Northern District of Georgia
Press releases recorded for this federal judicial district.
Former Employee of the Coca-Cola Company Sentenced for EmbezzlementRead the Press Release
ATLANTA - Anne Gronek-Gibbs, a former sales director for the Coca-Cola Company, has been sentenced for embezzling over $750,000 from the company. The defendant ordered luxury goods, tickets, gift cards, first class travel, and luxury hotel accommodations for personal trips, all paid for by the company.
"The defendant abused the trust her employer placed in her and stole to finance a lavish lifestyle," said U.S. Attorney Byung J. "BJay" Pak. "Gronek-Gibbs believed her invoice-changing scheme would cover her theft. Instead, she is headed to prison."
"Gronek-Gibbs violated the trust of the company that hired her and elevated her to a position of leadership," said Chris Hacker, Special Agent in Charge of FBI Atlanta. "Because of her self-interest and greed she has not only thrown away a lucrative career, but will spend time in prison for her crime."
According to U.S. Attorney Pak, the charges and other information presented in court: Anne Gronek-Gibbs was a sales director who used her position to obtain personal goods and services from suppliers of the Coca-Cola Company and have the company pay for those goods and services. She ordered luxury goods, tickets, and gift cards and also booked first class travel, and had Coca-Cola pay for luxury hotel accommodations for personal trips. Gronek-Gibbs modified electronic versions of quotes, purchase orders, and invoices from vendors that she then submitted to Coca-Cola for payment. Ultimately, she purchased hundreds of thousands of dollars’ worth of gift cards, jewelry, handbags, and purses using this system and, all told, embezzled over $750,000.
Anne Gronek-Gibbs, 42, of Atlanta, Georgia, was sentenced by U.S. District Judge Boulee to one year in prison and 25 months of home detention, to be followed by three years of supervised release, and ordered to pay restitution in the amount of $753,551. Gronek-Gibbs was convicted on these charges on November 19, 2019, after she pleaded guilty.
The Federal Bureau of Investigation investigated this case, with assistance from the Atlanta Police Department Major Fraud Unit.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief of the Complex Frauds Section, prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Tax preparer sentenced to federal prison for cheating IRS out of $2.6 millionRead the Press Release
ATLANTA – Thomas Holmes has been sentenced to federal prison for preparing and filing hundreds of fraudulent federal tax returns for his clients. Holmes was the owner of TKO Tax Pros, a tax preparation business in Austell, Georgia.
“Holmes stole $2.6 million by claiming false deductions and credits on his clients’ tax returns over a number of years,” said U.S. Attorney Byung J. “BJay” Pak. “Tax preparers who cheat the IRS and skim off the top of their clients’ tax refunds can look forward to spending tax seasons behind bars. As this tax season approaches, preparers should be warned that the government diligently finds and prosecutes this kind of fraudulent conduct.”
“With the April 15 tax deadline looming, those who might consider preparing false tax returns should be aware of the extremely negative consequences as evidenced today,” said Andrew M. Thornton, Jr., Acting Special Agent in Charge of the Atlanta Field Office. “This sentencing of Thomas Holmes again emphasizes that the Internal Revenue Service and U.S. Attorney’s office will continue their aggressive pursuit of those who would attempt to defraud America's tax system.”
According to U.S. Attorney Pak, the charges and other information presented in court: Holmes was identified by Internal Revenue Service - Criminal Investigation (IRS-CI) as potentially filing fraudulent returns through his tax business, TKO Tax Pros. The investigation revealed that between 2011 and 2019, Holmes prepared and filed thousands of federal income tax returns, and on hundreds of the returns, he listed false information, including false Schedule C business losses and false Schedule A itemized deductions, causing taxpayers to claim millions of dollars in refunds that they were not entitled to. When the IRS issued those refunds, Holmes frequently kept a portion of the fraudulent refunds for himself and paid the balance to his clients. During the investigation, the IRS revoked Holmes’ e-filing privileges, but Holmes continued to file fraudulent returns through the mail.
Thomas Holmes, 41, of Austell, Georgia, has been sentenced to three years, one month in prison, two years of supervised released, and he was ordered to pay $2,601,957 in restitution to the IRS. Holmes pleaded guilty to these charges on September 6, 2019.
The Internal Revenue Service Criminal Investigation investigated this case.
Assistant U.S. Attorney Annalise K. Peters prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Chinese military personnel charged with computer fraud, economic espionage and wire fraud for hacking into credit reporting agency EquifaxRead the Press Release
ATLANTA – A federal grand jury has returned an indictment charging four members of the Chinese People’s Liberation Army (PLA) with hacking into the computer systems of the credit reporting agency Equifax and stealing Americans’ personal data and Equifax’s valuable trade secrets.
The nine-count indictment alleges that Wu Zhiyong (吴志勇), Wang Qian (王乾), Xu Ke (许可) and Liu Lei (刘磊) were members of the PLA’s 54th Research Institute, a component of the Chinese military. They allegedly conspired with each other to hack into Equifax’s computer networks, maintain unauthorized access to those computers, and steal sensitive, personally identifiable information of approximately 145 million American victims.
“This was a deliberate and sweeping intrusion into the private information of the American people,” said Attorney General William Barr, who made the announcement. “Today, we hold PLA hackers accountable for their criminal actions, and we remind the Chinese government that we have the capability to remove the Internet’s cloak of anonymity and find the hackers that nation repeatedly deploys against us. Unfortunately, the Equifax hack fits a disturbing and unacceptable pattern of state-sponsored computer intrusions and thefts by China and its citizens that have targeted personally identifiable information, trade secrets, and other confidential information.”
“The indictment exposes the Chinese military’s effort to collect sensitive information of Americans on an unprecedented scale and steal proprietary information for the benefit of the Chinese government. With this announcement, we underscore our resolve to protect our citizens from state-sponsored cyber threats and to unmask those who perpetrate unlawful attacks,” said U.S. Attorney Byung “BJay” Pak of the Northern District of Georgia. “These charges were made possible because Equifax worked closely, and early, with our dedicated law enforcement team to hold the perpetrators accountable. As corporations like Equifax continue to be targeted by cyber attacks, this investigation illustrates the critical importance of public-private collaboration to combat the most sophisticated cyber threats.”
“The FBI is dedicated to working with our federal partners to seek justice for anyone who would threaten the safety, security and confidence of our American citizens,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “These criminal hackers, sponsored by their government, were not able to hide behind the internet curtain thanks to the determination of FBI Atlanta’s cyber squad, FBI Headquarters Cyber Division, the U.S. Attorney’s Office Northern District of Georgia and the Justice Department. This does not end our investigation into one of the biggest threats to our national security today.”
According to U.S. Attorney Pak, the charges and other information presented in court: The defendants exploited a vulnerability in the Apache Struts Web Framework software used by Equifax’s online dispute portal. They used this access to conduct reconnaissance of Equifax’s online dispute portal and to obtain login credentials that could be used to further navigate Equifax’s network. The defendants spent several weeks running queries to identify Equifax’s database structure and searching for sensitive, personally identifiable information within Equifax’s system.
Once they accessed files of interest, the conspirators then stored the stolen information in temporary output files, compressed and divided the files, and ultimately were able to download and exfiltrate the data from Equifax’s network to computers outside the United States. In total, the attackers ran approximately 9,000 queries on Equifax’s system, obtaining names, birth dates and social security numbers for nearly half of all American citizens.
The indictment also charges the defendants with stealing trade secret information, namely Equifax’s data compilations and database designs. “In short, this was an organized and remarkably brazen criminal heist of sensitive information of nearly half of all Americans, as well as the hard work and intellectual property of an American company, by a unit of the Chinese military,” said Barr.
The defendants took steps to evade detection throughout the intrusion, as alleged in the indictment. They routed traffic through approximately 34 servers located in nearly 20 countries to obfuscate their true location, used encrypted communication channels within Equifax’s network to blend in with normal network activity, and deleted compressed files and wiped log files on a daily basis in an effort to eliminate records of their activity.
The defendants are charged with three counts of conspiracy to commit computer fraud, conspiracy to commit economic espionage, and conspiracy to commit wire fraud. The defendants are also charged with two counts of unauthorized access and intentional damage to a protected computer, one count of economic espionage, and three counts of wire fraud. The details contained in the charging document are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The U.S. Attorney’s Office for the Northern District of Georgia, the Criminal and National Security Divisions of the Department of Justice, and the FBI’s Atlanta Field Office are investigating the case. The FBI’s Cyber Division also provided support. Equifax cooperated fully and provided valuable assistance in the investigation.
Assistant U.S. Attorneys Nathan Kitchens, Samir Kaushal, and Thomas Krepp of the Northern District of Georgia; Senior Counsel Benjamin Fitzpatrick of the Criminal Division’s Computer Crime and Intellectual Property Section; and Trial Attorney Scott McCulloch of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case. Attorneys with the Office of International Affairs provided critical assistance in obtaining evidence from overseas.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Chinese Military Personnel Charged with Computer Fraud, Economic Espionage and Wire Fraud for Hacking into Credit Reporting Agency EquifaxRead the Press Release
A federal grand jury in Atlanta returned an indictment last week charging four members of the Chinese People’s Liberation Army (PLA) with hacking into the computer systems of the credit reporting agency Equifax and stealing Americans’ personal data and Equifax’s valuable trade secrets.
The nine-count indictment alleges that Wu Zhiyong (吴志勇), Wang Qian (王乾), Xu Ke
(许可) and Liu Lei (刘磊) were members of the PLA’s 54th Research Institute, a component of the Chinese military. They allegedly conspired with each other to hack into Equifax’s computer networks, maintain unauthorized access to those computers, and steal sensitive, personally identifiable information of approximately 145 million American victims.“This was a deliberate and sweeping intrusion into the private information of the American people,” said Attorney General William P. Barr, who made the announcement. “Today, we hold PLA hackers accountable for their criminal actions, and we remind the Chinese government that we have the capability to remove the Internet’s cloak of anonymity and find the hackers that nation repeatedly deploys against us. Unfortunately, the Equifax hack fits a disturbing and unacceptable pattern of state-sponsored computer intrusions and thefts by China and its citizens that have targeted personally identifiable information, trade secrets, and other confidential information.”
According to the indictment, the defendants exploited a vulnerability in the Apache Struts Web Framework software used by Equifax’s online dispute portal. They used this access to conduct reconnaissance of Equifax’s online dispute portal and to obtain login credentials that could be used to further navigate Equifax’s network. The defendants spent several weeks running queries to identify Equifax’s database structure and searching for sensitive, personally identifiable information within Equifax’s system. Once they accessed files of interest, the conspirators then stored the stolen information in temporary output files, compressed and divided the files, and ultimately were able to download and exfiltrate the data from Equifax’s network to computers outside the United States. In total, the attackers ran approximately 9,000 queries on Equifax’s system, obtaining names, birth dates and social security numbers for nearly half of all American citizens.
The indictment also charges the defendants with stealing trade secret information, namely Equifax’s data compilations and database designs. “In short, this was an organized and remarkably brazen criminal heist of sensitive information of nearly half of all Americans, as well as the hard work and intellectual property of an American company, by a unit of the Chinese military,” said Barr.
The defendants took steps to evade detection throughout the intrusion, as alleged in the indictment. They routed traffic through approximately 34 servers located in nearly 20 countries to obfuscate their true location, used encrypted communication channels within Equifax’s network to blend in with normal network activity, and deleted compressed files and wiped log files on a daily basis in an effort to eliminate records of their activity.
“Today’s announcement of these indictments further highlights our commitment to imposing consequences on cybercriminals no matter who they are, where they are, or what country’s uniform they wear,” said FBI Deputy Director David Bowdich. “The size and scope of this investigation — affecting nearly half of the U.S. population, demonstrates the importance of the FBI’s mission and our enduring partnerships with the Justice Department and the U.S. Attorney’s Office. This is not the end of our investigation; to all who seek to disrupt the safety, security and confidence of the global citizenry in this digitally connected world, this is a day of reckoning.”
The defendants are charged with three counts of conspiracy to commit computer fraud, conspiracy to commit economic espionage, and conspiracy to commit wire fraud. The defendants are also charged with two counts of unauthorized access and intentional damage to a protected computer, one count of economic espionage, and three counts of wire fraud.
The investigation was conducted jointly by the U.S. Attorney’s Office for the Northern District of Georgia, the Criminal and National Security Divisions of the Department of Justice, and the FBI’s Atlanta Field Office. The FBI’s Cyber Division also provided support. Equifax cooperated fully and provided valuable assistance in the investigation.
Assistant U.S. Attorneys Nathan Kitchens, Samir Kaushal, and Thomas Krepp of the Northern District of Georgia; Senior Counsel Benjamin Fitzpatrick of the Criminal Division’s Computer Crime and Intellectual Property Section; and Trial Attorney Scott McCulloch of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case. Attorneys with the Office of International Affairs provided critical assistance in obtaining evidence from overseas.
The details contained in the charging document are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Jury convicts career drug dealer of trafficking cocaineRead the Press Release
ATLANTA – Alfonzo Jamal Lewis has been convicted by a federal jury of conspiracy to possess cocaine with intent to distribute and possession of cocaine with intent to distribute.
“For more than a decade, despite a ceaseless pattern of criminality, Alfonzo Lewis was a beneficiary of probated sentences and dismissed charges in the state system,” said U.S. Attorney Byung J. “BJay” Pak. “My office and the Office of National Drug Control Policy’s HIDTA program are committed to ensuring that drug dealers and traffickers like Lewis are held to account for their crimes.”
“This successful investigation and prosecution should be a warning to other drug traffickers that the Atlanta-Carolinas HIDTA and our federal, state, local and Tribal partners are committed to keeping our communities safe,” said Director Daniel Salter, Atlanta-Carolinas High Intensity Drug Trafficking Area Program.
According to U.S. Attorney Pak, the charges and other information presented in court: On multiple occasions in late 2015, Lewis traveled from southwest Georgia to the Atlanta metro area and purchased bulk amounts of cocaine. He then took the cocaine back to the Albany, Georgia, area to sell. On August 20, 2015, HIDTA agents observed Lewis entering and exiting a drug stash house in Decatur, Georgia, but did not attempt an arrest.
Four months later, on December 14, 2015, agents observed Lewis entering and exiting a drug stash house in East Point, Georgia where they observed him place a backpack on the backseat of his vehicle. While on his way back to Albany from East Point, Lewis’s vehicle was stopped by the Fulton County Sheriff’s Office and Georgia State Patrol for speeding. Five kilograms of highly-pure cocaine were recovered from the backseat, and Lewis was arrested.
Immediately following his arrest, Lewis was charged in Fulton County Superior Court with trafficking in cocaine. Lewis had been released from prison only one year earlier. Despite having recently served a sentence for several serious state offenses, including aggravated assault, possession of cocaine with intent to distribute within 1,000 feet of a school, and possession of marijuana with intent to distribute, Lewis was granted a bond and released from state custody on the Fulton County charge. A Superior Court judge later dismissed the trafficking case entirely. Thereafter, a federal grand jury charged Lewis with conspiracy to possess cocaine with intent to distribute and possession of cocaine with intent to distribute. After a three-day trial, Lewis was convicted on February 5, 2020 of both charges.
Sentencing for Alfonzo Jamal Lewis, a/k/a Pookie, 34, of Albany, Georgia, is scheduled for May 12, 2020, at 1:30 p.m. before U.S. District Judge William M. Ray, II.
This case is being investigated by the Atlanta-Carolinas HIDTA and Fulton County Sheriff’s Office. The Georgia State Patrol, Georgia Bureau of Investigation, Monroe Police Department, Albany Police Department, and U.S. Marshals Service provided valuable assistance.
Assistant U.S. Attorney Theodore S. Hertzberg and Emory Law School Extern Joseph N. Lenoff are prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Sextortionist convicted of child exploitation crimesRead the Press Release
ATLANTA - Benjamin Jenkins has been convicted by a jury of multiple counts of producing and distributing child pornography. Jenkins lured numerous young girls into sending him sexually explicit photos and videos, and then retaliated against the girls who refused to send him more.
“Jenkins is a predator who used various social media sites to lure and coerce young girls into sending him child pornography,” said U.S. Attorney Byung J. “BJay” Pak. “He terrorized his young victims by threatening to post their photographs online if they did not comply, and he frequently made good on these threats. A jury has now held Jenkins accountable for his horrific crimes, and he faces a lengthy prison sentence.”
“Sextortion is a growing threat that traps our youth in a horrific situation they aren’t able to get out of. The removal of Jenkins from our community makes us all safer,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “With studies showing that over half of children over 11 years old have a cellphone, I urge parents to educate themselves and their kids about the dangers that exist on their phones. Parents need to know and monitor their children’s social media usage and ensure their children are only ‘friending’ people they personally know. Unfortunately, once the child decides to hit send on a photograph, there is no way to pull it back or remove it from the internet. HSI Atlanta will continue to prioritize our investigations to protect our youth from these online predators.”
According to U.S. Attorney Pak, the charges and other information presented in court: Beginning in 2015, Jenkins targeted girls between the ages of 13 and 16 years. To lure the girls, he used different aliases and profiles to trick the girls into sending him sexually suggestive photos of themselves. After a girl sent him a photo, Jenkins coerced the child into sending him more photos and videos by threatening to post the photos online or to send the images to the girl’s family and friends. Jenkins instructed the girls on what body parts to show, what poses to make, and what objects to insert into their bodies. Jenkins further humiliated his victims by forcing them to send him videos showing them drinking their own urine or licking toilets. He also humiliated many of his victims by making them watch him masturbate.
Once a girl blocked Jenkins online, he sent her explicit photos to her parents and friends with demands that the girl resume communications with him. Jenkins also posted his victim’s nude photos and contact information online with messages instructing men on how to contact the girls directly for more photos or for sex.
Benjamin Jenkins, a/k/a “Rei,” a/k/a “Reithe8th,” a/k/a “Dani Domo, 25, of Mableton, Georgia, was charged with nine counts of producing child pornography and three counts of distributing child pornography. Nine of his victims testified at trial. Jenkins was convicted of all of these charges by a federal jury on January 16, 2020.
Sentencing is scheduled for April 2, 2020, at 10:00 a.m. before U.S. District Judge Michael L. Brown.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations is investigating this case.
Assistant U.S. Attorneys Paul R. Jones and L. Skye Davis, Coordinator of the U.S. Attorney’s Office’s Project Safe Childhood and Anti-Human Trafficking programs, are prosecuting the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Atlanta Regional Commission employee pleads guilty to accepting bribesRead the Press Release
ATLANTA - Marc Hannon-White, a former Atlanta Regional Commission employee, pleaded guilty to accepting bribes in exchange for promising to steer federally subsidized students to particular training providers.
“While working at the Atlanta Regional Commission, Hannon-White was supposed to be administering federally funded workforce development programs,” said U.S. Attorney Byung J. “BJay” Pak. “Instead, he solicited and accepted bribes to unjustly enrich himself.”
“Hannon-White bribed workforce training providers to enrich himself. His actions undermined the integrity of federally funded programs intended to aid those with significant barriers to employment find meaningful jobs and careers. We will continue to work with our law enforcement partners to investigate these types of allegations,” said Rafiq Ahmad, Special Agent-in-Charge, Atlanta Region, U.S. Department of Labor, Office of Inspector General.
“The key to public trust is holding public officials accountable for abusing their power for personal gain at the expense of our taxpayers,” said State of Georgia Inspector General Deb Wallace.
According to U.S. Attorney Pak, the charges and other information presented in court: The Workforce Innovation and Opportunity Act (WIOA), and the Workforce Investment Act (WIA), are federal public laws designed to help job seekers access employment, education, training, and support services to succeed in the labor market and to match employers with the skilled workers they need to compete in the global economy.
The Atlanta Regional Commission (ARC) administers WIOA and WIA funds by serving as the administrative agency for the Atlanta Regional Workforce Development Board for the Georgia counties of Cherokee, Clayton, Douglas, Fayette, Gwinnett, Henry, and Rockdale. In this role, ARC oversees federally funded workforce development programs for those seven counties.
Between February 2014 and January 2015, Hannon-White worked for the division of ARC that administered, managed, and staffed those federally funded workforce development programs. During this time, Hannon-White used his position to solicit and accept payments from training providers that received federal funds for each qualified student they trained. In all, more than $15,000 in federal funds were at issue. As detailed in the indictment, Hannon-White arranged some of the bribe payments by text, sending his bank account number to one training provider who then caused money to be deposited into the account in exchange for receiving additional students.
On November 5, 2019, a federal grand jury indicted Marc Hannon-White, 52, of Atlanta, Georgia, for conspiracy to commit bribery, conspiracy to commit extortion, and extortion. Hannon-White pleaded guilty to conspiracy to commit bribery, and is scheduled to be sentenced on May 11, 2020, at 10:00 a.m., before U.S. District Court Judge Thomas W. Thrash, Jr.
The U.S. Department of Labor Office of Inspector General investigated this case with the help of the State of Georgia Office of Inspector General.
Assistant U.S. Attorney Bret R. Hobson is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Defendants sentenced for arranging and participating in fraudulent marriages to deceive immigration officialsRead the Press Release
ATLANTA - Yuly Cesar Perez-Sale is the last of 31 defendants to be sentenced in connection with four-related indictments alleging marriage fraud and other immigration offenses concerning fraudulent marriages between Cuban nationals and United States citizens, and undocumented aliens from the countries of Honduras, Mexico, Uruguay, Brazil, Peru, and Venezuela.
“These defendants attempted to thwart the immigration laws of the United States by operating and participating in a fraudulent marriage factory,” said U.S. Attorney Byung J. “BJay” Pak. “Some of the defendants abused the law that allowed them as Cuban nationals to remain legally in this country. Thanks to the diligence and multi-state investigation of Homeland Security Investigation special agents, these defendants have been successfully prosecuted and, where applicable, deported.”
“Marriage fraud undermines the integrity of this nation’s immigration system”, said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “This multi-year investigation, led by HSI Atlanta’s Document and Benefit Fraud Task Force, is a testament to the tenacity of the task force who worked for years to see through the house of lies these “couples” built through fraud and illegal payments.”
According to U.S. Attorney Pak, the charges and other information presented in court: In November 2013, U.S. States Citizenship and Immigration Services (USCIS) and Homeland Security Investigations (HSI) in Atlanta, Georgia, began investigating a marriage fraud scheme involving undocumented aliens entering into fraudulent marriages with Cuban nationals, and U.S. citizens, to illegally gain immigration status in the United States.
Beginning in February 2001, and continuing through December 2016, the primary organizers of the scheme, Carolina Chow, Betiluz Suarez, Teodoro Gonzalez-Bonora, Marzuella Hernandez, and Jorge Morales-Amador, recruited and paid Cuban nationals and U.S. citizens to marry the illegal aliens. The illegal aliens then agreed to pay either Chow, Suarez, Gonzalez-Bonora, Marzuella Hernandez, or Morales-Amador as much as $20,000 to find and arrange a marriage with a Cuban national or U.S. citizen.
Once the fraudulent marriage was arranged, these defendants scheduled meetings between the aliens and their purported spouses. During the meetings, the aliens were informed about the price for the marriage, the date of payment, and how to answer questions posed to them by immigration officials.
In the course of investigating this large-scale criminal operation, the lead HSI case agents traveled all over the U.S., locating targets of the investigation and developing evidence to support these prosecutions. In all, the four indictments returned by a grand jury resulted in guilty pleas by and convictions for the following defendants on the dates below:
Case I – United States v. Carolina Chow et. al. –
- Alfredo Romero-Hernandez, 56, of Atlanta, Georgia, Conspiracy to Defraud the United States. Convicted April 10, 2019;
- Lidia Pico-Guzman, 47, of Beaumont, Texas., Immigration Document Fraud. Convicted April 9, 2019;
- Isandra Perez-Batista, 49, of Amarillo, Texas, Immigration Document Fraud. Convicted October 18, 2018;
- Carolina Chow, 47, of Atlanta, Georgia, Conspiracy to Defraud the United States and Improper Entry by Alien. Convicted September 19, 2018;
- Juan Del Toro Peligrino, 51, of Houston, Texas, Alien Harboring and Immigration Document Fraud. Convicted May 15, 2018.
- Margida Reyna Ruiz, 59, of Houston, Texas, Conspiracy to Defraud the United States. Convicted April 24, 2018;
- Yoanka Matos, 34, of Jacksonville, Florida, Alien Harboring. Convicted April 24, 2018;
- Josvany Perez-Lopez, 44, of Houston, Texas, Alien harboring and Immigration Document Fraud. Convicted November 15, 2017;
- Dagnay Rivera Nunez, 42, of Miami, Florida, Harboring Aliens. Convicted November 13, 2017;
- Nuria Chabeco-Mustelier, 51, of Houston, Texas, Conspiracy to Defraud the United States, Alien Harboring, and Immigration Document Fraud. Convicted November 13, 2017;
- Francisco Castellano-Arjona, 42, of Miami, Florida, Immigration Document Fraud. Convicted November 2, 2017;
- Teodoro Gonzalez Bonora, a/k/a Teo, 49, of Atlanta, Georgia, Alien Harboring and Immigration Document Fraud. Convicted August 9, 2017; and
- Anibal Valdes, 28, of Houston, Texas, Alien Harboring and Immigration Document Fraud. Convicted June 27, 2017.
Case II – United States v. Jorge Morales-Amador et. al. –
- Lourdes Guerra-Mendez, 49, of Atlanta, Georgia, Marriage Fraud. Convicted April 2, 2018;
- Jorge Morales-Amador, 50, of Ft. Pierce, Florida, Conspiracy to Defraud the United States and Marriage Fraud. Convicted March 13, 2018;
- Janelle Berry, 25, of Atlanta, Georgia, Marriage Fraud. Convicted October 24, 2017;
- Lamesha Sheppard, 28, of Atlanta, Georgia, Conspiracy to Defraud the United States and Marriage Fraud. Convicted September 28, 2017; and
- Susset De La Torres, 40, of Atlanta, Georgia, - Marriage Fraud and Alien Harboring. Convicted May 3, 2017.
Case III – United States v. Betiluz Suarez et. al. –- Alexander Alayo, 47, of Miami, Florida, Conspiracy to Defraud the United States. Convicted January 4, 2018;
- Betiluz Suarez, 51, of Atlanta, Georgia, Alien Harboring. Convicted December 20, 2017; and
- Jose F. Polanco, 40, of Atlanta, Georgia, Alien Harboring. Convicted December 18, 2017.
Case IV: United States v. Maruzella Hernandez et. al. –- Miriam Martinez-Pol, 53, of Houston, Texas, Conspiracy to Defraud the United States. Convicted March 21, 2018;
- Lazaro Machin, 54, of San Antonio, Texas, Alien Harboring and Immigration Document Fraud. Convicted February 20, 2018;
- Ofelia Astiazarain-Cabrera, 55, of Houston, Texas, Alien Harboring. Convicted February 20, 2018;
- Mercedes Acevedo-Alonso, 35, of Tampa, Florida, Alien Harboring and Immigration Document Fraud. Convicted February 15, 2018;
- Maruzella Hernandez, 51, of Atlanta, Georgia, Conspiracy to Defraud the United States and Alien Harboring. Convicted February 14, 2018;
- Yosvany Mendoza-Gonzalez, 49, of Austin, Texas, Alien Harboring. Convicted November 28, 2017;
- Jose Antonio Polanco-Penalver, 49, of Atlanta, Georgia, Conspiracy to Defraud the United States and Alien Harboring. Convicted September 27, 2017; and
- Mayelis Hernandez-Almenares, 41, of Atlanta, Georgia, Alien Harboring and Immigration Document Fraud. Convicted September 6, 2017.
Yuly Cesar Perez-Sale, 52, of Miami, Florida, was sentenced by U.S. District Judge Eleanor L. Ross. Perez-Sale pleaded guilty on October 16, 2019, to the offenses of Conspiracy to Defraud the United States and Alien Harboring.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations investigated these cases.Assistant U.S. Attorneys Stephanie Gabay-Smith, Mary Webb, and Richard S. Moultrie, Jr., Chief of the Violent Crime & National Security Section, prosecuted the cases.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.Truck driver sentenced to 17 years in prison for traveling to Atlanta to engage in sex acts with a childRead the Press Release
ATLANTA – Seth Weidemann has been sentenced for traveling to Atlanta to engage in sex acts with a person he believed to be an 11-year-old girl.
“Weidemann used the internet with the hope of exploiting a vulnerable child for his sexual gratification,” said U.S. Attorney Byung J. “BJay” Pak. “This case highlights a recurring problem. It is all too easy for predators to access children through various means over the internet. We encourage parents to monitor what their children are doing online and who is in contact with them.”
“The lengths predators like Weidemann are willing to go to take advantage of a young child is frightening,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “But our warning to predators is that the FBI is determined to go to greater lengths to protect our most vulnerable citizens from those who would do them harm.”
According to U.S. Attorney Pak, the charges and other information presented in court: On January 16, 2019, Seth Weidemann began communicating online with an undercover agent. Over the next month, Weidemann exchanged multiple messages with the agent in an effort to meet for sex with a person he believed to be an 11-year-old girl. At one point during the conversation, Weidemann believed he was talking directly to the 11-year-old girl. During the chats, Weidemann described the sex acts he intended to do to the child. On February 14, 2019, Weidemann traveled to the metro-Atlanta area for a planned meeting with the child. FBI agents immediately arrested him upon his arrival.
Seth Weidemann, 27, of Thorn Hill, Tennessee, was sentenced by U.S. District Judge Eleanor L. Ross to 17 years in prison to be followed by 10 years of supervised release. Weidemann had been convicted on October 16, 2019, after he pleaded guilty to one count of attempted coercion and enticement of a minor.
The FBI investigated this case.
Assistant U.S. Attorneys Jennifer Keen and Leanne Marek, and Emory Law School Extern Natalie Baber prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Licensed gun dealer sentenced for helping gun traffickers acquire gunsRead the Press Release
ATLANTA - Licensed firearms dealer Christopher Koninsky, who allowed multiple individuals to buy guns for other people, has been sentenced to federal prison. Those guns were sold at his business, Team 88 Enterprises, and trafficked to several states outside Georgia and into the hands of criminals.
“Licensed gun dealers have the responsibility to follow the laws and regulations that govern the privilege of selling guns,” said U.S. Attorney Byung J. “BJay” Pak. “That includes preventing straw purchases from occurring and running background checks on the real buyers of the firearms they sell. Koninsky violated the trust invested in him and placed the community in grave danger when he allowed gun traffickers to acquire guns.”
“The majority of our firearms dealers are good people who are focused on running a business, helping customers and supporting their communities” said ATF Special Agent in Charge Arthur Peralta. “Mr. Koninsky willfully disregarded regulations that are designed to prevent guns from falling into the wrong hands and as a result, he diverted guns into the criminal market.”
According to U.S. Attorney Pak, the charges and other information presented in court: After running a background check on a prospective buyer, and learning that there was something in the would-be purchaser’s background that prohibited them from possessing firearms, Koninsky instead allowed another person to complete the necessary paperwork to acquire the firearms. He then watched the prohibited person walk away with the firearms.
This was not the first time that Koninsky had allowed a person to put his name on paperwork to acquire guns on behalf of another, a practice commonly used by gun traffickers called “straw purchasing.”
Christopher Koninsky, 52, of Mableton, Georgia, has been sentenced to six months in prison, followed by six months of home confinement, and two years of supervised release. Koninsky was convicted on these charges on May 30, 2019, after he pleaded guilty.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case.
Assistant U.S. Attorneys Jennifer Keen and Michael J. Brown prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Eight defendants sentenced in India-based call center fraud scheme involving elderly victimsRead the Press Release
ATLANTA – Eight defendants have been sentenced for their roles in an Indian based call center fraud scheme that victimized thousands in the United States resulting in over $3.7 million in losses. The sentences ranged from six months to four years and nine months in prison.
“IRS and payday loan phone schemes seek to profit by exploiting United States citizens, including the elderly and most vulnerable members of our community,” said U.S. Attorney Byung J. “BJay” Pak. “As this case shows, we will prosecute companies and individuals in India and in this country who choose to steal from vulnerable victims.”
“Victimizing taxpayers by impersonating Internal Revenue Service employees is a serious crime,” said J. Russell George, the Treasury Inspector General for Tax Administration. “TIGTA will do everything within its power to ensure that those involved in the impersonation of IRS employees are prosecuted to the fullest extent of the law. These significant sentences should serve as notice to those who engage in this type of criminal activity that they will be held accountable.”
According to U.S. Attorney Pak, the charges, and other information presented in court: These defendants were involved in a sophisticated scheme organized by co-conspirators in India, including a network of call centers in Ahmedabad, India. Using information obtained from data brokers and other sources, call center operators called potential victims while impersonating officials from the Internal Revenue Service or individuals offering fictitious payday loans.
The call center operators would then threaten potential victims with arrest, imprisonment, or fines if they did not pay taxes or penalties to the government. If the victims agreed to pay, the call centers would immediately turn to a network of U.S.-based co-conspirators to liquidate and launder the extorted funds by purchasing prepaid debit cards or through wire transfers, including through MoneyGram and Western Union, to the attention of fictitious names and U.S.-based defendants and their co-conspirators.
Eight defendants have been sentenced as part of this case. U.S. District Judge Michael L. Brown sentenced the following individuals:
- Mohamed Kazim Momin, 33, of Norcross, Georgia, was sentenced to four years and nine months in prison to be followed by three years of supervised release. The amount of restitution will be determined at a later hearing.
- Rodrigo Leon-Castillo, 46, of Katy, Texas, was sentenced to four years and three months in prison to be followed by three years of supervised release, and ordered to pay $833,938.20 in restitution.
- Mohmed Sozab Momin, 23, of Lawrenceville, Georgia, was sentenced to two years and six months in prison to be followed by three years of supervised release. The amount of restitution will be determined at a later hearing.
- Drue Kyle Riggins, 24, of Stone Mountain, Georgia, was sentenced to one year, one month in prison, three years of supervised release, and ordered to pay $49,640.36 in restitution.
- Nicholas Alexander Deane, 26, of Tucker, Georgia, was sentenced to one year and one day in prison, three years of supervised release, and ordered to pay $49,640.36 in restitution.
- Palak Kumar Patel, 30, Clarkston, Georgia, was sentenced to ten months in prison, three years of supervised release, and ordered to pay $19,142.60 in restitution.
- Jantz Parrish Miller, 25, Stone Mountain, Georgia, was sentenced to eight months in prison, three years of supervised release, and ordered to pay $49,640.36 in restitution.
- Devin Bradford Pope, 25, of Chamblee, Georgia, was sentenced to six months in prison, three years of supervised release, and ordered to pay $49,640.36 in restitution.
These eight defendants were charged along with five Indian call centers and seven Indian nationals in a 27-count indictment with conspiracy to commit wire fraud, wire fraud and conspiracy to commit money laundering. The government is seeking extradition of Indian nationals.
The U.S. Treasury Inspector General for Tax Administration investigated this case.
Assistant U.S Attorney Jeffrey A. Brown, Deputy Chief of the Complex Frauds Section, and Assistant U.S. Attorney Jolee Porter prosecuted the case.
The U.S. Attorney’s Office for the Northern District of Georgia is part of the Department of Justice Transnational Elder Fraud Strike Force. The Strike Force focuses on investigating and prosecuting defendants associated with foreign-based fraud schemes that disproportionately affect American seniors. These include romance scams, phone scams, mass-mailing fraud schemes, and tech-support fraud schemes. For further information on these scams, see https://www.justice.gov/elderjustice/senior-scam-alert.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
California man who falsely claimed ties to Moroccan Royal Family pleads guilty to $10 million dollar advance fee fraud schemeRead the Press Release
ATLANTA - Hassan Ra El, a/k/a Rasheem Harrson Crockett has pleaded guilty to mail fraud related to a scheme in which he falsely claimed to be a member of the Moroccan Royal Family to defraud business owners around the country to pay an advance fee before obtaining millions in business loans.
“This defendant will be held responsible for his elaborate advance fee loan scheme that took advantage of individuals and businesses that desired to raise capital,” said U.S. Attorney Byung J. “BJay” Pak. “Consumers and business owners are encouraged to conduct due diligence beyond information on websites when they enter business relationships.”
“Those seeking to maximize profits while misleading business owners and investors should expect to pay a heavy price,” said David M. McGinnis, Inspector in Charge, U.S. Postal Inspection Service, Charlotte Division. “The U.S. Postal Inspection Service has investigated these kind of deceptive practices for years to protect consumers. Postal Inspectors work tirelessly to identify and hold accountable any person who uses the U.S. mail to defraud American citizens.”
According to U.S. Attorney Pak, the charges and other information presented in court: Hassan Ra El operated a scheme to defraud business owners across the country who were seeking loans. El claimed that he was a wealthy investor and a member of the Moroccan Royal Family. El fraudulently claimed that he had access to Moroccan Royal Family funds that would be used to fund business loans. El created fraudulent documentation showing that insurance companies were offering default insurance policies on the loans. El convinced prospective loan applicants that they had to pay default insurance fees, typically 10% of the loan amount, before the loans would fund. When the loans failed to fund, El used fees from later loan applicants to partially refund fees from previous loan applicants.
In furtherance of the scheme, El created fraudulent bank statements purportedly showing that he, or companies that he controlled, had millions in bank accounts. El also created fraudulent email accounts and correspondence purportedly from insurance executives stating that loans had been approved. El used fees from loan applicants to fund his lifestyle, pay his living expenses, and to rent high-end automobiles - including a Ferrari, Range Rover and Lamborghini. El fraudulently induced victims to pay over $10 million dollars in advance fees. Neither El, nor his companies, funded any of the promised loans and loan applicants lost over $5 million dollars in the fraud scheme.
Hassan Ra El, a/k/a Rasheem Harrson Crockett, 45, of Chino Hills, California was previously charged with forgery, theft by conversion, and false statements in Douglas County, Georgia, for defrauding loan clients. After his convictions in Douglas County, El formerly changed his name from Rasheem Harrson Crockett to Hassan Ra El and continued to defraud prospective business owners seeking capital.
On July 2, 2019, El was indicted on thirteen counts of mail fraud, and five counts of wire fraud. Sentencing is scheduled for April 22, 2020, at 2:30 p.m., before U.S. District Judge William M. Ray II.
The U.S. Postal Inspection Service in investigating this case.
Assistant U.S. Attorneys Jeffrey Brown, Deputy Chief of the Complex Frauds Section, and Erin Sanders are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Gwinnett County deputy indicted on excessive force and obstruction chargesRead the Press Release
ATLANTA - Former Gwinnett County, Georgia, Deputy Sheriff Aaron S. Masters, who was assigned to the Rapid Response Team (RRT) at the Gwinnett County Jail, has been charged with using excessive force against a female inmate in 2018. Masters was indicted by a federal grand jury for unnecessarily assaulting the inmate and writing a false incident report to justify his use of force.
“We recognize that corrections officers have a difficult job as they maintain order and protect inmates in our district's prisons and county jails,” said U.S. Attorney Byung J. “BJay” Pak. “However, this deputy sheriff must be held accountable for allegedly abusing his authority by committing a violent and unnecessary assault on an inmate, and then writing a false report to cover up the incident.”
“The vast majority of sworn officers working in our jails and prisons protect the civil rights of inmates no matter the difficult challenges they face,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “It is an insult to those officers when one of their own violates those rights, and that is why Masters must face his peers in court for his alleged actions.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: At the time of the alleged misconduct, Aaron Masters was employed as a deputy sheriff assigned to work on the Gwinnett County Sheriff Office’s RRT inside the Gwinnett County Jail. The RRT was a specialized unit which resolved high-risk incidents and provided general assistance in maintaining order in the jail. On August 20, 2018, Masters, without justification, is alleged to have repeatedly struck an inmate in the face with his closed fist, injuring her. Following the assault, Masters wrote a report about the encounter in which he falsely claimed that the physical force was necessary to gain the inmate’s compliance.
Aaron S. Masters, 27, of Jefferson, Georgia, was indicted on January 14, 2020, for violating an inmate’s civil rights and for writing a false report. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The FBI is investigating this case.
Assistant U.S. Attorney Brent Alan Gray and Department of Justice Civil Rights Trial Attorney Tim Visser are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Gwinnett County Deputy Arraigned on Excessive Force and Obstruction ChargesRead the Press Release
Former Gwinnett County Deputy Sheriff Aaron S. Masters, who was assigned to the Rapid Response Team (RRT) at the Gwinnett County Jail, has been arraigned after a federal grand jury indicted him of acting under color of law to deprive an inmate of her civil rights and of falsifying a report of the incident. The indictment follows an investigation of an allegation that Masters used excessive force against a female inmate in 2018 by repeatedly striking her in the head. The indictment was announced by Eric. Dreiband, Assistant Attorney General of the Civil Rights Division; Byung J. (BJay) Pak, U.S. Attorney for the Northern District of Georgia; and Chris Hacker, Special Agent in Charge of FBI Atlanta.
According to the indictment and other information presented in court, at the time of the alleged misconduct, Masters was employed as a deputy sheriff assigned to work on the Gwinnett County Sheriff Office’s RRT inside the Gwinnett County Jail. The RRT was a specialized unit that resolved high-risk incidents and provided general assistance in maintaining order in the jail. On Aug. 20, 2018, Masters, without legal justification, repeatedly struck an inmate in her face with his closed fist, injuring her. Following the assault, Masters wrote a report about the encounter in which he falsely claimed that the physical force was necessary to gain the inmate’s compliance.
Masters, 27, of Jefferson, Georgia, was indicted on Jan. 14, 2020.
The charge of deprivation of civil rights under color of law resulting in injury provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. The charge of falsifying a police report provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of up to $250,000.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the FBI, and is being prosecuted by Assistant U.S. Attorney Brent Alan Gray and Department of Justice Civil Rights Trial Attorney Tim Visser.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Timeshare resort manager arrested for massive elder fraud and embezzlement targeting timeshare ownersRead the Press Release
ATLANTA - Katherine Tice Craig, a/k/a Kathy Tice, has been arraigned on federal charges of mail fraud. The defendant allegedly embezzled over $1.7 million dollars from a company she was managing.
“Craig’s scheme defrauded over 1,000 timeshare owners who were her employer’s customers,” said U.S. Attorney Byung J. “BJay” Pak. “Most of these victims were elderly. She allegedly collected and spent the fees owed the company on gambling and trips for herself.”
“The U.S. Postal Inspection Service takes great pride in protecting the American public, especially our vulnerable older Americans. Those seeking to defraud and take advantage of our postal customers should know they will not go undetected and will be held accountable,” said USPIS Inspector-in-Charge David M. McGinnis.
According to U.S. Attorney Pak, the charges, and other information presented in court: Since 2003, Katherine Tice Craig worked at Caribbean Service Group (“CSG”), a business running a timeshare resort in Freeport, Bahamas called the Woodbourne Estates Resort. CSG operated in Atlanta, Georgia and Zebulon, Georgia. After the original business owners died in 2009 and 2010, the business was held up in probate. During this time, Craig managed CSG with no close supervision. By February 2012, Craig was allegedly embezzling CSG Group funds for her own purposes.
From 2012 through 2018, Craig allegedly embezzled over $1.7 million from CSG, using a variety of techniques. These were funds she took from the business, over and above her salary. Craig took over $650,000 by simply transferring money from CSG’s bank accounts to her own, over $450,000 by negotiating checks made out by CSG to “cash,” and more than $300,000 by writing checks on CSG’s accounts to pay her own personal credit cards. Craig spent much of the embezzled funds on gambling, including many trips to the Beau Rivage casino in Biloxi, Mississippi, and high-volume purchases of Georgia Lottery tickets. Money that should have been used by CSG to run the resort and fulfill its obligations to timeshare owners was allegedly embezzled by Craig instead.
During an overlapping time period from 2012 to 2019, Craig defrauded and misled over 1,000 timeshare owners – most of them elderly retirees. Craig saved money – unsustainably – by operating the resort without casualty insurance, even though the Lease Agreements required CSG to maintain casualty insurance. Over the years, the buildings at the resort deteriorated through storm damage and neglect, so that fewer were usable. Craig allowed the resort less money to run on as time went on, before cutting off financial support to it entirely in December 2015.
By early 2016, the resort was in such bad shape that Craig wasn’t allowing any timeshare owners to vacation there any more, even though the Lease Agreements entitled them to stay in particular units at particular times. Craig continued billing timeshare owners for maintenance fees, and threatened many who fell behind with referral to a collection agency. She also approved transfers of some of the timeshare leases to new owners, essentially recruiting new victims even after the resort was no longer viable. Craig never told the timeshare owners that there was no casualty insurance on the resort, or that the main expense being paid for by their maintenance fees was her own alleged pattern of embezzlement.
Katherine Tice Craig, 51, of Zebulon, Georgia, was arraigned before U.S. Magistrate Judge Justin S. Anand. Craig was indicted by a federal grand jury on January 7, 2020. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The U.S. Attorney’s Office for the Northern District of Georgia is part of the Department Of Justice Transnational Elder Fraud Strike Force. The Strike Force focuses on investigating and prosecuting defendants associated with foreign-based fraud schemes that disproportionately affect American seniors. These include romance scams, phone scams, mass-mailing fraud schemes, and tech-support fraud schemes. For further information on these scams, see https://www.justice.gov/elderjustice/senior-scam-alert.
The U.S. Postal Inspection Service is investigating this case.
Assistant U.S. Attorney Alana R. Black is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Law Enforcement Appreciation Day and new PSA from U.S. Attorney's OfficeRead the Press Release
ATLANTA – Today, January 9, 2020 is Law Enforcement Appreciation Day. U.S. Attorney Byung J. “BJay” Pak is asking citizens to join him in saluting law enforcement officers in the Northern District of Georgia.
“Law enforcement officers are everyday heroes and part of our community. Fathers, mothers, brothers, sisters, sons, daughters, and our neighbors,” said U.S. Attorney Byung J. “BJay” Pak. “They go to work every day with a passion to serve others and to protect us. Few can truly appreciate the rigors of working in law enforcement. In addition, many of them serve the communities in which they grew up because they love where they are from, and see it as an honor and duty to give back. They are one of us. Please join us in thanking them for their dedication, and service.”
The U.S. Attorney’s Office for the Northern District of Georgia is also releasing our second “Everyday Heroes are One of Us” Public Service Announcement featuring Lt. Robert Howell of the Henry County, Georgia, Sheriff’s Office. The PSA is posted on our social media platforms and has been submitted to local media outlets.
The PSA is available on our Facebook page: https://www.facebook.com/NDGAnews/
Also on our YouTube Channel at: https://www.youtube.com/c/usaondga
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Violent felon sentenced for robbery of banks and other businessesRead the Press Release
ATLANTA – Titus Jeshua Lamb, a previously convicted felon, has been sentenced for committing three bank robberies in McDonough, Morrow, and Fayetteville, Georgia.
“Lamb was a violent serial robber who terrorized citizens in this district and elsewhere,” said U.S. Attorney Byung J. “BJay” Pak. “Thanks to the coordination between law enforcement agents in Atlanta and Mississippi, he is off the streets and serving a long sentence.”
“For six months Lamb and his accomplice terrorized employees and customers at multiple banks and businesses in Georgia, leaving behind traumatic scars on innocent victims,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Once again, his arrest would not have been possible without a collaborative effort with our law enforcement partners. Those partnerships are invaluable when violent criminals spread terror throughout our communities.”
According to U.S. Attorney Pak, the charges and other information presented in court: Between December 11, 2014, and June 4, 2015, Lamb robbed banks in Morrow, McDonough, and Fayetteville, Georgia, as well as two convenience stores during a six-month crime spree.
During one of the bank robberies, Lamb entered the bank with a scarf tied across his face, demanding money. In two of the robberies, Lamb pointed a pistol at bank tellers. One teller especially feared for her life because Lamb held his firearm close to her head as he ordered everyone in the bank to lie face down on the ground.
In addition to the bank robberies, Lamb also robbed a pharmacy in Riverdale, Georgia, and a department store in Stockbridge, Georgia. Altogether, Lamb took approximately $34,500 from these two businesses.
Lamb also traveled to Mississippi, where he committed an additional bank robbery. His crime spree ended when FBI agents in both Mississippi and Atlanta connected Lamb’s get-away vehicle from surveillance video at one of the banks.
Chauncey Williams, Lamb’s accomplice and get-away driver, was also charged and sentenced. Williams pled guilty to one count of Bank Robbery.
Titus Lamb, 28, of Atlanta, Georgia was sentenced by U.S. District Court Judge Michael L. Brown to 19 years in federal prison, followed by five years of supervised release. On June 21, 2019, a jury found Lamb guilty of three counts of bank robbery, two counts of Hobbs Act robbery, and two counts of brandishing a firearm during those robberies.
This case was investigated by the FBI, the McDonough Police Department, the Morrow Police Department, and the Fayetteville Police Department.
Assistant U.S. Attorneys Dash A. Cooper and Stephanie Gabay-Smith prosecuted the case.
This case was brought as part of Project Safe Neighborhoods (PSN). In keeping with the Attorney General’s mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected].
City of Atlanta Director of the Office of Contract Compliance sentenced to more than two years in federal prison for wire and tax fraudRead the Press Release
ATLANTA – Larry Scott has been sentenced to federal prison for failing to disclose to the City of Atlanta that while he served as the Director of Contract Compliance, he also secretly worked as the business manager for consulting firm that was hired by businesses who wanted construction contracts in the Atlanta-metropolitan area.
“Scott’s conviction and sentence close yet another chapter in the disappointing saga of corruption within the City of Atlanta government,” said U.S. Attorney Byung J. “BJay” Pak. “Based on his executive-level positions, Scott was trusted to serve the citizens of Atlanta. By failing to disclose his own business interests, however, Scott betrayed the program he was charged to protect – and, as a result, tarnished the integrity of Atlanta’s disadvantaged business program.”
“This sentencing is a warning to any public official who would contemplate abusing their power for personal gain,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Anyone who tries to take advantage of a trusted position by illegally profiting from it will be pursued. The FBI will continue its efforts to end public corruption in Atlanta and anywhere in the state of Georgia.”
“The law is clear on the issue of taxable income and who is required to file and pay taxes: there is no gray area on the subject and we hope today’s sentencing sends a message that intentionally filing a false tax return is a prosecutable crime regardless of your position,” said Thomas Holloman, IRS Criminal Investigations, Special Agent in Charge, Atlanta Field Office. “We should not forget that the ultimate victims in this case are the people of Atlanta– those honest taxpayers who diligently file correct tax returns each year and pay their fair share of tax.”
According to U.S. Attorney Pak, the charges and other information presented in court: the City of Atlanta - Mayor’s Office of Contract Compliance, advertises that they strive “to mitigate the effects of past and present discrimination against women and minority businesses, [and] to promote full and equal business opportunity for all persons doing business with the City of Atlanta” by “linking small, minority, female and disadvantaged businesses with City of Atlanta, business opportunities.”
From 2002 to 2019, Scott held several positions with the City of Atlanta, including, serving as the: (a) Senior Contract Compliance Manager in the Office of Contract Compliance; (b) Director of Procurement in the Department of Watershed Management, and (c) the Director of the Office of Contract Compliance. In those positions, Scott earned between $57,000 and $98,000 per year. In total, from 2012 to 2017, Scott earned approximately $530,000 as an employee with the City of Atlanta.
On February 23, 2011, Scott incorporated Cornerstone U.S. Management Group, LLC (“Cornerstone”) with the Georgia Secretary of State as a for-profit corporation. Cornerstone is a consulting firm for businesses seeking construction contracts in the Atlanta-metropolitan area and elsewhere. In its Articles of Organization, Cornerstone listed Scott as its organizer and registered agent. From 2012 until November 2017, Scott served as Cornerstone’s business manager. In that role and during that six-year period, Cornerstone paid Scott between approximately $1,000 and $5,000 per month. In total, from 2012 to 2017, Scott earned approximately $220,000 as Cornerstone’s business manager.
According to the City of Atlanta’s Code of Ethics, certain City of Atlanta officials and employees must disclose all “positions of employment held by the official or employee in any business … for all or any portion of the year, including a description of the type of business and the existence and nature of any business done by the employer entity with the city.” The City of Atlanta’s Code of Ethics further requires that these officials and employees disclose, “[e]ach and every source of income from any business received by such official or employee in excess of $5,000 derived from any single source in the preceding calendar year.”
As the City of Atlanta’s Senior Contract Compliance Manager, Director of Procurement, and Director of Contract Compliance, the City of Atlanta required Scott to complete annually a Financial Disclosure Statement listing any outside employment and sources of income of more than $5,000 per year for calendar years 2012 to 2017.
From 2012 to 2017, Scott electronically filed six false Financial Disclosure Statements, each executed under penalty of perjury. On each Financial Disclosure Statement, Scott knowingly failed to disclose that he had been employed by Cornerstone and that he had received more than $5,000 in annual income from Cornerstone.
From 2012 to 2017, Scott earned approximately $220,000 from Cornerstone while serving as a full-time management or executive level employee with the City of Atlanta. Scott never disclosed to the City of Atlanta his employment with and income from Cornerstone. Scott knew that if he had disclosed his income from Cornerstone on his annual Financial Disclosure Statements, the City of Atlanta could have terminated Scott.
From 2012 to 2017, Scott also filed six false and fraudulent federal income tax returns – in that Scott failed to report the majority of the income that he earned from Cornerstone on his tax returns. For example, in 2015, Scott earned approximately $156,036 in income – (a) $99,136 as the City of Atlanta’s Director of Contract Compliance; and (b) $56,900 as Cornerstone’s business manager. Yet, on his 2015 federal income tax return, Scott falsely listed his “total income” as only $101,630.
On September 4, 2019, Larry Scott, 55, of Atlanta, pleaded guilty to a criminal information charging him with one count each of wire and tax fraud. Based on those convictions, Scott was sentenced to two years in prison to be followed by three years of supervised release and was ordered to pay approximately $125,000 in restitution.
The FBI and IRS Criminal Investigation investigated this case.
Assistant U.S. Attorneys Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, Stephen H. McClain, Chief of the Complex Frauds Section, and Sekret Sneed prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia man and five Mexican nationals plead guilty to methamphetamine trafficking conspiracyRead the Press Release
ATLANTA – The last of six defendants who operated a clandestine methamphetamine laboratory in north Fulton County has pleaded guilty to conspiracy to possess methamphetamine with intent to distribute, concluding a months-long investigation that led to the seizure of more than a quarter-ton of methamphetamine from several residences in the Atlanta suburbs.
“Mexican cartels push methamphetamine and other drugs in our district without any regard for the lives that they ruin along the way,” said U.S. Attorney Byung J. “BJay” Pak. “In close coordination with our federal, state, and local partners, we are committed to stopping the flow of drugs across the border, and their distribution in our community. The discovery and dismantling of a methamphetamine lab of this magnitude is a great win in that battle.”
Robert J. Murphy, Special Agent in Charge of the DEA Atlanta Division stated, “Drug Trafficking knows no boundaries and is driven by greed and power. These guilty pleas should serve as a reminder to drug traffickers that DEA and its law enforcement partners will expend the necessary resources to dismantle, disrupt and destroy those who distribute poison throughout our communities. Many thanks to the collaboration of law enforcement agencies and the U.S. Attorney’s Office who made this investigation a success.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: a Mexico-based drug-trafficking and money-laundering organization led locally by Fredrico Pacheco-Romero and Carlos Martinez utilized homes in Milton and Ellenwood, Georgia to convert large quantities of liquid methamphetamine into crystal methamphetamine. Agents learned in early February 2019 that a shipment of liquid methamphetamine was destined for the Atlanta area.
On February 9, 2019, DEA agents obtained warrants to search a half-dozen properties utilized by the organization and the defendants. Those searches revealed an active methamphetamine conversion laboratory, approximately 400 pounds of liquid methamphetamine, approximately 125 pounds of crystalized or partially crystalized methamphetamine, hundreds of thousands of dollars in cash, and multiple cell phones, drug ledgers, and firearms.
Each of the six defendants pleaded guilty to participating in a drug-trafficking conspiracy. The defendants will appear before U.S. District Judge Leigh Martin May for sentencing as follows:
- Sentencing for Victor Manuel Sanchez, 21, of Mexico is scheduled for January 27, 2020, at 2:00 p.m.
- Sentencing for Jorge Mendoza-Perez, 50, of Mexico is scheduled for February 3, 2020, at 2:00 p.m.
- Sentencing for Fredrico Pacheco-Romero, 27, of Mexico is scheduled for February 24, 2020, at 10:00 a.m.
- Sentencing for Carlos Martinez, 24, of Morrow, Georgia is scheduled for February 25, 2020, at 10:00 a.m.
- Sentencing for Eduardo Lopez, 26, of Mexico is scheduled for March 2, 2020, at 10:00 a.m.
- Sentencing for Santana Cardenas, 41, of Mexico is scheduled for March 25, 2020, at 9:30 a.m.
This case is being investigated by the Drug Enforcement Administration, with assistance from the Gwinnett County District Attorney’s Office, the Cartersville Police Department, the Forsyth County Sheriff’s Office, and SWAT teams from the Clayton County Sheriff’s Office, the Henry County Police Department, and the DeKalb County Police Department.
Assistant U.S. Attorneys Theodore S. Hertzberg and Tyler A. Mann are prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.- Sentencing for Victor Manuel Sanchez, 21, of Mexico is scheduled for January 27, 2020, at 2:00 p.m.
FBI solves string of bank robberies from 2016Read the Press Release
ROME, Ga. - Garrett Storm Hickey has been sentenced for a string of unarmed bank robberies in north Georgia and Alabama, which had gone unsolved for three years.
“Diligence by the FBI and our law enforcement partners helped solve these cold case bank robberies,” said U.S. Attorney Byung J. “BJay” Pak. “This is also an example of the exemplary cooperation by law enforcement across multiple districts to give closure to the victims and employees of the banks involved while bringing this robber to justice.”
“If not for the determination of the FBI and our state and local partners, Hickey would be close to being released from federal prison on a single bank robbery conviction,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “But because of that collaborative effort, three bank robbery cases in Georgia and Alabama that were virtually closed, were re-opened and connected to Hickey. Our partnerships are integral to our mission of protecting the citizens of this country.”
According to U.S. Attorney Pak, the charges and other information presented in court: On July 6, 2015, Garrett Storm Hickey robbed a bank in Murfreesboro, Tennessee, using a threatening note that demanded money. Using a very similar note and always asking for $1,400, he then robbed three more banks.
On April 19, 2016, he robbed a bank in Ringgold, Georgia, and shortly after, on May 4, 2016, he robbed a bank in Priceville, Alabama. Hickey’s last known robbery was on July 20, 2016, at a bank in Athens, Alabama.
In 2017, Hickey was sentenced to just over three years in federal prison after a fingerprint linked him to the Murfreesboro robbery. Later, while still serving his initial sentence, a fingerprint identification by the Georgia Bureau of Investigation lab connected him with the Ringgold robbery. In addition, other evidence, including photos from the bank cameras, linked him to the two Alabama robberies.
In 2019, Hickey was indicted in the Northern District of Georgia, and with the cooperation of the U.S. Attorney’s Office for the Northern District of Alabama, and local district attorneys in the three local venues, he was prosecuted for the one Georgia robbery and two Alabama robberies here and pleaded guilty October 2019.
Garrett Storm Hickey, 29, of Centre, Alabama, was sentenced by U.S. District Judge Mark H. Cohen to five years, four months in prison, with credit for time served, to be followed by three years of supervised release, and ordered to pay restitution in the amount of $4,200. Hickey was convicted on these charges on October 15, 2019, after he pleaded guilty.
This case was investigated by the FBI’s Atlanta-Dalton office, Birmingham-Huntsville office, and Memphis-Murfreesboro office, the Georgia Bureau of Investigation - Region 1, the Catoosa County Sheriff’s Office and the Ringgold Police Department, both in Georgia, as well as the Limestone County Sheriff’s Office, the Athens Police Department, and the Priceville Police Department, all in Alabama.
Assistant U.S. Attorney Katherine M. Hoffer prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
U.S. Attorney Pak announces public service announcements supporting law enforcement officersRead the Press Release
ATLANTA – U.S. Attorney Byung J. “BJay” Pak is asking citizens to join him in saluting law enforcement officers in the Northern District of Georgia.
“Law enforcement officers are everyday heroes and part of our community. Fathers, mothers, brothers, sisters, sons, daughters, and our neighbors,” said U.S. Attorney Byung J. “BJay” Pak. “They go to work every day with a passion to serve others and to protect us. Few can truly appreciate the rigors of working in law enforcement. In addition, many of them serve the communities in which they grew up because they love where they are from, and see it as an honor and duty to give back. They are one of us. Please join us in thanking them for their dedication, and service.”
The U.S. Attorney’s Office for the Northern District of Georgia is releasing three Public Service Announcements (“PSA’s”) that will feature the everyday heroes who serve in their hometowns. The first release will post on our social media platforms on December 16, 2019, and submitted to local media outlets. It will feature Sgt. Monica Peterson of the LaGrange, Georgia Police Department. #EveryDayHeroesAreOneOfUs
The PSA’s will be available on our Facebook page at: https://www.facebook.com/NDGAnews/
Also on our YouTube Channel at: https://www.youtube.com/c/usaondga
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia woman sentenced for stealing Social Security benefitsRead the Press Release
ATLANTA - Linda A. Nickolson has been sentenced for stealing over $150,000 in Social Security disability benefits that were intended for her deceased husband.
“The money this defendant stole was intended for disabled people who cannot work,” said U.S. Attorney Byung J. “BJay” Pak. “Nickolson was able-bodied but chose not to work, and instead supported herself by stealing from the government. Social Security benefit theft is not a victimless crime; it harms everyone who has paid into the Social Security system.”
“This sentence is a warning to those who may conceal a death from Social Security and continue to use those benefits. This is a Federal crime, one that we will vigorously pursue on behalf of all taxpayers,” said Gail S. Ennis, Inspector General for the Social Security Administration. “I want to thank the U.S. Attorney’s Office for bringing this individual to justice and recovering these funds for Social Security.”
According to U.S. Attorney Pak, the charges and other information presented in court: Nickolson’s husband died in October 2009. Rather than report his death to the Social Security Administration (“SSA”), she continued to receive his monthly Social Security disability benefits and spent the money on herself. Her family members repeatedly told her that she needed to notify the SSA that her husband had died and that she could go to jail if she spent the benefit monies. Nickolson chose to ignore this advice. When she was finally confronted by the SSA, she lied and claimed that she thought she was entitled to receive her husband's disability benefits because she was his next of kin. In total, Nickolson received $159,243 in Social Security money that she was not entitled to receive.
Linda A. Nickolson, 57, of Douglasville, Georgia, has been sentenced to one year and one day in prison to be followed by two years of supervised release, ordered to pay a special assessment of $100, and pay restitution of $159,243. Nickolson was convicted on these charges on September 4, 2019, after she pleaded guilty.
The Social Security Administration - Office of the Inspector General investigated this case.
Special Assistant U.S. Attorney Diane C. Schulman prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Georgia attorney arraigned for fraud and theft of client fundsRead the Press Release
ATLANTA - Carla B. Gaines, an attorney formerly licensed in Georgia, has been arraigned on charges of wire fraud and theft from a local government that receives federal funding.
“Attorneys who allegedly lie and steal abuse the trust owed to their clients and violate the law,” said U.S. Attorney Byung J. “BJay” Pak. “The indictment alleges that Gaines stole client money that should have been held in escrow, and then lied about the theft in an attempt to lull her victims into a false sense of security.”
“It is very disheartening when a lawyer, sworn to uphold the Constitution of the United States and the Constitution of the jurisdiction they are licensed in, violates that oath,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “When they do, the FBI is committed to protecting the citizens who suffer from their transgression.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Carla B. Gaines was an attorney licensed in Georgia until she was disbarred on November 18, 2019. From August 2014 through March 2016, she allegedly stole $337,400 that she had received from the Clayton County government to hold in escrow for payment to a Georgia business, Kelete, Inc., located in College Park, Georgia. After the theft, Gaines allegedly lied to Clayton County and Kelete to convince them that she still had the money and payment was on the way.
In 2014, Clayton County entered into an agreement with Kelete for Kelete to sell a right of way or easement through Kelete’s property to the County, for $712,400. Gaines was retained to serve as the escrow agent for this real estate transaction. Clayton County transferred $712,400 to Gaines for her to hold in escrow and complete the transaction.
In November 2015, Clayton County and Kelete closed the real estate deal. Gaines paid $375,000 to Kelete and its bank at the time of closing. Under the settlement agreement, Gaines was required to hold the remaining $337,400 in escrow until Kelete removed certain trade fixtures and improvements on the property. In March 2016, Kelete completed the removal and requested the remaining payment of $337,400. But Gaines never paid, despite repeated demands. Instead of holding the $337,400 in escrow as required, Gaines had diverted the funds to pay for personal and law firm expenses.
Beginning in March 2016, when payment was demanded, Gaines repeatedly made false representations to Clayton County and Kelete about whether she had the money and whether payment was on the way. For example, Gaines falsely claimed that the wire was “pending,” that the wire was “stuck,” that she had a check ready for Kelete, that she was “awaiting a call from the bank,” that “the bank was holding the wire,” that she had “straightened out the issue,” and that the “wire should be processed Monday.” These representations were false. No wires were stuck, pending, held, or on their way; and no check was ready. Gaines had far less than $337,400 in her bank accounts at the time she made these misrepresentations.
Kelete sued Gaines to recover the $337,400 it was owed. As part of that civil proceeding, Gaines testified in two depositions, in March 2017 and June 2018, and allegedly lied. Gaines testified that she had paid a portion of Kelete’s funds to another client, a pastor, in error. Gaines also testified that she had called the pastor and informed him of the mistake, and that he had promised repeatedly to pay the money back to Gaines. These representations were false.
Carla B. Gaines, 60, of Mableton, Georgia, was indicted by a federal grand jury on December 10, 2019. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The Federal Bureau of Investigation is investigating this case.
Assistant U.S. Attorney Stephen H. McClain, Chief of the Complex Frauds Section, is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
FBI sting operation nabs four men charged with attempting to entice minors to engage in sexual activityRead the Press Release
ATLANTA – Four men have been charged with attempted enticement of a minor to engage in sexual activity. Rolando Hernandes, Mark Hanna, James Daniel Stinchcomb, and William Sage were arrested separately for attempting to entice a minor to engage in sexual activity.
“During the Thanksgiving holiday our federal and local law enforcement partners remained vigilant in an effort to identify individuals targeting minors online for unlawful sex acts,” said U.S. Attorney Byung J. “BJay” Pak. “Those who attempt to prey on children should know that they face arrest and jail when they seek to exploit the youngest members of our community.”
“The FBI will always be vigilant in pursuing those who choose to prey on our most vulnerable citizens, our children,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “I would like to thank our law enforcement partners and their task force officers as part of the FBI’s Metro Atlanta Child Exploitation and Human Trafficking (MATCH) task force for their commitment to making these arrests.”
According to U.S. Attorney Pak, the charges and other information presented in court: between on or about November 19, 2019, through on or about December 6, 2019, the FBI communicated online with several men during undercover operations targeting adults seeking minors for sex. The operation resulted in the arrests of four men: Sage, Hernandes, Hanna, and Stinchcomb.
On November 19, 2019, Sage began communicating online with an undercover agent. Over the next several days, Sage exchanged multiple messages with the agent in an effort to meet for sex with a person he believed to be an 11-year-old girl. During the chats, Sage described the sex acts he intended to do to the child. On November 25, 2019, Sage traveled to Norcross, Georgia, for a planned meeting with the child. FBI agents and Gwinnett County police officers immediately arrested him upon his arrival.
Also on November 19, 2019, Hernandes began communicating online with an undercover agent. Over the next eight days, Hernandes exchanged multiple messages with the agent in an effort to meet for sex with a person he believed to be a 10-year-old girl. Hernandes described the sex acts he intended to do to the child during the chats. On November 27, 2019, Hernandes traveled to Smyrna, Georgia, for a planned meeting with the child. FBI agents and Cobb County police officers immediately arrested him upon his arrival.
On November 22, 2019, Hanna began communicating online with an undercover agent. Over the next several days, Hanna exchanged multiple messages with the agent in an effort to meet for sex with a person he believed to be an 11-year-old girl. Hanna described the sex acts he intended to do to the child during the chats. On December 4, 2019, Hanna traveled to Norcross, Georgia, for a planned meeting with the child. FBI agents and Gwinnett County police officers immediately arrested him upon his arrival.
On November 19, 2019, Stinchcomb began communicating online with an undercover agent. Over the next two-and-a-half weeks, Stinchcomb exchanged dozens of messages with the agent in an effort to meet for sex with a person he believed to be an 11-year-old girl. Stinchcomb followed a similar pattern of describing the sex acts he intended to do to the child during the chats. On December 6, 2019, Stinchcomb, who is a Gwinnett County employee, traveled to Norcross, Georgia, in his county work vehicle for a planned meeting with the child. FBI agents and Gwinnett County police officers immediately arrested him upon his arrival.
Rolando Hernandes, 30, of Mableton, Georgia, was arraigned on December 5, 2019. Mark Hanna, 29, of Anaheim, California, was arraigned on December 10, 2019. James Daniel Stinchcomb, 34, of Bethlehem, Georgia will be arraigned later this month. William Sage, 32, of Sandy Springs, Georgia will be arraigned on December 18, 2019.
The Federal Bureau of Investigation is investigating these cases.
Assistant U.S. Attorneys Laurel Boatright, Theodore S. Hertzberg, and Leanne Marek are prosecuting these cases.
Members of the public are reminded that the indictments only contain charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
These cases are being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Defendant indicted in phone scam targeting U.S. victimsRead the Press Release
ATLANTA - Shivang Bharatkumar Thakur has been indicted for his involvement in a transnational criminal organization that victimized approximately 288 people across the United States through a fraudulent India-based call-center scheme that resulted in over $330,000 in losses.
“Thakur allegedly worked with a phone scam ring that tricked unwitting U.S. residents into sending money they couldn’t afford to lose in the hope of receiving a loan in return,” said U.S. Attorney Byung J. “BJay” Pak. “This case exists as an example of how federal and state law enforcement are partnering to investigate transnational phone scams and hold the scam participants, including those who launder scammed funds, accountable.”
“This indictment demonstrates that TIGTA and its law enforcement partners continue to make significant progress in investigating IRS-related impersonation scams,” said J. Russell George, the Treasury Inspector General for Tax Administration. “We appreciate the efforts of the U.S. Attorney’s Office for the Northern District of Georgia and the Bloomington, Minnesota Police Department.”
“By utilizing our state and federal law enforcement partners, this case that crossed several state and national boundaries, was investigated and resulted in the indictment of Shivang Thakur. Phone scams all too often target the vulnerable and I am proud of those who worked together to hold Thakur accountable to those he victimized,” said Bloomington, Minnesota Police Chief Jeff Potts.
According to U.S. Attorney Pak, the indictment, and other information presented in court: the defendant, Shivang Bharatkumar Thakur, is an Indian national who arrived in the United States in August 2017 and allegedly began laundering funds derived from phone scams shortly thereafter. As part of the fraud, call centers based outside the United States defrauded U.S. residents, including elderly victims, by misleading them over the telephone into sending money utilizing a loan scam. As part of the scam, callers deceived U.S. residents into believing that they were eligible for fictitious loans. Callers directed the U.S. residents to pay supposed taxes and fees to prove their ability to repay the loan and verify their bank accounts. The victims received nothing in return.
From on or about August 12, 2017, to on or about January 10, 2018, Thakur allegedly retrieved over $330,000 in cash payments of scammed funds from money transmitters using fake identification documents and fraudulent information. Approximately 288 victims sent the funds in response to the fraud. Thakur used approximately 71 fake identification cards with numerous aliases to retrieve the scammed funds.
Shivang Bharatkumar Thakur, 26, of India, was charged with conspiracy to commit money laundering and six counts of money laundering. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The U.S. Attorney’s Office for the Northern District of Georgia is part of the Department Of Justice Transnational Elder Fraud Strike Force. The Strike Force focuses on investigating and prosecuting defendants associated with foreign-based fraud schemes that disproportionately affect American seniors. These include romance scams, phone scams, mass-mailing fraud schemes, and tech-support fraud schemes. For further information on these scams, see https://www.justice.gov/elderjustice/senior-scam-alert.
The U.S. Treasury Inspector General for Tax Administration and the City of Bloomington, Minnesota Police Department are investigating the case.
Assistant U.S. Attorney Jolee Porter is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Dawsonville real estate agent pleads guilty to defrauding clientsRead the Press Release
GAINESVILLE, Ga. - Carol Michaelson, a formerly licensed real estate agent, pleaded guilty today to defrauding her clients by faking property sales, forging contracts and deeds, and then pocketing her victims’ money.
“This defendant stole her clients’ hard-earned money by pretending to purchase properties for them, while pocketing their funds for her own personal use,” said U.S. Attorney Byung J. “BJay” Pak. “She then tried to cover her tracks with fake sales agreements and forged deeds. Michaelson is a repeat offender, having previously lost her real estate license for defrauding clients.”
“This case demonstrates the commitment the Secret Service and our law enforcement partners have in aggressively pursuing those who defraud innocent victims,” said Steven R. Baisel, Special Agent in Charge of the U.S. Secret Service, Atlanta Field Office. “This guilty plea should serve as a reminder to other like-minded individuals that we will protect our economic system and arrest criminals who violate public trust for personal gain.”
“We are grateful to all the involved criminal justice agencies who worked so diligently to help close these cases. It is our continued desire that justice will be served in hopes of deterring these types of crimes,” said Dawson County Sheriff Jeff Johnson.
According to U.S. Attorney Pak, the charges and other information presented in court: Carol Michaelson operated a scheme to defraud her clients while acting as a real estate agent. She pretended to arrange real estate purchases for her clients and received funds from them to complete the purchases, but then diverted the funds to her own personal use. In furtherance of the scheme, she prepared fraudulent real estate contracts listing false owners, forged signatures on the contracts and other agreements, and filed fraudulent warranty deeds with forged signatures with the county clerk’s office. Michaelson also sent emails to her victims impersonating closing attorneys, loan officers, and other financial and real estate personnel, to trick the victims into believing that the real estate transactions were legitimate and progressing.
Michaelson defrauded her victims in a variety of ways. In some cases, she falsely informed victims that certain properties were for sale by their owners, when in fact they were not; and the true owners were unaware of Michaelson’s false representations. In another instance, after Michaelson deceived a victim into believing that she had purchased properties for the victim, Michaelson created false tenant identities to deceive the victim into further believing that she had arranged for the properties to be rented. Michaelson then sent rent checks to the victim, pretending to be the false tenants. The victim did not know that he was not the true owner of the properties. In yet another instance, after facilitating a real sale to a victim, Michaelson transferred ownership back to the bank, without the victim’s knowledge, and filed a fraudulent warranty deed with forged signatures in the county clerk’s office.
Michaelson stole over $1 million from her victims through her real estate scheme.
Carol Michaelson, 56, of Dawsonville, Georgia, was previously charged with forgery, theft by conversion, and false statements in Dawson County for defrauding real estate clients. As a result, she lost her real estate license in 2014. Even after surrendering her license, Michaelson continued to act as an unlicensed real estate agent and engage in fraudulent real estate transactions. Sentencing has not yet been scheduled.
The U.S. Secret Service, the Dawson County Sheriff’s Office, and the Enotah Judicial Circuit District Attorney’s Office are investigating this case.
Assistant U.S. Attorney Stephen H. McClain, Chief of the Complex Frauds Section, is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta pharmacy operators convicted of more than $4 million fraudRead the Press Release
ATLANTA –Three defendants who own and operate an Atlanta pharmacy have been convicted by a jury of a multi-million dollar fraud scheme that targeted the U.S. Department of Agriculture’s Special Supplemental Nutrition Program for Women, Infants, and Children (“WIC”) program. Each defendant was convicted of conspiracy and multiple fraud counts for buying WIC vouchers from low-income recipients and then fraudulently seeking reimbursement from the federal government at a higher dollar amount as if they had actually provided nutritious food to those recipients.
“The defendants bought vouchers from low-income recipients and sought refunds from the federal government at a significant profit instead of providing the nutritious foods to infants and children listed on the vouchers,” said U.S. Attorney Byung J. “BJay” Pak. “The defendants’ scheme lined their pockets at the expense of federal taxpayers and the low-income women and children who stood to benefit from the program.”
“The Women, Infants, and Children (WIC) program was created to provide food and nutrition to those who truly need this assistance. Those who are involved in fraud and abuse of USDA feeding programs will be investigated by our office to the fullest extent,” stated United States Department of Agriculture, Office of Inspector General (USDA-OIG), Special Agent-in-Charge Jason Williams. “The USDA-OIG will continue to dedicate investigative resources, working with our law enforcement and prosecutorial partners, in order to protect the integrity of these programs and bring to justice those who commit fraud. We would like to thank the U.S. Attorney’s Office as well as the Georgia Department of Public Health for assisting us with this investigation.”
According to U.S. Attorney Pak, the charges and other information presented in court: Defendants Pauline Mediko Badiki and Ferdinand Mediko were siblings who owned and operated the Poly-Plex Pharmacy, which is located in the Bankhead neighborhood of Atlanta. Defendant Monica Mediko, who was Ferdinand Mediko’s wife, worked there as a pharmacy technician. In 2005, Poly-Plex became an authorized vendor of the WIC program, which is a U.S. Department of Agriculture food grant program administered statewide by the Georgia Department of Public Health. The WIC program provides healthy foods to low-income pregnant women, as well as infants and children up to age 5 who are nutritionally at risk. WIC recipients receive benefits in the form of paper vouchers, which can be exchanged at authorized vendors only for the healthy foods listed on the vouchers. As part of their participation as authorized vendors, the defendants received training on WIC program rules, including the prohibition on buying vouchers.
From at least 2009 through June 2013, the defendants bought WIC vouchers from low-income mothers for a fraction of their face value instead of providing the infant formula and food listed on the vouchers. After purchasing the vouchers, the defendants deposited them into their bank accounts as if they had provided recipients with the healthy foods listed on the vouchers and sought reimbursement from the U.S. Department of Agriculture.
During the time frame of the conspiracy, the defendants deposited tens of thousands of WIC vouchers that resulted in approximately $6.5 million in reimbursements from federal funds, which far surpassed the WIC redemptions from much larger big-box grocery stores located just miles away. Despite the massive amount of WIC redemptions, Poly-Plex Pharmacy had less than $1.3 million in actual expenses for food and infant formula during the same time frame.
Based on defendants’ multi-year scheme, the jury convicted the defendants of wire fraud conspiracy and 12 counts each of wire fraud, theft of government funds, and WIC fraud.
Sentencing for Pauline Mediko Badiki, 55, Ferdinand Mediko, 57, and Monica Mediko, 52, all of Atlanta, Georgia, has not yet been scheduled.
The U.S. Department of Agriculture, Office of the Inspector General is investigating this case.
Assistant U.S. Attorneys Nathan P. Kitchens and Thomas J. Krepp are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta man pleads guilty to multi-state health care fraud conspiracyRead the Press Release
ATLANTA – Matthew Harrell has pleaded guilty to healthcare fraud and aggravated identity theft charges related to fraudulent claims filed with the Georgia, Florida, and Louisiana Medicaid programs.
“Harrell exploited the Medicaid system and stole funds to be used for mental health treatment,” said U.S. Attorney Byung J. “BJay” Pak. “His fraud is particularly egregious because he replicated his fraud scheme in several states and continued stealing funds after he was released on bond.”
“Whenever someone fraudulently steals funding from federal programs like Medicaid they are not only stealing from the people who deserve it, but also from every American taxpayer,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Harrell and his co-conspirators will now have to pay for their own personal greed.”
“Medical identity theft from providers as well as patients in this case cost taxpayers millions of dollars,” said Derrick Jackson, Special Agent in Charge of the Office of Inspector General for the U.S. Department of Health and Human Services. “We will continue working closely with our State and Federal law enforcement partners to protect our vital government healthcare programs.”
“This guilty plea is part of a years-long effort to uncover and prosecute a group of criminals who were willing to lie, cheat and steal at the expense our state’s youth and taxpayer dollars in Georgia, Florida and Louisiana,” said Georgia Attorney General Chris Carr. “Our Medicaid Fraud Division’s investigators and prosecutors proudly assisted in this effort along with our counterparts in the U.S. Attorney’s Office for the Northern District of Georgia and in Florida, and we will continued this spirit of collaboration to protect the interests of our citizens.”
“This fraudster deployed a scheme to steal the identities of children to defraud Florida and other states’ Medicaid programs out of millions. As a mother, I am especially outraged that this man targeted children, stealing information from summer and football camp registrations, but I am proud of our investigators working with other state Medicaid fraud units and federal authorities to stop the identity theft, protect our Medicaid program and secure a guilty plea for the architect of this nefarious scheme,” said Florida Attorney General Ashley Moody.
“Medicaid welfare fraud not only steals from taxpayers, it also jeopardizes much-needed services for our most vulnerable citizens. The Louisiana Department of Justice and I will continue to work tirelessly with our law enforcement partners to uncover, investigate, and arrest criminals who defraud Medicaid,” said Louisiana Attorney General Jeff Landry.
According to U.S. Attorney Pak, the charges, and other information presented in court: Harrell and co-conspirators owned or worked with companies that purportedly provided mental health counseling and treatment to children and adults. These companies included, Revive Athletics, Inc., R.A. Florida, Inc., Jode Counseling Treatment and Training Services, LLC, 118 Management and Consulting, Inc. and A Brighter Day, LLC. These companies billed over $3.7 million in Medicaid claims, and received approximately $2.5 million based on fraudulent billing.
According to the indictment, Harrell and co-conspirators fraudulently used or stole the Medicaid provider numbers of mental health service providers, including a psychologist and licensed clinical social workers, in Georgia and Florida. Harrell’s companies and related entities then used these identities to submit fraudulent Medicaid claims seeking payment for mental health services that were never provided. The Medicaid member numbers, many of which were assigned to children, were obtained from: summer and football camp registrations; a stolen government document which identified approximately 13,000 Louisiana Temporary Assistance for Needed Families (TANF) recipients; and children who were placed in foster care.
Harrell attempted to conceal the fraud scheme by directing employees and contractors to create fraudulent documentation and forge provider signatures to support the fraudulent billing. Harrell initially started the fraudulent billing scheme in Georgia and replicated the scheme in Florida and then Louisiana before his arrest. While on pretrial release in this case, Harrell opened a new company in Louisiana and continued to fraudulently bill Louisiana Medicaid until his bond was revoked and he was detained pending trial.
Sentencing for Matthew Harrell, 44, of Atlanta, Georgia, Harrell is schedule for March 9, 2020 at 2:30 p.m., before U.S. District Court Judge Steve C. Jones.
Co-defendants Nikki Richardson, 44, of Fairburn, Georgia, and Tomeka Howard, 44, of Decatur, Georgia, pleaded guilty previously to healthcare fraud and aggravated identity charges. On May 30, 2019, Richardson was sentenced to five years and five months in prison, three years of supervised release and ordered to pay restitution in the amount of $1,719,189.00. On the same day, Tomeka Howard was sentenced to three years’ probation, with 18 months of home confinement and ordered to pay restitution in the amount of $732,189.00.
The Georgia State Attorney General’s Medicaid Fraud Control Unit, U.S. Department of Health & Human Services, Office of the Inspector General, Federal Bureau of Investigation and the Medicaid Fraud Control Units for Florida and Louisiana are investigating this case.
Assistant U.S. Attorney Jeffrey Brown, Deputy Chief of the Complex Frauds Section, is prosecuting the case. Georgia Assistant Attorney General Elizabeth Grofic also assisted with the prosecution.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao-ndga.
Former elementary school paraprofessional sentenced for possessing child pornographyRead the Press Release
ROME, Ga. - Adam Brent Nesbitt has been sentenced for possessing approximately 800 images, and approximately 600 videos, of child pornography, depicting mostly children under 12 years old. Prior to his arrest, Nesbitt was a paraprofessional at an elementary school in Sandy Springs, Georgia, working with special needs children.
“It is disturbing when we learn that a person entrusted to care for our children engages in this type of disgusting behavior,” said U.S. Attorney Byung J. “BJay” Pak. “Tragically, possession of child pornography continues to victimize and abuse the children in the images every time they are disseminated.”
“It is disheartening to see yet another person in a position of public trust, especially someone who works with special needs children, peddle in child pornography,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “We as a society expect more from those who care for our children than this and the law enforcement community is ready to vigorously uphold the law to protect the children of our community.”
“It is scary to think that someone like this could get a job this close to our children. I am very grateful for organizations like (NCMEC) who are able to identify these types of criminals so they can be removed from society,” said Polk County Police Chief Kenny Dodd.
According to U.S. Attorney Pak, the charges and other information presented in court: Officials from Dropbox and Facebook notified the National Center of Missing and Exploited Children (NCMEC) in September 2018, when they discovered suspected child pornography stored in Nesbitt’s accounts. NCMEC then notified law enforcement authorities in Georgia. Eventually, Homeland Security Investigations, and Polk County, Georgia, Police Department investigators searched Nesbitt’s residence and Dropbox account. They seized approximately 800 images and 600 videos of child pornography on and within Nesbitt’s accounts.
Adam Brent Nesbitt, 41, of Rockmart, Georgia, has been sentenced to two years, nine months in prison, followed by ten years of supervised release. Nesbitt pleaded guilty to possession of child pornography on August 8, 2019.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and Polk County Police Department investigated this case.
Assistant U.S. Attorney Jennifer Keen prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Justice Department announces more than $376 million in awards to promote public safetyRead the Press Release
ATLANTA - The Department of Justice announced that it has awarded more than $376 million in grant funding to enhance state, local and tribal law enforcement operations and reinforce public safety efforts in jurisdictions across the United States. $719,733 will support public safety activities in the Northern District of Georgia. The awards were made by the Department’s Office of Justice Programs.
“The grants will be used to address violent crime problems each of those jurisdictions is facing,” said U.S. Attorney Byung J. “BJay” Pak. “In Cobb County, District Attorney Joyette Holmes will enhance services to victims of adult sexual assaults, by providing specialized assistance to victims and by conducting research regarding recidivism. In Rockdale County, District Attorney Alisha Johnson will implement the Rockdale County Comprehensive Homicide Initiative to address the increasing numbers of homicides occurring in the county in a collaborative manner. Both initiatives will greatly benefit the citizens of the counties, and serve as models for other prosecution offices.”
“Crime and violence hold families, friends and neighborhoods hostage. They also rip those communities apart,” said Principal Deputy Assistant Attorney General Katharine T. Sullivan for the Office of Justice Programs. “These programs simultaneously play a role in mending communities through preventing crime, apprehending and prosecuting perpetrators, facilitating appropriate sentencing and adjudication, and restoring communities and their residents.”
These awards support an array of crime-fighting initiatives, including the quarter-billion dollar Edward Byrne Justice Assistance Grants Program, which funds public safety efforts in 929 state, local and tribal jurisdictions. Funding also supports sex offender registration and notification, law enforcement-based victim services, the testing of sexual assault kits, and programs designed to address youth with sexual behavioral problems. Other awards will focus on wrongful convictions, intellectual property enforcement, innovative prosecution strategies and the safety and effectiveness of corrections systems.
Two organizations in the Northern District of Georgia were awarded under the BJA Innovative Prosecution Solutions for Combatting Violent Crime Program. The program provides state, local and tribal prosecutors with information, resources, training, and technical assistance to develop effective strategies as well as programs to address and prosecute individuals who commit violent crime.
- Cobb County, Georgia $359,733
- Rockdale County, Georgia $360,000
Information about the programs and awards announced is available here: Public Safety Fact Sheet here. For more information about OJP awards, visit the OJP Awards Data webpage.
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training and technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Justice Department honors rank-and-file law enforcement officers and deputies in third annual Attorney General’s Award for Distinguished Service in PolicingRead the Press Release
ATLANTA - Attorney General William P. Barr and Justice Department leadership announced the recipients of the Third Annual Attorney General’s Award for Distinguished Service in Policing, recognizing the exceptional work of 19 law enforcement officers and deputies from 12 jurisdictions across the country.
“Honoring and supporting the work of law enforcement officers and deputies is a top priority for the Trump Administration, and today is an opportunity for me to personally express my gratitude and commitment to those who risk their lives daily to protect our communities,” said Attorney General Barr. “The Attorney General’s Award for Distinguished Service in Policing honors exceptional police officers and the vital public service they provide. The brave men and women in law enforcement are engaged in an unrelenting and often unacknowledged fight to keep our communities safe each and every day. It is an honor to thank them for their service.”
“Our recognition of Officer Quick highlights his relentless commitment to the safety of the community and the well-being of the students he is involved with every day,” said U.S. Attorney Byung J. “BJay” Pak.
Officer Troy Quick of the Conyers Police Department has been recognized for his dedication and service toward building trust between youth and law enforcement in Conyers, Georgia. Officer Quick is making a lasting impact on the youth within his community. As a School Resource Officer at Rockdale County High School, Officer Quick has been able to help a number of students leave gang life. Whether it is through the mentoring sessions he coordinates for students, donating items to families in need, or just taking an interest in student’s daily lives, Officer Quick is a true example of dedication and service.
President Donald J. Trump established clear directives for the Department of Justice – with three Executive Orders – demonstrating his strong support of the law enforcement community. These Executive Orders commit the Department to working in tandem with state and local law enforcement to restore the rule of law, reduce violent crime, dismantle criminal gangs, and combat the growing drug epidemic. Today the Department of Justice continues to support the President’s directive to honor law enforcement officers by announcing the third annual Attorney General’s Award for Distinguished Service in Policing.
The Attorney General’s Award recognizes individual state, local, and tribal sworn rank-and-file police officers and deputies for exceptional efforts in policing. The awarded officers and deputies have demonstrated active engagement with the community in one of three areas: criminal investigations, field operations or innovations in community policing. The Department received 199 nominations for 414 individuals ranging from state police departments, to local police, to campus public safety agencies. This award highlights the work that troopers, officers and deputies do to prevent, intervene in, and respond to crime and public safety issues. The individuals recognized today include:
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia woman pleads guilty to stealing over $175,000 in government benefitsRead the Press Release
ATLANTA - Carmen Pearson has pleaded guilty to stealing over $175,000 from the federal government by concealing her father’s death from the Social Security Administration for nine years so that she could continue to receive his Social Security benefits.
“Stealing money from the federal government is stealing money from tax payers,” said U.S. Attorney Byung J. “BJay” Pak. “Pearson went the extra mile to steal by swearing annually that her father was alive and that she was taking care of him even though he had died.”
“For nearly a decade, Ms. Pearson’s deception caused Social Security to issue payments to her for her deceased father,” said Gail S. Ennis, Inspector General for the Social Security Administration. “This guilty plea should send a warning to those who perpetrate this kind of fraud that we will identify you and bring you to justice on behalf of the American people. I want to thank the United States Attorney’s Office and Special Assistant U.S. Attorney Diane Schulman for prosecuting this case.”
According to U.S. Attorney Pak, the charges and other information presented in court: In 2007, Carmen Pearson applied to Social Security to be her father’s representative payee and receive his Social Security benefits on his behalf. Her father died in 2009. Instead of notifying Social Security of his death, the defendant submitted at least five annual reporting statements in which she claimed he was still alive and that she used all of the Social Security benefit monies she received for his care and support. Because Social Security believed that her father was still alive, it continued to pay monthly benefits to her for him until August 2018, for nearly nine years after his death. In total, Pearson stole $176,516 in federal money.
Sentencing for Carmen Pearson, 58, of Fairburn, Georgia, is scheduled for February 20, 2020, at 10:00 a.m., before U.S. District Judge Michael L. Brown. In determining the actual sentence, the Court will consider the U.S. Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
The Social Security Administration - Office of the Inspector General is investigating this case.
Special Assistant U.S. Attorney Diane C. Schulman is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta man sentenced in million-dollar diamond and high-end jewelry fraud schemeRead the Press Release
ATLANTA - Cory Smith has been sentenced for defrauding more than a dozen diamond and jewelry dealers and wholesalers nationwide. Over the course of his scheme, Smith attempted to defraud these companies of nearly $1.2 million in diamonds and jewelry and successfully obtained nearly $570,000 in merchandise.
“Smith repeatedly exploited the trust of diamond and jewelry dealers to defraud them,” said U.S. Attorney Byung J. “BJay” Pak. “Identifying Smith took the collective effort and cooperation of the victim retailers and wholesalers, commercial shippers, and local and federal law enforcement, and I commend their work.”
“A lot of hard working citizens were victimized by Smith in his elaborate scheme that cost them over a million dollars,” said Special Agent in Charge of FBI Atlanta Chris Hacker. “His sentencing should serve as a warning that no matter how elaborate a scheme, investigating FBI agents are determined to protect American citizens against such crimes.”
“I am proud of the hard work and dedication that the Knox County Sheriff’s Office Deputies and detectives along with federal agents exemplified during this investigation. Make no mistake, the Knox County Sheriff’s Office will always cooperate with state and federal authorities to bring criminals to justice,” said Knox County Sheriff Tom Spangler.
According to U.S. Attorney Pak, the charges and other information presented in court: Beginning by November 2016 and continuing until September 2018, Smith and others conspired to defraud diamond and jewelry retailers and wholesalers by taking advantage of the fact that many transactions in the industry are done by “memo financing.”
Memo financing is a type of consignment arrangement under which diamond or jewelry dealers will borrow diamonds or jewelry from a supplier (typically another dealer or wholesaler) and will pay for the merchandise only after they are sold (or otherwise return the items unsold). The use of memo financing is widespread in the diamond and jewelry industry and has been used for generations. In order to minimize the risk associated with memo financing, diamond and jewelry dealers will often only deal with well-established diamond/jewelry buyers with whom they have previously conducted business. After the transaction is arranged, the merchandise is usually transported via UPS, FedEx, or another common commercial interstate carrier.
Smith took advantage of this “memo financing” system by contacting jewelry and diamond suppliers across the United States and falsely representing that he was employed or affiliated with a well-known or established diamond or jewelry dealer. Smith would then direct that the merchandise in question be sent to an actual jewelry store in Georgia or elsewhere and typically provide the actual address of the detailer/retailer he was falsely purporting to represent. After receiving the tracking information for a particular shipment, Smith would then contact the shipper (i.e., UPS, FedEx) and have the shipment re-routed to a residential address or a FedEx or UPS facility or retail store near where the actual diamond/jewelry dealer he was falsely purporting to represent was located. Smith would thereafter arrange to have “runners” pick-up the shipment from the FedEx or UPS location or residential address. Smith facilitated this process by making travel arrangements for the runners to travel from Atlanta to out-of-state locations, including North Carolina, Oklahoma, South Carolina, Tennessee, and Virginia, to pick up the packages containing the diamonds/jewelry. Over the course of the nearly two-year scheme, Smith defrauded more than a dozen diamond and jewelry wholesalers and retailers nationwide.
Cory Smith, 32, of Atlanta, Georgia, was sentenced to seven years, eight months in prison to be followed by three years of supervised release, and ordered to pay restitution in the amount of $567,669.70. Smith was convicted of interstate transportation of stolen property on May 13, 2019, after he pleaded guilty.
The Federal Bureau of Investigation investigated this case, with assistance from the Knox County, Tennessee Sheriff’s Office.
Assistant U.S. Attorney Alex R. Sistla prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia man indicted in $6.5+ million dollar online romance scam and business email compromise fraudRead the Press Release
ATLANTA - Nnamdi Marcellus MgBodile has been arraigned on twenty counts of bank fraud, money laundering, and conspiracy to commit bank fraud.
“Online romance scams and business email compromise frauds have increasingly become the method of choice for transnational fraudsters targeting U.S. residents and companies,” said U.S. Attorney Byung J. “BJay” Pak. “In this case, a single victim allegedly lost millions. This is a stark reminder that users of online dating websites should be aware of such scams and exercise extreme caution if asked for money by anyone online or over the phone.”
“This investigation and subsequent indictment demonstrates the commitment the Secret Service and our partners have in aggressively pursuing those who commit online fraud scams,” said Malcolm D. Wiley, Sr., Acting Special Agent in Charge of the United States Secret Service, Atlanta Field Office. “This case serves as a reminder to all, particularly during the holiday season, to ensure protocols related to cyber hygiene are observed.”
According to U.S. Attorney Pak, the charges, and other information presented in court: MgBodile was allegedly involved in two fraudulent schemes, a romance scam that defrauded a Virginia woman out of more than $6.5 million, and a business email compromise (“BEC”) scam in which MgBodile and others attempted to defraud a Georgia company of nearly $350,000.
Romance scams are a type of online fraud in which victims are targeted by individuals posing as potential paramours. The fraudsters create fake online dating profiles (often with photographs of attractive men or women) and use these fake personas to express a romantic interest in the victims in order to trick them into sending money to them or their co-conspirators under false pretenses. Romance scams frequently target vulnerable individuals who possess significant financial assets, such as retired widows or widowers.
The indictment alleges that at the end of November 2017 a Virginia woman, who had a sizable trust, met a person through an online site. She was soon convinced that she was in a romantic relationship with the defendant who she had come to know as “Jimmy Deere.” Over the next month, the victim communicated via email with Deere, whom she believed had fallen for her. Deere said he wanted to start a life with her and was excited to live with her, but first had to resolve an investment opportunity—an opportunity that was totally fraudulent and fictitious.
Deere told the victim that he was a fund manager and he was on the verge of receiving a sizeable commission (“the funds”) for services provided to an unnamed client. He explained to the victim that he needed her to be his “representative partner” and have the funds deposited into the victim’s bank account to avoid an alleged conflict of interest.
In January and February 2018, after luring the victim, Deere and conspirators started requesting via email that she pay various “fees” and “taxes” so that the funds could be released. Between approximately January 2, 2018 and February 12, 2018, and in response to representations made by Deere and others regarding the funds, the victim made approximately twenty-five wire transfers totaling more than $6.5 million from the victim’s trust account into various bank accounts. At least $1.1 million was wired to business bank accounts controlled by MgBodile. These bank accounts were for fake companies that did not have physical premises, earn legitimate income, or pay wages to employees. After the fraudulent funds hit the accounts controlled by MgBodile, he allegedly wired the funds to other accounts controlled by MgBodile, or overseas accounts in China and the Middle East.
BEC scams commonly involve an employee of a company who has been fooled into responding with email messages that appear to be, but are not, legitimate (“spoof emails”). Here, the indictment alleges that in March 2019, MgBodile and others attempted to defraud a Georgia company out of nearly $350,000 after the Georgia company received emails from what it believed was Oxford Finance, a company that had provided financing to the victim company. The emails fraudulently represented that the victim needed to wire Oxford Finance a quarterly payment rather than being drawn via ACH. None of the emails purporting to be sent from Oxford Finance was actually sent by Oxford Finance. Rather, these “spoof emails” were sent from a domain, “oxfordfiinance.com,” which appeared to be Oxford Finance’s, but was not. The emails also appeared to come from Oxford Finance because the purported sender is an actual employee of Oxford Finance and the email’s signature line contained Oxford Finance’s correct physical address.
Nnamdi Marcellus MgBodile, 35, of Marietta, Georgia, was arraigned on November 19, 2019 U.S. Magistrate Judge Janet F. King. A federal grand jury indicted MgBodile on November 6, 2019. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The U.S. Attorney’s Office for the Northern District of Georgia is part of the Department Of Justice Transnational Elder Fraud Strike Force. The Strike Force focuses on investigating and prosecuting defendants associated with foreign-based fraud schemes that disproportionately affect American seniors. These include romance scams, phone scams, mass-mailing fraud schemes, and tech-support fraud schemes. For further information on these scams, see https://www.justice.gov/elderjustice/senior-scam-alert.
The U.S. Secret Service is investigating this case.
Assistant U.S. Attorney Alex R. Sistla is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Final member of federal firearms dealer burglary crew convicted following a jury trialRead the Press Release
ROME, Ga. - Demontra Sharod Lucear has been convicted by a jury of conspiring to steal guns from federally licensed firearms dealers and to possessing stolen firearms. Lucear was one of seven defendants charged with conspiracy to burglarize ten gun stores in Georgia and Alabama from October through November 2015.
“Burglarizing gun stores and trafficking those stolen guns to convicted felons and other prohibited persons presents a serious threat to our community,” said U.S. Attorney Byung J. “BJay” Pak. “Thanks to our federal, multi-state, and local law enforcement partners, Lucear and his co-defendants are off the streets and can no longer continue their criminal enterprise.”
“Anyone who steals guns does so for one purpose,” said ATF Special Agent in Charge Arthur Peralta. “They steal guns to use them in a violent criminal act. These seven individuals did not consider the harm they would cause by putting these guns on the street. I sincerely hope their arrest and conviction serves to deter anyone else who would consider this type of criminal act. Georgia law enforcement agencies are working together to identify and arrest anyone who steals guns.”
According to U.S. Attorney Pak, the charges and other information presented in court: Lucear and his six co-defendants burglarized seven federally licensed firearms dealers, and attempted to burglarize three more, between October and November 2015. In all, the crew stole 132 firearms which they later sold to others. Law enforcement officers recovered several of the firearms during criminal arrests. Lucear’s co-defendants previously pleaded guilty as follows:
- On July 18, 2016, Eric Jerome Moore pleaded guilty to theft of firearms from a federally licensed firearms dealer and to being a felon in possession of a firearm;
- On June 24, 2016, Jakeisia Miller pleaded guilty to conspiracy to steal firearms;
- On July 25, 2016, Dillon James Leborgne pleaded guilty to conspiracy to steal firearms, and theft of firearms, from a federally licensed firearms dealer;
- On August 1, 2016, Jacquez Miller pleaded guilty to theft of firearms from a federally licensed firearms dealer;
- On November 14, 2016, Jameel Yusuff Drinkard pleaded guilty to conspiracy to steal firearms, and theft of firearms, from a federally licensed firearms dealer, and to being a felon in possession of a firearm; and
- On November 17, 2016, Terry Eugene Brown pled guilty to conspiracy to steal firearms, and three counts of theft of firearms, from a federally licensed firearms dealer.
Sentencing for Demontra Sharod Lucear, 29, of Atlanta, Georgia, is scheduled for January 6, 2020, at 1:00 p.m. before United States District Judge Mark H. Cohen. In determining Lucear’s actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
The Bureau of Alcohol, Tobacco, Firearms and Explosives is investigating this case. Agents of ATF worked closely with multi-state and local law enforcement offices to connect the thefts and develop information on the conspirators. These agencies include the Tallapoosa Police Department, Dalton Police Department, Clayton County Police Department, Bibb County Sheriff’s Office, Monroe Police Department, Thomson Police Department, Athens-Clarke County Police Department, Warner Robbins Police Department, Lagrange Police Department, and the Pearl, Mississippi Police Department.
Assistant U.S. Attorney Jennifer Keen is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
- On July 18, 2016, Eric Jerome Moore pleaded guilty to theft of firearms from a federally licensed firearms dealer and to being a felon in possession of a firearm;
North Georgia man sentenced for cyberstalking and making a bomb threat to a preschoolRead the Press Release
GAINESVILLE, Ga. - Vinh Bao Chau has been sentenced for communicating a bomb threat to a church preschool, cyberstalking of a woman who refused to date him, and interstate communication of a threat.
“Those who hide behind a computer screen to terrorize, intimidate and threaten other people using social media will be brought to justice,” said U.S. Attorney Byung J. “BJay” Pak. “The fact that this defendant called in a bomb threat which resulted in the evacuation of a church preschool is particularly appalling.”
“This case is a testament to the value of federal partnerships with state and local law enforcement; all of whom are committed to bringing those to justice who seek to strike fear into communities through the use of terroristic threats. The defendant in this case made a threat to destroy a preschool with an improvised explosive device, and persistently cyberstalked and threatened a victim in multiple jurisdictions,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama.
“This prosecution is a great example of local, state and federal authorities working together to seek justice for Georgia citizens. This investigation spanned two judicial circuits in North Georgia, and we are grateful for the cooperation among investigators and prosecutors which led to this successful result,” said Georgia Attorney General Chris Carr.
According to U.S. Attorney Pak, the charges and other information presented in court: In February of 2017, Vinh Bao Chau began a campaign of terrorizing and harassing a local woman after he was rejected for a date. Chau created fake social media accounts, which he then used to send hundreds of messages to the victim threatening to kill her and harm her in gruesome ways. He also harassed her through repeated telephone calls and text messages. Chau then called in a bomb threat on March 7, 2017, to the victim's place of employment, a church preschool. The investigation revealed Chau was the perpetrator of both the harassing messages and bomb threat, and was then arrested.
Vinh Bao Chau, 23, of Jasper, Georgia, has been sentenced by Senior U.S. District Judge Richard W. Story to three years in prison to be followed by three years of supervised release. Chau has been convicted on these charges on July 8, 2019, after he pleaded guilty.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Gordon County Sheriff's Office, Pickens County Sheriff's Office, and Jasper Police Department investigated this case.
Special Assistant U.S. Attorney Laura D. Pfister prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Peruvian national charged with assaulting and injuring deportation officers aboard Delta airlines flightRead the Press Release
ATLANTA – Jhovany Arias-Herrera has been arraigned on the federal charge of forcibly assaulting Homeland Security Investigation, Enforcement and Removal Operations, officers.
“Herrera, who is an illegal alien, allegedly assaulted and injured federal officers, and disrupted an airlines flight just prior to departure,” said U.S. Attorney Byung J. “BJay” Pak. “This defendant’s conduct caused physical injuries to federal law enforcement officers performing their duties and created havoc and panic for passengers aboard an airline. Our office has zero tolerance for individuals assaulting our law enforcement partners.”
“Every day the brave men and women of ERO face danger while carrying out their duties. I commend the quick reaction of those officers to prevent the situation onboard the aircraft from escalating further,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “An assault on any member of law enforcement is an assault on all of us and HSI will vigorously seek criminal prosecution on those who do in a court of law.”
According to U.S. Attorney Pak, the charges, and evidence presented at trial: On November 13, 2019, Herrera allegedly assaulted and resisted federal officers who were deporting him from the United States to Lima, Peru, his home country of origin. At the time of the incident, four HSI Enforcement and Removal Operations officers were transporting Herrera on Delta Airline flights from San Diego, California, through Atlanta with Peru as the final destination.
After arriving at Hartsfield-Jackson International Airport in Atlanta, the deportation officers escorted Herrera to the boarding area for the Atlanta flight. After boarding the flight, but before engaging his seatbelt, Herrera suddenly began screaming and demanding to use the bathroom. At the time, airline officials had already ordered passengers to fasten their seatbelts and closed and secured the door of the airplane. All the deportation officers present attempted to calm Herrera, including by allowing him access to the bathroom.
As an officer escorted Herrera to the bathroom, Herrera then punched the airplane wall frightening nearby passengers. Flight attendants responded and tried to calm the passengers as Herrera entered the bathroom. While Herrera was in the bathroom, another officer coordinated with a flight attendant to change Herrera’s seat assignment.
Herrera began yelling again after he left the bathroom and discovered his seat reassignment. The officers then decided to remove Herrera from the airplane. At the time, Herrera was seated in a middle seat, still screaming, and with clenched fists. As two of the officers tried to remove him, Herrera tore off his sweater and threw it at passengers seated in front of him. Two other officers immediately grabbed Herrera’s arms and attempted to escort him off the airplane. Herrera pulled away from the officers, began punching toward the officers’ face and chest areas, and tried to kick the officers’ legs and lower body.
During the struggle Herrera kicked an officer, striking him in the knee, causing bruising to that officer. Herrera repeatedly struck another officer as well. Eventually, the officers removed Herrera from the flight where Atlanta Police officers assisted in detaining him.
Jhovany Arias-Herrera, 27, of Lima, Peru, was arraigned Wednesday November 20, 2019. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the Government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
Homeland Security Investigations is investigating this case, with assistance from the Atlanta Police Department.
Assistant U.S. Attorneys Richard S. Moultrie, Jr., Chief of the office’s Violent Crime and National Security Section, and Radka Nations are handling the prosecution.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
CEO of Nigerian airline indicted for bank fraud and money launderingRead the Press Release
ATLANTA – Allen Ifechukwu Athan Onyema, the Chairman, CEO, and founder of Air Peace, a Nigerian airline, has been charged with bank fraud and money laundering for moving more than $20 million from Nigeria through United States bank accounts in a scheme involving false documents based on the purchase of airplanes. The international airline’s Chief of Administration and Finance, Ejiroghene Eghagha, has also been charged with bank fraud and committing aggravated identity theft in connection with the scheme.
“Onyema allegedly leveraged his status as a prominent business leader and airline executive while using falsified documents to commit fraud,” said U.S. Attorney Byung J. “BJay” Pak. “We will diligently protect the integrity our banking system from being corrupted by criminals, even when they disguise themselves in a cloak of international business.”
Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division commented on the indictment, “Allen Onyema’s status as a wealthy businessman turned out to be a fraud. He corrupted the U.S. banking system, but his trail of deceit and trickery came to a skidding halt. DEA would like to thank the many law enforcement partners and the subsequent prosecution by the U.S. Attorney’s Office who aided in making this investigation a success.”
“This case is a prime example of why IRS-CI seeks to partner and leverage its expertise in an effort to thwart those seeking to exploit our nation’s financial system,” said Thomas J. Holloman, IRS-Criminal Investigation Special Agent in Charge of the Atlanta Field Office. “With the importance of our banking system to the movement of money around the world, those attempting to use intricate schemes to commit bank fraud through the use of falsified documents and other means should know that the odds are now heavily stacked against them as law enforcement is combining its talents to protect the sanctity and integrity of the nation’s financial system.”
“Onyema setup various innocent sounding multi-million dollar asset purchases which were nothing more than alleged fronts for his scam,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “I’m proud to be part of a team of law enforcement agencies that come together to identify and attack criminals that attempt to profit from the exploitation of our nation’s financial systems.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: Onyema, a Nigerian citizen and businessman, is the founder and Chairman of several organizations that purport to promote peace across Nigeria, including the Foundation for Ethnic Harmony, International Center for Non-Violence and Peace Development, and All-Time Peace Media Communications Limited.
Beginning in 2010, Onyema began travelling frequently to Atlanta, where he opened several personal and business bank accounts. Between 2010 and 2018, over $44.9 million was allegedly transferred into his Atlanta-based accounts from foreign sources.
Onyema is also the CEO and Chairman of Nigerian airline Air Peace, which he founded in 2013. In years following the founding of Air Peace, he traveled to the United States and purchased multiple airplanes for the airline. However, over $3 million of the funds used to purchase the aircraft allegedly came from bank accounts for Foundation for Ethnic Harmony, International Center for Non-Violence and Peace Development, All-Time Peace Media Communications Limited, and Every Child Limited.
Beginning in approximately May 2016, Onyema, together with Eghagha, allegedly used a series of export letters of credit to cause banks to transfer more than $20 million into Atlanta-based bank accounts controlled by Onyema. The letters of credit were purportedly to fund the purchase of five separate Boeing 737 passenger planes by Air Peace. The letters were supported by documents such as purchase agreements, bills of sale, and appraisals proving that Air Peace was purchasing the aircraft from Springfield Aviation Company LLC, a business registered in Georgia.
However, the supporting documents were fake — Springfield Aviation Company LLC, which is owned by Onyema and managed by a person with no connection to the aviation business, never owned the aircraft, and the company that allegedly drafted the appraisals did not exist. Eghagha allegedly participated in this scheme as well, directing the Springfield Aviation manager to sign and send false documents to banks and even using the manager’s identity to further the fraud. After Onyema received the money in the United States, he allegedly laundered over $16 million of the proceeds of the fraud by transferring it to other accounts.
Allen Ifechukwu Athan Onyema, 56, of Lagos, Nigeria, and Ejiroghene Eghagha, 37, of Lagos, Nigeria, were indicted on November 19, 2019, on one count of conspiracy to commit bank fraud, three counts of bank fraud, one count of conspiracy to commit credit application fraud, and three counts of credit application fraud. Additionally, Onyema was charged with 27 counts of money laundering, and Eghagha was charged with one count of aggravated identity theft.
Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The Drug Enforcement Administration, Internal Revenue Service Criminal Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Federal Aviation Administration, Department of Commerce, and Department of Treasury are investigating this case.
Assistant U.S. Attorneys Garrett L. Bradford, Deputy Chief of the Narcotics and Dangerous Drugs Section and Lead Strike Force Attorney, Irina K. Dutcher, and Christopher J. Huber, Deputy Chief of the Complex Frauds Section, are prosecuting the case, with assistance from the Department of Justice’s Money Laundering and Asset Recovery Section and Office of International Affairs.
This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against a continuum of priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through the long-term relationships that can be forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The specific mission of the Atlanta Strike Force is to disrupt and dismantle the most significant drug trafficking and money laundering organizations designated as Consolidated Priority Organization Targets or Regional Priority Organization Targets and their affiliates impacting the Atlanta metropolitan area and the Northern District of Georgia.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Federal inmate pleads guilty to using a cell phone from prison to post to videos to FacebookRead the Press Release
ATLANTA – Inmate Brian J. Wilson pleaded guilty to using a contraband cell phone to post photographs and videos onto Facebook from his cell in the U.S. Penitentiary-Atlanta (“USP Atlanta”).
“Inmates who use a contraband cell phone should ask themselves whether having a cell phone in prison is worth spending more time in prison,” said U.S. Attorney Byung J. “BJay” Pak. “The federal government is committed to limiting the explosion of contraband cell phones in federal prisons.”
“The boldness of this inmate to live stream for the world to see is an example of how widespread contraband cell phones are in our prisons,” said Special Agent in Charge of FBI Atlanta, Chris Hacker. “Many times they are used to further criminal activities and can create serious security concerns. That is why the FBI will continue to use every resource available to stop their proliferation.”
According to U.S. Attorney Pak, the charges, and other information presented in court – the USP Atlanta is a medium-security federal prison for male inmates operated by the Federal Bureau of Prisons. The Cell Phone Contraband Act of 2010 made it a crime for Federal inmates to possess or use cell phones while incarcerated.
On March 24, 2015, Wilson was sentenced to ten years of imprisonment after sustaining a conviction for possession of a stolen firearm. Since approximately May 3, 2018, Wilson has been an inmate at USP Atlanta.
As an inmate, Wilson possessed a cell phone in USP Atlanta. Between late-May and July 2019, Wilson used his cell phone to post images to and to live stream content onto the social media platform Facebook from his prison cell. In fact, Wilson posted a “selfie” photograph onto his Facebook account of himself holding a cell phone while in his prison cell. Ironically, in a live stream video, Wilson warned people that federal cases have significant prison sentences, lamenting that “federal law ain’t playing” because “the United States will lock you … up” if you are convicted of a federal crime.
Prior to his guilty plea, Wilson was scheduled to be released from custody on November 28, 2022. Under federal law, however, inmates convicted of possessing contraband in prison must receive consecutive (or additional) prison time after their original sentence is completed.
On April 29, 2019, Brian J. Wilson, 32, of Atlanta, was charged via criminal information with possessing a contraband cell phone in prison.
The FBI and the Bureau of Prisons are investigating this case.
Assistant U.S. Attorneys Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, and Carolyn Cain Burch are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Three gunmen involved in takeover-style Woodbury bank robbery sentenced to federal prisonRead the Press Release
NEWNAN, Ga. – The three gunmen who terrorized employees of the United Bank in Woodbury, Georgia in June of 2018 have each been sentenced to at least a decade in federal prison.
“These defendants chose to rob a bank and in the process terrorized its employees,” said U.S. Attorney Byung J. “BJay” Pak. “Thanks to a quick law enforcement response they lost their getaway car and subsequently their freedom.”
“The sentencing of these three men illustrates the FBI’s commitment to working with its law enforcement partners to protect our citizens against such violent offenders,” said Special Agent in Charge of FBI Atlanta, Chris Hacker. “Hopefully this sentencing sends a message to those contemplating bank robbery that they will be aggressively investigated and prosecuted to the full extent of the law.”
“This case is a great example of teamwork. I’m thankful for the assistance of everyone involved, especially our law enforcement partners. We at the Woodbury Police Department are committed to providing a safe community for all who live in or visit. Knowing we have law enforcement partners willing to respond and support us during times like this is comforting. As we work together, we provide a safer community for everyone,” said Woodbury Police Chief Smart Web.
According to U.S. Attorney Pak, the charges and other information presented in court: Shortly after noon on June 28, 2018, a vehicle allegedly driven by Dontavious Prather (whose charges remain pending), pulled up to the United Bank in Woodbury, Georgia and dropped off three masked gunmen: Antavious Bray, Derrick Scott, and D’Asis Sheffield. Bray, armed with a semi-automatic rifle, ordered two bank employees to lie face down on the floor while he stood over them with the rifle pointed at them. Meanwhile, Scott and Sheffield, armed with handguns, threatened the teller, forced their way into the bank vault, and filled their backpacks with cash. The three gunmen then fled from the bank through a back door.
As they left the bank, Bray, Scott, and Sheffield discovered that their getaway driver had quickly left the scene without them because of the quick response of the Woodbury Police Department. At that point, the three gunmen fled on foot into a nearby wooded area. Within hours, FBI agents had captured Bray and Scott, who had broken into a nearby home to use as a hiding place.
Sheffield remained unidentified and at large until local news stations played a video clip of him walking through the backyard of a residence near the bank shortly after the robbery. Several tipsters identified Sheffield, and the FBI arrested him shortly thereafter. DNA evidence also confirmed that Sheffield was the third gunman.
Bray, Scott, and Sheffield each pled guilty to conspiracy to commit Hobbs Act robbery and brandishing a firearm during a crime of violence.
- Antavious Bray, 31, of Greenville, Georgia, was sentenced to 12 years, 10 months in prison, and five years of supervised release.
- Derrick Scott, 27, of Manchester, Georgia, was sentenced to 12 years, 10 months in prison, and five years of supervised release.
- D'Asis Sheffield, 21, of Greenville, Georgia, was sentenced to 10 years in prison, and five years of supervised release. All three men were also ordered to pay full restitution to the victims.
Dontavious Prather, 23, of Greenville, Georgia, pled not guilty to a Second Superseding Indictment on December 21, 2018, and his case remains pending in federal court. Members of the public are reminded that the indictment against Prather only contains charges. The defendant is presumed innocent of the charges, and it will be the government’s burden to prove the defendant's guilt beyond a reasonable doubt at trial.
The Federal Bureau of Investigation investigated this case.
Assistant U.S. Attorneys Bret R. Hobson and Miguel R. Acosta prosecuted the case.
This case was bought as a part of the Project Safe Neighborhoods (PSN). In keeping with the Attorney Generals mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta drug trafficker sentenced for heroin distributionRead the Press Release
ATLANTA – Ramone Shirley has been sentenced for possession with the intent to distribute heroin. Shirley is a prior convicted felon who had nearly 200 grams of heroin and two firearms in his possession when officers arrested him in 2018.
“Repeat offenders like Shirley pose a serious threat to public safety,” said U.S. Attorney Byung J. “BJay” Pak. “Their continual return to criminal activity represents a lack of fear of consequences for their actions. Citizens deserve safety and a drug-free community. Through our commitment to Operation SCOPE, we will continue prosecuting and removing repeat offenders from our streets.”
“This is a perfect example of cooperative drug law enforcement. The Atlanta-Carolinas HIDTA is committed to working with our Federal, State, Local and Tribal partners to rid our communities of this poison,” said HIDTA Executive Director Dan R. Salter.
“The successful results of this investigation should let career criminals like Mr. Shirley know that those who flood our streets with dangerous drugs like heroin, will ultimately be brought to justice by DEA, its law enforcement partners and the United States Attorney’s Office,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division.
“We are pleased that our combined efforts have led to the conviction of this repeat offender and he will no longer be distributing his poison on the streets of Atlanta,” said Homeland Security Investigations (HSI) Acting Special Agent in Charge Robert J. Hammer. “HSI is proud of its strong partnership with DEA Atlanta and will continue to partner with them to maximize our capabilities in dismantling these criminal networks.”
According to U.S. Attorney Pak, the charges and other information presented in court: In June 2016, Shirley distributed three kilograms of cocaine to another drug dealer inside his shop in Atlanta, Georgia. The cocaine was seized by Georgia State Patrol during a traffic stop, and DEA and Homeland Security Investigations agents eventually identified Shirley as the cocaine source.
After further investigation, agents arrested Shirley at his home on charges of distributing the cocaine seized in the 2016 traffic stop. During the arrest, they found a kilo-press, money counter, nearly 200 grams of heroin, and two loaded firearms, including one with an extended magazine. Agents also found parts of a kilo-press at Shirley’s shop, and his phone had videos of him waving vacuum-sealed bundles of cash. As a result of his conviction, Shirley forfeited his boat, a truck, two Harley Davidson motorcycles, and cash.
Ramone Shirley, a/k/a “Big Play Ray,” 44, of Atlanta, Georgia, was sentenced by U.S. District Judge Mark H. Cohen to seven years in prison to be followed by four years of supervised release. Shirley was convicted on these charges on April 9, 2019, after he pleaded guilty.
This case is presented as a part of Operation SCOPE (Strategically Combatting Opioids through Prosecution and Enforcement), which is an initiative launched by the U.S. Attorney’s Office to partner with federal and local law enforcement to fight the devastating effects that illegally-prescribed painkillers, heroin, and synthetic opioids, such as fentanyl have on our neighborhoods.
The Drug Enforcement Administration, the Atlanta-Carolina High Intensity Drug Trafficking Area Program, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations investigated this case.
Assistant U.S. Attorney Nicholas Hartigan prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia man sentenced for traveling to Atlanta to have sex with an eleven-year-old childRead the Press Release
ATLANTA - Devin Herman has been sentenced for attempting to have sex with someone he believed was an 11-year-old girl he met on the internet.
“Unmonitored internet and online chatting make it easy for potential predators to meet and sexually exploit children,” said U.S. Attorney Byung J. “BJay” Pak. “We will not tolerate this conduct. Our mission is to protect citizens, especially the most vulnerable members of our community.”
“The facts of this case are shocking but unfortunately all too common,” said Special Agent in Charge of FBI Atlanta, Chris Hacker. “This sentencing sends a message to Herman and any other predators that the FBI will go to any length, within the constraints of the U.S. Constitution, to bring you to justice.”
According to U.S. Attorney Pak, the charges and other information presented in court: In February 2019, an FBI agent acting in an undercover capacity posted an ad online pretending to be a mother in metro-Atlanta. On February 19, 2019, Devin Herman responded to the ad by sending the agent a message. Over the next three days, Herman and the undercover agent exchanged multiple messages that led to Herman arranging to meet in person to have sex with the 11-year-old daughter.
In the chats, the undercover agent told Herman that she was looking for someone to “teach” the 11-year-old girl. Herman told the mother that “it sounds like it’d be a fun time.” Herman then explained what he would do to the purported child. During the chats, there were also times where Herman believed he was chatting directly with the 11-year-old girl, and he asked the child what she liked and what she wanted him to teach her.
When Herman showed up at the planned meeting location in Alpharetta, Georgia on February 22, 2019, he was instead met by FBI agents and taken into custody. Upon his arrest, Herman was found to be in possession a cell phone, and two condoms.
Devin Herman, 22, of Roswell, Georgia, was sentenced by U.S. District Judge Amy M. Totenberg to ten years in prison to be followed by five years of supervised release. Herman had been convicted on August 21, 2019, after he pleaded guilty to one count of attempted coercion and enticement of a minor.
The Federal Bureau of Investigation investigated this case.
Assistant U.S. Attorney Alex R. Sistla prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Federal prisoner pleads guilty to conspiring to obtain methamphetamine in prisonRead the Press Release
ATLANTA - William Prater, who conspired with his fiancé, Genia Letson to obtain methamphetamine at the U.S. Penitentiary-Atlanta (“USP”), pleaded guilty to a charge of conspiracy to possess with the intent to distribute more than five grams of methamphetamine. Prater coordinated with his fiancé using a contraband cellphone and arranged for her to bring him methamphetamine at USP-Atlanta.
“Prater’s audacious attempt to obtain drugs in a federal prison demonstrates his continued lack of respect for the law,” said U.S. Attorney Byung J. “BJay” Pak. “Additionally, his use of a contraband cell phone as part of his crime once again highlights the danger these devices present in a prison environment.”
“Instead of using his time in prison to rehabilitate, Prater chose to continue similar criminal acts that led to his incarceration,” said Special Agent in Charge of FBI Atlanta, Chris Hacker. “His bold defiance of the law put prisoners and prison staff in danger and he will now be held accountable for his actions.”
According to U.S. Attorney Pak, the charges and other information presented in court: Prater was incarcerated at USP-Atlanta for violating the terms of his supervised release following his 2010 conviction for manufacturing methamphetamine. While an inmate at USP-Atlanta, Prater used a contraband cellular telephone to obtain methamphetamine. He recruited his fiancée, Genia Letson, to serve as a courier, and she agreed to travel to Atlanta to obtain the drugs. On November 4, 2018, Letson met with Prater in the visitation room in USP-Atlanta and passed him the methamphetamine she had smuggled inside the prison. Guards witnessed Letson hand Prater the methamphetamine, intervened, and seized the drugs.
Sentencing for William Prater, 35, of Cleveland, Tennessee, has not yet been scheduled. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders. Genia Letson, 47, also of Cleveland, Tennessee, pleaded guilty to conspiracy to possess with the intent to distribute more than five grams of methamphetamine on July 29, 2019.
The Federal Bureau of Investigation is investigating this case.
Assistant U.S. Attorney Calvin A. Leipold, III is prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Armed career criminal sentenced to 15 years in federal prisonRead the Press Release
ATLANTA – William Gerard Brown, a five-time convicted felon, has been sentenced for possession of a firearm by a convicted felon.
“Repeat offenders in possession of firearms pose grave risks to our community,” said U.S. Attorney Byung J. “BJay” Pak. “Brown has repeatedly ignored the law and will now have to face the consequences of his actions.”
“ATF considers the Atlanta Police Department a critical partner in its long-term mission of removing criminals from our communities,” said ATF Assistant Special Agent in Charge (ASAC) Beau Kolodka.
According to U.S. Attorney Pak, the charges and the record developed at trial: On April 28, 2017, Brown, a five-time convicted felon, was standing near a fence at a public park holding what appeared to be a marijuana joint in his hand. Atlanta Police Officers approached Brown and attempted to speak with him. In the middle of their conversation, Brown abruptly fled on foot through the park, passing several people, including children, in an attempt to run away from police.
As Brown ran into the wood line near the park, he pulled a firearm from his waistband and threw it. Moments later, the officers apprehended Brown. At that time he was in possession of approximately 25 grams of marijuana. Officers subsequently canvassed Brown’s flightpath and located the handgun Brown pulled from his waistband and threw on the ground during the foot chase.
U.S. District Judge Eleanor L. Ross sentenced William Gerard Brown, 36, of Atlanta, Georgia, to 15 years in federal prison, and five years of supervised release. On March 29, 2019, Brown was found guilty by a jury of possession of a firearm by a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Atlanta Police Department investigated this case, with assistance from the U.S. Postal Inspection Service.
Assistant U.S. Attorneys Jessica Morris and Noah Schechtman prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former securities enforcement attorney and general counsel pleads guilty to investment fraudRead the Press Release
ATLANTA – Marc Celello, a former state securities enforcement attorney and General Counsel for a Georgia investment company, has pleaded guilty to conspiring to defraud investors out of over $40 million.
“Marc Celello used his skills as an attorney to help his employer cheat investors out of millions of dollars,” said U.S. Attorney Byung J. “BJay” Pak. “We will continue to work with our law enforcement partners to identify fraudsters who seek to cheat investors out of their hard-earned money.”
“As an attorney Celello should have known the company he worked for was allegedly breaking the law, instead of participating in a scheme that defrauded investors out of their hard earned money,” said Special Agent in Charge of FBI Atlanta, Chris Hacker. “In its dedication to protecting our citizens, the FBI will pursue anyone motivated by personal greed instead of protecting investors.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Celello was the Vice President and General Counsel of a Georgia company named Credit Nation. Credit Nation purchased life insurance policies and subprime automobile loans and offered investors the opportunity to purchase promissory notes for those policies and loans. Celello at times approved of marketing materials stating that the company’s promissory notes offered a 9% rate of return and were “backed by hard asset dollar for dollar.” However, Celello knew that the company was operating at a significant financial loss and that funds were being diverted for undisclosed purposes.
In November 2015, the U.S. Securities and Exchange Commission (“SEC”) filed a federal civil complaint alleging that Credit Nation investors had been defrauded out of millions of dollars. In response to this SEC action, Celello, who had previously been employed as an enforcement attorney for the Georgia Secretary of State’s Securities and Business Regulation Division, approved a letter that went out to investors that provided misleading information about a forensic accountant’s audit of the company.
Credit Nation’s CEO, James Torchia, was previously indicted by a federal grand jury on related fraud and conspiracy charges. Torchia pled not guilty on October 8, 2019, and his case remains pending in federal court. Members of the public are reminded that the indictment against Torchia only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
The Federal Bureau of Investigation is investigating this case. The Atlanta Division Office of the U.S. Securities and Exchange Commission previously brought a civil action against Torchia and Credit Nation in the Northern District of Georgia.
Assistant U.S. Attorneys Thomas J. Krepp and Leanne M. Marek are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Attorney General announces launch of Project Guardian – a nationwide strategic plan to reduce gun violenceRead the Press Release
ATLANTA – Attorney General William P. Barr announced the launch of Project Guardian, a new initiative designed to reduce gun violence and enforce federal firearms laws across the country. Specifically, Project Guardian focuses on investigating, prosecuting, and preventing gun crimes.
“Gun crime remains a pervasive problem in too many communities across America. Today, the Department of Justice is redoubling its commitment to tackling this issue through the launch of Project Guardian,” said Attorney General William P. Barr. “Building on the success of past programs like Triggerlock, Project Guardian will strengthen our efforts to reduce gun violence by allowing the federal government and our state and local partners to better target offenders who use guns in crimes and those who try to buy guns illegally.”
“Those who seek to illegally acquire firearms for use in criminal activity employ various methods of deception to get them,” said U.S. Attorney Byung J. (“BJay”) Pak. “Project Guardian will address this by emphasizing close federal, state, and local law-enforcement collaboration with a focus on those who represent the greatest threat of violence to our communities. Additionally, the state law enforcement fusion center will receive a report on individuals denied purchases through NICS, and the reason for the denial, so that appropriate steps under state and local laws can be taken.”
“ATF has a long history of strong partnerships in the law enforcement community,” said Acting Director Regina Lombardo. “Make no mistake, the women and men of ATF remain steadfast to our core mission of getting crime guns off of our streets. ATF and U.S. Attorneys nationwide will leverage these partnerships even further through enhanced community outreach initiatives and coordination with local, state, and tribal law enforcement and prosecutors to cut the pipeline of crime guns from those violent individuals who seek to terrorize our communities. Project Guardian will enhance ATF’s Crime Gun Intelligence, to include identifying, investigating and prosecuting those involved in the straw purchases of firearms, lying on federal firearms transaction forms, and those subject to the mental health prohibition of possessing firearms.”
Reducing gun violence and enforcing federal firearms laws have always been among the Department’s highest priorities. In order to develop a new and robust effort to promote and ensure public safety, the Department reviewed and adapted some of the successes of past strategies to curb gun violence. Project Guardian draws on the Department’s earlier achievements, such as the “Triggerlock” program, and it serves as a complementary effort to the success of Project Safe Neighborhoods (PSN). In addition, the initiative emphasizes the importance of using all modern technologies available to law enforcement to promote gun crime intelligence.
Project Guardian’s implementation is based on five principles:
- Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
- Enforcing the Background Check System. U.S. Attorneys, in consultation with the Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in their district, will create new, or review existing, guidelines for intake and prosecution of federal cases involving false statements (including lie-and-try, lie-and-buy, and straw purchasers) made during the acquisition or attempted acquisition of firearms from Federal Firearms Licensees. -Particular emphasis is placed on individuals convicted of violent felonies or misdemeanor crimes of domestic violence, individuals subject to protective orders, and individuals who are fugitives where the underlying offense is a felony or misdemeanor crime of domestic violence; individuals suspected of involvement in criminal organizations or of providing firearms to criminal organizations; and individuals involved in repeat denials.
- Improved Information Sharing. On a regular basis, and as often as practicable given current technical limitations, ATF will provide to state law enforcement fusion centers a report listing individuals for whom the National Instant Criminal Background Check System (NICS) has issued denials, including the basis for the denial, so that state and local law enforcement can take appropriate steps under their laws.
- Coordinated Response to Mental Health Denials. Each U.S. Attorney will ensure that whenever there is federal case information regarding individuals who are prohibited from possessing a firearm under the mental health prohibition, such information continues to be entered timely and accurately into the United States Attorneys’ Offices’ case-management system for prompt submission to NICS. ATF should engage in additional outreach to state and local law enforcement on how to use this denial information to better assure public safety. -Additionally, U.S. Attorneys will consult with relevant district stakeholders to assess feasibility of adopting disruption of early engagement programs to address mental-health-prohibited individuals who attempt to acquire a firearm. U.S. Attorneys should consider, when appropriate, recommending court-ordered mental health treatment for any sentences issued to individuals prohibited based on mental health.
- Crime Gun Intelligence Coordination. Federal, state, local, and tribal prosecutors and law enforcement will work together to ensure effective use of the ATF’s Crime Gun Intelligence Centers (CGICs), and all related resources, to maximize the use of modern intelligence tools and technology. These tools can greatly enhance the speed and effectiveness in identifying trigger-pullers and finding their guns, but the success depends in large part on state, local, and tribal law enforcement partners sharing ballistic evidence and firearm recovery data with the ATF.
Federal law enforcement represents only about 15% of all law enforcement resources nationwide. Therefore, partnerships with state, local, and tribal law enforcement and the communities they serve are critical to addressing gun crime. The Department recognizes that sharing information with our state, local, and tribal law enforcement partners at every level will enhance public safety, and provide a greater depth of resources available to address gun crime on a national level.
For more information on Project Guardian, see the Attorney General’s memorandum at: https://www.justice.gov/ag/project-guardian-memo-2019/download.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Atlanta Regional Commission employee charged with bribery and extortionRead the Press Release
ATLANTA - Marc Hannon-White, a former Atlanta Regional Commission employee, has been arraigned on charges of bribery and extortion.
“Hannon-White abused his position at the Atlanta Regional Commission to enrich himself,” said U.S. Attorney Byung J. “BJay” Pak. “He allegedly extorted and took bribes from training providers that received federal funds through the Commission.”
“An important mission of the U.S. Department of Labor, Office of Inspector General is to investigate allegations of fraud relating to Workforce Innovation and Opportunity Act grants issued by the U.S. Department of Labor. We will continue to work with our law enforcement partners to investigate these types of allegations,” said Rafiq Ahmad, Special Agent-in-Charge, Atlanta Region, U.S. Department of Labor, Office of Inspector General.
“Hannon-White instilled fear in Georgia providers trying to compete in the global economy to line his own pockets with thousands of dollars of federal funds administered by the state of Georgia. Our partnership with the US Department of Labor OIG and other agencies and law enforcement partners is essential for continued public trust. We are committed to weeding out individuals who misuse their positions for their own greed at the expense of Georgia taxpayers,” said Inspector General Deb Wallace of the State of Georgia Office of Inspector General.
According to U.S. Attorney Pak, the charges, and other information presented in court: the Workforce Innovation and Opportunity Act (WIOA) and the Workforce Investment Act (WIA) are federal public laws designed to help job seekers access employment, education, training, and support services to succeed in the labor market and to match employers with the skilled workers they need to compete in the global economy.
The Atlanta Regional Commission (ARC) administers WIOA and WIA funds by serving as the administrative agency for the Atlanta Regional Workforce Development Board for Cherokee, Clayton, Douglas, Fayette, Gwinnett, Henry, and Rockdale counties. In this role, ARC oversees federally funded workforce development programs for those seven counties.
Between February 2014 and January 2015, Hannon-White worked for the division of ARC that administered, managed, and staffed those federally funded workforce development programs. During this time, Hannon-White used his position to solicit and accept payments from training providers that received federal funds for each qualified student they trained. As detailed in the indictment, Hannon-White allegedly arranged some of the bribe payments by text, sending his bank account number to one training provider who then caused money to be deposited into Hannon-White’s account in exchange for receiving additional students.
Marc Hannon-White, 52, of Atlanta, Georgia, was arraigned before Christopher C. Bly, United States Magistrate Judge, on federal charges of extortion and soliciting and accepting bribes. A federal grand jury indicted Hannon-White on November 5, 2019, on one count of conspiracy to commit bribery, one count of conspiracy to commit Hobbs Act extortion, and two counts of Hobbs Act extortion.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The U.S. Department of Labor Office of Inspector General is investigating this case with the help of the State of Georgia Office of Inspector General.
Assistant U.S. Attorney Bret R. Hobson is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
U.S. Attorney's Office reaches settlement agreement with Lanier Technical College to resolve ADA lawsuit alleging discriminatory terminationRead the Press Release
GAINESVILLE, Ga. – The U.S. Attorney’s Office today announced that it reached an agreement with Lanier Technical College, a unit of the Technical College System of Georgia, to resolve the Department’s lawsuit alleging disability discrimination in violation of the Americans with Disabilities Act (ADA). The agreement resolves the Department’s complaint alleging that the college terminated an employee on the basis of her disability, multiple sclerosis, after years of service to the college. The complaint further alleges that, after the employee took three days of sick leave one summer, the college removed her from the teaching schedule for an entire school semester, thus reducing her hours and pay to zero, due to her multiple sclerosis.
“Nearly thirty years after the passage of the Americans with Disabilities Act, cases like these demonstrate that there is still work to be done to ensure that the hard working people in our district do not face disability discrimination at work or otherwise,” said U.S. Attorney Byung J. “BJay” Pak. “It is of paramount importance that state institutions like Lanier Tech set the example in rooting out discriminatory policies and practices.”
“Individuals should not face unlawful barriers to employment because they have a chronic illness or other disability,” said Assistant Attorney General Eric Dreiband. “This agreement is another step towards eliminating discriminatory employment barriers for people with disabilities. We applaud Lanier Technical College for committing to change its policies and practices, and compensating its former employee who was unlawfully terminated from her job.”
Under the agreement, Lanier Technical College will revise its policies to ensure compliance with the ADA, implement new policies to ensure it does not discriminate on the basis of disability in its scheduling practices, train staff on the ADA, and file periodic reports with the Department on implementation of the agreement. The college will pay $53,000 in back pay and compensatory damages to its former employee. This matter was based on a referral from the Equal Employment Opportunity Commission’s Atlanta District Office, which completed the initial investigation of the facts.
Assistant U.S. Attorney Tiffany Johnson handled this case for the Northern District of Georgia jointly with the Civil Rights Division of the Department of Justice.
To read the settlement agreement, please click here https://www.ada.gov/lanier_sa.html, and to read the complaint please click here https://www.ada.gov/lanier_complaint.html. For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the Department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Justice Department Settles with College to Resolve Disability Discrimination ComplaintRead the Press Release
The Justice Department today announced that it reached an agreement with Lanier Technical College, a unit of the Technical College System of Georgia, to resolve the Department’s lawsuit alleging disability discrimination in violation of the Americans with Disabilities Act (ADA). The agreement resolves the Department’s complaint alleging that the college terminated an employee, who has multiple sclerosis, on the basis of her disability after years of service to the college. The complaint further alleges that, after the employee took three days of sick leave one summer, the college removed her from the teaching schedule for an entire school semester, thus reducing her hours and pay to zero, due to her multiple sclerosis.
Under the agreement, Lanier Technical College will revise its policies to ensure compliance with the ADA, implement new policies to ensure it does not discriminate on the basis of disability in its scheduling practices, train staff on the ADA, and file periodic reports with the Department on implementation of the agreement. The college will pay $53,000 in back pay and compensatory damages to its former employee. This matter was based on a referral from the Equal Employment Opportunity Commission’s Atlanta District Office, which completed the initial investigation of the facts.
“Individuals should not face unlawful barriers to employment because they have a chronic illness or other disability,” said Assistant Attorney General Eric Dreiband. “This agreement is another step towards eliminating discriminatory employment barriers for people with disabilities. We applaud Lanier Technical College for committing to change its policies and practices, and compensating its former employee who was unlawfully terminated from her job.”
“Nearly 30 years after the passage of the Americans with Disabilities Act, cases like this demonstrate that there is still work to be done to ensure that the hard-working people in our district do not face disability discrimination at work or otherwise,” said U.S. Attorney Byung J. “BJay” Pak for the Northern District of Georgia. “It is of paramount importance that state institutions like Lanier Tech set the example in rooting out discriminatory policies and practices.”
To read the settlement agreement, please click here, and to read the complaint, please click here. For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the Department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov.
November 5th 2019 Election Day monitoring announcedRead the Press Release
ATLANTA – U.S. Attorney for the Northern District of Georgia Byung J. “BJay” Pak announces that Assistant U.S. Attorney (AUSA) Brent Gray has been appointed to serve as the District Election Officer (DEO) and, in that capacity, is responsible for overseeing the handling of complaints of election fraud and voting rights abuses in consultation with Justice Department Headquarters in Washington, D.C.
“Every citizen must be able to vote without interference or discrimination and to have their vote counted,” said U.S. Attorney Byung J. “BJay” Pak. “On Election Day, federal monitors will be located at polling places in Gwinnett County to monitor voting procedures. Free and fair elections depend, in large part, on the cooperation of the American electorate.”
The right to vote is the cornerstone of American democracy. We all must ensure that we protect the right to vote. In order to respond to complaints of election fraud or voting rights abuses on November 5, 2019, and to ensure that such complaints are directed to the appropriate authorities, he Gray will be on duty in this District while the polls are open. AUSA Gray can be reached by the public at the following telephone number (404) 581-6077. Members of the public also can call the Civil Rights Division’s Voting Section in Washington, DC by phone at 1-800-253-3931 or (202) 307-2767, by fax at (202) 307-3961, by email to [email protected] or by complaint form at http://www.justice.gov/crt/complaint/votintake/index.php.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.