UPDATE: Maddox, Carter-Smith named in 44-count federal indictment

by | Dec 12, 2018

 

Tallahassee city commissioner Scott Maddox and his long-time friend and political consultant Paige Carter-Smith have both been named in a 44-count indictment released Wednesday morning by the U.S. Attorney’s Office Northern District of Florida.

The indictment accuses Maddox, 50, and Carter-Smith, 53, of conspiring to operate a racketeering enterprise that engaged in acts of bank fraud, extortion, honest services fraud, and bribery. The two are also charged with bank fraud, making false statements to financial institutions, extortion, honest services fraud, use of interstate facilities in furtherance of bribery, false statements to federal officers, conspiracy to interfere with the lawful function of the Internal Revenue Service, and filing false tax returns.

The charges carry the following maximum prison terms:

  • 30 years: Bank Fraud, False Statements to a Financial Institution
  • 20 years: Racketeering Conspiracy, Extortion and Honest Services Fraud
  • 5 years: Use of Interstate Facilities in Furtherance of Bribery, Making False Statements to a Federal Officer, Conspiracy to Defraud the United States
  • 3 years: False Statement on a Tax Return

According to federal authorities, Maddox and Carter-Smith allegedly conspired to operate two companies, Governance, Inc., and Governance Services, LLC, as one entity they referred to as “Governance.” The indictment says Governance was part of a racketeering enterprise that was used by the two to extort money and accepted bribes from the company’s clients by using Maddox’s office and the “economic harm that Maddox could inflict in his position as an influential City Commissioner,” the U.S. Attorney’s Office said in a release.

The indictment alleges that Maddox “cast votes on matters and exerted influence on City employees to take actions that benefited the businesses that paid Maddox and Carter-Smith through Governance.”

The two are accused of making false statements to the FBI about his involvement with Governance. Maddox is also charged with making false statements to the Florida Ethics Commission, as well as in a sworn deposition.

According to the indictment, Maddox and Carter-Smith also defrauded a bank of more than

$250,000, lied to federal agents about Governance and other matters, and violated federal tax laws by conspiring to interfere with the IRS and filing false tax returns.

First appearance has been scheduled for 3:00 p.m. Wednesday before a federal magistrate.

 

 

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