Eastern District of California
Press releases recorded for this federal judicial district.
Stockton Man Pleads Guilty to Money LaunderingRead the Press Release
SACRAMENTO, Calif. — Raeef Ohan Ohan, 59, of Stockton, pleaded guilty today to engaging in monetary transactions in criminally derived property related to a series of cargo thefts, U.S. Attorney McGregor W. Scott announced.
According to court documents, from 2012 to 2014, Ohan received and possessed thousands of dollars’ worth of stolen goods that had been stolen from truck trailers or warehouses. Ohan then sold the stolen goods to legitimate wholesalers and retail entities through his company called “V&P Trading.” Ohan failed to accurately report to the Internal Revenue Service and the California Franchise Tax Board (FTB) the income he received from this criminal activity, as well as income received by other means. As part of his plea agreement, Ohan agreed to pay restitution to the victims of the cargo thefts, as well as to the IRS and FTB.
According to the plea agreement, on October 1, 2014, a cargo trailer containing personal hygiene products was stolen from a warehouse in Stockton, and the theft was reported to the Stockton Police Department. A pallet within the stolen cargo contained a GPS tracking device, which led officers to Ohan’s leased warehouse space. Officers found the 52 pallets of stolen cargo. A federal search warrant executed at a later date revealed that Ohan had 60 pallets of stolen goods from several separate thefts. They included pet food valued at $26,000, protein powder valued at $200,000, and concrete valued at $66,700.
This case is the product of an investigation by the TRaCE (Tax Recovery and Criminal Enforcement) Task Force. The TRaCE Task Force joins existing state and federal resources to collaboratively combat illegal business activities that rob California of public funds and its citizens of public services. The TRaCE Task Force is composed of investigators and special agents from multiple agencies working together to investigate, prosecute and recover revenue lost to the underground economy. These agencies include the Federal Bureau of Investigation; U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); IRS Criminal Investigation; California Department of Justice - Bureau of Investigation, Office of the Attorney General; California Department of Tax and Fee Administration; California Franchise Tax Board; California Employment Development Department; and California Department of Motor Vehicles. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
Ohan is scheduled to be sentenced by U.S. District Judge Morrison C. England Jr. on October 18, 2018. Ohan faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Vallejo Man Indicted for Unlawful Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — On May 17, 2018, a federal grand jury returned an indictment against Danny Lee Rhines, 34, of Vallejo, charging him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced. The indictment was unsealed on June 1, and Rhines was arraigned before U.S. Magistrate Judge Edmund F. Brennan on June 4.
According to court documents, in March 2018, officers observed Rhines driving a Nissan Altima and tried to pull him over. Rhines, who was the driver and sole occupant, ran a red light and attempted to flee the police, but eventually came to a stop and was apprehended. Officers found a Ruger .22-caliber pistol in the Altima. Rhines has previously been convicted of a felony and is prohibited by federal law from possessing firearms.
This case is the product of an investigation by the FBI Solano County Violent Crimes Task Force and the Fairfield Police Department. Assistant U.S. Attorney Owen Roth is prosecuting the case.
If convicted, Rhines faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Jury Convicts Another Sacramento Man of Fraud in Connection with Arson Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — On Monday, after a seven-day trial, a federal jury found Saber A. Shehadeh, 75, of Sacramento, guilty of three counts of mail fraud related to an arson fraud scheme, U.S. Attorney McGregor W. Scott announced. Shehadeh was remanded into custody following the verdict.
According to evidence presented at trial, Saber Shehadeh made a series of false statements to State Farm Insurance Company to get insurance money after two fires destroyed buildings he owned at the corner of 10th and E Streets in Sacramento’s Alkali Flat neighborhood. The fires occurred on December 27, 2009, and August 15, 2010, and ultimately destroyed a historical building where Saber Shehadeh ran a business called Tru Value Market. Prior to the fires, the financial condition of Shehadeh’s Tru Value Market had declined. He experienced suspension from USDA’s food stamp program, bounced mortgage checks, and frequent overdrafts on his business bank account, and his alcohol license was placed in jeopardy due to a conviction for food stamp fraud and receiving stolen property.
After the second fire, Saber Shehadeh became a silent partner in a supposed construction company that was then used to submit inflated invoices for post-fire cleanup to State Farm. During State Farm’s investigation of the insurance claims, Saber Shehadeh made a series of false statements about the status of his market prior to the fires, and submitted fraudulent documents and made false statements about the debris removal performed after the second fire. Saber Shehadeh received over $1.4 million in insurance proceeds after the fires, enabling him to pay off his mortgage and still have several hundred thousand dollars left over to invest in new businesses and to share with family members, including his co-defendant Jamal Shehadeh.
This case is the product of an investigation by the Federal Bureau of Investigation and IRS Criminal Investigation, with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Sacramento Fire Department; the Sacramento Metropolitan Fire Department; and the Sacramento Sheriff’s Department. Assistant U.S. Attorneys Michael D. Anderson and Christopher S. Hales prosecuted the case.
On February 10, 2018, Jamal Shehadeh pleaded guilty to two counts of arson to commit a felony and was sentenced to 30 years in prison. According to his plea agreement, Jamal Shehadeh set or caused to be set the first fire at Saber Shehadeh’s 10th and E Street property. On April 17, 2018, another co-defendant, Brian Stone, was convicted of 13 counts of mail and wire fraud after a separate jury trial and is currently scheduled to be sentenced on July 12, 2018.
Saber Shehadeh is scheduled to be sentenced on September 6, 2018, by U.S. District Judge Morrison C. England Jr. Shehadeh faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for each count of conviction. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Tulare Man Sentenced to Prison for Making False Statements to U.S. Probation OfficerRead the Press Release
FRESNO, Calif. — Rojelio Martin, 36, of Tulare, was sentenced today by Chief U.S. District Judge Lawrence J. O’Neill to two years and 11 months in prison for making false statements to his federal probation officer while on supervised release after serving a prison sentence for a previous offense, U.S. Attorney McGregor W. Scott announced.
According to court documents, Martin was sentenced in 2013 to 33 months in prison and ordered to pay $44,860 in restitution for a scheme that had defrauded 75 taxpayers out of their tax refunds. Martin was released from prison in 2016, and beginning in April 2017, he failed to make the court-ordered restitution payments. He claimed that health-related absences from work prevented him from paying restitution, and on December 13, 2017, Martin gave his supervising U.S. Probation Officer a fraudulent and forged letter from his doctor and a fraudulent statement of earnings to support that claim.
This case was the product of an investigation by IRS Criminal Investigation. Assistant U.S. Attorney Christopher D. Baker prosecuted the case.
Sanger Contract Labor Crew Boss Sentenced to over 3 Years in Prison for Unemployment Insurance Fraud SchemeRead the Press Release
FRESNO, Calif. — Fernando Alanis, 55, of Rio Grande City, Texas, was sentenced today by U.S. District Judge Lawrence J. O’Neill to three years and three months in prison for two counts of mail fraud related to an unemployment insurance fraud scheme, U.S. Attorney McGregor W. Scott announced.
According to court documents, Alanis and others participated in a scheme to defraud the California Employment Development Department (EDD) of unemployment insurance benefits. Alanis was a supervisor with a local farm labor contractor that provided contract labor for growers and packers and organized them into crews managed by “crew bosses.” Alanis would hire and supervise crew bosses and facilitate the hiring of other laborers.
According to court documents, Alanis provided the personal identifying information of individuals, including his relatives and other acquaintances, to workers, some of whom were undocumented, so they could obtain employment with the farm labor contractor under the assumed identities. They then worked as seasonal farm laborers and earned wages. When the workers were laid off at the end of the season, with Alanis’ knowledge and assistance, false and fraudulent unemployment insurance claims were filed in the names of the assumed identities. This caused EDD to send unemployment insurance checks and benefit debit cards to the addresses of the owners of the assumed identities, who were not entitled to the benefits. The individuals lending their identities would either share some of the benefits with Alanis, or would pay Alanis in advance of the unemployment insurance claims being made. Alanis’ direct and indirect conduct resulted in a loss to EDD of approximately $456,548.
“As a supervisor for a large Central Valley farm labor contractor, Fernando Alanis devised a scheme to defraud the U.S. Department of Labor’s unemployment insurance program for his own personal benefit. We will continue to work with our law enforcement partners to combat fraud against programs of the Department designed to assist unemployed workers,” stated Abel Salinas, Special Agent-in-Charge, Los Angeles Region, U.S. Department of Labor Office of Inspector General.
This case was the product of an investigation by the Department of Labor, Office of Inspector General, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and the California Employment Development Department Investigations Division. Assistant United States Attorneys Henry Z. Carbajal III and Vincenza Rabenn prosecuted the case.
Modesto Man Pleads Guilty to Attempting to Provide Material Support to a Terrorist OrganizationRead the Press Release
FRESNO, Calif. — Everitt Aaron Jameson, 26, of Modesto, pleaded guilty today to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
Assistant Attorney General for National Security John C. Demers and U.S. Attorney McGregor W. Scott made the announcement.
According to the plea agreement, between September 2017 and December 20, 2017, Jameson voiced support for ISIS knowing that the organization was engaging in terrorist activity and terrorism. Among other things, he had several online interactions with a confidential source, and during those interactions, he stated that he was committed wholeheartedly to “the cause.” Jameson also expressed support online for the October 31, 2017, terrorist attack in New York City, as well as other terrorist attacks. In subsequent communications with an undercover agent, Jameson stated that he was ready to do whatever they needed done here and noted that his time in the military had trained him for combat and war. According to court documents, Jameson joined the Marine Corps and received basic training, including earning a sharpshooter rifle qualification, but was ultimately discharged for failing to disclose his asthma history.
Later, Jameson met with another undercover agent whom he believed to be associated with, and working for, the senior leadership of ISIS and offered to carry out violent acts and provide financial support for the terrorist organization.
According to the plea agreement, on December 16, 2017, Jameson discussed what he could offer to the cause. Among other things, Jameson stated that he was well versed in the Anarchist Cookbook, and explained his desire to use explosives in an attack. He also noted that he could get PVC pipe, nails and powder for explosive devices, and asked for remote timing devices from that person, Jameson identified Pier 39 as a target location of an attack, noting that it was crowded and explosives could be used to funnel people into an area so that he could inflict casualties by shooting people trying to escape. Jameson also offered to provide money to the cause.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorneys Dawrence W. Rice Jr. and Christopher D. Baker are prosecuting the case with Trial Attorney Brenda Sue Thornton of the National Security Division’s Counterterrorism Section.
Jameson is scheduled to be sentenced by U.S. District Judge Lawrence J. O’Neill on September 4, 2018. Pursuant to the plea agreement, Jameson faces a 15-year prison term, followed by a lifetime of supervised release. Under the agreement, the court may accept or reject the parties’ agreement about the appropriate sentence.
Former U.S. Navy Sailor Pleads Guilty to Credit Card Fraud and Identity TheftRead the Press Release
FRESNO, Calif. — Jarrod M. Langford, 26, of Orlando, Florida, pleaded guilty today before U.S. District Judge Lawrence J. O’Neill to conspiracy to commit credit card fraud and aggravated identity theft, U.S. Attorney McGregor W. Scott announced.
According to court documents, Langford, while serving with the United States Navy in Lemoore, California, conspired with others to fraudulently acquire and use credit card account numbers to purchase and resell over the internet voucher codes that were redeemable for consumer items such as wristwatches, jewelry, computer software applications and electronic devices. Langford used various methods to fraudulently acquire other peoples’ credit card information, including purchasing the information over the internet. In September 2012, Langford fraudulently possessed more than 2,500 records of credit card account numbers and the associated account holders’ personal identifying information, such as names, addresses, telephone numbers, and email addresses.
To hide his actual location and conceal his involvement in his fraudulent activities, Langford installed an application on his computers that would establish a virtual private network (VPN) in order to conduct anonymous encrypted internet sessions and give the appearance that he was located outside of California. In his plea agreement, Langford admitted to fraudulently purchasing approximately $340,000 of consumer products and unauthorized voucher codes redeemable for such items.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
Langford is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on September 9, 2018. Langford faces a maximum statutory penalty of five years in prison for the conspiracy charge, an additional two years in prison for the aggravated identity theft charge, and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
California Man Pleads Guilty to Attempting to Provide Material Support to ISISRead the Press Release
Everitt Aaron Jameson, 26, of Modesto, pleaded guilty today to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
Assistant Attorney General for National Security John C. Demers and U.S. Attorney McGregor W. Scott for the Eastern District of California made the announcement.
According to the plea agreement filed, beginning in or around September 2017 until around Dec. 20, 2017, Jameson voiced support for ISIS, knowing that the organization was engaging in terrorist activity and terrorism. Among other things, he had several online interactions with a confidential source, and during those interactions, he stated that he was committed wholeheartedly to “the cause.” Jameson also expressed support on-line for the Oct. 31, 2017, terrorist attack in New York City, as well as other terrorist attacks. In subsequent communications with an undercover agent, Jameson stated that he was ready to do whatever they need done here and noted that his time in the military had trained him for combat and things of war. According to court documents, Jameson joined the Marine Corps and received basic training, including earning a sharpshooter rifle qualification, but was ultimately discharged for failing to disclose his asthma history.
Later, he met with another undercover agent whom he believed to be associated with, and working for, the senior leadership of ISIS and offered to carry out violent acts and provide financial support for the terrorist organization. Specifically, on Dec. 16, 2017, Jameson discussed what he could offer to the cause. Among other things, Jameson stated that he was well versed in the Anarchist Cookbook, and explained his desire to use explosives in an attack. He also noted that he could get PVC pipe, nails and powder for explosive devices, and asked for remote timing devices from that person. Jameson identified Pier 39 as a target location of an attack, noting that it was crowded and explosives could be used to funnel people into an area so that he could inflict casualties by shooting people trying to escape. Jameson also offered to provide money to the cause.
Jameson is scheduled to be sentenced by U.S. District Judge Lawrence J. O’Neill on Sept. 4. If the Court accepts the plea agreement, the parties have agreed that the defendant should be sentenced to 15 years in prison and a life term of supervised release.
This case was investigated by the FBI. Assistant U.S. Attorneys Dawrence W. Rice Jr. and Christopher D. Baker of the Eastern District of California, and Trial Attorney Brenda Sue Thornton of the National Security Division’s Counterterrorism Section are in charge of the prosecution.
Former Roseville Developer Sentenced to over 4 Years in Prison for $22 Million FraudRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced Abolghasseni “Abe” Alizadeh, 59, of Granite Bay, today to four years and eight months in prison, U.S. Attorney McGregor W. Scott announced. Alizadeh was also ordered to pay $15,879,945 in restitution to the victims of his crimes.
On January 12, 2018, Alizadeh pleaded guilty to wire fraud, bank fraud and making false statements to a federally insured financial institution.
According to court documents, Alizadeh, a Sacramento-area commercial real estate developer, restauranteur and owner of Kobra Properties, came up with a scheme to fraudulently purchase land that he planned to develop. Banks usually loan up to 60 to 65 percent of the loan to-value ratio (LTV) on undeveloped commercial property. (LTV ratio is the comparison between the amount of the loan and the value of the property.) To circumvent the banks and fraudulently get a higher level of financing, Alizadeh submitted altered purchase contracts to the banks that greatly inflated the purported purchase price. The banks, which competed for Alizadeh’s business, were unaware that the purchase prices were inflated and sometimes loaned well in excess of the loan-to-value ratio. By concealing the true purchase price from the banks, Alizadeh received substantial amounts of cash, sometimes millions of dollars, at the close of escrow and avoided making the full down payment or, in some instances, any down payment.
Alizadeh was assisted in this scheme by co-defendant Mary Sue Weaver, 64, currently of Scottsdale, Arizona and formerly of Lincoln, California, who was employed at a local title company. According to the plea agreement, Alizadeh would write checks for the down payment, but because he lacked funds to cover the checks, he would call Weaver and ask her to delay depositing the checks until after escrow closed. Once escrow closed, Weaver disbursed funds from the title company’s escrow trust account to Kobra Properties. Kobra Properties then used those funds to cover its down payment and other costs. In this way, it appeared as though Alizadeh was making a substantial down payment when in fact he was not.
On April 29, 2005, Alizadeh submitted a fraudulent purchase contract to Central Pacific Bank, which induced the bank to lend him nearly $4 million for the purchase of 10.3 acres of property. This loan represented over 96 percent loan-to-value ratio. Similarly, on October 21, 2005, Alizadeh received over $22 million in funding and loans to purchase the Turtle Island property, when in actuality, the original purchase price was $10 million. In March 2006, Alizadeh also falsely claimed to Bank of Sacramento that he was paying $36 per square foot for a piece of property where he intended to build a TGI Friday’s restaurant. In reality, Alizadeh was paying only $21 per square foot. This resulted in a $650,000 inflation of the true purchase price. Alizadeh’s entire scheme, involving no fewer than six properties in the Sacramento area, resulted in a loss to various financial institutions of over $22 million.
“The defendant used his reputation as a local business leader to perpetrate a complex fraud scheme to enrich himself at the expense of others,” stated U.S. Attorney Scott. “The U.S. Attorney’s Office will continue to work diligently with its law enforcement partners to expose schemes like this and bring criminals like the defendant to justice.”
“The scope of the fraud is staggering,” said Michael T. Batdorf, Special Agent in Charge, IRS Criminal Investigation. “As a well-known real-estate developer, title companies and banks competed for Mr. Alizadeh’s business. He submitted altered purchase contracts that greatly inflated the purchase price. This scheme cost financial institutions over $22 million. While this sentence cannot reverse the damage caused by Alizadeh and his co-defendant, it highlights the ongoing commitment of IRS-CI to hold accountable those involved
in these types of crimes.”“Today’s sentencing holds defendant Alizadeh accountable for causing more than $22 million in losses to the financial institutions, by corruptly inflating the value of property to obtain millions of dollars in fraudulent bank loans,” stated FDIC Inspector General Jay N. Lerner. “This case is a powerful example of law enforcement cooperation to combat fraud and bring such swindlers to justice.”
This case is the product of an investigation by the Federal Bureau of Investigation, the IRS Criminal Investigation, and the Federal Deposit Insurance Corporation, Office of Inspector General. Assistant U.S. Attorneys Michael D. Anderson and Heiko P. Coppola are prosecuting the case.
On December 15, 2017, Weaver pleaded guilty to one count of wire fraud and one count of bank fraud and is scheduled for sentencing on June 22, 2018. She faces a maximum statutory penalty of 30 years in prison on each count and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
New Mexico Man Indicted for Possessing Firearms in Shasta CountyRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a one-count indictment today against Derek Carl Toledo, 30, of Shiprock, New Mexico. The indictment charges him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court documents, on March 8, 2018, law enforcement officers responded to reports that there was at least one car stopped on the shoulder of Interstate 5 near the exit for Sweetbrier Avenue in Shasta County. One of the people near the stopped car was Toledo, who has a prior felony conviction for arson and is prohibited from possessing a firearm. After investigating the scene, officers found a DPMS A-15 .223-caliber rifle, all components for a Bushmaster BA50 .50-caliber rifle, and three loaded 30-round magazines in Toledo's car.
U.S. Attorney Scott stated, “The Department of Justice has made it a priority for federal prosecutors to work in partnership with local law enforcement to reduce violence in our communities. The prosecution of firearms offenses is one way that we can make our neighborhoods safer. The U.S. Attorney’s Office is committed to working with our partners throughout the Eastern District of California to accomplish this goal.”
Shasta County District Attorney Stephanie A. Bridgett stated: “My office is committed to working with the U.S. Attorney’s Office to identify local offenders suitable for federal prosecution in order to help reduce violent crime in our community. We share the U.S. Attorney’s goal to protect the citizens of Shasta County.”
This case is the product of investigation by the Federal Bureau of Investigation, the United States Forest Service, the California Highway Patrol, and the Shasta County District Attorney’s Office. Assistant U.S. Attorney Amanda Beck is prosecuting the case.
If convicted, Toledo faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Fresno Man Arraigned on Charges of Illegal Firearm PossessionRead the Press Release
FRESNO, Calif. — Elias Muhammad, 21, of Fresno, was arraigned today for a two-count indictment charging him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced. A federal grand jury returned the indictment against him on May 24, 2018.
According to court documents, Muhammad posted pictures of himself holding a firearm that was stamped “Detroit PD.” Investigators later recovered the firearm at a residence in Fresno where Muhammad had been staying. As a previously convicted felon, Muhammad is prohibited from possessing a firearm.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation, and the Fresno Police Department. Assistant U.S. Attorney Laurel J. Montoya is prosecuting the case.
If convicted, Muhammad faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Yuba City Man Charged with Receipt of Child PornographyRead the Press Release
SACRAMENTO, Calif. — On May 24, 2018, a federal grand jury indicted Scott Stephen Howard, 33, of Yuba City, charging him with receipt of child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, Howard knowingly received visual depictions of minors engaged in explicit conduct between November 2014 and April 2016.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorneys Amy Schuller Hitchcock and Matthew G. Morris are prosecuting the case.
If convicted, Howard faces a minimum statutory penalty of five years in prison and a maximum statutory penalty of 20 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
U.S. Attorney Joins Forces with Federal, State and Local Leaders and Experts to Combat the Devastating Environmental Effects of Public-Land Marijuana GrowsRead the Press Release
SACRAMENTO, Calif. — Today, federal, state, and local leaders joined with experts to highlight the devastating damage that illegal, public-land marijuana grows do to our national forests, the wildlife who inhabit them, and the streams and waterways that flow through them.
Making the announcement today were U.S. Attorney McGregor W. Scott; U.S. Department of Agriculture’s Forest Service Director of Law Enforcement and Investigations Tracy Perry; California Attorney General Xavier Becerra; U.S.D.A. Pacific Southwest Regional Forester Randy Moore; Integral Ecology Research Center Director Dr. Mourad Gabriel; California National Guard Major General David Baldwin; Fresno County Sheriff Margaret Mims; Siskiyou County Sheriff Jon Lopey; and the Director of High Intensity Drug Trafficking Areas (HIDTA) program Bill Ruzzamenti.
Every year, acres of marijuana are illegally planted throughout the nation’s pristine public lands; the damage is widespread and long-lasting. While law enforcement have worked for years to eradicate these illegal marijuana grows, new data has emerged to show how they cause far-reaching harm to the environment and threaten public safety.
“Growing marijuana on federal public lands is, and has always been, illegal, and the destruction it wreaks on the environment must be stopped,” said U.S. Attorney Scott. “Our national parks and forests are priceless treasures held in trust for the public to enjoy for generations to come. But these assets are being destroyed by criminal organizations that cultivate millions of marijuana plants on these lands each year for profit. The growing scientific evidence showing the depth and scale of this destruction to the forests, wildlife and waterways is a wake‑up call that we must heed. My office is committed to raising awareness about this issue and joining with our partners to put an end to this profound problem.”
U.S. Department of Agriculture’s Forest Service Director of Law Enforcement and Investigations Tracy Perry stated, “The illegal cultivation of marijuana on National Forest System lands poses a significant risk to the public, to Forest Service employees, and to the environment. The Forest Service is committed to working in partnership with our federal, state and local cooperators to ensure that our National Forests are a safe place to visit and that our precious natural resources are protected for present and future generations.”
“The illegal growth of cannabis is undeniably a major threat to public safety. It is also killing our wildlife, polluting our waters, and destroying our public lands,” said Attorney General Xavier Becerra. “At the California Department of Justice, we work hard with our federal and local law enforcement partners to combat illegal marijuana planting under our Campaign Against Marijuana Planting (CAMP) program. We will enforce California’s cannabis laws to protect our people and those who play by the rules in this emerging industry and we will hold accountable those who don’t.”
Dr. Gabriel of the Integral Ecology Research Center said: “California now has contaminated water, soil, plants and wildlife due to the clandestine actions of those cultivating marijuana on our public lands. We are at a precipice where we can either ignore the prologue of the past when public resources were illegally exploited for monetary gain or proactively conserve these national public lands for future generations to use and enjoy.”
Those who plant and tend the illegal grows use toxic fertilizers, pesticides, and rodenticides that find their way into the soil and streams, and consequently infect, poison, and kill plants and wildlife. Research shows that these poisons are carried away from the grow sites and are ingested by threatened species as well as species that are hunted and consumed by humans for food. One of the deadliest pesticides, carbofuran, which is banned on all crops grown for human consumption, has been increasingly used at these sites with experts finding signs of it at 78 percent of all known grow sites. According to Dr. Gabriel, of the Integral Ecology Research Center, who presented today, 70 percent of northern spotted owls, a federally listed species, tested positive for pesticides. The poisons also find their way into water supplies for towns and cities downstream.
Those responsible for the illegal cultivation also leave behind piles of garbage and waste, including PVC pipes, irrigation lines, gardening tools and human waste, which add to the blight on these previously undisturbed habitats. In addition to the poison and waste, the cultivators divert water to the marijuana plants, drying up streams and reservoirs used for plants, animals and humans. According to Dr. Gabriel, by even a conservative estimate, a single marijuana plant uses about six gallons of water per day. The 1.1 million illegal marijuana plants removed in California in 2016 would have used approximately 1.3 billion gallons of water, which is as much as the consumption of up to three months in the municipality of San Francisco.
According to HIDTA Director Bill Ruzzamenti: “Many public land trespass marijuana cultivation sites and complexes are operated by drug trafficking organizations that are ultimately controlled by Mexican drug cartels. Every year, agents arrest scores of Mexican nationals illegally growing marijuana. While relatively few suspects talk to police, some do, and some claim to be affiliated with Mexican drug cartels, usually naming the Sinaloa Cartel. In 2017, an investigation of a public land marijuana grow site complex in Siskiyou County yielded indications of involvement by the Cartel Jalisco Nueva Generación (CJNG or Jalisco New Generation).”
By bringing together subject matter experts, federal, state, and local law enforcement can reclaim illegal marijuana grow sites, and protect the environment and the public. These efforts will be supported by Congress’s recent appropriate of money to the Forest Service to use in combating this problem.
Former Professional Trustee of Sacramento-Based Trust Charged with Fraud and Money LaunderingRead the Press Release
SACRAMENTO, Calif. — An eight-count indictment was unsealed on Tuesday following the arrest of Loretta Darlene Stewart-Cabrera, 52, of Sacramento, for her role in a scheme to defraud beneficiaries of a trust she administered as a professional fiduciary, U.S. Attorney McGregor W. Scott announced.
On April 26, 2018, a federal grand jury returned an 8-count indictment, charging Stewart‑Cabrera with mail fraud, wire fraud, and money laundering.
According to court documents, Stewart-Cabrera was a professional fiduciary who served as the trustee of a trust. The trust owned a Sacramento property. After the trust grantor died in December 2012, Stewart-Cabrera executed a scheme to obtain and spend the trust assets. Stewart-Cabrera did this by selling the trust’s property, distributing to the trust beneficiaries only approximately $30,000 of the more than $300,000 she received from the sale of the property, and spending the remaining money without the permission or knowledge of the trust beneficiaries. At the time, Stewart-Cabrera was in financial distress. She used a portion of the trust funds to gamble and dine in Las Vegas casinos, pay family members, and purchase merchandise.
This case is the product of an investigation by the Federal Bureau of Investigation and Internal Revenue Service, Criminal Investigation. Assistant U.S. Attorney Brian A. Fogerty is prosecuting the case.
If convicted of the mail fraud and wire fraud counts, Stewart-Cabrera faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. If convicted of the money laundering counts, Stewart-Cabrera faces a maximum statutory penalty of 10 years in prison, and a fine of $250,000 or twice the value of the property involved in the money laundering transactions. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Clovis Resident Sentenced to More than 12 Years in Prison for Running $24 Million Ponzi SchemeRead the Press Release
FRESNO, Calif. — Seth Adam Depiano, 37, formerly of Clovis, was sentenced on Tuesday by U.S. District Judge Dale A. Drozd to 12 years and seven months in prison following his guilty pleas to mail fraud, wire fraud and money laundering charges, U.S. Attorney McGregor W. Scott announced.
According to court documents, Depiano operated a Ponzi scheme that lured real estate investors to give money to Depiano and the businesses he controlled, including The Rental Group, US Funding and Home Services LLC, and Draymond Homes. Depiano fraudulently promised investors that he would use their money to purchase residential properties and either manage the properties for rental income or arrange for them to be renovated and resold. In many cases, Depiano promoted the properties to investors with documents that falsely represented high occupancy rates. Depiano oftentimes had no authority to purchase or sell the properties and misled investors with fraudulent documents misrepresenting the properties’ ownership. Some of the properties Depiano marketed to investors did not even exist.
Depiano frequently used the investors’ money to pay his personal expenses, fund his gambling activities, and finance the settlement of the investors’ civil lawsuits against him. He also paid investors purported rental income that, in fact, was money other investors gave to Depiano for investment purposes.
Depiano admitted to defrauding investors of approximately $24 million and was ordered by the court to pay restitution to investors of more than $19.6 million. Depiano also was ordered to forfeit more than $700,000 seized from several bank accounts and cash, and a baseball card collection valued at more than $31,000.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Christopher D. Baker prosecuted the case.
Stockton Man Sentenced to over 5 Years in Prison in Credit Card Fraud and Identity Theft SchemeRead the Press Release
SACRAMENTO, Calif. — Boone B. Khoonsrivong, 41, of Stockton, was sentenced today by U.S. District Judge Troy L. Nunley to five years and five months in prison for conspiracy to commit credit card fraud and aggravated identity theft in connection with a scheme aimed at Target REDcard account holders across the United States involving hundreds of fraudulent transactions and at least 1,000 victims, United States Attorney McGregor W. Scott announced. Khoonsrivong was also sentenced to a concurrent term of three years for destruction of letter boxes in in Wallace, California, charged in a separate indictment.
According to the indictment charging the credit-card fraud conspiracy, between March 2014 and September 2015, Khoonsrivong and eight co-conspirators stole personal information from victims through various methods. The conspirators then used that information to create unauthorized access devices or otherwise used unauthorized access devices to obtain things of value in excess of $1,000. Part of the scheme involved using unauthorized access devices in the form of Target REDcard account numbers to buy large amounts of electronics, pre-paid gift cards, and other goods at Target locations throughout the Sacramento area, northern California, and elsewhere. The indictment further alleged that Khoonsrivong possessed and used device-making equipment with the intent to defraud.
In all, the indictment alleges that more than 300 counterfeit and unauthorized access devices were possessed, used, produced, or trafficked by members of the conspiracy, and over 1,000 victims have been identified to date as having had their identities compromised as a result of the conspiracy. All of Khoonsrivong’s eight co-defendants have pled guilty, six of the co-defendants have already been sentenced, and two await sentencing.
This case is the product of an investigation by the United States Postal Inspection Service and the Stockton Police Department. Assistant United States Attorneys André M. Espinosa and Rosanne L. Rust are prosecuting the case.
Granite Bay Man Indicted for Illegal Firearm PossessionRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a one-count indictment today against Tamaran Edward Bontemps, 20, of Granite Bay, charging him with possessing a firearm as a felon, U.S. Attorney McGregor W. Scott announced.
According to court documents, on April 18, 2018, law enforcement officers stopped a group of four men in Vallejo after officers noticed a gun-shaped object in one of the men’s clothing. The officers found a 9 mm handgun in the first man’s sweater. During the encounter, one of the officers also saw an object inside Bontemps’ sweatshirt that the officer believed was a gun. Officers searched Bontemps and located a .40 caliber pistol holstered inside Bontemps’ sweatshirt. Bontemps cannot lawfully possess firearms or ammunition because he has previously been convicted of a felony offense.
This case is the product of an investigation by the Federal Bureau of Investigation’s Solano County Violent Crimes Task Force and the Vallejo Police Department.
If convicted, Bontemps faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Butte County Man Sentenced to 33 Months in Prison for National Guard Recruiting FraudRead the Press Release
SACRAMENTO, Calif. —Steel A. Davis, 45, of Chico, was sentenced today by United States District Judge Troy L. Nunley to 33 months in prison for a scheme to obtain bonuses for referring individuals to enlist in the California National Guard, U.S. Attorney McGregor W. Scott announced.
On January 29, 2018, after an eight-day trial, a federal jury found Davis guilty of eight counts of wire fraud.
“Those who receive funds from the government have a duty to follow the law,” said Frank Robey, the director of the U.S. Army Criminal Investigation Command’s Major Procurement Fraud Unit. “This verdict should put those attempting to defraud the U.S. government on notice that there will be consequences for their actions. Our organization and our law enforcement partners will continue to pursue those who erode the rule of law in order to exploit others for their own greed.”
“During his time as a California Army National Guard Recruiter, Steel Davis betrayed public trust by conspiring with others to illegally obtain thousands of dollars in bonus money and kickbacks” said Special Agent in Charge Sean Ragan of the FBI Sacramento field office. “The FBI is committed to working with its investigative partners to identify and vigorously pursue those who engage in public corruption and government fraud.”
According to court documents and evidence presented at trial, the United States Army contracted with a company called Document and Packaging Broker Inc. (DOCUPAK) to administer the Guard Recruiting Assistance Program (G-RAP). Under G-RAP, members of the California National Guard served as Recruiting Assistants. If a Recruiting Assistant referred a potential Guard member to a recruiting office and that person ultimately enlisted, the Recruiting Assistant was eligible to receive a $1,000 payment when a person enlisted and a second $1,000 payment when the recruit left for boot camp.
Davis was a recruiter with the California National Guard and was ineligible to participate in the G-RAP program. However, realizing the potential to make money through G-RAP, Davis gave recruits’ information to his co‑conspirators who had signed up to be Recruiting Assistants. The RAs would then file false claims with DOCUPAK that they had referred the recruits to join the Guard when, in fact, the recruits had joined on their own initiative. When the compensation was received, Davis split the proceeds of the fraud with the Recruiting Assistants.
This trial was the fourth and final trial derived from a multi-agency investigation by the Army Criminal Investigative Command Major Procurement Fraud Unit, the Defense Criminal Investigative Service, and the Federal Bureau of Investigation that began in 2012. In total, 10 former soldiers across the Fresno and Sacramento divisions of the Eastern District of California were convicted of criminal charges for abusing the GRAP program. Separate from the criminal cases, other soldiers agreed to repay bonuses as part of civil settlements with the United States.
This case was the product of an investigation by the Army Criminal Investigation Command Major Procurement Fraud Unit, the Defense Criminal Investigative Service, and the Federal Bureau of Investigation. Assistant United States Attorneys Matthew G. Morris and Katherine T. Lydon prosecuted the Sacramento cases, and Assistant United States Attorney Michael G. Tierney and Trial Attorneys Alexis J. Loeb and Jacklin Chou Lem prosecuted the Fresno cases. Assistant United States Attorney Vincente Tennerelli represented the United States in civil recovery efforts.
Other National Guard members and recruiters have been charged in similar schemes in the Eastern District of California.
- 1:14-cr-109-LJO — Jimmy D. Maldonado, 37, and Mayra L. Maldonado, 31, both of Fresno, were convicted on January 29, 2018, after a jury found them guilty of three counts of wire fraud. On May 21, 2018, Jimmy Maldonado was sentenced to six months in prison, and Mayra Maldonado was sentenced to five years of probation.
- 2:14-cr-153 TLN — Brian Kaps, 44, of Chico, pleaded guilty on November 21, 2014, to one count of wire fraud. He is scheduled to be sentenced on May 31, 2018.
- 2:14-cr-152 TLN — Sarah Nattress, 30, of Paradise, pleaded guilty on October 23, 2014, to one count of wire fraud. She is scheduled to be sentenced on May 31, 2018.
- 2:18-cr-012 TLN — Jason M. Hair, of Paradise, pleaded guilty on January 18, 2018, to one count of wire fraud and one count of making false statements. He is scheduled to be sentenced on July 12, 2018.
- 1:14-cr-107 DAD — Leonardo Pesta, 49, of Mountain View, pleaded guilty on July 27, 2015, to one count of wire fraud and was sentenced to two years of probation.
- 1:14-cr-108-LJO — Nicholas Huerta, 36, of Fresno, pleaded guilty on September 14, 2015, to one count of wire fraud and was sentenced to four years of probation.
- 2:14-cr-151 JAM — Richard C. Sihner, 55, of Elk Grove, was convicted on January 22, 2016, of 18 counts of wire fraud and one count of making false statements following a seven-day jury trial and was sentenced to 30 months in prison.
- 1:14-cr-106 DAD — Joaquin Cuenca, 40, of San Diego, was convicted on February 1, 2016, of three counts of wire fraud and one count of making false statements following a seven-day jury trial. He was sentenced to six months in prison.
Former U.S. Air Force Staff Sergeant Pleads Guilty to Accepting Bribe While Serving in AfghanistanRead the Press Release
A former U.S. Air Force staff sergeant pleaded guilty today to seeking and receiving a bribe from an Afghan contractor while serving in Afghanistan. The sergeant worked at the Humanitarian Aid Yard (HA Yard) at Bagram Airfield in Afghanistan and was involved in the issuance of contracts to replenish supplies at the HA Yard under the Commander’s Emergency Response Program (CERP). The sergeant is the eighth defendant to plead guilty in the investigation of this matter.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney McGregor W. Scott of the Eastern District of California, Special Agent in Charge Matthew J. DeSarno of the FBI’s Washington Field Office’s Criminal Division, Special Inspector General for Afghanistan Reconstruction (SIGAR) John F. Sopko, Special Agent in Charge Robert Craig of the Defense Criminal Investigative Service’s (DCIS) Mid-Atlantic Field Office, Director Frank Robey of the U.S. Army Criminal Investigation Command’s (CID) Major Procurement Fraud Unit (MPFU) and Colonel Kirk B. Stabler, Commander of the Air Force Office of Special Investigations (OSI) made the announcement.
David A. Turcios, 41, currently of San Jose, California, was charged in an indictment filed in July 2017 in the Eastern District of California with two counts of seeking and receiving bribes. The indictment charges him with seeking and receiving $8,500 in bribes from two Afghan contractors who sought contracts for companies with which they were associated. Turcios pleaded guilty to count two of the indictment before U.S. District Court Judge John A. Mendez of the Eastern District of California, in Sacramento. Turcios is scheduled to be sentenced by Judge Mendez on Aug. 28.
Turcios admitted at the time of the guilty plea that, from November 2010 until November 2011, he worked as a U.S. Air Force staff sergeant at the HA Yard. He was the yard supervisor responsible for replenishing supplies such as rice, beans and clothing at the HA Yard and overseeing the loading of trucks that took the supplies off the base. During Turcios’s tenure, approximately nine contracts in which Turcios was involved were awarded to Afghan vendors with a value of over $2 million.
Turcios admitted that as part of his duties at the HA Yard, Turcios worked closely with, among others, an Afghan vendor (the Vendor) who sought to obtain contracts to replenish supplies in the HA Yard for companies with which he was associated. In September 2011, Turcios agreed to allow the Vendor to provide the names of the three companies to be selected on each of the replenishment contracts he oversaw, effectively allowing the Vendor to select the company awarded the respective contract. Because Turcios was nearing the end of his deployment in Afghanistan, he only had time to prepare approximately two contracts with the Vendor and, in October 2011, two contracts in which Turcios was involved were awarded to companies owned by individuals associated with the Vendor.
In late October or early November 2011, just prior to Turcios’s re-deployment to the United States, the Vendor offered Turcios $3,500 in return for Turcios’s actions on behalf of the Vendor as to HA Yard replenishment contracts, Turcios admitted. Turcios thereafter sent several emails urging U.S. Army officials to approve payments to the Vendor in connection with the Vendor’s HA Yard contracts and obtained from the U.S. Army a voucher authorizing payment to the Vendor. In February 2013, the Vendor wire transferred to Turcios’ wife’s bank account $500 of the $3,500 promised.
This matter was investigated by the FBI, SIGAR, DCIS, Army CID-MPFU and Air Force OSI. Trial Attorney Daniel Butler of the Criminal Division’s Fraud Section is prosecuting the case, with assistance from Assistant U.S. Attorney Matthew Yelovich of the Eastern District of California.
Former Santa Rosa Rancheria Director of Education Charged with Theft of Education FundsRead the Press Release
FRESNO, Calif. — A federal grand jury returned an eight-count indictment against Aurora Cuara, 38, of Lemoore, last Thursday, charging her with theft from an Indian tribal organization, U.S. Attorney McGregor W. Scott announced.
According to court documents, Cuara was the director of the Santa Rosa Rancheria Department of Education in Lemoore, which belongs to the Tachi Yokut tribe. The Rancheria operated a higher education program through its Department of Education that allowed Tachi Yokut tribal members to apply to have their higher education tuition and other costs of school attendance, such as child care and books, paid by Santa Rosa Rancheria.
According to the indictment, while overseeing the reimbursement program, Cuara submitted false documentation in order to receive reimbursement for tuition, childcare, mileage and other costs of attending college between 2012 and 2016, even though she was not a student. To support her reimbursement requests, Cuara submitted falsified documents, including fabricated schedules, grade reports, and receipts.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Megan Richards is prosecuting the case.
If convicted, Cuara faces a maximum statutory penalty of five years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Fresno Bank Manager Sentenced to 18 Months in Prison for Bank Fraud and EmbezzlementRead the Press Release
FRESNO, Calif. —Sylvia Ochoa, 35, of Selma, was sentenced Monday by U.S. District Judge Dale A. Drozd to 18 months in prison for embezzlement from a financial institution, U.S. Attorney McGregor W. Scott announced.
According to court documents, Ochoa was the branch manager at the Bank of America’s Fresno branch at 4445 E. Tulare Street. On multiple occasions between March 2013 and October 2013, Ochoa prevented other bank employees from counting the cash in the vault located in the branch. She would then enter the vault after the branch was closed and remove cash to spend on personal expenses. Ochoa also made fraudulent counter credits and transfers into accounts over which she had control, including two accounts she opened in the name of her boyfriend. The money was then spent on personal expenses and items, including a truck, casino gambling, and expensive handbags. Ochoa embezzled at least $165,850 from Bank of America during this time.
This case was the product of an investigation by the Federal Bureau of Investigation and the Fresno Police Department. Assistant U.S. Attorney Michael G. Tierney prosecuted the case.
Bay Area Methamphetamine Trafficker Sentenced to 20 Years in PrisonRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge John A. Mendez sentenced Gordon Owen Miller, 60, of Clayton, to 20 years in prison for methamphetamine trafficking, U.S. Attorney McGregor W. Scott announced.
On February 7, 2018, after a five-day trial, a federal jury found Miller and his co‑defendant Donnie Joe Phillips, 65, of Concord, guilty of conspiracy to distribute methamphetamine. Miller was found guilty of two counts of distribution and two counts of possession with intent to distribute methamphetamine. Phillips was also found guilty of eight counts of distribution and two counts of possession with intent to distribute methamphetamine.
According to trial evidence, between June 2014 and February 2015, Phillips and Miller supplied methamphetamine to co-defendant Phyliss Mosher, 51, of Vallejo, who supplied it to an undercover agent. The drug deals took place in Solano and Yolo Counties. On January 25, 2018, Mosher was sentenced to 15 years in prison after she pleaded guilty to the methamphetamine trafficking conspiracy on May 9, 2017. Phillips is scheduled to be sentenced before Judge Mendez on June 19, 2018.
This case is the product of an investigation by the Drug Enforcement Administration, the El Dorado County Sheriff’s Office, the El Dorado County District Attorney’s Office, the California Highway Patrol, the Vallejo Police Department, and the California Department of Corrections and Rehabilitation. Assistant U.S. Attorneys Jason Hitt and Jill Thomas are prosecuting the case.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Mexican National Pleads Guilty to Distributing MethamphetamineRead the Press Release
SACRAMENTO, Calif. — Today, just as trial was set to begin, Martin Gasca-Rojas, 49, of Mexico, pleaded guilty to three counts of distributing methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, between October 2016 and May 2017, Gasca-Rojas distributed nearly 4 pounds of methamphetamine on three occasions. In October 2016, Gasca‑Rojas sold 1 pound of methamphetamine for $3,300. In November 2016, he arranged a sale of 2 pounds of methamphetamine for $6,500, and had two other individuals deliver the methamphetamine. Finally, in May 2017, he sold 1 pound of methamphetamine for $3,600.
This case is the product of an investigation by the Drug Enforcement Administration and the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). Assistant U.S. Attorneys Audrey B. Hemesath and Owen Roth are prosecuting the case.
Gasca-Rojas is scheduled to be sentenced by U.S. District Judge John A. Mendez on August 21, 2018. Gasca-Rojas faces a maximum statutory penalty of life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Bookkeeper and Associate Sentenced to Prison for Embezzling More Than $1 Million from Fresno BusinessRead the Press Release
FRESNO, Calif. — U.S. District Judge Dale A. Drozd sentenced Brandi Marshall, 41, of Fresno to four years and three months in prison, and Daniel Barrios Jr., 37, of Fresno to two years and seven months in prison for conspiracy to commit wire fraud and bank fraud and conspiracy to launder money in connection with their embezzlement of money from a Fresno business, U.S. Attorney McGregor W. Scott announced.
According to court documents, Marshall was employed as the company’s bookkeeper between October 2014 and March 2016 and was responsible for, among other things, receiving and depositing checks from customers to pay their invoices. During that time, she and Barrios misappropriated more than 100 checks and fraudulently deposited them into Barrios’ personal bank account. Marshall and Barrios used money derived from the fraudulently deposited checks for personal purchases, including more than $35,000 to purchase and accessorize a 2016 Ford Mustang GT, and more than $25,000 to purchase a 2012 Dodge Challenger. Marshall created fictitious entries in the company’s computer accounting application to attempt to conceal the embezzlement. Together, Marshall and Barrios embezzled more than $1 million and were ordered by the court to pay restitution.
This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Christopher D. Baker prosecuted the case.
Bakersfield Man Charged with Interstate Shipping of Heroin, Methamphetamine and CocaineRead the Press Release
FRESNO, Calif. — A federal grand jury returned a six-count indictment today against Juan Pina, 22, of Bakersfield, charging him with conspiracy to distribute and possess with intent to distribute heroin, methamphetamine, and cocaine and other related charges, U.S. Attorney McGregor W. Scott announced.
According to court documents, on November 16, 2017, Pina allegedly paid to ship nearly 300 grams of cocaine through a Bakersfield parcel service to Sioux Falls, South Dakota. On November 30, 2017, Pina shipped a package containing three pounds of methamphetamine to Indianapolis, Indiana. On December 1, 2017, it is alleged that Pina shipped a package containing approximately 1 kilogram of cocaine to Virginia Beach, Virginia. Records obtained from the parcel service indicated that Pina, using the same alias each time, made similar shipments on at least 45 additional occasions.
On May 3, 2018, search warrants were executed for Pina’s residence and vehicle, and additional drugs were recovered at each location.
This case is the product of an investigation by the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) and the Bakersfield Police Department. Assistant U.S. Attorney Brian K. Delaney is prosecuting the case.
If convicted, Pina faces a maximum statutory penalty of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Attorney General Sessions and U.S. Attorney Recognize Law Enforcement Service and Sacrifice During National Police WeekRead the Press Release
SACRAMENTO, Calif. — Attorney General Sessions and McGregor W. Scott, the U.S. Attorney for the Eastern District of California, recognized the service and sacrifice of federal, state, local, and tribal police officers on the occasion of National Police Week, and commented on the FBI’s 2017 Law Enforcement Officers Killed and Assaulted report.
According to statistics collected by the FBI, 93 law enforcement officers were killed in line-of-duty incidents in 2017 — a 21 percent decrease from 2016 when 118 law enforcement officers were killed in line-of-duty incidents.
Additionally, in 2017 there were 46 law enforcement officers killed in line-of-duty incidents as a result of felonious acts — this is a 30 percent decrease from 2016, when 66 law enforcement officers were killed in line-of-duty incidents as a result of felonious acts.
“One officer death is too many,” Attorney General Sessions said. “While we are inexpressibly grateful to have had a decrease in the number of officers killed in the line-of-duty last year, the number is still far too high. At the Department of Justice, we honor the memories of the fallen, and we pray for their families. We are also following President Trump’s Executive Orders to back the women and men in blue, to enhance law enforcement safety, and to reduce violent crime in America. Those priorities will help keep every American safe, including those who risk their lives for us. As always, we have their backs and they have our thanks.”
“This week is a somber reminder of the dangers our law enforcement officers face on our behalf,” U.S. Attorney Scott said. “These officers strive to keep our communities safe and they put their lives on the line in the service of others. We are humbled by the sacrifices they make and we take this opportunity to express our deepest gratitude for their service.”
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
During Police Week, which is observed from Sunday, May 13 to Saturday, May 19, 2018, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty and commitment in keeping our communities safe.
In the last several days, U.S. Attorney Scott and others from the U.S. Attorney’s Office helped to commemorate the selfless service of law enforcement officers by attending the California Highway Patrol Peace Officer Memorial at the CHP Academy, the California Peace Officer Memorial Ceremony at the California Peace Officers Memorial, the Sacramento Peace Officer Memorial, and the Sacramento County District Attorney’s Annual Public Safety and Community Appreciation Luncheon.
Today, we take time to remember the courage by which peace officers live their lives, and we remember the tragic loss of those from our community who died in the line of duty:
CHP Officer Lucas Forrest Chellew, who died in February 2017;
Stanislaus County Deputy Sheriff Jason Allen Garner who died in May 2017; and,
Sacramento County Deputy Sheriff Robert Allan French who died in August 2017.
The names of all 93 fallen officers nationwide will be formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 30th Annual Candlelight Vigil on the evening of May 13, 2018. So that people across the country can experience this unique and powerful ceremony, the vigil will be livestreamed beginning at 5:00 p.m. PDT on May 13th. To register for this free online event, visit www.LawMemorial.org/webcast.
The Candlelight Vigil is one of many commemorative events taking place in the nation’s capital during National Police Week 2018.
For more information about other National Police Week events, please visit www.policeweek.org.
To access the FBI’s 2017 Law Enforcement Officers Killed and Assaulted report, please visit www.fbi.gov.
President of Health Care Company Based in Fresno and Visalia Pleads Guilty to Illegal Use of Client FundsRead the Press Release
FRESNO, Calif. — Mark Merrill Reynolds, 62, of Fresno, pleaded guilty today to unlawfully converting to his own use client funds held by his company, Ben-E-Lect, U.S. Attorney McGregor W. Scott announced.
According to court documents, Reynolds was the president and sole shareholder of Ben‑E-Lect and Ben-E-Lect of Visalia. These companies operated in Fresno and Tulare Counties. Ben-E-Lect’s clients were small to medium sized businesses that purchased high‑deductible, fully insured group medical plans from independent insurance carriers, and then self‑insured beneficiaries for amounts up to the amount of the high deductible. Ben-E-Lect processed the claims using funds that its clients paid into an account known as the Ben-E-Lect Employer Elect account. Ben-E-Lect was required to hold these funds in a fiduciary capacity and to withdraw clients’ funds only for specific purposes, none of which included Ben-E-Lect’s own operational expenses or Reynold’s personal gain.
According to the plea agreement, Reynolds converted funds from the Employer Elect account to his own use by withdrawing funds from the account and then using these funds for business operational expenses of Ben-E-Lect, and to pay his own personal expenses.
This case is the product of an investigation by the Federal Bureau of Investigation and the California Department of Insurance. Assistant U.S. Attorneys Mark J. McKeon and Henry Z. Carbajal III are prosecuting the case. Reynolds is scheduled to be sentenced by U.S. District Judge Lawrence J. O’Neill on August 20, 2018, at 10:45 a.m.
Reynolds faces a maximum statutory penalty of 5 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sacramento Man Pleads Guilty to Identity Theft Scheme While on Probation for Similar OffensesRead the Press Release
SACRAMENTO, Calif. — Tou Fue Lor, 24, of Sacramento, pleaded guilty today to mail fraud, bank fraud, aggravated identity theft, credit application fraud, and unlawful possession of identification documents, all committed while he was on supervised release for similar crimes he had previously committed, U.S. Attorney McGregor W. Scott announced.
According to the plea agreement, on May 20, 2014, Lor was convicted and later sentenced to serve 18 months in federal custody to be followed by three years of supervised release for identity theft offenses. After serving his sentence and while on supervised release, Lor failed to report his whereabouts to federal probation authorities.
Lor admitted in court that between May 2017 and July 2017, he operated a scheme to steal money from banks. Using victims’ stolen identification documents, Lor applied for checking and savings accounts and deposited stolen and altered checks into the accounts. He also applied for a line of credit using the identity of another victim.
According to court documents, on July 11, 2017, law enforcement officers executed a search warrant at Lor’s residence and found evidence of Lor’s fraudulent activity. Lor left the Sacramento area and was arrested in Fresno on February 20, 2018. He pleaded guilty today to the new federal charges and admitted to violations of the terms of his supervised release.
This case is the product of an investigation by the U.S. Postal Inspection Service with assistance from the Roseville Police Department and the California Highway Patrol. Assistant U.S. Attorney Michelle Rodriguez is prosecuting the case.
Lor is scheduled to be sentenced by U.S. District Judge Kimberly J. Mueller on July 30, 2018. Lor faces a maximum statutory sentence of 30 years in prison and a $1 million fine for mail fraud, bank fraud, and credit application fraud, and a mandatory minimum of two years in prison for aggravated identity theft to be served consecutively to any other sentence. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Mexican National Sentenced for Marijuana Cultivation Operation in Sequoia National ForestRead the Press Release
FRESNO, Calif. — Jose Manuel Sanchez-Zapien, aka “Chacal” (Sanchez), 38, a citizen of Mexico from Coalcomán, Michoacán, residing in Dos Palos, was sentenced today to 10 years in prison for conspiring to manufacture marijuana, and manufacturing marijuana in the Sequoia National Forest, U.S. Attorney McGregor W. Scott announced. Sanchez was also ordered to pay $8,665 in restitution to the U.S. Forest Service for damage to public land and natural resources caused by the cultivation operation.
According to court documents, between August 26, 2016 and June 13, 2017, Sanchez delivered supplies to growers at a marijuana cultivation site in Alder Creek in the Sequoia National Forest. The drop point had been used numerous times in the past to bring supplies to marijuana growers in the Slick Rock Creek drainage area. Law enforcement officers found over 20,952 marijuana plants at the Alder Creek site.
Approximately three acres of public land were almost completely stripped of vegetation and the ground was terraced to accommodate the marijuana plants. Large amounts of ammonium nitrate and other fertilizers, Spectracide brand insecticide containers, and trash were scattered throughout the site.
Co-defendant Maximiliano Farias-Martinez allegedly supervised Sanchez and others associated with the site. He is scheduled for trial on November 27, 2018. The charges as to Farias are only allegations, and he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is the product of an investigation by the U.S. Forest Service with assistance from the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the California Department of Fish and Wildlife, the Social Security Administration, Office of the Inspector General’s Office of Investigations, and the Merced Area Gang and Narcotics Enforcement Team (MAGNET). Assistant U.S. Attorney Karen A. Escobar is prosecuting the case.
Fresno Man Sentenced for Laser Strike on Police HelicopterRead the Press Release
FRESNO, Calif. — Michael Vincent Alvarez, 32, of Fresno, Calif., was sentenced today to 18 months in prison for striking Air-1, a Fresno Police Department helicopter, with a powerful green laser beam, U.S. Attorney McGregor W. Scott announced.
According to court documents, on October 22, 2017, Alvarez struck a Fresno Police helicopter several times with a powerful green laser. The laser caused visual interference of the tactical flight officer and disrupted an air support response to a domestic violence call. Alvarez was driving a vehicle on Highway 99 when he pointed the laser at the helicopter and tracked and struck it. When ground units were called to apprehend Alvarez, he drove through the streets of Fresno at a high rate of speed, eluding officers for several miles until he crashed into the center divider at First Street and Floradora Avenue. Following the crash, Alvarez ran into a residential area, jumping several fences until he was arrested in a backyard. A green laser pointer that officers found inside the driver side door pocket of Alvarez’s vehicle had a danger warning on it.
In 2017, the Federal Aviation Administration (FAA) reported 6,771 laser strikes of aircraft or 18.55 per day nationwide. In the Eastern District of California, which encompasses 34 counties in the eastern portion of California, there were over 170 laser strikes reported. Law enforcement and emergency transport helicopters are particularly vulnerable, since they typically fly at lower altitudes. Their convex-shaped windows also cause greater refraction and visual interference when the beam of a laser strikes.
This case was the product of an investigation by the Federal Bureau of Investigation and the Fresno Police Department. Assistant U.S. Attorney Karen Escobar prosecuted the case.
Walnut Creek Man Pleads Guilty to Conducting Illegal Gambling Business in Sacramento and ElsewhereRead the Press Release
SACRAMENTO, Calif. — May Levy, 27, of Walnut Creek, pleaded guilty today to conducting an illegal gambling business, U.S. Attorney McGregor W. Scott announced.
According to court documents, between September 2015 and November 2017, Levy conducted an illegal gambling business in concert with his co-defendants, Eran Buhbut, 32, of Oakland; Yaniv Gohar, 34, of Berkeley; and Orel Gohar, 27, of San Francisco, as a part of the Gohar organization. In violation of California law, members of the Gohar organization, including Levy, installed and maintained video slot machines at businesses open to the public across Northern California. Levy and other members of the Gohar organization then split the proceeds from these illegal gambling machines with the owners of the small businesses in which the machines were installed. Levy was responsible for machines placed in businesses in Stockton, Sacramento, Concord, Hayward, Antioch, El Cerrito, San Pablo, Richmond, San Jose, Watsonville, and Salida. Levy collected approximately $3,000 to $4,000 per week from these locations on behalf of the organization.
This case is the product of an investigation by the Federal Bureau of Investigation and California Department of Justice – Bureau of Gambling Control. Assistant U.S. Attorneys Matthew M. Yelovich and Miriam R. Hinman are prosecuting the case.
Levy remains out of custody pending sentencing. Buhbut is set for a status conference on June 1, 2018. Yaniv Gohar and Orel Gohar failed to appear at January court hearings, and warrants have been issued for their arrest.
Levy is scheduled to be sentenced by U.S. District Judge Garland E. Burrell, Jr. on August 3, 2018. Levy faces a maximum statutory penalty of five years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sacramento Man Sentenced for Bank Fraud and Identity Theft Scheme Using Stolen U.S. MailRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced a Sacramento man today for his participation in a scheme that involved stealing and deconstructing U.S. Postal Service locks to reverse engineer keys in order to steal U.S. Mail, steal identities and defraud financial institutions, U.S. Attorney McGregor W. Scott announced.
Billee Vang, 27, was sentenced to two years and eight months in prison and ordered to pay $5,733 in restitution. On November 17, 2017, Vang and his co-defendant, Dang Vue, 28, of Sacramento pleaded guilty to bank fraud, aggravated identity theft, theft of stolen U.S. mail, stealing and reproducing postal service locks and keys, and unlawful possession of at least five identification documents for fraudulent purposes.
According to court documents, between January 13, 2017, and May 12, 2017, Vang and Vue stole mail throughout Sacramento and Placer Counties, including neighborhoods in Roseville, Elk Grove, and Sacramento. As part of their criminal scheme, the defendants stole Postal Service locks and used them to reverse engineer keys to open neighborhood mailbox units and steal mail from them.
Vang and Vue used the stolen mail, including checks and identification documents, to take over victim bank and credit accounts. Additionally, they used and attempted to use credit and debit cards, credit card convenience checks, and personal checks that had been stolen from postal customers to conduct unauthorized transactions at the expense of federally insured financial institutions.
On May 12, 2017, when arrested in Elk Grove, the defendants were found to possess numerous reverse engineered counterfeit keys, metal filing tools, pry bars and other burglary tools, and stolen U.S. mail from neighborhood mailbox units. On April 27, 2018, Vue was sentenced to three years and nine months in prison and ordered to pay $5,733 in restitution.
This case was the product of an investigation by the U.S. Postal Inspection Service with assistance from Elk Grove Police Department, Sacramento County Sheriff’s Office, and Roseville Police Department. Assistant U.S. Attorney Michelle Rodriguez prosecuted the case.
Jury Finds Vallejo Man Guilty of Passing Counterfeit CurrencyRead the Press Release
SACRAMENTO, Calif. — A federal jury found John Lamont Winn, 53, of Vallejo, guilty today of passing counterfeit $100 bills, U.S. Attorney McGregor W. Scott announced.
According to court documents and evidence presented at trial, on June 13, 2017, Winn and two associates passed approximately $6,600 over six transactions in less than one hour at a casino in Lincoln, California. Those bills were detected as counterfeit by the casino’s bank. On June 16, 2017, Winn and another associate passed approximately $29,200 in counterfeit currency at two banks in Vallejo. The bills were held aside by the bank on the basis of their appearance, and they were later determined by the Secret Service to be counterfeit.
This case is the product of an investigation by the United States Secret Service. Assistant U.S. Attorneys Matthew G. Morris and Quinn Hochhalter are prosecuting the case.
Winn is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on August 2, 2018. Winn faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Citrus Heights Man Indicted for Receipt of Child PornographyRead the Press Release
SACRAMENTO, Calif. — Emanuel Mois, 25, of Citrus Heights, was arraigned today on an indictment charging him with receipt of child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, Mois knowingly received visual depictions of minors engaged in sexually explicit conduct between November 2016 and February 2017.
This case is the product of an investigation by the Federal Bureau of Investigation and the Citrus Heights Police Department, with assistance from the Roseville Police Department. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
If convicted, Mois faces a minimum statutory penalty of 15 years in prison and a maximum penalty of 40 years in prison, as well as a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Trucking School Owner Pleads Guilty to Conspiring to Commit Bribery and Identity FraudRead the Press Release
SACRAMENTO, Calif. — Mangal Gill, 58, of San Ramon, pleaded guilty today to two counts of conspiracy to commit bribery and identity fraud, U.S. Attorney McGregor W. Scott announced.
According to court documents, Gill owned Central Truck Driving School, which had locations in Fremont, Lathrop, Fresno, and Salinas. Between April 2012 and April 2015, Gill conspired with employees of the California Department of Motor Vehicles (DMV) and others to fraudulently obtain commercial driver’s licenses (CDL) for Gill’s truck school students and others who did not take or pass the written or the behind-the-wheel driving examinations. Gill received money from those wishing to obtain a CDL and, in turn, paid money to the DMV employees, who would access the DMV’s database to alter records indicating that the individuals had passed tests when, in fact, they had not passed them or, in some instances, taken any examination at all. As a result, individuals were able to obtain driver’s licenses, including commercial licenses to operate tractor-trailer trucks, without having taken and passed the requisite written or behind-the-wheel driving tests.
This case is the product of a series of ongoing investigations by the Federal Bureau of Investigation, the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), and the California DMV, Office of Internal Affairs. Assistant U.S. Attorneys Todd A. Pickles and Rosanne Rust are prosecuting the case.
Co-defendant Andrew Kimura, a DMV employee, previously pleaded guilty to conspiracy to commit bribery and identity fraud and was sentenced to three years and 10 months in prison. Emma Klem, another DMV employee, and Kulwinder Dosanjh Singh, a broker, also previously pleaded guilty to conspiracy to commit bribery and identity fraud as part of the same investigation in United States v. Klem, 2:15-cr-00139 GEB, and United States v. Kulwinder Dosanjh, 2:15-cr-00146 GEB, respectively. They are awaiting sentencing.
Trial has been set for co-defendants Pavittar Dosangh Singh and Robert Turchin for June 19, 2018. The charges against them are only allegations; these defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Gill is scheduled to be sentenced by U.S. District Judge Garland E. Burrell Jr. on July 13, 2018. Gill faces a maximum statutory penalty of 10 years in prison and a $250,00 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sacramento Man Sentenced for Bank Fraud and Identity Theft Scheme Using Stolen U.S. MailRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced a Sacramento man today for his participation in a scheme that involved stealing and deconstructing U.S. Postal Service locks to reverse engineer keys in order to steal U.S. Mail, steal identities and defraud financial institutions, U.S. Attorney McGregor W. Scott announced.
Dang Vue, 28, was sentenced to three years and nine months in prison. On November 17, 2017, Vue and his co-defendant, Billee Vang, 27, pleaded guilty to bank fraud, aggravated identity theft, theft of stolen U.S. mail, stealing and reproducing postal service locks and keys, and unlawful possession of at least five identification documents for fraudulent purposes.
According to court documents, between January 13, 2017, and May 12, 2017, Vue and Vang stole mail throughout Sacramento and Placer Counties, including neighborhoods in Roseville, Elk Grove, and Sacramento. As part of their criminal scheme, Vue and Vang stole Postal Service locks and used them to reverse engineer keys to open neighborhood mailbox units and steal mail from them.
Vue and Vang used the stolen mail, including checks and identification documents, to take over victim bank and credit accounts. Additionally, they used and attempted to use credit and debit cards, credit card convenience checks, and personal checks that had been stolen from postal customers to conduct unauthorized transactions at the expense of federally insured financial institutions.
On May 12, 2017, when arrested in Elk Grove, the defendants were found to possess numerous reverse engineered counterfeit keys, metal filing tools, pry bars and other burglary tools, and stolen U.S. mail from neighborhood mailbox units.
This case is the product of investigation by the U.S. Postal Inspection Service with assistance from the Elk Grove Police Department, the Sacramento County Sheriff’s Office, and the Roseville Police Department. Assistant U.S. Attorney Michelle Rodriguez is prosecuting the case.
Vang is scheduled to be sentenced by Judge Burrell on May 4, 2018. He faces up to 30 years in prison for the bank fraud convictions, and a mandatory consecutive two years in prison for aggravated identity theft. He also faces up to five years in prison for theft of U.S. Mail, 10 years in prison for stealing and reproducing postal service locks and keys, and 15 years in prison for possessing over five identity documents for purposes of fraud.
Former Social Security Administration Employee Sentenced for Conspiring to Commit Immigration Fraud and Falsifying Government RecordsRead the Press Release
SACRAMENTO, Calif. —Nelli Kesoyan, 46, of Rancho Cordova, was sentenced today to four years and nine months in prison for conspiring to make false statements in a matter related to naturalization and citizenship and to obstruct, impede, or influence a pending agency proceeding, and for falsifying government records, U.S. Attorney McGregor W. Scott announced.
In addition, U.S. District Judge Garland E. Burrell Jr. sentenced co-defendant, Vanik Movsesyan, 61, of Burbank, to 21 months in prison for his role in the conspiracy. Kesoyan’s husband, Grigor Kesoyan, previously pleaded guilty for his role in the conspiracy and was sentenced to time served.
According to evidence presented at trial, Kesoyan, a long-time Social Security Administration (SSA) employee in Sacramento, abused her position as a claims representative to create false documents and to falsify government records in an attempt to help Movseysan commit fraud in two naturalization applications. Kesoyan also served as Movsesyan’s translator during two naturalization interviews and assisted him in making false sworn statements during those interviews. When U.S. Citizenship and Immigration Services (USCIS) officers began to investigate the false statements, Kesoyan and Movsesyan produced additional false documents and encouraged others to lie to immigration officials in an effort to obstruct the investigation.
In imposing a nearly five-year sentence, Judge Burrell expressed his hope that the sentence would send a message to others who might engage in immigration fraud, obstruct government investigations, and abuse their positions of public trust as government employees. Judge Burrell stated that Kesoyan had “demonstrated contempt for the law, those who enforce it, and the legal process.” Describing Kesoyan’s conduct as “egregious,” Judge Burrell further found that Kesoyan’s abuse of her position as an SSA employee “undermined the fair, effective manner under which agencies are intended to operate and undermined trust in public records.”
This case is the product of an investigation by the Social Security Administration’s Office of Inspector General, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the IRS Criminal Investigation, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Nirav K. Desai and Jeremy J. Kelley are prosecuting the case.
San Francisco Business Owner Sentenced in Bid-Rigging Conspiracy Involving State Government ContractsRead the Press Release
SACRAMENTO, Calif. — John Brewer, 48, of San Francisco, was sentenced today by U.S. District Judge Morrison C. England Jr. to 15 months in prison for bid rigging, U.S. Attorney McGregor W. Scott announced.
According to court documents, Brewer and his co-defendant, Brent Vinch, were the owners of, and senior executives for, a company called Expert Network Consultants (ENC), which submitted bids to the State of California for various government contracts. Brewer admitted that from 2008 through early 2012, he conspired with co-defendants Vinch and Loraine Dixon, among others, to rig the state’s competitive bidding process by creating inflated bids for submission by co-conspirators to state contracting agencies in an effort to ensure that Expert Network Consultants received the contracts. Brewer solicited bids from individuals and companies that had no intention or ability to perform the work called for in the contracts, and Brewer directed Vinch to create and submit noncompetitive bids. In total, ENC won more than 40 state contracts as a result of the bid-rigging conspiracy from multiple state agencies, including the Employment Development Department, Department of Justice, Department of Motor Vehicles, and Department of Insurance. The value of those contracts exceeded $3 million.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Matthew M. Yelovich is prosecuting the case. The United States is grateful for the assistance of the California Attorney General’s Office in conducting the initial investigation into this matter and referring it to the U.S. Attorney’s Office.
Co-defendant Vinch pleaded guilty to bid rigging on December 14, 2017, and is awaiting sentencing. Charges are pending against Dixon. The charges against her are allegations, and she is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Modesto Doctor Arrested for Illegally Prescribing OpioidsRead the Press Release
FRESNO, Calif. — A Modesto physician, Sawtantra Kumar Chopra, 71, was arrested today, charged with prescribing opioids to patients outside the usual course of professional practice and not for a legitimate medical purpose. On April 19, 2018, a federal grand jury in Fresno brought a 22-count indictment against Chopra. He was arrested at his home in Modesto.
U.S. Attorney McGregor W. Scott and California Attorney General Xavier Becerra made the announcement today.
“Medical professionals who abuse their position of trust and fuel the opioid epidemic for profit will be held responsible,” said Attorney General Xavier Becerra. “Prescription drug abuse is a serious public health crisis that harms families and communities throughout California. Combatting the epidemic and healing our communities takes a team effort. At the California Department of Justice, we will use every tool at our disposal to prosecute bad actors and protect the public.”
U.S. Attorney Scott stated: “Diversion of drugs with a legitimate purpose to those who abuse them or sell to abusers is a costly and dangerous enterprise. Fortunately, with the cooperative efforts of our state and local partners, we have the ability to track powerful prescription drugs and find those who attempt to divert them. The U.S. Attorney’s Office has made it a top priority to prosecute those who engage in prescription drug diversion.”
“Physicians prescribing powerful medications without legitimate medical purpose is both wrong and illegal,” stated DEA Acting Special Agent in Charge Jerry A. Miller. “DEA will continue to use every tool available to hold unscrupulous practitioners accountable.”
According to the indictment, between March 2017 and March 2018, on 22 occasions Chopra prescribed highly addictive, commonly abused prescription drugs, including hydrocodone, alprazolam (Xanax), and Promethazine with codeine syrup — outside the usual course of professional practice and not for a legitimate medical purpose. These controlled substances affect the central nervous system and may only be prescribed when medically required.
This case is the product of an investigation by the California Department of Justice, Bureau of Medi-Cal Fraud and Elder Abuse Drug Diversion Team, the Drug Enforcement Administration, the Federal Bureau of Investigation, and the IRS Criminal Investigation. Assistant U.S. Attorney Vincenza Rabenn is prosecuting the case.
If convicted, Chopra faces a maximum statutory penalty of 20 years in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Mexican Nationals Indicted for Methamphetamine SalesRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment Thursday against Jesus Alberto Lopez-Retamoza, 31, a Mexican citizen residing in Kern County, and Hugo Lemus, 29, and Alejandro Lemus, 24, both Mexican citizens residing in Tulare County. The indictment charges them with conspiracy to distribute methamphetamine, as well as possession with intent to distribute methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, over the course of several weeks, Alejandro Lemus and Hugo Lemus coordinated a large methamphetamine sale with a customer. On April 18, 2018, the day of the deal, Alejandro Lemus and Hugo Lemus met in Wasco with the customer, who was an informant. While the three were discussing the transaction, Lopez-Retamoza arrived and showed the customer a plastic bag containing approximately one pound of suspected methamphetamine. Hugo Lemus and Lopez-Retamoza then went to a residence in Wasco and retrieved an additional 10 pounds of suspected methamphetamine. When they returned to the meeting location where Alejandro Lemus was waiting, they were all arrested and the methamphetamine was seized.
This case is the product of an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Southern Tri-County High Intensity Drug Trafficking Area Task Force, the Kern County Sheriff’s Department, the California Highway Patrol, the Drug Enforcement Administration, the Bakersfield Police Department, and Customs and Border Protection. Assistant U.S. Attorney Angela Scott is prosecuting the case.
If convicted, the defendants each face a maximum statutory penalty of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Three Sacramento Men Indicted for Trafficking MethamphetamineRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a four-count indictment today against Jose Luis Romero, 53; Salvador Padilla III, 38; and Eberardo Mendez, 50, all of Sacramento, charging them with distributing methamphetamine and conspiracy to do the same, U.S. Attorney McGregor W. Scott announced.
According to court records, an undercover agent met with Romero on three occasions in December 2017 and February 2018 to purchase methamphetamine. Surveillance units saw Romero meeting with Padilla before and after each transaction, and court documents allege that Padilla was supplying Romero with the narcotics for each meeting. Court records also allege that Mendez served as a courier for two of the meetings, taking at least two pounds of methamphetamine from Padilla to Romero to facilitate the undercover purchases. In all, law enforcement bought over three pounds of methamphetamine from Romero directly during this investigation.
This case is the product of an investigation by the Drug Enforcement Administration with special assistance from the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
If convicted of any of the charges, each defendant faces a mandatory minimum penalty of 10 years in prison, and a maximum penalty of life in prison and a $10 million fine. Any sentence would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account several variables. These charges are only allegations; the defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Sacramento Man Indicted for Being a Felon in Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a one-count indictment today against Tony Cong Van, 31, of Sacramento, charging him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court documents, Van was arrested on February 2, 2018, after a traffic stop resulted in the seizure of a Glock 27 pistol with a high-capacity magazine loaded with 29 rounds of ammunition. Because Van was previously convicted of felonies in Sacramento County, he is prohibited from possessing firearms.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Sacramento Police Department, and the Sacramento County District Attorney’s Office. Assistant U.S. Attorney Justin Lee is prosecuting the case.
If convicted, Van faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Multistate Serial Bank Robber Sentenced for Robberies in California, Nevada, and UtahRead the Press Release
SACRAMENTO, Calif. — Gregory Jerome Brown, 28, of Bountiful, Utah, was sentenced today by U.S. District Judge Kimberly J. Mueller to five years and three months in federal prison, to be followed by three years of supervised release, for robbing three banks, U.S. Attorney McGregor W. Scott announced.
According to court documents, Brown robbed three banks in three different states. Brown wrote his demands on index cards, and in two instances, Nevada and Utah, he threatened tellers in demand notes with a gun. After the robberies, Brown rode away on his motorcycle. After the Utah bank robbery, Brown fled south and was apprehended in Phoenix, Arizona. At his guilty plea, Brown admitted that he robbed the following banks:
- On October 13, 2017, he robbed the Wells Fargo Bank at 338 Elm Avenue, Auburn, California;
- On October 14, 2017, he robbed the Wells Fargo Bank at 2895 Northtowne Lane, Reno, Nevada;
- On November 8, 2017, he robbed the America First Credit Union at 2928 East Mall Drive, Saint George, Utah.
This case was the product of an investigation by the Federal Bureau of Investigation with assistance from the Auburn Police Department, the Reno Police Department, the Saint George Police Department, and the Pleasant Grove Police Department. Assistant U.S. Attorney Michelle Rodriguez prosecuted the case.
Jury Convicts Sacramento Man of Fraud in Connection with Arson SchemeRead the Press Release
SACRAMENTO, Calif. — After a four-day trial, a federal jury found Brian J. Stone, 59, of Sacramento, guilty today of 13 counts of wire and mail fraud, U.S. Attorney McGregor W. Scott announced.
According to evidence presented at trial, Stone devised a plan to get fire insurance money from State Farm based on false statements about who had performed cleanup work after a fire at 2764 Fulton Avenue in Sacramento in June 2013.
In late 2012, co-defendant Jamal Shehadeh had rented space at that location in the name of a supposed auto parts supply business. Stone, a disbarred attorney, had been helping Shehadeh unsuccessfully fight an eviction action during the months prior to the fire. On the night the eviction took effect, the fire occurred at 2764 Fulton, and the supposed auto parts business later filed an insurance claim with State Farm. While helping with the insurance claim, Stone recruited a local contractor to create a fake invoice and lie to State Farm regarding debris removal work performed after the fire. In a series of emails, Stone directed the local contractor to keep 10 percent of the money that they would get from State Farm from this fraud, and send the other 90 percent to Stone in a cashier’s check.
The scheme was uncovered when the local contractor reported it to State Farm. The FBI later executed search warrants of Stone’s office and email account, finding copies of documents outlining the fraud.
This case is the product of an investigation by the Federal Bureau of Investigation and IRS Criminal Investigation, with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Sacramento Fire Department; the Sacramento Metropolitan Fire Department; and the Sacramento Sheriff’s Department. Assistant U.S. Attorneys Michael D. Anderson and Christopher S. Hales prosecuted the case.
Two other defendants were charged in the same case. Jamal Shehadeh pleaded guilty to two counts of arson to commit a felony on February 10, 2018, including the 2764 Fulton Avenue fire, and was sentenced to 30 years in prison. Charges against Saber Shehadeh are pending with trial scheduled to start on May 14, 2018. The charges against Saber Shehadeh are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Stone is scheduled to be sentenced by U.S. District Judge Morrison C. England Jr. on July 12, 2018. Stone faces a maximum statutory penalty of 20 years in prison and a $250,000 fine for each count of conviction. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Solano County Man Sentenced to 11 Years in Prison for Drug and Firearms OffensesRead the Press Release
SACRAMENTO, Calif. — Maurice Antoine Jefferson, 50, of Vacaville, was sentenced today by U.S. District Judge Morrison C. England Jr. to 11 years in prison for possessing marijuana for distribution near a school zone, possessing cocaine for distribution, and possessing a firearm as a felon, U.S. Attorney McGregor W. Scott announced.
According to court documents, Jefferson was the sole proprietor of the Shredders Federation clothing store in Vacaville. He allegedly used the business as a cover to distribute marijuana and cocaine to high school students and others and as a front for money laundering. When agents executed a search warrant at the store in August 2016, they found 6.4 pounds of marijuana, 129 grams of cocaine, and other indicia of drug distribution. Jefferson was carrying a 9 mm pistol with him when Vacaville Police Officers arrived at the business. Jefferson has a felony conviction and is not allowed to possess any firearms.
In January 2018, Jefferson pleaded guilty to possessing marijuana with the intent to distribute it within 1,000 feet of the Will C. Wood High School in Vacaville. During the same hearing, Jefferson also pleaded guilty to possessing cocaine for distribution and possessing a firearm as a felon.
This case was the product of an investigation by the Vacaville Police Department and the Napa Special Investigations Bureau, with assistance from the Solano County District Attorney’s Office.
Sacramento Man Charged with Firearm Offenses and Possession of MethamphetamineRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against John Allan Trotter, 36, of Sacramento, charging him with possession of a firearm in furtherance of a drug trafficking offense and possession with intent to distribute methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, on February 8, 2018, Trotter was arrested after leading Sacramento County Sheriff’s detectives on a high-speed chase. Trotter crashed his car and ran from law enforcement officers before being apprehended. Trotter had a loaded gun, methamphetamine, and scale in his car at the time of the crash.
This case is the product of an investigation by the Sacramento County Sheriff’s Department, Sacramento County District Attorney’s Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Justin Lee is prosecuting the case.
If convicted of possession of a firearm in furtherance of a drug trafficking offense, Trotter faces a mandatory minimum statutory penalty of five years in prison and up to life in prison and a $250,000 fine. If convicted of possession with intent to distribute methamphetamine, he faces a penalty of 20 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.
Rocklin Man Sentenced for Mortgage Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — Aleksandr Kovalev, 54, of Rocklin, was sentenced today by U.S. District Judge Morrison C. England Jr. to three years and 10 months in prison for wire fraud involving financial institutions, U.S. Attorney McGregor W. Scott announced.
According to court documents, Kovalev was in the business of developing, building and selling real property in Sacramento, Fairfield, and Stockton. As the real estate market began to weaken, Kovalev offered to make incentive payments to purchasers, through “down payment assistance” or by making other payments to the buyers to be used in whatever manner the buyers wanted. Most of the payments to the buyers were out of escrow and were often paid through intermediaries, originating in Kovalev’s bank account. These payments were not disclosed to the lenders, and had the effect of substantially reducing the sales price below what was represented to the lenders.
Dozens of properties were involved in Kovalev’s mortgage fraud scheme, with several million dollars of losses to the lenders. Kovalev is the last to be sentenced out of nine individuals who were prosecuted as part of this mortgage fraud scheme.
This case was the product of an investigation by the Federal Bureau of Investigation and the IRS Criminal Investigation. Assistant U.S. Attorney Todd A. Pickles prosecuted the case.
Modesto Tax Return Preparer Charged with Tax FraudRead the Press Release
FRESNO, Calif. — On April 5, 2018, a federal grand jury returned an 11-count indictment against Chris Donell Smith, 54, of Stockton, charging him with assisting in the preparation of false tax returns, U.S. Attorney McGregor W. Scott announced.
According to the indictment, Smith prepared federal income tax returns for New Covenant Tax & Accounting in Modesto. He allegedly prepared fraudulent returns for a number of his clients that reported false items or dollar amounts without their knowledge or consent. For some of these clients, he prepared a correct tax return which he gave the client, but then electronically filed a fraudulent return claiming a higher refund. He directed that the payment of the refund be split, with the amount the client expected going into the client’s own bank account and the additional higher amount going into an account controlled by Smith. The indictment charges that Smith defrauded the IRS of approximately $63,000.
This case is the product of an investigation by the Internal Revenue Service, Criminal Investigation. Assistant U.S. Attorney Mark J. McKeon is prosecuting the case.
If convicted, Smith faces a maximum statutory penalty of three years in prison and a $250,000 fine on each count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Arrests Made as Multi State Drug Trafficking Organization Is DismantledRead the Press Release
FRESNO, Calif. — Six members of a drug trafficking organization were arrested this week as part of a multi-agency investigation, which included the seizure of multiple pounds of methamphetamine, heroin and cocaine in the Central Valley, Alaska, and Tacoma, Washington, U.S. Attorney McGregor W. Scott announced.
The arrests and seizures relate to an indictment returned by a federal grand jury on April 5, 2018, charging members of a multistate drug trafficking organization with conspiracy to distribute and possess with intent to distribute controlled substances, including methamphetamine, cocaine, and heroin. The seizures this week included 45 pounds of methamphetamine, four pounds of heroin and three pounds of cocaine.
Indicted members of the drug trafficking organization include Alecia Trapps, 54, of Manteca; Jimmy Brantley, 40, of Manteca; Carmen Conejo, 51, of Long Beach; Ernest Westley, 60, of Modesto; Sheena Taylor, 41, of Modesto; and Joseph Vasquez, Jr., 32, of Modesto.
According to court documents, between January 1, 2015, and April 11, 2018, the defendants conspired to distribute controlled substances such as methamphetamine, heroin, or cocaine in Modesto and in Juneau, Alaska.
This case is the product of a year-long investigation by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the United States Postal Inspection Service, the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the Central Valley Gang Impact Task Force, Modesto Police Department, Manteca Police Department, California Highway Patrol, Stanislaus County District Attorney’s Office, Whatcom County Sheriff’s Department (Washington), Pierce County Sheriff’s Department (Washington), and Juneau Police Department (Alaska). Assistant U.S. Attorneys Melanie L. Alsworth and Laurel J. Montoya are prosecuting the case.
If convicted, the defendants face a mandatory minimum sentence of 10 years and up to life in prison, and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Mexican National Sentenced for Destructive Marijuana Cultivation Operation in Sierra Mountains in Tulare CountyRead the Press Release
FRESNO, Calif. — Cristobal Chavez-Rocha, 31, of Michoacán, Mexico, was sentenced Monday by U.S. District Judge Dale A. Drozd to two years and two months in prison and ordered to pay $32,712 in restitution to the U.S. Bureau of Land Management for the damage to public land and natural resources, U.S. Attorney McGregor W. Scott announced.
On January 22, 2018, Chavez-Rocha pleaded guilty to conspiracy to manufacture marijuana. According to the plea agreement, on May 24, 2017, a search warrant was executed on Bureau of Land Management lands in the Sierra Mountains in Tulare County. When law enforcement officers identified themselves, Chavez-Rocha began running uphill and was ultimately arrested. A total of 4,612 plants were eradicated from the grow site. Chavez-Rocha admitted that he was hired to take care of the marijuana plants at that location and that he had been living at the grow site.
The marijuana cultivation operation caused extensive damage to the land and natural resources. Toxic pesticides and fertilizers, miles of plastic irrigation lines, and large amounts of trash were found, and Native vegetation was removed to make room for the marijuana plants. The marijuana cultivation resulted in damage to public lands, and the cost to the United States to reclaim and restore the illegal grow site to its natural state will be approximately $32,217.
This case was the product of an investigation by the U.S. Bureau of Land Management, the California Army National Guard’s Counterdrug Task Force, the U.S. Forest Service, the U.S. Park Police Marijuana Interdiction Group, and the Southern Tri-County High Intensity Drug Trafficking Area Task Force. Assistant U.S. Attorney Brian K. Delaney prosecuted the case.