30 January 2009

FBI press release:

http://portland.fbi.gov/dojpressrel/pressrel09/pd012909.htm

[Excerpts]

Imprisoned Spy and His Son Indicted on Charges of Acting as Russian Agents and Money Laundering

A federal indictment was unsealed today in U.S. District Court for the District of Oregon charging Harold James Nicholson, 58, of Sheridan, Oregon, and Nathaniel James Nicholson, 24, of Eugene, Oregon, with two counts of Conspiracy, one count of Acting as Agents of a Foreign Government, and four counts of Money Laundering.

Both defendants are scheduled to appear today at 1:30 p.m. before U.S. Magistrate Janice M. Stewart for arraignment on the indictment. The maximum penalty for the substantive charge of acting as an agent of a foreign government is ten years imprisonment, while the maximum penalty for conspiracy to act as an agent of a foreign government is five years imprisonment. Each money laundering count, including the money laundering conspiracy, carries a maximum of twenty years imprisonment. The indictment also seeks forfeiture of funds provided to Nathaniel Nicholson by the Russian Federation, which the indictment alleges are the proceeds of his father’s past espionage activities.

As set forth in the indictment, Harold J. Nicholson, a former Central Intelligence Agency (CIA) employee, is serving a 283-month (more than 23-year) sentence at the Federal Correctional Institution (FCI) in Sheridan, Oregon, for a 1997 conviction of conspiracy to commit espionage. The indictment further alleges that defendant Harold J. Nicholson, working through his son Nathaniel J. Nicholson, received cash proceeds of his past espionage activities from, and passed information to, agents of the Russian Federation between 2006 and 2008.

As described in the indictment, during the course of the conspiracy, Nathaniel J. Nicholson met with his father Harold J. Nicholson, on several occasions to obtain information that was intended to be provided to the Russian Federation. Defendant Nathaniel J. Nicholson then travelled to various places to meet with representatives of the Russian Federation, including San Francisco, Calif.; Mexico City, Mexico; Lima, Peru; and Cyprus, where he collected money from them and received additional instructions. Defendant Nathaniel J. Nicholson then brought the funds he received back to Oregon to disperse to family members at the direction of defendant Harold J. Nicholson.

U.S. District Court
District of Oregon (Portland)
CRIMINAL DOCKET FOR CASE #: 3:09-cr-00040-BR All Defendants

Date Filed	#	Docket Text
01/27/2009	1	Sealed Indictment as to Defendants Harold James Nicholson (1) and Nathaniel James Nicholson (2); Both in all 7 counts: Count 1: 18 USC 371 and 951(a) = Conspiracy to Act as an Agent of a Foreign Government; Count 2: 18 USC 951(a) and 2 = Acting as an Agent of a Foreign Government Without Prior Notification to the Attorney General; Count 3: 18 USC 1956(h) and 1956(a)(2)(B)(i) = Money Laundering Conspiracy; Counts 4, 5, 6, and 7: 18 USC 1956(a)(2)(B)(i) and 2; 18 USC 1956(h) = Criminal Forfeiture Allegation. (kw) (Entered: 01/28/2009)
01/28/2009	2	Notice of Case Assignment to Judge Anna J. Brown. (kw) (Entered: 01/28/2009)
01/29/2009	3	Motion to Unseal Indictment filed by USA as to Defendants Harold James Nicholson (1) and Nathaniel James Nicholson (2). (kw) (Entered: 01/29/2009)
01/29/2009	4	ORDER TO UNSEAL INDICTMENT: Granting 3 USA's Motion to Unseal Indictment as to Defendants Harold James Nicholson (1) and Nathaniel James Nicholson (2); IT IS HEREBY ORDERED that the Indictment in this case is UNSEALED; by Magistrate Judge Janice M. Stewart; signed on 1/29/09. (kw) (Entered: 01/29/2009)
01/29/2009	5	Minutes of Proceedings:First Appearance, Arraignment and Detention Hearing before Magistrate Judge Janice M. Stewart as to Defendants Harold James Nicholson (1) and Nathaniel James Nicholson (2) held on 1/29/2009; Order appointing CJA counsel as to Defendant Harold James Nicholson (1) and Federal Defender appointed as to Defendant Nathaniel James Nicholson (2); Assistant Federal Public Defender Tom Price to act as counsel for Defendant Harold James Nicholson (1) for today only; Defendants waived reading of the Indictment; Defendants advised of rights; Not Guilty Pleas to Indictment entered; 7-10 day Jury Trial SET for 3/31/09 at 9:00 am in Portland before Honorable Anna J. Brown; Order that Motions are due in 21 days and Discovery is due in 10 days; Order that Defendants DENY forfeiture allegation; Order that Defendant Harold James Nicholson (1) is DETAINED as flight risk and danger to community; Order that Defendant Nathanial James Nicolson (2) is DETAINED as flight risk; Counsel Present for Plaintiff: Pamala Holsinger and Ethan Knight.Counsel Present for Defendants: Tom Price.(Court Reporter: Courtroom Deputy Donna Ausbie)(Tape #FTR) (kw) (Entered: 01/30/2009)
01/29/2009	6	Order of Detention as to Defendant Harold James Nicholson (1) by Magistrate Judge Janice M. Stewart; signed on 1/29/09. (kw) (Entered: 01/30/2009)
01/29/2009	7	Order of Detention as to Defendant Nathaniel James Nicholson (2) by Magistrate Judge Janice M. Stewart; signed on 1/29/09. (kw) (Entered: 01/30/2009)