IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF GEORGIA ATLANTA DIVISION

) ) PLAINTIFF, ) ) VS. ) ) THOMAS JOSEPH SCHLOEDER, ) ) DEFENDANT. ) ) ) _____________________________)

UNITED STATES OF AMERICA,

DOCKET NUMBER 1:13-CR-047-ODE ATLANTA, GEORGIA MAY 2, 2013

TRANSCRIPT OF GUILTY PLEA PROCEEDINGS BEFORE THE HONORABLE ORINDA D. EVANS, UNITED STATES SENIOR DISTRICT JUDGE APPEARANCES: FOR THE PLAINTIFF: JILL STEINBERG UNITED STATES ATTORNEY'S OFFICE ATLANTA, GEORGIA 30303 BARRY HAZEN OFFICE OF BARRY HAZEN ATLANTA, GEORGIA 30303

FOR THE DEFENDANT:

MECHANICAL STENOGRAPHY OF PROCEEDINGS AND COMPUTER-AIDED TRANSCRIPT PRODUCED BY OFFICIAL COURT REPORTER: MONTRELL VANN, CCR,RPR,RMR,CRR 1794 UNITED STATES COURTHOUSE 75 SPRING STREET, SOUTHWEST ATLANTA, GEORGIA 30303 (404)215-1549

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(IN ATLANTA, FULTON COUNTY, GEORGIA, MAY 2, 2013, IN OPEN COURT.) THE COURT: GOOD AFTERNOON, FOLKS. HELLO.

MS. STEINBERG: THE COURT:

HOW ARE YOU? GOOD. HOW ARE YOU? LADIES AND GENTLEMEN, THIS IS

MS. STEINBERG: THE COURT: A PLEA HEARING.

ALL RIGHT.

I HAVE A NEGOTIATED PLEA AGREEMENT HERE BEFORE WILL COUNSEL COME ON UP.

ME, SO LET'S GO AHEAD AND GET STARTED. AND MR. -- IS IT SCHLOEDER? MR. SCHLOEDER: THE COURT:

SCHLOEDER, YOUR HONOR. MR. SCHLOEDER, IF YOU WOULD

THANK YOU.

JUST COME AND STAND RIGHT BEHIND THE MICROPHONE. YOU MAY PROCEED. MS. STEINBERG: THANK YOU, YOUR HONOR.

MR. SCHLOEDER, I'M GOING TO SHOW YOU A DOCUMENT ENTITLED GUILTY PLEA AND PLEA AGREEMENT. DOCUMENT? MR. SCHLOEDER: MS. STEINBERG: PAGE 11 OF THAT DOCUMENT. YES, I AM. ALL RIGHT. I'M GOING TO DIRECT YOU TO ARE YOU FAMILIAR WITH THIS

THERE'S A SIGNATURE LINE WHICH IS HAVE YOU

RIGHT ABOVE YOUR PRINTED NAME THOMAS JOSEPH SCHLOEDER. SIGNED ON THAT? MR. SCHLOEDER: MS. STEINBERG: THAT IS MY SIGNATURE, YES.

AND, MR. HAZEN, HAVE YOU ALSO SIGNED

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ON PAGE 11 OF THIS DOCUMENT AS MR. SCHLOEDER'S ATTORNEY? MR. HAZEN: I HAVE. AND I'M GOING TO DIRECT YOU GUYS ALSO

MS. STEINBERG: TO PAGE 12.

IN THE MIDDLE ON THE PAGE THERE'S A SIGNATURE LINE.

MR. SCHLOEDER, DID YOU SIGN ON THAT SIGNATURE LINE? MR. SCHLOEDER: MS. STEINBERG: BOTTOM OF PAGE 12? MR. HAZEN: I DID. YOUR HONOR, THE GOVERNMENT TENDERS THE YES, I DID. MR. HAZEN, AND DID YOU SIGN AT THE

MS. STEINBERG:

EXECUTED GUILTY PLEA AND PLEA AGREEMENT IN THIS MATTER. COURTROOM DEPUTY CLERK: MR. SCHLOEDER, WILL YOU RAISE

YOUR RIGHT HAND TO TAKE AN OATH, PLEASE? (DEFENDANT SWORN.) THE COURT: THIS CASE? MR. HAZEN: THE COURT: MR. HAZEN: THE COURT: MR. HAZEN: THE COURT: OFFICE? MR. HAZEN: THE COURT YES, WE HAVE. THANK YOU. I AM, YOUR HONOR. OKAY. YES. SO YA'LL ARE BOTH COUNSEL OF RECORD? YES. AND YOU'VE BOTH SIGNED UP WITH THE CLERK'S IS MR. BRODY STILL COUNSEL? MR. HAZEN, ARE YOU COUNSEL OF RECORD IN

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1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY THE COURT: Q.

THOMAS JOSEPH SCHLOEDER AFTER HAVING BEEN FIRST DULY SWORN, TESTIFIED AS FOLLOWS: EXAMINATION

MR. SCHLOEDER, I'M SURE YOU'VE DISCUSSED YOUR CASE IN SOME

DETAIL WITH YOUR COUNSEL BEFORE COMING TO COURT TODAY, AND I BELIEVE THEY PROBABLY HAVE TOLD YOU WHAT YOUR RIGHTS ARE. HOWEVER, THE LAW DOES REQUIRE THAT I PERSONALLY DISCUSS WITH YOU YOUR DECISION TO PLEAD GUILTY BEFORE I CAN ACCEPT YOUR GUILTY PLEA. I'M REQUIRED TO MAKE SURE THAT YOU'LL UNDERSTAND YOUR

RIGHTS, TO MAKE SURE THAT THERE IS A FACTUAL BASIS FOR THIS CASE, AND TO MAKE SURE THAT YOUR GUILTY PLEA IS VOLUNTARY BEFORE I CAN ACCEPT IT. A. Q. DO YOU UNDERSTAND THAT?

YES, I DO, YOUR HONOR. I WANT TO EXPLAIN TO YOU FIRST THAT YOU DON'T HAVE TO PLEAD IF YOU WISH TO DO SO, YOU MAY CONTINUE PLEADING NOT AND IF YOU WERE TO DO THAT, YOUR CASE WOULD GO ON TO AT TRIAL YOU'D BE ENTITLED TO BE REPRESENTED BY YOUR AND IF YOU WERE TO -- UNABLE TO AFFORD YOUR COUNSELS'

GUILTY. GUILTY. TRIAL.

COUNSEL.

SERVICES -THE COURT: MR. HAZEN: THE COURT: BY THE COURT: Q. IF YOU WERE UNABLE TO AFFORD YOUR COUNSELS' SERVICES, THEN UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT ARE Y'ALL RETAINED OR APPOINTED? RETAINED, YOUR HONOR. RETAINED. OKAY.

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I WOULD APPOINT COUNSEL WHO WOULD REPRESENT YOU AT NO EXPENSE TO YOU AT TRIAL. AT TRIAL, YOUR COUNSEL WOULD BE ABLE TO THEY WOULD BE ABLE TO YOU

CROSS-EXAMINE THE GOVERNMENT'S WITNESSES.

SUBPOENA ANY AVAILABLE WITNESSES TO TESTIFY ON YOUR BEHALF.

WOULD BE ABLE TO TESTIFY IF YOU WISH TO DO SO, BUT YOU COULDN'T BE REQUIRED TO TESTIFY IF YOU ELECTED NOT TO TESTIFY. IT WOULD

BE THE GOVERNMENT'S RESPONSIBILITY TO PROVE THE CHARGES AGAINST YOU BEYOND A REASONABLE DOUBT. AND IF THE GOVERNMENT FAILED TO YOU WOULD BE

DO THAT, THE JURY WOULD FIND YOU NOT GUILTY.

ENTITLED TO HAVE YOUR CASE HEARD BY A JURY OF YOUR PEERS, THAT IS, A JURY OF 12 CITIZENS. NOW, IF I ACCEPT YOUR GUILTY PLEA TODAY, OF COURSE THERE WILL NOT BE ANY TRIAL IN YOUR CASE, YOU WILL HAVE GIVEN UP YOUR RIGHT TO A TRIAL, AND YOU WILL HAVE GIVEN UP YOUR RIGHTS ASSOCIATED WITH THE TRIAL WHICH I HAVE JUST DISCUSSED. UNDERSTAND WHAT I JUST SAID? A. Q. YES, YOUR HONOR. IF I ACCEPT YOUR GUILTY PLEA TODAY YOU CANNOT CHANGE YOUR DO YOU UNDERSTAND THAT? DO YOU

MIND LATER AND PLEAD NOT GUILTY. A. Q. YES, MA'AM.

IF I ACCEPT YOUR GUILTY PLEA TODAY, THE ONLY THING THAT DO YOU UNDERSTAND

WILL BE LEFT IN YOUR CASE WILL BE SENTENCING. THAT? A. Q. YES, I DO, YOUR HONOR.

I WANT YOU TO KNOW THAT I DON'T KNOW TODAY WHAT THE UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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SENTENCE WILL BE IN YOUR CASE; THE REASON IS BECAUSE I DON'T KNOW ENOUGH ABOUT YOU OR YOUR CASE SO AS TO BE ABLE TO DECIDE THAT TODAY. BEFORE I DECIDE THE SENTENCE I'LL READ A WRITTEN IT'S A REPORT THAT WILL TELL ME ABOUT YOUR

PRESENTENCE REPORT. BACKGROUND.

IT WILL GIVE ME MORE INFORMATION ABOUT THE CHARGES IT WILL ALSO TELL ME ONCE I'VE READ THAT

THAT YOU'RE PLEADING GUILTY TO TODAY.

WHETHER YOU HAVE ANY PRIOR CRIMINAL RECORD.

REPORT AND ONCE I'VE RULED ON ANY OBJECTIONS THAT YOU AND YOUR ATTORNEY MIGHT HAVE TO IT, OR THAT THE GOVERNMENT MIGHT HAVE TO IT, ALSO AFTER I HAVE HEARD ANY STATEMENT YOU MIGHT WANT TO MAKE, THEN AND ONLY THEN WILL I DECIDE WHAT THE SENTENCE WILL BE. HOWEVER, YOU SHOULD UNDERSTAND THAT YOU'RE PLEADING GUILTY

TO A CHARGE THAT CARRIES A MAXIMUM POSSIBLE TERM OF IMPRISONMENT OF 20 YEARS. THERE IS A MANDATORY MINIMUM TERM OF IMPRISONMENT IN OTHER WORDS, I CANNOT GIVE YOU A SENTENCE DO YOU UNDERSTAND THAT?

OF FIVE YEARS.

BELOW FIVE YEARS. A. Q. YES, I DO.

I WILL BE REQUIRED TO FOLLOW THE TERM OF IMPRISONMENT WITH

A PERIOD OF SUPERVISED RELEASE WHICH COULD BE ANYWHERE FROM FIVE YEARS TO LIFE. I COULD IMPOSE A FINE OF AS MUCH AS $250,000,

AND THERE WILL BE A SPECIAL ASSESSMENT OF $100 WHICH IS LIKE COURT COSTS. A. DO YOU UNDERSTAND WHAT I JUST SAID?

YES, I DO, YOUR HONOR. THE COURT: COUNSEL, ARE RESTITUTION OR FORFEITURE A

CONSIDERATION IN THIS CASE? UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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MR. HAZEN:

NO, YOUR HONOR. NO, SIR (VERBATIM), NO RESTITUTION

MS. STEINBERG:

REQUEST HAS BEEN MADE AT THIS TIME. BY THE COURT: Q. NOW, I SEE IN THE PLEA AGREEMENT THAT BOTH SIDES HAVE

AGREED THAT CERTAIN PARTS OF THE SENTENCING GUIDELINES SHALL APPLY IN THIS CASE. I DO WANT TO POINT OUT TO YOU THAT THE

COURT DOES NOT HAVE TO ACCEPT THE GOVERNMENT'S AGREEMENTS OR THE DEFENSE'S AGREEMENTS IN THIS REGARD. AND IF I DON'T ACCEPT

THOSE AGREEMENTS OR RECOMMENDATIONS, YOU WOULD NOT BE ABLE TO WITHDRAW YOUR GUILTY PLEA. A. Q. YES, I DO, YOUR HONOR. SIMILARLY, THE PLEA AGREEMENT SAYS THAT THE GOVERNMENT WILL DO YOU UNDERSTAND THAT?

RECOMMEND THAT YOU BE SENTENCED AT THE LOW END OF THE ADJUSTED GUIDELINE RANGE. AGAIN, I DON'T HAVE TO ACCEPT THE AND IF I DON'T ACCEPT ONE OR DO YOU

RECOMMENDATIONS OF EITHER SIDE.

MORE OF THEM, YOU COULD NOT WITHDRAW YOUR GUILTY PLEA. UNDERSTAND THAT? A. Q. YES, I DO.

I WANT TO POINT OUT THAT YOUR PLEA AGREEMENT CONTAINS A SPECIFICALLY, IT SAYS THAT IF

LIMITED WAIVER OF APPEAL RIGHTS.

I GIVE YOU A SENTENCE THAT'S ABOVE YOUR GUIDELINE RANGE, YOU WOULD BE ABLE TO APPEAL THAT. IF I GIVE YOU -- IF THE BUT

GOVERNMENT APPEALS YOUR SENTENCE, YOU COULD APPEAL TOO.

EXCEPT FOR THOSE TWO INSTANCES YOU ARE GIVING UP YOUR RIGHT TO UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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APPEAL YOUR SENTENCE. A.

DO YOU UNDERSTAND THAT?

YES, I DO, YOUR HONOR. THE COURT: OKAY. NOW, I DO WANT TO GO BACK TO JUST IN EVERY CRIMINAL CASE THE

SPEAK BRIEFLY ABOUT THE GUIDELINES.

COURT IS REQUIRED TO CALCULATE THE DEFENDANT'S GUIDELINE RANGE, SO THAT'S SOMETHING I WILL DO IN THIS CASE. I DON'T HAVE TO I CAN GIVE A

GIVE A SENTENCE THAT'S INSIDE THE GUIDELINE RANGE.

SENTENCE ABOVE IT OR BELOW IT SO LONG AS I DON'T GO BELOW THE MANDATORY MINIMUM. BUT THE COURT IS REQUIRED TO CONSIDER THE

GUIDELINE RANGE IN DETERMINING WHAT A REASONABLE SENTENCE WOULD BE IN A PARTICULAR CASE. FOR THAT REASON I WOULD LIKE TO KNOW,

REALIZING IT'S JUST A GUESSTIMATE AT THIS POINT, THAT COUNSEL CAN'T KNOW FOR SURE HOW THE GUIDELINES ARE GOING TO TURN OUT. COUNSEL, WHAT CAN YOU TELL ME ABOUT WHERE THE GUIDELINE RANGE WILL FALL? MS. STEINBERG: YOUR HONOR, IT'S THE PARTIES'

EXPECTATION THAT ULTIMATELY THE GUIDELINES WILL RENDER AN ADJUSTED OFFENSE LEVEL OF 30. I BELIEVE, THOUGH, IT WILL LIKELY ALTHOUGH THE DEFENDANT

BE A CRIMINAL HISTORY CATEGORY OF ONE.

DOES HAVE A PRIOR CONVICTION FOR A SEX OFFENSE, IT'S SUFFICIENTLY OLD. I DON'T BELIEVE THAT IT WILL END UP IMPACTING

THE CRIMINAL HISTORY CATEGORY, AND THAT WOULD YIELD A GUIDELINE RANGE OF 97 TO 121 MONTHS. THE COURT: MR. HAZEN: MR. HAZEN, DOES THAT COMPORT WITH YOUR -THAT IS PRECISELY MY ANALYSIS.

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THE COURT: BY THE COURT: Q.

-- BELIEF?

AND, AGAIN, I DO WANT TO SAY AT THIS POINT THAT COUNSEL ARE

MAKING ESTIMATES, BUT THE COURT COULD BE MAKING RULINGS AT THE SENTENCING HEARING THAT WOULD AFFECT WHERE THE GUIDELINE RANGE WILL FALL. A. Q. DO YOU UNDERSTAND THAT?

YES, I DO. MR. SCHLOEDER, HAS THE GOVERNMENT PROMISED YOU ANYTHING TO

GET YOU TO PLEAD GUILTY THAT'S NOT IN THE WRITTEN PLEA AGREEMENT? A. Q. NO, MA'AM. HAVE YOU HAD AN ADEQUATE OPPORTUNITY TO DISCUSS YOUR CASE

WITH YOUR COUNSEL BEFORE DECIDING TO PLEAD GUILTY? A. Q. A. Q. YES, I HAVE, YOUR HONOR. ARE YOU SATISFIED WITH YOUR COUNSELS' SERVICES? YES, I AM. I'M GOING TO NEED TO ASK YOU A FEW QUESTIONS TO DETERMINE YOU WILL

WHETHER THERE IS A FACTUAL BASIS FOR YOUR GUILTY PLEA. BE ANSWERING MY QUESTIONS UNDER OATH.

SO IF YOU WERE TO GIVE A

FALSE ANSWER TO ANY QUESTION, YOU COULD BE PROSECUTED FOR PERJURY. A. DO YOU UNDERSTAND THAT?

YES, I DO, YOUR HONOR. THE COURT: MS. STEINBERG, IF THIS CASE WENT TO TRIAL,

SPECIFICALLY IF COUNT ONE WENT TO TRIAL, WHAT WOULD THE GOVERNMENT'S EVIDENCE SHOW? UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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MS. STEINBERG:

YOUR HONOR, THE GOVERNMENT EXPECTS

THAT THE EVIDENCE WOULD SHOW THAT IN NOVEMBER OF 2012 A DETECTIVE WITH THE DEKALB COUNTY POLICE DEPARTMENT WAS CONDUCTING AN INVESTIGATION ON A PEER-TO-PEER NETWORK FOR INDIVIDUALS IN HIS AREA WHO MAY BE IN POSSESSION OF CHILD PORNOGRAPHY. HE WAS ABLE TO IDENTIFY AN I.P. ADDRESS THAT HAD THERE WAS

AVAILABLE OVER 130 KNOWN IMAGES OF CHILD PORNOGRAPHY.

NO DOWNLOAD MADE ON THAT DAY BY THE DETECTIVE, BUT HE WAS ABLE TO DETERMINE BY LOOKING AT THE HASH VALUES OR THE DIGITAL SIGNATURE OF THE FILE THAT THEY WERE IN FACT KNOWN CHILD PORNOGRAPHY. THAT I.P. ADDRESS WAS TRACED TO AN INDIVIDUAL BY

THE NAME OF MARK JACKSON WHO LIVED ON CHAMBOARD (PHONETIC) WAY IN ATLANTA, GEORGIA. IN NOVEMBER OF 2012, THE DEKALB POLICE DEPARTMENT ALONG WITH FEDERAL AGENTS EXECUTED A SEARCH WARRANT AT THAT HOME. WHEN THEY EXECUTED THAT SEARCH WARRANT THEY DISCOVERED THAT MR. JACKSON, WHO IS THE INDIVIDUAL ASSOCIATED WITH THAT I.P. ADDRESS, AND THE DEFENDANT STANDING BEFORE THE COURT WERE THE TWO RESIDENTS OF THAT HOME. THE DEFENDANT WAS MIRANDIZED, AND

HE ADMITTED THAT HE WAS THE SOURCE OF THOSE IMAGES, THAT HE WAS USING THAT PEER-TO-PEER SOFTWARE TO DOWNLOAD CHILD PORNOGRAPHY, HE KNEW WHAT CHILD PORNOGRAPHY WAS, AND HE HAD BEEN DOING SO FOR YEARS. HE ACKNOWLEDGED THAT HE KEPT CHILD PORNOGRAPHY ON HIS

OFFICE DESKTOP COMPUTER AND THAT HE ALSO KEPT IT ON AN EXTERNAL HARD DRIVE IN HIS HOME. HE INDICATED THAT MR. JACKSON HAD NO

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KNOWLEDGE OF WHAT IT WAS THAT HE WAS DOING.

ULTIMATELY A

FORENSIC EXAMINATION REVEALED MANY, MANY HUNDREDS OF THOUSANDS OF IMAGES OF CHILD PORNOGRAPHY ON THOSE DEVICES. THE COURT: EVIDENCE WOULD SHOW? MR. HAZEN: THE COURT: I BELIEVE IT WOULD, YOUR HONOR. DO YOU AGREE THAT THE GOVERNMENT'S MR. HAZEN, IS THAT WHAT THE GOVERNMENT'S

EVIDENCE WOULD SHOW THAT THIS WAS NOT JUST PORNOGRAPHY, BUT, RATHER, CHILD PORNOGRAPHY INVOLVING DEPICTIONS OF -- WHAT IS THE EXACT AGE RANGE, IF YOU DON'T MIND? MS. STEINBERG: MR. HAZEN: THE COURT: UNDER 18.

I HAVE NO DOUBT ABOUT IT. YOUNG PEOPLE UNDER 18. AND DO YOU

QUESTION THE GOVERNMENT'S DETERMINATION THAT THE PHOTOS ARE PORNOGRAPHIC? MR. HAZEN: BY THE COURT: Q. OKAY. ALL RIGHT. MR. SCHLOEDER, YOU HEARD THE GOVERNMENT DID THE I BELIEVE THEY ARE, YES.

SAY WHAT THE GOVERNMENT'S EVIDENCE WOULD SHOW AT TRIAL. GOVERNMENT CORRECTLY STATE THE FACTS? A. Q. YES, THEY DID, YOUR HONOR.

AND IS IT CORRECT, THEN, THAT YOU HAD THE CHILD PORNOGRAPHY

ON YOUR COMPUTER? A. Q. I DID, YOUR HONOR. AND IS IT CORRECT THAT YOU DOWNLOADED IT FROM OTHER SITES? UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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A. Q.

YES, YOUR HONOR. THE GOVERNMENT HAS STATED THAT A VERY LARGE NUMBER OF

IMAGES WERE INVOLVED; IS THAT CORRECT? A. Q. A. Q. YES, IT IS, YOUR HONOR. DID YOU KNOW WHAT YOU WERE DOING WAS WRONG? I DID, YOUR HONOR. DO YOU FEEL THAT YOU UNDERSTAND WHAT YOU'RE CHARGED WITH IN

THIS CASE? A. YES, I DO, YOUR HONOR. THE COURT: OKAY. MS. STEINBERG, STATE WHAT LEGAL

ELEMENTS THE GOVERNMENT WOULD HAVE TO PROVE AT TRIAL BEYOND A REASONABLE DOUBT TO CONVICT MR. SCHLOEDER. MS. STEINBERG: FIRST, THE DEFENDANT KNOWINGLY SECOND, THAT VISUAL DEPICTION WAS

RECEIVED A VISUAL DEPICTION.

SHIPPED OR TRANSPORTED IN INTERSTATE OR FOREIGN COMMERCE BY ANY MEANS INCLUDING BY AN INTERNET-CONNECTED COMPUTER. THIRD, THE

PRODUCTION OF THE VISUAL DEPICTION INVOLVED THE USE OF A MINOR ENGAGED IN SEXUALLY EXPLICIT CONDUCT. AND, FINALLY, THE

DEFENDANT KNEW THAT AT LEAST ONE OF THE PERFORMERS WAS A MINOR, AND KNEW THAT THE VISUAL DEPICTION WAS OF THAT MINOR ENGAGED IN SEXUALLY EXPLICIT CONDUCT. BY THE COURT: Q. MR. SCHLOEDER, THAT'S WHAT THE GOVERNMENT WOULD HAVE TO KNOWING THAT, DO YOU

PROVE AT TRIAL IN ORDER TO CONVICT YOU. WANT TO PLEAD GUILTY TO COUNT ONE?

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A. Q.

YES, I DO, YOUR HONOR. HAS ANYBODY COERCED YOU TO GET YOU TO PLEAD GUILTY IN THIS

CASE? A. Q. NO, YOUR HONOR, THEY HAVE NOT. HAVE YOU HAD ANY LIQUOR OR DRUGS BEFORE COMING TO COURT

TODAY? A. Q. A. Q. A. Q. NO, I HAVE NOT, YOUR HONOR. WHAT ABOUT YESTERDAY? NO, YOUR HONOR. ARE YOU TENDERING THE GUILTY PLEA FREELY AND VOLUNTARILY? YES, I AM, YOUR HONOR. ARE THERE ANY QUESTIONS YOU'D LIKE TO ASK ME AT THIS

PARTICULAR TIME? A. NO, YOUR HONOR, I DON'T HAVE ANY QUESTIONS. THE COURT: TIME? MS. STEINBERG: MR. HAZEN: NO. COUNSEL, IS THERE ANYTHING FURTHER AT THIS

I HAVE ONE OR TWO REQUESTS AT THE TAIL END

ONCE WE'RE DONE WITH THIS. THE COURT: OKAY. I FIND THAT BASED ON MY QUESTIONING

OF MR. SCHLOEDER THAT HIS GUILTY PLEA TO COUNT ONE IS TENDERED FREELY AND VOLUNTARILY. I FURTHER FIND THERE IS A FACTUAL BASIS

FOR THE PLEA, AND, THEREFORE, I ACCEPT IT. WHAT YOU GOT, MR. HAZEN? MR. HAZEN: JUST A COUPLE OF THINGS. WE KNOW THIS IS

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A FIVE-YEAR MANDATORY MINIMUM, AND OBVIOUSLY WE'VE INDICATED WE THINK THE GUIDELINES ARE SOMEWHERE IN THE 97- TO 120-MONTH RANGE. WELL. MR. SCHLOEDER HAS AN ELDERLY MOTHER. SHE LIVES IN MESA, ARIZONA. SHE IS NOT VERY

HE WANTED TO KNOW WHETHER OR

NOT HE WOULD BE ABLE TO TRAVEL TO MESA, ARIZONA BETWEEN NOW AND THE SENTENCING DATE TO SEE HIS MOTHER. THING. THAT WAS THE FIRST

HE ALSO HAS A LIFE-LONG PARTNER, THE PERSON WHO WAS

MENTIONED HERE, AND THEY'VE BEEN TOGETHER FOR ABOUT 20 YEARS. AND SO THEY -- HE IS ALSO VERY CLOSE WITH HIS PARTNER'S MOTHER WHO IS EVEN OLDER AND IN WORSE SHAPE APPARENTLY. THE CHANCES

THAT HE WILL EVER SEE HER AGAIN AFTER ABOUT A MONTH OR SO ARE PROBABLY NON-EXISTENT. SHE LIVES IN A SMALL TOWN IN KENTUCKY, I DON'T

AND SO HE WANTED PERMISSION TO TRAVEL THERE AS WELL. THINK HE'S GOING ANYPLACE.

IF HE WAS GOING TO RUN HE PROBABLY SO WE'RE ASKING THAT HE

WOULD TRY TO RUN BEFORE HE CAME HERE.

BE ALLOWED TO TRAVEL BETWEEN NOW AND THEN. THE COURT: WHAT'S YOUR POSITION ABOUT THAT? YOUR HONOR, WE HAVEN'T HAD ANY THEY HAVE BEEN

MS. STEINBERG:

INDICATION THAT MR. SCHLOEDER IS LIKELY TO FLEE.

COOPERATIVE WITH US THROUGHOUT THIS ENTIRE PROCESS, SO -THE COURT: I WOULD BE INCLINED TO ALLOW IT. I WOULD

LIKE FOR Y'ALL TO TALK TO THE PROBATION OFFICER AND SEE IF -- I CAN'T SEE WHO THE PROBATION OFFICER -- OH, THERE YOU ARE. SEE IF SHE THINKS THERE MIGHT BE ANY PROBLEMS. AND

BUT BASED ON

WHAT Y'ALL HAVE TOLD ME, I THINK IT'S PROBABLY OKAY. UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT

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MR. HAZEN:

AND THEN THE ONE OTHER REQUEST WAS HE AND NOW, THE PROBLEM WE FACE WITH THE AND GIVEN --

HIS PARTNER HAVE A BUSINESS.

BUSINESS IS THEY SELL ITEMS OF A SEXUAL NATURE. NOT CHILDREN.

BUT GIVEN THE FACT THAT THEY'VE RUN THIS BUSINESS

FOR A LONG TIME, THERE'S, LIKE, A DIVISION OF LABOR BETWEEN THE TWO GENTLEMEN AS TO WHO DOES WHAT. HAVING TO LEARN EVERYTHING. AND NOW HIS PARTNER IS

ONE OF THE -- HE WANTED TO BE ABLE HE CAN'T GO THERE. ONE HAS MATERIAL OF

TO -- HE HAS TO STAY AWAY FROM THE BUSINESS. AND THERE ARE TWO SECTIONS TO THE BUSINESS. A SEXUAL NATURE, THE OTHER DOES NOT.

HE WANTED TO BE ABLE TO GO

INTO THE ADJACENT SECTION, THE NON-SEXUAL AREA, TO DO SOME COMPUTER WORK BECAUSE THEY'VE -- THERE -- THEY'VE GOT TO CHANGE SYSTEMS. DO THIS. AND APPARENTLY HE'S THE ONLY ONE WITH THE KNOWLEDGE TO HE'S STAYED AWAY BECAUSE THAT'S PART OF THE ORDER, BUT

HE WANTED TO ASK IF HE COULD GO IN FOR ABOUT FOUR HOURS. MR. SCHLOEDER: MR. HAZEN: FOUR HOURS, YES.

INTO THE GIFT STORE SECTION TO DO THAT I MEAN, HE WOULD NOT

COMPUTER WORK, AND IT COULD BE MONITORED. GO INTO THE OTHER SECTION AT ALL.

SO THERE WOULD BE SOME

EQUIPMENT APPARENTLY IN THE ADULT SECTION, BUT HE WOULD NOT GO IN THERE. IT WOULD BE BROUGHT INTO THE NON-SEXUAL AREA SO HE

COULD DO THIS COMPUTER WORK AND HOPEFULLY ALLOW THE TRANSITION TO RUN SMOOTHLY. THE COURT: OFFICER ABOUT THAT. UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT I'D LIKE FOR YOU TO TALK TO THE PROBATION

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MR. HAZEN: THE COURT:

OKAY.

I WILL CERTAINLY DO THAT. ANYTHING ELSE FOR

SEE WHAT SHE THINKS.

MS. STEINBERG: THE COURT:

NO. I THINK I ALREADY SAID THIS.

ALL RIGHT.

I DO FIND THAT THE GUILTY PLEA IS TENDERED FREELY AND VOLUNTARILY, AND I DO ACCEPT IT. MR. HAZEN: THE COURT: THANK YOU. THANK YOU.

(PROCEEDINGS ADJOURNED.)

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C E R T I F I C A T E

UNITED STATES OF AMERICA NORTHERN DISTRICT OF GEORGIA I, MONTRELL VANN, CCR, CSR, RPR, RMR, CRR, OFFICIAL COURT REPORTER OF THE UNITED STATES DISTRICT COURT, FOR THE NORTHERN DISTRICT OF GEORGIA, ATLANTA, DO HEREBY CERTIFY THAT THE FOREGOING 16 PAGES CONSTITUTE A TRUE TRANSCRIPT OF PROCEEDINGS HAD BEFORE THE SAID COURT, HELD IN THE CITY OF ATLANTA, GEORGIA, IN THE MATTER THEREIN STATED. IN TESTIMONY WHEREOF, I HEREUNTO SET MY HAND ON THIS, THE 12TH DAY OF JULY 2013.

__________________________________ MONTRELL VANN,CCR,CSR,RPR,RMR,CRR OFFICIAL COURT REPORTER UNITED STATES DISTRICT COURT

UNITED STATES DISTRICT COURT OFFICIAL CERTIFIED TRANSCRIPT