Sun Sentinel Palm Beach Edition
Former Baltimore mayor charged in book scandal
BALTIMORE — The disgraced former mayor of Baltimore was charged Wednesday with fraud and tax evasion involving sales of her self-published children’s books to nonprofits and foundations that did business with the government.
An 11-count federal indictment accuses Catherine Pugh of arranging fraudulent sales of her “Healthy Holly” books to schools, libraries and a medical system to enrich herself, promote her political career and fund her run for mayor.
“There are many victims in this case,” said U.S. Attorney Robert Hur in announcing the indictment. “The victims are all of us, the taxpayers and the people of Baltimore, who expect and deserve integrity from their public officials.”
Federal authorities say Pugh and two city employees double-sold the books or failed to deliver them to institutions they were purchased for, including the Baltimore City Public Schools. Pugh then allegedly used the proceeds to fund straw donations to her mayoral campaign and to renovate a house.
Pugh, who has been in seclusion since early April, is expected to surrender to U.S. Marshals ahead of her arraignment Thursday in Baltimore. She’ll appear before U.S. District Judge Deborah K. Chasanow on charges of conspiracy to commit wire fraud, wire fraud, conspiracy to defraud the United States and tax evasion.
The grand jury indictment returned Nov. 14 also charged two Pugh associates, Gary Brown, Jr., and Roslyn Wedington, who pleaded guilty to conspiracy and tax fraud.
If convicted, Pugh faces up to 20 years in prison on each wire fraud count and five years for each tax evasion count.
The federal government also will seek to seize a house owned by Pugh and $770,000 as part of any sentence.