Middle District of Alabama
Press releases recorded for this federal judicial district.
Phenix City and Atlanta Residents Sentenced to Prison for Involvement in Stolen Identity Tax Refund Fraud SchemeRead the Press Release
Montgomery, Alabama– Two men who conspired to file more than 1,200 false tax returns using stolen identities were sentenced to prison today, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
Ernest James Simmons Jr., 29, of Phenix City, Alabama, was sentenced to 24 months and 15 days in prison and Calvin J. Perry, 28, of Atlanta, Georgia, was sentenced to 32 months in prison. Simons and Perry each pleaded guilty in December 2015 to one count of conspiracy to defraud the government with respect to filing false income tax refund claims and one count of aggravated identity theft.
According to court documents and evidence presented at the sentencing hearing, between 2010 and 2012, Simmons and Perry conspired with Perry’s mother, Pamela Ann Smith, to run a large-scale stolen identity refund fraud scheme from Smith’s tax return preparation business, Jaycal Tax Service, in Phenix City. Smith recruited her son Perry, and Perry’s friend, Simmons, to participate in the scheme. As part of the conspiracy, Smith, Perry and Simmons opened multiple bank accounts and rented multiple post office boxes. They then filed more than 1,200 federal income tax returns using the stolen personal identification information of actual individuals, which included the victims’ names and social security numbers. Simmons was directly connected to false returns claiming more than $700,000 in fraudulent refunds and Perry was directly connected to false returns claiming over $1 million in fraudulent refunds. U.S. Treasury checks were mailed to physical addresses and post office boxes and then deposited into multiple bank accounts, all under the control of Simmons, Perry and Smith. From the scheme, Perry personally obtained more than $300,000 and Simmons personally obtained more than $150,000.
“Identity theft and tax fraud continue to plague our state. However, the hard work of our law enforcement agencies and prosecutors also continue to crack down on these violators,” said U.S. Attorney Beck. “Hopefully, these stiff sentences will deter others who think about stealing for a living. You will be caught!”
In addition to the prison term, Perry and Simmons were ordered to serve three years of supervised release. Perry was also ordered to pay restitution in the amount of $308,152 and Simmons was ordered to pay restitution in the amount of $167,194. In February, Smith was sentenced to serve 51 months in prison after pleading guilty for her role in the scheme.
U.S. Attorney Beck and Acting Assistant Attorney General Ciraolo commended special agents of Internal Revenue Service–Criminal Investigation, who investigated the case and Trial Attorneys Gregory P. Bailey, Michael C. Boteler and Robert J. Boudreau of the Tax Division and Assistant U.S. Attorney Jonathan Ross of the Middle District of Alabama, who prosecuted the case.
Two Men Sentenced for Montgomery Bank RobberyRead the Press Release
Montgomery, Alabama - Edward Hundley, 50, of Birmingham, and Richard Freeman, 39, of Montgomery, were sentenced Wednesday, April 13, 2016 for bank robbery, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. Hundley was sentenced to 84 months in federal prison. Freeman was sentenced to 48 months.
On July 21, 2015, Hundley and Freeman entered the U.S. AmeriBank on Atlanta Highway just after 9:00 A.M. They approached the tellers and handed them notes demanding money. The teller turned over $7,000 to Hundley and Freeman and they fled the scene. Following the investigation, both were later located and arrested in Atlanta. Both pled guilty to the robbery charge in federal court in Montgomery.
The case was investigated by the Federal Bureau of Investigation and the Montgomery Police Department. This case was prosecuted by Assistant United States Attorney Brandon Bates.
Last of the Defendants Involved in the Wal-Mart Check Cashing Scheme Pleads GuiltyRead the Press Release
Montgomery, Ala. – Audrey Valisha Porterfield, 44, of Montgomery, Alabama, pleaded guilty yesterday to conspiring to steal federal funds, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Previously, all six of Porterfield’s co-defendants pleaded guilty to the same offense. Those co-defendants were: Courtney Deon Gardner, 26; Joye Nicole Perdum, 31; Tamala Caprice Avery, 34; Tocory Dewayne Washington, 31; Brittney Kae Ball, 33; and Joshua Jerome Bean, 25, all from Montgomery. The defendants’ convictions stemmed from their involvement in a scheme to cash fraudulent United States Treasury checks at the Wal-Mart Stores, Inc. store on Ann Street in Montgomery.
According to court documents, Gardner and Ball worked as tellers in the money center of the Ann Street Wal-Mart store. Porterfield was a cashier. While on their jobs, Gardner, Ball, and Porterfield cashed fraudulent and stolen Treasury checks brought to the store by the other members of the scheme—Washington, Bean, Perdum, and Avery. The seven co-conspirators shared the proceeds of the fraudulently cashed checks. The investigation revealed that the scheme resulted in a total loss of around $290,000.00 to the victims—including the United States Government and Wal-Mart Stores, Inc.
Each defendant faces a maximum sentence of 5 years in federal prison. Chief United States District Judge Keith Watkins will sentence all defendants on July 20, 2016 at 9:30 AM.
The case was investigated by the United States Secret Service and the Montgomery Police Department. Assistant United States Attorney Jonathan S. Ross is prosecuting the case.
Former Tallassee Assistant Police Chief Sentenced for Beating Suspect During Interrogation, False Statements to the FBI, and Selling DrugsRead the Press Release
Montgomery, Ala. – Today, former Tallassee, Alabama, Assistant Police Chief, Chris Miles, 41, was sentenced to 41 months in prison for depriving a suspect of his federally protected rights by beating the suspect with a phone book-sized packet of paper during an interrogation and then lying about the incident to an FBI agent investigating the matter. Miles was also sentenced for selling marijuana that he stole from the police evidence room.
Miles’ pleaded guilty on Nov. 17, 2015, to one count of deprivation of civil rights, two counts of false statements and one count of possession with intent to distribute. He was sentenced by U.S. District Judge Myron H. Thompson of the Middle District of Alabama.
According to admissions made during his plea hearing, in April of 2013, while he was on duty as assistant police chief, Miles beat a prisoner who was serving a sentence at Tallassee jail while Miles was interrogating that prisoner about uncharged crimes the prisoner was suspected of having committed. During the questioning, Miles grabbed a thick packet of copy paper and used it to strike the victim multiple times across the victim’s face and head. Miles also repeatedly slapped the victim across the face and head with his hand. His abuse caused the victim to suffer bruising and physical pain. Miles also admitted that earlier in 2013 he stole approximately 16 pounds of marijuana from the police evidence room and later sold it to a known drug dealer.
“Law enforcement leaders serve as role models for their fellow officers, and at all times they must act with integrity, fairness and professionalism,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Justice requires even-handed treatment for all, and without exception, we will aggressively prosecute any officer who beats an inmate, breaks the law and lies to federal investigators.”
“Miles was a maverick, working outside the law,” said U.S. Attorney George L. Beck Jr. of the Middle District of Alabama. “While we expect interrogations to be thorough, an officer cannot turn an investigation into a punishment. Fortunately, the overwhelming majority of our law enforcement officials act reasonably and within the bounds of the Constitution.”
This case was investigated by the Auburn resident agency of the FBI’s Mobile Field Office, with the assistance of Alabama’s State Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Jerusha T. Adams for the Middle District of Alabama, and Trial Attorney Gabriel Davis of the Civil Rights Division.
Former Tallassee, Alabama, Assistant Police Chief Sentenced for Beating Suspect During Interrogation, False Statements to the FBI and Selling DrugsRead the Press Release
The Justice Department announced today that former Tallassee, Alabama, Assistant Police Chief, Chris Miles, 41, was sentenced to 41 months in prison for depriving a suspect of his federally protected rights by beating the suspect with a phone book-sized packet of paper during an interrogation and then lying about the incident to an FBI agent investigating the matter. Miles was also sentenced for selling marijuana that he stole from the police evidence room.
Miles’ pleaded guilty on Nov. 17, 2015, to one count of deprivation of civil rights, two counts of false statements and one count of possession with intent to distribute. He was sentenced by U.S. District Judge Myron H. Thompson of the Middle District of Alabama.
According to admissions made during his plea hearing, in April 2013, while he was on duty as assistant police chief, Miles beat a prisoner who was serving a sentence at Tallassee Jail while Miles was interrogating that prisoner about uncharged crimes the prisoner was suspected of having committed. During the questioning, Miles grabbed a thick packet of copy paper and used it to strike the victim multiple times across the victim’s face and head. Miles also repeatedly slapped the victim across the face and head with his hand. His abuse caused the victim to suffer bruising and physical pain. Miles also admitted that earlier in 2013 he stole approximately 16 pounds of marijuana from the police evidence room and later sold it to a known drug dealer.
“Law enforcement leaders serve as role models for their fellow officers, and at all times they must act with integrity, fairness and professionalism,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division. “Justice requires even-handed treatment for all, and without exception, we will aggressively prosecute any officer who beats an inmate, breaks the law and lies to federal investigators.”
“Miles was a maverick, working outside the law,” said U.S. Attorney George L. Beck Jr. of the Middle District of Alabama. “While we expect interrogations to be thorough, an officer cannot turn an investigation into a punishment. Fortunately, the overwhelming majority of our law enforcement official’s act reasonably and within the bounds of the Constitution.”
This case was investigated by the Auburn Resident Agency of the FBI’s Mobile Field Office, with the assistance of Alabama’s State Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Jerusha T. Adams for the Middle District of Alabama and Trial Attorney Gabriel Davis of the Civil Rights Division.
Convicted Cross-Burner Indicted on Federal Gun ChargesRead the Press Release
Montgomery, Alabama – Steven Joshua Dinkle, 30, a former Exalted Cyclops of the Ozark, Alabama chapter of the International Keystone Knights of the Ku Klux Klan (KKK), was arraigned in federal court on March 22, 2016 on charges of being a felon in possession of a firearm, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. The arraignment follows an indictment by a federal grand jury earlier this month.
Dinkle was previously convicted in May of 2014 of several federal felonies surrounding the burning of a cross in a predominantly black neighborhood. Dinkle served his sentence for the convictions and was released in May of 2015. While on supervised release from May to August 2015, Dinkle was cited for multiple violations of the terms of his probation, including possession of a firearm, and his probation was revoked. He is still in Bureau of Prison custody following the probation revocation.
This past Tuesday, Dinkle entered a plea of not guilty to allegations that he possessed a firearm while he was on supervised release following the 2014 felony convictions. Federal law makes it a crime for anyone who has been convicted of a felony offense to possess a firearm, unless they have had their gun rights restored.
An indictment merely alleges that a crime has been committed and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. Dinkle faces a possible sentence of up to 10 years imprisonment if convicted.
This case is being investigated by the Bureau of Alcohol, Tobacco and Firearms, the United States Probation Office, and the Dale County Sheriff’s Office. This case is being prosecuted by Assistant United States Attorney Susan Redmond.
Phenix City Man Convicted of Federal Gun and Drug CrimesRead the Press Release
Montgomery, Ala— Today, a federal jury convicted Antonio Darset King, Sr., 46 years old of Phenix City, Alabama, on federal gun and drug charges, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
Evidence at trial established that on February 23, 2014, Russell County Sheriff’s Office investigators executed a search warrant at King’s Phenix City residence. There, they recovered a firearm, more than 5 grams of cocaine, and approximately $3,000 dollars in cash. Testimony from law enforcement agents established that King intended to distribute the cocaine recovered by investigators. Further, testimony established that King possessed the firearm in question for the purpose of protecting his drug trafficking trade. Because King had previously been convicted of felony offenses, King was prohibited from possessing a firearm by federal law.
In April 2014, a federal grand jury indicted King on one count of possession of a firearm by a convicted felon. In October of 2014, that grand jury added one count of possession of cocaine with intent to distribute it and one count of possession of a firearm in furtherance of a drug-trafficking offense. At trial, a jury found King guilty of all three counts.
A sentencing hearing for King is yet to be scheduled. King faces 15 years to life imprisonment for being previously convicted of felonies and in possession by a firearm; up to 30 years imprisonment for the drug possession count; and 5 years to life for the firearm possession in furtherance of a drug trafficking count. The sentence for possession of a firearm in furtherance of a drug trafficking crime will be added to any sentence imposed on the drug count. Additionally, King faces a maximum fine of $750,000 on the three counts combined.
“My office is committed to taking illegal gun toters and violent drug dealers off the streets,” stated U.S. Attorney Beck. “We will continue to work with our law enforcement partners to do all that is necessary to keep our streets safe.”
“Antonio King is one of Russell County’s most dangerous criminals, ever,” stated Russell County Sheriff Heath Taylor. “I am thankful to U.S. Attorney Beck, and his Assistant U.S. Attorney Todd Brown for a great job in prosecuting the Antonio King case on our behalf. This firearm and drug case was a result of a search warrant on King’s property, which was directly related to a capital murder case which occurred here in Russell County. King has been arrested and is awaiting trial for that capital murder. I believe that the citizens will rest easier now, knowing that King will be locked up for a long time.”
“This focused investigation will have a lasting impact on reducing firearms related violence from the streets of the Phenix City area,” stated Steve Gerido, ATF Special Agent in Charge. “The collaborative efforts of ATF and our partners continue to identify and investigate violent criminals who lessen the quality of life in our neighborhoods”
This case was investigated by the Russell County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant United States Attorney Todd A. Brown prosecuted the case.
“Pill Mill” Operators Plead Guilty to Drug Distribution and Money Laundering ChargesRead the Press Release
MONTGOMERY, AL— Erik Raul Torres, 33, and Marc Oliver Adam, 29, both of southern Florida, pleaded guilty on Thursday, March 3, 2016 in federal court to charges stemming from their operation of a “pill mill” in Opelika, Alabama, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. A “pill mill” is a medical clinic created to sell pills unlawfully, illegally, and for no medical reason.
In 2012, Torres formed EMED Medical Management Corporation—the Opelika pill mill. Torres was the owner and chief executive of the pill mill and he hired Adam to serve as the day-to-day office manager. Torres and Adam then employed Dr. Francisco Huidor-Figueroa to serve as the pill mill’s doctor. At Torres’s direction, Dr. Huidor-Figueroa prescribed controlled substances, like oxycodone, to patients who had no legitimate need for the medicine and intended to either abuse the drug or sell the pills to others who would abuse them. Torres and Adam then laundered the money generated by the unlawful prescriptions.
In December of 2015, Dr. Huidor-Figueroa pleaded guilty to drug distribution and money laundering charges and currently is awaiting sentencing. Thursday, Torres pleaded guilty to conspiring to unlawfully deal drugs (the medically unnecessary prescription medications), and conspiring to launder the proceeds. Adam pleaded guilty to conspiring to launder money.
A sentencing hearing for Torres and Adam is yet to be scheduled. When sentenced, Torres faces up to 20 years’ imprisonment on each count. Additionally, on the drug distribution conspiracy count, Torres faces a maximum fine of $1,000,000. On the money laundering conspiracy count, the maximum fine Torres could be made to pay is $500,000, or twice the value of the property involved in the transaction, whichever is greater. Adam also faces a maximum sentence of 20 years in prison and a fine of $500,000 or twice the value of the property involved in the transaction, whichever is greater.
The Drug Enforcement Administration and Internal Revenue Service’s Criminal Investigations Division investigated the case, with assistance from the Federal Bureau of Investigation, Opelika Police Department, Auburn Police Department and the Alabama Board of Medical Examiners. Assistant United States Attorneys Jonathan S. Ross and Rand N. Neeley are prosecuting the case.
Auburn Date Rape Drug Distributor is Sentenced to Eight and One-Half YearsRead the Press Release
Montgomery, Alabama - Stephen K. Howard, 64, of Auburn, Alabama, was sentenced today to 8 years and 6 months in prison by Judge Myron H. Thompson for possessing with the intent to distribute a date rape drug, possessing methamphetamine, and for possessing a firearm in furtherance of a drug trafficking crime, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. On October 19, 2015, Howard pleaded guilty to three counts of possession with intent to distribute a controlled substance analogue (1-4 butanediol) and one count of possession of methamphetamine. When consumed, 1-4 butanediol has the same effect on the body as gamma-hydroxybutric acid (GHB), commonly known as the “date rape” drug. On December 7, 2015, Howard pleaded guilty to one count of possessing a firearm in furtherance of a drug trafficking crime.
Howard was employed as a lab technician at Auburn University where he illegally used his position as a lab technician to order the butanediol, or date rape drug, from the manufacturer. Howard then sold this date rape drug to an undercover officer on two occasions and stored large amounts of the drug and a small amount of methamphetamine in his Auburn residence. During one of the purchases of the butanediol, Howard displayed and brandished a firearm to the undercover officer.
"Those who take advantage of young girls by doping them unconscious are disgusting and repulsive,” stated U.S. Attorney George L. Beck, Jr.. “Rape by force or mental incapacity is a serious crime that warrants harsh prosecution. Howard used the threat of a firearm to enforce the sale of his illegal date rape drug. That makes him a violent criminal."
“I hope this case serves as an example to anyone who would consider manufacturing and or using any substance to take advantage of someone else,” stated Auburn Police Chief Paul Register. “It is a good example of all levels of law enforcement working together with Auburn University to keep students and citizens safe.”
“The reprehensible actions of the defendant showed a deep disregard towards the health and safety of young women in our community,” stated Robert F. Lasky, FBI Special Agent in Charge. “His conviction and sentence serve to place all on notice that this type criminal activity will not be tolerated.”
“The Drug Enforcement Administration, along with our law enforcement partners, are committed to keeping our most vulnerable members our communities safe from drug traffickers and predators,” stated Clay Morris, DEA Assistant Special Agent in Charge. “We will stand side-by-side to protect our children. With outstanding law enforcement coordination and cooperation we were able to swiftly remove a dangerous person and remove the potential for him to harm others. The sentence handed down today should send a clear and resounding message that drug trafficking will not be tolerated.”
“State Bureau of Investigation Narcotics Agents worked closely with our federal and local partners during the course of this investigation,” said Acting Secretary of Law Enforcement Stan Stabler. “We will continue to work as a team and collaborate with federal, state, county and municipal law enforcement agencies to fight the unlawful production and distribution of illegal drugs in Alabama.”Alabama Resident and Former U.S. Postal Worker Sentenced to Prison for Involvement in Stolen Identity Tax Refund Fraud RingRead the Press Release
Montgomery, AL– A Seale, Alabama resident and former U.S. Postal Service employee was sentenced today to serve more than five years in prison for her role in a stolen identity refund fraud (SIRF) conspiracy, announced U.S. Attorney George L. Beck, Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
According to court documents and evidence presented at the sentencing hearing, between June 2012 and December 2013, Elizabeth Grant aka Elizabeth Williams Grant and Ann Grant, 52, conspired with others, including Tracy Mitchell of Phenix City, Alabama, and Keshia Lanier of Seale, Alabama, to obtain fraudulent income tax refunds by filing false federal income tax returns using stolen identities. For a fee, Grant provided co-conspirators with addresses along her mail delivery route to use in filing false tax returns. Grant then retrieved the fraudulent tax refund checks from the mail and delivered the checks to her co-conspirators. The scheme resulted in the filing of more than 700 false returns claiming more than $1.5 million in tax refunds.
Grant pleaded guilty in November 2015 to conspiracy to defraud the United States with respect to claims, aggravated identity theft and embezzling mail. Several co-conspirators, including Mitchell and Lanier, have already pleaded guilty and were sentenced for their roles in this scheme. On Aug. 7, 2015, Mitchell was sentenced to 159 months in prison. On Sept. 25, 2015, Lanier was sentenced to 180 months in prison. In addition to the term of imprisonment, Grant was also ordered to serve three years of supervised release and pay restitution in the amount of $978,468.
U.S. Attorney Beck and Acting Assistant Attorney General Ciraolo commended special agents of IRS-Criminal Investigation, who investigated the case and Trial Attorneys Michael C. Boteler, Gregory P. Bailey and Robert J. Boudreau of the Tax Division and Assistant U.S. Attorney Jonathan Ross of the Middle District of Alabama, who prosecuted the case.
Alabama Resident Sentenced to Prison for Involvement in Stolen Identity Tax Refund Fraud SchemeRead the Press Release
Montgomery, AL – An Alabama woman was sentenced today to serve 51 months in prison for her role in a stolen identity refund fraud (SIRF) conspiracy, announced U.S. Attorney George L. Beck, Jr. of the Middle District of Alabama, and acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
According to court documents and evidence presented at the sentencing hearing, between 2007 and 2012, Pamela Ann Smith, 56, of Lanett, Alabama, led a large-scale SIRF scheme from her tax preparation business, Jaycal Tax Service, in Phenix City, Alabama. Smith recruited her son, Calvin Perry and his friend, Ernest Simmons, Jr., to participate in the scheme. As part of the conspiracy, Smith, Perry and Simmons opened multiple bank accounts and rented post office boxes. They filed more than 1,200 federal income tax returns using the stolen personal identification information of actual individuals, which included the victims’ names and social security numbers. The tax returns filed by Smith and her co-conspirators sought more than $4 million in fraudulent refunds from the Internal Revenue Service (IRS). U.S. Treasury checks were mailed to physical addresses and post office boxes under Smith’s control and subsequently deposited into multiple bank accounts controlled by Smith, Perry and Simmons. Smith personally received more than $300,000 from this scheme.
Smith pleaded guilty in November 2015 to one count of conspiracy to defraud the government with respect to filing false income tax refund claims and one count of aggravated identity theft. Perry and Simmons also pleaded guilty in December 2015 for their involvement in this SIRF scheme and are scheduled to be sentenced in April.
In addition to the prison term, U.S. District Judge John Antoon, II ordered Smith to serve three years of supervised release and pay restitution in the amount of $340,057.
U.S. Attorney Beck and acting Assistant Attorney General Ciraolo commended special agents of IRS-Criminal Investigation, who investigated the case and Trial Attorneys Gregory P. Bailey, Michael C. Boteler and Robert J. Boudreau of the Tax Division and Assistant U.S. Attorney Jonathan S. Ross of the Middle District of Alabama, who prosecuted the case.
Attorney Arrested for Stealing from the Department of Housing and Urban DevelopmentRead the Press Release
Montgomery, Ala. – Christopher B. Pitts, 46, a Georgia resident who was previously an attorney practicing in Montgomery, Alabama was arrested today after being indicted on February 2, 2016 for nine counts of wire fraud, announced George Beck Jr., U.S. Attorney for the Middle District of Alabama.
According to the allegations in the indictment, between 2005 and 2008, Pitts served as a closing attorney for the sales of all homes owned by the United States Department of Housing and Urban Development (HUD) in northern and central Alabama. As the closing attorney, it was Pitts’s job to receive purchase money, pay closing costs, and transmit to HUD the remaining purchase money. The indictment alleges that, at least eight times, Pitts did not perform this last step—paying HUD the net proceeds from a sale. Instead, Pitts used money from the sales of HUD-owned homes for personal expenses, such as paying off mortgages held by his wife. In total, Pitts caused HUD to lose around $1.1 million.
If convicted, Pitts faces a maximum sentence of 30 years in prison. He also faces substantial monetary penalties and restitution.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
This case was investigated by HUD’s Office of Inspector General. Assistant U.S. Attorney Jonathan S. Ross is prosecuting the case.
Alabama Woman Sentenced to Prison for Involvement in Stolen Identity Tax Refund Fraud RingRead the Press Release
Montgomery, AL –A Phenix City, Alabama resident was sentenced to serve 51 months in prison, followed by three years of supervised release and ordered to pay $116,636 in restitution for her role in a stolen identity refund fraud (SIRF) scheme, Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division and U.S. Attorney George L. Beck Jr. of the Middle District of Alabama announced today.
“Prosecuting stolen identity refund fraud remains a top priority of the department,” said Assistant Attorney General Ciraolo. “Individuals engaged in this criminal conduct not only cause millions of dollars in financial losses to the IRS, but inflict long-term economic and personal consequences on those US taxpayers whose private information is stolen. The Tax Division will continue to work with its federal, state and local law enforcement partners to combat this serious fraud on the American public, and seek lengthy terms of incarceration for those responsible.”
“My office will continue to work with the IRS to vigorously prosecute those people who steal an innocent person’s identity, just to file a false tax return and steal the tax refunds,” said U.S. Attorney Beck. “These criminals need to be punished for the harm they cause to the person whose identity is stolen and the harm they cause to the U.S. taxpayer.”
According to court documents, during 2013, Benita E. Short, conspired with others to defraud the United States by filing false federal income tax returns using stolen identities. Short obtained personal identifiable information, including names, social security numbers, addresses and dates of birth, without the individuals’ authorization. A co-conspirator obtained the stolen personal identifiable information from an individual who had access to Alabama state databases and obtained Electronic Filing Identification Numbers (EFINs) in the names of several tax preparation businesses, and provided this information to Short. Short then used the stolen identities and EFINs to electronically file 326 fraudulent tax returns with the Internal Revenue Service (IRS), causing a tax loss of $456,853. Short also caused income tax refund checks that were issued as a result of the fraudulent tax returns to be cashed at several businesses in Alabama and Georgia. For her role in the conspiracy, Short pleaded guilty in October 2015 to conspiracy to defraud the United States and aggravated identity theft.
In March 2015, one of Short’s co-conspirators, Keshia Lanier, the ringleader of a $24 million SIRF conspiracy, also pleaded guilty to one count of wire fraud and one count of aggravated identity theft. On Sept. 25, 2015, Lanier was sentenced to serve 15 years in prison to be followed by three years of supervised release and ordered to forfeit $5,811,406.
In addition to the prison term, U.S. District Judge Myron H. Thompson of the Middle District of Alabama ordered Short to serve three years of supervised release and pay $116,636 in restitution to the IRS. Acting Assistant Attorney General Ciraolo and U.S. Attorney Beck Jr. commended special agents of IRS Criminal Investigation, who investigated the case and Trial Attorneys Michael C. Boteler and Michael P. Hatzimichalis of the Tax Division and Assistant U.S. Attorney Jonathan Ross of the Middle District of Alabama, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found at justice.gov/tax.
Joint Federal Human Trafficking Task Forces Meeting Held January 29, 2016 at 9:00 AMRead the Press Release
Montgomery, Alabama - United States Attorney George L. Beck, Jr., will join with members of the Middle District of Alabama Human Trafficking Task Force, the Northern District of Alabama Human Trafficking Task Force, and the Southern District of Alabama Human Trafficking Task Force for a meeting on January 29, 2016. The purpose of the meeting is to unite federal, state, and local law enforcement officials, prosecutors and victim service providers to discuss investigation strategies and victim resources, and to implement a state-wide protocol in an effort to combat human trafficking.
According to the U.S. Department of Health and Human Services, human trafficking is recognized as “a modern-day form of slavery” and “is tied with the illegal arms industry as the second largest criminal industry in the world today.” Human trafficking often takes one of two forms – labor or sex trafficking. Labor trafficking may include forced labor or debt bondage, where a victim continually works to pay off an undefined and seemingly endless debt. Sex trafficking includes forcing victims to perform sexual acts, performances, or prostitution, or subjecting them to sexual abuse or torture. Victims may be subject to inhumane conditions and may be afraid to seek help due to language barriers, immigration status, or fear of the trafficker. Both Federal and Alabama law criminalize human trafficking, with penalties including significant prison time, large fines, and mandatory restitution.
The mission of the Middle District of Alabama Human Trafficking Task Force is “To Find and Free” victims of human trafficking. The Task Force began its work in 2009, initiated by the U.S. Attorney’s Office for the Middle District of Alabama.
The Task Force consists of federal, state, and local partners within the River Region and from the 23 counties which comprise the Middle District of Alabama. In addition to the United States Attorney’s Office for the Middle District of Alabama, the Task Force partners include: the Montgomery County District Attorney’s Office, the Federal Bureau of Investigation, the Homeland Security Investigations of the United States Department of Homeland Security, the Alabama Attorney General’s Office, the Alabama Fusion Center (which is a division of ALEA), the Montgomery Police Department, the Montgomery County Sheriff’s Office, One Place Family Justice Center, Legal Services Alabama, the Family Sunshine Center, the Alabama Coalition Against Domestic Violence, Stella’s Voice, SABRA Sanctuary of Selma, the Alabama Department of Youth Services, the Alabama Department of Child Abuse and Neglect Prevention, the Alabama Department of Education, survivors of human trafficking, college students, and local college chapters of International Justice Mission.
The meeting on Friday will include training by presenters from the Federal Bureau of Investigation and Homeland Security. All members of law enforcement, victim service providers, and service organizations are invited to attend.
For more information, please contact Assistant United States Attorney Hollie Worley at 334-223-7280 or United States Attorney’s Office Victim Witness Specialist Jackie Vickers at 334-223-7280.
To learn more about human trafficking, visit DOJ’s website at www.ovc.ncjrs.gov/humantrafficking/or the HHS website at acf.hhs.gov/opre/topic/human-trafficking
Prattville Man Pleads Guilty to Copyright InfringementRead the Press Release
Montgomery, Alabama– Ivory Vernell Nevels, 53, entered a plea of guilty to criminal copyright infringement and possession of counterfeit currency, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. Nevels entered the plea of guilty before United States District Judge Carlos Eduardo Mendoza visiting from the Middle District of Florida.
Nevels, who referred to himself as “Mr. Everything,” had a store in Prattville, Alabama, known as Stack A Dollar. At Stack A Dollar, Nevels sold counterfeit handbags, purses, wallets, watches, and other goods which bore counterfeit marks registered with the United States Patent and Trademark Office. During the investigation, federal agents executed a search warrant at Stack A Dollar and seized approximately $160,000 in counterfeit goods.
Nevels also illegally copied copyrighted music and movies, in violation of federal copyright laws. Theses counterfeit recordings were sold at his store.
As to the Criminal Copyright Infringement charge, Nevels now faces up to five years imprisonment and a fine of $250,000. He faces up to twenty years imprisonment and a $250,000 fine for possession of the counterfeit currency.
A date has not yet been set for his sentencing.
This case was investigated by the United States Secret Service, Department of Homeland Security, Millbrook Police Department, and Prattville Police Department. It was prosecuted by Assistant United States Attorneys Curtis Ivy and Bradley Bodiford.
Former Police Chief Convicted of Selling Ammunition to Illegal AlienRead the Press Release
Montgomery, Ala. – The former Chief of Police for the town of Franklin, Alabama, was convicted of selling ammunition to an illegal alien after a three-day jury trial in federal court last week, announced George L. Beck, Jr., the United States Attorney for the Middle District of Alabama.
The evidence presented at trial showed that Michael T. Clements (57) ran a side business out of his home selling computers, iPhones, flat screen TV’s, and various other items while working as the Franklin Police Chief. Franklin is a small community located near Tuskegee in Macon County. Clements became the target of a federal investigation after the FBI, working with the Auburn Police Department, received information that he was selling stolen property and firearms. Through the use of a confidential informant, the FBI was able to purchase a stolen laptop and obtain a video of Clements brokering the sale of a firearm and ammunition to an illegal alien.
At trial, the evidence revealed that Clements negotiated the sale of a firearm to a Mexican national illegally in the country even after the alien had provided Clements with an identification card written entirely in Spanish and issued by a Mexican governmental entity. The evidence further proved that Clements then sold the ammunition after the alien told him that he attempted to purchase ammunition for the gun at a store, but could not do so because he was in the country illegally.
“For citizens to have confidence in their government, public corruption cannot be tolerated,” stated U.S. Attorney Beck. “As a public official, Mr. Clements was a guardian of the public trust. Thankfully, an overwhelming majority of law enforcement officers honorably serve their communities every day.”
Clements faces a maximum sentence of 10 years in prison, a $250,000 fine, and three years of supervised release. His sentencing hearing is scheduled for April 28, 2016.
The investigation of this case was a joint effort of the FBI and the Auburn Police Department working on the FBI’s Safe Streets Task Force. The Tuskegee Police Department and the Alabama Bureau of Investigation also provided support for this investigation. The case was prosecuted by Assistant United States Attorneys Brandon K. Essig and John Geer.
Montgomery Resident Indicted for Stolen Identity Tax Refund Fraud SchemeRead the Press Release
Montgomery, Ala. – A Montgomery, Alabama resident was arrested today after being indicted on Dec. 9 by a federal grand jury sitting in Montgomery, Alabama, on 15 counts of wire fraud, 15 counts of aggravated identity theft and two counts of passing U.S. Treasury checks with a false endorsement, announced U.S. Attorney George L. Beck, Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
According to the allegations in the indictment, James Vernon Battle, a resident of Montgomery County, used stolen personal identification information to prepare and file false federal income tax returns for tax years 2013 and 2014 for the purpose of obtaining fraudulent tax refunds. Battle directed the Internal Revenue Service (IRS) to issue the requested refunds by depositing the funds onto prepaid debit cards and by issuing U.S. Treasury checks.
If convicted, Battle faces a statutory maximum sentence of 20 years in prison for each count of wire fraud, a mandatory minimum sentence of two years in prison for aggravated identity theft and a statutory maximum sentence of 10 years in prison for each count of passing a U.S. Treasury check with a false endorsement. He also faces substantial monetary penalties and restitution.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
U.S. Attorney Beck and Acting Assistant Attorney General Ciraolo commended special agents of IRS-Criminal Investigation and the U.S. Secret Service, who investigated the case, and Trial Attorneys Michael C. Boteler and Robert J. Boudreau of the Tax Division and Assistant U. S. Attorney Jonathan Ross of the Middle District of Alabama, who are prosecuting this case.
Federal Prostitution Charges Brought Against Three Men in MontgomeryRead the Press Release
Montgomery, Alabama – Three Montgomery residents were indicted by a federal grand jury for their involvement in an interstate prostitution ring being operated out of an apartment in Montgomery, announced U.S. Attorney George Beck from the Middle District of Alabama. The three individuals indicted were: Bernabe Carbajal, 37; Andres Hernandez Gomez, 53; and Saul Garrido Eligio, 34.
According to court documents, Gomez and Eligio were a part of a ring that conspired to transport females across state-lines for the purpose of prostitution. The conspiracy took place from 2014 to October 2015 and included using females who were illegal aliens working as prostitutes at various locations, transporting the females from state to state, harboring the females in apartments being operated as brothels, coordinating meetings between the females and the males who paid for sexual services, and collecting payment for the sexual services provided by the females. Evidence shows that an apartment in Montgomery was maintained as a brothel for the females to stay in and engage in prostitution.
Specifically, it is alleged that on October 26, 2015 Carbajal enticed a female to travel with him to the apartment in Montgomery from Georgia to engage in prostitution.
After arriving at the apartment and while Gomez was supervising the brothel, the female engaged in prostitution and provided services to approximately 44 customers over a three-day period. Gomez’s duties at the brothel included, staying at the apartment, overseeing the operations of the brothel, supervising the prostitutes, screening the customers, collecting money from the customers, and reporting the number of customers.
Eligio participated in the conspiracy by traveling to the brothel to pick up money from Gomez and providing condoms to the females when needed.
If convicted, Carbajal faces a maximum sentence of ten years in prison for the transportation charge, a maximum sentence of twenty years in prison for the enticement charge, and a $250,000 fine for each charge. Gomez and Eligio each face a maximum sentence of five years in prison and a $250,000 fine for the conspiracy charge. All three defendants are in the custody of the United States Marshals Service pending trial.
The case against Gomez and Eligio is scheduled for trial in January 2016 before Chief United States District Judge W. Keith Watkins. Carbajal is presently in Georgia facing charges for conspiracy to engage in sex trafficking of a minor and conspiracy to transport a person in interstate commerce for the purpose of prostitution in the United States District Court for the Middle District of Georgia.
An indictment merely alleges that crimes have been committed and the defendants are presumed innocent until proven guilty beyond a reasonable doubt.
This was a joint investigation with the Federal Bureau of Investigation and the Drug Enforcement Administration, with assistance from Homeland Security Investigations (HSI), High Intensity Drug Trafficking Area (HIDTA) Task Force, Alabama Law Enforcement Agency (ALEA), including the State Bureau of Investigations, Department of Public Safety, and the Fusion Center, the Alabama Attorney General’s Office, Montgomery Police Department, Autauga County Sheriff’s Office, Prattville Police Department, Elmore County Sheriff’s Office, Central Alabama Drug Task Force, Auburn Police Department, Millbrook Police Department, Dothan Police Department, Alabama National Guard Counterdrug Program, Albertville Police Department, Marshall County District Attorney’s Office, Marshall County Sheriff’s Office, Marshall County Against Domestic Violence Coalition, and the 19th Circuit District Attorney’s Office. Assistant U.S. Attorneys Jerusha T. Adams and Hollie Worley are prosecuting the case.
Montgomery Man Sentenced for Selling Firearms on the Dark WebRead the Press Release
Montgomery, Alabama - Michael Albert Focia, 48, of Montgomery, Alabama was sentenced yesterday to 51 months in prison for dealing in firearms without a license and two counts of selling guns to people who were outside the State of Alabama, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
The evidence at trial and at his sentencing hearing proved that Focia was selling firearms on the non-publicly accessible portions of the internet, commonly referred to as the “dark web” or “deep web.” During the investigation, law enforcement agents determined that Focia had unlawfully sold and shipped at least 32 firearms to people all over the world—including Australia and Sweden. The agents also learned that, in shipping these firearms, Focia had used various ruses to hide his identity, such as placing false return address labels on packages, using aliases to send packages, falsely declaring the contents of the packages he was sending, and packing the guns so that they appeared to be computer hard drives.
“Modern criminals often think that the secrecy provided by the internet gives them freedom to violate the law,” stated U.S. Attorney Beck. “This case proves them wrong and proves that even the most technologically savvy criminal, such as Focia, will be detected, prosecuted, and forced to spend time in prison when he or she uses modern technology to engage in old fashioned crime.”
This case was investigated by the Alcohol, Tobacco, Firearms and Explosives, the United States Postal Inspection Service, with the help of the Montgomery County Sheriff’s Office, Elmore County Sheriff’s Office, and the United States Marshals Service. The case was prosecuted by Assistant United States Attorney Jonathan S. Ross.
Justice Department Settles Americans with Disabilities Act Employment Discrimination Case Against Bolivar County, MississippiRead the Press Release
The Justice Department filed a proposed consent decree today with Bolivar County, Mississippi, resolving claims that the county violated Title I of the Americans with Disabilities Act (ADA). The complaint, also filed today, alleges that the county violated the ADA by terminating a correctional officer with the Bolivar County Regional Correctional Facility one day after he disclosed in a post-hire physical examination that he previously had diabetes. The county terminated the employee, who had nearly 20 years of prior experience as a correctional officer and was qualified to perform the position, because he had a record of a disability and/or was regarded as having a disability.
The consent decree, which must be approved by the court, requires the county to pay the employee nearly $100,000 in back pay and compensatory damages, offer to reinstate him to the correctional officer position, provide training on the ADA and file reports on its compliance with the decree and ADA with the Justice Department.
“Employers may not terminate employees based on erroneous assumptions about individuals with diabetes or other disabilities,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “This agreement is another step towards eliminating employment barriers for people with disabilities, and we applaud the county for working cooperatively with the department to resolve this matter.”
Title I of the ADA prohibits employers from discriminating against a qualified individual on the basis of disability in regard to job application procedures, the hiring, advancement or discharge of employees, employee compensation, job training and other terms, conditions and privileges of employment. An employer may also not deny employment opportunities to a job applicant or employee who is otherwise qualified if the denial is based on the need to make reasonable accommodations for the applicant or employee. This matter was based on a referral from the Jackson, Mississippi, Area Office of the Equal Employment Opportunity Commission who completed the initial investigation of the facts.
Those interested in finding out more about federal disability rights statutes can call the Justice Department’s toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TDD), or access the ADA website at www.ada.gov.
Bolivar County Complaint
Bolivar Consent Decree
Former Tallassee, Alabama, Assistant Police Chief Pleads Guilty to Beating Suspect During InterrogationRead the Press Release
Former Tallassee, Alabama, Assistant Police Chief, Chris Miles, 41, pleaded guilty today in a federal court in Montgomery, Alabama, to one count of deprivation of rights and two counts of false statements, for beating a suspect with a phone book-sized packet of paper during an interrogation and then lying about the incident to an FBI agent investigating the matter. Miles also pleaded guilty to one count of possession with intent to distribute for abusing his position as assistant police chief to steal approximately 16 pounds of marijuana from an evidence room, later selling it to a known drug dealer.
During the plea hearing, Miles admitted that in April 2013, while he was on duty as assistant police chief, he beat a prisoner who was serving a sentence at Tallassee Jail while he was interrogating the inmate about uncharged crimes the inmate was suspected of having committed. During the interrogation, Miles grabbed a thick packet of copy paper and used it to strike the victim multiple times across the victim’s face and head. Miles also repeatedly slapped the victim across the face and head with his hand. Miles’ abuse caused the victim to suffer bruising, redness and physical pain.
“The defendant intentionally violated a man’s fundamental civil rights and threatened to weaken the public’s confidence in our criminal justice system when he decided to beat a suspect into a confession, and to further engage in narcotics trafficking,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “His blatant criminal conduct undermines the dedicated efforts of the vast majority of law enforcement officers who serve honorably. The Justice Department will continue to protect the rights of all individuals, including those in custody, to be free from such abuse and criminal conduct.”
“Miles was a maverick, working outside the law,” said U.S. Attorney George L. Beck Jr. of the Middle District of Alabama. “Fortunately the overwhelming majority of our law enforcement officials act reasonably and within the bounds of the Constitution.”
Miles is scheduled to be sentenced before U.S. District Court Judge Myron H. Thompson of the Middle District of Alabama at a date to be determined. He faces up to 10 years in prison and a maximum fine of $250,000 for the deprivation of rights count. For each of the other counts, he faces up to five years in prison and a maximum fine of $250,000.
This case was investigated by the Auburn Resident Agency of the FBI’s Mobile Field Office, with the cooperation of Alabama’s State Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Jerusha T. Adams of the Middle District of Alabama and Trial Attorney Gabriel Davis of the Civil Rights Division.
Miles Plea Agreement
Former Tallassee Assistant Police Chief Pleads Guilty to Beating Suspect During InterrogationRead the Press Release
Montgomery, Alabama – Former Tallassee, Alabama, Assistant Police Chief, Chris Miles, 41, pleaded guilty today in a federal court in Montgomery, Alabama, to one count of deprivation of rights and two counts of false statements, for beating a suspect with a phone book-sized packet of paper during an interrogation and then lying about it to an FBI agent investigating the matter. Miles also pleaded guilty to one count of possession of a controlled substance with intent to distribute for using his position as assistant police chief to steal approximately 16 pounds of marijuana from an evidence room, and later selling it to a known drug dealer.
During the plea hearing, Miles admitted that in April 2013, while he was on duty as assistant police chief, he beat a prisoner who was serving a sentence at Tallassee Jail while he was interrogating the inmate about uncharged crimes the inmate was suspected of having committed. During the interrogation, Miles grabbed a thick packet of copy paper and used it to strike the victim multiple times across the victim’s face and head. Miles also repeatedly slapped the victim across the face and head with his hand. Miles’ abuse caused the victim to suffer bruising, redness and physical pain.
“The defendant intentionally violated a man’s fundamental civil rights and threatened to weaken the public’s confidence in our criminal justice system when he decided to beat a suspect in order to force a confession and to further engage in narcotics trafficking,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “His blatant criminal conduct undermines the dedicated efforts of the vast majority of law enforcement officers who serve honorably. The Justice Department will continue to protect the rights of all individuals, including those in custody, to be free from such abuse and criminal conduct.”
“Miles was a maverick, working outside the law,” stated U.S. Attorney George Beck. “Fortunately, the overwhelming majority of our law enforcement official’s act reasonably and within the bounds of the Constitution.”
Miles is scheduled to be sentenced before U.S. District Court Judge Myron H. Thompson of the Middle District of Alabama at a date to be determined. He faces up to 10 years in prison and a maximum fine of $250,000, for the deprivation of rights count. For each of the other counts, he faces up to five years in prison and a maximum fine of $250,000.
This case was investigated by the Auburn resident agency of the FBI’s Mobile Field Office, with the cooperation of the Alabama Law Enforcement Agency. The case is being prosecuted by Assistant U.S. Attorney Jerusha T. Adams for the Middle District of Alabama and Trial Attorney Gabriel Davis of the Civil Rights Division.
State of Alabama Agrees to Resolve Claims of National Voter Registration Act ViolationsRead the Press Release
The Department of Justice announced today that it has entered an agreement with the state of Alabama and state officials to resolve claims that Alabama failed to provide voter registration opportunities required by Section 5 of the National Voter Registration Act of 1993 (NVRA).
Section 5 of the NVRA, also known as the “motor voter” provision, requires states to provide voter registration opportunities for federal elections when people apply for or seek to renew driver’s licenses or other identification documents through state motor vehicle offices.
The department’s investigation, conducted by the Civil Rights Division, found widespread noncompliance with the requirements of Section 5 of the NVRA in the state of Alabama. Applications for Alabama driver’s licenses, learner’s licenses, identification cards and vessel licenses did not serve as applications for voter registration with respect to elections for federal office, as required by the NVRA. Moreover, the procedures by which citizens notify motor vehicle authorities that their address has changed did not serve as notification of a change of address for voter registration purposes, as the NVRA requires.
“Voting is the cornerstone of our democracy,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “We commend the state of Alabama for working quickly and cooperatively with the department to ensure that eligible Alabama citizens can register to vote and update their registration information through motor vehicle agencies, with the convenience they deserve and the ease of access the law requires.”
Under the terms of the settlement, Alabama will fully integrate a voter registration opportunity into all applications for driver’s licenses and other identification documents, including renewal applications, both in person and online. Alabama will also ensure that change of address information submitted for driver’s license purposes will be used to update voters’ address information unless the voter declines to update her voter registration. In order to provide a voter registration opportunity for Alabama residents who did not receive the opportunity to register when last applying for or renewing a driver’s license or other identification document, Alabama will contact all eligible voters who are not currently registered to vote at the address associated with a driver’s license or other identification document. Alabama is beginning to implement interim procedures that will increase voter registration opportunities while the state integrates voter registration into its electronic motor vehicle systems.
“It is essential for every citizen in our democracy to have a full opportunity to exercise his or her right to vote,” said U.S. Attorney Joyce White Vance of the Northern District of Alabama. “The agreement concluded today between the Justice Department and the state of Alabama moves our state forward towards compliance with the ‘motor-voter’ Act, which was enacted in 1993, and will make it easier for citizens to register and maintain their voter registration while applying for and renewing drivers' licenses. We appreciate the dedication from our colleagues in the Civil Rights Division as well as Alabama Attorney General Luther Strange’s commitment to achieving compliance with section 5 of the NVRA.”
“I would like to commend the state of Alabama for their good faith negotiations and for ensuring full implementation of the ‘motor voter’ provision,” said U.S. Attorney George L. Beck Jr. of the Middle District of Alabama. “I would also applaud the commitment by the Secretary of State, the Alabama Law Enforcement Agency, the Alabama Attorney General and the Governor for their diligent efforts, committing resources and designing software to provide access to voter registration through the driver’s license process.”
“There is no more fundamental right of citizenship in our democracy than the right to vote,” said U.S. Attorney Kenyen R. Brown of the Southern District of Alabama. “I am pleased that the state of Alabama has taken steps to come into compliance with the requirements of the law as it relates to the National Voter Registration Act.”
More information about the NVRA and other federal voting laws is available on the Department of Justice website at www.justice.gov/crt/about/vot/. Complaints about voter registration practices may be reported to the Civil Rights Division’s Voting Section at 1-800-253-3931.
Alabama MOU
Seven Montgomery Residents Arrested for Their Involvement in a $290k Check Cashing RingRead the Press Release
Montgomery, Ala. – Seven Montgomery residents were arrested after being indicted by a grand jury for their involvement in a fraudulent check cashing ring being operated out of a Montgomery Wal-Mart store announced U.S. Attorney George Beck from the Middle District of Alabama. The seven individuals arrested were: Courtney Deon Gardner, 25; Audrey Valisha Porterfield, 43; Joye Nicole Perdum, 30; Tamala Caprice Avery, 34; Tocory Dewayne Washington, 31; Brittney Kae Ball, 32; and Joshua Jerome Bean, 25. The individual arrests took place on a variety of dates. The earliest occurred on October 15, 2015, and the final arrest was on November 4, 2015.
According to court documents, Gardner, Porterfield, and Ball worked as tellers in the money center of the Wal-Mart store located on Ann Street in Montgomery. Through their positions, these defendants cashed stolen or fraudulent United States Treasury checks for the other members of the scheme—Washington, Bean, Perdum, and Avery. The seven would then share the proceeds of the fraudulently cashed checks. The investigation revealed that the scheme resulted in a loss of approximately $290,000.00 to the victims—including the United States Government and Wal-Mart Stores, Inc.
An indictment merely alleges that crimes have been committed and the defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Each defendant was indicted for conspiracy and theft of government property charges which carry a maximum sentence of 10 years imprisonment if convicted. Washington and Bean were also charged with aggravated identity theft offenses and face up to an additional six years in prison if they are convicted.
The case was investigated by the United States Secret Service and the Montgomery Police Department. Assistant United States Attorney Jonathan S. Ross is prosecuting the case.
Two Men Arrested in Montgomery Following Multi-Agency InvestigationRead the Press Release
Montgomery, Alabama - Daniel Garcia, aka “Cholo” 41, and Jhony Hernandez, aka “Manuel Barrior Ramirez” 23, both from Mexico, were arrested in Montgomery on October 29, 2015, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
The arrests came after a lengthy investigation by the Drug Enforcement Administration, the Federal Bureau of Investigation, and Homeland Security Investigations into drug trafficking and prostitution in Alabama and elsewhere. Both Garcia and Hernandez have been charged in a federal indictment alleging that they possessed with intent to distribute controlled substances in the Middle District of Alabama. Garcia is alleged to have possessed and distributed both cocaine and methamphetamine. Hernandez is alleged to have possessed and distributed methamphetamine. Neither man has been charged in the prostitution aspect of the case.
For these crimes, Garcia could face up to twenty years imprisonment and a $1,000,000 fine for his alleged cocaine possession. For his alleged methamphetamine possession, Garcia could face imprisonment for not less than ten years and up to a $10,000,000 fine. Hernandez, for his methamphetamine possession, could face imprisonment for not less than five years and up to a $5,000,000 fine.
An arrest is merely a method of charging a defendant and each defendant is presumed innocent unless and until the defendant=s guilt has been proven beyond a reasonable doubt at trial.
This case was investigated by the Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI) Safe Streets Task Force, Homeland Security Investigations (HSI), High Intensity Drug Trafficking Area (HIDTA) Task Force, Alabama Law Enforcement Agency (ALEA), including the State Bureau of Investigations, Department of Public Safety, and the Fusion Center, the Alabama Attorney General’s Office, Montgomery Police Department, Autauga County Sheriff’s Office, Prattville Police Department, Elmore County Sheriff’s Office, Central Alabama Drug Task Force, Auburn Police Department, Millbrook Police Department, Dothan Police Department, Alabama National Guard Counterdrug Program, Albertville Police Department, Marshall County District Attorney’s Office, Marshall County Sheriff’s Office, Marshall County Against Domestic Violence Coalition, and the 19th Circuit District Attorney’s Office. The cases are being prosecuted by Assistant U.S. Attorneys Verne Speirs and Ben Baxley.
Date Rape Drug Distributor Pleads GuiltyRead the Press Release
Montgomery, Alabama - Stephen K. Howard, 64 of Auburn, Alabama, pleaded guilty today to three counts of possession with intent to distribute a controlled substance analogue (1-4 butanediol) and one count of possession of methamphetamine, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. When ingested, 1-4 butanediol has the same effect on the body as gamma-hydroxybutric acid (GHB), commonly known as the “date rape” drug.
Evidence uncovered during the investigation indicated that Howard unlawfully used his position as a lab technician at Auburn University to order the butanediol, or date rape drug, from the manufacturer. Howard then sold the date rape drug to an undercover officer on two occasions and stored large amounts of the drug in his Auburn residence. Howard denies that he personally distributed any butanediol to Auburn University students.
"Those who take advantage of young girls by doping them unconscious are disgusting and repulsive,” stated U.S. Attorney George L. Beck, Jr. “Rape by force or mental incapacity is a serious crime that warrants harsh prosecution. Those who make or sell drugs used to rape by mental incapacity are equally as guilty."
Auburn Police Captain Will Mathews praised the efforts of the coordination of local, state, and federal law enforcement agencies to bring this case to conclusion. “This was a case in which a person was poisoning our community with illicit chemicals. The Auburn Police Division solicited assistance from ALEA, FBI, DEA, and the U.S. Attorney’s Office to bring this criminal to answer for his crime. It was very successful.”
“State Bureau of Investigation Narcotics Agents worked closely with our federal and local partners during the course of this investigation,” said Secretary of Law Enforcement Spencer Collier. “We will continue to collaborate with these law enforcement agencies as we combat the unlawful production and distribution of illegal drugs in Alabama.”
“Those who profit from the victimization of innocent people should take notice of this case and know that law enforcement will not tolerate or sit idly while they engage in cowardly conduct and predatory behavior,” stated Robert F. Lasky, Special Agent in Charge of FBI, Mobile Field Division.
“The cooperation experienced in this case was extraordinary and shows what can be accomplished through teamwork,” stated Assistant Special Agent in Charge, Clay Morris. “This teamwork took a seller of a date rape drug, a predator, off the street. We at DEA are committed to continuing the efforts to keep our streets safe from this type predator.”
For the date rape drug, Howard could be imprisoned for up to 20 years, receive a fine of $1,000,000, and serve a term of supervised release at least 3 years. For the methamphetamine, Howard could face imprisonment of up to 1 year and a minimum fine of $1,000.00.
This case is being investigated by the Auburn Police Department, the Alabama Law Enforcement Agency, the Federal Bureau of Investigation and the Drug Enforcement Administration. This case is being prosecuted by Assistant United States Attorneys Verne Speirs and Jonathan Ross.
Phenix City Woman Sentenced for Involvement in $2.5 Million Stolen Identity Tax Refund Fraud RingRead the Press Release
Montgomery, Ala. – A Phenix City, Alabama, woman was sentenced to serve five years in prison today in U.S. District Court for the Middle District of Alabama for her involvement in a stolen identity tax fraud (SIRF) scheme, U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department's Tax Division announced today.
Teresa Floyd, 53, was sentenced by Chief U.S. District Judge W. Keith Watkins of the Middle District of Alabama to serve 60 months in prison to be followed by three years of supervised release and was ordered to pay $734,565 in restitution to the Internal Revenue Service (IRS).
Floyd pleaded guilty earlier this year to one count of conspiracy to defraud the United States with respect to claims and one count of aggravated identity theft. Floyd’s daughter, Lasondra Miles Davis, 37, pleaded guilty earlier this year to one count of aggravated identity theft. On Sept. 1, Davis was sentenced to serve two years in prison to be followed by one year of supervised release and was ordered to pay $1,941 in restitution to the IRS.
According to court documents, between March 2011 and May 2014, Floyd and Davis operated several tax preparation businesses in the Phenix City area, including T & L Tax Service. Floyd obtained stolen identities which, according to allegations in the superseding indictment, she and her co-conspirators then used to file more than 900 false federal income tax returns that claimed more than $2.5 million in tax refunds. Floyd, Davis and others caused the fraudulently obtained refund checks to be cashed at several businesses in Alabama and Georgia.
U.S. Attorney Beck Jr. and acting Assistant Attorney General Ciraolo commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Michael C. Boteler and Michael P. Hatzimichalis of the Tax Division and Assistant U.S. Attorney Jonathan Ross of the Middle District of Alabama, who are prosecuting the case.
Former Employee of Hearing Aid Company Convicted of Retaliating Against WitnessRead the Press Release
Montgomery, Alabama – A federal jury in Montgomery convicted Jeffrey Alan Nursey (64) on Wednesday, October 7, 2015, for retaliating against a witness in an earlier health care fraud case brought against him, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
According to evidence presented at trial, Nursey sent letters to the witness in the underlying health care fraud case and posted flyers around the witness’s workplace. Those flyers labeled the witness as a “sexual child molester” and warned others to avoid him. A jury found that these letters and flyers were meant to retaliate against the witness for cooperating with the United States in the previous case against him. The government’s investigation in the case included forensic evidence that found Nursey’s fingerprint on one of the letters that was mailed to the witness’s church.
“Trials and witnesses are the cornerstone of our justice system,” stated U.S. Attorney George L. Beck, Jr. “This case emphasizes my office’s commitment to make certain that when a witness cooperates with law enforcement authorities, he/she will not be tampered with, retaliated against, or bullied for doing the right thing.”
Nursey faces a maximum sentence of 10 years in prison. In addition, there is a pending petition to revoke Nursey’s probation on the original health care fraud matter.
United States Attorney George L. Beck, Jr., thanked the Federal Bureau of Investigation and the Montgomery County Sheriff’s Office for their assistance in the investigation. Mr. Beck commended Assistant United States Attorneys Bob Anderson and DeeDee Calhoon, who prosecuted the case.
Woman Sentenced for Using Counterfeit Traveler’s ChecksRead the Press Release
Montgomery, Alabama -Cathy Ann Francesca Badal (23) of Brooklyn, New York was sentenced to 15 months’ imprisonment on Monday, September 28, 2015 by United States District Judge Callie V.S. Granade. Badal’s sentence was for possessing and passing counterfeit traveler’s checks, in violation of federal law.
On December 27, 2014, deputies of the Henry County, Alabama Sheriff’s Office arrested Badal. They found, in her purse, approximately 140 counterfeit traveler’s checks, each one purportedly worth $100. They also found a fraudulent driver’s license bearing Badal’s picture and the name and address of an Illinois resident who did not know Badal.
Further investigation revealed that, before being arrested in Henry County, Badal had traveled all over the country passing counterfeit traveler’s checks and using a fraudulent driver’s license to do so. Stores from Maine to Florida reported being victimized by Badal. As a result, Judge Granade ordered that Badal pay a total restitution amount of $53,800 to 47 different businesses.
“This case demonstrates that identity theft is a problem that is national in scope,” stated U.S. Attorney Beck. “We in the Middle District of Alabama consider it a great success when we are able to bring to justice a person like Badal who had, before coming to Alabama, preyed upon businesses and individuals all over the country and all for her own personal gain,” Beck stated.
This case was jointly investigated by the Henry County Sheriff’s Office and the United States Secret Service. Assistant United States Attorney Jonathan S. Ross prosecuted the case.
Montgomery Man Sentenced to 465 Months for Federal Carjacking, Drug Crimes, and Gun CrimesRead the Press Release
Montgomery, Ala. – Seandarius Savage (21), a resident of Montgomery, was sentenced on September 3, 2015, by visiting United States District Judge Roy B. Dalton, Jr., from the United States District Court for the Middle District of Florida to 465 months in prison and 5 years of supervised release for federal carjacking, drug crimes, and gun crimes, announced U.S. Attorney George L. Beck, Jr. for the Middle District of Alabama.
Previously, a federal grand jury returned an indictment against Savage charging him with possession of marijuana with intent to distribute, possession of a firearm in furtherance of a drug-trafficking crime, carjacking, and using a firearm during the carjacking.
According to the evidence presented at trial, in August of 2013 Savage was found with one pound of marijuana, a firearm, and over $4500 in cash in Montgomery. Additional evidence showed that Savage also committed a carjacking after using force to enter a home in Wetumpka. During that crime, Savage masked his face and used a gun to take the vehicle. Upon questioning by law enforcement, Savage admitted that the marijuana belonged to him and that the money was from selling drugs. Savage also admitted to going to the Wetumpka residence in disguise to commit a robbery, but he denied the carjacking. After hearing the evidence presented at trial in April of this year, a jury found Savage guilty of all four-counts in the indictment.
Visiting United States District Judge Roy B. Dalton Jr., sentenced Savage to 465 months in federal prison to be followed by 5 years of supervised release. Savage remains in the custody of the United States Marshals Service pending placement by the Bureau of Prisons.
"This significant sentence handed down by Judge Dalton marks the culmination of the efforts by ATF and our Federal, state and local law enforcement partners to remove yet another violent criminal from the streets of Montgomery." - William Bass, Resident Agent in Charge, ATF Montgomery Field Office
FBI Mobile Special Agent in Charge Robert Lasky stated: “The FBI’s commitment to our Federal, state and local law enforcement partners to investigate violent offenders remains unwavering.”
“My office remains committed to prosecuting those who have no regard for the law or the safety of our communities,” stated U.S. Attorney Beck. “I applaud the hard work and dedication of each agency that was involved in bringing this violent offender to justice.”
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Federal Bureau of Investigation’s Safe Streets Violent Gang Task Force; the Montgomery Police Department; and the Elmore County Sheriff’s Office. Assistant United States Attorneys Hollie Worley and Jerusha T. Adams prosecuted the case.
Media AdvisoryRead the Press Release
WHO:
U.S. Attorney George L. Beck, Jr.; Alabama Attorney General Luther Strange;
Drug Enforcement Administration (DEA) ASAC Clay Morris; Alcohol, Tobacco,
Firearms, and Explosives (ATF) RAC William Bass; Chief Deputy U.S. Marshal
Thomas Hession; Montgomery County District Attorney Daryl Bailey;
Montgomery County Sheriff Derrick Cunningham; Montgomery Public Safety
Director Christopher Murphy; Montgomery Police Chief Ernest Finley; and
Prattville Police Chief Mark Thompson.
WHAT:
Joint Press Conference to announce numerous arrests.
WHEN:
Tuesday, August 18, 2015 at 2:30 p.m. (CDT)
WHERE:
U.S. Attorney’s Office, 131 Clayton Street, Montgomery, Alabama 36104
NOTE:
All media members must have credentials and a government issued photo ID.
Please arrive at least 20 minutes before the scheduled conference start time. A
press release and interview opportunities will be available at the end of the press
conference.
Eight Arrested on Federal Drug Charges During Multi-Agency RoundupRead the Press Release
Montgomery, Alabama– Carlos Renaldo Ware (39), of Bonaire, Georgia; and Twayne Lebarsha Ware (41), Willie Lewis Jackson (44), Jasmine Janay Jackson (25), Wallace Eugene McCree, III (44), Alonzo Dion Prevo (40), Kyon A. Hall (37), James Marvin Hawkins (51), all from Montgomery, Alabama, were arrested today for their roles in a drug organization that involved the distribution of cocaine and crack cocaine in the Montgomery area, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. These arrests are the result of a multi-jurisdictional investigation that included numerous agencies.
Over the course of the investigation approximately $800,000 in cash, 11 vehicles, 10 firearms, approximately 9 kilograms of cocaine powder, over an ounce of crack cocaine, and over an ounce of marijuana.
According to court documents, the drug operation was responsible for moving large amounts of illegal narcotics from the Atlanta area to Central Alabama. A conviction for conspiracy to distribute cocaine or crack cocaine carries a statutory sentence ranging from 10 years to life in prison.
Of the defendants charged in the indictment, many have been arrested and made their initial appearance in United States District Court in Montgomery before United States Magistrate Judge Terry F. Moorer.
The United States has filed motions seeking that all of eight the defendants be held without bond pending trial.
United States Attorney George L. Beck, Jr. reiterated that a grand jury indictment is merely a method of charging a defendant and each defendant is presumed innocent unless and until the defendant=s guilt has been proven beyond a reasonable doubt at trial.
U.S. Attorney Beck would like to thank the following agencies for their involvement in this case: the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the U.S. Marshal’s Service, the Alabama Attorney General’s Office, the Montgomery County District Attorney’s Office, the Montgomery County Sheriff’s Office, the Montgomery Police Department, the Autauga County Sheriff’s Office, the Prattville Police Department and other state and local police departments.
Eight Defendants Sentenced in $24 Million Stolen Identity Refund Fraud RingRead the Press Release
Montgomery, Ala. – Eight residents of Alabama and Georgia were sentenced today for their roles in a $24 million Stolen Identity Refund Fraud (SIRF) conspiracy, announced U.S. Attorney George L. Beck Jr. for the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
U.S. District Court Judge Kristi K. DuBose imposed the following sentences on each defendant:
- Tracy Mitchell, of Phenix City, Alabama, was sentenced to serve 159 months in prison;
- Talarius Paige, of Phenix City, Alabama, was sentenced to serve 60 months in prison;
- Mequetta Snell-Quick, of Columbus, Georgia, was sentenced to serve 24 months plus one day in prison;
- Latasha Mitchell, of Phenix City, Alabama, was sentenced to serve 36 months in prison;
- Dameisha Mitchell, of Phenix City, Alabama, was sentenced to serve 65 months in prison;
- Sharonda Johnson, of Phenix City, Alabama, was sentenced to serve 24 months in prison;
- Patrice Taylor, of Midland, Georgia, was sentenced to serve 12 months plus one day in prison;
- Cynthia Johnson, of Phenix City, Alabama, was sentenced to two years of probation.
Restitution amounts will be determined after additional testimony and evidence is presented.
According to court documents and sentencing proceedings, between January 2011 and December 2013, Keisha Lanier and Tracy Mitchell led this large-scale identity theft ring in which they and their co-defendants filed over 9,000 false tax returns that claimed in excess of $24 million in fraudulent claims. The IRS paid out close to $10 million in fraudulent refunds. The defendants obtained stolen identities from various sources to be used in filing false returns, including from the U.S. Army, several Alabama State agencies, a Georgia call center, and employee records from a Georgia company. Tracy Mitchell worked at the hospital at Fort Benning, Georgia. As a hospital employee, Mitchell had access to the identification data of military personnel, including soldiers who were deployed to Afghanistan. Tracy Mitchell stole personal information of soldiers and used them to file false tax returns.
Tamika Floyd, a defendant in a related case, stole personal information from two Alabama state agencies and provided those names to Keisha Lanier of Seale, Alabama. Lanier provided those names to Tracy Mitchell, Latasha Mitchell, Talarius Paige, and others for use in filing false tax returns. Keisha Lanier also obtained stolen identities from the Alabama Department of Corrections. Talarius Paige and Patrice Taylor worked in a call center for a Columbus, Georgia payment-processing company and stole identities. Paige, in turn, used those identities to file false tax returns and filed some of the returns from Tracy Mitchell’s residence. Tracy and Latasha Mitchell also obtained employee files from a Columbus, Georgia company.
In order to file tax returns, the defendants obtained several Electronic Filing Numbers (“EFIN”) in the names of sham tax businesses. On behalf of those sham tax businesses, the defendants applied for bank products from various financial institutions, which mailed blank check stock to the defendants’ homes. The defendants directed anticipated tax refunds to prepaid debit cards, to U.S. Treasury Checks, and to financial institutions which in turn issued the refunds via checks or prepaid debit cards. When the refunds were sent through the financial institutions, the defendants simply printed out the refund checks from the check stock sent to their homes.
After a period of time, the financial institutions stopped allowing the defendants to print out the tax refund checks. In order to continue the operation, Tracy Mitchell and her family recruited postal employees into the scheme. The corrupt postal employees provided addresses on their routes to have the checks mailed and then obtained those checks from the mail for a fee.
Not only did the case involve a web of stolen names and sham tax businesses, the case involved a sophisticated money laundering operation. Close to $10 million in fraudulent tax refund checks were cashed at several businesses located in Alabama, Georgia, and Kentucky. To orchestrate and coordinate this massive check cashing scheme, the defendants communicated with text messages and kept detailed records. For instance, Sharondra Johnson worked at the Walmart money center in Columbus, Georgia, and as part of her employment, she cashed checks for customers of the money center. Dameisha Mitchell approached Sharondra Johnson about cashing tax refund checks issued in the names of other individuals. Sharondra Johnson agreed to cash the checks and communicated with Dameisha and Tracy Mitchell via text message. In an attempt to conceal the crime from Walmart, the defendants employed multiple individuals to bring the fraudulent checks to Johnson to have her cash them.
At sentencing, prosecutors read impact statements from several victims whose identities were stolen and from companies and governmental agencies where the identity theft breaches occurred. As one agency representative noted, the identity theft was not only devastating as to cost, but it had a chilling effect on their ability to serve the residents of this state. A mother of a young Army soldier who was a victim described the consequences of the fraud on her, her son, and her family, stating:
While [my son] was fighting for our country and all back home I received a very disturbing phone call from [an] Agent from the IRS that my son while at Ft Benning training to defend our country, the land of the free, had his identity stolen and fraudulent tax returns were filed with his social security number. This news was devastating, to think that my simply 19 year old son who was defending the very freedom this country stands [for] was wronged by one of those people [he] was willing to die for. My whole family could not believe what was happening. We now had to worry about this terrible act by one of our own. As I tried my best to keep composed and handle all of the gruesome mounds of paperwork to get this straightened out with the IRS, [he] was then denied his tax refund. This created a financial hardship on [him]. We were too afraid to tell [him] while he was deployed because we did not want to worry him and we wanted him to focus only on getting home alive and not have to worry about such an atrocious act by someone who did not even know [him].
Tamaica Hosksins, who was also charged in the same indictment, was previously sentenced to 145 months of imprisonment. Tamika Floyd was previously sentenced to 87 months of imprisonment. Sentencing for Keisha Lanier is scheduled for August 24, 2015.
"No sentence is too strong for those who prey on our fighting men and women,” stated U.S. Attorney Beck. “War is hell on the home front, too, and the family left behind holding things together must be strongly protected. Shame on those vultures who steal from our military and their families!"
“The sentences handed down today, following each defendant’s guilty plea, demonstrate the Tax Division’s commitment to rooting out SIRF crimes across the nation and prosecuting individuals at every level of these complex criminal conspiracies,” stated Acting Assistant Attorney General Ciraolo. She continued that, “victimizing Soldiers, citizens, and the U.S. Treasury will not be tolerated, and the Tax Division will continue to seek significant prison time for anyone involved in these schemes and ask courts to order defendants to pay full restitution to the government.”
“Today’s sentencing of eight criminals who used the identities of American service members and hospital patients to enrich themselves by stealing tax refunds demonstrates the depths of how far criminals will stoop and the extent to which IRS CI will go to fight identity theft,” said Richard Weber, Chief, IRS-Criminal Investigation. “We will use every available resource in collaboration with our law enforcement partners to combat these serious crimes.”
"Individuals who commit refund fraud and identity theft with this degree of trickery, dishonesty and deceit deserve to be punished to the fullest extent of the law," stated Special Agent in Charge Veronica F. Hyman-Pillot, Internal Revenue Service Criminal Investigation. "We, along with the United States Attorney's Office, continue to do our part in protecting the sanctity and integrity of the tax system."
U.S. Attorney Beck and Acting Assistant Attorney General Ciraolo commended special agents of the IRS - Criminal Investigation and the United States Army – Criminal Investigation Division, who investigated the case, and Trial Attorneys Michael C. Boteler and Gregory P. Bailey of the Tax Division and Assistant U.S. Attorneys Todd A. Brown, Jonathan S. Ross, and Kevin P. Davidson of the Middle District of Alabama, for prosecuting the case. Beck and Ciraolo also thanked the U.S. Attorney’s Office of the Middle District of Georgia for their assistance in the case.
Former Alabama Jail Employee Sentenced for Stealing Identities as Part of Tax Refund Fraud SchemeRead the Press Release
Montgomery, Ala. – A Troy, Alabama, man was sentenced to prison yesterday in U.S. District Court for the Middle District of Alabama for his involvement in a stolen identity tax refund fraud scheme, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Department of Justice’s Tax Division.
Devon Tucker, 31, a former jailer of the Troy Police Department at the city jail, pleaded guilty earlier this year to one count of conspiracy to defraud the United States and one count of aggravated identity theft. U.S. District Judge Callie V.S. Granade sentenced Tucker to serve 32 months in prison and three years of supervised release, and ordered him to pay $13,162 in restitution to the Internal Revenue Service (IRS).
According to court documents, from January 2014 to January 2015, Tucker stole the personal identification information of approximately 150 individuals who were processed into the Troy city jail. Tucker provided those identities to his co-conspirators for the purpose of filing false federal income tax returns claiming fraudulent refunds from the U.S. Treasury. Tucker was paid in pre-paid debit cards in the names of the identity theft victims for his involvement in the scheme.
“The Tax Division will vigorously pursue and prosecute government employees who abuse their positions by exploiting their access to personal information to victimize members of the community and steal from the U.S. Treasury,” said Acting Assistant Attorney General Ciraolo.
“It is always a sad day when a law enforcement officer sworn to uphold the law, takes advantage of his position for his own personal gain,” stated U.S. Attorney Beck. “This District will continue to vigorously prosecute those who steal identities and file fraudulent tax returns, regardless of where they are employed or what position they hold.”
U.S. Attorney Beck and Acting Assistant Attorney General Ciraolo commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Gregory P. Bailey and Michael P. Hatzimichalis of the Tax Division and Assistant U. S. Attorney Jonathan Ross of the Middle District of Alabama, who prosecuted this case.
Three Plead Guilty in Green Dot Scam Run by Alabama DOC InmatesRead the Press Release
Montgomery, Alabama – Pamela Lee, age 48, of Madison, Alabama, Michael Shane Garrison, age 26, and Marlon Ramon Coston, age 21, pleaded guilty in federal on Tuesday for their roles in a in a scheme to defraud businesses throughout the United States, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama. Both Garrison and Coston are inmates in the Alabama Department of Corrections
Court documents indicated that between 2012 and 2014, Lee, Garrison, and Coston, ran a wide-ranging wire fraud scheme in which they used prepaid Green Dot and AccountNow cards to defraud multiple businesses, primarily service stations and convenience stores. Garrison and Coston carried out this scheme while they were incarcerated at the Bullock Correctional Facility, using cell phones that had been smuggled into the prison.
The scheme typically consisted of either Garrison or Coston using the cell phones to call a store and pose as a manager. The two would instruct the clerk to do a cash-count of the register at which time they would inform the clerk that there was a discrepancy with the register’s balance. They would then have the clerk make up for the discrepancy by purchasing a Green Dot prepaid cash or debit card with cash from the register and provide the account numbers over the phone to the “manager.”
Once the account numbers had been obtained by Garrison and Coston, they would then call Lee and have her transfer the funds to another card prior to the fraudulent card being frozen by Green Dot. Lee kept a portion of the transferred funds and maintained multiple alternate prepaid cards for Garrison and Coston at her residence in Madison County, Alabama. Lee provided the account numbers for the alternate cards to Garrison and Coston, who used them to purchase contraband from correctional officers employed at Bullock Correctional Facility.
On Tuesday, Lee, Garrison, and Coston each entered guilty pleas to a single count of wire fraud for carrying out this scheme in October of 2014, through a series of telephone calls to a Shell Station located in Gardendale, Alabama. The three will be sentenced in a separate proceeding where they will face a maximum penalty of twenty years in prison. A date for that hearing has not yet been scheduled.
The investigation of this case was initiated by the Gardendale Police Department and was a joint effort with the Federal Bureau of Investigation, the Alabama Law Enforcement Agency, and the Alabama Department of Corrections. The case is being prosecuted by Assistant U.S. Attorneys Brandon K. Essig and Jonathan Ross.
Alabama Man Pleads Guilty to Involvement in Stolen Identity Refund Fraud SchemeRead the Press Release
WASHINGTON – A Montgomery County, Alabama, resident pleaded guilty to one count of mail fraud and one count of aggravated identity theft for his involvement in a stolen identity refund fraud (SIRF) scheme, U.S. Attorney George L. Beck, Jr., of the Middle District of Alabama and acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division announced today.
According to court documents, Jerome Marcel Newton obtained the personal identifying information of others in various ways, including by paying other individuals to collect multiple identities or by recruiting people to provide their identities to him. Although Newton resided in Alabama, a number of the identities were of people living in Pittsburgh, Pennsylvania. Newton also obtained the identity information of prison inmates from jail records. In 2011, Newton used the identities he obtained to file false tax returns, directing the Internal Revenue Service (IRS) to deposit the fraudulent refunds claimed on those returns into bank accounts that he controlled or onto prepaid debit cards. Some of the prepaid debit cards were then mailed to addresses within the Middle District of Alabama.
Newton’s sentencing hearing has not yet been scheduled. At sentencing, Newton faces a statutory maximum sentence of 20 years in prison and a $250,000 fine for the mail fraud count and a mandatory two-year minimum sentence and a $250,000 fine for the aggravated identity theft count. Newton will also be subject to mandatory restitution.
U.S. Attorney Beck and acting Assistant Attorney General Ciraolo commended special agents of the IRS – Criminal Investigation and officers of the Sheriff’s Office for Douglas County, Georgia, who investigated the case, as well as Trial Attorneys Jason H. Poole and Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Jonathan S. Ross, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts can be found on the division’s website.
Phenix City Woman Sentenced to More Than 12 Years in Prison for Leading $4 Million Dollar Stolen Identity Refund Fraud RingRead the Press Release
Montgomery, Alabama – A Phenix City, Alabama, resident was sentenced to serve more than 12 years in prison for leading a multi-million dollar stolen identity theft ring, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
Tamaica Hoskins, 34, of Phenix City, was sentenced to serve 145 months in prison, three years of supervised release and ordered to forfeit $1,082,842 in proceeds from the scheme by U.S. District Judge Callie V.S. Granade of the Southern District of Alabama.
According to court documents, between September 2011 and June 2014, ringleader Tamaica Hoskins, who was sentenced today, Roberta Pyatt, Lashelia Alexander and others used stolen identities to file more than 1,000 false federal income tax returns that fraudulently claimed more than $4 million in tax refunds. Hoskins obtained stolen identities from various sources, including the identities of employees from a Columbus, Georgia, company. In order to file the false tax returns, Hoskins and Pyatt obtained two Electronic Filing Identification Numbers using sham tax businesses. On behalf of those sham tax businesses, they also applied to various financial institutions for bank products, such as blank check stock. The conspirators directed the Internal Revenue Service (IRS) to mail U.S. Treasury checks to addresses under their control and to send the tax refunds to prepaid debit cards and financial institutions where the conspirators maintained and controlled bank accounts using the sham tax businesses. When the tax refunds were deposited into the conspirators’ accounts at the financial institutions, the conspirators printed the refund checks using the blank check stock. Hoskins and Pyatt each cashed the refund checks at several businesses’ locations in Alabama and Georgia.
Co-conspirator Alexander worked for a Walmart check cashing center in Columbus. In January 2014, Alexander was approached by several co-conspirators about cashing fraudulent tax refund checks issued in the names of third parties and in return, Alexander would receive a portion of the refunds. Hoskins and Pyatt electronically filed fraudulent federal income tax returns for 2013 using the personal identifying information of numerous identity theft victims. Alexander cashed more than $100,000 in fraudulently obtained third-party refund checks containing forged endorsements.
At sentencing, prosecutors read impact statements from several victims whose identities were stolen and false tax returns were filed in their names. One victim described the consequences of the fraud on her and her family, stating:
What your intentional theft did to me was so much more than just stealing money. As a law student, a part-time employee and a full time mom, you stole time from me, time I will never get back, time spent crying because of the avalanche effect of not receiving my income tax check back which I depended on and budgeted for, time checking my mailbox daily, time worrying about whether it was ever going to come, time explaining to my children how there are horrible people in the world who steal because they feel like the world owes them something. Time spent explaining to our youngest that she won’t be getting her braces this year to fix her extremely crooked teeth. Time explaining that Christmas may have to be put on hold this year. Luckily, we are fortunate to have family and friends who love and care enough about us that in our time of need, they stepped up to the plate without batting an eye. We had to borrow money to buy law school books because the tax return was not coming. Financially it was a serious hardship because when you do not have money for necessities, it puts an emotional strain on every part of your life.
Roberta Pyatt pleaded guilty to conspiracy to commit wire fraud and is scheduled to be sentenced in the Middle District of Alabama for her role in the conspiracy on July 16.
“Stolen identity refund fraud is a nationwide epidemic that causes substantial harm to the individuals whose identities are stolen, and a significant loss to the U.S. Treasury,” stated Acting Assistant Attorney General Ciraolo. “Prosecuting those who engage in this criminal conduct is among our highest priorities, and as today’s sentence demonstrates, those who orchestrate these schemes will face lengthy periods of incarceration and steep monetary penalties.”
U.S. Attorney Beck Jr. and Acting Assistant Attorney General Ciraolo commended special agents of IRS–Criminal Investigation, who investigated the case, and Trial Attorneys Michael C. Boteler and Gregory P. Bailey of the Tax Division and Assistant U.S. Attorney Todd Brown of the Middle District of Alabama, who are prosecuting the case.
Montgomery Man Convicted for Illegal Gun Sales on Darknet SitesRead the Press Release
Montgomery, Alabama – A Montgomery man was convicted on June 19, 2015 for unlicensed firearms trafficking, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
Following a week-long trial, Michael Albert Focia, 48, was convicted on one count of dealing in firearms without a federal firearms license and two counts of transferring a firearm to an out-of-state resident. Based on the evidence introduced at trial, Focia operated as a weapons vendor on “Black Market Reloaded” and “Agora,” both of which were underground marketplaces accessible only when using anonymous encrypted internet browsing software.
During the investigation, Special Agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) posed as gun buyers on these two Darknet websites and were able to negotiate for the sale of two guns from Focia. After agreeing to sell the guns, Focia shipped them from Alabama to Nebraska and New Jersey. In the case of the New Jersey gun, evidence at trial showed that Focia’s fingerprint was on the gun’s packaging.
Focia was also connected at trial to at least 15 to 25 additional gun sales based on information obtained from the Agora website. Focia’s sentencing hearing has been set for October 15, 2015, and he is facing a maximum sentence of 15 years in federal prison.
"ATF’s priority to reduce violent crime includes leveraging technology to curb the illegal transfer of firearms through the Internet," stated ATF Special Agent in Charge Steven L. Gerido.
“This is another example of the U.S. Postal Inspection Service and the Bureau of Alcohol, Tobacco, and Firearms catching criminals who transport firearms illegally,” said Postal Inspector-in-Charge Adrian Gonzalez, Houston Division. “Strict federal laws protect the U.S. Mail when firearms are shipped, and postal inspectors will continue to bring to justice anyone violating those laws.”
“Preventing the illegal sale of firearms is a critical part of our war on violent crime,” stated U.S. Attorney Beck. “I applaud the great work of our federal, state, and local law enforcement partners who identify and investigate gun traffickers. All too often, illegal gun sales place firearms in the hands of criminals and make our communities more dangerous.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the United States Postal Inspection Service, with assistance from the Federal Bureau of Investigation and the Montgomery County Sheriff’s Office. The case is being prosecuted by Assistant United States Attorneys Gray M. Borden and Jonathan Ross.
Troy Man Arrested for Stealing over $12k in Bank RobberyRead the Press Release
Montgomery, Ala. – Shamyer Suddith, 34, of Troy, Alabama was arrested on Thursday, June 11, 2015 after being indicted for armed bank robbery and using a firearm while committing a crime of violence, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
According to court documents, in October of 2013, Suddith and an accomplice robbed the BancorpSouth, Inc. branch location in Lowndes County, Alabama and stole over $12,000. Evidence indicates that Suddith used a firearm during this robbery.
If convicted, Suddith faces up to 20 years in federal prison for the bank robbery, and an additional sentence of at least 7 years for using the firearm.
The case was investigated by the Federal Bureau of Investigation’s Safe Streets Task Force, with assistance from the Crenshaw County Sheriff’s Office, the Troy Police Department, the Pike County Sheriff’s Office, and the Lowndes County Sheriff’s Office. Assistant United States Attorney Jonathan Ross is prosecuting the case.
Auburn Man Arrested for Selling Date Rape DrugRead the Press Release
Montgomery, Ala. – Stephen K. Howard, a 64-year old Auburn resident who is employed as a lab technician at Auburn University, was arrested Friday, May 22, 2015 for selling large quantities of a “date rape” drug, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama.
According to court documents, Howard sold an undercover agent 20 ounces of a liquid substance used to incapacitate women. Shortly thereafter, another purchase was made from Howard for nearly a gallon of the same substance. During the second purchase, Howard showed the undercover agent that he had a handgun.
Following these purchases, lab tests confirmed that the liquid was in fact a controlled substance called 1,4-butanediol. When ingested, 1,4-butanediol is converted into Gamma Hydroxybutyric Acid (GHB), commonly known as a “date rape drug.” On May, 22, 2015, law enforcement executed search warrants at Howard’s office on Auburn’s campus, and at his home. Howard was arrested the same day.
A complaint merely alleges that crimes have been committed and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Howard faces up to 20 years in prison for distribution of a controlled substance, and a possible 32 year sentence on charges for possession of a firearm during a drug trafficking crime.
The case is being investigated by the Auburn Police Department, with assistance from the Drug Enforcement Administration, the Federal Bureau of Investigation, and the Alabama Law Enforcement Agency. It is being prosecuted by Assistant United States Attorney Verne Speirs. The U.S. Attorney’s Office would like to give special thanks to Auburn University for its support and cooperation in this matter.
Despite Mother’s Efforts to Influence Witnesses, Son Sentenced to 7 Years for Being a Felon in Possession of FirearmsRead the Press Release
Montgomery, Ala. – Sergio Dickerson, a 23-year old Montgomery resident, was sentenced Thursday, May 21, 2015 to 84 months in prison after pleading guilty to being a felon in possession of a firearm, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama.
In January 2014, Dickerson was involved in an automobile accident in Montgomery. After the accident, he was arrested by the Montgomery Police Department when witnesses told police they saw him hide a gun case in a drainage ditch before they arrived on the scene. The gun case was found and contained a handgun, an assault rifle, four magazines, including one 60-round capacity magazine, and over 1200 rounds of assorted ammunition.
Dickerson, who had previous robbery and theft felony convictions, was indicted by a federal grand jury in July of 2014 for being a felon in possession of a firearm. Shortly thereafter, Dickerson’s mother, Bernadette Dickerson, began contacting witnesses in the case in order to entice them to not testify against her son. She was sentenced to 12 months and 1 day in prison for witness tampering.
The case was investigated by the FBI's Central Alabama Safe Streets Violent Gang task force, with assistance from the Montgomery Police Department, and was prosecuted by Assistant United States Attorney John Geer.
Former Alabama State Employee Sentenced to Prison for Stealing Identities Used to Request over $7 Million in Tax RefundsRead the Press Release
Montgomery, Alabama – A Phenix City, Alabama, resident and former state employee was sentenced to serve more than seven years in prison for her role in a stolen identity tax refund fraud ring, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
Tamika Floyd (30) was sentenced by U.S. District Court Judge W. Keith Watkins to serve 87 months in prison, three years of supervised release and ordered to pay $3,092,885 in restitution. Floyd pleaded guilty on Oct. 2, 2014, to one count of conspiracy to file false claims and one count of aggravated identity theft. Floyd’s co-conspirators, including Keisha Lanier, Tracy Mitchell, Latasha Mitchell, Talarious Paige and others, pleaded guilty on April 1 and are scheduled to be sentenced on Aug. 7.
According to court documents, between 2006 and 2014, Tamika Floyd worked at two Alabama state agencies located in Opelika, Alabama: the Department of Public Health and the Department of Human Resources. In both positions, she had access to the personal identifying information of individuals. Beginning in 2012, Floyd was approached by co-conspirator Lanier. As part of the scheme, Floyd stole names and personal information from the state agencies and provided the information to Lanier to be used to file false federal income tax returns. Most of the stolen identifying information consisted of names of teenagers. Lanier then provided the stolen information to co-conspirators Tracy Mitchell, Latasha Mitchell, Paige and others to use to file false tax returns. These co-conspirators filed more than 3,000 fraudulent federal income tax returns claiming more than $7.5 million in tax refunds using the stolen information provided by Floyd.
U.S. Attorney Beck Jr. and Acting Assistant Attorney General Ciraolo commended special agents of Internal Revenue Service (IRS)-Criminal Investigation, who investigated the case, and Trial Attorneys Michael C. Boteler and Gregory P. Bailey of the Tax Division and Assistant U.S. Attorney Todd A. Brown of the Middle District of Alabama, who are prosecuting the case.
Eight Sentenced for Their Role in a Prescription Pill SchemeRead the Press Release
Montgomery, Ala. – Eight individuals have been sentenced for their participation in a scheme to unlawfully obtain prescriptions for Oxycodone from a clinic in Opelika, Alabama, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama. Sentencing for one additional individual is still pending.
The individuals involved in the scheme are as follows: Jean Herby Thelomat (28), of Miami, Florida; Joseph M. McCann (31), of Huntsville, Alabama; Laura Amelia Robinson (46), of Ellerslie, Georgia; Quinton Michael Corbett (28), of Belle Mina, Alabama; Mauricia Adaryll Corbett (35), of Harvest, Alabama; Porcha Donielle Cawthorn (25), of Huntsville, Alabama; Zachary Cornez Lilley (26), of Huntsville, Alabama; Brittney Lashelle McCauley (27), of Toney, Alabama; and James Richard Lawlor (35), of Huntsville, Alabama.
According to the indictment and court documents, Thelomat developed a plan to create fraudulent medical paperwork that would be presented to EMeds Medical Clinic in Opelika, Alabama for Oxycodone prescriptions. The paperwork included fraudulent reports of Magnetic Resonance Imaging (MRI) testing results that were designed to appear legitimate, but contained false information with respect to medical conditions and diagnoses.
Thelomat obtained the cooperation of two other individuals to carry out this scheme. Joseph McCann was a patient of the clinic who assisted Thelomat by serving as a "sponsor" that recruited others to pose as patients at the clinic and receive prescriptions. McCann provided these patients with fraudulent medical paperwork that he created with the help of Thelomat. In exchange for the paperwork, the drug-seeking recruits would pay Thelomat and McCann a fee. These recruits would travel hundreds of miles from their known residences in north Alabama to the EMeds clinic in Opelika, Alabama.
Laura Robinson was an employee of EMeds and was responsible for various day-to-day administrative functions, including the responsibility of verifying the legitimacy of paperwork submitted to the clinic by patients. In that capacity, Robinson verified MRI paperwork prepared by McCann and Thelomat even though she knew that the paperwork was fraudulent. Robinson would also advise McCann on modifications that needed to be made to the fraudulent medical paperwork in order to make the documents appear more legitimate and to justify prescriptions for large volumes of Oxycodone. For her participation in this scheme, Robinson was paid a fee per patient, and also received portions of these payments in the form of pills.
The remaining six individuals listed were recruits who posed as patients and utilized fraudulent MRI paperwork at the EMeds clinic to obtain illegitimate and illegal prescriptions.
Of the nine who pled guilty, eight have been sentenced and one is still pending. The sentences are as follows: McCann- 60 months; Thelomat- 57 months; Robinson- 21 months; M. Corbett- 12 months; Q. Corbett- 6 months; Lilley- 6 months; McCauley- 4 years of probation; and Cawthorn- 3 years of probation. Lawlor’s sentencing is pending and he faces a maximum sentence of 4 years.
"Prescription drug abuse is the fastest growing drug problem in the country. It is particularly troubling to find medical practitioners so complicit in this epidemic,” said DEA Assistant Special Agent in Charge Clay Morris. “We trust our medical practitioners to heal our bodies, not poison our communities. We will not tolerate or accept this illegal behavior, and we will bring justice to those that condone this type of practice."
“This prescription pill scheme highlights the serious epidemic of prescription drug addiction that threatens our communities,” said FBI Mobile Special Agent in Charge Robert F. Lasky. “This addiction results in disastrous consequences affecting every sector of our society – families, employment, and our children’s futures. Those motivated by greed who unlawfully abuse our healthcare system will be tirelessly pursued by the FBI and prosecuted for their crimes.”
“Corruption at any level diminishes the hard work and dedication of the thousands of health care workers who are dedicated to providing services to the American public,” stated Special Agent in Charge, IRS Criminal Investigation Veronica F. Hyman-Pillot. “IRS-CI stands committed to weed out individuals who ignore the public's well-being and choose to take the path to financial success by using greed and corruption. We are proud to contribute our financial expertise in an effort to halt the illegal sale and distribution of prescription drugs.”
“Prescription drug abuse is a rising problem in Alabama,” said ALEA’s State Bureau of Investigations Director Gene Wiggins. “Over the past several months ALEA has teamed with our federal and local partners to combat this problem and we are committed to continuing this effort.”
“The over-prescription and excessive use of pain medications can lead to a dangerous cycle of addiction,” stated U.S. Attorney George L. Beck Jr. “Whether accomplished by the use of fraud, or by the reckless actions of medical providers, too often this cycle leads to overdose and death. My office will continue to work with our partners to prevent these unscrupulous individuals from peddling pills and endangering the public. However, the responsibility of breaking this dangerous cycle of addiction lies not only with law enforcement, but the entire medical community. From the drug manufacturers, to the clinics, to the pharmacies, we all have a duty to safeguard the public from this epidemic.”
The case was investigated by the Drug Enforcement Administration, the Federal Bureau of Investigation, IRS Criminal Investigation (CI) in Montgomery, the Opelika Police Department, and the Alabama Law Enforcement Agency. It was prosecuted by Assistant United States Attorneys Gray Borden, Brandon Essig, and Bob Anderson.
Florida Men Sentenced for Poisoning Wildlife and Hunting Dogs in Bullock CountyRead the Press Release
Montgomery, Alabama - Daryl Fischer of Seminole, Florida and Russell Taylor of Loxahatchee, Florida were sentenced on Tuesday, April 28, 2015, to terms of probation for improper use of the pesticide Aldicarb, which is marketed as Temik, announced the United States Attorney for the Middle District of Alabama, George L. Beck, Jr.
The two men were members of a hunting club leasing Bucksnort Plantation near Fitzpatrick, Alabama, and on January 31, 2014 sprinkled granules of Temik on portions of a deer carcass that they spread around the property in an effort to kill coyotes. Temik is toxic to fish, birds and other wildlife, and is not approved for use as a poison for animals. The poisoning resulted in significant loss of animal life, including three fox-hunting dogs, two red-tailed hawks, and a black vulture. In addition to their terms of probation, Fischer and Taylor are prohibited from hunting all game animals for one year, including deer and migratory birds; are ordered to pay restitution and fines in the amount of $14,249.79; and will be responsible for publishing a public notice in the Union Springs Herald regarding the misuse of toxic pesticides.
“Using pesticides for purposes other than their registered use is illegal and puts people, animals and the environment at risk of exposure,” said Maureen O’Mara, Special Agent in Charge of the Environmental Protection Agency’s criminal enforcement program in Alabama. “Pesticide labels and usage instructions must be followed carefully to ensure safe application. Today’s sentence sends a strong signal that individuals who knowingly misuse these products and kill protected wildlife will be prosecuted.”
“This investigation was highly successful because of the collaborative efforts from everyone who worked on this important investigation,” said Luis Santiago, Special Agent in Charge of the Fish and Wildlife Service Office of Law Enforcement program in the southeast. “Our agents will continue to work with federal, state, and local agencies to vigorously pursue those who misuse registered use pesticides.”
“I want to commend the EPA Criminal Investigation Division and the U.S. Fish and Wildlife Service for their outstanding work in this case,” stated U.S. Attorney Beck. “We must protect our wildlife and environment for generations to come.”
This case was investigated by the United States Environmental Protection Agency Criminal Investigation Division and the United States Fish and Wildlife Service Office of Law Enforcement. This case was prosecuted by Assistant United States Attorney Gray M. Borden.
Media AdvisoryRead the Press Release
Montgomery, Alabama – The U.S. Attorney’s Office for the Middle District of Alabama will host a working group on Wednesday, April 29, 2015 at 10:00 a.m. to address concerns over heroin, prescription drugs, and spice use in the Middle District.
Media members are invited to attend the opening remarks and a PowerPoint presentation that summarizes the subject matter to be discussed. Following the PowerPoint presentation, there will be a brief break for interviews with participants. At the completion of the interviews, the working group will reconvene for a closed session.
Working group participants will include U.S. Attorney George Beck Jr., Alabama Attorney General Luther Strange, Secretary of Law Enforcement Spencer Collier, Superintendent of Education Dr. Thomas Bice, Alabama Department of Forensic Sciences Director Michael Sparks, FBI Special Agent in Charge Robert Lasky, and DEA Assistant Special Agent in Charge Clay Morris.
Other agencies invited to participate include: Alabama Department of Public Health, Alabama Sheriff’s Association, Alabama Police Chief’s Association, Alabama District Attorney’s Association, Alabama Coroner’s Association, Alabama Hospital Association, and the Alabama Pharmacy Board.
We request that members of the media RSVP by email at [email protected], or by calling (334) 551-1706. All media members should plan to arrive no later than 9:45 a.m.
Location:
U.S. Attorney’s Office
131 Clayton Street
Montgomery, Alabama 36104Click Here for a copy of the PowerPoint presentation.
Witness Tampering Lands Mother in Federal PrisRead the Press Release
Montgomery, Ala. – Bernadette Dickerson, a 47-year old Montgomery resident, was sentenced yesterday to 12 months and one day in prison as a result of her December 2014 guilty plea to witness tampering, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
In January of 2014, Dickerson's son was involved in an automobile accident in Montgomery. After the accident, he was arrested by the Montgomery Police Department when witnesses told police they saw him hide a gun case in a drainage ditch. The gun case was found and contained a handgun, an assault rifle, four magazines, including one 60-round capacity magazine, and over 1200 rounds of assorted ammunition. Dickerson's son was later indicted on federal charges for being a felon in possession of firearms.
Shortly after her son’s indictment, Dickerson began contacting witnesses, including a woman who worked at the tire store across the street from the incident, the passenger in the car involved in the car wreck, and the driver of the car that struck her son's vehicle. The driver told FBI agents that a female who said her last name was Dickerson called him several times, asking him to testify that he did not see her son with guns. In exchange, she would pay him cash and give him a car.
According to court documents, Dickerson and her son also had specific discussions about Dickerson contacting the witnesses on her son's behalf and offering money if they agreed not to testify.
“My office takes witness tampering very seriously,” stated U.S. Attorney George Beck. “In order to protect the integrity of our court system, my office will aggressively prosecute those who use bribes or intimidation to hide the truth and obstruct justice.”
"Today’s sentencing is an example of how those who intentionally bribe and threaten witnesses for their own personal gain will be prosecuted to the maximum extent,” stated FBI Special Agent in Charge Robert F. Lasky. “The FBI’s Central Alabama Safe Streets Violent Gang Task Force will continue to pursue those who try and disrupt the level playing field in a court of law.”
The case was investigated by the FBI's Central Alabama Safe Streets Violent Gang task force, with assistance from the Montgomery Police Department. The case was prosecuted by Assistant United States Attorney John Geer.
Mother and Son Meth Team Sentenced to Federal TimeRead the Press Release
Montgomery, Alabama— A mother and son were sentenced in federal court yesterday after pleading guilty to conspiracy to distribute methamphetamine, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Modesto Barajas De Chavez, 50, originally from Mexico but living in Deatsville, Ala., was sentenced to 14 years in federal prison. John Candido Chavez, 28, born in California but also living in Deatsville, Ala., was sentenced to 15 years and 8 months in federal prison.
Modesto De Chavez and John Chavez were part of a drug trafficking organization that was responsible for selling large amounts of methamphetamine in Autauga, Elmore, and Montgomery Counties. They were arrested in May of 2014 at their residence in Deatsville where law enforcement seized approximately six pounds of meth, several firearms, including two assault weapons, and over $13,000 in cash. During the sentencing hearing, the judge heard statements indicating the defendants used two of Ms. De Chavez’s other minor children to facilitate their drug trafficking operation. Ms. De Chavez, who does not speak English, used her minor children to communicate with her suppliers.
“This family was not only spreading poison to our citizens, but were protecting their drugs with assault weapons and hiding these assault weapons under a child’s bed,” stated U.S. Attorney Beck. “Drug dealers that use illegal firearms and children to further their drug dealing should be and will be prosecuted to the fullest extent of the law.”
The case was investigated by the Central Alabama Drug Task Force, the Elmore County Sheriff’s Office, the Millbrook Police Department, the Prattville Police Department, the, Autauga County Sheriff’s Office, the Montgomery Police Department, the Montgomery County Sheriff's Office, the Alabama Attorney General’s Office, the Alabama Law Enforcement Agency (ALEA), the Drug Enforcement Administration (DEA), the Alabama High Intensity Drug Trafficking Area (HIDTA) Operations Center, the Alabama National Guard Counterdrug Program, and the Alabama Fusion Center. This case was prosecuted by Assistant United States Attorney Verne Speirs.
Former Montgomery Nightclub Owner and Ringleader of Stolen Identity Tax Refund Fraud Scheme Sentenced to PrisonRead the Press Release
MONTGOMERY, AL – The ringleader of a stolen identity tax refund fraud scheme and former nightclub owner was sentenced yesterday in the U.S. District Court in Montgomery, Alabama, for stolen identity refund fraud related crimes, announced U.S. Attorney George L. Beck Jr. of the Middle District of Alabama, and Acting Assistant Attorney General Caroline D. Ciraolo of the Justice Department’s Tax Division.
Tarrish Tellis, 38, of Montgomery, was sentenced to serve 223 months in federal prison, three years of supervised release and ordered to pay $694,366 in restitution. On Jan. 14, a federal jury convicted Tellis of conspiracy to commit theft of public money, theft of public money and aggravated identity theft.
“Stealing over $700,000 from innocent citizens is disgraceful and will not be tolerated,” stated U.S. Attorney Beck. “This sentence sends a message that if you steal, you will be caught, prosecuted and go to jail for a very long time.”
“As evidenced by today’s sentence, individuals like Mr. Tellis, who commit stolen identity theft crimes and in doing so, victimize innocent American taxpayers and brazenly steal from the U.S. Treasury, face lengthy incarceration and substantial financial penalties,” said Acting Assistant Attorney General Ciraolo. “The Tax Division and its law enforcement partners stand ready to vigorously pursue and prosecute these offenders to the fullest extent of the law.”
According to evidence presented at trial, Tellis, the former owner of Club Iconz Bar and Grill in Montgomery, masterminded a more than $700,000 stolen identity tax refund scheme. Tellis’ co-conspirator, Nakia Jackson, obtained approximately 700 names, dates of birth and social security numbers from an employee of the Alabama Medicaid State Agency. Jackson provided some of the stolen names to Tellis, who in turn used them to file false income tax returns. In exchange, Tellis taught Jackson how to file false tax returns.
Tellis concealed the origin of the tax refund proceeds by recruiting friends and relatives, including Bobby Joe Means, Delancey Tolliver, Glen Powell Jr. and Tracey Montgomery, to open up bank accounts for the purpose of receiving the tax refunds. When the refunds were deposited into their bank accounts, Tellis directed them to withdraw the money and provide it to him. On the false tax returns submitted to the Internal Revenue Service (IRS), Tellis directed more than $300,000 in refunds to be deposited in those accounts. Tellis also recruited a bank teller, Laquanta Clayton, who used her position to open up bank accounts in the name of fictitious individuals and in the name of her daughter’s father. On the false tax returns submitted to the IRS, Tellis directed approximately $200,000 in refunds to be deposited into the accounts that Clayton controlled. Clayton withdrew the refund proceeds in cash and provided the majority of the money to Tellis. Tellis also took steps to conceal his involvement in the filing of false tax returns, including filing numerous tax returns by accessing another person’s residential wireless router that was not password protected so that it appeared as though the owner of the residence had filed the returns.
In 2014, Tellis’ co-conspirators were sentenced to prison for their involvement in the stolen identity refund fraud scheme. Jackson was sentenced to serve 87 months in prison, Clayton was sentenced to serve 21 months in prison, Tolliver was sentenced to serve 15 months in prison, Powell Jr. and Means were each sentenced to serve 12 months and one day in prison and Montgomery was sentenced to serve six months in prison.
Acting Assistant Attorney General Ciraolo and U.S. Attorney Beck commended the special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Gregory P. Bailey, Charles M. Edgar Jr. and Michael C. Boteler of the Tax Division and Assistant U.S. Attorney Todd Brown of the Middle District of Alabama, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found at the division website.
Phenix City Man Sentenced to over 10 Years for a Debt Elimination Scheme Affecting over 2,900 VictimsRead the Press Release
Montgomery, Alabama - Bradford Lamar Daley, of Phenix City, Alabama, was sentenced today to 121 months in prison for engaging in a conspiracy to commit mail fraud and tax fraud, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. In addition to the prison sentence, the court ordered Daley to pay over $5.8 million.
Between 2005 and 2011, Daley solicited individuals who were heavily burdened by debt to pay between $2500 and $5000 for debt elimination services. In exchange for the payment, Daley promised to assume and eliminate the victims’ unsecured debt, including credit card debt, signature loans, business loans, student loans and personal loans. These debts were not eliminated as promised. Records showed that Daley, and others working with him, collected over $6 million dollars from more than 2,900 victims nationwide.
“This scheme targeted hard-working people trying to better their future and scammed them by turning their dreams into a financial nightmare,” said Adrian Gonzalez, United States Postal Inspector in Charge, Houston Division. “As part of the mission of United States Postal Inspection Service to protect Postal Service customers, this sentence sends out the message that debt elimination scammers can be brought to face justice for their crimes.”
“The debt-elimination scheme orchestrated by Bradford Daley and others was fueled by greed and deceit," stated IRS Criminal Investigation Special Agent in Charge Veronica F. Hyman-Pillot. "Many victims across the United States were exploited as a result of Bradford Daley's personal agenda to increase his financial wealth. The magnitude of the tax loss to the government and the financial loss to other victims is appalling. IRS-CI will not hesitate to investigate similar illegal activity that promotes selfish gain."
“I want to thank the U.S. Postal Inspection Service and the IRS for their tireless work on this case,” stated George L. Beck, U.S. Attorney. “This district is lucky to have such capable agencies protecting the victims of financial crimes. What this defendant did was deplorable and this sentence and money judgment is justice served.”
The case was investigated by the Inspectors at the United States Postal Inspection Service, and Special Agents of the IRS - Criminal Investigation Division and IRS-Special Enforcement Programs. U.S. Attorney George L. Beck, Jr. and Assistant U.S. Attorney Gray Borden prosecuted the case.
Montgomery Man Found Guilty of Federal Carjacking, Drug Crimes and Gun CrimesRead the Press Release
Montgomery, Alabama – Seandarius Savage (21), a resident of Montgomery, Alabama, was found guilty on Wednesday of carjacking, drug trafficking, and gun offenses, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
Previously, a federal grand jury indicted Savage on criminal charges that occurred on two separate occasions. The first two charges were possession of marijuana with intent to distribute, and possession of a firearm in furtherance of a drug-trafficking crime. Those two crimes were committed in Montgomery, Alabama. The remaining two charges of carjacking and using a firearm during the carjacking occurred in Wetumpka, Alabama.
According to the evidence presented at trial, Savage was found with one pound of marijuana, a firearm, and over $4500 in cash on August 21, 2013 in Montgomery. Evidence also showed that Savage broke into a Wetumpka home wearing a mask and used a gun to take a vehicle. Upon questioning by law enforcement, Savage admitted that the marijuana belonged to him and that the money was from selling drugs. Savage also admitted to going to the Wetumpka residence in disguise to commit a robbery, but he denied the carjacking. After hearing the evidence presented at trial, a jury found Savage guilty of all four-counts in the indictment.
Savage faces a minimum sentence of thirty (30) years and a maximum of life in prison. There is no parole in the federal system. Savage is currently in the custody of the United States Marshals Service pending his sentencing hearing which is due to be scheduled.
“Drug trafficking and violent crimes endanger our communities and place innocent lives at risk,” stated U.S. Attorney Beck. “I commend law enforcement involved in this case for bringing a violent felon to justice.”
“This verdict marks another success for the FBI’s Central Alabama Safe Streets Violent Gang Task Force,” stated Special Agent in Charge Robert F. Lasky from the Federal Bureau of Investigation. “The FBI and our law enforcement partners are committed to policing and preventing violence and drug trafficking in Alabama.”
“This investigation will have a lasting impact on reducing firearm related violence,” said Glenn Anderson, Special Agent in Charge from the Bureau of Alcohol, Tobacco, Firearms and Explosives. “The convictions demonstrate ATF and our partners continued dedication to identify violent criminals who lessen the quality of life in our neighborhoods.”
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Federal Bureau of Investigation, the Montgomery Police Department, and the Elmore County Sheriff’s Office. The case is being prosecuted by Assistant United States Attorneys Hollie Worley and Jerusha T. Adams.