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UNITED STATES DISTRICT COURT

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SOUTHERN DISTRICT OF CJLIFORNIA
June 2017 Grand Jury

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Case No.

UNITED STATES OF AMERICA,

I N D I C T M E N T

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18 CR 3 65 5 JLS

v.

Title 18, U.S.C., Secs. 1349, 1346
and 1343 - Conspiracy To Commit
Honest Services Fraud; Title 18,
U.S.C., Sec. 981 (a) (1) (C), and
Title 28, U.S.C., Sec 2461(c) Criminal Forfeiture

RICARTE ICMAT DAVID,

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Defendant.

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17

The grand jury charges that, at all times relevant:

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1.

Defendant RICARTE ICMAT DAVID ("DAVID") was an enlisted sailor

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in the United States Navy, serving as a Master Chief Petty Officer from

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September 2003 to April 2012, when he retired from active duty.

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this period,

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U.S. Navy's Seventh Fleet,

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Center in Yokosuka, Japan from June 2001 to July 2004;

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from July 2004 to August 2007; on the USS Kitty Hawk from September 2007

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to August 2008; and on the USS George Washington from September 2008 to

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July 2010.

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verifying goods and services for the ships on which he served, including

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from contractors during port calls.

During

DAVID was assigned various logistics positions with the
including with the Fleet Industrial Supply
o~

the USS Essex,

In these positions, DAVID was responsible for ordering and

MWP:PAHO:nlv:San Diego:8/16/18

 As a senior enlisted sailor in the United States Navy, DAVID

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1

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was at all times a "public official" within the definition of Title 18,

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United States Code, Section 20l(a) (1).

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Navy,

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the American public.

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DAVID owed a

3.

As a member of the United States

fiduciary duty to both the United States Navy and

Leonard Glenn Francis,

("Francis") , charged elsewhere, was a

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citizen of

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Executive Officer and President of Glenn Defense Marine (Asia)

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a

Malaysia,

multi-national

residing

in Singapore.

Francis

corporation with headquarters
had

operating

Thailand,

Malaysia,

the

( "GDMA") ,
As

in Singapore.

2013,

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including

Japan,

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Australia,

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involved the "husbanding" of marine vessels, a service it had provided

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across

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contracts with the U.S.

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involves

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procurement of items and services required by ships and submarines when

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those vessels arrive at port.

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included,

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fees;

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and transfer of liquid waste

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others.

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4.

the

Seventh

the

Hong

and the United States.

Fleet's

area

Navy for

coordinating,

among others,

Korea,

in

of

September

Philippines,

locations

Chief

10

24

GDMA

was

Alex Wisidagama,

countries,

Kong,

Indonesia,

GDMA' s

responsibility

over 25 years.

scheduling,

and

fenders;

main business

under

various

"Ship husbanding"

direct

Examples of these

tugboats;

security; food; fuel;

of

many

and

indirect

items and services

port authority or customs

water; trash removal; collection, holding,
( "CHT") ;

and transportation,

among many

( "Wisidagama") , charged elsewhere, a citizen

of Singapore, was GDMA's Global Manager for Government Contracts.

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5.

Neil Peterson

("Peterson"),

charged elsewhere,

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Singapore, was GDMA's Vice President of Global Operations.

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II

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II
2

a citizen of

 .,

1
2

Count 1

3

Conspiracy To Commit Honest Services Fraud
(18

4

6

§§

1349,

1346 & 1343)

The allegations in Paragraphs 1 through 5 of this Indictment

6.

5

u.s.c.

are hereby re-alleged and incorporated herein.
From in or about February 2005 until at least September 2013,

7.

7

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on the high seas and out of the jurisdiction of any particular district,

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defendant

RICARTE

ICMAT

(charged

("DAVID"),

DAVID,

and

elsewhere),

Leonard

others

did

Glenn

Francis,

knowingly

and

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("Francis"),

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intentionally conspire and agree to devise a material scheme and artifice

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to defraud the citizens of the United States and the U.S. Navy of their

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rights

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actions,

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concealment of ~aterial information; and for the purpose of executing

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this scheme and artifice, defendants and their conspirators transmitted

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and caused to be transmitted writings,

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wire communication in interstate and foreign commerce.

to DAVID' s
and

honest,

performance,

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loyal,

and faithful,

through

bribery

services,

and

decisions,

kickbacks

and

the

signs, and signals by means of

OBJECT OF THE CONSPIRACY
It was the object of the conspiracy for DAVID to use his

8.

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position and influence in the U.S.

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GDMA' s

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providing Francis

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providing

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information; approving or causing the U.S. Navy to approve the payment

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of invoices that DAVID knew to contain fraudulent charges; and advocating

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for the U.S. Navy to procure items under its husbanding contracts from

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GDMA, and in return,

interests,

as

opportunities

Navy to advocate for and advance
arose,

by,

among

and others with classified U.S.

Francis

and

others

internal,

other

things,

Navy information;

proprietary

U.S.

Navy

Francis and other GDMA personnel would offer and
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 1

give things of value to or on behalf of DAVID,

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entertainment, hotel expenses, and the services of prostitutes, thereby

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depriving the U.S.

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DAVID's honest services.

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6

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8

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Navy and the American public

9.

In

furtherance

of

this

conspiracy,

a.

b.

c.

including cash,

expenses, and the services of prostitutes.
d.

including cash,

position and influence in the U.S.

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GDMA's interests, as opportunities arose.

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entertainment,

gifts,

entertainment, hotel

In return for these things of value, DAVID would use his

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e.

gifts,

Francis and others would offer and give things of value

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its

DAVID would demand, seek, receive, and accept things of

to or on behalf of DAVID,

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accomplish

to DAVID' s honest services.

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to

artifice to deprive the U.S. Navy and the American public of their rights

hotel expenses, and the services of prostitutes.

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and

DAVID, Francis, and others devised a material scheme and

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rights to

object, the following manners and means were used, among others:

value from Francis and others,

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of their

gifts,

MANNERS AND MEANS OF THE CONSPIRACY

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such as cash,

Navy to advocate for and advance

DAVID would approve or cause to be approved GDMA invoices

which DAVID knew contained fraudulent charges.
f.

DAVID would provide Francis,

Wisidagama,

Peterson,

and

Wisidagama,

Peterson,

and

others with classified U.S. Navy information.

g.

DAVID would provide Francis,

others with internal, proprietary U.S. Navy information.
h.

DAVID,

Francis,

Wisidagama,

Peterson,

and others would

use coded terminology, personal email accounts, and other means designed

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4

 1

to obscure the true nature of their corrupt relationship and to avoid

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detection by law enforcement.

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OVERT ACTS
10.

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5

In furtherance of the conspiracy and to effect its objects,

the following overt acts, among others, were committed:

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a.

On or about February 11, 2005, GDMA paid for an executive

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level room at the Singapore Marriot hotel for DAVID at a cost of over

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$150.00 per night during a port visit by the USS Essex.

b.

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On or about November 16, 2005, during a USS Essex port

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visit to Hong Kong,

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cash.

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fraudulently inflated invoices.

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Francis thanking him for the "wonderful Christmas present."

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China,

Francis gave DAVID approximately $15, 000

The cash was provided in exchange

c.

for DAVID approving GDMA' s

On November 16,

2005,

DAVID emailed

On or about March 17, 2006, DAVID emailed Francis again

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asking for cash,

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port visit:

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make some business again just like we did in Hong Kong [.]

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cash before I retire[.]"

d.

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referencing the USS Essex's November 2005 Hong Kong

"I have six more years left till I retire perhaps we can
[N] eed some

On or about May 7, 2006, DAVID emailed Francis requesting

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a hotel room at the Siam Bayshore during an upcoming USS Essex port

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visit to Laem Chabang, Thailand.

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employee booked a room for DAVID for May 24-28, 2006, at the requested

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hotel.

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Thai baht cancellation fee.

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At the direction of Wisidagama, a GDMA

DAVID, however, did not show up and GDMA was charged a 2,800

e.

On or about October 27,

2006,

a GDMA employee emailed

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DAVID informing him a harbor view room at the Grand Hyatt Hong Kong had

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been reserved for him at Francis' s direction:

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assist you with hotel booking in Hong Kong.
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"Leonard has told me to
I have a harbor view room

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booked at the Grand Hyatt from the 5th to the 8th of November 06.

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will email the hotel confirmation number as soon as I receive i.t."

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responded: "Good to hear from you appreciate your assistance."

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f.

On
him

or

about

to ·inflate

May

2,

2007,

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anticipated November

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understood that part of the excess in payments would fund the cash bribes

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paid to DAVID: "Boss, Just in case I'm not on the port visit you can go

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ahead do your thing[,] put some dollar on the CRT/Water/Trash or Force

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protection[.]

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on my savings if we can do that .

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email "V/r, Bad Boy."

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g.

visit

to

the

for

the

Francis

instructing

port

invoices

emailed

DAVID

5

2 007

GDMA's

DAVID

I

. more power."

2007,

Essex's

Philippines.

[Y]ou and me are the only one will know[,]

On or about May 9,

USS

It

was

just put them

DAVID signed this

DAVID emailed Francis

again

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rei terati.ng his instruction to inflate GDMA' s invoices in exchange for

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a cash bribe: "Just in case I'm not on that port visit you can go ahead

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do

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protection [.]

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put them on my savings if we can do that

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my retirement home in P.I.

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your

thing

h.

put

some

dollar

on

the

CRT/Water/Trash

or

[J] ust you and me are the only one will know [.]

Force
[J] ust

. just getting ready for

[M]ore power to you."

On or about July 11,

2007,

DAVID sent a

third email

21 · instructing Francis to inflate the invoices during the USS Essex port
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visit to the Philippines:

"Good day to you,

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heading to the mighty Kitty Shitty [USS Kitty Hawk] and the Essex will

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be there in Subic sometimes in November[.]

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in stock control dont have any clue so i'am giving you the permission

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to do whatever you want to do with the bills ... throw extra dollar on the

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CRT/Water etc ... [T]hey w[]ere all Automatic take ups which the ship don't

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just to let you know i'm

[T]he one who replace me here

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pay for it ... just don't forget me please[.]

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finish yet, ok?"
On

i.

3

or

about

May

8,

[M]y house in P.I.

2008,

GDMA

paid

is not

approximately

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84,637.00 HKD for hotel reservations at the Grand Hyatt Hong Kong for

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U.S. Navy personnel assigned to the USS Kitty Hawk including 10,396 HKD

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for DAVID'S four-night stay in a harbor view room.

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j.

On

or

about

July

13,

2009,

DAVID

emailed

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explicitly asking for cash:

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($cash) I really need some help to build my retirement home .

k.

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Francis

"if you can please help me out with some

On or about August

6,

2009,

"

DAVID sent Wisidagama an

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email thanking him for a four-night stay in a Pacific Club King room at

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the Pan Pacific Orchard hotel during a USS George Washington port visit

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to Singapore: "Who is the main man in Manila as far as Husbanding agent?

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also I need a phone number please. Thanks a millions for the room [.]

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[M]e and my GF enjoyed it."

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main man in the Philippines.

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1.

Wisidagama responded that Peterson was the

On or about August 6, 2009, DAVID sent Francis a follow-

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up email concerning his unfulfilled request for cash: "do you have the

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below

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"It will be delivered in MANILA."

[cash]

m.

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I

ask you [.]

Five days

[L] et me know please."

later,

on or about

Francis responded:

August

11

to 15,

2009,

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Francis caused approximately $15,000 cash to be delivered to DAVID while

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the USS George Washingtbn made a port visit to Manila.

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n.
a

On or about September 15,

GDMA employee directing that

hotel

Peterson sent an email

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to

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Renaissance Hotel in Hong Kong from October 29 to November 3, 2009 for

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DAVID, a "longtime supporter of GDMA."

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copied on this .email.

7

a

2009,

room be reserved at

the

Francis and Wisidagama were both

 p.

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On or about November 3, 2009, DAVID emailed a thank you

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email to the GDMA employee and Francis for "everything advance

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Merry Christmas and prosperous New [Y] ear to all."

[sic]

4 All in violation of Title 18, United States Code, Sections 1349, 1346
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and 1343.
FORFEITURE ALLEGATIONS

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7

11.

The allegations in Count 1 of this Indictment are incorporated

8 by reference for the purpose of alleging forfeiture pursuant to Title 18,
9 United States Code, Section 981 (a) (1) (C),
10

and Title 28, United States

Code, Section 246l(c).

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12.

Upon conviction of the offense set forth in Count 1 defendant

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RICARTE ICMAT DAVID shall forfeit to all property,

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which constitutes

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pursuant

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Title 28, United States Code, Section 2461(c), including but not limited

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to a money judgment in an amount not less than the proceeds of the

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offense set forth in Count 1.

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or is

to Title 18,

derived from proceeds

United States

Code,

traceable to Count

Section 981(a) (1) (C),

DATED: August 16, 2018.

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fQrePer
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L. BRAVERMAN
United States Attorney

ADAM

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By:
MARK W. PLETCHER
Assistant U.S. Attorney

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By:
PA ICKOVAKIMIAN
Assistant U.S. Attorney

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8

real and personal,

n

1

and