Sharon Man and Rhode Island Man Convicted of Drug Conspiracy

BOSTON, MA—A Sharon man and a Woonsocket, Rhode Island, man were convicted today in federal court of conspiring to distribute and possess with intent to distribute over 400 kilograms and 700 kilograms, respectively, of marijuana.

Acting United States Attorney Michael K. Loucks; Steven W. Derr, Special Agent in Charge of the Drug Enforcement Administration - New England Field Division; Warren T. Bamford, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division; Glenn N. Anderson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Boston Field Division; Susan Dukes, Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Division; and Police Commissioner Edward Davis of the Boston Police Department, announced today that JEREMY KATZ, age 30 years, of 82 Morse Street, Sharon, Massachusetts, and LAM HONG CHAU, age 29 years, of 57 Sycamore Street, Woonsocket, Rhode Island, pleaded guilty before U.S. District Judge William G. Young to conspiracy to distribute and possess with intent to distribute marijuana.

At the plea hearing, the prosecutor told the Court that, had the case proceeded to trial, the Government’s evidence would have proven that KATZ and CHAU were part of a hub-and-spokes conspiracy to distribute marijuana, which was operating in Massachusetts and elsewhere from 2001 until February 2007. At the hearing, KATZ admitted responsibility for between 400 and 700 kilograms of marijuana and CHAU admitted responsibility for between 700 and 1,000 kilograms of marijuana.

Judge Young scheduled sentencing for December 16, 2009. KATZ and CHAU each face a mandatory term of five years and up to 40 years of imprisonment, to be followed by a mandatory four years of supervised release, and up to a $2,000,000 fine.

The case was jointly investigated by the Drug Enforcement Administration, Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, Internal Revenue Service Criminal Investigation, and the Special Investigations Unit of the Boston Police Department. The prosecution also relied on evidence obtained through an investigation by the Massachusetts Attorney General's Office and Massachusetts State Police. The case is being prosecuted by Assistant U.S. Attorneys Richard L. Hoffman of the Drug Task Force Unit and Timothy E. Moran of the Organized Crime Strike Force Unit.