INDICTMENTS INCLUDE RACKETEERING, DRUG AND FIREARMS CHARGES

ROANOKE -- Henry County Sheriff H. Frank Cassell and several other
members of his department were among the 20 people indicted this week
on charges of racketeering conspiracy, obstruction of justice, money
laundering, drug distribution and firearms offenses.

"The (alleged) members of this conspiracy took advantage of the trust
placed in them as law enforcement officers," U.S. Attorney John
Brownlee said of the 13 current or former employees of the Henry
County Sheriff's Office. A grand jury sitting in Abingdon handed down
the 48-count indictment Tuesday and it was unsealed Thursday.

The indictments followed a nearly two-year investigation by federal
authorities into an alleged eight-year scheme to sell drugs seized
from criminals back to the community.

Cassell was charged with two counts of obstruction of justice and one
count each of money laundering, false statement and misprision, or not
reporting a felony to law enforcement.

A career law enforcement officer and Henry County sheriff since 1992,
Cassell has told a former officer in his department that in order to
be wealthy you have to be "a little crooked and not get caught," the
government said during a hearing for Cassell Thursday afternoon.
Cassell was released on a $25,000 unsecured bond after that hearing
but was forbidden to discuss the case with his co-defendants. At the
prosecution's request, U.S. Magistrate Judge Michael Urbanski also
told Cassell not to discuss the case with any county employee because
an investigation of corruption in Henry County's government is
ongoing. County officials said they are not aware of a separate
investigation. A former postal worker, a former probation officer and
five other people also were indicted by federal prosecutors. The
charges included racketeering conspiracy, weapons charges, narcotics
distribution, obstruction of justice and perjury.

Prosecutors said that since 1998, cocaine, crack cocaine, steroids,
marijuana and other drugs that had been seized by the sheriff's
department were resold to the public. A sergeant who agreed to
cooperate with investigators was paid off by the ring to use his house
for distributing drugs, authorities said.

"It is disgraceful corruption," Brownlee said. Fourteen others who
were indicted also were arrested Thursday, and police had been in
contact with the rest of those indicted except for one defendant who
was at large, Brownlee said.

All but two were released on bond, and sheriff's employees were
admonished not to work in law enforcement until the case goes to
court. One of Cassell's defense attorneys, John Lichtenstein of
Roanoke, objected to a government request that Cassell be given the
same stipulation, noting that the sheriff was elected to his position
and barring him from working would disregard a presumption of
innocence. Urbanski concurred. "He's served with great dedication,"
Lichtenstein said of Cassell outside court after the hearing. "Now we
get an opportunity to answer the accusations." The county supervisors
on Thursday evening asked Cassell to resign, saying they believed his
ability to manage his department had been "irreparably damaged."
Lichtenstein said his client would assess the issues and "make a
decision that he believes reflects the best interests of the people."
Assistant County Administrator Tim Hall said county officials were
shocked by the indictments.

"We had no idea," he said, and given the scene in the parking lot this
morning as Hall arrived at his office, "I had a little kick in my gut
. when I rolled in and saw" the myriad of police vehicles blocking
off entrances/exits to the sheriff's office.

He was referring to the case of former county administrator Sid Clower
who went to prison for embezzling more than $818,000 between 1993 and
2002, and allegedly used the money for gifts and trips and to support
an out-of-wedlock child.

Thursday morning at the Henry County Sheriff's Office, the State
Police blocked entrances and exits to its parking lot with their
cruisers. Troopers, some dressed in bulletproof vest, fatigues and
carrying rifles, stood guard as FBI, DEA and state officials moved in
and out of the building on the chilly morning, many wearing
windbreakers that listed their agency in bold letters but some smartly
dressed in dark suits. State officials parked two mobile command
centers near the building and two special armored trucks used in
tactical operations. There were also a number of cruisers and unmarked
vehicles, and one rental truck that officials were later seen loading
with numerous document boxes from inside the sheriff's office. In the
morning, a helicopter also arrived to bring State Police
Superintendent W. Stephen Flaherty and FBI Special Agent in Charge
Charles J. Cunningham, who flew out again by 11 a.m.

As the day went on, a horde of local and national media appeared in
the parking lot, with television reporters setting up satellite
trucks, interviewing local residents and doing live reports. A number
of county residents with business at the courthouse stopped to take in
the almost military occupation of the sheriff's office building and
the media it drew.

Some said they were shocked at the news of Cassell's arrest. "It's a
shock to the community," said Darcell Jacobs, owner of Darcell's car
wash. "I just lifted the sheriff up in prayer, because I know he's a
very nice person," said Jacobs, who said she washes the sheriff's
wife's car at her car wash. "We are praying for him and his family,"
she said.

Others, however, reacted differently. "I think it's great," said
Brenda Hodges, "It didn't surprise me." Hodges lives on Persimmon
Street, an area she said is plagued with drug dealers. "It's a dead
end street. And everybody who wants to sell their drugs can go right
there on that dead end street, and they sell," she said. She said she
feels the sheriff's office has neglected the drug problem there by
being lenient and not rounding up the dealers.

"You can call them 15, 20 times. They never do anything," she said.
"It's just basically turn and look away. And now you know why. They
were putting it in their own damn pockets." Louann Williams, who lives
on Ridgecrest Avenue, said she also feels the sheriff's office has not
dealt with the drug problem on her street. She said she's not
surprised the charges were filed.

"I've been waiting for it to happen. I've been hoping for it to
happen," she said. Jean Smith was philosophical about the situation as
she left the county administration building on Thursday.

"What's done in the dark will come to light. You can throw rocks but
you can't hide your hand," she said.

The sheriff's department has 96 officers. State police officers are
helping to run the department.

Cassell, 68, retired from the state police before being elected
sheriff, and owns large tracts of land and a trucking company. Cassell
reportedly earns more than $20,000 in dividends yearly, according to
federal prosecutors. Sheriffs in counties the size of Henry (58,000
residents) earn an estimated $90,000 a year, according to state figures.