This material may not be published, broadcast, rewritten, or redistributed. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. An official website of the United States government. Lary placed the defendant, Clarence Boone, who was then Senior Economic Development Manager for Stonecrest, in charge of overseeing the Small Business Program. They are purposely seeking to tear down everything I have worked to build in Stonecrest. Lary faces up to 35 years in prison on all three counts. 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. Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. 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. Stonecrest sets May election date to replace mayor after guilty - ajc An official website of the United States government. In January, Jason Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. 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. Lary is free on bond. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. Lock The former mayor of Stonecrest who pleaded guilty to federal fraud charges is making a punishment request. 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. 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 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. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. This sentencing holds Lary accountable for abusing his position of trust and blatant disrespect for the law.. 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. Official websites use .gov As you can tell with technology, it can be immature and ridiculous, and thats fine, Lary said. One of the grants was to his church, which he awarded $150,000. 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. In total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. He has not been charged with a crime. 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. SB 300, also called the Sentencing Reform Act, would rewrite part of Proposition 115, a 1990 ballot initiative that expanded the definition of first-degree murder to include murder committed . This man's imprisonment shows why California's 'special circumstances 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. 2023 Cox Media Group. Lary, who faces up to 35 years in prison, will be sentenced on May 2. Lary issued a statement to FOX 5 about the censure: "My frustrations have boiled over with this council. 75 Ted Turner Dr. SW Secure .gov websites use HTTPS Now, the sheriff's office is hoping to reignite the search on this cold case. Learn about careers at Cox Media Group. His plea came the same morning his resignation as mayor of Stonecrest became official. In court on Wednesday, Lary apologized to his family, friends and Stonecrest residents. He explained he needs to take some time to work with doctors and care for himself. The mayor only votes in the event of a tie a rarity for a five-member City Council. 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. Residents will soon get a chance to elect a new mayor in Stonecrest. 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. The. ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. During a struggle to implement new city manager, Lary said he was facing what could be his third battle with cancer. 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. In or about November 2020, Stonecrest published an application on its website for businesses to apply for relief funds under the Small Business Program. His sentencing is set for May 2. 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. 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. This station is part of Cox Media Group Television. 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. 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. 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. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (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 citys founding mayor. "I ask that you measure me by the whole story," Lary said. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. 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 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. 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. Former L.A. Councilmember Jose Huizar pleads guilty in corruption case If the special election for the mayors seat requires a runoff election, it will take place June 21. 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. One of the grants was to his church, which he awarded $150,000. Lary and others falsely claimed that the money would be each businesss contribution to Stonecrest-related marketing and advertising. 2023 FOX Television Stations, resignation went into effect at 10 a.m. Wednesday, he stole hundreds of thousands of dollars in COVID-19 relief. Former Stonecrest Mayor Jason Lary pleads guilty to federal - WAGA Former Stonecrest Mayor Pleads Guilty To Federal Fraud Charges 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. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. 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,. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. Atlanta, GA 30303-3309. Former mayor admits role in COVID relief fraud scheme Lary continued with the meeting after an IT tech fixed the problem. ", 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. 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. The rescue team said the man was buried up to his neck in soil. February 21, 2022 Chris Butler. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. Stonecrest could hold a special election to fill the vacant mayor's seat as early as March. 2023 FOX Television Stations. At least two candidates have publicly said theyll run to be the citys next mayor. 100 people involved in a total of $26 million in CARES Act fraud. The image comes from the ancient quarries where highly-trained stonemasons carefully chose the stones used in construction. 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). Learn about careers at Cox Media Group. Stonecrest ex-mayor's cohort pleads guilty in fraud scheme A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. Example video title will go here for this video, Should Be Alive Ep. The qualification period will take place roughly a month before the election date, and it must end 25 days before the election takes place. 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. Lary, 60, pleaded. Former Stonecrest Mayor Pleads Guilty To Federal Fraud Charges 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. 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. 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 rescue team said the man was buried up to his neck in soil. [SIGN UP: WSB-TV Daily Headlines Newsletter]. Former Stonecrest mayor pleads guilty to federal fraud charges Former mayor asks judge if he can serve sentence from home after Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. The population is now 60,000 with a budget of more than $13 million. Lary, 59, was the first mayor of Stonecrest, a DeKalb County city of about . 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. 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. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Official websites use .gov The plan provided $1 million to the Stonecrest Cares Program for mask distribution, COVID-19 education and testing, and other purposes. 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. Roger Stone prosecutors quit after furor over Trump ally's sentence - CNBC ) or https:// means youve safely connected to the .gov website. STONECREST MAYOR JASON LARY RESIGNS DAY BEFORE FEDERAL COURT DATE, FORMER STONECREST MAYOR ADMINS ROLE IN COVID RELIEF FRAUD SCHEME. In general, according to the Department of the Treasury, relief funds could only be used to cover costs that [were] necessary expenditures incurred due to the public health emergency. 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. In another case, Lary allegedly gave a church $50,000. "I did the best I could do with what we had in place.". Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. 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. 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. "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". his resignation as mayor of Stonecrest became official. 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 resigned his post on Jan. 4 and accepted a plea deal the next day for concocting the scheme. 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. In January, Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID Hopefully, he gets all of that, Morrell said. His resignation went into effect Wednesday. 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. 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.. "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. 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. 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. Lary used three different methods to steal the funds Stonecrest disbursed to MRPC. 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. The first mayor of Stonecrest pleaded guilty to the federal charges earlier this year. Larys last public address to his constituents delivered one last bombshell moment to his tenure. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Share sensitive information only on official, secure websites. 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