Elon Musk. Photo by Trevor Cokley / Public Domain, via Wikimedia Commons
The Shelby County Health Department’s (SCHD) decision as to whether or not they will grant air permits for xAI’s gas turbines could take weeks, officials said.
During Wednesday’s Shelby County Board of Commissioners meeting, Kasia Smith-Alexander, deputy director of SCHD, said that as the public comment period closes, the agency’s next step is to respond to the comment.
“To give you a timeline on when or if a decision will be made on that permit — probably weeks out, I don’t want to put a date on it,” Smith-Alexander said.
She noted that on Friday the health department held a public hearing regarding the permits, and since then they had received about 300 additional comments.
Officials said the permit is only for 15 permanent turbines, and not 35, which the Southern Environmental Law Center (SELC) brought attention to in a letter to Michelle Taylor, director and health officer for the Shelby County Health Department.
At the commission’s hospitals and health committee meeting, Commissioner Erika Sugarmon sponsored a resolution that asks for an update from the Tennessee Valley Authority (TVA) and Memphis Light, Gas, and Water (MLGW) regarding the “remaining steps and time necessary to connect xAI to the local utility grid.”
The resolution requests that this update be given by June 1
Smith-Alexander said the permanent turbines are supposed to go on the grid “at some point in time.”
The commissioner said her original intent was to have a six-month moratorium for the operation of the turbines, but was informed this would be a request and not a requirement of the health department.
Megan Smith, a staff member of the county attorney’s office, said there is no legal definition of moratorium “in this process as defined by law.”
“This body only has authority that is granted to it by law,” Smith said. “There is no authority to issue a moratorium on this process.”
Sugarmon went on record and requested that the public comment period be extended as TVA, MLGW, and the Chamber of Commerce have not come before the commission to provide updates on the grid. She also asked for a list of people who signed NDAs
While elected officials are working to stop the turbines, this has not stopped the public from asking the health department to deny the permits.
“We call on Shelby County Health Director Dr. Michelle Taylor and Mayor Lee Harris to deny the permit and shut the xAI plant down,” Rep. Justin J. Pearson said before a “Deny the Permit Rally” held Wednesday. “xAI is poisoning our air, and we are organizing to stop it. We want less pollution, not more. Our health is not for sale.”
Orion Overstreet, a University of Memphis student organizer, said they are watching and researching and promised to keep showing up on the issue.
“The young folks in the city are coming together around this issue,” Overstreet said. “We have all eyes on this right now.”
West Virginia sculptor Jamie Lester will create the sculpture of West Tennessee frontiersman and statesman David Crockett for an iconic spot on the Tennessee State Capitol.
State lawmakers agreed to erect a statue of David Crockett on the capitol grounds in 2021. Efforts to do so go back to at least the creation of the David Crockett Commission in 2012. (Read our previous story on this here.)
Photo: Tennessee State Museum
Crockett’s statue will replace a statue of racist, segregationist newspaper editor and politician Edward Carmack. He was, among other things, the editor of the Memphis Commercial newspaper when he incited a mob against anti-lynching activist, journalist, editor, and business woman Ida B. Wells. The mob destroyed her newspaper office.
Carmack was shot and killed by political rivals in Nashville, near where his statue was erected in 1927. The statue was installed, however, by a prohibition group (Carmack was also a staunch prohibitionist) that thought his big-profile death could further their cause.
Protesters tore down Carmack’s statue in 2020 during the turmoil following the police killing of George Floyd. One of the 2021 bill’s sponsors, Sen. Steve Southerland (R-Morristown), even told The Chattanooga Times Free Press at the time, he “didn’t think it would be possible to remove Carmack.” The newspaper story said, Southerland “smiled and then added: ‘Someone removed it for us, so they did us a favor.’”
Lester and his company, Vandalia Bronze, were selected Tuesday by the State Capitol Commission (SCC). The vote came after several meetings of a group to find sculptors, receive proposals, and narrow down 28 proposals to the finalists for the SCC. That group of technical advisors included David Crockett experts, sculptors, legislators, state officials, Tennessee Arts Commission members, architects, and historians.
Photos credit: Jamie Lester/Vandalia Bronze
Lester and his team have produced projects for the World Golf Hall of Fame, the Brooklyn Wall of Remembrance, and he created a life-sized sculpture of actor Don Knotts for the city of Morgantown, West Virginia. His work also includes numerous sculptures of people in business, sports, politics, and religion.
Artists for the Crockett statue were scored in three categories. Lester scored highest of them all in each category. His proposal for Crockett shows the man as a “guardian of the frontier” standing atop a stone with his dogs Rattler and Tigger beside him. Crockett’s body for the statue will likely stand eight to nine feet tall, according to State Architect Ann McGauran.
Crockett’s dogs, it seemed, helped to win Lester’s design admiration and votes.
“I personally love the incorporation of the dogs,” said Tennessee Finance and Administration Commissioner Jim Bryson after the vote Tuesday. “I’m a dog person. I think the dogs make it really special.”
To this, McGauran said the dogs got plenty of discussion from the group of technical advisors working on the Crockett statue project.
The State Building Commission will soon vote on Lester’s contract. If approved, his team will deliver a one-third scale model of the final design. If the design is approved, the Crockett statue will be delivered and ready for installation on the south side of the capitol by 2026.
A Boys and Girls Club member participating in workforce development.
Photo Credit: Boys and Girls Club of Greater Memphis via Facebook
Nine Boys and Girls Club of Greater Memphis high school sites will close at the end of the current school year. Officials said this is a result of American Rescue Plan Act funds running out.
Club officials sai they were awarded $9 million in federal funding from the City of Memphis in response to the Covid-19 pandemic.With these funds, the nonprofit was able to open 10 high school club sites.
While the funds ran out in October 2024, the organization made the decision to continue funding these sites through the current school year.
On May 24 the sites at Booker T. Washington, Hamilton, Raleigh Egypt, Ridgeway, Sheffield, Trezevant, Westwood, and Woodale will close. These sites focused on workforce development and job readiness. This consisted of interview and application prep, workplace visits, and opportunities to become certified in welding, culinary arts, and forklift operation.
“This is the hardest news we’ve had to share,” Gwendolyn Woods, CEO of Boys and Girls Club of Greater Memphis, said. “It’s particularly difficult, because some of these schools are in high-crime areas, and business owners around the sites told us crime started to fall when we gave the high schoolers positive things to do after school.”
Woods has been with the organization for 10 years, starting as a club director and working with kids directly. She said they always wanted to expand their programs – providing a safe place for students to go after school.
“We all know most violent crimes happen after school hours,” Woods said. “3,500 kids had access to our programs after school. This gave the schools[and] parents peace.”
The organization reported that 100 percent of high school seniors in their programs graduate with future plans in mind including going to college, getting a job, or enlisting in the military. They also said 57 percent of alumni said “the club saved their life.”
Seeing the importance of these programs is what encouraged the club to keep operating these sites after the funds ran out. She said the organization still worked to provide funds by talking to different community leaders, however she noted it costs $2.1 million to run the 10 branches alone.
Woods said it was a hard decision, especially since she served as COO when these clubs first opened, where she was tasked with hiring “passionate” staff members. This announcement will impact 49 employees.
The nonprofit is still working to serve the students who were members at one of the sites, and are looking to provide transportation to their “traditional” sites. They have also added a program specialist role, where a staff member will facilitate Boys and Girl Club activities inside the affected high schools.
“If somebody wants to fund these programs then we feel like at short notice, we can build them back up again,” Woods said. “Right now we have to work with what we have, and we plan to focus on our traditional sites.”
After the closure, 11 sites will be open including two high school sites located at Craigmont and Melrose
Woods said they are also working on recruitment, marketing, and fundraising. Through fundraising, they are able to offer memberships for $10, with scholarship options available.
“Right now we have a grant team and a development team that are really working from sun up to sun down to secure funds for the organization and the work that we do,” Woods said.
Shock, sadness, and a promise to persevere dominate reactions from community leaders and organizations Monday on the overnight fire which gutted Clayborn Temple in Downtown Memphis.
This morning, we woke up to heartbreaking news: a devastating fire has ravaged one of our city’s greatest treasures, Clayborn Temple.
Clayborn is more than a historic building. It is sacred ground. It is the beating heart of the civil rights movement, a symbol of struggle, hope, and triumph that belongs not just to Memphis but to the world.
Standing in the shadow of that steeple, generations of Memphians found their courage. Today, in the face of this tragedy, we must find ours once again.
We grieve deeply for what has been lost, but we also stand ready to honor Clayborn’s legacy the only way we know how: by coming together to restore, rebuild, and remember.
The spirit of Clayborn Temple cannot be burned away. It lives in every act of justice, every fight for equality, every dream of a better future that takes root in Memphis.
I want to personally thank the brave firefighters who responded so quickly this morning. And I pledge to the people of Memphis: our city will stand with the leaders, funders, and caregivers of Clayborn Temple to help ensure this sacred place rises again.
Clayborn Temple has seen struggle before, and it has always overcome. So will we.
Anasa Troutman
founder and executive director of Historic Clayborn Team; founder and CEO of The Big We
Credit: thebigwe.com
Early this morning, our beloved Historic Clayborn Temple — a sacred landmark in our city and our nation — suffered a devastating loss due to a fire.
Our hearts are heavy with grief. For decades, Clayborn and the iconic I AM A MAN signs born in its basement have stood as an international beacon of resilience, faith, and the work to build beloved communities. It is a living testament of our past sacrifices and our future hope. Clayborn’s true spirit was never in the walls alone. It lives in us.
Even as we mourn, we must remember: resilience is our birthright, but so is the space to grieve. Our ancestors endured, grieved, rebuilt, and transcended unimaginable losses. We will do the same.
To everyone who has loved, supported, and prayed for Historic Clayborn Temple, we are still committed to her restoration. The spirit of Clayborn is stronger than any fire. We are deeply grateful to the Memphis Fire Department and other authorities for their swift and courageous response.
For now, we ask for your prayers, your support, and your belief in the enduring power of this place. This is not the end, but a call to remember who we are, and to build again with faith, courage, and abundant love. If you can support, please visit Clayborn.org and give if you can.
Shelby County District Attorney General Steve Mulroy
Today, Memphis stands at a poignant crossroads, grappling with two profound events echoing the city’s complex history and enduring spirit.
Steve Mulroy via Facebook
I’m so saddened to hear that a fire ravaged Clayborn Temple, the site of Dr. King’s last address. Despite early reports, I’m hoping that this historic and sacred space can be restored. Without the brave efforts of the Memphis Fire Department, things could have been even worse.
Meanwhile, we start the trial of police officers accused of killing Tyre Nichols. I’m hoping for justice for Tyre and a renewed awareness of the need for policing reforms as we strive toward better realizing Dr. King’s vision.
We meet setbacks in our journey to the mountaintop, but the climb continues.
We Are Somebody
(nonprofit for the working class)
We Are Somebody stands on the shoulders of the movements that Clayborn Temple birthed, we are devastated by the news of the fire this morning. pic.twitter.com/uwbJVVDGzh
Clayborn Temple was influential in the Civil Rights movement and served as a launch pad for a march for sanitation workers’ rights in Memphis.
Without Clayborn Temple, We Are Somebody doesn’t exist as we know it. Our mission is rooted at the intersection of civil rights and labor rights, our logo calls back to the famous I Am A Man signs that came out of Clayborn Temple. We Are Somebody stands on the shoulders of the movements that Clayborn Temple birthed.
While the loss of the physical structure is devastating, the spirit of the civil and labor rights movement can never be burned down. We will continue to uplift the history of our movements, recognize the struggle those who came before us faced, and celebrate the accomplishments of their sacrifice and hard work.
Dr. Russ Wiggington, president
National Civil Rights Museum
Russ Wiggington via LinkedIn
The recent fire that consumed Clayborn Temple is a devastating blow, not only to Memphis but to the nation. This historic church, a nerve center of the Civil Rights Movement, was more than just bricks and stained glass; it was a beating heart of a community that chose unity over division, progress over fear, and community over chaos.
Clayborn Temple stood as a symbol of organized resistance and hope during the 1968 Sanitation Workers’ Strike. When marchers filled its sanctuary, it wasn’t just about better wages; it was about dignity, about declaring that Black lives and labor mattered in a city that often acted indifferent. In the years since, despite cycles of neglect and efforts at preservation, Clayborn Temple remained a powerful reminder that in the face of obstacles, violence, and hatred, collective action and faith can build something stronger.
Its destruction by fire is another somber chapter in a long story of devastated sacred spaces. But if history teaches us anything, it’s this: Clayborn Temple will rise again, because its foundation was never merely physical. It was spiritual. It was communal. And that foundation cannot be burned.
Make no mistake, the spirit of “Community Over Chaos” is stirring. Leaders, activists, stakeholders, and ordinary citizens should be rallying, just as they have for generations. Financial recovery efforts must be coordinated. Preservationists should be examining the remains to save what they can. Plans for rebuilding — not just restoring the past, but reimagining Clayborn Temple for future generations — must be underway.
We rebuild and protect. The protection strategies have now become mission-critical: fire-resistant construction materials, modern surveillance, integrated fire prevention systems, and stronger community engagement must anchor the rebuilding. But just as important will be reaffirming what Clayborn Temple always stood for: justice through unity, faith in action, and an unwavering refusal to yield to adversity.
Memphis has a choice: mourn in isolation or rebuild in solidarity. History — and Clayborn Temple’s own story — points clearly toward the second. Chaos may have been embedded in a fire, but the community will light the way forward.
Clayborn Temple was, and will continue to be, a house not just of gathering, but of movement, resilience, and rebirth. Fire can take down walls, but it cannot destroy the spirit that built them.
State Sen. Raumesh Akbari
Sen. Raumesh Akbari
Sen. Raumesh Akbari via Facebook
“Heartbroken to wake up to the news that Clayborn Temple — sacred ground for the Civil Rights Movement — has burned.
Clayborn was never just wood and stone; it was a beacon where Memphis sanitation workers demanded dignity, where faith carried hope, and where courage took root. To all who fought to restore it, and to all who believed in its future, this loss is devastating. On that historic stage, I was able to speak at the Women’s March in 2017, a surreal experience.
The spirit and living legacy of Clayborn will endure. It must. And from these ashes, we will rise. Memphis always has.
The Downtown Memphis Commission (DMC) and the Downtown Mobility Authority have announced discounted parking rates at 10 garages.
Through a partnership with Premium Parking the DMC is offering a $5 rate available Sunday through Thursday for three hours. This rate is available at the Peabody Place Garage, First Park Place, Mobility Center, Gayoso Garage, Shoppers Garage, Huling Lot, Bakery Garage, Gus Lot, Sterick North Garage, and Sterick East Lot.
Users have the option to extend their time upon expiration, to which an hourly rate will apply.
According to the DMC this promotion will be available throughout the spring and summer. From now until May 31, the rate is applicable from 5 to 9 p.m. On June 1, visitors can access the rate from 11 a.m to 2 p.m. on the same days until August 31.
DMC President and CEO Chandell Ryan said this is an effort to invite more people to Downtown Memphis during the week.
“We want this program to support Downtown restaurants and businesses by making parking more accessible and affordable,” Ryan said. “With success, we hope to add additional garages to the program.”
The commission has made a point to address parking Downtown. According to their 2019 Downtown Memphis Parking Study, this was identified as a “defining issue for the future of Downtown growth.” They said this is partly because many “uses” compete for parking throughout the day.
A Memphis law firm left the Tennessee Bar Association (TBA) Tuesday after the firm said the group had “voted to remain silent” on President Donald Trump’s actions to erode the rule of law and an independent judiciary.
Donati Law ended more than 40 years of membership with TBA Tuesday in a letter made public on Facebook Wednesday. The Midtown law firm focuses on employment law, personal injury, and criminal defense, according to its website.
Donati Law via Facebook
”It is with great sadness that we feel obligated to leave the TBA due to its refusal to take a stand consistent with the ideals of the Rule of Law and an independent judiciary in the face of extreme threats from the executive branch,” reads the letter addressed to TBA leaders.
The letter says, specifically, that the TBA “once again voted to remain silent” on April 14. Details of the triggering event on this date were not immediately clear, but Donati attorney Bryce Ashby said it was related to activities from another Memphis attorney, Brian Faughnan, of Faughnan Law.
On his blog, Faughnan on Ethics, Faughnan said many bar associations, like the American Bar Association, have spoken out against Trump actions that erode the rule of law. In an April 8th blog post, though, Faughnan said, ”the Tennessee Bar Association and the Memphis Bar Association have not.”
After private talks with the TBA, he said on April 16, he’d become “more and more convinced that the TBA is actually determined to remain silent in an unforgivable act of cowardice.”
The TBA did not immediately respond to a request for comment on this story. But this story will be updated with their statement if it does.
The Donati letter provides a long list of the Trump-Administration actions that threaten “the very fabric of our constitutional system.” That list includes Vice President JD Vance and Memphis businessman and DOGE frontman Elon Musk calling for the impeachment of judges based on decisions to try to rein in executive overreach. The firm is also wary of Border czar Tom Horan and Deputy Chief of Staff Stephen Miller, who have said that judiciary has no power over the executive branch and that court orders may simply be disregarded.
The list from the firm included the Trump adminstration’s refusal to comply with a U.S. Supreme Court order, as well as those of lower courts that required due process for immigrants facing deportation, and the return of Kilmar Ábrego Garcia from El Salvador.
The firm said Trump has fired “those charged with ensuring the rule of law” including some at the Department of Justice, the head of the Office of Special Counsel, and 17 inspectors general.
Finally, Donati said Trump has ordered retribution against law firms because of positions they have taken on behalf of clients or because of attorneys hired by their firms.
”These are but a few examples of the full-blown assault on the rule of law and the judiciary,” reads the letter. “These actions damage our system of justice and must be condemned.
“Remaining silent is complicity. The TBA has stayed silent and once again voted to remain silent on April 14, despite the TBA’s self-professed role as a ‘strong advocate for the profession and the development and maintenance of our justice system.’ As a result, we can no longer continue our membership with the Tennessee Bar Association.”
The Greater Memphis Chamber attributes their “lack of transparency” regarding the xAI project to market stability and competitive advantage.
“Confidentiality is actually really important when it comes to economic development projects,” Bobby White, chief government affairs officer for the Chamber, said. “We have unfortunately experienced this in the past where projects and information about them have slipped and become public knowledge, and we’ve lost projects.”
These comments were made Wednesday during a webinar hosted by the Greater Memphis Chamber to address community questions about xAI’s turbines, water usage, and more. Media personality Kontji Anthony moderated the conversation and called xAI the biggest economic development project in Memphis history and noted the controversy looming around it.
Residents and elected officials, such as Councilwoman Yolanda Cooper-Sutton and Representative Justin J. Pearson, have criticized the city and company for the absence of public input and knowledge. Many have voiced concern about the effects it will have on citizens in Southwest Memphis.
Anthony said the purpose of Wednesday’s forum was to clear up misconceptions around the project.
White said some of these misconceptions had been heard repeatedly — specifically those surrounding water usage. He clarified that the company is not using 1 million gallons of water a day to cool the supercomputer. Instead, it is operating on a closed loop system, with no water from the aquifer being used for industrial use.
“Essentially water comes in and cools the supercomputer,” White said. “That closed loop system is why xAI is paying a water bill that’s probably comparable to what you’re paying at your house.”
He estimated that xAI is paying less than $1,000 every month because it is recycling water. He also said the company is building Memphis’ first-ever wastewater recycling facility, marking an $80 million investment.
The Chamber wanted to bring in experts to engage in conversation about gas turbine usage. Recently, the Southern Environmental Law Center ( SELC) found that 35 turbines had been operating near the facility — 20 more than previously reported.
Shannon Lynn, a principal consultant for Trinity Consultants, located in Little Rock, Arkansas, said both the temporary and permanent turbines have sparked concern. Lynn said only 15 are set to be permanent, which the company has submitted permits for.
Lynn noted concerns about formaldehyde, nitric oxide, and dioxide emissions. He said the turbines are natural gas fired and “simple products of combustion.”
“If you burn gas, you’re going to get products of combustion, and that’s what you have with these turbines,” Lynn said.
A viewer asked Lynn if he would feel safe living in close proximity to the turbines. Lynn said he has had experience with this in Arkansas, as a data center was built within two miles of his home. He said if the control technology, equipment, and programs were in place along with working with a regulatory body he would feel safe.
Ted Townsend, president and CEO of the Chamber, said the city is already seeing the positive effects of landing the “world’s largest supercomputer,” representing a “tremendous investment.”
He said this deal has attracted other companies to Memphis, creating more jobs and investments into the Memphis economy.
“Success is now,” Townsend said. “I think over the next five, 10, 20 years you’re gonna see a higher concentration of this tech innovation and we’re really the epicenter of AI computing if you think about having the power of a supercomputer localized right here in Memphis.”
Rep. Mark White, a Shelby County Republican, said he will pursue a measure enabling the state to take over administration of Memphis-Shelby County Schools in 2026. (Photo: John Partipilo)
The sponsor of legislation criticized as a “takeover” of Memphis Shelby County Schools confirmed Tuesday the bill is on hold until 2026.
Rep. Mark White (R-Memphis), chairman of the House Finance Committee, said House and Senate versions approved earlier in the day were too far apart for passage.
The Tennessee Legislature adjourned for the year Tuesday evening without taking further action on the bills.
One of the key sticking points was that the Senate bill was amended to enable an advisory board to select replacements for elected Memphis board members removed by the state, a provision considered unconstitutional. It differed from the House version.
White said he wants a “strong oversight board” and that a compromise would weaken the measure. He declined to have competing House and Senate measures sent to a conference committee to work out a compromise.
“We prefer we keep the bill alive,” White said, adding he would work on the legislation through the summer and bring it back next year for consideration.
The House and Senate passed separate bills Tuesday creating a management group to oversee Memphis Shelby County Schools despite complaints that setting up a “takeover” board could prove to be unconstitutional.
White’s decision came as the legislature moved toward adjournment for the year.
Earlier, White told colleagues the change is needed after decades of poor performance by the school district and board, including a billion dollars in deferred maintenance and under-used buildings despite a $1.8 billion budget.
The advisory board, which would be funded locally instead of by the state, would supersede the elected board on budgets, contracts exceeding $50,000 and some policy. Under one plan, it would be responsible for reviewing the entire system and making an improvement plan.
Separately, the legislature approved $6 million for a forensic audit of the school district. But Republicans, who hold supermajorities in the House and Senate, refused requests to complete the audit before embarking on the new format.
Later, White said waiting a year would enable the audit to move forward before an advisory board is created.
Sen. Brent Taylor (R-Memphis), who carried the Senate version of the bill, laid most of the blame for poor performance on school board members, saying students are “hanging in there like a crackhead’s last tooth.”
White and Taylor denied the plan is a “takeover,” with Taylor instead describing it as “a list of cascading interventions”
Votes in both chambers didn’t come without opposition from Memphis lawmakers who said the state should allow voters to select new school board members, instead of giving the state’s education commissioner authority to remove board members and the district director.
Sen. London Lamar (D-Memphis) was among numerous Shelby County lawmakers who spoke out against the measure. In response to Taylor, she said, “Memphis is not the last tooth in a crack addict’s mouth.”
Lamar and other Shelby lawmakers compared the plan to the state’s Achievement School District, which is being phased out after a decade and more than a billion dollars spent. They also accused the state of usurping local voters.
“It’s not our job to take the power away from the local school board,” Lamar said.
Lamar later called the outcome a “victory for local control.”
Rep. Antonio Parkinson (D-Memphis), a consistent critic of the Achievement School District for five-plus years, said the bill’s provision allowing the state to turn schools over to charter operators shows that the plan is designed to benefit hedge funds and corporations.
Shelby County school systems have gone through several stages in the last decade, including dissolution of Memphis City Schools and creation of suburban districts such as Collierville and Arlington, all of which left Memphis Shelby County Schools with a large concentration of low-income students.
Sen. London Lamar, a Memphis Democrat, called the halt of a bill to take over Memphis Shelby County Schools a “victory for local control.” (Photo: John Partipilo)
The Memphis Shelby County School Board also removed its director recently, creating more conflict within the district and giving lawmakers ammunition to single out the school system, even though the bills applied to schools statewide.
Rep. Kevin Vaughan (R-Collierville) told colleagues he had shifted views after initially thinking lawmakers should wait until the audit is complete before taking action.
“We’ve got to turn the ship around in southwest Tennessee,” Vaughan said. “We’re doing a disservice to children who are not getting a fair shake.”
The legislation also lifted income caps on the Education Savings Account program in Shelby to enable more families to qualify for funds to enroll children in private schools. Recipients can use about $9,500 in state funds to go toward tuition.
Sen. Jeff Yarbro (D-Nashville) predicted such a move would cause confusion and lead to a lawsuit.
Tennessee Lookout is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Tennessee Lookout maintains editorial independence. Contact Editor Holly McCall for questions: info@tennesseelookout.com.
Two Texas men were found guilty Tuesday of scamming the city of Memphis out of nearly $774,000 in 2022.
A federal jury found Stanley Anyanwu, 41, and Vitalis Anyanwu, 42, guilty of one count of conspiracy to commit wire fraud and bank fraud and one count of conspiracy to commit money laundering, according to Interim United States Attorney Joseph C. Murphy.
The city fell victim to a business email compromise scam causing a legitimate payment of $773,695.45 to go not to the intended contractor recipient but to a bank account controlled by a sophisticated fraud conspiracy. The city realized what had happened within days but was unable to recover the funds because the conspiracy had already swept the funds away into a large money laundering network.
The FBI investigated and identified Stanley and Vitalis Anyanwu as two members of the conspiracy. During the investigation, the FBI also identified victims of romance scams who had been taken advantage of by the same conspiracy. The defendants’ primary role in the conspiracy was to act as knowing “money mules” for internet-based fraud scams.
A business email compromise scam is a type of computer intrusion that occurs when an employee of a business or similar entity is fooled into interacting with an email message that appears to be, but is not, legitimate. The email message usually contains either malware or fraudulent misrepresentations. The purpose of the intrusion is usually to access sensitive information or to defraud the victim entity.
A romance scam is a type of advance fee scam in which the operator of the scam uses the internet and social media platforms to target potential victims who are seeking friends or romantic companionship. The scammer hides his or her true identity by posing as a potential friend or romantic partner and entering into an online relationship with the victim.
Eventually, the scammer begins to ask for emergency financial assistance of some kind. If the victim sends money, the scammer will present an escalating series of events and false claims necessitating increasingly larger amounts of money.
A money mule is someone who knowingly or unknowingly transfers or moves fraudulently acquired money on behalf of someone else. Money mules are important parts of fraud conspiracies because, among other reasons, they provide the conspiracy with a way to disguise the criminal origins of fraud proceeds.
“These defendants defrauded multiple individuals and entities resulting in a significant loss to the city of Memphis,” said Special Agent in Charge Joseph E. Carrico of the FBI Nashville Field Office. “The FBI and our partners are committed to holding accountable those who seek to line their own pockets through business email compromise, romance, and money laundering schemes, and will continue to work tirelessly to investigate those who engage in criminal activity resulting in financial harm to members of our community.”
Sentencing is set for July 18, 2025 before Chief United States District Judge Sheryl H. Lipman.
Residents in Southwest Memphis have reportedly received “fact sheets” from an anonymous organization regarding the xAI turbines operating in their community.
This information comes from Representative Justin J. Pearson’s newsletter “People Power Times”. According to Pearson, a group called “Facts Over Fear” has placed “propaganda” in residents’ mailboxes that claim that the company’s gas turbines are “minor polluters.”
The mail said the turbines are designed to protect the air with “air quality levels similar to those from a neighborhood gas station. It cited that the Environmental Protection Agency refers to facilities like the xAI plant as “minor contributors” to air quality.
While the group said there are only 15 turbines operating, Pearson said this is false.
“Thanks to the Southern Environmental Law Center (SELC), we know the truth – there are actually 35 gas turbines on site,” Pearson said. “The misinformation being sent to our neighbors conveniently leaves out the 20 additional gas turbines xAI failed to report.”
Pearson referenced an April 9 letter from SELC to Dr. Michelle Taylor, director and health officer for the Shelby County Health Department. The organization said they obtained aerial images in March that showed that xAI has 35 gas turbines.
Photo Credit: Southern Environmental Law Center
“Our analysis shows these turbines together have a power generating capacity of 421 megawatts – comparable to an entire TVA power plant – all constructed and operating unlawfully without any air permit in Southwest Memphis, a community that is profoundly overburdened with industrial pollution.”
The turbines have been linked to emitting an “estimated” 16.7 tons of formaldehyde.
“I am both disgusted and furious that anyone would downplay the harmful impact this plant is having on our air, our health, and our future,” Pearson said.
Southwest Memphis residents have been vocal at town halls, meetings of elected bodies, and on social media about the lack of transparency regarding the project, as well as the impact on their community. Pearson said many officials have “signed non-disclosure agreements promising to keep xAI’s plans a secret.”
These comments come as the Shelby County Health Department collects public comments from ahead of the Air Pollution Control Permit Application Public Hearing on April 25.
Pearson said he and other residents will continue to hold community leaders accountable for this “shameful legacy of environmental injustice.”
