A federal grand jury in the US District Court for the District of Maryland Thursday indicted Marilyn Mosby, the state’s attorney for Baltimore City, with separate counts of perjury and submitting false mortgage applications. The four counts are for events taking place between May 2020 and February 2021, during which Mosby allegedly received pandemic relief funds under false pretenses and failed to disclose information on mortgage applications for two vacation properties.
According to the indictment, Mosby submitted two 457(b) requests for relief from financial hardship caused by the pandemic. To meet the criteria for such a request, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) requires applicants to certify that their financial hardship is the result “of being quarantined, furloughed, or laid off; having reduced work hours; being unable to work due to lack of childcare, or the closing or reduction of hours of a business [they] owned or operated.” Mosby certified this information on both requests and, as a result, received two withdrawals of $40,000 and $50,000 from the City’s Deferred Compensation Plan.
However, the indictment states that Mosby experienced no such hardship and received in full her 2020 salary of nearly $250,000, paid on a bi-weekly basis.
The indictment also alleges that on the application of mortgages for two Florida vacation homes, Mosby failed to disclose that she had unpaid federal taxes and that in March 2020 the Internal Revenue Service (IRS) placed a lien against her property rights. Additionally, shortly before she closed on one of the Florida properties, Mosby gave a management company the right to rent the property. Despite this, Mosby signed a separate agreement a week later affirming that she would use the home for personal use and not subject it to rentals or the control of a management firm.
Mosby faces a maximum sentence of five years each for two counts of perjury and a maximum of 30 years each for two counts of submitting false mortgage applications. Her hearing, which is not yet scheduled, will take place before the US District Court for the District of Maryland in Baltimore.