Atlanta City Councilman Indicted on Federal Fraud Charges
U.S. Attorney Byung J. "BJay" Pak said the charges involve alleged actions taken by Brown for as long as seven years before he was elected to the Atlanta City Council last year.
July 29, 2020 at 06:06 PM
3 minute read
Atlanta City Councilman Antonio Brown was indicted Wednesday by a federal grand jury on multiple fraud charges in connection with an alleged scheme that involved taking out loans and making credit card purchases, then avoiding repayment by claiming he was an identity theft victim, the U.S. attorney of the Northern District of Georgia announced Wednesday.
"For years, Antonio Brown allegedly sought to defraud a number of banks and credit card companies by falsely claiming that he was the victim of identity theft," said U.S. Attorney Byung J. "BJay" Pak.
Pak said the charges all involve conduct that occurred prior to Brown's election to the city council.
In a message to the Daily Report via Twitter, Brown responded to the charges with, "Not guilty! The Councilman will be exonerated!"
According to Pak, Brown allegedly began opening credit card accounts as far back as 2012, through which he made thousands of dollars in purchases. Brown also obtained more than $60,000 in auto loans to finance purchases of a Mercedes-Benz C300 and a Range Rover, a $75,000 loan from Signature Bank in 2017 and other smaller bank loans.
The loan was for Brown's company LVL XIII Brands (known as Level 13), according to the indictment. The company took off after artist Jason DeRulo spotted his designs on social media and, eventually, expressed interest in becoming an investing partner and co-designer, according to 17thSouth and People.
But rather than repay those loans, Brown is accused of falsely claiming his identity was stolen and that the alleged thieves made the purchases in his name, according to the U.S. attorney.
Brown also is accused of providing false information on personal financial statements and loan applications, Pak said.
In a 2016 claim Brown submitted to three credit reporting agencies and two banks claiming his identity was stolen, he contended "a fraudulently opened account" that he "previously disputed" remained on his credit report.
"Let me [be] very clear, I did not open this account, so how dare you verify with the credit reporting agencies that this account belongs to me," he wrote in a claim cited in the indictment. He then asked that the account be deleted from his report, intimated he might sue, and suggested he was entitled to at least $1,000 in compensation for what he claimed were erroneous reports.
Brown was elected to the city council last year. He represents the city's District 3, which stretches from Vine City to Atlantic Station.
According to his official bio on the city's website, Brown grew up poor to parents who were frequently incarcerated. He created LVL XIII (Level 13) luxury men's fashion brand and then established Dream of Humanity, a nonprofit he established to benefit "marginalized people from disadvantaged backgrounds." He also created the Small Business Entrepreneurship Program, now licensed by The Art Institute, to provide entrepreneurial training and support to underserved college students across the country.
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