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August 20, 2012

Department of Justice

United States Attorney William C. Killian Eastern District of Tennessee


Williah H. Mcmahan, Jr. Sentenced To Eighteen Years In Prison For Conspiracy To Distribute Drugs And Money Laundering

GREENEVILLE, Tenn. - William H. McMahan, Jr., 41, of Newport, Tenn., was sentenced on August 20, 2012, in U.S. District Court at Greeneville, to serve 18 years in federal prison for conspiring to distribute and possessing with the intent to distribute 1,713 kilograms of marijuana, 14 kilograms of cocaine, and 2,705 (30 milligram) oxycodone pills, as well as laundering money.

In addition to the prison sentence, the Honorable J. Ronnie Greer, U.S. District Judge, entered a monetary judgment against McMahan in the amount of $1,000,000.00. McMahan also agreed to forfeit three parcels of real property in Newport and Sevierville, Tenn.

“The elimination of this criminal enterprise in Cocke County is notice to those who would distribute drugs in the Eastern District of Tennessee that we continue to work with federal, state and local law enforcement to impose the most severe sentences in these cases. Not only are the violators facing long prison sentences, but their drug proceeds, houses, cars and other assets will be forfeited,” said U.S. Attorney William C. Killian.

McMahan pleaded guilty on March 26, 2012, to a federal indictment charging him with conspiracy to distribute and to possess with the intent to distribute 1,000 kilograms or more of marijuana; conspiracy to distribute and to possess with the intent to distribute five kilograms or more of cocaine; conspiracy to distribute and to possess with the intent to distribute a quantity of oxycodone; conspiracy to launder money; possession with the intent to distribute marijuana, cocaine, and oxycodone; possession of firearms in furtherance of drug trafficking offenses; possession of firearms by a drug user; and money laundering.

The indictment and subsequent guilty plea by McMahan were the results of a three year investigation conducted by the Tennessee Bureau of Investigation and Federal Bureau of investigation. The Tennessee Fourth Judicial Drug Task Force, Hamblen County Sheriff’s Office, Tennessee Fifth Judicial Drug Task Force, Blount County Sheriff’s Office, Tennessee Highway Patrol, Morristown High Intensity Drug Trafficking Area office, and Bureau of Alcohol, Tobacco, Firearms, and Explosives, also provided valuable assistance during the course of the investigation.

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