ICE Probe of Nevada McDonald's Franchisee Results in Guilty Pleas by Local Corporation...

ICE Probe of Nevada McDonald's Franchisee Results in Guilty Pleas by Local
Corporation and Current and Former Executives on Immigration Charges

McDonald's Franchisee Admits to Two Felony Counts - Agrees to Pay $1 Million
Fine

WASHINGTON, July 16 /PRNewswire-USNewswire/ -- One current and one former top
executive for a franchisee that owns 11 McDonald's restaurants in and around
Reno, Nev., and the corporation itself pleaded guilty in federal court in Las
Vegas today to federal felony immigration offenses for encouraging illegal
aliens to reside in the United States. These charges stem from an
investigation by U.S. Immigration and Customs Enforcement (ICE) into
allegations the company knowingly hired illegal alien workers.

U.S. Attorney for the District of Nevada Gregory A. Brower and Department of
Homeland Security Assistant Secretary for ICE Julie L. Myers announced the
plea agreements, which are the latest developments in an ICE probe that began
in March 2007 after the agency received a tip about a possible incidence of
identity theft from the sheriff's office in Lyon County, Nev.

In a hearing this morning in Las Vegas before U.S. District Court Judge James
Mahan, attorneys for Mack Associates Inc., which owns the Reno-area McDonald's
restaurants, pleaded guilty on behalf of the franchisee to one count of
conspiracy to encourage and induce an alien's unlawful residence in the United
States and one count of aiding and abetting an alien to remain in the United
States, both felony offenses. Joe Gillespie, 53, of Sparks, Nev., the
Director of Operations for Mack Associates Inc., also pleaded guilty to one
count of aiding and abetting an alien to remain in the United States. Both
defendants waived indictment by a federal grand jury and agreed to plead
guilty to criminal informations.

The government and Mack Associates agreed that the corporation will pay a $1
million fine -- $500,000 for each count, the maximum allowed -- and be placed
on probation during the period that the fine is outstanding. The court
accepted this agreement and sentenced Mack Associates today to one year of
probation and ordered the corporation to pay the agreed upon fine, with
$300,000 payable immediately and the balance to be paid within nine months.

The plea agreement details how Mack Associates' management employed
individuals they knew were in the country illegally, including two restaurant
managers, by furnishing them with names and Social Security numbers belonging
to other individuals.

In addition, Jimmy Moore, 47, the franchisee's former vice-president, pleaded
guilty to one felony count of inducing an illegal alien to remain in the
United States. At sentencing, Moore faces a maximum penalty of up to five
years in prison and a $250,000 fine.

A third defendant in the case, Anntoinette Richmond, 44, the corporation's
controller, has been charged with one misdemeanor count of continuing
employment of an unauthorized alien.

"This case should serve as a reminder to employers that knowingly hiring
illegal aliens violates federal law," said U.S. Attorney Brower. "Companies
and their managers who engage in such conduct are on notice that violations
will be prosecuted and that the criminal penalties can be significant."

"This investigation clearly shows our resolve to pursue those who willfully
violate our nation's hiring laws, regardless of their place on the corporate
ladder," said Assistant Secretary Myers. "On television, criminal cases are
wrapped up in an hour; but in real life, these investigations are complex and
can take months, or even years, to build. We will invest whatever time it
takes to ensure that those who flout the law are brought to justice."

In September 2007, ICE agents executed federal search warrants at the 11
McDonald's restaurants owned by Mack Associates in the Reno area and at the
franchisee's corporate office. During the operation, agents encountered 58
illegal aliens who were working illegally at the McDonald's restaurants. The
illegal alien workers were arrested on administrative immigration violations
and processed for removal. Approximately 30 of those workers have been
returned to their native countries. The remaining illegal workers were
provided with documentation allowing them to remain in the United States
pending the outcome of the criminal investigation.

Since its establishment in 2003, ICE has dramatically enhanced its efforts to
combat the unlawful employment of illegal aliens in this country. ICE's
comprehensive strategy for worksite enforcement is aimed at promoting national
security and public safety, protecting critical infrastructure, and ensuring
fair labor standards.

Thus far in fiscal year 2008 (October 2007 through July 11, 2008), ICE has
made 937 criminal arrests in connection with worksite enforcement
investigations. Of those, 99 involve owners, managers, supervisors or human
resources employees who face charges ranging from harboring to knowingly
hiring illegal aliens. In addition to the criminal arrests, ICE has made more
than 3,500 administrative arrests for immigration violations during worksite
investigations in that same time frame. Last year, ICE made more than 4,900
arrests in worksite enforcement cases, including 863 involving criminal
violations. Last year's figure represents a 45-fold increase in criminal
worksite arrests compared to fiscal year 2001. Furthermore, in fiscal year
2007, ICE obtained more than $31 million in criminal fines, restitutions and
civil judgments as a result of worksite related enforcement actions.

SOURCE U.S. Department of Justice

U.S. Department of Justice, +1-702-388-6336, or U.S. Immigration and Customs
Enforcement, +1-949-360-3096