The leader of Chatham County's Housing Authority faces charges of fraud, identify theft and obstruction of justice. Prosecutors allege JoAnn Johnson Davis and her co-conspirators would concoct bids for housing authority projects under fake names or under the name of unwitting companies, then award the projects to friends, family and relatives. Because other bids were fake, the bidders known to Davis did not face any legitimate competition for the bids.
Davis had been executive director of the Chatham County Housing Authority since 2012, with stints before that at the Durham and Gaston county housing authority offices.
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Prosecutors say money designated by the Department of Housing and Urban Development to provide housing to low income, elderly and disabled residents instead went to line Davis' pockets.
Others charged are Clintess Roberta Barrett-Johnson, Michele Necole Bell-Johnson, Robert Johnson Jr. and Candace Agatha Brunson-Poole. Prosecutors say another 14 people – five of them Davis' friends, five others members of her family – were park of the kickback scheme but are not facing charges.
Davis and the others were arrested on Friday.
According to the indictment, Davis, through the housing authority, awarded illegal contracts to at least 13 friends and relatives, who then would return some of the money the housing authority paid for the work to her. Davis is alleged to have made more than $200,000 from those illegal deals.
Asked about the scheme and Davis' arrest, Chatham County Manager Dan LaMontagne pointed out that Davis is not a county employee.
"The Chatham County Housing Authority’s mission in providing assistance for affordable and safe housing to residents of Chatham County fills a critical need. We trust that the Authority will continue this important work while these internal issues are resolved," he said in a statement.