Porn Mogul Sentenced to Federal Prison

AUSTIN, Texas — The owner of 27 adult-oriented businesses was sentenced to more than five years in federal prison last week and ordered to forfeit $8.1 million in property after he pleaded guilty to racketeering, obscenity and fraud charges, according to a statement released by the Justice Department.

After an investigation that involved the Internal Revenue Service, U.S. customs officials and the Department of Homeland Security, John Kenneth Coil, 61, along with his wife, daughter, son and four other employees, was charged with the interstate transportation of obscene material and mail fraud, as well as withholding $4.5 million in taxes from the federal government.

On Friday, United State District Court Judge Harry Lee Hudspeth sentenced Coil to 63 months in federal prison and ordered him to pay a $5,000 fine and forfeit all business properties located in Texas.

“You break the rules, you cheat the federal government, you make millions selling this smut, and you don’t even pay your taxes to the tune of multi-millions of dollars, you will be held to account,” said U.S. Attorney Johnny Suttion.

According to Justice officials, Coil was the head of a three-state tax evasion scheme that involved placing properties in his children’s names without their consent and skimming money from his stores.

Coil also pleaded guilty to obscenity for the interstate transportation of hardcore German video “Nympho Bride,” a movie that federal officials referred to as “sadistic.”

“John Kenneth Coil has been a long time pornography merchant who has made millions selling obscenity and cheating on his taxes,” said Sutton. “He is finally on his way to federal prison for his crimes. American families have won a battle today in the fight against pornography.”

Seven other co-defendants were sentenced earlier by Hudspeth, including Coil’s business partner Charles Phelps Jr., also known as “Mr. D” and “Dave Smith,” who received 42 months in federal prison. Coil’s wife, daughter and son each received three years probation.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Bobbii Rose Makes Her TransAngels Debut

Bobbii Rose has made her TransAngels debut opposite Chad Dorado in the studio’s latest release, titled “Furry Fantasy.”

Greta Foss, Sofia Smith Topline Angelo Godshack's 'Angels of Hardcore 4'

Greta Foss and Sofia Smith headline director Angelo Godshack’s “Angels of Hardcore 4,” from Evil Angel.

Hankey's Toys Unveils 'Peak' Prostate Dildo

Mr. Hankey's Toys has debuted the Peak, its new P-spot-targeting prostate dildo.

Cubbi Thompson Stars in Latest From Digital Playground

Newly crowned XMAs Best New Performer Cubbi Thompson stars with Mike Ox in the latest release from Digital Playground, titled "Yes, Chef!"

Kheper Releases 'Ride My Dick' Tickets

Kheper Games has debuted its new "Ride My Dick" sex act novelty coupons.

Brazzers Signs Elly Clutch to Exclusive Contract

Brazzers has signed Elly Clutch, winner of the 2024 XMA Creator Award for Female Clip Artist of the Year, to an exclusive contract.

SVibe Debuts 'Jovi Arc' Vibrating Cock Ring

SVibe has introduced the new remote-controlled Jovi Arc vibrating cock ring.

Reptyle Launches Cross-Site Special Event 'The In-Laws'

Reptyle is launching a new cross-site special event on its TeamSkeet, MYLF, Swappz, and Family Strokes imprints, titled "The In-Laws."

AV Bulletin: Health Warnings, VPNs and Exemptions

Since the Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been introduced around the United States, as well as at the federal level and in other countries. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Jade Venus, Little Puck & Olivia Jay Star for Transfixed

Jade Venus stars with Little Puck and Olivia Jay in the latest release from Transfixed, titled "The Great Ladies' Taste-Off."

Show More