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 © 2025 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

Industry Attorney Paul Cambria Retires After 50 Years of Practicing Law

After more than a half-century in practice, during which he provided the defense in some of the adult industry's most notable legal cases, attorney Paul Cambria has retired.

Cubbi Thompson Makes Her Hard X Debut

Cubbi Thompson has made her Hard X debut alongside 2024 XMAs Male Performer of the Year Zac Wild in the studio's latest release.

Penny Barber Stars in Latest From Girlsway

Reigning XMAs MILF Performer of the Year Penny Barber stars with Summer Col and Siouxsie Q in “Sneaky Checkup,” from Girlsway.

A Look at the Growing Business of Artificial Companions Powered by AI, Advanced Materials

Step into any adult expo or consumer forum thread today and the evidence is unmistakable: the sex doll category is in the middle of a full-scale transformation.

Ameena Green Is Hustler's 'Cover Honey' for November

Ameena Green is the Cover Honey for the November issue of Hustler Magazine and appears in a centerfold spread shot by Ellen Stagg.

2026 XMA Nominations Party Set for Nov. 19 in Hollywood

The 2026 XMA nominations reveal party will take place at Keys on the Sunset Strip on Wednesday, Nov. 19, with red-carpet arrivals starting at 8 p.m.

Sarah Arabic Makes Her Evil Angel Debut

Sarah Arabic has made her debut for Evil Angel alongside director/performer Vince Karter.

Alexis James Makes Her MYLF Debut

Alexis James has made her MYLF debut alongside Axel Haze in the studio's latest AnalMom release.

Orion Debuts 'Masturbator 09' From 'WYNE' Collection

Orion Wholesale has introduced Masturbator 09 from its What You Never Expected (WYNE) line.

Amy Nosferatu Stars in New Scene From Grooby

Amy Nosferatu returns to Grooby for a new solo scene, titled “Amy’s Afternoon.”

Show More