Michael Lacey, a founding father of the defunct categorized web site Backpage.com, obtained a five-year jail sentence on Wednesday and was fined $3 million. Lacey was discovered responsible of cash laundering final 12 months in a sweeping case that alleged Backpage executives promoted and profited from prostitution.
Lacey was convicted on a single rely of worldwide concealment cash laundering in November 2023 however was acquitted of fifty different fees associated to prostitution facilitation and cash laundering resulting from inadequate proof. He nonetheless faces about 30 associated fees, in accordance with the Related Press. Two different Backpage executives — former chief monetary officer John Brunst and govt vice chairman Scott Spear — obtained 10-year jail sentences on Wednesday after being convicted of cash laundering and prostitution facilitation final 12 months.
“The defendants and their conspirators obtained greater than $500 million from working an internet discussion board that facilitated the sexual exploitation of numerous victims,” stated Principal Deputy Assistant Legal professional Normal Nicole M. Argentieri in a Division of Justice press launch. “The defendants thought they might cover their illicit proceeds by laundering the funds by way of shell firms in international nations. However they had been flawed.”