A Louisiana Commissioner and Sister Plead Guilty to Federal Charges, Face up to 20 Years in Prison

Published November 8, 2021

Two from Louisiana face up to 20 years in prison, and a fine of up to $250,000 after pleading guilty to their involvement in a scheme to defraud the Food and Nutrition Service, an agency of the United States Department of Agriculture (USDA) that administers the Child Nutrition Programs.

Louisiana – Acting US Attorney Alexander C. Van Hook revealed that two defendants set to go on trial on Monday, November 8, 2021, both submitted guilty pleas before US District Judge Elizabeth E. Foote on November 5, 2021.

On November 5, 2021, Lynn D. Cawthorne, 54, a Caddo Parish Commissioner and Shreveport resident, and his sister, Belena C. Turner, 50, also of Shreveport, each pleaded guilty to wire fraud in connection with their involvement in a scheme to defraud the Food and Nutrition Service, an agency of the United States Department of Agriculture (USDA) that administers the Child Nutrition Programs. In connection with a separate indictment filed by a federal grand jury against him in December 2019, Cawthorne pled guilty to aiding and assisting in the creation and subscribing of a fraudulent tax return.

Cawthorne was president and Turner was executive director of United Citizens and Neighborhoods, Inc. (UCAN) in 2013. Turner and Cawthorne caused UCAN to apply to the LDOE in 2013 to participate in the SFSP at several feeding sites in Louisiana’s Western District. Harvest Catering, Inc. (Harvest Catering) was founded by Cawthorne in late May 2013 in the name of an unindicted co-conspirator. Cawthorne, on the other hand, retained actual control and decision-making authority over Harvest Catering’s financial operations. Cawthorne, in particular, issued Harvest Catering checks and had a Harvest Catering debit card.

The USDA’s Child Nutrition Programs include the Summer Feeding Service Program, according to documents presented during the hearing (SFSP). The SFSP was created to ensure that children in low-income communities continue to receive nutritional meals during the summer months while school is not in session. The Louisiana Department of Education’s (LDOE) Division of Nutrition Support administers the SFSP in Louisiana. Meals are made and served by SFSP sponsors who are expected to adhere to USDA and LDOE standards and regulations.

Sponsors must submit a “sponsor application” that contains, among other things, a budget anticipating revenues and expenses associated with the feeding program in order to participate in the SFSP. Sponsors must also submit a “site application” detailing the location where meals will be served. Sponsors agree to oversee the administration of SFSP at each authorized site in the application. LDOE regulations require sponsors to keep certain records, including but not limited to daily site records showing the number of Eligible Meals served to Eligible Persons, based on USDA requirements. After electronically submitting claims to LDOE and certifying that each claim is genuine and accurate, sponsors are compensated for expenses. Sponsors may potentially be eligible for a cash advance to assist with the payment of specified expenses.

Harvest Food would be providing catering services to UCAN at its SFSP sites, according to Turner and Cawthorne’s representation to the LDOE. The defendants submitted a bogus reimbursement claim, which resulted in a wire being wired on May 20, 2013. On the same day, the LDOE used a wire transmission traveling in interstate commerce through the Western District of Louisiana to electronically transfer $33,080.78 to UCAN’s bank account. Turner drafted and eventually negotiated a check for Dreamkeepers Academy, a non-profit under her control, on May 24, 2013. Additionally, on May 30, 2013, Cawthorne prepared an $8,000.00 UCAN check payable to Harvest Catering. Cawthorne and Turner used a portion of these monies for personal use rather than the SFSP, whether by cash withdrawal, check negotiation, or debit card. The government and the defendants agreed that the amount of money lost as a result of the fraud plan would be calculated at the time of sentence.

Cawthorne admitted to employing a tax return preparer to prepare his 2013 tax return and to assisting in the preparation of his tax return for the 2013 tax year in connection with the tax fraud accusation. Cawthorne earned money from Harvest Catering that he failed to record, and throughout the 2013 calendar year, he fraudulently reported an adjusted gross income of $7,555. Cawthorne was aware that the statement on his 2013 tax return was inaccurate, and he filed it on or about April 15, 2014, despite the fact that it contained false information, namely that his income was higher.

On the wire fraud charge, Cawthorne and Turner may face up to 20 years in prison, three years of supervised release, and a fine of up to $250,000. Cawthorne also faces up to three years in prison, a $100,000 fine, or both for tax fraud.

Cawthorne and Turner’s sentencing has been set for March 16, 2022, at 9:30 a.m.

The matter was investigated by the Louisiana Office of State Inspector General, FBI, IRS-Criminal Investigation, and USDA-OIG. The case was prosecuted by Assistant US Attorneys Tennille M. Gilreath and Brandon B. Brown.