United States Attorney Jim Letten

Eastern District of Louisiana

FOR IMMEDIATE RELEASE                                     CONTACT: KATHY ENGLISH   

FRIDAY, OCTOBER 10, 2008                                          PHONE: (504) 680-3068          

WWW.USDOJ.GOV/USAO/LAE                                 FAX: (504) 589-4978

STATE SENATOR PLEADS GUILTY IN FEDERAL COURT

NEW ORLEANS, LOUISIANA - DERRICK D. T. SHEPHERD, age 39, of Marrero, Louisiana, pled guilty today before U. S. District Judge Carl Barbier on one count of conspiracy to commit money laundering (Count 25), announced U. S. Attorney Jim Letten. 

According to the factual basis, the defendant admitted that he laundered illegal proceeds for co-defendant Gwendolyn Moyo, who received premiums for bogus construction bonds and turned over those premiums to SHEPHERD. SHEPHERD then deposited the premiums into his law firm bank accounts. SHEPHERD then remitted a portion of the money back to Moyo and to other criminal associates of Moyo, while keeping a portion of the premiums himself.  SHEPHERD also admitted that he created false bills and time records to disguise his actual role in the laundering scheme. Moyo is scheduled to go to trial on Tuesday, October 14, 2008 and is presumed innocent unless and until proven guilty beyond a reasonable doubt. 

SHEPHERD faces a maximum statutory penalty of twenty (20) years imprisonment, a fine of $250,000, a three (3) year period of supervised release, and a mandatory special assessment of one hundred dollars. He can also be ordered to pay restitution to any victims in this matter.

This case was investigated by Special Agents of the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigative Division.  This case was prosecuted by Assistant United States Attorneys Michael W. Magner, Gregory N. Kennedy, Daniel Friel.