House of Prayer Leaders Indicted in Fraud Scheme Targeting Military Personnel

The founder and several leaders from the House of Prayer Christian Churches of America have been indicted by federal prosecutors. The Georgia-based Christian organization is being accused of executing a fraudulent operation that lasted for decades, costing U.S. military personnel and veterans approximately $22 million. FBI’s Atlanta division confirmed they executed an authorized raid in Columbia County, Georgia, and made arrests related to the ongoing investigation of the church. The indictment marks a high-profile phase in a long-term investigation that followed years of accusations that the church was functioning like a cult, victimizing military communities throughout the United States.

The FBI staged more substantial operations earlier this year, in June 2022, when multiple church premises linked to the organization in Georgia and Texas were raided. The locations of these churches were strategically placed near military bases such as Fort Gordon, Fort Hood, and Fort Stewart. Following these raids, the Department of Justice (DOJ) called for the seizure of almost $150,000 while alleging that the church and its associated Bible seminary tricked hundreds of military personnel, causing them a loss of over $22 million.

An indictment was produced on Thursday in the Southern District of Georgia. It charged the organization’s founder and its key leadership with a host of crimes. This included bank fraud, wire fraud, misuse of Veterans Affairs (VA) education benefits, and falsification of tax returns. The founder, a U.S. citizen since 2002, is believed to have exerted complete control over members through strong-arm tactics, psychological manipulation, and enforcing compliance according to the charges outlined in the indictment.

Church leaders are also implicated, accused of taking part in the manipulation of members by keeping hold of their personal information, maintaining control over their financial matters, as well as influencing personal decisions such as orchestrating divorces and property transfers. This well-organized manipulation can be traced back to 2004 when the church was alleged to have organized ‘straw buyer’ real estate purchases. Under this scheme, mortgages were obtained under false pretenses using the names of church members, and properties were then transferred to entities under church control.

Properties transferred under the ‘straw buyer’ scheme were further used to accumulate wealth. The indictment alleges how church leadership amassed a staggering $5.2 million in rental revenue across the period from 2018 to 2020, while letting mortgages fall into default. The church displayed an elaborate and systematic approach to the fraudulent scheme, using the loyalty and trust of its members to fraudulently obtain assets and income.

Among other allegations, the indictment accuses the church leadership of scamming the Department of Veterans Affairs. They purportedly lodged false certifications for students to be eligible for GI Bill benefits through affiliated Bible seminaries. Instead of investing the funds in providing education for veterans, they were allegedly rerouted to church leaders and their related entities, further compounding the financial damage caused to military members and veterans.

Furthermore, the indictment discloses that the founder was allegedly instrumental in filing false joint tax returns in the years 2018, 2019, and 2020. Fraudulent filings resulted in claims for several hundred thousand dollars in deceptive refunds annually. The scope of the charges against the church and its leadership reveals an intricate web of fraud and manipulation, exploiting the faith and trust of the church’s members and the broader community.

The complexity of this case is evident in the lengths prosecutors went to collect enough evidence for a robust indictment. They scrutinized over 175 bank accounts, conducted numerous interviews with witnesses, and served five search warrants across four states. They also seized more than 100 electronic devices along with 80 boxes of documents in the course of their investigation.

In light of the complicated nature of the case, the court has been petitioned to deem the case complex and exclude the time it may take for the trial under the Speedy Trial Act. The sheer volume of connected bank accounts, electronic devices, documents, and the geographical breadth of the investigation all underline the complexity of the case and the magnitude of the alleged fraud.

According to the special agent overseeing FBI’s Atlanta division, the defendants are charged with capitalizing on the trust, faith, and service to the country of military personnel for personal gain. The indictment essentially paints a picture of a manipulative cult, exploiting the faith of its followers and using their loyalty as a tool for carrying out an elaborate fraudulent scheme.

During this far-reaching investigation into the alleged fraud schemes, more than 200 grand jury subpoenas were issued. The scope of the fraud is massive, reportedly stretching nearly two decades, and implicated between 150 to 200 properties. The extent of the harm caused by the alleged fraudulent practices of the Georgia-based organization is immense and yet another blow to the military community.

The indictment of the House of Prayer Christian Churches of America’s founder and leadership is a significant moment in addressing faith-based exploitation. Using the banner of faith and trust, the perpetrators allegedly orchestrated a long-standing fraudulent scheme, causing monumental financial harm to one of America’s most respected communities, the military personnel and veterans.

While the case is currently under investigation, the charges put forth present a sad reality about faith exploitation. The abuse of religious authority for personal gain has not only caused significant economic loss but has also likely done lasting damage to the trust and faith of those who were manipulated by the church and its leaders.

While the legal proceedings go on, it remains to be seen what the effect will be on the various church communities associated with the House of Prayer Christian Churches of America. The shock waves from these allegations will undoubtedly have a lasting impact on the communities involved, particularly around key military bases.

This particular case spotlights the potential vulnerabilities existing in faith-based organizations, and the damage that can result when trust is violated. As the legal process grinds forward, it underscores the need for transparency and accountability in all religious institutions, to protect the faith, trust, and rights of every member.