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TN THE DISTRICT COURT OF THE IINITED STATES

FOR THE DISTRICT OF SOUTH CAROLINA
COLUMBIA DIVISION

UNITED STATES OF AMEzuCA CrirninalNo: 3:24-2

PLEA AGREEMENT
KATHY DRAWDY STEWART

General Provisions

-Llday of .dG
This PLEA AGREEMENT is made this rJ t14.l 202l. between the

United States of America, as represented by United States ADAIR F. BOROUGHS,

Assistant United States Attorneys Elliott B. Daniels and Elle E. Klien; the Defendant, KATHY

DRAWDY STEWART, and Defendant's attomey, Jonathan S. Gasser, Esq.

IN CONSIDERATION of the mutual promises made herein, the parties agree as follows:

l. The Defendant agrees to waive Indictment and arraignment, and to plead guilty to Counts

3 and 4 of the lnformation now pending, which charge'oWire Fraud," a violation of l8

U.S.C. $ 1343. [n order to sustain its burden of proof, the Government is required to prove

the following:

Counts 3 and 4
(Wire Fraud)

A. First, that the defendant devised or intended to devise a scheme to defraud or for
obtaining money or property by means of false or fraudulent pretenses,
representations, or promises that were material; and

B. Second, that, for the purpose of executing the scheme, the defendant transmitted or
caused to be transmitted by means of wire, radio, or television communication in
interstate or foreign commerce any writings, signs, signals, picfures, or sounds.

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The max possible penalties for this offense are'.

Class C Felony l8 U.s.c. $ 3ss9(a)(3)

Imprisonment for not more than 20 years l8 u.s.c. $ 1343
Fine ofup to $250,000 l8 u.s.c. $ 3s7l(bx3)
Supervised Release of up to 3 years l8 u.s.c. $ 3s83(bx2)
Special Assessment of $ 100 l8 u.s.C. $ 3013(a)(2)(A)

2 The Defendant understands and agrees that monetary penalties (i.e., special assessments,

restitution, fines and other payments required under the sentence) imposed by the Court

are due and payable immediately and subject to enforcement by the United States as civil

judgments, pursuant to 18 U.S.C. $ 3613. In the event the Court imposes a schedule for

payment of restitution, the Defendant also understands that payments made in accordance

with installment schedules set by the Court are minimum payments only and do not

preclude the Govemment from seeking to enforce thejudgment against other assets ofthe

Defendant at any time, as provided in 18 U.S.C. $$ 3612, 3613, and 3664(m). The

Defendant further agrees to enter into the Bureau ofPrisons Inmate Financial Repayment

Program if sentenced to a term of incarceration with an unsatisfied monetary penalty. The

Defendant further understands that any monetary penalty imposed is not dischargeable in

bankruptcy.

A. Special Assessment: Pursuant to l8 U.S.C. $ 3013, the Defendant must pay

a specia[ assessment of $100.00 for each felony count for which he/she is
convicted. This special assessment must be paid at or before the time ofthe
guilty plea hearing or during participation in the Bureau ofPrisons Inmate
Financial Repayment Program if this plea results in incarceration.

B Restitution'. The Defendant agrees to make full restitution under l8 U.S.C.

$ 3556 in an amount to be determined by the Court at the time ofsentencing,
which amount is not limited to the count(s) to which the Defendant pled
guitty, but will include restitution to each and every identifiable victim who
may have been harmed by his scheme or pattern of criminal activity,
pursuant to l8 U.S.C. $ 3663. The Defendant agrees to cooperate fully with
the Covemment in identifoing all victims. Upon demand, the Defendant
shall submit a personal financial stalement under oath and submit to
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interviews by the govemment and the U.S. Probation Office regarding the
Defendant's capacity to satisfy any fines or restitution. The Defendant
expressly authorizes the U.S. Attorney's Office to immediately obtain a
credit report on the Defendant in order to evaluate the Defendant's ability to
satisry any financial obligation imposed by the Court. The Defendant
understands that the Defendant has a continuing obligation to pay in full as
soon as possible any t'inancial obligation imposed by the Court.

C Fines: T"be Defendant understands that the Court may impose a frne
pursuant to 18 U.S.C. $$ 3571 and 3572.

3. Provided the Defendant complies with all the terms of this Agreement, the United States

agrees to move to dismiss the remaining counts ofthe Information (and any other charging

documents under this number) at sentencing. The Defendant understands that the Court

may consider these dismissed counts as relevant conduct pursuant to $ 1B1.3 ofthe United

States Sentencing Commission Guidelines.

4. The Defendant understands that the obligations of the Govemment within the Plea

Agreement are expressly contingent upon the Defendant's abiding by federal and state laws

and complying with any bond executed in this case. In the event that the Defendant fails

to comply with any of the provisions of this Agreement, either express or implied, the

Govemment will have the right, at its sole election, to void all of its obligations under this

Agreement and the Defendant will not have any right to withdraw his/her plea of guilty to

the offense(s) enumerated herein.

Cooneration nd Forfeiture

5 The Defendant agrees to be fully truthful and forthright with federal, state and local law

enforcement agencies by providing full, complete and tn:thful information about all
criminal activities about which he/she has knowledge. The Defendant must provide full,

complete and tnrthfirl debriefings about these unlawful activities and must fully disctose

and provide truthful information to the Govemment including any books, papers, or

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documents or any other items of evidentiary value to the investigation. The Defendant

must also testifo fully and truthfully before any grand juries and at any trials or other

proceedings ifcalled upon to do so by the Government, subject to prosecution for perjury

for not testifiing truthfully. The lailure of the Defendant to be fully truthful and forthright

at any stage will, at the sole election of the Govemment, cause the obligations of the

Govemment within this Agreement to become null and void. Further, it is expressly agreed

that if the obligations of the Government within this Agreement become null and void due

to the lack of truthfulness on the part of the Defendant, the Defendant understands that:

A. the Defendant will not be permitted to withdraw his/her plea of guilty to the
offenses described above;

B. all additional charges known to the Govemment may be filed in the

appropriate district;

C. the Govemment will argue for a maximum sentence for the offense to which
the Defendant has pleaded guilty; and

D. the Govemment will use any and all information and testimony provided by
the Defendant pursuant to this Agreement, or any prior proffer agreements,
in the prosecution ofthe Defendant ofall charges.

6. The Defendant agrees to submit to such polygraph examinations as may be requested by

the Govemment and agrees that any such examinations shall be performed by a polygraph

examiner selected by the Govemment. Defendant further agrees that his/her refusal to take

or hiVher failure to pass any such polygraph examination to the Govemment's satisfaction

will result, at the Govemment's sole discretion, in the obligations of the Government within

the Agreement becoming null and void.

7 The Govemment agrees that any self-incriminating information provided by the Defendant

as a result of the cooperation required by the terms of this Agreement, although available

to the Court, will not be used against the Defendant in determining the Defendant's

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applicable guideline range for sentencing prusrxxit to the United States Sentencing

Commission Guidelines. The provisions of this paragraph shall not be applied to restrict

any such information:

A. known to the Govemment prior to the date of this Agreement;

B. conceming the existence ofprior convictions and sentences;

C. in a prosecution for perjury or giving a false statement;

D. in the event the Defendant breaches any of the terms ofthe Plea Agreement;
or

E. used to rebut any evidence or arguments offered by or on behalf of the

Defendant (including arguments made or issues raised sua sponte by the
Distdct Court) at any stage ofthe criminal prosecution (including bail, trial,
and sentencing).

8. Provided the Defendant cooperates pursuant to the provisions of this Plea Agreement, and

that cooperation is deemed by the Government as providing substantial assistance in the

investigation or prosecution of another person, the Govemment agrees to move the Court

for a downward departure or reduction of sentence pursu:xlt to United States Sentencing

Commission Guidelines $5K1.1, 18 U.S.C. $ 3553(e) or Federal Rule of Criminal

Procedure 35(b). Any such motion by the Government is not binding upon the Court, and

should the Court deny the motion, the Defendant will have no right to withdraw his/her

plea.

9 The Defendant agrees to voluntarily sunender to, and not to contest the forfeiture ofany

and all assets and property, or portions rhereof, which are subject to forfeiture pursuant to

any provision of law, including but not limited to, property in the possession or control of
the Defendant or Defendant's nominees. Specifically, the Defendant agrees to voluntarily

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srnrender, and not contest the forfeiture of property identified in the Information, and any

forfeiture Bill of Particulars, including:

Proceeds / Forfeiture Judgment:

A sum ofmoney equal to all proceeds the Defendant obtained, directly or indirectly,
from the offenses charged in the Information, that is, a minimum of $280,000 in U.S.
currency, and all interest and proceeds traceable thereto, and/or such sum that equals
all property derived from or traceable to her violations of l8 U.S.C. $ 1343.

With regard to each and every asset listed in the Information or seized in a related

investigation or administrative, state, or local action, the Defendant stipulates and agrees:

The Defendant agrees and consents to the forfeiture of these assets pursuant to any
federal criminal, civit judicial or administrative forfeiture action. The Defendant also
hereby agrees to waive all constitutional, statutory and procedural 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 described herein constitutes an excessive fine, was not properly noticed in
the charging instrument, addressed by the Court at the time of the guilty plea,
announced at sentencing, or incorporated into thejudgment.

To its forfeiture herein, ifnecessary as substitute property under

2l U.S.C. $ 853(p), as
made applicable by l8 U.S.C. $ 982(bxl) or any other statute, or in a separate
administrative or civil judicial proceeding.

That the Defendant has or had a possessory interest or other legal interest in each item
or property.

To assist the United States in the recovery ofall assets by (i) taking whatever steps are
necessary or requested by the United States to pass clear title to the United States; (ii)
preventing the disbursement ofany moneys and sale ofany property or assets; (iii) not
encumbering or transferring any real estate after the Defendant,s signing of this plea
Agreement; and (iv) directing all financial institutions to tum over and surrender to the
united states all funds and records regarding accounts listed in any document signed
by the Defendant pursuant to this plea agreement, as criminal proceeds or subst]tute
property.

The Defbndant waives all rights to notice offorfeiture under Rule 32.2 and ofany other
action or proceeding regarding such assets. The Defendant consents and waives all
rights to compliance by the united states with any applicable deadlines under lg
U:S.C. $ 983(a). Any related administrative claim filed by the Defendant is hereby
withdrawn.

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Pursuant to Rule 32.2(b)(4), the Defendant agrees that the preliminary order of
forfeiture will satisfu the notice requirement and will be final as to the Defendant at the
time it is entered. In the event the forfeiture is omifted from the judgment, the
Defendant agrees that the tbrl'eiture order may be incorporated into the wdtten
judgment at any time pursuant to Rule 36.

Ifthe United States discovers that the Defendant has not fully disclosed all assets, the
United States may seek forfeiture of any subsequently-discovered assets, and the
Defendant agrees to the immediate forleiture ofany such assets.

The Defendant further agrees to make a full and complete disclosure ofall assets over
which Defendant exercises control and those which are held or controlled by nominees.
The Defendant agrees that Federal Rule of Criminal Procedure I I and $ 181.8 ofthe
United States Sentencing Commission Guidelines will not protoct from forfeiture,
assets disclosed by the Defendant as part of his/her cooperation. The Defendant further
agrees to submit to a polygraph examination on the issue of assets if it is deemed
necessary by the United States.

The Defendant agrees to waive any doublejeopardy claims the Defendant may have as
a result ofa forfeiture proceeding against any ofthese properties as provided for by this
Plea Agreement and agrees to waive any claims that the forleiture described herein
constitutes an excessive fine.

Forfeiture of the Defendant's assets shall not be treated as satisfaction of any fine,
restitution, cost of imprisonment, or any other penalty the Court may impose upon the
Defendant in addition to forfeiture. The United States may use the value of forfeited
property for restitution, but is not required to do so.

10. The Defendant also agrees to voluntarily transfer all right, title, interest and claim in the

above-described property and/or assets to the United States of America. Furthermore, the

Defendant attests, under penalty of perjury, that the Defendant owns the above-described

property and/or assets free of any liens and encumbrances, and that no other person or

entity has a claim to the above-described property and./or assets.

Merser and O ther Provisions

I l. The Aftorneys for the Government agree to recommend that the Defendant not be

prosecuted for any similar or related state crimes, stemming from the conduct from in or

around 2016 through in or around 2023, so long as the Defendant complies with the terms

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of this Plea Agreement. The Defendant understands that this is only a recommendation

and is not binding upon the Richland County Solicitor's Office. Furthermore, the

Defendant fully understands that he/she has no right to withdraw hiVher guilty plea should

such recommendation not be followed by the Richland County Solicitor's Office.

t2. The Defendant represents to the court that he/she has met with his/her attomey on a

sufficient number ofoccasions and for a sufficient period of time to discuss the Defendant's

case and receive advice; that the Defendant has been truthful with his/her attomey and

related all information of which the Defendant is aware pertaining to the case; that the

Defendant and his/her attomey have discussed possible defenses, ifany, to the charges in

the Information including the existence of any exculpatory or favorable evidence or

witnesses, discussed the Defendant's right to a public trial byjury or by the Court, the right

to the assistance of counsel throughout the proceedings, the right to call witnesses in the

Defendant's behalfand compel their attendance at trial by subpoena, the right to confront

and cross-examine the Govemment's witnesses, the Defendant's right to testifu in his/her

own behalf, or to remain silent and have no adverse inferences drawn from his/her silence;

and that the Defendant, with the advice ofcounsel, has weighed the relative benefits ofa

trial by jury or by the Court versus a plea of guilty pursuant to this Agreement, and has

entered this Agreement as a matter of the Defendant's free and voluntary choice, and not

as a result ofpressure or intimidation by any person.

13. The Defendant is aware that l8 U.S.C. g 3742 and 28 U.S.C. g 2255 afford every defendant

certain rights to contest a conviction and/or sentence. Acknowledging those rights, the

Defendant, in exchange for the concessions made by the Govemment in this plea

Agreement, waives the right to contest either the conviction or the sentence in any direct

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appeal or other post-conviction action, including any proceedings under 28 U.S.C. $ 2255.

This waiver does not apply to claims of ineffective assistance of counsel, prosecutorial

misconduct, or future changes in the law that affect the Defendant's sentence. This

agreement does not affect the rights or obligations of the Govemment as set forth in 18

U.S.C. $ 3742(b). Nor does it limit the Govemment in its comments in or responses to any

post-sentencing matters.

14. The Defendant waives all rights, whether asserted directly or by a representative, to request

or receive from any department or agency of the United States any records pertaining to

the investigation or prosecution of this case, including without timitation any records that

may be sought under the Freedom of lnformation Act, 5 U.S.C. $ 552, or the Privacy Act

of 1974,5 U.S.C. $ 552a.

15. The parties hereby agree that this Plea Agreement contains the entire agreement of the

parties; that this Agreement supersedes all prior promises, representations and statements

of the parties; that this Agreement shall not be binding on any party until the Defendant

tenders a plea ofguilty to the court having jurisdiction over this matter; that this Agreement

may be modified only in writing signed by all pa(ies; and that any and all other promises,

representations and statements, whether made prior to, contemporaneous with or after this

Agreement, are null and void.

< signature block to follow >

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g,
I , Date ho>L+ WDY S

t -3- ).5)\
Date J S. Gasser,
Attomev

ADAIR F. BOROUGHS

Date
3 7o 1 Iil ott B. (Fed. ID
Elle E. Klein (Fed. ID No. 12941)
Assistant United States Attorney

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U.S. DEPARTMENT OF JUSTICE

Statement of Special Assessmcnt Amount

This statement reflects your special assessment only. There may be other penalties imposed
at sentcncing.
Dlea agreement.

ACCOUNT INFORMATION

CRIM. ACTION NO.:

DEFENDANT'S NAME: KATHY DRAWDY STEWART
PAYTHIS AMOUNT: $ 100.00 per count

PAYMENT DUE ON OR BEFORE: Date of Sentencing

MAKE CHECK OR MONEY ORDER PAYABLE TO:

CLERI{, U.S. DISTRICT COURT

PAYMENT SHOULD BE SENT TO:

Clerk, U.S. District Court
Matthew J. Perry, Jr. Courthouse
901 Richland Street
Columbia, SC 29201

OR HAND DELIVERED TO:

Clerk's Office
Matthew J. Perry, Jr, Courthouse
901 Richland Street
Columbia, SC 29201 (Mon. - Fri. 8:30 a.m.- 4:30 p.m.)

INCLUDE DEFENDANT'S NAME ON CHECK OR MONEY ORDER (Do Not send casl)

ENCLOSE THIS COUPON TO ENSURE PROPER and PROMPT APPLICATION OF PAYMENT

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