Sacto 9-1-1
October 26, 2011
Five men indicted in marijuana trafficking conspiracy

Five Sacramento-area men have been indicted in connection with a marijuana trafficking conspiracy.

A federal grand jury in Sacramento today returned a 23-count indictment charging Thomas Holzmann, 24, Peter Holzmann, 23, and Joseph Andrade, 24, all of West Sacramento, as well as Jonathan Sherman, 27, of Sacramento, and Eddy Arevalo, 29, of the El Dorado County community of Somerset, with conspiring to cultivate and distribute marijuana, and various other drug offenses.

Sherman also was charged with multiple counts of structuring and money laundering. Structuring occurs when large sums of currency are broken up and deposited in amounts less than $10,000 to avoid filing reports required by federal law, according to a federal Department of Justice news release.

According to court documents, the conspiracy came to the attention of law enforcement on Dec. 9, 2010, when the Sacramento Municipal Utility District reported suspicious activity at a large warehouse on Lathrop Way in Sacramento. During a security sweep of the warehouse, agents discovered a large indoor marijuana growing operation.

The initial investigation led to the arrest of two defendants on state charges and the dismantling of two warehouse marijuana grows in Sacramento and West Sacramento. Brothers Peter and Thomas Holzmann were identified as the individuals running the operation, officials said.

According to the indictment, between December 2010 and October of this year, the defendants grew marijuana using sophisticated equipment in large warehouses. They allegedly distributed marijuana in the Sacramento area and attempted to ship packages of marijuana to New York. According to court records, financial records obtained in the investigation reflect large deposits at banks in eastern states and large withdrawals in the Sacramento area.

The men were arrested Oct. 12, and all have been in custody since then, except for Adrade, who was released on bail.

The case resulted from an investigation by the Drug Enforcement Administration, the California Department of Justice, Bureau of Narcotic Enforcement, and the Sacramento County Sheriff's Department.

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