By Chris Villani
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Law360, Boston, April 26, 2021 3:23 p.m. EDT –
A former Massachusetts mayor is guilty of "lying, cheating, theft and shakedowns". He took money that investors gave him to develop an app and extorted marijuana sellers separately for more than 600,000 US dollars, the federal prosecutor told a socially distant jury on Monday.
The opening speech in the trial of Jasiel Correia, former Mayor of Fall River, ushered in the first high-profile jury process in Boston since the beginning of the COVID-19 pandemic. The clashes took place before nearly two dozen people dispersed in a 2,600-square-foot courtroom and hundreds more were watching on Zoom.
But the arguments themselves had a familiar sound to an employee case. Prosecutors alleged Correia got away with cash from investors, about two-thirds of the $ 363,690 he received for its SnoOwl app. After he was elected mayor at the age of 24, he allegedly closed recreational cannabis stores in exchange for his blessing that opened in the south coast town.
"This is about lies, cheating, stealing and shakedowns, and the man behind it is sitting right there," US deputy attorney Zachary Hafer told the jury, pointing to Correia. "A politician who betrayed his startup company's investors by stealing hundreds of thousands of dollars, and a politician who betrayed his constituents by selling his power to benefit himself."
But Correia's attorney Kevin Reddington told the eleven women and three men on the panel that Correia never took a dime that he didn't believe was his. The suspected middlemen, who the government says helped Correia bribe the marijuana businesses, are lying to save themselves, Reddington said, merely reiterating prosecutors dangling long sentences over their heads.
"The government ran out of paper to put their immunity agreements and plea agreements here," Reddington said as he gestured and paced in a small circle during the opening.
"He loved Fall River," added Correia's Reddington. "He still loves Fall River."
As the former mayor scribbled notes and watched from a distance through a plexiglass wall between the counseling tables, Hafer told the jury that the defendant had tricked investors in his app into writing checks to be paid to himself and cashing many of them. He used the money on Tiffany jewelry for his girlfriend, new suits for himself, a Mercedes-Benz, $ 27,000 on luxury hotel stays, $ 10,000 on high-end restaurants, adult entertainment, and a personal trainer said the prosecutor.
Correia, who won a recall election on the first charges but was defeated in a regular election on the second charge, took his girlfriend on a historic helicopter tour of Newport, Rhode Island, and donated to an aquarium that he then got a room after named him, said oats.
Reddington countered, however, that Correia never told investors that he would not be paid a salary for his work on SnoOwl, an app designed to connect consumers with nearby businesses based on what they wanted to buy.
"Prove it!" yelled the defense attorney as he hit a box of papers. "Show one of those documents that says he said to people, 'This is not my job, I will be around the clock and not get a salary."
All investments were traceable and as far as Correia knew it was his money and he never said it would not be used for personal expenses, his attorney told the jury. It wasn't until later when a document was signed with a "legal gobbledygook" that this became clear, but by then it was too late and the money had been spent, Reddington said.
"There was no intention of cheating, there was no intention of stealing," he said. "He wanted this business to be a success as much as anyone else."
Correia faces 24 wire fraud cases, tax evasion for allegedly failing to report the money he harvested from SnoOwl, and bribery and conspiracy counts related to the marijuana stores that were about to open in Fall River and a letter of the mayor without objection needed to do so. The charges were revealed separately in October 2018 and September 2019.
Correia is also accused of forcing former chief of staff Genoveva Andrade to pay more than half of her salary, about $ 23,000, as a condition of employment. But Reddington told the jury his client was desperate to pay the soaring legal bills after the initial federal charges came up and Andrade was just trying to help.
The case continues a headlight on a state regulatory process for cannabis that has Criticism drawn for keeping hands off and putting significant power in the hands of communities. Cities and towns can charge up to 3% Impact Fee, but industry insiders say they sometimes ask for additional donations. The practice has resulted in a dispute between a pharmacy and the city of Haverhill.
The process is expected to take several weeks. The testimony began Monday afternoon with Alec Mendes, Correia's roommate at Providence College and co-developer of an app the defendant allegedly announced to be successful as SnoOwl investors. Mendes said the app called Find It only made a few thousand dollars.
Under the guidance of epidemiologists from Tufts University, the federal court limits courtrooms to one person per 100 square feet. There were only five socially distant people in the jury for 18 people. Nine more were spread out in three rows of three in the open area where consultation tables were usually located.
Lawyers, Correia, his fiancée, and his mother were seated at tables in the front row of the gallery, while other staff and a member of the media were scattered around the rest of the room.
U.S. District Judge Douglas P. Woodlock reminded Reddington to keep his mask over his nose after it slipped down several times during his ostentatious opening. He also reminded the attorney to stay "tied" to his microphone so people on Zoom could hear him. Judge Woodlock said he would try to make the process as safe and "normal" as possible, given the circumstances.
"It's good to be back, it's good to be with you again," he told the jury. "It is important for all of us to return to the work this country is doing."
The government is represented by Zachary R. Hafer, Carol E. Head, and David G. Tobin of the Massachusetts District Attorney's Office.
Correia is represented by Kevin J. Reddington of the law firms of Kevin J. Reddington.
The case is US v Correia, Case Number 1: 18-cr-10364, in the US District Court for the Massachusetts District.
– Adaptation by Orlando Lorenzo.
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