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Members of the Paskenta Tribe of Nomlaki Indians during a ribbon cutting ceremony for a community center in December. | Tepa Companies Facebook

U.S. attorney on recent prosecution: 'The defendants lived a lavish lifestyle at the expense of the Paskenta Tribe of Nomlaki Indians'

Three previous leaders of the Paskenta Tribe of Nomlaki Indians received prison sentences for their roles in stealing from the tribe, along with offenses of tax fraud and tax evasion, U.S. Attorney Phillip A. Talbert said.

According to a news release, John A. Crosby, 56, will serve four years and nine months and was given a $10,000 fine. Ines S. Crosby, 76, was also given a sentence of four years and nine months, and Leslie A. Lohse, 67, was given three years and five months. 

John and Ines Crosby will learn the amount of restitution that they will have to pay during a hearing that is slated for April 19, according to the release.

“The defendants lived a lavish lifestyle at the expense of the Paskenta Tribe of Nomlaki Indians and were undeterred by the damage their conduct would bring to the Tribe, whose members trusted them with most of their crucial operational positions,” Talbert said. “The defendants’ criminal conduct occurred on a regular basis over a period of many years. Today’s sentences should send a strong message to other would-be criminals of the consequences for serious white-collar crime.”

Court documents showed that three defendants stole millions of dollars from the tribe from January 2009 through May 2014 by utilizing their standing on the Tribal Counsel. They bought homes, had swimming pools and decks built at their homes, went on luxury vacations (including trips to Africa, South America and Hawaii) via private and chartered jet travel, attended costly entertainment shows, and paid for family expenses and bought rare metals with the money they misappropriated.

“The emotional and financial damage these defendants have caused to the Tribe cannot be undone. Not only did the defendants steal millions of dollars to line their pockets and failed to report their ill-gotten gains, but their actions also eroded Tribe members’ faith in their government, causing fear and distrust,” said IRS-Criminal Investigation Special Agent in Charge Mark H. Pearson.

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