(LEX 18) — A Lexington man who was once convicted of fraud related to a multi-million dollar start-up he founded is now being held in a Minnesota jail.
Charles E. “Junior” Johnson, Jr., was charged in Lexington federal court last August with three counts of making false statements, according to court records. He was accused of failing to disclose his personal use of a bank account he controlled to his probation officer while owing millions in restitution in his original fraud case.
On Wednesday, Johnson was booked into the Sherburne County Jail in Minnesota, according to the jail website and the Sherburne County Sheriff’s Office. The jail website listed Johnson as being held on a “federal title” but did not give an exact charge.
Johnson was set to have a bond revocation hearing in federal court in Lexington on April 14, but the hearing was converted to a “docket call” and the minute entry for the court appearance was sealed, according to court records.
Johnson was the founder and CEO of internet multi-million dollar start-up PurchasePro, which allowed businesses to buy and sell products to other businesses.
Johnson was sentenced to 9 years in prison in 2008 on federal charges of conspiracy, securities fraud, tampering with a witness, and obstruction of an official proceeding, according to court records. He was also ordered to pay $9.7 million in restitution.
LEX 18 has reached out to the U.S. Attorney’s Office for the Eastern District of Kentucky and the U.S. Attorney’s Office for the District of Minnesota to learn more about why Johnson was arrested, but as of Thursday afternoon had not heard back.
