Illinois Pastor Sentenced for Committing Fraud to Finance Gambling Habit

A former Champaign, Illinois  pastor has been sentenced to 10 months in prison after admitting to bankruptcy fraud and misusing more than $50,000 in federal funds and student loans to finance a gambling habit.

The Rev. Lekevie Johnson is free on a recognizance bond without conditions until his official prison surrender date June 6 to a prison yet to be determined, The News-Gazette of Champaign-Urbana reported.

Johnson also was ordered by U.S. District Judge Michael Mihm to pay $59,358 in restitution to the U.S. Department of Housing and Urban Development and U.S. Department of Education.

He will face three years of supervision after his release from prison with conditions including that he refrain from gambling, participate in mental-health counseling and undergo treatment for a gambling addiction.

Johnson called his situation “self-inflicted” and said “I have blamed no one but myself.”

Johnson pleaded guilty in federal court in December to bankruptcy fraud and squandering over $50,000 in federal funds and student loans to fund his gambling habit.

He admitted to three counts of fraud, including misappropriation of federal funds, student loans, and providing false claims on his bankruptcy case. Before resigning prior to Thanksgiving, Johnson pastored Mount Calvary Missionary Baptist Church.

One of the charges alleged Johnson spent federal grant money given by the city of Champaign to Life Line Champaign, a summer enrichment program, on personal expenses.

Johnson, an officer for Life Line, admitted to using $25,700 of the money dedicated to the nonprofit for his benefit. Personal transactions included several ATM cash withdrawals at casinos.

Additionally, the charge claims Johnson used over $30,000 in federal student aid he requested under the guise of funding an online master of arts in Christian ministry program at Liberty University.

According to the government filing, Johnson applied for the Free Application for Federal Student Aid form on separate occasions. Then, he successfully received multiple student loans from the U.S. Department of Education that he did not use for education-related expenses.

The charge continued to say Johnson used the aid to “pay for various non-educational expenses, including to gamble at casinos.”

The bankruptcy fraud charge said Johnson lied about his church salary and claimed he didn’t receive gifts. He also claimed no control over church finances or oversight of church funds.

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Johnson and his wife filed for Chapter 7 bankruptcy in January 2020. The filing listed $216,890 in secured debts, $73,191 in dischargeable unsecured debts, and $135,595 in student loans.

In the bankruptcy petition, Johnson said his monthly pastor income was $3,575. He claimed that in 2019 he received $42,900 in wages but did not disclose that he received tens of thousands of dollars from the church in additional monies, even when he testified under oath.

Johnson faces up to 10 years in prison and up to a $250,000 fine for the misapplication of federal funds. Additionally, he could get up to five years in prison and up to a $250,000 fine each for the other two charges.