Backpage co-founder sentenced to 5 years in prison

Michael Lacey, founder of the now-defunct classifieds site Backpage.com, was sentenced Wednesday to five years in prison and fined $3 million. Lacey was convicted last year of money laundering in a wide-ranging case in which Backpage executives allegedly facilitated and profited from prostitution.

Lacey was convicted in November 2023 of international money laundering, but was acquitted of 50 other charges related to promoting prostitution and money laundering due to insufficient evidence. He still faces about 30 related charges. According to Yonhap News Agency. Two other Backpage executives — former Chief Financial Officer John Brunt and Executive Director Scott Speer — were sentenced to 10 years in prison Wednesday after being convicted last year of money laundering and facilitating prostitution.

“The defendants and their co-conspirators generated more than $500 million by operating an online forum that facilitated the sexual exploitation of numerous victims,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri. From a press release from the Department of Justice:“The defendants thought they could hide their illicit profits by laundering the money through foreign shell companies. But they were wrong.”