Nashville man among three indicted on federal charges for illegally selling military items

A federal grand jury has indicted three men for conspiring to steal and sell sensitive equipment and property belonging to the US military,

Jody “Joe” Stambaug, 50, of Nashville; Gary Stambaugh, 77, of Fayetteville; and Brandon Schulte, 43, of Jefferson City, MO, have been accused of conspiring with one another and others to steal military uniforms, tactical robots, night vision sights and other items belonging to the armed forces

According to WMIX, Gary Stambaugh and Joe Stambaugh bot own the scrap metal company Stambaugh Enterprises in Mascoutah, which operated as a subcontractor for the Department of Defense to pick up, transport and recycle items from multiple facilities in both Illinois and Missouri. These sites included Scott Air Force Base and a Missouri Army National Guard facility in Jefferson City, MO.

The indictments allege the Stambaughs were obligated to destroy property that was hauled away from the facilities and were not allowed to reuse or refurbish any military items for their own use or sale. From January to October 2017, Joe Stambaugh allegedly provided a person identified only as J.S. in court documents with numerous military items that were sold for profit, including LED video screens, military flight helmets, a military infrared thermal imager and other tech gear.

WMIX also stated that Schulte was a National Guardsman who was responsible for properly storing and disposing of military property at the Jefferson City facility. The indictment stated that the Stambaughs allegedly received military uniforms and other unauthorized sensitive property from Schulte when Schulte reportedly knew that the company was only to receive scrap metal. The indictment states these conspiring dates allegedly occurred from 2015 to 2018 and in 2019 Schulte was accused of making a false statement about his conduct to federal agents in 2019.

Gary and Joe Stambaugh could face up to 10 years in prison for each of the three theft counts. They could also face up to five years for conspiracy.

If convicted, the Stambaughs face up to 10 years in prison on each of their three theft counts and up to 5 years in prison for the conspiracy. Schulte’s conspiracy count and separate charge for making a false statement each carry a maximum sentence of 5 years in prison.

Initial appearances and arraignments for Gary and Joe Stambaugh and Schulte are set for Sept. 1. US Magistrate Judge Mark A. Beatty is set to preside.

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