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Former Charlotte Mayor Pleads Guilty to Wire Fraud

Former Mayor of Charlotte, NC Pleads Guilty to One Charge of Wire Fraud

wire fraudAfter a meteoric and much-applauded rise to power and fame, and a short 6 month stint in the mayor’s office, former Charlotte, NC Mayor Patrick Cannon has pleaded guilty to one federal charge of wire fraud.

His single guilty plea in federal court was to one count of honest services wire fraud, which carries a potential sentence of 20 years in prison and a fine of $250,000. Cannon was arrested in March on federal charges for wire fraud, bribery, and extortion. An FBI sting that had been ongoing for years finally recorded Cannon accepting thousands of dollars in cash and airline tickets from FBI agents posing as businessmen with a commercial interest in development in Charlotte.

“I am deeply sorry. I love Charlotte. It is the city of my birth,” Cannon said in prepared remarks before a bank of TV cameras outside the federal courthouse. “Today I have acknowledged being guilty of accepting monies for constituent services, something that should never have been done while serving in elected office.”

Cannon’s Rise to Fame and Federal Investigation for Wire Fraud, Other Charges

Cannon was elected to city council in 1993, at the age of 26, just two years out of college. He served on the City Council until 2005. He spent four years out of office working as the president of a private parking business, then returned to City Council in 2009. He served on both the city council and as mayor pro tem from 2010 to 2013, when he was officially elected mayor.

The FBI began investigating allegations of bribery and extortion in 2010. The bureau used undercover agents posing as commercial real estate developers and investors looking to buy land in Charlotte. Reportedly, the agents offered bribes to Cannon so they would not “have issues or concerns with city and county officials” over zoning, construction permitting and alcohol regulation. Over the course of the investigation, FBI agents documented five separate occasions in which Cannon allegedly took cash, plane tickets, hotel rooms, and a luxury apartment as bribes from the agents, including a trip to Las Vegas in July 2013, with all expenses paid and $6,000 in cash to spend. The gifts and cash totaled more than $48,000.

In February, Cannon allegedly accepted a leather briefcase with $20,000 cash as a bribe in the mayor’s office, and reportedly angled for a 1% kickback on the alleged $125 million in investments in the city.

In exchange for the bribery and extortion, Cannon promised the undercover agents he would develop streetcar lines near their property to aid their business.

Cannon appeared in court for the bribery and extortion charges on Wednesday, March 26th, and was released on a $25,000 bond. However, he has only pleaded guilty to the one recorded charge that the FBI caught on tape, which is a wire fraud charge.

The Strom Law Firm Defends Wire Fraud and Other Federal Charges

The law broadly defines wire fraud as devising or intending to devise a scheme to defraud others of money or property under false or fraudulent pretenses, representations or promises by means of electronic communications, or “wires.” Because they typically involve interstate matters, most wire fraud cases are considered federal crimes with convictions carrying heavy fines, prison sentences of up to 20 years, or both.

The Strom Law Firm, LLC has the experience that you need to defend your wire fraud charges, or other federal charges. Our experience and familiarity with prosecutorial techniques provide the basis for experienced and effective legal representation. We will fight hard to have your charges reduced, or even dismissed. Contact us today for a free consultation to discuss the facts of your case as well the most effective way to proceed with your case. 803.252.4800

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