U.S. Rep. Sheila Cherfilus-McCormick formally pleaded not guilty Tuesday to 15 federal charges alleging she conspired to steal $5 million in COVID-19 disaster relief funds, nearly three months after her indictment in Miami federal court.
The Florida congresswoman was not present for the arraignment, but her attorney William Barzee entered the plea on her behalf. Barzee explained that Cherfilus-McCormick was in Washington, D.C., where Congress has been debating funding for the Department of Homeland Security.
"She's eager to get back to work," Barzee said after the hearing. "She's up in Washington right now fighting for her constituents, and her main focus is representing the people in her district."
The charges stem from allegations that Cherfilus-McCormick conspired to steal funds that had been overpaid to her family's health care company, Trinity Healthcare Services, in 2021, before she was elected to Congress. The company had a contract to register people for COVID-19 vaccinations.
According to the federal indictment, Trinity Healthcare was supposed to receive $50,000 for vaccination staffing services, but the company mistakenly received $5 million and failed to return the difference. Prosecutors allege that within two months of receiving the funds, more than $100,000 had been spent on a 3-carat yellow diamond ring for the congresswoman.
The indictment further alleges that the funds received by Trinity Healthcare were distributed to various accounts, including those of friends and relatives, who then donated to Cherfilus-McCormick's congressional campaign. This arrangement potentially violated federal campaign finance laws and constitutes part of the conspiracy charges.
Cherfilus-McCormick was arrested in November and released on a $60,000 bond. As part of her release conditions, the judge ordered her to surrender her personal passport and restricted her travel to Florida, Washington, D.C., Maryland and the Eastern District of Virginia. However, she has been allowed to retain her congressional passport to perform certain duties related to her official position.
Barzee just took over the congresswoman's case this week, replacing her previous attorney David Oscar Markus. Markus had requested multiple postponements of the arraignment while Cherfilus-McCormick resolved financial issues, but ultimately withdrew from the case citing scheduling conflicts.
The case highlights the ongoing scrutiny of COVID-19 relief fund distribution and the potential for fraud in the rapid deployment of pandemic assistance programs. The federal government allocated hundreds of billions of dollars in emergency funding during the pandemic, and prosecutors across the country have pursued cases involving alleged misuse of these funds.
Trini Healthcare Services' involvement in the vaccination registration program was part of broader federal and state efforts to rapidly scale up COVID-19 vaccination capabilities during the height of the pandemic. Such contracts were often awarded quickly to meet urgent public health needs, but the speed of implementation sometimes led to oversight challenges.
The Florida Department of Emergency Management previously sued Trinity Healthcare in civil court over the overpayment. The company agreed to pay back all of the money last year as part of a settlement agreement, though this civil resolution does not affect the pending criminal charges.
Cherfilus-McCormick represents Florida's 20th congressional district, which includes parts of Broward and Palm Beach counties. She won a special election in 2022 to fill the seat previously held by the late Rep. Alcee Hastings and was subsequently reelected to a full term.
The congresswoman has continued to participate in congressional activities while the criminal case proceeds. Her attorney emphasized her commitment to her legislative duties, noting her presence in Washington during crucial budget negotiations.
The 15 federal counts against Cherfilus-McCormick carry potentially serious penalties if she is convicted. Federal fraud charges can result in significant prison time and substantial financial penalties, though the specific sentencing guidelines would depend on various factors including the amount of money involved and the defendant's criminal history.
The case is being prosecuted in the U.S. District Court for the Southern District of Florida. No trial date has been set, and the court will likely schedule additional hearings to address pretrial motions and discovery issues in the coming months.
Cherfilus-McCormick's case adds to a growing list of public officials who have faced charges related to pandemic relief fund misuse. Federal prosecutors have made COVID-19 relief fraud a priority, establishing specialized task forces to investigate and prosecute such cases across multiple jurisdictions.
The congresswoman maintains her innocence and, according to her attorney, intends to vigorously defend against the charges while continuing to serve her constituents in Congress.