Former Speaker of the Tennessee House of Representatives Glen Casada and his one-time chief aide Cade Cotren was indicted on federal charges after a months-long investigation into corruption.
Both face charges ranging from money laundering in bribery and were arrested on Tuesday morning, according to the department of Justice Representative.
Prosecutors allege the couple ran a shady political consulting firm headed by Cotren. operating under false personality of Matthew Phoenix, to intercede before the General Assembly business and siphon off kickbacks for personal benefit.
The allegations are related to former Rep. Robin Smith, who resigned and promptly pleaded guilty to single-wire fraud charges last spring under a cooperation agreement with federal prosecutors.
casada, who did not seek re-election first current or former Speaker of Tennessee of House to be charged in state history.
Accusations note new short in amazing fall for Casada, once one of General Assembly most powerful Republicans. He resigned from his short-lived speakership. in 2019 amid text messaging scandal over explicitly sexual and racist talk with his former main of Staff, Cotren.
Both men expected in court for initial appearances on Tuesday.
BUT grand The jury formally indicted the couple on Monday, branch of Justice said on charges that can carry up up to 20 years in prison.
Both men charged with:
- theft from programs receiving federal funds;
- bribery and kickbacks against programs receiving federal funds;
- fraud with honest services;
- conspiracy for the purpose commit money laundering
- using fictitious name to wear out fraud;
- eight bills of money laundering;
Accusation followed the strip of grand subpoenas sent to jurors in March to legislators and legislators latest development in federal investigation that resulted in public view in January 2021 when the FBI raided the Legislature and Casada offices. home among others.
Among those who testified to grand jurors earlier year were Speaker of the House Cameron Sexton, R-Crossville.
Sexton said in statement on Tuesday he will continue to assist the authorities and testify in any sample “as needed”.
“In Tennessee we will not tolerate public corruption, defrauding our state, or bribery at any level,” Sexton said. — Together our legislative body stood strong over in past two years to take important action in this investigation by passing laws to strengthen campaign financial rules and new ethics laws for elected officials and staff.
“Today good day for Tennessee because we didn’t close our eyes on these criminal activities.”
Who is Cade Cotren?:Once one of States post powerful political aides indicted
Connected:Former political aide continues fight subpoena in Davidson County Court
More:The FBI raids the offices of Tennessee legislators and homes: What know about the investigation
Phoenix Solutions allegations
At the beginning of March, federal prosecutors accused Smith with wire fraud, leading to a quick retirement and plea to deal with. Several legislators, including Sexton, were subpoenaed to testify. grand jury on March 28th.
More:Former state Rep. Robin Smith pleaded guilty to a federal charge of wire fraud.
More:Fake employees and kickbacks: what to do know about TN latest campaign financial scandal
Charges:Former Speaker of the Tennessee House of Representatives Glen Casada and Cade Cotren Face Severe Punishments
Prosecutors alleged that Casada, Cotren and Smith were working on set up a shady firm known as Phoenix Solutions hid its operator as Cotrin converted legal payments into kickbacks for Smith and Casada.
In November 2019, Cotrin allegedly sent a message to Casada. with link to company new websiteaccording to text messages received prosecutors.
“but just remember what you have zero connection to it and not even know that much more than they did work for you and very good’ Cotren wrote, according to court documents.
“I like message,” Casada replied.
Originally created to serve legislators facing initial challengesPhoenix Solutions later expanded to act as a supplier for General Assembly postal services program. The firm profited from taxpayer funds through a program that gives legislators annual stipends. for founding email campaigns.
Prosecutors allege that this amounted to theft from programs receiving federal funds.
Smith sold the firm to his state house. colleagues, lying about their association with the firm and telling colleagues a false backstory on Matthew Phoenix, according to court documents.
Cotren later signed the IRS forms as Matthew Phoenix in order for Phoenix Solutions to be approved as qualified salesman for state, prosecutors approve.
All three conspired to cover up Cotren’s involvement. in in venture, prosecutors presumably because Cotrin knew the firm would not be approved as a supplier under his name after he retired from the General Assembly staff under cloud cover. of scandal.
A federal indictment released Tuesday reveals communication between Casada and Cotren, discussing strategy, profit and communication with Smith, who acted as frontman for in business with General Assembly staff.
“I think it’s starting off Well, I’m satisfied!” Casada wrote to Cotrin in December 2019, according to court documents.
Cotrin allegedly agreed, but said: “We just have to do sure No one knows I’m involved.”
Meanwhile, the Tennessee roster of Election financing also explored Casada and Cotren for their ties to the Vera Family Freedom Foundation PAC.
Testified by the Treasurer of the PAC in January she opened PAC for Cotren, who was her boyfriend at the time but she said she was no longer involved in his operations.
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More:The Electoral Register places the Casada investigation, Cotren, in Williamson County. prosecutors
Nameless friend of Cotren was also involved in Phoenix Solutions, according to Smith’s indictment documents. Person 3, referred to as Cotren’s girlfriend, pretended to be a fictional Phoenix. employeefabricated in an email exchange with Cotren.
casada rise and fall in republican politics
Kasada’s political career began on Williamson County Commission in 1994. He will serve on commission until he elected Franklin State Representative in a special elections in 2001.
He won seat in Williamson, promising fight state income tax, highly controversial issue at that time.
Bye in House, Casada worked it way up through party leadership. In 2004 he was elected republican whip. then in 2007, he was elected chairman of caucus, a position he will hold until 2010 and from 2013 to 2016.
Casada challenged then Rep. Beth Harwell. for speakership in 2011 but lost. He was chosen as the party’s majority leader in 2017.
When Harwell decided run for governor in 2018, the door is open again for Casada to become speaker in 2019.
During his tenure as speaker of Casada, the most notable achievement promoted Gov. Bill Lee’s school voucher plan.
More:GOP chairman regrets vote for voucher account, says program won’t be realized in 2020
The bill was passed only after Kasada made deal with a member of the House of Representatives to exclude his district from the legislation. move got out of the dead end to see the score fail.
More:in 3 months of scandal, Glen Casada no longer speaker of Tennessee House
Casada claimed the title of be the shortest speaker ever in Tennessee when he retired from office in August 2019 in another scandal involving Cotren.
After announcing that he would leave the General Assembly at the end of 2022, Casada launched failed bet for Williamson County Clerk who lost the Republican primary by a wide margin.
it’s developing story.
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