Plea Agreement — United States v. Krista Marie Menchaca

Record facts

U.S. District Court, Southern District of West Virginia · No. 2:25-cr-00068 · Doc. 13 · 2025-04-30 · Docket on CourtListener

Full text

United States Department of Justice

United States Attorney
Southern District of West Virginia

Robert C. Byrd United States Courthouse 1-800-659-8726
300 Virginia Street, East 304-345-2200
Suite 4000 FAX: 304-347-5104

Charleston, WV 25301

~~

April 10, 2025 iLED
APR 30 2025

Emily Szopinski
Assistant Federal Public Defender oa
United States Courthouse, Room 3400 Southern District of West Viginia
300 Virginia Street East

Charleston, West Virginia 25301

Re: United States v. Krista Marie Menchaca
Criminal No. 2:25-c2 -0006X¥ (USDC SDWV)

Dear Ms. Szopinski:

This will confirm our conversations with regard to your
client, Krista Marie Menchaca (hereinafter “Ms. Menchaca”). Asa
result of these conversations, it is agreed by and between the
United States and Ms. Menchaca as follows:

Ls CHARGING AGREEMENT. Ms. Menchaca agrees to waive her
right pursuant to Rule 7 of the Federal Rules of Criminal Procedure
to be charged by indictment and will consent to the filing of a
single-count information to be filed in the United States District
Court for the Southern District of West Virginia, a copy of which
is attached hereto as “Plea Agreement Exhibit A.”

Diss RESOLUTION OF CHARGES. Ms. Menchaca will plead guilty
to a violation of 18 U.S.C. § 2315 (receipt of stolen money) as
charged in said information.

3 MAXIMUM POTENTIAL PENALTY. The maximum penalty to which
Ms. Menchaca will be exposed by virtue of this guilty plea is as
follows:

(a) Imprisonment for a period of 10 years;

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April 10, 2025 Re: Krista Marie Menchaca
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(b) A fine of $250,000, or twice the gross pecuniary gain or
twice the gross pecuniary loss resulting from
defendant’s conduct, whichever is greater;

(c) A term of supervised release of 3 years;

(d) A mandatory special assessment of $100 pursuant to 18
U.S.C. § 3013; and

(e) An order of restitution pursuant to 18 U.S.C. §§ 3663
and 3664, or as otherwise set forth in this plea
agreement.

4, SPECIAL ASSESSMENT. Ms. Menchaca has submitted certified
financial statements to the United States reflecting that she is
without sufficient funds to pay the special assessment due upon
conviction in this case. Ms. Menchaca agrees that, if incarcerated,
she will join the Inmate Financial Responsibility Program,
earnings from which will be applied toward payment of the special
assessment.

5. RESTITUTION. Notwithstanding the offense of conviction,
Ms. Menchaca agrees that she owes restitution to the United States
Small Business Administration in the amount of $21,963.96 and
agrees to pay such restitution, with interest as allowed by law,
to the fullest extent financially feasible. In aid of
restitution, Ms. Menchaca further agrees as follows:

(a) Ms. Menchaca agrees to fully assist the United States in
identifying and locating any assets to be applied toward
restitution and to give signed, sworn statements and
testimony concerning assets upon request of the United
states.

(b) Ms. Menchaca will fully complete and execute, under
oath, a Financial Statement and a Release of Financial
Information on forms supplied by the United States and
will return these completed forms to counsel for the

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April 10, 2025 Re: Krista Marie Menchaca
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United States within seven calendar days from the date
of the signing of this plea agreement.

(c) Ms. Menchaca agrees not to dispose of, transfer or
otherwise encumber any real or personal property which
she currently owns or in which she holds an interest.

(d) Ms. Menchaca agrees to fully cooperate with the United
States in the liquidation of assets to be applied towards
restitution, to execute any and all documents necessary
to transfer title of any assets available to satisfy
restitution, to release any and all right, title and
interest she may have in and to such property, and waives
her right to exemptions under the Federal Debt
Collection Procedures Act upon levy against and the sale
of any such property.

(e) Ms. Menchaca agrees not to appeal any order of the
District Court imposing restitution unless the amount of
restitution imposed exceeds the amount set forth in this
plea agreement. However, nothing in this provision is
intended to preclude the Court from ordering Ms.
Menchaca to pay a greater or lesser sum of restitution
in accordance with law.

6. PAYMENT OF MONETARY PENALTIES. Ms. Menchaca authorizes
the Financial Litigation Program in the United States Attorney’s
Office to obtain a credit report from any major credit reporting
agency prior to sentencing in order to assess her financial
condition for sentencing purposes. Ms. Menchaca agrees not to
object to the District Court ordering all monetary penalties
(including the special assessment, fine, court costs, and any
restitution that does not exceed the amount set forth in this plea
agreement) to be due and payable in full immediately and subject
to immediate enforcement by the United States. So long as the
monetary penalties are ordered to be due and payable in full
immediately, Ms. Menchaca further agrees not to object to the
District Court imposing any schedule of payments as merely a

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April 10, 2025 Re: Krista Marie Menchaca
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minimum schedule of payments and not the only method, nor a
limitation on the methods, available to the United States to
enforce the judgment.

Ms. Menchaca authorizes the United States, through the
Financial Litigation Program, to submit any unpaid criminal
monetary penalty to the United States Treasury for offset in
accordance with the Treasury Offset Program, regardless of the
defendant’s payment status or history at that time.

In addition to any payment ordered by the Court, Ms. Menchaca
shall pay all monies received from any source other than earned
income, including but not limited to, lottery winnings, gambling
proceeds, judgments, inheritances, and tax refunds, toward the
court ordered restitution or fine.

Ms. Menchaca agrees that if she retains counsel or has
appointed counsel in response to the United States’ efforts to
collect any monetary penalty, she shall immediately notify the
United States Attorney’s Office, Attention: Financial Litigation
Program, 300 Virginia Street E., Suite 4000, Charleston, West
Virginia 25301, in writing and shall instruct her attorney to
notify FLP immediately of her representation.

7. COOPERATION. Ms. Menchaca will be forthright and
truthful with this office and other law enforcement agencies with
regard to all inquiries made pursuant to this agreement, and will
give signed, sworn statements and grand jury and trial testimony

upon request of the United States. In complying with this
provision, Ms. Menchaca may have counsel present except when
appearing before a grand jury. Further, Ms. Menchaca agrees to
be named as an unindicted co-conspirator and unindicted aider and
abettor, as appropriate, in subsequent indictments or
informations.

Bx USE IMMUNITY. Unless this agreement becomes void due

to a violation of any of its terms by Ms. Menchaca, and except as
expressly provided for in paragraph 10 below, nothing contained in

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April 10, 2025 Re: Krista Marie Menchaca
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any statement or testimony provided by her pursuant to this
agreement, or any evidence developed therefrom, will be used
against her, directly or indirectly, in any further criminal
prosecutions or in determining the applicable guideline range
under the Federal Sentencing Guidelines.

Oi. LIMITATIONS ON IMMUNITY. Nothing contained in this
agreement restricts the use of information obtained by the United
States from an independent, legitimate source, separate and apart
from any information and testimony provided pursuant to this
agreement, in determining the applicable guideline range or in
prosecuting Ms. Menchaca for any violations of federal or state
laws. The United States reserves the right to prosecute Ms.
Menchaca for perjury or false statement if such a situation should
occur pursuant to this agreement.

10. STIPULATION OF FACTS AND WAIVER OF FED. R. EVID. 410.
The United States and Ms. Menchaca stipulate and agree that the
facts comprising the offense of conviction include the facts
outlined in the “Stipulation of Facts,” a copy of which is attached
hereto as “Plea Agreement Exhibit B.”

Ms. Menchaca agrees that if she withdraws from this agreement,
or this agreement is voided as a result of a breach of its terms
by her, and she is subsequently tried for her conduct alleged in
the information, as more specifically described in the Stipulation
of Facts, the United States may use and introduce the Stipulation
of Facts in the United States case-in-chief, in cross-examination
of Ms. Menchaca or of any of her witnesses, or in rebuttal of any
testimony introduced by her or on her behalf. Ms. Menchaca
knowingly and voluntarily waives, see United States v. Mezzanatto,
513 U.S. 196 (1995), any right she has pursuant to Fed. R. Evid.
410 that would prohibit such use of the Stipulation of Facts. If
the Court does not accept the plea agreement through no fault of
the defendant, or the Court declares the agreement void due to a
breach of its terms by the United States, the Stipulation of Facts
cannot be used by the United States.

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April 10, 2025 Re: Krista Marie Menchaca
Page 6

The United States and Ms. Menchaca understand and acknowledge
that the Court is not bound by the Stipulation of Facts and that
if some or all of the Stipulation of Facts is not accepted by the
Court, the parties will not have the right to withdraw from the
plea agreement.

11. WAIVER OF APPEAL AND COLLATERAL ATTACK. Ms. Menchaca
knowingly and voluntarily waives her right to seek appellate review
of her conviction and of any sentence imposed by the District
Court, including any term of imprisonment, fine, term or condition
of supervised release, term or condition of probation, or special
assessment, or the manner in which the sentence was determined, on
any ground whatsoever including any ground set forth in 18 U.S.C.
§ 3742(a), except that the defendant may appeal any sentence that
exceeds the maximum penalty prescribed by statute. Ms. Menchaca
also knowingly and voluntarily waives any right to seek appellate
review of any claim or argument that (1) the statute of conviction,
18 U.S.C. § 2315, is unconstitutional, and (2) Ms. Menchaca conduct
set forth in the Stipulation of Facts (Plea Agreement Exhibit B)
does not fall within the scope of 18 U.S.C. § 2315.

The United States also agrees to waive its right to appeal
any sentence imposed by the District Court, or the manner in which
the sentence was determined, on any ground whatsoever, including
any ground set forth in 18 U.S.C. § 3742(b), except that the United
States may appeal any sentence that is below the minimum penalty,
if any, prescribed by statute.

Ms. Menchaca also knowingly and voluntarily waives the right
to challenge her guilty plea and conviction resulting from this
plea agreement, and any sentence imposed for the conviction, in
any collateral attack, including but not limited to a motion
brought under 28 U.S.C. § 2255.

The waivers noted above shall not apply to a post-conviction
collateral attack or direct appeal based on a claim of ineffective
assistance of counsel.

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April 10, 2025 Re: Krista Marie Menchaca
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12. WAIVER OF FOIA AND PRIVACY RIGHT. Ms. Menchaca
knowingly and voluntarily waives all rights, whether asserted
directly or by a representative, to request or receive from any
department or agency of the United States any records pertaining
to the investigation or prosecution of this case, including without
any limitation any records that may be sought under the Freedom of
Information Act (FOIA), 5 U.S.C. § 552, or the Privacy Act of 1974,
5 U.S.C. § 552a, following final disposition.

13. FINAL DISPOSITION. The matter of sentencing is within
the sole discretion of the Court. The United States has made no
representations or promises as to a specific sentence. The United
States reserves the right to:

(a) Inform the Probation Office and the Court of all relevant
facts and conduct;

(b) Present evidence and argument relevant to the factors
enumerated in 18 U.S.C. § 3553(a);

(c) Respond to questions raised by the Court;

(d) Correct inaccuracies or inadequacies in the presentence
report;

(e) Respond to statements made to the Court by or on behalf
of Ms. Menchaca;

(£) Advise the Court concerning the nature and extent of Ms.
Menchaca’s cooperation; and

(g) Address the Court regarding the issue of Ms. Menchaca’s
acceptance of responsibility.

14. VOIDING OF AGREEMENT. If either the United States or
Ms. Menchaca violates the terms of this agreement, the other party
will have the right to void this agreement. If the Court refuses

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April. 10, 2025 Re: Krista Marie Menchaca
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to accept this agreement, it shall be void.

15. ENTIRETY OF AGREEMENT. This written agreement
constitutes the entire agreement between the United States and Ms.
Menchaca in this matter. There are no agreements, understandings
or recommendations as to any other pending or future charges
against Ms. Menchaca in any Court other than the United States
District Court for the Southern District of West Virginia.

Acknowledged and agreed to on behalf of the United States:

LISA G. JOHNSTO}

JTS/lab

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Emily Szopinski, AFPD
April 10, 2025 Re: Krista Marie Menchaca
Page 9

I hereby acknowledge by my initials at the bottom of each of the
foregoing pages and by my signature on the last page of this nine-
page agreement that I have read and carefully discussed every part
of it with my attorney, that I understand the terms of this
agreement, and that I voluntarily agree to those terms and
conditions set forth in the agreement. I further acknowledge that
my attorney has advised me of my rights, possible defenses, the
Sentencing Guideline provisions, and the consequences of entering
into this agreement, that no promises or inducements have been
made to me other than those in this agreement, and that no one has
threatened me or forced me in any way to enter into this agreement.
Finally, I am satisfied with the representation of my attorney in
this matter.

4f « 23.-DOLS

Krista Marie Menchaca Date Signed
Defendant

Gla | ooca d- Ad 2028
Emily (Szopinsk®?, "AFPD Date Signed

Counsel for Defendant

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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF WEST VIRGINIA
CHARLESTON

UNITED STATES OF AMERICA

v. CRIMINAL No, 2: 2S -C2-OO00(, —

18 U.S.C. § 2315

KRISTA MARIE MENCHACA

INFORMATION
The United States Attorney Charges:

On or about July 8, 2021, at or near Dunbar, Kanawha County,
West Virginia, within the Southern District of West Virginia and
elsewhere, defendant KRISTA MARIE MENCHACA received, possessed,
concealed, stored, and disposed of money of the value of $5,000 or
more, that is, approximately $19,395 in United States currency,
which crossed a State boundary after being stolen, unlawfully
converted, and taken, knowing the same to have been stolen,

unlawfully converted, and taken.

In violation of Title 18, United States Code, Section 2315.

UNITED STATES OF AMERICA

LISA G. JOHNSTON
Acting Uni

es Attorney

By:

STORAGE
istant United /Stattes Attorney

PLEA AGREEMENT EXHIBIT A
UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF WEST VIRGINIA
CHARLESTON

UNITED STATES OF AMERICA

v. CRIMINAL No. 2°29 —- Cit- OW 4

KRISTA MARIE MENCHACA

STIPULATION OF FACTS

The United States and Krista Marie Menchaca (hereinafter
“defendant,” “me,” “my,” “I,” and “her”) stipulate and agree
that the facts comprising the offense of conviction in the
Information in the Southern District of West Virginia, Criminal
No. 2:25 -CR-v00K4, include the following:

On or about May 12, 2021, an individual submitted a
Paycheck Protection Program (“PPP”) loan application on my
behalf to a lender that participated in the PPP loan program,
and the lender was in Arizona. The application, including
supplemental documents, contained materially false information
in at least two respects. First, the documents falsely
represented that I was a _ self-employed health practitioner
(NAICS No. 621399) who received $93,100 in gross income during
2020. Second, a fraudulent IRS Form 1040 - Schedule C: Profit or
Loss from Business Forms (“IRS Form 1040”), for tax year 2020
was submitted on my behalf, claiming that I earned $93,100 in
tax year 2020. I never earned $93,100 in gross income as a
health practitioner in tax year 2020 or during any tax year, and
I did not have my own business. The IRS Form 1040 was also never
submitted by me to the IRS; it was created for the sole purpose
of obtaining a fraudulent PPP loan. This information qualified
me for a loan amount I otherwise would not have been qualified
to receive. The lender approved the fraudulent application.

On July 1, 2021, my Huntington National Bank account had a
balance of $1,792.31. On or about July 2, 2021, while I was
living in Michigan, I received a $19,395 ACH transfer disbursed
by the lender, and the funds were electronically deposited into
my Huntington National Bank account. At the time I received the

PLEA AGREEMENT EXHIBIT B
1
funds, I knew the $19,395 represented proceeds from _ the
fraudulent PPP loan.

On or about July 8, 2021, I moved to Dunbar, Kanawha
County, West Virginia, within the Southern District of West
Virginia. On July 8, 2021, my Huntington National Bank account
had a balance of $19,195.34. Of that amount, more than $5,000
represented proceeds from the fraudulent PPP loan I _ had

obtained.

I spent more than $5,000 of the PPP loan proceeds on my
personal expenses when I lived in Dunbar, Kanawha County, West

Virginia.

This Stipulation of Facts does not contain each and every
fact known to defendant and to the United States concerning her
involvement and the involvement of others in the charges set
forth in the Information.

Stipulated and agreed to:

Kurta Monchace 4-2.) “2005
KRISTA MARIE MENCHACA Date
Defendant

44, f Ssaed Y-AQ- JOBS

EMILY /7L. SZOPYNSKI, AFP Date
Counsel for Pefend

4-30-25

Date

T. STORAG
istant United Stat¢s Attorney

PLEA AGREEMENT EXHIBIT B
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