Backpage co-founder sentenced to five years in prison

Michael Lacey, a founder of the defunct classifieds site Backpage.com, was sentenced to five years in prison and fined $3 million on Wednesday. Lacey was found guilty last year of money laundering in a sprawling case that alleged Backpage executives promoted and profited from prostitution.

Lacey was convicted in November 2023 on one count of international money laundering concealment, but was acquitted of 50 other charges related to prostitution facilitation and money laundering due to insufficient evidence. He still faces about 30 related charges, according to the Associated PressTwo other Backpage executives — former CFO John Brunst and Executive Vice Chairman Scott Spear — were sentenced to 10 years in prison on Wednesday after being convicted last year of money laundering and facilitating prostitution.

“The defendants and their conspirators obtained more than $500 million by operating an online forum that facilitated the sexual exploitation of countless victims,” ​​Principal Deputy Assistant Attorney General Nicole M. Argentieri said in a Department of Justice news release. “The defendants thought they could hide their illegal proceeds by laundering the money through shell companies located overseas. But they were mistaken.”