DaytonDailyNews.com

XENIA — A local couple employed at a popular watering hole were arrested Christmas Eve for allegedly running a distribution ring for a Mexican cocaine cartel.

Indictments made public Monday, Dec. 29, accuse Sheldon Smith, 31, and his girlfriend Kelly Brown, 28, both of 2396 Louisiana Drive, of overseeing one of Greene County's largest drug operations.

Both were arrested Dec. 24 outside LA's Sports Bar and Grille in Xenia where Smith worked as a bartender and Brown an assistant manager, according to police and jail records. Police do not suspect drugs were sold from the bar.

Indictments allege Smith imported cocaine since 2006 from a Mexican Drug cartel to distribute around Greene County. Brown helped sell the drugs and count the proceeds, according to the indictments.

Smith faces 13 felonies and Brown four felonies, including drug trafficking, racketeering, conspiracy, money laundering and drug possession which carry mandatory prison terms.

In raids at the couple's homes and work in May police said they confiscated 121 pounds of cocaine, and $625,000 cash — "the largest in county history," said Bruce May, commander of the county drug task force.

Money also was seized from LA's bar that police believe is drug proceeds. A woman claiming to be the bar's owner who would not give her name Monday, said her business was not involved.

However, business incorporation records filed with the secretary of state in 2006 record Smith and Brown's home address as the original business address. In February 2008, paperwork changed it to the bar's current location at 44 Xenia Towne Square.

Two men, Ismael Gonzalez, of California, and Carlos A. Tartida-Villalba, of Mexico, were arrested in May and remain jailed, facing drug trafficking and felony possession of cocaine charges. Both had entered guilty pleas, but later withdrew their admissions and go to trial in February.

The Greene County Drug Task Force, local police and the prosecutor's office have built a case against Brown and Smith, who were not arrested in May, said Stephen K. Haller, county prosecutor. Federal agencies, including the FBI and DEA were involved in the case, Haller said.

The indictment lists 40 items that could be forfeited, in addition to the cash confiscated by police. Those items include cars, TVs, jewelry, weapons and framed photographs of sports legends including Jim Brown, Dick Butkus and Kareem Abdul Jabbar.

Smith and Brown will likely be arraigned Friday, Jan. 2. Both are in the Greene County Jail, Smith has a bond of $2.5 million and Brown $200,000.

Contact this reporter at (937) 225-2342 or cmagan@DaytonDailyNews.com.