CINCINNATI, OH — Two former executives of FirstEnergy Corp. have been indicted on charges of participating in a racketeering conspiracy, alleging their involvement in a scheme that defrauded Ohioans out of more than $60 million through bribery and corruption. The federal grand jury indictment, unsealed on January 17, 2025, accuses Charles E. Jones, 69, of Akron, and Michael Dowling, 60, of Massillon, of orchestrating illegal activities to increase FirstEnergy’s stock value and personally enrich themselves.
Jones, who served as President and CEO of FirstEnergy from 2015 to 2020, reportedly earned around $65 million in compensation during his tenure, with approximately $60 million tied to performance-based pay linked to the company’s stock performance. Dowling, who was Senior Vice President at the time of his termination in 2020, also had a portion of his compensation tied to the company’s financial growth.
The 42-page indictment outlines how Jones and Dowling allegedly participated in a pattern of racketeering activities through FirstEnergy, including bribery, money laundering, and obstruction of justice. The scheme, according to federal prosecutors, was designed to secure the passage of House Bill 6—a controversial $1 billion nuclear plant bailout that benefited FirstEnergy—and increase the company’s stock price.
The indictment alleges that from 2017 through March 2020, FirstEnergy funneled more than $59 million to Generation Now, a 501(c)(4) entity controlled by former Ohio House Speaker Larry Householder. These payments helped Householder secure his position as Speaker of the House and pass House Bill 6, which provided a substantial financial windfall to FirstEnergy.
Additionally, Jones and Dowling allegedly used another 501(c)(4) entity, Energy Pass-Through, to facilitate payments to Generation Now and other entities tied to public officials. Dowling reportedly described the 501(c)(4) as a “political tool” used to further FirstEnergy’s interests.
The indictment also accuses Jones and Dowling of playing a role in securing favorable appointments to the state’s Public Utilities Commission of Ohio (PUCO), including the appointment of Samuel Randazzo as PUCO Chairman. In return, FirstEnergy allegedly paid Randazzo’s companies over $4.3 million in exchange for favorable actions on the company’s behalf.
Jones and Dowling are also accused of taking steps to influence PUCO proceedings under Randazzo’s leadership, which they believed would benefit FirstEnergy’s stock price. After House Bill 6 was passed, Dowling referred to the success of the effort in a message saying, “Huge bet and we played it all right on the budget and HB 6 – so we can go back for more!”
U.S. Attorney Kenneth L. Parker emphasized that this indictment represents a continued effort to hold individuals accountable for the corruption that harmed Ohioans. “This indictment is yet another step in the direction of that accountability,” he said.
Elena Iatarola, Special Agent in Charge of the FBI’s Cincinnati Division, added, “This alleged $60 million racketeering conspiracy defrauded Ohioans to enrich the defendants. The FBI will continue to pursue political corruption and corporate fraud to protect taxpayers and hold white-collar criminals responsible for their actions.”
The RICO conspiracy charges carry a potential sentence of up to 20 years in prison. The case is being prosecuted by Deputy Criminal Chief Emily N. Glatfelter and Assistant U.S. Attorney Matthew C. Singer.
It is important to note that an indictment only contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
