A former Phoenix police officer has pleaded not guilty to taking part in a bank fraud and money laundering conspiracy.
Toni Richardson is accused of lying on an application that led to a $1.2 million loan, which was supposed to help companies make payroll and stay in business during the pandemic.
Court records say Richardson was CEO of the Lotto Club, a social group described as a charity for veterans. In February, Richardson and a codefendant applied for a bank loan through the federal Paycheck Protection Program. They’re alleged to have falsely claimed that the Lotto Club had dozens of employees and received more than $1.2 million.
Richardson was arrested Dec. 1.
Phoenix police issued a statement on Wednesday saying the department moved to fire Richardson once it learned details of the case, but Richardson resigned before the process was finished.
Phoenix police say what Richardson is accused of doing goes against everything officers stand for as public servants.
