District of Hawaii
Press releases recorded for this federal judicial district.
Youth Basketball Coach Arrested for Possession of Child PornographyRead the Press Release
HONOLULU – DWAYNE YUEN, a 49 year-old resident of Honolulu, was arrested today for possession of child pornography. Clare E. Connors, United States Attorney for the District of Hawaii, and Matthew Floyd, Acting Special Agent in Charge of the Honolulu Field Office of the Federal Bureau of Investigation (“FBI”), announced that the charge against YUEN was contained in a criminal complaint filed in federal court and unsealed upon his arrest. YUEN will make his first court appearance in the United States District Court on February 3, 2023, at 10:30 a.m. before United States Magistrate Judge Rom Trader.
The complaint and affidavit allege that YUEN was a youth basketball coach of mostly middle school and high school age girls in and around Oahu. In or around 2016, YUEN met the victim when she was a freshman in high school. YUEN was her basketball coach. While the victim was still a minor, in 2020, YUEN sent text message communications to her, including: sending sexually explicit photos of himself; asking her to perform sexual acts on him and vice versa; and asking her to send him sexually explicit images of herself. YUEN bought gifts for the victim and repeatedly offered to pay the victim additional sums of money if she would engage with him sexually (for example, if she would have “phone sex” with him). From a search warrant executed on YUEN’s Apple iCloud account, law enforcement also recovered sexually explicit images of the victim that she had sent to him upon his request or that he had recorded or captured from a live video chat without her knowledge.
“This complaint charges defendant with repeatedly taking sexual advantage of a minor who played on a team he coached,” said U.S. Attorney Connors. “The alleged conduct is a reprehensible violation of the trust both parents and the community place in adults responsible for their children’s athletic endeavors.”
"The alleged actions of Mr. Yuen are nothing short of disgraceful," said Acting Special Agent in Charge Floyd. "Our investigation shows he abused the power of his position as a trusted member of the community to exploit the most vulnerable - our keiki. Protecting our children and holding those who prey on them accountable is a top priority for the FBI. We will stop at nothing when investigating these heinous crimes."
The FBI is working to identify any individuals who may have been a victim of child sexual exploitation or who otherwise may have been affected by YUEN’s conduct. If you believe you or anyone else may have been affected, you may contact the FBI at:
Phone: (808) 673-2719
Website: www.fbi.gov/yueninvestigation
Email: [email protected]If indicted and convicted of the offenses in the complaint, the defendant would face up to 10 years’ imprisonment. The charges and information contained in the federal complaint are merely accusations, and the defendant is presumed innocent unless and until indicted and proven guilty beyond a reasonable doubt in a court of law.
The FBI is investigating the case, and the prosecution is being handled by Assistant U.S. Attorneys Rebecca Perlmutter and Christine Olson.
Former Prison Guard Arrested for Sexual Abuse of InmatesRead the Press Release
A former Bureau of Prisons (BOP) correctional officer was arrested today in Oahu, Hawaii, on criminal charges related to his alleged sexual abuse of female inmates.
“As alleged, the defendant’s conduct targeted vulnerable victims and undermined the dual mission of the Bureau of Prisons: to provide a safe, humane custodial environment while preparing individuals for a return to society,” said Deputy Attorney General Lisa O. Monaco. “The charges announced today reflect the Department’s commitment to root out sexual misconduct within the BOP and to hold accountable those who illegally exploit their authority.”
According to court documents, Mikael Rivera, 45, of Kapolei, Hawaii, was a correctional officer at the Federal Detention Center in Honolulu from approximately 2014 to 2018. While on duty as a correctional officer, Rivera allegedly committed multiple sexual acts with one inmate through the use of threats and engaged in sexually abusive conduct with two additional inmates under his supervision.
“As alleged, the defendant abused his position of power as a correctional officer and sexually abused multiple inmates under his supervision,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “This case demonstrates that the Criminal Division will not hesitate to hold accountable any officer who preys upon vulnerable victims and violates the public’s trust.”
“Government employees entrusted with the custody of inmates are responsible for the safety of both the community as well as those inmates,” said U.S. Attorney Clare E. Connors for the District of Hawaii. “This prosecution holds a prison guard accountable for flagrantly and repeatedly violating the law, and thereby failing to meet this responsibility.”
Rivera is charged with six counts of sexual abuse by threats and 11 counts of sexual abuse of a ward. If convicted, he faces a maximum of life in on each count of sexual abuse by threats and up to 15 years in prison on each count of sexual abuse of a ward.
“No inmate should ever experience abuse at the hands of Federal Bureau of Prisons employees,” said Inspector General Michael E. Horowitz of the Department of Justice Office of the Inspector General (DOJ-OIG). “The Department of Justice Office of the Inspector General is committed to aggressively investigating allegations of abuse, including sexual abuse, across the BOP.”
The DOJ-OIG is investigating the case with assistance from the FBI.
Senior Litigation Counsel Marco A. Palmieri and Deputy Chief Jennifer A. Clarke of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Sara D. Ayabe for the District of Hawaii are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Businesswoman Sentenced for Facilitating Unregistered Lobbying Campaign in Exchange for Approximately $3 MillionRead the Press Release
An American businesswoman with international ties was sentenced in the District of Hawaii yesterday to two years in prison for her role in facilitating an unregistered lobbying campaign of the Administration of the former President of the United States and the U.S. Department of Justice on behalf of foreign principals in exchange for millions of dollars.
According to court documents, Nickie Mali Lum Davis, 47, of Honolulu, Hawaii, admitted that between March 2017 and January 2018, she and her co-conspirators – Elliott Broidy, George Higginbotham, and Prakazrel “Pras” Michel – agreed to lobby the then-President of the United States, the Attorney General, and other high-level U.S. government officials to drop civil forfeiture proceedings and a criminal investigation into the embezzlement of billions of dollars from 1Malaysia Development Berhad (1MDB), a strategic investment and development company wholly owned by the Government of Malaysia.
For their efforts, Lum Davis and her co-conspirators were paid millions of dollars by Low Taek Jho, aka Jho Low, an alleged architect of the 1MDB scheme. Lum Davis and others also agreed to lobby the Administration and Justice Department on behalf of Low and a minister of the People’s Republic of China (PRC Minister A), to arrange for the removal and return of a dissident of the PRC living in the United States. Lum Davis and her co-conspirators concealed from the officials whom they lobbied that they were working on behalf of Low and PRC Minister A, and were being paid millions of dollars by Low with the expectation of tens of millions more in success fees. The lobbying campaigns were ultimately unsuccessful.
Among other actions, Lum Davis and her co-conspirators tried to arrange meetings for PRC Minister A with the Attorney General, the Secretary of Homeland Security, and other high-level officials during PRC Minister A’s visit to the United States in May 2017; provided talking points to the Secretary of State referencing the 1MDB investigation in advance of a meeting between the Secretary of State and the Malaysian Prime Minister in August 2017; and pushed the White House Chief of Staff for a meeting and golf game between the former President and the Malaysian Prime Minister to allow the Malaysian Prime Minister to raise resolution of the 1MDB investigation. Lum Davis was paid at least $3 million for her role in the scheme, which she agreed to forfeit as part of her plea agreement. Broidy was paid at least $9 million.
Broidy previously pleaded guilty for his role in the scheme on Oct. 20, 2020, in U.S. District Court for the District of Columbia. Broidy received a full presidential pardon on Jan. 19, 2021.
Higginbotham previously pleaded guilty for his role in the scheme on Nov. 30, 2018, in U.S. District Court for the District of Columbia. He will be sentenced at a later date.
Michel was charged by superseding indictment for his role in the scheme on June 10, 2021. His trial is set to begin on March 27 in U.S. District Court for the District of Columbia.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Clare E. Connors for the District of Hawaii, Special Agent in Charge Steven B. Merill of the FBI Honolulu Field Office, and Special Agent in Charge Keith Bonanno of the Department of Justice Office of the Inspector General (DOJ-OIG), Cyber Investigations Office made the announcement.
The DOJ-OIG and the FBI Honolulu and Los Angeles Field Offices investigated the case.
Principal Deputy Chief John D. Keller, Director of Enforcement and Litigation for Election Crimes Sean F. Mulryne, and Trial Attorney Nicole R. Lockhart of the Criminal Division’s Public Integrity Section (PIN), and Assistant U.S. Attorney Ken Sorenson for the District of Hawaii are prosecuting the case. Former PIN Trial Attorneys James C. Mann and Ryan Ellersick also provided significant assistance.
U.S. Attorney’s Office Collects $2,088,622.73 in Civil and Criminal Actions in Fiscal Year 2022Read the Press Release
HONOLULU – U.S. Attorney Clare E. Connors announced today that the United States Attorney’s Office for the District of Hawaii collected $2,088,622.73 in criminal and civil actions in Fiscal Year 2022. Of this amount, $1,534,259.15 was collected in criminal actions and $554,363.58 was collected in civil actions.
Additionally, the Hawaii U.S. Attorney’s Office worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $7,991,796.46 in civil cases pursued jointly by these offices.
“Recouping money owed to the United States, as well as obtaining financial recoveries from those who violate the law, are critical aspects of our system of justice,” said U.S. Attorney Clare E. Connors. “We will vigorously pursue economic sanctions and collections on behalf of our community.”
In August 2022, the District of Hawaii recovered $75,000 from the former Majority Leader of the State of Hawaii Senate, Jamie Kalani English, in partial payment of the $100,000 fine imposed for honest services wire fraud. Over $7.5 million of the amount recovered from cases jointly worked, resulted from a consent decree in an environmental action the United States brought for reimbursement of costs and compensation for natural resource damages associated with the release or threatened release of hazardous substances at the former Oahu Sugar pesticide-mixing area within the Pearl Harbor Superfund Site.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s office in Hawaii, working with partner agencies and divisions, collected $1,063,208 in asset forfeiture actions in FY 2021. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
Federal Inmate Receives Seven More Years in Prison for Assaulting Correctional OfficersRead the Press Release
HONOLULU – U.S. District Court Judge Leslie E. Kobayashi sentenced David Akui-Cabanilla, III, 37, yesterday to 84 months of imprisonment for assaulting two federal officers at the Federal Detention Center in Honolulu on March 23, 2020, while Akui-Cabanilla was detained prior to trial on a separate federal charge for possessing a firearm as a convicted felon. Judge Kobayashi ordered the 84-month sentence be served consecutive to a 34-month sentence she imposed on March 8, 2022, for Akui-Cabanilla’s firearm conviction.
Court documents detailed the nature of the assaults as the correctional officers were engaged in their official duties. In preparation for his attacks, the defendant fashioned two makeshift weapons. The first weapon was a long tube sock tied to the loop of a locked metal padlock. The second weapon was a shiv formed from a razor blade with a piece of bedsheet tied around one end, simulating a handle. Akui-Cabanilla beat Correctional Officer D.M. unconscious with the locked metal padlock. He took the officer’s Bureau of Prisons-issued keys and his pepper spray in an apparent escape attempt. When other correctional officers, including Officer D.C., confronted Akui-Cabanilla, he sprayed Officer D.C. and other officers in the face with pepper spray. He then punched Officer D.C. in the head knocking him down to the ground.
Multiple officers suffered injuries requiring medical attention and ongoing physical therapy treatment. As part of this sentence, Judge Kobayashi ordered Akui-Cabanilla to pay $24,508.92 in restitution for medical bills paid by the U.S. Department of Labor’s Office of Workers’ Compensation Programs.
“While we have recently prosecuted a few correctional officers for violating the civil rights of an inmate, other correctional officers are lawfully protecting our community from incarcerated inmates,” said U.S. Attorney Clare E. Connors. “This was nothing short of a vicious, premeditated attack on several of those correctional officers, and such conduct warrants the additional imprisonment imposed.”
"Violence against law enforcement officers is absolutely unacceptable," said FBI Special Agent in Charge Steven Merrill. "The FBI takes this brutality very seriously and is committed to aggressively investigating such heinous crime."
This conviction is the result of an FBI investigation. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Former Maui County Environmental Management Official Charged with Accepting BribesRead the Press Release
HONOLULU – United States Attorney Clare E. Connors and Federal Bureau of Investigation Special Agent in Charge Steven Merrill announced that an information has been unsealed today charging Wilfred Tamayo Savella, 71, of Maui County, Hawaii, with charges stemming from the operation of a long running bribery scheme. A court appearance for Savella is scheduled for December 5, 2022, at 11:00 a.m.
The information, unsealed today, alleges that a Honolulu based businessman, Milton Choy, bribed Savella while he was a public official with the Maui County Department of Environmental Management (“DEM”), and that between approximately 2013 through 2017, Savella accepted bribes from Choy for his role in “initiating, awarding and/or acting as DEM’s primary contact person for sole source contracts issued by Maui County to DEM.” The bribes were made with cash, bank deposits, at least one gambling trip to Las Vegas, casino chips, and/or other financial benefits, totaling over $40,000, in exchange for Savella’s agreement, in his official capacity as a County of Maui official at DEM, to assist in the awarding of lucrative sole source contracts and purchase orders to Choy’s company.
Choy pleaded guilty in September 2022, to bribing another Maui County official, Stewart Stant, who also pled guilty in September 2022. Both men are awaiting sentencing.
“Corruption by public officials degrades the integrity of our government institutions and tarnishes the important work done every day by honest public servants,” said United States Attorney Clare E. Connors. “Our office continues to investigate and prosecute corruption at all levels of Hawaii government.”
“Mr. Savella was in a position of public trust, and our investigation shows he violated that trust by accepting thousands of dollars in bribes,” said FBI Special Agent in Charge Steven Merrill. “These charges should send a very clear message that the FBI will vigorously pursue allegations of corruption at every level.”
If convicted, Savella faces a sentence of up to 10 years imprisonment, and a fine of up to $250,000. An information is merely an allegation, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The investigation in the case was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorneys Ken Sorenson and Micah Smith are prosecuting the case.
Hilo Man Receives 42 Months in Prison for Defrauding Covid-19 Relief ProgramsRead the Press Release
HONOLULU – Carey Mills, 47, of Hilo, Hawaii, was sentenced on November 22, 2022 in federal court by Chief U.S. District Judge Derrick K. Watson to 42 months in federal prison for wire fraud in connection with a scheme to defraud the federal government of program funds intended for COVID-19-related relief. Mills pleaded guilty to a single-count information on May 17, 2022. In addition to a term of imprisonment, the Court also imposed a five-year term of supervised release and ordered Mills to pay restitution to the Small Business Administration in the amount of $937,575.
The Paycheck Protection Program (PPP) is a federal loan program intended to help small businesses survive the COVID-19 pandemic by providing them with funds to cover certain payroll costs, including benefits, interest on mortgages, rent and utilities. The Economic Injury Disaster Loan (EIDL) is a separate federal program providing low-interest loans and grants to small businesses that experience substantial financial disruptions due to federally-declared disasters, including the COVID-19 pandemic.
According to court documents and information presented in court, from May to August 2020, Mills submitted multiple applications for PPP and EIDL funds on behalf of three businesses under his control, Kanaka Maoli Hookupu Center, New Way Horizon Travel, and Uilani Kawailehua Foundation, each time utilizing interstate wires. To support the applications, Mills submitted fraudulent payroll documents and IRS forms, which included false employee and wage payment records. As a result of these applications, Mills received $937,575 in the form of three forgivable PPP loans and one EIDL grant to which he was not entitled.
At the sentencing hearing, the prosecution highlighted the fact Mills used the federal relief money to fund personal expenses, including the purchase of eight vehicles and two residential properties. When Chief Judge Watson imposed the sentence, he stated: “Stealing one million dollars of federal funds is no joke.”
“Carey Mills stole federal funds that provided a lifeline to our small businesses struggling as a result of the COVID-19 pandemic,” said U.S. Attorney Clare E. Connors. “While this is the first COVID-19 program fraud sentencing in the District of Hawaii, the Department is committed to investigating and prosecuting those who, like Mills, harmed both small businesses in need of these PPP and EIDL funds as well as the taxpayers who supported these programs.”
“The Treasury Inspector General for Tax Administration aggressively pursues those who attempt to abuse the Coronavirus Aid, Relief, and Economic Security Act and its Paycheck Protection Program, which was created to assist legitimate business owners during the pandemic,” said J. Russell George, Treasury Inspector General for Tax Administration. “We appreciate the efforts of our law enforcement partners and the United States Attorney’s Office to ensure individuals engaged in criminal activity are held to account.”
The investigation was conducted by the U.S. Treasury Inspector General for Tax Administration, together with the Federal Deposit Insurance Corporation Office of the Inspector General, the Small Business Administration Office of the Inspector General, and Homeland Security Investigations. Assistant U.S. Attorneys Rebecca M. Perlmutter and Gregg Paris Yates handled the prosecution.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Two Maui Men Convicted of Hate Crimes for Racially Motivated Attack on White ManRead the Press Release
After a two-week jury trial, a federal jury in Honolulu, Hawaii, found defendants Kaulana Alo-Kaonohi, 32, and Levi Aki Jr., 33, guilty of a hate crime for their racially motivated attacks on C.K., a white man who was attempting to move into their Native Hawaiian neighborhood of Kahakuloa on Maui.
“This verdict brings justice and vindication to the victim, a man who was assaulted and nearly killed simply based on the color of his skin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The jury’s verdict – and in fact this whole prosecution – reflects the Department of Justice’s commitment to protecting every person in this country from race-based violence, regardless of the race of the perpetrator or the victim. The law applies equally to everyone.”
“The defendants in this case committed a gruesome attack on the victim because of his race,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners will work to bring to justice anyone who uses threats and violence to intimidate any individual because of racial bias.”
At trial, the evidence showed that C.K., purchased a house in Kahakuloa and decided to move there with his wife and three daughters after his wife was diagnosed with multiple sclerosis and forced to retire. When C.K. arrived in Kahakuloa, he was harassed and threatened by various Kahakuloa residents who told him things like, “This is a Hawaiian village. The only thing coming from the outside is the electricity,” and “You don’t even belong in Hawaii.”
On Feb. 13, 2014, when C.K. was unpacking his belongings with his elderly uncle, the defendants, who had never met C.K. before, stormed onto his property and demanded that he pack his things and leave, threatening to “tie [him] up and drag [him]” and make him “go missing” if he did not comply. When C.K. replied that he owned the house, defendant Alo-Kaonohi dragged his index finger along C.K.’s jaw and told him, “Your skin is the wrong f****** color.” Defendant Aki then picked up a roofing shovel and handed it to defendant Alo-Kaonohi, who struck C.K. in the head with it, opening up a bloody wound on the back of C.K.’s head. Later on, after C.K. had already begun packing up his possessions, the defendants attacked him a second time. During that attack, defendant Aki head butted C.K. and struck him in the face with the shovel a second time, giving C.K. a concussion and causing him to lose consciousness. When he came to, the defendants were kicking him in the side—kicks that broke two of his ribs. During the second attack, one of the defendants said, “no white man is ever going to live here.”
“The jury’s verdict confirms that the rule of law serves to protect all persons in our community from vicious assaults, no matter the color of their skin,” said United States Attorney Clare E. Connors for the District of Hawaii. “When people commit violent crimes against someone out of hatred for the victim’s race, the Department of Justice will ensure they face criminal consequences in a court of law.”
“The FBI is committed in protecting individuals from being harmed based on their race,” said FBI Special Agent in Charge Steven Merrill of the FBI Honolulu Field Office. “This case highlights our work to ensure everyone feels safe in their own community without any fear of retribution or violence regardless of their race. The FBI encourages the public to support law enforcement’s efforts to end hate crimes by contacting the FBI at tips.fbi.gov or by calling 1-800-CALL-FBI.”
Sentencing is set for March 2, 2023. The charge on which they were convicted carries a maximum sentence of ten years of imprisonment. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The FBI Honolulu Field Office conducted the investigation.
Assistant U.S. Attorney Chris Thomas for the District of Hawaii prosecuted the case in partnership with Special Litigation Counsel Christopher J. Perras and Trial Attorney Tara Allison of the Justice Department’s Civil Rights Division.
Former Union Officer and Employee Found Guilty of Conspiracy, Wire Fraud, and EmbezzlementRead the Press Release
HONOLULU – After a four-week jury trial before Senior United States District Judge Helen Gillmor, a federal jury today found husband and wife Defendants Brian Ahakuelo (age 61) and Marilyn Ahakuelo (age 59) each guilty of conspiracy, wire fraud, and embezzlement for crimes committed while they were employed by the International Brotherhood of Electrical Workers (“IBEW”) Local 1260. Brian Ahakuelo, who served as IBEW’s Business Manager and Financial Secretary, was additionally convicted of money laundering. Judge Gillmor ordered Brian Ahakuelo detained in custody pending their sentencing, which is set for March 28, 2023. Marilyn Ahakuelo was permitted to remain released on bail. A third defendant, Jennifer Estencion, was found not guilty on all charges.
At trial, the evidence showed that Brian Ahakuelo hired family members at high salaries and authorized the use of union funds for personal purposes, including extravagant travel for himself and those loyal to him. In the case of one family member hired by Brian Ahakuelo, little legitimate work was performed. The evidence at trial also showed that Brian and Marilyn Ahakuelo used union funds to purchase personal trips to the mainland, and that Brian Ahakuelo engaged in self-dealing by using union funds to purchase a truck already owned by Marilyn Ahakuelo while allowing her to continue to use it. When his activities largely depleted the union’s coffers, Brian Ahakuelo, with the help of Marilyn Ahakuelo and other union employees, rigged a vote on a resolution to increase membership dues. The voter fraud caused members to pay an additional $3.7 million in dues over approximately eighteen months.
“The extensive testimony and voluminous documentary evidence produced during this trial supports the just and important verdict of guilt returned by the jury as to Brian and Marilyn Ahakuelo,” said United States Attorney Clare E. Connors. “The Department of Justice is committed to working with our law enforcement partners to ensure that our labor leaders carry out their fiduciary duty to members, and that when the evidence reveals otherwise, they face criminal consequences in a court of law.”
“A famous union organizer named Thomas Donahue once said that the only effective answer to organized greed is organized labor. Obviously, Mr. Donahue never met Mr. and Mrs. Ahakuelo,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS-CI), Seattle Field Office. “Unfortunately, organized greed can be found anywhere, but wherever people like the Ahakuelos choose to work their schemes, there IRS-CI will be also.”
“The vast majority of union officers and employees rigorously follow the law and serve their unions honorably. Brian Ahakuelo, along with his wife, Marilyn Ahakuelo, are the rare exceptions. Brian Ahakuelo betrayed the trust of the union membership who rightfully expected him, as a union official, to protect and safeguard their union’s funds and assets for the benefit of the union and not for his personal interests. The Office of Labor-Management Standards will always find those rare exceptions who choose to break the law and the faith of their union members and bring them to justice,” said Ed Oquendo, District Director, Los Angeles District Office, U.S. Department of Labor, Office of Labor-Management Standards.
“The Hawai‘i Department of the Attorney General is grateful to the team of investigators from our Department and at the federal level, as well as the U.S. Attorney’s prosecutors for their commitment and dedication in achieving a just verdict in this case,” Attorney General Holly T. Shikada said. “We will continue to work collaboratively to hold individuals who defraud those they are elected to represent accountable.”
Brian Ahakuelo and Marilyn Ahakuelo were convicted of one count of conspiracy, which carries a maximum sentence of five years and 42 counts of wire fraud, which each carry a maximum sentence of 20 years. Brian and Marilyn Ahakuelo also were convicted of embezzlement of a labor union asset (six counts and three counts, respectively), which each carry a maximum sentence of five years. Brian Ahakuelo alone was convicted of 19 counts of money laundering, which each carry a maximum sentence of ten years. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
This conviction is the result of an investigation conducted by the Internal Revenue Service-CI, Department of Labor – Office of Labor Management Standards, and State of Hawaii Attorney General’s Office. Assistant U.S. Attorneys Michael F. Albanese and W. KeAupuni Akina prosecuted the case.
Former Supervisory Correctional Officer Sentenced for Abusing a Hawaii Inmate and Leading a Conspiracy to Cover up the BeatingRead the Press Release
A former supervisory correctional officer at the Hawaii Community Correctional Center was sentenced to 144 months in federal prison for his role in the assault of an inmate and his leadership of a multi-year conspiracy to cover up the abuse.
“The defendant had a non-violent inmate in his custody and care, and he abused both the inmate and the Constitution by permitting lower-ranking officers to commit an unjustified assault,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “His subsequent decision to orchestrate a multi-year cover-up is an affront to the principles of honesty and integrity that our society expects from law enforcement. His sentence makes clear that no one is above the law, and that when officers violate the civil rights of people under their supervision – through violence or obstruction – they will be held accountable.”
According to court documents and evidence introduced at trial, on June 15, 2015, Jonathan Taum, 50, supervised his two co-defendants and a third correctional officer while they transported an inmate across the facility. The inmate became frightened in the course of the transfer, and Taum’s fellow officers took the non-violent inmate to the ground and repeatedly punched and kicked him in the face, head, and body. As the other officers beat the inmate, Taum verbally encouraged them to continue. The inmate’s jaw, orbital socket and nose were broken in the course of the assault. In the months and years that followed, Taum led the officers in a cover-up conspiracy that included writing false reports, submitting false statements to internal affairs and providing false testimony to disciplinary board members.
“Protecting the civil rights of everyone in the community, including inmates, is at the heart of our system of justice,” said U.S. Attorney Clare E. Connors for the District of Hawaii. “Supervisors in our correctional facilities are held to a higher standard of responsibility and as this case demonstrates, we will prosecute those who criminally violate the civil rights of those in their custody.”
“This case highlights how the FBI will vigorously investigate and hold accountable any individual who violates the civil rights of an inmate,” said Special Agent in Charge Steven Merrill of the FBI Honolulu Field Office. “We are committed in ensuring that every citizen—whether free or incarcerated—can exercise their protected liberties without fear of violence. This case should deter others in a position of power from such behavior in the future.”
Assistant Attorney General Clarke, U.S. Attorney Connors and Special Agent in Charge Merrill made the announcement.
The FBI Honolulu Field Office investigated the case.
Assistant U.S. Attorney Craig Nolan for the District of Hawaii, Special Litigation Counsel Chris Perras and Trial Attorney Thomas Johnson of the Civil Rights Division’s Criminal Section prosecuted the case.
Former Supervisory Correctional Officer Sentenced to 12 Years in Prison for Assault on InmateRead the Press Release
HONOLULU – United States District Judge Leslie E. Kobayashi sentenced a former supervisory correctional officer at the Hawaii Community Correctional Center, Jonathan Taum, age 50, on November 16, 2022, to three concurrent terms of imprisonment, the longest of which was 144 months, for his role in the assault of an inmate and his leadership of a multi-year conspiracy to cover up the abuse.
According to court documents and evidence introduced at trial, on June 15, 2015, Taum supervised his two co-Defendants and a third correctional officer while they transported an inmate across the facility. The inmate became frightened in the course of the transfer, and Taum’s fellow officers took the non-violent inmate to the ground and repeatedly punched and kicked him in the face, head, and body. As the other officers beat the inmate, Taum verbally encouraged them to continue. The inmate’s jaw, orbital socket, and nose were broken in the course of the assault. In the months and years that followed, Taum led the officers in a cover-up conspiracy that included writing false reports, submitting false statements to internal affairs, and providing false testimony to disciplinary board members.
“Protecting the civil rights of everyone in the community, including inmates, is at the heart of our system of justice,” said Clare E. Connors, United States Attorney for the District of Hawaii. “Supervisors in our correctional facilities are held to a higher standard of responsibility and as this case demonstrates, we will prosecute those who criminally violate the civil rights of those in their custody.”
“This case highlights how the FBI will vigorously investigate and hold accountable any individual who violates the civil rights of an inmate,” said FBI Special Agent in Charge Steven Merrill. “We are committed in ensuring that every citizen—whether free or incarcerated—can exercise their protected liberties without fear of violence. This case should deter others in a position of power from such behavior in the future.”
The Federal Bureau of Investigation conducted the investigation that resulted in the charges in this case. Assistant United States Attorney Craig Nolan of the U.S. Attorney’s Office, and Special Litigation Counsel Chris Perras and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division handled the prosecution.
Two Maui Men Found Guilty of Hate Crimes for Racially Motivated AttackRead the Press Release
HONOLULU – After a two-week jury trial before United States District Judge J. Michael Seabright, a federal jury today found Defendants Kaulana Alo-Kaonohi (age 32) and Levi Aki, Jr. (age 33) each guilty of a hate crime for their racially motivated attacks on C.K., a white man, when he attempted to move into the home he had purchased in their neighborhood of Kahakuloa on Maui. Judge Seabright ordered both defendants detained in custody pending their sentencing, which is set for March 2, 2023.
At trial, the evidence showed that C.K. purchased a house in Kahakuloa and decided to move there with his wife and three daughters after his wife was diagnosed with multiple sclerosis and forced to retire. When C.K. arrived in Kahakuloa, he was harassed and threatened by various Kahakuloa residents who told him things like, “This is a Hawaiian village. The only thing coming from the outside is the electricity,” and “You don’t even belong in Hawaii.” On February 13, 2014, when C.K. was unpacking his belongings with his elderly uncle, the defendants, who had never met C.K. before, stormed onto his property and demanded that he pack his things and leave, threatening to “tie [him] up and drag [him]” and make him “go missing” if he did not comply. When C.K. replied that he owned the house, Defendant Alo-Kaonohi dragged his index finger along C.K.’s jaw and told him, “You’ve got the wrong f****** color skin.” Defendant Aki then picked up a roofing shovel and handed it to Defendant Alo-Kaonohi, who struck C.K. in the head with it, causing a bloody wound on the back of C.K.’s head. Later on, after C.K. had already begun packing up his possessions, the defendants attacked him a second time. During that attack, Defendant Aki head butted C.K. and struck him in the face with the shovel a second time, giving C.K. a concussion and causing him to lose consciousness. When he came to, the defendants were kicking him in the side—kicks that broke two of his ribs. During the second attack, one of the defendants said, “no white man is ever going to live here.” Although the victim had recorded the attacks using his phone, the Defendants took it from him after he lost consciousness. Cameras on the victim’s car, however, captured critical evidence that corroborated C.K.’s account.
“The jury’s verdict confirms that the rule of law serves to protect all persons in our community from vicious assaults, no matter the color of their skin,” said United States Attorney Clare E. Connors. “When people commit violent crimes against someone out of hatred for the victim’s race, the Department of Justice will ensure they face criminal consequences in a court of law.”
“This verdict brings justice and vindication to the victim, a man who was assaulted and nearly killed simply based on the color of his skin,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The jury’s verdict – and in fact this whole prosecution – reflects the Department of Justice’s commitment to protecting every person in this country from race-based violence, regardless of the race of the perpetrator or the victim. The law applies equally to everyone.”
“The FBI is committed in protecting individuals from being harmed based on their race,” said FBI Special Agent in Charge Steven Merrill. “This case highlights our work to ensure everyone feels safe in their own community without any fear of retribution or violence regardless of their race. The FBI encourages the public to support law enforcement’s efforts to end hate crimes by contacting the FBI at tips.fbi.gov or by calling 1-800-CALL-FBI.”
The charge on which they were convicted carries a maximum sentence of ten years of imprisonment. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
This conviction is the result of an investigation conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Chris A. Thomas prosecuted the case in partnership with Special Litigation Counsel Christopher J. Perras and Trial Attorney Tara Allison of the Justice Department’s Civil Rights Division.
Former Maui Police Officer Sentenced to Ten Years in Prison for Attempted Child EnticementRead the Press Release
HONOLULU – Brandon Charles Saffeels, 38, a former Maui Police Department officer, was sentenced today to ten years in prison and a 15-year term of supervised release following that prison term for attempted child enticement by U.S. District Judge Leslie E. Kobayashi. Saffeels pleaded guilty in April to attempting to engage in sexual contact with someone who he believed to be a 13-year-old girl. In addition to his sentence, Saffeels must also register as a sex offender, as required by the Sex Offender Registration and Notification Act.
According to court documents and information presented to the court, on December 3, 2021, Saffeels contacted the online profile of what appeared to be a young female. The profile, however, was controlled by an undercover law enforcement officer (“UC”). Eventually during the conversation, Saffeels asked the UC, “How old are u?” and the UC responded “Plz dont judge but im 13.” To entice the UC, Saffeels offered to take the UC shopping and repeatedly offered to give her money. At one point, the UC asked him what she needed to do for the money and Saffeels responded, “Sex.”
On December 4, 2021, Saffeels contacted the UC and requested that they meet for sex at a designated location. Shortly after midnight the following day, Saffeels arrived at the agreed-upon meeting location where he was arrested by law enforcement.
When he was arrested on Maui on December 5, 2021, Saffeels was due to self-surrender to the federal Bureau of Prisons on January 7, 2022, to begin service of a 30-month sentence Judge Kobayashi imposed for a federal public corruption offense. That offense involved an incident where Saffeels arrested a woman for suspecting driving under the influence of an intoxicant, and then began communicating with her, offering to provide perjured testimony to help her beat the case, if she would come to his house. At today’s sentencing, Judge Kobayashi ordered that Saffeels serve the two sentences concurrently, or at the same time.
“In seeking to sexually exploit a child while on release pending self-surrender to the Bureau of Prisons on a separate criminal charge, Saffeels - a former law enforcement officer - engaged in reprehensible conduct that will not be tolerated,” said U.S. Attorney Clare E. Connors. “The substantial term of imprisonment and the length of supervised release after incarceration is fully justified in this case.”
“The FBI remains committed to ensure the public’s safety even after someone is found guilty and awaiting sentencing. This former law enforcement officer committed another crime in attempting to entice a minor and was caught,” said FBI Special Agent in Charge Steven Merrill. “The FBI will not stop in protecting Hawaii’s keiki and we thank the Maui Police Department and our other federal law enforcement partners as we work together on cases like this. We join the public in holding law enforcement officers to a higher standard.”
“Homeland Security Investigations will not tolerate the exploitation of keiki by people in a position of trust,” said Special Agent in Charge John F. Tobon. “We are pleased his sentence is consistent with the heinous nature of the crime.”
This case is the result of a multi-agency operation known as “Keiki Shield,” involving the Federal Bureau of Investigation, Homeland Security Investigations, the Maui Police Department, and the United States Secret Service. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Los Angeles Man Sentenced to 20 Years in Prison for Heroin and Methamphetamine TraffickingRead the Press Release
HONOLULU – Jamil Jones, 39, was sentenced in federal court today by U.S. District Court Judge Derrick K. Watson to 20 years in prison for distributing and conspiring to distribute heroin and methamphetamine. Jones was charged in an indictment in August 2021 with three counts—drug trafficking conspiracy, distribution of fifty grams or more of methamphetamine, and distribution of 100 grams or more of heroin. Jones was convicted of the charges after a five-day jury trial in April 2022.
According to court documents and information presented in court, for at least a year, Jones conspired with Felix Thaxton, a resident of Honolulu, to send methamphetamine and heroin from California to Hawaii. On June 11, 2021, the Drug Enforcement Administration (DEA) executed a federal search warrant at a Waikiki apartment rented by Thaxton. The DEA seized methamphetamine, heroin, guns, and over $45,000 in U.S. currency. Thaxton was arrested and identified Jones as his drug supplier. Later that day, the DEA recovered a parcel containing approximately seven kilograms of heroin and two pounds of methamphetamine that Jones had sent to a Wahiawa residence connected with Thaxton.
On June 24, 2021, the DEA executed another search warrant at a residence in Los Angeles associated with Jones. The DEA found a vacuum sealer, vacuum seal bags and insulation board—items matching the contents of the June 11 drug parcel. The DEA also found two guns and ammunition. Shortly after the search warrant was executed, Jones was spotted in the area. He fled and led the DEA in a high-speed car chase on city streets and highways until the DEA ended their pursuit due to public safety concerns. However, Jones was found the following day hiding out at a motel in Desert Hot Springs, over 100 miles inland of Los Angeles, where he was arrested.
“Although methamphetamine continues to be at the forefront of illicit drug trafficking in Hawaii, as this case illustrates, there is also a demand for substantial quantities of other drugs like heroin,” said Clare E. Connors, United States Attorney for the District of Hawaii. “This substantial sentence is justified for trafficking in multiple illegal drugs in these quantities.”
“The DEA recognizes that methamphetamine and heroin continue to ravage many communities and families in Hawaii. As such, the DEA will continue to relentlessly partner with the U.S. Attorney’s Office and our state, local, and federal partners to bring methamphetamine and heroin traffickers like Jamil Jones to justice,” said Deputy Special Agent in Charge Anthony A. Chrysanthis.
DEA conducted the investigation resulting in the indictment, assisted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as the Riverside County Sheriff’s Department. Assistant U.S. Attorneys Michael Albanese and Mohammad Khatib prosecuted the case.
Former JROTC Instructor Receives 168 Months in Prison for Sexual Exploitation of StudentRead the Press Release
HONOLULU – United States District Judge Jill A. Otake today sentenced Victor Aguilar, 66, of Kauai, Hawaii to 168 months of imprisonment and ten years of supervised release for two counts of possession of child pornography. Judge Otake also ordered $5,980 in restitution and imposed a $10,000 assessment under the Justice for Victims of Trafficking Act. Aguilar previously pleaded guilty to the child pornography offenses on May 11, 2022.
According to documents and information presented in court, Aguilar admitted that on at least two occasions in 2020, he knowingly possessed visual depictions of a minor victim engaged in sexually explicit conduct. He did this knowing that the minor victim was under the age of 18. At that time, Aguilar was an instructor for the Junior Reserve Officers’ Training Corps, or JROTC, at Waimea High School, on Kauai, Hawaii, and the minor victim was one of his students. As Aguilar admitted in his plea agreement, he did not merely possess these visual depictions. Rather, he used, persuaded, or induced the minor victim to engage in sexually explicit conduct for the purpose of producing those visual depictions. Moreover, Aguilar admitted that, by his estimate, he had sexual contact with the minor victim approximately 25 times over a six-month period. This sexual exploitation of the minor victim occurred at school, in his vehicle, and in his home.
“The Court’s sentence reflects both the severity and tragedy of Mr. Aguilar’s crime of child sexual exploitation,” said United States Attorney Clare E. Connors. “As the Department of Justice increasingly focuses on the plight of victims – especially minors like Mr. Aguilar’s victim – our office will continue to work with our law enforcement partners to prosecute perpetrators of these heinous acts and protect victims as they move through the criminal justice system on a path towards healing.”
“Aguilar’s sentencing will hold him accountable for his crimes of exploiting children while in a position of trust,” said John F. Tobon, Special Agent in Charge, Homeland Security Investigations Honolulu. “We appreciate the cooperation of our law enforcement partners and the U.S. Attorney’s office in prosecuting this case so Aguilar will no longer be able to abuse children.”
“The Kauai Police Department (KPD) thanks the dedicated investigators, Hawaii United States Attorney’s Office, Kauai Prosecuting Attorney’s office along with other State and Federal partners in the pursuit of justice and accountability pertaining to Victor Aguilar’s atrocious crimes against a minor,” said Assistant Chief Bryson Ponce of KPD’s Investigative Services Bureau. “The Court’s decision reflects the seriousness of the offenses committed against children. KPD will continue to pursue those who choose to prey on Kauai’s youth while working in collaboration with the appropriate stakeholders to accomplish this. We also recognize this victim including all victims of sexual assault and exploitation in our thoughts and prayers for continued healing and comfort.”
U.S. Attorney Connors praised the outstanding investigative work of Homeland Security Investigations and the Investigative Services Bureau’s Major Crimes Section and the Crime Scene and Laboratory Section of KPD. She also thanked the County of Kauai Office of the Prosecuting Attorney, Waimea High School, the State of Hawaii Department of Education Equity Specialist for the Kauai District, the State of Hawaii Department of Education, the Hawaii Department of Education JROTC Command, and the Hawaii Department of Human Services, Child Welfare Services for their assistance.
Assistant U.S. Attorney Micah Smith handled the prosecution.
Pearl City Man Arrested for Methamphetamine and Fentanyl Trafficking and Firearm OffensesRead the Press Release
HONOLULU – Bronson Kepa‘a, 38, of Pearl City, made his initial appearance today in United States District Court on charges filed in a criminal complaint that he possessed more than 50 grams of methamphetamine and more than 40 grams of fentanyl with intent to distribute them and carried a semi-automatic pistol during and in relation to that possession. The appearance followed his arrest yesterday at his Pearl City residence. Magistrate Judge Rom Trader ordered him detained pending a detention hearing on October 21, 2022.
According to the affidavit in support of the criminal complaint, the Drug Enforcement Administration (DEA) and the Honolulu Police Department (HPD) followed up on a fentanyl overdose resulting in death on October 7, 2022. The investigation led to an individual who reported obtaining fentanyl from a second individual and giving it to the overdose victim on October 7. The second individual, who was arrested after agreeing to provide more fentanyl to the first individual, identified a third individual as the person who provided the fentanyl. The third individual was arrested after agreeing to sell more fentanyl to the second individual.
The affidavit further recounted that the third individual identified Kepa‘a, who was known to the third individual as “Bronzy,” as a person who provided both fentanyl and methamphetamine to the third individual. On October 17, law enforcement officers executed a federal search warrant on Kepa‘a’s Pearl City residence and recovered approximately 61 grams of suspected fentanyl and one kilogram suspected crystal methamphetamine as well as a loaded firearm, semiautomatic rifles, and boxes of ammunition.
“Increased trafficking of fentanyl, an extremely lethal synthetic opioid, promises to cause significant harm in our state,” said Clare E. Connors, United States Attorney for the District of Hawaii. “As demonstrated by this case, a very small dose – one pill – has the potential to kill, and while federal and local law enforcement will continue
their joint efforts to investigate illegal drug trafficking, including trafficking resulting in overdose deaths, everyone should be aware of the terrible dangers of fentanyl.”
“Dangerous and highly addictive synthetic drugs like methamphetamine and fentanyl are wreaking havoc on our communities and killing people at increasing rates,” said DEA Hawaii District Office Assistant Special Agent in Charge Victor Vazquez. “This case illustrates the collaborative work, alongside our local law enforcement partners, to target and hold drug traffickers accountable who drive addiction and threaten public safety.”
“The collaborative efforts of the Honolulu Police Department’s Narcotics/Vice Division, Drug Enforcement Administration, and the United States Attorney’s Office resulted in a week-long operation that culminated in the arrest of this defendant and others who were involved in the distribution of fentanyl,” said Rade Vanic, Acting Chief of HPD. “The tragic death of a young Honolulu resident associated with at least one member of this group resulted from an overdose of fentanyl. This overdose death and others afflicting our community highlights a pernicious problem, and this investigation demonstrates what can be accomplished with a coordinated law enforcement effort. Those profiting from the distribution of fentanyl and the suffering of our community will be held accountable for their actions, and we remain committed to keeping our municipality safe from those who peddle poison to our ohana and friends.”
If indicted and convicted on those charges, Kepa‘a faces a maximum term of life imprisonment, with a mandatory minimum term of ten years, on the drug offenses, and for the firearm offense, a mandatory term of five years imprisonment consecutive to any sentence imposed on the drug charges.
A criminal complaint is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This investigation was conducted by the Drug Enforcement Administration and the Honolulu Police Department. Assistant U.S. Attorney Michael Nammar is handling the prosecution.
Retired Law Enforcement Officer Receives 46 Months in Prison for Cruise Ship AssaultRead the Press Release
HONOLULU – United States District Judge Jill A. Otake sentenced John McAvay, 78, of Henderson, Nevada, on September 26, 2022, to 46 months of imprisonment and one year of supervised release for assault resulting in serious bodily injury. Judge Otake found McAvay guilty of the assault after a non-jury trial in May 2022.
Clare E. Connors, United States Attorney, said that according to court documents and information presented in court, on October 23, 2018, McAvay—a retired law enforcement officer—committed an unprovoked assault on an elderly passenger on a cruise ship, resulting in life-threatening and protracted injuries. McAvay then fled the scene of the assault and failed to render aid, call for help, or report the incident. The victim was airlifted from the cruise ship to the Hilo Medical Center in critical condition on October 25, 2018, and then to the Queen’s Medical Center, where he remained hospitalized for approximately one month. The victim was later transported to a hospital in California and then to a rehabilitation facility. As a result of the assault, the victim suffered from serious cognitive and physical impairments—including confusion, memory loss, and immobility—until his death on February 6, 2019. McAvay was arrested on October 28, 2018, after he was identified by another cruise ship passenger.
In finding McAvay guilty, Judge Otake stated that although McAvay “could have simply walked away,” he instead “sucker-punched” the victim in the head out of anger. The victim, Judge Otake found, posed “no threat” to McAvay. Judge Otake added: “There is also no doubt that Defendant McAvay acted cowardly, reprehensibly, and despicably.”
McAvay also was charged with involuntary manslaughter. The court found him not guilty of this count because it could not conclude beyond a reasonable doubt that a pre-existing cancer alone would not have caused his death.
The Federal Bureau of Investigation and the Coast Guard Investigative Service conducted the investigation that resulted in the prosecution. Assistant U.S. Attorneys Sara D. Ayabe and Chris A. Thomas handled the prosecution.
Honolulu Man Receives Seven and a Half Years in Prison for Transportation of Child PornographyRead the Press Release
HONOLULU – Today, United States District Judge Jill A. Otake sentenced Kenneth Lim, 33, of Honolulu, to seven and a half years of imprisonment and 15 years of supervised release for transportation of child pornography. Lim previously pleaded guilty to the child pornography offense on March 2, 2022.
According to documents and information presented in court, Lim admitted that, on January 6, 2019, he arrived at the Honolulu International Airport aboard a flight from Japan with thousands of sexually explicit images and videos of minor girls ranging in age from approximately six to 13 years old stored on his electronic devices. After another flight to Honolulu in December 2019, law enforcement caught Lim at the airport with additional images of child pornography on his electronic devices. Further, in his plea agreement, Lim admitted that he told federal agents he previously had been arrested in Japan in 2016, for conduct related to his online contact with over one hundred minor girls around the ages of 10 to 12 years old. He used social media applications to engage these minors and admitted to having exchanged nude images with some of them.
“Lim’s conduct demonstrates the way predators utilize social media to exploit children, as well as the fact they store the pornographic images of their victims on their electronic media,” said U.S. Attorney Clare E. Connors. “The law provides substantial prison terms for sexual exploitation of children, and it was appropriate that Lim received one in this case.”
“Child sex abuse is one of the most serious crimes HSI investigates,” said John F. Tobon, Special Agent in Charge, HSI Honolulu. “HSI is proud to work closely with our law enforcement partners to protect communities from egregious repeat offenders like Lim.”
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Homeland Security Investigations conducted the investigation that resulted in the charge. Assistant U.S. Attorneys Christine Olson and Rebecca A. Perlmutter prosecuted the case.
Honolulu Man Pleads Guilty to Sabotaging Former Employer’s Computer NetworkRead the Press Release
HONOLULU – Casey K. Umetsu, Sr., age 40, of Honolulu, Hawaii, pled guilty today before United States District Judge Jill A. Otake to sabotaging his former employer’s computer network. Sentencing is set for January 19, 2023.
According to court documents and information presented in court, Umetsu worked as an information technology professional for a prominent Hawaii-based financial company between 2017 and 2019. In that role, Umetsu was responsible for administering the company’s computer network and assisting other employees with computer and technology problems. As part of his guilty plea, Umetsu admitted that, shortly after severing all ties with the company, he accessed a website the company used to manage its internet domain. After using his former employer’s credentials to access the company’s configuration settings on that website, Umetsu made numerous changes, including purposefully misdirecting web and email traffic to computers unaffiliated with the company, thereby incapacitating the company’s web presence and email. Umetsu then prolonged the outage for several days by taking a variety of steps to keep the company locked out of the website. Umetsu admitted he caused the damage as part of a scheme to convince the company it should hire him back at a higher salary.
“Umetsu criminally abused the special access privileges given to him by his employer to disrupt its network operations for personal gain,” said U.S. Attorney Clare E. Connors. “Those who compromise the security of a computer network – whether government, business, or personal – will be investigated and prosecuted, including technology personnel whose access was granted by the victim.”
“This is a great example of a company partnering, and working with the FBI, to catch a former employee who sabotaged their network for their own personal gain,” said FBI Special Agent in Charge Steven Merrill. “We encourage companies to include the FBI as part of their cybersecurity incident plan so we can assist when they have a cyber incident.”
Umetsu faces a maximum sentence of 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
This conviction is the result of an investigation conducted by the Federal Bureau of Investigation. Assistant U.S. Attorneys Rebecca A. Perlmutter and Wayne A. Myers are handling the prosecution.
Oahu Man Pleads Guilty Robbing Multiple Banks and Attempting to Rob a RestaurantRead the Press Release
HONOLULU – Micah Roman-Santos, 23, of Oahu, pleaded guilty today before U.S. Magistrate Judge Kenneth J. Mansfield to two counts of bank robbery, one count of armed bank robbery, and one count of attempted Hobbs Act robbery. Sentencing is set for January 25, 2023, before U.S. District Judge Leslie E. Kobayashi.
According to information presented in court, Roman-Santos committed a series of robberies in October 2021. On October 1, he robbed a bank in Aiea. In that robbery, he threatened to shoot the teller and stole $348. The next day, Roman-Santos attempted to rob a restaurant in Kapolei and threatened to kill the restaurant manager. When the manager refused to give him any money, Roman-Santos punched the manager and fled the restaurant. On October 4, Roman-Santos robbed a second bank in Waianae. In that robbery, Roman-Santos again threatened to shoot the teller, but also displayed what appeared to be a firearm tucked into his waistband. He stole $900 from the Waianae bank. On October 7, 2021, Roman-Santos robbed a third bank in Kapolei. During that robbery, Roman-Santos again claimed to have a gun and stole $1,100.
“Roman-Santos callously victimized multiple people and businesses, violently disrupting what should have been an ordinary workday,” said U.S. Attorney Clare E. Connors. “Protecting our community from such violence and threats of violence remains a high priority of the Department of Justice and this office.”
“The FBI is committed to protecting Hawaii from violent crimes such as this, and preventing putting innocent civilians at risk,” said FBI Special Agent in Charge Steven Merrill. “The FBI is committed to working with the Honolulu Police Department to bring this case to the federal level with stiffer penalties and no opportunity for parole.”
The charges of bank robbery and Hobbs Act robbery provide for a maximum sentence of 20 years, a fine of up to $250,000, and a term of supervised release of up to three years. The charge of armed bank robbery provides for a maximum sentence of 25 years, a fine of up to $250,000, and a term of supervised release of up to five years. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
This conviction is the result of a multi-agency investigation conducted by the Federal Bureau of Investigation and the Honolulu Police Department. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Former Maui Public Official and Honolulu Businessman Charged with Federal Bribery and Honest Services Fraud OffensesRead the Press Release
HONOLULU – United States Attorney Clare E. Connors and Federal Bureau of Investigation Special Agent in Charge Steven Merrill announced that Stewart Olani Stant, 55, a former Maui County public official, and Milton Choy, 60, a Honolulu businessman, have been charged with felony offenses stemming from their operation of a long running bribery scheme. The charges—which were brought in two separate criminal Informations unsealed today—allege that Choy bribed Stant with cash, bank deposits, and gambling trips to Las Vegas in order to receive lucrative sole source contracts from Maui County’s Department of Environmental Management. A court appearance for both defendants is scheduled for Monday, September 19th.
One Information alleges that Stant was a public official employed by Maui County’s Department of Environmental Management (“DEM”), and served as its Director between approximately December 2015 and December 2018. The Information alleges that between October 2012 and December 2018, Stant accepted bribes from Choy comprised of cash, bank deposits, casino chips, travel benefits, and/or other gifts, totaling up to $2,000,000, in exchange for Stant’s agreement, in his official capacity as a Maui County official at DEM, to steer and award over $19 million dollars in sole source contracts and purchase orders to Choy’s company, H2O Processes, LLC. This Information charges that by accepting the bribes to funnel contracts to H2O, and corruptly failing to disclose them, Stant conspired to commit honest services wire fraud and deprived the citizens of Maui County of their right to his honest and conflict free services as a public official.
A second Information charges Choy with corruptly bribing Stant over the same six-year period alleged in the Stant Information. Choy’s Information charges that his bribery of a local official, Stant, violated federal law because the value of the contracts exceeded $5,000 and Maui County received more than $10,000 in federal funding during each of the calendar years of the continuing bribery scheme.
If convicted, Stant faces a sentence of up to 20 years imprisonment, and a fine of up to $250,000. If convicted, Choy faces a sentence of up to 10 years imprisonment, and a fine of up to $250,000. An Information is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The investigation in the case was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorneys Ken Sorenson, Micah Smith and Michael Albanese of the District of Hawaii are prosecuting the case.
Gang Member and Accomplice Sentenced for Robbery of Illegal Game Room in WaianaeRead the Press Release
HONOLULU – Senior United States District Judge Susan Oki Mollway today sentenced two defendants, Makoa K.F. Wilson, 27, and Jessica R. Lorrin 31, both of Oahu, for their role in the robbery of an illegal game room in Waianae, Oahu, in July 2020. Judge Mollway sentenced Wilson to 94 months’ imprisonment, and sentenced his accomplice, Lorrin, to 54 months’ imprisonment. Both defendants had previously pleaded guilty to the Hobbs Act robbery charge against them.
According to court documents and information presented in court, in the early morning hours of July 15, 2020, Wilson and Lorrin robbed an illegal gambling establishment operating out of a single-story residence on Keaulana Avenue in Waianae, Oahu. During the robbery, Wilson raised and pointed what appeared to be a handgun in the direction of a cashier and demanded all of the money in the cashier’s office. When the cashier complied with the demand, Lorrin questioned why there was so little money, and then took the keys for electronic gambling machines and began collecting the cash from those machines. Wilson and Lorrin then made their escape in a white Yukon vehicle. About a month later, on August 18, 2020, Wilson and Lorrin were stopped in that same vehicle, at which time Wilson was found to be in possession of a privately made firearm—commonly referred to as a “ghost gun”—and a quantity of methamphetamine. In the time period of these events, Wilson was a member of a gang called “Murder Inc.”
“Illegal gambling gives rise to many problems in our community, including violent crime perpetrated by gang members and involving firearms,” said United States Attorney Clare E. Connors. “Ghost guns in particular present a threat to Hawaii and are increasingly showing up in our investigations, which we will continue to pursue in earnest.”
“We continue to use our investigative capabilities to stop violent criminals from overrunning our community,” said John F. Tobon, Special Agent in Charge, HSI
Honolulu. “This sentence holds Wilson and Lorrin accountable for their crimes and serves as a warning that HSI and its law enforcement partners will work diligently to keep ghost guns and illegal drugs off the streets.”
“The Honolulu Police Department is committed to working with our law enforcement partners to make Oahu safer for everyone, and we are pleased that these dangerous individuals were taken off the street,” said Chief Joe Logan.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Homeland Security Investigations and the Honolulu Police Department conducted the investigation. Assistant U.S. Attorney Micah Smith handled the prosecution.
Honolulu Man Receives Ten Years in Prison and 25 Years Supervision for Possession of Child PornographyRead the Press Release
HONOLULU – United States District Judge Leslie E. Kobayashi yesterday sentenced Aaron Anthony Hood, 45, of Honolulu, Hawaii, to ten years of imprisonment and 25 years of supervised release for one count of possession of child pornography. Hood previously pleaded guilty to the child pornography offense on September 17, 2019.
In his plea agreement, Hood admitted that from on or about January 23, 2016, to January 27, 2016, he knowingly possessed at least one video of child pornography. The video was approximately 19 minutes long and depicted a 14-year-old female engaged in sexually explicit conduct with Hood. The video was produced using a cellphone. During Hood’s contacts with the 14-year-old minor he also supplied her with drugs and alcohol.
“Hood’s crimes threatened the overall safety of our community,” said U.S. Attorney Clare E. Connors. “Sexually exploitive crimes targeting children carry significant prison penalties and will be vigorously prosecuted by our office.”
“Homeland Security Investigations (HSI) is committed to protecting our community from predators,” said John F. Tobon, HSI Special Agent in Charge. “We will continue to identify and prosecute those responsible for committing these heinous offenses.”
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Homeland Security Investigations conducted the investigation that resulted in the indictment. Assistant U.S. Attorneys Margaret C. Nammar and Rebecca A. Perlmutter are prosecuting the case.
Four Charged in Big Island Affordable Housing Corruption SchemeRead the Press Release
HONOLULU – A federal grand jury returned an eight-count indictment against Paul Joseph Sulla, Jr., 76, and Gary Charles Zamber, 53, both attorneys residing on the island of Hawaii (“Big Island”), on July 21, 2022. Both defendants are charged with six counts of honest services wire fraud and one count of conspiracy. Sulla is also charged with one count of money laundering.
In addition, Alan Scott Rudo, 55, a former Housing Specialist for the Hawaii County Office of Housing and Community Development, and Rajesh P. Budhabhatti, 62, a private businessman on the Big Island, were charged in separate informations with conspiracy to commit honest services wire fraud. Rudo pleaded guilty to the charge before United States Magistrate Judge Rom A. Trader on July 18, 2022.
The indictment alleges a conspiracy and a scheme to deprive the public of its right of honest services spanning more than six years. According to court documents and information presented in court, Rudo solicited and accepted multiple bribes and kickbacks from Sulla, Zamber and Budhabhatti in exchange for performing, and agreeing to perform, official acts while working for the Hawaii County Office of Housing and Community Development (OHCD).
According to the indictment and informations, the defendants deceived the public into believing that Rudo was dutifully working on their behalf to provide affordable housing, when in reality he was using his official position to obtain money from Sulla, Zamber and Budhabhatti in the form of bribes and kickbacks. Rudo abused his official position with the OHCD to ensure the County approved three affordable housing agreements (AHAs) involving Luna Loa Developments, LLC, West View Developments, LLC and Plumeria at Waikoloa, LLC. These companies were variously owned, controlled, and used by the defendants to obtain public benefits related to development projects in South Kohala, Kailua-Kona, and Waikoloa. Through the AHAs, the defendants fraudulently obtained at least $10,980,000 worth of land and excess affordable housing credits (AHCs).
Sulla is also charged in the indictment with money laundering. According to the allegations, he laundered the proceeds of the conspiracy and scheme to commit honest services wire fraud in an attempt to conceal, among other things, the source, location, and ownership of those proceeds.
Indictments and informations are merely allegations, and defendants Sulla, Zamber, and Budhabhatti are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. Budhabhatti is scheduled to enter a guilty plea to the information before United State District Judge Jill A. Otake on August 1, 2022. Rudo is set for sentencing before Judge Otake on October 31, 2022.
The crimes of conspiracy and scheme to commit honest services wire fraud each carry a maximum penalty of 20 years imprisonment and a fine of $250,000. Money laundering carries a maximum penalty of 20 years imprisonment and a fine of twice the value of the property involved in the transaction, which in this case is over $1,000,000.
As part of the investigation, the United States has recovered over $2.3 million in criminal proceeds and 45 affordable housing credits connected to the charges. As part of his guilty plea, Rudo agreed to forfeit his interest in those funds and the 45 affordable housing credits, as well as other real estate connected to the charges. Rudo has also agreed to a money judgment against him in the amount of $2,114,170.
This case is the result of an on-going investigation conducted by the Federal Bureau of Investigation. Assistant U.S. Attorneys Mohammad Khatib and Sydney Spector are prosecuting the case.
Convicted Felon Sentenced to 80 Months in Prison for Firearm Possession During Drug CrimeRead the Press Release
HONOLULU – United States District Judge Derrick K. Watson yesterday sentenced Andrew Schwab, 43, of Waianae, Hawaii, to 80 months in prison for possessing a firearm in furtherance of methamphetamine trafficking. Judge Watson took note that Schwab had a lengthy criminal history for burglary, theft, and escape, and he found Schwab’s conduct toward the Honolulu Police Department (“HPD”) officers who arrested him arguably the most serious aspect of the offense.
According to court documents and information presented in court, on August 21, 2018, HPD officers approached Schwab—a convicted felon with an outstanding state parole retake warrant—at a gas station. Instead of complying with the officers’ attempt to apprehend him, Schwab jumped back into his car and intentionally rammed it into the front of a police car with two police officers in it. Schwab then reached for the floorboard of the vehicle where he had a loaded firearm, a Glock 19, 9mm pistol. HPD officers forcibly removed Schwab from the vehicle and then recovered the Glock 19 pistol, which Schwab later admitted he possessed to protect his drugs and drug proceeds, along with two other loaded firearms, 23 rounds of 9mm ammunition, 27.3 grams of methamphetamine intended for distribution, and over $5,600 in drug proceeds.
In light of Schwab’s extensive criminal history and the nature and circumstances of the offense, Judge Watson imposed a sentence higher than the range calculated under the federal Sentencing Guidelines.
“As we work to reduce crime in our community, our priority is the apprehension of criminals like Schwab who possess firearms for the purpose of engaging in additional criminal activity,” said U.S. Attorney Clare E. Connors. “The prison sentence in this case is soundly justified based on the defendant’s violent resistance to law enforcement and his possession of multiple firearms and ammunition to protect his methamphetamine trafficking activity.”
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Honolulu Police Department conducted the investigation that resulted in the indictment. Assistant U.S. Attorney Sara D. Ayabe handled the prosecution.
Three Former Hawaii Correctional Officers Convicted of Civil Rights Violations for Assaulting an Inmate and Attempting to Cover it UpRead the Press Release
WASHINGTON – On July 8, after a three-week trial, a federal jury convicted three former correctional officers at the Hawaii Community Correctional Center — Jason Tagaloa, 31, Craig Pinkney, 38, and Jonathan Taum, 50 — for assaulting an inmate in violation of his civil rights and for obstructing justice in attempting to cover up the violation. A fourth officer, Jordan DeMattos, previously pleaded guilty for his role in the assault and cover up, and testified for the government at trial. After the jury’s verdict, Judge Leslie Kobayashi ordered the U.S. Marshals to take the defendants into custody pending their sentencing hearings.
The evidence at trial established that the defendants assaulted the inmate in the prison’s recreation yard. Over the course of two minutes, the defendants punched and kicked the inmate in the head and body while he was lying face-down in a pool of his own blood. The inmate suffered a broken nose, jaw and eye socket. After the beating, the defendants wrote false reports in which they omitted almost all of the force they had used. When the prison opened an investigation, the defendants met to get their stories straight and brainstorm false excuses they would give for having used force. Ultimately, the Hawaii Department of Public Safety fired all four officers.
“These defendants abused the trust given to them as law enforcement officers when they violently assaulted an inmate and lied to cover it up,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will prosecute corrections officials who violently assault inmates inside our jails and prisons, and abuse their official positions to cover-up their crimes. We are committed to using our civil rights laws to ensure that the rights of all individuals, including those in custody, are fully protected.”
“This prosecution and verdict affirm our office’s commitment to ensuring every person’s civil rights are protected under the law,” said U.S. Attorney Clare E. Connors for the District of Hawaii. “We will continue to enforce those rights the Constitution and other federal laws provide.”
“The FBI will always investigate when a person's civil rights are violated,” said Special Agent in Charge Steven Merrill of the FBI Honolulu Field Office. “As correctional officers, they were held to upholding the standards of law enforcement officers within the state prisons and they did not do so in this case. The FBI will vigorously pursue justice for those whose civil rights were violated.”
The maximum penalties for the charged crimes are 10 years of imprisonment for the deprivation-of-rights offense, 20 years of imprisonment for the false report offenses and five years of imprisonment for the conspiracy offense.
The FBI conducted the investigation. The case was prosecuted by Assistant U.S. Attorney Craig Nolan of the District of Hawaii, and Special Litigation Counsel Christopher J. Perras and Trial Attorney Thomas Johnson of the Justice Department’s Civil Rights Division.
Former Hawaii Senate Majority Leader Sentenced to 40 Months in Federal PrisonRead the Press Release
HONOLULU – Senior United States District Judge Susan Oki Mollway sentenced Jamie Kalani English, age 55, former Majority Leader of the State of Hawaii Senate, today to serve 40 months in federal prison and pay a fine of $100,000 for honest services wire fraud consisting of acceptance of multiple bribes in return for performing, and agreeing to perform, official legislative acts on behalf of a Hawaii businessperson.
According to the prosecution’s argument to the court, English was never reluctant about taking money in return for political and legislative favors. English’s behavior signaled that it was systematic and normal for him to accept, and indeed expect, financial benefits in return for legislative favors. It was English who unknowingly initiated the FBI covert relationship with him by reaching out to Person A with a demand for hotel rooms in Las Vegas for English and some of his friends.
The court also received information that on February 24, 2020, English accepted $1,000 from Person A for assistance with cesspool legislation that could directly benefit Person A’s company, telling Person A that he “should formulate what you would like to see” in the bill. On March 11, 2020, Person A met with English and offered him $10,000 in cash to kill the cesspool bill. English accepted the $10,000 stating “it’s easy to kill bills.” Due to the Covid 19 pandemic, the bill did not advance.
In January 2021, English accepted another $5,000 from Person A in return for anticipated legislative assistance to Person A. During a subsequent law enforcement traffic stop, English hid the $5,000 under the vehicle’s floor mat. On his annual mandatory gift disclosure report, English failed to report any of the bribes and gifts Person A paid and gave him. As a part of his official gift disclosure submissions, English emailed this false and misleading disclosure form, thereby using interstate commerce.
In sentencing English to federal prison and imposing the $100,000 fine, Judge Mollway observed that an elected public official who had the power to affect legislation and was willing to accept a bribe was a “terrible combination.” She called it a “terrifying prospect” that accepting a bribe was so natural to him that he could receive it as if normal.
“As we stated when recommending a term of imprisonment, English, as a prominent leader in the State Senate, shoulders significant responsibility for any deficit of confidence in our public officials,” said U.S. Attorney Clare E. Connors. “He criminally abused the power of his official position to serve his personal interests rather than the people of Hawaii, which is misconduct the federal government will prosecute in order to hold elected officials accountable.”
“As a former Hawaii politician is sentenced today for public corruption, the taxpayers of Hawaii should know that the FBI continues to vigorously investigate those who misuse their official position for their own personal financial gain,” said Federal Bureau of Investigation (FBI) Special Agent in Charge Steven Merrill. “We will not stop in our pursuit to bring these types of cases to the U.S. Attorney's Office for prosecution and ensure that the best interests of the people of Hawaii are served.”
The Federal Bureau of Investigation conducted the investigation that resulted in the indictment. Assistant U.S. Attorneys Ken Sorenson, Micah Smith and Michael Albanese handled the prosecution.
Oahu Schoolteacher Detained on Charge of Sexually Exploiting Minor StudentRead the Press Release
HONOLULU – United States Magistrate Judge Kenneth J. Mansfield yesterday ordered Alden Bunag, 33, of Honolulu, detained in custody pending trial or other disposition of a charge filed in a criminal complaint that he distributed child pornography. The ruling in United States District Court in Honolulu followed Bunag’s arrest last week at an Oahu high school where he was working as a summer schoolteacher.
Bunag is charged with distributing child pornography between November 2019 and October 2021. According to the criminal complaint and affidavit, law enforcement agents reviewed at least two video recordings of Bunag's sexual conduct with a then-13-year-old former student, at least one of which he sent to another person in Pennsylvania. Agents further reviewed numerous images and videos identified as child pornography that were sent to others.
“The sexual abuse of children – a reprehensible crime – is especially exploitative when committed by a teacher against a minor student victim,” said Clare E. Connors, United States Attorney for the District of Hawaii. “Recording such crimes and distributing the images to others compounds and perpetuates the victimization.”
"The FBI will vigorously hunt predators such as Alden Bunag who prey on our keiki.” said FBI Special Agent in Charge Steven Merrill. “Bunag has been detained in what is an especially egregious and serious case as he was a teacher within Hawaii's Department of Education whose young victims may be unaware of what happened to them. Individuals with information, or those who believe they are a victim, are urged to immediately contact the Honolulu FBI at (808) 673-2705 or [email protected]. These tip lines were specifically set up for this investigation as we believe there may be more victims out there who may assist in our investigation."
If indicted and convicted on this charge, Bunag a faces minimum term of imprisonment of five years and up to 20 years. A criminal complaint is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This investigation was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Rebecca Perlmutter is handling the prosecution.
Four Big Island Residents Sentenced to Federal Prison for Methamphetamine TraffickingRead the Press Release
HONOLULU – Senior United States District Judge Helen Gillmor today sentenced Dwayne P. Gouveia, 58, of Waimea, Hawaii, to ten years imprisonment for conspiracy to distribute methamphetamine. Gouveia was previously sentenced by the Court in 2005 to ten years imprisonment for attempted possession with intent to distribute methamphetamine.
Judge Gillmor also sentenced Gouveia’s co-conspirators in methamphetamine trafficking:
- Maximillian Oleksiak, 46, of Keaau, sentenced on November 1, 2021, to 110 months imprisonment;
- Billie Jack Peridot Kawelo, 43, of Keaau, sentenced on November 18, 2021, to 60 months imprisonment; and
- Malia Broome, 45, of Kamuela, sentenced on November 18, 2021, to 48 months imprisonment and a fine of $5,000.
According to information presented to the court, the four defendants conspired to distribute methamphetamine on the Island of Hawaii during spring 2020. On May 20, 2020, special agents of Homeland Security Investigations (HSI) and officers of the Hawaii County Police Department interrupted a distribution of approximately two pounds of methamphetamine by Kawelo and Broome to Oleksiak. The drugs had been supplied by Gouveia to Broome earlier that day. In addition to the methamphetamine, agents and officers seized almost $20,000 in cash and arrested Kawelo and Broome on that date. The cash has since been forfeited to the government. Evidence collected by the government demonstrated that the four defendants had been working together to distribute pound and multi-pound quantities of methamphetamine multiple times per week for approximately two months preceding the May 20, 2020 seizures and arrests. Additionally, in January 2018, agents and officers intercepted a shipment of approximately one pound of methamphetamine intended for Oleksiak in a transaction unrelated to the conspiracy.
“Methamphetamine remains our state’s dominant drug trafficking problem, as this prosecution of four Big Island residents demonstrates,” said U.S. Attorney Clare E. Connors. “We will continue to work with all law enforcement agencies to prosecute those who deal large quantities of methamphetamine across our state.”
“These sentences are the result of HSI’s relentless efforts to combat drug trafficking in Hawaii,” said HSI Special Agent in Charge John F. Tobon. “We are committed to investigating the individuals and organizations involved in distributing these substances to our communities.”
HSI and the Hawaii County Police Department conducted the investigation that resulted in the prosecution, with assistance from the Hawaii County Office of the Prosecuting Attorney. Assistant U.S. Attorney Craig S. Nolan prosecuted the case.
An Oahu Man and Two Maui Men Arrested in Connection with Drug Trafficking, Firearm, Illegal Gambling Business, and Money Laundering ChargesRead the Press Release
HONOLULU – Maliu Tauheluhelu, 37, Maafu Pani, 37, and Touanga Niu, 21, were arrested Friday, June 3, in connection with an indictment charging drug trafficking, firearm, illegal gambling business, and money laundering offenses. Desmond Morris, 38, is also charged in the indictment and has not yet been apprehended. The indictment was unsealed earlier this morning.
Tauheluhelu, Pani, and Niu are expected to be presented in Hawaii federal court as early as Monday, June 6, 2022, before United States Chief Magistrate Judge Kenneth J. Mansfield.
A press conference was held at 10:30 a.m. on Monday, June 6, 2022, at the Maui Police Department.
According to court documents, by the summer of 2020 and continuing until the date of the indictment, Tauheluhelu led a criminal organization that distributed methamphetamine and cocaine and operated illegal gambling businesses within the District of Hawaii. Pani oversaw the criminal organization’s drug trafficking and illegal gambling activities on Maui. Niu assisted the criminal organization with the transportation of controlled substances from Oahu to Maui and the transportation of unlawful proceeds from Maui back to Oahu, including through flights on an airline for which there was no Transportation Security Administration screening. At certain times, Morris participated in the criminal organization’s illegal activities by distributing and possessing with intent to distribute controlled substances on Maui.
This case was investigated by the Federal Bureau of Investigation and Task Force Officers from the Maui Police Department, with assistance from the Maui Police Department, the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Drug Enforcement Administration.
The prosecution is handled by Assistant U.S. Attorney Micah Smith.
Former Honolulu Police Officer Indicted and Arrested for Child Sex OffensesRead the Press Release
HONOLULU – Mason Jordan, age 31, appeared in federal court in Albuquerque, New Mexico, today after his arrest there yesterday on charges of sexual exploitation of a child, coercion and enticement of a minor to engage in prostitution, sex trafficking of a child, and cyberstalking. On May 26, 2022, a Honolulu federal grand jury returned the eight-count indictment against Jordan, which was unsealed after his arrest.
According to the indictment and information presented to the court, Jordan—while an officer of the Honolulu Police Department—took sexually explicit photographs of a child in 2017 and used a hidden camera to record sexually explicit videos of that same child on two occasions in 2016. Jordan is also alleged to have impersonated that child, using social media, to recruit other local children to work for him as underage prostitutes in 2020. Jordan allegedly met up with some of those children for commercial sex acts in 2020. Jordan also allegedly “sextorted” a woman he encountered in connection with his duties as a police officer, using underage photographs he obtained of that woman.
If convicted of the charges, Jordan faces a mandatory minimum of 15 years in prison and up to 30 years on three counts of sexual exploitation, a mandatory minimum of ten years and up to life on two counts of coercion and enticement and two counts of sex trafficking, and up to five years in prison for cyberstalking. An indictment is merely an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
“The sexual exploitation of children is among the most reprehensible crimes we prosecute and deservedly carries severe criminal penalties,” said Clare E. Connors, U.S. Attorney for the District of Hawaii. “When, as here, the perpetrator is a law enforcement officer sworn to protect the community’s most vulnerable members, including our children, the crime is that much more egregious.”
“Homeland Security Investigations (HSI) is committed to protecting our keiki by investigating those who intend to do them harm,” says Special Agent in Charge John F. Tobon. “As a former Honolulu Police Officer, Mr. Jordan is well aware of the seriousness of the charges he faces. We look forward to the legal process playing out in court. If anyone has any additional information related to this case, we ask they call us at 808-532-3753.”
“Sexual predators who prey on the most vulnerable members of our society will be identified, investigated, and prosecuted to the fullest extent of the law,” said Federal Bureau of Investigation (FBI) Special Agent in Charge Steven Merrill. “The fact that Jordan was an active duty police officer - sworn to protect the public - makes this case particularly appalling. This arrest demonstrates the importance of the FBI’s commitment to work closely with our partners to investigate cases such as this with a sense of urgency to protect our keiki."
This case was the result of a joint investigation by Homeland Security Investigations and the Federal Bureau of Investigation, with the assistance of the Honolulu Police Department. Assistant U.S. Attorneys Wayne A. Myers and Christine Olson are handling the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section of the Department of Justice’s Criminal Division, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Former Kauai County Council Member Sentenced to 20 Years in Federal PrisonRead the Press Release
HONOLULU - United States District Judge Derrick K. Watson sentenced Arthur Brun, age 50, a former member of the Kauai County Council, yesterday to serve 20 years in federal prison for drug trafficking, assault of a federal law enforcement officer, witness tampering, evidence tampering, and firearm offenses. Brun, who was indicted with 11 other defendants on drug trafficking offenses, an assault on a federal law enforcement officer, witness tampering, evidence tampering, and firearm offenses, pled guilty to ten of those charges on November 10, 2021. All 11 other defendants have pled guilty to various charges and are awaiting sentencing.
According to information presented to the court, while serving as a member of the Kauai County Council, Brun worked with others to distribute substantial amounts of methamphetamine on Kauai. Among the individuals who supplied him the methamphetamine was co-defendant Maluelue Umu, a leader of the United Samoan Organization, which is a gang that operates both inside and outside of the prison system in the State of Hawaii.
As part of his guilty plea, Brun admitted that on October 29, 2019, after he had received a pound of methamphetamine from Umu, personnel with the Kauai Police Department (“KPD”) conducted a traffic stop of Brun’s vehicle. During the stop, a narcotic detection canine alerted to the odor of narcotics in the vehicle. A lieutenant with KPD, who was acting under the direction of federal investigators, asked Brun to get out of his vehicle. Brun refused. The KPD lieutenant then reached into the vehicle to remove the keys from the ignition. While his arm and shoulder were still partially inside of the vehicle, Brun placed the vehicle in drive and sped off, causing injury to the KPD lieutenant. Brun thereafter led investigators on a high-speed chase before he was finally apprehended. Although he threw the pound of methamphetamine out of his vehicle window during the chase, federal investigators were conducting Title III wiretap interceptions on Brun’s cellular telephones at the time and intercepted him instructing his accomplices to return to the scene of the chase to retrieve the drugs.
In sentencing Brun to 20 years in federal prison, Judge Watson emphasized that police officers put their lives on the line to protect the community and that when someone injures an officer while they are doing their job, the court’s obligation is to impose a sentence that adequately reflects the seriousness of that crime. Brun’s assault on a law enforcement officer, Judge Watson explained, elevates the seriousness of Brun’s drug trafficking conduct in this case.
“As methamphetamine trafficking continues to plague Hawaii as one of the worst crime problems in our state, the fact a publicly-elected official led a criminal organization engaged in such activity magnifies the seriousness of this matter,” said U.S. Attorney Clare E. Connors. “The additional fact that this public official personally assaulted a law enforcement officer in the course of his criminal conduct adds to the corrupt nature of his offense. We will continue to hold elected officials accountable for criminal misconduct.”
“It is deeply disturbing that an elected public official, particularly one who was the vice chair of the Kauai County Council’s Public Safety and Human Services Committee, would engage in such a pattern of lawlessness and disregard for the welfare of community,” said Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Seattle Special Agent in Charge Jonathan T. McPherson. “This significant sentence should send a clear message to anyone who engages in this type of criminal behavior that it will not be tolerated.”
“As an elected official, Mr. Brun violated the trust of the community by participating in an elaborate crime ring,” said Homeland Security Investigations (HSI) Special Agent in Charge John F. Tobon. “This sentence shows that no one is above the law. Investigating organized crime is a top priority for HSI and we will continue to work with our law enforcement partners to disrupt this type of criminal activity.”
"Illicit drugs, especially methamphetamine, are responsible for destroying too many lives,” said Kauai Police Department Chief Todd Raybuck. “This case is evidence of the dedication and collaboration between the Kauai Police
Department and our federal partners. I am proud of, and grateful for, the women and men that placed themselves in harm’s way, sacrificing much time away from their families, to bring this case to conclusion. The Kauai Police Department and our federal partners will continue to identify, investigate, and bring to justice those persons responsible for distributing the illicit drugs that are causing addiction and suffering in too many homes across our community."ATF, the Kauai Police Department, and HSI conducted the investigation that resulted in the indictment, with the assistance of the United States Marshals Service Fugitive Task Force, the Federal Bureau of Investigation, the United States Postal Inspection Service, and the Coast Guard Investigative Service. Assistant U.S. Attorneys Micah Smith, Chris Thomas, and Michael Nammar handled the prosecution.
California Couple Charged with Defrauding Paycheck Protection ProgramRead the Press Release
HONOLULU – A federal grand jury returned a four-count indictment today against Christopher A. Mazzei, age 44, and Erin V. Mazzei, age 41, of Arroyo Grande, California. The indictment charges the defendants with wire fraud, money laundering, and conspiracy in connection with a scheme to defraud the government of forgivable Paycheck Protection Program (PPP) loan funds intended for COVID-19-related relief.
The indictment alleges that the Christopher and Erin Mazzei, husband and wife, submitted applications for PPP funds to a Hawaii financial institution and two other financial institutions on behalf of three purported businesses, each time utilizing interstate wires. For each application, the Mazzeis allegedly created false Internal Revenue Service (IRS) tax returns and payroll records, which they presented as authentic and submitted to the banks to support their claims for PPP loan funds. According to the indictment, as a result of the false and fraudulent applications, the Mazzeis received $1,365,000 in PPP loan funds, which they then used for personal purposes, such as to purchase multiple sport utility vehicles and a home in Kapolei, Hawaii, among other things.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses.
“Our entire community suffers when federal funds appropriated to provide critical pandemic relief are illegally diverted for personal gain,” said U.S. Attorney Clare E. Connors. “We will pursue and prosecute those who defraud programs that provide a financial lifeline to struggling small businesses in Hawaii and across the United States during the COVID-19 pandemic.”
“As the country continues to battle the effects of the COVID-19 pandemic, these indictments are an unfortunate reminder that there are always those who will stoop low to unjustly enrich themselves, even at the cost of those suffering around them,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Financial fraud against government assistance programs is not victimless, as it directly steals resources from those who truly need it. Today’s court actions serve notice that IRS:CI will continue to protect our communities by investigating those who choose to commit these crimes.”
“The allegations described in this indictment represent significant abuse of the Paycheck Protection Program that was created to assist small businesses that were suffering the economic hardships caused by the pandemic," said Special Agent in Charge Jeffrey D. Pittano, of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG). “The FDIC OIG will continue to work with our law enforcement partners in the District of Hawaii, and elsewhere throughout the country, to investigate those who seek to take advantage of Federal relief programs and threaten to undermine the integrity of our Nation's financial institutions.”
“Today’s indictment sends a clear message that those who exploit and defraud financial institutions and the government’s pandemic relief funds will be brought to justice,” said Cory Nootnagel, Acting Special Agent in Charge, Western Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and Bureau of Consumer Financial Protection.
A federal indictment is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The investigation was conducted jointly by IRS Criminal Investigation, the FDIC Office of Inspector General, and the Office of Inspector General for the Board of Governors of the Federal Reserve System, with assistance from the Small Business Administration Office of Inspector General and the U.S. Treasury Inspector General for Tax Administration. Assistant U.S. Attorney Gregg Paris Yates is handling the prosecution.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Waipahu Man Arrested for Threats to Injure Others and Bomb Buildings in UtahRead the Press Release
HONOLULU – Bryan Melvin Brandenburg, 63, of Waipahu, made his initial appearance today in United States District Court in Honolulu on charges filed in a criminal complaint that he transmitted threats to injure another person and false threats to kill, injure and intimidate an individual, and to damage and destroy a building and other real property, by means of an explosive. The appearance followed Brandenburg’s arrest yesterday at his Waipahu residence. United States Magistrate Judge Wes Reber Porter ordered him detained pending a detention hearing on May 27.
According to court documents, while in Hawaii, on May 4, 2022, Brandenburg, who had pending divorce proceedings in a Utah state court, sent email communications to court personnel in Utah threatening to bomb the 3rd District Courthouse in Salt Lake City, the mayor’s office, the state capitol, every Ivy League school, and the federal courthouse in San Diego. Multiple media persons in Utah also received email communications from Brandenburg on May 4 and May 6 threatening to bomb the Salt Lake City courthouse, “Hall Labs,” and the University of Utah (identified as “U of U”) Center for Medical Innovation.
“Sending threats to kill people or destroy property is a serious matter that we will investigate and prosecute,” said Clare E. Connors, United States Attorney for the District of Hawaii. “It does not matter if the threats are false or made to people and places outside of Hawaii. This conduct causes harm and is unlawful.”
“This arrest confirms the FBI’s commitment in investigating threats of violence by means of an explosive to the fullest extent of the law,” said FBI Special Agent in Charge Steven Merrill. “Whether you threaten someone in Hawaii or elsewhere, the FBI will do whatever is necessary to protect the public to ensure their safety. We ask the public to be vigilant and report things that may seem suspicious or threatening to the FBI to (808) 566-4300 or tips.fbi.gov.”
Brandenburg is charged in the criminal complaint with one count of transmitting in interstate a communication containing a threat to injure the person of another and one count of conveying false threats through interstate commerce to kill, injure, or intimidate an individual or damage or destroy a building or other real property by means of an explosive. If indicted and convicted on those charges, Brandenburg faces maximum terms of imprisonment of five years on the count threatening injury and ten years the six false bomb threat charge.
A criminal complaint is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This investigation was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Darren Ching is handling the prosecution.
Hilo Man Pleads Guilty to Defrauding Paycheck Protection and Disaster Loan ProgramsRead the Press Release
HONOLULU – Carey Mills, 43, of Hilo, Hawaii pleaded guilty today before U.S. District Judge Derrick K. Watson to a single-count Information, charging him with wire fraud in connection with a scheme to defraud the Government of program funds intended for Coronavirus-related relief. Sentencing is scheduled for October 4, 2022. Mills faces a maximum term of imprisonment of 30 years and a fine of up to $1,000,000.
The Paycheck Protection Program (PPP) is a federal loan program that is intended to help small businesses survive the COVID-19 pandemic by providing them with funds to cover certain payroll costs, including benefits, interest on mortgages, rent and utilities. The Economic Injury Disaster Loan program (EIDL) provides low-interest loans and grants to small businesses that experience substantial financial disruptions due to federally-declared disasters, including the COVID-19 pandemic.
According to information presented in court, Mills submitted multiple applications for PPP and EIDL funds on behalf of three businesses under his control, Kanaka Maoli Hookupu Center, New Way Horizon Travel, and Uilani Kawailehua Foundation, each time utilizing interstate wires. To support the applications, Mills submitted fraudulent payroll documents and IRS forms, which included false employee and wage payment records. As a result of the false and fraudulent applications, Mills received $937,575 in the form of two forgivable PPP loans, one EIDL loan, and one EIDL grant to which he was not entitled.
“Congress funded the PPP and EIDL programs to provide a financial lifeline to struggling small businesses in Hawaii and across the United States during the COVID-19 pandemic,” said U.S. Attorney Clare E. Connors. “Unfortunately, bad actors have targeted these critical assistance programs and fraudulently diverted much-needed resources. Our office will investigate all allegations of unlawful use of these funds and is committed to ensuring federal taxpayer dollars are used for their intended purpose.”
“The Treasury Inspector General for Tax Administration will aggressively pursue those who endeavor to defraud taxpayer-funded Coronavirus Aid, Relief, and Economic Security Act programs, which were established to provide assistance to American business owners and their employees during these unprecedented times,” said J. Russell George, Treasury Inspector General for Tax Administration. “We appreciate the efforts of the U.S. Department Justice and our law enforcement partners in this effort.”
The investigation was led by the U.S. Treasury Inspector General for Tax Administration, with assistance from the Federal Deposit Insurance Corporation Office of the Inspector General, the Small Business Administration Office of the Inspector General, and Homeland Security Investigations. Assistant U.S. Attorneys Rebecca M. Perlmutter and Gregg Paris Yates handled the prosecution.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Former Maui Police Officer Pleads Guilty to Child Enticement ChargeRead the Press Release
HONOLULU – Brandon Charles Saffeels, 37, a former Maui Police Department officer, pleaded guilty today in the U.S. District Court to attempted child enticement. U.S. District Court Judge Leslie E. Kobayashi took Saffeels’ guilty plea and scheduled sentencing for September 7, 2022.
According to court documents and information presented to the court, on December 3, 2021, Saffeels contacted the online profile of what appeared to be a young female. The profile, however, was controlled by an undercover law enforcement officer (“UC”). Eventually during the conversation, Saffeels asked the UC, “How old are u?” and the UC responded “Plz dont judge but im 13.” Later in the conversation, the UC asked Saffeels, “U okay wit my age?” Saffeels replied, “Age is just a number.”
To entice the UC, Saffeels offered to take the UC shopping and repeatedly offered to give her money. At one point, the UC asked him what she needed to do for the money and Saffeels responded, “Sex.” Saffeels also repeatedly implored the UC to send him “sexy” pictures and specifically requested “a sexy nude” picture. For his part, Saffeels sent the UC a picture of himself in which a portion of his genitals was visible.
On December 4, 2021, Saffeels contacted the UC and requested that they meet for sex at a designated location. Shortly after midnight the following day, Saffeels arrived at the agreed-upon meeting location where he was arrested by law enforcement.
Saffeels was due to self-surrender to the federal Bureau of Prisons on January 7, 2022, to begin service of a 30-month sentence Judge Kobayashi imposed for a federal public corruption offense.
The charge of attempted enticement of a minor provides for a mandatory minimum sentence of not less than 10 years and up to life, a fine of up to $250,000, and a term of supervised release of not less than five years and up to life. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors. Saffeels will also have to register as a sex offender, as required by the Sex Offender Registration and Notification Act.
“This defendant violated the trust of the court, which had allowed him to remain out of custody prior to serving time for his public corruption sentence,” said U.S. Attorney Clare E. Connors. “Because the defendant’s new crime sought to victimize a child, it requires a minimum term of 10 years. Our office remains firmly committed to prosecuting crimes that target our children.”
“The FBI takes crimes against children seriously and even more so when it involves a former law enforcement officer whom the public holds to a higher standard,” said FBI Special Agent in Charge Steven Merrill. “We thank Maui Police Department and our other federal law enforcement partners for their assistance in protecting Hawaii’s keiki. We also thank the public for their continued trust and confidence in law enforcement as we investigate these types of cases.”
“Homeland Security Investigations is committed to protecting our keiki from predators like Mr. Saffeels,” said Special Agent in Charge John F. Tobon “What makes matters worse is that he once held a position of public trust.”
This conviction is the result of a multi-agency investigation involving the Federal Bureau of Investigation, Homeland Security Investigations, the Maui Police Department, and the United States Secret Service. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Mililani Felon Sentenced to 52 Months in Prison for Firearm and Witness Tampering OffensesRead the Press Release
HONOLULU – Chad Gabris, age 41, of Mililani, Hawaii, was sentenced today to serve 52 months in federal prison for firearm offenses and witness tampering. Senior United States District Judge Susan O. Mollway ordered that Gabris’s federal sentence run consecutive to a State of Hawaii term of imprisonment for violating his state parole, and also imposed a three-year term of supervised release, to begin once Gabris is released from prison.
According to information presented to the court, Gabris, a tattoo-validated member of the "La Familia" prison gang and registered sex offender, was on parole with the State of Hawaii on October 8, 2019, when law enforcement found a Glock .40 S&W firearm and 70 rounds of ammunition hidden in his car in Mililani. Gabris’ DNA was on the firearm and his palmprint on a box containing some of the ammunition. Four prior felony convictions, two for sexual assault and two for breaking into a motor vehicle, prevented Gabris from legally possessing the firearm and ammunition. As part of his previously entered guilty plea, Gabris admitted that he possessed the firearm and ammunition, knowing he was a convicted felon.
As part of his guilty plea, Gabris also admitted that, after his arrest, he corruptly persuaded both his mother and the mother of his children to lie to federal investigators to shield him from criminal prosecution. Gabris persuaded both women to tell federal investigators, falsely, that the firearm and ammunition did not belong to Gabris and that his mother purchased them from a homeless man in a parking lot. Gabris assured his mother that if she was arrested for possessing the firearm and ammunition, she would not spend more than a year in jail and that he would make arrangements to bail her out.
"Our office is firmly committed to prosecuting convicted criminals who illegally keep guns," said U.S. Attorney Clare E. Connors. "A core objective of the Project Safe Neighborhoods effort is to protect the community from an armed defendant who has a prior association with a prison gang and is a registered sex offender with sexual assault convictions.
"The sentencing today sends a strong message that convicted felons should never be in possession of any firearms as they are a menace to our society," said FBI Special Agent in Charge Steven Merrill. "The FBI is grateful to work with the Hawaii Department of Public Safety – Sheriff Division, Honolulu Police Department, and the Hawaii Paroling Authority as we continue to combat violent crimes across our state to protect the public and hold those accountable for such acts."
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Federal Bureau of Investigation and the Hawaii Department of Public Safety, Sheriff Division, with the assistance of the Honolulu Police Department and the Hawaii Paroling Authority. The prosecution is handled by Assistant U.S. Attorney Wayne A. Myers.
Honolulu Bookkeeper Pleads Guilty to $1.2 Million Fraud and Money LaunderingRead the Press Release
HONOLULU – Paul Henri Marie Harleman, 35, of Honolulu, appeared today before United States District Judge Derrick K. Watson and pleaded guilty to six counts of wire fraud and eight counts of money laundering contained in a federal indictment. Harleman has been detained since his arrest on April 23, 2021. Harleman is scheduled for sentencing on August 2, 2022.
According to court records, while Harleman was working as a contract bookkeeper, he devised two fraud schemes to obtain money from three of his clients. In the first scheme, from July 2018 to May 2020, Harleman formed a limited liability company with a name nearly identical to the name of a significant vendor to one of his clients, and then charged the client’s credit card for more than $146,000 in fraudulent invoices. In the second scheme, from September 2019 to his arrest, Harleman transferred more than $1,064,000 in a series of payments disguised as payroll from two of his clients to Harleman’s limited liability company. Harleman moved money fraudulently obtained from his three clients from his personal checking account to a personal investment account, resulting in the money laundering charges.
“This indictment arose from the concerted efforts of our federal law enforcement partners to investigate and prosecute financial crimes occurring in our district,” stated United States Attorney Clare E. Connors. “As reflected in the plea colloquy today in court, the defendant intentionally defrauded his clients and devised a scheme to conceal and further his illegal conduct. Our office will continue to identify and hold accountable those who commit such integrity crimes against our community members.”
“Because finances play such an integral part to our wellbeing, we place our utmost trust in accountants, bookkeepers, and other financial professionals to safeguard our financial security,” said IRS Criminal Investigation (“IRS:CI”) Special Agent in Charge Bret Kressin, of the Seattle Field Office. “When these individuals whom we have entrusted with our essential welfare decide to utterly betray this trust, hardworking individuals and whole communities suffer the consequences. IRS:CI understands how devastating financial crimes are, and we are committed to investigating and bringing to justice those like Mr. Harleman who care for nothing but their own greed.”
“Mr. Harleman was motivated by greed as he heartlessly stole thousands of dollars from small businesses and non-profit organizations,” said Special Agent in Charge John F. Tobon of Homeland Security Investigations Honolulu (“HSI”). “This guilty plea should send the message that HSI and our law enforcement partners will relentlessly pursue anyone who intends to hurt the people in our community for profit.”
As a result of his guilty pleas, Harleman faces up to 20 years imprisonment on each of the wire fraud counts and up to 10 years imprisonment on each of the money laundering counts, as well as a fine of up to $250,000 on each count, plus a term of supervised release up to three years. The court must also order restitution to the victims and forfeiture of the fraud proceeds and the property involved in the money laundering.
The case was investigated by Internal Revenue Service Criminal Investigation and Homeland Security Investigations. Assistant United States Attorney Craig S. Nolan is prosecuting the case.
The case originated with the United States Attorney’s Financial Crimes Task Force, which marshals federal resources to combat financial crimes victimizing residents, businesses, and non-profits in the District of Hawaii. Led by the United States Attorney’s Office, the task force includes Internal Revenue Service Criminal Investigation, Homeland Security Investigations, United States Secret Service, United States Postal Inspection Service, Federal Reserve Office of Inspector General, Federal Deposit Insurance Corporation Office of Inspector General, and Federal Bureau of Investigation.
Detainee Pleads Guilty to Injuring Officers in Assault at Detention CenterRead the Press Release
HONOLULU – David Akui-Cabanilla, III, 36, pleaded guilty today in federal court to two counts of assaulting a federal officer resulting in bodily injury. U.S. District Court Judge Leslie E. Kobayashi took Akui-Cabanilla’s guilty plea and scheduled sentencing for August 25, 2022.
Akui-Cabanilla admitted to assaulting multiple correctional officers on March 23, 2020, while he was a detainee at the Federal Detention Center in Honolulu. According to court documents and information presented to the court, in preparation for his attacks, Akui-Cabanilla, who was detained prior to trial on a separate federal charge for possessing a firearm as a convicted felon, fashioned two makeshift weapons. The first weapon was a long tube sock tied to the loop of a locked metal padlock. The second weapon was a “shiv” formed from a razor blade with a piece of bedsheet tied around one end, simulating a handle.
A correctional officer was stationed in the office in Akui-Cabanilla’s housing unit when Akui-Cabanilla entered the office and struck him in the head with the locked metal padlock. Akui-Cabanilla took the officer’s Bureau of Prisons-issued keys and pepper spray. He left the office and ran towards the door leading out of the housing unit.
As Akui-Cabanilla tried to unlock the door, other correctional officers opened it. Akui-Cabanilla sprayed multiple officers in the face with pepper spray. He then punched one of the correctional officers on the side of his head and face, knocking him down to the ground. The correctional officers struggled with Akui-Cabanilla before finally subduing him.
The first correctional officer was discovered unconscious on the floor of the housing unit office. He and the area around him were covered in blood. Taken by emergency medical transport to Queens Medical Center, he sustained a concussion and other serious injuries that resulted in hospitalization for five days. After that, he underwent two weeks of physical therapy before being able to return to work.
The correctional officer whom Akui-Cabanilla punched in the head also received emergency medical treatment at Queens Medical Center on March 23. He subsequently underwent months of periodic physical therapy for his injuries.
Each count of assaulting a federal officer resulting in bodily injury provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of $250,000.
“This case illustrates the dangers correctional officers face each time they report for duty,” said United States Attorney Clare E. Connors. “We will investigate these types of unprovoked violent assaults against correctional officers and initiate additional prosecutions against culpable detainees.”
“The FBI will not tolerate the assault of any federal officer especially while performing their official duties,” said FBI Special Agent in Charge Steven Merrill. “The FBI is committed to holding Mr. Akui-Cabanilla accountable for such an egregious act. We thank the U.S. Attorney’s Office for the District of Hawaii for the additional prosecution.”
The investigation in the case was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Molokai Man Pleads Guilty to Flight Interference and Assault of AttendantRead the Press Release
HONOLULU – Steven Sloan, Jr., 33, of Molokai yesterday pleaded guilty before Chief United States District Judge J. Michael Seabright to interfering with flight crew members and assaulting a flight attendant on a flight from Honolulu to Hilo on September 23, 2021. Chief Judge Seabright scheduled his sentencing for August 4, 2022.
According to court documents and information presented in court, on September 23, 2021, at approximately 7:30 am, Hawaiian Airlines Flight #152 was in the air from Honolulu to Hilo when the flight attendant victim of the assault moved from the front of the aircraft and proceeded toward the rear, collecting trash. When he approached row six, he collected trash from the left side of the aisle and when he turned his attention to the right side, Sloan punched the victim in the chest with a closed fist. The victim, who did not know Sloan, was shocked as the blow was unexpected.
The victim saw that Sloan was upset or agitated and attempted to cover his body and create space from Sloan. Sloan then struck the victim on the back left side of head. Fearing for his safety, the safety of the other two flight attendants as well as the other passengers, particularly the woman seated next to Sloan, the victim advised the other flight attendants to abandon their normal flight duties and to monitor the doors of the aircraft in the event Sloan went for the doors. The captain of the plane was advised of this and returned the flight to Honolulu.
When he is sentenced, Sloan faces maximum penalties of 20 years in prison for the charge of interference with flight crew members and attendants, a fine of $250,000, and a term of supervised release of three years. The maximum penalties for the assault charge are one year imprisonment, a fine of $100,000, and a term of supervised release of one year.
“Crimes committed on an aircraft while in flight can imperil the safety of all those on board,” said United States Attorney Clare Connors. “This prosecution demonstrates the potential federal criminal consequences of assaulting a flight crew member.”
"The FBI takes these types of crimes seriously,” said FBI Special Agent in Charge Steven Merrill. “The flight crew has a right to feel safe aboard an aircraft while also performing their duties. We encourage everyone to be aware of their surroundings on board an airplane and understand that the FBI will investigate these crimes to the fullest extent of the law.”
The case was investigated by the Federal Bureau of Investigation and State of Hawaii Department of Public Safety - Sheriff Division and prosecuted by Assistant U.S. Attorney Darren W.K. Ching.
Waianae Man Receives 25 Years in Prison for Methamphetamine Trafficking and Firearm PossessionRead the Press Release
HONOLULU – Brandan Grilho, 37, of Waianae, was sentenced today in federal court by United States District Judge Derrick K. Watson to 20 years imprisonment for conspiracy to distribute methamphetamine, and a consecutive five years imprisonment for possession of a firearm in connection with his drug trafficking, plus five years on supervised release. Grilho has been detained since his arrest on August 12, 2020.
According to court records, Grilho led a conspiracy to distribute methamphetamine in Waianae from December 2019 to April 2020. During the conspiracy, the Drug Enforcement Administration (DEA) and the Honolulu Police Department (HPD) used a confidential informant and an undercover officer to make five controlled purchases of methamphetamine in amounts ranging from one to three ounces from the conspirators. On April 29, 2020, DEA and HPD executed search warrants at two Waianae residences used by conspirators, seizing methamphetamine, two firearms, more than 300 rounds of ammunition, approximately $6,500 cash, and items that subsequently led to the seizure of approximately $10,000 cash from a safety deposit box. Based on the evidence presented by the government, the Court determined that Grilho distributed at least 120 pounds of methamphetamine during the two years prior to the execution of the search warrants.
Codefendants Kanio Aipolanikaaihue and Jaime Wallace were sentenced by Judge Watson to 57 months imprisonment plus three years supervised release on October 21, 2021, and December 7, 2021, respectively. Codefendant Leslie Reyes-Grilho is scheduled for sentencing on April 19, 2022.
This case was the result of an investigation by DEA and HPD with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Craig S. Nolan is prosecuting the case.
Honolulu Man Sentenced to 37 Months in Prison for Possessing Ammunition as a Convicted FelonRead the Press Release
HONOLULU – Senior United States District Judge Susan O. Mollway today sentenced Tiseya Puapuaga, 27, of Honolulu and California, to 37 months in prison for possessing ammunition as a felon, to run consecutive to any State of Hawaii term of imprisonment that is imposed if revocation of his state probation occurs.
United States Attorney Clare E. Connors stated that, according to court documents and information presented in court, on December 18, 2020, the Honolulu Police Department responded to an apartment in Waikiki where Puapuaga was residing. In the apartment, police recovered a disassembled pistol, known as a ghost gun, a disassembled AR-15-type rifle, other gun parts, such as a loaded handgun magazine, and four rounds of ammunition from the living room, kitchen, and inside the oven. Ghost guns are capable of subverting application of federal firearms laws because their separate parts may be assembled in the State of Hawaii, rather than being manufactured in another jurisdiction.
Puapuaga was on probation with the State of Hawaii when the incident in Waikiki occurred. His probation status was for a 2019 felony conviction involving assault and a firearms offense related to a shooting that occurred in the Chinatown area of Honolulu. Revocation of his probation for the 2019 State of Hawaii conviction Puapuaga is pending.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Federal Bureau of Investigation and the Honolulu Police Department and prosecuted by Assistant U.S. Attorney Rebecca A. Perlmutter.
Former Youth Sports Coach Pleads Guilty to Producing Child PornographyRead the Press Release
HONOLULU – Rian Harold Ishikawa, 43, of Kailua, appeared today in federal court before United States District Judge Leslie E. Kobayashi, and pleaded guilty to six counts of production of child pornography. Ishikawa was arrested on June 29, 2020, and subsequently indicted by a federal grand jury on April 1, 2021. Ishikawa’s sentencing hearing is scheduled for July 14, 2022.
During today’s hearing and in a plea agreement, Ishikawa admitted that from November 2012 to July 2015, he produced child pornography involving at least six children between the ages of nine and eleven. The children were friends of Ishikawa’s child and participants in youth sports teams coached by Ishikawa. Using a hidden cell phone, Ishikawa video-recorded each child changing clothes, showering, or drying off in a bathroom in his Kailua residence. Ishikawa also created close-up still images of the naked genitals of the video-recorded children.
Evidence of Ishikawa’s child exploitation crimes first came to the attention of his email provider in November 2019 and was subsequently reported to the National Center for Missing and Exploited Children and to Homeland Security Investigations (“HSI”), which conducted an investigation. Federal jurisdiction exists because Ishikawa used a cell phone that had been transported across state lines before its use in his crimes, and because emails Ishikawa sent to himself of the recordings and images crossed state lines by traveling through his email provider’s servers on the mainland.
Ishikawa faces imprisonment for a term between 15 and 30 years followed by supervised release for a term between 5 years and life on each count. He will also be required to pay restitution of at least $3,000 to each victim and may be fined by the Court. The plea agreement between the government and Ishikawa provides that the government will recommend a sentence of 20 years imprisonment on each count, and that the parties will jointly recommend at least 10 years of post-imprisonment supervised release.
United States Attorney Clare E. Connors stated, “Crimes targeting children, especially sexually exploitive crimes perpetrated by persons in positions of trust, threaten the overall safety of our community. These very serious offenses carry significant prison penalties and will be vigorously prosecuted by our office.”
“Mr. Ishikawa used his position as a trusted community member to commit unspeakable crimes against children,” said HSI Special Agent in Charge John F. Tobon. “Let this case be a reminder that HSI and our local law enforcement partners will work tirelessly to remove predators from our streets to keep our keiki safe.”
This case was investigated by Homeland Security Investigations. Assistant U.S. Attorney Craig S. Nolan is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section of the Department of Justice’s Criminal Division, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Defendants Sentenced for Scheme to Defraud Local Housing Programs of over $100,000Read the Press Release
HONOLULU, Hawaii – Raelene Rodrigues, 62, of Honolulu, Hawaii was sentenced today. Rodrigues was the last of four defendants convicted and sentenced in connection with charges involving a scheme to defraud federally funded local housing programs for over $100,000 from approximately April 2015 to August 2017. Co-defendants Leopoldo Bitte, Jr., 38, of Hilo Hawaii, Gregory Lau, 40, of San Leandro, California, and separately-charged defendant Kalani Lopez, 38, of Honolulu, Hawaii, were recently sentenced for their involvement in the same scheme.
On March 18, 2021, Bitte, Jr. pleaded guilty to one count of wire fraud conspiracy and one count of aggravated identity theft. On March 24 and 29, 2021, Lau and Lopez each respectively pleaded guilty to one count of wire fraud conspiracy for their involvement in the same scheme. Rodrigues pled guilty on September 30, 2021 to one count of wire fraud conspiracy and two counts of wire fraud.
According to the facts stated in court documents and the defendants’ plea agreements, as well as statements in court, Bitte, Jr. worked for the Institute for Human Services (“IHS”) as a housing specialist. IHS is a Hawaii-based non-profit organization that provides financial assistance to individuals and families at risk for homelessness. Bitte, Jr. entered into agreements with Rodrigues, Lau and Lopez to defraud IHS by falsely representing that Rodrigues, Lau and Lopez were landlords eligible to receive IHS funds dedicated to the Homeless Prevention & Rapid Rehousing (“HPRP”) and Clean and Sober programs. A portion of those IHS funds had been provided through federal grants from the U.S. Department of Housing and Urban Development (“HUD”). Bitte, Jr. created fake rental agreements by using the names and personal identifying information of other individuals who had applied legitimately for services with IHS and falsely identified Rodrigues, Lau and Lopez as the landlords. Bitte, Jr. used these fake rental agreements and other documentation to cause IHS to generate checks payable to Rodrigues, Lau and Lopez. Rodrigues, Lau and Lopez then cashed the checks and split the proceeds with Bitte, Jr. As a result of this scheme, HIS generated 34 checks totaling over $100,000 payable to Rodrigues, Lau, and Lopez.
On August 11, 2021, Bitte, Jr. was sentenced to 38 months’ imprisonment --- 14 months on one count of wire fraud conspiracy and 24 months for one count of aggravated identity theft, to be served consecutively, followed by two years of supervised release. On June 15, 2021, Lau was sentenced to 30 days imprisonment followed by three years of supervised release. Lopez was sentenced on August 2, 2021, to three years of probation. Today, Rodrigues was sentenced to 12 months and one day imprisonment followed by three years of supervised release. All four defendants are required to make restitution to IHS and its insurer.
“This case illustrates how defrauding federally funded programs does more than just illegally take money from the federal government -- it also deprives struggling members of our community of the monetary assistance they need to subsist,” said U.S. Attorney Clare E. Connors. “These convictions bring to justice those who enrich themselves at the expense of those in need of financial assistance.”
“These defendants’ fraudulent actions jeopardize the integrity of HUD programs that are designed to assist ordinary Americans who are trying to fulfill their dreams of homeownership,” said Assistant Special Agent-in-Charge Mark Kaminsky with the Housing and Urban Development Office of Inspector General. “HUD OIG will seek out and hold accountable individuals who steal taxpayer dollars to support their own interests.”
The case was investigated by the HUD Office of Inspector General and prosecuted by Assistant U.S. Attorney Michael F. Albanese.
Former Hawaii State Legislators Plead Guilty to Honest Services Wire FraudRead the Press Release
HONOLULU – Jamie Kalani English, 55, of Hana, Maui, and Ty J.K. Cullen, 41, of Waipahu, Hawaii, pleaded guilty today before Senior United States District Judge Susan Oki Mollway to separate Informations charging each of them, respectively, with one count of honest services wire fraud. The Informations charge that English and Cullen accepted multiple bribes in return for performing, and agreeing to perform, official legislative acts on behalf of a Hawaii businessperson. Each defendant faces maximum penalties of 20 years imprisonment and a fine of $250,000 at their sentencings, which are set before Judge Mollway on July 5, 2022.
Court documents and information provided in court detailed a series of bribes paid to English by a Hawaii businessperson, identified as “Person A” in the Information, over the course of several years. More recently, in June of 2019, English requested that Person A provide him with two hotel rooms in Las Vegas for his use while attending a concert. In return for the rooms, English later emailed Person A a draft legislative report concerning cesspools which could directly benefit Person A’s company. Also in June 2019, English asked Person A to “host” English and his family at a local Honolulu restaurant for dinner. Person A told English he could not attend, but provided $500 to English for the dinner, which English accepted.
In January 2020, English introduced into law a Senate bill involving cesspools that could directly benefit Person A’s company. In return, Person A paid English $1,000. On March 11, 2020, Person A met with English and offered him $10,000 in cash to kill the cesspool bill. English accepted the $10,000 stating “it’s easy to kill bills.” Due to the Covid 19 pandemic, the bill did not advance.
In January 2021, English accepted another $5,000 from Person A in return for anticipated legislative assistance to Person A. During a subsequent law enforcement traffic stop, English hid the $5,000 under the vehicle’s floor mat.
Similarly, court documents and information provided in court detailed a series of bribes paid to Cullen over the course of several years by an individual also identified as “Person A” in the Information pertaining to Cullen. Cullen initially accepted casino chips in New Orleans from Person A and later supported legislation that would benefit Person A’s company. More recently, in September of 2019, Cullen accepted $5,000 from Person A for anticipated legislative assistance that would benefit Person A’s company. Cullen subsequently accepted payments in the amounts of $3,000 in December 2019, $5,000 in January 2020, and then $10,000 on March 10, 2020, $2,000 in June 2021 and $5,000 in October 2021. The payments Person A made to Cullen were for the purpose of influencing Cullen to support or manipulate legislation that would benefit Person A’s company.
On their annual mandatory gift disclosure reports, English and Cullen failed to report any of the bribes and gifts paid and given to him by Person A. As a part of their official gift disclosure submissions, English and Cullen emailed this false and misleading disclosure form, thereby using interstate commerce.
The investigation in the case was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorneys Ken Sorenson, Micah Smith and Michael Albanese of the District of Hawaii are prosecuting the case.
Arrest in California on Hawaii Indictment Charges Investment Fraud of over $2 MillionRead the Press Release
HONOLULU – United States Attorney Clare E. Connors and Federal Bureau of Investigation Special Agent in Charge Steven Merrill announced today that Richard Patterson, also known as Xavier Carter, 40, was arrested on February 11 in California pursuant to an indictment in the District of Hawaii. Patterson, Dashawn Hill, 46, and Judy Ramos, 52, all former residents of Hawaii, were charged with Conspiracy and Wire Fraud, and Patterson and Ramos also were charged with money laundering. Patterson made an initial appearance in court in the Central District of California. Ramos and Hill have not yet been arrested.
The indictment alleges that beginning by at least in or around July 2015, the defendants participated in an “advanced payment scheme.” One or more of the defendants solicited upfront payments from victim-investors that would purportedly be used to generate much larger sums of money for the victim-investors after a short period. The upfront payments were not invested and had no reasonable possibility of generating the promised return. To perpetuate the scheme, the defendants falsely represented that they were wealthy financial professionals, and that Patterson and Hill owned a financial institution that was properly registered in Switzerland. At times, Patterson used a fictitious alias, “Xavier Carter” and spoke with a fake accent.
The indictment further alleges that upfront payments were divided amongst the defendants and used to pay the defendants’ personal expenses, such as credit card bills, rent, entertainment expenses, and other expenses, none of which were investments and had no potential to earn the returns promised to the investors. During the course of the conspiracy, the defendants collectively solicited over $2.5 million in upfront payments from investors, and only returned approximately $163,000, some of which was derived from the payments of other victim-investors.
“Those who take money from investors by promising great returns in a short amount of time, with little or no attempt to generate such returns, should face serious consequences for their actions,” said U.S. Attorney Connors.
“The alleged fraudsters preyed on our communities, targeting trusting families and local business owners for their own selfish gain. The FBI takes financial crimes very seriously and will bring its considerable resources to hold those who commit fraud accountable,” said Special Agent in Charge Steven Merrill. “Friday's arrest is a direct result of the professional and thorough work of our employees and partners. I urge the community to use our tip line at tips.fbi.gov to aid us in bringing those who commit fraudulent schemes to justice.”
If convicted, each defendant faces a sentence of up to 20 years imprisonment, and a fine of up to $250,000 for each count of conspiracy to commit wire fraud or wire fraud. Patterson and Ramos face up to 10 years imprisonment, and a fine of up to $250,000 for each count of money laundering. An indictment is merely an allegation, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the FBI. Assistant United States Attorney Michael F. Albanese is prosecuting the case.
Waianae Man Sentenced to over 11 Years in Prison for Robbery and Attempted CarjackingRead the Press Release
HONOLULU – Senior United States District Judge Helen Gillmor yesterday sentenced Joshua Leiataua, 30, of Waianae, Hawaii, to 137 months imprisonment for robbery and attempted carjacking. He also received 120 months imprisonment, to be served concurrently with the 137 month-sentence, for possessing ammunition as a felon.
U.S. Attorney Clare E. Connors stated that, according to court documents and information presented in court, on April 5, 2020, Leiataua entered a mini mart in Waipahu, brandished a firearm at the cashier, and demanded money. When the cashier was unable to open the register, Leiataua stole cartons of cigarettes and other items at gunpoint.
Approximately one month later, on May 13, 2020, Leiataua and Shanice Faalogo attempted to steal a vehicle from two individuals in Waianae at gunpoint. On that date, Leiataua approached the male victim who was standing just outside of the vehicle, brandished a firearm at the victim, and demanded that he give up the vehicle. Faalogo then took the firearm from Leiataua and discharged it in the direction of the male victim up in the air above him. Leiataua threw the female victim out of the vehicle by her hair. When Leiataua and Faalogo attempted to start the vehicle, they discovered the vehicle’s battery was dead and fled the scene.
At sentencing, Senior U.S. District Judge Helen Gillmor commented that Leiataua’s criminal conduct—involving “violence and firearms”—and criminal history show a “lack of respect for the law.” Faalogo previously pleaded guilty to the attempted carjacking and is awaiting sentencing.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Honolulu Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, and prosecuted by Assistant U.S. Attorney Sara D. Ayabe.
Honolulu Woman Receives Three Months in Prison for Removal and Retention of Classified MaterialRead the Press Release
HONOLULU – Asia Janay Lavarello, 32, was sentenced in the U.S. District Court for the District of Hawaii on February 10, 2022, by Chief U.S. District Court Judge J. Michael Seabright to three months of imprisonment and a $5,500 fine for knowingly removing classified information concerning the national defense or foreign relations of the United States and retaining it at an unauthorized location. Lavarello had pleaded guilty to the charge in July 2021.
According to information produced to the court, Lavarello, a Department of Defense employee, removed and retained numerous classified documents, writings, and notes relating to the national defense or foreign relations of the United States without authority. While working as an Executive Assistant at the United States Indo-Pacific Command in Hawaii, Lavarello accepted a temporary assignment working at the U.S. Embassy in the Philippines. There, Lavarello had access to classified computers and documents, and attended classified meetings as part of her official duties. Court documents list several specific instances in which Lavarello mishandled classified material of the United States.
On March 20, 2020, Lavarello removed classified documents from the U.S. Embassy Manila. She took the classified documents to her hotel room where she hosted a dinner party later that evening. Among the guests were two foreign nationals. During the party, a co-worker at the U.S. Embassy Manila discovered the documents, which included documents classified at the SECRET level. Lavarello’s temporary assignment in the Philippines was ultimately terminated due to her mishandling of SECRET classified documents.
Around March 28, 2020, Lavarello returned to Hawaii. In June of that year, investigators executed a search warrant at her workplace at the United States Indo-Pacific Command. In her desk, investigators found a notebook containing Lavarello’s handwritten notes of meetings she attended while working at the U.S. Embassy Manila. The notes contained facts and information classified at the CONFIDENTIAL and SECRET levels. Investigators determined that Lavarello did not send the classified notebook via secure diplomatic pouch from the U.S. Embassy Manila to Hawaii, as required. Instead, she personally transported the documents to Hawaii, unsecured, and kept the classified notebook at an unsecure location until at least April 13, 2020. Subsequently, Lavarello made false statements to the Federal Bureau of Investigation and the Naval Criminal Investigative Service in response to questioning about her handling of the classified material.
United States Attorney Clare E. Connors; Assistant Attorney General Matthew Olsen of the National Security Division of the Department of Justice; Steven Merrill, Special Agent in Charge of the Federal Bureau of Investigation, Honolulu Field Division; and Norman Dominesey, Special Agent in Charge of the Naval Criminal Investigative Service, Hawaii Field Office made the announcement today.
“Government employees authorized to access classified information should face imprisonment if they misuse that authority in violation of criminal law as Ms. Lavarello did in this case,” said U.S. Attorney Connors. “Such breaches of national security are serious violations of criminal law, and we will pursue them.”
“The American people entrust government employees with the responsibility to ensure classified information is properly handled and secure. Ms. Lavarello violated this trust when she removed classified documents from the U.S. Embassy Manila,” said FBI Special Agent in Charge Merrill. “Today’s sentencing reflects the FBI and its partners unwavering commitment to keeping our communities safe and bringing offenders to justice.”
“Today’s sentencing of Ms. Lavarello is a reminder that Department of Defense employees have the responsibility to ensure classified information is properly secured. Mishandling classified information places lives and the U.S. National Security at risk,” said NCIS Special Agent in Charge Dominesey. “Ms. Lavarello violated that trust and was brought to justice through the collaborative investigative efforts of the FBI, NCIS, and U.S. Attorney’s Office.”
The case was the result of a joint investigation between the FBI and NCIS. Assistant U.S. Attorney Mohammad Khatib and Trial Attorney Stephen Marzen of the National Security Division prosecuted the case.
Two Hawaii Legislators Charged with Honest Services FraudRead the Press Release
HONOLULU – United States Attorney Clare E. Connors and Federal Bureau of Investigation Special Agent in Charge Steven Merrill announced that the United States Attorney today filed separate informations charging Jamie Kalani English, age 54, and Ty Cullen, age 41, each with one count of honest services wire fraud. Court appearances for both defendants are expected shortly.
Both informations allege that the defendants defrauded the citizens of the State of Hawaii of their right to honest and faithful services as elected legislators through bribery and concealment of material information. According to one of the informations, English is a former state senator and Senate Majority Leader who served the 7th Senatorial District (Hana, East and Upcountry Maui, Molokai, Lanai, and Kahoolawe) from approximately 2000 until 2021. This information alleges that beginning at an unknown date, but at least by 2015, English received benefits such as cash, hotel rooms and other bribes to take official action that would benefit the person providing the bribes. In one instance involving the 2020 state legislative session, English agreed to introduce a bill and also to kill bills in exchange for cash. The gifts and benefits English received totaled in excess of $18,800, which he also failed to report during the applicable reporting period.
Cullen’s information states that he has represented House District 39 (Village Park, Royal Kunia, Waipahu, Makakilo, and West Loch) since 2013, and serves as Vice Chair of the House Committee on Finance. The information alleges that beginning in 2014, Cullen accepted benefits and gifts such as casino chips and cash intended to influence his official actions as a legislator. The information specifically alleges four cash payments totaling $23,000 from September 2019 to March 2020.
United States Attorney Connors said: “Ensuring that government officials provide services free of corrupt practices that violate federal law is a critical priority. We will continue to work with our law enforcement partners to investigate and prosecute government officials who use their positions for illegal enrichment.”
“The FBI makes corruption investigations a priority in Hawaii and will pursue alleged corruption by public officials such as Mr. English and Mr. Cullen to the fullest extent of the law,” said FBI Special Agent in Charge Merrill. “Today’s charges demonstrate the FBI’s commitment to protect the public’s trust through these types of investigations.”
If convicted, each defendant faces a sentence of up to 20 years imprisonment, and a fine of up to $250,000. An information is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the FBI. Assistant United States Attorneys Kenneth Sorenson, Micah Smith, and Michael Albanese are prosecuting the case.
Arizona Man Sentenced to 15 Years in Prison for Aggravated Role in Fentanyl ConspiracyRead the Press Release
HONOLULU – Robert Darnell Beal, 41, of Chandler, Arizona, was sentenced in federal court on February 7, 2022, by United States District Judge Derrick K. Watson to 180 months imprisonment for his role in a conspiracy to distribute fentanyl. On June 25, 2021, Beal was found guilty of conspiring to distribute 400 grams or more of fentanyl after a five-day jury trial in Honolulu.
Clare E. Connors, United States Attorney for the District of Hawaii, said the evidence presented in court showed that Beal flew to the Dayton International Airport in Ohio from Phoenix, Arizona, on December 10, 2014, and took possession of over four pounds of fentanyl that was transported from the San Francisco Bay Area to Dayton, Ohio by another individual.
Special Agents of the Federal Bureau of Investigation (FBI) monitoring wiretaps authorized by the United States District Court determined that the fentanyl was being transported to Dayton, Ohio on December 10, 2014 by a drug trafficking organization operating on Maui and in Northern California. The FBI and Drug Enforcement Administration in Ohio, working in conjunction with the Ohio State Highway Patrol, effected a stop of Beal’s taxicab outside the Dayton International Airport and seized 4,007 grams of fentanyl in Beal’s travel bag.
Beal faced a mandatory minimum sentence of 180 months (15 years) imprisonment after the prosecution filed an enhancement alleging a prior federal felony conviction for possessing cocaine base with intent to distribute in the District of New Mexico.
This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The case was the result of an investigation conducted by the Federal Bureau of Investigation, the Maui Police Department, the Drug Enforcement Administration, and assisted by the Ohio State Highway Patrol. This case was prosecuted by Assistant U.S. Attorney Thomas C. Muehleck.