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Case Number: 2:20-cr-00114-DCLC-CRW
Judge: Clifton L Corker
Court: United States District Court for the Eastern District of Tennessee (Greene county)
Plaintiff's Attorney: United States District Attorney’s Office
Description: Greeneville, Tennessee criminal defense lawyer represented defendant charged with wire fraud, aggravated identity theft, money laundering, and making a false tax return.
Tammy Lynn Hawk, 47, of Bristol, was charged with one count each of wire fraud, aggravated identity theft, money laundering, and making a false tax return. Hawk was sentenced to 10 years in prison, followed by three years’ supervised release. Hawk will be required to make restitution of $658,838 to her unpaid victims and $71,062 in unpaid taxes to the United States.
Hawk was a well-established real estate agent in the Bristol, Tennessee area. Despite the success she enjoyed as a realtor, she ultimately used her knowledge, skills, and clientele to devise and operate a Ponzi-type scheme. Under her scheme, she would notify victim clients of large profits to be made with quick-flip properties, take cash from the victims, and ultimately repay earlier victims with funds she swindled from newer victims. Hawk defrauded at least 24 victims and, by the time her scheme was discovered, 12 victims remained unpaid and had lost over $500,000.
Hawk took extensive steps to hide and conceal her scheme as well, including false statements, sham real estate contracts, the use of electronic signing services, and forgery. Hawk also failed to disclose any of these matters in connection with a filed bankruptcy case. In addition to repaying earlier victims with funds she swindled, Hawk used proceeds from her offenses to fund her own lifestyle.
“Tammy Hawk’s fraudulent scheme not only betrayed her clients’ trust, but also caused them devasting financial harm,” said Acting United States Attorney Francis M. Hamilton III. “The Court’s sentence demonstrates that there will be serious consequences to criminals who perpetrate this brand of Ponzi scheme. This office values the collaboration among the numerous law enforcement agencies that supported this prosecution.”
“The Secret Service is proud to partner with the Bristol Police Department. The overwhelming success of this investigation is a testament to our belief that building strong, trusted partnerships across the law enforcement community is a proven model for success,” said Resident Agent in Charge Jason Brown, Secret Service - Knoxville Resident Office. “The Secret Service is committed to combatting financial crime, especially in cases where fraudsters take advantage of the trust and confidence of American citizens. The Secret Service, along with our local and federal partners, remain committed to aggressively protecting the nation from criminal opportunists who choose to exploit the American public.”
“This corruption ploy -- which destroyed the lives of many hard-working individuals -- ended today. This plea is the result of collaboration between the Sullivan County District Attorney’s Office and the U.S. Attorney’s Office,” said Second Judicial District Attorney Barry P. Staubus.
“The joint collaboration between these law enforcement agencies in a complex case such as this, is what ensures accountability is brought to Tammy Hawk for victimizing those who trusted her,” said Bristol Police Chief Blaine Wade.
The sentence was announced by Acting United States Attorney for the Eastern District of Tennessee Francis M. Hamilton III.
The criminal indictment was the result of an investigation by the Bristol Police Department, the Second District Attorney General’s Office for Sullivan County, the United States Secret Service, and IRS Criminal Investigations. The federal investigation was co-led by United States Secret Service Senior Special Agent Thomas Whitehead and IRS CI Special Agents Nicholas Worsham and Michael Whitesell.
Assistant U.S. Attorneys Mac Heavener and Todd Martin represented the United States.
18:1343.F - FRAUD BY WIRE, RADIO, OR TELEVISION
18:1028A.F - FRAUD WITH IDENTIFICATION DOCUMENTS
18:1956-4601.F - MONEY LAUNDERING - BANK FRAUD
26:7206A.F - FRAUD AND FALSE STATEMENTS
Outcome: Defendant was sentenced to 96 months imprisonment, 3 years supervised release, $100 S/A, 658,838.00 restitution.