BY KYM LIEBLER
The Cincinnati Enquirer
Ten days after he was indicted on federal drug charges, Lebanon resident James A. McCarty appeared in U.S. District Court on Monday with four of his alleged co-conspirators.
Although the charges for which Mr. McCarty was indicted are greater in number and more serious than those filed against his co-defendants, he was released on his own recognizance.
Mr. McCarty, 38, of 1945 Shawhan Road in Morrow, was indicted April 17 on one count of conspiracy to distribute cocaine and marijuana, five counts of distribution of cocaine and money laundering.
From 1993 until earlier this year, Mr. McCarty and five others allegedly transported kilograms of cocaine and hundreds of pounds of marijuana across states -- including California, Florida, Nebraska, Nevada and Ohio -- using cars modified with secret compartments, according to the indictment.
Mr. McCarty owns Pyramid Builders, a construction firm based in Lebanon, with his younger brother, Jeffery McCarty.
The indictment says Mr. McCarty, convicted of trafficking in drugs in January 1982 and of drug abuse in January 1988 in Warren County Common Pleas Court, "unlawfully distributed" cocaine on Oct. 31, Nov. 11, Nov. 13, Dec. 8 and Jan. 23.
He also allegedly used a money-market account from November 1994 until February 1998 to hide $46,269 in drug proceeds, according to the indictment.
In February, agents with the Drug Enforcement Administration searched his Cherry Street business and Shawhan Road home. Although no drugs were found, the U.S. attorney's office has filed a civil lawsuit against both properties using federal drug forfeiture laws.
Attorneys for the McCarty brothers are appealing the lawsuits. Also in court Monday was Randall R. Neuhausser, 44, of 2249 Bone Road in Warren County's Union Township; his wife, Sheila Neuhausser, 34, of the same address; Scott Myers, 31, of 3440 Price Ave., Price Hill; and Ted Dunlap, 38, of 103 Pamela Drive, Morrow.
All of the defendants are charged with conspiracy to distribute cocaine and marijuana, which carries a penalty of 10 years to life in prison and a $4 million fine.
Mrs. Neuhausser and Mr. Myers also are charged with interstate travel to promote narcotics activity.
The arraignment for the Neuhaussers was continued until Friday afternoon.
Mr. Neuhausser, described by authorities as the drug operation's ringleader who supervised people who dealt drugs for him, is the only defendant being held without bond. The others were released on bond.
Mr. Myers and Mr. Dunlap pleaded not guilty to charges.
Doug Burgess, 38, of 143 Twilight Drive in Fairfield, also charged in the indictment with conspiracy to distribute cocaine and marijuana, is to be arraigned this afternoon.
