State lawmaker faces federal funds violations charges

RALEIGH -- A state lawmaker has been indicted on multiple charges related to federal funds violations, according to the U.S. Attorney's Office.

A Federal Grand Jury indicted Republican state representative Stephen LaRoque Tuesday.  He faces eight charges that include stealing money from a federal loan program and engaging in other transactions related to property derived from unlawful activity

The maximum penalty for each count is up to 10 years imprisonment.

LaRoque resides in Kinston and represents District 10, which includes Greene, Lenoir, and Wayne counties. He served in the House last decade, then returned last year and became the co-chairman of the House Rules Committee. He lost in the May primary.

Back in November 2011, State House Minority Leader Joe Hackney called for an investigation into the business practices of LaRoque.

LaRoque runs two economic development nonprofit groups that receive millions of dollars in federal funds.

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