4 Guilty In Cigarette Scheme

HELENA, Mont. - Four people accused in a $46 million cigarette-smuggling operation between Indian reservations in Montana and Washington state pleaded guilty in U.S. District Court Tuesday.

Prosecutors agreed to drop charges against four other defendants in exchange for the guilty pleas.

Those pleading guilty were:

-- Stan Feist, 49, who managed Missoula cigarette wholesaler Sheehan Majestic. He pleaded guilty to violating federal racketeering laws.

-- Larry Clinkenbeard, 50, and his wife Dorothy, 46, who operated Joe's Smoke Ring and a ranch in Arlee. They also pleaded guilty to violating racketeering laws.

-- Deb Boyes, 31, who kept financial books and directed shipments for the Clinkenbeards. She pleaded guilty to conspiring to transport and distribute contraband cigarettes.

The $46 million figure involves transactions discovered on bank statements from Jan. 1, 1988, to Nov. 22, 1991. Assistant U.S. Attorney Kris McLean said Feist, through his business, legally obtained cigarettes that didn't bear state tax stamps and sold them to the Clinkenbeards, who then illegally sold the untaxed cigarettes to smoke shops on reservations near Tacoma and Spokane.

Bypassing the state tax cost the Washington Department of Revenue an estimated $13 million and its Montana counterpart about $1.8 million, McLean said. Any restitution ordered would go to those agencies.

Although cigarette sales took place on reservations, there is no evidence of tribes' involvement, authorities said.