CINCINNATI, Ohio - A federal grand jury has indicted two former FirstEnergy executives, Charles E. Jones and Michael Dowling, on charges of participating in a racketeering conspiracy involving more than $60 million in bribery schemes.
The indictment, unsealed Thursday morning, accuses Jones, 69, of Akron, and Dowling, 60, of Massillon, of engaging in a pattern of racketeering activity that included bribery, money laundering, and obstruction. Prosecutors allege the two abused their senior positions at FirstEnergy Corp. to enrich themselves, increase the company’s stock price, and pursue personal and corporate gain through corrupt practices.
Jones served as FirstEnergy’s President and CEO from 2015 until his termination in 2020, earning approximately $65 million during that time, much of it tied to stock price performance. Dowling, a former Senior Vice President, was also terminated in 2020, with part of his compensation linked to the company’s financial success.
According to the 42-page indictment, Jones and Dowling funneled over $59 million in company funds between 2017 and 2020 to Generation Now, a 501(c)(4) entity controlled by former Ohio House Speaker Larry Householder. The money was allegedly used to secure Householder’s position as Speaker and to pass House Bill 6, a billion-dollar bailout benefiting FirstEnergy’s nuclear plants.
The indictment further alleges that Jones and Dowling used another 501(c)(4) entity, Energy Pass-Through, to direct funds to Generation Now and other organizations believed to be associated with public officials. Dowling allegedly described the 501(c)(4) as a “political tool.”
Prosecutors claim the pair pushed for favorable appointments to the state public utilities board, including former PUCO Chairman Samuel Randazzo, who allegedly received more than $4.3 million from FirstEnergy in exchange for favorable actions in PUCO proceedings. Jones reportedly referred to Householder as his “expensive friend” and credited Randazzo with raising FirstEnergy’s stock price after key PUCO decisions in 2019.
Following the passage of House Bill 6, Dowling allegedly celebrated in a written communication, stating, “Huge bet and we played it all right on the budget and HB 6 – so we can go back for more!”
The case builds on the conviction of Larry Householder and former Ohio Republican Party chair Matt Borges in a separate bribery case tied to FirstEnergy. Federal officials emphasized their commitment to holding additional individuals accountable for corrupt actions.
“This indictment is yet another step in the direction of accountability,” said U.S. Attorney Kenneth L. Parker. “This office will continue to work tirelessly to hold more people accountable for their actions to harm Ohioans.”
“This alleged $60 million racketeering conspiracy defrauded Ohioans to enrich the defendants,” added FBI Cincinnati Special Agent in Charge Elena Iatarola. “The FBI will continue to pursue political corruption and corporate fraud to protect taxpayers and hold white-collar criminals responsible for their actions.”
If convicted, Jones and Dowling face up to 20 years in prison for the RICO conspiracy charge. They are scheduled to appear in federal court in Cincinnati today.
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