Lary wont be required to report to prison until after Dec. 15, giving him time for more cancer treatments. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. 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. Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. Candidates must pay a $600 qualifying fee. 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. [SIGN UP: WSB-TV Daily Headlines Newsletter]. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. Cobbles term is set to expire in 2026, so another special election will be necessary. 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"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. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. 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). A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Stonecrest did not disburse the $6 million allocated to the Stonecrest Cares Program and Small Business Program. 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. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. His legal team is citing his health and lack of criminal record should merit a lighter sentence. The. He has not been charged with a crime. She also agreed to pay restitution. 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. At least two candidates have publicly said theyll run to be the citys next mayor. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. . "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 will hold a special election on May 24 to fill the rest of the mayor's term after the office was vacated by Jason Lary in January. "It's time for me to retire from politics and focus on my health," Lary said. Official websites use .gov Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. The three conspired to steal and misappropriate relief funds intended for struggling businesses in Stonecrest. Andrea V. Watson. He said he had surgery in late December 2020. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. 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. Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. 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. 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). Attorneys for the Northern District of Georgia, Former Mayor of Stonecrest sentenced to prison for stealing 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, Former Mayor of Stonecrest Sentenced To Prison For Stealing COVID 19 Relief Funds. Lock Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. The about-face came in. His resignation went into effect Wednesday. 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. 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. As mayor, he took control of who received $6.2 million in CARES Act money. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. 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. Lary announced his resignation to the city on a Zoom call Tuesday. 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. If the special election for the mayors seat requires a runoff election, it will take place June 21. "Quite frankly folks, now its turned ugly," he said during a news conference in April 2021. Court documents show he was arraigned on the charges after relief funds expected to be allocated to the Stonecrest Cares Program and Small Business Program never made it to the city initiatives. 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. 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. Stonecrest could hold a special election to fill the vacant mayor's seat as early as March. The indictment alleges that Smith stole more than $450,000 in Social Security Administration Northern District of Georgia "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. Lary, 60, pleaded. The people of Stonecrest deserved better, and corrupt officials can expect severe consequences for using their offices to commit crimes.. Example video title will go here for this video, Should Be Alive Ep. Jason Lary, whose resignation. 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. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. 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 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. None the less, I will continue to serve the people of the great city of Stonecrest.". Main Office: 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. ) or https:// means youve safely connected to the .gov website. Lary, who faces up to 35 years in prison, will be sentenced on May 2. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. 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. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. "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.". 100 people involved in a total of $26 million in CARES Act fraud. Secure .gov websites use HTTPS Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. Suite 600 Atlanta, GA 30303-3309. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. Credit: Photo courtesy of Boston College Athletics, Former Stonecrest mayors accomplice pleads guilty to felony, Stonecrest councilwoman among candidates running to replace disgraced mayor, Jahmyr Gibbs: Georgia Tech helped make me who I am today, Georgia Tech closes regular season with win over Boston College. 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. 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. Briefs: 11Alives news director goes to Gray; Honey Boo Boos boyfriend arrested; Marlon Woman accused of killing ill husband released from jail, Class 7A: Semifinal coverage from Georgia State, DeKalb volunteers to plant 150 trees during March, Decatur hosts second community meeting on March 2, Atlantas Carter Center preps for future without founder, Photography club captures hope during pandemic, March food and drink events to check out in metro Atlanta. The resolution also adopted a funding plan for most of Stonecrests relief funds. Deana Timberlake-Wiley, Boones attorney, and federal prosecutors declined to comment. The details of Boones plea deal are similar to the one Lary accepted. 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. Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. U.S. Attorney's Office, Northern District of Georgia, Former U.S. 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. STONECREST MAYOR JASON LARY RESIGNS DAY BEFORE FEDERAL COURT DATE, FORMER STONECREST MAYOR ADMINS ROLE IN COVID RELIEF FRAUD SCHEME. The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. 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. 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. Lock Lary was arraigned in November 2021, accused of personally profiting from COVID-19 relief money. The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. 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. DeKalb County then disbursed $6.2 million of these relief funds to Stonecrest. his resignation as mayor of Stonecrest became official. 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. 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. 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. 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. The phrase is quoted by Jesus, who applies it to his mission of death and glory, after having told the . Have a question about Government Services? Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. 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. 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.. Lary announced his resignation to the city on a Zoom call Tuesday.. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. 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.. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Richard B. Russell Federal Building Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing 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. 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. The city's first mayor did not mention his legal troubles in a resignation speech. 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. The U.S. Attorney's Office alleges Mayor Jason Lary misused $6.2 million in COVID-19 relief funds. A locked padlock The city of Stonecrest could hold a special election as early as March to decide Larys replacement. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. 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. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. ATLANTA - After spending nearly a year proclaiming his innocence, former Stonecrest mayor Jason Lary admitted masterminding a scheme to steal COVID relief funds. 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 is free on bond. 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. It's been five years since a Carroll County man mysteriously disappeared from his home. His sentencing is set for May 2. 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 total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. Residents will soon get a chance to elect a new mayor in Stonecrest. "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. Stonecrest was required to spend the relief funds in accordance with the CARES Act. 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. Suite 600 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. Lary did not tell the businesses that he controlled these entities. Lary announced his resignation during a Zoom meeting on Tuesday. 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. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds.