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. 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. 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. None the less, I will continue to serve the people of the great city of Stonecrest.". Stonecrest mayor pleads guilty to federal fraud charges ATLANTA - After spending nearly a year proclaiming his innocence, former Stonecrest mayor Jason Lary admitted masterminding a scheme to steal COVID relief funds. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. Share sensitive information only on official, secure websites. 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. His sentencing is set for May 2. 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 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. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal federal pandemic relief funds. 2023 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. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. 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. Candidates must pay a $600 qualifying fee. 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. I let us down, he told the court, according to the Atlanta Journal-Constitution. Stonecrest's Jason Lary COVID funds fraud case - 11Alive.com 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. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. In another case, Lary allegedly gave a church $50,000. They are purposely seeking to tear down everything I have worked to build in Stonecrest. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. 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. Former Stonecrest mayor's accomplice pleads guilty to felony - ajc Stone clemency order shows Trump wiped prison sentence, supervised 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. He also resigned as the citys mayor. Lary is expected to be sentenced on July 13 at 10 a.m. Former mayor admits role in COVID relief fraud scheme The rescue team said the man was buried up to his neck in soil. The resolution also adopted a funding plan for most of Stonecrests relief funds. The population is now 60,000 with a budget of more than $13 million. 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. Main Office: The city of Stonecrest could hold a special election as early as March to decide Larys replacement. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. 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. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. As you can tell with technology, it can be immature and ridiculous, and thats fine, Lary said. Lary and Boone knew the purpose of the transfer was to pay off the mortgage on a lakefront home owned by Lary. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. 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. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. Instead, Lary spent the money to pay his own property expenses and his dues to the Georgia Campaign Finance Committee. Lary did not tell Church 1 at this time that he actually controlled REMC. Former mayor of Stonecrest pleads guilty to federal charges The former mayor of Stonecrest who pleaded guilty to federal fraud charges is making a punishment request. The last day Stonecrest residents can register to vote in time for the special election is April 25. 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, said U.S. Attorney Ryan K. Buchanan. Lary, who faces up to 35 years in prison, will be sentenced on May 2. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID He also settled income taxes he owed going back to 2015. Former Stonecrest Mayor Pleads Guilty To Federal Fraud Charges And while Lary falsely stated that the $50,000 would be used to assist with home repairs for people who could not afford them due to COVID-19, in reality he used the money for his own purposes, including to pay off his outstanding federal, state, and local tax liabilities. The relief funds were designed to cover costs during the public health emergency. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia The city's first mayor did not mention his legal troubles in a resignation speech. Lary announced his resignation during a Zoom meeting on Tuesday. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. The government said no marketing was ever done. This story is breaking. 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. Shes the wife of Clarence Boone, the citys former economic development director who was fired as a result of investigations in the citys relief program. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". FORMER MAYOR ADMITS ROLE IN COVID RELIEF FRAUD SCHEME. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. Former Stonecrest Mayor Jason Lary pleads guilty to federal - WAGA Richard B. Russell Federal Building 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. He's accused of federal fraud related to COVID-19 relief funds. 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. The Atlanta Journal-Constitution was the only news outlet at the hearing. Example video title will go here for this video, Should Be Alive Ep. 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. 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.. This material may not be published, broadcast, rewritten, or redistributed. In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Stonecrest did not disburse the $6 million allocated to the Stonecrest Cares Program and Small Business Program. 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). If you have additional information, pictures, or video email newstipsatlanta@fox.com. Check back for details. 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. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. This material may not be published, broadcast, rewritten, or redistributed. Stonecrest's former Senior Economic Development Manager pleads guilty The U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. 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. (FOX 5). Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. 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. Hardworking people like us, Will Morrell said. 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. 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. Jason Lary, the former mayor of Stonecrest, pleaded guilty, according to a news release. Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. 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. 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. He was ordered to pay restitution in the amount of $119,607.69. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. "I came back too early from my second round with cancer. Lary wont be required to report to prison until after Dec. 15, giving him time for more cancer treatments. Jason Lary was accused of stealing more than. Lary, 60, pleaded. U.S. Attorney's Office, Northern District of Georgia, Former U.S. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. Yet Lary and others asked that these contributions be given not to Stonecrest, but to entities called Visit Us, Inc. and Battleground Media, LLC. The plan provided $1 million to the Stonecrest Cares Program for mask distribution, COVID-19 education and testing, and other purposes. 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. 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. 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. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. 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. . Former Stonecrest mayor pleads guilty to federal fraud charges 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. Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. 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. 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. 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. 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 Georgia Senator said he was unsurprised to hear about the indictment. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. His legal team is citing his health and lack of criminal record should merit a lighter sentence. 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. 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. Lary is due in court to answer for fraud allegations. Lary announced his resignation to the city on a Zoom call Tuesday. One of the grants was to his church, which he awarded $150,000. 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. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. ) or https:// means youve safely connected to the .gov website. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. This station is part of Cox Media Group Television. 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. Library : Stone Rejected Has Become Cornerstone, The Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. . "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 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. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. 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 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. Lary was also ordered to pay $120,000 in restitution as well. His sentencing hearing has been set for May 2. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. He faces a max sentence of 35 years in prison. She also agreed to pay restitution. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. His resignation went into effect Wednesday. 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. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . 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. Puede participar en nuestro ensayo sobre EPOC? (Art by Richard Miller). Former Stonecrest mayor sentenced to nearly 5 years in prison for ) or https:// means youve safely connected to the .gov website. Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. 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. 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. Learn about careers at Cox Media Group. Secure .gov websites use HTTPS The. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. 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,. 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. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. Stonecrest Mayor Pleads Guilty to Federal Fraud Charges By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Official websites use .gov Hopefully, he gets all of that, Morrell said. 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. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. 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. 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. Those duties include acting as the figurehead of the city and appointing members to boards and committees. February 21, 2022 Chris Butler. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. 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Share sensitive information only on official, secure websites. 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. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion.