FORMER STATE SENATOR DERRICK SHEPHERD SENTENCED TO 37 MONTHS IN PRISON FOR ROLE IN MONEY LAUNDERING CONSPIRACY
DERRICK D.T. SHEPHERD, age 40, Marrero, Louisiana was sentenced today in federal court by U. S. District Judge Carl J. Barbier, Jr., to thirty-seven (37) months imprisonment, announced U.S. Attorney Jim Letten. In addition, Judge Barbier ordered SHEPHERD to pay a $45,000 fine and be placed on three (3) years of supervised release following the term of imprisonment, during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of his supervised release.
In addition, Judge Barbier ordered that the defendant undergo substance abuse treatment and mental health counseling while in prison.
According to court documents, SHEPHERD pled guilty to one count of conspiracy to commit money laundering in October 2008. GWENDOLYN JOSEPH MOYO, a co-defendant, was convicted at trial and sentenced to twenty (20) years imprisonment. Another co-defendant, JAMES ZOUCHA, pled guilty to conspiracy to commit mail fraud and wire fraud and was sentenced to three (3) years probation.
On November 17, 2006, MOYO, AA Communications, CMAG, and ZOUCHA, and certain of their officers and employees were ordered by the 19th Judicial District Court, Parish of East Baton Rouge, State of Louisiana, to cease and desist from engaging in the business of insurance. After MOYO and AA Communications were ordered to cease and desist from engaging in the business of insurance and their bank accounts had been seized by state regulators, DERRICK D.T. SHEPHERD, an attorney and former Louisiana State Senator, was employed by MOYO to launder construction bond premiums for MOYO and AA Communications. In so doing, SHEPHERD promoted and facilitated MOYO’s and AA Communications’ unlawful activity.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service/Criminal Investigations Division with the assistance of the Louisiana Department of Insurance, and prosecuted by Assistant United States Attorneys Michael W. Magner, Gregory Kennedy and Daniel Friel.
If you believe you have been a victim of fraud from a person or an organization soliciting relief funds on behalf of storm victims or have knowledge of waste, abuse, or allegations of mismanagement involving disaster relief operations, contact the National Center for Disaster Fraud toll free at: (866) 720-5721. You can also fax information to: (225) 334-4707 or e-mail it to: email@example.com