United States Attorney Stephanie A Finley announced that a former Shreveport chiropractor and his son plead guilty Tuesday to funneling money through an unlawful Bitcoin financial scheme.
According to the reports, the Lords had been using Bitcoin for several illegal things from 2013 to 2015.
Randall Bryan Lord, 58, and his son, Michael Aaron Lord, 29, both living in Shreveport LA, plead guilty to one count of conspiracy to operate and unlicensed money servicing business. In addition, Michael Lord plead guilty to one count of drug conspiracy for agreeing to distribute controlled dangerous substances to include alprazolam, a Schedule four controlled substance. According to the guilty plea, from at least 2013 to 2015, the defendants were accepting currency, money orders and money paks, and exchanging those funds for Bitcoin. Contrary to law, the Lords were not registered with FinCEN, or licensed to operate as a money service business with the State of Louisiana.
The Lords were not registered with FinCEN or licensed more than $10,000 in U.S. currency. Beginning in March 2015, Michael Lord was involved in a drug conspiracy to distribute alprazolam. The defendants face five years in prison for the conspiracy count, and Michael Lord faces five years in prison for the drug count. They both also face three years of supervised release and a $250,000 fine. A sentencing date of August 1,2016 was set.
The IRS, FBI, U.S. Department of Homeland Security-Homeland Security Investigations, and U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Cytheria D. Jernigan is prosecuting the case.