Source: US FBI
NASHVILLE –After a three-week trial,former Tennessee Speaker of the House Glen Casada, 64, and his former Chief of Staff Cade Cothren, 38, of Nashville, were found guilty today by a federal jury of conspiracy to commit theft from programs receiving federal funds; bribery and kickbacks concerning programs receiving federal funds; honest services wire fraud; conspiracy to commit money laundering; using a fictitious name to carry out a fraud; theft concerning programs receiving federal funds; eight counts of money laundering; and two counts of bribery and kickbacks, announced Robert E. McGuire, Acting United States Attorney for the Middle District of Tennessee. Cothren was also found guilty on six counts of honest services wire fraud, and Casada was found guilty on four counts of honest services wire fraud and acquitted on two counts.
“Tennesseans have a right to expect honest services from their elected leaders and their staffs,” said McGuire. “Our office will continue to pursue justice on behalf of our community in cases involving public corruption and fraud committed by elected officials or their staffs. We believe that Tennesseans deserve no less.”
“Elected officials and their staff members have a duty to act honestly and ethically when serving the public,” said Joseph E. Carrico of the FBI Nashville Field Office. “Using public office for personal gain is a crime and the FBI is committed to holding those who abuse power accountable and protecting public resources.”
According to evidence presented at trial, beginning in late 2019, Casada, while representing Tennessee House District 63, Cothren, and former Tennessee State Representative Robin Smith, 61, of Hixson, Tennessee, engaged in a fraudulent scheme to enrich themselves by exploiting Casada and Smith’s official positions as legislators to obtain funds from the State of Tennessee. Specifically, the conspirators deceived their former colleagues and officials at the State of Tennessee in an effort to obtain State funds for Phoenix Solutions, Cothren’s political consulting business. In exchange for recruiting legislators and securing the approval of Phoenix Solutions’ invoices by the State, Cothren paid kickbacks to Casada and Smith.
Smith pleaded guilty to one count of honest services wire fraud in 2022 and testified at trial.
The evidence showed that Cothren pretended to be “Matthew Phoenix,” supposedly an experienced political consultant who had previously worked for a Washington, D.C.-based consulting firm. In fact, Cothren operated Phoenix Solutions, and Casada, Cothren, and Smith knew that “Matthew Phoenix” was a fictitious person. Casada, Cothren, and Smith concealed their involvement in Phoenix Solutions by submitting invoices to the State of Tennessee in the names of political consulting companies owned by Casada and Smith, for the purpose of secretly funneling money from the State to Phoenix Solutions through the bank accounts of these companies. In 2020, these companies and Phoenix Solutions received approximately $51,947 from the State in payments associated with the mailer program. Phoenix Solutions also obtained more than $170,000 in payments from political organizations, campaigns, and candidates.
Casada and Cothren will be sentenced later this year, and each face up to 20 years in prison. Smith is scheduled to be sentenced on June 9, 2025, and faces up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Casada, Cothren, and Smith may also be ordered to forfeit any property which represents or is traceable to receipts obtained as a result of the offenses.
This case was investigated by the FBI, Nashville Field Office. Assistant U.S. Attorney Taylor J. Phillips and Trial Attorneys John P. Taddei and Blake J. Ellison of the Justice Department’s Public Integrity Section are prosecuting the case.
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