CEDAR RAPIDS, Iowa -- Agriprocessors Inc. (Agriprocessors), former Agriprocessors CEO Sholom Rubashkin, several Agriprocessors managers and a human resources employee have been charged with federal crimes, U.S. Attorney Matt M. Dummermuth announced today.  The charges are contained in a 12-count indictment filed yesterday and unsealed today in U.S. District Court in Cedar Rapids, Iowa. 

        The indictment charges Postville, Iowa, meatpacker Agriprocessors and Rubashkin, 49, of Postville, with conspiracy to harbor undocumented aliens for profit; harboring undocumented aliens for profit; conspiracy to commit document fraud; aiding and abetting document fraud; six counts of aiding and abetting aggravated identity theft; and two counts of bank fraud.

        Agriprocessors’ operations manager Brent Beebe, 51, of Postville, is charged with conspiracy to harbor undocumented aliens for profit; harboring undocumented aliens for profit; conspiracy to commit document fraud; aiding and abetting document fraud; and six counts of aiding and abetting aggravated identity theft.

        Agriprocessors’ poultry managers Hosam Amara, 44, and Zeev Levi, both of whom were last known to live in Postville, are charged with conspiracy to harbor undocumented aliens for profit; harboring undocumented aliens for profit; conspiracy to commit document fraud; and aiding and abetting document fraud.

        Agriprocessors’ human resources employee Karina Pilar Freund, 29, of Fayette, Iowa, is charged with conspiracy to harbor undocumented aliens for profit and harboring undocumented aliens for profit.  Freund’s harboring charge is restated from a prior indictment, and her conspiracy to harbor charge is new.

        The indictment alleges that, beginning in about late April 2008, Amara and Levi told a poultry supervisor that several employees were supposed to be terminated because they were working under bad documents.  Amara and Levi later allegedly identified six of those employees who would be allowed to keep their employment at Agriprocessors if they got new documents.  The poultry supervisor allegedly obtained new fake documents from the employees and gave them to Levi, but a problem was identified with the documents.  The employees were allegedly allowed to continue working under their old documents.

        The indictment also alleges that the week before a May 12, 2008, search at Agriprocessors in Postville, Rubashkin – then the CEO of Agriprocessors – loaned $4,500 in $100 bills to employees known to have bad identification documents.  Allegedly, Beebe gave the money to an Agriprocessors beef supervisor who later distributed money to undocumented alien employees to purchase new fake resident alien cards in different names.  The indictment alleges an Agriprocessors foreman arranged the purchase of the documents and Rubashkin allegedly asked human resource personnel to work on Sunday afternoon, May 11, 2008, to complete new application paperwork for several people.  Beebe was allegedly present that afternoon and assisted with the paperwork.  According to a previously filed complaint, approximately 96 fake resident alien cards and application paperwork were seized from the Agriprocessors human resources offices the following day.  The complaint alleges approximately 90 of the fake resident alien cards contained resident alien numbers that were assigned to other people.  Immigration agents arrested 389 undocumented alien workers on May 12, 2008, at Agriprocessors.

        Regarding bank fraud, the indictment alleges that on Feb. 29, 2008, Rubashkin, on behalf of Agriprocessors, made a false certification to a lending bank that Agriprocessors was in compliance with the law despite knowing that Agriprocessors was harboring hundreds of illegal workers.  The indictment also alleges that, in about September 2008, Rubashkin diverted customer payments that were part of the bank’s collateral for a $35,000,000 loan.  In order to conceal the diversion of funds, Rubashkin allegedly caused Agriprocessors’ books to inaccurately reflect that no such payments had been received. 

        Beebe was arrested without incident at about noon today at the Agriprocessors plant in Postville by U.S. Immigration and Customs Enforcement (ICE) agents and the U.S. Marshals Service (USMS).  He is scheduled to appear today in federal court in Cedar Rapids for an initial appearance and arraignment.

        Rubashkin and Freund previously appeared in federal court.  Freund was released on conditions including electronic monitoring.  Yesterday, U.S. Magistrate Judge Jon S. Scoles ordered Rubashkin detained without bail until trial.

        The public’s assistance is being sought in the apprehension of Amara and Levi.  Federal warrants have been issued for their arrests based on the charges in the indictment.  Anyone with information as to the men’s whereabouts should call ICE at (866) DHS-2-ICE (347-2423).  Photos of Amara and Levi are available at http://www.usdoj.gov/usao/ian/press/Nov_08/11_21_08_CVJ_photos.html.

        Arraignments for Agriprocessors, Rubashkin and Freund have been scheduled for Nov. 26, 2008, at 10:00 a.m.  Rubashkin’s and Freund’s trial had previously been set for Jan. 20, 2008, in U.S. District Court in Cedar Rapids.

        Agriprocessors faces a possible maximum penalty on the conspiracy to harbor charge of a fine of the greater of $500,000 or twice the pecuniary gain from the offense.  On the harboring charge, it faces a fine of the greater of $500,000 or twice the pecuniary gain from the offense.  On the conspiracy to commit document fraud charge, it faces a fine of the greater of $500,000 or twice the pecuniary gain from the offense.  On the aiding and abetting document fraud charge, it faces a fine of the greater of $500,000 or twice the pecuniary gain from the offense.  On each of the aiding and abetting aggravated identity theft charges, it faces a fine of the greater of $500,000 or twice the pecuniary gain from the offense.  On each of the bank fraud charges, it faces a fine of the greater of $1,000,000 or twice the loss caused.

        Rubashkin faces a possible maximum penalty on the conspiracy to harbor charge of 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the harboring charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the conspiracy to commit document fraud charge, he faces five years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the aiding and abetting document fraud charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On each of the aiding and abetting aggravated identity theft charges, he faces a mandatory consecutive two years’ imprisonment, a $250,000 fine, a $100 special assessment and one year of supervised release following any imprisonment.  On each of the bank fraud charges, he faces a possible maximum sentence of 30 years’ imprisonment, a fine of the greater of $1,000,000 or twice the loss caused, a $100 special assessment and five years of supervised release following any imprisonment.

        Beebe faces a possible maximum penalty on the conspiracy to harbor charge of 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the harboring charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the conspiracy to commit document fraud charge, he faces five years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the aiding and abetting document fraud charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On each of the aiding and abetting aggravated identity theft charges, he faces a mandatory consecutive two years’ imprisonment, a $250,000 fine, a $100 special assessment and one year of supervised release following any imprisonment.

        Amara faces a possible maximum penalty on the conspiracy to harbor charge of 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the harboring charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the conspiracy to commit document fraud charge, he faces five years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the aiding and abetting document fraud charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.

        Levi faces a possible maximum penalty on the conspiracy to harbor charge of 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the harboring charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the conspiracy to commit document fraud charge, he faces five years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the aiding and abetting document fraud charge, he faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.

        Freund faces a possible maximum penalty on the conspiracy to harbor charge of 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.  On the harboring charge, she faces 10 years’ imprisonment, a $250,000 fine, a $100 special assessment and three years of supervised release following any imprisonment.

        As with any criminal case, a charge is merely an accusation and a defendant is presumed innocent until and unless proven guilty.

        The investigation began in October 2007 and has continued since the execution of search warrants at Agriprocessors on May 12, 2008.  The investigation is ongoing.

        The case is being prosecuted by Assistant U.S. Attorneys Peter Deegan, C.J. Williams and Matthew Cole, and the investigation has been led by ICE with assistance from the FBI.  Prior assistance was provided by USMS; U.S. Postal Inspections Service; Iowa Department of Public Safety; Iowa Department of Transportation; Federal Protective Service; Internal Revenue Service – Criminal Investigations; U.S. Department of Labor; Public Health Service; U.S. Department of Agriculture; U.S. Environmental Protection Agency; Iowa Department of Natural Resources; Drug Enforcement Administration; Waterloo Police Department; and Postville Police Department.