Houston, Texas, man pleaded guilty today to conspiring to commit money
laundering, announced Principal Deputy Assistant Attorney General
Richard E. Zuckerman of the Justice Department’s Tax Division and U.S.
Attorney Ryan K. Patrick for the Southern District of Texas.
According to documents and information provided to the court, Marcus
T. Weathersby conspired with others to facilitate the fraudulent sale of
second-hand prescription medications to a Utah-based wholesale
distributor. This scheme involved purchasing bottles of prescription
medications from illegitimate sources and then selling the medications
to another wholesale distributor who then sold them to pharmacies as
new. Federal regulation requires wholesale distributors of prescription
medications to provide to a buyer a pedigree – a written statement
identifying each prior sale, purchase, or trade of the drugs being sold
that includes the business name and information of all parties to the
prior transactions, starting with the manufacturer.
As part of his plea, Weathersby admitted that in approximately
December 2010, he established, Acacia Pharma Distributors Inc. (Acacia),
a Mississippi corporation. Nearly eight months later, Weathersby
directed another individual to incorporate Four Corner Suppliers Inc.
(Four Corner) in Mississippi. Acacia and Four Corner purported to be
legitimate wholesale distributors of pharmaceuticals licensed and
operating in Mississippi, however, in reality Weathersby and others used
these corporations to facilitate the illegal sale of second-hand
Weathersby also opened and caused others to open bank accounts in the
names of Acacia and Four Corner. Between February 2011 and July 2012,
Weathersby withdrew and led others to withdraw over $2.9 million in cash
from these bank accounts and to structure these cash withdrawals in
amounts under $10,000 in order to prevent the banks from complying with
their legal obligation to prepare currency transaction reports for each
cash transaction over $10,000.
U.S. Magistrate Court Judge Nancy K. Johnson scheduled sentencing for
May 30. Weathersby faces a statutory maximum sentence of 20 years in
prison, as well as a period of supervised release and monetary
penalties. Weathersby further agreed to the imposition of a money
judgement against him in the amount of $2,991,867.76.
Principal Deputy Assistant Attorney General Zuckerman and U.S.
Attorney Patrick thanked agents of IRS Criminal Investigation, the
Federal Bureau of Investigation, and the Federal Department of
Agriculture, who conducted the investigation, and Trial Attorneys Sean
Beaty and Terri-Lei O’Malley of the Tax Division, who are prosecuting
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.