MILWAUKEE — A 39-year-old Lake Geneva man has pleaded guilty to three counts relating to manufacturing and distributing anabolic steroids, a federal prosecutor announced Friday.
Matthew D. Krueger, the U.S. Attorney for the Eastern District of Wisconsin, said Russell Spalding pleaded guilty to one count of conspiracy to distribute anabolic steroids; one count of possession with intent to distribute anabolic steroids; and one count of maintaining a drug-involved premises. Spalding’s wife, Kathryn, a codefendant in the case, pleaded guilty to the conspiracy to distribute anabolic steroids on Feb. 14.
According to admissions made in connection with his plea, Spalding led an anabolic steroid manufacturing and distribution operation from approximately October 2014 through Oct. 8, 2015. He called his business “Cerastes Pharmaceuticals.” He imported raw and processed anabolic steroids from the United Kingdom and China and sold the steroids to others around the United States through Facebook groups. He had several people help him import, process sell, and ship the steroids, Krueger said.
As part of the investigation, law enforcement agents executed a search warrant at an apartment in Lake Geneva, which served as Spalding’s steroid laboratory. There, the agents seized thousands of vials, beakers, liquid filling machines, measuring pumps, more than 12,000 capsules containing anabolic steroids, about 8,000 milliliters of liquid containing anabolic steroids, and several kilograms of raw steroid powder.
Spalding faces a maximum term of up to 40 years in prison on all of the counts, and up to life on supervised release. His sentencing hearing is set for Nov. 26 before U.S. District Judge Pamela Pepper.
The case was investigated by the Drug Enforcement Administration and the Walworth County Sheriff’s Office. The case is being prosecuted by Assistant United States Attorney Benjamin Proctor.