U.S. Attorney's Office, Northern District of Georgia, Former U.S. Main Office: Lary was also ordered to pay $120,000 in restitution as well. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. 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 resigned from his post as a mayor right before filing a guilty plea to the charges, citing health reasons and three battles with cancer. 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 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. Stonecrest's former Senior Economic Development Manager pleads guilty The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. Share sensitive information only on official, secure websites. "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.". 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. U.S. Attorney's Office, Northern District of Georgia, Former U.S. 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. Learn about careers at Cox Media Group. 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. In return, prosecutors recommended a lighter sentence of 366 days in confinement half in prison and half as home arrest. Those duties include acting as the figurehead of the city and appointing members to boards and committees. He then asked the church to give $50,000 back to one of the companies included in the scheme. 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. 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. "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. Jason Lary was accused of stealing more than. He then asked the church to give $50,000 back to one of the companies included in the scheme. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. 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. The last day Stonecrest residents can register to vote in time for the special election is April 25. 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. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. "I ask that you measure me by the whole story," Lary said. At least two candidates have publicly said theyll run to be the citys next mayor. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Sentencing is scheduled for May 12. He also resigned as the citys mayor. 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). The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. This material may not be published, broadcast, rewritten, or redistributed. City leaders have not chosen a specific location for the special election to be held. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. "I came back too early from my second round with cancer. In Larys guilty plea, he admitted to making sure that Boone was hired as Municipal Resource Partners bookkeeper. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal federal pandemic relief funds. A locked padlock Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID relief funds 585 views Feb 11, 2022 5 Dislike Share 11Alive 856K subscribers Jason Lary, the former mayor of. ) or https:// means youve safely connected to the .gov website. Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. Jason Lary, whose resignation. 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. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. 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). DeKalb County then disbursed $6.2 million of these relief funds to Stonecrest. Richard B. Russell Federal Building He resigned his post on Jan. 4 and accepted a plea deal the next day for concocting the scheme. Hardworking people like us, Will Morrell 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Cobbles term is set to expire in 2026, so another special election will be necessary. (Art by Richard Miller). 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. 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. 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 clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Lary, who faces up to 35 years in prison, will be sentenced on May 2. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. We have no response about the Mayors resignation, city officials said. 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. 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. All rights reserved. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. 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. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. Have a question about Government Services? One of the grants was to his church, which he awarded $150,000. Lary is expected to be sentenced on July 13 at 10 a.m. Stonecrest ex-mayor's cohort pleads guilty in fraud scheme Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. 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. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. The city of Stonecrest could hold a special election as early as March to decide Larys replacement. Andrea V. Watson. Stonecrest sets May election date to replace mayor after guilty - ajc Former mayor of Stonecrest pleads guilty to federal charges 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. Stonecrest did not disburse the $6 million allocated to the Stonecrest Cares Program and Small Business Program. 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. 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.. A bookkeeper was also involved in the scheme and arraigned, records show. He has not been charged with a crime. Lary was supposed to be in office until the end of 2023. February 21, 2022 Chris Butler. 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. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. This case was investigated by the Federal Bureau of Investigation. STONECREST, Ga. Editor's note: The video above is from a previous story. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. This story is breaking. His resignation went into effect Wednesday. 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. Stonecrest mayor pleads guilty to federal fraud charges Deana Timberlake-Wiley, Boones attorney, and federal prosecutors declined to comment. 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. Former Stonecrest mayor sentenced to nearly 5 years in prison for I let us down, he told the court, according to the Atlanta Journal-Constitution. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . His legal team is citing his health and lack of criminal record should merit a lighter sentence. Secure .gov websites use HTTPS 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. Jason Lary, the former mayor of Stonecrest, pleaded guilty, according to a news release. Lary announced his resignation to the city on a Zoom call Tuesday. A locked padlock Former L.A. Councilmember Jose Huizar pleads guilty in corruption case 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. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. This station is part of Cox Media Group Television. 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. He's accused of federal fraud related to COVID-19 relief funds. His sentencing is set for May 2. "It's time for me to retire from politics and focus on my health," Lary said. 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. A bookkeeper and spouse of a - DeKalb County News Now | Facebook His sentencing is set for May 2. 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. Suite 600 Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID Former mayor asks judge if he can serve sentence from home after The details of Boones plea deal are similar to the one Lary accepted. He was ordered to pay restitution in the amount of $119,607.69. A .gov website belongs to an official government organization in the United States. 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. Lary is free on bond. 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. Former mayor admits role in COVID relief fraud scheme Per federal rules, Stonecrest officials could only spend these relief funds on necessary expenditures related to . Former Stonecrest mayor sentenced to nearly 5 years in prison for The Stone that the Builders Rejected Became the Cornerstone? Stonecrest's Jason Lary COVID funds fraud case - 11Alive.com 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. "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.". 2023 FOX Television Stations. A lock ( 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. "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. 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. Candidates must pay a $600 qualifying fee. Former mayor of metro Atlanta city pleads guilty to fraud Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case. His plea came the same morning his resignation as mayor of Stonecrest became official. An official website of the United States government. Secure .gov websites use HTTPS [SIGN UP: WSB-TV Daily Headlines Newsletter]. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". Former Stonecrest mayor pleads guilty to federal fraud charges

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