FARGO, N.D. — Calling it a “heartbreaking” case, Chief Judge Peter Welte sentenced Macalla “Kayla” Knott to 26 years and nine months in federal prison on Friday, Jan. 3, for her role at the helm of a major drug trafficking ring.

Macalla Knott, 30, of St. Cloud, pleaded guilty in federal court on Monday, March 13, 2023, to charges relating to her leading a drug distribution enterprise between Mexico and the Midwest. (Minnesota Department of Corrections)

Government prosecutors recommended the sentence, which is less than the mandatory minimum federal sentencing guideline of life in prison for a continuing criminal enterprise violation, known as the kingpin statute.

The courtroom at the Quentin N. Burdick U.S. Courthouse in downtown Fargo was full and particularly crowded on the defendant’s side of the gallery, where more than 25 of Knott’s friends and family squeezed into three benches. On the other side sat nearly a dozen law enforcement officers and federal investigators on the sprawling case, deemed Operation Unfinished Business II, which reached from Mexico across several states in the Upper Midwest and has taken years to investigate and prosecute.

When Knott, wearing a bright green prison uniform and escorted by U.S. Marshals, entered the courtroom at 9 a.m., she appeared immediately delighted to see the dozens of familiar faces in attendance, bringing her hands to her face, smiling broadly and catching the eye of several to wave and thank them for coming. The St. Cloud, Minn., woman appeared to recognize several of the investigators as well, giving them friendly waves.

Knott’s personality, described by prosecutors, defense attorneys and her character witnesses alike as “endearing” and “charming,” was on full display throughout the hearing. Knott answered the judge’s questions with bubbly enthusiasm, though she also appeared to get emotional several times, including after seeing her family and while listening to her mother and childhood friend speak on her behalf.

It was that charisma, Assistant U.S. Attorney Chris Myers said, that allowed Knott to successfully operate such a significant drug-trafficking operation out of Mexico in coordination with the Sinaloa Cartel, one of the globe’s most notorious and most dangerous cartels.

Myers said the number of people Knott supervised in the organization was twice the number needed to charge her with continuing criminal enterprise and that running the operation out of a foreign country had been a “remarkable” feat.

“Her charm and ability to influence and manipulate people to serve her purposes served her well,” Myers said. “It can come off as an air of immaturity when she presents, but it endears people to her, and gives her a unique ability to get people to do what she asks.”

Myers conceded that Knott’s childhood had been a difficult one, but argued the “aggravating factors outweighed the mitigating factors” with regard to her sentencing.

Arguing for a lighter sentence than the government’s recommendation, Tanya Martinez, Knott’s defense attorney, agreed with Myers’ characterization of her client as endearing but said it was not the facade he claimed.

“I agree there is an element of immaturity or maybe more accurately naivety in her,” Martinez said. “But she wants to believe the best in people. It’s hard to be angry with her. It’s probably the ability that allowed her to survive (in Mexico). She could pass through difficult situations with ease as a result.”

But, Martinez said, the “novelty” of Knott’s personality — “American, blond, blue-eyed, pretty, charming” — had a downside.

“She looked at the people in Mexico and wanted to believe the best in them, that they were in poverty and this was the only way to get themselves out of it, but eventually the cartel had her and they used her,” Martinez said, adding that Knott had at times come to the defense of the women in the cartel families when they were being mistreated.

Martinez said that Knott lost her grip of control over the organization when others got involved and the quantities got higher, and “her fear became greater.”

“The operation got bigger and it eclipsed her,” Martinez said. “And she became a pawn in it.”

While prosecutors have estimated the dollar value of the meth, fentanyl and cocaine moved into Minnesota and the Dakotas by Knott’s trafficking operation at $10 million, Martinez said Knott estimated she had only made about $45,000 in profits over her two years operating in Mexico.

A number of letters were written to the court in support of Knott’s character, and two women spoke during the hearing on her behalf: Tonya Tilleskjor, Knott’s mother, and Ashley Schlichting, a childhood friend.

Tilleskjor called her daughter a “beautiful soul” and took blame for Knott’s entry into the drug-trafficking business.

“Regrettably it is because of me, my mother — a long history, finally ended,” Tilleskjor said. “She doesn’t deserve all that time (in prison), she wasn’t manipulating anyone. She was stuck. She didn’t go down there to continue any empire. If she were a kingpin, wouldn’t there be plenty to seize? She didn’t have any money or even a car. I had to send her rent money while she was there.”

Schlichting said Knott was “craving a family” and spent holidays and ate many meals with Schlichting’s family when they were growing up.

“She loves life, and she is so supportive of everyone. She doesn’t hold things against people — she probably even loves the prosecutor right now,” Schlichting said, prompting a hearty laugh and nod from Knott.

Knott first declined when the judge asked her if there was anything she wanted to tell the court before he handed down her sentence, but then she said, “I wrote you a letter.”

“It’s a well-written letter,” Welte responded.

Welte began his sentencing portion of the hearing by calling the case a “heartbreaking” one, but adding that federal judges have very little discretion or ability to deviate from federal code and sentencing guidelines.

“I always tell my kids not to be a victim of life. But you are the first person I’ve seen — in both my time as a practicing attorney and as a judge — who I’m willing to admit might actually be a little bit of a victim of life,” Welte said to Knott, acknowledging her upbringing with parents and grandparents who were trafficking drugs and her close calls in getting tied up with the cartel.

Welte said it was due to the heroic actions of law enforcement that Knott had gotten out of Mexico alive.

“They poured their guts into this,” he said. “Their role is often seen as intrepid or courageous, but sometimes it evolves into heroism, and there was a whole lot of heroism in this case — a lot of it not even seen and not even known to this court.”

Still, Welte said, the “sad and tragic” story of Knott’s life was not completely outside her control.

“Some of this is autobiography,” he said. “You wrote some of this story. I suspect other lives were affected or lost because of this continuing criminal enterprise, and that needs to be accounted for.”

As Welte told Knott, who is 32, that she will likely be in her early 50s when she is released, several audible sobs rose from the defendant’s side of the gallery, and U.S. Marshals and court security passed boxes of tissues out to Knott’s family and friends. Federal inmates are eligible for release after serving 85% of their sentence.

Knott was in tears as she was led out of the courtroom. She has two weeks to appeal the sentence.

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