Press Releases
PASTOR PLEADS GUILTY IN FEDERAL COURT
April 9, 2008
FOR IMMEDIATE RELEASE
NOAH A. THOMAS, JR., age 42, a resident of Marrero, LA, pleaded guilty to a one-count bill of information for mail fraud today in federal court before District Court Judge Kurt D. Engelhardt, announced U. S. Attorney Jim Letten.
According to the factual basis, THOMAS was the pastor of Pilgrim Missionary Baptist Church, whose building at 2241 South Liberty Street in New Orleans was devastated by flood water during Hurricane Katrina. The congregation applied for a SBA loan and a grant from the Bush-Clinton Katrina Fund to offset the cost of rebuilding since the Church did not have flood insurance. The Church was awarded a $252,000 disaster loan from the SBA and a $35,000 grant from the Bush-Clinton Katrina Fund.
According to court documents, THOMAS created a scheme to defraud the Church of the $35,000 Bush-Clinton grant funds for his own personal benefit by having the check mailed to his house. THOMAS then deposited the check into a bank account that he established and controlled. THOMAS also created a similar scheme to defraud the Church of the SBA loan money by having the SBA wire the initial $10,000 disbursement of the disaster loan into the same bank account. THOMAS spent at least $10,000 of the relief money on a new Dodge Durango for himself.
Court documents also revealed that unbeknownst to the Church Trustee Board, THOMAS obligated the Church for a $39,327.06 loan from ACI Financial, Inc. The loan amount was paid in two installments to a church furniture and accessories vendor. After receipt of the first installment, the vendor cut a check in the amount of $9,000 payable to THOMAS which THOMAS endorsed. Although all of the items had not been received by the Church, THOMAS attested to ACI Financial, Inc. that all items had been delivered by the vendor. When the vendor received the second installment, a check was cut in the amount of $3,800 payable to THOMAS, which he endorsed.
THOMAS faces a maximum term of imprisonment of twenty (20) years, a fine of $250,000.00 and three (3) years of supervised release following any term of imprisonment.
The case was investigated by the Federal Bureau of Investigation, Small Business Administration–Office of Inspector General, and the Jefferson Parish Sheriff’s Department.
The case was prosecuted by Assistant U. S. Attorneys Emily K. Greenfield and Michael McMahon.
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