Two suspended Jacksonville City Council members plead not guilty to federal charges

Jacksonvile, FL — Two now-suspended Jacksonville City Council members have pleaded not guilty to the fraud, money laundering, and related charges they face.

Katrina Brown and Reggie Brown entered the pleas in federal court Monday. Their trial date has been tentatively set for September.

The two were jointly indicted on a combined 38 charges, dealing with an alleged scheme involving a federally-backed loan and other incentives awarded to Katrina Brown’s family BBQ sauce business, which was struggling. Reggie Brown allegedly created shell companies that submitted fake invoices, so that they could continue to draw down on the loan. Katrina Brown is also accused of using fake information to try to obtain two bank loans, while Reggie Brown is also accused of not filing a tax return one year and of not reporting income from the alleged scheme to the IRS.

Both defendants had previously said they were not guilty, but the pleas have now been formally entered. They both stood beside their court-appointed attorneys, with the judge previously finding they could not afford their own counsel, although they are contributing financially to their representation.

Following the indictment, both of the Democratic City Council members were removed from their committee assignments by the Council President. Soon after, Governor Rick Scott suspended them from the governing body altogether.