Rep. Miller pleads guilty to communications fraud charge


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SALT LAKE CITY — As part of an orchestrated plan Friday, Rep. Justin Miller, D-Salt Lake City, quietly made an unscheduled court appearance about the same time a criminal charge was filed against him.

He then released a statement announcing his resignation from the Utah House of Representatives.

Miller, 35, pleaded guilty Friday to communications fraud, a second-degree felony, for embezzling nearly $25,000 from Salt Lake County Mayor Ben McAdams when he was working as the mayor's campaign manager.

"I understand the charges against me, and I take full responsibility for the mistakes I have made," Miller wrote in his statement. "While this mistake occurred prior to my legislative service, I believe elected officials should be held to a higher standard. It is that standard that has led me to choose this difficult, but necessary course. Today I resign my position as elected representative of House District 40."

His resignation isn't officially effective, however, until Nov. 11. According to House staff, the delayed resignation is meant to keep the seat filled in the event of a special session or interim meetings.

Miller will only be paid if he attends those meetings. House Minority Leader Brian King, D-Salt Lake City, said he would be surprised if Miller shows up at any meetings.

McAdams first accused Miller in June of stealing about $30,000 from the McAdams for Mayor campaign while he worked as the campaign's manager, a position he took in November of 2011.

"As campaign manager, (Miller) was allowed to write checks on the campaign account to cover campaign costs and expenses," charging documents state.

As the campaign progressed, Miller would write checks to himself off the Ben McAdams for Mayor account for the anticipated amount owed, and then use his personal American Express credit card to pay the campaign bills.

"In this way, campaign expenses and costs were paid, (Miller) was reimbursed for those costs and additionally, (Miller) obtained reward points by using his American Express credit card," according to the charges.

In May of 2014, Miller wrote a check to himself using McAdams' account for $24,388.49 to cover the cost of a campaign event catered by LeCroissant Catering of Salt Lake, according to the charges. But when Miller attempted to pay the bill using his credit card, LeCroissant refused the payment because of a processing fee associated with the credit card.

To cover the bill, Miller wrote an additional check off of McAdams' account for more than $20,000, according to the charges.

But prosecutors say Miller "failed to reimburse" the McAdams campaign for the $24,000 check and "failed to notify anyone involved in the campaign" about the double payment.

In his statement filed in court in support of his guilty plea, Miller said he "represented to my employer that the funds were for legitimate expenses but I retained the funds for personal use."

McAdams referred the matter for investigation after Miller was unable to explain the missing funds in a recorded conversation made just prior to the 2014 election. Salt Lake County released the recording in June.

In it, McAdams confronted Miller about the missing funds. When Miller demanded an apology from the mayor for the accusations, McAdams' temper flared.

"At the very least, Justin, I have very good reason to believe that you have embezzled $24,000," McAdams says in the recording. "Maybe these other ones add up. Maybe you have receipts from these other ones, but I am never going to apologize for wondering why in the hell you wrote yourself a $24,000 check and never fessed up to it."


Campaign expenses and costs were paid, (Miller) was reimbursed for those costs and additionally, (Miller) obtained reward points by using his American Express credit card.

–Charging document


"OK," Miller replies.

McAdams issued a prepared statement Friday saying Miller betrayed his trust:

"As the victim of Justin's criminal actions, I'm grateful that he will answer for them with his guilty plea to a felony criminal charge. Justin stole money from me and the people who made donations to support my campaign. He betrayed the trust of a lot of people. It's important that he be held accountable for his wrongdoing.

"But it's not a happy day for anyone. It was a sad moment for me when I discovered evidence of Justin's theft and turned this matter over to the police a year ago. It was not, however, a hard decision. Now I look forward to what I hope is a quick and just resolution of this criminal case, including a final order of repayment by Justin to my campaign of the funds he took over a two-year period," McAdams said.

In June, the Utah Democratic Caucus called for Miller's resignation but he refused. King welcomed Miller's decision to resign Friday.

"It's good that Rep. Miller has finally reached the same conclusion that we reached months ago — it is best for House District 40 and the people in the state of Utah for him to resign," King said. "This is the responsible thing to do. Ethical government is of the utmost importance to the House Democratic Caucus. The work ahead of us as legislators can now move forward without distraction."

King said Miller told him last week that he was going to be charged and he planned to resign.

The hearing Friday morning was before 3rd District Judge Katie Bernards-Goodman. Miller waived the reading of the probable cause statement in court and asked to be sentenced right away, according to a court docket.

However, the judge ordered a pre-sentence investigation report to be prepared by Adult Probation and Parole and ordered Miller to return to court Dec. 18 to be sentenced. He faces a possible maximum sentence of one to 15 years in prison.

However, as part of the plea agreement worked out with the Davis County Attorney's Office, Miller could have his second-degree felony conviction reduced to a third-degree felony if he pays full restitution by Dec. 18. The conviction could then be further reduced to a class A misdemeanor if he successfully completes probation.

The Davis County Attorney's Office was asked to prosecute the case to avoid any conflict of interest.

The judge also ordered Miller to contact the Salt Lake County Jail on Friday to arrange a time when he could be booked into jail and then be immediately released.

House Speaker Greg Hughes, R-Draper, said he was "disappointed" to learn of Miller's criminal charges.


It's not a happy day for anyone. It was a sad moment for me when I discovered evidence of Justin's theft and turned this matter over to the police a year ago. It was not, however, a hard decision

–Ben McAdams, SL County mayor


"Although these actions pre-date his arrival to the Legislature, as elected officials it is our job to be accountable for our actions and respect the integrity of the institution for which we've been elected," Hughes said in a statement. "Rep. Miller has made it clear to me that he is cooperating with the proper officials and taking responsibility for his actions. I respect his decision and accept his resignation."

Miller also said he was "continuing to cooperate with the ongoing federal investigation into Salt Lake County."

"While there is no way to change my unfortunate choice, I am working to make it right," he said. "I am humbled by the compassion and outpouring of support from my Millcreek community in these last months of uncertainty. To them I say I am sorry and ask for their forgiveness. While I may no longer be in the Legislature, I will continue to fight for our community and our state."

Salt Lake County District Attorney Sim Gill, however, said Friday that his office has had an open door and he hasn't heard about any cooperation from Miller. Gill noted that the charge and guilty plea speak for themselves.

"Given his history of public statements, Mr. Miller is allergic to the truth," Gill said.

"Unfortunately … Mr. Miller again attempted to deflect from his own felonious misconduct by claiming he is cooperating with an 'ongoing federal investigation into Salt Lake County.' I have personally spoken with the United States Attorney's Office and the FBI. I have offered to make the county available to any inquiries, but I have received no such requests. Based on my conversations with those agencies, Mr. Miller's claim is incorrect and I have no reason to believe there is an investigation of Salt Lake County."

The dispute between Miller and McAdams landed in the hands of U.S. Attorney's Office after Miller fired accusations back at the mayor, claiming he was being punished for whistle-blowing on alleged government corruption.

Miller filed a notice of claim Dec. 17, claiming the mayor is retaliating against him for whistle-blowing on alleged government corruption. He claimed he was wrongfully fired in November after sending McAdams an email that raised legal and ethical concerns about McAdams moving his campaign offices to a location leased by the public affairs firm The Exoro Group.

Miller said the move violated campaign finance laws because Exoro had a $100,000 county consulting contract. According to the notice claim, Miller also alleged that Donald Dunn, campaign adviser and husband of then Salt Lake County Deputy Mayor Nichole Dunn, had an "equitable ownership interest in Exoro," and had collected other funds from the county "as a result of his relationship" with Nichole Dunn, in addition to involvement in other companies that contract with Salt Lake County.

When reporters asked McAdams in June if Miller's termination was political payback as alleged, Gill instructed the county mayor not to answer due to threat of litigation. Nichole Dunn was also advised not to comment.

But Maura Carabello, Exoro owner and managing partner, has since refuted Miller's claims, saying Donald Dunn has worked on projects related to the firm but he was never an employee of or profited from Exoro.

On Nov. 11, the day Miller's resignation becomes effective, a special election will be held by the elected delegates in House District 40 to fill his vacancy, said Salt Lake County Democratic Party Chairwoman Clare Collard. It will take place at 6 p.m. at the Salt Lake County Council chambers. The deadline to file for the seat is Nov. 6.

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