District of Kansas
Press releases recorded for this federal judicial district.
Former Wichita Police Officer Sentenced in Scheme to Pay BribeRead the Press Release
WICHITA, KAN. - A former officer of the Wichita Police Department has been sentenced to a year on federal probation after pleading guilty in a scheme to pay a bribe as part of an unsuccessful effort to keep from losing her job, U.S. Attorney Barry Grissom.
Former officer Joletta Vallejo, 35, Wichita, Kan., pleaded guilty to one count of conspiracy to commit wire fraud. Vallejo was employed by the police department from Jan. 9, 2006, to Aug. 24, 2012. In her plea, she admitted that on Oct. 16, 2011, two citizens approached her to make a report that they were victims of an aggravated robbery, aggravated kidnaping, aggravated battery and attempted first degree murder. Vallejo did not follow the police department’s policies in responding and filing their complaints.
As a result of her failure to follow department policies, Vallejo was investigated by the police department’s Professional Standards Bureau. When she was interviewed she lied to the investigators. When she became aware she was going to be fired, she and co-defendant Patrick Melendrez devised a scheme to attempt to keep her job.
On Aug. 22, 2012, Vallejo created a Google Voice number in the name of Melendrez. They used that number to call and text one of the citizens and offer him money to recant the statements he had made to police about Vallejo’s conduct. The citizen’s response was part of an undercover investigation.
Co-defendant Patrick Melendrez was sentenced to two years on probation. Co-defendant Courtney Foster is awaiting trial
Grissom commended the Wichita Police Department, the FBI and Assistant U.S. Attorney Debra Barnett for their work on the case.
Former Hospital Employee Sentenced in Connection with Widespread Hepatitis C OutbreakRead the Press Release
CONCORD, N.H. – David M. Kwiatkowski, 34, a former employee of Exeter Hospital, was sentenced today to 39 years in prison for his conduct in causing a widespread Hepatitis C outbreak in numerous states, announced United States Attorney John P. Kacavas and Barry R. Grissom, United States Attorney for the District of Kansas.
After working as a health care technician at several medical facilities in Michigan between 2003 and 2007, the defendant became a “traveling” radiologic technician, using various placement agencies to find employment at medical facilities in New York, Pennsylvania, Maryland, Arizona, Kansas, Georgia, and New Hampshire. While employed as a “traveler,” he stole syringes of Fentanyl – a powerful anesthetic to which he did not have authorized access – intended for patients undergoing certain medical procedures. He replaced the stolen syringes with syringes that he had stolen from previous procedures and refilled with saline, after having injected himself with the Fentanyl intended for his patients.
The defendant engaged in this diversion and tampering despite knowing that he was infected with Hepatitis C, a blood-borne virus that can cause serious damage to the liver as well as other complications. Precisely when he contracted the virus remains an open question. However, the defendant learned no later than June of 2010, while employed at Hays Medical Center in Kansas, that he was infected with Hepatitis C. Despite that knowledge, he continued to inject himself using stolen Fentanyl syringes, in the process causing those syringes to become tainted with his infected blood. He refilled those tainted syringes with saline and replaced them for use on unsuspecting patients undergoing subsequent procedures. Consequently, instead of receiving their prescribed dose of Fentanyl with its intended anesthetic effect, those patients actually received saline tainted with the defendant’s strain of the Hepatitis C virus.
As a “traveler,” the defendant worked in no fewer than eight different states and he engaged in this diversion and/or tampering in each of them. His criminal conduct only came to light when several unexplained cases of Hepatitis C were detected at Exeter Hospital in New Hampshire in May of 2012. That discovery triggered a massive public health investigation in which authorities in New Hampshire, other states in which the defendant had been employed, and the Centers for Disease Control and Prevention (CDC) sought to identify the scope of the defendant’s criminal conduct. All told, the CDC recommended that more than 12,000 patients seek testing to determine whether the defendant infected them. Testing to date has revealed that 32 patients who were treated at Exeter Hospital, six patients who were treated at Hays Medical Center in Kansas, six patients who were treated at Johns Hopkins Hospital in Maryland, and one patient who was treated at the VA Medical Center in Baltimore, Maryland carry a strain of Hepatitis C that has been genetically linked to the viral strain with which the defendant is infected.
An individual who has a personal relationship with one of the Exeter Hospital victims also has become infected with the same strain of the virus. Additionally, Hepatitis C contracted from the defendant has been identified as a contributing factor in the death of an elderly Kansas patient.
The defendant’s 40-year sentence was imposed on his pleas of guilty to eight counts of obtaining controlled substances by fraud and eight counts of tampering with a consumer product.
Fourteen of those charges were initiated in New Hampshire and two charges were transferred from the District of Kansas. This sentence is believed to be the highest sentence ever received for a crime of this nature.
United States Attorney John P. Kacavas said, “The 40-year sentence imposed today ensures that this serial infector will no longer be in position to harm innocent and vulnerable people, extinguishing once and for all the pernicious threat he posed to public health and safety. This prosecution surely heightened public awareness of the problem of drug diversion in medical settings, and the defendant’s convictions and sentence represent a major step forward in redressing the catastrophic consequences of his selfish and reckless behavior. While no sentence of incarceration can restore his victims to their former state of health, I hope that bringing this defendant to swift and certain justice will give them some peace of mind as they confront the uncertainty of living with the Hepatitis C virus.”
United States Attorney Barry R. Grissom said, “The defendant learned he had Hepatitis C while he was working at Hays Medical Center in Kansas. A patient in Kansas died and a medical examiner found that Hepatitis C contributed to the death. Many patients and their families still are living with the harm inflicted by the defendant’s reckless choices.”
Special Agent in Charge Vincent Lisi, of the Federal Bureau of Investigation, Boston Field Division said ,“This was a heinous crime that touched so many of us in New Hampshire and in several states throughout the country. When you go into a hospital for treatment, you should be able to trust that someone like the defendant will not steal pain medication intended for you and infect you with a deadly disease. We are pleased to see justice served today, and we hope this lengthy sentence will deter others who might be tempted to prey on vulnerable patients. We are grateful to all the Federal, State, and local investigating agencies that took part in this unprecedented investigation and to the leadership of both United States Attorney John Kacavas and Assistant United States Attorney John Farley who worked tirelessly to bring justice to the many victims in this case. Most of all, we are deeply thankful to the numerous victims who selflessly shared their time and extremely personal information with investigators under such difficult circumstances. They are the true heroes in this investigation. Though faced with difficult circumstances themselves, their extraordinary cooperation and information was the backbone for the investigation.”
“Patients put their trust in the safety of this country’s health care system,” said Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General region including New Hampshire. “When the reckless actions of Mr. Kwiatkowski compromised the safety of some patients in federally funded health care programs, we joined with our law enforcement partners to protect people from the defendant.”
In addition to his term of incarceration, the defendant will be placed on supervised release for three years following his release from prison. He also must pay a $1,600.00 special assessment and restitution in the amount of nearly $25,000.00.
This investigation involved the cooperative efforts of federal, state, and local law enforcement agencies, including the Federal Bureau of Investigation, the Office of Inspector General of the U.S. Department of Health and Human Services, the Drug Enforcement Administration, Office of Criminal Investigations of the Food and Drug Administration, the Office of Inspector General of the Department of Veterans Affairs, the New Hampshire Attorney General’s Office, the New Hampshire State Police, and the Exeter, New Hampshire Police Department. Assistance also was provided by the New Hampshire Drug Task Force, the Marlborough, Massachusetts Police Department, the Boxborough, Massachusetts Police Department, and the United States Attorney’s Offices in the District of Massachusetts, the District of Kansas, the District of Maryland, and the Middle District of Georgia. The case was prosecuted by Assistant U.S. Attorney John J. Farley. The Kansas aspects of the case were handled by Assistant U.S. Attorney Tanya Treadway.
Former Hays Waste Water Manager Sentenced for Violating Clean Water ActRead the Press Release
WICHITA, KAN. – A former waste water treatment superintendent for the City of Hays pleaded guilty and was sentenced Monday for violating the federal Clean Water Act, U.S. Attorney Barry Grissom said today.
Charles L. Blair, 58, Hays, Kan.,was sentenced to a year on federal probation and a $2,500 fine. Blair pleaded guilty to one misdemeanor count of negligent discharge of a pollutant. In his plea, he admitted that in February 2012 he negligently allowed for the discharge of effluent from the waste water treatment plant in Hays that contained an ammonia nitrogen level of 46.2 milligrams per liter. This level of ammonia nitrogen is in excess of both state and federal regulations.
Grissom commended the Environmental Protection Agency and Assistant U.S. Attorney Matt Treaster for their work on the case.
Former Apartment ManagerSentenced for Theft of Federal Housing FundsRead the Press Release
KANSAS CITY, KAN. A former Kansas City, Kan., apartment manager has been sentenced to 54 months in prison for theft of Section 8 housing program funds, U.S. Attorney Barry Grissom said today. In addition, she was ordered to pay more than $303,000 in restitution.
Mary Amador, 28, formerly of Kansas City, Kan., who worked as an assistant property manager at Terrace Pointe Apartments, 641 S. 71st Terrace in Kansas City, Kan., was sentenced Monday. She pleaded guilty to 40 counts as charged, including theft of public money, aggravated identity theft and making false statements.
In her plea, Amador admitted a federal investigation revealed that numerous residents of Terrace Pointe were foreign citizens who were in the United States unlawfully. In exchange for bribes, Amador accepted counterfeit citizenship documents and falsely reported to the U.S. Department of Housing and Urban Development that the tenants were eligible to receive Section 8 housing subsidies.
Co-defendants include:
Grissom commended Housing Urban Development’s Office of Inspector General and Assistant U.S. Attorney Tris Hunt for their work on the case.
Martin Ramirez, who was sentenced to time served and ordered to pay more than $21,000 restitution.
Brenda R. Aguirre-Rodriguez, who was sentenced to time served and ordered to pay more than $21,000 in restitution.
Ruben A. Solorio-Guzman, who was sentenced to time served and ordered to play more than $22,000 in restitution.
Rosa Isela Limas-Caldera, who was sentenced to time served and ordered to pay more than $20,000 restitution.
Araceli Ramirez, who was sentenced to time served and ordered to pay more than $22,000 in restitution.
Karla Herrera-Morales, who is set for sentencing Dec. 2.
Candelaria Morales, who was sentenced to time served and ordered to pay more than $17,000 restitution.
Estela Cervantez, who was sentenced to time served and ordered to pay more than $5,000 restitution.
Karina Soto-Lopez, who was sentenced to time served and ordered to pay more than $5,000 restitution.Two Defendants Sentenced in $28.5 Million Drug ConspiracyRead the Press Release
KANSAS CITY, KAN. - Two defendants convicted for their roles in a $28 million drug trafficking conspiracy have been sentenced to federal prison, U.S. Attorney Barry Grissom said today.
Sentenced today were:
Victor Hernandez-Delgado, 60, Kansas City, Mo., who was sentenced to 180 months in federal prison.
Jorge Cisneros-Saucedo, 41, Kansas City, Kan., who was sentenced to 120 months.Both defendants pleaded guilty to one count of conspiracy to distribute more than 5 kilograms of cocaine. In their pleas, they admitted they were part of a drug trafficking organization that in October 2010 became the target of an investigation by the Drug Enforcement Administration. Investigators worked to identify both suppliers and customers of co-defendant Djuane Sykes. As the investigation broadened, it came to include the distribution of more than 1,000 kilograms of marijuana.
The investigation yielded the seizure and forfeiture of more than $2 million in cash, 194 firearms, 29 vehicles, 26 kilograms of cocaine and three kilograms of crack.
In their pleas, the defendants admitted that Cisneros-Saucedo supplied drugs to Hernandez-Delgado. On Aug. 21, 2011, investigators intercepted a call between the two men in which they discussed the fact Cisneros-Saucedo had only nine ounces of cocaine left. On Aug. 23, 20011, investigators intercepted a call in which the two men arranged to meet for a drug deal.
In addition, investigators intercepted calls in which Cisneros-Saucedo:
- Asked another co-defendant if he could provide him with 1.5 kilograms of cocaine.
- Asked another co-defendant if he could “get me a half a pig,” meaning half a kilogram of cocaine.
- Told another co-defendant how he had changed telephone numbers about 10 times, which was a method of avoiding detection by law enforcement.
- Talked to another co-defendant about the fact a female courier was transporting 997 grams of cocaine on a Los Paisanos commuter bus. Law enforcement officers stopped the bus and seized the drugs.
- Received cocaine delivered to his home.
Co-defendants include:
Martin Munoz-Rodriguez, who was sentenced to 168 months.
Lucinda Scott, who was sentenced to 120 months.
Jesse Trevino, who was sentenced to 70 months.
Eduardo Perez-Alcala, who is awaiting sentencing.
Hector Aguilera, who is awaiting sentencing.
Gerardo Flores-Avila, who is awaiting sentencing.
Juan Rudolfo Martinez-Bejarano, who is awaiting sentencing.
Juana Perez-Alcala, who is awaiting sentencing.
Djuane E. Sykes, who is awaiting sentencing.
Juan Flores, who is awaiting sentencing.
Jorge Reyes, who is set for sentencing Dec. 3.
Luis Felipe Cruz, who is awaiting sentencing.
Javier Limas-Carmona, who is set to resume jury trial Dec. 2.
Adriana Fierro-Decarlos, who is awaiting sentencing.
Nolberto Garcia, who is set for jury trial March 3.
Thomas Seth Harris, who is set to resume jury trial Dec. 2.
Robert Vasquez, who is set to resume jury trial Dec. 2.
Omar Flaco, who is awaiting sentencing.
Jesus Barrera-Barron, who is set for sentencing Dec. 10.
Hiram Martinez-Bejarano, who is set for sentencing Dec. 10.
Alfredo Marquez, who is set for sentencing Dec. 17.
Ildefonso Guevara-Quintana, who is awaiting sentencing.
Jose Juan Rojas-Rosario, who is set for sentencing Dec. 6.
Ralph Mayo, who is awaiting sentencing.
James Stallings, who is set for sentencing Dec. 9.
Ataven Tatum, who is set for sentencing Jan. 7.
Marvin Lee Ellis, who is set to resume jury trial Dec. 2.
Julius Smith, who is awaiting sentencing.
Juvon Smith, who is awaiting sentencing.
Richard Kirkendoll, who is awaiting sentencing.
John Doran, who is awaiting sentencing.
Vernon Brown, who is set to resume jury trial for trial Dec. 2.
Riko Carter, who is awaiting sentencing.
Kyle Stephen, who is set to resume jury trial Dec. 2.
Carlos Gilchrist, who is set for sentencing Dec. 10.
Armando Martinez, who is set for sentencing Dec. 6.
Ralph McKinney, who is set for sentencing Dec. 6.
Lazaro Garciga, who is set for sentencing Dec. 3.
Tohima Corralez, who is awaiting sentencing.
Delfino Hernandez-Martinez, who is awaiting sentencing.
Francisco Javier Lozoya-Renteria, who is awaiting sentencing.
Theoplis L. Ellis, who is set for sentencing Dec. 9.
Luis Anselmo Ortega-Flores, who is awaiting sentencing.Grissom commended the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service, the Kansas City, Kan., Police Department and Assistant U.S. Attorney Terra Morehead for their work on the case.
Four Sentenced in Mortgage Fraud CaseRead the Press Release
WICHITA, KAN. Four defendants in Wichita have been sentenced in a mortgage fraud case, U.S. Attorney Barry Grissom said today.
All four defendants pleaded guilty and admitted co-defendant Manjur Alam recruited them to take part in a fraudulent scheme to obtain mortgage loans. Manjur devised the scheme to defraud lenders by falsifying loan applications and supporting documents.
Those sentenced Monday were:
Christopher Ginyard, 27, Wichita, two years supervised release and $40,000.
Henry Pearson, Jr., 29, Wichita, two years supervised release and $56,000 restitution.
Henry Pearson, Sr., Wichita, two years supervised release and $55,180 restitution.
Bruce Dykes, 45, Wichita, two years supervised release and $14,872 restitution.Ginyard, Dykes and Henry Pearson, Sr., each pleaded guilty to one count of wire fraud. Henry Pearson, Jr., pleaded guilty to one count of bank fraud.
Henry Pearson, Sr., made a false statement that he would live in the property he was buying. In fact, he rented it to a third party. Based on the false statements, Lehman Brothers Bank wired $138,330.55 to Lawyer's Title escrow for the purchase of 8431 Hildreth in Wichita.
Henry Pearson, Jr., submitted a false verification of rent and a false letter of credit and made a false statement that he intended to live in the property at 1510 N. Market in Wichita. When the home was eventually foreclosed on, the bank suffered a loss of $56,000.
Christopher Ginyard falsely identified two employments in his loan application and made a false statement that he intended to live in the property at 2050 Santa Fe in Wichita. Based on the false statements, First Tennessee Bank made a payment of $72,865.75 to Kansas Secured Title=s escrow account.
Bruce Dykes obtained an $80,285 loan from First Horizon Home Loans through First Tennessee Bank that was based on a false loan application. Alam submitted a false verification of rent, a false letter of credit and a false loan application to obtain Dykes’ loan.
Co-defendant Manjur Alam, who pleaded guilty to one count of conspiracy to commit wire fraud and bank fraud, is set for sentencing Jan. 27.
Co-defendant Steven Pelz, who pleaded guilty to one count of wire fraud, is set for sentencing Dec. 16.Co-defendant Janice Young is awaiting sentencing
Grissom commended the Department of Housing and Urban Development, the Federal Housing Finance Agency - OIG, the Internal Revenue Service and Assistant U.S. Attorney Aaron Smith for their work on the case.
Second Former Bank Employee Pleads Guilty to Role in Embezzlement, Staged RobberyRead the Press Release
WICHITA, KAN. – A second former bank employee has pleaded guilty to embezzling from a bank in Grant County, Kan., and helping stage a robbery to cover up the theft, U.S. Attorney Barry Grissom said today.
Ashley Cravens, 29, Ulysses, Kan., pleaded guilty to one count of theft from a bank. In her plea, she admitted that she and other former bank employees embezzled from the bank and staged a robbery. From 2008 to July 24, 2010, while Cravens worked at Western State Bank in Ulysses, she and two co-defendants embezzled approximately $84,200. On July 24, 2010, Cravens aided and abetted a staged bank robbery. Subsequent to the staged bank robbery, Cravens and co-defendants embezzled another $24,450 from the bank.
Cravens is set for sentencing Feb. 7. She faces a maximum penalty of 10 years in federal prison and a fine up to $250,000.
Co-defendants are:
Amber Gutierrez, who is set for sentencing Feb. 4.
Hattie Wiginton, who is set for jury trial Dec. 17.
Linda Wise, who is set for jury trial Dec. 17.Grissom commended the FBI, the KBI, the Grant County Sheriff?s Office, the Ulysses Police Department and Assistant U.S. Attorney Aaron Smith for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Johnson County Man Convicted of Tampering with Federal WitnessRead the Press Release
KANSAS CITY, KAN. – A Johnson County man has been convicted of tampering with a witness in a federal criminal case, U.S. Attorney Barry Grissom said today.
A jury found Gary Sparks, 61, Edgerton, Kan., guilty of one count of tampering with a witness. During trial, prosecutors presented evidence that Sparks attempted to persuade his granddaughter to lie to investigators who were investigating his daughter, Stacy Ashley, on drug charges. Ashley pleaded guilty to one count of distributing Oxymorphone. In her plea, she admitted that on July 30, 2011, she distributed Oxymorphone to Joshua Auclair, who died from a drug overdose. Ashley is set for sentencing Dec. 10.
Sparks will be set for sentencing at a later date. She faces a maximum penalty of 20 years in federal prison and a fine up to $250,000.
Grissom commended the Kansas Bureau of Investigation and Assistant U.S. Attorney Sheri McCracken for their work on the case.
Former Wichita Area Physician ConvictedOn Federal Firearm and Drug ChargesRead the Press Release
WICHITA, KAN. – A former Wichita area physician who was serving time on supervised release for a drug conviction has been convicted on federal firearm and drug charges, U.S. Attorney Barry Grissom said today.
A jury found Lawrence M. Simons, 57, Wichita, Kan., guilty on one count of unlawful possession of a firearm after a felony conviction and one count of unlawful possession of controlled substances.
During trial, prosecutors presented evidence that in 2009 Simons, a former employee of the Schneider Medical Clinic in Haysville, Kan., pleaded guilty to two counts of unlawfully distributing controlled substances. In January 2010, Simons was sentenced to 24 months in federal prison to be followed by three years on supervised release.
In April 2013 an agent of the Bureau of Alcohol, Tobacco, Firearms and Explosives learned that Simons had given a pistol to Steven Woodin, proprietor of S&F Bail Bonds in Wichita. Simons owed Woodin for bonding him out of jail on a $25,000 bond in a Sedgwick County District Court case involving a charge of making a criminal threat.
Prosecutors also presented evidence that on Aug. 7, 2008, Simons signed a Drug Enforcement Administration form surrendering his controlled substances privileges. On Aug. 21, 2009, Simons leased three storage units at the West Kellogg Stor-All where he stored personal property. Controlled substances later were found in the storage units including Fentanyl, Actiq, Lortab Elixer, Ketamine, Versed, Midazolam, Brevital Sodium, Diazepam, Stadol and Niravan.
Sentencing is set for Feb. 10, 2014. He faces a maximum penalty of 10 years in federal prison and a fine up to $250,000 on each firearm count, and a maximum penalty of two years and a fine of not less than $2,500 on the drug count. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Butler County Man ChargedWith Producing Child PornographyRead the Press Release
KANSAS CITY, KAN. - An Augusta, Kan., man has been indicted on charges of producing child pornography, U.S. Attorney Barry Grissom said today. The indictment was returned by a federal grand jury in Kansas City, Kan.
Kristopher K. Sims, 30, Augusta, Kan., is charged with two counts of production of child pornography. The crimes are alleged to have occurred July 20, 2012, and Nov. 5, 2012, in Butler County, Kan.
Sims initially was charged in a criminal complaint filed Nov. 15 in U.S. District Court in Wichita. An investigator’s affidavit in support of the complaint alleges that a Wichita police detective initiated the investigation after receiving information from Omegle, an online chat service that encourages users to communicate anonymously with strangers. Investigators learned that during a chat on Omegle users exchanged an image of an adult male engaged in sexual activity with a female child who appeared to be under the age of four. They followed an electronic trail to Sims’ home in Augusta. They learned that Sims had used the Internet to pose as a 14-year-old boy in order to contact girls and to entice them to send him photos of themselves engaged in sexual activities.
If convicted, he faces a penalty of not less than 15 years and not more than 30 years and a fine up to $250,000 on each count. Homeland Security Investigations, Immigration and Customs Enforcement and the Wichita Police Department investigated. Assistant U.S. Attorney Jason Hart is prosecuting.OTHER INDICTMENTS
Nicolas P. Juszcyk, 24, is charged with one count of possession with intent to distribute methamphetamine, one count of unlawful possession of a firearm in relation to drug trafficking, and one count of unlawful possession of a firearm after a felony conviction. The crimes are alleged to have occurred Oct. 9, 2013, in Kansas City, Kan.
If convicted, he faces a penalty of not less than five years and not more than 40 years and fine up to $5 million on the methamphetamine charge, not less than five years and not more than life and a fine up to $250,000 on the charge of possessing a firearm in furtherance of drug trafficking, and a maximum penalty of 10 years and a fine up to $250,000 on the other firearm charge. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.
Anthony R. Barajas, 22, Kansas City, Kan., is charged with one count of unlawful possession of a firearm after a felony conviction. The crime is alleged to have occurred Oct. 31, 2013, in Kansas City, Kan.
If convicted, he faces a maximum penalty of 10 years and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney David Zabel is prosecuting.
Brian Garner, 37, who is an inmate of the U.S. Penitentiary at Leavenworth, is charged with one count of possession with intent to distribute marijuana and one count of possession of a prohibited object in the penitentiary. The crimes are alleged to have occurred Jan. 13, 2013, in Leavenworth, Kan.
If convicted, he faces a maximum penalty of five years in federal prison and a fine up to $250,000 on each count. The FBI investigated. Assistant U.S. Attorney David Zabel is prosecuting.
Leonard Frank Bagdol, 71, is charged with one count of unlawful possession of a firearm after a felony conviction. The crime is alleged to have occurred Nov. 13, 2013, in Lawrence, Kan.
If convicted, he faces a maximum penalty of 10 years and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Kansas Highway Patrol investigated. Assistant U.S. Attorney Greg Hough is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.Wichita Man Sentenced for HelpingPolice Officer in Scheme to Pay BribeRead the Press Release
WICHITA, KAN. – A Wichita man has been sentenced to two years on federal probation for helping a former officer of the Wichita Police Department in a scheme to bribe a witness in hopes of keeping the officer from losing her job, U.S. Attorney Barry Grissom said today. He already spent five months in jail.
Patrick Melendrez, 40, Wichita, Kan., pleaded guilty to one count of conspiracy to commit wire fraud. In his plea, he admitted that co-defendant Joletta Vallejo developed a plan and asked him to assist her in bribing a witness to recant statements the witness made about Vallejo to the police department’s Professional Standards Bureau.
Vallejo was employed by the Wichita Police Department from Jan. 9, 2006, to Aug 24, 2012. On Oct. 16, 2011, two citizens approached her to report they were victims of an aggravated robbery, aggravated kidnaping, aggravated battery and attempted first degree murder. Vallejo did not follow the police department’s policies in responding and filing their complaints. As a result, Vallejo was investigated by the police department’s Professional Standards Bureau. When she was interviewed she lied to investigators. When she became aware she was going to be fired, she and Melendrez devised a scheme to attempt to keep her job.
On Aug. 22, 2012, Vallejo created a Google Voice number in the name of Melendrez. On Aug. 22 and 23, that number was used to call and text a witness to persuade him to recant his statements to the Professional Standards Bureau. In return, Vallejo and Melendrez offered the witness money. What Vallejo and Melendrez did not know is the witness was cooperating with an undercover investigation into the bribery attempt.
Co-defendant Vallejo is set for sentencing Dec. 2.
Grissom commended the Wichita Police Department, the FBI and Assistant U.S. Attorney Debra Barnett for their work on the case.
Dodge City Gang Member Sentenced in Racketeering CaseRead the Press Release
WICHITA, KAN. – A Dodge City man has been sentenced to 21 months in federal prison for assault with a dangerous weapon in connection with a federal racketeering case, U.S. Attorney Barry Grissom said today
Andrew Gusman, 21, Dodge City, Kan., pleaded guilty to assault with a dangerous weapon, which was a violent crime in aid of racketeering. In his plea, Gusman admitted that on March 30, 2011, he was with fellow Norteno gang members including co-defendants Alfonso Banda-Hernandez, Enrique Gobin and Jesus Sanchez.At a Love=s convenience store in Dodge City, they encountered George Gonzalez, who was a member of the rival Sureno gang. They threw gang signs at Gonzales and attempted to start a fight.
Later that day, they again encountered Gonzalez and began chasing his car. Gusman and Banda-Hernandez were in one car, and Gobin and Sanchez were in another car. During the case, Sanchez fired shots at Gonzalez. After the shooting, the four defendants met outside of town.
Gusman was one of 23 Norteno members to be indicted in May 2012. It was only the second time a federal RICO Act indictment (Racketeer Influenced and Corrupt Organizations Act) had been filed in Kansas. Twenty defendants have been convicted so far.
Grissom commended the Dodge City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ford County Sheriff's Office, the Kansas Bureau of Investigation, Assistant Aaron Smith and Assistant U.S. Attorney Lanny Welch for their work on the case.
Peddling Crack Cocaine from Apartment Sends Topeka Man to Federal PrisonRead the Press Release
TOPEKA, KAN. – A Topeka man has been sentenced to 87 months in federal prison for maintaining an apartment where he sold crack cocaine, U.S. Attorney Barry Grissom said today.
Charles L. Whetstone, 59, Topeka, Kan., pleaded guilty to one count of maintaining a premises in furtherance of drug trafficking. In his plea, he admitted that in April 2011 the Topeka Police Department made controlled buys of cocaine from Whetstone at an apartment at 611 S.W. Fillmore in Topeka. Whetstone lived elsewhere, but told buyers that when a gold Toyota was parked in front of the apartment he was open for business.
After serving a search warrant at the apartment and seizing drugs, police assumed the role of cocaine salesman at the address. Eleven more persons came to the residence and were arrested after they bought simulated drugs from an undercover officer. The apartment was located within 1,000 feet of Cair Paravel private school at 635 S.W. Tyler in Topeka.
Grissom commended the narcotics divisions of the Topeka Police Department and the Shawnee County Sheriff’s Office and Assistant U.S. Attorney Randy Hendershot for their work on the case.
Man Pleads Guilty in Salina Drug Trafficking CaseRead the Press Release
TOPEKA, KAN. – A man has pleaded guilty in a federal drug trafficking case in Salina, U.S. Attorney Barry Grissom said today.
Jon Reed Woodbridge, 23, Salina, Kan., pleaded guilty to one count of using a telephone with texting capabilities in furtherance of drug trafficking. In his plea, Woodbridge admitted that on Feb. 7, 2013, he used telephone texting technology to facilitate trafficking in marijuana.
He is set for sentencing Feb. 3, 2014. He faces a maximum penalty of eight years in federal prison and a fine up to $250,000.
Co-defendants are:
Abigail Torres Soto, who is set for sentencing Feb. 14, 2014.
Delaine Rae Romeo, who is set for sentencing Jan. 27, 2014.Grissom commended the 1-70/I-35 Drug Task Force, the Salina Police Department and Assistant U.S. Attorney Richard Hathaway for their work on the case.
Woman Pleads GuiltyIn Salina Drug Trafficking CaseRead the Press Release
TOPEKA, KAN. – A woman has pleaded guilty in a federal drug trafficking case from Salina, U.S. Attorney Barry Grissom said today.
Abigail Torres Soto, 23, pleaded guilty to one count of conspiracy to distribute methamphetamine, three counts of distributing methamphetamine and one count of possession with intent to distribute methamphetamine. In April 2013, Soto was indicted along with co-defendants Jon Reed Woodbridge, 23, and Delaine Rae Romeo, 48, Salina, Kan. The indictment alleged that beginning in January 2013 the defendants conspired to distribute methamphetamine in Saline County, Kan.
In June 2013, Romeo pleaded guilty to one count of conspiracy to distribute methamphetamine. In her plea, she admitted that on Feb. 7, 2013, agents with the drug task force based in Salina executed a search warrant at the Koyotee lounge in Salina and seized more than $6,000 in cash, marijuana, methamphetamine and other drug paraphernalia. Agents had made three controlled buys of methamphetamine from the Koyotee lounge. Romeo admitted that she had been receiving methamphetamine from Soto to sell.
Soto is set for sentencing Feb. 14. She faces a penalty of not less than 10 years and a fine up to $4 million on the conspiracy count, not less than five years and not more than 40 years and a fine up to $2 million on each distribution count, and a maximum penalty of 20 years and a fine up to $1 million on the remaining count.
Co-defendants include:
Jon Reed Woodbridge, who is set for trial Nov. 14.
Delaine Rae Romeo, who is set for sentencing Jan. 27, 2014.Grissom commended the 1-70/I-35 Drug Task Force, the Salina Police Department and Assistant U.S. Attorney Richard Hathaway for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Massachusetts Woman Pleads GuiltyIn Wichita Massage Parlor Sex Trafficking CaseRead the Press Release
WICHITA, KAN. - A Massachusetts woman has pleaded guilty to aiding and abetting the harboring of undocumented workers as part of a human trafficking scheme, U.S. Attorney Barry Grissom said today.
Xiuqing Tian, 44, Framingham, Mass., pleaded guilty to one count of harboring undocumented aliens. In her plea, Tian admitted she entered the United States in September 2009 and came to Wichita with an agreement to work for co-defendants Yan Zhang and Gary Kidgell in their Sun Chi Spa massage business. After she arrived, Tian was encouraged and expected by Zhang and Kidgell to perform sexual acts with patrons of the spa. Kidgell and Zhang later opened AG Spa, where Tian was similarly employed.
While working for Kidgell, Tian helped recruit other Chinese women to work in his massage businesses. She provided translation services and conducted interviews of Chinese females. In January 2011, at Kidgell’s direction, she used the telephone to recruit a woman by telling her she would make a lot of money in Wichita. After the woman arrived in Wichita, she was met by Tian and Kidgell, who transported her to Kidgell’s residence. The woman was made to stay there and to pay rent. Both Tian and Kidgell knew the woman was not a United States citizen.
Sentencing is set for Jan. 29. Tian faces a maximum penalty of five years in federal prison and a fine up to $250,000.
Co-defendants Kidgell and Zhang are awaiting trial.
The Wichita Police Department investigated. Assistant U.S. Attorney Jason Hart is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Man Sentenced for Selling Counterfeit GoodsAt Store in Kansas City, Kan.Read the Press Release
KANSAS CITY, KAN. – A Missouri man has been sentenced to 18 months in federal prison for selling counterfeit designer goods at a store in Kansas City, Kan., including shoes labeled as Nike Air Force 1 and shirts labeled as Polo Ralph Lauren, U.S. Attorney Barry Grissom said today.
Jehad Shalabi, 45, Blue Springs, Mo., pleaded guilty to one count of conspiracy to traffic in counterfeit trademark goods. During his plea hearing, prosecutors told the judge that Shalabi sold counterfeit goods at a retail store called Joe Black, Inc., at 3201 State Avenue in Kansas City, Kan.Agents of the FBI made undercover purchases at the store including a counterfeit trademark pair of Nike Air Force 1 shoes on Feb. 22, 2011, and a counterfeit trademark Polo Ralph Lauren knit shirt on June 9, 2011. On June 30, 2011, Shalabi sold a counterfeit trademark NBA Chicago Bulls hat.
On June 28, 2011, agents served a search warrant at the store and seized approximately 588 counterfeit items with trademarks including Polo Ralph Lauren, Nike, Major League Baseball, Nervous Tattoo (Ed Hardy and Christian Audigier), Luxirie, Rocawear and Coogi.
Investigators learned that counterfeit goods made up approximately 20 percent of the store=s weekly sales of $4,000 to $6,000.
Grissom commended the FBI, ICE-HSI, and the Kansas City, Kan., Police Department for their work on the case.Indictment: Kansas City, Kan., Woman Sold Counterfeit Identity DocumentsRead the Press Release
TOPEKA, KAN. - A Kansas City, Kan., woman has been indicted on charges of producing and selling counterfeit identity documents, U.S. Attorney Barry Grissom said today.
Lluvia Fernanda Salinas-Rodriguez, 29, Kansas City, Kan., is charged with one count of trafficking in a means of identification and one count of fraudulent use of an identification document. The crimes are alleged to have occurred prior to Oct. 28, 2013, in Wyandotte County, Kan.
Salinas-Rodriguez initially was charged in a criminal complaint filed Nov. 4 in U.S. District Court in Kansas City, Kan. An investigator’s affidavit filed in support of the complaint alleges she produced counterfeit identity documents including Resident Alien cards, Social Security cards and Mexican and U.S. driver’s licenses over a period of approximately three years. The affidavit alleges she used a computer and printer to scan photos and manipulate them onto a template to produce counterfeit identity documents. She charged $80 to $100 for a set of documents, which included a counterfeit Social Security card and a counterfeit Resident Alien card. According to the affidavit, she sold two sets of identity documents a week for roughly three years.
If convicted, she faces a maximum penalty of 15 years in federal prison and a fine up to $250,000 on the trafficking charge, and a maximum penalty of 10 years and a fine up to $250,000 on the other charge. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Chris Oakley is prosecuting.OTHER INDICTMENTS
Rodney Heinen, 37, Dawson, Neb., is charged with two counts of violating the Clean Water Act. One count is alleged to have occurred starting in January 2012 and the other count is alleged to have occurred starting in April 2013 in Jackson County, Kan.
In the first count, Heinen is alleged to have introduced earthen fill and wood debris into a stream flowing through 160 acres of agricultural property he owned. The indictment alleges the stream was covered by the Clean water Act and subject to the supervision of the U.S. Army Corps of Engineers, the Natural Resources Conversation Service and the Environmental Protection Agency. The second count alleges that in April 2013 the defendant purchased more than 72 acres of agricultural land in Jackson County. The U.S. Army Corps of Engineers later found dredge and fill material placed in two streams on the property.
If convicted, he faces a maximum penalty of three years in federal prison and a fine up to $50,000 per day of violation. The Environmental Protection Agency investigated. Assistant U.S. Attorney Rich Hathaway is prosecuting.
Joel Christian-Ashton Tindall, 25, who is being held in the Shawnee County Jail, is charged with one count of unlawful possession of a firearm after a felony conviction. The crime is alleged to have occurred Oct. 9, 2013, in Shawnee County, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Randy Hendershot is prosecuting.In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Two Sentenced to Federal CustodyIn Separate Firearms CasesRead the Press Release
TOPEKA, KAN. Two Topeka men have been sentenced to federal custody in unrelated federal firearms cases, U.S. Attorney Barry Grissom said today.
Tyrone J. Lewis, Sr., 33, was sentenced to 30 months. Matthew L. Hoag, 22, Topeka, was sentenced to six months in a halfway house.
Lewis pleaded guilty on one count of unlawful possession of ammunition after a felony conviction. In his plea, he admitted that on Jan. 19, 2013, he called the Topeka Police Department to report that people were chasing him in a vehicle. When officers arrived in the 1600 block of SW Topeka they found Lewis in the intersection jumping back and forth as if he were avoiding multiple football tackles. Believing him to be under the influence of a narcotic, they placed him under arrest. They found four .45 caliber bullets in a plastic bag in his possession. At the time, he was prohibited from possessing ammunition because of prior felony convictions in Shawnee County District Court for aggravated robbery and attempted criminal possession of a firearm.
Hoag pleaded guilty to one count of unlawful possession of a firearm after a felony conviction. In his plea, he admitted that officers of the Topeka Police Department encountered him on March 21, 2013, after being called to a report of shots fired. Hoag was riding in the back seat of a car officers stopped in the 1100 block of SW Lincoln. They found him in possession of a .380 caliber handgun. At the time, Hoag was prohibited from possessing a firearm because he had been convicted in June 2010 in Jackson County District Court on a charge of possession of methamphetamine.
Grissom commended the Topeka Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives and Assistant U.S. Attorney Richard Hathaway for their work on the cases.
Topeka Man SentencedIn Commercial RobberiesRead the Press Release
TOPEKA, KAN. – A Topeka man has been sentenced to 30 months in federal prison after pleading guilty to two commercial robberies, U.S. Attorney Barry Grissom said today.
Brendon R. Thompson, 26, Topeka, Kan., pleaded guilty to two counts of robbery. On Nov. 16, 2012, he robbed the EZ Payday Advance store at 2613 S.W. 21st Street in Topeka. On Jan. 17, 2013, he robbed the Family Dollar at 1313 S.W. 21st Street in Topeka.
Grissom commended the Topeka Police Department, the FBI and Assistant U.S. Attorney Jared Maag for their work on the case.
Topeka Man Sentenced to Federal Prison on Firearm ChargeRead the Press Release
TOPEKA, KAN. - A Topeka man has been sentenced to 15 months in prison after pleading guilty to a federal firearm charge, U.S. Attorney Barry Grissom said today.
Frederick L. Sanders, 41, Topeka, Kan., pleaded guilty to one count of unlawful possession of a firearm after a felony conviction. Sanders was indicted by a federal grand jury May 29. The indictment alleged that on April 22, 2013, he unlawfully possessed a .45 caliber single-shot derringer pistol. At the time Sanders was prohibited by federal law from possessing a firearm because he had a prior felony conviction. He was convicted June 15, 2006, in Shawnee County District Court on a charge of possession of methamphetamine.
Grissom commended the Bureau of Alcohol, Tobacco, Firearms and Explosives and Assistant U.S. Attorney Tony Mattivi for their work on the case.Kansas City Man Sentenced in Carjacking CaseRead the Press Release
KANSAS CITY, KAN. - A Kansas City, Kan., man has been sentenced to 10 years on a federal charge arising from a carjacking and armed robbery, U.S. Attorney Barry Grissom said today.
Terry D. Tillman, 26, Kansas City, Kan., pleaded guilty to one count of carjacking. In his plea, he admitted that on May 26, 2013, he and three co-defendants walked to a Stop Shop gas station at 6865 State Avenue in Kansas City, Kan., where co-defendant Derrick Freeman suggested they “get a car.” While co-defendant Anthony Irvin held the driver of a 2004 Ford Freestar minivan at gunpoint, Tillman and Freeman robbed the driver of wallet and keys. The defendants drove away in the minivan, with Tillman riding in a rear passenger seat.
When the defendants realized officers had spotted their vehicle they led police on a 17-minute chase at speeds up to 112 miles per hour. The minivan wrecked in a plowed field near Leavenworth Road and North 184th Street in Basehor, Kan., where the defendants fled on foot. Freeman fired a handgun at a law enforcement officer before being arrested. Tillman was arrested about 100 yards from the vehicle.
Co-defendants include:
Derrick Freeman, 28, Kansas City, Kan.,who is awaiting sentencing.
Anthony L. Irvin, 19, Kansas City, Kan., who is set for sentencing Nov. 25.
Melvin L. Shields, 20, Kansas City, Kan., who is set for sentencing Nov. 25.
Joe Freeman, 33, Kansas City, Kan., who is set for trial Jan. 21.
Jeffrey B. Jackson, 47, Leavenworth, Kan., who is awaiting trial.Grissom commended the Kansas City, Kan., Police Department, the Wyandotte County Sheriff’s Department, the Kansas Highway Patrol, the Basehor Police Department, the Edwardsville Police Department, the Bonner Springs Police Department, the Leavenworth County Sheriff’s Department and Special Assistant U.S. Attorneys Erin Tomasic and Trent Krug for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Tom Beall Appointed First Assistant U.S. AttorneyRead the Press Release
TOPEKA, KAN. – Tom Beall has been appointed First Assistant, U.S. Attorney Barry Grissom said today.
As First Assistant, Beall will be the second in command of the U.S. Attorney’s Office in the District of Kansas, which comprises approximately 50 Assistant U.S. Attorneys and 50 support staff members working in offices in Topeka, Kansas City, Kan., and Wichita.
“I am impressed with Tom’s abilities as well as his management style,” Grissom said. “I believe he will be a good fit for the District.”
Beall joined Grissom’s staff as an Assistant U.S. Attorney in April 2011. A Leavenworth native, Beall served as chief deputy to Kansas Attorney General Steve Six. He previously spent eight years in private practice in Leavenworth and Topeka. He currently is an adjunct instructor at Washburn Law School teaching advanced trial advocacy.
Beall graduated in 2000 from the Washburn University School of Law after earning a master’s degree in public administration from Kansas State University and a bachelor’s degree from Baker University.Restaurant Owners in Olathe Charged with Harboring Undocumented WorkersRead the Press Release
KANSAS CITY, KAN. – The owners of Wei’s Super Buffet restaurant in Olathe have been charged with harboring undocumented workers who were in the United States unlawfully, U.S. Attorney Barry Grissom said today.
A federal criminal complaint filed in U.S. District Court in Kansas City, Kan., alleges the owners and managers of the restaurant violated federal law by knowingly employing, transporting and housing undocumented workers.
The following defendants were charged with one count of conspiracy to transport undocumented workers; conceal, harbor and shield undocumented workers; and encourage or induce undocumented workers to unlawfully enter or remain in the United States.
Wei Liu, 40,Olathe, Kan., owner of Wei’s Super Buffet at 12225 Strang Line Road in Olathe and Wei’s Super Buffet at 7531 Wornall Road in Kansas City, Mo.
Xiang Liu, 35, Olathe, Kan., Wei Liu’s wife and restaurant manager.
Jin Hui Liu, 47, Olathe, Kan., Wei Liu’s brother in law.
Huiqing Liu, 44, Olathe, Kan., Wei Liu’s sister.
Quan Liu, 25, Kansas City, Mo., manager of the Wei’s Super Buffet in Kansas City, Mo.
Bin Liu, 39, Olathe, Kan.An investigator’s affidavit filed in support of the complaint alleges that beginning in February 2011 agents of Homeland Security Investigations began surveillance on the owners, managers and employees at Wei’s Super Buffet. They checked Quarterly Wage Report and Unemployment Tax Returns submitted by the restaurant to the Kansas Department of Labor and they identified employees who were illegally present in the United States. They also identified apartments rented by the defendants where undocumented workers were living.
On Nov. 5, 2013, investigators served search and seizure warrants. During a search of Wei and Xiang Liu’s residence, where Biu Liu also resided, they found boxes of records associated with the daily operations of the restaurant and ledgers identifying the restaurant’s revenue. During the search of Jin Hui and Huiqing Liu’s residence, they found six undocumented workers residing the basement, all of whom worked at the restaurant. During the search of an apartment leased by Quan Liu near the restaurant in Kansas City, Mo., they found six undocumented workers residing there.
If convicted, the defendants face a maximum penalty of 10 years in federal prison and a fine up to $250,000.
The Department of Homeland Security (DHS), Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) investigated. Assistant U.S. Attorney Scott Rask is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Two Defendants Plead Guilty in SchemeTo Steal Trailer-load of GoodsRead the Press Release
WICHITA, KAN. – Two defendants from North Hollywood, Calif., have pleaded guilty in a scheme to steal a load of processed beef from a meatpacker in southwest Kansas, U.S. Attorney Barry Grissom said today.
Oganes Nagapetian, 53, pleaded guilty to one count of conspiracy to commit interstate shipment fraud. His brother, Tigran Nagapetian, 50, pleaded guilty to one count of knowing about the crime and attempting to conceal it from authorities.
In his plea Oganes Nagapetian admitted that in November 2011 he and other conspirators began planning to steal a load of packaged beef valued at $87,500 from the Tyson Fresh Meats, Inc., plant in Holcomb, Kan. First, an unidentified co-conspirator faxed documents from California to a freight broker in Ohio to bid on a contract to haul the load from Holcomb to Vernon, Calif. The conspirators pretended to represent Alan J. Doyle Trucking. On Nov. 3, 2011, Oganes Nagapetian posed as a driver for the company and dropped off a 55-foot refrigerated trailer at the Tyson plant to be loaded with beef and shipped to a meat wholesaler in Vernon, Calif.
Oganes Nagapetian was accompanied by his brother, Tigran Nagapetian. What the defendants did not know was that the freight broker had become suspicious and notified the FBI, which was monitoring the attempt to pick up the load. On Nov. 4, 2011, while waiting for the trailer to be loaded, the defendants became suspicious that they were under surveillance by law enforcement and fled the area in a tractor they had used to drop of the trailer. A Kansas Highway Patrol officer stopped the tractor about an hour later on US 83 in Haskell Country. In the truck, investigators found documents used in the crime. Tigran Nagapetian told troopers that he and his brother were headed to Oklahoma to purchase a trailer, which he knew was not true. He did not make known to law enforcement that Oganes had attempted to steal a trailer of packaged meat.
Sentencing is set for Jan. 27. Oganes Nagapetian faces a maximum penalty of five years in federal prison and a fine up to $250,000. Tigran Nagapetian faces a maximum penalty of three years in federal prison and a fine up to $250,000.
Grissom commended the U.S. Dept. of Agriculture – Office of Inspector General, the FBI, Homeland Security Investigations, the Kansas Highway Patrol, the Los Angeles County Sheriff’s Dept. and its Cargo Cats unit, the Finney County, Kan., Sheriff’s Dept., the California Highway Patrol Cargo Theft Interdiction Program, the National White Collar Crime Center, the National Insurance Crime Bureau and Assistant U.S. Attorney Brent Anderson for their work on the case.Topeka Man Pleads GuiltyTo Making Pipe BombRead the Press Release
TOPEKA, KAN. – A Topeka man has pleaded guilty to making a pipe bomb, U.S. Attorney Barry Grissom said today.
Joseph E. Rogers, 36, Topeka, Kan., pleaded guilty to one count of making a destructive device. In his plea, he admitted that on Nov. 12, 2012, officers of the Topeka Police Department stopped him and co-defendant Kyle C. Roe, 29, Topeka, Kan. Roe was immediately taken into custody on an active felony warrant. Roe told police that he had a bomb in his pocket.
When Rogers was interviewed, he told investigators that he had constructed explosive devices for the entertainment value. Rogers talked about using PVC pipe, wrapped in tape and filled with smokeless powder removed from ammunition.
Rogers is set for sentencing Jan. 27. He faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. Co-defendant Kyle C. Rogers pleaded guilty to one count of possessing a destructive device. He is set for sentencing Nov. 26. He faces a maximum penalty of 10 years in federal prison and a fine up to $250,000.
Grissom commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Topeka Police Department and Assistant U.S. Attorney Richard Hathaway for their work on the case.
Pharmacist Sentenced for DistributingMisbranded Drug for Kidney Dialysis PatientsRead the Press Release
TOPEKA, KAN. – A pharmacist has been sentenced to 48 months in federal prison for substituting a cheaper drug imported from China for the iron sucrose that the Federal Drug Administration has approved for kidney dialysis patients, U.S. Attorney Barry Grissom said today. He also was ordered to pay restitution of $848,504 and a $25,000 criminal fine, in addition to forfeiting $425,000 in cash.
Robert Harshbarger, Jr., 53, Kingsport, Tenn., who was doing business as American Inhalation Medication Specialists, Inc., pleaded guilty to one count of distributing a misbranded drug and one count of health care fraud. In his plea, he admitted that as a result of the fraud kidney dialysis patients treated by Kansas Dialysis Services, L.C., received iron sucrose that had not been certified by the FDA to meet quality and safety standards.Although there were no reports of harm to patients, the crime put patients at risk because the FDA cannot assure the safety and effectiveness of products that are not FDA approved and come from unknown sources or foreign locations.
Harshbarger admitted that health care benefit programs paid more than $848,000 for the misbranded iron sucrose he distributed from 2004 to 2009. Harshbarger misrepresented the iron sucrose drug as Venofer, which is the only iron sucrose drug approved by the FDA for both pre-dialysis and post-dialysis patients.
Harshbarger purchased iron sucrose from Chinese companies including Qingdao Shenbang Chemical Company in Qingdao, China, and Shanghai Rory Fine Chemicals Co., Ltd., in Shanghai, China. The iron sucrose from China was cheaper than purchasing Venofer.
Grissom commended the Food and Drug Administration, the Dept. of Health and Human Services, Office of Inspector General, and Assistant U.S. Attorney Tanya Treadway for their work on the case.Kansas Man Pleads GuiltyTo Using Credit Card SkimmerRead the Press Release
TOPEKA, KAN. – A Kansas man pleaded guilty Monday to using a device called a credit card skimmer to steal credit card numbers, U.S. Attorney Barry Grissom said.
Yao Vignon Kpade, 32, Overland Park, Kan., pleaded guilty to one count of electronic access device fraud. In his plea, he admitted he was working at a Taco Bell in Belton, Mo., when he used the skimmer to obtain information from customers’ credit cards. He encoded the stolen information onto bank cards issued in his name and used those credit cards to purchase items such as iPads.
He used stolen information to make purchases at the Walmart in Overland Park, Kan.; Ranchmart Wine and Spirits in Leawood, Kan.; Walgreens in Prairie Village, Kan.; Walgreens in Overland Park, Kan.; Hy-Vee in Shawnee, Kan.; and Walmart in Shawnee, Kan. In his plea, he agreed to pay a total of more than $2,465 in restitution to two banks and to forfeit seized property including computers, electronic tablets and cell phones.
Sentencing is set for March 2. He faces a maximum penalty of 15 years in federal prison. Grissom commended the U.S. Secret Service, the Johnson County District Attorney’s Office, the Cass County (Mo.) District Attorney’s Office, the Shawnee Police Department, the Overland Park Police Department, the Leawood Police Department, DHS, Homeland Security Investigations and Assistant U.S. Attorney Tanya Treadway for their work on the case.
Gang Member Pleads GuiltyIn Dodge City Racketeering CaseRead the Press Release
WICHITA, KAN. – A Dodge City gang member has pleaded guilty to conspiring to attempt to kill a rival gang member in connection with a federal racketeering case, U.S. Attorney Barry Grissom said today.
Jesus Sanchez, 23, Dodge City, Kan., pleaded guilty to one count of conspiracy to commit acts of racketeering.
In his plea, Sanchez admitted he was a member of the Diablos Viejos and affiliated with the Norteno street gang on March 30, 2011, when he attempted to shoot and kill George Gonzalez, a member of the rival Sureno gang. Sanchez and other Norteno gang members encountered Gonzalez at the east Love’s convenience store in Dodge City. They exchanged gang signs and slurs with the victim before driving away from the store. Later, they returned and pursued Gonzalez. Near 1602 6th Avenue, Gonzalez got out of the car in which he was riding and ran up the alley toward his girlfriend’s house. As Gonzalez ran, Sanchez fired at least two shots at him from a .40 caliber handgun. The shots struck a fence.
Sanchez also admitted that on July 2, 2008, in Dodge City he and another gang member robbed a victim named Bryant Licon at knifepoint.
Sanchez admitted that Nortenos engaged in violence including assaults and robberies as a means of advancing their positions in the organization and building the gang’s reputation.
Sentencing is set for Jan. 13, 2014. He faces a maximum penalty of 20 years in federal prison and a fine up to $250,000.Sanchez was one of 23 Norteno members indicted in May 2012. It was only the second time a federal RICO Act indictment (Racketeer Influenced and Corrupt Organizations Act) had been filed in Kansas. So far, 20 of the defendants have pleaded guilty or been found guilty. Three are awaiting trial.
Grissom commended the Dodge City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ford County Sheriff’s Office, the Kansas Bureau of Investigation, Assistant U.S. Attorney Lanny Welch and Assistant U.S. Attorney Aaron Smith for their work on the case.
Wichita Store Owner Pleads GuiltyTo Trafficking Counterfeit Designer GoodsRead the Press Release
WICHITA, KAN. - A woman who owns a retail store in Wichita has pleaded guilty to trafficking in counterfeit designer goods, U.S. Attorney Barry Grissom said today.
Glenda Sue Morgan, 55, Wichita, Kan., pleaded guilty to one count of trafficking in goods bearing counterfeit trademarks. In her plea, she admitted selling the counterfeit goods as “replicas” at her business, The Fabulous Store at 9131 E. 37th North in Wichita. On April 2, 2013, undercover law enforcement officers bought about $500 worth of such items including a “Chanel” bracelet and sunglasses, a “Michael Kors” purse and a “Prada” purse. When investigators served a search warrant they seized 400 replica items with a retail value of about $14,000.
In June 2009, more than $1 million in counterfeit goods was seized by Homeland Security Investigations from the same location. At the time, Morgan forfeited ownership of the items and they were destroyed, but she was not charged criminally.
Sentencing is set for Jan. 17, 2014. She faces a maximum penalty of 10 years in federal prison and a fine up to $2 million. Grissom commended Homeland Security Investigations, the Wichita Police Department and Assistant U.S. Attorney Brent Anderson for their work on the case.Former Treasurer of Mayetta Fire District Charged with Embezzling $427,000Read the Press Release
TOPEKA, KAN. - The former treasurer of the Mayetta Rural Fire District #1 in Jackson County, Kan., has been charged in federal court with embezzling more than $427,000 from the district, U.S. Attorney Barry Grissom said today.
Richard P. Bontrager, 67, Holton, Kan., was charged in a criminal information filed today in U.S. District Court in Topeka with one count of embezzlement. The criminal information alleges the crime occurred from 2008 to 2013 while Bontrager was managing the finances of the fire district, which serves a 121-square-mile area including the town and nearby rural community. Beginning in 2008, Bontrager began embezzling funds by issuing checks with forged signatures of members of the district’s five-member board of directors. He made the checks payable to a fictitious company he called “R & S Services,” to conceal the fact the money was deposited into his personal account.
The criminal information also alleges he falsified loan documents to obligate the fire district to make monthly lease payments on a Polaris Ranger UTV and a 1988 Chevrolet one-ton brush truck. He created false minutes to make it appear the board had approved the lease.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. The Jackson County Sheriff’s Office investigated. Assistant U.S. Attorney Richard Hathaway is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.Former CFO of Emporia Company Charged with Embezzling $265,927Read the Press Release
TOPEKA, KAN. - The former chief financial officer for a manufacturing firm in Emporia has been charged in federal court with embezzling more than $265,000 from the company, U.S. Attorney Barry Grissom said today.
Sandra Moore, 57, Emporia, Kan., was charged in a criminal information filed today in U.S. District Court in Topeka with one count of embezzlement. The criminal information alleges the crime occurred beginning in 2008 while the defendant was CFO of Sauder Custom Fabrication, Inc., in Emporia, Kan. It is alleged Moore devised a variety of schemes to divert money from her employer’s accounts to her own including:- Making unauthorized transfers from the company’s disbursement account to her personal account at ESB Financial in Emporia.
- Issuing unauthorized checks and depositing them into her personal account.
- Issuing unauthorized to repay loans she obtained from her 401K account.
Using those methods, she is alleged to have embezzled a total of $265,927 from the company.
If convicted, she faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. The FBI investigated. Assistant U.S. Attorney Richard Hathaway is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.Wabaunsee County Woman Admits Embezzling from Bio-Security Research InstituteRead the Press Release
TOPEKA, KAN. - A Wabaunsee County woman has pleaded guilty to embezzling from the Bio-Security Research Institute at Kansas State University, U.S. Attorney Barry Grissom said today.
Linda Kay Miller, 51, Alma, Kan., pleaded guilty to three counts of interstate transportation of fraudulently altered securities. In her plea, she admitted the crimes took place while she worked as an office manager for the institute from August 2007 to January 2013. The institute receives grant money from the federal government to provide infectious disease research programs that address threats to plant, animal and human health.
Miller used her position to embezzle funds by diverting checks sent to the institute. She altered the checks to make herself either a payee or co-payee and deposited the proceeds into one of her personal bank accounts. The proceeds moved in interstate commerce as part of a process to clear and negotiate the checks. The plea identifies three specific checks Miller diverted: A check for $5,000 from the FSU Research Foundation in Tallahassee, Fla.; a check for $6,108.58 from the Frontline Healthcare Workers Safety Foundation in Atlanta, Ga.; and a check for $955 from J.M. Oconnor Inc., in Lenexa, Kan.
In her plea, Miller agreed to a money judgment of $16,523.58.
Sentencing is set for Jan. 13. She faces a maximum penalty of 10 years in federal prison and a fine up to $250,000 on each count.
Grissom commended the FBI, the Kansas State University Police Department, the Wabaunsee County Sheriff’s Office and Assistant U.S. Attorney Richard Hathaway for their work on the case.Texas Men Resentenced for Illegal Deer Hunting in KansasRead the Press Release
WICHITA, KAN. - Two Texas men have been resentenced on Lacey Act charges of conspiracy, wildlife trafficking and obstruction of justice related to the sale of guided deer hunts in southern Kansas, U.S. Attorney Barry Grissom said today.
James Bobby Butler, Jr., 44, of Martinsville, Tex., was sentenced to 10 months in federal prison. Butler pleaded guilty in March 2011 to one count of conspiracy to violate the Lacey Act, one Lacey Act interstate trafficking count and one count of obstruction of justice.
His brother, Marlin Jackson Butler, 39, also of Martinsville, was sentenced to 8 months in federal prison. He pleaded guilty in March 2011 to one count of conspiracy to violate the Lacey Act and one Lacey Act interstate trafficking count.
The Lacey Act is a federal law that makes it illegal to knowingly transport or sell in interstate commerce any wildlife taken or possessed in violation of state law or regulation.
The Butlers ran a deer guiding operation near Coldwater, Kan. They sold guided deer hunts in Kansas to hunters from Texas and Louisiana, charging approximately $3,500 for archery hunts and $5,000 for rifle hunts. During those hunts, the Butlers transported clients to areas owned or leased by James Butler, where hunters were encouraged to kill deer illegally, in many cases without a license or permit.
In June 2011, James Butler was sentenced to 41 months in federal prison and Marlin Butler was sentenced to 27 months. They appealed their sentences to the U.S. Tenth Circuit Court of Appeals, which vacated the sentences and remanded the cases for resentencing.
Grissom commended the U.S. Fish & Wildlife Service, the Kansas Department of Wildlife and Parks, the Texas Parks and Wildlife Department, Colin Black of the Justice Department's Environment and Natural Resources Division, Environmental Crimes Section, and Assistant U.S. Attorney Matt Treaster for their work on the case.
Girl's Former Tennis Coach SentencedFor Soliciting Her for Child PornographyRead the Press Release
KANSAS CITY, KAN. - A Missouri man who coached youth tennis has been sentenced to 78 months in federal prison for soliciting a minor girl he coached to send him sexually explicit photos of herself, U.S. Attorney Barry Grissom said today. The defendant also was ordered to pay $15,000 in restitution.
Rex Haultain, 56, Parkville, Mo., pleaded guilty to one count of soliciting child pornography. In his plea, he admitted that in 2009 he told a minor girl he was coaching that she sexually aroused him. While traveling to a tournament in the summer of 2010, he showed her a picture of his penis on a cell phone. In the fall of 2010 he began asking her to send him photos of herself naked, leading eventually to his sexually molesting her.
At sentencing, the victim, now 18, read a statement saying Haultain manipulated her by exploiting her desire to become an outstanding tennis player. Her statement read in part: “Not a day goes by that I don’t think about what happened to me. I believe that will be the case for a long time, and maybe even for the rest of my life.”
Grissom commended the Overland Park Police Department, the FBI, Victim-Witness Specialist Vivian VanVleet and Assistant U.S. Attorney Scott Rask for their work on the case.
Former Crew Leader Sentenced for Harboring Undocumented WorkersRead the Press Release
KANSAS CITY, KAN. - A former crew leader has been sentenced to time served after pleading guilty to harboring undocumented workers who were employees of a framing company in Spring Hill, Kan., U.S. Attorney Barry Grissom said today. He will be turned over to Immigration and Customs Enforcement for deportation.
Edino Pacheco, also known as Dennis Erickson Portillo, 30, has been in custody since he was arrested April 1. In his plea, he admitted that owners and managers of Advantage Framing Systems, Inc., in Spring Hill, Kan., knowingly employed undocumented workers. Advantage devised a method to reimburse undocumented workers by making crew leaders responsible to pay undocumented workers in their crews. Pacheco served as a crew leader and cashed checks issued to him from Advantage Framing to pay crew members for their framing work.
Advantage Framing issued checks to more than 32 crews for compensation for framing work. During the conspiracy, the total amount of checks written to various framing crews was approximately $4.6 million.
Co-defendants include:
James Humbert,owner of Advantage Framing, who pleaded guilty and is set for sentencing Jan. 17.
Kimberly Humbert, co-owner of Advantage Framing, who pleaded guilty and is set for sentencing Jan. 17.
Charles Stevens II, co-owner of Advantage Framing,who pleaded guilty and is set for sentencing Dec. 3.
Jose Ramon Caro-Corral, a crew leader, who is awaiting trial.
Angel Arguello-Plata, a crew leader, who pleaded guilty, and is awaiting sentencing.
Jorge Uriel Delgado-Ovalle, a crew leader, who is awaiting trial.
Grissom commended the U.S. Immigration and Customs Enforcement?s (ICE) Homeland Security Investigations (HSI), the Internal Revenue Service and Assistant U.S. Attorney Jabari Wamble for their work on the case.Indictment: Wichita Man Transported Child Pornography Across State LinesRead the Press Release
KANSAS CITY, KAN. - A Wichita truck driver has been charged in federal court with transporting child pornography across state lines, U.S. Attorney Barry Grissom said today.
Joshua David Bellah, 40, Wichita, Kan., is charged with one count of interstate transportation of child pornography. The crime is alleged to have occurred Oct. 11, 2013, when he drove from Oklahoma to Kansas with two laptop computers containing child pornography.
Bellah initially was charged in a criminal complaint filed Oct. 15 in U.S. District Court. An affidavit supporting the complaint alleged the investigation began when Immigration and Customs Enforcement’s Homeland Security Investigations received information from the National Center for Missing and Exploited Children, the Dallas Police Department, the FBI and HSI. Investigators learned that Bellah had created various email accounts using free services including Yahoo. He used one or more email accounts to exchange and distribute child pornography for a brief time before abandoning the accounts and creating a new one for the same purpose.On Oct. 11, 2013, investigators executed a search warrant at his home and seized three laptops, a smartphone, two USB drives and several disks. They found child pornography depicting victims who appeared to be as young as five years old.
If convicted, he faces a penalty of not less than five years and not more than 20 years and a fine up to $250,000. Immigration and Customs Enforcement’s Homeland Security Investigations investigated. Assistant U.S. Attorney Jason Hart is prosecuting.
OTHER INDICTMENTS
Hunter R. Wheeler, 23, who is in federal custody, is charged with three counts of distributing methamphetamine, one count of possession with intent to distribute methamphetamine, and one count of unlawful possession of a firearm in furtherance of drug trafficking. The crimes are alleged to haveoccurred in September and October 2013, in Douglas County, Kan.
If convicted, he faces a penalty of not less than five years and not more than 40 years and a fine up to $8 million on each distribution count, a penalty of not less than 10 years and not more than life on the charge of possession with intent to distribute more than 50 grams of methamphetamine, and a penalty of not less than five years on the charge of unlawful possession of a firearm. The Lawrence Police Department investigated. Assistant U.S. Attorney Jabari Wamble is prosecuting.
Michael A. Rehard, 25, is charged with one count of distributing methamphetamine, one count of unlawful possession of a firearm in furtherance of drug trafficking, and one count of possession with intent to distribute methamphetamine. The crimes are alleged to have occurred in July and October 2013 in Overland Park, Kan.
If convicted, he faces a penalty of not less than five years and not more than 40 years in federal prison and a fine up to $5 million on the distribution count and on the possession count, and a penalty of not less than five years and not more than life and a fine up to $250,000 on the firearm charge. The Kansas Bureau of Investigation investigated. Assistant U.S. Attorney David Zabel is prosecuting.
Abelardo Fernandez-Casas, 38, Pratt, Kan., is charged with one count of possession of an unlawfully obtained Social Security card, one count of using a false Social Security number, and one count of making false statements in order to obtain a loan from the People’s Bank of Pratt, Kan. The crimes are alleged to have occurred in 2009 and 2012 in Pratt, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000 on the charge of possessing an unlawfully obtained Social Security card, a maximum penalty of five years and a fine up to $250,000 on the charge of using a false Social Security number, and a maximum penalty of 30 years and a fine up to $1 million on the charge of making false statements to obtain a loan. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Jason Hart is prosecuting.
Raul Marquez-Ramirez-Ramirez, 57, Wichita, Kan.; Angel L. Lopez, 30, Wichita, Kan.; Emma Velo, 32, Wichita, Kan.; and Tyler Sims, 30, Wichita, Kan., are charged with one count of conspiracy to distribute methamphetamine. In addition, Marquez-Ramirez is charged with three counts of distributing methamphetamine, one count of possession with intent to distribute marijuana and one count of unlawful possession of a firearm in furtherance of drug trafficking; Lopez is charged with three counts of distributing methamphetamine; and Velo is charged with one count of possession with intent to distribute marijuana and one count of unlawful possession of a firearm in furtherance of drug trafficking.
Upon conviction, the crimes carry the following penalties:
Conspiracy: Not less than 10 years and not more than life and a fine up to $10 million.
Distribution of more than 50 grams of methamphetamine: Not less than 10 years and not more than life and a fine up to $10 million.
Distribution of more than five grams of methamphetamine: Not less than five years and not more than 40 years and a fine up to $5 million on each count.
Possession with intent to distribute more than five grams of methamphetamine: Not less than five years and not more than 40 years and a fine up to $5 million on each count.
Possession with intent to distribute marijuana: Not less than five years and not more than 40 years and a fine up to $5 million on each count.
Possession of a firearm in furtherance of drug trafficking: Not less than five years and a fine up to $250,000.
The Wichita Police Department investigated. Assistant U.S. Attorney Lanny Welch is prosecuting.
Kyle Lennin, 28, who is in custody in the Shawnee County Jail, is charged with one count of conspiracy to distribute methamphetamine and one count of threatening a prospective federal witness. The conspiracy is alleged to have taken place from February to March 2012 in Saline County, Kan., and the threat is alleged to have occurred Aug. 29, 2013.
If convicted, he faces a penalty of not less than 10 years and a fine up to $10 million on the conspiracy count, and a penalty of not less than 20 years and a fine up to $250,000 on the charge of threatening a prospective witness. The Salina Police Department investigated. Assistant U.S. Attorney Randy Hendershot is prosecuting.
Jason A. Young, 28, is charged with one count of unlawful possession of a firearm in furtherance of drug trafficking, one count of possession with intent to distribute marijuana, and one count of unlawful possession of a firearm after a felony conviction. The crimes are alleged to have occurred July 27, 2013, in Kansas City, Kan.
If convicted, he faces a penalty of not less than five years in federal prison and a fine up to $250,000 on the charge of unlawful possession of a firearm in furtherance of drug trafficking, a maximum penalty of five years and a fine up to $250,000 on the marijuana charge, and a maximum penalty of 10 years and a fine up to $250,000 on the remaining firearm charge.
The Kansas City, Kan., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Special Assistant U.S. Attorney Erin Tomasic is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.Twice as Many Americans Abuse Rx DrugsAs Cocaine, Heroin CombinedRead the Press Release
KANSAS CITY, KAN. - Twice as many Americans abuse prescription drugs as the number abusing cocaine, heroin, hallucinogens and inhalants combined, U.S. Attorney Barry Grissom said today. Grissom called on Kansans to help solve the problem by participating in the Drug Enforcement Administration’s National Prescription Drug Take Back Day on Saturday, Oct. 26.
“All of us need to empty our medicine cabinets of potentially dangerous expired, unused or unwanted prescription drugs,” Grissom said. “Studies show that a majority of abused prescription drugs are obtained from family and friends, including from home medicine cabinets.”
Grissom said more than 6 million Americans abuse prescription drugs and more accidental deaths are caused by drug overdoses than by car accidents.
About 100 collection sites will be open from 10 a.m. to 2 p.m. Saturday at locations across Kansas. For a current list of drop off sites in your area, visit www.dea.gov and click on the “Got Drugs?” logo.
Mail-Order Diabetic Supply Company and Its Owners Resolve Allegatiions of Civil and Criminal FraudRead the Press Release
The following is a joint release from the U.S. Attorney’s Office for the Eastern District of Louisiana and the U.S. Attorney’s Office for the District of Kansas.
NEW ORLEANS, LOUISIANA – The owners of Kansas-based Global Medical Direct, LLC and Global Medical Inc., Robert Shea and Mark Franz, have agreed to pay $7 million to resolve allegations against them in connection with a scheme to submit false claims to the federal Medicare and Tricare healthcare programs, announced United States Attorney Kenneth Allen Polite, Jr. from the Eastern District of Louisiana along with United States Attorney Barry Grissom, from the District of Kansas. The companies have also agreed to pay to the United States $5 million in proceeds from the sale of all of the companies’ assets to settle civil allegations under the False Claims Act. Shea and Franz will also receive twenty-year exclusions from participation in any federal healthcare program as part of the settlement.
Global Medical, Inc. and its parent company, Global Medical Direct, LLC, are mail-order diabetic supply companies. The United States contends that, between April 1, 2008 and January 31, 2012, owners Robert Shea and Mark Franz caused Global Medical and Global Medical Direct to enter into numerous marketing contracts with insurance brokerage and other companies with customer bases likely to have a high percentage of diabetes patients and paid these companies based on the number of patients referred for diabetic supplies. The Anti-Kickback Statute makes it unlawful to pay or receive remuneration for patient referrals because of the high-potential for billing abuse to Federal programs, such as Medicare, resulting from these types of arrangements.
The settlement resolves the companies’ and its owners’ civil and criminal liability for their participation in the wrongdoing.
The investigation and prosecution of the companies and their owners was conducted jointly by the U. S. Attorney’s Offices for the District of Kansas and the Eastern District of Louisiana, the Office of the Inspector General for the Department of Health and Human Services, and the Federal Bureau of Investigation.
“This joint effort sends a strong message to those that would abuse federally-funded healthcare programs – we will employ all available avenues to punish those that take advantage of the system,” said Kenneth Polite, U. S. Attorney for the Eastern District of Louisiana.
“We are happy to partner with our sister districts to insure that fraud, waste and abuse are discovered and punished wherever found,” said Barry Grissom, U. S. Attorney for the District of Kansas.
"Patients have a right to expect that medical suppliers have justly earned the opportunity to win government business," said Mike Fields, Special Agent in Charge, Office of Inspector General, U.S. Department of Health and Human Services, of the region including Louisiana. "Besides the dollar settlement, two of Global's owners are now banned from government health programs for at least the next two decades."Kansas City Man Pleads GuiltyIn Bank Robbery with HatchetRead the Press Release
KANSAS CITY, KAN. - A Kansas City, Mo., man has pleaded guilty in a case in which an Overland Park bank was robbed by a man with a hatchet, U.S. Attorney Barry Grissom said today.
Derek T. Brownlee, 35, Kansas City, Mo., pleaded guilty to one count of armed robbery. A criminal complaint filed in July alleged Brownlee was wearing a bandanna over his face and carrying a hatchet on July 1, 2013, when he robbed the Metcalf Bank at 7800 College Boulevard in Overland Park.
The complaint alleged Brownlee jumped the teller’s counter and demanded money. He took cash from a drawer and some personal items from a teller including a Kindle Fire and a cellular telephone. When police officers spotted his car, he led them on a chase at speeds up to 90 miles an hour before being stopped in the 8700 block of Indiana in Kansas City, Mo. He was arrested after he fled from the car on foot.
Sentencing is set for Jan. 21. He faces a maximum penalty of 20 years and a fine up to $250,000. Grissom commended the FBI, the Overland Park Police Department, the Kansas City, Mo., Police Department and Assistant U.S. Attorney Kim Martin for their work on the case.
Kansas City Man Pleads Guilty to Robbery, Carjacking, Firearms ChargeRead the Press Release
KANSAS CITY, KAN. - A Kansas City, Kan., man has pleaded guilty to federal charges arising from an armed robbery and a carjacking, U.S. Attorney Barry Grissom said today.
Derrick L. Freeman, 28, Kansas City, Kan., pleaded guilty to one count of armed robbery, one count of carjacking, and one count of unlawful possession of a firearm after a felony conviction.
In his plea, Freeman admitted that on May 12, 2013, he and his co-defendants went to the home of a Kansas City, Kan., man to buy some synthetic marijuana. Once there, they robbed the man at gunpoint. During the robbery, Freeman fired a handgun and then fled the scene before police arrived.
On May 26, 2013, Freeman and co-defendants walked to a Stop Shop gas station at 6865 State Avenue in Kansas City, Kan., where Freeman suggested they “get a car.” They robbed the driver of a 2004 Ford Freestar minivan of wallet and keys and drove away in the minivan. When the defendants realized officers had spotted their vehicle they led police on a 17-minute chase at speeds up to 112 miles per hour. The minivan wrecked in a plowed field near Leavenworth Road and North 184th Street in Basehor, Kan., where the defendants fled on foot. Derrick Freeman fired a handgun at a law enforcement officer before being arrested.
Freeman will be sentenced at a later date. Both parties have agreed to recommend a sentence of 300 months in federal prison.
Co-defendants include:
Joe Freeman, 33, Kansas City, Kan., who is awaiting trial.
Jeffrey B. Jackson, 47, Leavenworth, Kan., who is awaiting trial.
Terry D. Tillman, 26, Kansas City, Kan., who is set for sentencing Nov. 12.
Anthony L. Irvin, 19, Kansas City, Kan., who is set for sentencing Nov. 25.
Melvin L. Shields, 20, Kansas City, Kan., who is set for sentencing Nov. 25.Grissom commended the Kansas City, Kan., Police Department, the Wyandotte County Sheriff’s Department, the Kansas Highway Patrol, the Basehor Police Department, the Edwardsville Police Department, the Bonner Springs Police Department, the Leavenworth County Sheriff’s Department and Special Assistant U.S. Attorneys Erin Tomasic and Trent Krug for their work on the case.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Couple Charged with EmployingRead the Press Release
Undocumented Workers At Wichita Chinese Restaurant
WICHITA, KAN. – The operators of a west Wichita Chinese restaurant have been arrested in connection with an indictment alleging that they employed undocumented workers, U. S. Attorney Barry Grissom announced Tuesday.
The operators, Yong “Tony” Lin, 33, and his wife, Zhuo Mei “Mandy” Weng, 29, both of Wichita, were arrested Tuesday by agents of the U.S. Department of Homeland Security (DHS) on warrants issued in connection with a federal indictment. The indictment charges conspiracy and harboring of aliens unlawfully in the United States, Grissom said.
“The U.S. Attorney’s office is aggressively pursuing employers who knowingly hire undocumented and falsely-documented workers,” Grissom said Tuesday. “When a business engages in this practice, it not only encourages illegal immigration, it also gives the employer an unfair advantage in the marketplace. We have several more ongoing investigations along these lines.”
Agents of Homeland Security Investigations (HSI), in cooperation with the Wichita Police Department, also executed search warrants at three west Wichita apartments and the restaurant, World Buffet Grill, 2243 N. Ridge Rd., Grissom said. Lin and Weng were booked into the Sedgwick County jail and are scheduled to make an initial court appearance at 1:30 p.m. Wednesday before U.S. Magistrate Judge Kenneth Gale.
The indictment, which was sealed after its filing on Sept. 11, alleges two counts of conspiracy and six counts of harboring, in addition to seeking criminal forfeiture of assets associated with the alleged crimes. If convicted, the defendants face a maximum of five years in prison on each of the eight counts. As in any criminal case, the defendants are presumed innocent until and unless proven guilty.
The indictment alleges that defendants Lin and Weng paid employees in cash, failed to withhold for taxes and Social Security, failed to maintain unemployment and workers compensation insurance, and failed to complete and maintain DHS Employment Eligibility Authorization (I-9) forms.
The case was investigated by HSI with the assistance of the Wichita Police Department, the Exploited and Missing Children’s Unit, and the Sedgwick County District Attorney’s office. The prosecutors are Brent Anderson and Jason Hart, both assistant United States attorneys.Texas Man Pleads GuiltyIn Dog Fighting CaseRead the Press Release
KANSAS CITY, KAN. – A Texas man has pleaded guilty to holding a dog fight at his home, U.S. Attorney Barry Grissom said today.
Vertrick Jordan, 47, Tyler, Texas, pleaded guilty to one count of conspiracy to transport animals across state lines to participate in dog fighting. In his plea, Jordan admitted he conspired with co-defendants Pete Davis of Kansas City, Mo., and Melvin Robinson of Kansas City, Kan., to hold a dog fight at his residence in Smith County, Texas, on March 23, 2013. When agents raided the dog fight, 30 people were detained and several more fled the property on foot. Agents found a dog fighting pit had been built on the property. Two trophies were found next to the pit.Investigators learned Jordan had received a call March 19 and agreed to allow the dog fight to take place on his property. He was told the fight would be a “grand championship” match between two dogs that had won four previous fights to qualify. He was told the fight would be very private with only a few people attending. Those attending paid $30 to $40 each at the gate the night of the fight.
Sentencing is set for Jan. 21, 2014. Both parties have agreed to recommend a sentence of probation, 50 hours of community service and three years of supervised release. Jordan also agreed to a three-year prohibition against owning dogs.
Co-defendants include:
Pete Davis, who was sentenced Oct. 10 to 16 months in federal prison.
Melvin Robinson, who was sentenced Oct. 10 to 10 months in federal prison.Grissom commended Assistant U.S. Attorney Tris Hunt and the following agencies that contributed to the investigation: The FBI, the Kansas City (KS) Police Department, the Harrison County (MO) Sheriff's Department, the Missouri State Highway Patrol, the Texas Department of Public Safety - Narcotics and Highway Patrol, East Texas HIDTA, the FBI Dallas Division - East Texas Resident Agencies, the American Society for the Prevention of Cruelty to Animals, the Texas Parks and Wildlife Department - Game Wardens, the Texas Department of Criminal Justice - OIG, the Lindale Police Department, the Smith County Sheriff=s Office, the Dallas Police Department and the Dallas County Sheriff=s Office and the American Society for the Prevention of Cruelty To Animals.
U.S. Attorney Barry Grissom to Speak in Parsons Oct. 24Read the Press Release
WICHITA, KAN. – U.S. Attorney Barry Grissom will speak in Parsons on Thursday, Oct. 24.
Grissom will be guest speaker at the noon luncheon of the Parsons Rotary Club. The club is meeting at the Chinese Chef, 900 N. 16th Street in Parsons. His topic will be “Federal Law Enforcement: National security, public safety and civil rights.”
Grissom leads a staff of about 50 assistant U.S. Attorneys and 50 support personnel who work in offices in Kansas City, Kan., Topeka and Wichita. He was appointed by President Barack Obama in 2010.
For more information, call Jim Cross, public information officer, at 316-269-6552.
Indictment: Wichita Chiropractor Defrauded Health InsurersRead the Press Release
WICHITA, KAN. – A federal indictment charging a Wichita chiropractor in a $1.3 million health care fraud scheme was unsealed today, U.S. Attorney Barry Grissom. The chiropractor surrendered his license today.
Jeffrey D. Fenn, 32, Wichita, Kansas, was charged with six counts of health care fraud, two counts of aggravated identity theft, one count of illegally obtaining controlled drugs, sixteen counts of money laundering and one count of tax evasion.
The indictment alleges that beginning in March 2011 Fenn devised and executed a scheme to defraud health care benefit programs of more than $1.3 million through his businesses, including Wichita Health and Wellness, Fenn Chiropractic, P.A. and Wichita Pain Associates, P.A. Fenn submitted false claims to Medicare, Blue Cross/Blue Shield of Kansas and Coventry Health Care of Kansas, Inc., and the Federal Employees Health Benefits Program.
The indictment alleges Fenn was responsible for submitting false claims for health care services including:
- Nerve block injections where none were performed.
- Fine needle aspirations where none were performed.
- Nerve conduction tests when the tests were not performed by properly certified personnel.
- Services ostensibly provided by physicians when they were not present at the clinic.
- Services that were medically unnecessary.
Fenn developed what he called an “integrated practice,” hiring physicians, advanced registered nurse practitioners and physical therapists and ostensibly having them perform procedures he was not qualified to perform. He misrepresented to the Kansas Board of Healing Arts that medical doctors had an ownership in his clinic. He used the names of physicians he employed to submit false claims for services.
The tax evasion count alleges he overstated his business deductions for 2011 by $367,800. He claimed business deductions for what were in fact personal expenses. For example, $9,400 he claimed for purchasing a server actually was used to make a down payment on a residential lot in Wichita. The $15,100 he claimed for advertising actually was used to make a down payment on a ski boat.
Upon conviction, the crimes carry the following penalties:
- Health care fraud: A maximum penalty of 10 years in federal prison and a fine up to $250,000 on each count.
- Aggravated identity theft: A mandatory two years to run consecutively to the underlying sentence on each count.
- Illegally obtaining controlled drugs: A maximum penalty of four years and a fine up to $250,000.
- Money laundering: A maximum penalty of 10 years in federal prison and a fine up to $250,000 on each count.
- Tax evasion: A maximum penalty of five years and a fine up to $100,000.
Health and Human Services, Office of Inspector General, Office of Investigations, the FBI, Defense Criminal Investigative Service, the Food and Drug Administration and the Internal Revenue Service investigated. Assistant U.S. Attorney Tanya Treadway is prosecuting.
Indictment: Two Topeka Men Behind Robbery, Shooting at ValeroRead the Press Release
TOPEKA, KAN. – Two Topeka men have been indicted on federal charges in connection with the July 28 robbery and shooting at a Valero gas station in Topeka, U.S. Attorney Barry Grissom and Shawnee County District Attorney Chad Taylor announced today.
Corey Eugene Johnson, 39, Topeka, Kan., and Shawn Michael Sneed, 20, Topeka, Kan., are charged with one count of armed robbery and one count of discharging a firearm during the robbery.
The indictment alleges that on July 28, 2013, Johnson and Sneed robbed the Valero gas station at 1161 S.W. Gage Boulevard in Topeka. It alleges they caused a firearm to be discharged during the robbery.
A 52-year-old Topeka man who has been identified as Salim Salti was shot during the robbery.
“We’re working with the Shawnee County District Attorney’s Office and the FBI and Topeka Police Department’s Violent Crime Task Force in this case,” said U.S. Attorney Barry Grissom. “Protecting public safety and prosecuting violent gun crimes are the top priority for us all.”
“I am very pleased with the quality of investigation in this case by both our local law enforcement agencies and the federal task force,” said Chad Taylor, Shawnee County District Attorney. “Once again, this indictment reflects the continued cooperation and commitment by my office and the United States Attorney’s Office. That cooperation allowed us to jointly determine which prosecution jurisdiction would provide the stiffest penalties possible, in order to help ensure the safety of this community and make a statement to those who would commit violent crimes.”
If convicted, the defendants face a maximum penalty of 20 years in federal prison and a fine up to $250,000 on the robbery charge, and a penalty of not less than 10 years – consecutive to sentence on the robbery count – and a fine up to $250,000 on the firearm charge. The Topeka Police Department, the FBI and the Shawnee County District Attorney’s Office investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Indictment: Mayetta Man Facing Federal ChargesOf Domestic Violence Assaults on Indian LandsRead the Press Release
TOPEKA, KAN. – A Mayetta, Kan., man has been indicted on federal charges of habitual domestic violence assaults that took place on tribal lands, U.S. Attorney Barry Grissom said today.
William L. Wilson, 28, Mayetta, Kan., is charged with one count of domestic assault by an habitual offender occurring on tribal lands. The indictment alleges that on Sept. 7, 2013, he assaulted his wife. The assault is alleged to have occurred on the Prairie Band Potawatomi Nation’s tribal lands in Jackson County, Kan.
The indictment alleges Wilson has two prior convictions for domestic assault.
“Domestic violence is a serious problem,” said U.S. Attorney Barry Grissom. “We are determined to use every means we have to protect women and girls in Indian Country.”
If convicted, he faces a maximum penalty of five years in federal prison and a fine up to $250,000. The Prairie Band Potawatomi Tribal Police Department investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Fort Scott Man Sentenced to 20+ Years on Federal Drug Trafficking ChargesRead the Press Release
KANSAS CITY, KAN. – A Fort Scott man has been sentenced to more than 20 years in federal prison on drug trafficking charges, U.S. Attorney Barry Grissom said today.
Jonathan Brumback, 43, Fort Scott, Kan., was sentenced to 250 months in federal prison and ordered to forfeit $27,000 in proceeds from the crime. In his plea, he admitted that on Aug. 1, 2012, he sold approximately a gram of methamphetamine to a buyer working undercover for the Kansas Bureau of Investigation. The transaction took place at his shop in Ft. Scott. On Aug. 4, 2012, he sold more than six grams of methamphetamine to a buyer working undercover. The transaction took place at his residence in Ft. Scott. On Aug. 5, investigators served search warrants at his home and shop, where they found approximately half a pound of methamphetamine and $24,000 in cash.
On Aug. 20, 2012, an undercover agent purchased a quarter pound of methamphetamine for a little more than $5,000 from one of Brumback’s co-defendants, Rogelio Amada Lamas. The price included $3,000 that Brumback owed for methamphetamine he purchased from Lamas.
Co-defendants include:
Rogelio Amada Lamas, who is scheduled for sentencing Dec. 9.
Johana Villanueva-Renteria, who is set for sentencing Oct. 22.Grissom commended the Fort Scott Police Department, the Kansas Bureau of Investigation, Assistant Attorney General Steven Wilhoft with Kansas Attorney General Derek Schmidt's Office and Assistant U.S. Attorney Scott Rask for their work on the case.
Federal Jury Finds Two Men GuiltyOf Gang Crimes in Dodge CityRead the Press Release
WICHITA, KAN. – A federal jury today found two men guilty of gang crimes including murder in Dodge City, U.S. Attorney Barry Grissom said today.
Pedro Garcia, 27, Dodge City, Kan., and Gonzalo Ramirez, 28, Dodge City, Kan., both members of the Norteno street gang, were convicted on all counts, including:
- Count one (both defendants): Conspiracy by members of the Norteno gang to commit crimes in violation of the federal Racketeer Influenced and Corrupt Organizations Act.
- Count two (both defendants): Conspiracy to commit murder. On June 8, 2009, the defendants conspired to murder Israel Peralta, Mariano Sorano, Faustino Peralta and Roberto Arco.
- Count three (both defendants): Murder. On June 8, 2009, the defendants murdered Israel Peralta.
- Count four (both defendants): Attempted murder. On June 8, 2009, the defendants attempted to murder Mariano Sorano, Faustino Peralta and Roberto Arco.
- Count five (both defendants): Assault with a dangerous weapon. On June 8, 2009, the defendants used firearms to assault Israel Peralta, Mariano Sorano, Faustino Peralta and Roberto Arco.
- Count six (both defendants): Possession and discharge of a firearm during a violent crime. One June 8, 2009, the defendants discharged firearms in furtherance of a crime of violence.
- Count seven (both defendants): Assault with a dangerous weapon. On June 8, 2009, the defendants used a firearm to assault Isidro Raleas-Velasquez.
- Count eight (both defendants): Conspiracy to commit assault with a dangerous weapon. On June 8, 2009, the defendants conspired to assault Isidro Raleas-Velasquez with a firearm.
- Count nine (both defendants): Possessing and brandishing a firearm during a violent crime. On June 8, 2009, the defendants possessed and brandished firearms in furtherance of a crime of violence.
- Count ten (Ramirez only): Conspiracy to murder. On Oct. 4, 2008, the defendants conspired to murder Rumalda Hipolito and Abel Hernandez.
- County eleven (Ramirez only): Attempted murder. On Oct. 4, 2008, the defendants attempted to murder Rumalda Hipolito and Abel Hernandez.
- Count twelve (Ramirez only): Assault with a dangerous weapon. On Oct. 4, 2008, the defendants assaulted Rumalda Hipolito and Abel Hernandez with a firearm.
- Count 13 (Ramirez only): Possession and discharge of a firearm during a violent crime. On Oct. 4, 2008, the defendants possessed and discharged firearms in furtherance of an aggravated assault.
During the June 8, 2009, incident, the defendants and other gang members fired at a group of men gathered at a trailer park located at 201 E. McArtor in Dodge City. Peralta was killed in the shooting.
On the same date, the defendants and other gang members robbed Isidro Raleas-Valasquez and Alonzo Diego at their home in the 1000 block of Ave. E. They struck Raleas-Vasquez in the head with a gun and stole money from the victims.
In the Oct. 4, 2008, incident, the Ramirez used a firearm to attack a group of men they believed to be members of the rival Sureno gang at a residence in the 1100 block of 4th Ave. in Dodge City.During trial, prosecutors presented evidence that members of the Nortenos committed crimes including murder, attempted murder, conspiracy, assault, robbery and distribution of narcotics for the purpose of enriching themselves and creating a climate of fear in order to intimidate rival gang members and the general public.
Sentencing is set for Jan. 6, 2014. The crimes carry the following penalties:
Conspiracy: A maximum penalty of 20 years and a fine up to $250,000.
Violent crimes in furtherance of racketeering: A maximum penalty of 20 years and a fine up to $250,000; or a maximum penalty of 10 years and a fine up to $250,000 depending on the type of violent crime.
Murder in furtherance of racketeering: A maximum penalty of life in prison, and a fine up to $250,000.
Possession or discharge of a firearm in furtherance of a crime of violence: Not less than five years nor more than life and a fine up to $250,000..
Conspiracy to commit assault with a dangerous weapon in furtherance of racketeering: A maximum penalty of three years and a fine up to $250,000.Grissom commended the Dodge City Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ford County Sheriff's Office, the Ford County Attorney’s Office and the Kansas Bureau of Investigation, Assistant U.S. Attorney Lanny Welch and Assistant U.S. Attorney Aaron Smith for their work on the case.
Gang Member Sentenced in Dodge City Racketeering CaseRead the Press Release
KANSAS CITY, KAN. – A Dodge City gang member has been sentenced to federal prison for conspiring to commit assaults with dangerous weapons in connection with a federal racketeering case, U.S. Attorney Barry Grissom said today.
Alfonso Banda-Hernandez, 21, Dodge City, Kan., was sentenced to six years in federal prison. He pleaded guilty to two counts of conspiracy to commit assaults with dangerous weapons, which were violent crimes in aid of racketeering. In his plea, he admitted he was a member of the Los Carnales Chingones gang affiliated with the Norteno gang on March 30, 2011, when he conspired to commit an assault with a firearm against George Gonzalez; and in April 2010 when he conspired to commit an assault with a beer bottle against a member of a rival gang.
In his plea, Banda-Hernandez admitted that on March 30, 2011, he and three other Norteno gang members encountered a Sureno gang member named George Gonzalez at a Love’s convenience store in Dodge City. Banda-Hernandez and the other Nortenos began throwing gang signs at Gonzalez and attempting to start a fight. Later that day, they again encountered Gonzalez and chased his car. One of the Nortenos fired shots at Gonzalez’s car.
Banda-Hernandez also admitted that in April 2010 he was with other Norenos when they encountered a member of the rival Sureno street gang in an alley in Dodge City. During a fight, one of the Nortenos used a beer bottle to strike a Sureno gang member in the head, injuring him.
Banda-Hernandez was one of 23 Norteno members indicted in May 2012. It was only the second time a federal RICO Act indictment (Racketeer Influenced and Corrupt Organizations Act) had been filed in Kansas.
Grissom commended the Dodge City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ford County Sheriff’s Office, the Kansas Bureau of Investigation, Assistant U.S. Attorney Lanny Welch and Assistant U.S. Attorney Aaron Smith for their work on the case.