The United States Attorney's Office
Northern District of Iowa

Press Releases

CENTRAL CITY MAN PLEADS GUILTY TO FEDERAL BOOKMAKING AND MONEY LAUNDERING CHARGES

Ninth Person Convicted in Federal Investigation
March 14, 2007

Contact: Sean Berry

United States Attorney Matt M. Dummermuth announced today that a man who owned an illegal sports gambling and parlay card bookmaking business pled guilty today in federal court in Cedar Rapids.

JAMES SANTEE, 59, from Central City, was convicted of one count of conducting an illegal gambling business and one count of money laundering.

At the plea hearing, SANTEE admitted that, during 2001 and 2002, he conducted an illegal gambling business involving sports betting and parlay card bookmaking. SANTEE was involved in the operation of the “wire room” where bets were taken over the telephone, and in the distribution and collection of parlay cards and bets. SANTEE also pled guilty to money laundering in connection with financial transactions conducted to further the illegal gambling business.

Eight other individuals have previously pled guilty to charges arising from the same illegal gambling operation.

SANTEE’S sentencing before United States District Court Chief Judge Linda R. Reade will be set after a presentence report is prepared. SANTEE remains free on bond previously set pending sentencing. SANTEE faces a possible maximum sentence on the illegal gambling charge of 5 years’ imprisonment, a $250,000 fine, a $100 special assessment, and a term of supervised release of 2 to 3 years following any imprisonment. SANTEE faces a possible maximum sentence on the money laundering charge of 20 years’ imprisonment, a $500,000 fine, a $100 special assessment, and a term of supervised release of 2 to 3 years following any imprisonment.

SANTEE also faces forfeiture of all property used in furtherance of and all proceeds obtained as a result of his involvement in the illegal gambling business.

The case is being prosecuted by Assistant United States Attorney Sean R. Berry and was investigated by the Federal Bureau of Investigation and the Cedar Rapids Police Department.

United States Attorney
Northern District of Iowa

Hach Building,
Suite 400,
401 1st Street, S.E.
Cedar Rapids, Iowa 52401-1825

Phone: 319-363-0091
Fax: 319-363-1990