WASHINGTON COMPUTERS STOLEN FROM MILITARYGraham man charged in investigation of stolen government propertyGraham man charged in investigation of stolen government property

By MELANTHIA MITCHELL
ASSOCIATED PRESS WRITER

SEATTLE -- A man accused of buying stolen military gear from soldiers - body armor, first-aid kits and other Army property - and selling the items on the Internet was charged Friday in federal court.

Mykel Denny Loftus of Graham, charged with conspiracy to possess stolen government property, made an initial appearance before Magistrate J. Kelley Arnold in U.S. District Court in Tacoma, 40 miles south of Seattle. Charging papers say Loftus bought two Army laptop computers from an undercover agent in September.

Loftus waived a preliminary hearing and was released on his own recognizance. He turned himself in to authorities on Friday - one day after a federal raid on his home in Graham, east of the Fort Lewis Army base.

Fort Lewis officials said Friday that nine soldiers, whose names were not released, were questioned in the case and reassigned to other duties pending further investigation.

"No charges have been filed against any of the soldiers at this time," Fort Lewis spokesman Joseph Piek said.

Piek said he did not know when the soldiers came to the attention of military investigators. Soldiers are not permitted to sell Army equipment or supplies, he said.

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Military agents began investigating Loftus after a report on Jan. 21, 2004, indicated that an eBay subscriber identified as "checkitout" was selling stolen government property on the Internet. The username was registered to Loftus, according to court documents.

Investigators determined that Loftus had received stolen property from a man identified in court papers as Chief Warrant Officer Larry S. Jones. In a sworn statement, Jones said he sold stolen Army property to an individual named Mike who had been advertising in the Fort Lewis Ranger, the post newspaper.

Jones could not immediately be reached for comment Friday.

Copies of eBay records obtained by government agents indicate Loftus offered more than 2,300 items for sale on the Web site between Jan. 1, 2003, and March 4, 2004. Most of the items appeared to be government property: meals-ready-to-eat, chemical lights, sunglasses, four protective vests and other things.

Loftus made $51,000 selling items on the Web site, according to eBay records.

On Oct. 27, 2004, an undercover agent began a series of meetings with Loftus at a park-and-ride in Pierce County.

The agent, who pretended to work at a Fort Lewis warehouse, told Loftus he had access to a lot of military property. At their first meeting, Loftus bought seven military-issue first-aid kits and eight flight suits for $75.00.

According to court documents, Loftus told the agent that he had previously bought military-style watches and compasses, flashlights and computer cards.

Later, Loftus bought used cots from the agent and traded four government-issue laptop computers for medical supplies.

The computers clearly displayed a Defense Department banner when they were turned on, according to charging papers. Investigators also found that various personnel working for Army logistics had used the laptops, and that they were associated with Fort Lewis or nearby McChord Air Force Base.

In June, two military investigators identified themselves to Loftus and questioned him about an eBay posting in which he offered to sell outer tactical vests, which are not commercially available. Loftus told investigators he had five of the bullet-resistant vests, and that one was provided by a soldier returning from Iraq.

Loftus, who was not told of the ongoing undercover operation, agreed to turn the vests over to the agents. He told them he'd been offering to buy extra field gear from soldiers for 15-17 years through the post newspaper. However, he denied ever buying laptop computers from base personnel.

Two days later, Loftus met with the undercover agent and said he'd been contacted by authorities, cautioning the contact to be "guarded on the phone."

"I don't need them snooping around," Loftus said.

On Sept. 2, Loftus paid the undercover agent $300 for two laptops clearly designated for delivery to Fort Lewis.

On Sept. 12, he admitted to investigators that he was buying stolen property from active-duty soldiers. He said he'd paid one soldier - "J the Mumbler" - between $20,000 and $30,000.