to one of the companies included in the scheme. 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. It's been five years since a Carroll County man mysteriously disappeared from his home. Lary announced his resignation to the city on a Zoom call . Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. Jason Lary, 60, of Stonecrest, Georgia, has been sentenced to four years and nine months in prison to be followed by three years of supervised release. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. "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. Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. ", 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. Those companies were all connected to Lary. Jason Lary, the former mayor of Stonecrest, pleaded guilty, according to a news release. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. She is scheduled to be sentenced on August 15, 2022. 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. Lary faces up to 35 years in prison on all three counts. 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. 75 Ted Turner Dr. SW This station is part of Cox Media Group Television. Secure .gov websites use HTTPS The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. 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. 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. 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. Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. Those duties include acting as the figurehead of the city and appointing members to boards and committees. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. Learn about careers at Cox Media Group. 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. As mayor, he took control of who received $6.2 million in CARES Act money. A .gov website belongs to an official government organization in the United States. Since Larys term was set to expire at the end of 2023, the city charter requires a special election to fill his post. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. A lock ( Jason Lary, whose resignation. The Atlanta Journal-Constitution was the only news outlet at the hearing. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. The details of Boones plea deal are similar to the one Lary accepted. 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. 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. 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. "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.". The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 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 last day Stonecrest residents can register to vote in time for the special election is April 25. 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, Clayton County twin sisters make history rising the ranks in Georgia UPS facility, Prominent Roswell restaurant owner charged with sexual crimes involving 2 minors, Families intensify search for two men missing for more than a week, Disneyland banned Rebel Wilson over selfie, actress says, Police issue close to 100 traffic tickets at same Sandy Springs intersection, 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. The city will hold a special election to select a new mayor. Lary previously denied the accusations of fraud. 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. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. Former advisor to U.S. President Donald Trump, Roger Stone, leaves the E. Barrett Prettyman United States Courthouse after being found guilty of obstructing a congressional investigation into . In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. "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.". Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. Puede participar en nuestro ensayo sobre EPOC? Official websites use .gov 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. Lary was supposed to be in office until the end of 2023. February 21, 2022 Chris Butler. He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. The mayor only votes in the event of a tie a rarity for a five-member City Council. His resignation went into effect Wednesday. Assistant U.S. Attorney Garrett L. Bradford, Chief of Public Integrity and Civil Rights, is prosecuting the case. This material may not be published, broadcast, rewritten, or redistributed. 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. Lary did not tell Church 1 at this time that he actually controlled REMC. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . Lary and Boone knew the purpose of the transfer was to pay off the mortgage on a lakefront home owned by Lary. Stonecrest residents that Jones talked to were outraged. The government said no marketing was ever done. 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. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. 100 people involved in a total of $26 million in CARES Act fraud. Have a question about Government Services? 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. 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. 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. 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. He's accused of federal fraud related to COVID-19 relief funds. Lock In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. Cobbles term is set to expire in 2026, so another special election will be necessary. Main Office: The population is now 60,000 with a budget of more than $13 million. 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 locked padlock 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. 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. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. The relief funds were designed to cover costs during the public health emergency. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . 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. Lary did not tell the businesses that he controlled these entities. 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. Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. Copyright 2022 The Associated Press. Lary is free on bond. Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. (FOX 5). 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. 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 former mayor of Stonecrest who pleaded guilty to federal fraud charges is making a punishment request. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. His sentencing is 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. 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.. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. 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. He was ordered to pay restitution in the amount of $119,607.69. 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. . A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. 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 . In total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. 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. 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. 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. 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. City leaders have not chosen a specific location for the special election to be held. Richard B. Russell Federal Building Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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, U.S. Attorney Ryan Buchanan said. It's been five years since a Carroll County man mysteriously disappeared from his home. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). 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. "It's time for me to retire from politics and focus on my health," Lary said. Lary announced his resignation during a Zoom meeting on Tuesday. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. The U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. 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. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. Lary continued with the meeting after an IT tech fixed the problem. 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. 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. He said he had surgery in late December 2020. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia 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. 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. Instead, Lary spent the money to pay his own property expenses and his dues to the Georgia Campaign Finance Committee. "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. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. 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). 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. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. 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. They are purposely seeking to tear down everything I have worked to build in Stonecrest. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal . His legal team is citing his health and lack of criminal record should merit a lighter sentence. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. Lary is due in court to answer for fraud allegations. 2023 Cox Media Group. This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. The rescue team said the man was buried up to his neck in soil. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. 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,. 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. Lary announced his resignation to the city on a Zoom call Tuesday. 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. 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 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. Have a question about Government Services? 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. 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. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. Share sensitive information only on official, secure websites. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. 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. 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 .gov website belongs to an official government organization in the United States. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. Boone is scheduled to be sentenced on May 12. Boone agreed to cooperate with government agents, provide records and testify at future trials. Andrea V. Watson. I should've stayed out for several months, but circumstances prevailed where I needed to come back earlier," Lary said. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. Stonecrest was required to spend the relief funds in accordance with the CARES Act. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. Atlanta, GA 30303-3309. Lary announced his resignation to the city on a Zoom call Tuesday.. 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. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. One of the grants was to his church, which he awarded $150,000. 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. FORMER MAYOR ADMITS ROLE IN COVID RELIEF FRAUD SCHEME. Official websites use .gov 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. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal.