Less than a year after being acquitted of federal fraud charges, Jabari Edwards is suing the federal government for compensatory damages, claiming a years-long investigation into his businesses was based on false statements and misrepresentations by a federal agent.
All of it, he claims, was a ploy to build a corruption case against former Columbus Mayor Robert Smith that never materialized.
In a civil complaint filed Tuesday in the U.S. District Court for the Northern District of Mississippi, Edwards alleges Richard Vignogna, an agent with the Office of the Special Investigator General for the Troubled Asset Relief Program, targeted him with hopes of flipping him against Smith.
“For two years, Agent Vignogna secretly searched for evidence, beginning with the blight program and spreading far beyond, to find a hook to arrest Edwards because Agent Vignogna wrongly felt that Edwards could land him the target of investigation,” the complaint said.
A civil complaint represents only one side of a legal argument.
Edwards was indicted in June 2022 for fraudulently using pandemic relief money acquired for two of his companies, North Atlantic Security and Edwards Enterprises. He was acquitted in April 2024 of 17 counts of wire fraud, conspiracy, money laundering and making false statements after a two-week jury trial.
The verdict in the federal courthouse in Oxford ended a nearly two-year legal battle centered on companies owned by Edwards, including J5 Solutions, J5 GBL, the Bridge Group, as well as North Atlantic and his personal limited liability company Edwards Enterprises.
While the prosecution claimed, in part, the defendants applied for Paycheck Protection Program and Economic Injury Disaster loan funds for one company, then inappropriately spent the money on other companies, the defense successfully argued it was not illegal to intermingle those dollars.
Nothing short of ‘Oscar-worthy’
Vignogna began his investigation in 2020, initially focused on the city’s blight elimination program. After finding no irregularities, the complaint alleges Vignogna began building a case against Edwards, misrepresenting him as an employee of the city.
Edwards worked as Smith’s campaign manager in 2013, and J5 was contracted later that year as the city’s project manager. The company remained in that role until 2021.
“The case was instead about a fantasy of official corruption in Columbus, Mississippi and Agent Vignogna wanting a career-defining big bust to notch his belt,” the complaint said.
From March 2020 until July 2021, a grand jury issued sweeping subpoenas to Edwards’ personal and business accounts. Finding nothing, Vignogna went as far as obtaining records for companies and individuals that weren’t connected with Edwards, the complaint said.
The focus of the case shifted at the end of 2021 from focusing on the blight program to Edwards’ alleged use of pandemic relief funds.
“Upon learning that certain Edwards companies had received PPP and EIDL funds, (the investigation) became a tool, not to protect the government’s funds, but a cudgel against Edwards in order to get the local officials that Agent Vignogna wanted,” the complaint said.
In June 2022, a federal grand jury returned an indictment against Edwards for fraud charges based on what the complaint alleges to be misrepresentations and false statements. There were no charges for any wrongdoing in the blight program, and no charges have been brought since.
Edwards’ attorneys claim Vignogna intentionally designed Edwards’ arrest to garner attention and cause as much damage to him as possible. He was arrested at his home while law enforcement raided his corporate offices in what the complaint described as “a scene nothing short of an Oscar-worthy performance.”
“The show of force and the media attention caused by Agent Vignogna was meant to, and did, result in total embarrassment of Edwards, his family and his businesses,” the complaint said. “Further, it contributed to the destruction of his businesses.”
The complaint alleges Edwards’ Fifth Amendment rights were violated when he requested his attorney twice before answering any questions. Vignogna and Agent Mauricio Dietrich Bohmer said he could speak with his lawyer after waiving his Miranda rights.
Less than a month later, Vignogna told Edwards and his defense team the investigation initially started with the blight program. He condemned Smith’s handling of the city and pressured Edwards to “save himself some time” by turning on Smith.
“Notably the emphasis was not on finding the truth about PPP and EIDL, but a vendetta against Mayor Smith,” the complaint said. “And Agent Vignogna made it known that he had deep enmity toward former Mayor Robert Smith, and in turn, Edwards because of Edwards affiliation with Smith.”
The complaint demands a trial by jury, though a court date has not yet been set for the civil suit. Edwards is asking to receive compensatory damages for loss of income and property, emotional distress, bail costs, attorney’s fees and reputational harm.
McRae is a general assignment and education reporter for The Dispatch.
You can help your community
Quality, in-depth journalism is essential to a healthy community. The Dispatch brings you the most complete reporting and insightful commentary in the Golden Triangle, but we need your help to continue our efforts. In the past week, our reporters have posted 47 articles to cdispatch.com. Please consider subscribing to our website for only $2.30 per week to help support local journalism and our community.
You can help your community
Quality, in-depth journalism is essential to a healthy community. The Dispatch brings you the most complete reporting and insightful commentary in the Golden Triangle, but we need your help to continue our efforts. In the past week, our reporters have posted 47 articles to cdispatch.com. Please consider subscribing to our website for only $2.30 per week to help support local journalism and our community.
