UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 1 

IN THE UNITED STATES DISTRICT COURT 

FOR THE EASTERN DISTRICT OF TEXAS 

TYLER DIVISION 

UNITED STATES OF AMERICA, § 

Plaintiff, § 

§ 

v. § No. 6:23-CV-261 

§

(1) REAL PROPERTY LOCATED AT § 

107 CECELIA LANE, DIANA, UPSHUR § 

COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND §

IMPROVEMENTS THEREON; and § 

(2) REAL PROPERTY LOCATED AT § 

215 ALEXIS DRIVE, LONGVIEW, HARRISON §

COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(3) REAL PROPERTY LOCATED AT § 

445 DEER BROOKE DRIVE, ALLEN, § 

COLLIN COUNTY, TEXAS, INCLUDING ALL §

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(4) REAL PROPERTY LOCATED AT § 

3722 BEN HOGAN DRIVE, LONGVIEW, § 

GREGG COUNTY, TEXAS, INCLUDING ALL §

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(5) REAL PROPERTY LOCATED AT §

6575 STATE HIGHWAY 155 S, BIG SANDY, §

UPSHUR COUNTY, TEXAS, INCLUDING ALL §

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(6) REAL PROPERTIES LOCATED AT §

8955 U.S. HIGHWAY 271 N, GILMER, §

UPSHUR COUNTY, TEXAS, INCLUDING ALL §

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(7) REAL PROPERTY LOCATED AT §

Case 6:23-cv-00261-JCB Document 1 Filed 05/17/23 Page 1 of 22 PageID #: 1
UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 2 

717 U.S. HIGHWAY 271 N, GILMER, § 

UPSHUR COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(8) REAL PROPERTY LOCATED AT § 

1728 U.S. HIGHWAY 259 S, DIANA, § 

UPSHUR COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; § 

(9) REAL PROPERTY LOCATED AT § 

1722 U.S. HIGHWAY 259 S, DIANA, § 

UPSHUR COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON; AND § 

(10) REAL PROPERTY LOCATED AT § 

1000 AND 1048 FM 1404, BIG SANDY, § 

UPSHUR COUNTY, TEXAS, INCLUDING ALL § 

BUILDINGS, APPURTENANCES, AND § 

IMPROVEMENTS THEREON § 

 Defendants. § 

VERIFIED COMPLAINT FOR FORFEITURE

In accordance with Fed. R. Civ. P. Supplemental Rule G(2), the United States of 

America, Plaintiff, brings this complaint for forfeiture and alleges as follows: 

NATURE OF ACTION 

1. This matter is an in rem action brought against the following defendant 

property: 

a. The real property located at 107 Cecelia Lane, Diana, Upshur 

County, Texas: 

Lot 3 Magnolia Ridge Subdivision, Phase 5, a part of the James 

Scott Survey, A-440, Upshur County, Texas, according to the plat 

recorded under Clerk’s File No. 201306438, Official Public Records 

of Upshur County, Texas. 

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 3

b. The real property located at 215 Alexis Drive, Longview, Harrison 

County, Texas:

Lot 12, Block 1, of Hillcrest Trails Phase I, according to the plat of 

said addition recorded in Cabinet B, Slide 122-B, in the Plat Records 

of Harrison County, and Clerk’s File No. 201003223, Official Public 

Records, Gregg County, Texas.

c. The real property located at 445 Deer Brooke Drive, Allen, Collin

County, Texas:

Lot 77, Block A, of Reid Farm Addition, Phase 1, an addition to the 

City of Allen, Collin County, Texas, according to the plat whereof 

recorded in Cabinet L, Slide 589, of the Map Records of Collin 

County, Texas.

d. The real property located 3722 Ben Hogan Drive, Longview, Gregg

County, Texas:

Lots 13 & 14, Block 6009, Oak Forest Addition, Unit No. 4, an 

addition in the William Robinson Survey, A-177, Gregg County, 

Texas, as shown by plat of said addition recorded in Vol. 1272, Pg. 

289, of the Deed Records, Gregg County, Texas.

e. The real property located at 6575 State Highway 155 S, Big Sandy, 

Upshur County, Texas:

All that lot or parcel of land together with its buildings, 

appurtenances, improvements, fixtures, attachments, and easements 

located and known as 6575 State Hwy 155 S, Big Sandy, Upshur 

County, Texas, with a legal description of:

All the certain lot, tract or parcel of land being situated on the Seth 

Hazel Survey, Abstract No. 197, Upshur County, Texas and being 

the residue of that 1.91 acre referenced in Warranty Deed from 

Clifford O. Plant to Aaron E. Ramsey and wife, Michael E. Ramsey 

recorded by Clerk’s Instrument No. 200709883 and said 1.91 acre 

tract being described in Warranty Deed from Monaque Gage and 

wife, Doris Gage to Clarence Lanier Maberry and wife, LaWaunda 

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 4

Lee Maberry recorded in Volume 332, page 588 of the Official 

Public Records and Deed Records, respectively of said county. Said 

lot, tract or parcel of land being more particularly described as 

follows:

BEGINNING at a 1⁄2” rebar set for the Northeasterly corner of this 

tract being the Northwesterly of that 0.67 acre tract described in 

Warranty Deed conveyed Instant Action Management, LLC as 

recorded in Clerk’s Instrument No 201901339 O.P.R. and being on 

the Southeasterly ROW line of State Highway No. 155 and bears N 

44 deg. 30 min. 00 sec. E 1.25 ft. from a fence corner post of 6 ft. 

chain link fence;

THENCE S 32 deg. 53 min. 34 sec. E 29.5 ft. pass the Northerly side 

of a stone column and continuing with the center of series of stone 

columns and a stone wall at grade level pass the center of the 

Southwesterly corner column and leaving said stone column and 

wall a total of 248.26 ft. a 1⁄2” rebar set for the Southeasterly corner 

of this tract being an inner ell corner of the residence of the 4.8 acre 

tract described in Warranty Deed to Pritchett Community 

Improvement Corporation recorded in Volume 237, Page 304 D.R. 

and bears N 44 deg. 05 min. 15 sec. W 1.76 ft. from a fence corner 

post of a said fence;

THENCE S 56 deg. 51 min. 26 sec. W 238.78 ft. running on the 

North side of said fence a 1⁄2” rebar set for the Southerly Southwest 

corner of this tract being the Southeasterly corner of that 0.299 acre 

tract described in Warranty Deed conveyed to Clarence, Jr. and Amy 

Maberry recorded in Volume 166, Page 816 O.R. and bears N 33 

deg. 44 min. 50 sec. W 2.14 ft. from a fence corner post of said 

fence;

THENCE N 33 deg. 44 min. 50 sec. W 110.18 ft. to a fence corner 

post of said fence for an inner ell corner of this tract;

THENCE S 54 deg. 02 min. 18 sec. W 70.86 ft. to a fence corner 

post of said fence for the Northerly Southwest corner of this tract;

THENCE N 35 deg. 53 min. 04 sec. W 135.99 ft. to a 1⁄2” rebar set 

for the Northwesterly corner of this tract being the Northeasterly 

corner of that 0.17 acre tract described in Warrant Deed conveyed to 

Darren P. Watkins recorded by Clerk’s Instrument No. 200632205 

O.P.R. and being on said ROW line;

THENCE follow the arc of said ROW line to the Right having a 

chord bearing of N 55 deg. 49 min. 28 sec. E at 318.36 ft., a Radius 

of 9,499.05 ft., a Length of 318.38 ft. to the Point of Beginning and 

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 5

containing 1.592 acres of land as surveyed by George Taylor, 

R.P.L.S. No. 5246. 

f. The real properties located at 8955 U.S. Highway 271 N, Gilmer, 

Upshur County, Texas;

All that certain lot, tract or parcel of land being situated on the 

Freeman Prather Survey, Abstract No. 391, Upshur County, Texas 

and being a 0.516 acre tract conveyed to Stanley Staadt and Carol 

Staadt by Warrant Deed recorded by Clerk’s Instrument No. 

201402972 of the Official Public Records of said county. Said lot, 

tract of parcel of land being more particularly described as follows:

BEGINNING at a 1⁄2’ rebar set for the Southeast corner of this tract 

being the Northeast corner of that 0.37 acre tract conveyed to Ralph 

Luccous by Warranty Deed recorded by Clerk’s Instrument No. 

201201109 O.P.R. being on the West ROW line of state Highway 

No. 271and bears N 01 deg. 22 min. 49 sec. E. 180.93 ft. from a 

found concrete highway monument and S 87 deg. 37 min. 37 sec. E 

3.92 ft. form a found 1⁄2’ rebar;

THENCE N 87 deg. 37 min. 37 sec. W 92.31 ft. to a galvanized 

crossarm brace found for the Southwest corner of this tract being the 

Northwest corner of said 0.37 acre tract being in the East line of that 

73.779 acre tract conveyed to JSMJ Investments LTD by General 

Warranty Deed recorded by Clerk’s Instrument No. 200603866 

O.P.R;

THENCE N 00 deg. 35 min. 59 sec. W 231.75 ft. to a 9” wooden 

fence corner post held for the Northwest corner of this tract;

THENCE N 88 deg. 52 min. 08 sec. E 87.81 ft. to a railroad spike 

found for the most Northerly Northeast corner of this tract being on 

said R.O.W. line;

THENCE along said R.O.W. line the following:

S 43 deg. 02 min. 44 sec. E 21.70 ft to a found brass highway 

monument;

S 01 deg. 22 min. 49 sec. W 219.38 ft. to the Place of Beginning and 

containing 0.516 acres of land as surveyed by George Taylor, 

R.P.L.S. No. 5246.

—AND—

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 6

Being a 1.141 acre tract situated in the L.B. Brown Survey, Abstract 

23, Upshur County, Texas, and said tract being part of the residue of 

a called 8 acre tract of land described in a deed to Bruce Nix and 

wife Glenda Fay Nix filed July 27, 2015 and recorded in Volume 

1205, Page 551, Official Public Records of said county, said1.141 

acre tract being more particularly described as follows:

Beginning at a 1⁄2 inch iron rod set for a comer in the South line of 

said 8 acre tract, same being the North line of a called 10.477 acre 

tract of land described in Volume 1097, Page 742, Official Public 

Records, a 1 inch iron pipe found at the Northeast comer of said 

10.477 acre tract bears S 89 deg. 44 min. 49 sec. E distance of 

351.42 feet;

THENCE N 89 deg. 44 min. 49 sec. W (deed 1097/742 S 89 deg. 44 

min. 49 sec. E) along said North line of said 10.477 acre tract 

(Bearing Base) and along the South line of said 8 acre tract, a 

distance of 301.21 feet to a 1⁄2 inch iron rod set for a corner in the 

East right of way line of U.S. Highway No. 271;

THENCE N 07 deg. 21 min. 24 sec. W along said right of way line a 

distance of 59.17 feet to a broken concrete right of way marker;

THENCE N 01 deg. 44 min. 25 sec. E continuing along said right of 

way line a distance of 103.42 feet to a 1⁄2 inch iron rod set for a 

corner, a type II right of way marker bears N 01. Deg. 44 min. 25 

sec. E a distance of 184.69 feet; 

THENCE S 89 deg. 44 min. 49 sec. E a distance of 306.35 feet to a 

1⁄2 inch iron rod set for a corner;

THENCE S 00 deg. 15 min. 11 sec. E a distance of 162.03 feet to the 

Point of Beginning and containing 1.141 acres of land.

g. The real property located at 717 U.S. Highway 271 N, Gilmer, 

Upshur County, Texas;

Lots 1 and 2 reflected on a survey made by R. E. McClelland for 

Mrs. J.C. Miller dated December 2, 1946, recorded in Volume 1, 

page 135, being a portion of the residue of the property owned by 

Mrs. J.C. Miller lying East of Titus Street and West of U.S. Highway 

271 in the W.H. Hereford Survey, which Lots 1 and 2 are more 

completely described by metes and bounds as follows:

BEGINNING at the SE corner of the Bostwick Tract, also being the 

NE Corner of Lot 2;

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 7

THENCE West 249 feet to the NW Corner of said Lot 2;

THENCE South 100 feet to the SW Corner of Lot 1, being also the 

SE Corner of the Farrow tract;

THENCE East 239 feet to the West line of U.S. Highway 271, 100 

feet to the place of Beginning.

h. The real property located at 1728 U.S. Highway 259 S, Diana, 

Upshur County, Texas;

All that certain lot, tract, or parcel of land being situated on the 

Elijah Martin Survey, Abstract No. 323, Upshur County, Texas and 

being a 1.141 acre residue tract of that 1.904 acres parent tract 

described in Warranty Deed conveyed to Earl Shaver and Rhonda 

Shaver recorded in Vol. 154, Page 948 of the Official Records of 

said county, Said lot, tract or parcel of land being more particularly 

described as follows:

BEGINNING at a 5/8’ rebar found on the North side of a x-tie fence 

corner post for the Northwest corner of said parent tract being the 

Southwest corner of that 1.066 acre tract described in Special 

Warrant Deed conveyed to NIK Properties, LLC recorded by Clerk’s 

Instrument No. 201601816 O.P.R. and being a corner of the East line 

of that 210.55 acre tract described in Warrant Deed conveyed to 

New Diana I.S.D. recorded in Vol. 396, Page 449 O.P.R.;

THENCE S 88 deg. 29 min. 36 sec E. 161.91 ft. following the 

Westerly North line of said parent tract to a 3/8” cap “759-5048 

4445” found for the Northwest corner of that 0.195 acre tract 

described in Warranty Deed conveyed to Diana Special Utility 

District recorded by Clerk’s Instrument No. 201704244 O.P.R. and 

at an outer ell corner of a 6 ft. chain link fence;

THENCE S 04 deg. 36 min 46 sec. E 123.88 ft. following the West 

line of said 0.195 acre tract to a 3/8” cap “759-5048 445” found for 

the Southwest corner of same and being at an inner ell corner of said 

fence;

THENCE N 88 deg. 29 min. 24 sec. E 69.80 ft. following the South 

line of said line 0.195 acres tract to a 1⁄2” rebar found for the 

Southeast corner of same and being the Southwest corner of that 

0.4802 acre tract described in Warranty Deed recorded in Vol. 576, 

Page 879 O.P.R.;

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 8

THENCE S 88 deg. 34 min. 16 sec. E 175.37 ft. following the South 

line of said 0.4802 acre tract to a 1⁄2’ rebar found for the Southeast 

corner of same being the most Easterly Northeast corner of said 

parent tract and being on the West R.O.W. line of U.S. Highway No. 

259;

THENCE S 06 deg. 04 min. 25 sec. E 7.56 ft. following said R.O.W. 

line to a 1⁄2” rebar set for the Northeast corner of that 0.0896 acre 

tract partitioned this day (4/26/21);

THENCE S 86 deg. 34 min. 18 sec. E 204.41 ft. following the North 

line of said 0195 acre partition to a 1⁄2” rebar set for the Northwest 

corner of same;

THENCE S 05 deg. 11 min. 38 sec. E 18.90 ft. following the West 

line of said 0.195 acre partition pass a 1⁄2” rebar set for the Southwest 

corner of same, and being the Northwest corner of that 0.171 acre 

tract partitioned this day, continuing following the West line of said 

0.171 acre tract at 54.69 ft. a 3/8” cap “759-5048 4445” found for 

the Southeast corner of same being the Northwest corner of hat 

0.308 acre tract described in Warranty Deed conveyed to Suntharoth 

Yean recorded by Clerk’s Instrument No. 201701327 O.P.R., 

continuing following the East line of said 0.308 acre tract at a total 

of 109.79 ft. to a 3/8” cap “759-5048 4445” found for the Southwest 

corner of same being the most Southerly Southeast corner of this 

residue tract and being in the North line of that 2.506 acre tract 

described in Warranty Deed conveyed to Security State Bank 

recorded in Vol. 129, Page 399 O.P.R. and bears N 87 deg. 17 min. 

22 sec. W 205.93 ft. from a 3/8” cap “759-5048 4445” found for the 

Southeast corner of said 0.308 acre tract;

THENCE N 87 deg. 18 min. 10 sec. W 207.55 ft. following the 

South line of said parent tract to a 1⁄2” rebar found for the Southwest 

corner of same being the Northwest corner of said 2.506 acre tract 

and being a corner of said New Diana I.S.D. 210.55 acre tract;

THENCE N 03 deg. 43 min. 57 sec. w 250.12 ft. following the West 

line of said parent tract being an East line New Diana I.S.D. 210.55 

acre tract to the point of beginning, containing 1.141 acres of land, 

more or less. 

i. The real property located at 1722 U.S. Highway 259 S, Diana, 

Upshur County, Texas;

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 9

All that certain tract or parcel containing 0.410 acre of land in the 

Elijah Martin Survey, A-323, Upshur County, Texas, being a portion 

of a tract which was called 1.066 acre conveyed from Donald O. 

Nicholson to NIK Properties, LLC by an instrument of record in 

Clerks File #201601816, Upshur County Official Public Records 

(UCOPR), said 0.410 acre being more particularly by metes and 

bounds as follows, basing bearings on the Texas Coordinate System 

of 1983, North Central Zone, to wit:

BEGINNING at a 1⁄2” iron rod found for the Northwest corner, being 

the Northwest corner of said 1.066 acre tract and the Southwest 

corner of a tract which was called 1.375 acres conveyed from PB 

investment 17, LLC to AA Diana, LLC, by an instrument of record 

in Clerks File #202103015, UCOPR, lying in the East line of a tract 

which was called 210.55 acres conveyed from John Don Looney to 

New Diana Independent School District by an instrument of record 

in Clerks File #200100462, UCOPR;

THENCE N 86 deg. 46 min. 23 sec E, 150.07 feet along the 

common line of said 1.06 acre tract and said 1.375 acre tract to a 1⁄2” 

iron rod found for the Northeast corner, being the Northeast corner 

of a 20’ wide 0.054 acre Drainage Easement surveyed this day, the 

Southeast corner of said 1.375 acre tract and the Southwest corner of 

a tract which was called 0.738 acre conveyed from Hank Fontes, et 

ux, to Diana FD, LLC, by an instrument of record in Clerks File 

#201802924, UCOPR;

THENCE S 14 deg. 35 min. 51 sec. E, 116.57 feet crossing said 

1.066 acre tract, along the East line of said drainage easement to a 

1⁄2” iron rod found for the Southeast corner, being the Southeast 

corner of said drainage easement, the Northwest corner of a tract 

which was called 1.141 acres conveyed from Earl D. Shave, et ux to 

Instant Action Management, LLC, by and instrument of record in 

Clerks File #202106001, UCOPR, and the Northwest corner of a 

tract which was called 0.1965 acre conveyed from Earl Shaver, et 

ux, to Diana Special Utility District, by an instrument of record in 

Clerks File #201704244, UCOPR;

THENCE S 86 deg. 39 min. 25 sec. W, 162.33 feet along the 

common line of said 1.066 acre tract and said 1.141 acre tract to a 

1⁄2” iron rod found for the Southwest corner, being the Southwest 

corner of said 1.066 acre tract and the Northwest corner of said 

1.141 acre tract, lying in the East line of said 210.55 acre tract;

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 10

THENCE N 08 deg. 34 min. 21 sec. W, 115.12 feet along the 

common line of said 1.066 acre tract and said 210.55 acre tract to the 

PLACE OF BEGINNING, containing 0.410 acre of land, more or 

less.

TOGETHER WITH AND SUBJECT TO THE DRAINAGE 

RIGHTS OF OTHERS OVER AND ON THE FOLLOWING 

DESCRIBED 20’ WIDE DRAINAGE EASEMENT:

All that certain drainage easement containing 0.054 acre of land in 

the Elijah Martin Survey, A-323 Upshur County, Texas, being a 

portion of a tract which was called 1.066 acres conveyed from 

Donald O. Nicholson to NIK Properties, LLC, by an instrument of 

record in Clerks File #201601816, Upshur County Official Public 

Records (UCOPR), said 0.054 acre being more particularly 

described by metes and bounds as follows, basing bearings on the 

Texas Coordinate System of 1983, North Central Zone, to wit:

BEGINNING at a 1⁄2” iron rod found for the Northeast corner, being 

the Northeast corner of a 0.410 acre tract surveyed this day, the 

Southeast corner of a tract which was called 1.375 acres conveyed 

from PB Investment 17, LLC to AA Diana, LLC, by an instrument 

of record in Clerks File #202103015, UCOPR, and the Southwest 

corner of a tract which was called 0.738 acre conveyed from Hank 

Fontes, et ux, to Diana FD, LLC, by an instrument of record in 

Clerks File #201802924, UCOPR, lying in the North line of said 

1.066 acre tract;

THENCE S 14 deg. 35 min. 51 sec. E, 116.57 feet crossing said 

1.066 acre tract, along the East line of said 0.410 acre tract to a 1⁄2” 

iron rod found for the Southeast corner, being the Southeast corner 

of said 0.410 acre tract, the Northeast corner of a tract which was 

called 1.141 acres conveyed from Earl D. Shaver, et ux, to Instant 

Action Management, LLC, by an instrument of record in Clerks File 

#202106001, UCOPR, and the Northwest corner of a tract which 

was called 0.195 acre conveyed from Earl Shaver, et ux, to Diana 

Special Utility District, by an instrument of record Clerks File 

#201704244, UCOPR;

THENCE S 86 deg. 39 min. 25 sec. W, 20.39 feet along the common 

line of said 1.066 acre tract, said 0.410 acre tract and said 1.141 acre 

tract to a point for the Southwest corner, from which a 1⁄2” iron rod 

found for the Southwest corner of said 1.066 acre tract, the 

Southwest corner of said 0.410 acre tract and the Northwest corner 

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 11

of said 1.141 acre tract, bears S 86 deg. 39. min. 25 sec. W, 141.94 

feet;

THENCE N 14 deg. 35 min. 51 sec. W, 116.62 feet crossing said 

1.066 acre tract and said 0.410 acre tract to a point for the Northwest 

corner, lying in the North line of said 1.066 acre tract and the said 

0.410 acre tract and the South line of said 1.375 acre tract, from 

which 1⁄2” iron rod found for the Northwest corner of said 1.066 acre 

tract, the Northwest corner of said 0.410 acre tract and the Southwest 

corner of said 1.375 acre tract, bears S 86 deg. 46 min. 23 sec. W, 

129.67 feet;

THENCE N 86 Deg. 46 min. 23 sec. E, 20.40 feet along the 

common line of said 1.066 acre tract, said 0.410 acre tract and said 

1.375 acre tract to the PLACE OF BEGINNING, containing 0.054 

acre of land, more or less.

j. The real property located at 1000 and 1048 FM 1404, Big Sandy, 

Upshur County, Texas

Being .67 acre of land lying in the Seth Hazel HR Survey, Abstract 

No. 197, Upshur County, Texas, and being a re-survey of the D.W. 

Gage lots in the town of Pritchett, and better described as follows: 

BEGINNING at the point where the SBL of the ROW of State 

Highway 155 intersects the WBL of State Farm Road No. 1404 

ROW;

THENCE in a Southerly direction with and along the WBL of said 

State Farm Road, the course of which is S 24 deg. E 50 ft; S 18 deg. 

15 min. E 50 feet; S 09 deg. 10 min. E 50 feet; and S 01 deg. W 

120.5 ft. to a stake for corner at the SEC of said Gage property, said 

corner being also the NEC of the land known as Pritchett School lot;

THENCE North 88 deg. 10 min. W 127 ft. with the NBL of said 

school lot to an ell corner of same;

THENCE North 32 deg. W 182 ft. with said lot to a stake for the 

NWC of same, said corner being in the East edge of the ROW of 

State Highway No. 155;

THENCE North 58 deg. 10 min. E 214 ft. with said highway ROW 

to the place of beginning and containing .67 acre of land. 

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 12

JURISDICTION AND VENUE

2. The Court has subject matter jurisdiction over an action commenced by the 

United States pursuant to 28 U.S.C. § 1345 and over an action for forfeiture pursuant to 

28 U.S.C. § 1355(a). 

3. The Court has in rem jurisdiction over the defendant property pursuant to 

28 U.S.C. § 1355(b)(1)(A) because acts or omissions giving rise to the forfeiture occurred 

in the Eastern District of Texas. The Court also has in rem jurisdiction over the 

defendant property located in the Eastern District of Texas pursuant to 28 U.S.C. §§

1355(b)(1)(B) and 1395(b).

4. Venue is proper pursuant to 28 U.S.C. §1355(b)(1)(A) because acts or 

omissions giving rise to the forfeiture occurred in the Eastern District of Texas.

LEGAL BASIS FOR FORFEITURE

5. The defendant property is subject to forfeiture pursuant to 18 U.S.C. § 

981(a) because it constitutes property involved in transactions or attempted transactions 

in violation of 18 U.S.C. §§ 1956 and 1957, and/or is property traceable to violations of 

18 U.S.C. §§ 1956, and 1957; and pursuant to 18 U.S.C. § 981(a)(1)(C) because it is any 

property, real or personal, which constitutes or is derived from a proceeds traceable to a 

violation of an offense constituting a “specified unlawful activity” as defined in 18

U.S.C. § 1956(c)(7), namely a violation of 18 U.S.C. §§ 1084 and 1955, or a conspiracy 

to commit such offense.

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UNITED STATES V. 107 CECELIA LANE, DIANA, TEXAS, ET AL.:

VERIFIED COMPLAINT FOR FORFEITURE PAGE 13

FACTUAL BACKGROUND

6. Over the last several years, the Department of Homeland Security, 

Homeland Security Investigations (HSI) investigated several individuals in East Texas 

suspected to be involved in an illegal gambling and money laundering enterprise. The 

suspects in this investigation have laundered proceeds from illegal gambling in the form 

of online play as well as physical game rooms, commonly referred to as “sweepstakes” 

rooms. Five or more persons have conducted, financed, managed, supervised, directed, 

or owned all or part of these gambling businesses, which have been or remained in 

substantially continuous operation for a period in excess of thirty days or have a gross 

revenue of $2,000 in any single day. The gambling is illegal according to the Texas 

Penal Code and, therefore, is in violation 18 U.S.C. § 1955, Prohibition of Illegal 

Gambling Business. Suspects are also transmitting wagering information utilizing 

mobile banking services such as Zelle and CashApp and communicating via social media 

and text messages in violation on 18 U.S.C. § 1084. These suspects have laundered tens 

of millions of dollars through multiple banks via cash, checks, wire transfer and deposits 

from electronic payment platforms, primarily CashApp, in violation of 18 U.S.C. §§ 1956 

and 1957. Additionally, several of these suspects have further laundered proceeds 

through the purchase of properties.

7. Of relevant part to the immediate suit, the common thread for the gambling 

and money laundering operations were Instant Action Management, LLC and Majestic 

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Personnel Management, LLC. Both Instant Action and Majestic are associated with 

Randall Rudd and Harry Fox. John Fox, Harry’s son, was also heavily involved with 

those operations. 

8. According to the Texas Penal Code § 47.02(a)(3), a person commits the 

offense of “Gambling” if he/she plays and bets for money or other thing of value at any 

game played with cards, dice, balls, or any other gambling device. Texas law defines 

“Gambling device” as “any electronic, electromechanical, or mechanical contrivance ... 

that for a consideration affords the player an opportunity to obtain anything of value, the 

award of which is determined solely or partially by chance, even though accompanied by 

some skill, whether or not the prize is automatically paid by the contrivance.” According 

to Texas Penal Code §47.01(4)(A)(B). A “Bet” means an agreement to win or lose 

something of value solely or partially by chance according to Texas Penal Code 

§47.01.(1)(A)(B)(C). A person commits the offense of “Gambling Promotion” if he/she 

intentionally or knowingly does the following acts: operates or participates in the 

earnings of a gambling place; or for gain, becomes a custodian of anything of value bet 

or offered to be bet. TEX. PENAL CODE §§ 47.03.(a)(1), (3). Additionally, a person 

commits the offense of “Keeping a Gambling Place” if he knowingly uses or permits 

another to use as a gambling place any real estate, building, room, tent, vehicle, boat, or 

other property whatsoever owned by him/her or under their control, or rents or lets any 

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such property with a view or expectation that it be so used per Texas Penal Code §

47.04.(a).

9. According to 18 U.S.C. § 1955, prohibition of illegal gambling businesses, 

a prerequisite of this statute requires a violation of the State in which the illegal gambling 

business is conducted. Additionally, 18 U.S.C. § 1084 makes it illegal for someone to 

engage in the business of betting or wagering using wire communication for the 

transmission in interstate or foreign commerce of bets or wagers or for the transmission 

of a wire communication which entitles the recipient to receive money or credit as a 

result of bets or wagers, or for information assisting in the placing of bets or wagers.

These two statutes are also a “specified unlawful activity” (SUA) as defined in Title 18 § 

1956(c)(7)(A) and as such certain financial transactions with proceeds derived from 

violations of Section 1084 constitute federal money laundering violations per Title 18 §§ 

1956 and 1957.

10. The gambling devices located at 1000 FM 1404 The Country Store LLC 

locations are commonly referred to as “Sweepstakes Machines.” The so-called 

“Sweepstakes” games are played on a standard central processing unit (CPU) and 

computer monitor rather than a piece of casino equipment. The games are softwarebased, but function in a similar manner as traditional slot-machine games, or “8-liner” 

games, except that action is simulated on a computer screen rather than on mechanical 

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reels. Many sweepstakes machines are loaded with a suite of games that a player can 

choose from. 

11. When a new player visits the gambling business, they must make an 

account and be assigned a unique customer ID number by an employee. The player will 

then pay cash or transfer funds via mobile payment applications (CashApp, Venmo, 

Zelle, PayPal etc.) to an employee to add to the player’s account. The player then chooses 

one of the gambling terminals and logs in using their unique customer ID number. These 

computers run software that offers the user an assortment of different slot-machine-style 

games. Many of the games on these gambling websites are similar to a traditional 8-liner 

with various spinning reels or columns that move and align. The player chooses a game 

and selects how much they would like to “bet” or wager on each spin of the reels. 

Typically, the object of the game is to match like symbols across adjacent reels once they 

come to a stop. After placing the bet, the player then spins the electronic wheel, and the 

reels eventually stop. The result displayed by reels is determined at least partly by 

chance.

12. When bets are won, winnings are added to an account that is displayed on 

the screen and formatted in credits representing dollars and cents. When the player has 

expended all available credits, the amount in his winnings account is available to cash 

out, which is accomplished by asking the employee to cash the player out using the 

customer ID number. Players are paid out in U.S. currency in whole dollar amounts. In 

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some instances, the amount remaining may be left on the players’ account for future use. 

Additionally, many of the sweepstake’s games offered in game rooms can also be played 

remotely using a smart phone or personal computer of the player. Game rooms 

commonly will advertise for these internet-based websites or provide a quick response 

(QR) code that players can scan with their smart phone camera to access the websites. 

The sign in screens often mirror the same experience that a player has in the game room.

13. HSI reviewed the various game room applications for 2020 through 2022 

for the four game rooms operated by Harry Fox and Randall Rudd. The applications 

included information about the game rooms to include the property owners’ names, 

applicant information, operations of the game rooms to include the names and personal 

identifiers of employees and the names of other entities that are connected to the game 

rooms. A review of the 2020 through 2022 applications listed the owner of the Pritchett 

Game Room, Midway Game Room, Gilmer Game Room, and Diana Game Room as 

Instant Action Management, LLC, which is owned by Harry Fox and Randall Rudd. The 

applicant for each game room was The Country Store LLC, also owned by Harry Fox and 

Randall Rudd. 

14. Through the course of its investigation, HSI determined that the Defendant 

Real Property was subject to forfeiture because it was either (1) purchased with proceeds 

of illegal gambling and/or money laundering; or (2) facilitated and/or was involved in the 

illegal gambling and/or money laundering.

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(1) 107 Cecelia Lane, Diana, Texas

(2) 215 Alexis Drive, Longview, Texas

15. Based on HSI’s investigation to date, these properties were purchased with 

proceeds of illegal gambling and/or laundered funds. Specifically, Randall Rudd 

purchased this property using proceeds from his illegal gambling and money laundering 

efforts derived from the gaming rooms operated in Gregg and Upshur Counties.

(3) 445 Deer Brooke, Allen, Texas

16. Based on HSI’s investigation to date, this property was purchased with 

proceeds of illegal gambling and/or laundered funds. Specifically, Muhammad Usman 

Bhatti purchased this property using proceeds from illegal gambling and money 

laundering derived from the gaming rooms operated in Gregg and Upshur Counties.

(4) 3722 Ben Hogan Drive, Longview, Texas

17. Based on HSI’s investigation to date, this property was purchased with 

proceeds of illegal gambling and/or laundered funds. Specifically, John Fox purchased 

this property using proceeds from his illegal gambling and money laundering efforts

derived from the gaming rooms operated in Gregg and Upshur Counties.

(5) 6575 State Highway 155 S, Big Sandy, Upshur County, Texas

(6) 8955 U.S. Highway 271 N, Gilmer, Upshur County, Texas

(7) 717 U.S. Highway 271 N, Gilmer, Upshur County, Texas

(8) 1728 U.S. Highway 259 S, Diana, Upshur County, Texas

(9) 1722 U.S. Highway 259 S, Diana, Upshur County, Texas

(10) 1000 and 1048 FM 1404, Big Sandy, Upshur County, Texas

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18. Based on HSI’s investigation to date, these properties were involved in 

and/or facilitated illegal gambling and/or money laundering. Defendant Real Property 5 

is known as “The Pritchett Game Room.” Defendant Real Property 6 is known as “The 

Midway Game Room.” Defendant Real Property 7 is known as “The Gilmer Game 

Room.” Defendant Real Property 8 is known as “The Diana Game Room.” Defendant 

Real Property 9 is known as “The Diana Cabin.” Defendant Real Property 10 at 1048 

FM 1404 is known as “The Pritchett Cabin.” Defendant Real Property 10 at 1000 FM 

1404 is known as “The Country Store.”

19. Defendant Real Properties 5-8 are all game rooms where customers would 

illegally gamble on gambling devices operated by Instant Action Management. The 

Diana Cabin and the Pritchett Cabin each contained 5 gambling devices. Even The 

Country Store had gaming machines located inside.

PROCEDURE FOR RESTRAINING THE DEFENDANT REAL PROPERTY

20. None of the defendant real property has been seized and the government 

does not request authority from the Court to seize the defendant real property at this time. 

Pursuant to 18 U.S.C. §§ 985(b)(l) and (c)(l), the government will instead do the 

following:

a. Post notice of this action and a copy of the Complaint on the 

property;

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b. Serve notice of this action and a copy of this Complaint on the real 

property owner and any other person or entity who may claim an 

interest in the real property; and

c. File a lis pendens in county records of the real property’s status as a 

defendant in this in rem action.

21. The facts and circumstances supporting forfeiture of the above-described 

real property are contained in the Affidavit of Special Agent Gary Jackson, attached 

hereto and incorporated herein by reference.

POTENTIAL CLAIMANTS

22. The potential claimants to the defendant property are:

Randall Rudd

215 Alexis Drive

Longview, Texas 75605

Demia Rudd

215 Alexis Drive

Longview, Texas 75605

Muhammad Usman Bhatti

445 Deer Brooke Drive

Allen, Texas 75002

Two Harbors Investment Corporation

1601 Utica Avenue South

Suite 900

St. Louis Park, Minnesota 55416

John Fox

3722 Ben Hogan Drive

Longview, Texas 75605

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 Harry Fox 

8844 US Highway 271 North 

Gilmer, Texas 75644 

 

 Instant Action Management, LLC 

 c/o Randall Rudd, Managing Member and Registered Agent 

 723 North Wood 

 Gilmer, Texas 75644 

CLAIM FOR RELIEF

23. The United States respectfully requests that the Court forfeit the defendant 

property to the United States, award costs and disbursements in this action to the United 

States, and order any other relief that the Court deems appropriate. 

 Respectfully submitted, 

 DAMIEN M. DIGGS 

UNITED STATES ATTORNEY 

 

 /s/ Robert Austin Wells 

 ROBERT AUSTIN WELLS 

 Assistant United States Attorney

 Texas State Bar No. 24033327 

 110 N. College, Suite 700 

 Tyler, Texas 75702 

 Tel: (903) 590-1400 

 Fax: (903) 590-1437 

 Email: robert.wells3@usdoj.gov

 

ATTORNEYS FOR THE UNITED STATES 

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