Former Bishop, Lay Leader Charged In Fraud Scheme Involving AME Zion Congregations Across California (2024)

OAKLAND – Staccato Powell and Sheila Quintana were arrested and appeared in federal court today to face conspiracy, wire fraud, and mail fraud charges stemming from an alleged fraudulent scheme committed upon congregations of the AME Zion Church in California and private lenders, announced United States Attorney Stephanie M. Hinds and Federal Bureau of Investigation (FBI) Special Agent in Charge Craig D. Fair.

According to the federal indictment filed January 6, 2022, and unsealed today, Powell, 62, of Wake Forest, North Carolina, and Quintana, 67, of Vallejo, were officers of the Western Episcopal District, Inc., an entity formed by Powell and Quintana in 2016 after Powell’s selection as bishop to the Western Episcopal District of the African Methodist Episcopal Zion Church (AME Zion Church), an historically African-American denomination of approximately 1.4 million adherents worldwide tracing its history to 1796. The indictment alleges that Powell and Quintana conspired to defraud AME Zion Church congregations in Oakland, San Jose, Palo Alto, and Los Angeles by re-deeding the local congregations’ properties in the name of WED, Inc. The indictment alleges that, prior to Powell and Quintana’s actions, these congregations had little or no mortgage debt on their local church properties, to include sanctuaries, residences for pastoral staff, and other structures used by the local congregations for religious purposes, and in some cases, the congregations had many years earlier paid off their mortgages.

The indictment further alleges that Powell and Quintana used false statements and material omissions to obtain the grant deeds from local pastors, then used fake resolution documents purporting to memorialize the assent of the local congregations to new mortgages on the local church properties. In fact, the local congregations did not authorize the new encumbrances on the local church properties. The indictment further alleges that through WED, Inc., Powell and Quintana conspired, along with others not named in the indictment, to extract cash proceeds by using the fake resolution documents to obtain mortgages from private lenders, usually on terms unfavorable to the borrower. Powell and Quintana did not inform the private lenders of the true facts, and they did not inform the local congregations of the new mortgages using the local church properties as collateral. The indictment alleges that after taking control of the church properties, Powell, Quintana, and others used the real estate as collateral to obtain high interest loans, exceeding $14 million in net proceeds. The indictment further alleges that Powell and Quintana diverted funds from the loans for their benefit, including the acquisition of properties in North Carolina by Powell, retiring mortgage debt on Powell’s personal residence in North Carolina, and cash payments to Quintana’s spouse. On July 30, 2020, WED, Inc. filed for Chapter 11 bankruptcy protection and listed eleven churches in California, Arizona and Colorado among its assets.

In sum, the indictment charges Powell and Quintana each with one count of conspiracy to commit wire fraud and mail fraud, in violation of 18 U.S.C. § 1349, and two counts of wire fraud, in violation of 18 U.S.C. § 1343. In addition, Powell is charged with one count of mail fraud, in violation of 18 U.S.C. § 1341. The maximum statutory sentence for violations of 18 U.S.C. § 1341, 1343 or 1349 is 20 years in prison, a fine up to $250,000, and three years of supervised release following prison. However, any sentence following a conviction would be imposed by a court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.

Powell was arrested today in Wake Forest, North Carolina and made his initial appearance in federal court in the Eastern District of North Carolina. Quintana was arrested today in Vallejo, Calif., and made her initial appearance in Sacramento. The defendants were ordered to appear for their initial appearances in the Northern District of California via Zoom on February 2, 2022, before the Honorable Kandis A. Westmore.

The charges contained in the criminal indictment are only allegations. As in any criminal case, the defendant is presumed innocent unless and until proven guilty in a court of law.

This case is being prosecuted by the Oakland Branch of the U.S. Attorney’s Office and is the result of an investigation by the Federal Bureau of Investigation with assistance from the Santa Clara County District Attorney’s Office.

Former Bishop, Lay Leader Charged In Fraud Scheme Involving AME Zion Congregations Across California (2024)

FAQs

Former Bishop, Lay Leader Charged In Fraud Scheme Involving AME Zion Congregations Across California? ›

(CN) — A former bishop of the historic African Methodist Episcopal Zion Church swindled congregations throughout California by pocketing the proceeds of more than $14 million in loans obtained by fraudulently mortgaging church properties in Oakland, San Jose, Palo Alto and Los Angeles, federal authorities say.

What is the Zion church scandal? ›

(CN) — A former bishop of the historic African Methodist Episcopal Zion Church swindled congregations throughout California by pocketing the proceeds of more than $14 million in loans obtained by fraudulently mortgaging church properties in Oakland, San Jose, Palo Alto and Los Angeles, federal authorities say.

What happened to bishop Staccato Powell? ›

Staccato Powell is a former Bishop in the African Methodist Episcopal Zion Church. On January 25, 2022, Powell was charged with conspiracy and wire fraud.

How much do Ame bishops make? ›

Once elected, bishops serve until retirement. The job comes with a salary that is usually more than $100,000, and other perquisites include paid housing and travel costs, and a car and driver.

What happened to Sheila Quintana? ›

Powell and Quintana were arrested last week; he in in Wake Forest, North Carolina, she in Vallejo, California. Both are charged with one count of conspiracy to commit wire fraud and mail fraud and two counts each of wire fraud. Powell is also charged with one count of mail fraud.

What kind of religion is Zion? ›

The use of the term Zion derives from the Christian Catholic Apostolic Church in Zion, founded in Chicago in 1896 and having missionaries in South Africa by 1904. That church emphasized divine healing, baptism by threefold immersion, and the imminent Second Coming of Christ.

What is the controversy of Zion in the Bible? ›

The Bible is clear that a great “controversy” over Zion would arise one day among all nations (Isaiah 34:8; also Zechariah 12:2-3). Yet God would settle it by placing “My king on My holy hill of Zion” (Psalm 2:6).

What is the highest salary in AME? ›

Aircraft Maintenance Engineer Salary in India
  • ₹ 2.2L (lowest)
  • ₹ 13.9L (average)
  • ₹ 28.2L (highest)

Who are the four horsemen of the AME Church? ›

In 1816 Asbury consecrated Allen bishop of the newly organized AME Church, which accepted Methodist doctrine and discipline. The church speaks of Richard Allen, William Paul Quinn, Daniel A. Payne, and Henry M. Turner as the “Four Horsemen” instrumental in the establishment of the church.

What is the difference between the AME Church and the AME Zion Church? ›

The AME Zion Church remained smaller than the African Methodist Episcopal (AME) Church, a denomination started in Philadelphia in the early 19th century, because some of its ministers lacked the authority to perform marriages, and many of its ministers avoided political roles.

What does Zion City church believe? ›

We believe in the Holy Spirit, the holy catholic (universal) church, the communion of saints, the forgiveness of sins, the resurrection of the body, and life everlasting.

What is the 11 22 church controversy? ›

A recent investigation in Folio Weekly finds some former members raising concerns about the church. In particular, there are allegations that members are pressured to deny their sexual orientation after Eleven22 released a video earlier this year of a member discussing the church's impact on her homosexuality.

What is the theology of the Zion church? ›

We believe in the eternal existence and Personhood of God. We believe that God is One in essence, but has revealed Himself in three distinct personalities – God the Father, God the Son, and God the Holy Spirit.

What is Zion to the FLDS? ›

Latter Day Saints also believe in the construction of a New Jerusalem on the American continent, which is also referred to as Zion. Latter Day Saints believe the New Jerusalem will be built in Jackson County, Missouri by a remnant of the house of Joseph, assisted by repentant Gentiles.

Top Articles
Latest Posts
Recommended Articles
Article information

Author: Trent Wehner

Last Updated:

Views: 5617

Rating: 4.6 / 5 (76 voted)

Reviews: 83% of readers found this page helpful

Author information

Name: Trent Wehner

Birthday: 1993-03-14

Address: 872 Kevin Squares, New Codyville, AK 01785-0416

Phone: +18698800304764

Job: Senior Farming Developer

Hobby: Paintball, Calligraphy, Hunting, Flying disc, Lapidary, Rafting, Inline skating

Introduction: My name is Trent Wehner, I am a talented, brainy, zealous, light, funny, gleaming, attractive person who loves writing and wants to share my knowledge and understanding with you.