Case 4:19-cr-40003-KES Document 189 Filed 09/10/19 Page 1 of 3 PageID #: 435

UNITED STATES DISTRICT COURT
DISTRICT OF SOUTH DAKOTA
SOUTHERN DIVISION

UNITED STATES OF AMERICA,
Plaintiff,

CR 19-40003-01
FACTUAL BASIS STATEMENT

vs.

JUSTIN ROBERT CHRISTENSEN,
Defendant.

The Defendant states that the following facts are true, and the parties
agree that they establish a factual basis for the offense to which the Defendant
is pleading guilty pursuant to Fed. R. Crim. P. ll(b)(3):
My name is Justin Robert Christensen.
Beginning on an unknown date and continuing until approximately
February 5, 2019, I, along with at least one other person, reached an agreement
or came to an understanding to distribute 500 grams or more of a mixture or
substance containing methamphetamine in the District of South Dakota.
I voluntarily and intentionally joined in the agreement or understanding
to distribute methamphetamine.
At the time I joined in the agreement or understanding to distribute
methamphetamine, I knew the purpose of the agreement or understanding.
While I was actively involved in furthering the purpose of the agreement
or understanding, I could foresee that the quantity of methamphetamine

 Case 4:19-cr-40003-KES Document 189 Filed 09/10/19 Page 2 of 3 PageID #: 436

involved

m

the

agreement

or

understanding

exceeded

500

grams

of

methamphetamine.
As part of my involvement in the conspiracy, I used the Dark Web to
purchase methamphetamine and had it mailed to me in South Dakota.

I

distributed the methamphetamine to co-conspirators, who then sold it to drug
customers in South Dakota and elsewhere. I knew that my co-conspirators were
redistributing the methamphetamine based on conversations we had.
From an unknown date and continuing until on or about November 7,
2018, I, along with at least one other person, reached an agreement or came to
an understanding to conduct financial transactions affecting interstate and
foreign commerce by depositing proceeds from the conspiracy to distribute 500
grams or more of a mixture or substance containing methamphetamine into my
bank accounts. I knew that these transactions were designed in whole and in
part to conceal and disguise the nature, location, source, ownership, and control
of the proceeds of the methamphetamine conspiracy, and that while conducting
these financial transactions, I knew that the cash involved in these transactions
were the proceeds from the methamphetamine conspiracy.
A

co-conspirator

and

I

deposited

the

cash

proceeds

from

the

methamphetamine sales into accounts in South Dakota banks and would then
purchase Bitcoin through a Coinbase account. This was done in whole or in part
to conceal or disguise the control of the proceeds, and so that I could use the
proceeds

to

purchase

additional

[2]

controlled

substances,

including

 Case 4:19-cr-40003-KES Document 189 Filed 09/10/19 Page 3 of 3 PageID #: 437

methamphetamine, through the Dark Web, all m violation of 18 U.S.C. §§
1956 (a)( 1 )(B)(i) and (h).
Additionally, on August 5, 2013, I was convicted of manufacturing a
controlled substance in the Second Judicial Circuit Court, Minnehaha County,
South Dakota.
The parties submit that the foregoing statement of facts is not intended to
be a complete description of the offense or the Defendant's involvement in
it. Instead, the statement is offered for the limited purpose of satisfying the
requirements of Fed. R. Crim. P. 11 (b)(3). The parties understand that additional
information relevant to sentencing, including additional drug quantities, may be
developed and attributed to the Defendant for sentencing purposes.
RONALD A. PARSONS, JR.
United States Attorney

~
Date

,o,ZJ>,er
Assistant United States Attorney
P.O. Box 2638
Sioux Falls, SD 57101-2638
Telephone: (605)357-2361
Facsimile: (605)330-4410
E-Mail: jennifer.mammenga@usdoj.gov

Date

Edward P. Angel ·
Attorney for Defendant
[3]

cf

 Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 1 of 11 PageID #: 424

UNITED STATES DISTRICT COURT
DISTRICT OF SOUTH DAKOTA
SOUTHERN DIVISION

UNITED STATES OF AMERICA,
Plaintiff,

CR 19-40003-01
PLEA AGREEMENT

vs.
JUSTIN ROBERT CHRISTENSEN,
Defendant.

The Defendant, the Defendant's attorney, and the United S tates Attorney
for the District of South Dakota hereby submit the following Plea Agreement to
the United States District Court, which Agreement was reached pursuant to
discu s s ions between the United States Attorney and the Defendant's attorney.
The Agreement is as follows:
A.

ACKNOWLEDGMENT AND WAIVER OF RIGHTS AND UNDER-

STANDING OF MAXIMUM PENALTIES: Th e Defendant agr ees t h at h e h as been
fully advised of his statutory and constitutional rights herein, and that he has
been informed of the charges and allegations against him a n d the penalty
therefor , and that he understan ds same. The Defendant further agrees that he
understands that by entering a plea of guilty as set forth hereafter, he will be
waiving certain statutory and constitutional rights to which he is otherwise
entitled.
B.

PLEA AGREEMENT PROCEDURE - NO RIGHT TO WITHDRAW

PLEA IF COURT REJECTS RECOMMENDATION: The United States and th e

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 2 of 11 PageID #: 425

Defendant agree that this Plea Agreement is presented to the Court pursuant to
Rule ll(c)(l)(B) of the Federal Rules of Criminal Procedure, which authorizes the
United States to agree that it will recommend, or agree not to oppose, the
Defendant's request that a

particular sentence or sentencing range

is

appropriate or that a particular provision of the Sentencing Guidelines, or policy
statement, or sentencing factor, does or does not apply. Such agreements and
recommendations are not binding on the Court, and the Defendant may not
withdraw his plea of guilty if the Court rejects them.

C.

PLEA OF GUILTY TO CHARGES AND DISMISSAL OF OTHER

CHARGE: The Defendant will plead guilty to Count 1 of the Second Superseding
Indictment filed in this case, which charges the violation of21 U.S.C. ?? 84l(a)(l)
and 846. The charge carries a mandatory minimum sentence of 15 years in
prison and a maximum sentence of life in prison, a $20 million fine, or both, and
a term of supervised release. The term of supervised release in this case is a
minimum of 10 years and a maximum of life. If the Defendant is found by a
preponderance of evidence to have violated a condition of supervised release , he
may be incarcerated for an additional term of up to 5 years on any such
revocation and placed on additional supervised release for any term up to life.
There is a $100 assessment to the victims' assistance fund.
The Defendant will also plead guilty to Count 3 of the Second Superseding
Indictment filed in this case, which charges the violation of 18 U .S.C.
?? 1956(a)(l)(B)(i) and (h). The charge carries a maximum sentence of 20 y ears

in prison, a $500,000 fine or twice the value of the property involved in the

[2]

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transaction, whichever is greater, or both imprisonment and a fine, and a period
of supervised release of up to 3 years.

If the Defendant is found by a

preponderance of evidence to have violated a condition of supervised release, he
may be incarcerated for an additional term of up to 2 years on any such
revocation. There is a $100 assessment to the victims' assistance fund.
A civil penalty may also be imposed of not more than the greater of the
value of the property, funds, or monetary instruments involved in the
transaction, or $10,000.
Upon acceptance of the plea by the Court and the imposition of sentence,
this section shall be treated as a motion to dismiss Count 2 of the Second
Superseding Indictment.

D.

VIOLATION OF TERMS AND CONDITIONS:

The Defendant

acknowledges and understands that if he violates the terms of this Plea
Agreement, engages in any further criminal activity, or fails to appear for
sentencing, this Plea Agreement shall become voidable at the discretion of the
United States and the Defendant will face the following consequences:
(1)

All testimony and other information the Defendant has provided at

any time to attorneys, employees, or law enforcement officers of the United
States, to the Court, or to the federal grand jury may and will be used against
him in any prosecution or proceeding.
(2)

The United States will be entitled to reinstate previously dismissed

charges and/ or pursue additional charges against the Defendant, and to use any

[3]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 4 of 11 PageID #: 427

information obtained directly or indirectly from him in those additional
prosecutions.
(3)

The United States will be released from any obligations, agreements,

or restrictions imposed upon it under this Plea Agreement.

E.

ACCEPTANCE OF RESPONSIBILITY:

The United States agrees

that based upon the information known to it at this time, the Defendant is
entitled to a two-level decrease in his offense level pursuant to U.S.S.G.
? 3El. l(a), provided no evidence is disclosed in the presentence report which

indicates the Defendant has not demonstrated a recognition and affirmative
acceptance of personal responsibility for his criminal conduct, and further
provided he:

(1) complies with the terms of this Plea Agreement; (2) testifies

truthfully during the change of plea hearing; (3) participates truthfully with the
Probation Office in the presentence investigation; (4) does not violate any
conditions of pretrial detention or release after he signs this agreement; and
(5) continues to exhibit conduct consistent with acceptance of responsibility.
Both the United States and the Defendant otherwise reserve the right to present
evidence and make argument regarding sentencing.

F.

TIMELY ACCEPTANCE OF RESPONSIBILITY: The United States

agrees that the Defendant has timely notified authorities of his intention to enter
a plea of guilty thereby permitting the United States and the Court to allocate
their resources efficiently. Therefore, if the offense level determined prior to the
operation ofU.S.S.G. ? 3El. l(a) is level 16 or greater and the Defendant qualifies
for a two-level decrease under U.S.S.G. ? 3El. l(a), this provision shall be treated

[4]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 5 of 11 PageID #: 428

at the sentencing hearing as a motion pursuant to U.S.S.G . ? 3El.l(b) to
decrease the offense level by one additional level.
G.

GOVERNMENT'S RECOMMENDATION REGARDING SENTENCE-

ANY SENTENCE WITHIN STATUTORY LIMITS:

At the sentencing hearing,

both the United States and the Defendant are free to recommend whatever
sentence each feels is appropriate, within statutory limits, present evidence, and
make arguments in support thereof.

The Defendant understands that any

recommendation made by him or t~e United States is not binding on the Court.
The Defendant further understands that he may not withdraw his plea of guilty
if the Court rejects any recommendation.
H.

SPECIAL ASSESSMENT: The Defendant agrees to remit to the U.S.

Clerk of Court, 400 S. Phillips Ave., Sioux Falls, SD 57104, no later than two
weeks prior to sentencing, a certified or cashier's check payable to the "U .S. Clerk
of Court" in the amount of $200, in full satisfaction of the statutory costs
pursuant to 18 U.S.C. ? 3013.
I.

MONETARY OBLIGATIONS - DEFENDANT'S ONGOING DUTY:

The Defendant agrees, if requested by the United States, to promptly return an
executed Authorization to Release Financial Records and Documents, an
executed Authorization to Release Tax Returns and Attachments, current
earnings statements, copies of his W-2s and an executed Financial Statement.
The Defendant understands that this is an ongoing duty which begins upon
execution of this plea agreement and continues until such time as payment of
any financial obligation is remitted in full.

[5]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 6 of 11 PageID #: 429

The Defendant agrees to assist the United States in identifying, locating,
returning, and transferring assets for use in payment of any financial obligations
imposed as part of the sentence in this case. The Defendant expressly authorizes
the United States Attorney's Office to obtain credit reports on him prior to
judgment.
The Defendant also agrees that if he is incarcerated, he will participate in
the Bureau of Prisons' Inmate Financial Responsibility Program during any
period of incarceration in order to pay any financial obligations ordered by the
Court.

The Defendant's agreement to participate in the Inmate Financial

Responsibility Program does not limit the United States' right to pursue
collection from other available sources.

If there is no period of incarceration

ordered, the Defendant agrees that payment of any financial obligations ordered
by the Court shall be a condition of probation.
J.

PRIOR CONVICTION FOR FELONY DRUG OFFENSE: The United

States will file an Information and Notice of Intent to Seek Increased Punishment
Based Upon Prior Conviction pursuant to 21 U.S.C. ? 851(a). Said Information
refers to a judgment filed in the Second Judicial Circuit Court, Minnehaha
County, South Dakota, on or about August 5, 2013, for manufacturing a
controlled substance.

The mandatory minimum and potential maximum

sentence as a result of this filing are set forth in Section C of this agreement.
The Defendant agrees that he was convicted of this offense and further agrees
not to challenge the enhanced penalty based on this prior conviction.

If the

Defendant executes this Plea Agreement, the United States agrees that it will not

[6]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 7 of 11 PageID #: 430

amend said Information or file a superseding Information to include any other
felony drug convictions.

K.

AGREEMENT TO FORFEIT PROPERTY: The Defendant agrees to

forfeit to the United States pursuant to 21 U.S.C. ? 853, any right, title, and
interest he may have in any property constituting, and derived from, any
proceeds obtained, directly or indirectly, as the result of such offense and any
property used, and intended to be used, in any manner or part, to commit, and
to facilitate the commission of, the offense, including, but not limited to, the
following:
(1)

Century Arms International, model RAS47, 7.62x39mm Russian
caliber, semi-automatic AKM pattern rifle, bearing serial number
RAS47082608;

(2)

Maadi Company, model RPM, 7.62x39mm Russian caliber, semiautomatic AKM pattern rifle, bearing serial number CT00988;

(3)

Remington Arms Company Incorporated, model 870 Express Super
Magnum, 12 gauge, pump-action shotgun, bearing serial number
D494784A;

(4)

Unknown manufacturer, unknown model, 12 gauge, double-barrel
shotgun, bearing possible serial number B9476;

(5)

Remington Arms Company Incorporated, model 870 Wingmaster, 12
gauge, pump-action shotgun, with an obliterated serial number; and

(6)

Beretta USA Corporation, model BU9 Nano, 9xl 9mm Luger caliber,
semi-automatic pistol, bearing serial number NU 1497 43

(hereinafter referred to as "the property").

The Defend ant agrees to hold the

United States, its agents, and employees harmless from any claims whatsoever
in connection with the seizure or forfeiture of the property.

[7]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 8 of 11 PageID #: 431

The Defend ant further agrees to waive all interest in the property in any
administrative or judicial forfeiture proceeding, whether criminal or civil, state
or federal. The Defendant agrees to consent to the entry of orders of forfeiture
for the property and waives the requirements of Federal Rules of Criminal
Procedure 32.2 and 43(a) regarding notice of the forfeiture in the charging
instrument, announcement of the forfeiture at sentencing, and incorporation of
the forfeiture in the judgment.

The Defendant acknowledges that he

understands that the forfeiture of the property is part of the sentence that may
be imposed in this case and waives any failure by the Court to advise him of this,
pursuant to Rule ll(b)(l)(J), at the time his guilty plea is accepted.
The Defendant further agrees to waive all constitutional and statutory
challenges in any manner (including direct appeal, habeas corpus, or any other
means) to any forfeiture carried out in accordance with this Plea Agreement on
any grounds, including that the forfeiture constitutes an excessive fine or
punishment. The Defendant agrees to take all steps necessary to pass clear title
to the property to the United States, including, but not limited to, surrender of
title, the signing of a consent decree, stipulating to facts regarding the transfer
and basis for the forfeiture, executing deed or title transfers, and signing any
other documents necessary to effectuate such transfers.
L.

BASIS FOR PLEA OF GUILTY:

The Defendant agrees that the

statement of facts, signed by the parties and incorporated herein by this
reference, provides the basis for his guilty plea in this case, and is a true and
accurate statement of his actions or omissions with regard to the charges to
[8]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 9 of 11 PageID #: 432

which he is entering a plea, and that the Court may rely thereon in determining
the basis for his plea of guilty as provided for in this Plea Agreement.

M.

WAIVER OF SPEEDY TRIAL: The Defendant agrees to waive any

rights to a speedy trial under either the United States constitution or the Speedy
Trial Act. This waiver is necessary so that the Court will have the benefit of all
relevant information at sentencing.

N.

PARTIES BOUND:

It is further understood and agreed that this

agreement is limited to the United States Attorney's Office for the District of
South Dakota, and that this agreement cannot and does not bind other federal,
state, or local prosecuting authorities.

0.

SCOPE OF AGREEMENT:

This agreement shall include any

attachments, exhibits or supplements. designated by the parties.

It is further

understood and agreed that no additional promises, agreements, or conditions
have been entered into other than those set forth in this agreement, and this
agreement supersedes any earlier or other understanding or agreement.

P.

WAIVER OF DEFENSES AND APPEAL RIGHTS:

The Defendant

here by waives all defenses and his right to appeal any non-jurisdictional issues.
The parties agree that excluded from this waiver is the Defendant's right to
appeal any decision by the Court to depart upward pursuant to the sentencing
guidelines as well as the length of his sentence for a determination of its
substantive reasonableness should the Court impose an upward departure or
an upward variance pursuant to 18 U.S.C. ? 3553(a).

l9)

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SUPPLEMENT T O PLEA AGREEMENT

The United States will file a Supplement to Plea Agreement which is
required to be filed in every case in compliance with the Court's Standing Order.

[10]

Case 4:19-cr-40003-KES Document 188 Filed 09/10/19 Page 11 of 11 PageID #: 434

RONALD A. PARSONS, JR.
United States Attorney

Assistant United States Attorney
P.O. Box 2638
Sioux Falls, SD 57101-2638
Telephone: (605)357-2361
Facsimile: (605)330-4410
E-Mail: jennifer.mammenga@usdoj.gov

APPROVED:
RONALD A. PARSONS, JR.
United States Attorney
By:

~~
DENNIS R. HOLMES
Chief, Criminal Division

Date

Date
Attorney for Defendant

[ 11]