Third, Lary and others acting on his behalf solicited relief funds from businesses that received grants under the Small Business Program. "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. The population is now 60,000 with a budget of more than $13 million. She also agreed to pay restitution. 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. This story is breaking. He declined to say what type of cancer he is battling but said it seems to be resurfacing for the third time. Lary directed $7,600 of the federal relief dollars to pay Boones sons college tuition and rent. (Art by Richard Miller). 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. 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 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 plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). 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). 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. An official website of the United States government. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. 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 city of Stonecrest could hold a special election as early as March to decide Larys replacement. First, Lary conspired with Boone to steal relief funds before they were disbursed by MRPC. He does not have to report to prison until Dec. 15, so he can continue treatment for prostate cancer. 2023 Cox Media Group. The about-face came in. Share sensitive information only on official, secure websites. 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. They are purposely seeking to tear down everything I have worked to build in Stonecrest. In total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Around the same time, Lary directed approximately $7,600 in stolen relief funds to be used for Boones sons college tuition and rent. 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. Puede participar en nuestro ensayo sobre EPOC? He resigned his post on Jan. 4 and accepted a plea deal the next day for concocting the scheme. [DOWNLOAD: Free WSB-TV News app for alerts as news breaks]. Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. Lary, 60, pleaded. Jason Lary received a sentence of four years and nine months in prison to be followed by three years of supervised release and was ordered to pay restitution in the amount of $119,607.69. 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. 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 relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. Assistant U.S. Attorney Garrett L. Bradford, Chief of Public Integrity and Civil Rights, is prosecuting the case. Former Mayor of Stonecrest sentenced to prison for stealing COVID-19 relief funds ATLANTA - Jason Lary, the former Mayor of the City of Stonecrest, has been sentenced for using his elected office to steal hundreds of thousands of dollars in federal COVID-19 relief funds allocated to the city. Inpractice, the Stonecrest Cares Program directed relief funds to churches and non-profit organizations in and around Stonecrest. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. Lary announced his resignation to the city on a Zoom call Tuesday. "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.". Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. Boones case matches the legal process used by Jason Lary, the founding mayor of Stonecrest. Hardworking people like us, Will Morrell said. On Wednesday, Channel 2s Tom Jones was in the courtroom as Lary pleaded guilty to wire fraud, conspiracy to commit federal program theft and federal program theft. Lania Boone, 60, pleaded guilty to a conspiracy charge for her role in a scheme to steal federal pandemic relief funds. 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. "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. He faces a max sentence of 35 years in prison. Lary was supposed to be in office until the end of 2023. The federal government permitted DeKalb County to further disburse these relief funds to its municipalities. 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. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". She is scheduled to be sentenced on August 15, 2022. The rescue team said the man was buried up to his neck in soil. We have no response about the Mayors resignation, city officials said. 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. Lary is expected to be sentenced on July 13 at 10 a.m. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. "You don't recognize Mayor Pro Tem and council and just leave me standing there like I'm not in the meeting. 2022-02-12 - By Zachary Hansen zachary.hansen@ajc.com. 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. A Georgia Senator said he was unsurprised to hear about the indictment. Former Assistant U.S. Attorney Trevor Wilmot previously prosecuted the case. "Boones guilty plea further demonstrates our commitment to prosecuting those who seek to exploit COVID relief programs for their own gain. 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. Ronald Bell, who conspired to extort money from Georgia Institute of Technology, has pleaded guilty to a charge of conspiracy to commit extortion. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. 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. His sentencing hearing has been set for May 2. Atlanta, GA 30303-3309. Suite 600 Boone, who wrote the bulk of the checks using the stolen funds, agreed with that Friday in court. 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. The. One of the grants was to his church, which he awarded $150,000. As mayor, he took control of who received $6.2 million in CARES Act money. 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. Stonecrest could hold a special election to fill the vacant mayor's seat as early as March. Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. The judge says Larys actions were deplorable and rejected a defense request for Lary to avoid prison time. 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. Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. Lary announced his resignation to the city on a Zoom call . "There was never an interest on anybodys part to kick back or filter money back or any of that nonsense.". Former Los Angeles City Councilmember Jose Huizar pleaded guilty Friday to charges of racketeering and tax evasion, admitting that he extorted at least $1.5 million in bribes from real estate . Larys last public address to his constituents delivered one last bombshell moment to his tenure. ", 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. In September 2020, Jason Lary, then the Mayor of Stonecrest, signed a resolution acknowledging these CARES Act requirements. 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. Instead of being a trustworthy steward of CARES Act funding, Clarence Boone and his co-conspirators schemed to misappropriate those funds to enrich themselves at the expense of those less fortunate. 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 . This case was investigated by the Federal Bureau of Investigation. Copyright 2022 The Associated Press. Later in December 2020 and January 2021, Clarence Boone coordinated with Lary and Lania Boone to use $108,155.52 of relief funds to pay off the mortgage on Larys lakefront home in Macon, Georgia, and used more than $7,600 of relief funds to pay college tuition, a meal plan, books, and rent for Clarence Boones son. This station is part of Cox Media Group Television. Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. Andrea V. Watson. 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. By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. If the special election for the mayors seat requires a runoff election, it will take place June 21. Those duties include acting as the figurehead of the city and appointing members to boards and committees. 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. 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. Check back for details. His sentencing is set for May 2. Lary is free on bond. 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. It's been five years since a Carroll County man mysteriously disappeared from his home. For more information on the Departments response to the pandemic, please visit https://www.justice.gov/coronavirus. Lary won the mayors race twice, the citys only mayor in its brief history. Lania Boone, Larys co-conspirator, pleaded guilty to conspiracy on February 11, 2022. He also settled income taxes he owed going back to 2015. Sentencing is scheduled for May 12. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. He has not been charged with a crime. 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. 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. This material may not be published, broadcast, rewritten, or redistributed. The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. Boone and the former Mayor conspired to fraudulently line each others pockets with relief funds that were desperately needed by struggling businesses in Stonecrest, said U.S. Attorney Ryan K. Buchanan. Lary resigned a day before he pleaded guilty to. Former Stonecrest Mayor Jason Lary and his former bookkeeper have pleaded guilty to charges related to allegedly stealing COVID relief funds awarded to Stonecrest during the pandemic,. 2: Person of Interest. 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. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. 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. STONECREST, Ga. Editor's note: The video above is from a previous story. 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.