PHOENIX — Carl Ferrer, former CEO of Backpage.com, was sentenced today to three years’ probation and a $40,000 fine for conspiracy and money laundering connected to the now-closed website.
Ferrer pleaded guilty in 2018 and helped prosecutors recover over $200 million in assets. “What the company did was wrong, and what I did was wrong,” Ferrer told the court. “I’m sorry.”

Prosecutors wanted five years of probation but acknowledged Ferrer’s cooperation was key to the investigation. His lawyer argued Ferrer was misled by his co-founders, who claimed their actions were protected by the First Amendment.

Former sales director Dan Hyer, who also pleaded guilty, received time served with no fine. The judge noted Hyer was not a decision-maker and showed genuine remorse.

Other Backpage executives faced their own legal outcomes: Joy Vaught and Andrew Padilla were found not guilty in 2023, while Scott Spear and John Brunst received 10-year prison sentences. Co-founder Michael Lacey was convicted of money laundering and sentenced to five years in prison and a $3 million fine; he is currently free on bail pending appeal. Michael Larkin, another co-founder, died by suicide before retrial.

The case, launched in 2018, alleged Backpage facilitated prostitution. The first trial ended in a mistrial due to prosecutorial misconduct, but the government has since pressed forward with convictions and ongoing appeals.

Read more of XBIZ’s Backpage coverage here.