WICHITA, Kan. (KWCH) The first man is sentenced in federal court in connection with an FBI investigation into illegal gambling and public corruption in Wichita.
Friday, a federal judge sentenced Daniel Dreese to 2 years of probation, a $200 special assessment fee and a restitution of $214,540. The judge waived a fine.
Dreese pleaded guilty to two counts of filing false tax returns. The first crime happened on April 15, 2012 and the second on April 15, 2013.
In his plea, he admitted that in tax year 2011 he received $89,078 from illegal bookmaking, and in tax year 2012 he received $136,985 from illegal bookmaking. He did not report that income.
In addition, he admitted that in 2010, he failed to report $383,684 in income.
Dreeses's probation includes not committing other crimes, not unlawfully possessing a controlled substance, cooperating with collection of DNA by a probation officer, make restitution, pay the special assessment and notify the court if a change in his economic status means he is unable to pay on time.
The federal court filing says Dreese does not have to submit drug tests as the court determined he's a low risk of future substance abuse.
Those rules are fairly common.
But Dreese also has his own rules of supervision. The documents read he cannot engage in any activity where he'd have "discretionary authority over financial matters" without approval from his probation officer.
He must allow his probation officer access to his financial information and refrain from opening any new lines of credit. He also must file accurate tax returns.
He cannot engage in any form of gambling and he must allow his probation officer to search his home if necessary.
Dreese is one of several people the US Attorney's Office says is involved in an FBI investigation in Wichita. The charges facing the men include tax evasion and operating illegal gambling operations.
Others involved in the case have pleaded not guilty and will have trials in coming weeks. Former Wichita Police Officers Bruce Mackey and Michael Zajkowski along with Brock Wedman are scheduled for a jury trial in June.
The three are charged with one count of obstructing law enforcement. In addition, Wedman is charged with lying to the FBI about the incident.
Retired KHP Trooper Michael Frederiksen is scheduled to face a jury trial later this month. He is charged with two counts of making false statements to FBI investigators.