Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that Kasey Jo Martinez, 32, resident of Anchorage, Alaska, was sentenced yesterday by U.S. District Judge Sharon L. Gleason to 40 months in prison, to be followed by a three-year term of supervised release, for money laundering.
According to court documents and arguments made during the sentencing hearing, starting in the summer of 2014, law enforcement began investigating several individuals implicated in the distribution of methamphetamine and heroin throughout Southcentral Alaska. As part of that investigation, law enforcement conducted surveillance at Fashion Nails, a nail salon owned by co-defendant Toa Danh “Tony" Ly. Proceeds from the sale of methamphetamine and heroin were generally deposited into Wells Fargo bank accounts controlled by Ly. These deposits were made by Martinez and others. These deposits were frequently made at Wells Fargo branches in Alaska, and Ly often withdrew the money at branches in the Seattle, Washington area.
On Jan. 14, 2015, searches were done at seven locations connected to Ly’s drug distribution conspiracy. Stopped in a Wells Fargo parking lot was co-conspirator Pao Lee; Martinez was in the vehicle with him. In her possession was $2,000 in drug proceeds that she was planning on depositing into Ly’s bank account.
A review of financial records for one of Ly’s Wells Fargo accounts showed three additional deposits of drug proceeds by Martinez between Dec. 12, 2014, and Jan. 10, 2015, totaling $19,500. In total, Martinez laundered or attempted to launder at least $21,500 in drug proceeds.
Including Martinez, at least seven other individuals have been implicated in this conspiracy. In total, those individuals have deposited more than $350,000 in suspected drug proceeds into accounts controlled by Ly.
Judge Gleason based her sentence in numerous factors, including the nature and circumstances of the defendant’s conduct and the defendant’s history and characteristics. Judge Gleason noted that while Martinez did not personally distribute drugs as part of the conspiracy, her role as a money launderer facilitated the distribution of methamphetamine and heroin in and around Anchorage. “It is hard to separate one from another," said Judge Gleason. According to Judge Gleason, the defendant’s participation in the conspiracy impacted “mothers, daughters, fathers, and sons in the community" struggling with the issues brought about by illegal drugs.
Other defendants indicted as part of this investigation include:
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Toa Danh “Tony" Ly pleaded guilty to conspiracy to distribute controlled substances and money laundering conspiracy.Judgment and sentencing is set for Dec. 2, 2016.
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Pao Lee pleaded guilty to conspiracy to distribute controlled substances and distribution of controlled substances.Judgment and sentencing is set for Sept. 21, 2016.
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Renee Marie Davis pleaded guilty to conspiracy to distribute controlled substances.On Jan. 19, 2016, the court sentenced her to 72 months in prison.
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Robert Lee Rast pleaded guilty to conspiracy to distribute controlled substances. Judgment and sentencing is set for Nov. 1, 2016.
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Adam Michael Cornelison pleaded guilty to use of a firearm in furtherance of a drug trafficking offense.On Feb. 9, 2016, the court sentenced him to 60 months in prison.
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Murville Lavelle Lampkin and Tracey Elizabeth Trujillo are set for trial starting Oct. 18, 2016.
This case was investigated and prosecuted by the FBI Safe Streets Task Force, and Assistant U.S. Attorney Kyle Reardon.
Source: U.S. Department of Justice, Office of the United States Attorneys
