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Ex-Florida city officials sentenced for money laundering

By AP | Nov 4, 2020

JACKSONVILLE (AP) — Two former city officials in Florida have been sentenced following fraud and money laundering convictions last year.

A federal judge in Jacksonville sentenced Katrina Brown, 40, to two years and nine months in federal prison last week, and Reginald Brown, 58, received one year and six months, according to court records. The court also ordered Katrina Brown to pay a forfeiture money judgment of $425,335 and Reginald Brown to pay $411,752. Both former Jacksonville city council members were convicted in October 2019 on multiple charges.

In 2013, Katrina Brown obtained millions of dollars in U.S. Small Business Administration loans to expand her family’s barbecue business and create local jobs, prosecutors said. Instead, investigators said she and Reginald Brown, who is not a relative, incorporated two businesses they used to submit fake invoices to their lender for services that the businesses had not provided. According to an indictment, Reginald Brown deposited the reimbursement checks into the businesses’ bank accounts.