FOR IMMEDIATE RELEASE
Wednesday, May 28, 2008
TONY EUGENE BARNES PLEADS GUILTY IN U.S. FEDERAL COURT
Bill Mercer, United States Attorney for the District of Montana, announced today that during a federal court session in Missoula on May 21, 2008, before U.S. District Judge Donald W. Molloy, TONY EUGENE BARNES, a 30-year-old resident of California, pled guilty to conspiracy to commit fraud, bank fraud and aggravated identity theft. Sentencing is set for October 3, 2008. He is currently detained.
In an Offer of Proof filed by the United States, the government stated it would have proved at trial the following:
BARNES, Tamara Minor, and several other individuals were involved in a crime ring which included fraudulently obtaining the personal and identifying information from customers at large national banks and obtaining money based on identity theft throughout the United States. BARNES is individually responsible for unlawfully obtaining approximately $40,000 in bank funds by fraudulently assuming at least 13 different identities at various Wells Fargo branches. BARNES, Minor, and the other individuals also used false identities to obtain in-store credit at major retailers and purchased thousands of dollars in high-end goods under assumed names. All told, BARNES and the other individuals are responsible for hundreds of thousands in loss.
On January 9, 2008, BARNES, Minor and the other individuals traveled into Montana with numerous stolen identities in their possession. These included names and account numbers of Wells Fargo bank customers, along with counterfeit driver's licenses and credit cards in the customers' names. Many of these materials were recovered by law enforcement officers when the group was arrested, along with a substantial amount of cash.
Traveling north out of Idaho, BARNES, Minor and the other individuals first hit Dillon on January 9. While there, BARNES entered a Wells Fargo branch and withdrew $4,500 from D.B.'s account. The next day, BARNES used a California driver's license in the name of J.R. to attempt to withdraw $6,000 from J.R.'s account at a Wells Fargo in Helena. BARNES was unsuccessful, however, because the bank informed him that it did not have adequate funds to cover the transaction. BARNES has used J.R.'s name in other transactions outside Montana where he had successfully obtained funds from J.R.'s account. Also, on January 10, 2008, one of the individuals drove the group to Butte where BARNES once again used D.B.'s name at a Wells Fargo branch to withdraw $3,000, showing a credit card and California driver's license as identification.
Ultimately, Wells Fargo staff in Butte recognized BARNES from a recent Fraud Alert and notified authorities. All the individuals were apprehended near Dillon in a rented Jeep Cherokee. A search of the vehicle revealed numerous counterfeit driver's licenses, credit cards and social security cards.
Further investigation revealed that one of the individuals drove the vehicles and retained the false identification materials along with the names and account numbers of bank customers. When the group approached a bank he would distribute the identities and counterfeit materials and send a "walker," such as BARNES or Minor, into the bank. The "walker" then returned funds to the individual who would retain the funds and give the "walker" one-third of the proceeds. The individual would also keep a percentage for himself and wire the remainder to unknown co-conspirators out of state. BARNES admitted his involvement in this conspiracy to law enforcement officials.
Further evidence would have consisted of video and photographic surveillance of BARNES and the other individuals using false identification in Wells Fargo branches across the west, along with documentary evidence such as counterfeit checks, forged deposit slips and affidavits of forgery from the true account holders.
Minor pled guilty to federal charges and is awaiting sentencing.
BARNES faces possible penalties of 30 years in prison, a $1,000,000 fine and 5 years supervised release. In addition, BARNES faces an additional mandatory two year imprisonment, consecutive to any other sentence, for aggravated identity theft.
Assistant U.S. Attorney Ryan M. Archer prosecuted the case for the United States.
The investigation was conducted by the Federal Bureau of Investigation.
# # # #
A copy of the Offer of Proof can be obtained by contacting Sally Frank at (406) 247-4638.
