By Thaddeus Miller, The Fresno Bee
The Fresno Bee
Former Fresno-area Congressman TJ Cox potentially faces decades in prison after changing his plea on Monday for two fraud-related charges.
The Democrat pleaded “guilty” in front of Judge Troy L. Nunley on Monday, almost two months after a plea deal became public.
In exchange for pleading guilty to a charge of wire fraud and a charge of wire fraud affecting a financial institution, the U.S. Attorney’s Office has agreed to drop the other 24 counts, Cox’s attorney Mark Coleman said.
Cox faces 20 years in prison and a $250,000 fine for one count and 30 years and a $1 million fine for the other. If he was sentenced to both prison stays, the punishments would run concurrently, Coleman said.
“TJ is a wonderful individual that has done a lot of good to this community. Unfortunately, he got into a situation where he made some decisions that he shouldn’t have made in this matter,” Coleman said. “TJ diverted money that was intended for a different purpose in an attempt to keep businesses afloat, and he’s now accepted responsibility for that conduct.”
Cox could also be given probation with no jail time, but the punishment is set to be determined by a judge in a June 2 hearing.
Prosecutors said Cox stole more than $1.7 million in diverted client payments and company loans and investments.
They also allege Cox created false records and a fraudulent loan guarantee in order to secure a $1.5 million construction loan through a sports nonprofit for improvements at Granite Park, a sports complex in Fresno.
Under the plea deal, Cox agrees to pay $3.5 million in restitution and will be required to provide records of his financial standings, the deal says.