This is an archived article that was published on sltrib.com in 2011, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.
St. George businessman Jeremy Johnson, already under federal indictment and facing lawsuits, was arrested over the weekend over an unpaid debt to a Las Vegas casino.
Johnson was released from the Washington County later after friends and family helped him post $112,150 in bail. Johnson's attorney, Nathan Crane, said the arrest was the result of a misunderstanding with prosecutors in Las Vegas and the Wynn casino.
"We thought we had this all resolved and worked out with the Wynn," Crane said. "We were unaware the district attorney got involved and filed this warrant."
According to Crane, Johnson in November 2010 wrote a six-figure check to the Wynn for gambling and lodging expenses. Johnson had sufficient funds to cover the check at the time, but in January a federal judge ordered Johnson's assets frozen while the Federal Trade Commission sued Johnson and his iWorks company over allegations of fraud.
The Wynn didn't cash the check until the assets were frozen, Crane said. The check bounced.
The Wynn forwarded the matter to the Clark County, Nev., district attorney, who filed a criminal charge against Johnson for his failure to pay. A warrant was issued for Johnson's arrest.
On Sunday, Hurricane police received a report of someone driving a company car without permission, said Hurricane police spokeswoman Nancy Perkins. Officers discovered Johnson did have permission to drive the car, but during a routine check they found the Clark County warrant for Johnson's arrest.
Crane said the warrant has been quashed and that Johnson's attorneys have spoken to the Clark County prosecutors. Crane expects the criminal charge to be dismissed when Johnson pays or makes arrangements to pay the Wynn.
"The federal government has frozen all his accounts," Crane said. "He doesn't have any money. The D.A. is aware of that."
A federal grand jury in Salt Lake City has indicted Johnson with a count of mail fraud, but prosecutors are expected to seek more charges against Johnson. The government alleges iWorks, an online marketing company, took in millions of dollars in unauthorized charges on consumers' credit and debit cards.
Johnson spent 96 days in jail earlier this year before friends and family helped him post $2.8 million in bail.
Twitter: @natecarlisle