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

New Kickstarter Rules Ban Fundraising for Adult Content, Products

Crowdfunding platform Kickstarter has posted new “Mature Content” rules banning projects that involve adult content and sextech.

Full Circle Expands Enhancements Collection

Full Circle has expanded its collection of performance enhancers.

Lucy Mochi Performs 1st Studio Anal for Brazzers

Lucy Mochi performs her first studio anal scene opposite Scott Nails in the latest Brazzers release, "Fresh and Ready for Anal."

WebGroup Czech Republic Settles Florida AV Suit, Will Pay $1.2 Million

WebGroup Czech Republic (WGCZ), the parent company of XVideos, XNXX, BangBros and GirlsGoneWild, has settled a lawsuit filed by the state of Florida over those sites’ alleged failure to age-verify Florida users before allowing access to adult content.

Blake Blossom, Romi Rain & Ophelia Fae Star in Latest From Girlsway

Blake Blossom, Romi Rain, and Ophelia Fae star in the latest release from Girlsway, titled "Downward Temptation."

Screaming O Debuts New 'Rechargeable Rings' Collection

Screaming O has introduced its new collection of rechargeable, vibrating cock rings.

Tiffani Time Fronts Latest From Kink.com

Tiffani Time stars with director John Paul “The Pope” in the latest installment of Kink.com’s "Device Bondage" series, titled “Taken Down a Notch.”

Eris Jolie, Athena Parisi Star in Latest From TGirls.Porn

Eris Jolie and Athena Parisi star in the latest release from Grooby paysite TGirls.Porn, titled "Pool Day Date."

Leilani Li, Olivia Jay Lead Latest From TransAngels

Leilani Li and Olivia Jay star with King Noire in the latest release from TransAngels, titled "Deep Dive."

Ofcom Investigates Two Sites Over Possible AV Violations

U.K. media regulator Ofcom on Wednesday launched investigations into two adult sites as part of its age assurance enforcement program under the Online Safety Act (OSA).

Show More