Northern District of Illinois
Press releases recorded for this federal judicial district.
Federal Jury Convicts Two Men in Violent Kidnapping Conspiracy Involving Several Victims in Chicago SuburbsRead the Press Release
CHICAGO — Two men have been convicted on federal kidnapping charges for conspiring to abduct several victims at gunpoint in the Chicago suburbs.
SEDGWICK WILLIAMS and TAI HON LA conspired with each other and others to carry out the kidnappings in the fall of 2019. Williams personally participated in kidnappings that occurred in Naperville, Ill., and Westchester, Ill., in October and November 2019. Williams and La also attempted a third kidnapping in South Holland, Ill., in December 2019. Their efforts to abduct the intended victim in that incident were unsuccessful, and they were both arrested fleeing from the South Holland residence.
After a two-week trial, on May 22, 2024, a jury in federal court in Chicago convicted Williams and La of participating in the kidnapping conspiracy and the attempted kidnapping in South Holland. Williams was also convicted on individual kidnapping counts concerning the Naperville and Westchester kidnappings, and with falsely impersonating a federal law enforcement officer. La was also convicted of illegal firearm possession.
Williams, 47, of Chicago, and La, 34, of Beach Park, Ill., each face a maximum sentence of life in federal prison. Sentencings have not yet been scheduled.
The convictions were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The case was investigated with the assistance of the Naperville Police Department, Westchester Police Department, South Holland Police Department, Chicago Police Department, the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the DuPage County Sheriff’s Office. The government is represented by Assistant U.S. Attorneys Jared C. Jodrey, Corey B. Rubenstein, and Kate McClelland.
According to evidence presented at trial, the first kidnapping occurred in Naperville on Oct. 17, 2019, when the conspirators posed as law enforcement officers to handcuff and abduct a man at gunpoint outside of his electronics store, which they then burglarized. The conspirators forced the victim into their car and transported him to a vacant unit in Chicago, where they physically assaulted him and extorted his family. Following his release, the victim received medical treatment in a hospital.
The conspirators carried out the kidnapping in Westchester on Nov. 16, 2019. Posing as DEA agents, the conspirators handcuffed and abducted a man at gunpoint outside of his residence. The conspirators forced the victim into his home, where they seized another victim and forced them both into the basement. Two other victims later arrived at the residence and were also forced into the basement at gunpoint. The conspirators stole cash and jewelry before fleeing the residence.
The conspirators attempted the third kidnapping in South Holland on Dec. 11, 2019, but they were unsuccessful because the intended victim called 911 and the South Holland Police arrived on scene before the conspirators could gain access to the house.
Two other defendants charged in the case pleaded guilty prior to trial. IVAN AYERS, 36, of Chicago, pleaded guilty to participating in the kidnapping conspiracy. JONATHAN VARGAS, 38, of Chicago, pleaded guilty to kidnapping the first victim in Naperville. Ayers and Vargas are awaiting sentencing.
Two Sets of Brothers Among Ten Defendants Charged with Conspiring to Rob Armored Trucks and ATMs in Chicago SuburbsRead the Press Release
CHICAGO — A federal grand jury has indicted ten defendants, including two sets of brothers, for allegedly conspiring to violently rob armored trucks and automated teller machines in the Chicago suburbs.
Charged with robbery conspiracy and firearm offenses are DEVONTE DAVIS, 27, of Chicago; DARRELL SINGLETON, 19, of Calumet City, Ill., and his two brothers, CORRIE SINGLETON, 22, of South Holland, Ill., and ELIJAH SINGLETON, 21, of Calumet City; ANTHONY WILSON, 22, and his brother, AVEON WILSON, 23, both of Gary, Ind.; BRIAN SNYDER, 24, of Chicago; JUSTIN CAIN, 25, of Chicago; PERRY MAPLE, 21, of Chicago; and WILLIAM COCHRAN, 21, of Chicago.
According to a recently unsealed, second superseding indictment returned in U.S. District Court in Chicago, the robbers brandished firearms in eleven robberies and attempted robberies in 2022 and 2023. The heists and attempted heists occurred in Lansing, Ill., Country Club Hills, Ill., Orland Park, Ill., Homewood, Ill., Blue Island, Ill., and Chicago Heights, Ill., and resulted in a total loss of at least $3.8 million, the indictment states.
One of the robberies occurred on Halloween morning in 2022 when a Brink’s security courier was refilling an ATM in Lansing. Corrie Singleton, Darrell Singleton, and others forcibly dragged the courier into the armored truck at gunpoint and ordered her to open compartments and hand over bags of money, according to a criminal complaint previously filed in the case. Another of the heists occurred on May 2, 2023, when two guards were picking up money from a bank inside of a grocery store in Homewood. One of the robbers struck a guard in the head with a firearm. The robbers took approximately $1.1 million, all of which was recovered by law enforcement upon the arrests of Davis and Darrell Singleton later that day in Calumet Park, Ill., according to a criminal complaint previously filed in the case. Another violent attempted robbery occurred on Oct. 2, 2023, in Country Club Hills, when robbers fired shots at an armored truck guard before carjacking a nearby vehicle to flee the scene, according to a previously filed criminal complaint.
Nine of the ten defendants pleaded not guilty to the superseding charges during arraignments this month in federal court in Chicago. They have been ordered detained in federal custody pending trial. Aveon Wilson is considered a fugitive and a warrant has been issued for his arrest. The FBI has issued a reward of up to $20,000 for information leading to Aveon Wilson's arrest and conviction.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Substantial assistance was provided by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives in Chicago, Illinois State Police, Cook County Sheriff’s Office, Orland Park Police Department, Evergreen Park, Ill. Police Department, Joliet, Ill. Police Department, Calumet Park Police and Fire Departments, Homewood Police Department, Chicago Police Department, Country Club Hills Police Department, Calumet City Police Department, Dolton, Ill. Police Department, Alsip, Ill. Police Department, and Lansing Police Department. The government is represented by Assistant U.S. Attorneys Elie Zenner, Kirsten Moran, and Simar Khera.
Holding firearm offenders accountable through federal prosecution is the centerpiece of Project Safe Neighborhoods, a nationwide Department of Justice initiative that brings together law enforcement officials, prosecutors, community leaders, and other stakeholders to develop comprehensive solutions to the most pressing violent crime problems in a community. In the Northern District of Illinois, the U.S. Attorney’s Office and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Davis et al indictmentCalifornia Man Indicted on Federal Fraud Charges for Allegedly Swindling Suburban Chicago Resident out of $2 MillionRead the Press Release
CHICAGO — A California man has been indicted on federal fraud charges for allegedly swindling a suburban Chicago resident out of $2 million.
RAYMOND ECHAVEZ VILLAMOR, 60, of Newport Beach, Calif., is charged with five counts of wire fraud in an indictment returned in U.S. District Court in Chicago. Each count is punishable by up to 20 years in federal prison. Villamor pleaded not guilty to the charges during his arraignment Monday before U.S. Chief Magistrate Judge Young B. Kim.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government is represented by Assistant U.S. Attorney Jared Hasten.
The officials noted that the investigation remains ongoing.
According to the indictment, Villamor operated a company called Rainbowork, LLC. Over the course of six months last year, Villamor fraudulently solicited, obtained, and retained an investment of approximately $2 million from an individual residing in Glenview, Ill., the indictment states. Villamor made false representations about the performance and value of the investment, and falsely promised to repay all of it – with an added return – within a specified period of time, even though he knew he did not have the capability to do so, the indictment states.
Villamor misappropriated the victim’s money to pay for personal expenses, including vehicle purchases, the indictment states.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Villamor indictmentFour Men Indicted on Federal Racketeering Charge for Allegedly Murdering Man to Increase Position in Chicago Street GangRead the Press Release
CHICAGO — Four men have been indicted on a federal racketeering charge for allegedly murdering a man to maintain and increase their positions in a violent Chicago street gang.
JOSHUA BROUGHTON, 34, of Chicago, CHRISTOPHER SINGLETON, 24, of Chicago, JARON DAVIS, 22, of Lansing, Ill., and GRIEG MACON, 27, of Chicago, are charged with racketeering and firearm offenses in an indictment unsealed Wednesday in U.S. District Court in Chicago. The indictment accuses the four defendants of murdering Ogonnia Okeke on June 1, 2021, for the purpose of maintaining and increasing their positions in the Rack City street gang. Okeke, 25, was fatally shot in the Princeton Park neighborhood on Chicago’s South Side.
The indictment alleges that the Rack City gang is a criminal organization whose members and associates engaged in narcotics trafficking and committed acts of violence to preserve and protect the gang’s perceived territory. Members of the gang intimidated rivals, victims, and witnesses through acts and threats of violence, boasted about their gang on social media, and took steps designed to prevent law enforcement from detecting their criminal activities, according to the indictment. Eight other alleged members or associates of the Rack City gang were charged last year with firearm or drug offenses as part of the federal investigation.
Davis was arrested on Wednesday. He pleaded not guilty during his arraignment Wednesday afternoon in federal court in Chicago. The three other defendants were previously arrested and remain in federal custody. The U.S. Attorney’s Office will seek to keep all four defendants detained pending trial.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Larry Snelling, Superintendent of the Chicago Police Department. Valuable assistance was provided by the Illinois State Police Firearm Investigation Unit, IRS Criminal Investigation Chicago Field Office, Rosemont, Ill. Police Department, and Cook County Sheriff’s Office. The government is represented by Assistant U.S. Attorneys Jimmy L. Arce, Margaret A. Steindorf, and Elly M. Peirson.
The case is part of an Organized Crime Drug Enforcement Task Forces investigation. OCDETF identifies, disrupts, and dismantles drug traffickers and other criminal offenders that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement against criminal networks.
Murder in aid of racketeering is punishable by a mandatory sentence of life in prison, and the death penalty is also possible. The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Broughton et al indictmentTwo Former Board Members of Failed Washington Federal Bank in Chicago Sentenced to Prison for Falsifying Records and Obstructing RegulatorsRead the Press Release
CHICAGO — Two former board members of the failed Washington Federal Bank for Savings in Chicago were sentenced this month to federal prison terms for conspiring to falsify bank records to deceive the Office of the Comptroller of the Currency.
GEORGE F. KOZDEMBA, 74, of Fort Myers, Fla., and JANICE M. WESTON, 66, of Orland Park, Ill., pleaded guilty last year to a federal conspiracy charge. U.S. District Judge Virginia M. Kendall on May 9, 2024, sentenced Kozdemba to a year and a day in federal prison and fined him $25,000. Judge Kendall on May 6, 2024, sentenced Weston to three months in prison and fined her $20,000. A third Washington Federal board member, WILLIAM M. MAHON, of Chicago, pleaded guilty to conspiracy and tax charges and was sentenced in January to 18 months in prison.
Kozdemba, Weston, and Mahon were members of Washington Federal’s Board of Directors. Weston also served as the bank’s Senior Vice President and Compliance Officer. The bank, which was based in Chicago’s Bridgeport neighborhood, was shut down in 2017 after the Office of the Comptroller of the Currency determined that it was insolvent and had at least $66 million in nonperforming loans. When the OCC was evaluating Washington Federal’s loan portfolio prior to its failure, the board members made and caused to be made false entries in bank records and provided them to the OCC with the intent to deceive the agency and obstruct its examination. They also falsified records to make it appear that Washington Federal was operating in compliance with banking rules and internal policies and controls.
The sentencings of Kozdemba and Weston were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois; Vincent R. Zehme, Special Agent-in-Charge of the Chicago Region of the FDIC’s Office of Inspector General; Machelle L. Jindra, Special Agent-in-Charge of the U.S. Department of Housing and Urban Development's Office of Inspector General in Chicago; Justin Campbell, Special Agent-in-Charge of IRS Criminal Investigation in Chicago; Korey Brinkman, Acting Special Agent-in-Charge of the Central Region of the Federal Housing Finance Agency, Office of Inspector General; Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; Andrea Peacock, Special Agent-in-Charge of the Department of the Treasury, Office of Inspector General; Deborah Witzburg, City of Chicago Inspector General; and Kathryn B. Richards, Chicago Housing Authority Inspector General. Valuable assistance was provided by the U.S. Trustee Program. The government is represented by Assistant U.S. Attorneys Michelle Petersen, Kristin Pinkston, and Jeffrey Snell, and Special Assistant U.S. Attorney Brian Netols.
The federal criminal investigation into the bank’s collapse led to criminal charges against a total of 16 defendants, including the bank’s Chief Financial Officer, Treasurer, and other high-ranking employees, for conspiring to embezzle at least $31 million in bank funds. Four defendants were convicted after jury trials, while ten defendants pleaded guilty and two entered into deferred prosecution agreements.
Much of the money was transferred to Chicago attorney ROBERT M. KOWALSKI and real estate developers MIROSLAW KREJZA and MAREK MATCZUK without all of the required documentation and often without any documentation whatsoever. Juries last year convicted Robert Kowalski, Krejza, and Matczuk on embezzlement and fraud charges. They are awaiting sentencing. Robert Kowalski’s sister, JAN R. KOWALSKI, also an attorney, pleaded guilty and was sentenced last year to more than three years in prison for fraudulently enabling her brother to conceal more than $357,000 from creditors and the trustee in his bankruptcy case.
Chicago attorney PATRICK D. THOMPSON was convicted by a jury in 2022 of making false statements to the Federal Deposit Insurance Corp. regarding the amount of money he received from Washington Federal via a purported loan and other unsecured payments. He was also convicted of filing tax returns in which he falsely deducted interest that he had not actually paid to Washington Federal. Thompson was sentenced to four months in federal prison.
Flight Attendant and Two Bank Employees Charged in Federal Indictment of Alleged Mexico-Based Drug Trafficking OrganizationRead the Press Release
CHICAGO — A flight attendant and two bank employees in Indiana have been charged in a federal indictment that accuses a Mexico-based drug trafficking organization of moving thousands of kilograms of cocaine into the United States and laundering tens of millions of dollars in proceeds.
A superseding indictment unsealed Friday in U.S. District Court in Chicago charges flight attendant GLENIS ZAPATA, 34, of Lafayette, Ind., with assisting the traffickers in the transportation of drug proceeds on commercial airline flights. Glenis Zapata possessed a “Known Crew Member” badge and used her authority to help the traffickers move cash drug proceeds from the Midwest to the southern part of the U.S. and into Mexico, the indictment states. The traffickers also allegedly used other means to ship the money, including semi-trailer trucks and a private charter airplane that was seized by federal authorities in 2021 at the Gary/Chicago International Airport in Gary, Ind.
The two bank employees – ILENIS ZAPATA, 33, of Lafayette, Ind., and GEORGINA BANUELOS, 39, of Lafayette, Ind. – helped launder the drug proceeds by exchanging lower denominated bills for higher denominated bills, the indictment states. Ilenis Zapata and Banuelos, who worked together at a bank in Lafayette, Ind., also knowingly and willfully failed to file currency reports for the transactions, as required under federal law, the indictment states.
The superseding indictment added Glenis Zapata, Ilenis Zapata, and Banuelos as defendants and renewed conspiracy and money laundering charges previously filed against 15 others, including the alleged leader of the drug trafficking organization, OSWALDO ESPINOSA, 41, of Mexico; the organization’s primary manager, JORGE BORBON-OCHOA, 46, of Mexico; and the head of its Chicago operations, RICARDO TELLO, 37, of Mission, Texas. Espinosa’s organization allegedly transported the cocaine in wholesale quantities from Mexico to various U.S. cities, including Chicago, from 2018 to 2023. The traffickers used warehouses, garages, and stash houses in Chicago to receive and store the cocaine and cash, the indictment states.
Arraignments on the superseding charges have not yet been scheduled.
The superseding indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Sheila G. Lyons, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration, LaFonda Sutton-Burke, Director of the Chicago Field Office of U.S. Customs and Border Protection, Sean Fitzgerald, Special Agent-in-Charge of the Chicago office of Homeland Security Investigations, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office. Substantial assistance was provided by the Federal Deposit Insurance Corporation’s Office of Inspector General and the Lafayette, Ind. Police Department. The government is represented by Assistant U.S. Attorneys Andrew Erskine, Ashley Chung, and Adam Rosenbloom.
The case is part of an Organized Crime Drug Enforcement Task Forces investigation. OCDETF identifies, disrupts, and dismantles drug traffickers and other criminal offenders that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement against criminal networks.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Espinosa et al indictmentFederal Grand Jury Indicts Three Men in Connection with Violent Robberies of Chicago BusinessesRead the Press Release
CHICAGO — A federal grand jury has indicted three men for allegedly conspiring to violently rob several liquor stores and convenience stores in Chicago.
Charged with federal conspiracy and firearm offenses are ARDARIES HARRIS, 26, of Chicago, JORDAN FOX, 24, of Chicago, and ROOSEVELT VEAL, 26, of Rockford, Ill., and formerly of Chicago. All three defendants have been ordered detained in federal custody pending trial.
According to an indictment returned Monday in U.S. District Court in Chicago, the robbers wore masks and brandished firearms in five heists in November 2023 and January 2024:
- Nov. 24, 2023: Veal and a co-conspirator robbed Super Saving Food, located in the 4400 block of West Belmont Avenue in Chicago.
- Jan. 13, 2024: Harris, Fox, and a co-conspirator robbed Buchanas Food & Liquor, located in the 1800 block of West 47th Street in Chicago.
- Jan. 15, 2024: Harris, Fox, Veal, and a co-conspirator robbed Mr. P Beverage Depot, located in the 2000 block of West Division Street in Chicago.
- Jan. 15, 2024: Harris, Fox, Veal, and a co-conspirator robbed Before You Go Liquor, located in the 1900 block of West Fullerton Avenue in Chicago.
- Jan. 15, 2024: Harris, Fox, Veal, and a co-conspirator robbed Clybourn Market, located in the 2800 block of North Clybourn Avenue in Chicago.
In addition to the five robberies, the indictment alleges that the conspiracy continued until May 4, 2024, and involved additional heists, including robberies of bars in Chicago. The federal investigation remains ongoing.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Larry Snelling, Superintendent of the Chicago Police Department. Valuable assistance was provided by Homeland Security Investigations in Chicago and the Illinois State Police. The government is represented by Assistant U.S. Attorneys Emily C.R. Vermylen and Stephanie Stern.
The investigation was conducted in coordination with ATF’s Crime Gun Intelligence Center of Chicago. The CGIC is a centralized law enforcement hub that focuses exclusively on investigating and preventing gun violence in Chicago and throughout northern Illinois. The CGIC is an interagency collaboration that brings together - under one roof - federal, state, and local law enforcement officers, prosecutors, and intelligence analysts to move quickly to investigate and prosecute violent crimes.
Holding firearm offenders accountable through federal prosecution is the centerpiece of Project Safe Neighborhoods, a nationwide Department of Justice initiative that brings together law enforcement officials, prosecutors, community leaders, and other stakeholders to develop comprehensive solutions to the most pressing violent crime problems. In the Northern District of Illinois, the U.S. Attorney’s Office and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Harris et al indictmentSix Defendants Indicted on Federal Fraud Charge for Allegedly Staging Robberies to Apply for Immigration VisasRead the Press Release
CHICAGO — Six individuals conspired to stage armed robberies in Chicago and the suburbs so that the purported victims could apply for U.S. immigration visas reserved for certain crime victims, according to an indictment unsealed in federal court in Chicago.
PARTH NAYI and KEWON YOUNG allegedly organized and participated in staged armed robberies at restaurants, coffee shops, liquor stores, and gas stations in Chicago and the suburbs of Lombard, Elmwood Park, St. Charles, Hickory Hills, River Grove, Lake Villa, and South Holland, as well as restaurants in Rayne, La., and Belvidere, Tenn. The indictment alleges that BHIKHABHAI PATEL, NILESH PATEL, RAVINABEN PATEL, and RAJNIKUMAR PATEL arranged with Nayi to be “victims” of the staged robberies so that they could submit applications for U nonimmigrant status (“U-visa”), which is set aside for victims of certain crimes who have suffered mental or physical abuse and are helpful to law enforcement or government officials in an investigation or prosecution.
The indictment alleges that individuals paid Nayi thousands of dollars to participate in the scam. During the staged robberies, individuals acting as robbers brandished what appeared to be firearms, approached the purported victims, and demanded money and property, the indictment states. Afterwards, some of the purported victims submitted forms to local law enforcement to obtain certification that they were victims of a qualifying crime and had been or would be helpful in the investigation, the indictment states. Upon receiving certification, some of the purported victims then submitted fraudulent U-visa applications to U.S. Citizenship and Immigration Services predicated upon their alleged status as a robbery victim.
Nayi, 26, of Woodridge, Ill., Young, 31, of Mansfield, Ohio, Bhikhabhai Patel, 51, of Elizabethtown, Ky., Nilesh Patel, 32, of Jackson, Tenn., Ravinaben Patel, 23, of Racine, Wis., and Rajnikumar Patel, 32, of Jacksonville, Fla., are charged with conspiracy to commit visa fraud. Ravinaben Patel is also charged with an individual count of making a false statement in a visa application. The conspiracy charge is punishable by a maximum sentence of five years in federal prison, while the false statement charge against Ravinaben Patel is punishable by up to ten years.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Sean Fitzgerald, Special Agent-in-Charge of Homeland Security Investigations in Chicago. The government is represented by Assistant U.S. Attorneys Matthew D. Moyer and Saqib M. Hussain.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Nayi et al indictmentFormer Employee of Augusta National Golf Club in Georgia Pleads Guilty to Stealing Masters Golf Tournament Merchandise and MemorabiliaRead the Press Release
CHICAGO — A former employee of the Augusta National Golf Club in Georgia admitted in federal court in Chicago today that he stole millions of dollars’ worth of Masters golf tournament merchandise and memorabilia and sold it to online brokers.
RICHARD BRENDAN GLOBENSKY, 39, of Augusta, Ga., pleaded guilty in U.S. District Court in Chicago to a federal charge of transporting and transferring stolen goods in interstate commerce. The conviction is punishable by up to ten years in federal prison. U.S. District Judge Sharon Johnson Coleman set sentencing for Oct. 29, 2024, at 1:30 p.m.
The guilty plea was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the FBI's Art Crime Team. The government is represented by Assistant U.S. Attorneys Sean Franzblau and Brian Hayes.
Globensky admitted in a plea agreement that he repeatedly stole the merchandise and memorabilia from 2009 to 2022 while he was employed by the club as a warehouse assistant. The merchandise included Masters shirts, hats, flags, watches, and other goods, while the memorabilia included historically significant items such as the Green Jackets won by Arnold Palmer, Gene Sarazen, and Ben Hogan, and documents and letters written and signed by Bobby Jones. Globensky sold the merchandise to the online broker in Florida for a total of approximately $5.3 million, the plea agreement states. He sold the historically significant memorabilia to the same broker, as well as to the broker’s associate, for nearly $300,000, the plea agreement states.
The brokers later re-sold the stolen merchandise and memorabilia, often at significant markups from the amounts paid to Globensky. At least one of the stolen items was purchased by a collector in Chicago.
Globensky plea agreementFederal Indictment Charges Man with Robbing U.S. Postal Service Employee in ChicagoRead the Press Release
CHICAGO — A federal grand jury has indicted a man for allegedly robbing a U.S. Postal Service employee in Chicago.
RICHARD THOMPSON, 52, of Chicago, took an arrow key from the Postal Service employee on Nov. 10, 2023, according to an indictment unsealed Thursday in U.S. District Court in Chicago. Thompson used a dangerous weapon during the robbery, putting the Postal Service employee’s life in jeopardy, the indictment states.
The indictment charges Thompson with one count of robbery of a Postal Service employee. The charge is punishable by a maximum sentence of 25 years in federal prison. Thompson was arrested on Thursday. He pleaded not guilty during his arraignment Thursday afternoon and was ordered to remain detained in federal custody. A status hearing is set for June 14, 2024, before U.S. District Judge Andrea R. Wood.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Ruth Mendonça, Inspector-in-Charge of the Chicago Division of the U.S. Postal Inspection Service, and Larry Snelling, Superintendent of the Chicago Police Department. The government is represented by Special Assistant U.S. Attorney Mary McDonnell.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Thompson indictmentChicago Man Sentenced to 15 Years in Prison for Illegally Possessing a Firearm and Participating in a MurderRead the Press Release
CHICAGO — A man has been sentenced to 15 years in federal prison for illegally possessing a handgun and participating in the murder of a man in Chicago on Labor Day weekend in 2022.
ANDREI TAYLOR illegally possessed the loaded firearm on the afternoon of Sept. 19, 2022, in the Tri-Taylor neighborhood on Chicago’s Near West Side. Taylor was a passenger in a Kia Optima that had been stolen in a carjacking earlier that afternoon. When a Chicago Police squad car approached the Kia, Taylor and three other occupants fled the vehicle and ran off on foot. Taylor tossed the gun, which had an extended magazine, into the backyard of a nearby residence before he was apprehended by police. Taylor had previously been convicted of three firearm-related felonies in the Circuit Court of Cook County and was not lawfully allowed to possess the gun.
Taylor, 27, of Chicago, pleaded guilty to a federal charge of illegal possession of a firearm by a convicted felon. U.S. District Judge John J. Tharp, Jr. imposed the prison sentence during a hearing Wednesday in federal court in Chicago. In addition to the illegal firearm possession, Judge Tharp found that Taylor participated culpably in the premeditated murder of Kadaivion Jones, who was fatally wounded on Sept. 2, 2022, while standing on a sidewalk in Chicago’s West Garfield Park neighborhood. The handgun illegally possessed by Taylor in the Kia was one of the guns used to shoot Jones.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Larry Snelling, Superintendent of the Chicago Police Department. The government was represented by Assistant U.S. Attorneys Elie Zenner and Simar Khera.
Holding firearm offenders accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, a nationwide initiative that brings together law enforcement officials, prosecutors, community leaders, and other stakeholders to develop comprehensive solutions to the most pressing violent crime problems in a community. In the Northern District of Illinois, the U.S. Attorney’s Office has deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Man Sentenced to Five and a Half Years in Prison for Unlawfully Dealing Firearms in Chicago AreaRead the Press Release
CHICAGO — A federal judge has sentenced a firearms trafficker to five and a half years in prison for unlawfully dealing guns in Chicago.
From April to June of last year, JESUS SANCHEZ sold seven firearms to an undercover law enforcement agent. Authorities later conducted a court-authorized search of Sanchez’s residence and discovered, among other things, ten firearm magazines and three boxes of .22-caliber ammunition. When agents arrived to conduct the search, Sanchez ran from the residence and tossed a firearm into a neighbor’s backyard. Sanchez had previously been convicted of a gun-related felony and was not lawfully allowed to possess a firearm.
Sanchez, 23, of Chicago, pleaded guilty earlier this year to federal firearm offenses. U.S. District Judge Matthew F. Kennelly imposed the 66-month prison sentence during a hearing Tuesday in federal court in Chicago.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Larry Snelling, Superintendent of the Chicago Police Department.
“Gun trafficking perpetuates the cycle of violence in this city, which is overwhelmed with gun violence,” Assistant U.S. Attorney Margaret A. Steindorf argued in the government’s sentencing memorandum. “Defendant’s conduct in this case demonstrated not only a complete disregard for the law, but also had the potential to endanger the community.”
Disrupting illegal firearms trafficking is the focus of the Department of Justice’s Firearms Trafficking Strike Force. As part of the strike force, the U.S. Attorney’s Office collaborates with ATF, CPD, and other federal, state, and local law enforcement partners in the Northern District of Illinois and across the country to help stem the supply of illegally trafficked firearms and identify patterns, leads, and potential suspects in violent gun crimes.
Holding firearm offenders accountable through federal prosecution is also a centerpiece of Project Safe Neighborhoods, a nationwide initiative that brings together law enforcement officials, prosecutors, community leaders, and other stakeholders to develop comprehensive solutions to the most pressing violent crime problems in a community. In the Northern District of Illinois, the U.S. Attorney’s Office has deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Illinois Businessman Sentenced to Nine Years in Prison for Fraud and Tax EvasionRead the Press Release
CHICAGO — An Illinois businessman has been sentenced to nine years in federal prison for evading nearly half a million dollars in taxes and engaging in a variety of fraud schemes.
JOSEPH J. CIPOLLA JR. knowingly and willfully failed to file individual income tax returns from 2015 to 2020, causing losses of $415,043 to the IRS and $75,045 to the State of Illinois. Cipolla concealed his receipt of income by engaging in affirmative acts of tax evasion, including listing a relative’s Social Security number on casino tax forms, using family members as nominee owners of vehicles, and using a nominee to rent airplane hangars at the DuPage County, Ill. Airport. Among his other offenses, Cipolla in 2020 fraudulently procured four loans under the Paycheck Protection Program and Economic Injury Disaster Loan Program, two sources of relief under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act that were intended to support small businesses during the Covid-19 pandemic. Cipolla obtained more than $1.18 million in PPP and EIDL loans by manufacturing false tax documents and submitting them to lenders.
Cipolla, 39, of Bloomingdale, Ill., pleaded guilty last year to federal charges of tax evasion, wire fraud, and mail fraud. In addition to the prison term, U.S. District Judge Matthew F. Kennelly on Friday ordered Cipolla to pay $2,096,285 in restitution to the IRS, State of Illinois, U.S. Small Business Administration, and other entities and individuals victimized by his schemes.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office, Hannibal Ware, Inspector General of the U.S. Small Business Administration, and Andrea M. Kropf, Special Agent-in-Charge of the U.S. Department of Transportation’s Office of Inspector General in Chicago. The government was represented by Assistant U.S. Attorneys Timothy J. Chapman and Michelle M. Petersen.
Chicago Businessman Pleads Guilty to Federal Fraud Charge in Connection with Reverse Mortgage Scheme Targeting Elderly HomeownersRead the Press Release
CHICAGO — A Chicago businessman pleaded guilty today to a federal fraud charge for bilking elderly homeowners in a home repair and reverse mortgage scheme.
MARK STEVEN DIAMOND schemed with others to induce homeowners to unwittingly obtain reverse mortgage loans to pay for purported home repairs that Diamond offered to perform. Diamond and the co-schemers targeted elderly victims based on the amount of equity in their homes and their relative lack of financial sophistication. In some instances, Diamond concealed from the homeowners that they were applying for reverse mortgage loans by falsely representing that they needed to sign certain documents to start the repair work, when, in fact, the documents that Diamond caused them to sign were related to applying for the loan. After the loans were approved and originated by co-schemers, Diamond fraudulently pocketed the loan proceeds and often failed to perform any repairs.
Diamond, 67, of Chicago, pleaded guilty to a federal charge of wire fraud affecting a financial institution, which is punishable by up to 30 years in federal prison. Diamond acknowledged in a plea agreement that he victimized at least 18 Chicago-area homeowners by fraudulently obtaining approximately $929,000 from financial institutions in the form of reverse mortgage loan proceeds. It will be the government’s position at sentencing that there were at least 80 victims and that Diamond’s actions caused at least approximately $6 million in losses. U.S. District Judge Franklin U. Valderrama set Diamond’s sentencing for Sept. 4, 2024.
The guilty plea was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Machelle L. Jindra, Special Agent-in-Charge of the U.S. Department of Housing and Urban Development’s Office of Inspector General in Chicago, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Substantial Assistance was provided by the Illinois Attorney General’s Office. The government is represented by Special Assistant U.S. Attorney Brian P. Netols and Assistant U.S. Attorney Erin Kelly.
All four co-schemers charged in the investigation – loan originators GARY BOHN, of Hoffman Estates, Ill., and MATTHEW FEFFERMAN, of Munster, Ind., Diamond’s employee CYNTHIA WALLACE, of Sauk Village, Ill., and title agency owner FORREST C. FAWCETT, of Fort Lauderdale, Fla. – previously pleaded guilty and admitted their roles in the fraud. They are awaiting sentencing.
Diamond plea agreementChicago Health Care Company and Its Owner to Pay $1 Million to Settle False Claims Act LawsuitRead the Press Release
CHICAGO — A Chicago health care company and its owner will pay $1 million to the United States to resolve a civil lawsuit arising from the submission of false claims to Medicare.
BRIAN J. WEINSTEIN and APOLLO HEALTH INC. violated the False Claims Act by submitting claims to Medicare for care plan oversight services that were not actually performed, according to a consent judgment and settlement agreement filed in U.S. District Court in Chicago. Care plan oversight services (“CPO”) involve a physician’s supervision of a patient receiving complex or multidisciplinary medical care. At Weinstein’s direction, Apollo’s billers submitted 12,592 claims for CPO services on behalf of 25 providers purportedly employed by Apollo. Weinstein knew that the providers had not actually provided CPO services to Medicare patients and that CPO services had not been documented in the patients’ medical records.
As part of the consent judgment and settlement agreement entered this week by U.S. District Judge Sharon Johnson Coleman, Weinstein and Apollo agreed to pay $1 million to the United States. The consent judgment and settlement agreement resolve a civil lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act. The Act permits private citizens to bring lawsuits on behalf of the United States for false claims, and to share in any recovery. The United States intervened in the lawsuit prior to the settlement.
The consent judgment and settlement were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Mario Pinto, Special Agent-in-Charge of the U.S. Department of Health and Human Services, Office of the Inspector General, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government was represented by Assistant U.S. Attorney Virginia Hancock.
In a separate criminal prosecution, Weinstein pleaded guilty last year to a federal health care fraud charge and was sentenced to three years of probation.
Consent Judgment and Settlement AgreementTwo Men Sentenced to Prison as Part of Federal Investigation That Dismantled Mexico-to-Chicago Drug PipelineRead the Press Release
CHICAGO — Two suburban Chicago men have been sentenced to prison as part of a federal investigation that dismantled a Mexico-to-Chicago drug pipeline.
SHELDON MORALES and EDUARDO SANTANA conspired with a supplier in Mexico and two inmates in a prison in Texas to traffic methamphetamine, fentanyl, and cocaine from Mexico to Evanston, Ill., and Morton Grove, Ill., in 2019. The drugs were sent in packages from California and Arizona and later sold on the streets in the Chicago area.
Law enforcement uncovered the drug trafficking activities through the use of wiretapped cellular phones, package seizures, and extensive surveillance. The case was part of an Organized Crime Drug Enforcement Task Forces investigation. OCDETF identifies, disrupts, and dismantles drug traffickers and other criminal offenders that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A jury in U.S. District Court in Chicago in 2022 convicted Morales, 42, of Morton Grove, Ill., and Santana, 47, of Skokie, Ill., on a drug conspiracy charge. Morales was also convicted of an individual drug charge related to his attempted possession of methamphetamine and fentanyl. U.S. District Judge Mary M. Rowland on Tuesday sentenced Santana to 16 years and eight months in prison. Judge Rowland sentenced Morales on April 16, 2024, to 19 years and seven months in prison.
Two other defendants were also convicted and sentenced to prison as part of this investigation. DARIUS MORALES, 34, of Evanston, Ill., was sentenced in 2022 to nearly eight years in federal prison for illegally possessing a semi-automatic handgun in Evanston. DEMETRIUS SHAVERS, 42, of Chicago, was sentenced in 2021 to more than six and a half years in federal prison for trafficking heroin, cocaine, and fentanyl in the Chicago area.
The sentences were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Sheila G. Lyons, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office. Substantial assistance was provided by the Evanston Police Department. Assistant U.S. Attorneys Charles W. Mulaney and Kirsten Moran represented the government.
Owner of Suburban Chicago Medical Supply Company Convicted in Procurement Fraud Scheme at U.S. Department of Veterans AffairsRead the Press Release
CHICAGO — The owner of a suburban Chicago medical supply company has been convicted of federal fraud charges for paying kickbacks to a U.S. Department of Veterans Affairs employee in exchange for procuring orders of medical equipment.
After a week-long trial in U.S. District Court in Chicago, the jury on Monday found DARREN A. SMITH, 59, of Hazel Crest, Ill., guilty of all eight wire fraud counts against him. Each count is punishable by up to 20 years in federal prison. U.S. District Judge Edmond E. Chang set sentencing for Sept. 10, 2024.
Smith operated a medical distribution company based in Bolingbrook, Ill. Evidence at trial revealed that Smith schemed with a procurement clerk in the Veterans Health Administration Prosthetics Service in Chicago to have the VA order costly medical equipment from Smith’s company in exchange for concealed kickbacks to the clerk. The orders placed by the clerk involved unnecessary and more expensive rentals of certain medical equipment from Smith’s company instead of purchasing the equipment outright, as VA physicians had instructed. From 2017 to 2020, the VA spent more than $2.7 million at Smith’s company and fraudulently overpaid it by more than $1.3 million. In exchange, the clerk pocketed kickbacks from Smith of at least $220,000.
The VA procurement clerk, ANDREW LEE, 68, of Chicago, pleaded guilty to a wire fraud charge prior to trial. He is awaiting sentencing.
Smith’s conviction was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Gregory Billingsley, Special Agent-in-Charge of the Department of Veterans Affairs, Office of Inspector General, Central Field Office. The government is represented by Assistant U.S. Attorney Heidi Manschreck and Special Assistant U.S. Attorney Benjamin Christenson.
Former Chief Operating Officer of Illinois Hospital Sentenced to Prison for Embezzling Hospital FundsRead the Press Release
CHICAGO — The former Chief Operating Officer of an Illinois hospital has been sentenced to a year and a half in federal prison for illegally pocketing more than $620,000 in hospital funds.
ROBERT SPADONI was an attorney who worked as a Vice President and COO of the hospital. From 2013 to 2021, Spadoni orchestrated a scheme in which he approved payment of invoices to a vendor company that purportedly provided the hospital with administrative support and compliance services. In reality, the vendor company – Medical Education Solutions, Inc. – had been established by Spadoni for the purpose of executing the scheme. Spadoni’s family member opened a bank account in the company’s name and steered the hospital’s payments into it. Spadoni concealed the fraud scheme by paying $1,500 a month in cash to another hospital employee to actually provide the administrative and compliance services.
As a result of the fraud scheme, Spadoni obtained approximately $622,500 in payments from the hospital. Spadoni used the money for his own benefit, including restaurant meals and hotel stays, as well as transferring $225,805 into a 401(k) account he controlled.
Spadoni, 59, of Darien, Ill., pleaded guilty earlier this year to a mail fraud charge. In addition to the prison term, U.S. District Judge Matthew F. Kennelly on Tuesday ordered Spadoni to pay $622,500 in restitution to the hospital.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Kwame Raoul, Illinois Attorney General. The government was represented by Assistant U.S. Attorney Chester Choi.
Chicago Woman Sentenced to Prison for Participating in $16 Million Covid-Relief FraudRead the Press Release
CHICAGO – A Chicago woman has been sentenced to a year and a half in federal prison for participating in an organized scheme to fraudulently obtain more than $16 million in small business loans and grants under the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act.
MILICA SUMAKOVIC was among seven defendants indicted in U.S. District Court in Chicago for participating in a scheme that submitted more than 300 fraudulent applications seeking more than $40 million in benefits from the Economic Injury Disaster Loan Program (EIDL). As a source of relief under the CARES Act, the EIDL program was intended to provide loan assistance or grants to cover working capital and other operating expenses for legitimate businesses that suffered revenue losses as a result of the Covid-19 pandemic. Sumakovic and her co-defendants claimed in their applications that they owned and operated various businesses in Illinois and Florida. The applications and supporting documents contained materially false representations about the defendants’ purported companies, including the number of employees and revenue amounts. The defendants’ scheme caused the U.S. Small Business Administration to pay out more than $16 million in fraudulent benefits. Sumakovic personally submitted and assisted co-defendant MARKO NIKOLIC in submitting eighteen of the fraudulent applications that sought more than $2.6 million in benefits.
Sumakovic, 33, of Chicago, pleaded guilty last year to a federal wire fraud charge. U.S. District Judge Nancy L. Maldonado on April 25, 2024, sentenced Sumakovic to 18 months in federal prison and ordered her to pay $1.68 million in restitution to the SBA.
Marko Nikolic, 36, of La Grange, Ill., and BRANKO ALEKSIC, 34, of Chicago, each pleaded guilty last year to wire fraud and money laundering charges. Marko Nikolic was sentenced in January 2024 to four years and two months in prison and ordered to pay $6.9 million in restitution, while Aleksic was sentenced in November 2023 to two years and eleven months in prison and ordered to pay $575,000 in restitution.
The four other defendants – MAJA NIKOLIC, 36, of Brookfield, Ill., NEBOJSA SIMEUNOVIC, 38, of Lyons, Ill., MIJAJLO STANISIC, 34, of Willowbrook, Ill., and DORDE TODOROVIC, 33, of Chicago – are considered fugitives and may currently be residing overseas. Warrants for their arrests have been issued.
The sentences were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Sean Fitzgerald, Special Agent-in-Charge of Homeland Security Investigations in Chicago, Heather M. Hill, Acting Inspector General of the Treasury Department Inspector General for Tax Administration (TIGTA), Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office, and Hannibal Ware, Inspector General of the U.S. Small Business Administration. The government was represented by Assistant U.S. Attorneys Kavitha J. Babu and Brian Hayes.
“The relief programs provided by the CARES Act were designed to assist small businesses struggling to survive the Covid-19 pandemic,” said Acting U.S. Attorney Pasqual. “Our office is committed to working with our law enforcement partners to root out abuse of these important programs and hold accountable anyone who seeks to fraudulently profit from them.”
“This sentence is a great example of what can be accomplished when federal and local law enforcement agencies work in collaboration,” said HSI SAC Fitzgerald. “We will continue to work tirelessly to investigate criminals who seek to exploit the United States government and bring them to justice.”
“The sentence imposed on Sumakovic underscores the federal government's dedication to holding accountable individuals who defrauded vital programs that served as a lifeline for businesses during the pandemic,” said IRS-CI SAC Campbell. “Make no mistake: CI and its fellow law enforcement partners remain steadfast in their commitment to holding accountable the fraudsters who exploited Covid-relief programs for personal gain.”
Last month, the Justice Department’s Covid-19 Fraud Enforcement Task Force released its 2024 report detailing the efforts of the task force and its member agencies in response to widespread fraud involving many Covid-19 programs targeted by fraudsters and other criminals who sought to exploit the government’s relief efforts for their personal gain. Anyone with information about attempted fraud involving Covid-19 is encouraged to report it to the Department of Justice by calling the National Center for Disaster Fraud Hotline at (866) 720-5721 or filing an online complaint here.
Chicago Man Sentenced to More Than Eleven Years in Prison for Carjacking Four Vehicles and Robbing a UPS TruckRead the Press Release
CHICAGO — A Chicago man who carjacked four vehicles, robbed a UPS truck, and committed multiple street robberies has been sentenced to more than eleven years in federal prison.
JAHEIM HENYARD committed the UPS robbery, three of the carjackings, and two street robberies within days of each other in August 2020 in Oak Park, Ill., Cicero, Ill., and Chicago. The other carjacking occurred in December 2019 in a supermarket parking lot in Westchester, Ill. During that carjacking, Henyard’s accomplice and the victim, who was armed and possessed a concealed carry license, engaged in an exchange of gunfire. Henyard also attempted to carjack another vehicle at gunpoint in Oak Park in July 2020, but was unsuccessful.
In the UPS heist, Henyard and two others – DARIUS YOUNG and XAVIER TATE – robbed the truck on a residential street in Oak Park on the afternoon of Aug. 21, 2020. During the robbery, the UPS driver was ordered to lay face down in the street while the offenders removed boxes from the truck and sped off. All three defendants pleaded guilty and admitted their roles in the heist. Henyard’s guilty plea also included the four carjackings as well as the attempted carjacking.
U.S. District Judge Sara L. Ellis sentenced the defendants this month to federal prison terms:
- Henyard, 22, of Chicago, was sentenced to eleven years and three months.
- Young, 28, of Berwyn, Ill., was sentenced to four years.
- Tate, 27, of Chicago, was sentenced to seven years and nine months.
The sentences were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The Chicago Police Department, Oak Park Police Department, and Cicero Police Department participated in the investigation. The Cook County State’s Attorney’s Office provided valuable assistance. The government was represented by Assistant U.S. Attorneys Charles W. Mulaney and Simar Khera.
Federal Jury Convicts Man of Illegally Possessing Machine Gun in Chicago SuburbRead the Press Release
CHICAGO — A federal jury has convicted a man on firearm charges for illegally possessing a machine gun in a Chicago suburb.
KEVIN DIXON, 27, of Midlothian, Ill., was found guilty April 19, 2024, of both counts against him, including one count of illegal possession of a machine gun and one count of illegal possession of a firearm as a previously convicted felon. Each count is punishable by a maximum sentence of ten years in federal prison. U.S. District Judge Virginia M. Kendall set sentencing for Sept. 10, 2024.
Evidence at the week-long trial in U.S. District Court in Chicago revealed that Dixon illegally possessed the firearm on June 6, 2021, in his vehicle in Lansing, Ill. The firearm was a Glock handgun equipped with a “switch” device, also known as a “Glock switch,” making it capable of firing in fully automatic mode. Dixon initially crashed his vehicle into another car and then sped off. The victim followed Dixon and eventually was able to block Dixon’s vehicle, at which point Dixon fired several gunshots and then drove off again. Dixon then sped through a red light and collided with two vehicles before running off on foot. Law enforcement apprehended him a short time later.
The conviction was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Alfred Phillips, Chief of the Lansing, Ill. Police Department. Valuable assistance was provided by the Illinois State Police, Illinois Secretary of State’s Office, and Illinois Department of Corrections. The government is represented by Assistant U.S. Attorney Kristen Totten and Special Assistant U.S. Attorney Charles Fox.
Holding illegal firearm possessors accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods, the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, the U.S. Attorney’s Office and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Suburban Chicago Woman Sentenced to 20 Years in Prison for Sex Trafficking of a ChildRead the Press Release
CHICAGO — A suburban Chicago woman has been sentenced to 20 years in federal prison for recruiting and enticing a child to engage in commercial sex acts.
In November 2021, JAMARI HODGE recruited and enticed a 13-year-old girl to engage in commercial sex acts. Hodge took sexually explicit photographs of the victim and posted them in online advertisements offering the commercial sex. Hodge then rented hotel rooms in Illinois and Indiana to use for encounters with individuals who responded to the advertisements. Hodge set the prices and collected the payments from customers after the encounters.
Hodge, 29, of Calumet City, Ill., pleaded guilty last year to a federal charge of enticing a minor to engage in commercial sex. In addition to the prison term, U.S. District Judge Martha M. Pacold on Wednesday ordered Hodge to pay $180,000 in restitution to the victim.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the Lansing, Ill., Police Department, Calumet City, Ill. Police Department, and Richton Park, Ill., Police Department. The government was represented by Assistant U.S. Attorney Erin Kelly.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Chicago Chiropractor Convicted of Federal Health Care Fraud ChargesRead the Press Release
CHICAGO — A Chicago chiropractor has been convicted of federal health care fraud charges for billing a private insurer for nonexistent services.
CLARENCE W. BROWN III owned and operated Dr. CB3 Wellness, Inc. and Apex Integrated Medical Center, Ltd. in Chicago. From 2016 to 2020, Brown submitted fraudulent claims to Blue Cross Blue Shield of Illinois for purported health care services that Brown knew were not actually provided to patients. Some of the fraudulent claims were for services purportedly provided on dates when Brown was not in Illinois. Brown prepared false patient medical records and other documents to support his fraudulent claims. Brown billed BCBS approximately $1.3 million for services purportedly provided to members of two families that were not actually provided, and, as a result, fraudulently obtained approximately $750,000 from the carrier.
After a two-week trial in U.S. District Court in Chicago, a jury on April 12, 2024, convicted Brown, 48, of Chicago, on all nine health care fraud counts against him. Each count is punishable by up to ten years in federal prison. U.S. District Judge John F. Kness set sentencing for July 23, 2024.
The conviction was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government is represented by Assistant U.S. Attorneys Misty N. Wright and Andréa L. Campbell.
Readout of Deputy Attorney General Lisa Monaco’s Trip to Detroit and ChicagoRead the Press Release
Deputy Attorney General (AG) Lisa Monaco traveled to Detroit and Chicago this week to highlight the Justice Department’s work with state and local law enforcement to successfully drive down violent crime across the United States.
Launched in 2021, the Department’s Comprehensive Strategy for Reducing Violent Crime focuses federal resources — such as personnel, intelligence, and expertise — on identifying, investigating, and prosecuting the most significant drivers of violent crime. After a rise beginning in 2020 during the pandemic, violent crime is on a downward trajectory — including double-digit drops in homicide rates across many major cities.
In Detroit, the Deputy AG underscored the strong law enforcement and community partnerships that led the city to close out 2023 with the fewest homicides on record in over 50 years. She met with Detroit Police Chief James White and toured the Detroit Police Department’s Real-Time Crime Center, which harnesses real-time data to help federal, state, and local law enforcement collaborate to tackle violent crime. Together with U.S. Attorney Dawn N. Ison for the Eastern District of Michigan and other city officials, the Deputy AG delivered remarks at a convening of One Detroit — the Eastern District of Michigan’s violent crime reduction initiative that brings together law enforcement, nonprofits, faith leaders, and policymakers to address every element of violent crime. In stressing the importance of partnerships like One Detroit she said:
“When data informs strategy that is guided by community, when trust develops into real partnership, and when prevention, intervention, and enforcement all work hand in hand — that’s a formula for success against violent crime.”
In Chicago, joined by Director Steven Dettelbach of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Acting U.S. Attorney Morris Pasqual for the Northern District of Illinois, Superintendent Larry Snelling of the Chicago Police Department, Illinois Attorney General Kwame Raoul, and other law enforcement leaders, Deputy AG Monaco announced a new, expanded Crime Gun Intelligence Center (CGIC) — which brings together personnel from 13 federal, state, and local law enforcement agencies to focus exclusively on investigating and preventing gun violence. CGICs use cutting-edge technology to rapidly develop and pursue investigative leads to drive case clearance rates up — which in turn can drive violent crime rates down. In her announcement, the Deputy AG said:
“To continue our historic progress against violent crime, we need to bring more crime gun intelligence to more law enforcement agencies, in more jurisdictions, more quickly than ever before.”
The Deputy AG also previewed the Justice Department’s launch of seven new carjacking task forces across the country, which build on the success of current task forces in several cities — including Chicago — where available data shows that carjacking rates are now falling. These task forces will bring together prosecutors, officers, agents, and analysts to share intelligence and apply best practices to tackle this public safety threat.
On her trip, the Deputy AG visited the U.S. Attorney’s Offices for the Eastern District of Michigan and Northern District of Illinois, where she thanked the dedicated prosecutors and professional staff of both offices for their dedication to the Department’s mission, especially the work each office is doing to tackle violent crime in their communities.
Photo credit: Detroit Police Department. Photo credit: Detroit Police Department. Photo credit: Chicago Police Department.Senior Administrator for Dolton, Ill. and Thornton Township, Ill. Charged in Federal Court with Bankruptcy FraudRead the Press Release
CHICAGO — A senior administrator for both the Village of Dolton, Ill. and Thornton Township, Ill. has been charged in federal court with engaging in a bankruptcy fraud scheme involving the making of false statements in his bankruptcy petition to conceal from creditors his assets and sources of income and a significant claim against him.
An indictment returned Monday in U.S. District Court in Chicago charges KEITH DOUGLAS FREEMAN, 45, of Orland Park, Ill., with one count of bankruptcy fraud. The charge is punishable by a maximum sentence of five years in federal prison. Arraignment has not yet been scheduled.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office, and Ruth M. Mendonça, Inspector-in-Charge of the Chicago Division of the U.S. Postal Inspection Service. Valuable assistance was provided by the U.S. Trustee Program. The government is represented by Assistant U.S. Attorney Jason A. Julien and Special Assistant U.S. Attorney Brian P. Netols.
The officials noted that Freeman was indicted as part of an ongoing federal investigation.
According to the indictment, Freeman on Jan. 3, 2024, filed a Chapter 7 bankruptcy petition in the U.S. Bankruptcy Court in Chicago. The petition included a Schedules and Statement of Financial Affairs – a document in which the debtor is required to identify, among other things, all of his assets and sources of income, as well as any claims against him. The indictment alleges that Freeman made several materially false statements and omissions in the document, including knowingly underreporting income he derived from his employment as both the Village Administrator for Dolton and the Municipality Manager for Thornton Township, as well as fees he received from his private consulting business. Freeman also allegedly concealed that the Village of Robbins, Ill. had filed a claim against him related to approximately $90,396 that Freeman received in excess of his authorized salary while he was the Village Administrator for Robbins, a position he held from 2017 to 2021.
Freeman also furnished the Chapter 7 Trustee with a purported copy of his 2022 individual income tax return, which represented that Freeman’s total income from employment was $45,186. The indictment states that Freeman knew he had not filed an income tax return for that year, and that his actual income, which included a $100,000 salary for the Dolton position alone, substantially exceeded that amount.
It was further part of the scheme that on Jan. 30, 2024, while testifying under oath at a meeting of creditors, Freeman falsely represented that he was not an employee of Dolton and that he did not receive payment from Dolton, the indictment states. The following month, Freeman allegedly caused his pay from Dolton to be directly deposited into a recently opened bank account that he had not disclosed to the creditors or the Chapter 7 Trustee.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Freeman indictmentFormer Veterans Affairs Procurement Supervisor Sentenced to Seven Years in Prison for Pocketing KickbacksRead the Press Release
CHICAGO — A former procurement supervisor at the Jesse Brown Department of Veterans Affairs Medical Center in Chicago has been sentenced to seven years in federal prison for pocketing kickbacks from the president of a medical supply company to steer the company orders that the VA paid for but never received.
THOMAS E. DUNCAN, 40, of Chicago, pleaded guilty last year to one count of wire fraud. In addition to the prison term, U.S. District Judge Steven C. Seeger on Friday ordered Duncan to pay $1,709,344 in restitution.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Gregory Billingsley, Special Agent-in-Charge of the U.S. Department of Veterans Affairs, Office of Inspector General, Central Field Office. The government was represented by Assistant U.S. Attorney Heidi Manschreck.
While serving as a supervisor in the medical center’s Central Supply department, Duncan received thousands of dollars in kickbacks paid in cash and checks from DANIEL DINGLE, the president of a medical supply company in Dolton, Ill. The checks were made payable to Helping Hands Properties LLC – a third-party entity managed by Duncan – and contained false and misleading memo entries in order to conceal and disguise the existence and purpose of the kickbacks. In exchange for the kickbacks, Duncan used his official position at the VA to fraudulently initiate and approve purchases of products from Dingle’s company, knowing that many of the products would not actually be delivered to the VA.
The fraud scheme began in 2012 and continued until 2019. In late 2018, after Duncan became aware that the VA Inspector General’s Office was investigating his conduct, Duncan created fake invoices from Helping Hands purporting to document work performed for Dingle’s company. Duncan also told Dingle to falsely tell investigators that the payments Duncan received from Dingle’s company were for work performed by Helping Hands.
Dingle, 53, of Riverdale, Ill., also pleaded guilty to a wire fraud charge. He is awaiting sentencing.
Firearms Trafficker Sentenced to Nearly Six Years in Prison for Unlawfully Dealing Firearms and “Switch” Devices in Chicago AreaRead the Press Release
CHICAGO — A federal judge has sentenced a Chicago-area firearms trafficker to nearly six years in prison for unlawfully dealing handguns, rifles, and “switch” devices capable of converting semi-automatic firearms into machine guns.
Over a three-month period last year, ROGELIO CASTANEDA sold nine firearms and 28 “switch” devices, also known as “Glock switches,” to undercover law enforcement agents. The sales occurred in Chicago, Stickney, Ill., and Hammond, Ind. Three of the guns sold by Castaneda were unlicensed, privately made firearms. At the time of his illegal sales, Castaneda was on pre-trial release for a firearms charge in the Circuit Court of Cook County.
Castaneda, 30, of Chicago, pleaded guilty in December 2023 to one count of unlawfully possessing a machine gun. U.S. District Judge Robert W. Gettleman imposed a 70-month prison sentence during a hearing Tuesday in federal court in Chicago.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Larry Snelling, Superintendent of the Chicago Police Department. Valuable assistance was provided by the Cook County Sheriff’s Office and U.S. Customs and Border Protection.
“The city of Chicago continues to face a gun violence epidemic,” Special Assistant U.S. Attorney Mary McDonnell argued in the government’s sentencing memorandum. “Glock switches and converted Glocks are a grave threat to public safety and serve no purpose other than to inflict maximum damage on enemies and innocent bystanders.”
Disrupting illegal firearms trafficking is the focus of the Department of Justice’s Firearms Trafficking Strike Force. As part of the strike force, the U.S. Attorney’s Office collaborates with ATF, CPD, and other federal, state, and local law enforcement partners in the Northern District of Illinois and across the country to help stem the supply of illegally trafficked firearms and identify patterns, leads, and potential suspects in violent gun crimes.
Holding firearm offenders accountable through federal prosecution is also a centerpiece of Project Safe Neighborhoods, a nationwide initiative that brings together law enforcement officials, prosecutors, community leaders, and other stakeholders to develop comprehensive solutions to the most pressing violent crime problems in a community. In the Northern District of Illinois, the U.S. Attorney’s Office has deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Man Arrested After Federal Law Enforcement Seizes Fentanyl, Cocaine, and Multiple Firearms from Chicago ResidenceRead the Press Release
CHICAGO — A man has been arrested on a federal drug charge after law enforcement last week seized cocaine, fentanyl, and multiple firearms from his Chicago residence.
A complaint filed in U.S. District Court in Chicago charges HUGO PINZON, 34, with possession of a controlled substance with intent to distribute.
As part of an ongoing federal investigation, law enforcement last week conducted a court-authorized search of Pinzon’s residence in the Wicker Park neighborhood of Chicago and discovered distribution quantities of cocaine, fentanyl, and marijuana, at least a dozen firearms, and thousands of dollars in cash, the complaint states. The complaint alleges that Pinzon had sold cocaine on three occasions earlier this year to an individual who, unbeknownst to Pinzon, was cooperating with law enforcement.
Pinzon was arrested Thursday. A detention hearing in federal court in Chicago is scheduled for April 11, 2024, at 11:00 a.m. before U.S. Magistrate Judge Jeffrey Cole.
The complaint and arrest were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Sean Fitzgerald, Special Agent-in-Charge of Homeland Security Investigations in Chicago. Substantial assistance was provided by the Carpentersville, Ill. Police Department. The government is represented by Assistant U.S. Attorney Jeffrey S. Snell.
The public is reminded that a complaint is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Pinzon complaintOwner of Chicago-Area Child Care Centers Sentenced to Four Years in Prison for Fraudulently Obtaining More Than $3.3 Million in State SubsidiesRead the Press Release
CHICAGO — The owner of Chicago-area child care centers has been sentenced to four years in federal prison for scheming to fraudulently obtain more than $3.3 million in State of Illinois subsidies designed to help low-income families afford child care.
ALEESHA McDOWELL owned child care providers A&A Kiddy Kollege Inc. in Calumet City, Ill., A&A Kiddy Kollege 2 in Calumet Park, Ill., and Kreative Kidz Academy Inc., Kreative Kidz Academy II Inc., and Kreative Kidz Academy III Inc. in Chicago. From 2012 to 2020, McDowell schemed with directors of her centers and others to defraud the Illinois Department of Human Services’ Child Care Assistance Program by submitting applications containing materially false information, including fraudulent paystubs and income verification letters regarding a parent’s eligibility to qualify for state subsidy payments. In many instances, McDowell or the directors falsely represented in the applications that a parent was employed by one of McDowell’s child care centers in order to satisfy IDHS’s requirement that recipients of the funds either be in school or employed and earning less than a certain income threshold.
As a result of the scheme, McDowell and her co-schemers caused IDHS to pay McDowell’s child care centers more than $3.3 million in subsidy payments for services purportedly provided to children who were not eligible to receive such benefits. McDowell spent some of the criminally derived money on a Bentley Bentayga and a house in Mokena, Ill.
McDowell, 44, of Mokena, Ill., pleaded guilty last year to a federal wire fraud charge. In addition to the prison sentence, U.S. District Judge Manish S. Shah on March 27, 2024, ordered McDowell to pay restitution of $3,339,563.
Seven other defendants charged as part of the investigation also pleaded guilty to federal criminal charges.
McDowell’s sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office, and Shantel R. Robinson, Special Agent-in-Charge of the Midwest Region of the U.S. Department of Agriculture, Office of Inspector General. The government was represented by Assistant U.S. Attorneys Kate McClelland and Brian Hayes.
Suburban Chicago Nurse Sentenced to Two Years in Prison for Tampering with Patient MedicationsRead the Press Release
CHICAGO — A suburban Chicago nurse has been sentenced to two years in federal prison for removing morphine prescribed to patients and replacing it with another liquid.
SARAH DIAMOND was employed as the Assistant Director of Nursing at a Chicago-area medical rehabilitation center, where she was responsible for dispensing medications to patients, including those in hospice care. In the summer of 2021, Diamond removed morphine from bottles that had been prescribed to at least five patients to manage their pain and replaced it with another liquid, knowing the diluted substance would be dispensed. Diamond removed the morphine for her own personal use and with reckless disregard and extreme indifference for the risk that the patients would be placed in danger of bodily injury. In at least one instance, a patient’s family members observed the patient suffering during what would end up being some of the final moments before dying.
Diamond, 31, of Woodstock, Ill., pleaded guilty last year to a federal charge of tampering with a consumer product. U.S. District Judge Manish S. Shah imposed the sentence Wednesday during a hearing in federal court in Chicago.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Ronne Malham, Special Agent-in-Charge of the Chicago Field Office of the U.S. Food and Drug Administration, Office of Criminal Investigations. Valuable assistance was provided by the Crystal Lake, Ill., Police Department. The government was represented by Assistant U.S. Attorney Heidi Manschreck.
“Patients deserve to have confidence that they are receiving the legitimately prescribed medication and not a diluted substance,” said Acting U.S. Attorney Pasqual. “Health care practitioners who illicitly tamper with prescription drugs will be prosecuted to the fullest extent of the law.”
“Patients suffering from pain trust their health care providers to provide relief through effective and appropriately dosed medications,” said SAC Malham. “We will continue to pursue and bring to justice healthcare professionals who violate their position of trust and jeopardize patients’ health and well-being by tampering with their pain medications.”
Two Violent Carjackings in Chicago Lead to 18-Year Federal Prison SentenceRead the Press Release
CHICAGO — A man has been sentenced to more than 18 years in federal prison for violently carjacking two vehicles in Chicago.
KASHIF DUKES, 29, of Chicago, took the vehicles at gunpoint in 2017 and 2018. In the first carjacking, Dukes took a Mercedes-Benz sedan in Chicago’s Bronzeville neighborhood on Sept. 10, 2017. Dukes pressed a gun to the driver’s chest and said words to the effect of, “get the [expletive] out the car or I’m going to shoot the [expletive] out of you.” Dukes then took the driver’s cellphones, cash, and wallet and sped off in the Mercedes. The second carjacking occurred on July 21, 2018, in the Little Italy neighborhood on Chicago’s Near West Side when Dukes and accomplices took a Chevy Equinox from a woman and her two children and granddaughter. The family was dropping off food at a friend’s house for a barbecue that evening. The carjackers brandished firearms and shouted at the women to “get the [expletive] out of the car” and to “get the baby and get the [expletive] out.”
Dukes pleaded guilty to the first carjacking and was convicted by a jury in 2021 of the second carjacking. The jury also convicted Dukes of federal firearm charges. U.S. District Judge Jorge L. Alonso on Tuesday imposed a sentence of 18 years and three months in federal prison.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Larry Snelling, Superintendent of the Chicago Police Department.
“Defendant traumatized the victims and placed them in fear of their lives,” Assistant U.S. Attorney Jasmina Vajzovic argued in the government’s sentencing memorandum. “The community as a whole – victims, witnesses, society, and perpetrators – needs to know that the federal system takes the crime of carjacking seriously and will justly punish those who choose to spend their time terrorizing others.”
Former Paralegal for Chicago Law Firm Sentenced to Two Years in Prison for EmbezzlementRead the Press Release
CHICAGO — A former paralegal for a Chicago law firm has been sentenced to two years in federal prison for embezzling more than $600,000 from bankruptcy estate accounts.
BECKY LOUISE SUTTON fraudulently embezzled the funds from 2009 to 2018 while working on bankruptcy matters for the law firm. Sutton embezzled money from more than 40 bankruptcy estate accounts and several liquidating trust accounts in Chapter 7 and Chapter 11 matters on which she worked. Sutton orchestrated fraudulent transfers of bankruptcy funds from fiduciary bank accounts intended for creditors to accounts she controlled, including her personal bank account, credit card account, student loan account, and mortgage account. In one instance, Sutton listed a company with a name similar to a true creditor to disguise her fraudulent diversion of the funds. Sutton’s conduct victimized not only the creditors, but also her law firm, a partner at the firm for whom she worked, and the U.S. Trustee Program, among others.
Sutton, 68, of Manteno, Ill., pleaded guilty last year to a wire fraud charge. In addition to the prison term, U.S. District Judge Mary M. Rowland on Tuesday ordered Sutton to pay $611,263 in restitution.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the U.S. Trustee Program. The government was represented by Assistant U.S. Attorney Kartik K. Raman.
Chicago Man Sentenced to 23 Years in Prison for Distributing Crack Cocaine While on Court-Supervised ReleaseRead the Press Release
ROCKFORD — A Chicago man has been sentenced to 23 years in federal prison for drug conspiracy and distribution of cocaine.
JULIAN WYRE, 46, was convicted by a jury in December 2023 on one count of conspiracy to distribute cocaine base and seven counts of distribution of cocaine base. Wyre distributed the cocaine in 2019 in Rock Falls, Ill. U.S. District Judge Iain D. Johnston imposed the sentence on Monday after a hearing in federal court in Rockford.
In 2008, Wyre was sentenced to 17 years’ imprisonment for illegally possessing cocaine base with the intent to distribute. He was on federal court-supervised release at the time of the conspiracy and distribution charges for which he was sentenced this week.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The Illinois State Police, Illinois State Police Blackhawk Area Task Force, and Rockford Resident Agency of the FBI Chicago Field Office provided valuable assistance in the investigation.
The government was represented by Assistant U.S. Attorneys Robert S. Ladd and Jonathan S. Kim.
Superseding Tax Indictment Against Chicago Attorney Adds Charge for Alleged Witness TamperingRead the Press Release
CHICAGO — A federal grand jury has charged a Chicago attorney with corruptly attempting to influence the testimony of a witness in his federal tax fraud case.
MICHAEL ABRAMSON was originally indicted in 2018 on federal tax charges for allegedly filing false individual and corporate income tax returns. The original charges alleged that Abramson provided more than $1 million for personal expenses to a woman with whom he was romantically involved and then falsely characterized the funds as commissions or loans in his corporations' books and on the tax returns. Abramson was an attorney in Chicago who held ownership interests in two companies – Leasing Employment Services Co., Inc. and Eastern Advisors, Inc.
The superseding indictment returned this week in U.S. District Court in Chicago renews the prior tax charges and adds counts of witness tampering and contempt of court for Abramson’s alleged attempt to script the testimony of a witness to make it more favorable to Abramson. Abramson allegedly gave the witness a copy of her previous court testimony, on which he had made handwritten notes changing, supplementing, or otherwise scripting her answers, and told her to review it before Abramson’s trial on the tax charges, which was scheduled for Feb. 5, 2024. The witness for several years had provided bookkeeping and accounting services for Abramson’s companies.
As a result of the alleged witness tampering, Abramson’s trial was continued to July 1, 2024. Abramson’s bond was also revoked and he was remanded into federal custody pending trial.
Abramson, 74, of Wilmette, Ill., will be arraigned on the superseding indictment on March 28, 2024, at 9:30 a.m., before U.S. District Judge Virginia M. Kendall.
The superseding indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office. The government is represented by Assistant U.S. Attorneys Richard M. Rothblatt and Misty N. Wright.
The public is reminded that charges are not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
Abramson superseding indictmentFederal Jury Convicts Man of Damaging Reproductive Health Services Facilities in ChicagoRead the Press Release
CHICAGO — A federal jury today convicted a man of intentionally damaging two reproductive health services facilities in Chicago.
MICHAEL BARRON, 42, of Chicago, used a sling shot and metal ball bearings to damage the two facilities on six occasions in May and June of 2021.
Barron was convicted on all six counts of intentionally damaging the two facilities because they provided reproductive health services. The jury returned the verdicts after a two-day trial in the courtroom of U.S. Magistrate Judge Young B. Kim in the Northern District of Illinois.
Each count of conviction is punishable by a maximum sentence of one year in federal prison. Sentencing was set for July 9, 2024.
The verdicts were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and LaDon Reynolds, United States Marshal for the Northern District of Illinois. The government is represented by Assistant U.S. Attorneys Sivashree Sundaram and Paige Nutini.
Federal Inmate Charged with Sending Threatening Letter to U.S. Probation Officer in ChicagoRead the Press Release
CHICAGO — A federal inmate has been charged with sending a threatening letter to a U.S. Probation officer in Chicago.
An indictment returned in U.S. District Court in Chicago charges GLENN BOWDEN, 62, most recently of Riverdale, Ill., with one count of mailing a threatening communication, one count of obstructing an official proceeding, and one count of willfully making false statements to the FBI. Arraignment is set for April 4, 2024, at 11:00 a.m. before U.S. Magistrate Judge Beth W. Jantz.
According to the indictment, Bowden was incarcerated in a federal prison on May 19, 2023, when he mailed a letter threatening to injure the U.S. Probation officer. The officer had conducted a presentence investigation of Bowden prior to Bowden’s sentencing on federal robbery charges in 2022. Bowden in the robbery case was sentenced to more than nine years in prison.
In addition to the alleged threat, the obstruction count in the new indictment alleges that Bowden authored a letter purportedly from his prison chaplain and caused it to be filed with the Court last year in support of a motion for compassionate release. The chaplain had no knowledge of the letter, which advocated for Bowden’s release from prison, the indictment states.
The false statements count pertains to alleged false statements provided by Bowden to the FBI during its investigation into the letters. When interviewed by the FBI, Bowden falsely claimed that he did not type or send the letter to the Probation officer and that he knew nothing about the Chaplain’s letter or who wrote it, the indictment states.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and LaDon A. Reynolds, United States Marshal for the Northern District of Illinois. The government is represented by Assistant U.S. Attorney Corey B. Rubenstein.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Bowden indictmentTexas Man Charged with Orchestrating Digital Currency Scam That Bilked Investors out of More Than $10 MillionRead the Press Release
CHICAGO — A Texas man has been indicted in Chicago on federal fraud charges for allegedly orchestrating a digital currency scam that bilked investors out of more than $10 million.
ROBERT DUNLAP, 52, of Houston, Texas, is charged with four counts of mail fraud in an indictment returned in U.S. District Court for the Northern District of Illinois. Dunlap was arrested last week in Virginia. He appeared Monday in U.S. District Court for the Eastern District of Virginia and was ordered to be removed in custody to Chicago.
According to the indictment and a criminal complaint previously filed in the case, Dunlap from 2018 to 2023 worked with others to market and sell a purported digital asset called “Meta-1 Coin” through the “Meta-1 Coin Trust.” Dunlap made numerous false and misleading statements to potential and actual investors, including claims that Meta-1 Coin was backed by as much as approximately $44 billion in gold and art, the indictment states. The charges accuse Dunlap of falsely claiming that an accounting firm had audited the gold and certified its value. The purported art collection was alleged to have included works by Pablo Picasso, Salvador Dali, Vincent Van Gogh, and other acclaimed artists. Dunlap caused the market price and trading volume of Meta-1 Coin to be inflated on the “Meta Exchange” – a website created by Dunlap – by fraudulently using automated software programs, the indictment states.
Investors were allegedly falsely told by Dunlap that they could withdraw their investments at any time by exchanging Meta-1 Coin for other cryptocurrencies or conventional currencies, including U.S. dollars. Dunlap created numerous legal, insurance, and other documents in an effort to conceal the fact that he did not possess the gold or art, the indictment states.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Chicago Field Office. Valuable assistance was provided by the U.S. Securities and Exchange Commission and the U.S. Attorney’s Office for the Eastern District of Virginia. The government is represented by Assistant U.S. Attorney Corey B. Rubenstein.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each count of mail fraud is punishable by up to 20 years in federal prison. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Dunlap indictment Dunlap complaintU.S. Attorney’s Office Collected More Than $60 Million in Civil, Criminal, and Asset Forfeiture Actions in Fiscal Year 2023Read the Press Release
CHICAGO — The U.S. Attorney’s Office for the Northern District of Illinois collected more than $60 million in criminal, civil, and asset forfeiture actions in Fiscal Year 2023, Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, announced today.
The 2023 collections included approximately $22.3 million in criminal actions, $29.5 million in civil actions, and $8.9 million in asset forfeiture actions. Additionally, the U.S. Attorney’s Office for the Northern District of Illinois worked with other U.S. Attorney’s Offices and Department of Justice components across the country to collect another $27.6 million in cases pursued jointly with those offices.
“Our attorneys and staff place a high priority on recovering funds for the federal treasury and victims of federal crimes,” said Acting U.S. Attorney Pasqual. “Our office will continue to responsibly safeguard taxpayer resources while delivering a valuable return to the citizens of our district.”
U.S. Attorneys’ Offices, along with the Justice Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to federal crime victims. Federal 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 of Justice’s Crime Victims Fund, which then distributes the money to federal and state victim compensation and victim assistance programs.
Man Sentenced to 27 Years in Prison for Shooting Federal Agents in ChicagoRead the Press Release
CHICAGO — A man has been sentenced to 27 years in prison for shooting two federal agents and a task force officer who were conducting a covert investigation in Chicago.
EUGENE MCLAURIN, 31, of Chicago, pleaded guilty last year to three counts of assaulting a federal officer and two counts of using a firearm during a crime of violence. U.S. District Judge Manish S. Shah imposed the sentence during a hearing Wednesday in federal court in Chicago.
The shootings occurred on the morning of July 7, 2021, when two agents from the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives and an ATF Task Force officer were driving in an unmarked law enforcement vehicle while conducting a covert investigation on the South Side of Chicago. McLaurin admitted in a plea agreement that he mistakenly suspected the officers were members of an opposing gang. After following the officers’ vehicle, McLaurin pulled alongside it as the vehicle reached an on-ramp to the I-57 Expressway and fired several shots at the officers. The two agents and task force officer were wounded and suffered serious injuries.
Shortly after the shooting, McLaurin disposed of his handgun in a sewer drain and hid the key to his vehicle in the basement of his residence in order to conceal evidence of his involvement in the shootings.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Kristen de Tineo, Assistant Director of ATF, Christopher Amon, Special Agent-in-Charge of the Chicago Field Division of ATF, and Larry Snelling, Superintendent of the Chicago Police Department. Valuable assistance was provided by the Illinois State Police. The government was represented by Assistant U.S. Attorneys Jared Jodrey, Jasmina Vajzovic, and Elizabeth Pozolo.
“Through the violence of Eugene McLaurin, three dedicated law enforcement officers were seriously injured while serving their community,” said Acting U.S. Attorney Pasqual. “The bravery and courage shown by the injured officers command our utmost respect. Our office will continue to ensure that assaults on law enforcement will be met with serious punishment.”
“The men and women of ATF and its Task Forces have a noble mission to protect the public from violent crime,” ATF Assistant Director de Tineo said in her statement to the Court at sentencing. “Etched just inside the entrance of ATF Headquarters is a quote that states, ‘Loyalty, protection, perseverance, and partnership in defense of justice.’ That quote epitomizes the Chicago Field Division.”
“On behalf of the men and women of ATF, we are relieved that this defendant will serve 27 years in federal prison, protecting the community from further violence,” said ATF Special Agent-in-Charge Amon. “As noted in today’s sentencing hearing, the victims of this senseless crime, law enforcement agents and officers, dedicate their lives to protecting our community. We will not tolerate firearm violence directed at our community or our colleagues and will continue to stand shoulder to shoulder with the Chicago Police Department to ensure a tragedy such as this one never happens again.”
Suburban Chicago Businessman Sentenced to Two Years in Prison for Evading $3.7 Million in Income TaxesRead the Press Release
CHICAGO — A suburban Chicago businessman has been sentenced to two years in federal prison for willfully evading more than $3.7 million in federal and state income taxes.
ABRAHAM KISWANI 54, of Burbank, Ill., pleaded guilty last year to a federal tax evasion charge. In addition to the prison term, U.S. District Judge Manish S. Shah on Thursday fined Kiswani $10,000.
Kiswani served as the president of World Security Bureau, a Chicago-area security firm that did business as World Security Agency. From 2010 through 2013, Kiswani concealed his wages, compensation, and income from being reported to the IRS. Kiswani directed the individual in charge of payroll to stop issuing payroll checks to Kiswani and to instead pay him in the form of checks falsely categorized as “subcontracted services.” Kiswani also caused the business to pay a wide range of personal expenses which Kiswani caused to be falsely identified as business expenses.
Kiswani failed to report approximately $10 million in income that he received, resulting in a tax loss to the U.S. and State of Illinois totaling approximately $3,708,065.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Justin Campbell, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Substantial assistance was provided by the U.S. Department of Housing and Urban Development, and the Chicago Housing Authority’s Office of the Inspector General. The government was represented by Assistant U.S. Attorney Patrick J. King, Jr.
United States Seizes $1.4 Million in Cryptocurrency Linked to Alleged Tech Support ScamRead the Press Release
CHICAGO — Through a court-authorized seizure warrant, the U.S. Attorney’s Office in Chicago has seized approximately $1.4 million of Tether (USDT), a cryptocurrency pegged to the U.S. dollar. The funds, which are suspected fraud proceeds, will be returned to victims of the fraud scheme. The seizure marks one of the first times the United States has recovered USDT from an unhosted virtual currency wallet.
The seizure was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the Justice Department’s Computer Crime and Intellectual Property Section, National Cryptocurrency Enforcement Team. The government is represented by Assistant U.S. Attorney Steven J. Dollear. The U.S. Attorney’s Office acknowledged Tether for its assistance in effectuating the transfer of these assets.
The alleged fraud scheme, which remains under investigation, was initiated by a computer popup that indicated a victim’s computer had been compromised. The popup directed the victim to contact Microsoft or Apple, depending on the victim’s operating system, at a certain telephone number. Once on the phone, the perpetrators, posing as tech support employees, informed the victim that the victim’s bank account had also been compromised. The perpetrator then transferred the call to others posing as employees of the fraud department of the victim’s bank. The perpetrators convinced the victims to convert money from traditional bank accounts into cryptocurrency to keep it “safe” from hackers. The funds were then transferred into unhosted virtual currency wallets controlled by the perpetrators. The scheme has impacted victims, mostly elderly, throughout the United States.
In its most recent Internet Crime Report, the FBI estimated that tech support scams caused losses in excess of $924 million in 2023.
Application and Affidavit for Seizure Warrant Funds on Deposit with TetherMan Sentenced to More Than Ten Years in Prison for Trafficking Cocaine and Obstructing JusticeRead the Press Release
CHICAGO — A man has been sentenced to more than ten years in federal prison for trafficking cocaine in the Chicago area and obstructing justice by perjuring himself at trial.
JORGE DIAZ conspired in 2016 with two individuals in Mexico to traffic multiple kilograms of cocaine. Diaz gave money to couriers to purchase the drugs in California and deliver them to Diaz. In a Dec. 15, 2016, transaction arranged by the Mexican traffickers, Diaz received from a courier what he thought was 15 kilograms of cocaine. Unbeknownst to Diaz and the Mexican traffickers, the courier was cooperating with law enforcement agents, who had replaced the cocaine with sham narcotics. Law enforcement arrested Diaz following the courier’s delivery to him of the sham narcotics. A subsequent law enforcement search of Diaz’s residence turned up nearly $23,000 in cash, a money counter, a bag full of cell phones, suspected drug ledgers, and other items.
Diaz, 35, of Calumet City, Ill., was convicted last year of conspiracy and attempted possession of cocaine.
U.S. District Judge Sharon Johnson Coleman imposed a 124-month prison sentence on Feb. 29, 2024. Judge Coleman found that Diaz obstructed justice at his trial last year by falsely testifying about the narcotics trafficking for which he was charged. During his testimony, Diaz denied knowing that the courier was delivering drugs and claimed he only received the package as a favor to his brother.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Sheila G. Lyons, Special Agent-in-Charge of the Chicago Field Division of the DEA. The Cook County Sheriff’s Office provided valuable assistance.
The case was part of an Organized Crime Drug Enforcement Task Force operation. OCDETF identifies, disrupts, and dismantles drug trafficking organizations and other criminal networks that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local enforcement agencies.
“The streets of Chicago are made immeasurably more dangerous because of the drug trade,” Assistant U.S. Attorney Misty N. Wright argued in the government’s sentencing memorandum. “In further aggravation, defendant perjured himself at trial, jeopardizing the integrity of the justice system and demonstrating a willingness to commit further crimes – lying under oath.”
Suburban Chicago Man Among Three People Charged with Swindling Investors out of More Than $3.9 MillionRead the Press Release
CHICAGO — A suburban Chicago man was among three people indicted on federal fraud charges for allegedly swindling investors, including a children’s charity, out of more than $3.9 million.
EDWARD L. WOOTEN, LEE S. ROSE, and JOHN L. KRCIL claimed to work for a Wyoming investment company called Black Lion Investment Partners Inc. Beginning in 2019, the trio falsely suggested to investors that they could earn substantial returns by participating in so-called “private placement” trading programs involving “investment grade fixed income securities” of “top-rated” banks or financial institutions, according to an indictment unsealed Thursday in U.S. District Court in Chicago. The defendants fraudulently claimed that their trading programs yielded multi-million-dollar investment returns within short periods of time, and that investor funds would be returned if the programs failed to perform within 60 days, the indictment states. The charges allege that the defendants failed to use all investor funds to conduct trades, did not pay any trading profits to investors, and did not return all investor funds as promised.
The defendants instead converted investor funds to their own use and benefit, the indictment states. As a result of the fraud scheme, six investors, including an Oklahoma children’s charity, suffered losses totaling approximately $3,905,000.
Wooten, 51, of Macon, Ga., Rose, 82, of Deerfield, Ill., and Krcil, 55, of Hanover, Minn., are charged with wire fraud and interstate transfer of money taken by fraud. Wooten and Rose are also charged with money laundering and making false statements. Wooten also faces a charge of making false statements to the FBI, while Rose is charged with making false statements to a federal judge, the FBI, and the U.S. Securities and Exchange Commission.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The SEC provided valuable assistance. The government is represented by Assistant U.S. Attorney Brian Havey.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Wooten et al indictmentRockford Man Sentenced to Nine Years in Federal Prison for Trafficking Fentanyl and Illegally Possessing a FirearmRead the Press Release
ROCKFORD — A Rockford man has been sentenced to nine years in federal prison for trafficking fentanyl and crack cocaine and illegally possessing a firearm.
DERRICK A. MAYES JR., 32, pleaded guilty last year to knowingly and intentionally possessing more than 260 grams of fentanyl and nearly 97 grams of crack cocaine, and unlawfully possessing the firearm. U.S. District Judge Iain D. Johnston on Wednesday sentenced Mayes to 108 months in federal prison.
Mayes admitted in a plea agreement that he illegally possessed the drugs and firearm on April 29, 2021, in his apartment and vehicle. The firearm was a loaded Smith & Wesson MP9 Shield handgun. Mayes had previously been convicted of a felony and was prohibited from possessing the gun. Mayes further admitted that in 2020 and 2021 he sold distribution quantities of fentanyl and crack cocaine to confidential informants.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Sheila G. Lyons, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration. The Winnebago County Sheriff’s Office assisted in the investigation. The government was represented by Assistant U.S. Attorney Robert S. Ladd.
Holding illegal firearm possessors accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods (PSN) – the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, the U.S. Attorney’s Office and law enforcement partners have deployed the PSN program to attack a broad range of violent crime issues facing the district, particularly firearm offenses.
Rockford Skilled Therapy Provider to Pay $1.5 Million to Settle Federal Health Care Fraud SuitRead the Press Release
CHICAGO — A Rockford, Ill.-based skilled therapy provider and its current and former owners have agreed to pay $1.5 million to resolve civil allegations that the company violated the False Claims Act by falsely submitting claims to Medicare for purported physical and occupational therapy.
Settlements and consent judgments resolve allegations that BRYNWOOD MYOFASCIAL THERAPY LLC, its current owner, MALGORZATA ZASADNY, and its former owner, MARLA MONGE, fraudulently billed Medicare for (1) therapy services when the provider was actually out of the country, (2) physical therapy or occupational therapy when the services were performed by massage therapists rather than licensed physical or occupational therapists, (3) services performed by an occupational therapy assistant or physical therapy assistant when they were not properly supervised, (4) therapy services under improper codes to avoid caps on certain services, and (5) occupational and physical therapy when there were no licensed occupational therapist or physical therapist on site.
The settlements and consent judgments resolve a civil lawsuit filed in U.S. District Court in Chicago by a former employee of Brynwood Myofascial Therapy under the qui tam, or whistleblower, provisions of the False Claims Act. The False Claims Act permits private citizens to bring lawsuits on behalf of the United States for false claims, and to share in any recovery. The United States intervened in the lawsuit prior to the settlements and consent judgments.
As part of a settlement agreement and consent order entered by U.S. District Chief Judge Rebecca R. Pallmeyer, Brynwood Myofascial Therapy and Zasadny agreed to pay $953,959, while Monge agreed to pay $615,345. The public is reminded that civil allegations are accusations only, and there was no determination of liability as part of the settlements and consent judgments.
The settlements and consent judgments were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Mario Pinto, Special Agent-in-Charge of the Chicago Division of the U.S. Department of Health and Human Services, Office of Inspector General, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government was represented by Assistant U.S. Attorney Valerie R. Raedy.
Brynwood Myofascial Therapy order on consent judgmentSuburban Chicago Man Sentenced to a Decade in Prison for Possessing Child PornographyRead the Press Release
CHICAGO — A suburban Chicago man has been sentenced to ten years in federal prison for possessing more than 3,000 images and videos depicting children engaged in sexually explicit conduct.
In 2017 and 2018, MIGUEL ASCENCIOS, also known as “Allison Wou,” 55, of Burr Ridge, Ill., used social media and a file-sharing service to receive and share computer files depicting child pornography. Among the thousands of files he possessed were videos depicting the sexual exploitation of toddlers.
Ascencios pleaded guilty last year to a federal charge of receipt of child pornography. In addition to the prison term, U.S. District Judge Robert W. Gettleman on Feb. 20, 2024, ordered Ascencios to pay $7,000 in restitution to four of his victims.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Ruth M. Mendonça, Inspector-in-Charge of the Chicago Division of the U.S. Postal Inspection Service. Substantial assistance was provided by the U.S. Attorney’s Office for the Central District of California, the Los Angeles County Sheriff’s Department, the Los Angeles Division of the U.S. Postal Inspection Service, and the U.S. Marshals Service.
“Defendant was not a passive participant in a victimless crime; rather, he directly contributed to both the victimization of children and demand for further material,” Assistant U.S. Attorney Anne L. Yonover argued in the government’s sentencing memorandum. “Defendant perpetuated the victims’ abuse and helped to preserve a permanent record of those images and videos.”
The government was represented by Ms. Yonover and former Special Assistant U.S. Attorney Malgorzata Kozaka.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Former Chicago Police Officer Sentenced to a Year in Prison for Civil Rights ViolationRead the Press Release
CHICAGO — A former Chicago Police Officer has been sentenced to a year in prison on a federal civil rights charge for sexually assaulting an individual while on duty.
JAMES SAJDAK, 65, of Chicago, pleaded guilty last year to one count of deprivation of civil rights, a misdemeanor offense punishable by up to one year in federal prison. U.S. District Judge John J. Tharp, Jr. imposed the sentence Friday during a hearing in federal court in Chicago.
Sajdak admitted in a plea agreement that he sexually assaulted the victim on March 5, 2019. Sajdak, driving a marked squad car and wearing a police uniform while on duty, approached the victim on a street in Chicago’s West Garfield Park neighborhood. Sajdak said words to the effect of, “You can get in the front seat or you can get in the back,” by which he meant that the victim should get in the car or else be arrested. After the victim complied with his demand and got in the front seat of the squad car, Sajdak drove to an abandoned lot in a secluded area and forced the victim to engage in a sex act for Sajdak’s gratification, the plea agreement states.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI.
“Defendant abused the power and responsibility with which he had been entrusted,” Assistant U.S. Attorneys Alexandra Morgan and Erika L. Csicsila argued in the government’s sentencing memorandum. In addressing the need for a statutory maximum term of imprisonment, which the Court ultimately imposed, the government also argued, “Defendant’s misconduct diminishes the public’s trust in law enforcement and the criminal justice system as a whole.”
Chicago Man Convicted on Federal Carjacking and Firearm ChargesRead the Press Release
CHICAGO — A Chicago man has been convicted in federal court of carjacking a vehicle at gunpoint on the city’s West Side and firing a handgun while attempting to carjack another vehicle.
The jury in U.S. District Court in Chicago on Tuesday convicted KIAR EVANS, 24, on all four counts against him, including one count of carjacking, one count of attempted carjacking, one count of brandishing a firearm during a crime of violence, and one count of illegal possession of a firearm by a previously convicted felon.
The convictions are punishable by a mandatory minimum sentence of seven years in federal prison and a maximum of life. U.S. District Judge Martha M. Pacold has not yet set a sentencing date.
The guilty verdicts were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Larry Snelling, Superintendent of the Chicago Police Department. The government is represented by Assistant U.S. Attorneys Paige A. Nutini and Jimmy L. Arce.
According to evidence presented at the week-long trial, the carjacking and attempted carjacking occurred within minutes of each other on the afternoon of May 20, 2021. In the attempted carjacking, Evans approached a Chevrolet Impala near the intersection of Independence Boulevard and Congress Parkway in Chicago and fired shots through a window while attempting to get inside. The driver of the Impala was able to drive away from the scene.
Evans then approached the driver-side window of a Nissan Altima, pointed a firearm at the driver and demanded that the driver exit the vehicle. The victim complied and Evans drove off in the Nissan. A short time later, Evans was driving the stolen vehicle when he was involved in a multi-vehicle crash at the intersection of Harrison Street and Ogden Avenue in Chicago. Chicago Police officers arrested Evans and discovered a loaded semi-automatic handgun in his possession. As a previously convicted felon, Evans was not lawfully allowed to possess a firearm.
DeKalb, Ill. Man Sentenced to 25 Years in Prison for Sexually Exploiting ChildrenRead the Press Release
ROCKFORD — A DeKalb, Ill. man was sentenced today to 25 years in federal prison for sexually exploiting children.
MARQUESE CANNON was 22 years old in 2022 when he began communicating online with a 12-year-old girl. The conversations began on Snapchat and continued through text messaging and phone calls. During these communications, Cannon enticed the victim into sending him sexually explicit photos and videos of herself. Cannon instructed the girl on what type of sexually explicit conduct should be portrayed in the photos and videos.
In addition to those videos and photos, Cannon also possessed on his phone a collection of hundreds of images of other children engaged in sexually explicit conduct.
Cannon pleaded guilty last year to a federal charge of production of child pornography. U.S. District Court Judge Iain D. Johnston imposed the prison term and ordered that it be followed by a lifetime of court-supervised release. Judge Johnston also ordered Cannon to pay $34,000 in restitution to six victims.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr. Special Agent-in-Charge of the Chicago Field Office of the FBI. The DeKalb, Ill. Police Department provided valuable assistance in the investigation. The government was represented by Assistant U.S. Attorney Jessica S. Maveus.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to https://www.missingkids.org/ or calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Owner of Suburban Chicago Insurance Agency Sentenced to Seven Years in Prison for Swindling More Than $1 Million from ClientsRead the Press Release
CHICAGO — The owner of a suburban Chicago insurance agency has been sentenced to seven years in federal prison for swindling more than $1 million from clients by collecting annuity premiums for policies that he never purchased.
DANIEL M. ROSENBAUM owned and operated Alexander & Rosenbaum Financial Group LLC, an insurance agency in Kenilworth, Ill. Beginning in 2016, Rosenbaum collected more than $1 million in annuity premiums from at least 18 clients, including friends and family members, for policies that he never purchased. Rosenbaum instead used the money for his own benefit, including spousal and child support payments, credit card payments, vehicle and other loan payments, and purchases at a jewelry store. Rosenbaum attempted to conceal the fraud by creating fake annuity documents and providing them to his clients. Some of the phony documents contained the logos of legitimate insurance companies that Rosenbaum had cut and pasted into the documents.
In addition to the annuity fraud scheme, Rosenbaum also engaged in fraud related to the federal Paycheck Protection Program (PPP), which was created by the CARES Act to cover lost revenue due to economic disruptions from the Covid-19 pandemic. Rosenbaum filed three fraudulent PPP loan applications in his name and, unbeknownst to them, the names of two close family members, for which he was paid a total of $53,537. Rosenbaum also fraudulently obtained $65,826 from the State of Illinois by filing two fraudulent applications for unemployment insurance benefits in his name and, unbeknownst to her, the name of a close family member.
Rosenbaum, 56, of Brown Deer, Wisc., pleaded guilty last year to a federal wire fraud charge. U.S. District Judge Manish S. Shah imposed the sentence Tuesday during a hearing in federal court in Chicago.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The South Chicago Heights, Ill. Police Department provided valuable assistance.
“Not only was Rosenbaum stealing his clients’ money, but he was also leaving them without the annuity coverage they expected to have,” Assistant U.S. Attorney Prashant Kolluri argued in the government’s sentencing memorandum. “Without that coverage, a number of his clients suffered substantial financial hardship.”