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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. Those duties include acting as the figurehead of the city and appointing members to boards and committees. Candidates must pay a $600 qualifying fee. 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. Former mayor admits role in COVID relief fraud scheme 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. She is scheduled to be sentenced on August 15, 2022. Stonecrest did not disburse the $6 million allocated to the Stonecrest Cares Program and Small Business Program. Secure .gov websites use HTTPS This station is part of Cox Media Group Television. In another case, Lary allegedly gave a church $50,000. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. The relief funds were designed to cover costs during the public health emergency. 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. Instead, Lary spent the money to pay his own property expenses and his dues to the Georgia Campaign Finance Committee. 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. Have a question about Government Services? Check back for details. "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. Inpractice, the Stonecrest Cares Program directed relief funds to churches and non-profit organizations in and around Stonecrest. February 21, 2022 Chris Butler. Lary announced his resignation during a Zoom meeting on Tuesday. Lania Boone, Larys co-conspirator, pleaded guilty to conspiracy on February 11, 2022. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID Charles Johnson, Sr., has pleaded guilty for not paying $1.4 million in payroll taxes and for failure to pay employment taxes. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. Lary announced his resignation to the city on a Zoom call . Lary was supposed to be in office until the end of 2023. 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. accused of personally profiting from COVID-19 relief money. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. 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. 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 faces up to 35 years in prison on all three counts. 2023 FOX Television Stations. The government said no marketing was ever done. One of the grants was to his church, which he awarded $150,000. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. Stonecrest mayor pleads guilty to federal fraud charges, Former mayor of Stonecrest, bookkeeper plead guilty to theft of COVID-19 relief funds, LIST: Schools across Georgia closing early ahead of possible severe weather, Gallery of storm damage across GA: Send us your photos, videos, Firefighters rescue Cherokee County man buried up to his neck in trench, Excel Church gives despite recovery from fire, Father and 9-month-old daughter reported missing in Clayton County, 26-year-old woman shot while driving in Decatur, Sign up for Atlanta News First Newsletters. 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. Lary is free on bond. 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. I should've stayed out for several months, but circumstances prevailed where I needed to come back earlier," Lary said. I let us down, he told the court, according to the Atlanta Journal-Constitution. STONECREST CITY COUNCIL VOTES TO CENSURE MAYOR AFTER IMMATURE PUBLIC REMARKS, "Lary allegedly abused the power and trust conferred on him as Mayor of Stonecrest to steal hundreds of thousands of dollars intended for COVID-19 relief," said Acting U.S. Attorney Kurt R. Erskine. Lary won the mayors race twice, the citys only mayor in its brief history. He also settled income taxes he owed going back to 2015. "It's time for me to retire from politics and focus on my health," Lary said. The mayor only votes in the event of a tie a rarity for a five-member City Council. Stonecrest Mayor Pleads Guilty to Stealing Georgia COVID-19 Relief Stonecrest sets May election date to replace mayor after guilty - ajc Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. A locked padlock 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. 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. 2023 Cox Media Group. Stonecrest Mayor Pleads Guilty to Federal Fraud Charges Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and advertising. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. 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. 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. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. 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. Stonecrest's Jason Lary COVID funds fraud case - 11Alive.com Atlanta, GA 30303-3309. 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. 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), 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. Channel 2s Audrey Washington called and emailed Stonecrest officials about the announcement and the hack. 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Russell Federal Building 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. Learn about careers at Cox Media Group. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Share sensitive information only on official, secure websites. Stonecrest residents that Jones talked to were outraged. 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. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal . "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.". Lary was also ordered to pay $120,000 in restitution as well. 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 - 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. 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. The discussion comes after the censure of Stonecrest's mayor for comments he made during a meeting. 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. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. Bookkeeper admits to role helping former Stonecrest mayor steal COVID Stonecrest Mayor Pleads Guilty to Federal Fraud Charges An official website of the United States government. None the less, I will continue to serve the people of the great city of Stonecrest.". The Stone that the Builders Rejected Became the Cornerstone? He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. Lary asked potential recipients to kickback 25% of their grant to other companies for "marketing" purposes. The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. "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. (FOX 5). [SIGN UP: WSB-TV Daily Headlines Newsletter]. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. 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. Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. 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. Stone clemency order shows Trump wiped prison sentence, supervised Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. 75 Ted Turner Dr. SW Lary issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. Lary also made the defendants wife, Lania Boone, the bookkeeper charged with distributing relief funds. 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. STONECREST, Ga. Editor's note: The video above is from a previous story. Those companies were all connected to Lary. Lary continued with the meeting after an IT tech fixed the problem. 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. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. His resignation went into effect Wednesday. 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. We have no response about the Mayors resignation, city officials said. His plea came the same morning his resignation as mayor of Stonecrest became official. "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. 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. Former mayor asks judge if he can serve sentence from home after Lock First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. Official websites use .gov The 60-year-old Lary pleaded guilty in January to fraud and theft charges. 100 people involved in a total of $26 million in CARES Act fraud. 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. This station is part of Cox Media Group Television. In or about November 2020, Stonecrest published an application on its website for businesses to apply for relief funds under the Small Business Program. "I ask that you measure me by the whole story," Lary said. Lary, who faces up to 35 years in prison, will be sentenced on May 2. This story is breaking. That decision will be made at a later date. BREAKING: A bookkeeper - The Atlanta Journal-Constitution | Facebook One of the grants was to his church, which he awarded $150,000. 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. Official websites use .gov Former Stonecrest mayor sentenced to nearly 5 years in prison for 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. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. Jason Lary, whose resignation. The rescue team said the man was buried up to his neck in soil. 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. Suite 600 Have a question about Government Services? 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 Stonecrest mayor, bookkeeper plead guilty to theft of COVID Residents will soon get a chance to elect a new mayor in Stonecrest. This material may not be published, broadcast, rewritten, or redistributed. He also resigned as the citys mayor. He has not been charged with a crime. 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.. 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. STONECREST, Ga. Former Stonecrest mayor Jason Lary has pleaded guilty to federal fraud charges just hours after resigning Wednesday. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. Former mayor of Stonecrest pleads guilty to federal charges Former Stonecrest Mayor Pleads Guilty To Federal Fraud Charges