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Feds file lawsuit against Baltimore State’s Attorney Marilyn Mosby – CBS Baltimore

BALTIMORE (WJZ) — Baltimore City State’s Attorney Marilyn Mosby was charged Thursday in a federal indictment that accuses her of filing misleading information and documents for loan applications.

Mosby, 41, is charged with two counts of perjury and misrepresentation on mortgage applications, relating to the purchase of two vacation homes in Florida, according to the Justice Department.

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If convicted, Mosby faces a maximum of five years in federal prison for each count of perjury and a maximum of 30 years in federal prison for the two counts of false mortgage applications.

His attorney, Scott Bolden, told WJZ that he and Mosby are fighting the “false” and “politically motivated” charges well.

Mosby reportedly withdrew $40,000 and $50,000 from his city retirement account through a CARES Act provision that waived penalties on withdrawals for people who have been impacted by the COVID-19 pandemic.

According to a copy of the 19-page indictment obtained by WJZ, Mosby had not endured financial hardship due to “quarantine, furlough, or termination” or “reduced working hours”, among other reasons.

The indictment says Mosby’s 2020 gross salary of nearly $248,000 was never reduced, but rather represented an increase from his gross salary of nearly $239,000 in 2019.

Mosby also made false statements in applications for two Florida vacation homes, according to the complaint. In both requests, Mosby allegedly failed to disclose several responsibilities.

Mosby in both claims — for a $490,500 home in Kissimmee and a $428,400 condo in Long Boat Key — reportedly said she was not in default or in default of any financial obligation, even though the IRS had placed a lien in Mosby and her husband’s property in March 2020 over unpaid federal taxes.

The indictment alleges that Mosby ‘falsely executed’ a second home jumper in August 2020 after he finalized a deal with a vacation home management company, giving the management company control over the rental of the property. property. The endorsement, which allows a homeowner to rent out their property after living there for a year, allowed them to earn a lower interest rate on the home than they would otherwise have, according to the billing document.

DOCUMENT: Read the full indictment here.

Last March, federal investigators launched an investigation into the finances of Mosby and her husband, City Council Speaker Nick Mosby.

Federal prosecutors subpoenaed Marilyn Mosby’s campaign records, as well as Nick and Marilyn’s business records. As part of the investigation, federal prosecutors requested tax returns, bank statements and loan documents.

The couple’s attorney, A. Scott Bolden, released a statement calling the investigation a “political witch hunt.”

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“My clients are progressive agents of change, making them unfair targets of unnecessary scrutiny by federal investigators. Nonetheless, I can assure you and the people of Baltimore that they did nothing illegal, inappropriate or illegal,” he said.

Bolden then filed a lawsuit with the Justice Department asking that two senior federal prosecutors be removed from the investigation.

“There is no doubt that the investigation against my clients is frivolous, politically motivated, and stems from the animosity of Mr. Schenning and Mr. Wise against State’s Attorney Mosby,” Bolden wrote to the Office of the professional liability of the Department of Justice.

Schenning is Stephen Schenning, the former acting US attorney. Wise is Leo Wise, the assistant U.S. attorney who has handled numerous high-profile criminal prosecutions, including against Mayor Catherine Pugh, Police Commissioner Darryl De Sousa, and members of the police gun-tracing task force. fire.

The Mosby’s attorney says prosecutors leaked the case to the press, but offered no evidence.

“Their animosity is further demonstrated by their intentional release to the media of the facts of a secret grand jury investigation for the purpose of harassing, degrading and embarrassing my clients,” Bolden wrote.

In March, WJZ confirmed through tax records that the Mosbys purchased two homes in Florida for a total cost of just over $1 million.

On that issue, Boldin told WJZ in a new statement, “So what? Ms. Mosby recently purchased a condo and a second home which she rents out when she is not there. So what?! Ms. Mosby earns a salary, has savings, a lender and a credit score – all to support her family and she has the legitimate ability to buy properties and invest her money as she sees fit. She’s no different from anyone who does [sic] or have done the same. This shouldn’t be news, nor does it merit a federal investigation. So what?!”

Mosby will have a first appearance in US District Court in Baltimore, which has yet to be scheduled.

The State’s Attorney’s Office for the City of Baltimore said, “State’s Attorney Mosby and the office remain completely focused and fully committed to serving the citizens of our city. Our leadership and frontline prosecutors are among the best in the world, and we will not be distracted or diverted from our mission to make Baltimore a safer community.

Likewise, Mayor Brandon Scott’s office said the investigation would not distract from its mission to serve the city.

“With so much at stake, Mayor Scott will continue to champion transparency and accountability to maintain trust in City Hall and prove that local government can work in the best interests of Baltimoreans. Mayor Scott will not allow these charges to distract his administration from meeting Baltimore’s most pressing needs and forging a new path for our city. The mayor remains committed to the mission of building safer neighborhoods, creating jobs and leading Baltimore’s ongoing COVID-19 recovery efforts.

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