District of Arizona
Press releases recorded for this federal judicial district.
Operator of Human Stash House Sentenced to 97 MonthsRead the Press Release
PHOENIX – On Oct. 21, 2013, Diego DeLeon Chavez, 26, of Mexico, was sentenced by U.S. District Judge G. Murray Snow to 97 months of incarceration and five years of supervised release. Chavez pleaded guilty on July 25, 2013, to conspiracy to harbor and transport illegal aliens, resulting in death, after two Guatemalan nationals whom Chavez’s operation was transporting were killed in a rollover crash.
During the month of July 2012, Chavez operated a human stash house in Phoenix where he harbored illegal aliens. Chavez coordinated the receipt of smuggling fees and the transportation of illegal aliens to other parts of the United States. The two victims died at the scene of the rollover crash from injuries they sustained when they were ejected from the vehicle. Thirteen illegal aliens inside the vehicle survived the crash, including the driver, Israel Velasquez, and his co-driver, who has not been identified. Velasquez, fled from the scene of the crash, but was apprehended by law enforcement four days later outside another human stash house in Phoenix. On July 25, 2013, Velasquez also pleaded guilty to conspiracy to harbor and transport illegal aliens, resulting in death, and is pending sentencing.
The investigation in this case was conducted by U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations and the Arizona Department of Public Safety’s Illegal Immigration Prevention Apprehension Co-op Team and Highway Patrol. The prosecution was handled by Kristen Brook and Lisa E. Jennis, Assistant U.S. Attorneys, District of Arizona, Phoenix.CASE NUMBER: CR-12-1503-GMS
RELEASE NUMBER: 2013-080_ChavezFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Mathon Principals Sentenced to Lengthy Prison Terms for Operating $166 Million Ponzi Scheme That Targeted Lds Church MembersRead the Press Release
PHOENIX – On Sept. 30, 2013, three defendants - Duane Hamblin Slade, 42, of Austin, Tex.; Guy Andrew Williams, 42, of Mesa, Ariz.; and Brent F. Williams, 66, of Mesa, Ariz. - were sentenced to lengthy prison terms by U.S. District Judge Jack Zouhary, a visiting judge from the Northern District of Ohio, for their roles in operating a $166 million Ponzi scheme that targeted members of their church. Slade was sentenced to 180 months (15 years), Guy Williams was sentenced to 150 months (12.5 years), and Brent Williams was sentenced to 90 months (7.5 years). In addition, Slade was also sentenced to a concurrent 15-year sentence for his participation in a separate fraud scheme, initiated after the cessation of the previous scheme, in which he solicited more money from fellow church members under false pretenses.
U.S. Attorney John Leonardo stated, “This case involves one of the largest, most sophisticated fraud schemes in Arizona history. The defendants bilked hundreds of victims into investing over $166 million into a Ponzi scheme over a period of several years. They preyed on the religious bonds they shared with many of their investors and siphoned millions of dollars out of Mathon through excessive fees and a complicated web of side deals involving companies they secretly owned or controlled. The stiff sentences imposed by Judge Zouhary appropriately hold the defendants accountable for their crimes and send a strong message to others who would engage in such misconduct.”
“Our agency hopes these lengthy prison sentences will deter others from defrauding unsuspecting investors in the future. This scheme serves as an unfortunate reminder that all investors should exercise extreme caution before trusting someone with their hard-earned money” said Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of Internal Revenue Service, Criminal Investigation.
“Postal Inspectors will continue to partner with fellow law enforcement agencies to bring to justice those who use the mail to perpetuate fraud,” said Terry Donnelly, Acting Phoenix Division Postal Inspector in Charge. “The United States Postal Inspection Service remains dedicated to our mission to enforce the laws that defend the nation’s mail system from illegal use and ensure public trust in the mail.”
FBI Special Agent in Charge Douglas G. Price, Phoenix Division stated, “When individuals take advantage and defraud legitimate investors for their own financial gain it erodes the public’s trust. The FBI and our law enforcement partners are committed to holding those accountable who intentionally defraud hard working Americans.”
Slade was convicted of both offenses via guilty plea in June 2013, and the Williamses were convicted following a two-week trial in June 2013. According to the evidence at trial, the defendants served as founders and/or officers of a group of Mesa, Arizona-based investment funds known as the “Mathon” entities, which collected more than $166 million in funds from investors from February 2002 until April 2005. The evidence at trial further showed that Mathon’s investors, the majority of whom were members of the Church of Jesus Christ of Latter-Day Saints and hailed from Arizona, Utah, and Nevada, were generally told that their money would be used to make short-term loans to third-party borrowers at a high interest rate and that Mathon had an extensive track record of making such loans. In fact, the defendants and their business partners ran Mathon as a Ponzi scheme - that is, by using the overwhelming majority of incoming money from new investors to pay back initial investors. The defendants and their business partners paid themselves extravagant salaries and bonuses exceeding $10 million and also used their investors’ money to make millions of dollars of “loans” to companies they secretly controlled.
The investigation in this case was conducted by the Federal Bureau of Investigation; the Internal Revenue Service, Criminal Investigation Division; the U.S. Postal Inspection Service; and the Securities Division of the Arizona Corporation Commission. The prosecution was handled by Assistant U.S. Attorneys Peter S. Sexton, Kevin M. Rapp, and Dominic Lanza.
CASE NUMBER: CR-09-1492-PHX-ROS
RELEASE NUMBER: 2013-079_Mathon_etal.For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
United States Attorney Identifies Operational Limitations During Government ShutdownRead the Press Release
PHOENIX - United States Attorney John S. Leonardo announced today that operations of the Office of the U.S. Attorney for the District of Arizona, all divisions – Tucson, Phoenix, Flagstaff and Yuma, are being affected by the partial shutdown in effect since midnight, October 1, 2013.
Most criminal litigation and related work will continue with limited interruption, as these activities are deemed essential to the safety of human life and the protection of property. The U. S. Attorney’s Office will continue to work closely with federal, state, and local law enforcement on criminal matters. However, because of the appropriation lapse and partial shutdown, much of the office’s staff working on civil litigation is being furloughed. Administrative and criminal support staff are also being furloughed. All civil litigation in which the office is involved will be curtailed or postponed to the extent possible without compromising public safety or the protection of property, and always subject to the direction of the federal courts.
Because of the effects of the appropriations lapse on activities of the U.S. Department of Justice, the U.S. Attorney’s Office will not be able to readily respond to media inquiries. Press releases will be limited to urgent matters involving public safety. The office’s website will not be actively during the shutdown. The district will continue to receive communications from the public via mail, email and/or telephone.
For additional information concerning the effects of the appropriations lapse and partial shutdown, visit www.justice.gov/jmd/publications/doj-contingency-plan.pdf or http://www.justice.gov/usao/az/.
RELEASE NUMBER: 2013-078_Shutdown
Real Estate Agent and Developer/loan Officer Both Sentenced to Prison for Mortgage FraudRead the Press Release
TUCSON, Ariz. – William Michael Naponelli, 69, and Bryan Atwood, 52, both from Tucson, Ariz., were sentenced to federal prison by U.S. District Court Judge Cindy K. Jorgenson for their role in a mortgage fraud scheme. Naponelli was sentenced to 24 months in prison on Sept. 23, 2013. Attwood was sentenced to 15 months in prison on Sept. 20, 2013. Naponelli previously pleaded guilty to the felony offenses of conspiracy to commit bank fraud and conspiracy to commit transactional money laundering on Dec. 20, 2012. Atwood previously pleaded guilty on Feb. 25, 2013, to conspiracy to commit wire fraud, also a felony.
As part of his guilty plea, Naponelli, a former real estate developer and loan officer, admitted his participation in a scheme to obtain various loans between July 2006 and May 2007. Naponelli and another co-conspirator real estate developer purchased several properties using various business entities with which they were associated. Thereafter, Naponelli and his fellow co-conspirator sold these properties to straw buyers.
As part of the loan approval process, Naponelli knowingly caused to be submitted documents with knowledge that they contained material false statements including representations that the borrowers would provide the down payment or cash to close the real estate transactions. After the fraudulently obtained loan proceeds were received, portions of these proceeds were wired or deposited into bank accounts controlled by Naponelli or another co-conspirator.
Atwood, who at the time of this conspiracy was a licensed real estate agent, admitted as part of his guilty plea that he obtained three properties through fraudulently obtained loans. He admitted that he knew that documents provided to the lenders on his behalf relating to these properties contained one or more material false representations.
The properties obtained as result of this mortgage fraud scheme went into foreclosure resulting in significant losses to the lenders. As part of Naponelli’s sentence, he was ordered to pay restitution totaling approximately $3.1 million dollars. Atwood was ordered to pay approximately $585,000.
Naponelli and Atwood are the third and fourth co-defendants to be sentenced in this case. Previously, co-defendants Walter Scott Fruit and Sandra Jackson were each sentenced to federal prison for their involvement in the conspiracy. Fruit, who was also a licensed real estate agent, received a 30 month prison sentence. Jackson, a former escrow agent, received six months in prison.
The investigation in this case was conducted by the Internal Revenue Service Criminal Investigation and the Federal Bureau of Investigation. The prosecution was handled by Jonathan B. Granoff, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-3046-TUC-CKJ
RELEASE NUMBER: 2013-077_Naponelli_AtwoodFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Two Phoenix Area Men Convicted in Prison Drug ConspiracyRead the Press Release
PHOENIX – Roman Borquez, 46, of Peoria, Ariz., and Ralph Moreno, 52, of Phoenix, Ariz., were found guilty by a federal jury of drug trafficking offenses including conspiracy to possess with intent to distribute methamphetamine. Borquez was also convicted of conspiring to distribute heroin. Moreno was also convicted of possessing firearm after having been convicted of a felony offense. The case was tried before U.S. District Court Judge Roslyn O. Silver from Sept. 4-18, 2013. The defendants are being held after trial and sentencing is set before Judge Silveron Dec. 16, 2013.
U.S. Attorney John S. Leonardo stated, “It remains a priority of the U.S. Attorney’s Office to prosecute dangerous drug traffickers, we will continue to investigate and prosecute these offenders in order to protect our community.”
The evidence at trial showed that in 2010, Borquez, a member of the Arizona Mexican Mafia prison gang, was serving time in federal prison when he conspired with others in Arizona to send heroin to him. Borquez’ associates hid the heroin inside two greeting cards that were intercepted at the prison where he was being housed.
The evidence further showed that Borquez, while in prison, arranged for the sale of methamphetamine with a Hawaii-based drug dealer. In 2011, a Phoenix-based FBI Violent Street Gang Task Force comprised of federal and state investigators infiltrated Borquez’ drug trafficking organization and seized three pounds of methamphetamine During a search of Moreno’s residence, agents discovered an AR-15 rifle, a .40 caliber handgun, a small amount of marijuana and over $75,000 in cash. Moreno was prohibited from possessing either weapon because of two prior felony convictions for drug trafficking.
A conviction for conspiracy to possess with intent to distribute methamphetamine carries a maximum penalty of life in prison, a $10,000,000 fine or both. A conviction for conspiracy to possess with intent to distribute a detectable amount of heroin carries a maximum penalty of 20 years in prison, a $1,000,000 fine or both. A conviction for felon in possession of a firearm carries a maximum penalty of 10 years in prison, a $250,000 fine or both.
The investigation in this case was conducted by the Federal Bureau of Investigation; Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Postal Inspection Service; Federal Bureau of Prisons; Arizona Department of Corrections; Phoenix Police Department; and Arizona Department of Public Safety. The prosecution is being handled by the U.S. Attorney’s Office, District of Arizona, Phoenix.
CASE NUMBER: CR 11-1865-PHX-ROS
RELEASE NUMBER: 2013-076_Borquez_etalFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Sacaton Man Sentenced to over 21 Years in Prison for MurderRead the Press Release
PHOENIX – On Sept. 19, 2013, Eddie Eugene Moreno, 33, of Sacaton, Ariz., a member of the Gila River Indian Community, was sentenced by U.S. District Judge David G. Campbell to 262 months in prison. Moreno pleaded guilty on April 9, 2013 to second degree murder
On Dec. 24, 2012, Moreno was at his mother’s residence on the Gila River Indian Community, as was the victim. For no apparent reason, Moreno followed the victim into a bedroom and stabbed him with a knife in the chest, just above his heart. The victim died from internal bleeding after his blood vessel had been severed.
The investigation in this case was conducted by the Gila River Police Department and the Federal Bureau of Investigation. The prosecution was handled by Raynette M. Logan, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-13-00039-PHX-DGC
RELEASE NUMBER: 2013-075_MorenoFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Corrupt Border Patrol Agent Sentenced to Five Years in PrisonRead the Press Release
PHOENIX – On Sept. 16, 2013, Border Patrol Agent Aaron Anaya, 26, of Yuma, Ariz., was sentenced by U.S. District Court Judge Roslyn O. Silverto 60 months in prison. Anaya pleaded guilty to possession of a firearm in furtherance of a drug trafficking offense on April 10, 2013.
“Stopping employee corruption is the OIG's highest priority,” said Paul Leonard, Special Agent in Charge of the Department of Homeland Security, Office of the Inspector General. “We have zero tolerance for those who violate their oath of office and the American public's trust.”
Douglas G. Price, FBI Special Agent in Charge, Phoenix Division, stated, “Whenever a law enforcement officer engages in illegal activity it erodes the public trust. The actions of a few tarnish the badge of those who protect us each day from harm’s way. Corruption by public officials at all levels is a top priority of the FBI and we remain committed to holding corrupt law enforcement officers accountable for their illegal actions.”
On the evening of Dec. 2, 2012, Anaya was driving a fully marked U.S. Border Patrol vehicle and was on duty in his capacity as a Border Patrol Agent patrolling the U.S. international boundary with Mexico. Anaya stopped along the fence line, exited his USBP vehicle and assisted three individuals on the Mexican side of the border in bringing large bales of marijuana over the fence and into the United States. A total of six bales were placed in the vehicle with a combined weight of 146.9 pounds.
That same evening, Anaya’s vehicle, with the marijuana bales inside, was stopped by law enforcement and Anaya was arrested. At the time of his arrest, Anaya was wearing a USBP- issued uniform and had his service-issued firearm secured in his holster. A USBP-owned automatic rifle was in the front passenger compartment of Anaya=s USBP vehicle as well. Anaya admitted at his change of plea proceeding that he would have utilized one or both of the firearms, if necessary, to protect himself and the marijuana from rival drug traffickers if rival drug traffickers had sought to steal the marijuana before he delivered it to its next destination.
The investigation in this case was conducted by the U.S. Department of Homeland Security, Office of the Inspector General, and the Federal Bureau of Investigation. The prosecution was handled by Howard D. Sukenic and Christina W. Covault, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-2056-PHX-ROS
RELEASE NUMBER: 2013-074_AnayaFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Tucson Man Sentenced to 18 Years for Child Pornography OffensesRead the Press Release
TUCSON, Ariz. – On Sept. 17, 2013, Billy Dewayne Mills, 34, of Tucson, Ariz., was sentenced to 18 years in prison, followed by a term of lifetime supervised release with stringent sex offender conditions, including registration as a sex offender. Mills pleaded guilty to knowing access of child pornography on March 7, 2013.
Mills was indicted by a federal grand jury for accessing child pornography after an investigation by Tucson Department of Homeland Security Agents revealed that Mills downloaded and shared child pornography by way of a peer-to-peer file-sharing program. Mills had previously been convicted in Missouri of possession of child pornography in 2008 and of first degree child molestation in 2000.This case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorney’s Offices and DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood coordinates federal, state, and local resources to better locate, apprehend and prosecute individuals, who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The investigation in this case was conducted by Department of Homeland Security – Immigration and Custom Enforcement (ICE) Agents in Tucson. The prosecution was handled by Carin C. Duryee, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-12-02467
RELEASE NUMBER: 2013-073_MillsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Gila River Tribal Member Sentenced to 18 Years for Second Degree MurderRead the Press Release
PHOENIX – On September 16, 2013, Charles Leo Thomas, 39, of Laveen, Ariz., an enrolled member of the Gila River Indian Community, was sentenced by U.S. District Judge G. Murray Snow to 18 years in federal prison, followed by a term of five years of supervised release. Thomas pleaded guilty to second degree murder on June 27, 2013.
According to court documents, on April 18, 2012, Thomas and two of his co-defendants, Manuel Bernell Moore and Delbert Monroe Thomas got into an altercation with the victim and struck the victim multiple times. Thomas grabbed a knife and stabbed the victim three times causing fatal injuries. Co-defendant Delbert Thomas was sentenced to 60 months in prison on August 12, 2013, after pleading guilty to accessory after the fact. Moore is awaiting trial.
The investigation in this case was conducted by the Gila River Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore and Dimitra H. Sampson, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1196-001-PHX-GMS
RELEASE NUMBER: 2013-072_ThomasFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
ATTACHED: Bashas’ Non-Prosecution Agreement (PDF)Read the Press Release
BASHAS’ INC. TO PAY RESTITUTION FOR MEAT MISLABELINGPHOENIX – John S. Leonardo, United States Attorney for the District of Arizona, announced today that Bashas’ Inc. (“Bashas’”), a family-owned Arizona corporation that operates more than 100 grocery stores in Arizona, California, and New Mexico, including the line of stores known as AJ’s Fine Foods (“AJ’s”), has agreed to execute a Non-Prosecution Agreement concerning meat mislabeling practices that occurred at certain AJ’s locations between January 2010 and February 2012.
Under the Non-Prosecution Agreement, Bashas’ has admitted, accepted, and acknowledged corporate responsibility for the misconduct of the employees who were responsible for the mislabeling practices and has voluntarily undertaken a variety of remedial measures – including disciplining and/or terminating culpable employees and adopting a comprehensive compliance program to be overseen by a Chief Compliance Officer – in an effort to prevent the misconduct from ever recurring. Bashas’ also has agreed to provide $1,472,487.20 (which represents the total sales generated from the sale of the misbranded meat) to the Tucson Community Food Bank, St. Mary’s Food Bank, United Food Bank, the Salvation Army, St. Vincent de Paul Food Bank, and the Association of Arizona Food Banks in order to provide complete restitution for the misconduct.
Between January 2010 and February 2012, Bashas’ operated 12 AJ’s locations in the Phoenix metropolitan area and an additional location in Tucson. During this time period, employees within the meat departments of some of these locations followed a practice of taking beef tenderloin steaks that had been graded as “Choice” under the USDA’s meat grading system, mislabeling those steaks as “Prime” (a higher grade), and then selling the mislabeled steaks to customers. Because “Prime” steak is usually more expensive than “Choice” steak – AJ’s typically sold “Prime” steak for $35.99/pound and sold “Choice” steak for $25.99/pound during the relevant time period – the result of these mislabeling practices was that customers were being overcharged. In addition, during the same time period, employees within the meat departments of some of these AJ’s locations also engaged in mislabeling practices concerning American-style “Kobe” ground beef, a special breed of beef that was typically sold for $5.99/pound. Specifically, these AJ’s locations followed a practice of adding trimmings from non-“Kobe” meat products (including “Choice” and “Prime” steaks, cuts of meat that typically sell for much more than $5.99/pound) to the “Kobe” ground beef mixture in an effort to improve the consistency of the grind. As result, the product being sold by these AJ’s locations as “Kobe” ground beef was not, in fact, composed solely of “Kobe” ground beef. In total, the offending AJ’s locations sold approximately 17,636 pounds of mislabeled “Prime” tenderloin steaks and 139,861 pounds of mislabeled “Kobe” ground beef to customers and generated $1,472,487.20 in total sales therefrom.
The United States Attorney’s Office’s decision to enter into the Non-Prosecution Agreement with Bashas’ was based on a careful consideration of the factors set out in the Department of Justice’s “Principles of Federal Prosecution of Business Organizations.” Of particular weight were Bashas’ full and ongoing cooperation with the investigation (which was conducted by the United States Department of Agriculture); Bashas’ willingness to accept full corporate responsibility for its employees who engaged in misconduct; Bashas’ willingness and agreement to undertake significant remedial measures to ensure that such misconduct will not recur; Bashas’ agreement to disgorge all of the sales it derived from its misconduct, in the form of restitution payments to area food banks; the absence of prior instances of misconduct associated with Bashas’; the absence of proof that Bashas’ upper management was aware of, or ratified, the misconduct; and the USDA’s conclusion that the misconduct did not create any public health risk.
The investigation in this case was conducted by the United States Department of Agriculture. The prosecution is being handled by Dominic Lanza and Peter Sexton, Assistant U.S. Attorneys, District of Arizona, Phoenix.
RELEASE NUMBER: 2013-071_Bashas
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Husband and Wife Sentenced to Five Years Each for Filing False Tax ReturnsRead the Press Release
PHOENIX – On Aug. 27, 2013, Shelia Young, 49, and Deane Young, 49, of Overgaard, Ariz., were each sentenced by U.S. District Judge David G. Campbell to five years of imprisonment for submitting false tax returns to the Internal Revenue Service. The Youngs were found guilty by a federal jury on Feb. 21, 2013, of conspiring to defraud the United States and submitting false claims for tax refunds.
Evidence at trial showed that the Youngs owned and operated Accurate Consulting LLC, an accounting and tax preparation business in Heber-Overgaard, Ariz. In addition to preparing lawful tax returns, the Youngs prepared and filed fraudulent tax returns on behalf of some of their clients that claimed false refunds ranging from $12,405 to $368,102 per return. In total, the Youngs filed 122 false returns claiming nearly $10 million in fraudulent refunds. To make the false claims appear legitimate, the Youngs filed tax forms with the IRS, including the Form 1099-OID, that reported false income and tax withholding for the clients. Evidence also showed that the Youngs lied to their clients, telling them that the refund claims were based on tax loopholes unknown to the general public. They also bolstered their credentials, falsely claiming over 86 years of combined experience and assuring their clients that a federal judge had approved the filing method.
“Tax fraud is an insult to all honest, taxpaying citizens in this country,” said U.S. Attorney John S. Leonardo. “Hopefully the sentences imposed will discourage others from engaging in similar conduct.”
“The Youngs stole money from the taxpayers of the United States through their fraudulent tax return scheme. In addition, their clients are now responsible for paying back the taxes, penalties, and interest associated with these bogus tax returns and potentially will be prosecuted,” said Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of Internal Revenue Service, Criminal Investigation. “Be wary of any tax return preparer who promises a refund that sounds too good to be true.”
The investigation in this case was conducted by the Internal Revenue Service, Criminal Investigation. The prosecution was handled by James R. Knapp and Michael T. Morrissey, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-10-8216-PCT-DGC
RELEASE NUMBER: 2013-070_Young_etal# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/Hualapai Nation Tribal Member Sentenced to Federal Prison for RobberyRead the Press Release
PHOENIX – On Aug. 26, 2013, Lance Buddy Jackson, 27, of Peach Springs, Ariz., and an enrolled member of the Hualapai Nation Indian Tribe, was sentenced by U.S. District Judge Stephen M. McNamee to 42 months in federal prison, followed by a term of three years of supervised release. Jackson pleaded guilty on June 4, 2013 to robbery.
According to court documents, on Oct. 8, 2012, Jackson entered the Hualapai Lodge after midnight wearing dark clothing and a ski mask. Jackson approached the victim, an employee of the Lodge, pulled out what appeared to be a black handgun, but was later determined to be a BB gun, and demanded money from the victim. Jackson was subsequently apprehended based on video surveillance of the robbery.
The investigation in this case was conducted by the Hualapai Nation Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-8260-PCT-PGR
RELEASE NUMBER: 2013-069_ (Jackson)For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Customs Officer Sentenced to 151 Months in Prison for Importing over 1,200 Pounds of Marijuana into the United States from MexicoRead the Press Release
TUCSON, Ariz. – On Aug. 19, 2013, Luis Carlos Vasquez, 33, of Douglas, Ariz. was sentenced by U.S. District Judge David C. Bury to 151 months imprisonment. Vasquez was found guilty by a federal jury on Feb. 14, 2013, of one count of conspiracy to possess with intent to distribute marijuana, one count of possession with intent to distribute marijuana, one count of conspiracy to import marijuana and one count of importation of marijuana, aid and abet
United States Attorney John Leonardo stated, “When law enforcement officers like Luis Vasquez conspire with others to violate the very laws they are sworn to enforce, it undermines public confidence in the entire criminal justice system. He is deserving of the harsh punishment he received as he has not only disgraced himself and betrayed the public trust placed in him, but he has insulted the vast majority of his fellow officers who strive every day to perform a difficult job with integrity, honesty and dedication.”
The evidence at trial showed that Vasquez used his position as an inspector at the Douglas Port of Entry to allow over 1,200 pounds of marijuana into the United States from Mexico. On at least two occasions, Vasquez, along with other members of the conspiracy, imported a large quantity of marijuana from Mexico into the United States through the Douglas Port of Entry. Vasquez’ role in the conspiracy was to use his position as a Customs Officer to allow pick-up trucks loaded with marijuana to cross the international border without inspection.
The investigation in this case was conducted by the Federal Bureau of Investigation, the Department of Homeland Security, Customs and Border Protection and Office of the Inspector General, and the Douglas Arizona Police Department. The prosecution was handled by James T. Lacey, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-02486-TUC-DCB
RELEASE NUMBER: 2013-068_VasquezFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Fort Mojave Man Pleaded Guilty to Second-degree Murder, Child Abuse, and AssaultRead the Press Release
PHOENIX, Ariz.–Matthew Smith, 31, of Mohave Valley, Ariz., pleaded guilty on Aug. 15, 2013 to Second-Degree Murder, Child Abuse, and Assault Resulting in Serious Bodily Injury, in federal district court in Phoenix. Sentencing is set before Judge Paul G. Rosenblatt on Nov. 4, 2013.
Between July 8, 2012 to July 11, 2012 on the Fort Mojave Indian reservation, Defendant Smith became angry with one of the minor children who lived in his home and he assaulted the child multiple times. The child died due to multiple blunt force traumas and other injuries. During the same period of time, Defendant also assaulted a second child who lived in the home and took the child to the bathroom, where the child remained behind a locked door for approximately two days without food or water. The second child was hospitalized for a significant period of time and survived, but sustained serious injuries. In investigating the death and assault of these two children, law enforcement officers observed a third child, who had a visibly distorted arm. It was determined that during the same July time period, Defendant assaulted the third child, who suffered a broken arm.
A conviction for Second-Degree Murder carries a minimum of 30 years in prison and a maximum penalty of life in prison, a $250,000 fine, or both. A conviction for Child Abuse carries a minimum of 10 years in prison, a maximum penalty of 24 years in prison, a $250,000 fine, or both. A conviction for Assault Resulting in Serious Bodily Injury carries a minimum of 10 years in prison and a maximum of life in prison.
The investigation preceding the indictment was conducted by the Federal Bureau
of Investigation and the Fort Mojave Police Department. The prosecution is being handled by Jennifer E. Green and Sharon K. Sexton, Assistant U.S. Attorneys, District of Arizona, Phoenix.CASE NUMBER: CR-12-8195-PCT-PGR
RELEASE NUMBER: 2013-067_SmithFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
U.S. Attorney John S. Leonardo Statement – “smart on Crime” InitiativeRead the Press Release
PHOENIX – U.S. Attorney John S. Leonardo offers the following statement concerning the U.S. Department of Justice’s “Smart on Crime” initiative announced this week:
“I fully support the Attorney General’s revised charging policy for drug offenders. It will allow us to save millions of dollars unnecessarily spent to incarcerate non-violent, low level drug offenders in overcrowded prisons and redirect those resources to the prosecution and imprisonment of high level, serious drug offenders with violent criminal histories who pose a real danger to the community. This is a common sense, positive reform that provides federal prosecutors and the courts with the discretion and the opportunity to better achieve justice while reducing costs and continuing to maintain public safety.”
RELEASE NUMBER: 2013-066_USA-SmartOnCrimeInitiative
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Colorado River Man Sentenced to 22 Years in Federal Prison for Second-degree MurderRead the Press Release
PHOENIX, Ariz. – On Aug. 14, 2013, Loren Kaysang Tahbo, 33, of Parker, Ariz., and a member of the Colorado River Indian Tribes, was sentenced by U.S. District Judge David G. Campbell to 265 months in prison, five years of supervised release, and restitution. Tahbo pleaded guilty on Jan. 23, 2013, to second-degree murder.
On Aug. 10, 2012, Tahbo stabbed and ultimately killed a man on the Colorado River Indian reservation. Tahbo left the scene of the murder, stole the victim’s car, crashed the car into a canal, and later fled on foot to a woman’s home where tribal police apprehended him.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Colorado River Indian Tribes Police Department. The prosecution was handled by Jennifer E. Green, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-01773-PHX-DGC
RELEASE NUMBER: 2013-065_TahboFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Drug Trafficking Organization Leader Sentenced to 40 Years in PrisonRead the Press Release
PHOENIX – On Aug. 12, 2013, Artemio Pena-Torrecillas, 26, of Culiacan, Sinaloa, Mexico, was sentenced by U.S. District Judge Susan R. Boltonto 40 years in prison. Pena-Torrecillas was found guilty by a federal jury on May 30, 2013, of conspiracy to possess with intent to distribute 500 grams or more of methamphetamine, conspiracy to commit money laundering, two counts of possession with intent to distribute methamphetamine, and two counts of possession of firearms in furtherance of a drug trafficking offense.
U.S. Attorney John S. Leonardo stated, “Through the efforts of a long-term investigation by federal and local law enforcement, a leader and other members of a drug trafficking organization have been removed from our community. Our neighborhoods are safer as a result of the removal of these drug dealers who possessed firearms to further their illegal enterprise.”
“Drugs and violence go hand in hand. This deadly combination must be met with combined law enforcement expertise at the local, state, county and federal levels,” said DEA Special Agent in Charge Doug Coleman. “DEA is committed to keeping violent drug traffickers off the streets and putting them where they belong—behind bars.”
Between January 2011 and April 2011, Pena-Torrecillas, along with Cruz Ortega-Ruano, led a Phoenix-based drug trafficking organization (DTO) responsible for the distribution of pound-quantities of exceptionally pure methamphetamine as well as the collection of narcotics proceeds. Law enforcement used sophisticated investigative techniques to dismantle the DTO resulting in a five-defendant indictment against members of the DTO. Pena-Torrecillas was responsible for obtaining pounds of methamphetamine from a source of supply, hiring drug couriers to drive vehicles equipped with sophisticated hidden compartments to transport the drugs, and distributing the drugs to customers. Other co-defendants including Gerardo Diarte-Lara, Francisco Torrecillas-Torres, and Juan Martin Tapia-Bernal assisted the DTO by acting as stash house operators and couriers. Through the investigation into this DTO, law enforcement seized approximately 12 pounds of methamphetamine, over $200,000 in narcotics proceeds, 60 firearms including assault rifles and handguns, high capacity firearm magazines, ammunition, and vehicles from the DTO at three separate stash houses operated by the organization.
In addition to Pena-Torrecillas, four co-defendants entered guilty pleas and were sentenced on Dec. 3, 2012, by U.S. District Judge Frederick J. Martone:- Cruz Ortega-Ruano, 32, of Mexico, was sentenced to 20 years in prison. He was responsible for coordinating the delivery of narcotics and collection of narcotics proceeds for the DTO.
- Gerardo Diarte-Lara, 28, of Mexico, was sentenced to 17.5 years in prison. He served as a trusted narcotics and narcotics proceeds courier for the organization.
- Francisco Torrecillas-Torres, 39, of Mexico, was sentenced to 10 years in prison for his role as a narcotics courier.
- Juan Martin Tapia-Bernal, 46, of Mexico, was sentenced to 23 years in prison. He was a stash house operator and courier for the DTO.
The investigation in this case was conducted by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms, and Explosives, Arizona Department of Public Safety, Mesa Police Department, Tempe Police Department, Navajo County Sheriff’s Office, and Pinal County Sheriff’s Office. The prosecution was handled by Jonell L. Lucca and John Z. Boyle, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-11-00731-PHX-SRB
RELEASE NUMBER: 2013-064_Pena-TorrecillasFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Real Estate Developer and Escrow Agent Sentenced to Prison for Mortgage FraudRead the Press Release
TUCSON, Ariz. – On Aug. 9, 2013, Walter Scott Fruit, 54 and Sandra Jackson, 48, both from Tucson, Ariz., were sentenced to federal prison by U.S. District Court Judge Cindy K. Jorgenson for their role in a mortgage fraud scheme. Fruit was sentenced to 30 months in prison; Jackson was sentenced to six months in prison. Fruit had previously pleaded guilty on Feb. 28, 2013, to charges of conspiracy to commit bank fraud and conspiracy to commit transactional money laundering, both felonies. Jackson had previously pleaded guilty on Feb. 27, 2013, to conspiracy to commit wire fraud, also a felony.
As part of his guilty plea, Fruit, a real estate agent and real estate developer, admitted his participation in a mortgage fraud scheme to obtain various loans between July 2006 and May 2007. Fruit and another co-conspirator, also a real estate developer, purchased several properties using various business entities with which they were associated. Thereafter, Fruit and his co-conspirator sold these properties to straw buyers. Fruit also admitted that he fraudulently inflated the true sales price of the properties.
As part of the loan approval process, Fruit knowingly caused to be submitted documents containing false statements representing that the borrowers would provide the down payment or cash to close the real estate transactions. Portions of the fraudulently obtained loan proceeds were wired or deposited into bank accounts controlled by Fruit or another co-conspirator.
Jackson, a former escrow agent, admitted as part of her guilty plea that she obtained three properties through fraudulently obtained loans and that she knew that documents provided to the lenders on her behalf relating to these properties contained one or more material false representations.
The properties obtained as result of this mortgage fraud scheme went into foreclosure resulting in significant losses to the lenders. As part of Fruit’s sentence, he was ordered to pay a restitution judgment totaling more than $2.5 million dollars. Jackson was ordered to pay approximately $480,000.
The investigation in this case was conducted by the Internal Revenue Service, Criminal Investigation and the Federal Bureau of Investigation. The prosecution was handled by Jonathan B. Granoff, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-3046-TUC-CKJ
RELEASE NUMBER: 2013-063_Fruit/JacksonFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Former Tucson Businessman Convicted of Possessing 24 Explosive DevicesRead the Press Release
TUCSON, Ariz. – On Aug, 9, 2013, a federal jury in Tucson found Todd Russell Fries, a.k.a. Todd Burns, 50, of Tucson, guilty of two counts of possession of unregistered explosive devices. The case was tried before U.S. District Judge Cindy K. Jorgenson. Sentencing is set for Oct. 18, 2013, before Judge Jorgenson. Fries is already serving a sentence of 151 months after being convicted last year of unlawful possession and use of a chemical weapon and providing false information to the FBI.
According to evidence presented at trial, federal agents executed a search warrant at Fries’ home in Tucson on May 13, 2011, in connection with the investigation related to the chemical weapon charges. Agents discovered 24 explosive devices, three containing added fragmentation, in a bedroom in the Fries residence. The chemical weapon charges stemmed from an incident that occurred on Aug. 2, 2009, when a chlorine chemical device was placed at the home of Fries’ former clients with whom he had a billing dispute. In that incident, the chlorine device produced a huge chlorine containing cloud that enveloped a neighborhood on the northwest side of Tucson and resulted in the evacuation of the neighborhood.
A conviction for unlawful possession of unregistered devices carries a maximum penalty of ten years in prison and not more than a $10,000 fine or both.
The investigation was conducted by the Federal Bureau of Investigation and the Pima County Sheriff’s Department. The prosecution was handled by Beverly K. Anderson, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-11-1751-TUC-CKJ
RELEASE NUMBER: 2013-062_FriesFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Whiteriver Man Found Guilty of Sexual AbuseRead the Press Release
PHOENIX– Christopher James, 37, of Whiteriver, Ariz., was found guilty by a federal jury on Aug. 2, 2013, of two counts of sexual abuse. The case was tried before U.S. District Judge Neil V. Wake beginning on July 30, 2013. The defendant is being held pending sentencing which is set for Nov. 4, 2013.
The evidence at trial showed that on Aug. 3, 2011, on the Fort Apache Indian Reservation, James sexually abused a victim who was physically incapable of communicating an unwillingness to participate in a sex act, as a result of a physical disability, as well as cognitive and developmental delay.
A conviction for sexual abuse carries a maximum penalty of life imprisonment, a $250,000 fine or both.
The investigation in this case was conducted by the Bureau of Indian Affairs. The prosecution was handled by Dimitra H. Sampson and Christina Reid-Moore, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-2011-8206-PCT-NVW
RELEASE NUMBER: 2013-061_JamesFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Judge Imposes Five-year Sentence for Role in Mortgage Foreclosure Rescue ScamRead the Press Release
PHOENIX – On Aug. 5, 2013, Frank Becerra Campos, 66, of San Diego, Calif., was sentenced by U.S. District Judge G. Murray Snow to five years imprisonment, followed by three years of supervised release, for his role in an advance-fee mortgage rescue scam that took place in Arizona and California.
Campos had previously pled guilty to conspiring with two others, Miguel Carrera and Oswaldo Esqueda, to defraud more than 250 distressed homeowners out of approximately $675,000 in up-front fees with false promises of mortgage modification assistance. Campos’ prison sentence was the maximum allowed by statute, and Campos was ordered to pay back the fees to the victims in the form of restitution.
FBI Special Agent in Charge Douglas G. Price, Phoenix Division, stated “Arizona has suffered greatly when the housing market collapsed. Campos conspired with others to defraud homeowners who were on the brink of foreclosure, promising them financial assistance to save their homes. What is most disturbing is that primarily Hispanic homeowners were the target of this mortgage fraud scheme. The FBI’s Mortgage Fraud Task Force and the United States Attorney’s Office are committed to combat mortgage fraud and hold those individuals accountable who prey on distressed homeowners.”
Campos, Carrera and Oswaldo operated under the business names Gold Capital Investments, LLC, and Foreclosure Home Savers, LLC, making false guarantees to mostly Spanish-speaking distressed homeowners that their mortgage principal balance and monthly payments would be reduced by 25%, and then failed to pursue any form of loan modification process on behalf of the homeowners.
When homes neared foreclosure, the homeowner was placed in bankruptcy proceedings to delay the foreclosure, but virtually all of the 250 or so victims ultimately lost their homes to foreclosure. Carrera and Oswaldo, both citizens of Mexico, fled from the charges and are believed to be in Mexico. Carrera is believed to be working in real estate under the name Mike Beltran.
The investigation in this case was conducted by the FBI and the prosecution was handled by Monica Klapper, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-01699-PHX-GMS
RELEASE NUMBER: 2013-060_CamposFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Tucson Man Sentenced to 135 Months for Defrauding over 1,600 PeopleRead the Press Release
TUCSON, Ariz. – On July 23, 2013, Anthony Mark Boscarino, 47, of Tucson, Ariz., was sentenced by U.S. District Judge Cindy K. Jorgenson to 135 months. Boscarino pleaded guilty January 23 and February 27, 2013 to 43 crimes including fraud, money laundering and tax evasion.
Boscarino was involved in multiple frauds using his internet sports handicapping site which operated under several names including Mike’s Lock Club. He solicited victims to invest in gambling junkets to Las Vegas, in an oil well project in Louisiana, in Collateralized Mortgage Obligations and several other scams. He was ordered to pay restitution of $6.5 million to the 1,685 victims of his fraudulent activity and $1.3 million in unpaid taxes for 2009. The court also ordered a $4.8 million money judgment against him and forfeited several of his cars and bank accounts.
The investigation in this case was conducted by Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigations Division. The prosecution was handled by Wallace H. Kleindienst and John R. Evans, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR- 10-01942-PCT-CKJ
RELEASE NUMBER: 2013-058_BoscarinoFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Campaign Worker and Policy Analyst for the Arizona House of Representatives Found Guilty of Wire FraudRead the Press Release
PHOENIX – John Rowland Mills, 49, of Glendale, Ariz., a former policy analyst for the Arizona House of Representatives, was found guilty of nine counts of wire fraud by a federal jury in Phoenix. The case was tried before U.S. District Judge James A. Teilborg from July 9 through July 23, 2013. Sentencing is set before Judge Teilborgon Tuesday, Oct. 8, 2013.
“The theft and misuse of approximately $133,000 of campaign funds, consisting primarily of contributions from individuals, is a serious offense. My office stands ready to assist the people of Arizona in guaranteeing that campaign workers are not tempted to steal or misuse such funds in the future,” said John S. Leonardo, U.S. Attorney, District of Arizona.
FBI Special Agent in Charge Douglas G. Price, Phoenix Division, stated “Whenever an individual utilizes their position to defraud the public for their own personal gain by taking campaign contributions it tarnishes our political process. John Rowland Mills’ actions were fostered by greed. The voice of justice has spoken with a jury of his peers holding him accountable for defrauding the public. The FBI and the United States Attorney’s Office are committed to investigating and prosecuting those who choose to line their pockets with public funds.”
The evidence at trial showed that from December 2006 through January 2009, Mills embezzled approximately $133,000 from the James P. Weiers 2008 campaign account (which consisted primarily of contributions from individuals) and used the embezzled funds to make mortgage payments, to pay for personal items such as clothing, food, and credit card bills, and to make various investments, including investments via multiple E*Trade accounts. Mills also made a variety of false statements in an attempt to avoid detection, including forging the candidate’s signature on nine campaign account checks and filing six campaign finance reports with the Arizona Secretary of State that falsely overstated the amount of money in the campaign account. Finally, just before the 2008 election, Mills deposited money back into the campaign account in an attempt to avoid detection.
Each conviction for wire fraud carries a maximum penalty of 20 years, a maximum fine of $250,000, or both.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled by Frederick A. Battista, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1660-PHX-JAT (LOA)
RELEASE NUMBER: 2013-059_MillsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Peach Springs Man Sentenced to 15 Years in Prison for Sexual Abuse of A MinorRead the Press Release
PHOENIX – On July 22, 2013, Terry Harris Lee, 66, of Peach Springs, Ariz., an enrolled member of the Hualapai Nation Indian Tribe, was sentenced by U.S. District Judge David G. Campbell to 180 months in federal prison, followed by a term of lifetime supervised release. Lee pleaded guilty on May 2, 2013 to sexual abuse of a minor.
According to the plea agreement, on March 18, 2012, the 12 year old victim was having a sleepover with a friend at Lee’s residence located on the Hualapai Nation Indian Reservation. Lee entered the bedroom where the victim was staying, and sexually abused the victim.
The investigation in this case was conducted by the Hualapai Nation Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-8247-PCT-DGC
RELEASE NUMBER: 2013-057_LeeFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Federal Jury Convicts Tempe Designer Drug Maker/distributor on Federal Controlled Substance Analogue Enforcement Act ViolationsRead the Press Release
PHOENIX – On July 19, 2013, Michael Rocky Lane, 51, of Cave Creek, Arizona, was found guilty of conspiracy to manufacture and distribute controlled substance analogues and possession with the intent to distribute controlled substance analogues by a federal jury in Phoenix. The case was tried before U.S. District Judge David G. Campbell from June 25, 2013 through July 19, 2013. Sentencing is set before Judge Campbell on October 21, 2013.
“The manufacture and distribution of designer drugs, which are often mislabeled as innocuous household items and contain chemicals similar to scheduled drugs, are a tremendous problem in our community and across the United States. Individuals who manufacture and distribute these mislabeled designer drugs are responsible for products that have been linked to overdoses, deaths, and hallucinations. My office stands ready to enforce the Analogue Enforcement Act and combat this growing problem,” said John S. Leonardo, U.S. Attorney, District of Arizona.
“Friday’s verdict serves notice to those who are contemplating entering this emerging area of the illegal drug industry,” said DEA Special Agent in Charge Doug Coleman. This DEA-led investigation and trial brought to light the fact that controlled substance analogues are highly addictive stimulants and no different than cocaine or methamphetamine. The criminals behind the importation, distribution and selling of these drugs have scant regard for human life in their reckless pursuit of illicit profits.”
The evidence at trial showed that, beginning in early 2011, Michael Rocky Lane worked with Nicholas Pascal Zizzo at Consortium Distribution in Phoenix, Arizona. Consortium Distribution manufactured a designer drug called “Eight Ballz Bath Salts,” which contained a powerful stimulant MDPV. In October of 2011, the Drug Enforcement Administration (DEA) made MDPV a Schedule I controlled substance, and subsequently Lane worked to find a replacement chemical to use in a new designer drug, which was re-labeled as “Eight Ballz Ultra Premium Glass Cleaner.” “Eight Ballz” was never intended as a legitimate glass cleaner or bath salt, but was designed specifically to intoxicate users.
In the fall of 2011, Lane started his own designer drug manufacturing company in Tempe called Dynamic Distribution. There, Lane manufactured and distributed other mislabeled designer drugs including “Amped Lady Bug Attractant Exuberance Powder,” “White Water Rapid Lady Bug Attractant Exuberance Powder,” and “Snowman Glass Cleaner.” These products were neither legitimate glass cleaners nor insect attractants. Instead, they were all powerful stimulants, including APVP, APBP, MPPP, and Pentedrone, each of which contained substances similar to controlled scheduled drugs. Lane made nearly $8000 a day from domestic internet sales of these products to individual customers alone.
On July 25, 2012, DEA executed hundreds of search warrants at Consortioum, Dynamic and other locations across the country as part of “Operation Log Jam,” a nationwide, coordinated investigation led by the Department of Justice and DEA to combat the growing epidemic of designer drug manufacturing and distribution here in the United States. Other conspirators prosecuted in this investigation and who are awaiting sentencing include, Nicholas Pascal Zizzo of Phoenix; Benjamin Joshua Lowenstein of Phoenix, Arizona; Vincent Collura of New Jersey; David Titus of Phoenix; Andrew Scott Freeman of Minnesota; Clinton Strunk of Mesa; Scott Stone of Minnesota; and Daniel Pollock of Escondido, California.
A conviction for conspiracy to manufacture and distribute a controlled substance analogue carries a maximum penalty of 20 years, a $1,000,000.00 fine or both.
The investigation in this case was conducted by the Drug Enforcement Administration and was assisted by the Arizona Department of Public Safety, the Phoenix Police Department, and the Buckeye Police Department. The prosecution was handled by D. J. Pashayan and Theresa Rassas, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1419-PHX-DGC (LOA)
RELEASE NUMBER: 2013-056_LaneFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Camp Verde Man Sentenced to 15 Years for Violent AssaultRead the Press Release
PHOENIX, Ariz. – On July 17, 2013, Rosalio Perez Gutierrez, Jr., 26, of Camp Verde, Arizona, was sentenced by U.S. District Judge James A. Teilborg to 15 years imprisonment.
Gutierrez pleaded guilty on May 6, 2013 to the charge of Kidnapping, which involved an assault that occurred on March 26, 2012. After becoming angry during a domestic dispute, Gutierrez chased after another man who was walking down the street and wrestled him to the ground. While the victim was on the ground, Gutierrez held him down, pulled out a knife and began stabbing him multiple times in the head and arms. The victim sustained serious and life threatening injuries as a result of the assault. The kidnapping and related attack occurred on the Yavapai Apache Indian Reservation.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Yavapai Apache Police Department. The prosecution was handled by Dimitra H. Sampson, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-8190-PCT-JAT
RELEASE NUMBER: 2013-055_Gutierrez
# # #For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
San Luis Methamphetamine Trafficker Sentenced to 20 YearsRead the Press Release
PHOENIX – On July 8, 2013, Indalecio Castro-Ponce, 40, of San Luis, Ariz. was sentenced by U.S. District Judge Susan R. Boltonto 240 months imprisonment and a $3,000 fine. Castro-Ponce was found guilty by a federal jury on April 12, 2013, of one count of conspiracy to possess with intent to distribute methamphetamine and two counts of possession with intent to distribute methamphetamine
“We place a very high priority on the prosecution of those like Castro-Ponce who cause the ruin of so many lives by spreading the poison of methamphetamine in our communities,” said U.S. Attorney John S. Leonardo. “We will continue to do all that we can to hold such people accountable for their actions.”
“I commend the dedicated investigative work of HSI special agents and our law enforcement partners in Arizona and across the Western U.S.,” said Matt Allen, special agent in charge of ICE Homeland Security Investigations (HSI) Arizona. “Thanks to their efforts, this meth trafficker will spend 20 years in federal prison. This strong sentence should serve as a deterrent to those who would seek to profit by bringing dangerous, highly-addictive drugs into our neighborhoods.”
The evidence at trial showed that Castro-Ponce conspired with others, including his wife and teenaged son, to distribute methamphetamine on more than 20 occasions to various locations in the Southwestern United States, including Salt Lake City, Utah; Las Vegas, Nev.; Fresno, Calif.; Sunland, Calif.; and Moreno Valley, Calif. Following visits by Castro-Ponce, law enforcement seized more than three pounds of 96% pure “ice” methamphetamine from a location in Fresno, Calif., and more than seven pounds of methamphetamine from a location in Moreno Valley, Calif., along with more than $200,000 cash. Castro-Ponce, a first-time offender, received sentencing enhancements for having involved his minor children in his drug trafficking activities, being a leader and organizer of a drug trafficking organization, and obstructing justice by committing perjury under oath at trial.
The investigation in this case was conducted by U.S. Customs and Enforcement (ICE) Homeland Security Investigations (HSI) in Yuma, Ariz., with assistance from HSI-Fresno, HSI-Riverside County, HSI-Salt Lake City, HSI-Las Vegas, and HSI-Phoenix, the Drug Enforcement Administration, the Federal Bureau of Investigation, the LA-IMPACT Task Force, the INCA Task Force, and the Fresno County Sheriff’s Office. The prosecution was handled by Krissa Lanham and William Bryan, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1363-PHX-SRB
RELEASE NUMBER: 2013-054_ Castro-PonceFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Fort Mojave Man Sentenced to 63 Months in Federal Prison for Possessing Sawed-off ShotgunRead the Press Release
PHOENIX, Ariz. – On July 8, 2013, Joshua Samuel Jenkins, 33, of Mohave Valley, Ariz. and a member of the Fort Mojave Indian Tribe, was sentenced by U.S. District Judge David G. Campbell to 63 months in prison, three years of supervised release, and forfeiture of a firearm and ammunition. Jenkins pled guilty on May 28, 2013 to the offense of Felon in Possession of a Firearm. He had been previously convicted of four felony offenses, and in this incident possessed a sawed-off or shortened shotgun and ammunition.
The investigation in this case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Mojave Tribal Police Department. The prosecution was handled by Jennifer E. Green, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-13-8007-PCT-DGC
RELEASE NUMBER: 2013-053_JenkinsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Four Patagonia Drug Traffickers Sentenced to Serve A Combined Term of 32 Years in PrisonRead the Press Release
TUCSON, Ariz. – On July 1, 2013, Patagonia, Arizona residents Fabian Monge, 34, Isabel Monge-Sierras, 43, Mary Francis (Monge) Carlson, 32, and Frank Lopez, 49 were sentenced by U.S. District Judge Raner C. Collinsto serve terms of imprisonment of 12.5 years, 7 years, 5 years, and 7.5 years, respectively. After the conclusion of a three-week trial, on September 27, 2012, a federal jury found the defendants guilty of conspiring to possess with the intent to distribute over 1,000 kilograms of marijuana. Fabian Monge was additionally found guilty of two separate counts of aiding and abetting the possession with intent to distribute over 100 kilograms of marijuana. Frances Monge was acquitted at trial.
“This successful prosecution reflects our cooperation with our law enforcement partners in combating drug trafficking organizations that choose to operate in our smaller Arizona communities. These prison terms represent a significant blow to this organization and sends a message to those who work at all levels of such drug trafficking organizations that they will be held accountable,” said U.S. Attorney John S. Leonardo, “I want to thank the federal, state, and local law enforcement agencies for their team effort in this investigation.”
"For years, Fabian Monge operated a family run drug trafficking organization with impunity," said DEA Special Agent in Charge Doug Coleman. “Their sentencing is another example that DEA and its law enforcement partners will use every tool at our disposal to identify and bring to justice those individuals who think they will never have to pay the price for their illegal activity". From the kingpins to the street dealers our combined goal is to disrupt and dismantle drug trafficking organizations and put them out of service."
The trial testimony showed that the Monge family, from Patagonia, belonged to a family-run Drug Trafficking Organization (DTO) which was led by Fabian Monge and closely followed by his older sister Isabel Santos-Sierra (Monge). Their younger sister Mary Francis Carlson (Monge) also played a role in the DTO and Frank Lopez was one of the stash house operators for the organization. Witnesses testified that the Monge DTO have been smuggling marijuana from Mexico into the United States and transporting the bulk marijuana to Tucson and Phoenix since at least 2006. The Monge DTO was responsible for trafficking multi-ton quantities of marijuana from Patagonia until their arrests in 2010.
Collectively, this conspiracy investigation resulted in over 40 defendants charged in federal court in separate indictments comprising of coordinators, stash house operators, marijuana load drivers, and individuals who registered vehicles for the DTO. This investigation was a collaborative effort initiated by DEA-Nogales, U.S. Border Patrol-Sonoita, Cochise County Sheriff’s Office, the Sierra Vista Police Department, and the Patagonia Police Department. The prosecution was handled by Liza M. Granoff and Jeffrey D. Martino, Assistant U.S. Attorneys, District of Arizona, Tucson.
CASE NUMBER: CR-10-863-TUC-RCC
RELEASE NUMBER: 2013-052_MongeFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Financial Planner Sentenced to Prison for Investment Scheme That Targeted Elderly ClientsRead the Press Release
PHOENIX, Ariz. - Jay Kevin Perry, 38, of Phoenix, Ariz., was sentenced today by U.S. District Court Judge Paul G. Rosenblatt to 44 months in prison for engaging in a bankruptcy fraud scheme that targeted elderly investors. Another hearing before Judge Rosenblatt, to resolve the nearly $1 million in restitution claims filed against Perry, is currently scheduled for August 6, 2013.
"Unfortunately, the problem of investment scams targeting the elderly has become rampant,” said John S. Leonardo, United States Attorney. “This case sends a strong message that the United States Attorney’s Office, the United States Secret Service, and the FBI are committed to the investigation and prosecution of investment managers who defraud the most vulnerable members of our community. The fact that some of the victims of this scheme were infirm, in their 90s, and lost their life savings makes this defendant particularly deserving of a prison sentence."
Perry defrauded elderly estate-planning clients, many of whom lived in Sun City, Ariz., and ranged in age from the 60s to the late 90s, by convincing them to liquidate annuities and loan money to him. Although Perry promised reasonable returns on these “loans,” he made few if any payments to his clients. In some cases, Perry secured his clients’ “loans” with a commercial property on which he had failed to make payments. Unbeknownst to his clients, Perry also filed for bankruptcy, and in his bankruptcy petition he intentionally omitted the addresses of his clients (which had the effect of concealing that he was attempting to discharge the debts he owed them).
The investigation in this case was conducted by the United States Secret Service and the Federal Bureau of Investigation. The prosecution was handled by Assistant U.S. Attorney Kevin M. Rapp.
CASE NUMBER: CR 11-2291-PHX-PGR
RELEASE NUMBER: 2013-051_Perry
# # #For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Father and Son Convicted of Operating $100 Million Ponzi Scheme That Targeted Members of the Lds ChurchRead the Press Release
PHOENIX. – Guy Andrew Williams, 42, and Brent F. Williams, 66, both of Mesa, Ariz., were convicted by a federal jury in Phoenix on June 28, 2013, of 38 counts of conspiracy, wire fraud, mail fraud, and money laundering. The two-week trial was conducted by U.S. District Judge Jack Zouhary, a visiting judge from the Northern District of Ohio.
U.S. Attorney John Leonardo stated, “Affinity fraud is a particularly reprehensible crime because it depends upon a betrayal of trust to defraud victims of their money. The defendants preyed upon those with whom they made connections through church or in the community. This verdict holds the defendants accountable for their crimes and sends a message to others who would engage in such misconduct.”
FBI Special Agent in Charge Douglas G. Price, Phoenix Division stated, "The guilty verdict rendered in this matter holds Guy and Brent Williams accountable for their actions. The FBI and the IRS are committed to investigating and pursuing those who conspire and prey on trusting individuals for their own personal gain. The FBI and our law enforcement partners will continue to combat fraud as it relates to money laundering, wire and mail fraud."
"The defendants lived lavish lifestyles and enriched themselves at the expense of their unsuspecting investors. This classic Ponzi scheme serves as an unfortunate reminder that everyone should exercise extreme caution before committing their hard-earned money to investment opportunities that promise returns that sound too good to be true" said Dawn Mertz, Special Agent in Charge of the Phoenix Field Office of Internal Revenue Service, Criminal
Investigation."This verdict should serve as a strong deterrent to others who would misuse our nation's mail system to commit mail fraud," said Acting Phoenix Division Postal Inspector in Charge Adrian Gonzalez. "The United States Postal Inspection Service remains dedicated to our mission to enforce the laws that defend the nation’s mail system from illegal use and ensure public trust in the mail. Postal Inspectors will continue to partner with fellow law enforcement agencies to bring those perpetuating fraud to justice."
According to the evidence at trial, Guy Andrew Williams and his father, Brent F. Williams, served as the managing director and chief financial officer, respectively, of a group of Mesa, Ariz.-based investment funds known as the “Mathon” entities. The evidence at trial showed that the Mathon entities collected more than $100 million in funds from investors from February 2002 until April 2005.
The evidence at trial further showed that Mathon’s investors, the majority of whom were members of the Church of Jesus Christ of Latter-Day Saints and hailed from Arizona, Utah, and Nevada, were generally told that their money would be used to make short-term loans to third-party borrowers at a high interest rate and that Mathon had an extensive track record of making such loans. In fact, the evidence at trial showed that the defendants, and their business partners, ran Mathon as a Ponzi scheme—that is, by using the overwhelming majority of incoming money from new investors to pay back initial investors. Finally, the evidence at trial showed that the defendants and their business partners paid themselves extravagant salaries and bonuses exceeding $10 million and also used their investors’ money to make millions of dollars of “loans” to companies they secretly controlled.
The sentencing of Guy Andrew Williams and Brent F. Williams is currently scheduled for Sept. 30, 2013, before Judge Zouhary. Also scheduled to be sentenced on that date are Duane Hamblin Slade and Russell Laurence Sewell, two other members of Mathon’s management team who pleaded guilty to related charges before trial.
The defendants face a potential maximum sentence of 20 years in federal prison on each count of conspiracy, wire fraud, and mail fraud, and a potential maximum sentence of 10 years in federal prison on each count of money laundering. Each count also carries a maximum fine of $250,000.
The investigation in this case was conducted by Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigations Division, the U.S. Postal Inspection Service, and the Securities Division of the Arizona Corporation Commission. The prosecution was handled by Assistant U.S. Attorneys Peter S. Sexton, Kevin M. Rapp, and Dominic Lanza.
CASE NUMBER: CR-09-1492-PHX-ROS
RELEASE NUMBER: 2013-050_WilliamsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Tucson Man Found Guilty in Real Estate Investment Fraud SchemeRead the Press Release
TUCSON, Ariz. – Dino Sisneros, 42, of Tucson, Ariz., after a trial of thirteen days, was found guilty as charged by a federal jury on June 25, 2013. The charges against the defendant included three counts of wire fraud and two counts of transactional money laundering greater than $10,000. The case was tried before U.S. District Judge Cindy K. Jorgenson who will sentence Sisneros on Sept. 5, 2013.
The evidence presented at trial demonstrated that Sisneros orchestrated a real estate investment fraud scheme between 2006 – 2008 during which Sisneros misled investors by promising them high rates of return in exchange for their money which he said would be used to invest in real estate. However, instead of investing in real estate, he used large portions of his victims’ money for his own personal use, including paying for a ski trip to Colorado; paying a $7,900 hotel bill in Santa Monica, Calif.; car payments for a Cadillac Escalade, Cadillac CTS, two Nissan 350-Z’s, a Nissan Altima, and a Ford Expedition. The evidence further demonstrated that Sisneros used victim commingled funds toward his own rent payments so he could live in a multimillion dollar, 4-story home with an elevator. Sisneros received more than $900,000 from his victims but failed to pay his victims in return for their investments as he had promised.
A conviction for each count of wire fraud carries a maximum penalty of 20 years, a $250,000 fine or both. A conviction for each count of transactional money laundering greater than $10,000 carries a maximum penalty of 10 years, a $250,000 fine or both.
The investigation in this case was conducted by the Internal Revenue Service, Criminal Investigation. The prosecution was handled by Jonathan Granoff and Cory Picton, Assistant U.S. Attorneys, District of Arizona, Tucson.
CASE NUMBER: CR-12-0174-TUC-CKJ(CRP)
RELEASE NUMBER: 2013-049_SisnerosFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Serial Bank Robber Sentenced to 16 Years in Federal PrisonRead the Press Release
PHOENIX, Ariz. – On June 24, 2013, Walter David Garcia, 23, of Sinaloa, Mexico, was sentenced to 16 years in federal prison by District Judge Neil V. Wake stemming from his commission of multiple bank robberies in Phoenix, Sun City and Surprise. Garcia previously pleaded guilty to four counts of Bank Robbery, two counts of Armed Bank Robbery, and one count of Use of a Firearm During a Crime of Violence.
According to Garcia’s plea agreement, he committed seven bank robberies from August 1, 2011 through April 12, 2012. Garcia brandished a handgun during one of the robberies and also committed carjackings in connection with two of the bank robberies. He was dubbed the “Home Town Bandit” due to his affinity for wearing local sports team paraphernalia when committing the robberies.
The investigation in this case was conducted by the Federal Bureau of Investigation (FBI) and its Bank Robbery Task Force as well as the Surprise Police Department. The Bank Robbery Task Force is a partnership of FBI, the Phoenix Police Department, the Maricopa County Sheriff’s Office, the Mesa Police Department, the U.S. Attorney’s Office, and the Maricopa County Attorney’s Office, whose focus is to investigate and apprehend bank robbers in the Phoenix metropolitan area. More information on the Bank Robbery Task Force can be found at www.bandittrackerarizona.com. The prosecution was handled by Christine D. Keller and Alison Bachus, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1145
RELEASE NUMBER: 2013-047_GarciaFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.usdoj.gov/usao/az/
Man Sentenced to Prison for Distributing Child PornographyRead the Press Release
PHOENIX, Ariz. – On June 24, 2013, Lee David Shropshire, 35, of Mesa, Arizona, who pleaded guilty on March 20, 2013, to one count of Distribution of Child Pornography, was sentenced by U.S. District Judge G. Murray Snowto 170 months in prison, followed by a lifetime term of supervised release. He is also required to register as a sex offender in compliance with federal, state and local laws.
In January 2010, the Immigration and Customs Enforcement Cyber Crimes Center received information from the Australian Federal Police that an individual residing in Arizona was distributing child pornography via a Peer to Peer website. Through their investigation agents identified the individual as Lee David Shropshire. In September 2010, agents conducted an interview with Shropshire during which he admitted to having images of child pornography on his computer and distributing these images on the Peer to Peer website. In total, Special Agents found over 10,000 images and approximately 636 video files containing child pornography.
The prosecution was handled by Melissa Karlen, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-0838-PHX-GMS
RELEASE NUMBER: 2013-048_ShropshireFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Gun Dealers Sentenced to Prison for Manufacture, Possession and Sale of Illegal Machine GunsRead the Press Release
PHOENIX, Ariz. – On June 20, 2013, Randolph Benjamin Rodman, 60, of Crownsville, Md., and Idan C. Greenberg, 59, of Glendale, Ariz., both licensed gun dealers, were sentenced by U.S. District Chief Judge Roslyn O. Silver to 121 months and 33 months in prison, respectively. On Dec. 20, 2012, Rodman was found guilty by a federal jury of 22 charges including conspiracy; illegal possession of a machine gun; obliterating the serial numbers of firearms; the manufacturing, possession, receipt and transfer of machine guns in violation of the National Firearms Act (NFA); and making false entries on applications and records.Greenberg was found guilty by the same federal jury of four charges involving conspiracy; illegal possession of a machine gun; receipt and possession of a firearm transferred in violation of the NFA; and receipt and possession of a firearm made in violation of the NFA.
“Enforcement of gun laws, particularly the regulation of machine guns, is essential to public safety. The defendants’ convictions and sentences demonstrate our commitment to prosecute those who violate gun laws, including licensed gun dealers,” said U.S. Attorney, John S. Leonardo.
"This was a very challenging and complicated investigation involving machine guns (NFA weapons) and fraud. These Federal Firearms Licensees violated the public’s trust and defrauded countless customers of their NFA weapon purchases. I hope their lengthy sentences serve notice to those that might consider committing the same criminal acts," stated ATF Special Agent in Charge, Thomas Atteberry.
Between Sept. 22, 1993, and continuing through April 8, 2009, Rodman and Greenberg conspired with other persons to defraud the United States in its regulations of machine guns, including the 1986 machine gun ban. In order to circumvent the machine gun regulations, the defendants had the serial numbers from over 30 inexpensive, registered machine guns cut-off and welded onto completely different and more expensive models of machine guns that were illegally manufactured. The defendants would then transfer or sell the newly manufactured illegal machine guns by falsely utilizing the registration of the original machine gun.
The investigation in this case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The prosecution was handled by Kathy J. Lemke, Assistant U.S. Attorney, and James P. Vann, Special Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-10-001047-PHX-ROS
RELEASE NUMBER: 2013-046_Rodman&GreenbergFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Congressman Richard G. Renzi Convicted of Extortion and Bribery in Illegal Federal Land SwapRead the Press Release
Office of the United States Attorney, John S. Leonardo
District of Arizona
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WWW.JUSTICE.GOVWASHINGTON – A former U.S. Congressman and a real-estate investor were convicted today by a federal jury in Tucson, Ariz., of conspiring together to extort and bribe individuals seeking a federal land exchange, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney John Leonardo of the District of Arizona.
Richard G. Renzi, 55, of Burke, Va., was found guilty of 17 felony offenses including conspiracy, honest services wire fraud, extortion under color of official right, racketeering, money laundering and making false statements to insurance regulators.
James W. Sandlin, 62, of Sherman, Texas, was found guilty of 13 felony offenses including conspiracy, honest services wire fraud, extortion under color of official right and money laundering.
Sentencing is set before U. S. District Judge David C. Bury on August 19, 2013.
“Former Congressman Renzi’s streak of criminal activity was a betrayal of the public trust and abuse of the political process,” said Acting Assistant Attorney General Raman. “After years of misconduct as a businessman, political candidate and member of Congress, Mr. Renzi now faces the consequences for breaking the laws that he took an oath to support and defend.”
U.S. Attorney John Leonardo stated, “Our democracy is undermined whenever our elected officials misuse the power entrusted to them by the voters to serve their own private interests rather than in the service of the public interest. The jury’s verdict reinforces the fundamental principle that our society is governed by the rule of law, and that no citizen, including the most influential and powerful among us, is above the law.”
FBI Special Agent in Charge Douglas G. Price stated, “Today’s conviction is a culmination of the investigative efforts of the FBI and IRS-Criminal Investigation over a period of several years. Public corruption is one of the top criminal priorities of the FBI, and it is imperative that elected public officials be held accountable to uphold the public’s trust. The FBI remains committed to this criminal priority in combating public corruption at all levels.”
According to evidence at trial, Renzi, then a member of Congress from Arizona’s 1st Congressional District, promised in 2005 to use his legislative influence to profit from a federal land exchange that involved property owned by Sandlin, a real-estate investor.At the time, Sandlin owed Renzi $700,000 in future payments from their business dealings, and Renzi threatened a proponent of the land exchange that he would not support it unless they purchased Sandlin’s property in Cochise County, Ariz. When that individual refused, Renzi promised a second proponent of a land exchange that he would support the exchange if they purchased Sandlin’s property. According to an agreement reached in May 2005, Sandlin was paid $1 million in earnest money, out of which he paid $200,000 to Renzi. Just before Sandlin received the $1.6 million balance owed on the exchange, he paid an additional $533,000 to Renzi.
Evidence at trial further showed that from 2001 to 2003, Renzi engaged in insurance fraud by diverting his clients’ insurance premiums to fund his first campaign for Congress, and he provided false statements to various state regulators who were investigating his activities.
Renzi was indicted in February 2008, and in October 2008, Renzi moved to dismiss the indictment under his rights as a member of Congress under the Speech or Debate Clause. The court denied his motion in February 2010, and Renzi pursued an interlocutory appeal. After Renzi’s appeal was unsuccessful, trial was set for May 2013.
Honest services wire fraud, extortion under color of official right, concealment money laundering and racketeering each carry maximum penalties of 20 years in prison. Conspiracy carries a maximum penalty of five years in prison, and making false statements to insurance regulators and transactional money laundering each carry maximum penalties of 10 years in prison.
This case was investigated by the FBI and the Internal Revenue Service – Criminal Investigation. The prosecution was handled by Assistant U.S. Attorneys Gary Restaino and James Knapp of the District of Arizona and Trial Attorneys David Harbach and Sean Mulryne of the Department of Justice’s Public Integrity Section.
Navajo Man Sentenced to 110 Months Imprisonment for Assault and Use of A Firearm During A Crime of ViolenceRead the Press Release
PHOENIX – On June 3, 2013, Jerome Lee Buckinghorse, 30, of Pinon, Ariz., was sentenced by U.S. District Judge G. Murray Snowto 110 months imprisonment. Buckinghorse pleaded guilty on March 19, 2013, to one count of assault resulting in serious bodily injury and one count of use of a firearm during a crime of violence.
On August 28, 2012, Buckinghorse and the victims got into an altercation on the Navajo Reservation during which Buckinghorse retrieved a rifle and used the butt of the rifle to hit two victims in the face. When the third victim attempted to flee, Buckinghorse shot him in the back with the rifle.
Buckinghorse received a sentence of 50 months imprisonment for assault resulting in serious bodily injury and a sentence of 60 months imprisonment for the use of a firearm during a crime of violence. Judge Snow ordered the sentences to run consecutive, resulting in a cumulative sentence of 110 months imprisonment.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution is being handled by Cassie Bray Woo, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-8240-PCT-GMS
RELEASE NUMBER: 2013-045_BuckinghorseFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
DRUG AND VIOLENT CRIME SWEEP NETS NEARLY 30 ON AND AROUND THE YAVAPAI-APACHE NATION(Correction)Read the Press Release
PHOENIX, Ariz. – Add: the P.A.N.T. (Partners Against Narcotics Traffickers),
The Federal Bureau of Investigation’s Northern Arizona Safe Streets Task Force, the P.A.N.T. (Partners Against Narcotics Traffickers), the Yavapai County Drug Task Force, and the Yavapai-Apache Nation Tribal Police Department led this coordinated enforcement action. They received significant operational assistance from the Yavapai County Sheriff’s Office; the Cottonwood Police Department; the Camp Verde Marshals Office; Arizona Department of Public Safety; the U. S. Drug Enforcement Administration; the U.S. Marshals Service; the U.S. Immigration and Customs Enforcement (ICE), the Department of Homeland Security; the Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Coconino County METRO Drug Task Force.
RELEASE NUMBER: 2013-044_Yavapai-ApacheTakedown(Corrected)
For more information on the U.S. Attorney’s Office, District of Arizona
visit http://www.justice.gov/usao/azTohono O’odham Man Sentenced to 10 Years for Aiding and Abetting Murder of Sells ManRead the Press Release
TUCSON, Ariz. – Johnny Davis Antonio, Jr., 22, of Sells, Ariz., was sentenced on May 29, 2013, by U.S. District Judge Cindy K. Jorgensonto 120 months in prison to be followed by five years of supervised release. Antonio pleaded guilty on March 21, 2013, to second degree murder, aiding and abetting.
This case involved the August 2009, beating to death of a 37 year old man by Antonio, then 18 years old, and an accomplice. The victim was walking during early morning hours on Aug. 10, 2009, in an open area in Sells on the Tohono O’odham reservation, when he came upon Antonio and his accomplice who proceeded to assault the victim with their fists and a piece of wood. The victim died from blunt force trauma to his head.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Tohono O’odham Nation Police Department. The prosecution is being handled by Raquel Arellano, Assistant U.S. Attorney, District of Arizona, Tucson.CASE NUMBER: CR-11-4234-TUC-CKJ
RELEASE NUMBER: 2013-043_AntonioFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Prison Staffer Found Guilty of Sexually Abusing Two InmatesRead the Press Release
PHOENIX– Jose Arnulfo Martinez, aka “Joe” Martinez, 49, of Phoenix, was found guilty by a federal jury on Tuesday of six counts of sexual abuse of a ward. The case was tried before U.S. District Judge Neil V. Wake from May 21, 2013 until May 28, 2013. Sentencing is set before Judge Wake on Aug. 26, 2013.
U.S. Attorney John S. Leonardo said, “Federal prison inmates have a right to serve their court ordered sentences without having to endure sexual abuse by anyone, and especially not at the hands of those who are entrusted with their care. The Justice Department will hold accountable all prison staff who abuse their power and the public trust. We thank our partners at the FBI and the Bureau of Prisons who join with us in this effort.”
During all relevant times, Martinez worked for the Bureau of Prisons at the Federal Correctional Institution-Phoenix, where he supervised federal inmates. The evidence at trial showed that in 2008, Martinez sexually abused an inmate on three different occasions. The evidence further showed that in 2010, Martinez sexually abused another inmate on three occasions.
Each conviction for sexual abuse of a ward carries a maximum penalty of 15years, a $250,000 fine or both.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Investigations Department of the Federal Correctional Institution-Phoenix. The prosecution was handled by Alison S. Bachus, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1222-PHX-NVW
RELEASE NUMBER: 2013-042_MartinezFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
U.S. Attorney Announces Take 25 Child Safety Events in Phoenix and TucsonRead the Press Release
PHOENIX - The National Center for Missing and Exploited Children (NCMEC) created the Take 25 campaign to encourage families to take 25 minutes to talk to their children about safety and abduction prevention. NCMEC estimates that 800,000 children are reported missing in America every year, which is more than 2,000 children each day. Fortunately, most of these children are quickly located.
NCMEC has found that in 81% of attempted abduction cases, children escaped would-be abductors through their own actions. 28% of the children actively resisted (yelling, kicking, pulling away, running away, or attracting attention), while 53% recognized something was not right and responded by walking or running away. Teaching and reassuring children about safety - without scaring them - requires a delicate balance. Take 25 provides parents tools and age-appropriate suggestions for approaching the topic of safety with their children.
“The annual Take 25 national child safety campaign is particularly important this time of year, when children begin their summer breaks from school and have more time on their hands” said U.S. Attorney John S. Leonardo. “Especially in light of recent events arising from abductions, we encourage parents to take time to talk with their children about safety and abduction prevention. We hope that the tools and information provided at this year’s Take 25 events will assist families in keeping their children safe.”
Since 1983, May 25th has been observed as National Missing Children’s Day. In conjunction with observance of this year’s National Missing Children’s Day, we are pleased to offer two free Take 25 child safety events. These events are designed to help parents and others teach children to be alert to potential threats and provide steps that children can take to stay safe. Both events will provide attendees with important safety information and demonstrations, along with Child Identification Kits.PHOENIX: The Phoenix event will be held on Tuesday May 28, 2013, at the Paradise Valley Mall from 10:30 a.m. to 4:00 p.m. Agencies participating in the Phoenix event include the U.S. Attorney’s Office, the U.S. Marshals Service, ATF, DHS, FBI, the Arizona Attorney General’s Office, the Maricopa County Attorney’s Office, the Phoenix Police Department, and the Phoenix Fire Department. Digital child identification kits will be provided free of charge.
TUCSON: The Tucson event will be held on Wednesday, May 29, 2013, at the Foothills Mall from 10:30 a.m. to 4:30 p.m. Agencies participating in the Tucson event include the U.S. Attorney’s Office, the U.S. Marshals Service, ATF, DHS, FBI, the Tucson Police Department, the Arizona Attorney General’s Office, the Pima County Sheriff’s Office, and the Arizona Child Advocacy Center. Digital child identification kits will be provided free of charge and children’s self-defense demonstrations are scheduled.
For more information on NCMEC, visit www.missingkids.com. For more information about the Take 25 campaign, visit www.Take25.org. For more information on Project Safe Childhood, visit www.projectsafechildhood.gov.RELEASE NUMBER: 2013-041_Take_25_Events
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az
Phoenix Man Sentenced to 235 Months in Federal Prison for Armed Bank RobberyRead the Press Release
PHOENIX – On May 15, 2013, Jon Phillip Carstens, 47, of Phoenix, Ariz. was sentenced by visiting U.S. District Judge Linda R. Reade to 235 months in federal prison for robbing a Wells Fargo Bank in Yuma, Ariz. Carstens pleaded guilty on Feb. 8, 2013 to armed bank robbery.
According to the plea agreement, Carstens entered a Wells Fargo Bank in Yuma, wearing a hat and a scarf which covered his face. After entering the bank, Carstens approached the victim teller brandishing a .380 caliber pistol, and jumped over the counter to the victim teller’s side while continuing to brandish the firearm. He grabbed money from the teller drawer, jumped back over the counter, exited the bank, and jumped into a Honda Civic and fled. He was later apprehended in Imperial County, Calif. Carstens had previously been convicted of bank robbery in Tampa, Fla.
The investigation in this case was conducted by the Federal Bureau of Investigation, Yuma County Sheriff’s Office, Yuma Police Department, Arizona Department of Public Safety, United States Border Patrol, and the Imperial County Sheriff’s Office. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-12-1669-PHX-NVW
RELEASE NUMBER: 2013-040_CarstensFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Phoenix Man Sentenced to 15 Years Jail for Sex-traffickingRead the Press Release
PHOENIX – On May 9, 2013, George Calvin Windley, 33, of Phoenix, Ariz., was sentenced by U.S. District Judge David G. Campbell to15 years imprisonment. Windley pleaded guilty on July 11, 2012, to conspiracy to engage in sex trafficking, in violation of 18 U.S.C. §§1594(c) and 1591(a).
“The United States Attorney’s Office is committed to prosecuting those who prey upon the most vulnerable in our society for personal profit” said U.S. Attorney John S. Leonardo. “Our thanks to the collaborative efforts of the Federal Bureau of Investigation, the Phoenix Police Department and the Scottsdale Police Department that made this successful prosecution possible.”
“The sentencing of George Windley signifies the end of a sex trafficking group that preyed on young women in order to place them into sexual servitude for financial gain” stated FBI Special Agent in Charge Douglas G. Price, Phoenix Field Office. “The actions by Windley and others were humiliating and violent towards the trafficked females. The FBI and our law enforcement partners are committed to holding those accountable who choose to participate in the practice of modern day slavery for the purpose of prostitution.”
Evidence uncovered during the government’s investigation showed that Windley ran a commercial sex prostitution business from 2001 through at least 2009. He “befriended” multiple young women, and lured them into the business by offering drugs, cash, clothing, jewelry, material goods, and the promise of an extravagant lifestyle. Windley targeted those who were the most vulnerable, including victims who had been previously abused as children, came from broken families or were “running away” from home. Some of the victims simply did not have enough money to provide for their children.
Once recruited, Windley used physical force, violence, coercive acts and threatened the use of violence against family members to prevent the women from leaving the business. The victims described how defendant repeatedly struck, punched, kicked, pushed, raped, and used other physical acts and intimidation to scare and bully them. Windley also engaged in various forms of psychological manipulation and emotional coercion against the victims by using their sense of shame or feelings of guilt and existing family issues to control the victims. One victim was confined to a hotel room for a period of several months, during which time he physically and sexually abused her, and forced her to work as a prostitute.All revenues generated by the business were to be given to Windley. The women were forbidden from socializing with other women, and they were never permitted to leave the business or have contact with other black males.
Windley used the Internet to advertise the sexual services of the young women, and also used stolen credit card numbers to manufacture forged credit cards that were then used to supplement the operating expenses of the business.
The investigation in this case was conducted by the Federal Bureau of Investigation, the Phoenix Police Department and the Scottsdale Police Department. The prosecution is was conducted by Josh Parecki, former Assistant U.S. Attorney, and Walter Perkel, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-10-660-002-DGC
RELEASE NUMBER: 2013-039_WindleyFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Bureau of Indian Education Employee Sentenced for Stealing Charity Funds Provided for Children Attending the Kaibeto Boarding SchoolRead the Press Release
FLAGSTAFF, Ariz. –Marcellina Tohonnie, 36, a Bureau of Indian Education employee, was sentenced on April 23, 2013 by U.S. Magistrate Judge Mark Aspey in federal court in Flagstaff, AZ, for stealing charitable donations to children attending the Kaibeto Boarding School. She received five years of supervised probation and was ordered to repay $23,226 in restitution to Children Incorporated – an international nonprofit organization assisting needy children in the U.S. and abroad.
The charges stem from a U.S. Department of the Interior, Office of Inspector General investigation of Tohonnie’s embezzlement of Children Incorporated account funds, sponsoring 47 Native American students, grades kindergarten through 8th, at the Kaibeto Boarding School. As the school’s former Children Incorporated program coordinator, Tohonnie was entrusted with accepting and using donations to purchase basic necessities (e.g. clothing, school supplies, etc.) for the children enrolled in the program. Instead, Tohonnie embezzled approximately $25,000 from the Children Incorporated account to pay for personal expenses – including clothing, salon visits, gifts, car repairs, and travel to Las Vegas, Nev.
“This case is a reflection of the Inspector General’s continued involvement in Indian Country and our dedication to insure the integrity of all U.S. Department of the Interior programs,” said Jack Rohmer, Special Agent-In-Charge.
Children Incorporated U.S. Program Director Renée Kube said, “Children Incorporated serves over 20,000 children on an annual basis, and has assisted more than 250,000 children since our founding in 1964. We provide these resources because we believe passionately that children everywhere deserve education, hope and opportunity. We are deeply grateful for the dedication, time and efforts given by the U.S. Attorney’s Office and the Office of the Inspector General.”
Under a plea agreement with the U.S. Attorney’s Office, Tohonnie pleaded guilty to one count of 18 USC '1163, embezzlement and theft from Indian tribal organizations.
The investigation in this case was conducted by the U.S. Department of the Interior, Office of Inspector General. This case was prosecuted by Assistant United States Attorney Adam Zickerman, District of Arizona, Flagstaff.
CASE NUMBER: 13mj4071
RELEASE NUMBER: 2013-038_ TohonnieFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Former Tucson Loan Officer Sentenced to Prison for Mortgage FraudRead the Press Release
TUCSON, Ariz. – On May 6, 2013, Rex Adams, 54, of Tucson, Ariz., was sentenced by U.S. District Judge David C. Bury to 18 months in federal prison for committing wire fraud and transactional money laundering, both felonies. Adams had previously pleaded guilty on Jan. 7, 2013, to these charges which relate to mortgage fraud.
As part of his guilty plea, Adams admitted that he obtained a $268,000 loan to purchase a property in Tucson. In order to obtain this loan and as part of the loan approval process, Adams knowingly submitted loan applications and other documents that contained material false representations including: (1) falsely representing his intent to reside at the property as a primary residence; (2) submitting a fraudulent lease agreement stating that he had a tenant for his current home and would receive monthly rental income of $3,500; (3) falsely representing that the down payment or cash to close on the property would be a $66,473.56 check; (4) falsely representing and inflating the purchase price of the property as $335,000; and (5) failing to disclose to the lender that he received $12,349.05 cash back from the seller of the property using the fraudulently obtained loan proceeds. In fact, without the lender’s knowledge, Adams fraudulently obtained the mortgage at an inflated price with 100% financing, with no down payment and received $12,349.05 cash back from the seller.
As part of the defendant’s plea, he will also be ordered to pay restitution. The amount of restitution will be determined during a future hearing or by agreement of the parties.
The investigation in this case was conducted by Internal Revenue Service Criminal Investigation. The prosecution was handled by Jonathan Granoff, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-12-0397-TUC-DCB
RELEASE NUMBER: 2013-037_AdamsFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Violent Mistreatment of Illegal Aliens Results in 10 Year Sentences for DefendantsRead the Press Release
PHOENIX – On May 1, 2013, and April 15, 2013, defendants Juan Jose Parra-Labrador, 24, Sergio Sarabia-Sarabia, 25, and Uriel Parra-Lerma, 25, were sentenced by U.S. District Judge James A. Teilborgto 10 years in prison for their roles in holding 21 illegal aliens hostage in January 2012, after pleading guilty to conspiracy to harbor illegal aliens. Judge Teilborg also sentenced co-defendant Felipe Sarabia-Labrador, 43, to 9 years and 1 month in prison. All of the defendants were in the United States illegally from Mexico.
Three of the defendants were sentenced to the statutory maximum of 10 years. Defendants admitted that during the course of the conspiracy, the illegal aliens at the human stash house were abused. One victim was hung in a closet by his wrists and ankles, others were beaten in the face and groin, whipped and bound with cable cords, poked with knives, threatened with guns, and forced to urinate in a bucket.
Judge Teilborg stated that these defendants “dehumanized their victims” and attempted to profit from “trafficking in human misery.”
U.S. Attorney John S. Leonardo said, “Our office will vigorously prosecute those who prey upon vulnerable victims in our community. These prison sentences should make clear that we will not tolerate violence and exploitation by human smuggling organizations.”
Additionally, Aaron Aparicio-Ramirez, 30, was sentenced by Judge Teilborg to 18 months for his role in transporting illegal aliens to and from the stash house.
The investigation in this case was conducted by U.S. Immigration and Customs Enforcement (ICE), Department of Homeland Security. The prosecution was handled by Assistant U.S. Attorneys, Kristen Brook and Lisa Jennis Settel of District of Arizona, Phoenix.
CASE NUMBER: CR-12-00417-PHX-JAT
RELEASE NUMBER: 2013-036_Parra-Labrador_etalFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
New Challenges. New SolutionsRead the Press Release
U. S. ATTORNEY’S OFFICE FOR THE DISTRICT OF ARIZONA OBSERVES NATIONAL CRIME VICTIMS’ RIGHTS WEEKPhoenix - U.S. Attorney John S. Leonardo announced that several individuals were honored for outstanding service to crime victims in an awards ceremony hosted by the U.S. Attorney’s Office on April 25, 2013. These awards were presented in conjunction with the observance of National Crime Victims’ Rights Week, April 21-27, 2013. This year’s theme, “,” focuses on the need to be innovative and flexible in our efforts to assist and serve each and every victim in need of hope and help.
The recipients of this year’s awards were Navajo Nation Officer Vernon Begay for his courage and bravery; The Colorado River Indian Tribes Multi-Disciplinary Team; U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations Special Agents William “Cody” Nuckles and Greg Kelly; U.S. Postal Inspector David Birch, and U.S. Attorney’s Office Victim Witness Specialist Mary Williams.
“The U.S. Attorney’s Office is deeply committed to assisting victims of federal crimes, ensuring they are afforded their rights under the Crime Victims’ Rights Act, protecting them from further harm, and helping them reshape their futures,” said U.S. Attorney John S. Leonardo. “This week is a time to raise awareness about the rights and needs of crime victims, the challenges victims face in the recovery process, and the positive impact of those who provide services and support to victims.”
The U.S. Attorney’s Office also honored families who lost a loved one to a crime of violence. Victims recognized during the ceremony included Sergeant Darrell Curly of the Navajo Nation, Mat Stauffer, Jr. of the San Carlos Apache Indian Reservation, and Lorena Mae Martin of the Navajo Nation.
The Crime Victims’ Rights Act (CVRA), enacted in 2004, grants victims in federal criminal proceedings certain enforceable rights, including the right to be reasonably heard at public court proceedings and to receive full and timely restitution as provided by law. The District of Arizona has a dedicated Victim Witness Unit that serves federal crime victims across the District’s 15 counties. Members of this unit notify victims of significant case events through the Department of Justice’s Victim (DOJ) Notification System (VNS) and help victims to understand their rights. Such notice enables victims to participate in court proceedings and make their voices heard. According to Department of Justice Statistics, in Fiscal Year (FY) 2012, the U.S. Attorneys’ offices provided notice of over 12.2 million case events, including notices regarding criminal charges filed, plea hearings, bond hearings and sentencing hearings.
Notification of significant case events leads to increased victim participation in court proceedings and accompanying victims to court provides support and guidance during these proceedings.
In addition to notification and court accompaniment, the District of Arizona’s Victim Witness Unit provides essential services to victims, such as making referrals for counseling, securing temporary housing, and assisting victims with compensation resources. These services provide tools victims need to reshape their futures.
Further information about National Crime Victims’ Rights Week is available at http://ovc.ncjrs.gov/ncvrw/.
RELEASE NUMBER: 2013-035_CVRW
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Sexual Predator Sentenced to Life ImprisonmentRead the Press Release
PHOENIX, Ariz. – On April 22, 2013, Jefferson Gatewood, 44, of Carrizo, Ariz., and a member of the White Mountain Apache Tribe, was sentenced by U.S. District Judges James A. Teilborg to 14 consecutive terms of life imprisonment. Gatewood was convicted at trial by jury on Nov. 20, 2012, of 23 counts of aggravated sexual abuse and related charges, mostly involving minors, on the Fort Apache Indian Reservation
Gatewood was previously convicted of assault with intent to commit rape in an Arizona U.S. District Court in 1987, after he and two codefendants gang-raped a 19-year-old girl at knifepoint.
At trial, 15 victims testified that Gatewood had sexually abused them, and physically abused some of them as well. At the time they were abused, the victims ranged in age from 5 years old to their early 20s. Gatewood’s abuses began nearly 30 years ago, when he was still a teenager, and continued on a regular basis until 2010 when this investigation was initiated.
The indictment charged Gatewood with sexually abusing nine young girls and teens dating back to 1992. Other sexual assaults were either barred by the statute of limitations or took place off of the reservation and out of the jurisdiction of the federal court. Nonetheless, the victims of the uncharged assaults were allowed to testify at trial regarding their victimization pursuant to the Federal Rules of Evidence.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Bureau of Indian Affairs. The prosecution was handled by Dimitra H. Sampson and Sharon K. Sexton, Assistant U.S. Attorneys, District of Arizona, Phoenix.
CASE NUMBER: CR-11-8074-PCT-JAT
RELEASE NUMBER: 2013-034_GatewoodFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Navajo Man Sentenced to 17 Years in Prison for KidnappingRead the Press Release
PHOENIX --- On April 22, 2013, Brian Douglas Kanuho, 47, of Low Mountain, Ariz., was sentenced by U.S. District Judge G. Murray Snow to 204 months imprisonment, followed by five years of supervised release. Kanuho pleaded guilty on Feb. 27, 2013, to kidnapping.
According to the plea agreement, Kanuho kidnapped the victim at his residence. While the victim was kidnapped, Kanuho assaulted and sexually abused her. As a result of the kidnapping and assault, the victim sustained serious bodily injury.
The investigation in this case was conducted by the Chinle Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-11-8178-PCT-GMS
RELEASE NUMBER: 2013-033_KanuhoFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Fort McDowell Yavapai Man Sentenced to Federal Prison for Sexual AbuseRead the Press Release
PHOENIX --- On April 22, 2013, Arthur Victor Smith, 20, of Peach Springs, Ariz., was sentenced by U.S. District Judge G. Murray Snow to 140 months imprisonment, followed by lifetime supervised release. Smith, a Fort McDowell Yavapai Nation member, pleaded guilty on Feb. 5, 2013, to sexual abuse.
Smith was charged by indictment with one count of aggravated sexual abuse of a minor pursuant to 18 U.S.C. § 2241(c). According to the plea agreement, the defendant sexually abused a minor female, age 14, and the sexual abuse occurred on the Hualapai Nation Indian Reservation.
The investigation in this case was conducted by the Hualapai Nation Police Department and the Federal Bureau of Investigation. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-11-8189-PCT-GMS
RELEASE NUMBER: 2013-032_SmithFor more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/