Man Pleads Guilty to Money Laundering
Las Vegas, Nev. - A man who purchased a Las Vegas residence with monies he earned unlawfully from a prostitution business, pleaded guilty yesterday before U.S. District Judge Kent J. Dawson to one count of money laundering, a felony, announced Daniel G. Bogden, United States Attorney for the District of Nevada, and Erick Martinez, Special Agent in Charge of IRS Criminal Investigation in Nevada.
According to the court records, on August 30, 2001, PAUL RANSOM, aka Baby Grand, entered into a lease purchase for the residence at 2100 Palm Canyon Court in Las Vegas with monies he obtained from transporting a minor female to Las Vegas for prostitution, knowing that the transaction was designed to conceal and disguise the nature and source of the proceeds. The court records also indicate that RANSOM has not filed an income tax return for tax years 1997 through 2002, and has not disclosed a legitimate source of income for that time period. He is facing up to 20 years in prison and a $500,000 fine.
The court records indicate that in July 2002, RANSOM, who at the time was approximately 53 years old, met a 16-year-old female minor in Portland, Oregon. RANSOM rented a motel room for her, and the following day took her to an apartment where he used a personal computer to create a false birth certificate for her in the name of Posche Marcot. The minor subsequently used the birth certificate and other paperwork to obtain an Oregon driver's license. Approximately two weeks, later, she began working as a prostitute for RANSOM in Portland and other places. In August 2002, she flew with RANSOM from Portland to Las Vegas, Nevada. She worked as a prostitute for RANSOM, and stayed at his house at 2100 Palm Canyon Court until her arrest on prostitution charges in Las Vegas on September 12, 2002. She turned over all of the funds she earned as a prostitute to RANSOM.
A federal criminal complaint and arrest warrant were issued for RANSOM on December 31, 2003. He was arrested on December 31, 2003, in New Jersey, and indicted by the Federal Grand Jury in Las Vegas on January 14, 2004.
RANSOM is scheduled to be sentenced on March 11, 2005, at 9:00 a.m. by Judge Dawson. He has been in custody since his arrest in 2003.
The case is being investigated by Special Agents from IRS Criminal Investigation and Detectives with the Las Vegas Metropolitan Police Department Vice Unit and Portland Police Bureau. It is being prosecuted by Assistant U.S. Attorney Nancy J. Koppe.