GREENEVILLE-Newport businessman Raymond Eddie Hawk, 55,pled guilty here Wednesday in U.S. District Court to helping lead a CockeCounty-based racketeering enterprise involving "chop-shop"operations, insurance fraud, illegal drug distribution, and other crimes.

U.S. District Judge Ronnie Greer accepted the guilty pleaafter asking Hawk dozens of questions in court to be sure he understood theramifications of the plea agreement. He stated that he did.

The 17-page agreement, dated Feb. 26, was signed by Hawk,his defense attorney, Ronald C. Newcomb, and Assistant U.S. Attorney NeilSmith, who signed on behalf of U.S. Attorney James Dedrick.

June 2009 Indictment

A federal grand jury that met in Greeneville on June 9,2009, indicted 23 East Tennessee residents, including Hawk and 21 other CockeCountians, on charges of conducting a racketeering enterprise, racketeeringconspiracy, operation of a chop shop, interstate transportation of stolen motorvehicles and property, receipt of stolen motor vehicles, alteringidentification numbers on motor vehicles and parts, trafficking in motorvehicles with altered identification numbers, and conspiring to distributecocaine and  marijuana.

Penalties for the charged offenses range from five to upto 40 years' imprisonment, with fines of from $250,000 to $2 million.

The 2009 indictment included 36 counts in all andrepresented an extensive investigation led by the Federal Bureau ofInvestigation and including the Tennessee Highway Patrol, the TennesseeDepartment of Revenue, the Tennessee Bureau of Investigation, the U.S. ForestService, the Cocke County Sheriff's Office, and the Buncombe County, N.C.Sheriff's Office.

The agreement announced Wednesday states that the U.S.Attorney's Office, in exchange for the guilty plea, asks the court to dismissthe remaining counts against Hawk contained in the indictment, and to dismissHawk from the indictment.

The document points out that the punishment under federallaw for conducting a racketeering enterprise is as follows:

• a term of imprisonment of not more than 20 years;

• a fine of not more than $250,000;

• a term of supervised release of not more than threeyears;

• forfeitures;

• restitution;

• and a special assessment of $100.

Sentencing On Sept. 10

Hawk, who has been free on a $20,000 bond for severalmonths, agreed to turn himself in to the U.S. Marshal's Office in Greenevilleon Tuesday, March 23, at noon, after he "ties up a few loose ends,"his defense attorney said.

Hawk will then stay in prison until his sentencing beforeJudge Greer on Sept. 10, a date agreed upon Wednesday in court.

The plea agreement states, "The defendant has readthe indictment, discussed the charges and possible defenses with defensecounsel, and understands the crimes charged."

The agreement adds, "The defendant is pleadingguilty because the defendant is in fact guilty."

Activities Stipulated

  Theagreement is very detailed and specific in stipulations about the allegedillegal activities in which Hawk and others are alleged to have participated.

The stipulation-citing names, dates, places,etc.-consumes about 10 pages of the plea agreement.

The agreement stipulates that:

"At various times relevant to the Indictment,Raymond Eddie Hawk, Thomas Grant Williams, James Alfred Sisk, Eric ScottWilliams, and others known and unknown, including H-1 Auto, later known as AAutomotive, an automobile recycling and salvage business located in Newport,Tennessee, were members and associates of an enterprise (hereinafter the 'HawkOrganization') where members and associates engaged in illegal activity, toinclude operation of a chop shop, altering identification numbers on motorvehicles and  motor vehicle parts,trafficking in motor vehicles and motor vehicle  parts with altered identification numbers, devising andexecuting  schemes to defraudinsurance companies involving claims for purportedly stolen vehicles, and unlawfully distributing controlled  substances (cocaine and marijuana), andwhich operated principally in Cocke County, Tennessee ..."

Hawk and Grant Williams, 33, of Newport, another of thoseindicted in June, are alleged to have been leaders in the racketeeringenterprise.

Warning From Judge

Judge Greer asked Hawk if he was entering the pleaagreement without coercion and with a full understanding of it. Hawk said hewas.

The judge also asked if he had taken any drugs in thelast 24 hours that would impair his understanding of his plea.

Hawk said he took prescribed medicine for highcholesterol, blood pressure, and pain (hydrocodone). In response to Greer'squestion, Hawk said he took the medicine only when instructed to do so by hisphysician.

Smith, the assistant U.S. attorney, charged Hawk withillegally contacting co-defendants in the chop shop case, including formerfelons, while out on bail.

Hawk and his attorney basically replied that those werechance encounters, and no illegal activities or transactions took place.

However, Greer warned Hawk that if he is again seen witha convicted felon, "I'm going to order a U.S. marshal to take you intocustody (immediately)-no questions asked."