State Rep. Reggie Fullwood was indicted on 10 counts of wire fraud and four counts of failure to file federal income tax returns, Middle District of Florida U.S. Attorney A. Lee Bentley III said Friday.
Fullwood faces a maximum of 20 years in federal prison for each wire fraud offense and one year for each failure to file charge. The indictment said he failed to file returns 2010-13.
The Jacksonville Democrat has served in the Florida House since 2010 and was a City Council member from 1999-2007.
The indictment said while Fullwood was seeking election to the Florida House and during his re-election campaigns, he made numerous electronic funds transfers from “The Reggie Fullwood Campaign” account to a bank account of an entity he owned, Rhino Harbor LLC.
The 10 counts listed on the indictment show a series of transfers from the campaign account Fullwood created to the business account, both of which were at Atlantic Coast Bank in Jacksonville. The amounts range from $400 to $2,000.
Officials said Fullwood used about $65,445 in financial contributions for personal expenditures at places including restaurants, grocery stores, retail stores, florists, gas stations and liquor stores.
The indictment details just over $11,000 in specific withdrawals.
The indictment also said Fullwood submitted false and fraudulent campaign expenditure reports to the state.
Campaign funds by law can’t be used for normal living expenses for the candidate or his family, with the exception of transportation, meals and lodging during campaign efforts.
“Public officials, whether elected or appointed, hold positions of trust in the eyes of the public. That trust is broken when these officials commit crimes,” said Special Agent in Charge Kim Lappin, IRS-Tampa Field Office, in a news release. “No public official gets a free pass to ignore the tax laws.”
The case will be investigated by the Internal Revenue Service — Criminal Investigation and the FBI. Assistant U.S. Attorney Mark Devereaux will prosecute the case.
Rhino Harbor LLC, activated in 2002, was a commercial and residential real estate development and consulting firm. It was dissolved in 2010.
Daily Record news partner WJXT TV-4 reported Fullwood was arrested by U.S. marshals Friday, pleaded not guilty in federal court and posted $10,000 bond.
The news station also received a statement from House Speaker Steve Crisafulli, which said, “Rep. Fullwood has been indicted but has not had his day in court yet. These are serious charges that he must answer.”
Fullwood did not return several calls and text messages from the Daily Record since Friday.