Friday, July 25, 2014

Officer bust follow-up
Newport Chief of Police Maurice Shults says two detectives arrested Wednesday have been placed on administrative leave without pay. Detective Captains Lynn Shults and James Holt were among four persons caught up in an undercover investigation by the Tennessee Bureau of Investigation, involving stolen goods, money laundering and prescription drug dealing. The 54 year-old Shults, a brother to the chief, has been with the police department for 29 years, and the 59 year-old Holt has been with the department for 19 years. "They are both on administrative leave without pay until the cases are adjudicated or a higher authority tells us to put them back to work. We are looking at possibly re-assigning someone into the detective's division to help Detective Jason Ramsey with the cases," Chief Shults said Thursday. In addition to the two officers, Holt's wife Kathy, 50, a Newport Alderwoman, and her son Kenny Myers, 31, also are charged in the case. "It's a sad day for our agency, but we plan to move forward from this point. We will re-assign some cases immediately and we are working with the Attorney Generals office to make decisions on a case-by-case basis. We want the public to be confident that we are going to move forward and do our best to protect and serve the citizens of Newport." The chief said while the two officers are accused of crimes "but by any standard they are innocent until proven guilty." The defendants are charged with felony offenses including a conspiracy to commit money laundering, and official misconduct, and Officer Holt is charged also with drug offenses. Kathy Holt is free on a $250,000 bond, Detective Lynn Shults is free on a $50,000 bond and Kenny Myers is free on a $10,000 bond. Bond on the state charges is set at $500,000 for Detective James Holt. But he also faces federal charges of the illegal distribution of drugs and the possession of a firearm in furtherance of drug trafficking. During a Thursday initial appearance before U.S. Magistrate Judge Dennis Inman, Officer Holt was shackled and handcuffed. The judge told the defendant he faces up to 20 years in prison if convicted of the charges of the distribution of hydrocodone and a consecutive mandatory minimum of five years to life, on the charge of employing a firearm in a drug trafficking offense. Asst. U.S. Attorney Robert Reeves asked the court to order Holt detained until his trial. Reeves said the defendant is a risk to flee and also is a risk to the community. The prosecutor said an unregistered sawed off shotgun was found in the Holt residence during the execution of a search warrant following the arrest of the defendant. Reeves told Judge Inman the alleged offenses were audio and videotaped, but "after his arrest the defendant tried to re-write what happened." Finally the prosecutor said on his way to the jail after the arrests, Holt said he has nothing to live for and since that time has been under suicide watch in the Washington County jail. Reeves also indicated when the case is presented to a federal grand jury, Holt likely will face additional charges. He said the weapons charge will bring a minimum of 25 years consecutive to any other sentences. As a result the court ordered the defendant to be held without bond pending a combined preliminary and detention hearing on July 29. Holt currently is being represented by the federal public defender, because Holt said most of the property owned by he and his wife was actually obtained by her prior to their marriage. He said he owns a Big Dog motorcycle he paid $38,000 to $40,000 four years ago, and he owns a mobile home on three acres of land.


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