Paul Roy Schmidt Sentenced In U.S. District Court

The United States Attorney's Office announced that during a federal court session in Helena, on December 28, 2012, before Senior U.S. District Judge Charles C. Lovell, PAUL ROY SCHMIDT, a 57-year-old resident of Helena, appeared for sentencing. SCHMIDT was sentenced to a term of:

• Prison: 12 months

• Special Assessment: $300

• Money Judgment: $750,000

• Supervised Release: 4 years

SCHMIDT was sentenced in connection with his guilty plea to manufacturing marijuana and money laundering.

In an Offer of Proof filed by Assistant U.S. Attorney Paulette L. Stewart, the government stated it would have proved at trial the following:

On May 20, 2011, a federal search warrant was executed. During the search law enforcement seized 289 marijuana plants, three gallon-size bags of marijuana, other marijuana ready for distribution, $913 taken from a cash register, assorted edibles - brownies, rice crispy treats, oatmeal bars, marijuana oils, lotions, soaps, creams; a ledger and a log book of items sold, and receipts for marijuana transactions.

During the investigation, law enforcement determined that SCHMIDT obtained money from the sale of marijuana. SCHMIDT had a bank account at Mountain West Bank. SCHMIDT knew the money was from the sale of marijuana. SCHMIDT deposited the money made from the sale of the marijuana into the bank account at Mountain West Bank. SCHMIDT then used the money he deposited from marijuana sales to promote the continuing marijuana grow and marijuana distribution center near Helena. SCHMIDT also wrote checks on this account for the purchase of marijuana.

The DEA laboratory tested some of the substances recovered from this investigation. The result of the testing confirmed that items seized from SCHMIDT on May 20, 2011, did contain marijuana.

Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that SCHMIDT will likely serve all of the time imposed by the court. In the federal system, SCHMIDT does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.

The investigation was conducted by the Drug Enforcement Administration.