Man Pleads Guilty to Laundering $5.9 Million in Drug Proceeds

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An individual from Catlettsbury, Kentucky pleaded guilty in U.S. District Court on May 19, 1999, to laundering $5.9 million in drug proceeds from the sale of marijuana in West Virginia and Kentucky. The indictment alleged that the individual, his brothers, his stepbrother, and three other suspects, conspired to sell marijuana and transfer the profits between bank accounts in West Virginia, Kentucky, Ohio, and Florida in an effort to make the money appear legitimate.

The Cabell County Federal Drug Task Force, which consists of FBI, IRS Criminal Investigation Division (CID) agents, West Virginia State Police, Cabell County Sheriff’s Office, and Huntington City Police Department officers, conducted an investigation which targeted the individual. The task force requested the West Virginia Intelligence Exchange to conduct a review of the Currency and Banking Retrieval System (CBRS) database for BSA reports relating to members of this drug trafficking organization. This review was accomplished through FinCEN’s Gateway System. The reports included one Suspicious Activity Report and 17 CTRs. The analyst said information obtained from BSA data helped them to identify assets, and to locate bank accounts used by this drug trafficking organization.

As part of a plea agreement, the individual admitted to laundering money from 1992 to 1996, and to selling marijuana during that period. He also agreed to cooperate in forfeiting money and other property, including three luxury cars, six homes, and a warehouse.

(Source: Analyst, West Virginia State Police)

Tags
Narcotics Trafficking
Involving SARs
Involving CTRs
Depository Institutions