Free Jury Trial - District Court of Colorado - Colorado

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IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLORADO Judge Robert E. Blackburn

May 29, 2007 Courtroom Deputy: Ginny Kramer Court Reporter: Suzanne Claar _____________________________________________________________________ Criminal Case No. 04-cr-00103-REB UNITED STATES OF AMERICA, v. 1. 2. 4. 6. NORMAN SCHMIDT, GEORGE ALAN WEED, CHARLES LEWIS, MICHAEL SMITH, Defendants. Thomas Hammond / Peter Bornstein Thomas Goodreid Ronald Gainor Richard Stuckey / Declan O' Donnell Matthew Kirsch Wyatt Angelo

COURTROOM MINUTES - JURY TRIAL - DAY THIRTY-THREE

8:40 a.m. 12:54 p.m. 1:32 p.m.

The jury resumes deliberations. The jury informs the Court that they have a verdict. Court in session.

Sue Heckman from probation is present. The jury is not present. Statements to counsel by the Court. 1:35 p.m. The jury is present.

The Court publishes the verdicts.
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VERDICT FORM ­ NORMAN SCHMIDT COUNT 1 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of conspiracy to commit an offense against the United States, as charged in Count 1 of the Indictment, the essential elements of which are set forth in Instruction No. 20: Answer: GUILTY

COUNT 2 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 2 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

COUNT 3 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 3 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

COUNT 4 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 4 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

COUNT 5
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We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 5 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

COUNT 6 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 6 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 7 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 7 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 8 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt as to the crime of mail fraud, as charged in Count 8 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 9 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of mail fraud, as charged in Count 9 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

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COUNT 10 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 10 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY

COUNT 12 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 12 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

COUNT 13 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 13 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

COUNT 14 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 14 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

COUNT 15 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 15 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

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COUNT 16 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 16 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

COUNT 17 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of wire fraud, as charged in Count 17 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY

COUNT 18 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 18 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 19 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 19 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 20 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 20 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

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COUNT 21 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 21 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 22 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 22 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 23 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 23 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 24 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 24 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 25 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 25 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY
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COUNT 26 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 26 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 27 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 27 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 28 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 28 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 29 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of securities fraud, as charged in Count 29 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

COUNT 30 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly concealing or disguising the nature, location, source, ownership, or control of proceeds of specified unlawful activity, as charged in Count 30 of the Indictment, the essential elements of which are set forth in Instruction No. 33:
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Answer: GUILTY

COUNT 31 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly concealing or disguising the nature, location, source, ownership, or control of proceeds of specified unlawful activity, as charged in Count 31 of the Indictment, the essential elements of which are set forth in Instruction No. 33: Answer: GUILTY

COUNT 33 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 33 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 35 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 35 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 36 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful
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activity, as charged in Count 36 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 37 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 37 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 38 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 38 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 39 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 39 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 40
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We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 40 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

COUNT 41 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 41 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY COUNT 42 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 42 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY COUNT 43 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 43 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

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COUNT 44 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 44 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY COUNT 46 We, the jury, on our oaths, unanimously find defendant, Norman Schmidt, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 46 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: NOT GUILTY

VERDICT FORM ­ GEORGE ALAN WEED COUNT 1 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of conspiracy to commit an offense against the United States, as charged in Count 1 of the Indictment, the essential elements of which are set forth in Instruction No. 20: Answer: NOT GUILTY

COUNT 2 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 2 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY
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COUNT 3 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 3 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 4 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 4 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 5 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 5 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY

COUNT 6 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 6 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY

COUNT 7 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 7 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY
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COUNT 8 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 8 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 9 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of mail fraud, as charged in Count 9 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 10 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 10 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 12 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 12 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 13 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 13 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 14 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 14 of the Indictment, the essential elements of which are set forth in Instruction No. 31:
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Answer: NOT GUILTY COUNT 15 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 15 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 16 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 16 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY COUNT 17 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of wire fraud, as charged in Count 17 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 18 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 18 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 19 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 19 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 20 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 20 of the Indictment, the
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essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 21 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 21 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 22 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 22 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 23 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 23 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 24 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 24 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 25 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 25 of the Indictment, the essential elements of which are set forth in Instruction No. 32_: Answer: NOT GUILTY COUNT 26 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed,
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as to the crime of securities fraud, as charged in Count 26 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 27 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 27 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 28 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 28 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 29 We, the jury, on our oaths, unanimously find the defendant, George Alan Weed, as to the crime of securities fraud, as charged in Count 29 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY

VERDICT FORM ­ CHARLES LEWIS COUNT 1 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of conspiracy to commit an offense against the United States, as charged in Count 1 of the Indictment, the essential elements of which are set forth in Instruction No. 20: Answer: GUILTY COUNT 3 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 3 of the Indictment, the essential elements of
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which are set forth in Instruction No. 30: Answer: GUILTY COUNT 4 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 4 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 5 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 5 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: GUILTY COUNT 6 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 6 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 7 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 7 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 8 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of mail fraud, as charged in Count 8 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 9 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the
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crime of mail fraud, as charged in Count 9 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 16 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of wire fraud, as charged in Count 16 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: GUILTY COUNT 17 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of wire fraud, as charged in Count 17 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 20 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 20 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 21 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 21 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 22 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 22 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 23
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We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 23 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 24 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 24 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 25 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 25 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 26 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 26 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 27 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 27 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 28 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 28 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY

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COUNT 29 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of securities fraud, as charged in Count 29 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 36 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 36 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: NOT GUILTY COUNT 40 We, the jury, on our oaths, unanimously find defendant, Charles Lewis, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 40 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: GUILTY

VERDICT FORM ­ MICHAEL SMITH COUNT 1 We, the jury, on our oaths, unanimously find defendant, Michael Smith, as to the crime of conspiracy to commit an offense against the United States, as charged in Count 1 of the Indictment, the essential elements of which are set forth in Instruction No. 20: Answer: NOT GUILTY COUNT 5
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We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of mail fraud, as charged in Count 5 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 6 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of mail fraud, as charged in Count 6 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 7 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of mail fraud, as charged in Count 7 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 8 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of mail fraud, as charged in Count 8 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 9 We, the jury, on our oaths, unanimously find the defendant, Michael Smith,as to the crime of mail fraud, as charged in Count 9 of the Indictment, the essential elements of which are set forth in Instruction No. 30: Answer: NOT GUILTY COUNT 16 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of wire fraud, as charged in Count 16 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY

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COUNT 17 We, the jury, on our oaths, unanimously find the defendant, Michael Smith,as to the crime of wire fraud, as charged in Count 17 of the Indictment, the essential elements of which are set forth in Instruction No. 31: Answer: NOT GUILTY COUNT 23 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 23 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 24 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 24 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 25 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 25 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 26 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 26 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: GUILTY COUNT 27 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 27 of the Indictment, the essential elements of which are set forth in Instruction No. 32:
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Answer: GUILTY COUNT 28 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 28 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 29 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of securities fraud, as charged in Count 29 of the Indictment, the essential elements of which are set forth in Instruction No. 32: Answer: NOT GUILTY COUNT 35 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 35 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: NOT GUILTY COUNT 39 We, the jury, on our oaths, unanimously find the defendant, Michael Smith, as to the crime of knowingly engaging in a monetary transaction in criminally derived property of a value greater than $10,000 and which is derived from specified unlawful activity, as charged in Count 39 of the Indictment, the essential elements of which are set forth in Instruction No. 34: Answer: NOT GUILTY

SPECIAL VERDICT FORM COUNT 1 ­ CONSPIRACY OVERT ACTS

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We, the jury, on our oaths, subject to the restraints and requirements of unanimity as described in Instruction No. 22, unanimously find by proof beyond a reasonable doubt that the following overt act or acts were committed by a conspirator in furtherance of the conspiracy charged in Count 1 of the Indictment (mark all that apply): ______ On or about September 10, 1999, George Alan Weed sent an application for a commercial crime policy to St. Paul Fire & Marine Insurance Company; X On or about February 14, 2000, Norman Schmidt executed a check in the amount of $50,000, payable to investor Orvalee Farris, on the closed account of the Reserve Foundation Trust at New Frontier Bank of Greeley, Colorado; X On or about April 1, 2000, Norman Schmidt and an unindicted coconspirator executed a contract in the name of the Reserve Foundation Trust to purchase America West Plastics and its associated real estate for $1,650,000; X On or about May 16, 2000, Norman Schmidt and an unindicted coconspirator purchased real estate in Pitkin County, Colorado, known as the Redstone Castle Properties in the names of Peaceful Options, LLC, Tranquil Options, LLC, and Serenity Options, LLC using $6,500,000 in funds obtained from investors in the fraudulent high-yield investment program; X On or about July 25, 2002, an unindicted co-conspirator executed a lease for office space in Denver, Colorado under the name North West Group, LLC, which was used for operating the fraudulent high-yield investment program; or X On or about February 5, 2003, Norman Schmidt transferred $2,500,000 from the Capital Holdings, LLC account at Wells Fargo Bank to the Monarch Capital Holdings, LLC account at Bank One controlled by him and George Beros.

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The Court polls the jury. The jury is excused and dismissed from jury duty with the thanks of the Court. 2:05 p.m. 2:25 p.m. Court in recess. Court in session.

It was ORDERED: 1. That sentencing for Defendant Norman Schmidt is scheduled for August 31, 2007, at 2:30 p.m. That sentencing for Defendant George Weed is scheduled for September 21, 2007, at 10:00 a.m. That sentencing for Defendant Charles Lewis is scheduled for September 7, 2007, at 1:30 p.m. That sentencing for Defendant Michael Smith is scheduled for September 7, 2007, at 2:30 p.m.

2.

3.

4.

The Government makes an oral motion that all defendants be remanded. No objection by Defendant Norman Schmidt. It was ORDERED: 1. That defendant, Mr. Norman Schmidt is REMANDED to the U.S. Marshal. Argument by Mr. Goodreid, for Defendant George Weed, as to the Government' Oral s Motion to Remand. Response by Mr. Angelo for the Government. Reply by Mr. Goodreid. Statements to the Court by Ms. Susan Heckman for the Probation Department. It was ORDERED: 1. That the Government' Oral Motion for Remand as to defendant Mr. s
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George Alan Weed, is DENIED. 2. That the defendant' bail and bond are continued subject to the addition s of the following special conditions. · that the defendant, Mr. George Alan Weed, shall report to the probation officer in charge of his supervision in Benton, Illinois, three (3) times per week, every Monday, by no later than 9:00 a.m., every Wednesday, by no later than 5:00 p.m., and every Friday between 4:00 p.m. - 5:00 p.m. either in person or by telephone; and

that the defendant, Mr. George Alan Weed, shall be subject to inhome detention secured by electronic monitoring, at his own expense, and shall comply with all the conditions necessary to implement and facilitate electronic monitoring. ` Argument by Mr. Gainor for Defendant Charles Lewis, as to the Government' Motion s to Remand. Response by Mr. Kirsch for the Government. Reply by Mr. Gainor. It was ORDERED: 1. That the oral motion to remand as to Defendant Charles Lewis is DENIED. That the bond and bail of the Defendant Charles Lewis shall continue subject to the following modifications. · that the defendant, Mr. Charles Lewis and/or Mr. Gainor shall surrender Mr. Lewis' passport to the Clerk of the United States s District Court as soon as practicable; that the defendant, Mr. Charles Lewis, shall reside in a halfway house that is a judicially approved community correctional facility subject to the restrictive conditions previously imposed by the court, provided furthermore, that given the defendant' physical s and medical condition, the defendant shall be afforded reasonable access to licensed healthcare providers, which may be necessary in his diagnosis, and/or treatment; and

·

2.

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·

that the defendant, Mr. Charles Lewis, shall comply with all rules, regulations policies, directives, orders or contractual provisions otherwise imposed on him in the halfway house or community correctional facility in which he a resident.

Argument by Mr. Stuckey, for Defendant Michael Smith, as to the Government' Oral s Motion to Remand. Response by Mr. Kirsch for the Government. Reply by Mr. Stuckey. It was ORDERED: 1. That the Government' Oral Motion to Remand, Defendant Michael Smith, s is DENIED. That defendant' bond and bail are continued subject to the following s special conditions. · that the defendant shall report in person or by telephone to the probation officer having his supervision in the State of Washington, three time a week, every Monday by 9:00 a.m., every Wednesday, by 5:00 p.m., and every Friday, between 4:00 p.m. and 5:00 p.m.; that as soon as practicable, but within seven (7) days of the defendant' return to Spokane, Washington, he shall dissolve any s business or commercial relationship with Mr. Jeffrey Mitchell and that he shall have no contact or communication, personal, commercial, or otherwise with Mr. Mitchell thereafter; that to the extent that the defendant, Mr. Michael Smith, has been permitted interstate travel, that is now revoked, annulled, and rescinded effective forthwith; and that the defendant, Mr. Michael Smith, shall be subject to in-home detention secured by electronic monitoring, at his expense, complying with all of the conditions necessary to implement and facilitate electronic monitoring.

2.

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3:20 p.m.

Court in recess.

Total time in court: 1 hour 28 minutes - Trial concluded

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