The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. Copyright 2022 The Associated Press. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia 2023 FOX Television Stations. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. Inpractice, the Stonecrest Cares Program directed relief funds to churches and non-profit organizations in and around Stonecrest. Deana Timberlake-Wiley, Boones attorney, and federal prosecutors declined to comment. I let us down, he told the court, according to the Atlanta Journal-Constitution. 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. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. Jason Lary, who announced his resignation as the mayor of Stonecrest, pleaded guilty Wednesday to federal charges of wire fraud, conspiracy to commit federal. 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 last day Stonecrest residents can register to vote in time for the special election is April 25. Author: 11alive.com Published: 6:24 PM EST February 11, 2022 Lary announced his resignation to the city on a Zoom call . 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. Jason Lary was accused of stealing more than. The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. One of the grants was to his church, which he awarded $150,000. Lary resigned a day before he pleaded guilty to. 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. Share sensitive information only on official, secure websites. 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. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. 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. Lary announced his resignation to the city on a Zoom call Tuesday.. DeKalb County then disbursed $6.2 million of these relief funds to Stonecrest. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . "I ask that you measure me by the whole story," Lary said. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. 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 Georgia Senator said he was unsurprised to hear about the indictment. 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. 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. 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. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. He also settled income taxes he owed going back to 2015. 2023 Cox Media Group. His resignation went into effect Wednesday. 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. 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. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. (FOX 5). Official websites use .gov 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. 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 wont be required to report to prison until after Dec. 15, giving him time for more cancer treatments. 2023 Cox Media Group. 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. Have a question about Government Services? Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. At least two candidates have publicly said theyll run to be the citys next mayor. accused of personally profiting from COVID-19 relief money. 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. Both Boone and Lary remain out of jail on bond until their sentencing hearings. Jason Lary, whose resignation. 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. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. He resigned his post on Jan. 4 and accepted a plea deal the next day for concocting the scheme. "I came back too early from my second round with cancer. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. We have no response about the Mayors resignation, city officials said. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. The U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. Lary did not tell Church 1 at this time that he actually controlled REMC. "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. As mayor, he took control of who received $6.2 million in CARES Act money. Yet Lary and others asked that these contributions be given not to Stonecrest, but to entities called Visit Us, Inc. and Battleground Media, LLC. Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. Richard B. Russell Federal Building Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. 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. 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. 100 people involved in a total of $26 million in CARES Act fraud. The about-face came in. 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. He faces a max sentence of 35 years in prison. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. It's been five years since a Carroll County man mysteriously disappeared from his home. Former Stonecrest Mayor Jason Lary and his former bookkeeper have pleaded guilty to charges related to allegedly stealing COVID relief funds awarded to Stonecrest during the pandemic,. 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. 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. The DeKalb County District Attorneys Office will continue to work with its law enforcement partners to bring these bad actors to justice, said DeKalb County District Attorney Sherry Boston. Now, the sheriff's office is hoping to reignite the search on this cold case. In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. 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. Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. 75 Ted Turner Dr. SW Secure .gov websites use HTTPS Lary is due in court to answer for fraud allegations. Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. Lary was supposed to be in office until the end of 2023. 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. U.S. Attorney's Office, Northern District of Georgia, Former U.S. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. They are purposely seeking to tear down everything I have worked to build in Stonecrest. 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. 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,. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. 2022-02-12 - By Zachary Hansen [email protected]. The Atlanta Journal-Constitution was the only news outlet at the hearing. The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". For further information please contact the U.S. Attorneys Public Affairs Office at [email protected] or (404) 581-6016. Share sensitive information only on official, secure websites. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. Lary did not tell the businesses that he controlled these entities. 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. 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. This station is part of Cox Media Group Television. A lock ( 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. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. "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. The population is now 60,000 with a budget of more than $13 million. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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). Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. 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. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). His sentencing is set for May 2. If the special election for the mayors seat requires a runoff election, it will take place June 21. The city will hold a special election to select a new mayor. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. 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, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. The relief funds were designed to cover costs during the public health emergency. 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. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. 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. 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 city of Stonecrest could hold a special election as early as March to decide Larys replacement. City leaders have not chosen a specific location for the special election to be held. 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. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. Since Larys term was set to expire at the end of 2023, the city charter requires a special election to fill his post. He has not been charged with a crime. He said he had surgery in late December 2020. The mayor only votes in the event of a tie a rarity for a five-member City Council. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. If you have additional information, pictures, or video email [email protected]. "I did the best I could do with what we had in place.". This case was investigated by the Federal Bureau of Investigation. FORMER MAYOR ADMITS ROLE IN COVID RELIEF FRAUD SCHEME. In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. In another case, Lary allegedly gave a church $50,000. 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. Atlanta, GA 30303-3309. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . 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.