Biao Huang and Sheng Lian made their initial appearance in federal court before designated Federal Judge David A. Wiseman on Tuesday afternoon with court-appointed counsels Robert Torres and Bruce Berline.
The defendants were arrested while delivering 900 grams of ice to a confidential source in one of the rooms of a hotel on Tuesday afternoon.
Chun Mei Lin also made her initial appearance in federal court late on Tuesday afternoon with court-appointed counsel Colin Thompson.
Lin was arrested while trying to leave the CNMI at the Saipan airport at dawn on Tuesday.
Assistant U.S. Attorney Eric S. O’Malley, who represented the federal government, moved for no bail for the defendants, citing flight risk and danger to the community.
The court denied bail and set the preliminary hearing for the three defendants for Aug. 24. The defendants were remanded to the custody of the U.S. Marshal Service.
The U.S. government charged Biao Huang and Sheng Lian with one count of conspiracy to distribute a controlled substance, and four counts of possession with intent to distribute a controlled substance.
Lin was charged with two separate counts of possession with intent to distribute a controlled substance weighing a total of 14.1 net grams and 40 net grams of methamphetamine.
DEA special agent Daniel Holcomb stated in his affidavit that he was informed by a confidential source, or CS, that Lian would deliver 10 grams of ice for $5,000 on Oct. 23, 2008.
The DEA then gave the CS $5,000 of pre-recorded official advance funds to pay for the ice before the CS proceeded to the parking lot of Price Costco in San Jose where the transaction was to take place.
Holcomb said the surveillance agents saw Lian board the car of the CS where the exchange took place, all recorded on video.
Lian then went back to his car while the agents recovered 8.3 grams of 86.4 percent pure ice from the CS.
Holcomb said on March 17, 2009, the CS negotiated with defendant Huang Biao for the delivery of five grams of ice for $1,500.
The same transaction as the earlier one with Lian followed and the agents recovered 4.5 grams of ice from the CS.
Holcomb said on May 20, 2009, the CS again negotiated with Huang Biao to purchase four grams of ice to be picked up at Huang Biao’s residence in Dandan.
The agents later recovered 5.8 grams of ice from the CS after the transaction.
Holcomb said both defendants and the CS kept regular conversations and negotiations after the May 20 transaction for the purchase of one-half to one kilogram of ice.
He said on Aug. 15, 2009, the CS met Lian at a restaurant in Garapan.
The CS told Lian that his boss wanted to meet Lian.
An undercover FBI agent who posed as the CS’s boss later met Lian who said that he and Huang Biao operated an extensive ice trafficking with sources of supply from China.
The defendants told the undercover agent that they could sell multiple kilograms of ice for $200,000 a kilogram and they could supply up to 60 kilograms of ice a month to the CNMI, American Samoa or Hawaii.
The undercover agent told the two defendants that they would meet again in two days and the defendants would deliver 900 grams of ice to him.
On Monday, Aug. 17, the CS called the defendants and instructed them to meet the CS’s “boss” at a Korean restaurant where they finalized the purchase of 900 grams of ice.
At 3:45 p.m. on Monday, the CS told the defendants to be at the Saipan World Resort for the delivery of the 900 grams of ice.
The defendants told the undercover agent who acted as the CS’s boss that they did not bring the ice with them.
They left and came back later with two large, red plastic bags.
The group then proceeded to one of the hotel rooms to complete the transaction but surveillance agents then entered the room and arrested the defendants.
Holcomb said they recovered 947.6 grams of ice in small ziplock bags and a diaper bag.
A search of the defendant’s residence led to the discovery of two digital scales and dozens of ziplock bags.
Holcomb said Lian told the DEA agents that he wanted to cooperate and said that he found the methamphetamine by the side of the road.
Huang Biao also told the agents that he wanted to cooperate.
Holcomb said throughout the interview, Huang provided inconsistent, contradictory statements regarding his employment, sources of income and means of support.
Holcomb stated in a separate affidavit that between Aug. 12 and 28, 2008, a DEA confidential source placed 11 recorded calls to a methamphetamine trafficking suspect.
He saidthe telephone conversations revealed that the CS and the suspect discussed the purchase of 15 grams of methamphetamine or ice from the suspect’s associates on Saipan.
Holcomb said on Aug. 29, 2008, DEA agents met the CS at a prearranged location and learned through a call from Lin that she already had the 15 grams of ice for the CS.
Holcomb said Lin and the CS agreed to do the delivery in the parking lot of Price Costco in San Jose .
The CS was given $6,000 to pay for the ice from Lin.
Holcomb said the CS proceeded to Price Costco parking lot followed by surveillance agents.
He said a heavily tinted white Toyota Corolla circled the parking lot before leaving the place.
Holcomb added that the agents saw Lin boarding the CS’s car which was followed by a negotiation which they monitored.
Lin told the CS that they would pick up the ice in another location.
Holcomb said the agents followed the CS’s car with Lin to the Payless Shopping in Chalan Kanoa where they again saw the white Toyota Corolla seen earlier at Price Costco.
The agents saw Lin go inside Payless Store.
The driver of the Corolla also went inside the store. Holcomb said that they saw Lin board the CS’s car again and gave the CS the 15 grams of ice.
The CS gave Lin a McDonald’s drink cup containing $6,000 in marked money.
The CS then drove to a pre-arranged location where the agents recovered the 15 grams of ice.
The DEA agents determined the ice to be 92.9 percent pure for an actual quantity of 13 grams.
Holcomb said that other surveillance agents watched Lin and the driver of the Corolla leave Payless parking and proceed to the north of the Michigan Garment Factory before parking infront of a white barracks building.
Holcomb said on July 28, 2009, DEA and FBI agents were informed by the CS that Lin just gave him a large quantity of ice.
The CS told the agents that Lin was negotiating with other Chinese ice traffickers for a large quantity of ice at a lower price.
The CS said Lin gave him a free sample of 40 grams of ice with a street value of $8,000-$20,000.
Lin told the CS that the ice represented three different qualities and she can supply the CS with one to two kilograms of ice on less than a week’s notice, or even up to 10 kilograms.
Lin offered the CS $200,000 per kilogram of the purest ice.
On Aug. 17, 2009, the Lin told the CS that she only had 600 grams of ice instead of the 1.5 kilograms she promised earlier.
Holcomb said Lin agreed to send a third party to deliver the 600 grams of ice to the CS but then recanted and said she did not have the 600 grams of ice.
A federal search warrant for Lin’s resident was issued and the agents discovered Lin had left her residence in a hurry.
According to Lin’s neighbors, Lin ran out of her residence in her pajamas carrying a baby.
At 2:30 a.m. on Tuesday, Aug. 18, Holcomb said he received a call from officials of the CNMI Immigration at the Saipan airport reporting that they had detained Lin who was trying to leave Saipan.
Holcomb said Lin had purchased a one-way ticket to China with cash just one hour earlier, and she had no luggage with her. Lin was arrested and brought to the Department of Corrections.
Lin has three daughters in China aged 9, 4 and 1 and a half years old.
