Leon Smith Indictment
Leon Smith Indictment
Leon Smith Indictment
LEON A. SMITH
* * * * *
THE UNITED STATES ATTORNEY CHARGES:
BACKGROUND
through various businesses he owned and operated, including Legacy Pro Management
Group, LLC; LSMG, LLC; and Legacy Athlete Management, LLC (hereinafter,
collectively, "Legacy"). Under the Legacy name, SMITH agreed to provide services to
assistance with relocation, real estate purchases or rentals, other major purchases, bill
payment, and referral to other professionals for legal needs and financial planning.
SMITH and each Legacy client agreed that SMITH would receive periodic
compensation for his services, which generally was a percentage of the Legacy client's
eammgs.
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conduct financial transactions on his or her behalf and therefore entrusted SMITH with
his or her financial account data, dates of birth, social security numbers, and other
personal and financial data. In each instance, the Legacy client gave SMITH this
federal income tax refund checks, and other payments be sent directly to SMITH. Each
of these Legacy clients entrusted SMITH with these payments to enable SMITH to
deposit them in the client's accounts and use the proceeds to conduct financial
COUNTSl-4
18 u.s.c. 1343
January 29, 2015, in Fayette County, in the Eastern District of Kentucky, and elsewhere,
LEON A. SMITH
devised and intended to devise a scheme to defraud and to obtain money and property
The manner and means used to accomplish the objectives of the scheme included,
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6. SMITH abused his access to Legacy clients' financial accounts to use the
including payroll checks and federal income tax refund checks, deposited those items into
accounts opened in the name of Legacy, and used the funds for unauthorized purposes.
8. SMITH used the personal and financial data of Legacy clients to open
unauthorized financial accounts in their names, including credit card accounts and lines
financial accounts belonging to Legacy clients, restricting access to the new passwords,
and fabricating expense reports that used fictitious expenses to explain low balances in
10. Over the course of this scheme, between a date in September 2011 and
11. On or about the dates listed below, in Fayette County, in the Eastern
LEON SMITH,
for the purpose of executing the scheme described above, and in order to effect the
COUNTSS-13
18 U.S.C. 1028A
13. On or about the dates listed below, in Fayette County, in the Eastern
LEON SMITH,
knowingly possessed and used, without lawful authority, means of identification of other
persons listed below, that is, names, forged signatures, and unique Internal Revenue
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Service ("IRS") check identification numbers, knowing that each such means of
identification belonged to another actual person, during and in relation to the commission
COUNT 14
18 u.s.c. 1957
16. On or about January 29, 2013, in Fayette County, in the Eastern District of
Kentucky,
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LEON A. SMITH
commerce, in criminally derived property of a value greater than $10,000, that is, the
withdrawal of $12,500 from Central Bank account ****6146 in the name ofLSMG,
LLC, to fund check number 1201 made payable to MCIC LLC. These funds are derived
from specified unlawful activity, that is the wire fraud scheme alleged in Counts 1
FORFEITURE ALLEGATIONS
18 U.S.C. 981(a)(l)(C)
18 U.S.C. 982(a)(l)
28 U.S.C. 2461(c)
17. The allegations contained in Paragraphs 1 through 11, Paragraph 15, and
Paragraph 16 of this Indictment are hereby realleged and incorporated by reference for
18. Upon conviction of the offenses in violation of 18 U.S.C. 1343 set forth
in Counts 1-4 of this Indictment, and upon conviction of the offense in violation of 18
U.S.C. 1957 set forth in Count 14 of this Indictment, LEON SMITH shall forfeit to the
any property, real or personal, which constitutes or is derived from proceeds traceable to
the offenses, and pursuant to 18 U.S.C. 982(a)(l), any property, real or personal,
involved in such offense, or any property traceable to such property including the
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following:
MONEY JUDGMENT:
$1,298,506.82, representing the approximate gross proceeds derived from the offenses.
19. If any of the property described above, as a result of any act or omission
of LEON SMITH:
a. cannot be located upon the exercise of due diligence;
without difficulty,
the United States of America shall be entitled to forfeiture of substitute property pursuant
Bil,J I
FOREPERSON
PENALTIES
COUNTS 1-4: Not more than 20 years imprisonment, $250,000 fine, or twice the
value of the monetary instruments or funds involved, and 3 years
supervised release.
Plus, not more than $250,000 fine and 1 year supervised release on
each count of conviction on Counts 5 through 13.
COUNT 14: Not more than 10 years imprisonment, $250,000 fine, or twice the
value of the monetary instruments or funds involved, and 3 years
supervised release.