Former Baltimore Mayor Catherine Pugh Facing Charges Of Wire Fraud, Tax Evasion In Book Scandal

The U.S. Attorney’s Office in Baltimore on Wednesday announced it had officially filed charges against former Baltimore mayor Catherine Pugh, stemming from a children's book deal with the University of Maryland Medical Center. Pugh faces seven charges of wire fraud, conspiracy to commit wire fraud, conspiracy to defraud the United States and two counts of tax evasion.

“The people of Maryland expect elected officials to make decisions based on the public's best interests, not to abuse their office for personal gain,” head FBI investigator Jennifer Boone said in a statement. “The indictment alleges that Catherine Pugh betrayed the public's trust. The FBI will continue to diligently work to detect fraud and corruption and hold those who violate this trust accountable.”

Pugh had served on the hospital’s board before her resignation in March.

According to the indictment, Pugh conspired with a Baltimore city employee identified as Gary Brown to defraud organizations that purchased from Pugh’s book company, Healthy Holly. The four books sold reportedly listed Pugh as their author and were sold to various hospitals and charities working with state and city governments.

The pair allegedly made these efforts in an attempt to aid Pugh’s political career, fund her mayoral campaigns and enrich themselves. This was done through not delivering books after receiving payments, double-selling books without the purchasers’ knowledge, or accepting payment for delivery through a third-party before converting the books without either’s knowledge.

“Public officials should be a role model for the citizens they serve - adhering to the highest of standards,” said Kelly R. Jackson, Special Agent in Charge for IRS-Criminal Investigation. “These individuals chose to evade payment of their fair share of taxes instead, actions for which they must be held accountable in order to preserve public trust and confidence.”

Pugh served as Baltimore's mayor from December 2016 to May 2019.