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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. 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. 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. 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. 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 issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. accused of personally profiting from COVID-19 relief money. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. 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. STONECREST MAYOR RESPONDS TO ACCUSATIONS OF CARES ACT FUNDS MISUSE. 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 . 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. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. 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. Sentencing is scheduled for May 12. "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. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. Assistant U.S. Attorney Garrett L. Bradford, Chief of Public Integrity and Civil Rights, is prosecuting the case. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. His plea came the same morning his resignation as mayor of Stonecrest became official. Suite 600 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. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. His resignation went into effect Wednesday. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. Official websites use .gov In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. The phrase is quoted by Jesus, who applies it to his mission of death and glory, after having told the . Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. Lary announced his resignation during a Zoom meeting on Tuesday. Atlanta, GA 30303-3309. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . 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. The population is now 60,000 with a budget of more than $13 million. ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. The Atlanta Journal-Constitution was the only news outlet at the hearing. All rights reserved. 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. A lock ( 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 did not tell Church 1 at this time that he actually controlled REMC. Larys last public address to his constituents delivered one last bombshell moment to his tenure. A lock ( 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). Lary announced his resignation to the city on a Zoom call Tuesday. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. One of the grants was to his church, which he awarded $150,000. "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. 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. 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 locked padlock 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. 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 . Share sensitive information only on official, secure websites. Official websites use .gov ) or https:// means youve safely connected to the .gov website. STONECREST, Ga. - A bookkeeper hired by former Stonecrest mayor Jason Lary has pleaded guilty to conspiracy for her part in a scheme to steal COVID relief funds. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. 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. Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. 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. STONECREST, Ga. Editor's note: The video above is from a previous story. The rescue team said the man was buried up to his neck in soil. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. 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. It's been five years since a Carroll County man mysteriously disappeared from his home. An official website of the United States government. 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 used three different methods to steal the funds Stonecrest disbursed to MRPC. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. 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. 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. Lary won the mayors race twice, the citys only mayor in its brief history. "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 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. His sentencing is set for May 2. 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. In Larys guilty plea, he admitted to making sure that Boone was hired as Municipal Resource Partners bookkeeper. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. . Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. 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. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. 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. Those companies were all connected to Lary. 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 January 2021, Boone used her access to one of MRPCs bank accounts to wire transfer approximately $108,000 of relief funds to a mortgage servicing company. "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 case was investigated by the Federal Bureau of Investigation. 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. 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. The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. 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. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. Lary announced his resignation to the city on a Zoom call . Boone agreed to cooperate with government agents, provide records and testify at future trials. She also agreed to pay restitution. 75 Ted Turner Dr. SW It's been five years since a Carroll County man mysteriously disappeared from his home. 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. His resignation went into effect Wednesday. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. 2023 FOX Television Stations. Lary wont be required to report to prison until after Dec. 15, giving him time for more cancer treatments. (FOX 5). Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. This material may not be published, broadcast, rewritten, or redistributed. Since Larys term was set to expire at the end of 2023, the city charter requires a special election to fill his post. 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. 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. "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. 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. "If you don't know protocol, you better learn it with me," said 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.. We have no response about the Mayors resignation, city officials said. ", 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. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. 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. His legal team is citing his health and lack of criminal record should merit a lighter sentence. 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. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. 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). Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. 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. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. One of the grants was to his church, which he awarded $150,000. 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 last day Stonecrest residents can register to vote in time for the special election is April 25. Lary placed the defendant, Clarence Boone, who was then Senior Economic Development Manager for Stonecrest, in charge of overseeing the Small Business Program. Now, the sheriff's office is hoping to reignite the search on this cold case.
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