Seven Dallas Residents Indicted for Intentionally Torching Homes to Get Red Cross Dough

This just in from the U.S. Attorney’s Office: Seven locals, ranging in age from 23 to 60, are accused of setting three fires that caused close to $1 million in total property damage in order to collect a few thousand from the Dallas chapter of the American Red Cross. The seven, which includes a mother and daughter, were indicted by a federal grand jury July 7, but it was unsealed today pending a September 27 court date in front of U.S. District Judge Jane J.
Boyle. All seven — charged with multiple counts of wire fraud and arson — have pleaded not guilty, and all have been released on bond.

According to the feds, between December ’08 and May ’09, the seven conspired to set fire to three residences — apartments on Dilido Road and Wadsworth Drive and a rent house on Racine Drive — in order to collect a little scratch from the Red Cross. But, feds allege, things looked a little suspicious: In all three instances, the indicted “removed household items and
other valuables” before torching their respective joints.

The indictment and U.S. Attorney’s release follow.

SEVEN DALLAS RESIDENTS CHARGED WITH INTENTIONALLY SETTING FIRES TO COLLECT AMERICAN RED CROSS ASSISTANCE FUNDS

DALLAS – A federal indictment has been unsealed that charges
seven Dallas residents, including a mother and daughter, with various
felony offenses related to their involvement in three arson fires
committed in Dallas from December 2008 through May 2009, announced U.S.
Attorney James T. Jacks of the Northern District of Texas.

The following individuals are named in the indictment:

Marthella Broadus, 35

Lashay Kelly, 23

Kenneth Hunter, 23

Kevin Hunter, 25

Georgialyn Guice, 26

Juanita L. Broadus, 60

Kenneth E. Smith, 26

All defendants were arrested and released on bond. They have all
pleaded not guilty; trial is set before U.S. District Judge Jane J.
Boyle on September 27, 2010.

Marthella Broadus, is charged with three counts of wire
fraud, three counts of arson and two counts of using fire to commit a
felony. Lashay Kelly, Juanita L. Broadus (Marthella Broadus’ mother)
and Kenneth E. Smith, are each charged with one count of wire fraud,
arson and using fire to commit a felony. Kenneth Hunter, Kevin Hunter
and Georgialyn Guice are each charged with one count of wire fraud and
one count of arson.

The 2900 Dilido Avenue Fire

According to the indictment, in late May 2009, Marthella
Broadus and Lashay Kelly agreed to set fire to Kelly’s apartment located
at 2900 Dilido Avenue in Dallas, in order to receive financial
assistance from the American Red Cross. As part of their scheme, they
removed household items and other valuables from the apartment. On May
31, 2001, Marthella Broadus intentionally started a fire inside Kelly’s
apartment that caused approximately $700,000 in property damage.

Immediately after the fire, Kelly met with an American Red
Cross case worker and falsely advised that seven household occupants
were displaced from her apartment and that she lost all of her personal
belongings in the fire. The Red Cross then issued a Client Assistance
Card to Kelly, in the amount of $1885, to cover items lost such as food
and clothes. Marthella Broadus and Kelly used this card to purchase
approximately $300 in merchandise from a retailer in Dallas and to
withdraw approximately $1520 in cash from an ATM.

The 4950 Wadsworth Drive Fire

According to the indictment, from late April though May 5,
2009, Marthella Broadus, Kenneth Hunter, Kevin Hunter and Georgialyn
Guice agreed to set fire to Kenneth Hunter’s apartment located at 4950
Wadsworth Drive in Dallas, in order to receive financial assistance from
the Red Cross. On May 3, 2009, Kevin Hunter removed household items and
other valuables from Kenneth Hunter’s apartment. On May 3, 2009,
Marthella Broadus intentionally started a fire inside Kenneth Hunter’s
apartment, causing approximately $250,000 in property damage.

Immediately after the fire, Kenneth Hunter met with a Red
Cross case worker and falsely stated that eight household occupants were
displaced from his apartment and that he lost of all of his personal
belongings in the fire. The Red Cross issued a Client Assistance Card,
in the amount of $2015 to Kenneth Hunter. That same day, Marthella
Broadus, Kenneth Hunter, Kevin Hunter and Georgialyn Guice used the card
to withdraw approximately $2000 from an ATM in Dallas.

The 7925 Racine Drive Fire

According to the indictment, in December 2008, Marthella
Broadus, Juanita L. Broadus and Kenneth E. Smith, agreed to set fire to
Marthella Broadus’s rental house at 7925 Racine Drive in Dallas, to
receive financial assistance from the Red Cross. On December 8, 2008,
Marthella and Juanita Broadus, along with Kenneth E. Smith, removed
household items and other valuable items from Marthella Broadus’s house.
On December 9, 2008, Marthella Broadus intentionally started a fire
inside her house, causing more than $16,000 in property damage.
Marthella Broadus then met with a Red Cross caseworker and falsely
stated that 17 household occupants were displaced from her house and
that she lost all of her belongings in the fire. The Red Cross issued a
Client Assistance Card worth $1745 to Marthella Broadus to cover items
lost in the fire. Between December 10 and December 13, 2008, Marthella
Broadus, Juanita L. Broadus and Kenneth E. Smith made approximately
$1740 worth of purchases and withdrawals using this card.

An indictment is an accusation by a federal grand jury and a
defendant is entitled to the presumption of innocence unless proven
guilty. If convicted however, the maximum statutory sentence for wire
fraud, per count, is 20 years in prison and a $250,000 fine. The
maximum statutory sentence, per count, for using fire to commit a felony
is 10 years in prison and a $250,000 fine for the first offense or 20
years in prison in the case of a second or subsequent conviction. The
maximum statutory sentence for arson, per count, is not less than five
or more than 20 years in prison and a $250,000 fine.

“Arson is a crime that negatively affects everyone in the
community. During the last fiscal year, there was nearly $14 million in
fire loss in the city of Dallas due to arson. I would like to thank
agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives for
their help on this case,” said Joe Pierce, Deputy Chief, Dallas
Fire-Rescue Department.

Chief Pierce went on to say, “If you know of anyone who has
committed the crime of arson in the city, please call Crime Stoppers at
1-877-373-8477 or visit www.NTCC.CRIMESTOPPERSWEB.COM
. The Crime Stoppers Program
offers a reward up to $5000 for tips that lead to the arrest and
indictment of person(s) that commit arson.”

The case is being investigated by the Bureau of Alcohol,
Tobacco, Firearms and Explosives and the Dallas Fire-Rescue Department.
Assistant U.S. Attorney Charles Brown is in charge of the prosecution.

Broadus Et Al Indictment