MADISON, WIS. -- A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today.  You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.

Eau Claire Woman Charged With Gun & Drug Crimes

Diana Xiong, 31, Eau Claire, Wisconsin, is charged with being a felon in possession of a firearm and two counts of distributing methamphetamine.  The indictment alleges that she possessed a .25 caliber pistol on May 20, 2020, and that she distributed methamphetamine on May 28 and June 1, 2020.

If convicted, Xiong faces a maximum penalty of 10 years in federal prison on the gun charge, and 20 years on each of the drug charges. 

The charges against her are the result of an investigation by the Dunn County Sheriff’s Office; Menomonie Police Department; West Central Drug Task Force; Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; Wisconsin Department of Justice Division of Criminal Investigation; Central Wisconsin Drug Task Force; Brown County Drug Task Force; and St. Paul (Minnesota) Task Force.  Assistant U.S. Attorney Taylor L. Kraus is handling the prosecution.

Waunakee Man Charged with Illegally Possessing Firearm

Samuel A. Schiltz, 19, Waunakee, Wisconsin, is charged with being a felon in possession of a firearm.  The indictment alleges that on May 11, 2020, he possessed a .40 caliber handgun.

If convicted, Schiltz faces a maximum penalty of 10 years in federal prison.  The charge against him is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Wisconsin Department of Justice Division of Criminal Investigation.  Assistant U.S. Attorney Corey C. Stephan is handling the prosecution.



Evansville Woman Charged with Fraud Scheme

Nichole Genz, 40, Evansville, Wisconsin, is charged with conspiring to commit wire fraud and nine counts of wire fraud in relation to a scheme to defraud her employer, Learning Gardens Child Development Center, a business that provided child care services for infants and toddlers.  Learning Gardens is a subsidiary entity of Park Towne Development Corporation, a Madison, Wisconsin-based company.  The indictment alleges that Genz, working with an individual not named in the indictment who was employed as the accounting manager at Park Towne, caused losses in excess of $311,000 to Park Towne and its subsidiaries, including Learning Gardens. 

The indictment alleges that from January 2014 to September 2018, while employed as the Executive Director at Learning Gardens, Genz and her co-conspirator embezzled funds from Park Towne by the following methods:

Depositing some tuition checks into the Learning Gardens petty cash account and withdrawing the funds in cash, instead of depositing them into the Park Towne main operating account;

Issuing checks from other Park Town subsidiaries that were altered to make them payable to cash, or to Learning Gardens, which were deposited into the Learning Gardens petty cash account and withdrawn in cash;

Creating altered bank statements for the Learning Gardens petty cash account;

Creating a false bank statement reconciliation spreadsheet for the Learning Gardens petty cash account;

Misusing Learning Gardens debit cards to purchase items for Genz’s personal use; and

Misusing Learning Gardens credit cards to purchase items for Genz’s personal use.

If convicted, Genz faces a maximum penalty of 20 years in federal prison on each of the 10 counts of the indictment.  The charges against her are the result of an investigation by the Madison Police Department.  Assistant U.S. Attorney Daniel J. Graber is handling the prosecution.

Oneida County Woman Charged With False Statements

Peggy A. Faulkner, 58, Three Lakes, Wisconsin, is charged with making false and fraudulent statements in connection with health care benefits involving the U.S. Department of Labor’s Office of Workers’ Compensation Programs.  The indictment alleges that from January 2014 through December 2015, she submitted multiple forms requesting reimbursement for mileage to appointments associated with her workers’ compensation injury, knowing that she did not actually incur such expense.

If convicted, Faulkner faces a maximum penalty of five years in federal prison.  The charge against her is the result of an investigation by the U.S. Postal Service, Office of Inspector General.  Assistant U.S. Attorney Robert A. Anderson is handling the prosecution. 

Dane County Man Faces Additional Charges Related to Attempts to Produce Child Pornography Using Hidden Recording Devices

David M. Kruchten, 38, Cottage Grove, Wisconsin, is charged in a superseding indictment with 14 counts of attempting to produce child pornography through use of hidden recording devices, and one count of transporting minors from Wisconsin to Minnesota with the intent to produce child pornography through use of hidden recording devices.  Kruchten previously was charged in an indictment returned by the grand jury on January 29, 2020 with seven counts of attempting to produce child pornography using hidden recording devices on October 27, 2019 and January 20, 2019.  Seven of the additional counts in the superseding indictment allege that he attempted to produce child pornography on October 29, 2018 using hidden recording devices, and the other additional count alleges that he transported seven minors from Wisconsin to Minnesota on December 6, 2019, with the intent to produce child pornography using hidden recording devices.

Kruchten, a teacher at Madison East High School, was arrested on January 30 and has been detained in custody since.  A date has not been scheduled for his trial, which will take place before Chief U.S. District Judge James D. Peterson. 

If convicted, Kruchten faces a mandatory minimum penalty of 15 years and a maximum of 30 years in federal prison on each count in the indictment.  The charges against him are the result of an investigation by the Wisconsin Department of Justice Division of Criminal Investigation, Cottage Grove Police Department, and Minneapolis Police Department.  Assistant U.S. Attorneys Elizabeth Altman and Laura Przybylinski Finn are handling the prosecution.

MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, and Wisconsin Attorney General Josh Kaul announced today the unsealing of an indictment charging David M. Kruchten, 37, Cottage Grove, Wisconsin, with attempting to produce child pornography.  The indictment was returned yesterday by a federal grand jury, sitting in Madison, and was unsealed after Kruchten was arrested earlier today.

The indictment charges Kruchten with seven counts of attempting to use a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of the conduct.  The indictment alleges that he attempted to produce the child pornography in Wisconsin using hidden recording devices on October 27, 2019, and on January 20, 2019. 

Kruchten, a teacher at Madison East High School, was arrested this morning at his home.  He will make an initial appearance in U.S. District Court in Madison today.

 “My office is committed to vigorously investigating those who target children and prosecuting them to the fullest extent of the law,” said U.S. Attorney Blader.

“This indictment alleges criminal conduct that is an unconscionable betrayal of trust,” said Attorney General Kaul. “Thank you to everyone whose hard work resulted in today’s arrest. We will continue working to ensure that there is full accountability for the crimes alleged in this case.”

If convicted, Kruchten faces a mandatory minimum penalty of 15 years and a maximum penalty of 30 years in federal prison on each count.  The charges against him are the result of an investigation by the Wisconsin Department of Justice Division of Criminal Investigation, the Minneapolis Police Department, and the Cottage Grove Police Department.  Assistant U.S. Attorney Elizabeth Altman is handling the prosecution.



You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.