Robert Warren, Crop Insurance Fraud, North Carolina 2003

ASHEVILLE, N.C. – A massive land heist has been resolved in Western North Carolina, with a 177-acre tract of land being added to the Pisgah National Forest. The land, known as the ‘Hoot Owl Tract,’ was seized by the U.S. Attorney’s Office as part of a decades-old crop insurance fraud case.

Crop insurance fraudster Robert Warren and his accomplices were convicted in 2003 for their role in a massive crop insurance scam. The court sentenced the Warrens to pay $9,150,603 in restitution to the U.S. Department of Agriculture (USDA) for its losses, as well as a $7.3 million forfeiture money judgment representing the proceeds of the fraud.

As part of the sentence, the court ordered the defendants to forfeit the Hoot Owl Tract, a valuable piece of land that included trout waters and tributaries to the Mills River. The land supply’s drinking water to residents of Henderson and Buncombe Counties.

The deal reached in the criminal case for transfer of the Hoot Owl Tract to the USDA was finalized after years of negotiation with the defendants. The U.S. Attorney’s Office, the U.S. Forest Service, and the Carolina Mountain Land Conservancy (CMLC) worked together to make the transfer possible.

U.S. Attorney Jill Westmoreland Rose praised the efforts of her team and the partners involved in the land transfer. ‘I want to thank the USDA and the Carolina Mountain Land Conservancy for partnering with my Office to make this transfer possible,’ she said in a statement. ‘As a result of this collaboration, the added acreage of national forest land ensures the protection of viable natural resources. It will also bring enjoyment to visitors for generations to come.’

The acquisition of the 177 acres connects approximately 100,000 acres of the Pisgah National Forest with a previously isolated 1,500 acres of national forest land. The land transfer marks a significant victory for the U.S. Attorney’s Office in its ongoing efforts to hold accountable those who engage in white-collar crime.

Assistant U.S. Attorneys Richard Edwards and Don Gast handled the criminal prosecution of the defendants. The Civil Division of the U.S. Attorney’s Office represented the United States in the forfeiture action.

The land transfer was finalized in a deal reached in the criminal case for transfer of the Hoot Owl Tract to the USDA. The transfer is a major step forward in the effort to protect vital natural resources in Western North Carolina.

Related Federal Cases