At a hearing Wednesday before federal judge Barbara McAuliffe, attorneys for former U.S. Congressman TJ Cox said he and the U.S. Attorneys Office had reached a deal.

Cox faced 28 counts of fraud, money laundering, and campaign contribution violations. He agreed to plead guilty to two counts.

McAuliffe set Jan. 27 for the court to review the agreement.

Attorney Mark Coleman said the government reduced the charges to two fraud counts. A sentence could range from probation to 20 years in prison. However, it could be five months before the sentence is decided, Coleman said.

“You’re never happy when a client pleads guilty, but it gives us the opportunity to argue for a sentence we believe is appropriate,” Coleman said. “It allows the government to argue for a sentence they believe is appropriate. So, in a sense, the real work starts now.”

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‘People Sometimes Take Shortcuts’

The fraud charges come from Cox’s time as a business owner in the Central Valley. The government alleged that Cox used multiple bank accounts while he conducted business with Central Valley NMTC and California Custom Processors.

Cox previously said he wanted the case to go to trial. However, upon hearing that, federal prosecutor Henry Carbajal said a plea deal might not be on the table after December.

Changes to the deal revolved around conduct and culpability, Coleman said. He also said that Cox has been eager to get the case behind him.

“Anytime you’re in business, there are literally thousands of transactions, and people sometimes take shortcuts. Something he had to deal with,” Coleman said.

Part of the allegations involve a fraudulently acquired $1.5 million construction loan for work at Granite Park. Prosecutors had also accused Cox of diverting $1.7 million in client payments, company loans, and investments in other business dealings from 2013 to 2018

As a Democratic congressman, Cox represented portions of the Central Valley from 2019 to 2021.

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Coleman would not elaborate on which charges were dropped.

A request to the U.S. Attorney’s Office to see the plea deal was not returned before publication of this story.