District of Colorado
Press releases recorded for this federal judicial district.
Indian National Sentenced to 10 Years in Federal Prison for Money Laundering ConspiracyRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that Dhruv Jani, age 40, formerly of Wray, Colorado, was sentenced to 10 years in prison for conspiring to commit money laundering. Additionally, he was ordered to pay $1,163,947.28 in restitution.
According to the plea agreement, starting in January 2020, Jani was part of a conspiracy to launder funds obtained from a government official imposter scheme. Victims in the United States were contacted by telephone and coerced into believing they were under investigation by “Agents” of federal law enforcement agencies (the FBI, SSA, DHS, Treasury, or U.S. Drug Enforcement Administration). Victims were told that their identities had been connected to a criminal incident, that their imminent arrest and/or deportation from the United States had been ordered by law enforcement, and that the only way to avoid arrest and or deportation was to pay the “Government” large sums of money. The “Agent” then convinced the victim to package and ship the cash to alleged government officials via Federal Express or United Parcel Service. Many of these same victims were also directed to mail packages of cash to individuals in other states.
“We must protect our elderly and our vulnerable citizens,” said U.S. Attorney Cole Finegan. “Making victims fearful, this defendant created a scheme that cheated them out of more than a million dollars. For this, he will now spend years in federal prison.”
“This sentence holds Mr. Jani accountable for his malicious acts of orchestrating Social Security-related and government imposter scams that preyed upon vulnerable persons,” said Gail S. Ennis, Inspector General for the Social Security Administration. “My office will continue to work closely with our law enforcement partners to pursue those who victimize unsuspecting persons, often elderly, to deprive of them of their Social Security benefits and resources. I thank the United States Postal Inspection Service, Department of Homeland Security-OIG, Homeland Security Investigations, and the Sterling, Colorado Police Department for their investigative efforts and U.S. Attorney’s Office for prosecuting this case.”
“The U.S. Postal Inspection Service is committed to ensuring these types of predatory schemes are investigated aggressively,” said U.S. Postal Inspector in Charge Bryan Musgrove of the Denver Division. “It is imperative that we work with our law enforcement partners to protect our Postal customers, the American people, who unknowingly fall prey to these schemes. We will not allow fraudsters to utilize the mail or USPS products and services to further their crimes.”
“Operators of call centers relentlessly target the elderly to steal every penny of their hard-earned life savings.” said Eric DeLaune Acting Special Agent in Charge, HSI New Orleans. “Thanks to the hardworking agents of HSI and the prosecution team with the U.S. Attorney’s Office Jani will be held accountable for his contemptible crimes. HSI continues to investigate cross border call centers like these to stop the abuse of the elderly.”
United States District Court Judge Raymond P. Moore sentenced Jani on September 21, 2023. After Jani serves his term of incarceration he will be deported to India.
This investigation is being conducted jointly with investigators from the Social Security Administration (SSA) Office of Inspector General (OIG), United States Postal Inspection Service, Department of Homeland Security-OIG, Homeland Security Investigations (HSI), and the Sterling, Colorado Police Department. The District Attorney for the 13th Judicial District has also provided assistance. This case is being prosecuted by Assistant U.S. Attorneys Martha A. Paluch and Laura B. Hurd.
Case number: 22-cr-202
Thornton Man Charged as Felon in Possession of a FirearmRead the Press Release
Denver—The United States Attorney’s Office for the District of Colorado announces that 36-year-old Dean Fabiano, of Thornton, has been charged by criminal complaint with Possession of a Firearm by a Prohibited Person.
According to the criminal complaint unsealed in federal court, Fabiano has multiple felony convictions that prohibit him from possessing firearms and ammunition. When, on September 6, 2023, federal law enforcement executed a search warrant at Fabiano’s home, they found 18 firearms, as well as various firearms parts, suspected drugs, potential destructive devices, and Nazi memorabilia and drawings. During the search, law enforcement found a letter from a storage facility where Fabiano rented a storage unit. Law enforcement then obtained and executed a search warrant at the storage unit, where they found more firearms and firearm parts.
The Defendant made his initial appearance in federal court in Denver on September 8, 2023, where he was advised by United States Magistrate Judge Neureiter of the charge pending against him.
This case is being investigated by Homeland Security Investigations and the ATF. Assistant United States Attorney Kelly Churnet is handling the prosecution.
The charge in the criminal complaint is an allegation and the Defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Case Number: 23-mj-00156
Colorado Psychiatry Practice and Owner Agree to Pay $1.9 Million to Settle Allegations of Fraudulent BillingRead the Press Release
DENVER—The United States Attorney’s Office for the District of Colorado announced that Mile High Psychiatry LLC and its owner, Michael K. Chism, II, have agreed to pay $1.9 million to resolve allegations that they violated the False Claims Act by knowingly double-billing time in order to unlawfully obtain increased payments from Medicare and Medicaid.
Mile High Psychiatry is a Colorado company located in Aurora that provides telepsychiatry services throughout Colorado. The United States alleged that from 2017 to 2021, Mile High Psychiatry and Chism submitted inflated bills to Medicare and Medicaid seeking payment both for evaluation and management services and for psychotherapy services, provided during the same patient visit. The rules for Medicare and Medicaid are clear that these services must be separately identifiable, and time spent providing one service cannot be double counted in billing for time spent providing the other service. The United States alleged that Mile High Psychiatry and Chism knowingly disregarded this rule and improperly double-counted time for these separate services to unlawfully obtain increased reimbursement for thousands of patient visits.
The allegations were brought to the federal government’s attention by a whistleblower through a False Claims Act action. The qui tam or whistleblower provisions of the False Claims Act allow a private party to file an action on behalf of the United States and receive a portion of the recovery. The whistleblower will receive approximately $325,000 as her share of the settlement.
“We will forcefully go after providers who unlawfully bill Medicare and Medicaid. These programs provide vital services for our community, and we will not allow providers to abuse the system or waste taxpayer dollars,” said U.S. Attorney Cole Finegan. “This case shows the power of whistleblowers to identify and stop fraud. The law permits generous rewards to whistleblowers who reveal wrongdoing by coming forward with valuable information.”
“We expect health care providers who participate in federal health care programs to submit only appropriate claims. When providers do overbill Medicare and Medicaid, they threaten the integrity of these safety net programs,” said Special Agent in Charge Curt L. Muller with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “In coordination with fellow law enforcement agencies, HHS-OIG will continue to tirelessly investigate and address allegations involving inappropriate billing.”
The claims against Mile High Psychiatry and Chism are allegations, and in agreeing to settle this matter, they did not admit to any liability.
This investigation was the result of a coordinated effort by the U.S. Attorney’s Office for the District of Colorado; HHS-OIG; and the Colorado Attorney General’s Medicaid Fraud Control Unit. The settlement was handled by Assistant United States Attorney David Moskowitz.
Case number: 21-cv-00393
Colorado Springs Man Sentenced to 25 Years in Federal Prison for Production of Child PornographyRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announces that Brandon Bourret, age 47, of Colorado Springs, was sentenced to 25 years in federal prison, followed by 7 years of supervised release, for production of child pornography.
According to the facts contained in the plea agreement, the defendant began sexually abusing Minor #1, who was 13 years old at the time, when he lived in the Philippines in 2011. He also created photographs depicting his sexual abuse of Minor #1 during that time frame. After moving back to the United States in October 2011, the defendant continued to sexually abuse Minor #1 and memorialize the sexual abuse in photographs and videos during trips to the Philippines in 2012 and 2013. Additionally, while in Colorado, the defendant utilized the Internet to produce sexually explicit images depicting Minor #1 and a second victim, Minor #2, from April 2014 to July 2014.
“The exploitation of children is a grievous and intolerable crime,” said United States Attorney Cole Finegan. “Thanks to the efforts of our law enforcement partners, this predator has been stopped in his tracks.”
“Protecting children is a top priority of every community and law enforcement agency, including the FBI. In this case, the defendant sexually abused and exploited children for years,” said FBI Denver Special Agent in Charge Mark Michalek. “His depraved conduct is deplorable. Now he is in a place where he can’t harm children anymore.”
United States District Court Judge William J. Martinez presided over the sentencing on August 16, 2023.
The FBI investigated the case. Assistant United States Attorney Alecia L. Riewerts handled the prosecution.
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 Attorney’s 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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
Case number: 20-cr-00289
Historical Items Belonging to Alan Turing Returned to EnglandRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces the return of historical items belonging to Alan Turing to the Sherborne School in Dorset, England.
As part of a ceremony this week, several items belonging to Alan Turing were returned to his boyhood school, including the following items: Alan Turing’s PhD diploma from Princeton University, the Order of the British Empire Medal, a personal note from the King George VI of England, a number of school reports, and various photos. These items were removed from the school archives nearly 40 years ago. They were recovered in Colorado, and subject to a forfeiture action filed in U.S. District Court in the District of Colorado.
According to the Second Amended Complaint, the United States learned that certain items originally belonging to Alan Turing were located in Colorado, when they were offered to be displayed at the University of Colorado in Boulder in 2018. An investigation by Homeland Security Investigations revealed that the items had been removed from the Sherborne School located in Dorset, England. Alan Turing attended the school from approximately 1926 to 1931, and the items were originally placed there by his family. In 1984, a person named Julia Schinghomes arrived at the school and took the items into her possession. She later changed her name to Julia Turing. After the United States filed the action in this case, the matter was resolved in a settlement. Pursuant to that settlement, the United States District Court for the District of Colorado entered a Final Order of Forfeiture over the items in this case in May 2021.
“Together with Homeland Security Investigations, our office ensured that historical artifacts belonging to Alan Turing are now back in the place where they belong,” said U.S. Attorney Cole Finegan. “We celebrate the accomplishments of Alan Turing and are thrilled that the historical significance of these artifacts will continue to be appreciated by scholars and generations to come.”
“Sir Alan Turing was named a national hero for the crucial role he played in cracking coded messages during World War II, enabling the Allies to defeat the Axis Powers,” said HSI Special Agent in Charge, Ryan L. Spradlin. “I’m very proud that HSI Denver investigators and our partners at the U.S. Attorney’s office were able to recover his effects after being missing for nearly 40 years.”
Alan Turing was an English mathematician and computer scientist instrumental in codebreaking during the Second World War.
The Sherborne School invited HSI Special Agent Greg Wertsch and Assistant United States Attorney Laura Hurd to attend the repatriation ceremony this week. The repatriation represents years of hard work and the dedication of HSI Agents, the Department of Justice, and local law enforcement. The event further signifies the importance of the Department of Justice’s work to return cultural property worldwide.
Case Number 20-cv-00152-STV
Lawrence Rudolph Sentenced to Life in Federal Prison for Murdering His Wife in ZambiaRead the Press Release
DENVER –The United States Attorney’s Office for the District of Colorado announces that Lawrence Rudolph, 68, formerly of Paradise Valley, Arizona, was sentenced to life in prison for murder. Rudolph will also serve a concurrent sentence of 20 years for defrauding multiple life insurance companies, pay $4,877,744.93 in restitution, a fine of $2,000,000, and a $200 special assessment. He was also ordered to forfeit assets obtained as a result of his crime. After a trial last summer, a jury convicted Rudolph of foreign murder and a mail fraud scheme that was perpetrated in Colorado and elsewhere.
Evidence presented at trial proved beyond a reasonable doubt that Lawrence Rudolph murdered his wife Bianca while the two were on a hunting trip in Zambia on October 11, 2016. Rudolph shot his wife through the heart with a 12-gauge shotgun that was enclosed in a soft-shell case on the last day of a scheduled hunt, scheming to make the murder look like an accident. Upon his return to the United States, Rudolph filed fraudulent claims on nine separate life insurance policies issued by seven different companies to obtain $4,877,744.93.
“This result shows that no matter how much money, prestige, or power you have, you will be held accountable for your crimes,” said U.S. Attorney Cole Finegan. “The fact that justice arrived today is no accident. It was part of a dedicated effort by public servants committed to the cause of justice. We are grateful to the attorneys, staff, and investigators who made today’s result possible.”
“The defendant in this case thought he could murder his wife overseas and get away with it. He was wrong and will now be held accountable for his actions thanks to the relentless pursuit of justice by the dedicated men and women of the FBI, DOJ, and the family of Bianca Rudolph, who never lost faith in the judicial system,” said FBI Denver Special Agent in Charge Mark Michalek.
United States Senior District Judge William J. Martinez presided over the sentencing. Rudolph’s co-defendant, Lori Milliron, was previously sentenced to 17 years in federal prison for her role as an accessory to the murder, for obstructing the investigation into Rudolph’s crime, and for committing perjury before a grand jury.
The investigation in this case was conducted by the FBI Denver Division. The prosecution is being handled by Assistant U.S. Attorneys Bryan Fields, Garreth Winstead, and Bishop Grewell. Forfeiture proceedings are being handled by Assistant U.S. Attorney Kurt Bohn.
The U.S. Department of Justice’s Office of International Affairs provided significant assistance.
Case Number: 22-cr-00012-WJM-1
Denver Woman Sentenced to Four Years in Federal Prison for CARES Act FraudRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that DeJane Reaniece Lattany was sentenced to four years in federal prison for receiving more than $3.3 million of fraudulent COVID-19 loans.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which provided emergency assistance to small business owners suffering adverse economic effects caused by the Coronavirus (“COVID-19”) pandemic. Two sources of funding for small businesses were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loans (“EIDL”) program. The CARES Act mandated that only businesses in operation on February 15, 2020, for PPP, or before February 1, 2020, for EIDL, were eligible under the programs. In addition, the CARES Act authorized the Small Business Administration to issue advances of up to $10,000 to small businesses, known as Economic Injury Disaster Grants (“EIDG”). The amount of the EIDG was determined by the number of employees the applicant certified having. The EIDGs did not need to be repaid.
According to court documents, beginning in June 2020, and continuing through January 2022, the defendant prepared and submitted fraudulent EIDL applications to the Small Business Administration on behalf of business entities that she purportedly owned. In these fraudulent EIDL applications, Lattany made false statements regarding the entities’ number of employees, gross revenues, and cost of goods sold; she further falsely certified that the information provided in the EIDL applications was true and accurate and that the funds would be used to pay payroll and other permissible expenses when, in fact, she used the bulk of the proceeds for her personal benefit. The Small Business Administration approved and funded five EIDL applications and three EIDGs for a total of $430,000 in EIDLs and $20,000 in EIDGs. From June 2020 through December 2021, Lattany submitted fraudulent PPP applications to participating lenders on behalf of business entities that she purportedly controlled and obtained $2,887,976.94 in PPP loans as a result of the scheme. These PPP applications contained a number of false and fraudulent certifications and representations regarding Lattany’s ownership of other businesses, as well as the businesses’ average monthly payroll and number of employees. Lattany falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the bulk of the proceeds were used for her personal benefit. She also submitted false and fraudulent documentation in support of the PPP applications to the participating lenders. Lattany also sought loan forgiveness for PPP loans by submitting loan forgiveness applications. In total, $3,337,976.94 of PPP, EIDL, and EIDG proceeds were paid out as a result of the scheme.
“Taxpayers were generous during the pandemic, saving struggling businesses with loans and grants provided by the Small Business Administration,” said U.S. Attorney Cole Finegan. “This defendant stole from the taxpayers, cheating them out of millions. For these crimes she’ll now pay with years of her life in federal prison, and she’s been ordered to pay every penny back with interest.”
“Federal CARES Act dollars were meant to keep families, businesses, and the economy afloat during the pandemic. Instead, this fraudster lied in her applications and used more than $3.3 million to live the high life,” said FBI Denver Special Agent in Charge Mark Michalek. “The FBI continues to investigate those who so eagerly defrauded the government and we’re committed to holding each and every one accountable.”
United States District Court Judge Nina Y. Wang sentenced the defendant on August 15, 2023. In addition to the period of incarceration, the defendant was ordered to pay $3,437,072.81, plus interest, in restitution.
This case was investigated by the Federal Bureau of Investigation (FBI) Denver Division. The prosecution is being handled by Assistant United States Attorneys Nicole C. Cassidy and Rebecca S. Weber.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Case Number: 23-cr-00074-NYW
Man Indicted for Aiming Laser Pointer at Denver Police Department HelicopterRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announces Kevin William Adamchack, age 43, of Franktown, has been indicted by a federal grand jury on a single count of aiming a laser pointer at an aircraft. According to the indictment, on March 2, 2023, Adamchack knowingly aimed the beam of a laser pointer at an aircraft, and at the flight path of the aircraft. The aircraft in question was “Air 1,” a helicopter operated by the Denver Police Department.
Defendant Adamchack had his initial appearance before United States Magistrate Judge Varholak on August 11, 2023.
This case is being investigated by the FBI. Assistant United States Attorney Jena Neuscheler is handling the prosecution.
The charge in the indictment is an allegation and the Defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
CASE NUMBER: 23-cr-00303-RMR
Ouray Lodge and Hot Springs Agrees to Improve Access for Individuals with Physical DisabilitiesRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announced that it has resolved a complaint under the Americans with Disabilities Act (ADA) against Twin Peaks Lodge & Hot Springs, a hotel located in Ouray, Colorado, related to its rooms and other facilities that are inaccessible to individuals with physical disabilities.
The U.S. Attorney’s Office received a complaint that Twin Peaks failed to make its facilities readily accessible to an individual with a terminal illness who had trouble walking and navigating stairs. Twin Peaks, which has only one mobility-accessible guest room on the first floor of the hotel, placed the complainant in a second-floor room that does not have an elevator. As a result, the complainant was very limited in his ability to enter and leave his hotel room during his stay, and the complainant’s family had to make significant adjustments to their plans because of the inaccessible accommodations.
The ADA requires that places of public accommodation, such as hotels, make their facilities readily accessible to and usable by individuals with physical disabilities.
To resolve the complaint, Twin Peaks agreed to pay the complainant $3,000 and make changes to its existing rooms, hot springs pools, dining and common areas, and other facilities to make them accessible to individuals with disabilities. In addition, the U.S. Attorney’s Office will monitor future renovations and the planned construction of a new hotel building to ensure that Twin Peaks complies with the ADA’s design and construction standards.
“The U.S. Attorney’s Office is committed to ensuring that hotel guests who have disabilities can obtain the accommodations that they need, and that they can take advantage of all of the amenities of our Colorado mountain towns,” said U.S. Attorney Cole Finegan. “The U.S. Attorney’s Office’s commitment to ensuring that individuals with disabilities have equal access improves everyone’s enjoyment of all our beautiful state has to offer.”
Additional information about the U.S. Attorney’s Office’s civil rights enforcement program can be found at https://www.justice.gov/usao-co/civil-rights-enforcement.
This case was handled by Assistant U.S. Attorney Zeyen Wu.
Federal Grand Jury Returns Charges for Covid-19 FraudRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces Ikponmwosa Pero Erhinmwinrose has been indicted by a federal grand jury on charges of conspiracy to commit wire fraud, conspiracy to commit money laundering, wire fraud, and aggravated identity theft. The defendant made his initial appearance in front of U.S. District Court Magistrate Judge N. Reid Neureiter on July 17, 2023. Three other defendants—Victor Henshaw Tobore, Nyerhovwo Presley Agbure, and Oreoluwa Abdul-Jabbar Elegba—were indicted in the same case and made their initial appearances in federal court earlier in July 2023.
According to the information contained in the indictment, Erhinmwinrose and his co-conspirators—referred to as the Fraud Ring—fraudulently obtained more than $7,700,000 in loans and grants under names other than their own from programs authorized by Congress in the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act was intended to provide emergency financial assistance for millions of American small businesses suffering economic harm caused by the COVID-19 pandemic. These programs included the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program. The United States Small Business Administration (SBA) directly paid EIDLs and grants (EIDGs) to eligible small businesses experiencing substantial financial disruptions from the COVID-19 pandemic. PPP loan applications were processed by participating lenders. Lenders funded PPP loans using their own funds, which were guaranteed by the SBA.
The alleged conspiracy involved Erhinmwinrose and other Fraud Ring participants—using the names and identifying information of others—registering fraudulent corporate entities with state governments, obtaining fraudulent employer tax identification numbers from the Internal Revenue Service (IRS), creating fraudulent bank accounts at financial institutions, falsifying payroll and employment data, and fabricating tax and bank documents. These actions were taken to mislead lenders so that Fraud Ring participants could then fraudulently obtain loans and grants while hiding their own involvement in the conspiracy and scheme to defraud. After PPP and EIDL fraud funds—as well as fraudulently obtained federal tax refunds from the IRS and benefits from unemployment programs run by states including Colorado, Illinois, New Jersey, New York, and Ohio—were deposited in fraudulent bank accounts, the indictment further alleges that Fraud Ring participants conspired to launder the money.
This case is being investigated by the Treasury Inspector General for Tax Administration; the SBA Office of the Inspector General, the Federal Deposit Insurance Corporation Office of the Inspector General, and the U.S. Postal Inspection Service. This case is being prosecuted by Assistant United States Attorney Craig Fansler.
The charges contained in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty.
CASE NUMBER: 23-cr-00300-CNS
Colorado Man Arrested for Attempting to Provide Material Support to a Foreign Terrorist OrganizationRead the Press Release
Davin Daniel Meyer, 18, of Castle Rock is charged with attempting to provide material support to a designated foreign terrorist organization and made his initial appearance in federal court today.
According to court documents, Meyer was arrested on Friday, July 14, as he attempted to board an international flight at the Denver International Airport. According to the affidavit in support of the criminal complaint, Meyer pledged an oath of allegiance to the leader of ISIS, and intended to travel to serve as a fighter for ISIS in Iraq.
The FBI Denver Field Office is investigating the case, with assistance provided by the Douglas County Sheriff’s Office.
Assistant U.S. Attorney Melissa Hindman for the District of Colorado is prosecuting the case, with the assistance of Jennifer Levy of the National Security Division’s Counterterrorism Section.
A complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
18-Year-Old Castle Rock Man Arrested for Attempting to Provide Material Support to a Foreign Terrorist OrganizationRead the Press Release
DENVER – A Castle Rock man was charged with attempting to provide material support to a designated foreign terrorist organization, in violation of 18 U.S.C. 2339B, and made his initial appearance in federal court today.
Davin Daniel Meyer, 18, was arrested on Friday, July 14, 2023, as he attempted to board an international flight at the Denver International Airport. According to the affidavit in support of the criminal complaint, Meyer pledged an oath of allegiance to the leader of ISIS and intended to travel to serve as a fighter for ISIS in Iraq.
Assistant U.S. Attorney Melissa Hindman of the District of Colorado is prosecuting on behalf of the government with the assistance of Jennifer Levy of the Department of Justice National Security Division’s Counterterrorism Section. The case is being investigated by the FBI Denver Field Office with assistance provided by the Douglas County Sheriff’s Office.
The charge in the complaint is an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Case number: 23-mj-00121
Pueblo Man Sentenced to 12.5 Years in Federal Prison for Possessing Firearm and Distributing DrugsRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Leonard Cordova, age 44, of Pueblo, has been sentenced to 151 months in federal prison after earlier pleading guilty to two counts of being a felon in possession of a firearm and ammunition and two counts of distributing a controlled substance.
According to the plea agreement and criminal complaint, on September 12, 2021, the defendant, from his driveway in a residential neighborhood in Pueblo, fired numerous shots from a handgun at an individual driving down the street. The defendant was arrested on local charges but then released on bond. One week later, on September 19, 2021, the defendant, while driving his vehicle in Pueblo, fired shots at two individuals in another moving vehicle. The defendant’s victims were hit with rounds from the defendant’s gun and sought treatment at a local hospital. The defendant was again arrested on local charges but then released on bond.
The defendant was arrested by the FBI on April 15, 2022, after being charged in the District of Colorado by criminal complaint on April 13, 2022. He was ordered detained pending trial.
The defendant pled guilty in federal court on March 7, 2023. As part of his plea agreement, the defendant, a previously convicted felon, admitted to unlawfully possessing a firearm or ammunition in connection with the two September 2021 shootings. He also admitted that on October 19, 2020, he distributed 221 grams of methamphetamine, and on February 19, 2021, he distributed 98 grams of heroin.
United States District Court Judge Regina M. Rodriguez sentenced the defendant on July 12, 2023.
“Pueblo is a safer place with violent, drug-dealing felons like Leonard Cordova off the streets,” said United States Attorney Cole Finegan. “We are grateful for our partners at the FBI, DEA, and Pueblo Police Department whose hard work and dedication make a real difference for the citizens of Colorado.”
“Cases like this one exemplify what the federal system can bring to our local partners: This repeat offender will no longer threaten the Pueblo community,” said FBI Denver Special Agent in Charge Mark Michalek. “The FBI will continue to work with the Pueblo Police Department to further our shared goals.”
“The DEA Rocky Mountain Field Division is committed to making our communities safer. We know gun violence is often associated with drug-related activity, which is why these cases are a top priority for us,” said DEA Acting Special Agent in Charge David Olesky. “The community of Pueblo should feel safer tonight knowing this defendant will no longer be a menace to his neighbors.”
This case was investigated by the FBI, DEA, and Pueblo Police Department. The prosecution was handled by Assistant United States Attorney Andrea Surratt. The U.S. Attorney’s Office also thanks the 10th Judicial District Attorney’s office for their assistance with the case.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 22-cr-132
Idaho Springs Man Sentenced to Federal Prison for Wire Fraud and Money LaunderingRead the Press Release
DENVER - The United States Attorney’s Office for the District of Colorado announces that Edward Baker Harrington, age 59, of Idaho Springs, was sentenced to 51 months in prison for wire fraud and money laundering. Harrington was also ordered to pay restitution in the amount of $1,078,033.50.
According to the plea agreement, from April 2020 through September 2021, the defendant submitted a number of fraudulent Paycheck Protection Program (PPP) applications to seven banks and one lender on behalf of business entities that he purportedly controlled. These PPP applications contained a number of false and fraudulent certifications and representations. The defendant obtained more than $1,000,000 in PPP loans as a result of the scheme. He falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the proceeds were used for his personal benefit to purchase goods and property, including real estate and vehicles. The defendant submitted PPP loan forgiveness applications in which he made more false representations and certifications regarding his businesses and his compliance with the PPP program rules, including rules related to the eligible uses of PPP loan proceeds.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted in March 2020 and was designed to provide emergency financial assistance to Americans dealing with the economic impact of the COVID-19 pandemic. The CARES Act created PPP, a program administered by the Small Business Administration that provided loans to small businesses to retain workers, maintain payroll, and certain other expenses consistent with PPP rules.
“The defendant enriched himself with taxpayer funds meant to help workers and businesses weather the COVID-19 pandemic,” said U.S. Attorney Cole Finegan. "Thanks to the efforts of our law enforcement partners at the IRS, he will face the consequences of his fraud.”
“Harrington used the Paycheck Protection Program as his personal ATM. He brazenly stole over one million dollars with no regard for the hard-working American business owners and families this program was intended to support,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “IRS-CI has investigated over 1000 instances of Covid-19 relief fraud since the CARES Act was introduced, and this sentence should send a clear message that we will continue to hold those accountable who abused the system for their personal benefit.”
This case is being investigated by Internal Revenue Service – Criminal Investigation. This case is being prosecuted by Assistant United States Attorneys Nicole Cassidy and Martha Paluch.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Case Number: 22-cr-00324
Former Social Security Administration Employee Sentenced to Federal PrisonRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announced Justin Skiff, age 36, of Castle Pines, was sentenced to six months in prison for wire fraud, social security fraud, and money laundering.
According to the plea agreement, beginning around August 2019 and continuing through September 2021, Skiff used his position as a claims specialist with the Social Security Administration (SSA) to fraudulently obtain money from the SSA. Skiff used his knowledge and access to establish Social Security Numbers for ten fictitious children. He then established fictitious records of entitlements for surviving child benefits which he connected to the record of a real deceased individual. These benefits were deposited into a bank account accessible to Skiff through debit cards he directed to be mailed to a P.O. Box to which he had access. Skiff withdrew money and made purchases from this account from October 2019 through September 2021 for a total amount of $324,201.44.
“Mr. Skiff blatantly violated the public’s trust, abusing his position within the SSA by stealing $324,201 in benefits,” said Christian Assad, Special Agent in Charge, Denver Field Division, of the Social Security Administration Office of the Inspector General. “We take every violation of the public trust very seriously, and we will continue to work with SSA to identify and root out suspected employee fraud. I want to thank Sonia J. Dave, Special Assistant United States Attorney for the District of Colorado, and our counterparts at the IRS for its support of this investigation.”
“Maintaining the public’s trust in government institutions is vital to our democracy,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “When government employees abuse their position of trust to enrich themselves, IRS-CI will partner with other agencies to ensure these criminals are held accountable for their actions.”
“Federal employees owe a special duty to the taxpayers we serve,” said United States Attorney Cole Finegan. “Instead of serving, this defendant stole money, and our trust. We commend our law enforcement partners for pursuing justice in this matter.”
Judge Daniel D. Domenico presided over the sentencing on July 13, 2023.
This case was investigated by the Social Security Administration Office of Inspector General and Internal Revenue Service Criminal Investigation (IRS-CI). This prosecution is being handled by Special Assistant U.S. Attorney Sonia J. Dave.
CASE NUMBER: 22-cr-00360
Mexican National Sentenced to Five Years in Federal Prison for Role in Drug Trafficking Conspiracy and Money LaunderingRead the Press Release
DENVER -- The U.S. Attorney’s Office for the District of Colorado announces that Carlos Quijano-Ruiz, age 54, of Mexico, was sentenced to five years in federal prison for his role in a drug trafficking conspiracy and money laundering.
According to the plea agreement, in 2019, the defendant went to a money remitter in Colorado and remitted, in two separate transactions, money that was from the sale of drugs to a fictitious name in Mexico. That money would ultimately go to a co-defendant and was transferred or distributed to disguise the nature of the proceeds of unlawful activity. Additionally, in furtherance of the conspiracy, the defendant placed a bag of narcotics in his car that was parked in front of his residence. On August 12, 2019, another co-defendant and an unindicted co-conspirator went to the defendant’s car, where they picked up a quarter pound of methamphetamine and left money in the car. The defendant’s residence was also used as a stash house for a time during the conspiracy.
“Our office prosecutes illegal narcotics trafficking, working investigations to their sources in other countries,” said U.S. Attorney Cole Finegan. “We commend the work of our law enforcement partners in advancing this and other important transnational narcotics investigations.”
“By targeting the transactions drug traffickers use to finance their illegal operations, IRS-CI Special Agents are able to disrupt and dismantle these organizations,” said Andy Tsui, Special Agent in Charge, IRS Criminal Investigation Denver Field Office. “We will continue to work with our law enforcement partners, and the United States Attorney’s Office to eliminate this threat to our communities. This sentence should send a clear message to others who engage in money laundering associated with narcotics, you will be caught and you will be prosecuted.”
“Drug traffickers value money and little else,” said DEA Acting Special Agent in Charge David Olesky of the Rocky Mountain Field Division. “In this case, investigators not only pursued the drugs but also followed the money. As a result of everyone’s efforts, Quijano-Ruiz is no longer distributing poison in our communities. We value our state, local and federal partners who were relentless in seeing this case through to the end. DEA will continue to target criminal networks at every level, and every angle, because we know American lives depend on it.”
United States District Court Judge Gordon P. Gallagher presided over the sentencing on June 27, 2023.
IRS-CI, the DEA, the Montrose Police Department, the Montrose County Sheriff’s Office, the Seventh Judicial District Drug Task Force, and the United States Marshals Service investigated this case. Assistant United States Attorneys Alexander Duncan, Susan (Zeke) Knox, and Zachary Phillips handled the prosecution.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Case Number 19-cr-535
Denver Man Sentenced to 27 Years in Federal Prison for 10 Armed Bank RobberiesRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Jerome Bravo, age 39, of Denver, has been sentenced to 27 years in federal prison after earlier pleading guilty to ten counts of bank robbery and three counts of brandishing a firearm during a crime of violence.
According to the plea agreement, the defendant and his codefendant robbed ten banks in Denver, Aurora, and Arvada between January 6, 2021, and March 31, 2021. The two were nicknamed the “Brazen Bandits” for their risky tactics during the commission of the robberies. In the January 6th robbery, the defendant was armed with a black handgun, pointed it at a teller, and stated, "Don't move, I'm going to shoot you." After taking money from the drawer, he jumped back over the counter and left the bank. On February 4, 2021, the defendant and his codefendant ran into a bank yelling while waving and pointing their handguns at people in the bank. The defendant demanded the teller open her drawer as he vaulted over the counter. Out of fear, the teller complied and removed money from her drawer and gave it to the defendant and his codefendant. In the second of two bank robberies on February 8, 2021, the defendant and codefendant ran into a bank brandishing handguns, vaulted the counter, and demanded money from the teller. The teller was in fear for her life and safety and gave the robbers the money in her drawer and from the machine. After obtaining the money, the defendant and codefendant vaulted the counters and ran out of the bank. On February 18, 2021, the defendant and codefendant entered a bank brandishing handguns, yelling “get down,” and warning that they weren’t “playing.” The defendant and codefendant also threatened to shoot the occupants of the bank. The defendant vaulted over the counter and emptied out several teller drawers, actually physically taking the drawer units. The defendant and his codefendant also robbed five other banks before being apprehended.
Judge Daniel D. Domenico sentenced the defendant on June 27, 2023. Codefendant Jonathan Gullette has also pleaded guilty and is scheduled to be sentenced on September 19, 2023.
“We are grateful for the collaboration between the FBI and all the law enforcement agencies that worked to end this series of armed bank robberies,” said United States Attorney Cole Finegan. “The sentence handed down by the court serves as a reminder that such criminal behavior will not be tolerated and that there are serious consequences for this type of criminal conduct.”
“This is a criminal who terrorized employees and customers at 10 banks across metro Denver in just three months,” said FBI Denver Special Agent in Charge Mark Michalek. “This case is an example of why the FBI Denver Rocky Mountain Safe Streets Task Force and Project Safe Neighborhoods are so important in our work to keep communities safe. We will continue partner with local law enforcement to get violent criminals off the streets and reduce gun crimes.”
This was investigated by the FBI Rocky Mountain Safe Streets Task Force, Colorado Bureau of Investigation, Denver Police Department, Aurora Police Department, and Arvada Police Department. The prosecution was handled by Assistant United States Attorney Brian Dunn.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 21-cr-226
Accessory to Zambia Safari Murder Sentenced to 17 Years in Federal PrisonRead the Press Release
DENVER –The United States Attorney’s Office for the District of Colorado announces that Lori Milliron, 65, formerly of Paradise Valley, Arizona, was sentenced to 17 years in federal prison for her role as an accessory in the murder of Bianca Rudolph. Milliron had previously been convicted of being an accessory after the fact to murder, obstruction, and two counts of perjury before a grand jury after a trial last summer. The jury acquitted her of three other counts of perjury.
Evidence presented at trial proved beyond a reasonable doubt that Lawrence Rudolph murdered his wife Bianca while the two were on a hunting trip in Zambia on October 11, 2016. Rudolph shot his wife through the heart with a 12-gauge shotgun that was enclosed in a soft-shell case on the last day of a scheduled hunt, scheming to make the murder look like an accident. Upon his return to the United States, Rudolph filed false and fraudulent claims on nine separate life insurance policies issued by seven different companies to obtain $4,877,744.93.
Lori Milliron was subpoenaed to provide information to the grand jury investigating Bianca’s death. During her appearance, on January 5, 2022, she lied and otherwise obstructed that investigation to help Rudolph avoid prosecution. Asked about the nature of her relationship with Rudolph and the purpose of cash payments Rudolph had made to her before Bianca’s death, she testified that she didn’t know why and that Rudolph was simply being generous. But it was actually because she was Rudolph’s long-time mistress. Asked about what Rudolph had told her after he found out he was under investigation by the FBI, Milliron told the grand jury that Rudolph was irritated by the investigation because he was “probably innocent;” actually, Rudolph had told her in Spring 2020 that “I killed my (expletive) wife for you.”
The Court granted an upward variance from the sentence recommended by the United States Sentencing Guidelines, referencing the underlying nature of the murder and trial evidence indicating that it was more likely than not that Milliron aided and abetted its execution by helping Rudolph obtain several vials of propofol, an anesthetic drug that is deadly at certain doses, before two of Rudolph and Bianca’s scheduled Zambian safaris. The Court also referenced Milliron’s torment of the victim’s family, and her lack of remorse. In addition to a sentence of 204 months in federal prison, the Court imposed the maximum fine of $250,000.
“Justice has arrived for Lori Milliron,” said United States Attorney Cole Finegan. “We thank our partners at the FBI, as well as our prosecutors and professional staff, who have worked tirelessly to ensure that this Defendant would not evade responsibility for her role in this terrible murder.”
United States Senior District Judge William J. Martinez presided over the sentencing. The sentencing for co-defendant Lawrence Rudolph was recently vacated and will be re-set at an appropriate time after the parties have consulted with one another and the Court.
The investigation in this case was conducted by the FBI Denver Division. The prosecution is being handled by Assistant U.S. Attorneys Bryan Fields, Garreth Winstead, and Bishop Grewell.
CASE NUMBER: 22-cr-00012-WJM-2
Pueblo Residents Charged in Bank RobberiesRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that three defendants from Pueblo have been charged by federal complaint in connection with a series of bank robberies in the Denver-Boulder area. Leo Elias Benavidez, age 34, Ashley Raeanne Cooper, age 33, and Britne Bree Schneider, age 25, have been charged for their alleged roles in the robberies. Benavidez is charged with four counts of bank robbery and aiding and abetting the same; Cooper is charged with four counts of bank robbery and aiding and abetting the same. Schneider is charged with a single count of accessory after the fact.
According to allegations in the criminal complaints, during the months of May and June, 2023, Benavidez and Cooper robbed four banks in the Denver-Boulder metro area, and attempted to rob a fifth. Schneider allegedly drove the getaway car following three of the robberies.
The Defendants had their initial appearance before United States Magistrate Judge Crews on June 21, 2023.
This case is being investigated by the FBI Rocky Mountain Safe Streets Task Force, the Brighton Police Department, the Denver Police Department, the Arvada Police Department, the Westminster Police Department, the Boulder Police Department, and the Lafayette Police Department. Assistant United States Attorney Brian Dunn is handling the prosecution.
The charges in the complaints are allegations and the Defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
CASE NUMBERS: 23-mj-00108-NRN (Schneider)
23-mj-00109-NRN (Cooper)
23-mj-00110-NRN (Benavidez)
Greenwood Village Psychiatrist Sentenced to Prison for Illegal Distribution of Controlled Substances and Financial CrimesRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Howard Weiss of Greenwood Village was sentenced to six months in federal prison for distributing a controlled substance outside the usual course of professional practice, for structuring financial transactions in a way to evade reporting requirements, and for engaging in monetary transactions greater than $10,000 that were derived from unlawful activity. After his custodial sentence, the defendant will face ten months of home confinement, as part of three years on supervised release. The 69-year-old also was ordered to forfeit $826,083.24 in criminal proceeds, pay $150,000 in community restitution, and surrender both his medical license as well his license to prescribe controlled substances.
According to the plea agreement, the Drug Enforcement Administration (DEA) and the Internal Revenue Service (IRS-CI) began an investigation into the defendant because of suspicious financial activity, reports related to his patients’ sale of controlled substances, and one patient’s poly-drug overdose death. The investigation revealed that the defendant was prescribing methamphetamine to several adult patients. Methamphetamine is a Schedule II stimulant with a high potential for abuse. The FDA has approved only one methamphetamine product for medical use in rare circumstances. When investigators looked in detail at Weiss' prescribing records they discovered other red flags, including poly-drug prescribing. It is unusual to prescribe high-dose stimulants with high-dose sedatives because of the drugs competing effects. Yet, the defendant routinely prescribed high-dose stimulants with high-dose sedatives. The defendant also regularly prescribed stimulants such as Adderall at the upper end of the usual dosing range and, sometimes, well beyond the upper end of the usual dosing range.
In July 2017, one of the defendant’s patients was arrested when the patient showed up to a drug deal with 119 methamphetamine pills prescribed by the defendant. The defendant’s prescriptions to that patient were outside the usual course and did not have a legitimate medical purpose. Further, the patient’s probation officer had previously contacted the defendant to warn about the patient’s methamphetamine addiction, but Weiss prescribed the methamphetamine anyway.
In addition, as described in the plea agreement, the defendant engaged in illegal banking activity. Federal regulations prohibit the “structuring” of financial transactions to thwart the requirement that banks file reports for currency deposits of more than $10,000. Between November 2015, and February 2018, the defendant made forty-five cash deposits in excess of $9,000 but below the $10,000 threshold, which would require the bank to file a Currency Transaction Report. Bank tellers reported occasions in which the defendant would show up with cash, ask for it to be counted, and then decline to deposit any amount more than $10,000.
“This defendant prioritized personal enrichment over the health and safety of his patients,” said U.S. Attorney Cole Finegan. “Thanks to the excellent investigation by our partners at DEA and IRS-CI, in addition to his prison sentence, the defendant will give up over $825,000 in criminal proceeds and will not be able to harm any more patients.”
“Howard Weiss knowingly and unlawfully distributed controlled substances outside the usual course of practice for no other purpose than greed,” said Acting Special Agent in Charge David S. Olesky. “Thanks to the dedicated team at the DEA Rocky Mountain Field Division, the IRS-CI Denver Office and our U.S. Attorney’s Office, Weiss ended up losing more than he gained and will never lawfully practice medicine again.”
“IRS-CI Special Agents are experts in uncovering the financial schemes criminals use to hide money gained through illegal activities,” said Andy Tsui, Special Agent in Charge, Denver Field Office. “Weiss’ desire for money, and his disregard for the welfare of his patients, led to an investigation into his financial activity and ultimately the severe financial penalties that were handed down today.”
United States District Court Judge Daniel D. Domenico presided over the sentencing on June 6, 2023.
This matter was investigated by the Drug Enforcement Administration and IRS-CI. Assistant United States Attorneys Bryan Fields and Jena Neuscheler are handling the prosecution. Assistant United States Attorney Elizabeth Young is handling the parallel forfeiture action.
Case Number: 21-cr-00233
Eighth Defendant Arrested in Montezuma County Area Narcotics InvestigationRead the Press Release
DURANGO – The United States Attorney’s Office for the District of Colorado announces that Douglas Brummett, age 23, of Montezuma County has been arrested on an indictment alleging multiple instances of trafficking fentanyl and methamphetamine. Brummett made his initial appearance in federal court on June 1, 2023, before United States Magistrate Judge James M. Candelaria. If convicted, Brummett faces a maximum penalty of 20 years imprisonment on each count.
Brummett’s arrest is the latest originating from a joint investigation by the Montezuma County Sheriff's Office, the Cortez Police Department, the Drug Enforcement Administration, and the Bureau of Indian Affairs. Previously, seven other alleged drug traffickers in the Montezuma County vicinity have been indicted and arrested on two separate indictments:
- In case number 22-cr-00359, Cesar Ortiz-Castillo, William Millard, Mary Lobato, Infant Maciel, and Russell Wall were previously indicted on conspiracy to commit drug trafficking offenses, for alleged violation of 21 U.S.C. § 846, and other drug distribution and weapons offenses. These five individuals have been arrested and are pending trial.
- In case number 23-cr-00007, Luis Martinez and Crystal Bass were previously indicted on conspiracy to commit drug trafficking offenses, for alleged violation of 21 U.S.C. § 846, and other drug distribution offenses. Both individuals have been arrested and are pending trial.
The charges contained in each indictment are allegations. All of the defendants are presumed innocent unless and until proven guilty.
The investigation is being conducted jointly by the Montezuma County Sheriff’s Office, the Cortez Police Department, the Drug Enforcement Administration, and the Bureau of Indian Affairs. The prosecution is being handled by Assistant United States Attorneys R. Josh Player and Jeffrey K. Graves.
Case Number 23-cr-00245
Lochbuie Man Sentenced to Thirty Years in Federal Prison for Production of Child PornographyRead the Press Release
DENVER - The United States Attorney’s Office for the District of Colorado announces that Steven Patrick McConnell, age 32, from Lochbuie, Colorado, was sentenced to 30 years in federal prison, followed by 25 years on supervised release, for production of child pornography.
According to facts contained in the plea agreement, in December 2021, the defendant was using an online platform to chat with an individual who, unknown to the defendant, was an undercover agent with the FBI. The defendant informed the undercover agent that he had access to a six-year-old minor child and that he regularly sexually assaulted the minor. He then sent the undercover agent a photo of the minor child. In a series of chat exchanges, the defendant then indicated that he planned to assault the minor child again, possibly as soon as that evening. The FBI obtained the IP address associated with the defendant, responded to the defendant’s residence with local law enforcement, obtained a warrant, and searched the defendant’s bedroom. Subsequently, the defendant admitted that he had engaged in sexual abuse of the minor child and made pornographic images of the minor. Devices recovered from the defendant’s bedroom were later analyzed and found to contain child pornography produced by the defendant, as well as evidence that the defendant distributed these images to other persons online.
“The horrific abuse sustained by the victim in this case can never be undone – that harm is forever,” said United States Attorney Cole Finegan. “Thanks to the quick action by the FBI, this predator was stopped and will be off the street for decades to come.”
“This heinous predator repeatedly victimized a trusting child because his access to the child was undetected. Law enforcement intervention stopped the egregious crimes, but the child will live with the experience for the rest of his life,” said Special Agent in Charge Mark Michalek. “The FBI Denver Child Exploitation and Human Trafficking Task Force is relentless in its work of protecting vulnerable children and holding their abusers accountable.”
United States District Court Judge William J. Martinez presided over the sentencing on May 31, 2023.
The FBI investigated this case, with assistance from the Lochbuie Police Department. Assistant United States Attorney Melissa Hindman handled the prosecution.
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 Attorney’s 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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
Case number 22-cr-23
New York Woman Charged with Making Threatening Calls to Denver-Area LGBTQ BusinessesRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces that Sharon Robinson, age 40, of New York, has been arrested and charged by indictment with making multiple threatening calls to LGBTQ businesses in Denver and Glendale.
According to allegations in the indictment, the defendant called at least four businesses catering to the LGBTQ community just a few weeks after the tragic shooting at Club Q in Colorado Springs. The defendant made various threatening comments in each of the calls, including threats to “shoot your bar up” and “you’re gonna be shot up like Club Q.” The threats also included anti-LGBTQ slurs. The Grand Jury made a special finding that the defendant intentionally selected her victims because of their actual and perceived sexual orientation. The United States Sentencing Guidelines recommend higher sentences for such crimes.
The defendant was scheduled to make her initial appearance in Brooklyn, New York, on May 24, 2023.
This case is being investigated by the Federal Bureau of Investigation, the Denver Police Department, and the Glendale Police Department. Assistant United States Attorney Bryan Fields is handling the prosecution.
The charges in the indictment are allegations and the Defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
CASE NUMBER: 23-cr-274Federal Grand Jury Indicts 24 Defendants on Drug Trafficking ChargesRead the Press Release
DENVER -- The United States Attorney’s Office for the District of Colorado announces the indictment of twenty-four defendants in an alleged drug trafficking conspiracy. Specifically, a federal grand jury in Denver returned a superseding indictment charging the following individuals:
- Cesar Octavio Vega Chacon, age 45, of Mexico
- Jose Ezequiel Alvarado-Villarreal, age 23, of Mexico
- Abymelec Alvarez-Miranda, age 24, of Mexico
- Manuel Campos, age 37, of Mexico
- Susana Elizabeth Carreno-Hernandez, age 42, of Colorado Springs, Colorado
- Alberto Cervantes-Salazar, age 36, of Aurora, Colorado
- Luis Daniel Feliciano Dejesus, age 37, of Denver, Colorado
- Uriel Flores, age 31, of Denver, Colorado
- Jose Antonio Sanchez-Olmedo, age 23, of Las Vegas, Nevada
- Victor Edel Sandoval-Portela, age 26, of Mexico
- Leonel Villarreal-Olivas, of Mexico
- Juan Demetrio Villapando, Jr., age 36, of Mexico
- Jose Misael Alcaraz Cortez, age 32, of San Bernardino, California
- Xiomara Faith Fabres, age 41, of Colorado Springs, Colorado
- Erasmo Franco-Gutierrez, age 27, location unknown
- Yulissa Aleli Castaneda Medrano, age 25, of Mexico
- Christian Mercado, age 31, location unknown
- Jose Abel Otero-Correa, age 23, of Aurora, Colorado
- Ian Michael Payne, Jr., age 36, of Colorado Springs, Colorado
- Stephanie Saavedra, age 36, of Littleton, Colorado, and
- Juan Antonio Serrano-Lopez, age 34, of Denver, Colorado
- Juan Demetrio Villalpando Dominguez, age 63, of West Covina, California
Two additional defendants identified by the nicknames “UM-5548” and “Ayon” are also included in the indictment, which was unsealed on May 9, 2023.
According to the allegations in the indictment, the defendants allegedly participated in a conspiracy to distribute more than 400 grams of fentanyl, more than 50 grams of methamphetamine (actual), 500 grams of a mixture of a substance containing methamphetamine, and a kilogram of heroin.
The indictment also alleges that Juan Demetrio Villalpando Jr., also known as “Junior,” engaged in a continuing criminal enterprise as part of the conspiracy, along with other allegations, and that he occupied positions of organizer, supervisor and any position of management. The indictment alleges that certain members of the conspiracy arranged for funds derived from the drug distribution to be moved from Colorado to California. Among other things, funds were allegedly sent to Juan Demetrio Villalpando Dominguez in California for ultimate delivery to Juan Demetrio Villalpando Jr., in Mexico.
The FBI, IRS-CI, and ICE-ERO conducted the investigation in this case. The prosecution is being handled by Assistant United States Attorneys Cyrus Chung and Alexander Duncan.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
The charges in the indictment are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Case No. 23-cr-00106-CNS
Aurora Man Found Guilty of CarjackingRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Odifu Odifu, age 27, of Aurora, was found guilty of carjacking, brandishing a firearm during a crime of violence, and possession of a firearm by a convicted felon.
According to facts presented at trial, on January 2, 2021, the defendant was driving a BMW that struck a GMC pickup truck on East Colfax Avenue in Aurora. After both cars pulled over on a side street, Odifu got out of the BMW, put a pistol to the head of the female driver of the pickup truck, and demanded that she get out. Odifu told the male passenger that he would shoot the female driver in the head. Odifu opened the driver-side door and removed the female driver from the truck. Meanwhile, a co-defendant removed the male passenger at gunpoint. Odifu then drove away in the truck. Aurora Police Department officers located the truck a short time later in a Wal-Mart parking lot. Odifu and his co-defendants were inside. Odifu led officers on a high-speed chase through a busy area that ended with officers immobilizing the truck on Hampden Avenue. Odifu then fled on foot. Officers apprehended him and discovered a loaded pistol at the location where he was arrested.
“We are committed to doing all we can to address violence in our communities,” said U.S. Attorney Cole Finegan. “We commend the work of our law enforcement partners that ensured this defendant was brought to justice, and hope that this conviction brings a measure of peace to the victims of this terrifying crime.”
“The Regional Anti-Violence Enforcement Network (RAVEN), a multi-agency task force of local, state, and federal partners to which ATF belongs, has the critical mission of combatting and dismantling violent crime that endangers our communities,” said ATF Special Agent in Charge Brent Beavers. “Through this partnership, and with the great work of the Aurora Police Department, a dangerous and violent criminal who used gun violence to victimize our communities will be held accountable for his actions due to the successful prosecution by the U.S. Attorney’s Office.”
A federal jury returned the guilty verdicts against Odifu on May 17, 2023. Sentencing is scheduled for July 21, 2023.
The ATF handled the investigation in this case. Assistant United States Attorneys Rajiv Mohan and Kurt Bohn handled the prosecution.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Case No. 21-cr-00047
U.S. Attorney's Office Announces Protecting Houses of Worship Training Seminar in DenverRead the Press Release
The United States Attorney’s Office for the District of Colorado announces it will co-host a Protecting Houses of Worship (PHOW) event in Denver next week. This interfaith event is open to the public and will focus on providing faith-based institutions with information from law enforcement and faith-related security experts about the threats of violence facing houses of worship and responsive measures to counter potential risks. The event will be held on Wednesday, May 24th, from 6-8 p.m. at the Colorado Muslim Society, 2071 S Parker Rd, Denver, CO 80231.
If interested in attending, please RSVP to Jillian Dardani at [email protected].
The PHOW programs are interfaith events hosted at a community center, church, mosque, synagogue or other faith-based facility for participation by all interested faith-based organizations in the city or region.
The upcoming event is sponsored by The U.S. Attorney’s Office for the District of Colorado, Denver District Attorney’s Office, Denver Police Department, and the Department of Justice’s Community Relations Service, Rocky Mountain Region.
Colorado Springs Woman Sentenced to 20 Years in Federal Prison for Distributing Fentanyl Resulting in DeathRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Alexis Nicole Wilkins, age 28, of Colorado Springs was sentenced to 20 years in federal prison today for distributing fentanyl, resulting in the death of a high school student.
According to the plea agreement, on December 3, 2021, a juvenile overdosed during class at Mitchell High School in Colorado Springs. First responders attempted life-saving measures, and transported the juvenile to a local hospital, where she was pronounced dead. The El Paso County Coroner determined the cause of death was “fentanyl intoxication.” Investigators spoke with two juvenile witnesses who were with the victim in a school restroom that morning. One juvenile witness provided statements that she and the victim used ”Percocet” in the bathroom that morning. Investigators were able to track where the juveniles got the pill through Facebook messages with the defendant, including a conversation which appears to be the one arranging the sale of a pill at the Citadel Mall in Colorado Springs the night before the victim’s death. One of the juvenile witnesses said she was introduced to the defendant by a Denver gang member in February 2021, and had been purchasing “percs” from the defendant. One witness noted the pill they purchased on December 2, 2021, looked different and was a lighter blue color than what they had received previously. Other Facebook messages indicate the defendant knew the pills she was selling were not made by a pharmaceutical company. On March 15, 2022, the Federal Bureau of Investigation (FBI) and the Colorado Springs Police Department executed a federal search warrant on the defendant’s home on West Portal Drive in Colorado Springs. Officers located and seized over 100 blue pills marked with “M” and “30,” which contained fentanyl. Investigators believe some of the pills were packaged for distribution.
“Fentanyl continues to kill innocent victims in Colorado, including teenagers,” said U.S. Attorney Cole Finegan. “As our hearts go out to the victim, her family, and her friends, I ask everyone in Colorado to be on guard and share the message with others. Unless a drug comes from a pharmacist, please do not take it. Any illicit drug could contain fentanyl and, if it does, it could kill you.”
“Alexis Wilkins sold poison to unsuspecting kids in Colorado Springs. No prison sentence can bring back her victim or undo the harm she caused; this outcome does mean she is no longer selling deadly drugs,” said FBI Denver Special Agent in Charge Mark Michalek “FBI Denver is always ready and willing to assist partners like the Colorado Springs Police Department, El Paso County Sheriff’s Office, and 4th Judicial District Attorney’s Office when it comes to halting the distribution of illegal drugs and making our communities safer.”
Judge Christine M. Arguello sentenced the defendant on May 11, 2023. After serving her custodial sentence, the defendant will have three years on supervised release.
The Federal Bureau of Investigation (FBI) Denver Division, the Colorado Springs Police Department Metro, Vice, Narcotics, and Intelligence (MVNI) Unit, the El Paso County Sheriff’s Office, and the 4th Judicial District Attorney’s Office participated in the investigation. The prosecution is being handled by Assistant United States Attorneys Peter McNeilly and Alyssa Mance.
CASE NUMBER: 22-cr-101-CMA
Colorado Springs Man Indicted for Covid Relief Program FraudRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces the indictment of Charles James Lacona, Jr., age 65, of Colorado Springs for his alleged role in a scheme to defraud Covid Relief Programs.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which provided emergency assistance to small business owners suffering adverse economic effects caused by the Coronavirus (“COVID-19”) pandemic. The CARES Act established several new temporary programs and expanded existing programs, including programs created or administered by the SBA. Two sources of funding for small businesses were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loans (“EIDL”) program.
According to allegations in the indictment, beginning in April 2020, the defendant obtained more than $500,000 in PPP loans on behalf of his company, National Financial Services. The defendant allegedly obtained the loans by inflating payroll costs and gross receipts, and submitting fabricated tax documents and payroll reports. The indictment also alleges the defendant drew a check of $67,704.13 from the loan proceeds to purchase a 2019 Cadillac from a Colorado Springs dealership.
The defendant made his initial appearance before United States Magistrate Judge Maritza Dominguez Braswell in Federal Court in Denver on May 4, 2023.
The case was investigated by IRS-CI. Assistant United States Attorney Craig Fansler is handling the prosecution.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The charges in the indictment are allegations. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Case No. 23-cr-00104-DDD
Justice Department Strengthens Efforts to Address the Crisis of Missing or Murdered Indigenous PersonsRead the Press Release
DENVER -- The Justice Department joins its partners across the federal government, as well as people throughout American Indian and Alaska Native communities, in recognizing May 5, 2023 as National Missing or Murdered Indigenous Persons Awareness Day. Responding to the unacceptable levels of violence that have led to the crisis of Missing or Murdered Indigenous Persons (MMIP) is a priority of the Department of Justice every day.
The department’s work to respond to the MMIP crisis is a whole-of-department effort that takes many forms. One year ago today, Deputy Attorney General Lisa Monaco joined Secretary of the Interior Deb Haaland to launch the Not Invisible Act Commission, a joint Commission established by the Not Invisible Act with an essential mission — to reduce violence against American Indians and Alaska Natives. In February, they welcomed the first in-person plenary meeting of the Not Invisible Act Commission. Since then, the department’s representatives on the commission—who are department leaders and subject matter experts—have participated in the Commission’s field hearings, which will continue through the summer. Later this year, the Commission will deliver recommendations for addressing the MMIP crisis to the Attorney General and the Secretary. In addition to supporting the Not Invisible Act Commission, the department remains steadfast in its commitment to addressing the MMIP crisis.
“The Justice Department is marshalling the full strength of its resources to confront the crisis of Missing or Murdered Indigenous Persons, which has devastated the lives of victims, their families, and entire Tribal communities,” said Attorney General Merrick B. Garland. “Addressing this crisis requires a whole-of-government approach, and we are grateful for the partnership of Tribal and other law enforcement agencies across the nation that are working alongside the Justice Department to help reduce crime and support victims in American Indian and Alaska Native communities.”
“Missing or Murdered Indigenous Persons Awareness Day calls on our nation to pause and honor the loved ones who have gone missing or who have been the victims of violent crime,” said Deputy Attorney General Lisa O. Monaco. “Acknowledging the many American Indian and Alaska Native people who have suffered, and continue to suffer, from the pain of a missing loved one or of violent crime serves as an important reminder of the urgency and importance of the department’s work to respond to the crisis of missing or murdered indigenous persons. The Justice Department—including our dedicated agents, analysts, and prosecutors—remains steadfast in our pledge to work as partners with Tribal governments in preventing and responding to the violence that has disproportionately harmed Tribal communities.”
“The Justice Department is committed to using every resource at its disposal to combat the Missing or Murdered Indigenous Persons Crisis,” said Associate Attorney General Vanita Gupta. “In addition to our core law-enforcement work, we are providing grant funding and guidance to help Tribes develop response plans for missing-persons cases, partner effectively with local law enforcement, and provide resources for victims of crime.”
“On this and every day, we remain committed to addressing the crisis of Missing or Murdered Indigenous Persons,” said Cole Finegan, United States Attorney for the District of Colorado. “We work closely with the Ute Mountain Ute and Southern Ute Tribes, as well as with state and federal law enforcement, to protect and serve the members of our indigenous communities.”
Department Prioritization of MMIP Cases
In July 2022, Deputy Attorney General Monaco issued a memorandum reiterating that it is a priority of the Department of Justice to address the disproportionately high rates of violence experienced by American Indians and Alaska Natives, and relatedly, the high rates of indigenous persons reported missing. The memorandum directed each United States Attorney with Indian country jurisdiction — along with their law enforcement partners at DOJ — to update and develop new plans for addressing public safety in Indian country.
Publication of Updated Attorney General Guidelines for Victim and Witness Assistance
In October 2022, Attorney General Merrick B. Garland issued revised Attorney General Guidelines for Victim and Witness Assistance. The revised guidelines, which was updated for the first time in a decade, address when and how department employees work with victims and witnesses of crime to ensure that their voices are heard and that they are protected during criminal justice proceedings. For the first time the guidelines include cultural and linguistic considerations for victims from American Indian and Alaska Native communities.
National Native American Outreach Services Liaison
Last year, the department announced the creation of a new National Native American Outreach Services Liaison. Since that announcement, the Liaison has begun to help amplify the voice of crime victims in Indian country and their families across the department as they navigate the federal criminal justice system. In the coming months, the Liaison will meet with survivors and family members of MMIP to learn more about the current challenges in MMIP cases and to make recommendations about the department’s continued response.
Federal Law Enforcement Strategy to Prevent and Respond to the MMIP Crisis
In July 2022, the Department of Justice and the Department of the Interior submitted a report pursuant to Sections 2 and 4(a) of Executive Order 14053, which called for “coordinated and comprehensive Federal law enforcement strategy to prevent and respond to violence against Native Americans, including to address missing or murdered indigenous people where the federal government has jurisdiction.” The report was published late last year and is available on the department website here.
Guide for Tribal Community Response Plans for Missing Persons Cases
In December 2022, the department published a Guide to Developing a Tribal Community Response Plan for Missing Persons Cases. This Guide is a resource for Tribes interested in developing a plan to respond to missing person cases that is tailored to the specific needs, resources, and culture of Tribal communities.
Launch of the COPS Office Tribal MOU/MOA Resource Library
On Monday of this week, the department’s Office of Community Oriented Policing Services (COPS) published its Tribal Memorandum of Understanding (MOU)/Memorandum of Agreement (MOA) Sample Resource Library. This library provides users with the resources to research and successfully draft agreements that will help agencies develop and solidify partnerships to address missing or murdered Indigenous persons cases.
Expanded Scope of the Tribal Victim Services Set-Aside Grant Program
The department’s Office for Victims of Crime (OVC) expanded the scope of allowable activities under its Tribal Victim Services Set-Aside (TVSSA) grant program to permit Tribal communities to pay for costs related to generating awareness of individual missing persons cases involving American Indians and Alaska Native persons, supporting private search efforts for missing American Indians and Alaska Native persons in certain circumstances, and supporting efforts to coordinate the Tribal, state, and federal response to MMIP cases.
Government-to-Government Tribal Consultation on Violence Against Women
In September 2022, the department’s Office of Violence Against Women (OVW) held the 17th Annual OVW Government-to Government Tribal Consultation on Violence Against Women in Anchorage, Alaska. OVW is responsible for conducting annual government-to-government consultations with the leaders of all Federally recognized Indian Tribal governments on behalf of the Attorney General. The 2022 Tribal consultation report is available here.
National Institute of Justice Study of MMIP Cases in New Mexico
Last year, the department’s National Institute of Justice (NIJ) funded a study that will provide vital information regarding the prevalence and context of cases of MMIP in New Mexico and, importantly, will inform long-term data collection, analysis, and reporting strategies on MMIP cases. These improvements will support data-driven decision-making regarding MMIP in New Mexico moving forward.
Additional Department of Justice Resources
For additional information about the Department of Justice’s efforts to address the MMIP crisis, please visit the Missing or Murdered Indigenous Persons section of the Tribal Safety and Justice website.
Click here for more information about reporting or identifying missing persons.
Colorado Man Pleads Guilty to Federal Hate Crime for Church ArsonRead the Press Release
A Colorado man pleaded guilty today to a hate crime charge in connection with a fire he set to a church in Loveland, Colorado.
According to court documents and admissions during the plea hearing, Darion Ray Sexton, 22, intentionally set fire to the church in the evening hours of Jan. 19. Sexton admitted that he set this fire by throwing two Molotov cocktails at the church – one at the front door and the other at the basement. Sexton further admitted that he was motivated to set this fire due to the religious character of the church and that he intended to destroy the church.
“Protecting religious freedom and observance is a top priority for the Department of Justice,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “We will continue to vigorously prosecute those who attack houses of worship and target religious communities.”
“We all have a right to feel safe and secure in our houses of worship – no matter our religion or belief,” said U.S. Attorney Cole Finegan for the District of Colorado. “An act of violence in one of our sacred places is especially serious, and we will work with our law enforcement partners to vigorously prosecute all such offenses.”
“The FBI treats hate crimes as the highest priority of our civil rights program because everyone deserves to feel safe to exercise their religion without fear of violence from others,” said Special Agent in Charge Mark Michalek of the FBI Denver Field Office. “FBI Denver is committed to protecting those rights, and we will continue to aggressively work with our law enforcement partners to bring justice to all communities that have been targeted.”
"Arson, especially when motivated by hatred, should never be tolerated, and often leads to deadly consequences," said ATF Special Agent in Charge Brent Beavers. "Denver Fire Department Accelerant Detection Canine Peaches responded with our Certified Fire Investigators, who provided expertise and guidance while working in tandem with law enforcement partners to investigate and determine the origin and cause of the arson, making a substantial contribution to this investigation."
The sentencing hearing is scheduled for July 21. Sexton faces a maximum sentence of 20 years in prison and a $250,000 fine.
The FBI, ATF, and the Loveland Police and Fire Departments investigated the case.
Assistant U.S. Attorney Bryan D. Fields for the District of Colorado and Trial Attorney Maura White of the Civil Rights Division’s Criminal Section are prosecuting the case.
California Man Found Guilty for Role in Drug Trafficking ConspiracyRead the Press Release
DENVER - The U.S. Attorney’s Office for the District of Colorado announces that Jesse Cervantes of Merced, California, was found guilty by a federal jury for his role in a drug trafficking conspiracy.
According to facts established at trial, the defendant traveled over 1,000 miles to Colorado from California, making numerous intercepted telephone calls to set up a delivery of four kilos of heroin worth approximately $100,000. He was observed handing a backpack with the four kilos of heroin to a runner, and was subsequently caught by law enforcement a short distance away from the handoff. When asked to provide his phone number to State Troopers, he provided the same number that was intercepted by law enforcement.
United States District Court Judge William Martinez presided over the three day jury trial in Denver. Sentencing is scheduled for November 22, 2023.
The investigation was conducted by the Drug Enforcement Administration, with assistance from the Colorado State Patrol. The trial was handled by Assistant United States Attorneys Robert Brown and Jeremy Sibert.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Case number 20-CR-292
Denver Woman Pleads Guilty to $3.3 Million Covid FraudRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces DeJane Reaniece Lattany, age 32, of Denver, pleaded guilty to wire fraud for receiving more than $3.3 million of fraudulent COVID-19 loans.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which provided emergency assistance to small business owners suffering adverse economic effects caused by the Coronavirus (“COVID-19”) pandemic. The CARES Act established several new temporary programs and expanded existing programs, including programs created or administered by the SBA. Two sources of funding for small businesses were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loans (“EIDL”) program. The CARES Act mandated that only businesses in operation on February 15, 2020, for PPP, or before February 1, 2020, for EIDL, were eligible under the programs. In addition, the CARES Act authorized the SBA to issue advances of up to $10,000 to small businesses, known as Economic Injury Disaster Grants (“EIDG”). The amount of the EIDG was determined by the number of employees the applicant certified having. The EIDGs did not need to be repaid.
According to court documents, beginning in June 2020 and continuing through January 2022, the defendant prepared and submitted fraudulent EIDL applications to the Small Business Administration (SBA) on behalf of business entities that she purportedly owned. In these fraudulent EIDL applications, Lattany made false statements regarding the entities’ number of employees, gross revenues, and cost of goods sold; she further falsely certified that the information provided in the EIDL applications was true and accurate and that the funds would be used to pay payroll and other permissible expenses when, in fact, she used the bulk of the proceeds for her personal benefit. The SBA approved and funded five EIDL applications and three EIDGs for a total of $430,000 in EIDLs and $20,000 in EIDGs. From June 2020 through December 2021, Lattany submitted fraudulent PPP applications to participating lenders on behalf of business entities that she purportedly controlled and obtained $2,887,976.94 in PPP loans as a result of the Scheme. These PPP applications contained a number of false and fraudulent certifications and representations regarding Lattany’s ownership of other businesses, as well as the businesses’ average monthly payroll and number of employees. Lattany falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the bulk of the proceeds were used for her personal benefit. She also submitted false and fraudulent documentation in support of the PPP applications to the participating lenders. Lattany also sought loan forgiveness for PPP loans by submitting loan. In total, $3,337,976.94 of PPP, EIDL, and EIDG proceeds were paid out as a result of the scheme.
The defendant pleaded guilty before United States District Court Judge Nina Y. Wang on April 26, 2023. Sentencing is scheduled for August 15, 2023.
This case was investigated by the Federal Bureau of Investigation (FBI) Denver Division. The prosecution is being handled by Assistant United States Attorneys Nicole C. Cassidy and Rebecca S. Weber.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
CASE NUMBER: 23-cr-00074-NYW
Colorado Springs Man Convicted by Federal Jury for Gun and Drug CrimesRead the Press Release
DENVER -- The United States Attorney’s Office for the District of Colorado announces that a federal jury found Christopher Barron of Colorado Springs, guilty of six charges related to guns and drugs, including possession with intent to distribute a controlled substance, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a felon.
According to facts presented at a three-day trial in Denver, law enforcement executed a search warrant in January 2021, on a Lincoln Town Car registered to Barron, who was a convicted felon on parole for a weapons offense. The Lincoln Town Car was parked outside a motel in Colorado Springs. Inside the trunk of the car, investigators discovered over $18,000 in cash, a backpack that held six firearms, and approximately 349 grams of methamphetamine, in addition to heroin, fentanyl, and cocaine.
“Our office continues to prioritize gun crimes, especially when combined with drug trafficking – a truly dangerous combination,” said U.S. Attorney Cole Finegan. “We thank our law enforcement partners for their continued work making our communities safer by investigating these offenses.”
"Keeping our communities safe remains our top priority," said ATF Special Agent in Charge Brent Beavers. "We are grateful for our partnership with the Colorado Springs Police Department as it strengthens our ability to combat violent crime and carry out our unified mission.”
United States District Court Senior Judge R. Brooke Jackson presided over the jury trial, which returned guilty verdicts on April 19, 2023. The defendant is scheduled to be sentenced on June 1, 2023.
This case was investigated by the Colorado Springs Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Colorado Department of Corrections Office of Parole, and the Colorado Springs Police Department. The prosecution was handled by Assistant United States Attorneys Thomas Minser and Dan Warhola. Assistant United States Attorney Elizabeth Young handled the forfeiture.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Case No. 21-cr-00078
For more information about the U.S. Attorney's Office for the District of Colorado, visit: https://www.justice.gov/usao-co/pr
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Supervisory Paramedic Sentenced to Three Years in Federal Prison for Stealing Fentanyl and Tampering with Drugs Intended for PatientsRead the Press Release
DENVER - The U.S. Attorney’s Office for the District of Colorado announces that Christopher Robert Pattinson, age 41, of Commerce City, was sentenced to three years in prison for tampering with fentanyl intended for patient use.
According to the plea agreement, Pattinson was a Paramedic Field Lieutenant Supervisor at a Denver hospital. For a period of four years, he stole approximately 1900 vials of fentanyl from the paramedic department, and in the last few months of his employment, tampered with fentanyl vials intended for patient use. He concealed his theft by altering the hospital’s narcotics logs and making false entries in the hospital’s records. When the defendant tampered with the narcotics, he removed fentanyl vials from a locked narcotics supply cabinet, replacing the drug with a clear liquid believed to be saline. The defendant then returned tampered fentanyl vials to the locked narcotics supply cabinet and placed tampered vials in narcotics kits to be used on ambulances to respond to emergencies.
“We won’t tolerate medical professionals who put patients at risk,” said U.S. Attorney Cole Finegan. “Drug addiction is tragic, but it’s no excuse for harming patients – this conduct will send you to prison for a long time.”
“Health care professionals who tamper with patient medications not only harm patients but also put at risk the trust that U.S. consumers have in those who provide their medical care,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We will continue to investigate and bring to justice health care professionals who tamper with patients’ medications.”
“Trust is the cornerstone of a patient’s relationship with the medical community,” said Acting Special Agent in Charge David Olesky of the Drug Enforcement Administration’s Rocky Mountain Field Division. “Mr. Pattinson violated that trust, and as a result of his actions, the DEA, the FDA, and our partners at the U.S. Attorney’s Office have held him accountable.”
United States District Court Judge Charlotte N. Sweeney sentenced the defendant on April 19, 2023. After his period of incarceration, the defendant will also serve three years on supervised release. The defendant was also ordered to pay restitution to the hospital.
Substance abuse and mental health services are available to medical professionals experiencing addiction and other issues that may be detrimental to their ability to safely practice their profession. Nurses, dentists, psychologists, pharmacists, and other medical professionals can reach out to nonprofit agency Peer Assistance Services, Inc. (peerassistanceservices.org), and emergency medical professionals can contact nonprofit agency Path4EMS (path4ems.org). These programs promote earlier identification and intervention to prevent professionals from engaging in unsafe practices.
This matter was investigated by the FDA Office of Criminal Investigations and the Drug Enforcement Administration.
Case No. 22-cr-0263-CNS
Indian National Pleads Guilty to Money Laundering Conspiracy Based in Wray, ColoradoRead the Press Release
Denver – The United States Attorney’s Office for the District of Colorado announces that Dhruv Jani, age 40, formerly of Wray, Colorado, pleaded guilty today to conspiring to commit money laundering.
According to the plea agreement, starting in January 2020, Jani was part of a conspiracy to launder funds obtained from a government official imposter scheme. Victims in the United States were contacted by telephone and coerced into believing they were under investigation by “Agents” of federal law enforcement agencies (the FBI, SSA, DHS, Treasury, or U.S. Drug Enforcement Administration). Victims were told that their identities had been connected to a criminal incident, that their imminent arrest and/or deportation from the United States had been ordered by law enforcement, and that the only way to avoid arrest and or deportation was to pay the “Government” large sums of money. In a typical scenario, the “Agent” instructed the victim to remain on the phone for the duration of the call while the victim traveled to their bank to withdraw cash. The “Agent” then convinced the victim to package and ship the cash to alleged government officials via Federal Express or United Parcel Service.
The government contends that fifty-seven victims mailed, or attempted to mail, approximately $1.6 million to Jani and his conspirators in Colorado. Many of these same victims were also directed to mail packages of cash and gift cards to individuals in other states. All told, the government contends that the victims who sent money and gift cards to Colorado and to other states are out approximately $7.2 million from the government imposter scheme.
United States District Court Judge Raymond P. Moore is scheduled to sentence Jani on October 6, 2023.
This investigation is being conducted jointly with investigators from the Social Security Administration (SSA) Office of Inspector General (OIG), United States Postal Inspection Service, Department of Homeland Security-OIG, Homeland Security Investigations (HSI), and the Sterling, Colorado Police Department. The District Attorney for the 13th Judicial District has also provided assistance. This case is being prosecuted by Assistant U.S. Attorneys Martha A. Paluch and Laura B. Hurd.
Case number: 22-cr-202
Carjackers Each Sentenced to More than a Decade in Federal PrisonRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that Brian Armando Diaz Montellano, age 29, was sentenced to 14 years in prison for carjacking and for discharging a firearm in furtherance of a crime of violence. Co-defendant Alexis Michele Ruder-Iturrino, age 27, was sentenced to 11 years in prison.
According to the terms of the plea agreement, Douglas County deputies pursued Diaz Montellano and Ruder-Iturrino on June 19, 2022, while they were driving in a stolen Dodge truck at speeds of approximately 100 miles per hour. After fleeing from law enforcement, Diaz Montellano drove the truck directly in front of a moving 2022 Subaru Cross Trek, forcing the Subaru to stop. Diaz Montellano and Ruder-Iturrino got out of the truck and approached the Subaru, demanding the two occupants get out of the car. Ruder-Iturrino held an AR-15 rifle, pointed it at the victims, and then fired a round into the ground. Diaz Montellano opened the driver’s side door as Ruder-Iturrino screamed at the driver to get out. The co-defendants then got into the Subaru and drove away. Diaz Montellano was later arrested in possession of a loaded 9mm pistol.
“The defendants terrorized their carjacking victims, making them afraid for their lives,” said U.S. Attorney Cole Finegan. “Based on their conduct they will each have more than ten years in federal prison to consider their actions.”
United States District Court Judge Raymond P. Moore pronounced the sentences for both defendants on April 17, 2023.
This case was investigated by the FBI Denver Rocky Mountain Safe Streets Task Force, the Douglas County Sheriff’s Office, and the Denver Police Department. The prosecution was handled by Assistant United States Attorney Brian Dunn.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
Case No. 22-cr-0260
For more information about the U.S. Attorney's Office for the District of Colorado, visit: https://www.justice.gov/usao-co/pr
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Colorado Springs Residents Indicted in Alleged Scheme to Defraud Hundreds of Student Loan DebtorsRead the Press Release
Denver -- The U.S. Attorney’s Office for the District of Colorado announces that Jalon Torres, age 45, and Lisa Marie Ritter, age 32, both of Colorado Springs, have been indicted by a Federal Grand Jury as part of an alleged scheme to defraud student loan debtors.
According to the allegations in the indictment, Torres was the registered agent for the Student Resolution Center, LLC, which was also known as the Student Resource Center (SRC). Beginning in and around June 2015, Torres devised a scheme to defraud student loan debtors by making false promises to induce them to make payments to his company. As part of the scheme, Torres and others he directed called victims and falsely promised to reduce or eliminate student loan debt for a certain number of payments to the SRC. Torres obtained authorization from victims to withdraw payments from their bank accounts, but then withdrew payments in excess of the amounts listed in each contract. SRC earned more than $1 million from hundreds of victims. The indictment further alleges that both defendants then used the proceeds for personal gain, including purchasing a residence and a luxury vehicle.
Defendant Ritter made her initial appearance in Denver before United States Magistrate Judge James P. O’Hara on April 11, 2023. Defendant Torres was arrested in Florida and is awaiting further proceedings in the United States District Court for the Southern District of Florida.
The matter was investigated by the Federal Bureau of Investigation, IRS-CI, and the Department of Education Office of Inspector General. Assistant United States Attorney Rebecca Weber is handling the prosecution.
The charges in the indictment are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Case Number 23-cr-00113-RMR
Justice Department Releases Nearly $300 MILLION in Grant Solicitations for Hiring Law Enforcement Officers and Improving School SafetyRead the Press Release
WASHINGTON – The Department of Justice’s Office of Community Oriented Policing Services (COPS Office) has announced the release of approximately $300 million in grant solicitations for programs that advance community policing, keep school students safe, and add law enforcement officers to our nation’s streets.
“These grant solicitations represent the Justice Department’s commitment to keeping our children safe in their schools and assisting law enforcement agencies across the country with the ongoing recruitment and retention crisis,” said Associate Attorney General Vanita Gupta. “Supporting community violence intervention programs, and the law enforcement agencies that partner with them, is not only a priority of the Department, but is critical to the safety and success of future generations.”
“We know from experience that it takes law enforcement and communities working together to reduce crime and increase public safety,” said COPS Office Director Hugh T. Clements, Jr. “But they can’t do that without our help. This announcement represents another opportunity from the Department of Justice for agencies to apply for grants to advance their community policing efforts, hire more officers, and keep schools safe for our children.”
"We recognize that community-oriented policing is essential to promoting trust, safety, and justice for all. The Department of Justice's Office of Community Oriented Policing Services is a vital partner in our efforts to create safer communities,” said United States Attorney Cole Finegan. “We stand committed to working with law enforcement agencies and community organizations to ensure that tragedies like the recent shooting at East High School in Denver are prevented, and that all Americans can live and learn in safety and security."
The announced solicitations include $224.5 million available for the COPS Hiring Program (CHP), a competitive award program intended to reduce crime and advance public safety through community policing by providing direct funding for the hiring of career law enforcement officers. For this year’s program, the COPS Office will prioritize applications for jurisdictions that support Community Violence Intervention (CVI) programs, for jurisdictions that seek to hire officers that would engage directly with CVI teams and other community stakeholders to ensure those groups are involved in strategic operations and planning, and for jurisdictions seeking to implement hiring practices to help agencies mirror the racial diversity of the communities that they serve. All local, state, Tribal, and territorial law enforcement agencies that have primary law enforcement authority are eligible to apply.
Funding also includes $73 million for the School Violence Prevention Program (SVPP), which includes $20 million that was made available through the 2022 Bipartisan Safer Communities Act. This program provides funding to improve security at schools and on school grounds in the grantees’ jurisdictions through evidence-based school safety programs. Awards will be provided directly to eligible state, local, Tribal, and territorial partners. Recipients of SVPP funding must use funding for the benefit of K-12, primary, and secondary schools, and students. When undertaking comprehensive school safety and security approaches, applicants should prioritize implementing school safety measures that help to promote a positive school climate that does not detract from the mission of the school to educate students or negatively impact the health and wellbeing of students.
Please visit https://cops.usdoj.gov/grants for additional information about both the COPS Hiring Program and the School Violence Prevention Program.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to organization for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served. The COPS Office has been appropriated more than $20 billion to advance community policing, including grants awarded to more than 13,000 state, local and Tribal law enforcement agencies to fund the hiring and redeployment of more than 136,000 officers.
Denver Woman Accused of Stealing More Than $3.3 Million from Covid Relief ProgramsRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces DeJane Reaniece Lattany, age 32, of Denver, has been charged by information with wire fraud for receiving more than $3.3 million of fraudulent COVID-19 loans.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which provided emergency assistance to small business owners suffering adverse economic effects caused by the Coronavirus (“COVID-19”) pandemic. The CARES Act established several new temporary programs and expanded existing programs, including programs created or administered by the SBA. Two sources of funding for small businesses were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loans (“EIDL”) program. The CARES Act mandated that only businesses in operation on February 15, 2020, for PPP, or before February 1, 2020, for EIDL, were eligible under the programs. In addition, the CARES Act authorized the SBA to issue advances of up to $10,000 to small businesses, known as Economic Injury Disaster Grants (“EIDG”). The amount of the EIDG was determined by the number of employees the applicant certified having. The EIDGs did not need to be repaid.
According to court documents, beginning in June 2020 and continuing through January 2022, the defendant prepared and submitted fraudulent EIDL applications to the Small Business Administration (SBA) on behalf of business entities that she purportedly owned. In these fraudulent EIDL applications, Lattany made false statements regarding the entities’ number of employees, gross revenues, and cost of goods sold; she further falsely certified that the information provided in the EIDL applications was true and accurate and that the funds would be used to pay payroll and other permissible expenses when, in fact, she used the bulk of the proceeds for her personal benefit. The SBA approved and funded five EIDL applications and three EIDGs for a total of $430,000 in EIDLs and $20,000 in EIDGs. From June 2020 through December 2021, Lattany submitted fraudulent PPP applications to participating lenders on behalf of business entities that she purportedly controlled and obtained $2,887,976.94 in PPP loans as a result of the Scheme. These PPP applications contained a number of false and fraudulent certifications and representations regarding Lattany’s ownership of other businesses, as well as the businesses’ average monthly payroll and number of employees. Lattany falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the bulk of the proceeds were used for her personal benefit. She also submitted false and fraudulent documentation in support of the PPP applications to the participating lenders. Lattany also sought loan forgiveness for PPP loans by submitting loan. In total, $3,337,976.94 of PPP, EIDL, and EIDG proceeds were paid out as a result of the scheme.
The defendant made her initial appearance before Magistrate Judge S. Kato Crews on March 27, 2023.
This case was investigated by the Federal Bureau of Investigation (FBI) Denver Division. Prosecution is being handled by Nicole C. Cassidy and Rebecca S. Weber.
The charge contained in the information is an allegation and the defendant is presumed innocent unless and until proven guilty.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
CASE NUMBER: 23-cr-00074-NYW
Denver Woman Accused of Stealing More Than $3.3 Million from Covid Relief ProgramsRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces DeJane Reaniece Lattany, age 32, of Denver, has been charged by information with wire fraud for receiving more than $3.3 million of fraudulent COVID-19 loans.
On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which provided emergency assistance to small business owners suffering adverse economic effects caused by the Coronavirus (“COVID-19”) pandemic. The CARES Act established several new temporary programs and expanded existing programs, including programs created or administered by the SBA. Two sources of funding for small businesses were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loans (“EIDL”) program. The CARES Act mandated that only businesses in operation on February 15, 2020, for PPP, or before February 1, 2020, for EIDL, were eligible under the programs. In addition, the CARES Act authorized the SBA to issue advances of up to $10,000 to small businesses, known as Economic Injury Disaster Grants (“EIDG”). The amount of the EIDG was determined by the number of employees the applicant certified having. The EIDGs did not need to be repaid.
According to court documents, beginning in June 2020 and continuing through January 2022, the defendant prepared and submitted fraudulent EIDL applications to the Small Business Administration (SBA) on behalf of business entities that she purportedly owned. In these fraudulent EIDL applications, Lattany made false statements regarding the entities’ number of employees, gross revenues, and cost of goods sold; she further falsely certified that the information provided in the EIDL applications was true and accurate and that the funds would be used to pay payroll and other permissible expenses when, in fact, she used the bulk of the proceeds for her personal benefit. The SBA approved and funded five EIDL applications and three EIDGs for a total of $430,000 in EIDLs and $20,000 in EIDGs. From June 2020 through December 2021, Lattany submitted fraudulent PPP applications to participating lenders on behalf of business entities that she purportedly controlled and obtained $2,887,976.94 in PPP loans as a result of the Scheme. These PPP applications contained a number of false and fraudulent certifications and representations regarding Lattany’s ownership of other businesses, as well as the businesses’ average monthly payroll and number of employees. Lattany falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the bulk of the proceeds were used for her personal benefit. She also submitted false and fraudulent documentation in support of the PPP applications to the participating lenders. Lattany also sought loan forgiveness for PPP loans by submitting loan. In total, $3,337,976.94 of PPP, EIDL, and EIDG proceeds were paid out as a result of the scheme.
The defendant made her initial appearance before Magistrate Judge S. Kato Crews on March 27, 2023.
This case was investigated by the Federal Bureau of Investigation (FBI) Denver Division. Prosecution is being handled by Nicole C. Cassidy and Rebecca S. Weber.
The charge contained in the information is an allegation and the defendant is presumed innocent unless and until proven guilty.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
CASE NUMBER: 23-cr-00074-NYW
Denver Felon Sentenced to 10 Years in Federal Prison for Weapons ViolationRead the Press Release
DENVER - The United States Attorney’s Office for the District of Colorado announces Dedric Mayfield, age 46, of Denver, was sentenced today to 10 years in federal prison after a jury convicted him of possession of ammunition by a convicted felon.
According to facts presented at trial, on August 27, 2021, Mayfield was caught on surveillance cameras firing multiple shots at a man fleeing down an alley near the 1500-block of North Verbena Street in broad daylight in a busy area. After engaging in what appeared to be drug transactions on the street, Mayfield got into an argument with a man who arrived in the area. Mayfield went to a Ford Explorer, got in the passenger seat, and his girlfriend drove the two of them away. Officers responded to the scene within minutes. They found five spent .40 caliber shell casings at the mouth of the alley. They later found a sixth spent .40 caliber shell casing near where the Ford Explorer had been parked. One bullet pierced a window at a gas station located downstream from the alley and shattered a refrigerator door inside. The gas station clerk testified that the path of the bullet from the window to the refrigerator essentially split the distance between two customers waiting in line. Officers later recovered a bullet fragment from the refrigerator. Through the Ford Explorer’s license plate, visible on camera, officers were able to identify Mayfield’s girlfriend, which led them to Mayfield. There was no dispute that he was the man on video. Officers eventually arrested Mayfield and searched his residence. They found clothing that matched what he was wearing during the shooting.
Judge William J. Martinez presided over the two-day trial in April 2022 and sentenced the defendant on March 24, 2023. Judge Martinez also sentenced the defendant to three years of supervised release.
“This dangerous felon posed a significant danger to the public after three decades of guns, violence, and general disregard for the law,” said United States Attorney Cole Finegan. “He will spend the next decade coming to the realization that we will not tolerate such unlawful behavior and will vigorously prosecute those who violate our gun laws."
“Resolving any dispute with firearms is reckless and dangerous,” said ATF Acting Special Agent in Charge Kirk Howard. “Armed felons often commit violent crimes, and we are grateful he will no longer pose a threat to our communities while in prison.”
“Our community is safer today because of the steadfast commitment of the partnering agencies to seek the greatest legal consequences for armed felons causing harm in our community,” said Denver Chief of Police Ron Thomas. “I applaud the efforts of all the investigators and prosecutors and their efforts that resulted in this outcome.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Denver Division investigated this case, with assistance from the Denver Police Department. Assistant United States Attorneys Rajiv Mohan and Celeste Rangel and prosecuted the case.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 21-cr-00341
Court exhibitColorado Pharmacy and Pharmacist Agree to Resolve Allegations that They Unlawfully Filled Dangerous Prescriptions for Controlled SubstancesRead the Press Release
DENVER—The United States Attorney’s Office for the District of Colorado announced that People’s Pharmacy, Inc. and its owner and pharmacist-in-charge, Mahnaz Abharian, have agreed to resolve allegations that the pharmacy unlawfully dispensed controlled substances, including dangerous opioids and drug combinations.
People’s Pharmacy operated a pharmacy located in Lakewood, Colorado until July 2020. Ms. Abharian is the sole owner of People’s Pharmacy and served as the pharmacist-in-charge at the Lakewood location.
The United States alleges that People’s Pharmacy violated the Controlled Substances Act between January 2014 and July 2020 by unlawfully filling prescriptions despite the presence of red flags indicating that the prescriptions were not issued for legitimate medical purposes. The prescriptions filled included exceptionally high opioid dosages and dangerous drug combinations, which can depress the central nervous system and the ability to breathe. The United States alleges that these violations resulted in serious harms, including both overdose deaths and the unlawful diversion of prescription drugs onto the street.
As part of the settlement, People’s Pharmacy agreed to a $3.5 million civil penalty, which required it to pay all of its remaining assets. The pharmacy also agreed to permanently forgo holding a pharmacy license or Drug Enforcement Administration (DEA) registration, which will prevent it from dispensing any controlled substances in the future. Ms. Abharian agreed that she will not dispense any controlled substances again in the future.
“Pharmacies and pharmacists are the last line of defense against unlawful prescriptions,” said U.S. Attorney Cole Finegan. “They have an obligation to spot, and refuse to fill, unlawful prescriptions for dangerous drugs. When a pharmacist ignores red flags indicating that a prescription lacks a legitimate medical purpose, and fills the prescription anyway, there can be deadly consequences. We will protect our community by vigorously pursuing pharmacies and pharmacists that fail to follow the law, just as we do with prescribers who issue unlawful prescriptions.”
“People’s Pharmacy perpetuated the opioid crisis by ignoring red flags and knowingly and unlawfully dispensing Oxycodone that led to addiction and in some cases death. Pharmacists have a corresponding responsibility to ensure the legitimacy of the prescriptions they fill,” said DEA Rocky Mountain Division Acting Special Agent in Charge David Olesky. “This case highlights the DEA Rocky Mountain Division’s commitment and capabilities when it comes to investigating those believed to be improperly dispensing controlled substances and our efforts to reverse the poisoning and overdose crisis plaguing our region.”
The claims against People’s Pharmacy and Ms. Abharian are allegations, and in agreeing to settle this matter, they did not admit to any liability.
This matter was investigated by the DEA’s Rocky Mountain Division and handled by Assistant United States Attorney David Moskowitz.
Idaho Springs Man Pleads Guilty to Executing Million Dollar PPP Fraud SchemeRead the Press Release
Denver - The United States Attorney’s Office for the District of Colorado announces Edward Baker Harrington, age 59, of Idaho Springs, pleaded guilty today to wire fraud and money laundering.
According to the plea agreement, from April 2020 through September 2021, the defendant submitted a number of fraudulent Paycheck Protection Program (PPP) applications to seven banks and one lender on behalf of business entities that he purportedly controlled. These PPP applications contained a number of false and fraudulent certifications and representations. The defendant obtained more than $1,000,000 in PPP loans as a result of the scheme. He falsely represented that all PPP funds would be used to pay eligible business expenses, when, in fact, the proceeds were used for his personal benefit to purchase goods and property, including real estate and vehicles. The defendant also sought loan forgiveness for PPP loans by submitting loan forgiveness applications in which he made false representations and certifications regarding his businesses and his compliance with the PPP program rules, including rules related to the eligible uses of PPP loan proceeds.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted in March 2020 and was designed to provide emergency financial assistance to Americans dealing with the economic impact of the COVID-19 pandemic. The CARES Act created PPP, a program administered by the Small Business Administration that provided loans to small businesses to retain workers, maintain payroll, and certain other expenses consistent with PPP rules.
A wire fraud conviction carries with it a prison term of up to 20 years and a fine of not more than $250,000. A money laundering conviction carries with it a prison term of up to 10 years and a fine of not more than $250,000.
This case is being investigated by Internal Revenue Service – Criminal Investigation. This case is being prosecuted by Assistant United States Attorneys Nicole Cassidy and Martha Paluch.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Case Number: 22-cr-00324
Colorado High School Activities Association Agrees to Improve Access for Student Athletes with DisabilitiesRead the Press Release
DENVER—The U.S. Attorney’s Office for the District of Colorado announced today that the United States has resolved a discrimination complaint under the Americans with Disabilities Act (ADA) against the Colorado High School Activities Association (CHSAA) related to a student athlete with diabetes who was disqualified from participating in an event at a state championship swim meet.
The Department of Justice received a complaint from the family of a high school swimmer, who has Type 1 diabetes, after the student was disqualified from swimming in an event at the 2021 state meet for having adhesive tape covering a continuous glucose monitor that he wears to monitor his blood sugar. Minutes before the start of the event, the head referee saw the piece of 2x2-inch adhesive tape covering the student’s continuous glucose monitor and disqualified him from the race.
CHSAA is the primary governing body for high school athletic activities throughout Colorado. It has 368 member schools across the state. It hosts the state championships and other competitions and events for boys’ and girls’ sports and other activities. The 2021 state swim meet was covered by CHSAA’s constitution, bylaws, and swimming-specific rules.
Under the ADA and its implementing regulations, entities like CHSAA are required to make reasonable modifications in policies, practices, or procedures when necessary to avoid discrimination on the basis of disability unless the modification would fundamentally alter the nature of the goods, services, facilities, privileges, advantages, or accommodations.
To resolve the complaint, CHSAA agreed to take several steps to address how it will respond when student participants with disabilities who are participating in CHSAA-sponsored activities, or their coaches, seek modifications of the rules for those activities:
- Clarify in its activity-specific rules that students with disabilities may participate in CHSAA-sponsored activities while using adhesive tape on medical devices if they provide medical documentation;
- Adopt an internal procedure for evaluating requests from students with disabilities for reasonable modifications of CHSAA’s bylaws or the activity-specific rules, with such requests promptly evaluated by CHSAA Assistant Commissioners;
- Amend CHSAA’s bylaws to make clear that a student with a disability, or their coach, can seek an on-the-spot reasonable modification from a referee at games, meets, competitions, or other CHSAA-sponsored activities, and that the referee can grant such a request if it is readily apparent that the medical device is intended to address a disability;
- Make reasonable efforts to notify schools, coaches, students, and referees of these policy changes to CHSAA’s bylaws and activity-specific rules; and
- Provide training for CHSAA employees, contractors, agents, and volunteers on the requirements of the ADA.
The agreement covers all activities subject to CHSAA’s rules and bylaws.
“All students with disabilities deserve the same opportunities to participate in high school sports and activities as students without disabilities,” said U.S. Attorney Cole Finegan, “We are pleased that CHSAA has agreed to adopt policies that comply with the Americans with Disabilities Act.”
The agreement is not an admission of any violation or liability by CHSAA.
This case was handled by Assistant U.S. Attorneys Julia Prochazka and Zeyen Wu.
Video: https://www.youtube.com/watch?v=Q82cYisLbLs&t=2s
Jury Convicts Lakewood Felon of Bank Robbery, Weapons ViolationsRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces a federal jury has found James David Trujillo Jr., age 25, of Lakewood, guilty of bank robbery, being a felon in possession of a firearm, and brandishing a weapon during a federal crime of violence.
According to facts presented at trial, on June 15, 2022, Trujillo was one of two men who robbed a Canvas Credit Union on West 5th Avenue in Lakewood. The men were armed with an AR-15 and shotgun. The codefendant, Darren Michael Connolly, was wearing a GPS bracelet at the time of the robbery. Both men were covered in masks and ran from the bank to a waiting getaway car. Connolly was arrested on June 16, 2022 and charged. Investigators were able to determine the identity of the second robber soon thereafter.
Judge Christine M. Arguello presided over the five-day trial. After five hours of deliberations, the jury returned a guilty verdict convicting Trujillo on all counts on March 17, 2023. Trujillo will be sentenced on July 17, 2023. Co-defendant Darren Michael Connolly pleaded guilty on February 28, 2023, to the same charges and will be sentenced on July 18, 2023.
"We cannot thank the jury and the FBI’s Rocky Mountain Safe Streets Task Force enough for their tireless commitment to upholding justice and holding bank robbers accountable,” said United States Attorney Cole Finegan. “We will not tolerate such brazen criminal conduct in our communities.”
“Bank robbery is not a victimless crime,” said Denver FBI Special Agent in Charge Mark Michalek. “The threat of violence in these incidents can have a traumatic and lasting impact on the employees and customers who live through them. FBI Denver and our Rocky Mountain Safe Streets Task Force will continue to work with our local partners and the U.S. Attorney’s Office to pursue federal prosecution and reduce violence in our communities.”
The Federal Bureau of Investigation’s (FBI) Rocky Mountain Safe Streets Task Force investigated this case. Assistant United States Attorney Brian Dunn and Special Assistant United States Attorney Kristin Coccaro handled the prosecution.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 21-cr-00213
Canvas Credit UnionGrand Junction Man Sentenced to Prison for Enticing Children OnlineRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Benjamin David Harbin, age 33, of Grand Junction, was sentenced to 10 years in federal prison and a life term of supervised release for enticing minors to engage in the production of child pornography.
According to the plea agreement, the defendant came to law enforcement's attention after he utilized Instagram accounts to communicate with minor females online, several of whom were between seven and nine years of age. During the course of the communications, the defendant persuaded some of these minors to send him sexually explicit images of themselves. The defendant was the subject of law enforcement investigations in the United States, Canada, and England.
Judge Christine M. Arguello sentenced the defendant on March 13, 2023.
"The sexual exploitation of children is a despicable crime that causes immense harm to the victims and their families,” said United States Attorney Cole Finegan. “We will not tolerate the predatory behavior of those who seek to exploit the innocence of our children, and we will work tirelessly to hold them accountable for their heinous actions."
“The defendant in this case underestimated the steadfast dedication of the FBI when it comes to protecting children. He thought that by hiding behind an online profile and targeting children in another state, he could evade law enforcement. He was wrong,” said FBI Denver Special Agent in Charge Mark Michalek. “FBI Denver will do what it takes to investigate allegations of child exploitation and hold those accountable who commit such shameful crimes.”
This case was investigated by the Federal Bureau of Investigation (FBI) Denver Division, Grand Junction Resident Agency. Assistant United States Attorney Alecia L. Riewerts handled the prosecution.
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 Attorney’s 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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
CASE NUMBER: 20-cr-00164
Denver Man Sentenced to 17 Years in Prison for Violent Armed RobberiesRead the Press Release
DENVER - The United States Attorney’s Office for the District of Colorado announces the Dionte Jelks, age 22, of Denver, was sentenced to 17 years in federal prison for armed robbery and brandishing a firearm during a crime of violence.
According to the plea agreement, from January 11, 2021, through February 11, 2021, the defendant participated with his co-defendants in takeover style robberies of pharmacies in Denver and Aurora. The defendant's role for each robbery was to jump pharmacy counters and aid in the robbery of pharmacists at gunpoint. The defendant would yell at pharmacy employees to get them to give him the drugs. In one robbery, he forced the employees to lie face down on the ground and in others he followed the employees around the pharmacy, demanding controlled substances. During the January 25, 2021, robbery, the defendant threatened to shoot an employee. After the robberies on January 15, 2021, and January 25, 2021, the defendant used social media to sell the controlled substances taken from the pharmacy during the robbery. He sent a Facebook friend a picture of Oxycodone and Alprazolam pills, followed by a video, as proof that the stolen pills were not fake. The defendants only stopped their armed robberies when they were disrupted by law enforcement on February 11, 2021.
Judge R. Brooke Jackson sentenced the defendant on March 9, 2023.
“The defendant’s aggressive and violent actions will forever impact the victims of these robberies. No one should fear that they will be shot and killed simply because they showed up for work,” said United States Attorney Cole Finegan. “This sentence should send a clear message that this type of behavior will not be tolerated.”
"ATF and local law enforcement successfully disrupted this violent string of armed robberies,” said Acting ATF Special Agent in Charge Kirk Howard. “We are hopeful this 17-year sentence in federal prison will serve as a deterrent to those who might choose to bring violence to our communities.”
“The Denver Police Department thanks our partners for their roles in holding Mr. Jelks and other violent criminals accountable for their dangerous crimes,” said Denver Police Chief Ron Thomas. “We hope this arrest, conviction, and sentencing demonstrate to our community that gun violence and drug crimes are not tolerated.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Denver Division investigated this case, with assistance from the Denver Police Department and the Aurora Police Department. Assistant United States Attorney Celeste Rangel handled the prosecution.
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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
CASE NUMBER: 21-cr-00140
Grand Junction Man Sentenced to Life in Federal Prison for Sexually Abusing Two ChildrenRead the Press Release
Grand Junction – The United States Attorney’s Office for the District of Colorado announces a federal judge today sentenced Michael Tracy McFadden, age 51, of Grand Junction, to life in federal prison after being convicted of crossing state lines with intent to engage in a sexual act with a minor under the age of 12, and transportation of a minor with intent to engage in sexual activity.
According to facts presented at trial, McFadden was a long-haul truck driver who took at least two children on multiple trips out of state. Over a span of at least six years, McFadden repeatedly sexually assaulted the children, both in his home in Grand Junction and in his semi truck in other states. Two of his victims bravely testified at trial, relating to the jury the countless times McFadden abused them.
Judge Christine M. Arguello sentenced the defendant on March 6, 2023. Judge Arguello presided over the five-day trial. The jury returned its guilty verdict on November 14, 2022.
McFadden was previously charged and convicted in state court with sexual assault of six separate children. However, his convictions were overturned on appeal due to a speedy trial violation, preventing any further state court prosecution. Upon learning this, the Federal Bureau of Investigation (FBI) Denver Division immediately launched an investigation into potential federal violations. McFadden was indicted by a federal grand jury in 2019, and rearrested on federal charges.
"As U.S. Attorney, my office is committed to ensuring that those who prey on innocent children are held accountable for their heinous crimes. Today's sentencing of Michael McFadden is a testament to our unwavering dedication to justice for victims of child sexual abuse,” said United States Attorney Cole Finegan. “Of course, no punishment will make the victims and their families whole or give them back what the defendant stole from them. But a sentence that ensures the defendant will never be free in any community ever again will at least send the right message—that perpetrators of this kind of horrendous, unforgivable crime will die in prison.”
“This predator took advantage of the trusting nature inherent in children and committed unspeakable assaults against his young victims," said FBI Denver Special Agent in Charge Mark Michalek. “The FBI prioritizes the safety of society's most vulnerable citizens and will continue to relentlessly pursue criminals who target children.”
The investigation in this case was conducted by the FBI Denver Division with substantial assistance from the Grand Junction Police Department and the 21st Judicial District Attorney’s Office. The prosecution was handled by Assistant United States Attorney Andrea Surratt and former Assistant United States Attorney Jeremy Chaffin.
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 Attorney’s 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 individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
CASE NUMBER: 19-CR-243
Social Security Administration Employee Pleads Guilty to Fraud and Money LaunderingRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announced Justin Skiff, age 36, of Castle Pines, pleaded guilty today to wire fraud, social security fraud and money laundering.
According to the plea agreement, beginning around August 2019 and continuing through September 2021, Skiff used his position as a claims specialist with the Social Security Administration (SSA), to fraudulently obtain money from the SSA. Skiff used his knowledge and access to establish Social Security Numbers for ten fictitious children. He then established fictitious records of entitlements for surviving child benefits which he connected to the record of a real deceased individual whose children would receive benefits. These benefits were deposited into a bank account accessible to Skiff through debit cards he directed to be mailed to a P.O. Box to which he had access. Skiff withdrew money and made purchases from this account from October 2019 through September 2021 for a total amount of $324,201.44.
Judge Daniel D. Domenico presided over the change of plea hearing on March 8, 2023. Skiff will be sentenced on June 6, 2023. Wire fraud carries a penalty of up to 20 years in prison and a fine of $250,000. Social Security fraud carries a penalty of up to 5 years in prison and a fine of $250,000. Money laundering carries a penalty of up to 20 years in prison and a fine of $500,000 or twice the value of the property involved in the transaction. Skiff must also forfeit any property derived from proceeds traceable to the scheme.
This case was investigated by Internal Revenue Service Criminal Investigation (IRS-CI) and the Social Security Administration Office of Inspector General. This case is being prosecuted by special Assistant U.S. Attorney Sonia J. Dave.
CASE NUMBER: 22-cr-00360
Greenwood Village Psychiatrist Pleads Guilty to Illegal Distribution of Controlled Substances and Financial CrimesRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Howard Weiss, age 69, of Greenwood Village, pleaded guilty today to distributing a controlled substance outside the usual course of professional practice and for no legitimate medical purpose, structuring financial transactions in a way to evade reporting requirements, and engaging in monetary transactions greater than $10,000 in property derived from specified unlawful activity. He also agreed to forfeit $826,083.24 in criminal proceeds and to a community restitution payment of $150,000.
The plea agreement filed in Court describes the defendant’s crimes. In 2016, the Drug Enforcement Administration (DEA) and the Internal Revenue Service (IRS) began an investigation into the defendant because of suspicious financial activity and concerning reports related to his patients’ sale of controlled substances and one patients’ poly-drug overdose death. Further investigation revealed that the defendant was prescribing methamphetamine to several adult patients. Methamphetamine — a highly addictive Schedule II drug — has FDA approval and can be prescribed in very special cases. But most psychiatrists will never prescribe it in the course of their careers. When investigators looked in more detail at prescribing records they discovered other concerning patterns. It is unusual to prescribe high-dose stimulants with high-dose sedatives because the drugs have competing effects. When these drugs are prescribed in concert, it is a good indication that the putative patient may be diverting one or both drugs rather than personally using them, or that one or both drugs are not medically necessary because of the competing effects of these drugs. Yet, the defendant routinely prescribed high-dose stimulants with high-dose sedatives. The defendant also regularly prescribed stimulants such as Adderall at the upper end of the usual dosing range and, sometimes, well beyond the upper end of the usual dosing range.
In July 2017, one of the defendant’s patients was arrested when the patient showed up to a drug deal with 119 methamphetamine pills prescribed by the defendant. The defendant admitted in the plea agreement that he knew that his prescriptions to that patient were outside the usual course and did not have a legitimate medical purpose: the patient’s probation officer had previously contacted him to warn about the patient’s methamphetamine addiction. But he prescribed the methamphetamine anyway.
As part of the plea, the defendant admitted to illegal banking activity. Federal regulations prohibit the “structuring” of financial transactions to thwart the requirement that banks file reports for currency deposits of more than $10,000. But between November 2015 and February 2018, the defendant made forty-five cash deposits are in excess of $9,000 but below the $10,000 threshold, which would require the bank to file a Currency Transaction Report (CTR). Bank tellers reported occasions in which the defendant would show up with a wad of cash, ask it to be counted, and then decline to deposit any amount more than $10,00.
Finally, the defendant also admitted that he used the proceeds of his illegal prescribing to make large financial transactions of more than $10,000.
Judge Daniel D. Domenico presided over the change of plea hearing on March 8, 2023. Sentencing is scheduled for June 6, 2023.
This case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI) and the Drug Enforcement Administration (DEA) Denver Division. Assistant United States Attorneys Bryan Fields and Jena Neuscheler are handling the prosecution. Assistant United States Attorney Elizabeth Young is handling the parallel forfeiture action.
CASE NUMBER: 21-cr-00233