A lock ( 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. 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. "He certainly, as alleged by the Grand Jury, used his position as mayor of Stonecrest to divert those funds and used his influence and connections," Erskine said. His resignation went into effect Wednesday. Lary was arraigned in November 2021, accused of personally profiting from COVID-19 relief money. 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. 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. Lary continued with the meeting after an IT tech fixed the problem. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. 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 population is now 60,000 with a budget of more than $13 million. 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. He has not been charged with a crime. 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. 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. accused of personally profiting from COVID-19 relief money. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. This station is part of Cox Media Group Television. A locked padlock An official website of the United States government. 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. 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, 60, pleaded guilty in January to wire fraud, federal program theft and conspiracy to commit federal program theft. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). As mayor, he took control of who received $6.2 million in CARES Act money. Have a question about Government Services? The 60-year-old Lary pleaded guilty in January to fraud and theft charges. Lary did not disclose he controlled these companies. 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With Lary now 60 years old and with no criminal history, his legal team requested that house arrest, community service and statutory required supervision be considered for his sentence. Credit: Photo courtesy of Boston College Athletics, Former Stonecrest mayor pleads guilty to federal fraud charges, Stonecrest passes on March election date to replace mayor after guilty fraud plea, Jahmyr Gibbs: Georgia Tech helped make me who I am today, Georgia Tech closes regular season with win over Boston College. 2023 Cox Media Group. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. For further information please contact the U.S. Attorneys Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. 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. Andrea V. Watson. Atlanta, GA 30303-3309. She is scheduled to be sentenced on August 15, 2022. Secure .gov websites use HTTPS He then asked the church to give $50,000 back to one of the companies included in the scheme. Lary announced his resignation to the city on a Zoom call Tuesday.. 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. (FOX 5). The city of Stonecrest could hold a special election as early as March to decide Larys replacement. 2: Person of Interest. But he was using it for his own personal needs.. Now, the sheriff's office is hoping to reignite the search on this cold case. 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. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. A bookkeeper was also involved in the scheme and arraigned, records show. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. An official website of the United States government. He also resigned as the citys mayor. 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. 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. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. 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. "I came back too early from my second round with cancer. Richard B. Russell Federal Building Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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. Lary resigned a day before he pleaded guilty to concocting a fraud scheme to steal more than $650,000 in federal pandemic relief funds. The resolution also adopted a funding plan for most of Stonecrests relief funds. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. 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. Those duties include acting as the figurehead of the city and appointing members to boards and committees. A Georgia Senator said he was unsurprised to hear about the indictment. Inpractice, the Stonecrest Cares Program directed relief funds to churches and non-profit organizations in and around Stonecrest. Since Larys term was set to expire at the end of 2023, the city charter requires a special election to fill his post. "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. Yet Lary and others asked that these contributions be given not to Stonecrest, but to entities called Visit Us, Inc. and Battleground Media, LLC. Copyright 2022 The Associated Press. Example video title will go here for this video, Should Be Alive Ep. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. Hopefully, he gets all of that, Morrell said. They are purposely seeking to tear down everything I have worked to build in Stonecrest. Residents will soon get a chance to elect a new mayor in Stonecrest. Stonecrest residents that Jones talked to were outraged. 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. Boone agreed to cooperate with government agents, provide records and testify at future trials. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. 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. Secure .gov websites use HTTPS Lary pleaded guilty to wire fraud, federal program theft, and conspiracy on January 5, 2022. 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. 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. Boone is scheduled to be sentenced on May 12. "Quite frankly folks, now its turned ugly," he said during a news conference in April 2021. 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). 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. We are putting measures into place to prevent what we experienced during the meeting.. The relief funds were designed to cover costs during the public health emergency. Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. 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. She also agreed to pay restitution. 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. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. Official websites use .gov I should've stayed out for several months, but circumstances prevailed where I needed to come back earlier," Lary said. His sentencing is set for May 2. Atlanta, GA 30303-3309. Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and advertising. This material may not be published, broadcast, rewritten, or redistributed. ) or https:// means youve safely connected to the .gov website. InJuly 2020, the DeKalb County Board of Commissioners voted to disburse some of the relief funds to its municipalities, including a $6.2 million grant to Stonecrest. "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. 2023 FOX Television Stations. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. Lary announced his resignation to the city on a Zoom call . 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. That decision will be made at a later date. "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. STONECREST MAYOR RESPONDS TO ACCUSATIONS OF CARES ACT FUNDS MISUSE. 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 . For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. "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. 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. Those companies were all connected to Lary. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. 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. Candidates must pay a $600 qualifying fee. In a special-called meeting, members of the Stonecrest City Council voted 4-1 to censure Lary. 2023 Cox Media Group. This station is part of Cox Media Group Television. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. 75 Ted Turner Dr. SW . This case was investigated by the Federal Bureau of Investigation. All rights reserved. Jason Lary was accused of stealing more than. "I ask that you measure me by the whole story," Lary said. 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