Disgraced Dem leader Stapleton’s trial opens with stunning defense
Former New Mexico House Majority Leader Sheryl Williams Stapleton’s federal corruption trial opened this week with a stunning defense: she may have taken money that did not belong to her, but her attorney argued she did not steal from taxpayers.
Stapleton, once one of the most powerful Democrats in the New Mexico Legislature, is facing a 37-count federal indictment tied to allegations that she helped steer roughly $3.2 million in federal vocational training money to a company run by longtime friend and co-defendant Joseph Johnson, then received more than $1 million in kickbacks.
Her attorney, Ryan Villa, told jurors Tuesday that Stapleton is “not 100% innocent,” according to the Santa Fe New Mexican, but argued she is not guilty of the federal charges prosecutors brought against her.
Yes, Villa acknowledged, Stapleton took money that was not hers and failed to report it on her taxes. But he argued she took the money from Johnson’s company and a nonprofit they ran — not from taxpayers.
“She is not guilty of bribery, fraud or money laundering,” Villa told jurors.
Villa insisted there was no “pay to play,” no “quid pro quo,” and no evidence that Stapleton and Johnson carried out a long-running scheme to defraud the federal government or Albuquerque Public Schools.
He told jurors the real question was not simply whether Stapleton took money, but “who did she take money from?”
Johnson’s attorney, Nicole Moss, offered a similar finger-pointing defense, telling jurors Johnson was also innocent and that the public received the software Albuquerque Public Schools paid for through Robotics Management Learning Systems.
Moss described Johnson as a hardworking businessman who was allegedly betrayed by “one of his oldest friends” while distracted by the death of his young son.
“The victim here, the person who was cheated by Ms. Stapleton, was Mr. Johnson,” Moss said.
In other words, both defendants appear to agree on one thing: there was no conspiracy between them. Stapleton’s defense says she took from Johnson’s operation, not taxpayers. Johnson’s defense says he was the one cheated by Stapleton.
But federal prosecutors are telling jurors a much different story — and the defense argument has a major problem.
Assistant U.S. Attorney Fred Federici alleged the two longtime friends struck a “corrupt bargain” that “kept millions flowing” to Johnson’s company. Prosecutors say Stapleton, in her role as career and technical education director for APS, helped direct federal education funds toward Johnson’s company and moved invoices through the procurement process.
In return, Federici said, Robotics Management Learning Systems provided Stapleton with blank company checks that she used as she wished.
Prosecutors said roughly 95% of the money in the Robotics bank account came from federal education funds obtained through APS contracts. They also alleged the company received about $3.4 million from APS and federal vocational training funds, with approximately 73% of that total treated as profit.
According to Federici, Stapleton and Johnson split that profit, each walking away with about $1 million for personal use. Stapleton allegedly failed to report any of it on financial disclosures required by her positions as a state legislator and APS administrator.
That is where the “she stole from her friend, not taxpayers” argument starts to collapse. If prosecutors are right that the money entering Robotics was overwhelmingly taxpayer-funded, then the public money did not become irrelevant simply because it passed through Johnson’s company before allegedly ending up in Stapleton’s hands.
The case also comes against the backdrop of years of prior Piñon Post reporting that raised questions about both Stapleton and Johnson long before opening statements began.
Piñon Post previously reported that Robotics Management Learning Systems was registered at a Washington, D.C., address tied to Johnson and his National Corrections and Rehabilitation Corporation, and that Johnson was also listed as president of Ujima Foundation, another entity prosecutors have tied to the alleged scheme.
The prior exclusive reporting also documented that Stapleton and Johnson’s relationship stretches back decades, including shared political circles at New Mexico State University, NAACP connections, and later Rainbow Coalition ties.
Johnson’s own past has not been clean of controversy. Piñon Post previously reported that during the Toney Anaya years, Johnson was charged by state prosecutors with felony counts including bribery, fraud, conspiracy, illegal kickbacks, and racketeering after a scandal involving a state-contracted mental health center. The charges were ultimately dismissed after a key witness recanted, and Johnson later returned to government as Anaya’s chief of staff.
Piñon Post also reported on other Johnson business controversies, including a HUD report finding that a Johnson-linked company in Virginia had “inappropriately spent” nearly half a million dollars in hospital operating funds on questionable contracts, board compensation, country-club dues, travel, entertainment, and housing unrelated to hospital operations.
Stapleton’s public career also came with years of questions. In 2011, KRQE’s Larry Barker reported Stapleton “pocketed more than $100,000 — money she didn’t earn — from APS over the years while serving in the legislature,” with APS later changing rules rather than forcing repayment. She was also accused by a former Martin Luther King Jr. Commission executive director of coercing a no-bid contract involving eRead, though Stapleton denied involvement.
Now, in federal court, Stapleton’s defense is not claiming she did nothing wrong. It is claiming the wrong she did was not the federal corruption scheme prosecutors allege.
The trial is expected to continue through Aug. 14, with prosecutors listing dozens of potential witnesses. Stapleton also faces a separate state case set for trial in October, where she is accused of 28 crimes, including violating ethical principles of public service, soliciting or receiving an illegal kickback, and engaging in an official act for personal financial gain.
Both Stapleton and Johnson are presumed innocent unless and until proven guilty in court.
But the opening defense pitch — that money was taken, just not from taxpayers — may be a difficult sell when prosecutors say the cash trail began with federal education money meant for students.
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