GRAND RAPIDS, MICHIGAN – U.S. Attorney for the Western District of Michigan Mark Totten today announced that John Dawood Dalaly, 71, of West Bloomfield, Michigan, was sentenced to serve 28 months in federal prison and fined $25,000 for paying bribes to Rick Vernon Johnson, the former Chairperson of the Michigan Medical Marijuana Licensing Board. Following his release from prison, Dalaly will serve two years on supervised release. The sentence was imposed by U.S. District Court Judge Jane Beckering.
“John Dalaly bribed a public official. He corrupted a process designed to give people a fair shot at entering this promising new market,” said U.S. Attorney Mark Totten “Now, he’ll serve time in a federal prison. Public corruption is a poison to our democracy, and we will hold offenders accountable whenever and wherever we find them.”
Rick Johnson was a member and the Chairperson of the Michigan Medical Marijuana Licensing Board (MMLB) between May 2017 and April 2019. Prior to his appointment to that Board, Johnson worked as a lobbyist in Lansing, Michigan, and served as Speaker of the Michigan House of Representatives.
John Dalaly operated two companies that were formed with the purpose of obtaining various operating licenses from the MMLB or exploring the licensing of a digital currency platform for medical marijuana financial transactions. Dalaly admitted paying at least $68,200 in cash and other benefits (including private charter flights) to Johnson while he served as the Chair of the MMLB. In return, Johnson voted in favor of approving the prequalification status for one of Dalaly’s companies and voted in favor of granting medical marijuana licenses to that company. Johnson also provided valuable non-public information about the anticipated rules and operation of the MMLB and assistance with license application matters to Dalaly and others who paid him money.
“The corrupt activities uncovered in this case were facilitated by men whose desire for favorable treatment outweighed notions of integrity and fair play,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI in Michigan. “Public corruption is the FBI’s top criminal investigative priority and anyone who seeks to influence public officials through bribery will be thoroughly investigated.”
Rick Johnson’s sentencing for accepting bribes is scheduled for Thursday, September 28, 2023, at 1:30 p.m. in Grand Rapids before U.S. District Judge Jane Beckering. U.S. Attorney Mark Totten is scheduled to attend Johnson’s sentencing hearing and provide comments outside immediately following.
On Wednesday, October 18, 2023, sentencing hearings have been scheduled for Brian Pierce at 11 a.m. and Vince Brown at 1:30 p.m. in Grand Rapids before U.S. District Judge Jane Beckering.
Assistant United States Attorneys Christopher O’Connor and Clay Stiffler are prosecuting the case on behalf of the United States.
More Posts
Do Passengers in a Vehicle have 4th Amendment Rights?
Do Passengers have 4th Amendment Rights?Michigan Supreme Court Limits Police Ability to Search Passenger Property in CarsBackground Mead was a passenger in a car and had just met the driver, who offered him a ride. When the police stopped the vehicle and ordered both...
Michigan Appeals Court Decision on Cannabis Use and Probation
Michigan Court of Appeals - Recreational Cannabis Use and ProbationRecently, another pivotal case, People v. Lopez-Hernandez, was decided by the Michigan Court of AppealsAt Komorn Law, we are dedicated to protecting the rights of our clients and staying at the...
Do Students Have 4th Amendment Rights in Schools
Students and 4th Amendment RightsStudents are entitled to a right to be safe from unreasonable searches and seizures even within school premises, as ruled by the Supreme Court of the United States. However, these rights are somewhat limited for students, allowing...
Forfeiture Law: SCOTUS and Sixth Circuit Issue Landmark Rulings
Forfeiture Law in Focus: SCOTUS and Sixth Circuit Issue Landmark RulingsThe landscape of forfeiture law has been significantly shaped by recent decisions from the U.S. Supreme Court and the Sixth Circuit Court of Appeals. These rulings, in the cases of United States v...
When Can Your Silence Be Used Against You in a Legal Situation?
US Supreme Court - Salinas v. TexasWhen Can Silence Be Used Against You? In the realm of criminal law, the Fifth Amendment to the United States Constitution grants individuals critical protections, including the right to remain silent and the right against...
Supreme Court 8-1 Gun Possession Decision Changes Second Amendment
Supreme Court 8-1 Gun Possession Decision Changes Second Amendment Landscape Forever!Issue: Whether 18 U.S.C. 922(g)(1), the federal statute that prohibits a person from possessing a firearm if he has been convicted of “a crime punishable by imprisonment for a term...
Facial Recognition and Wrongful Arrests
Facial RecognitionHow Technology Can Lead to Mistaken-Identity Arrests Facial recognition technology has become increasingly prevalent in law enforcement, but its use raises critical questions about civil liberties and accuracy. One landmark case sheds light on the...
People v. Chandler Case: Protecting Fourth Amendment Rights
Court of Appeals of Michigan PEOPLE of the State of Michigan, Plaintiff-Appellee, v. Javarian CHANDLER, Defendant-Appellant. No. 368736 Decided: June 27, 2024Before: Borrello, P.J., and Swartzle and Young, JJ. Introduction In the People v. Chandler case, the Michigan...
What are Miranda Rights?
What are Miranda Rights?Miranda Rights, also known as the Miranda warning, are the rights given to people in the United States upon arrest. “You have the right to remain silent. Anything you say can and will be used against you in a court of law…” These rights stem...
What is the Exclusionary Rule?
What is the Exclusionary Rule?The Exclusionary Rule is a legal principle in the United States that prevents the government from using most evidence gathered in violation of the United States Constitution. Specifically, it applies to evidence obtained through an...
