Case 5:12-cr F Document 1 Filed 12/19/12 Page 1 of 9 IN THE UNITED STATES DISTRICT COURT FOR TH~EC. WESTERN DISTRICT OF OKLAHOMA ~~~~rt~!fi~.

Transcription

1 Case 5:12-cr F Document 1 Filed 12/19/12 Page 1 of 9 IN THE UNITED STATES DISTRICT COURT FOR TH~EC FILED WESTERN DISTRICT OF OKLAHOMA ~~~~rt~!fi~.l UNITED STATES OF AMERICA, ) ) -vs- Plaintiff, ) ) ) No. C R F ) TRACY LYNN DANIELS, ) Violations: 21 USC 846 ADAM DALE DANIELS, and ) 21 USC 841(a)(I) CHELSEA AMBER COOK, ) 21 USC 863(a)(I) ) 18 USC 1957 ) 31 USC 5324(a)(3) Defendants. ) 18 USC 982(a)(I) ) 21 USC 853 ) 31 USC 5317(c) INDICTMENT The Federal Grand Jury charges: INTRODUCTION 1. At all times material to this Indictment, Tracy Lynn Daniels and Adam Dale Daniels operated a business advertised as a gift shop doing business under the name of Sugar Lips in Woodward, Oklahoma. Chelsea Amber Cook worked at Sugar Lips. 2. The primary business of Sugar Lips was the sale of what is identified as herbal incense that is labeled with product names such as Wicked X, White Rabbit, and Hayze Trainwreck. The packaging for the products states that they are not for human consumption.

2 Case 5:12-cr F Document 1 Filed 12/19/12 Page 2 of 9 3. The herbal incense products, in fact, are substances that have a chemical structure substantially similar to the chemical structure of controlled substances, including marijuana, and which have similar effects on the central nervous system. Sugar Lips sold the herbal incense to be smoked to get high. 4. The substances are controlled substance analogues. COUNT 1 5. From in or about June 2010, to in or about July 2012, in Woodward, Oklahoma, in the Western District of Oklahoma and elsewhere, TRACY LYNN DANIELS, and ADAM DALE DANIELS, knowingly and intentionally conspired and agreed together, with interdependence, to distribute and possess with intent to distribute herbal incense, a controlled substance analogue as defined in Title 21, United States Code, Section 802(32), intending it for human consumption in violation of Title 21, United States Code, Sections 813 and 841(a)(1). MANNER AND MEANS OF THE CONSPIRACY 6. Tracy Lynn Daniels and Adam Dale Daniels were the owners of the Sugar Lips business. The defendants purchased herbal incense from suppliers in Louisiana, Arizona, and North Carolina. 7. Tracy Lynn Daniels would provide samples of the herbal incense purchased to friends to smoke to see if it was "good", meaning it made them high. If the product was "good", it was sold at Sugar Lips. 2

3 Case 5:12-cr F Document 1 Filed 12/19/12 Page 3 of 9 herbal incense. District of Oklahoma, 8. Sugar Lips also sold drug paraphernalia, including pipes, for smoking the 9. Almost all transactions at Sugar Lips were in cash. All in violation of Title 21, United States Code, Section 846. COUNT On or about May 16, 2012, in Woodward, Oklahoma, in the Western CHELSEA AMBER COOK, knowingly and intentionally distributed eight packages of herbal incense labeled as Barely In, Primo Burnables, White Rabbit, Hayze Peachy King, Hayze Gone Strawnanas, Hayze Trainwreck, Mr. Nice Guy Strawberry, and Wicked X, that are controlled substance analogues as defined in Title 21, United States Code, Section 802(32), intending it for human consumption in violation of Title 21, United States Code, Section 813. District of Oklahoma, All in violation of Title 21, United States Code, Section 841(a)(1). COUNT On or about May 16,2012, in Woodward, Oklahoma, in the Western ADAM DALE DANIELS, and CHELSEA AMBER COOK, knowingly and intentionally distributed herbal incense labeled as No More Mister Nice Guy and Rack City, a controlled substance analogue as defined in Title 21, United States Code, 3

4 Case 5:12-cr F Document 1 Filed 12/19/12 Page 4 of 9 Section 802(32), intending it for human consumption in violation oftitle 21, United States Code, Section 813. District of Oklahoma, All in violation of Title 21, United States Code, Section 841(a)(l). COUNT On or about May 16,2012, in Woodward, Oklahoma, in the Western ADAM DALE DANIELS, and CHELSEA AMBER COOK, knowingly and intentionally sold drug paraphernalia, in that, the defendants sold a pipe, disguised as an engine spark plug, used to smoke herbal incense, a controlled substance analogue as defined in Title 21, United States Code, Section 802(32). All in violation of Title 21, United States Code, Section 863(a)(l). COUNTS From on or about November 23,2010, to on or about February 7,2012, on the dates set forth below, in the Western District of Oklahoma, and elsewhere, TRAC1{ L1{NN DANIELS, knowingly engaged in monetary transactions, through or to a financial institution, affecting interstate commerce, in criminally derived property ofa value greater than $10,000.00, such property having been derived from a specified unlawful activity, that is, conspiracy to distribute and possess with intent to distribute controlled substance analogues in violation of Title 21, United States Code, Section 846: 4

5 Case 5:12-cr F Document 1 Filed 12/19/12 Page 5 of 9 COUNT DATE MONETARY AMOUNT FINANCIAL INSTRUMENT INSTITUTION /2010 Cash Deposit $14, Stock Exchange Bank /2010 Debit Card $10, Stock Exchange Bank 7 12/24/2010 Cash Deposit $10, Stock Exchange Bank /2011 Cash Deposit $15, Stock Exchange Bank 9 02/23/2011 Cash Deposit $17, Stock Exchange Bank 10 02/24/2011 Wire Transfer $16, Stock Exchange Bank 11 03/23/2011 Cashier's Check $10, Bank of Western Oklahoma # / Check #1021 $15, Bank of Western Oklahoma 13 05/06/2011 Cash Deposit $14, Bank of Western Oklahoma 14 05/06/2011 Wire Transfer $14, Bank of Western Oklahoma 15 05/17/2011 Cash Deposit $17, Bank of Western Oklahoma 16 05/25/2011 Check #1053 $11, Bank of Western Oklahoma 17 06/13/2011 Wire Transfer $13, Bank of Western Oklahoma /2011 Wire Transfer $15, Bank of Western Oklahoma /2011 Cash Deposit $19, Bank of Western Oklahoma /2011 Wire Transfer $16, Bank of Western Oklahoma 21 12/19/2011 Check #1131 $10, Bank of Western Oklahoma /2012 Cashier's Check $11, Bank of Western Oklahoma # /2012 Cash Deposit $22, Bank of Western Oklahoma /2012 Wire Transfer $ Bank of Western Oklahoma 25 02/06/2012 Cash Deposit $14, Bank of Western Oklahoma 26 02/07/2012 Check #1171 $12, Bank of Western Oklahoma District of Oklahoma, All in violation of Title 18, United States Code, Section COUNT On or about January 15,2012, in Woodward, Oklahoma, in the Western TRACY LYNN DANIELS, and ADAM DALE DANIELS,

6 Case 5:12-cr F Document 1 Filed 12/19/12 Page 6 of 9 knowingly engaged in a monetary transaction through or to a financial institution, affecting interstate commerce, in criminally derived property ofa value greater than $10,000.00, such property having been derived from a specified unlawful activity, that is, conspiracy to distribute and possess with intent to distribute controlled substance analogues, in violation of Title 21, United States Code, Section 846, in that the defendants used $56, in cash for the purchase of real estate at 806 Main Street, in Woodward, Oklahoma. All in violation of Title 18, United States Code, Section COUNT On or about March 26, 2011, in Woodward, Oklahoma, in the Western District of Oklahoma, j\i>j\~ I>j\~~ I>j\NI~~S;, knowingly engaged in a monetary transaction, that is, the purchase of a 2011 Tracker Nitro Z7 Boat, Motor, and Trailer from Tracker Marine Boat Center, LLC for $29, in cash, through or to a financial institution, affecting interstate commerce, in criminally derived property of a value greater than $10,000.00, such property having been derived from a specified unlawful activity, that is, conspiracy to distribute and possess with intent to distribute controlled substance analogues in violation oftitle 18, United States Code, Section 846. All in violation of Title 18, United States Code, Section

7 Case 5:12-cr F Document 1 Filed 12/19/12 Page 7 of 9 Oklahoma, COUNTS On or about the dates set forth below, within the Western District of T~C1{ ~1{NN I>j\NI~~S, knowingly structured, and assisted in structuring, financial transactions with one or more domestic financial institutions, specifically Bank ofwestern Oklahoma, in that, Tracy Lynn Daniels made cash deposits in amounts less than $10,000.00, all for the purpose of evading the reporting requirements of Title 31, United States Code, Section 5313(a): COUNT I>j\T~ TIM~ j\mount 29 06/07/2011 2:54pm $6, /07/2011 2:58pm $9, /20/2011 1:41pm $6, /20/2011 3:08pm $9, /13/2011 1O:25am $6, /13/2011 3:21pm $9, /2011 2:12pm $9, /2011 4:54pm $9, / :52pm $7, /2012 4:41pm $7, All in violation of Title 31, United States Code, Section 5324(a)(3). FORF~ITURE A. The allegations contained in Counts 1 through 33 ofthis Indictment are hereby re-alleged and incorporated for the purpose of alleging forfeiture. B. Upon conviction of any ofthe offenses alleged in Counts 1 through 33 ofthis Indictment, defendants Tracy Lynn Daniels, Adam Dale Daniels, and Chelsea Cook, 7

8 Case 5:12-cr F Document 1 Filed 12/19/12 Page 8 of 9 jointly and severally, shall forfeit to the United States, any property constituting, or derived from, any proceeds obtained, directly or indirectly as a result of such offenses; any property used, or intended to be used, in any manner or part, to commit or to facilitate the commission of such offenses; and any property involved in the offenses and any property traceable thereto, including but not limited to: 1. Approximately $37, in United States currency seized on July 13,2012; 2. The real property located at 806 Main Street, Woodward, Woodward County, Oklahoma; Tracker Nitro Z7 Boat, Serial # BUBO 122A 111; Mercury Marine 150L Motor, Serial # IB839460; Tracker Marine Trailer, Serial # 4TM14HF14BB002072; and 6. Five (5) boxes of assorted drug paraphernalia. C. Pursuant to Title 21, United States Code, Section 853(p), as incorporated by Title 28, United States Code, Section 2461 (c), defendants shall forfeit substitute property, up to the value of the amount(s) described above, if, by any act or omission ofthe defendants, the property described above, or any portion thereof, cannot be located upon the exercise of due diligence; has been transferred, sold to, or deposited with a third party; has been placed beyond the jurisdiction ofthe court; has been substantially diminished in value; or has been commingled with other property which cannot be divided without difficulty. 8

9 .-----~~~~~~~~~~ Case 5:12-cr F Document 1 Filed 12/19/12 Page 9 of 9 All pursuant to Title 18, United States Code, Section 982(a)(1), Title 21, United States Code, Section 853, and Title 31, United States Code, Section 5317(c). FOREPERSON OF THE GRAND J SANFORD C. COATS / unite~:?~&?ad RANDAL A. SEN GEL Assistant U.S. Attorney 9

10 CRIMINAL COVER SHEET Case 5:12-cr F Document 1-1 Filed 12/19/12 Page 1 of 2 U.S. District Court, Western District of Oklahoma Petty 0 Misdemeanor 0 Felony. Case No. C R E Number of Counts 33 + Forfeiture Number of Defendants _3_ US~~QIP,No R00782 By: J.nlL Indictment Sealed: Yes 0 No. OCDETF: Yes 0 No. Notice 0 Summons 0 Writ 0 Warrant. to Issue DEFENDANT: TRACY LYNN DANIELS DtC t, A~' Alias(es): Address:., ',,",,., ~<: '~) '~ ~ ";'(;; rr;:,";,' ; Phone: Age&DOB: xxlxxl1959 SS#: xxx-xx-i735 Juvenile: Yes 0 No. IInterpreter: Yes 0 No. SEX: M 0 F. RACE: White Language/Dialect: Defendant Status: Not in Custody Type of Bond Recommended on this Charge: Bond set at: $ Date: Current Bond on Other Charge Federal 0 State 0 OR 0 Cash 0 10% 0 Unsecured 0 Surety 0 Bond in Amount of: $ 0 In Jail at: Under Prisoner/Register No.: IDetention PrIor Proceedmgs or Appearance(s) Before U.S. MagIstrate Judge: Case No. M- Government Motion to Detain: Yes 0 No 0 Complaint: Yes 0 NoD Bond Set: _~~\'JEU Related Case Information: t'j;.oo-,1\ Previous Case No. IRule 20IRuie 5 from District of: DE.C, \ 9 LU ".,c erl D. D'c.2-FcoUR \ Additional Defendants: Yes [J No 0 Total Number of defendants: RO'D=c:. -QIslRI c\.e\'{1", v' Attorney Information: ~ Defense Counsel: AUSA: Randal A. Sengel P'- v- Address: Phone: 405/ Fax: 405/ Phone: Fax: Federal Agent! Agency: Lawson /DEA Summers!U.S. Treasury Dept. Retained 0 CJA Panel 0 Public Defender 0 Local Agent! Agency: Count(s) USC Citation(s) Offense(s) Charfled Penalty 1 21:846 Conspiracy NMT 20 yrs imprisonment; $1,000,000 fine; or both; NLT 3 yrs SR; and $100 SA 5-26, 27 18:1957 Knowingly engaged in NMT 10 yrs imprisonment; $250,000 monetary transactions fine; or both; NMT 3 yrs SR; and affecting interstate $100 SA commerce

11 Case 5:12-cr F Document 1-1 Filed 12/19/12 Page 2 of 2 Page 2 Daniels, Tracy Lynn : 532~a)(3) Knowingly structured, and assisted in structuring, for the purpose of evading reporting requirements NMT 5 yrs imprisonment; $250,000 fine; or both; NMT 3 yrs SR; and $100 SA Forfeiture 18:982(a)(1 ) 21 :853 31:5317(c) Criminal Count Forfeiture (, - / / IL Date: _/"'--_,_---LI-----.::.T 1f{j0, Ii }~J Signature of AUSA~~~ ~: 800/6-97

12 CCu~\ CRIMINAL COVERSHEET U.S. District Court Western District 0 lahoma Petty 0 Misdemeanor 0 Felony. Case No. Ci [Ii l'",-296 Number of Counts 33 + Forfeiture Number of Defendants _3_ USAOID No. ~, R00782 ''''''\'' ~..,.~ By: JnL Indictment Sealed: Yes 0 No. OCDETF: Yes 0 No. Notice 0 Summons 0 Writ 0 Warrant. to Issue, DEFENDANT: ADAM DALE DANIELS DEC 19 :2012 : Alias(es): Case 5:12-cr F Document 1-2 Filed 12/19/12 Page 1 of 2 Address: " Phone: Age&DOB: xx/xx/1961 SS#: xxx-xx-2720 Juvenile: Yes 0 No. IInterpreter: Yes 0 No. SEX: M. FO RACE: White LanguagelDialect: Defendant Status: Not in Custody Bond set at: $ Date: Current Bond on Other Charge Federal 0 State 0.", ",'~ Type of Bond Recommended on this Charge: OR 0 Cash 0 10%0 Unsecured 0 Surety 0 Bond in Amount of: $ 0 In Jail at: Under PrisonerlRegister No.: IDetention.. Pnor Proceedmgs or Appearance(s) Before U.S. MagIstrate Judge: Case No. M- Complaint: Yes 0 No 0 Bond Set: Related Case 1I1formation: Previous Case No. Additional Defendants: Yes 0 No 0 Attorney Information: Defense Counsel: Government Motion to Detain: Rule 20IRuie 5 from District of: AUSA: Randal A. Sengel Address: Phone: 405/ Fax: 405/ Phone: Fax: Federal AgentlAgency: Lawson IDEA Summers IU.S. Treasury Dept. Retained 0 CJA Panel 0 Public Defender 0 Local Agent! Agency: Count(s) USC Citation(s) Offense(s) Chareed Penalty 1 21 :846 Conspiracy NMT 20 yrs imprisonment; $1,000,000 fine; or both; NLT 3 yrs SR; and $100 SA 3 21: 841 (a)(1 ) Knowingly and NMT 20 yrs imprisonment; Intentionally distributed $1,000,000 fine; or both; NLT 3yrs a controlled substance SR; and $100 SA analogue

13 .. Case 5:12-cr F Document 1-2 Filed 12/19/12 Page 2 of 2 Page 2 Daniels, Adam Dale 4 21: 863(a)(l ) 27, 28 18:1957 Knowingly and Intentionally sold drug paraphernalia Knowingly engaged in monetary transactions affecting interstate commerce NMT 3 yrs imprisonment; $250,000 fine; I yr SR; and $100 SA NMT 10 yrs imprisonment; $250,000 fine; or both; NMT 3 yrs SR; and $100 SA Forfeiture 18:982(a)(l ) 21 : :5317(c) Criminal Count Forfeiture Date: --,-17_'"/----L-[...L...-7:_-_( Z_' _ Signature of AUSA~~_~4----=:::...I,:--IP=-L..::::=:"":=--i~~_

14 CoUr2-T Case 5:12-cr F Document 1-3 Filed 12/19/12 Page 1 of 2 CRIMINAL COVER SHEET U.S. District Court, Western District of Oklahoma Petty 0 Misdemeanor 0 Felony. Case No. _C_R_,_1.=2_... 2~9r..:...-~ ~----IE~_ Number of Counts 33 + Forfeiture Number of Defendants _3_ USAOID No. 2011R00782 By:...lnlL Indictment Sealed: Yes 0 No. OCDETF: Yes 0 No. Notice 0 Summons 0 Writ 0 Warrant. to Issue DEFENDANT: CHELSEA AMBER COOK Alias(es): Address: Phone: Age&DOB: xx/xx/1983 SS#: xxx-xx-7066 Juvenile: Yes 0 No. IInterpreter: Yes 0 No. SEX: M 0 F. RACE: White Language/Dialect: Defendant Status: Not in Custody DEC '., j ~' L12 Type of Bond Recommended on this Charge: OR 0 Cash 0 10%0 Unsecured 0 Surety 0 Bond set at: $ Date: Current Bond on Other Charge Federal 0 State 0 Bond in Amount of: $ 0 In Jail at: Under Prisoner/Register No.: IDetention. PrIor Proceedmgs or Appearance(s) Before U.S. Magistrate Judge: Case No. M- Government Motion to Detain: Yes 0 No 0 Complaint: Yes 0 No 0 Related Case Information: Bond Set: Previous Case No. Rule 20IRuie 5 from District of : Additional Defendants: Yes 0 No 0 Total Number of defendants: Att orney I norma ~ fion: Defense Counsel: AUSA: Randal A. Sengel c~.{~ >1"\ \ $. -- Address: Phone: 405/ Fax: 405/ Phone: Fax: Federal Agent!Agency: Lawson. /DEA Summers IU.S. Treasury Dept. Retained 0 CJA Panel 0 Public Defender 0 Local Agent! Agency: Count(s) USC Citation(s) Offense(s) Char~ed Penalty 2,3 21 :841 (a)(1) Knowingly and NMT 20 yrs imprisonment; intentionally distributed $1,000,000 fine; or both; NL T 3yrs controlled substance SR; and $100 SA analogues 4 21: 863(a)(1) Knowingly and NMT 3 yrs imprisonment; $250,000 Intentionally sold drug fine; 1 yr SR; and $100 SA paraphernalia

15 , - Case 5:12-cr F Document 1-3 Filed 12/19/12 Page 2 of 2 Page 2 Cook Forfeiture 18:982(a)(l ) Criminal Forfeiture 21 :853 Count 31:5317(c) / 2./ ~!-J (~ Date: ----=-! :...T Signature of AUSA,--l:,..:::::.. -= ---=--=- ~~ /