A well-known Baptist pastor of New Orleans and Baton Rouge for more than 30 years has admitted to defrauding nearly $900,000 from his church, housing associations, parishioners and charter schools.
At a hearing by U.S. District Judge Jay Zaney, Reverend Charles Southall III, 64, pleaded guilty to money laundering charges on Tuesday, the Justice Department said in a news release.
Prosecutors said Southall, who headed the First Emmanuel Baptist Church in New Orleans and Baton Rouge, solicited tithing and donations from church members and stole them.
In one case, Southour received a $10,000 tithe from a congregation in 2019 and then diverted the money for himself, the statement said.
In another case, he said he had solicited donations from church members for charity and improvements to church buildings for four years, and converted $106,408 of his donations into his account.
Southall also established the Edgar P. Harney Spirit of Excellence Academy as a charter school in New Orleans and an affiliated school in Baton Rouge.
Spirit of Excellence received grants and loans, but the Baton Rouge school never opened, and investigators say nearly $221,000 was spent between 2013 and 2017 in collusion with Southall, dubbed Person A in court documents.
Prosecutors say it was diverted to a bank account managed by
The church also owns a rental property, from which it diverted nearly $150,000 into personal accounts. He also sold church property, pocketing more than $500,000, prosecutors said.
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