USDOJ Press Release: Former Okaloosa County Sheriff and Director of Administration Indicted on Federal Conspiracy, Theft, and Money Laundering Charges

Department of Justice Press Release
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For Immediate Release
April 23, 2009 United States Attorney's Office
Northern District of Florida
Contact: (850) 942-8430

Former Okaloosa County Sheriff and Director of Administration Indicted on Federal Conspiracy, Theft, and Money Laundering Charges

PENSACOLA, FL—Thomas F. Kirwin, United States Attorney for the Northern District
of Florida, announced today the return of a federal indictment charging former Okaloosa County Sheriff Charles “Charlie” W. Morris, 59, of Shalimar, Florida, and former Okaloosa County Sheriff’s Office Director of Administration Teresa Adams, 50, of Niceville, Florida, with federal crimes. The indictment alleges conspiracy to commit theft of programs receiving Federal funds, by converting to their own use and the use of others property and funds of Okaloosa County and of the Sheriff’s Department (Title 18, United States Code, Section 371 - Count One); stealing, fraudulently obtaining, converting to the use of others, and misapplying over $5,000 of those funds (Title 18, United States Code, Sections 666, - Counts Two, Three); conspiracy to commit money laundering (Title 18, United States Code, Sections 1956(a)(1)(i), (B)(i), and (B)(ii) - Count Four); engaging in monetary transactions and property derived from specified unlawful activity (money laundering) (Title 18, United States Code, Sections 1957, 2 - Count Five); and conspiracy to commit theft of honest services by means of wire fraud (Title 18, United States Code, Section 1349 - Count Six). The indictment also contains a declaration of the United States’s intent to forfeit property of the defendants.

The indictment alleges that while Sheriff, Morris, with the assistance of his Director of Administration and Finance, Adams, created fictitious bonuses to sheriff’s department employees. The indictment alleges that Sheriff’s Office employees were directed to return all or a portion of the bonuses in the form of cash and cashier’s checks under the pretense that these returned funds were to be used for charitable purposes.

The conspiracy to commit program fraud theft (Count One) is punishable by up to 5 years imprisonment, a $250,000 fine or both, 3 years of supervised release, and court-ordered restitution. The theft from programs receiving federal funds (Counts Two and Three) is punishable by up to 10 years imprisonment, a $250,000 fine, 3 years of supervised release, and court-ordered restitution. The conspiracy to commit money laundering (Count Four) is punishable by up to 20 years imprisonment, a fine of $500, 000 or twice the value of the involved property (whichever is greater), 5 years of supervised release, and court-ordered restitution. The money laundering is punishable by up to 20 years imprisonment, a fine of $250, 000 or twice the value of the criminally derived property (whichever is greater), 5 years of supervised release, and court-ordered restitution. The wire fraud conspiracy (Count Six) is punishable by up to 20 years imprisonment, a fine of $250, 000, 5 years of supervised release, and court-ordered restitution.

Mr. Morris and Ms. Adams will appear before United States Magistrate Judge Elizabeth M. Timothy to be arraigned on the charges Monday, April 27, 2009 at 11:00 a.m.
The indictment is the result of an investigation by agents of the Federal Bureau of Investigation and Internal Revenue Service. The case is being prosecuted by Assistant United States Attorney Randall J. (Randy) Hensel. An indictment is merely a formal charge by the grand jury. Each defendant is presumed innocent unless and until proven guilty in United States District Court.