Staccato Powell, a former bishop in the African Methodist Episcopal Zion Church, has pleaded guilty in federal court to wire fraud, mail fraud, and conspiracy to commit wire fraud and mail fraud in connection with a far-reaching scheme to obtain control of church properties in California using false statements, forged documents, concealment, and deception.
Powell, 65, of Wake Forest, North Carolina, was indicted along with co-defendant Sheila Quintana by a federal grand jury in January 2022. Quintana pleaded guilty to conspiracy to commit wire fraud and mail fraud in April 2025.
According to court documents and the plea agreement, in 2016, shortly after Powell was selected as bishop and assigned to AME Zion Church’s Western Episcopal District, a geographic division of the church covering several states in the western United States, including California, he formed an entity called Western Episcopal District, Inc. (WED, Inc.). Powell was the chief executive officer of WED, Inc., and Quintana was the chief financial officer from 2017 to 2019.
In 2016, Powell instructed pastors of AME Zion Churches throughout the Western Episcopal District to sign deeds granting WED, Inc. title to their congregation’s property – typically the church building, but also any outbuildings, lots, parking lots, and residences used by the pastors. At Powell’s direction, Quintana and other WED, Inc. officers worked on completing the necessary steps to accomplish the transfer of titles through grant deeds.
Starting in early 2017, Powell instructed Quintana and other WED, Inc. officers to obtain loans using the property of local AME Zion Churches acquired through the grant deeds as collateral for the loans.
In response to the lenders’ request for confirmation of the local AME Zion Church’s authorisation of the loan, Powell caused to be created documents purporting to be resolutions by churches to support WED, Inc.’s loan applications.
In several instances, Powell directed WED, Inc. to use church resolutions containing false statements and instructed Quintana to create the false documents and sign the resolutions in the name of an officer from the local church.
In pleading guilty, Powell admitted to fraudulently obtaining mortgages on the following church properties: Kyles Temple in Vallejo, First AME Zion Church in San Jose, Greater Cooper AME Zion Church in Oakland, University AME Zion Church of Palo Alto and First AME Zion Church in Los Angeles
Further, Powell admitted that at his direction, WED, Inc. borrowed $2.15 million in September 2019 to pay off other outstanding loans and $3 million in December 2019 to pay off the September 2019 loan, using several AME church properties in Arizona and California as collateral.
In addition, while serving as bishop, Powell diverted some of the funds borrowed by WED, Inc., using properties of local AME Zion Churches as collateral, for his personal benefit, including the purchase of real property in North Carolina for two of his children and payment of mortgage debt that he owed on a residence in North Carolina.
Powell caused WED, Inc. to file for bankruptcy in a July 2020 petition, in which it claimed its assets included 11 churches, a parsonage, and Powell’s official residence. The petition stated that WED, Inc.’s real property was worth over $26 million, with debts totalling over $12 million.
In connection with pleading guilty, Powell agreed to pay restitution in an amount ranging from $3,000,000 to $12,475,453. He also agreed to forfeit any interest, claim, or right in the properties of the AME Zion Church denomination.
United States Attorney Craig H. Missakian and FBI Special Agent in Charge Sanjay Virmani made the announcement.
Powell is currently released on bond.
Powell’s sentencing hearing is scheduled for September 23, 2025, before Senior U.S. District Judge Jeffrey S. White. The defendant faces a maximum statutory penalty of 20 years and a fine of up to $250,000 for each count.
