In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. This station is part of Cox Media Group Television. his resignation as mayor of Stonecrest became official. 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. He then asked the church to give $50,000 back to one of the companies included in the scheme. 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. All rights reserved. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. STONECREST MAYOR JASON LARY RESIGNS DAY BEFORE FEDERAL COURT DATE, FORMER STONECREST MAYOR ADMINS ROLE IN COVID RELIEF FRAUD SCHEME. 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. 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. At least two candidates have publicly said theyll run to be the citys next mayor. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. Lary did not tell Church 1 at this time that he actually controlled REMC. He explained he needs to take some time to work with doctors and care for himself. He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. We have no response about the Mayors resignation, city officials said. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. 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. 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 sentencing is set for May 2. Lary is due in court to answer for fraud allegations. Lock 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. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. 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. STONECREST, Ga. Editor's note: The video above is from a previous story. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. "I came back too early from my second round with cancer. U.S. Attorney's Office, Northern District of Georgia, Former U.S. The former mayor of Stonecrest who pleaded guilty to federal fraud charges is making a punishment request. 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. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. 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. He's accused of federal fraud related to COVID-19 relief funds. As mayor, he took control of who received $6.2 million in CARES Act money. Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. 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. 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. The government said no marketing was ever done. Have a question about Government Services? 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. Stonecrest was required to spend the relief funds in accordance with the CARES Act. Those companies were all connected to Lary. Jason Lary was accused of stealing more than. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. In another case, Lary allegedly gave a church $50,000. "I did the best I could do with what we had in place.". 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. He also resigned as the citys mayor. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. 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. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. 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. 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. Lary is free on bond. His legal team is citing his health and lack of criminal record should merit a lighter sentence. 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. 75 Ted Turner Dr. SW ", 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. . His sentencing hearing has been set for May 2. Have a question about Government Services? A .gov website belongs to an official government organization in the United States. The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. The about-face came in. 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). It's been five years since a Carroll County man mysteriously disappeared from his home. 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. 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. "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.". This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. Suite 600 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. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". 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. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. The FBI will continue to work with our local, state, and federal partners to ensure stolen relief funds are returned to the public, and individuals involved in this type of fraud are prosecuted to the fullest extent of the law.. Both Boone and Lary remain out of jail on bond until their sentencing hearings. 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. Cobbles term is set to expire in 2026, so another special election will be necessary. Candidates must pay a $600 qualifying fee. The population is now 60,000 with a budget of more than $13 million. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. SB 300, also called the Sentencing Reform Act, would rewrite part of Proposition 115, a 1990 ballot initiative that expanded the definition of first-degree murder to include murder committed . ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and advertising. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. February 21, 2022 Chris Butler. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . 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. 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. None the less, I will continue to serve the people of the great city of Stonecrest.". 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 . His resignation went into effect Wednesday. Lania Boone, Larys co-conspirator, pleaded guilty to conspiracy on February 11, 2022. Example video title will go here for this video, Should Be Alive Ep. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. A Georgia Senator said he was unsurprised to hear about the indictment. Lary, 60, pleaded. Lary announced his resignation to the city on a Zoom call Tuesday.. Boone agreed to cooperate with government agents, provide records and testify at future trials. 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. 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. He then asked the church to give $50,000 back to one of the companies included in the scheme. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. 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. The city of Stonecrest could hold a special election as early as March to decide Larys replacement. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. 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. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". 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. But he was using it for his own personal needs.. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia A lock ( 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. 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. 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. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. Stonecrest residents that Jones talked to were outraged. 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