Middle District of Alabama
Press releases recorded for this federal judicial district.
Alabama Family Members Sentenced to Prison for Identity Theft SchemeRead the Press Release
Montgomery, Alabama - Mary Lois Young, her husband, Christian Malone Young, and her son, Octavious Reeves, all from Wetumpka, Ala., were sentenced in federal court for their involvement in a stolen identity refund fraud scheme, announced U.S. Attorney George L. Beck Jr. for the Middle District of Alabama. Today, Mary Young was sentenced to 87 months and Christian Young to 70 months of imprisonment. Yesterday, February 19, 2014, Octavious Reeves was sentenced to serve 51 months in prison. Each of these sentences will be followed by three years of supervised release. Previously, the Young’s pleaded guilty to conspiracy and aggravated identity theft in November 2013, and Reeves pleaded guilty in February 2013 to conspiracy and aggravated identity theft.
According to court documents, between January 2010 and June 2012, Mary Young, Christian Young, Octavious Reeves, and others obtained stolen identities from individuals and used those stolen identities to file false tax returns. The false tax returns were filed from the Young’s residence and the conspirators directed the false tax refunds to prepaid debit cards in the names of the identity theft victims. The prepaid debit cards were mailed to several addresses in and around Elmore County. Mary Young, Christian Young, and Octavious Reeves then used the prepaid debit cards to withdraw the fraudulent proceeds. In total, the co-conspirators received over $400,000 in fraudulent tax refunds. For his part in the scheme, Reeves was ordered to pay $42,257.80 in restitution. Mary and Christian Young were ordered to pay $415,070.00.
This case was investigated by Special Agents of the IRS - Criminal Investigation with assistance from the Elmore County Sheriff’s Department. Trial Attorneys Michael Boteler, Charles Edgar, Jr., and Gregory Bailey of the Justice Department’s Tax Division and Assistant U.S. Attorney Todd Brown are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Humane Society of the United States Give Five Law Enforcement Officials an AwardRead the Press Release
Montgomery, Alabama - The Humane Society of the United States is presenting its 2014 Humane Law Enforcement Awards to law enforcement in the Middle District of Alabama who are responsible for taking down the second largest dog fighting organization in the country. Two FBI Agents; one Auburn Police Detective; Keith Baker, a former FBI agent; George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama; and Clark Morris, Assistant U.S. Attorney for the Middle District of Alabama all received this award.
On Friday, August 23, 2013, agents executed 13 search warrants, 11 in Alabama and two in Georgia. Agents have seized approximately 458 pit bull terriers, guns, illegal narcotics, drugs used to treat and train dogs, and other evidence indicative of dog fighting. During the course of this investigation, agents have further seized over $500,000 from dog fighters involved in this organization. As a result of this investigation 14 people were indicted and are awaiting trial scheduled for May 8, 2014.
While only the lead agents and prosecutors received this award, the success of this investigation is a result multiple law enforcement agencies including the Alabama Alcoholic Beverage Control Board; the Coffee County Sheriff’s Office; Alabama State Troopers; the Lee County District Attorney’s Office; the Alabama Department of Public Safety; Bainbridge, Georgia Department of Public Safety; the United States Marshal’s Service; the Lee County Sheriff’s Office; the Houston County Sheriff’s Office; the Opelika Police Department; the Georgia Highway Patrol; the Georgia Bureau of Investigation; the Mississippi Bureau of Investigation; the Pensacola, Florida and Columbus, Georgia offices of the Drug Enforcement Administration; and Taylor Crossing Animal Hospital.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Media AdvisoryRead the Press Release
Montgomery, Alabama - The Humane Society of the United States will present five of its 2013 Humane Law Enforcement Awards to several Alabama officials for their participation in the second largest dog fighting case in history.
WHO:
- Clark Morris Jr., Assistant U.S. Attorney, Middle District of Alabama
- George L. Beck Jr., U.S Attorney, Middle District of Alabama
- 2 Special Agents with the FBI, Montgomery Office
- 1 Auburn Police Department Detective who is assigned to the FBI Safe Street Task
- Keith Baker, Investigator for the State of Alabama Attorney General’s Office
WHEN:
Tuesday, Feb. 18, 2014; 1:30pmWHERE:
U.S Attorney’s Office
131 Clayton Street
Montgomery, Alabama 36104PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former Alabama KKK Leader Pleads Guilty to Cross Burning and Obstruction of JusticeRead the Press Release
Montgomery, Alabama - Steven Joshua Dinkle, 28, former Exalted Cyclops of the Ozark, Ala., chapter of the International Keystone Knights of the Ku Klux Klan (KKK), pleaded guilty in federal court yesterday to hate crime and obstruction of justice charges for his role in a 2009 cross burning, the Justice Department and the U.S. Attorney’s Office for the Middle District of Alabama announced.
According to documents filed with the court, Dinkle and one of his KKK recruits, Thomas Windell Smith, met at Dinkle’s home on May 8, 2009, and decided to burn a cross in a local African-American neighborhood.
Dinkle constructed a wooden cross about six feet tall, wrapped jeans and a towel around it to make it more flammable and loaded it into Smith’s truck. Around 8:00 p.m., Dinkle and Smith drove to an African-American neighborhood in Ozark. Dinkle unloaded the cross at the entrance to the community and dug a hole in the ground, then poured fuel on the cross, stood it up in the hole in view of several houses and set it on fire. Dinkle and Smith then drove away.
When questioned by local investigators, Dinkle falsely denied his involvement in the incident and stated that he had resigned his office and withdrawn from the KKK months before the cross burning. When approached by the FBI, Dinkle again lied and told a special agent that he had been at home with his girlfriend when the cross burning occurred. He further claimed that he did not know one of his superiors in the KKK at the time of the cross burning. During the plea hearing, Dinkle admitted that in burning the cross, he intended to scare and intimidate residents of the African-American community by threatening the use of force against them. He further admitted that he burned the cross because of the victims’ race and color and because they were occupying homes in that area.
Dinkle pleaded guilty to one count of conspiracy to violate housing rights, one count of criminal interference with the right to fair housing and two counts of obstruction of justice.
Dinkle faces a statutory maximum sentence of 10 years in prison and a $250,000 maximum fine on the conspiracy and criminal interference counts and a statutory maximum sentence of 25 years in prison and a $500,000 maximum fine for obstructing justice by making false statements to both local investigators and federal agents. Sentencing for Dinkle has not yet been scheduled.
Dinkle’s co-conspirator, Smith, pleaded guilty to one count of conspiracy to violate housing rights in December 2013. He is scheduled to be sentenced on March 11, 2014.
“By targeting the victims with a blazing cross in the night, one of the most threatening racial symbols in our nation’s history, the defendant attempted to terrorize a neighborhood because of the color of the residents’ skin,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “Prosecuting these racially motivated crimes will continue to be a priority for the Department of Justice.”
“As a society we hope to never see this type of hate,” said U.S. Attorney George L. Beck Jr. for the Middle District of Alabama. “We will continue to prosecute those that commit these horrible acts of hate to the fullest extent of the law.”
This case was investigated by the FBI, with the assistance of the Dale County Sheriff’s Office and the Ozark Police Department. The case is being prosecuted by Assistant U.S. Attorney Jerusha T. Adams of the Middle District of Alabama and Trial Attorney Chiraag Bains of the Civil Rights Division.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Two Assistant U.S. Attorneys Receive Award from the Drug Enforcement AdministrationRead the Press Release
Montgomery, Alabama - The Drug Enforcement Administration presented Assistant U. S. Attorneys Verne Speirs and Gray Borden the Spartan Award, announced George L. Beck, Jr., United States Attorney Middle District of Alabama. The Spartan award recognizes prosecutors for their dedication and extraordinary effort to investigate and prosecute large-scale drug dealers and money launderers.
This year’s award is presented to Assistant U.S. Attorneys Speirs and Borden due to the long hours they have invested and the success they achieved in combating the ever-growing scourge of drug dealing in the Middle District of Alabama. The DEA chose Speirs and Borden for this award after examining the work of all federal prosecutors in the State of Alabama.
“The DEA in Alabama was pleased to present the 2013 Spartan Award for Excellence in Drug Investigations to AUSA’s Speirs and Borden,” stated Clay Morris, Assistant Special Agent in Charge of DEA in Alabama. “The award was named after the Spartan Warrior Society. AUSAs Speirs and Borden were selected by DEA management to receive the award because they exhibited many traits of a Spartan Warrior: a relentless pursuit of justice, tenacity, loyalty and dedication. Throughout 2013, AUSA’s Speirs and Borden tirelessly worked alongside our agents and task force officers in many long term and complex investigations. Because of the dedication of AUSAs Speirs and Borden, many drug trafficking organizations were completely dismantled and dangerous criminals were removed from the streets of our communities. I cannot say enough about the outstanding efforts of AUSAs Speirs and Borden and the entire staff of the Unites States Attorney’s Office. One thing is certain, as long as AUSAs Speirs and Borden are prosecuting drug trafficking organizations, those who target and sell poison to our children should be very afraid.”
“I am very pleased that the extraordinary success of AUSAs Speirs and Borden are receiving the recognition they truly deserve,” stated U.S. Attorney George Beck, “They have worked tirelessly to prosecute these criminals. I believe it is essential that these types of crimes be vigorously prosecuted and that we continue to combat the drug problem facing this district and this nation.”
“I am truly humbled to receive this award, but the real credit goes to the DEA Agents and Task Force Officers who risk everything to combat drug traffickers across this country,” stated Verne Speirs, Assistant U.S. Attorney. “The safety of our families and communities depend upon their selfless service.”
“I consider this award to be one of the great achievements in my career in the U.S. Attorney’s Office, but the credit goes to our dedicated and professional staff and the DEA’s stable of tireless agents,” stated Gray Borden, Assistant U.S. Attorney. “I am proud to be associated with a team of this caliber.”
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Jury Finds Montgomery Man Guilty of Identity Theft and Bank FraudRead the Press Release
Montgomery, Alabama - Edmund Lee McCall, 39 years old of Montgomery, Alabama, was found guilty yesterday of conspiracy to commit bank fraud and wire fraud, and six counts of aggravated identity theft after a five day trial held before United States District Court Judge William H. Albritton. The same jury found United States Postal employee Vanessa Valease Gordon not guilty of the same charges.
McCall was the leader of a criminal conspiracy that ran from approximately 2004 to 2009 in Montgomery, Alabama, and elsewhere in the United States. McCall directed others to steal mail from the United States Postal Service that included credit cards and other personal information. McCall then sent runners to pick up the mail and bring it to his home in Montgomery where he used an online service to obtain basic biographical information on the mail theft victims.
Once he had this basic biographical information, McCall contacted his co-conspirators in Georgia who could access credit reports from Experian. The co-conspirators gathered additional biographical information such as the dates of birth, addresses, and social security numbers of the victims. Once a victim’s credit report was accessed and the information gathered, the co-conspirators sent the information back to McCall, who would then activate or reactivate credit cards in the name of the unsuspecting victims. McCall further used a number and voice masking phone service called “Spoofcard” to activate the credit cards.
McCall also had fake identifications made for himself and his co-conspirators in case they were required when using the victims’ credit cards. He and his co-conspirators then used the credit cards to purchase items and take cash advances for themselves. Altogether, there were more than one hundred and ten victims in this case, with losses to their financial institutions totaling $656,417.46.
McCall faces a statutory maximum sentence of 20 to 30 years imprisonment on the conspiracy to commit bank fraud and wire fraud count, and two years on each count of aggravated identity theft.
The case was investigated by the United States Postal Inspection Service, and the United States Secret Service. The case was prosecuted by Assistant United States Attorney Denise O. Simpson, Assistant United States Attorney Tommie B. Hardwick, and Assistant United States Attorney Donald Valeska. Assistance was also provided by the Internal Revenue Service in Montgomery, Alabama, and the Georgia and Alabama Bureaus of Investigation.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Justice Department Releases Investigative Findings Showing the Alabama Department of Corrections Fails to Protect Women Prisoners at the Julia Tutwiler Prison for Women from Sexual Abuse and Sexual HarassmentRead the Press Release
Montgomery, Alabama - The Justice Department’s Civil Rights Division released last week its’ letter of findings determining that prison officials at the Alabama Department of Corrections (“ADOC”) and the Julia Tutwiler Prison for Women (Tutwiler) violate women prisoners’ constitutional rights by failing to protect them from harm due to sexual abuse and sexual harassment by correctional staff. The Justice Department found that ADOC and Tutwiler officials have failed to take reasonable steps to protect people in their custody from the known and readily apparent threat of sexual abuse and sexual harassment. Specifically, the Justice Department found that prison officials have long been on notice of the risks to women prisoners and have chosen to ignore them.
The Justice Department found that women prisoners at Tutwiler live in a toxic environment with repeated and open sexual behavior. The conduct to which women are exposed, includes: officers requiring women to engage in sexual acts with officers in exchange for basic sanitary supplies; male officers openly watching women shower or use the toilet; a staff facilitated “strip show;” a constant barrage of sexually offensive language; punishment of prisoners who report improper conduct; and encouraging improper sexual contact between prisoners. The sexual abuse and harassment is grossly underreported due to insufficient staffing and supervision, inadequate policies and procedures, a heightened fear of retaliation, and an inadequate investigative process.
“Our investigation has revealed serious systemic operational deficiencies at Tutwiler that have exposed women prisoners to harm and serious risk of harm from staff-on-prisoner sexual abuse and sexual harassment,” said Jocelyn Samuels, Acting Assistant Attorney General for the Civil Rights Division. “These problems have been festering for years, and are well known to Alabama prison officials. Remedying these deficiencies is critical to ensuring constitutionally protected treatment of women prisoners at Tutwiler and will promote public safety.”
The Justice Department’s comprehensive investigation involved an in-depth review and analysis of documents, including policies and procedures, incident reports, investigative reports, orientation materials, and staff training materials. The Justice Department also interviewed prison officials and administrative and security staff, as well as current and former women prisoners.
In its letter of findings, the Justice Department also notified ADOC and Tutwiler officials of its intent to expand its investigation to examine allegations of excessive use of force, constitutionally inadequate conditions of confinement, constitutionally inadequate medical and mental health care, and discriminatory treatment based on national origin, sexual orientation, and gender identity. The decision to expand its investigation of conditions at Tutwiler stemmed from the Justice Department’s review of information suggesting that the systemic deficiencies at Tutwiler that facilitated staff sexual misconduct may also lead to constitutionally inadequate conditions of confinement.
The Justice Department commends Commissioner Kim Thomas and his staff for the cooperation they have shown, and for their receptivity to concerns raised. The Justice Department looks forward to continuing to work with ADOC and Tutwiler officials in a collaborative manner to timely resolve these findings under mutually agreeable terms and to work on the expanded investigation.
For more information on the Justice Department’s Civil Rights Division, please visit justice.gov/crt.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Medical Clerk and Another Indicted in Stolen Identity Tax Refund Fraud SchemesRead the Press Release
Montgomery, Alabama - Sasha Webb and Charlie Jackson have each been indicted for stolen identity refund fraud crimes, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama. Webb was arrested on December 20, 2013, and Jackson’s arrest took place on January 15, 2014.
Webb was charged with conspiracy to file false claims, mail fraud and aggravated identity theft. According to the indictment, Webb worked as a medical records clerk at an Alabama Department of Corrections facility in Elmore County, Ala. Webb had access to inmate identification data and sold the information to Jacqueline Slaton and Harvey James, who then used the inmates’ information to file hundreds of false tax returns that claimed over one million dollars in false refunds. Slaton and James knowingly paid Webb for stolen identities.
Charlie Jackson, a resident of Montgomery, Ala., was charged with wire fraud and aggravated identity theft. According to the indictment, between October 2010 and April 2013, Jackson obtained stolen identities and used those identities to file false tax returns. Jackson directed the tax refunds to prepaid debit cards in the names of other individuals.
An indictment merely alleges that crimes have been committed and the defendant is presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Jackson and Webb each face a statutory maximum potential sentence of 20 years in prison for each wire and mail fraud count and a statutory mandatory two-year sentence for the aggravated identity theft counts. Webb also faces a statutory maximum potential sentence of five years in prison for the conspiracy count. Both defendants are also subject to fines, forfeiture and mandatory restitution if convicted.
The cases were investigated by special agents of the Internal Revenue Service - Criminal Investigation, U.S. Postal Inspectors and the Elmore County Sheriff’s Office. Trial Attorneys Jason Poole, Charles Edgar Jr. and Michael Boteler of the Tax Division are prosecuting the cases with the assistance of Assistant U.S. Attorney Todd Brown and the U.S. Attorney’s Office for the Middle District of Alabama.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617U.S. Attorney’s Office in the Middle District of Alabama Collects over $2.4 Million in Civil and Criminal Actions in 2013Read the Press Release
Montgomery, Alabama - U.S. Attorney George L. Beck, Jr. announced today that the Middle District of Alabama collected over $2.4 million in criminal and civil actions in Fiscal Year 2013. Of this amount, $2,332,163 was collected in criminal actions and $69,688 was collected in civil actions.
Additionally, Middle District of Alabama worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $150,753 in criminal actions pursued jointly with these offices.
Attorney General Eric Holder announced on Thursday that the Justice Department collected $8 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2013. The more than $8 billion in collections in FY 2013 represents nearly three times the appropriated $2.76 billion budget for the 94 U.S. Attorney’s offices and the main litigating divisions in that same period.
“The department’s enforcement actions help to not only ensure justice is served, but also deliver a valuable return to the American people,” said Attorney General Holder. “It is critical that Congress provide the resources necessary to match the department’s mounting caseload. As these figures show, supporting our federal prosecutors is a sound investment.”
“During this time of hard economic times, these collections are more important than ever,” said U.S. Attorney Beck. “The U.S. Attorney’s Office is dedicated to protecting the public and recovering funds for victims of crime as well as for the federal treasury. We will continue to hold accountable, both civilly and criminally, those who seek to make money from illegal activities.”
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Pleads Guilty to Tax Fraud and Identity TheftRead the Press Release
Montgomery, Alabama - Nakia Jackson pleaded guilty to one count of conspiracy to defraud the United States and one count of aggravated identity theft for his role in a stolen identity refund fraud scheme, announced U.S. Attorney George L. Beck Jr. for the Middle District of Alabama and the Internal Revenue Service (IRS).
According to court documents, between January 2009 and March 2011, Jackson obtained stolen identities from an Alabama state employee and used those identities to file false tax returns. Jackson recruited a bank employee, LaQuanta Clayton, to assist him in having the false income tax refunds deposited into various bank accounts. He obtained permission from several individuals to use their bank accounts to receive false refunds and when a false refund was deposited, Jackson would direct the individuals to withdraw the money and give the money to him. In total, Jackson filed over 100 false tax returns and requested over $400,000 in refunds.
Sentencing has been scheduled for April 23, 2014. Jackson faces a statutory minimum sentence of two years in prison and a statutory maximum sentence of 12 years in prison, three years of supervised release, restitution and a maximum fine of $250,000, or twice the loss caused by the offense. LaQuanta Clayton has already pleaded guilty and is awaiting sentencing.
IRS-Criminal Investigation agents investigated this case and Tax Division Trial Attorneys Charles M. Edgar Jr. and Michael Boteler and Assistant U.S. Attorney Todd Brown are prosecuting the case.
More information about the Tax Division and its enforcement efforts can be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Central Alabama Violent Gang Safe Streets Task Force CreatedRead the Press Release
Montgomery, Alabama - The Central Alabama Violent Gang Safe Streets Task Force has been created to combat the increase in violence in Central Alabama, announced Chief Paul Register, Auburn Police Department; Chief Greg Benton, Dothan Police Department; Sheriff Bill Franklin, Elmore County Sheriff’s Office; Sheriff Andy Hughes, Houston County Sheriff’s Office; Director Christopher Murphy, Montgomery Department of Public Safety; Chief Kevin Murphy, Montgomery Police Department; Sheriff D.T. Marshall, Montgomery County Sheriff’s Office, FBI Special Agent in Charge Stephen E. Richardson and U.S. Attorney George L. Beck, Jr..
The Central Alabama Violent Gang Safe Streets Task Force was created to identify, target, arrest and convict criminals who commit drug trafficking, money laundering, alien smuggling, murder, aggravated assault, robbery, and other violent crimes. This Safe Streets Task Force will help federal, state, and local law enforcement combat violent crime by combining federal, state and local resources and using these resources to most effectively investigate, arrest, and convict these dangerous criminals.
Each police department or sheriff’s office involved in the new Central Alabama Violent Gang Safe Streets Task Force has assigned an experienced investigator to serve full time with the task force. The U.S. Department of Justice will provide funding to the task force for officer overtime, office space, vehicles, and other equipment necessary for the arrest and conviction of dangerous criminals. This Safe Streets Task Force is similar to those that have been established in Mobile, Birmingham, and Atlanta. Those with information on violent criminals and gangs should contact the FBI Safe Streets Gang Task Force members at the Montgomery and Dothan offices of the FBI.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Media AdvisoryRead the Press Release
Montgomery, Alabama - U.S. Attorney George L. Beck, Jr., FBI Special Agent in Charge Stephen E. Richardson, Auburn Police Chief Paul Register, Dothan Police Chief Greg Benton, Elmore County Sheriff Bill Franklin, Houston County Sheriff Andy Hughes, Montgomery Police Chief Kevin Murphy, and Montgomery County Sheriff D.T. Marshall, will hold a press conference to announce the formation of the Central Alabama Violent Gang Safe Streets Task Force.
The mission of the new Central Alabama Violent Gang Safe Streets Task Force is to identify and target for prosecution criminal groups that are responsible for drug trafficking, money laundering, alien smuggling, and crimes of violence such as murder and aggravated assault, robbery, and violent street gang activity.
The press conference will be held on Thursday, January 9, 2014 at 2:30 p.m., at the U.S. Attorney’s Office, 131 Clayton Street, Montgomery, Alabama, and the media is invited. A press release will be provided at the conference.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Tax Preparers Indicted for Stolen Identity Refund FraudRead the Press Release
January 1, 2014Montgomery, Alabama - Two women from Phenix City, Alabama, were indicted yesterday for their involvement in a stolen identity refund fraud scheme (SIRF), U.S. Attorney George L. Beck Jr. for the Middle District of Alabama, and Acting Deputy Assistant Attorney General Larry J. Wszalek for the Justice Department's Tax Division announced today following the unsealing of the indictment.
Teresa Ann Floyd (52) and her daughter, Lasondra Miles Davis (37), were charged with conspiracy to submit false claims, wire fraud, and aggravated identity theft. Floyd was also charged with theft of public money.
According to the superseding indictment, Floyd and Davis operated several tax preparation businesses in the Phenix City area, including T & L Tax Service and T & C Used Cars & Tax Service. Floyd and Davis obtained stolen identities and used those identities to file more than 900 federal income tax returns that claimed more than $2.5 million in tax refunds. To obtain the money from the scheme, the defendants applied for bank products from various financial institutions, which provided to the defendants blank check stock. The bank products allow a tax preparer to deduct their fees directly from a tax refund and then print out the remainder of the refund as a check. Floyd and Davis created fictitious identification documents and bills to provide to the financial institutions in an attempt to verify that the returns were filed in the names of legitimate customers. The defendants then had those fraudulent checks cashed at several businesses in Alabama and Georgia. Floyd also deposited fraudulent income tax refund checks into her bank account.
An indictment merely alleges that crimes have been committed and the defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, the defendants face a statutory maximum sentence of 10 years in prison for the conspiracy to file false claims count, a statutory maximum sentence of 20 years in prison for each wire fraud count, a statutory maximum sentence of 10 years in prison for each theft of public money count, and a mandatory sentence of two years in prison for the aggravated identity theft counts. The defendants are also subject to fines, forfeiture and mandatory restitution if convicted.
The case was investigated by special agents of the Internal Revenue Service - Criminal Investigation. Trial Attorney Michael Boteler of the Tax Division and Assistant U.S. Attorney Todd Brown for the Middle District of Alabama are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Man Pleads Guilty for Involvement in Identity Theft SchemeRead the Press Release
January 1, 2014Montgomery, Alabama - Robert Bernard Walker (33), of Columbus, Georgia, pleaded guilty yesterday to one count of conspiracy to file false claims and one count of aggravated identity theft for his involvement in a stolen identity tax refund fraud (SIRF) scheme, announced U.S. Attorney George L. Beck Jr. for the Middle District of Alabama, and Acting Deputy Assistant Attorney General Larry J. Wszalek for the Justice Department's Tax Division.
According to the court documents, between January 2011 and December 2013, Walker and his co-conspirators filed false tax returns using stolen identities. One co-conspirator obtained stolen identities from various sources, including the identities of employees from a Columbus, Georgia, company. In order to file the false tax returns, Walker and his co-conspirators obtained Electronic Filing Identification Numbers (EFIN) in the names of several sham tax businesses. The co-conspirators applied for bank products from various financial institutions, which mailed blank check stock and prepaid debit cards. The anticipated tax refunds were directed to financial institutions, which in turn issued the refunds using checks or prepaid debit cards. Walker and his co-conspirators cashed the fraudulent checks at several businesses located in Alabama. Walker also deposited fraudulent refund checks into a bank account he controlled.
Walker’s sentencing is scheduled for Feb. 5, 2015 where he will face a maximum sentence of 10 years in prison for the conspiracy to file false claims count, and a mandatory sentence of two years in prison for the aggravated identity theft counts. Walker is also subject to fines, forfeiture, and restitution.
The case was investigated by special agents of the Internal Revenue Service - Criminal Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Postal Service’s Office of the Inspector General. Trial Attorneys Michael Boteler, Charles M. Edgar Jr. and Gregory Bailey of the Tax Division are prosecuting the case with the assistance from Assistant U.S. Attorney Todd Brown for the Middle District of Alabama.
Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Woman Convicted of Stolen Identity Refund FraudRead the Press Release
January 1, 2014Montgomery, Alabama - A jury found a Dothan, Alabama woman guilty of conspiring to defraud the government through the filing of false tax returns, Deputy Assistant Attorney General Ronald A. Cimino of the Justice Department's Tax Division and U.S. Attorney George L. Beck Jr. for the Middle District of Alabama announced today.
Nina Macena, 32, was also found guilty of three counts of wire fraud and three counts of aggravated identity theft.
According to evidence from the trial, Macena provided stolen identities to Ivory Bolen, also of Dothan, who used the identities to file false tax returns that fraudulently requested refunds from the government. Bolen would attempt to have the refunds deposited onto prepaid debit cards, which would be mailed to addresses controlled by Bolen and Macena. Macena obtained the identities from Roderick Neal, a former bail bondsman in Dothan, who had access to the personal information of individuals who had been detained at the Dothan City Jail. Both Bolen and Neal previously pleaded guilty to their involvement in the scheme.
The evidence from the trial also showed that Bolen, acting at the direction of law enforcement, made several phone calls to Macena asking her to obtain more identities. Macena agreed to do so and said she would attempt to get more identities from a “friend” at “the bonding company.” Macena also stated in the calls that she had stolen identities in a storage unit. The next day federal agents executed a search warrant at Macena’s storage unit and seized stolen identities and prepaid debit cards in the names of victims of the scheme. Altogether, Bolen filed tax returns claiming more than $300,000 in refunds using the stolen identities provided by Macena. The Internal Revenue Service (IRS), however, successfully stopped a number of the fraudulent returns.
Macena testified in her own defense at trial and admitted that she had obtained information from Neal for Bolen, but claimed that she was unaware of the nature of the information. She also testified that she stored items for Bolen in her storage unit, but that she was unaware of what she was storing.
Macena was ultimately convicted by the jury on all counts in the indictment. At sentencing Oct. 23, she faces a statutory maximum sentence of 10 years in prison for the conspiracy count, a statutory maximum sentence of 20 years in prison for the three wire fraud convictions and a mandatory sentence of two years in prison for the aggravated identity theft convictions. Her actual sentence, however, will be decided by a federal judge after considering the federal sentencing guidelines and statutory sentencing factors.
This case was investigated by special agents of the IRS - Criminal Investigation. Trial Attorneys Jason Poole and Charles Edgar of the Tax Division prosecuted the case with the assistance of the U.S. Attorney’s Office for the Middle District of Alabama.
Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Federal Court Shuts Down Montgomery-Area Tax PrepaperRead the Press Release
Alabama Preparer Allegedly Falsified Tax Returns at Cost of Millions to U.S. Treasury
Montgomery, Alabama - A federal court in Montgomery, Alabama, permanently barred Kenya Hendrix Adams from preparing tax returns for others, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. The permanent injunction order was signed by Judge Mark E. Fuller of the U.S. District Court for the Middle District of Alabama.
The order also requires Adams to turn over to the United States copies of all returns or claims for refund that she prepared after January 1, 2008, and to notify each person for whom she prepared returns since that date. The order authorizes the United States to monitor Adams’ compliance with the terms of the order.
The government’s complaint alleged that Adams repeatedly prepared federal tax returns that understated her clients’ federal tax liabilities. According to the complaint, Adams did so by falsely claiming or inflating tax credits or fabricating deductions. The suit alleges that the harm to the United States Treasury as a result of her conduct could be in the millions of dollars.
“These fraudulent tax preparers create a horrible problem in this area,” stated U.S. Attorney George L. Beck, Jr. “What they are doing must be stopped and I applaud the IRS for taking the steps to shut them down.”
Claiming bogus tax refunds is one of the IRS’s Dirty Dozen Tax Scams. In the past decade, the Justice Department’s Tax Division has obtained injunctions against hundreds of tax fraud promoters and unscrupulous tax preparers. Information about these cases is available on the Justice Department website. For more information about choosing a tax return preparer, see the IRS website and the IRS YouTube Channel.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Pleads Guilty for His Role in Racially Motivated Cross BurningRead the Press Release
Montgomery, Alabama - Thomas Windell Smith, 24, of Dothan, Alabama, pleaded guilty in federal court last Friday to one count of conspiring to violate housing rights. The charge relates to his participation in a cross burning at the entrance to an African American community in Ozark, Alabama, on May 8, 2009.
During his plea, Smith admitted that he and a co-conspirator agreed to burn a cross together in order to intimidate the African American residents. Using materials from around his home, the co-conspirator constructed a wooden cross about six feet tall and wrapped cloth around the cross. The co-conspirator loaded the cross into Smith’s truck. With Smith driving and the co-conspirator providing directions, the two men transported the cross to a predominantly African American residential neighborhood. They unloaded the cross at the entrance to the community. There, the co-conspirator poured fuel on the cross, stood it up in view of several houses, and set it on fire.
“The defendant’s crime illustrates the damage hate crimes can do to entire communities, making people feel unsafe in their own homes,” said Jocelyn Samuels, Acting Assistant Attorney General for Civil Rights. “We’d like to think these offenses are a thing of the past, but the reality is that they happen here in the 21st century. The Justice Department is committed to stamping them out.”
“This defendant not only committed a federal crime, but committed a contemptible action of hate,” stated U.S. Attorney Beck. “Citizens in the Middle District of Alabama should not and will not tolerate such actions. I hope this prosecution sends a clear message that these hateful demonstrations will not be tolerated and will be prosecuted to the fullest extent of the law.”
Sentencing is yet to be scheduled. Smith faces a maximum penalty of ten years in prison and a fine of up to $250,000.
This case was investigated by the Federal Bureau of Investigation, with the assistance of the Dale County Sheriff’s Office and the Ozark Police Department. The case is being prosecuted by Assistant U.S. Attorney Jerusha T. Adams of the Middle District of Alabama and Trial Attorney Chiraag Bains of the Justice Department’s Civil Rights Division.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Three Plead Guilty to Making Illegal Identification DocumentsRead the Press Release
Montgomery, Alabama - Noemi Vasquez, 39 years old, along with Raul Castro-Morales and Wilfredo Cheverria-Funez, all of Montgomery, Alabama, pled guilty in federal court on Tuesday, December 3, 2013 to aggravated identity theft, illegal production of an identification card, and counterfeiting a social security card, announced U.S. Attorney George L. Beck, Jr.
In January of 2012, Noemi Vasquez worked at a company that used the federal E-Verify system. E-Verify is a federal internet-based program which allows an employer to determine if a prospective employee is authorized to work in the United States. Vasquez used her position at this company to access the E-Verify system and obtain biographical information of Hispanic males This information included name, citizenship status, date of birth, and place of birth.
As part of the scheme, Vasquez would pull an E-Verify report of a person that was of similar height, weight and age as an undocumented alien seeking employment. Vasquez would then sell the E-Verify report to the undocumented alien for $300 and provide him with Cheverria-Funez’ contact information to obtain the illegal identification documents. Cheverria-Funez would then introduce the undocumented alien to Raul Castro-Morales who would create false social security and identification cards for an additional fee.
If convicted, Vasquez, Cheverria-Funez, and Castro-Morales face sentences of not less than two years, and not more than 15 years of incarceration with the Bureau of Prisons. They further face up to five years of supervised release, a fine of not more than $250,000, and payment of restitution to the victims. Cheverria-Funez and Castro-Morales also face deportation after conviction and service of sentence.
This case was investigated by U.S. Immigration and Customs Enforcement and prosecuted by Assistant U.S. Attorney Susan Redmond.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Bank Employee Pleads GuiltyRead the Press Release
Montgomery, Alabama - Christopher Todd Jones, 30 years old, of Montgomery, Alabama, pled guilty today before United States Magistrate Judge Wallace Capel, Jr., to a one-count Information charging Jones, a former employee of First Tuskegee Bank, with bank fraud, announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama.
Jones admitted that while an employee of First Tuskegee Bank, he set up fictitious credit card accounts which he used to steal approximately $580,000.00 from First Tuskegee Bank. Jones faces a potential sentence of not more than 30 years imprisonment, a fine of not more than $1,000,000, and not more than 5 years of supervised release.
This case was investigated by the Federal Bureau of Investigation, and prosecuted by Assistant U.S. Attorney Brandon K. Essig and Assistant U.S. Attorney Donald G. Valeska.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Sentenced to Federal Prison for Stolen Identity Tax Refund Fraud SchemeRead the Press Release
Montgomery, Alabama - Clarence Hicks, of Montgomery, Ala., was sentenced to serve 57 months in federal prison and three years of supervised release and ordered to pay $210,555.62 in restitution for his role in a stolen identity refund fraud scheme, announced George L. Beck Jr., U.S. Attorney for the Middle District of Alabama. Hicks had previously pleaded guilty to filing a false claim for a federal tax refund and to aggravated identity theft.
According to court documents, Hicks had access to an Internal Revenue Service (IRS) Electronic Filing Identification Number assigned to another person and used that number to file false federal income tax returns in the names of stolen identities. The court found that Hicks intended to steal more than $300,000 from the IRS, which paid out $210,555.62 in false claims based on fraudulent returns Hicks filed.
This case was investigated by special agents of the Internal Revenue Service - Criminal Investigation. Trial Attorneys Justin Gelfand and Jason Poole of the department's Tax Division prosecuted the case.
Additional information about the department's Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Two Men Sentenced for $39 Million FraudRead the Press Release
Montgomery, Alabama - After a three day sentencing hearing, on November 27, 2013, United States District Court Judge Myron S. Thompson sentenced Paul Hulse, Sr., to the statutory maximum of 10 years imprisonment followed by three years supervised release for interstate transportation of property by fraud, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Judge Thompson also sentenced Frank J. Teers to 8 years imprisonment followed by five years of supervised release for conspiracy to commit wire and financial institution fraud, and committing wire fraud and financial institution fraud.
Both men were ordered to pay $39,239,561.06 in restitution to the Federal Land Bank Association of South Alabama. Judge Thompson continued the sentencing co-defendant, Steven P. Mock, until 2014.
According to court filings, Paul Hulse, Sr. (“Hulse”) was a director of H&H Worldwide Financial Service, Inc., Paul Hulse, Jr. (“Hulse Jr.”) was H&H’s president, Steven P. Mock was an attorney in the Houston area, and Frank J. Teers was a bond broker employed by Tri-Star Financial Services in Houston. Beginning in 2003, Hulse began soliciting various persons and businesses for loans based on the false representation that he controlled a large portfolio of bonds—the amount ranged from tens to hundreds of millions of dollars—that could be used as collateral for the loans. Mock and Teers made false statements to the prospective lenders that supported Hulse’s claim that he owned a substantial bond portfolio. In fact, Hulse did not have a bond portfolio. None of the solicited institutions, which included Western National Bank of Midland, Texas, MetLife, UBS Securities, and Jefferies and Co. agreed to make a loan to Hulse or H&H.
In February 2005, Hulse began soliciting loans from the Federal Land Bank of South Alabama (the “Bank”) in Montgomery, Alabama. During the course of the discussions:
•Hulse falsely represented that he had a large bond portfolio that could serve as collateral for the loans to H&H and submitted documents that concealed Hulse’s plan to use approximately half the loan proceeds to purchase the bonds that were going to serve as collateral for the loans.
•Mock falsely claimed that he was Hulse’s “senior trust officer” and that the “trust agreements” permitted the use of $15 million of trust bonds in connection with the proposed loan.
•Teers falsely represented that he managed a significant bond portfolio for Hulse, provided documents to Hulse that Hulse used to support his claim of ownership, signed documents that represented that bonds were on account at Tri-Star, and failed to disclose to the Bank and to Tri-Star that he had been interviewed by IRS criminal investigators about Hulse’s fraudulent activities.
Based on those false representations, the Bank made two loans to H&H totaling $68.5 million in August and December 2005. H&H used more than half the money to buy the bonds that were to serve as collateral for the loan. A significant amount of the loan proceeds were used for the personal benefit of Mock, Hulse, and members of the Hulse family. Teers made more than $600,000 in commissions from the buying and selling of bonds on behalf of H&H. By Spring of 2007, the relationship between H&H and the Bank had deteriorated. In an effort to convince the Bank to allow the principal of the bonds to be used to make the quarterly loan payment, on June 28, 2007, Mock, Hulse, and Hulse Jr. sent a letter to the Bank that (a) falsely claimed that H&H was on the “doorstep” of obtaining a loan from Wells Fargo that would allow the Bank to be paid in full, and (b) described how the loan proceeds had been used without disclosing the fact that more than half the loan proceeds had been used to buy the bond collateral.
“These sentences are particularly fitting because these crimes were committed by professionals who have a fiduciary duty to our citizens of loyalty and trust,” stated U.S. Attorney Beck. “In order to maintain a level of confidence in our lending institutions, those closely involved with those lending institutions have to be forthcoming and honest. These defendants were not. These defendants lied and mislead these credit institutions for their own gain.”
The case was investigated by the FBI with assistance from the Internal Revenue Service, Criminal Investigations in Houston, Texas. This case was prosecuted by former Assistant United States Attorney Andrew O. Schiff and Assistant United States Attorney Denise O. Simpson.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former KKK Leader Indicted for Cross Burning; Second KKK Member Indicted for PerjuryRead the Press Release
Montgomery, Alabama - Steven Joshua Dinkle, former Exalted Cyclops of a chapter of the Ku Klux Klan (KKK) in Ozark, Ala., was arrested on Wednesday, Nov. 27, in Mississippi for burning a cross at the entrance to a predominantly African-American neighborhood and for obstructing the investigation into the offense. Pamela Morris, Dinkle’s mother and the former secretary of the KKK chapter, was arrested on Nov. 21, 2013, for committing perjury before the grand jury investigating the cross burning.
Dinkle, 28, was charged in a five-count indictment returned by a federal grand jury in the Middle District of Alabama that was unsealed on Nov. 27. The indictment charges him with one count of conspiracy to violate housing rights, one count of criminal interference with the right to fair housing, one count of using fire to commit a federal felony and two counts of obstruction of justice.
The indictment alleges that on May 8, 2009, Dinkle conspired with another person to burn a cross in an African-American neighborhood to threaten and intimidate residents of that neighborhood and thereby interfere with their federally protected housing rights. Dinkle allegedly constructed a six-foot cross, wrapping jeans and a towel around it. He and his co-conspirator drove the cross to an African-American community near Johntown Road in Ozark where Dinkle poured fuel on the cross, erected it in the ground and set it on fire. The indictment further contends that Dinkle obstructed justice by lying to local investigators in 2009, and federal investigators in 2012. Dinkle claimed he had withdrawn from the KKK months before the cross burning, provided a false alibi and denied knowing a person who was, in fact, his superior in the KKK.
The grand jury returned a separate indictment against Morris, 45, charging her with two counts of perjury. The indictment alleges that Morris made multiple false statements to the grand jury investigating the cross burning when she denied her own involvement in the KKK and knowing that Dinkle was also involved.
If convicted, Dinkle could face a maximum statutory sentence of 10 years in prison and a $250,000 fine on the conspiracy and criminal-interference counts; sentence maximum of 10 years in prison for the use-of-fire; a maximum of 20 years in prison and a $250,000 fine for obstructing justice by making false statements to local investigators; and a maximum of five years in prison and a $250,000 fine for making false statements to the FBI.
If convicted, Morris could face a maximum statutory sentence of five years in prison and a $250,000 fine on each count of perjury.
An indictment is merely an accusation, and the defendants are presumed innocent unless and until proven guilty.
This case is being investigated by the FBI, with the assistance of the Dale County Sheriff’s Office and the Ozark Police Department. The case is being prosecuted by Assistant U.S. Attorney Jerusha T. Adams of the Middle District of Alabama and Trial Attorney Chiraag Bains of the Justice Department’s Civil Rights Division.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Two Experienced U.S. Attorney’s Office Employees to RetireRead the Press Release
Montgomery, Alabama - Kent Brunson, an Assistant United States Attorney since 1978 and Bertha Moore, a legal assistant since 1979 are retiring from the U.S. Attorney’s Office this week. Brunson and Moore have been with the Department of Justice for a combined total of nearly 70 years.
Kent Brunson began his career with the U.S. Attorney’s Office in 1978. Brunson spent ten years as an Assistant U.S. Attorney before being promoted to the Deputy Criminal Chief in 1988 where he served until 1990. In 1990, Brunson returned to prosecuting cases as an Assistant U.S. Attorney until 2011 when U.S. Attorney George L. Beck, Jr. requested Brunson serve as Beck’s Senior Litigation Counsel. Brunson served in such capacity until this year when U.S. Attorney Beck called on Brunson to be his First Assistant U.S. Attorney. Brunson has served as the First Assistant until his retirement.
Bertha Moore began her career in 1979 as a legal clerk with the U.S. Attorney’s Office. She served as such until 1984 when she became a legal technician. In 1987, Moore was again promoted to the position of paralegal assistant and in 1995 Moore became a paralegal specialist. In 2005, Leura Canary, who was U.S. Attorney at the time, chose Moore to be her executive assistant. When George Beck was appointed U.S. Attorney in 2010, Mr. Beck asked Moore to continue in the executive assistant position. Mrs. Moore agreed and she remained the executive assistant to the U.S. Attorney until her retirement.
Both Mr. Brunson and Mrs. Moore have served under five U.S. Attorneys and received numerous awards from the Department of Justice. Their institutional knowledge and experience can never be replaced. Not only has the U.S. Attorney’s Office lost two crucial employees, but due to Sequestration, the U.S. Attorney’s Office cannot hire replacements.
“It has been an honor to serve the Middle District of Alabama as an Assistant U.S. Attorney for so many years,” stated Kent Brunson. “This career has been very fulfilling, but I am looking forward to opening another chapter in my life full of hunting and fishing.”
“I am grateful to have had the opportunity to serve my Government and the people of this district for so long,” stated Bertha Moore. “This office has provided me with an extended family that I will always cherish and fond memories to take home with me, but it is time that I begin the next phase of my life.”
“Kent Brunson has been a close friend of mine for nearly 40 years,” stated George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. “I hate to see him leave this office both from a personal and professional standpoint. Kent has been an asset to this office and has personally helped me throughout my tenure as the U.S. Attorney. His absence will leave a large void in the office. I have only known Bertha for two years, but her help to me and the office is immeasurable. She is professional, efficient and gracious. Her knowledge of and experience in the Department of Justice has enhanced the way this office has run for the last 34 years. She will be missed.”
Mr. Brunson and Mrs. Moore’s will remain at the U.S. Attorney’s Office through the end of November.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Macon County Sheriff’s Investigator Indicted for Unlawfully Detaining and Assaulting Handcuffed Man at County JailRead the Press Release
Montgomery, Alabama - J. Keith McCray, a criminal investigator with the Macon County Sheriff’s Office was indicted by a federal grand jury in the Middle District of Alabama for violating the rights of a man he unlawfully seized and assaulted, announce George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
McCray, 41, is charged with two counts of deprivation of rights under color of law and one count of witness tampering. On July 4, 2013, the victim was going door to door in McCray’s neighborhood attempting to sell alarm systems. According to the indictment, McCray unlawfully seized the victim using a firearm. McCray then took the victim to jail. At the jail, McCray struck the victim while he was handcuffed, resulting in bodily injury. The indictment further alleges that McCray engaged in witness tampering when he intimidated the victim and corruptly persuaded him not to file a complaint for the assault.
If convicted, McCray could face a maximum sentence of ten years in prison and a $250,000 fine for each deprivation-of-rights charge. He could face a maximum sentence of twenty years in prison and a $250,000 fine for the witness tampering charge. McCray=s trial is yet to be scheduled.
An indictment is merely an accusation, and the defendant is presumed innocent unless proven guilty.
This case is being investigated by the Federal Bureau of Investigation and the Alabama 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 Chiraag Bains of the Justice Department’s Civil Rights Division.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former Postal Employee SentencedRead the Press Release
Montgomery, Alabama - Arthur Darby, Jr., 31 years old, of Montgomery, AL was sentenced last week for entering the Main Post Office in Montgomery with a gun and opening fire, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. At the time of the shooting, Darby was employed with the Post Office. Senior United States District Judge W. Harold Albritton sentenced the former Postal employee to 10 years and one day in federal prison.
In June of this year, Darby pled guilty to attempted assault, discharging a firearm in furtherance of the attempted assault, and possession of a firearm in a federal facility. Court documents established that on December 1, 2011, at approximately 6:30 p.m., Darby, a part-time mail handler at the Main Post Office located at 6701 Winton Blount Blvd. in Montgomery, AL, went to work and opened fire on two postal employees. Thankfully, no one was hit from the shots fired by Darby. Law enforcement immediately responded and apprehended Darby.
“People should be safe when going to the post office,” stated U.S. Attorney Beck. “My office will continue to vigorously prosecute those to jeopardize the safety of those workers and patrons at the post office. I hope this sentence sends a message that this criminal behavior will not be tolerated and will be prosecuted to the fullest extent of the law.”
“Postal Inspectors investigate a wide variety of crimes in our mission to protect the security of the U.S. Postal Service, but none of them are more important than protecting the lives of postal employees,” said U.S. Postal Inspection Service Inspector in Charge Robert Wemyss, of the Houston Division. “The Montgomery Police Department and a team of U.S. Postal Inspectors were on the scene quickly and decisively, helping to close the incident without loss of life. This sentencing brings further closure and sends out the message that violence affecting the security of the U.S. Postal Service can carry severe consequences for the criminal.”
The case was investigated by the United States Postal Inspection Service, the Bureau of Alcohol, Tobacco, and Firearms, and the Montgomery Police Department. The case was prosecuted by Assistant United States Attorney Susan R. Redmond.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Sentenced to Federal Prison for Role in Identity Theft and Tax Refund SchemeRead the Press Release
Montgomery, Alabama - Montgomery, AL – Kevin Jackson of Montgomery, Ala., was sentenced to serve 102 months in federal prison and three years of supervised release, along with an order to pay $150,840.49 in restitution, for his role in a stolen identity refund fraud scheme, announced U.S. Attorney for the Middle District of Alabama George L. Beck Jr. Jackson had previously pled guilty to access device fraud and to aggravated identity theft.
According to court documents, Jackson possessed a storage locker in which law enforcement authorities found a computer, three cellular telephones, at least 500 names and Social Security numbers of identity theft victims and at least 70 prepaid debit cards, all tied to a scheme to obtain fraudulent federal tax refunds by causing federal tax returns to be filed in the names of stolen identities.
The case was investigated by special agents of the Internal Revenue Service - Criminal Investigation and the U.S. Secret Service, along with assistance from the Montgomery Police Department. Trial Attorneys Justin Gelfand and Jason Poole of the department’s Tax Division prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Debt Collection Employee and Son-in-Law Sent to Prison for Identity Theft Tax SchemeRead the Press Release
Montgomery, Alabama - Quentin Collick of Montgomery, Ala., and Deatrice Williams of Duluth, Ga., were sentenced Nov. 1, 2013, to serve 85 and 51 months in prison, respectively, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Collick and Williams were previously found guilty by a jury in the Middle District of conspiring to file false claims, wire fraud, and aggravated identity theft. Collick was also convicted on three counts of theft of public funds. Corey Thompson, a co-conspirator, previously pleaded guilty and was sentenced to serve 30 months in jail.
Based on evidence introduced at trial and court filings, Williams worked for a debt collection company located in Norcross, Ga. As an employee, Williams had access to a database that stored names, social security numbers, and dates of birth of individuals who owed medical debts. Williams stole the identities of a number of these individuals and provided the information to Collick, her son-in-law.
Collick and Thompson used the stolen identities to file false tax returns and fraudulently claim tax refunds. In 2011 and 2012, Thompson worked as an independent contractor for a cable company installing cable and internet access for customers. To conceal the filing of the false tax returns, Thompson used his specialized knowledge and equipment to shut down and hijack his customers’ internet service, and along with Collick, filed false tax returns using the customers’ internet access, making it appear as if the false tax returns were being filed by the customers. Thompson and Collick then directed the tax refunds to be placed on pre-paid debit cards, which were mailed to Montgomery, Ala. However, those cards were intercepted by the U.S. Postal Service. Several tax refund checks were also mailed by the IRS, based upon the fraudulent returns, which Collick retrieved and cashed.
This case was investigated by special agents of IRS - Criminal Investigation and prosecuted by Tax Division Trial Attorneys Michael Boteler, Jason H. Poole and Alexander Effendi and Assistant U.S. Attorney Todd A. Brown.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Husband and Wife Use an Identity Theft Scheme Used to Fund Their Gambling ActivitiesRead the Press Release
Montgomery, Alabama - Mary Young, 48 years old, and Christian Young, 49 years old, both of Wetumpka, each pleaded guilty yesterday to one count of conspiracy to defraud the United States and one count of aggravated identity theft for their role in a Stolen Identity Refund Fraud (“SIRF”) scheme, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
According to court documents, between January 2010 and June 2012, Mary Young, Christian Young, Octavious Reeves, and others obtained stolen identities from individuals and used those stolen identities to file false tax returns. The false returns were filed from the Young’s residence and the conspirators directed the unlawful refunds to prepaid debit cards in the names of the identity theft victims. Mary Young, Christian Young, and others used the prepaid debit cards to withdraw the fraudulent proceeds.
In total, the scheme generated over $400,000 in fraudulent tax refunds. Mary Young and Christian Young used a substantial amount of the illicit proceeds to fund their gambling activities. Between 2010 and 2012, the Youngs lost nearly $200,000 at casinos in Alabama.
Sentencing has not yet been scheduled. Mary Young and Christian Young both face a minimum sentence of two years and a maximum of twelve years in prison, along with three years of supervised release, restitution, and a maximum fine of $250,000 or twice the loss caused by the offense. Reeves previously pleaded guilty and will be sentenced on February 19, 2014.
The case was investigated by Special Agents of the IRS - Criminal Investigation. Trial Attorneys Michael Boteler, Charles Edgar, Jr., and Gregory Bailey of the Justice Department’s Tax Division and Assistant U.S. Attorney Todd Brown are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former Corrections Officers Sentenced for Federal Civil Rights Offenses and Obstruction of Justice for Beating Death of an Inmate at Ventress Correctional Facility in AlabamaRead the Press Release
Montgomery, Alabama - Montgomery, AL – Michael Smith, Matthew Davidson, Joseph Sanders and Scottie Glenn, all former corrections officers with the Alabama Department of Corrections, were sentenced today by U.S. District Court Judge Myron H. Thompson in connection with the beating death of former inmate Rocrast Mack. Smith, 39, who was convicted by a federal jury on June 25, 2013, of seven counts of civil rights violations and obstruction of justice, was sentenced to 30 years imprisonment. Davidson, 45, who pled guilty to two civil rights violations and an obstruction of justice violation, was sentenced to seven years. Sanders, 32, who pled guilty to an obstruction of justice violation, was sentenced to five years. Glenn, 30, who pled guilty to a civil rights violation and a conspiracy violation, was sentenced to five years.
The incident occurred at Ventress Correctional Facility in Clayton, Ala., on Aug. 4, 2010, and at the time of the incident Smith was a lieutenant with supervisory authority over other officers on his shift. According to the evidence presented at trial, Smith assaulted Mack in an office in the prison, repeatedly striking him with a baton, stomping on him and kicking him. The evidence also showed that Smith assaulted Mack again several minutes later in the medical unit by repeatedly stomping on Mack’s head. Mack died the following morning in a Montgomery, Ala., hospital.
“These defendants each played a role in the vicious and fatal beating of Mr. Mack, and then they lied to authorities to conceal their culpability,” said Acting Assistant Attorney General for the Department’s Civil Rights Division Jocelyn Samuels. “Their actions run completely counter to the responsibilities and trust given to law enforcement officers. The Justice Department will continue to vigorously prosecute those officers who commit such heinous criminal acts, and I hope that these sentencings help bring some measure of closure to the Mack family.”
“The majority of our corrections officers are dedicated to protecting and serving the public,” said U.S. Attorney for the Middle District of Alabama George L. Beck Jr. “These correctional officers were not so dedicated. These correctional officers savagely beat, stomped, and tortured a restrained man and then lied to protect themselves. There is no excuse for such behavior. Correctional officers walk a tough line, but they cannot cross that line into the criminal element. I hope that these sentences bring some sense of justice to the victim’s family and reinforce the notion that no one is above the law.”
This case was investigated by the Mobile, Ala., Division of the FBI in partnership with the Alabama Bureau of Investigation, and was prosecuted by Assistant U.S. Attorney Jerusha Adams of the U.S. Attorney’s Office for the Middle District of Alabama and Trial Attorney Patricia Sumner of the Civil Rights Division of the Department of Justice.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Montgomery Man Sentenced in Identity Theft Related State Income Tax FraudRead the Press Release
Montgomery, Alabama - John Irving Wheeler, 31 years old, of Montgomery, was sentenced to serve 210 months of incarceration on October 31, 2013, announced U.S. Attorney for the Middle District of Alabama George L. Beck, Jr. Wheeler was also ordered to pay one million dollars in restitution to the States of Georgia and Michigan. Wheeler pleaded guilty to one count of conspiracy to commit wire fraud and mail fraud on April 1, 2013, based on his role in a stolen identity scheme to that resulted in Wheeler and others receiving fraudulent state income tax refunds.
According to the court documents, from February 2008 through at least November 2009, Wheeler and others stole identifications of other individuals, including their names, dates of birth, and Social Security numbers. Wheeler and his coconspirators would then use that information to electronically file fraudulent state income tax returns with numerous states, including Georgia and Michigan. The returns generated from the fraudulent state income tax refunds were either mailed or electronically transferred to Wheeler and his coconspirators. Bank records and information obtained from the Georgia Department of Revenue and the Michigan Department of Treasury showed that Wheeler and his coconspirators received $1,060,732 in fraudulent state income tax refunds. Agents also executed a search warrant at Wheeler’s residence and recovered over 300 stolen identities. Wheeler was attempting to flush paperwork containing the stolen identities down a toilet after agents arrived at Wheeler’s residence to execute the warrant.
The case was investigated by Special Agents of the United States Secret Service and the Alabama Alcohol Beverage Control Board. Assistant U.S. Attorney Todd Brown prosecuted the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former U.S. Postal Service Mail Carrier Sentenced to Federal Prison for Role in Stolen Identity Refund Fraud SchemeRead the Press Release
Montgomery, Alabama - Vernon Harrison, of Montgomery, Ala., was sentenced to serve 111 months in federal prison and three years’ supervised release, along with an order to pay $82,791 restitution, for his role in a stolen identity refund fraud scheme, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney for the Middle District of Alabama George L. Beck, Jr. Harrison was convicted on July 3, 2013, following a jury trial in the Middle District of Alabama. He was found guilty of conspiracy to file false claims, as well as numerous counts of mail fraud, aggravated identity theft, and embezzlement from the mail.
According to the evidence presented at the trial, Harrison was a corrupt U.S. Postal Service mail carrier who was recruited to join a stolen identity refund fraud conspiracy. Members of the conspiracy used stolen identities to file false tax returns, which claimed fraudulent tax refunds. The returns were filed from various locations, including houses and hotels around Montgomery and Birmingham, Ala. The tax refunds were placed on debit cards that were mailed to addresses along Harrison’s postal route in Montgomery. Harrison stole the debit cards from the mail and provided them to a co-conspirator in exchange for cash. During this period Harrison stole over 100 debit cards from the mail for his co-conspirators.
At trial, federal agents showed that they had uncovered substantial evidence of the conspiracy during the execution of search warrants at locations in Montgomery and near Birmingham. This evidence included over 100 envelopes for debit cards that had been mailed to addresses on Harrison’s postal route, as well as agents’ observation that Harrison failed to deliver Turbo Tax debit cards.
Kathryn Keneally, Assistant Attorney General for the Justice Department's Tax Division, commended the efforts of special agents of the Internal Revenue Service - Criminal Investigation and the U.S. Postal Service, Office of the Inspector General, who investigated the case, and Tax Division Trial Attorneys Jason Poole and Michael Boteler, who prosecuted the case. Additional information about the Justice Department’s Tax Division and its enforcement efforts may be found at www.justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617US Government Intervenes in False Claims Lawsuit Against United States Investigations Services for Failing to Perform Required Quality Reviews of Background InvestigationsRead the Press Release
Washington - The government has intervened in a lawsuit filed under the False Claims Act against United States Investigations Services LLC (USIS) in the U.S. District Court for the Middle District of Alabama, the Department of Justice announced today. The lawsuit alleges that USIS, located in Falls Church, Va., failed to perform quality control reviews in connection with its background investigations for the U.S. Office of Personnel Management (OPM).
The lawsuit was filed by a former employee of USIS, Blake Percival, under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties, known as relators, to sue on behalf of the government when they believe false claims for government funds have been submitted. The private party is entitled to receive a share of any funds recovered through the lawsuit. The False Claims Act also permits the government to investigate the allegations made in the relator’s complaint and to decide whether to intervene in the lawsuit, and to recover three times its damages plus civil penalties. The government is intervening now based on the results of its investigation of the relator’s allegations and has requested that the court give it until Jan. 22, 2014, to file its own complaint.
“We will not tolerate shortcuts taken by companies that we have entrusted with vetting individuals to be given access to our country’s sensitive and secret information,” said Stuart F. Delery, Assistant Attorney General for the Justice Department’s Civil Division. “The Justice Department will take action against those who charge the taxpayers for services they failed to provide, especially when their non-performance could place our country’s security at risk.”
Since 1996, USIS has contracted with OPM to perform background investigations on individuals seeking employment with various federal agencies. Executed in 2006, the contract at issue in the lawsuit required USIS to conduct the investigatory fieldwork on each prospective applicant. It also required that a trained USIS Reviewer perform a full review of each background investigation to ensure it conformed to OPM standards before sending the file back to OPM for processing.
According to the relator’s complaint, starting in 2008, USIS engaged in a practice known at USIS as “dumping.” Specifically, USIS used a proprietary computer software program to automatically release to OPM background investigations that had not gone through the full review process and thus were not complete. USIS allegedly would dump cases to meet revenue targets and maximize its profits. The lawsuit alleges that USIS concealed this practice from OPM and improperly billed OPM for background investigations it knew were not performed in accordance with the contract.
“Thorough, appropriate and accurate background checks are essential in the employment of government personnel,” said George L. Beck Jr., U.S. Attorney for the Middle District of Alabama. “The increase in foreign and domestic terrorism places an increased responsibility on our government to ensure that unsuitable individuals are prohibited from government employment.”
“This is a clarion call for accountability,” said Patrick E. McFarland, Inspector General of OPM. “As recent events have shown, it is vital for the safety and security of Americans to have these background investigations performed in a thorough and accurate manner. We can accept no less. Those responsible for any malfeasance that compromises the integrity of the background investigations process must be held accountable.”
“OPM does not tolerate fraud or falsification,” said Elaine Kaplan, Acting Director of OPM. “We work hard to prevent and detect both through a variety of means including a robust integrity assurance program, multiple levels of review and workforce education and training. We also work hand in hand with our Inspector General and the Department of Justice when we discover fraud so that bad actors are held accountable to the fullest extent of the law.”
This matter was handled by the Commercial Litigation Branch of the Justice Department’s Civil Division and the U.S. Attorney’s Office for the Middle District of Alabama in conjunction with OPM’s Office of Inspector General and Federal Investigative Service.
The claims asserted against USIS are allegations only, and there has been no determination of liability.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Pleads Guilty to His Involvement in an Identity Theft Scheme Using Stolen Prisoner NamesRead the Press Release
Montgomery, Alabama -
Harvey James pleaded guilty to one count of mail fraud and one count of aggravated identity theft for his role in a Stolen Identity Refund Fraud (“SIRF”) scheme, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney for the Middle District of Alabama George L. Beck Jr.
According to court documents and court proceedings, Harvey James obtained stolen identities from individuals who had access to inmate information from the Alabama Department of Corrections. For several years, James, his sister, Jacqueline Slaton, and others used those inmate names to file false federal and state tax returns. James and Slaton directed some of the false refunds to be sent to either prepaid debit cards or issued via check. In 2012, James and Slaton enlisted the assistance of U.S. Postal Service mail carrier Vernon Harrison in the scheme. Harrison, who provided James and his co-conspirators with mailing addresses to which they could mail debit cards, retrieved the debit cards from the mail and delivered them to James and his co-conspirators. In exchange, Harrison received substantial payments. Between 2010 and 2012, James and his co-conspirators filed hundreds of federal and state income tax returns that claimed over $1,000,000 in fraudulent tax refunds.
Sentencing has not yet been scheduled. James faces a minimum sentence of two years in prison and a maximum sentence of twenty-two years in prison, along with three years of supervised release, restitution and a maximum fine of $250,000. Slaton has already pleaded guilty and was sentenced to 70 months in prison. In July 2013, Harrison was found guilty by a jury for his role in the scheme. Harrison will be sentenced on Oct. 31, 2013.
The case was investigated by Special Agents of the IRS - Criminal Investigation. Trial Attorneys Jason H. Poole and Michael Boteler of the Justice Department’s Tax Division and Assistant U.S. Attorney Todd Brown are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Prescription Drug Take-Back to Be Held Saturday, October 26, 2013Read the Press Release
Montgomery, Alabama - Prescription Take-Back Day will be held this Saturday, October 26, at locations throughout the State, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama, and Clay Morris, Drug Enforcement Administration Special Agent in Charge for Alabama.
Alabamians will have the opportunity to turn in their old prescription drugs at drop-off points throughout the state on Saturday, October 26 from 10am until 2pm. A list of collection sites is available online at the DEA website, deadiversion.usdoj.gov, or citizens may inquire with their local police departments and sheriff’s offices. The DEA also may be contacted toll-free by calling 1-800-882-9539.
Prescription drugs that languish in medicine cabinets create a public health and safety concern because they are highly susceptible to misuse and abuse. Rates of prescription drug abuse in the U.S. are alarmingly high; almost twice as many Americans (6.8 million) currently abuse prescription drugs than the number of those abusing cocaine, hallucinogens, heroin, and inhalants combined, according to the 2012 National Survey on Drug Use and Health. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. Further, studies show that more Americans die from drug overdoses than in car crashes and that opioid pain relievers are responsible for more overdose deaths than cocaine and heroin combined.
Clearly, this is an enormous problem for our youth as well our adult citizens. Keeping prescription drugs after they are no longer needed may entice a teen to try the drug. However, if you safely dispose of your medicine, you will keep it away from teens or others that may abuse the drugs. The Alabama Department of Public Health has cited prescription drug abuse as an emerging public health issue and the nation’s fastest-growing drug problem.
In addition to concerns of potential abuse or overdose, it also is important environmentally that medicines be disposed in a proper manner rather than simply being thrown into garbage, flushed away, or poured down drains, as they could contaminate water supplies and cause an environmental hazard. Also, expired drugs may have lost their effectiveness and therefore no longer be a safe and adequate treatment for the conditions for which they were prescribed.
“This drug Take-Back day allows us to rid our medicine cabinets of these potentially lethal drugs,” stated U.S. Attorney Beck. “We ask all of our citizens to use this day to help make their homes a safer place for their family and friends.”
“Take-Back is an important step in ridding our country of lethal, illegal drugs,” stated DEA Assistant Special Agent in Charge Clay Morris. “When the results of the six prior Take-Back Days were combined, the DEA, and its state, local, and tribal law-enforcement and community partners have removed over 1.5 million pounds (774 tons) of medication from circulation. This speaks volumes about the need to develop a convenient way to rid homes of unwanted or expired prescription drugs. Until such laws are passed, Law Enforcement is the only entity citizens can legally and safely dispose of these drugs.”
Each collection site will be supervised by a law enforcement officer due to the involvement of controlled substances.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Montgomery Man Sentenced for Club ShootingRead the Press Release
Montgomery, Alabama - On September 23, 2013, Timothy Cortez Robinson, 26, of Montgomery was sentenced to more than 3 years for the possession of a firearm during a shooting at the Rose Supper Club on December 3, 2012.
United States District Court Judge Mark E. Fuller sentenced Robinson to 37 months in the Bureau of Prisons, 3 years of Supervised Release, and a $100 court assessment fee.
Robinson pled guilty on June 18, 2013, and agreed that in the early morning hours of December 3, 2012, he got into a gunfight with another man at the Rose Supper Club on Highland Avenue, after a verbal altercation. Robinson further agreed that at the time he did pull the Glock .45 he was carrying on his hip and exchanged gunfire inside the club. Robinson had previously been convicted of a felony and was not permitted to possess a firearm.
The case was investigated by Bureau of Alcohol, Tobacco, and Firearms, and the Montgomery Police Department. The case was prosecuted by Assistant United States Attorneys Susan R. Redmond and Brandon Essig.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Man Indicted for Mutli-Year Stolen Identity Refund Fraud ConspiracyRead the Press Release
Montgomery, Alabama - A federal grand jury returned an indictment charging Nakia Jackson with conspiracy to file false tax returns, theft of public funds, and aggravated identity theft, announced Assistant Attorney General Kathryn Keneally of the Justice Department's Tax Division and U.S. Attorney for the Middle District of Alabama George L. Beck Jr.
According to the indictment, between January 2009 and March 2011, Jackson conspired with several individuals to file false tax returns using stolen identities. Jackson obtained many of the stolen identities from a state employee. He used those identities to file false tax returns and directed the tax refunds to several bank accounts. Jackson recruited individuals to open up bank accounts to receive the false refunds and directed them to withdrawal the false refund money. To assist in his conspiracy, Jackson recruited a bank teller to facilitate to deposit and withdrawal of the fraudulent tax refunds.
An indictment merely alleges that crimes have been committed and the defendant is presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Jackson faces a maximum potential sentence of 10 years in prison for the charge of conspiracy to defraud the United States and for each of the theft of government money counts, and a mandatory 2-year sentence for the aggravated identity theft counts. He is also subject to forfeiture, fines and mandatory restitution if convicted.
This case was investigated by special agents of IRS - Criminal Investigation. Trial Attorneys Charles M. Edgar, Jr. and Michael Boteler of the Justice Department’s Tax Division are prosecuting the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Assistant U.S. Attorney from the Middle District of Alabama Receives Attorney General’s AwardRead the Press Release
Montgomery, Alabama - The Justice Department awarded Assistant U. S. Attorney Todd A. Brown the Attorney General’s Award for Fraud Prevention announced George L. Beck, Jr., United States Attorney for the Middle District of Alabama. This award recognizes exceptional dedication and effort to prevent, investigate, and prosecute fraud, white collar crimes, and official corruption.
“I am very pleased that the extraordinary success of AUSA Brown and his team are receiving the recognition they truly deserve,” stated U.S. Attorney George Beck, “I believe it is essential that these type of crimes be vigorously prosecuted and that taxpayer funds be swiftly recovered when individuals attempt to profit illegally from the hard work and sacrifice of others.”
This year’s award is presented to the investigation and prosecution team members who were responsible for combating the growing epidemic of identity theft, tax fraud, and white collar crimes in the Middle District of Alabama. According to the Federal Trade Commission, in 2011, the number of identity theft complaints from the Montgomery area ranked second in the entire nation, trailing only Miami. However, thanks in great part to the efforts of AUSA Brown and his team, in 2012 Montgomery fell several spots to number 16 on the list.
“This is not an individual award,” states AUSA Todd Brown, “quite the contrary, this award recognizes the tremendous work performed not only by our office, but also the DOJ Tax Division, and very dedicated law enforcement agencies, especially the IRS. Victims of identity theft and tax fraud should be extremely pleased with the tireless efforts of the agents assigned to combat these crimes in the Middle District of Alabama.”
Other award recipients from the team include Assistant Chief Larry J. Wszalek, and Trial Attorneys Michael C. Boteler, Charles M. Edgar, Jr., Justin K. Gelfand, and Jason H. Poole, all from the Department of Justice’s Tax Division.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Montgomery Man Pleads Guilty to Cashing Fraudlent Tax Refund ChecksRead the Press Release
Montgomery, Alabama - David Lee Haigler, of Montgomery, Ala., pleaded guilty in U.S. District Court for the Middle District of Alabama yesterday to one count of theft of public funds and to one count of passing U.S. Treasury checks with forged endorsements, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
According to court documents, between November 2011 and July 2012, Haigler obtained 263 fraudulent U.S. Treasury refund checks and refund anticipation loan checks totaling $606,781.34. The refund checks were in the names of different individuals who had not authorized Haigler to cash them. Haigler cashed the refund checks at a store in Millbrook, Ala., by providing the store with copies of fictitious powers of attorney in the names of the individuals on the checks.
For his involvement in the scheme, Haigler faces a maximum potential sentence of 20 years in jail and a fine of up to $500,000.
Trial Attorneys Jason Poole and Michael Boteler of the Justice Department’s Tax Division and Assistant U.S. Attorney Todd Brown are prosecuting the case. Special Agents of IRS - Criminal Investigation and the U.S. Secret Service conducted the investigation.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Montgomery Woman Sentenced to Jail for Role in Identity Theft Tax SchemeRead the Press Release
Montgomery, Alabama - Angelique Djonret of Montgomery, Ala., was sentenced today to serve two years in prison for her involvement in a million dollar identity theft tax fraud scheme, announced George L. Beck, U.S. Attorney for the Middle District of Alabama. Angelique Djonret pleaded guilty to identity theft on April 19, 2013.
According to court documents, between October 2009 and April 2012, Angelique Djonret’s sister, Antoinette Djonret, orchestrated a tax refund scheme using stolen identities to file over 1,000 false tax returns that fraudulently claimed over $1.7 million in tax refunds. Antoinette Djonret obtained stolen identities from multiple sources, including Alabama state databases. She also established an elaborate network for laundering the refund money. Antoinette Djonret recruited her sister, Angelique, into the conspiracy, whose role was to obtain prepaid debit cards in her name and others’ names for the purpose of receiving the fraudulent tax refunds. Antoinette Djonret and her co-conspirators used the cards to obtain the refund proceeds. Angelique Djonret also assisted in the filing of false tax returns using stolen identities. Angelique Djonret’s sister, Antoinette, was previously sentenced to 12 years in prison for her part in this scheme.
This case was investigated by Special Agents of Internal Revenue Service - Criminal Investigation Division and prosecuted by Tax Division Trial Attorneys Jason H. Poole and Michael Boteler, and Assistant U.S. Attorney Todd Brown.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Two Arrested in the River Region for Stealing Credit and Debit Card Numbers from Restaurant PatronsRead the Press Release
Montgomery, Alabama - Andre Willis, age 35, of Montgomery, Alabama and Kenmore Strother, age 26, of Prattville, Alabama were arrested for their involvement in a conspiracy to fraudulently use credit and debit card numbers announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Andre Willis and Kemore Strother’s arrests came after a federal grand jury indicted them on various charges, including conspiracy, access device fraud, and aggravated identity theft.
According to the indictment, Kenmore Stother was employed at Olive Garden in Prattville. Andre Willis gave Strother a credit card skimming device which is designed to read and store credit and debit account numbers from cards that are swiped through the machine. Stother used the skimming device to swipe credit and debit card numbers of Olive Garden customers and then gave the device to back Willis who used some of the account numbers to purchase items at area businesses.
An indictment merely alleges that crimes have been committed and the defendants are presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, each of the Defendants face a maximum potential sentence of 5 years in prison for the conspiracy charge, 10 years for an access device fraud charge, and a mandatory two-year sentence for the aggravated identity theft charge. Additionally, Strother faces a potential sentence of 15 years on a second access device fraud charge. Willis and Strother will also be subject to fines and mandatory restitution if convicted.
This case was investigated by special agents of the United States Secret Service as well as the Prattville Police Department. Assistant United States Attorney Kevin Davidson is prosecuting the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617High Stakes Dog Fighters and Gamblers Arrested 367 Fighting Pit Bulls SeizedRead the Press Release
Montgomery, Alabama - On Friday, August 23, 2013, the following people were arrested after being indicted for violations of the federal dog fighting statute and the federal gambling statute:
- Donnie Anderson—48 years old, of Auburn, Alabama
- Demontt Allen—37 years old, of Houston, Texas
- William Antone Edwards—42 years old, of Brantley, Alabama
- William Oneil Edwards—39 years old, of Elba, Alabama
- Robin Stinson—40 years old, of Elba, Alabama
- Michael Martin—54 years old, of Auburn, Alabama
- Lawrence Watford—35 years old, of Adel, Georgia
- Ricky Van Le—24 years old, of Biloxi, Mississippi
- David Sellers—52 years old, of Opelika, Alabama
- Sandy Brown—47 years old, Brownsville, Alabama
The 30 count federal indictment charges that between 2009 and 2013 the above individuals conspired to promote and sponsor dog fights, and conspired to possess, buy, sell, transport and deliver dogs that were involved in dog fighting. The indictment further charges individual defendants with promoting or sponsoring a dog fight and with possessing, buying, selling, transporting and delivering a dog for fighting purposes. Lastly, these defendants were charged with conducting an illegal gambling business.
On Friday, August 23, 2013, agents executed 13 search warrants, 11 in Alabama and two in Georgia. Agents seized 367 pit bull terriers that appeared as if they had been fought multiple times, guns, illegal narcotics, drugs used to treat and train dogs, and other evidence indicative of dog fighting. During the course of this investigation, agents also seized over $500,000 from dog fighters involved in this organization.
The U.S. Attorney’s Office, Auburn Police Division and the Federal Bureau of Investigation requested the assistance of the American Society for the Prevention of Cruelty to Animals and the Humane Society of the United States to help investigate the dog fighting and take custody of the dogs seized.
“These defendants were betting between $5,000 and $200,000 on one dog fight,” stated U.S. Attorney George L. Beck, Jr. “The number of dogs seized and the amount of money involved in this in case shows how extensive this underworld of dog fighting is. These dog fighters abuse, starve and kill their dogs for the supposed ‘fun’ of watching and gambling on a dog fight. Their behavior is deplorable, will not be tolerated, and will be punished to the full extent of the law.”
“The sheer number of dogs seized speaks volumes as to the inhumane and violent abuse of animals associated with the illegal practices of drug activity afflicting our communities,” stated Stephen Richardson, FBI Special Agent in Charge, Mobile Division.
“This is a great example of federal, state, and local agencies working together to make communities safer,” stated Paul Register, Auburn Police Division Chief. “It is not just about the egregious act of dog fighting itself, but the other criminal activity that is affiliated with it. It is important that local law enforcement, such as the Auburn Police Division, work together with other agencies to address crimes that affect the entire country.”
“We are committing to eradicating dog fighting in every dark corner where it festers,” said Wayne Pacelle, president and CEO of The HSUS. “This series of raids reminds every dogfighter that they are not beyond the law and their day of reckoning will come.”
“Today we ended the torture of hundreds of abused and neglected dogs,” said Matt Bershadker, president and CEO of the ASPCA. “Never again will these dogs be forced to fight, live in squalor, or be neglected and deprived of the bare necessities. The ASPCA is extremely grateful to federal and local authorities who pursued this widespread investigation for so long, and we are happy to lend our assistance.”
An indictment merely alleges that crimes have been committed and the defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendants face a maximum sentence of five years for conspiracy to fight dogs, a five year maximum sentence on each of the 15 dog fighting counts, a five year maximum for conducting a gambling business, and five year maximum on the 13 counts of using the telephone to promote gambling. The defendants are also subject to fines and a period of supervised release if convicted.
The case was investigated by the Auburn Police Division and the Federal Bureau of Investigation, with assistance from the Alabama Alcoholic Beverage Control Board; the Coffee County Sheriff’s Office; Alabama State Troopers; the Lee County District Attorney’s Office; the Alabama Department of Public Safety; Bainbridge, Georgia Department of Public Safety; Georgia Bureau of Investigation, Echols County Sheriff’s Office, the United States Marshals Service; the Lee County Sheriff’s Office; the Houston County Sheriff’s Office; the Opelika Police Department; the Georgia Highway Patrol; the Georgia Bureau of Investigation; the Mississippi Bureau of Investigation; the Pensacola, Florida and Columbus, Georgia offices of the Drug Enforcement Administration; and Taylor Crossing Animal Hospital. Assistant United States Attorney Clark Morris is prosecuting the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Media AdvisoryRead the Press Release
Montgomery, Alabama - George L. Beck, Jr., United States Attorney for the Middle District of Alabama, Stephen Richardson, Special Agent in Charge of Mobile Division of the Federal Bureau of Investigation, and Paul Register, Chief of Police for the Auburn Police Division will hold a press conference to announce the indictment, arrest and dismantlement of a high stakes dog fighting and gambling organization. Press releases and other handouts will be provided at the conference. The press conference will be held on Monday, August 26, 2013, at 10:30 a.m., at the U.S. Attorney’s Office, 131 Clayton Street, Montgomery, Alabama, and the media is invited.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Convicted Sex Offender from Tallapoosa County Sentenced to Thirty Months in Federal Prison and Five Years of Supervision for Failing to RegisterRead the Press Release
Montgomery, Alabama - Jimmy Jones, a resident of Tallapoosa County, Alabama, was sentenced to thirty months in federal prison after a felony conviction for failing to register as a sex offender, United States Attorney George L. Beck, Jr., announced today.
A federal grand jury indicted Jones in March 2013, for failing to register and update a registration as required by the Sex Offender Registration and Notification Act after he relocated to a new jurisdiction. According to court documents, Jones was convicted of one count of attempted rape third degree in New York in 2002. Due to this conviction, Jones was designated a sexually violent offender and is required to register as a sex offender. The last time Jones registered in New York was on November 21, 2011. Jones pleaded guilty in May 2013 and he admitted that in August 2012 he traveled from New York to Alabama. Jones further admitted that, after relocating to Alabama, he knowingly failed to register as a sex offender in Alabama.
United States District Judge Myron H. Thompson sentenced Jones to thirty (30) months in federal prison to be followed by five (5) years of supervised release. Jones remains in the custody of the United States Marshals Service pending placement by the Bureau of Prisons.
This case was investigated jointly by the United States Marshals Service, the Alexander City Police Department, and the Tallapoosa County Sheriff’s Office. Assistant United States Attorney Jerusha T. Adams prosecuted the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama State Employee Sentenced to Federal Prison for Stolen Identity Refund FraudRead the Press Release
Montgomery, Alabama - Chequlia Motley of Montgomery, Ala., was sentenced to 36 months in federal prison yesterday for conspiracy and aggravated identity theft, Assistant Attorney General Kathryn Keneally of the Justice Department’s Tax Division and U.S. Attorney for the Middle District of Alabama George L. Beck, Jr., announced. Motley had previously pleaded guilty to those charges in May.
According to Motley’s plea agreement, she was a former state employee who stole identities from state databases and sold them to co-conspirators. As the sentencing hearing showed, Motley had previously worked for the Alabama State Employees’ Insurance Board and stole the personal information of over 100 state workers and their family members from the databases maintained by the Board. She provided this information to Veronica Temple, Yolanda Moses, and Barbara Murry, who used the stolen identities to file false tax returns that fraudulently requested tax refunds from the IRS. Temple, Moses, and Murry were previously convicted and each sentenced to 57 months in prison in February.
In addition to the sentence of imprisonment, Motley was ordered to pay $179,946 in restitution to the Internal Revenue Service.
The case was investigated by agents of the IRS - Criminal Investigation. Trial Attorneys Michael Boteler and Jason Poole of the Justice Department’s Tax Division prosecuted the case, with the assistance of the U.S. Attorney’s Office for the Middle District of Alabama and, in particular, Assistant United States Attorney Todd Brown.
Additional information about the Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Alabama Defendant Who Received Fraudulent Federal Refunds into His Bank Account Receives Two Years in Federal PrisonRead the Press Release
Montgomery, Alabama - Anton Miles was sentenced today to two years in federal prison for his involvement in a stolen identity refund fraud scheme, United States Attorney George L. Beck, Jr., and the Internal Revenue Service (IRS) announced. On May 9, 2013, Miles pleaded guilty to one count of theft of government funds.
According to court documents, in January 2012, Miles opened a bank account under his name d/b/a A and M Mobile Car Wash. Between January 2012 and March 2013, approximately 120 false federal income tax refunds that claimed approximately $164,526 were directed to Defendant’s bank account. The Defendant withdrew the fraudulent proceeds deposited into his bank account. The tax refunds were generated through the filing of false tax returns that used stolen identities.
The case was investigated by Special Agents of the IRS - Criminal Investigation. Trial attorneys Michael Boteler and Charles Edgar, Jr. of the United States Department of Justice, Tax Division, and Assistant United States Attorney Todd Brown, prosecuted the case.
Additional information about the Justice Department's Tax Division and its enforcement efforts may be found at justice.gov/tax.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Phenix City Man Sentenced for Drug Trafficking and Weapons PossessionRead the Press Release
Montgomery, Alabama - Shedrick D. Hollis, 40, of Phenix City, was sentenced yesterday to 35 years in prison for drug trafficking and weapons possession charges, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama.
On March 14, 2013, Hollis was convicted of possession with the intent to distribute cocaine powder, crack cocaine, BZP (a club drug similar to Ecstasy) and marijuana, and of possession of firearms in furtherance of his drug trafficking activity. United States District Judge W. Keith Watkins sentenced Hollis to a term of 30 years in prison for his conviction of possession with intent to distribute cocaine powder, crack cocaine, BZP and marijuana. Judge Watkins further ordered that Hollis be imprisoned for an additional 5 years imprisonment for possession of firearms in furtherance of his drug trafficking activity.
Testimony at trial established that in late February, 2011, the United States Marshal’s Gulf Coast Regional Fugitive Task Force (GCRFT) received a request to assist in locating and arresting Hollis for violations of his parole out of Georgia. Law enforcement learned that Hollis was in a rented vehicle which was located at a residence in Phenix City, Alabama. On March 1, 2011, the GCRFT went to the residence, saw the rented car, identified themselves as law enforcement, and knocked on the door. Officers saw Hollis through a window beside the front door and ordered Hollis to open the door. When Hollis did not open the door, the front door of the residence was breached and Hollis was arrested.
After the arrest, officers conducted a protective sweep of the residence to insure that no one else was present in the house to endanger the officers’ safety. During the protective sweep, officers located a loaded shotgun and rifle, as well as a plastic bag containing a large amount of marijuana and scales. Officers then obtained a search warrant in order to conduct a complete search of the residence. During the search, officers located a large amount of cocaine powder, bags of crack cocaine, bags of pills which were later determined to be BZP, bags of marijuana, scales containing cocaine and marijuana residue, and $5,000 in cash.
“This sentence shows that drugs dealers who spread their poison to members of this community will be severely punished,” stated U.S. Attorney Beck. “My office will continue to do all we can under the law to rid our communities of these toxic substances. Also, when you combine drug dealing with firearms, you get a particularly dangerous situation that we will continue to work tirelessly to stop.”
“The combined efforts of law enforcement agencies and the United States Attorney’s Office in the Middle District of Alabama have removed an armed drug trafficker from our community,” stated Clay Morris, Assistant Special Agent in Charge of the Drug Enforcement Administration for Alabama. “This investigation and subsequent sentencing of Hollis will send a clear message to the criminal elements that your actions will not be tolerated.”
The case was investigated by the Drug Enforcement Administration, and the Metro Narcotics Task Force, with the aid of the Russell County Sheriff’s Department, the Phenix City Police, the United States Marshal’s Service and the Gulf Coast Regional Fugitive Task Force.
The case was prosecuted by Assistant United States Attorneys Susan R. Redmond and Jared Morris.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Dothan Man Sentenced to 90 Months for Securities Fraud SchemeRead the Press Release
Montgomery, Alabama - Montgomery, Alabama - Edward Lincoln Forehand, age 68, of Dothan, Alabama, was sentenced today to 90 months on his convictions for securities fraud, mail fraud, wire fraud, and money laundering, announced the U.S. Attorney’s Office for the Middle District of Alabama and the Alabama Securities Commission (ASC).
Between 2006 and November 2009, Forehand, used the business name “USA Marketing,” to solicit investments from people, mainly in South Alabama and the Florida Panhandle. Forehand told investors that he had a relationship with an individual, Vicky Yeager. Yeager had a business, Elite Marketing (“Elite”), which had agreements with colleges and universities to sell them cookware. Forehand solicited investments in Elite from his victims. He promised the victims extraordinarily high rates of return on their investment in Elite (up to 700%).
Rather than sending all of the investors’ money to Elite, Forehand used large amounts of the money to pay prior investors and to buy property and other items for himself. In particular, during the period from 2006 to November 2009, Forehand received $6.2 million from investors but only sent $1,605,790 to Elite. Meanwhile, Forehand promised to pay out to investors over $19 million.
Forehand also failed to disclose that in August 2009, six checks from Elite to USA Marketing totaling $600,000 bounced, that Elite never made good on the checks, and that from that point forward, Forehand stopped sending any investor money to Elite. Forehand also concealed Yeager’s true identity and the fact that Yeager had two prior criminal convictions for fraudulent conduct.
On November 10, 2009, Yeager died. After Yeager’s death, Forehand paid no further funds to investors, and 87 investors lost approximately $2,991,654 of the monies they had given Forehand to invest in Elite.
“The sentence today vindicates the victims who lost money due to Edward Forehand’s fraud. His 90-month term of imprisonment provides a necessary punishment for his role in orchestrating and carrying out a years-long, multimillion-dollar Ponzi scheme that caused significant losses to well over 100 individuals,” stated Louis V. Franklin, Criminal Chief at the U.S. Attorney’s Office.
Alabama Securities Commission Director Borg said, “We are very pleased with the sentence handed down by the Court today. We believe Judge Thompson sent a clear message to those people who are planning on or thinking about engaging in financial scams that such behavior will not be tolerated. We are proud to have been able to work with the U.S. Attorney for the Middle District of Alabama and the FBI to bring Forehand to justice.”
The case was investigated by Special Agents of the Alabama Securities Commission, the FBI and the Dothan Police Department with special help from the United States Marshal Service. The case was prosecuted by Special Assistant United States Attorneys Steve P. Feaga and Gregory M. Biggs of the Alabama Securities Commission, and Assistant United States Attorneys Jared Morris and Tommie B. Hardwick.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Self-Proclaimed Leader of Sovereign Citizen Group Sentenced to Federal Prison for Promoting Tax Fraud SchemeRead the Press Release
Montgomery, Alabama - The Justice Department, the Internal Revenue Service (IRS) and the FBI announced today that James Timothy Turner, also known as Tim Turner, was sentenced to serve 18 years in federal prison for conspiracy to defraud the United States, attempting to pay taxes with fictitious financial instruments, attempting to obstruct and impede the IRS, failing to file a 2009 federal income tax return and falsely testifying under oath in a bankruptcy proceeding.
In March 2013, following a five-day jury trial, Turner was convicted on 10 counts in the U.S. District Court for the Middle District of Alabama. Based on the evidence introduced at trial and in court filings, Turner, the self-proclaimed “president” of the sovereign citizen group Republic for the united States of America (RuSA), traveled the country in 2008 and 2009 conducting seminars teaching attendees how to defraud the IRS by preparing and submitting fictitious bonds to the U.S. government in payment of federal taxes, mortgages, and other debt. The evidence at trial revealed the bonds are fictitious and worthless but witnesses testified that Turner used special paper, financial terminology and elaborate borders in an effort to make them look authentic and more likely to succeed in defrauding the recipient. Turner was convicted of sending a $300 million fictitious bond in his own name and of aiding and abetting others in sending fifteen other fictitious bonds to the Treasury Department to pay taxes and other debts.
The evidence at trial also established that Turner taught people how to file retaliatory liens against government officials who interfered with the processing of fictitious bonds. Turner filed a purported $17.6 billion maritime lien in Montgomery County, Ala., Probate Court against another individual. This investigation began after Turner and three other self-proclaimed “Guardian Elders” sent demands to all 50 governors in the United States in March 2010 ordering each governor to resign within three days to be replaced by a “sovereign” leader or be “removed.” The FBI immediately began investigating Turner and IRS- Criminal Investigation (IRS-CI) joined the investigation soon thereafter.
“This lengthy prison sentence shows that tax defiers like Turner who use bogus tax schemes and file retaliatory liens against government officials will be punished,” said Assistant Attorney General for the Justice Department’s Tax Division Kathryn Keneally. “The Justice Department will continue to work with law enforcement to investigate and prosecute those who attempt to defraud the government.”
“This sentence should send a message that if you attempt to use retaliatory tax liens and fraudulent tax schemes as weapons against the United States and its citizens you will be punished,” stated acting U.S. Attorney Sandra J. Stewart for the Middle District of Alabama. “We cannot and will not tolerate those who violate the law for financial gain. I would like to thank the law enforcement officers who worked vigilantly on this case to bring this criminal to justice.”
“Turner influenced others with his false ideology by aggressively promoting obstruction of the IRS,” stated Richard Weber, Chief, IRS-Criminal Investigation. “In truth, Turner’s own defiance of IRS and his attempts to lead others through the same labyrinth of lies and distortions led to his downfall as shown by the significant sentence he must now serve. Today’s sentence should also send a strong message to those who may follow in Turner’s footsteps and attempt to defy their tax obligations. The legality of our income tax laws has been challenged time and time again and the courts have consistently upheld them.”
“The FBI is committed to vigorously investigate individuals and groups who steal from the federal government for financial gain through schemes deigned to avoid payment on loans, taxes and other obligations owed the federal government,” stated Stephen Richardson, Special Agent in Charge of the FBI, Mobile Division.
In addition to prison time, Turner was ordered to pay $26,021 in restitution to the IRS and to serve a five year term of supervised release upon his release from prison.
This case was investigated by special agents of the FBI and IRS-CI, was prosecuted by Tax Division Trial Attorney Justin Gelfand and Middle District of Alabama Assistant U.S. Attorney Gray Borden.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Wetumpka Woman Pleads Guilty to Health Care FraudRead the Press Release
Montgomery, Alabama - LaShawn Denise Anthony, 42, of Wetumpka, entered a guilty plea today to one count of health care fraud, admitting that she and her business had falsely billed Alabama Medicaid, announced George L. Beck, Jr., U.S. Attorney for the Middle District of Alabama. Anthony had been scheduled to go to trial on July 22, 2013, on the indictment returned against her in December 2012.
The indictment filed against Anthony charged her with committing health care fraud through her business, Youth Enhancement and Family Services, Inc. Youth Enhancement and Family Services, Inc., was a non-profit corporation which provided psychotherapy services to students and families as part of the Medicaid Program in Alabama. The specific program was designed to provide counseling services to children with behavioral problems as well as give their families living skills training.
Specifically, Anthony admitted that she committed health care fraud by falsely billing claims as if a psychologist with a doctoral degree had actually provided services, when, in fact, the therapist who performed the service had only a master’s degree. Thus, Anthony submitted false claims and made false statements to the Medicaid Program which allowed her to make more money from Medicaid than she was legally owed.
“This case demonstrates the commitment of this office to fighting health care fraud in all its forms,” stated U.S. Attorney Beck. “This office will continue to investigate and prosecute health care fraud aggressively and thoroughly. I want to especially thank Attorney General Luther Strange and the agents in his Medicaid Fraud Control Division as well as the Program Integrity Division of Alabama Medicaid for their efforts in discovering this scheme. We expect this type of joint investigation to become a model of law enforcement cooperation among federal and state authorities.”
Attorney General Strange praised the cooperative efforts between his Medicaid Fraud Control Unit and the U.S. Attorney’s office in bringing Ms. Anthony to justice. “My office will continue to work collaboratively with the U.S. Attorney’s office in order to protect scarce public resources,” said Strange. “I look forward to future partnerships between the two offices to ensure any person who attempts to steal the taxpayers’ money will be held to account.”
Based on her guilty plea, Anthony faces a maximum punishment of 5 years in prison and a $250,000.00 fine, along with restitution to Alabama Medicaid in excess of $190,000.00. Sentencing before U.S. District Judge W. Keith Watkins has yet to be scheduled. Assistant U.S. Attorneys Bob Anderson and Denise Simpson are prosecuting the case.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617Former Alabama Corrections Officer Pleads Guilty in A Criminal Civil Rights Investigation of the Beating Death of an InmateRead the Press Release
Montgomery, Alabama - Montgomery, AL – The Justice Department announced today that Joseph Sanders, 32, a former corrections officer of the Alabama Department of Corrections, pleaded guilty to obstructing justice in an investigation into the beating death of former inmate Rocrast Mack.
On August 4, 2010, 24-year-old Rocrast Mack was beaten by several corrections officers at Ventress Correctional Facility in Clayton, Alabama. He was repeatedly struck by a baton in an office in the prison, and several minutes later he was assaulted again in the medical unit of the prison when an officer stomped on Mack’s head several times. Mack died the following day in a Montgomery, Ala., hospital. Following Mack’s death, Sanders lied to investigators from the Department of Corrections to cover up the fact that Mack was unjustly and brutally beaten.
Two weeks ago, on June 25, a federal jury convicted Michael Smith, a former lieutenant at Ventress, of civil rights and obstruction of justice violations regarding this incident. Scottie Glenn, another former corrections officer at Ventress, pleaded guilty on Nov.18, 2011, to one count of violating the civil rights of Mack for his role in the incident and to one count of conspiring with other corrections officers to cover up the beatings. Matthew Davidson, another former corrections officer, pleaded guilty on Jan. 15, 2013, to two civil rights violations and one count of conspiring with other officers to cover up the beatings.
Sentencing for all of the defendants is scheduled for September 23, 2013. Sanders faces a maximum potential penalty of 20 years in prison.
“Mr. Sanders, by his statements, attempted to conceal that Rocrast Mack’s brutal death was unjustly caused by the corrections officers to whose care he had been entrusted,” said Deputy Assistant Attorney General for the Civil Rights Division Roy L. Austin Jr. “Such actions have no place in our corrections system and the Department of Justice will continue to vigorously prosecute those who commit and cover up such crimes.”
“Correction officers have an incredibly difficult job. Most perform their job ethically, without abusing the inmates,” said U.S. Attorney for the Middle District of Alabama, George L. Beck, Jr. “However, these officers allowed a restrained man to be savagely beaten and stomped and then tried to cover it up. There is no excuse for such behavior. Hopefully, this plea will bring the Mack family some peace in knowing that no one is above the law.”
“This investigation represents the FBI’s unwavering commitment to protect all citizens from those who violate and abuse their positions of trust,” stated Stephen F. Richardson, FBI Special Agent in Charge, Mobile Division. “Public servants are bound by their oath to serve and protect our communities and any violation of a person’s civil rights will be met with severe consequences.”
This case was investigated by the Mobile, Ala., Division of the FBI, in partnership with the Alabama Bureau of Investigation, and was prosecuted by Trial Attorney Patricia Sumner of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Jerusha Adams of the U.S. Attorney’s Office for the Middle District of Alabama.
PRESS CONTACT: Clark Morris
Email: [email protected]
Telephone: (334) 551-1755
Fax: (334) 223-7617