Lake Geneva Resident Pleads Guilty to Manufacturing and Distributing Anabolic Steroids

Matthew D. Krueger, the United States Attorney for the Eastern District of Wisconsin, announced that on June 5, 2019, Russell Spalding of Lake Geneva, Wisconsin, pleaded guilty to three counts relating to manufacturing and distributing anabolic steroids. This includes one count of conspiracy to distribute anabolic steroids in violation of Title 21, United States Code, Section 846, one count of possession with intent to distribute anabolic steroids in violation of Title 21, United States Code, Section 841, and one count of maintaining a drug-involved premises, in violation of Title 21, United States Code, 856. Spalding’s wife, Kathryn Spalding, a codefendant in the case, pleaded guilty to the conspiracy to distribute anabolic steroids on February 14, 2019.

According to admissions made in connection with his plea, Spalding (39 years old) led an anabolic steroid manufacturing and distribution operation from approximately October 2014 through October 8, 2015. He called his business “Cerastes Pharmaceuticals.” He imported raw and processed anabolic steroids from the United Kingdom and China and sold the steroids to others around the United States through Facebook groups. He had several people help him import, process, sell, and ship the steroids. As part of the investigation, law enforcement agents executed a search warrant at an apartment in Lake Geneva, which served as Spalding’s steroid laboratory. There, the agents seized thousands of vials, beakers, liquid filling machines, measuring pumps, more than 12,000 capsules containing anabolic steroids, approximately 8,000 milliliters of liquid containing anabolic steroids, and several kilograms of raw steroid powder.  

Spalding faces a maximum term of up to 40 years in prison on all of the counts, and up to life on supervised release. His sentencing hearing is set for November 26, 2019 at 1:30 p.m.. before U.S. District Judge Pamela Pepper.

This case was investigated by the Drug Enforcement Administration and the Walworth County Sherriff’s Office. The case is being prosecuted by Assistant United States Attorney Benjamin Proctor.

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