Backpage.com founder freed on $1M bond in case over sex ads
Phoenix, Az
   
 
More Today's News:
ߦ   Paris Police Dept - Daily Activity Summary
ߦ   Traffic Fatality on Brushy Creek Road
ߦ   Constables Arrests Man For Evading Arrest In Vehicle
ߦ   Galveston College Community Chorale sets holiday concert
ߦ   ViCAP Links Murders to Prolific Serial Killer
ߦ   K9 Teams - Beyond the Basics of Search and Rescue and Recovery
ߦ   HIRING POLICE OFFICER - La Marque Police Dept.
ߦ   As Crowd Of By-Standers Shoot Video Of Officer Being Attacked; Good Samaritan Stops To Help
ߦ   Ballistic vests, constable cameras part of county law enforcement upgrades
ߦ   Injured Fayette Co. deputy strong, defiant as he recalls being shot on duty
ߦ   MOST WANTED - Galveston County Sheriff
ߦ   Plano police use donated helicopter for sky-high training
ߦ   Animal Cruelty Arrest
ߦ   Fire Captain Rescues 5 Year Old Child
ߦ   Reminder - Drive Sober or Get Pulled Over
ߦ   Man Sentenced to 15 Years for Strangling and Leaving Victim Unconscious on Roadside
ߦ   Houston Police Dept. Incident Reports
ߦ   Galveston County District Attorney Announces 'Tree of Angels' Celebration
ߦ   Attention All Galveston Bay Area Racers And Fans!!!
ߦ   Motorsports Expo to Benefit Galveston County Children's Advocacy Center
ߦ   Deported killer arrested at border entering the U.S.
ߦ   Fort Bend County Trial Information
ߦ   Mexican Prosecutors visit Federal Prosecutors in Eastern District of Texas
ߦ   Top Ten Stolen Vehicles for October 2018
ߦ   Citizens Police Academy Accepting Applications
ߦ   Coast Guard trains maritime first responders for first Liquified Natural Gas entering Port of Corpus Christi
ߦ   MCTXSheriff and Pct 3 Constables Investigates Shooting
ߦ   Photos of Suspects Wanted In Shooting
ߦ   San Antonio police officer arrested, charged with DWI
ߦ   4 dead in Lone Star Rally-related deaths
ߦ   See who turned out for Galveston's Lone Star Rally
ߦ   Harris County Sheriff’s Deputies Make Arrest in Berrywood Stabbing
ߦ   High Speed Pursuit Leads To Arrest
ߦ   Justice Department to Monitor Compliance with Federal Voting Rights Laws on Election Day
ߦ   Students who find out they're having sex with same teacher tell his wife, report says

 
Search Archives:

Backpage.com founder freed on $1M bond in case over sex ads

PHOENIX (AP) — A founder of the classified advertising site Backpage.com was released from custody Friday after spending a week in jail on charges alleging that he knowingly published ads for sexual services and laundered money.

Michael Lacey walked out of the federal courthouse in Phoenix after posting a $1 million bond and declined to speak with reporters about the charges against him.

His release came a day after authorities revealed that Backpage.com CEO Carl Ferrer pleaded guilty to a federal conspiracy charge in Arizona and state money laundering charges in California.

In addition, the company pleaded guilty to human trafficking in Texas and a federal money laundering conspiracy charge in Arizona. Ferrer has agreed to testify against others.

U.S. Magistrate Judge Bridget Bade ordered that Lacey wear an electronic monitoring device, provide an accounting of his finances and refrain from exerting any control over the website.

Lacey wore a black and white striped jail suit during a bail hearing Friday. His only comments came when he told the judge that he understood the conditions of his release.

"I do, your honor," Lacey said.

Lacey, Backpage.com co-founder James Larkin and five employees were arrested last week on federal charges. Larkin remains in jail and has a bail hearing Monday.

The federal indictment in Arizona alleges Backpage.com ignored warnings to stop running advertisements promoting prostitution, sometimes involving children, because the site had brought in $500 million in prostitution-related revenues since its inception in 2004.

Authorities say Backpage.com portrays itself as trying to prevent such ads, but investigators determined the site's operators have declined to confront the problem. Employees are accused of helping customers edit their ads to say within legal limits while still encouraging commercial sex.

The indictment alleges Backpage.com started to launder money earned from ad sales after banks raised concerns that they were being used for illegal purposes.

Lacey, Larkin and four of the five employees charged in the federal case in Arizona have pleaded not guilty.

———

Follow Jacques Billeaud at twitter.com/jacquesbilleaud. His work can be found at https://bit.ly/2GGWEPO .

Post a comment
Name/Nickname:
(required)
Email Address: (must be a valid address)
(will not be published or shared)
Comments: (plain text only)
Printer Friendly Format  Printer Friendly Format    Send to a Friend  Send to a Friend    RSS Feed  RSS Feed
  Facebook   Share link on Twitter Tweet  
© 1999-2018 The Police News. All rights reserved.