Latest news with #PhoenixSolutions
Yahoo
19-05-2025
- Politics
- Yahoo
Tennessee House Republicans commend Speaker for 'uncovering' Casada-Cothren scheme
Tennessee House Republicans lauded House Speaker Cameron Sexton, left, for his role in uncovering a corruption scheme. (Photo: John Partipilo/Tennessee Lookout) In the wake of guilty verdicts in Tennessee's political corruption trial, House Republicans are lauding Speaker Cameron Sexton for alerting federal authorities to a secret political vendor and cooperating with them to get a conviction. The House Republican Caucus released a statement immediately after the case's outcome saying the guilty verdict for former Speaker Glen Casada and his ex-aide Cade Cothren 'reaffirms the principle that public office is a sacred trust, not a license for personal gain or abuse of power.' The jury found Casada guilty on 17 of 19 counts of fraud, kickbacks, bribery, money laundering and conspiracy and Cothren guilty on all 19 counts. Former Rep. Robin Smith pleaded guilty in the case and testified against the pair. The caucus said it appreciates Sexton's leadership as he was 'instrumental in uncovering illegal activity by two former members and providing critical facts to federal authorities.' The statement adds that Sexton's 'commitment to integrity in state government reflects the standards to which all public officials should be held.' Former Tennessee House Speaker Glen Casada, ex-aide, guilty in federal corruption case Sexton, a Crossville Republican, was expected to testify for the prosecution but was never called to the stand in the four-week trial. Casada's defense attorney, Ed Yarbrough, said the absence of Sexton testimony left a hole in the prosecution's argument. Yet the defense called no witnesses to testify, including Sexton, despite issuing subpoenas to him and numerous people. Cothren and his defense team went after Sexton before the trial started, making the claim that he or one of his staff members wore a device to record conversations with lawmakers. In addition, Cothren said he helped Sexton win the House Speaker's race in 2019 after Casada resigned the post, then fell out of favor. Phoenix Solutions, the secretive company run by Cothren in cahoots with Casada and Smith, tapped into House members' postage and printing money for constituent mailers. The trio had to keep Cothren's role quiet because of his 2019 resignation from the chief of staff post in a racist and sexist texting scandal. Phoenix Solutions ran into trouble getting paid by the Legislative Administration office run by Connie Ridley. As questions arose about the vendor, Cothren signed a W-9 form as 'Matthew Phoenix,' a bogus name for the company's president, one of the linchpins for the government's case. When FBI agents raided Casada's home in January 2021, he ultimately told them that Cothren couldn't 'deal' with lawmakers or be known as running Phoenix Solutions because Sexton didn't like him. SUPPORT: YOU MAKE OUR WORK POSSIBLE
Newsweek
16-05-2025
- Politics
- Newsweek
Former Republican Lawmaker Convicted on Corruption Charges
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. A former Tennessee Republican House speaker was found guilty on 17 federal corruption charges on Friday. Glen Casada, who served in the Tennessee House of Representatives from 2003 to 2023, was convicted on multiple charges, including theft, bribery, use of a fictitious name to carry out fraud, wire fraud and money laundering. Casada and his then-chief of staff, Cade Cothren, were indicted in August 2022. Cothren was found guilty on 19 charges. The Context Cothren was accused of starting a political mail business with the support of Casada. The company was called Phoenix Solutions, which they claimed was owned by a man named Michael Phoenix. House Republicans then used taxpayer money to hire the political mailing group, which they did not know had ties to Cothren. Phoenix Solutions received $52,000 in state tax money to create the mailers. "Had the FBI not shut this down, it would have made the conspirators a steady stream of easy money," prosecutor Blake Ellison said in his closing argument. Former Tennessee House Speaker Glen Casada arrives at the federal courthouse in Nashville, Tennessee, on May 9, 2025. Former Tennessee House Speaker Glen Casada arrives at the federal courthouse in Nashville, Tennessee, on May 9, 2025. AP Photo/George Walker IV What To Know Casada was found not guilty on two of the six wire fraud charges. The trial began in April. Current Tennessee House Speaker Cameron Sexton was expected to be a key witness in the case but ultimately did not testify. Casada and Cothren did not testify in their own defense. The defense did not call any witnesses. During closing statements, the defense said there were holes in the government's case and denied that the defendants engaged in bribery. "Did the state get exactly what it paid for? Yes it did," defense attorney Cynthia Sherwood said. Casada resigned as House speaker in 2019 after a no-confidence vote by House Republicans because of several scandals. Local television station WTVF found that Cothren and Casada had exchanged sexually explicit text messages about women. Cothren resigned after the texts and racist texts were uncovered. He also admitted to using cocaine inside a legislative building in a previous position. Casada did not seek reelection in 2022. What People Are Saying Ed Yarbrough, attorney for Casada, told the Associated Press: "Obviously, we felt very strongly about our defense, and we're disappointed with the verdict." Prosecutor Blake Ellison, in his closing argument: "No other mail vendor in the state had access like this." What Happens Next Attorneys for Casada and Cothren said they plan to appeal the verdict. Both face up to 20 years in prison at their sentencing in September. They will remain free on bond until then. Do you have a story that Newsweek should be covering? Do you have any questions about this story? Contact LiveNews@
Yahoo
16-05-2025
- Politics
- Yahoo
Former Tennessee House speaker, chief of staff found guilty in fraud trial
NASHVILLE, Tenn. (WKRN) — A former speaker of the Tennessee House and his former top aide have been convicted of defrauding the state. Former state Rep. Glen Casada (R-Williamson County) and his former chief of staff, Cade Cothren, were tried on federal charges tied to a money making scheme. The two were accused of pushing the state of Tennessee to use a company started by Cothren. House Republicans used taxpayer money to hire the political mailing group, unaware Cothren was behind the with Casada's support, established a company called Phoenix Solutions with the goal of providing constituent mail services to Tennessee General Assembly members. In 2022, Casada and Cothren were indicted on conspiracy charges, alleging that they engaged in a fraudulent scheme to enrich themselves by using their official positions to obtain state approval of Phoenix Solutions as a mailer program vendor. The indictment also charges Casada and Cothren with using a fictitious name to carry out a fraud, theft concerning programs receiving federal funds, eight counts of money laundering, six counts of honest services wire fraud, and two counts of bribery and kickbacks. Just seven months into 2019, Casada resigned from his role as House speaker amid a scandal in his office. He was hit with allegations including sending racist and sexist text messages to his former aide, Cothren. The FBI raided Casada's and Cothren's homes in January 2021. Federal agents searched the offices and homes of several Republican Tennessee lawmakers in January 2021, a move that led three legislative staff members to be placed on paid administrative leave. ⏩ Cothren allegedly sent racist and sexually explicit text messages between 2014 and 2016. Cothren admitted to drug use during that time and claimed he was seeking help. On Friday, May 16, Casada was found guilty on 17 of 19 counts — he was acquitted on two of the honest service wire fraud counts — while Cothren was found guilty on all counts. Casada's wife started sobbing as soon as the first guilty verdict was reached. In the multi-count indictment, each charge has a maximum prison sentence and fine, with 20 years in prison and $500,000 fine for just one count as a maximum. 📲 Download the News 2 app to stay updated on the go.📧 Sign up for WKRN email alerts to have breaking news sent to your inbox.💻 for Nashville, TN and all of Middle Tennessee. This is a developing story. WKRN News 2 will continue to update this article as new information becomes available. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Boston Globe
16-05-2025
- Politics
- Boston Globe
Jury convicts ex-Tennessee House speaker and his aide in legislative mail scheme
Advertisement The current House speaker, Cameron Sexton, had been held out as a star witness but ultimately did not testify. He has said he helped authorities in the case against his predecessor since taking the speaker job in 2019. Sexton was among the lawmakers and staffers who testified to the grand jury. Get Starting Point A guide through the most important stories of the morning, delivered Monday through Friday. Enter Email Sign Up The defense sought to draw attention to a political rivalry between Casada and Sexton. Ultimately, the defense declined to call any witnesses. Neither Casada nor Cothren testified. And defense attempts to discuss in front of jurors whether Sexton wore a wire were shut down by the judge. On Friday, the federal jury in Nashville found the pair guilty of numerous charges including theft, bribery, kickbacks, use of a fictitious name to carry out fraud, wire fraud, and money laundering. Casada was found not guilty on two of six counts of wire fraud. Advertisement Casada resigned as House speaker in 2019 after a no-confidence vote from fellow House Republicans due to swirling scandals, including revelations he exchanged sexually explicit text messages about women years ago with Cothren. Not long before that, Cothren also left his post over those texts and racist texts, coupled with an admission he used cocaine inside a legislative office building when he held a previous job. The criminal charges center on a time after the pair's political freefall, while Casada was still a sitting lawmaker. The charges claim Cothren launched Phoenix Solutions with the knowledge and support of Casada and then-Rep. Robin Smith. The trio claimed the firm was run by a 'Matthew Phoenix,' and companies controlled by Casada and Smith received roughly $52,000 in taxpayer money in 2020 from a mailer program for lawmakers. A 'Matthew Phoenix' signature ended up on an IRS tax document. A supposed Matthew Phoenix associate named Candice was portrayed by Casada's then-girlfriend, prosecutors said. Casada and Cothren were indicted in 2022 after Smith resigned and pleaded guilty to one charge. Smith testified at the trial that the goal of the scheme was to hide who was behind Phoenix Solutions due to the 'radioactive' scandal that pushed Casada and Cothren out of power. The taxpayer-funded mailings for House Republicans were a first step to expand later to campaign work, she said. Defense attorneys noted the state got the mailings it paid for. They tried to paint Smith as untrustworthy and driven by hopes for a lenient sentence under her plea deal. Casada remained a state representative until 2022, when he didn't seek reelection. Advertisement
San Francisco Chronicle
16-05-2025
- Politics
- San Francisco Chronicle
Jury convicts ex-Tennessee House speaker and his aide in legislative mail scheme
NASHVILLE, Tenn. (AP) — A federal jury on Friday convicted a former Tennessee House speaker and his onetime chief of staff in a scheme to win taxpayer-funded mail business from state lawmakers even after scandals drove the two out of political power. Former Republican Rep. Glen Casada was found guilty of 17 of 19 charges, while his then-chief of staff, Cade Cothren, was found guilty of all 19 charges in a public corruption trial that began in late April. Each man faces up to 20 years in prison when they are sentenced in September. They remain free on bond in the meantime. 'Obviously, we felt very strongly about our defense, and we're disappointed with the verdict,' Casada attorney Ed Yarbrough said after court was adjourned. Attorneys for both men said they plan to appeal. The current House speaker, Cameron Sexton, had been held out as a star witness but ultimately did not testify. He has said he helped authorities in the case against his predecessor since taking the speaker job in 2019. Sexton was among the lawmakers and staffers who testified to the grand jury. The defense sought to draw attention to a political rivalry between Casada and Sexton. Ultimately, the defense declined to call any witnesses. Neither Casada nor Cothren testified. And defense attempts to discuss in front of jurors whether Sexton wore a wire were shut down by the judge. On Friday, the federal jury in Nashville found the pair guilty of numerous charges including theft, bribery, kickbacks, use of a fictitious name to carry out fraud, wire fraud, and money laundering. Casada was found not guilty on two of six counts of wire fraud. Casada resigned as House speaker in 2019 after a no-confidence vote from fellow House Republicans due to swirling scandals, including revelations he exchanged sexually explicit text messages about women years ago with Cothren. Not long before that, Cothren also left his post over those texts and racist texts, coupled with an admission he used cocaine inside a legislative office building when he held a previous job. The criminal charges center on a time after the pair's political freefall, while Casada was still a sitting lawmaker. The charges claim Cothren launched Phoenix Solutions with the knowledge and support of Casada and then-Rep. Robin Smith. The trio claimed the firm was run by a 'Matthew Phoenix,' and companies controlled by Casada and Smith received roughly $52,000 in taxpayer money in 2020 from a mailer program for lawmakers. A 'Matthew Phoenix' signature ended up on an IRS tax document. A supposed Matthew Phoenix associate named Candice was portrayed by Casada's then-girlfriend, prosecutors said. Casada and Cothren were indicted in 2022 after Smith resigned and pleaded guilty to one charge. Smith testified at the trial that the goal of the scheme was to hide who was behind Phoenix Solutions due to the 'radioactive' scandal that pushed Casada and Cothren out of power. The taxpayer-funded mailings for House Republicans were a first step to expand later to campaign work, she said. Defense attorneys noted the state got the mailings it paid for. They tried to paint Smith as untrustworthy and driven by hopes for a lenient sentence under her plea deal. ___
