Dothan tourism official a criminal ‘leader,’ should pay $1.4 million for concert fraud, feds say
Visit Dothan CEO Aaron McCreight was a “leader in criminal activity” and should be ordered to pay more than $1.4 million in restitution after falsifying figures for a 2018 concert that ultimately bankrupted the non-profit he led.
That’s according to a U.S. Department of Justice memorandum a judge will consider during McCreight’s sentencing later this week.
McCreight, 48, pleaded guilty to bank fraud on Jan. 26, 2022, in federal court in Cedar Rapids. His sentencing, earlier scheduled for last November, was delayed.
According to court documents, McCreight headed tourism non-profit Go Cedar Rapids in Iowa. He instructed his finance director, Doug Hargrave, 56, to falsify ticket sale projections for Newbo Evolve, a 2018 three-day Iowa music festival, to secure a bank loan.
Prosecutors said the festival, which featured headliner Kelly Clarkson and Maroon 5, experienced lackluster ticket sales and did not have enough money to pay Clarkson and provide alcohol without the loan. The event incurred heavy losses of more than $2 million and eventually forced the tourism non-profit to fold.
“The Court should find that defendant abused a position of private and public trust,” the memo stated.
McCreight and Hargrave each face a possible maximum sentence of 30 years’ imprisonment, a fine, and a period of supervised release following any imprisonment.
McCreight was hired to market Dothan in 2019.
In 2022, Visit Dothan issued a statement saying it was standing behind him.
The board said it was “very confident in the financial management practices that it currently has in place” under McCreight.