Free Sentencing Memorandum - District Court of Connecticut - Connecticut

Case 3:00-cr-00203-EBB

Document 52-2

Filed 03/19/2007

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Case 3:00-cr-00203-EBB Case 3:OO-cr

Document 52-2

Filed 03/19/2007

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DISTRICT OF CONNECTICUT

JUDGMENT IN A CRIMINAL CASE
UNITED STATES OF AMERICA

CASE NO. 3:00cr203(EBB)
JOHNHACKNEY 50 Jonquil Drive Guntersville, AL 35976 SSN: JOHN DURHAM , Assistant U.S. Attorney CURTIS BOWE Defendant's Attorney

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The defendant pled guilty to count Io f an Information. Accordingly, the defendant is adjudged guilty of count I, which involves the following offense: Title & Section: 18:1962(d) Nalure of Offense: RlCO Conspiracy Date Offense Concluded: 5/99 Count: 1

The sentence is imposed pursuant to the Sentencing Reform Act of 1984. The defendant is hereby committed to the custody of the United States Attorney General or his duly authorized representative to be imprisoned for a term of: 48 months t o r u n concurrent t o sentence imposed in case 3:00cr204(EBB). The Court departs downward based o n the government's motion. Upon release from custody, the defendant shall be on supervised release for a term of 2 years to run concurrent t o supervised release imposed i n case 3:00cr204(EBB). Special Conditions of Supervised Release include: Defendant shall pay Restitution i n the amount o f $204,164,215.79 jointly and severally with other defendants as outlined i n the Restitution Order. Defendant shall make payments at a rate o f $1,000.00 per month. Defendant shall n o t incur new credit charges o r open new lines o f credit without permission from the United States Probation Office (USPO). Defendant shall provide the USPO with access t o all financial information needed t o monitor Restitution payments. The defendant shall voluntarily surrender to the U.S. Marshal for this district on January 25, 2005 b y 10:OO a.m., or at such other time and place as designated by the Bureau of Prisons. It is further ordered that the defendant shall notify the United States Attorney for this district within 30 days of any change of name, residence, or mailing address until all fines, restitution, costs and special assessments imposed by this judgment are fully paid. In addition to the special conditions of supervised release imposed above, it is hereby ordered that the conditions of supervised release set out on the reverse side are imposed. It is ordered that the defendant shall pay a Special Assessment of $100.00, for count 1 which shall be due immediately.

January 4,2005 Date of Imposition of Sentence

Ellen Bree Burns, United States District Judge Date: January 4,2005

CERTIFIED AS A TRUE COPY ON THIS DATE Kevin F, Row e, Clerk BY: Deputy Clerk

Case 3:00-cr-00203-EBB
Case 3:OO-cr-00203-EBB

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CONDITIONS OF SUPERVISED RELEASE
In addition to the Standard Conditions listed below, the following indicated (W) Mandatory Conditions a r e imposed: (1)
(2)

(3)

[7 (4)

(5) (6) (7) (8)

MANDATORY CONDITIONS The defendant shall not commit another federal, state or local offense; The defendant shall not unlawfully possess a controlled substance; The defendant who is convicted for a domestic violence crime as defined in 18 U.S.C. section 3561(b) for the first time shall attend a public, private, or private non-profit offender rehabilitation program that has been approved by the court, in consultation with a State Coalition Against Domestic Violence or other appropriate experts, if an approved program is available within a 50-mile radius of the legal residence of the defendant; The defcndant shall refrain from any unlawful use of a controlled substance and submit to one drug test within I 5 days of release on supervised release and at least two periodic drug tests thereafter for use of a controlled substance; If a fine is imposed and has not been paid upon release to supervised release, the defendant shall adhere to an installment schedule to pay that fine; The defendant shall,(A) make restitution in accordance with I 8 U.S.C. sections 2248,2259,2264,2327,3663,3663A, and 3664; and (B) pay the assessment lmposed In accordance wlth 18 U.S.C. sectlon 3013; A defendant convicted of a sexual offense as described in 18 U.S.C. sections 4042(c)(4) shall report the address where the defendant will reside and an subsequent change of residence to the probation officer responsible for supervision, and shall register as a sex offender in any State where tie person resides, IS employed, carries on a vocation or is a student. The defendant cooperate in the collection of a DNA sample from the defendant.

While on supervised release, the defendant shall also comply with all of the following Standard Conditions: STANDARD CONDITIONS (I) (2) The defendant shall not leave the judicial district or other specified geographic area without the permission of the court or probation officer; The defendant shall re ort to the probation officer as directed by the court or probation officer and shall submit a truthful and complete written report within tRe first five days of each month; The defendant shall answer truthfully all inquiries by the probation officer and follow the instructions of the probation officer; The defcndant shall support the defendant's dependents and meet other family responsibilities (including, but not limited to, complying with the terms of any court order or administrative process pursuant to the law of a state, the District of Columbia, or any other possession or territor of the United States requiring payments by the defendant for the support and maintenance of any child or of a child and the parent with wiom the child is living); The defendant shall work regularly at a lawful occupation unless excused by the probation officer for schooling, training, or other acceptable reasons; The defendant shall notify the probation officer at least ten days prior to any change of residence or employment; The defendant shall refraln from excessive use of alcohol and shall not purchase, possess, use, distribute, or administer any controlled substance, or an paraphernalia related to any controlled substance, except as rescribed by a hysician; The defendant sia11 not frequent places where controlled substances are illegaly sold, used, Jstributed, or administered, or other places specified by the court; The defendant shall not associate with any persons en aged in criminal activity, and shall not associate with any person convicted of a felony unless ranted permission to do so by the robation ohcer; The delendant shall permit a probation oflcer to visit the defendant at any time at home or elsewhere and shall permit confiscation of any contraband observed in plain view by the probation officer; The defcndant shall notify the probation officer within seventy-two hours of bein arrested or questioned by a law enforcement officer; The defendant shall not enter into any agreement to act as an Informer or a speciaf agent of a law enforcement agency without the permission of the court; The defendant shall pay the special assessment imposed or adhere to a court-ordered installment schedule for the payment of the special assessment; The defendant shall notify the probation officer of any material change in the defendant's economic circumstances that might affect the defendant's ability to pay any unpaid amount of restitution, fines, or special assessments.

(3) (4)

(5)

]
(8)
(9)

(10) ( I I) (12) (13) (14)

The defendant shall also report to the Probation Office in the district to which the defendant is released within 72 hours of release from the custody of the U.S. Bureau of Prisons. RETURN
I have executed this judgment as follows:

Defendant delivered on a t

to

,with a certified copy of this judgment.

John F. Bardelli United States Marshal

BY:Deputy Marshal

Case 3:00-cr-00203-EBB STATES DISTRICT 03/19/2007 UNITED Document 52-2 Filed COURT

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DISTRICT OF CONNECTICUT
UNITED STATES OF AMERICA
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CRIMINAL CASE

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JOHN H A C K N E Y 50 Jonquil D r i v e Guntersville, AL 35976 SSN:
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CASE NO. 3:00cr204(EBB)

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JOHN DURHAM , Assistant

U.S.Attorney

U. . -..CURTIS

BOWE

Defendant's Attorney

The defendant pled guilty to count 1of an Information. Accordingly, the defendant is adjudged guilty of count 1, which involves the following offense: Count: 1 Title & Section: 18:2 and 1956(a)(2)(A) Nature of Offense: Aiding and Abetting and Money Laundering Date Offense Concluded: 5/99 The sentence is imposed pursuant to the Sentencing Reform Act of 1984. The defendant is hereby committed to the custody of the United States Attorney General or his duly authorized representative to be imprisoned for a term of: 48 months t o run concurrent t o sentence imposed in case 3:00cr203(EBB). The Court departs downward based o n the government's motion. Upon release from custody, the defendant shall be on supervised release for a term of 2 years t o run concurrent to supervised release imposed in case 3:00cr203(EBB). Special Conditions of Supervised Release include: Defendant shall pay Restitution i n the amount of $204,164,215.79 jointly and severally with other defendants as outlined i n the Restitution Order. Defendant shall make payments at a rate of $1,000.00 per month. Defendant shall not incur new credit charges or open new lines of credit without permission from the United States Probation Office (USPO). Defendant shall provide the USPO with access t o all financial information needed to monitor Restitution payments. The defendant shall voluntarily surrender to the U.S. Marshal for this district on January 25, 2005 by 10:OO a.m., or at such other time and place as designated by the Bureau of Prisons. It is further ordered that the defendant shall notify the United States Attorney for this district within 30 days of any change of name, residence, or mailing address until all fines, restitution, costs and special assessments imposed by this judgment are fully paid. In addition to the special conditions of supervised release imposed above, it is hereby ordered that the conditions of supervised release set out on the reverse side are imposed.
It is ordered that the defendant shall pay a Special Assessment of $100.00, for count 1which shall be due immediately.

January 4,2005 Date of Imposition of Sentence

yen Bree Burns, ~ d t e ~flatesDistrict Judge d
d a t e : January 4,2005
CERTIFIED AS A TRUE COPY ON THIS DATE Kevin F. Rowe, Clerk B Y: Deputy Clerk

A.L

Case 3:00-cr-00203-EBB

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UNITED STATES DISTRICT COURT

FIQO.E6)

DISTRICT OF CONNECTICUT
UNITED STATES OF AMERICA CASE NO. 3:99CR235 EBB

v.
JOHN HACKNEY RESTITUTION ORDER

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It is the Judgment of this Court, that the defendant John Hackney shall make restitution to

the victims identified below in the mount of $204,164,215.79 which figure is calculated as rollows: The total losses sustained by the victim identified below is found to be $209,406,602.1 8. -Of this amount, $607,141.00 was recovered by the victim insurance companies identified below ("the victim insurance companies") through the seizure and sale of an asset purchased with stolen funds in Franklin, Tennessee; -Of this amount, $400,313.39 was recovered by the victim insurance companies through

n the seizure and sale of a asset purchased with stolen finds in Guntersville, Alabama;
- Of this amount, $355,858.46 in currency was recovered by the victim insurance

companies from Martin Frankel in Germany;
.-

Of this amount, $2,158,551 -17 was recovered by the victim insurance companies From

an account in Germany;
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Of this amount $546,567.07 was recovered by the victim insurance companies fiom an

account in Tennessee in the name of "Franklin American T u t " rs.
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Of this amount $1,173,955.30 was recovered by the victim insurance companies from

Marvin Thurston Little.

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Thus. the remainiug outstanding amount of loss suffered and not recovered is $204,164,215.79. The Court understands that a number of diamonds and some jewelry were also recovered
by the victim insurance con~panies some or all of the diamonds and jewelry were sold at and

auction on December 8 and 9,2004.Once the sale information and net amount of proceeds from the sale of the diamonds and jewelry are obtained by the government, the government is hereby

ORDERED to advise the Court of the sale and the net amount of the proceeds from the sale so
that the Restitution Order can be modified to reflect the recovery of these funds as well.
This Restitution obligation in the amount of $204,164,215.79 due and payable is

immediately and shall be joint and several to the restitution obligation of co-defendants in this case, to wit Gary Atnip, Sonia Howe, Mona Kim and John Jordan. It is joint and several to the restitution obligation of defendant Karen Timmins in Case No. 3:99CR291(EBB). It is joint and several to the restitution obligation of defendant M. Thurston Little in Case No. 3:04CR44(EBB).

It is joint and several to the restitution obligation of defendant David Rosse in Case No.
3:99CR299 (EBB). It is joint and several to any other defendants who m y in the future, be a
sentenced for conduct in connection with that which forms the basis for the Indictment in this
case.

Any monies paid in Restitution shall be apportioned among the victims identified below
as specified herein. Franklin Protective Life Insurance Company Family Guaranty Life Insurance Company First National Life Insurance Company Franklin American Life Insurance Coinpany
4.10%

6.99%
54.78% 8.00'70

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International Financial Services Life insurance Co. Farmers and Ranchers Life Insurance Company Old Southwest Life Insurance Company

22.08%
2.3% 1.75%

It is fiuther Ordered that the defendant shall, as a special condition of his Supervised Release make monthly payments to the victims identiiied in an amount not less than
$ /=oo

y, subject to modification by this Court should the defendant's financial condition . , d

change. Upon receipt of payments made hereunder of at least $500.00in the aggregate, (unless the obligation is paid in full), the Clerk's Office is directed to make payment consistent with the above apportionment at the following addresses: Franklin Protective Life Insurance Company Family Guaranty Life Insurance Company First National Life Insurance Company C/O Co~nrnissioner Insurance as Receiver of 1804 Walter Sillers Building (39201) Post Office Box 79 Jackson, Mississippi 39205 Farmers and Ranchers Life Insurance Company C/O Commissioner of Insurance as Receiver 3814 N. SantaFe Oklahoma City, Oklahoma 731 16 Franklin American Life Insurance Company d o Commissioner of Commerce and Insurance as Receiver 500 James Robertson Parkway Davy Crockett Tower, 5th Floor Nashville. TN 37243 International Financial Services Life.Insurance Company c/o Director of the DepaTtment of Insurance as Receiver Trumnn State Office Building, Suite 530 301 West High Street Jefferson City, Missouri 65101

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Old Southwest Life Insurance Company c/o Insurance Commissioner as Receiver 1200 W. Third Street, Room 340 Little Rock. Arkansas 72201-1904
No interest or penalties with respect to this obligation shall accrue insofar as the

Government has waived any such interest or penalties pursuant to Title 18 United States Code

SO ORDERED, this

t u l 2day ofs n 3665at New Haven. Connecticut A,

len Bree Bums ' United States District Judge