Multi-State Diamond Ring Cracked

Five Defendants Charged by Federal Indictment with Conspiracy and Interstate Transportation of Stolen Property

PORTLAND, OR—Michael Young, 39, of Davenport, FL, and Ernest Remor, 36 of Spring Hill, FL, appeared today before U.S. Magistrate Janice M. Stewart on a federal indictment charging one count of conspiracy to commit the crime of interstate transportation of stolen property and three counts of interstate transportation of stolen property. Both defendants were detained in federal custody as a flight risk and a danger to the community pending a trial date of September 27, 2011. Three other defendants, Trey Adams, 27, of Charlotte, NC; Victor Lupis, 25, of Monroe, NC; and Jack Cannon, 25, of Madison, GA, were also charged in the indictment and will appear at a later date.

The indictment alleges the conspiracy included an elaborate plan to steal diamonds from various jewelry stores across the United States. After stealing the diamonds, the defendants would transport the jewels to the state of Pennsylvania for sale. The defendants agreed to steal diamonds in jewelry stores in Oregon, California, Tennessee, and Nevada. Prior to the thefts, the defendants conducted surveillance of the stores to identify security vulnerabilities and store employees they could target in an effort to steal the diamonds. The defendants would assign roles to execute the theft, including appointing getaway drivers and individuals to keep a lookout for law enforcement. To steal the diamonds, one of the defendants would enter the target jewelry store and ask a store employee to show him high-value diamonds. That defendant, or another, would then grab the diamonds and run out of the store to a waiting getaway vehicle. The diamonds were then transported to Pennsylvania for sale.

There were seven diamond thefts, including thefts at jewelry stores in Lake Oswego, Portland, and Grants Pass between December 2010 and January 2011. (See indictment for dates and store locations). The indictment further alleges that the defendants stole diamonds valued at more than $1.4 million from the various jewelers.

If convicted, the maximum penalty for conspiracy to commit the crime of interstate transportation of stolen property is five years, a fine of $250,000, or twice the gross gain or loss, whichever is greater, and three years’ supervised release. The maximum penalty for counts of interstate transportation of stolen property is 10 years, a fine of $250,000, or twice the gross gain or loss, whichever is greater, and three years of supervised release.

Locally, the Portland Police Bureau launched an investigation into the theft at Margulis Jewelers in December 2010. After developing information that this was a nationwide diamond theft ring, detectives presented the matter to the FBI. Over time, Portland Police and the FBI were able to tie numerous other thefts across the country into this larger investigation. The investigation is ongoing, and the Portland Police Bureau and the FBI continue to work the case jointly.

“This is not some Hollywood fantasy film filled with A-list stars and fancy cars,” said Alan J. Peters, Acting Special Agent in Charge of the FBI in Oregon. “This is a criminal case with real victims stretched across the U.S. Thanks to great partnerships with the Portland Police Bureau and assistance from Salem Police and the U.S. Marshals Service, we have cracked this diamond ring.”

Portland Police Chief Michael Reese said, “I want to thank the Portland Police officers and detectives who conducted a thorough investigation regarding the theft that occurred in Portland and then worked cooperatively with federal officials as well as other law enforcement agencies across the country. Together, all involved helped build a strong case against those who were responsible. Now they can be held accountable.”

An indictment is only an accusation of a crime, and the defendants are presumed innocent unless and until proven guilty.

This case was investigated by FBI and the Portland Police Bureau, with assistance from Salem Police and the U.S. Marshals Service. Assistant U.S. Attorneys Scott Kerin and Michelle Holman Kerin are prosecuting the case.