Backpage.com Faces New Pimping, Money Laundering Charges In California

SACRAMENTO (CBS13/AP) — New charges have been filed against the CEO of Backpage.com that include allegations underage children were pimped through the site.

The California Attorney General's office announced the new charges that include 26 counts of money laundering and 13 counts of pimping and conspiracy to commit pimping. Seven of those pimping counts include children.

CEO Carl Ferrer, Michael Lacey and James Larkin allegedly created multiple corporate entities to move money around because financial institutions wouldn't take the money from overtly sexual material, the attorney general's office said.

A judge rejected pimping charges on free speech grounds on Dec. 9. Sacramento County Superior Court Judge Michael Bowman sided with attorneys for the men and the website in ruling that the speech was allowed under the federal Communications Decency Act.

The section of the act that applies to the case protects websites from content posted by third parties, such as restaurant or shopping reviews from being held accountable for scathing reviews left by customers or online news sites from vicious reader comments.