District of Kansas
Press releases recorded for this federal judicial district.
Kansas Man Indicted on Cocaine and Firearms ChargesRead the Press Release
WICHTA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with crimes related to drug trafficking and firearms.
According to court documents, Clinton Bruner, 49, of Wichita was indicted on one count of possession with intent to distribute cocaine, one count of possession with intent to distribute cocaine base, one count of possession of a firearm in furtherance of drug trafficking crime, and one count of possession of a stolen firearm.
The Drug Enforcement Administration (DEA) is investigating the case.
Assistant U.S. Attorney Matt Treaster is prosecuting the case.
OTHER INDICTMENTS
Annali L. Vanarsdale, 19, of Wichita was indicted on one count of bank robbery. The Federal Bureau of Investigation (FBI) is investigating the case. Assistant U.S. Attorneys Mona Furst and Jason Hart are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Jury Convicts Wichita Man of Money Laundering, Wire and Bank FraudRead the Press Release
WICHITA, KAN.– A federal jury convicted a Kansas man of defrauding federal and state agencies by a total of $355,550 in COVIID-19 business recovery funds.
Michael Capps, 44, of Wichita was found guilty of submitting false and fraudulent documents on behalf of his companies to Emprise Bank for a Paycheck Protection Program (PPP) loan, to the Small Business Administration (SBA) for Economic Injury Disaster (EIDL) loans, as well as to the Kansas Department of Commerce for Small Business Working Capital grants.
The jury convicted Capps of:
• one count of false statement to a bank for a PPP loan,
• one count of bank fraud – PPP loan,
• two counts of false statement to the SBA for EIDL loan,
• two counts of wire fraud SBA,
• two counts of wire fraud Kansas Department of Commerce, and
• four counts of money laundering.The Federal Bureau of Investigation (FBI) and the Sedgwick County District Attorney’s Office investigated the case.
Assistant U.S. Attorneys Alan Metzger and Molly Gordon prosecuted the case.
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Topeka Man Indicted for Child PornRead the Press Release
TOPEKA, KAN.– A federal grand jury returned an indictment charging a Kansas man with producing, receiving, and distributing child pornography.
According to court documents, Andrew Joseph Greeve, 20, of Topeka was indicted on three counts of sexual exploitation of a child – production of child pornography, one count of sexual exploitation of a minor – distribution of child pornography, one count of sexual exploitation of a minor – receipt of child pornography, one count of sexual exploitation of a mnor – possession of child pornography, and two counts of commission of sex offense by registered offender.
The Federal Bureau of Investigation (FBI) and the Kansas Bureau of Investigation (KBI) are investigating the case.
Assistant U.S. Attorney Sara Walton is prosecuting the case.
Anyone with additional information related to this investigation please contact the FBI Topeka Office at 785-231-1700 or tips.fbi.gov.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###PharmScript of KS LLC agrees to pay $3 million to resolve allegations that it improperly dispensed controlled substances at long-term care facilitiesRead the Press Release
KANSAS CITY, KAN. - PharmScript of KS, LLC, a long-term care pharmacy in Lenexa, Kansas, has agreed to pay $3 million to resolve allegations that it violated federal law by dispensing controlled substances to residents in nursing and long-term care facilities without valid prescriptions and that the company was wrongfully reimbursed by the Medicare and Medicaid programs.
PharmScript of KS, LLC is a wholly owned subsidiary of PharmScript Holdco, LLC and provides medication and pharmaceutical services to patients in skilled nursing facilities and to residents in assisted living facilities in Kansas and Missouri. PharmScript of KS, LLC self-reported violations of the Controlled Substances Act to the Drug Enforcement Administration, which conducted its own investigation.
“This resolution sends a message that there are rules to be followed when dispensing controlled substances,” said Duston Slinkard, United States Attorney for the District of Kansas. “This office makes it a priority to protect patients from being supplied drugs without valid prescriptions and to ensure that the limited federal program resources are spent according to federal law.”
Special Agent in Charge Michael A. Davis heads the Drug Enforcement Administration division that leads DEA investigations in Kansas and Missouri.“Because opioids are highly addictive, doctors and pharmacies have a duty to ensure they are prescribing controlled medications according to law to protect their patients’ health and safety,” said Davis. “PharmScript’s dispensing practices were so egregious, it warranted a significant civil penalty.”
“Improperly dispensing opioids undermines critical measures to address the opioid crisis and puts vulnerable patients at serious risk of overdose and harm,” said Curt L. Muller, Special Agent in Charge with the U.S. Department of Health and Human Services, Office of the Inspector General. “Working closely with our law enforcement partners, HHS-OIG will continue to ensure that bad actors are held accountable for disregarding the safety and well-being of patients.”
In nearly all circumstances, Schedule II controlled substances require a written prescription by a physician, and refills are not permitted by law. The Controlled Substances Act allows pharmacists to dispense Schedule II controlled substances, such as opioid pain medications, without a written prescription only in true emergency situations. When allowed for emergencies, it is only for the quantity of drugs necessary to treat the patient during the emergency period. Emergency prescriptions must promptly be reduced to writing and signed by an authorizing physician within seven days of issuance. Failure to meet these requirements results in an illegal dispensing of controlled substances without a valid prescription.
The federal government alleged that between October 1, 2019, through March 31, 2021, PharmScript of KS, LLC dispensed Schedule II controlled substances for purported emergencies when quantities of the controlled substances dispensed were greater than what was adequate for the emergency period and that PharmScript of KS, LLC failed to obtain written prescriptions within seven days after a verbal authorization. The government also alleged that other controlled substances were dispensed without a written prescription and when no verbal authorization was received from a physician.
The government also resolved claims that PharmScript of KS, LLC was improperly paid by the Medicare and Medicaid programs for dispensing controlled substances without valid prescriptions.
This case was investigated by the Drug Enforcement Administration’s Diversion Control Division, Kansas City Field Office, the Department of Health and Human Services – Office of the Inspector General, and the United States Attorney’s Office for the District of Kansas.
The case was handled by Jon Fleenor, Assistant United States Attorney and Affirmative Civil Enforcement Coordinator.
For further information please contact the U.S. Attorney’s Public Affairs office.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
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Kansas Veteran Sentenced for Defrauding the VARead the Press Release
KANSAS CITY, KAN.– A Kansas man was sentenced today to 37 months in prison and ordered to pay more than $537,000 in restitution for defrauding the U.S. Department of Veterans Affairs (VA) out of disability benefits.
In August 2022, a federal jury convicted Bruce Hay, 54, of Greeley, a U.S. Army veteran, of six counts of wire fraud and 10 counts of theft of government funds. Hay misrepresented and exaggerated the extent of symptoms related to a purported conversion disorder diagnosis to receive more than $500,000 in VA disability benefits to which he was not entitled.
“Misrepresenting symptoms to the VA to fraudulently obtain benefits takes resources from deserving veterans and will not be tolerated,” said Special Agent in Charge Gregory Billingsley with the Department of Veterans Affairs Office of Inspector General’s Central Field Office. “The VA OIG will continue to vigorously investigate those who would steal from VA benefits programs and taxpayers.”
The Department of Veterans Affairs – Office of the Inspector General and the Social Security Administration – Office of the Inspector General investigated the case.
Assistant U.S. Attorneys Ryan J. Huschka and D. Christopher Oakley prosecuted the case.
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Four People Indicted for Medicare FraudRead the Press Release
TOPEKA, KAN.– A federal grand jury in Topeka returned an indictment charging a Kansas woman and three Florida residents in connection with a scheme to defraud Medicare.According to court documents, Steven A. Churchill, 36, of Boca Raton, Florida, Samson K. Solomon, 25, of Margate, Florida, Elaine J. Balsamo, 58, of Boca Raton, Florida, and Fawn J. Lickteig, 42, of Lawrence, Kansas, are charged with:
• one count of conspiracy to commit health care fraud, mail fraud, and wire fraud;
• eight counts of health care fraud;
• six counts of mail fraud; and
• four counts of wire fraud.Churchill and Balsamo are also charged with four counts of money laundering.
Despite claiming to be a retail pharmacy, the defendants are accused of establishing a fraudulent mail order pharmacy. Between February 2020 and February 2021, the defendants allegedly used Freestate Pharmacy to submit false claims to Medicare for prescriptions for patients who had not spoken with the doctor and who had not requested the medication.
The U.S. Department of Health and Human Services – Office of Inspector General and the Federal Bureau of Investigation (FBI) are investigating the case.
Assistant U.S. Attorneys Christine Kenney and Skip Jacobs are prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Parsons Man Sentenced for Child Porn ConspiracyRead the Press Release
WICHITA, KAN. – A Kansas man was sentenced to 345 months in prison for conspiracy to commit sexual exploitation of a child (production of child pornography).
According to court documents, Dillon Everman, 30, of Parsons admitted in pleading guilty that he encouraged and requested co-defendant Dustin Strom to sexually abuse two young children and send him images of the abuse. Everman then saved the images and created a shareable link that he made available to Strom and others.
In October 2022, Dustin Strom, 26, of Parsons and was sentenced to 60 years in prison after pleading guilty to two counts of conspiracy to commit sexual exploitation of a child (production of child pornography).
Homeland Security Investigations (HSI) and the Kansas Internet Crimes Against Children Task Force (ICAC) investigated the case.
Assistant U.S. Attorneys Molly Gordon and Jason Hart prosecuted the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."###
Bonner Springs Man Sentenced for Child Sexual ExploitationRead the Press Release
KANSAS CITY, KAN. – A Kansas man was sentenced to 27 years in prison for engaging in sexual acts with a child and taking nude pictures and videos of the child.
According to court documents, in September 2022, Joshua Courtney, 35, of Bonner Springs pleaded guilty to two counts of sexual exploitation of a child and four counts of possession of child pornography.
Acting on cybertips submitted to the National Center for Missing and Exploited Children, law enforcement agents found dozens of pornographic images in Courtney’s Google photos. Courtney admitted to investigators to taking nude photos of a 10-year-old child, filming while he engaged in sexual acts with the child, and sending these materials to others. He also admitted receiving child pornography of other children on his cell phone.
The Kansas Bureau of Investigation (KBI) and the U.S. Secret Service investigated the case.
Assistant U.S. Attorney Faiza Alhambra prosecuted the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."###
KS Man Indicted for Child Porn ProductionRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with one count of sexual exploitation of a child – production of child pornography, and one count of possession of child pornography.
Joel Cypert, 35, of Columbus is accused of creating sexually explicit images of a prepubescent, minor victim.
Homeland Security Investigations (HSI) and U.S. Immigration and Customs (ICE) are investigating the case.
Assistant U.S. Attorney Molly Gordon is prosecuting the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Inmate Indicted for Attempting to Murder Correctional OfficersRead the Press Release
KANSAS CITY, KAN. – A federal grand jury in Kansas City returned an indictment charging a federal inmate with an assaulting two correctional officers.
According to court documents, Warren Richardson, 46, of Leavenworth Penitentiary is charged with two counts of attempted murder of a correctional officer, two counts of assaulting a correctional officer with a deadly weapon and inflicting bodily injury, two counts of assault of a correctional officer, and one count of possession of contraband in prison. On February 6, 2021, Richardson is accused of using a handmade weapon with a 1.5-inch sharpened metal point to stab two prison guards.
The Federal Bureau of Investigation (FBI) is investigating the case.
Assistant U.S. Attorney Sheri Catania is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Businessman Sentenced to Prison for Falsifying RecordsRead the Press Release
KANSAS CITY, KAN.– A Kansas businessman was sentenced to one year and a day in prison for his involvement in falsifying his company’s financial statements.
In January 2022, K. Kevin James, 65, of, Lenexa pleaded guilty to one count of wire fraud. James was a co-owner of KC United LLC, a holding company for multiple construction companies in Kansas City, Kansas, including Miller Paving LLC. According to court documents, James admitted that from 2008 to 2010, he coordinated with his accountant to manipulate Miller Paving’s quarterly financial records to falsely reflect profit to maintain the company’s banking and bonding relationships.
Also, James failed to make the payroll taxes payments for three of his companies to the Internal Revenue Service (IRS) totaling approximately $5,282,509.
As part of his sentence, the court ordered James to pay more than $6 million in restitution to the IRS and the Bank of Blue Valley
“Employment taxes are an essential part of doing business. Business owners and their advisors have a responsibility to collect and turn over all taxes withheld to the IRS,” said IRS Criminal Investigation Acting Special Agent in Charge Thomas Murdock. “Mr. James willfully conspired to falsify financial statements to avoid paying his share of his company’s employment taxes. The sentence reinforces the commitment of IRS-CI and its law enforcement partners to bringing tax cheats to justice.”
IRS-Criminal Investigation, the Federal Bureau of Investigation (FBI), the U.S. Department of Labor, and the Office of the Special Inspector General for the Troubled Asset Relief Program (SIG-TARP) investigated the case.
Assistant U.S. Attorney Jabari Wamble prosecuted the case.
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KS Priest & NY Businessman Indicted in Scheme to Defraud Foster Care ProgramRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka returned an indictment charging a Kansas priest and a New York businessman in connection with a scheme to defraud a foster care organization of $10 million.
According to court documents, Robert Nelson Smith, 50, of Salina is charged with one count of conspiracy to commit wire fraud, 15 counts of wire fraud, and one count of money laundering.
William Byrd Whymark, 50, of Mount Kisco, New York, is charged with one count of conspiracy to commit wire fraud, 10 counts of wire fraud, three counts of money laundering.
Saint Francis Ministries (SFM) is a 501c(3) faith-based organization in Salina, Kansas, that provides foster care and social services in the states of Kansas, Arkansas, Mississippi, Nebraska, Oklahoma, and Texas. In 2018, the SFM board agreed to upgrade its IT systems, hardware, and software programs. As the SFM Chief Executive Officer, Robert Smith, an ordained Episcopal priest, entered into an agreement on behalf of SFM with a company owned by William Whymark. Smith is accused of approving and authorizing payments of fraudulent, overinflated invoices submitted by Whymark.
Smith is also accused of using SFM credit cards for personal, unauthorized expenditures.
Robert Smith is scheduled for his initial court appearance today at 1:30 p.m. before a U.S. Magistrate Judge of the U.S. District Court for the District of Kansas.
The Federal Bureau of Investigation (FBI) is investigating the case.
Assistant U.S. Attorneys Christine Kenney and Skipper Jacobs are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Wichita Man Sentenced for Felon in Possession of a FirearmRead the Press Release
WICHITA, KAN. – A Kansas man was sentenced on November 8, 2022 to 24 months in prison for illegally possessing a firearm. On August 22, 2022, William McGold, 47, of Wichita pleaded guilty to one count of possession of a firearm by a prohibited person.In April 2021, Sedgwick County Sheriff’s deputies pulled McGold over in a traffic stop. McGold was unable to produce a driver’s license, and deputies discovered that the vehicle he was driving had been reported as stolen. McGold was arrested, and the vehicle was searched. During the search, deputies discovered a safe under the driver’s seat, and a key to the safe was located on McGold’s key chain. When the safe was opened, deputies found a loaded firearm, which McGold admitted was his.
McGold was prohibited from possessing a firearm due to his prior felony conviction.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Sedgwick County Sheriff’s Department investigated the case.
Assistant U.S. Attorney Alan Metzger prosecuted the case.
OTHER SENTENCINGS
Raul Galindo-Martha, 41, of Mexico, pleaded guilty to re-entry of a removed alien and was sentenced to 46 months. U.S. Immigration and Customs Enforcement (ICE) investigated the case. Assistant U.S. Attorney Alan Metzger prosecuted the case.
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Missouri Man Charged in Bank RobberiesRead the Press Release
KANSAS CITY, KAN. – A Missouri man has been charged by criminal complaint with one count of bank robbery and one count of attempted bank robbery.According to the complaint, Lucas John Royce Spies, 27, of Harrisonville, Missouri, allegedly used an intimidating note in an attempt to rob Bank Midwest on West 119th Street in Olathe, Kansas, on November 7, 2022. Spies is also accused of robbing U.S. Bank on West 119th Street in Olathe, Kansas, a short time later the same day.
The Federal Bureau of Investigation (FBI) and the Olathe Police Department are investigating the case.
Assistant U.S. Attorney Kim Flannigan is prosecuting the case.
A complaint or indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Dane County Man Charged with Making ThreatsRead the Press Release
MADISON, WIS. – An indictment has been returned today by a federal grand jury sitting in Madison, Wisconsin, charging a Windsor, Wisconsin man with two counts of making threats to injure an individual. The indictment is announced by Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin.
The indictment charges Michael A. Yaker, 52, with sending electronic communications threatening to injure a Wisconsin citizen and with posting messages on Facebook threatening to injure a Wisconsin citizen. The indictment alleges that Yaker sent the electronic communications and posted the messages on Facebook on October 27, 2022.
Yaker was charged with these offenses in a complaint filed in U.S. District Court in Madison on Friday, November 4. Yaker was arrested in Syracuse, Kansas on November 4 and he made an initial appearance in U.S. District Court in Wichita, Kansas on Monday, November 7. He was ordered held in custody. His initial court appearance in Wisconsin has not been scheduled.
If convicted, Yaker faces a maximum penalty of 5 years in federal prison on each count. The charges against Yaker are the result of an investigation by the Dane County Sheriff’s Office, Wisconsin State Capitol Police, Hamilton County (Kansas) Sheriff’s Department, and the Federal Bureau of Investigation. U.S. Attorney O’Shea is handling the prosecution. Assistant U.S. Attorney Molly Gordon handled Yaker’s appearance in Kansas.
You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Wichita Man Indicted for Child PornRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with one count of sexual exploitation of a child -production of child pornography, three counts of distribution of child pornography, and one count of possession of child pornography.
According to court documents, Jimmy Lynn, 50, of Wichita is accused of using a young child to create sexually explicit images, and he’s accused of distributing child porn.
Homeland Security Investigations (HSI), the Kansas Internet Crimes Against Children Task Force (ICAC), and Wichita Police Department are investigating the case.
Assistant U.S. Attorney Jason Hart is prosecuting the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."OTHER INDICTMENTS
Matthew Albretch, 31, of Wichita was indicted on two counts of aggravated identity theft. The U.S. Secret Service is investigating the case. Assistant U.S. Attorney Alan Metzger is prosecuting the case.
Brian Shrout, 56, of Wichita was indicted on one count of failure to register as a sex offender. The U.S. Marshal Service is investigating the case. Assistant U.S. Attorney Molly Gordon is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Parsons Man & Woman Each Sentenced to the Statutory Maximum of 60 Years for Sex Crimes Against ChildrenRead the Press Release
WICHITA, KAN. – A Kansas man and a Kansas woman were both sentenced to 60 years in prison for committing sexual crimes against children after prosecutors requested the statutory maximum for each count, to run consecutive to each other.
In June 2022, Dustin Strom, 26, of Parsons pleaded guilty to two counts of conspiracy to commit sexual exploitation of a child (production of child pornography).
In July 2022, Thommie-Lyn Stansky, 28, of Parsons pleaded guilty to two counts of conspiracy to commit sexual exploitation of a child (production of child pornography).
According to court documents, Strom and Stansky admitted that while living together as a romantic couple in February 2021, Strom expressed to Stansky his sexual interest in children. Stansky then created an image of herself sexually abusing a four-year-old victim and another image of herself sexually abusing a two-year-old victim. She shared these images with Strom. Strom also created images of himself sexually abusing the two -year-old and the four-year-old victims.
In August 2021, a social media platform reported Strom to law enforcement after some images were sent to other people via the Internet. Federal agents examining Stansky and Strom’s cell phones and social media accounts found communications between them in which they discussed the sexual abuse of children and child pornography.
Homeland Security Investigations (HSI) and Kansas Internet Crimes Against Children Task Force (ICAC) investigated the case.
Assistant U.S. Attorneys Molly Gordon and Jason Hart prosecuted the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."###
Kansas Men Charged in Gun Store BurglariesRead the Press Release
KANSAS CITY, KAN. – Two Kansas men have been charged through criminal complaint in Kansas City, Kansas, on charges related to alleged firearms thefts. Deldrick Bryant, 19, of Kansas City, Kansas, and Benjamin Custis, 19, are charged with two counts of burglary of a licensed firearms dealer.According to a criminal complaint, on October 16, 2022, the Basehor Police Department responded to a commercial burglary at Free State Gun Company. The business owners told officers an estimated 50 firearms were missing including rifle platforms, shotguns, and pistols.
Also according to the complaint, on October 17, 2022, the Johnson County Sheriff’s Office responded to a burglary at Up In Arms, a gun shop in De Soto. After reviewing their inventory, the owners estimated 25 pistols were taken.
Surveillance videos from both scenes show a white Ford pickup was used to breach the businesses by ramming the front doors. On October 18, the pickup truck was spotted in Kansas City, Kansas and investigators with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) began tailing the vehicle. When law enforcement officers attempted to make contact, the driver hit a parked car and fled into Kansas City, Missouri where Kansas City, Missouri police officers were able to apprehend the occupants in the vehicle. Several firearms reported stolen from the businesses were recovered inside the pickup.
ATF agents searched the home where Bryant resides and recovered more stolen weapons.
The Basehor Police Department, Johnson County Sheriff’s Office, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Kansas City, Missouri Police Department are investigating the case.
Assistant U.S. Attorney David Zabel is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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USAO-KS Announces Election Day ProgramRead the Press Release
United States Attorney Duston Slinkard announced today that Assistant United States Attorney (AUSA) Jared Maag will lead the efforts of his Office in connection with the Justice Department’s nationwide Election Day Program for the upcoming November 8, 2022, general election. AUSA Maag has been appointed to serve as the District Election Officer (DEO) for the U.S. Attorney’s Office - District of Kansas, and in that capacity is responsible for overseeing the District’s handling of election day complaints of voting rights concerns, threats of violence to election officials or staff, and election fraud, in consultation with Justice Department Headquarters in Washington.
U.S. Attorney Slinkard said, “Every citizen must be able to vote without interference or discrimination and to have that vote counted in a fair and free election. Similarly, election officials and staff must be able to serve without being subject to unlawful threats of violence. The Department of Justice will always work tirelessly to protect the integrity of the election process.”
The Department of Justice has an important role in deterring and combatting discrimination and intimidation at the polls, threats of violence directed at election officials and poll workers, and election fraud. The Department will address these violations wherever they occur. The Department’s longstanding Election Day Program furthers these goals and also seeks to ensure public confidence in the electoral process by providing local points of contact within the Department for the public to report possible federal election law violations.
Federal law protects against such crimes as threatening violence against election officials or staff, intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from interference, including intimidation, and other acts designed to prevent or discourage people from voting or voting for the candidate of their choice. The Voting Rights Act protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or inability to read or write in English).
U.S. Attorney Slinkard stated that, “The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise can exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of voting rights concerns and election fraud during the upcoming election, and to ensure that such complaints are directed to the appropriate authorities, AUSA/DEO Maag will be on duty in this District while the polls are open. He can be reached by the public at the following telephone number: (785) 295-2850.”
In addition, the FBI will have special agents available in field offices and resident agencies throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at 816-512-8200.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .
U.S. Attorney Slinkard said, “Ensuring free and fair elections depends in large part on the assistance of the American electorate. It is important that those who have specific information about voting rights concerns or election fraud make that information available to the Department of Justice.”
Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
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U.S. Attorney Duston Slinkard Announces $168,085 Justice Department Grant to Support Project Safe NeighborhoodsRead the Press Release
[TOPEKA, KAN.] – U.S. Attorney Duston Slinkard announced that the Department of Justice has awarded $168,085 to support the Project Safe Neighborhoods Program in U.S. Attorney’s Office – District of Kansas. Funding will support community efforts to address the epidemic of gun crime and serious violence in the district. The grant, to Wichita State University, is one of a number of awards being made to state and local agencies across the country. Funds are administered by the Bureau of Justice Assistance, part of the Department’s Office of Justice Programs.
Launched two decades ago as an evidence-based and community-oriented response to serious gun crime, Project Safe Neighborhoods, known as PSN, is a key component of the Department’s Comprehensive Strategy for Reducing Violent Crime, outlined by Deputy Attorney General Monaco in May 2021. The PSN approach is guided by four key principles: fostering trust and legitimacy in our communities; supporting community-based organizations that help prevent violence from occurring in the first place; setting focused and strategic enforcement priorities; and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
“The Department of Justice sees great value in investing resources into violent crime prevention initiatives that encourage people to steer away from criminal activity instead of solely allowing for funding to bring perpetrators to justice after someone has been injured or killed” said U.S. Attorney Duston Slinkard. “The U.S. Attorney’s Office – District of Kansas is grateful to Wichita State University for agreeing to take the lead on this collaborative effort to make our communities safer places to live.”
“Reducing violence and sustaining those reductions will require strong partnerships between criminal justice agencies and community stakeholders and a shared commitment to the safety and well-being of every community member,” said OJP Deputy Assistant Attorney General Maureen Henneberg. “The investments we are making through Project Safe Neighborhoods will enable every stakeholder to play a part in building safer and healthier communities.”
PSN programs are led by U.S. Attorneys’ Offices in collaboration with local public safety agencies and community organizations. The programs’ emphasis on community engagement, prevention and intervention measures, focused and strategic enforcement, and measurement and accountability has helped achieve overall reductions in violent crime, including gun homicides, in neighborhoods where PSN strategies have been implemented.
“Over its two-decade history, Project Safe Neighborhoods has evolved to meet the complex challenges of community violence by enlisting the insights and expertise of local partners and by relying on the latest evidence,” said BJA Director Karhlton F. Moore. “We are proud to support our U.S. Attorneys and their allies in their critical work to curb violent crime and build the mutual trust necessary to ensure lasting success.”
The awards announced above are being made as part of the regular end-of-fiscal year cycle. More information about awards under PSN and other OJP grants can be found on the OJP Grant Awards Page.
The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov.
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Wichita Man Indicted for Intent to Distribute FentanylRead the Press Release
WICHTIA, KAN.– A federal grand jury in Wichita returned an indictment charging a Kansas man with drug trafficking related offenses.
According to court documents, Grant Lubbers, 36, of Wichita was indicted on one count of possession with intention to distribute a controlled substance -Fentanyl and one count of possession of a firearm during a drug trafficking offense. Lubbers is accused of possessing 40 grams or more of a substance containing a mixture of Fentanyl.
The Drug Enforcement Administration (DEA) is investigating the case.
Assistant U.S. Attorney Alan Metzger is prosecuting the case.
OTHER INDICTMENTS
Brandon Grulkowski, 29, of Eureka was indicted on one count of failure to register as a sex offender. The U.S. Marshal Service is investigating the case. Assistant U.S. Attorney Jason Hart is prosecuting the case.
Jeremy Van Ness, 36, of Cheney was indicted on two counts of distribution of child pornography and one count of possession of child pornography. The Department of Homeland Security (DHS) and U.S. Immigration and Customs Enforcement (ICE) are investigating the case. Assistant U.S. Attorney Molly Gordon is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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USAO-KS Takes Part in Department’s Wide-Ranging Efforts to Protect Older AdultsRead the Press Release
KANSAS CITY, KAN. – The Justice Department announced today the results of its efforts over the past year to protect older adults from fraud and exploitation. During the past year, the Department and its law enforcement partners tackled matters that ranged from mass-marketing scams that impacted thousands of victims to bad actors scamming their neighbors. Substantial efforts were also made over the last year to return money to fraud victims. Today, the Department also announced it is expanding its Transnational Elder Fraud Strike Force to amplify efforts to combat scams originating overseas.
“We are intensifying our efforts nationwide to protect older adults, including by more than tripling the number of U.S. Attorneys’ offices participating in our Transnational Elder Fraud Strike Force dedicated to disrupting, dismantling and prosecuting foreign-based fraud schemes that target American seniors,” said Attorney General Merrick B. Garland. “This expansion builds on the Justice Department’s existing work to hold accountable those who steal funds from older adults, including by returning those funds to the victims where possible.”
“As technology evolves so does the complexity of the scams targeting older adults. Unfortunately, too often these fraudulent schemes procure large amounts of money from victims,” said U.S. Attorney Duston Slinkard. “The DOJ won’t waver in efforts to dismantle these criminal enterprises and bring perpetrators to justice no matter where in the world they are based.”
During the period from September 2021 to September 2022, Department personnel and its law enforcement partners pursued approximately 260 cases involving more than 600 defendants, both bringing new cases and advancing those previously charged.
This past year, the USAO –District of Kansas prosecuted cases related to fraud committed against senior citizens.
• In February 2021, Oyindamola Akinrinola, 24, of Lawrence pleaded guilty to one count of wire fraud. She admitted to receiving more than $160,000 in deposits related to scams and remitting the majority of money to Nigeria after keeping a portion of the proceeds for herself. Sentencing is scheduled for November 15, 2022.
• In May 2022, Innocent N. Ugwu, 24, of Fort Riley was indicted on five counts of wire fraud, five counts of laundering monetary instruments, and one count of procurement of citizenship or naturalization unlawfully. Ugwu is accused of conspiring with others to commit fraud using false pretenses and promises, and the omission of material facts to carry out romance, advance fee and other fraudulent schemes.As part of the USAO –KS’s elder fraud efforts, it engages in outreach to the community and industry to raise awareness about scams and exploitation and preventing victimization.
The Department also highlighted three other efforts: expansion of the Transnational Elder Fraud Task Force, success in returning money to victims and efforts to combat grandparent scams.
The Department announced that as part of its continuing efforts to protect older adults and bring perpetrators of fraud schemes to justice it is expanding the Transnational Elder Fraud Strike Force, adding 14 new U.S. Attorney’s Offices. Expansion of the Strike Force will help to coordinate the Department’s ongoing efforts to combat largest and most harmful fraud schemes that target or disproportionately impact older adults.
In the past year, the Department has notified over 550,000 people that they may be eligible for remission payments. Notifications were made to consumers whose information was sold by one of three data companies prosecuted by the Department and were later victims of “sweepstakes” or “astrology” solicitations that falsely promised prizes or individualized services in return for a fee. More than 150,000 of those victims cashed checks totaling $52 million, and thousands more are eligible to receive checks. Also notified were consumers who paid fraudsters perpetrating person-in-need scams and job scams via Western Union. In the past year, the Department has identified and contacted over 300,000 consumers who may be eligible for remission. Since March of 2020 more than 148,000 victims have received more than $366 million as a result of a 2017 criminal resolution with Western Union for the company’s willful failure to maintain an effective anti-money laundering program and its aiding and abetting of wire fraud.
Over the past year, the Department pursued cases against the perpetrators of “grandparent scams,” otherwise known as “person-in-need scams.” These scams typically begin when a fraudster, often based overseas, contacts an older adult and poses as either a grandchild, other family member or someone calling on behalf of a family member. Call recipients are told that their family member is in jeopardy and is urgently in need of money. When recently sentencing one of eight perpetrators of a grandparent scam indicted under the Racketeer Influenced and Corrupt Organizations Act, a federal judge described such scams “heartbreakingly evil.” The Department is working with government partners and others to raise awareness about these schemes.
Reporting from consumers about fraud and fraud attempts is critical to law enforcements efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available the National Elder Fraud Hotline: 1-833FRAUD-11 (1-833-372-8311). This Department of Justice Hotline, managed by the Office for Victims of Crime, is staffed by experienced professional who provide personalized support to callers by assessing the needs of the victim and identifying next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting or connect them with agencies, and provide resources and referrals on a case-by-case basis. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. [ET]. English, Spanish and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.justice.gov/elderjustice.
Some of the cases that comprise today’s announcement are charges, which are merely allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Man Sentenced After Performing Autopsies Using False CredentialsRead the Press Release
TOPEKA, KAN. – A man was sentenced today to 69 months in prison for engaging in a wire fraud scheme.
In May 2022, Shawn Lynn Parcells, 42, of Topeka pleaded guilty to one count of wire fraud. According to court documents, in July 2016, Parcells, as owner of National Autopsy Services LLC, convinced a client he was qualified to conduct an autopsy based on the false credentials. The client paid the defendant $5,000.00 and received an emailed copy of a final report from Parcells. The report included an opinion made within “a certain degree of medical certainty as a Forensic, Neuro, and Infectious Disease Epidemiology Fellow,” and appeared authored by the defendant. No pathologist participated in this examination or report.
According to court documents, between May 2016 and May 2019, the defendant used NAS to obtain fees from more than 350 clients for a total amount of $1,166,000. In many cases, the defendant failed to provide an authentic completed report.
“It’s troubling whenever criminals deceptively present themselves as professionals to commit fraud on unwitting victims, but the fact that Parcells’ schemes were predicated upon exploiting the grief and bereavement of others, makes his act a particularly predatory crime,” said U.S. Attorney Duston Slinkard.
“During their most vulnerable state, Mr. Parcells willfully defrauded individuals while they were grieving the loss of a loved one. He used deception as a means to prey on those looking to find answers surrounding the death of their loved ones by claiming to be a pathologist and being able to provide those answers” said FBI Special Agent in Charge Charles Dayoub. “Mr. Parcells fraudulently collected fees and profited on their grief for his own personal gain. Today’s sentencing sends a clear message - the FBI will hold those accountable who use deception and fraud to take advantage of others in our community.”
The FBI and the Office of the Kansas Attorney General investigated the case.
Assistant U.S. Attorney Christine Kenney prosecuted the case.
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Man Federally Indicted for Murder on ReservationRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka returned an indictment charging a man with one count of murder in the second degree.
According to court documents, Stryder Dane Keo, 34, is accused of shooting and killing a member of the Kickapoo tribe on the Kickapoo Reservation in July 2022. The federal government has jurisdiction over the offense because the offense occurred within Indian country.
The FBI is investigating the case.
Assistant U.S. Attorney Jared S. Maag is prosecuting the case.
OTHER INDICTMENTS
Briar Clayton Eugene Adams, 30, of Leavenworth Penitentiary was indicted on one count of possessing contraband in prison. The U.S. Marshal Service is investigating. Assistant U.S. Attorney Greg Hough is prosecuting.
Chance James John Hannon, 41, of Las Vegas, Nevada, was indicted on one count of possession with intent to distribute a controlled substance. Homeland Security Investigations is investigating the case. Special Assistant U.S. Attorney Lindsey Debenham is prosecuting the case.
Todd James Lewis, 54, of Carbondale was indicted on seven counts of wire fraud, one count of aggravated identity theft, and one count of theft of government funds. The FBI and the U.S. Department of Labor are investigating the case. Assistant U.S. Attorney Christine Kenney is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Shawnee Man Admits to Downloading Child PornRead the Press Release
KANSAS CITY, KAN.– A Kansas man is facing prison time after he admitted to downloading child pornographic images from the Internet. Justin Packham, 34, of Shawnee pleaded guilty to one count of possession of child pornography.
According to court documents, in December 2020, the Shawnee Police Department received a cybertip from the National Center for Missing and Exploited Children that dozens of child pornography images had been uploaded into Google Drive. An investigation revealed the email account used for the upload belonged to Justin Packham.
In February 2021, Packham was arrested for a parole violation with the State of Kansas Department of Corrections. After obtaining a search warrant for his residence, Shawnee investigators following up on the cybertip found more than 1,000 child pornography photos and videos on various electronic devices and thumb drives. Packham admitted to law enforcement that he’d downloaded the images from the Internet.
Packham is scheduled to be sentenced on December 8 and faces a maximum sentence of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Secret Service and the Shawnee Police Department are investigating the case.
Assistant U.S. Attorney Faiza Alhambra is prosecuting the case.
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Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Bonner Springs Man Pleads Guilty to Child Sexual ExploitationRead the Press Release
KANSAS CITY, KAN. – A Kansas man pleaded guilty to engaging in sexual acts with a child and taking nude pictures and videos of the child. According to court documents, Joshua Courtney, 35, of Bonner Springs pleaded guilty to two counts of sexual exploitation of a child and four counts of possession of child pornography.
The National Center for Missing and Exploited Children received cybertips from Google, Snapchat, and Dropbox about child sexual abuse material photos and videos within accounts identified as belonging to Joshua Courtney. Agents found dozens of pornographic images in Courtney’s Google photos, including some of which were later identified to be of a 10-year-old child. Courtney admitted to investigators he took nude photos of the child, filmed himself while engaged in sexual acts with the child, and sent these materials to others. He also admitted receiving child pornography of other children on his cell phone.
“The Secret Service is proud of the effective partnerships it maintains with the Kansas Bureau of Investigations, the National Center for Missing and Exploited Children, and the United States Attorney’s Office, whose tireless efforts were instrumental in seeing justice served in this case,” said Kansas City Field Office Special Agent in Charge Brandon Bridgeforth. “We can think of no greater outcome than protecting our children from predators such as Joshua Courtney.”
Courtney faces a maximum penalty of 30 years in prison for each count of child exploitation and up to 20 years in prison for each count of possession of child pornography. His sentencing is scheduled for December 1. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Kansas Bureau of Investigation and the U.S. Secret Service are investigating the case.
Assistant U.S. Attorney Faiza Alhambra is prosecuting the case.
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Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Kansas Woman Indicted for Coercing Minor to Produce Child PornRead the Press Release
WICHTA, KAN. – A federal grand jury in Wichita returned an indictment charging a woman with two counts of sexual exploitation of a child – production of child pornography, one count of distribution of child pornography, and one count of possession of child pornography.
According to court documents, Brandi Snyder, 34, of Americus is accused of persuading and coercing a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction, and she’s accused of allegedly possessing and distributing child pornography.
Homeland Security Investigations (HSI) is investigating the case.
Assistant U.S. Attorney Molly Gordon is prosecuting the case.
OTHER INDICTMENTS
Raymond Walker,51, of Wichita was indicted on one count of possession with intention to distribute -methamphetamine, one count of unlawful possession of a firearm in the furtherance of a drug trafficking crime, and one count of possession of a firearm which had been shipped and transported in interstate commerce. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating. Assistant U.S. Attorney Matt Treaster is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Topeka Man Indicted on Firearms ChargesRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka returned an indictment charging a Kansas man with three counts of false statement during the acquisition of a firearm.
According to court documents, Todd Hetherington, 26, of Topeka is accused of purchasing a total of six pistols from various licensed dealers in which he allegedly falsely presented himself as the actual transferee or buyer.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case.
Assistant U.S. Attorney Skipper Jacobs is prosecuting the case.
OTHER INDICTMENTS
Tracee Casselle, 35, Anthony Massengill, 25, and Taylor Sanner, 25, all of Topeka were indicted on one count of controlled substance conspiracy. The Federal Bureau of Investigation (FBI) is investigating. Assistant U.S. Attorney Skipper Jacobs is prosecuting.
Fatima Jaghoori, 32, of Mildford, and Habibullah Jaghoori, 39, of Wichita were indicted on one count of conspiracy to commit an offense against the United States, and one count each of false statement during the acquisition of a firearm. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Skipper Jacobs is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Chiropractor Indicted for PPP Loan FraudRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita indicted a Kansas man on multiple charges for alleged crimes related to the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which is a federal law providing financial relief to businesses suffering economic losses because of the COVIID-19 pandemic. Under the CARES Act, the Small Business Administration (SBA) is authorized to grant businesses forgivable loans for payroll, utilities, rent, and other expenses through the Paycheck Protection Program (PPP).
According to court documents, Timothy Dale Warren, 58, of Haysville is charged with four counts of bank fraud, two counts of money laundering, and four counts of false statements. Warren, a chiropractor, is accused as owner of Titan Medical Center LLC of fraudulently obtaining PPP loans totaling approximately $145,800 from two banks then allegedly using a third bank to conceal the proceeds.
U.S. Attorney Duston Slinkard of the District of Kansas made the announcement.
The U.S. Department of Defense- Defense Criminal Investigative Service and Defense Contract Audit Agency, the U.S. Department of Health and Human Services – Office of Inspector General, and the U.S. Department of the Treasury – Internal Revenue Service, Criminal Investigations are investigating the case.
Assistant U.S. Attorney Aaron Smith is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Brothers Indicted for $3.7 Million Healthcare Fraud SchemeRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging two Kansas men with engaging in an alleged healthcare fraud scheme which resulted more than $3.7 million in payments from Medicare and Tricare over a three-year period.
Between 2017 and 2019, Bradley Eck, 54, and Todd Eck, 58, both of Wichita are accused of allegedly creating several businesses and misrepresenting the ownership of the enterprises in documents, submitting false billing for medical services not administered to patients, using a physician’s provider number without his authorization, and falsifying the physician’s electronic signature indicating on documents that he performed medical procedures he did not.
The Eck brothers are charged with:
• One count of conspiracy to commit healthcare fraud;
• Two counts of false statements related to healthcare matters;
• One count of healthcare fraud;
• Three counts of aggravated identity theft;
• Two counts of money laundering; and
• One count of money laundering conspiracy.U.S. Attorney Duston Slinkard of the District of Kansas made the announcement.
The U.S. Department of Defense- Defense Criminal Investigative Service and Defense Contract Audit Agency, the U.S. Department of Health and Human Services – Office of Inspector General, and the U.S. Department of the Treasury – Internal Revenue Service, Criminal Investigations are investigating the case.
Assistant U.S. Attorney Aaron Smith is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Man Indicted for Child PornographyRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Kansas man with child pornography crimes.
Walter Haskin, 27, of Cottonwood Falls of was indicted on one count of attempted distribution of child pornography and one count of possession of child pornography. According to a criminal complaint, the Kansas Internet Crimes Against Children (ICAC) Task Force launched an investigation after Dropbox submitted a tip through the National Center for Missing and Exploited Children hotline indicating the file sharing service said it had detected child pornography uploaded to an account.
Homeland Security Investigations (HSI), the Kansas Internet Crimes Against Children Task Force, and the Wichita Police Department are investigating the case.
Assistant U.S. Attorneys Molly Gordon and Jason Hart are prosecuting the case.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc . For more information about Internet safety education, please visit https://www.justice.gov/psc and click on the tab "Resources."
OTHER INDICTMENTS
Christopher Cavanaugh, 56, of Wichita was indicted on one count of possession of an unregistered firearm. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Edward Cavanaugh Jr., 57 of Wichita was indicted on two counts of possession of a firearm by a convicted felon and one count of possession of an unregistered firearm. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Tremayne Darkis, 44, of Parsons was indicted on one count of possession of a firearm by a convicted felon, one count of possession with intent to distribute methamphetamine, and one count of possession of a firearm in furtherance of a drug trafficking crime. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Alexis Ibarra, 23, of Garden City was indicted on one count of possession with intent to distribute methamphetamine and one count of possession of a firearm in furtherance of a drug trafficking crime. The Drug Enforcement Administration (DEA) is investigating the case. Assistant U.S. Attorney Aaron Smith is prosecuting the case.
Kelly Peng, 45, of Wichita was indicted on two counts of distribution of controlled substances – methamphetamine, one count of possession with intent to distribute controlled substances – methamphetamine, one count of possession of a firearm in furtherance of a drug trafficking crime, and one count of possession of a firearm by a prohibited person. The Drug Enforcement Administration (DEA) is investigating the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Jury Convicts Veteran of Defrauding VA for Disability BenefitsRead the Press Release
KANSAS CITY, KAN. – A federal jury convicted a Kansas veteran of wire fraud and theft of government funds in charges related to a scheme to defraud the U.S. Department of Veterans Affairs (VA) out of disability benefits.According to court documents and evidence presented at trial, Bruce Hay, 53, of Greeley, a U.S. Army veteran and former Osawatomie resident, fraudulently misrepresented and exaggerated the extent of symptoms related to a purported conversion disorder diagnosis to receive VA disability benefits to which he was not entitled. Specifically, Hay claimed he had constant jerking movements, tremors, head-bobs, could walk only with the use of a walker, and could not engage in basic activities of daily living, such as bathing, toileting, dressing, and eating. During VA examinations, he faked and exaggerated physical symptoms—displaying a significant limp, muscle spasms, head bobs, and jerking movements. Immediately before and after these examinations, he used a walker that he didn’t normally use outside of VA facilities. The VA found that Hay was 100% disabled based on those fraudulent misrepresentations.
Information collected through surveillance, video footage, photographs, testimony from community members, and other evidence showed Hay’s claims of mobility limitations as false. He, without assistance, engaged in residential construction, threw hay bales on the back of moving trucks, hunted deer, drove regularly, and hauled more than a million pounds of scrap metal.
As a result of his misrepresentations, Hay fraudulently received more than $450,000 in VA benefits. A jury found Hay guilty of six counts of wire fraud and 10 counts of theft of government funds.
Sentencing is scheduled for October 27, 2022 at 9:00 a.m. before U.S. District Judge Julie A. Robinson. Hay faces a maximum of penalty of 20 years in federal prison.
The Department of Veterans Affairs – Office of the Inspector General and the Social Security Administration - Office of the Inspector General are investigating the case.
Assistant U.S. Attorneys Ryan J. Huschka and D. Christopher Oakley are prosecuting the case.
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Man Sentenced in International Drug ConspiracyRead the Press Release
KANSAS CITY, KAN. – A Mexican national was sentenced to 100 months in prison in connection to an international drug ring that distributed large quantities of methamphetamine, heroin, cocaine, and marijuana from Mexico in the Kansas City area.
According to court documents, in January 2021, Aron Rodriguez- Posada, 48, pleaded guilty to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine.
In October 2019, the Kansas Highway Patrol stopped a car hauler in Meade, Kansas, to conduct a vehicle inspection. With consent to search, a trooper located approximately 35 pounds of methamphetamine in the gas tank of one of the vehicles utilizing a scope. The Drug Enforcement Administration (DEA) then conducted a controlled delivery of the methamphetamine. Federal agents arrested Rodriguez-Posada as well as Jovany Medina, 24, of Kansas City after the men took possession of the vehicle.In July 2022, Medina was sentenced to 144 months in prison after pleading guilty to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine.
Rodriquez-Posada also pled guilty to one count of unlawful reentry subsequent to removal after admitting to returning to United States after being removed for illegal entry in 2014.
U.S. Attorney Duston Slinkard commends the Federal Bureau of Investigation (FBI) and the DEA for their collaborative investigation and Assistant U.S. Attorney Sheri Catania who prosecuted the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The Kansas City Metro Strike Force’s mission also includes targeting violent street gangs and cartel members operating in and around the metropolitan area that are engaged in violent offenses and firearms offenses.
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Kansas Cattleman Indicted for Alleged Financial CrimesRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka returned an indictment charging a Kansas man with one count of criminal conversion, one count of forgery of United States obligations or securities, and one count of false statement to a federally insured bank.
According to court documents, Blaine Schurle, 26, of Barnes as operator of Double S Cattle Company, LLC is accused of allegedly selling approximately 400 head of cattle valued at more than $400,000 without authorization from the Farm Services Agency although FSA guidelines prohibit the sale of collateral in which the federal government agency has security interest without prior approval. Schurle is also accused of allegedly attempting to deposit a $13,452 check into his bank account that was issued to both him and FSA despite the check not being endorsed by FSA. A grand jury additionally indicted Schurle for allegedly failing to report his debt obligations to FSA while securing a bank loan for $45,450.
The defendant is scheduled for his initial court appearance July 21 at 1:30 p.m. before a U.S. Magistrate Judge of the U.S. District Court for the District of Kansas.
The U.S. Department of Agriculture, Office of Inspector General is investigating the case.
Assistant U.S. Attorney Christine Kenny is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Justice Department Seizes and Forfeits Approximately $500,000 from North Korean Ransomware Actors and their ConspiratorsRead the Press Release
The Justice Department today announced a complaint filed in the District of Kansas to forfeit cryptocurrency paid as ransom to North Korean hackers or otherwise used to launder such ransom payments. In May 2022, the FBI filed a sealed seizure warrant for the funds worth approximately half a million dollars. The seized funds include ransoms paid by health care providers in Kansas and Colorado.
“Thanks to rapid reporting and cooperation from a victim, the FBI and Justice Department prosecutors have disrupted the activities of a North Korean state-sponsored group deploying ransomware known as ‘Maui,’” said Deputy Attorney General Lisa O. Monaco today at the International Conference on Cyber Security. “Not only did this allow us to recover their ransom payment as well as a ransom paid by previously unknown victims, but we were also able to identify a previously unidentified ransomware strain. The approach used in this case exemplifies how the Department of Justice is attacking malicious cyber activity from all angles to disrupt bad actors and prevent the next victim.”
According to court documents, in May 2021, North Korean hackers used a ransomware strain called Maui to encrypt the files and servers of a medical center in the District of Kansas. After more than a week of being unable to access encrypted servers, the Kansas hospital paid approximately $100,000 in Bitcoin to regain the use of their computers and equipment. Because the Kansas medical center notified the FBI and cooperated with law enforcement, the FBI was able to identify the never-before-seen North Korean ransomware and trace the cryptocurrency to China-based money launderers.
Then, as a result, in April 2022, the FBI observed an approximately $120,000 Bitcoin payment into one of the seized cryptocurrency accounts identified thanks to the cooperation of the Kansas hospital. The FBI’s investigation confirmed that a medical provider in Colorado had just paid a ransom after being hacked by actors using the same Maui ransomware strain. In May 2022, the FBI seized the contents of two cryptocurrency accounts that had received funds from the Kansas and Colorado health care providers. The District of Kansas then began proceedings to forfeit the hackers’ funds and return the stolen money to the victims.
“Reporting cyber incidents to law enforcement and cooperating with investigations not only protects the United States, it is also good business,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The reimbursement to these victims of the ransom shows why it pays to work with law enforcement.”
“These sophisticated criminals are constantly pushing boundaries to search for ways to extort money from victims by forcing them to pay ramsons in order to regain control of their computer and record systems,” said U.S. Attorney Duston J. Slinkard for the District of Kansas. “What these hackers don’t count on is the tenacity of the U.S. Justice Department in recovering and returning these funds to the rightful owners.”
“The FBI is dedicated to working with our federal and private sector partners to disrupt nation state actors who pose a critical cyber threat to the American people,” said FBI Cyber Division Assistant Director Bryan Vorndran. “Today’s success demonstrates the result of reporting to the FBI and our partners as early as possible when you are a victim of a cyber attack; this provides law enforcement with the ability to best assist the victim. We will continue to pursue these malicious cyber actors, such as these North Korean hackers, who threaten the American public regardless of where they may be and work to successfully retrieve ransom payments where possible.”
“Today’s announcement reiterates the FBI and Justice department’s continued commitment to working with our critical infrastructure and private sector partners to identify and dismantle cyber threats, including new and emerging ransomware variants,” said Special Agent in Charge Charles Dayoub of the FBI Kansas City Field Division. “Because of swift reporting by the victim medical center, action was taken to lessen the loss to the victim company, as well as identify the malware deployed, preventing additional cyber-attacks. The relationship between the FBI and our private sector partners are critical to discover, disrupt and dismantle cyber threats to our nation’s infrastructure.”
On July 6, 2022, based on information obtained during the Department’s investigation, the FBI, the Cybersecurity and Infrastructure Security Agency (CISA) and the Department of the Treasury issued a joint cybersecurity advisory regarding the North Korean threat to U.S. health care and public health sector organizations, which included indicators of compromise and mitigation advice.
Deputy Attorney General Lisa O. Monaco; Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division; U.S. Attorney Duston J. Slinkard for the District of Kansas; Special Agent in Charge Charles Dayoub of the FBI’s Kansas City Field Office; and Assistant Director Bryan Vorndran of the FBI’s Cyber Division made the announcement.
The FBI is investigating the case.
Guatemalan Woman Indicted for Falsely Using Social Security NumberRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a Guatemalan national with one count of possession of a false social security card/number.According to court documents, Isabel Xorxe Tay, 35, is accused of using the name and security number of another person to apply for and obtain employment at a company in Dodge City, Kansas, under the guise of being a United States citizen.
The Bureau of Immigration and Customs Enforcement (ICE) is investigating the case. Assistant U.S. Attorney Alan Metzger is prosecuting the case.
OTHER INDICTMENTS
Michele Bonham aka Michele Williamson, 39, of Wichita was indicted on one count of distribution of methamphetamine. The Drug Enforcement Administration (DEA) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Jonathan Bonilla, 26, was indicted on three counts of possession of counterfeit currency. The U.S. Secret Service is investigating the case. Assistant U.S. Attorney Alan Metzger is prosecuting the case.
Ethan Bray, 22, of Wichita was indicted on one count of distribution of child pornography and one count of possession of child pornography. Homeland Security Investigations (HSI) is investigating the case. Assistant U.S. Attorneys Molly Gordon and Jason Hart are prosecuting the case.
Jesse James Edwards, 41, of Fort Scott was indicted on count of distribution of child pornography and one count of possession of child pornography. Homeland Security Investigations (HSI) is investigating the case. Assistant U.S. Attorneys Molly Gordon and Jason Hart are prosecuting the case.
Danny Griffin, 37, of Wichita was indicted on one count of fentanyl and heroin conspiracy. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Aaron Smith and Special Assistant U.S. Attorney Katie Andrusak are prosecuting the case.
Wayne Howard Hunter, 59, of Geneseo was indicted on one count of possession with intent to distribute methamphetamine. The Federal Bureau of Investigation (FBI) is investigating the case. Assistant U.S. Attorney Aaron Smith is prosecuting the case.
Toreon Jenkins, 21, of Wichita was indicted on one count of use, carry, and possess a firearm in relation to a drug trafficking crime and one count of collection of extortionate extensions of credit. Wichita Police Department, Sedgwick County Sheriff’s Office, Federal Bureau of Investigation (FBI), and the U.S. Postal Service Office of Inspector General are investigating this case. Assistant U.S. Attorneys Debra Barnett and Alan Metzger are prosecuting this case.
Deon B. Lacey, 36, of Capitol Heights, Maryland, and Anthony E. Brown, 39, of Washington, D.C., were indicted on one count of possession with intent to distribute cocaine and one count of interstate travel in aid of racketeering. The Kansas Bureau of Investigation (KBI) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
Karl Williams Jr., 31, of Wichita of was indicted on one count of possession of counterfeit obligations and one count of prohibited person in possession of a firearm. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Alan Metzger is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Man Sentenced in International Drug Smuggling RingRead the Press Release
KANSAS CITY, KAN.– A Kansas man was sentenced to 144 months in prison for his role in an international drug trafficking ring.
Back in April 2022, Jovanny Medina, 24, of Kansas City, Kansas, pleaded guilty to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine. According to court documents, Medina took part in a conspiracy to traffic illegal narcotics sourced from his family in Mexico in the Kansas City metro area. His primary role in the operation was to import and distribute multi-kilogram quantities of methamphetamine, collect drug debts, and transport bulk United States currency from Kansas City to Mexico.
“As long as drug smugglers infiltrate our borders and peddle poison into our communities, the Department of Justice will remain vigilant in arresting and prosecuting offenders with the deliberate intention of dismantling these criminal enterprises,” said U.S. Attorney Duston Slinkard.
U.S. Attorney Slinkard commends the Federal Bureau of Investigation (FBI) and the Drug Enforcement Administration (DEA) for their collaborative investigation and Assistant U.S. Attorney Sheri Catania who prosecuted the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. The Kansas City Metro Strike Force’s mission also includes targeting violent street gangs and cartel members operating in and around the metropolitan area that are engaged in violent offenses and firearms offenses.
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Wichita Man Sentenced for Drug TraffickingRead the Press Release
WICHITA, KAN. – A Kansas man has been sentenced to a total of 295 months in prison for drug trafficking crimes.
According to court documents, in March 2022, a federal jury convicted Travis Vontress, 45, of Wichita of the following charges:
- one count of conspiracy to distribute methamphetamine;
- one count of conspiracy to distribute heroin;
- one count of conspiracy to distribute cocaine;
- one count of maintaining a drug involved premises;
- two counts of use of a communication facility to facilitate a drug trafficking crime;
- one count of possession with intent to distribute cocaine; and
- one count of possession of a firearm in furtherance of a drug trafficking crime
The FBI, Wichita Police Department, Drug Enforcement Administration (DEA), Sedgwick County Sheriff’s Office, Barton County Sheriff’s Office, U.S. Postal Service, Sedgwick County Regional Forensic Science Center, Homeland Security Investigations (HSI), U.S. Marshall Service, Alcohol, Tobacco, Firearms, and Explosives (ATF), and the Nebraska State Patrol investigated the case.
Assistant U.S. Attorney Matt Treaster and Special Assistant U.S. Attorney Katie Andrusak prosecuted the case.
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Man Sentenced for Bankruptcy FraudRead the Press Release
WICHITA, KAN. – A California man was sentenced 36 months in prison following a jury conviction in March 2022 on one count of mail fraud and one count of making a false representation in a bankruptcy proceeding.
According to court documents, in January 2018, Nana Baidoobonso – Iam, 69, engaged in a scheme in which he mailed an Involuntary Petition in Bankruptcy to the U.S. Bankruptcy Court for the District of Kansas. The defendant signed the Involuntary Petition in Bankruptcy under the penalties of perjury and falsely claimed that an individual owed him $630,000 and owed a second person $1.26 million.
The U.S. Postal Service and U.S. Trustee Program investigated the case.
Assistant U.S. Attorney Alan Metzger prosecuted the case.
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Grand Jury Indicts Bank Robbery SuspectRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging a man with one count of bank robbery.
According to court documents, Roland K. Vandenberg, 55, allegedly robbed Emprise Bank on South Broadway Street in Wichita on June 2, 2022.
The Federal Bureau of Investigation (FBI) is investigating the case.
Assistant U.S. Attorney Matt Treaster is prosecuting the case.
OTHER INDICTMENTS
Erice Salsbery,63, of Wichita was indicted on one count of possession with intent to distribute cocaine base, one count of possession with intent to distribute cocaine, one count of possession of counterfeit currency, and one count of possession of a firearm by a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating the case.
Assistant U.S. Attorney Matt Treaster is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Man Sentenced for Attempted RobberyRead the Press Release
KANSAS CITY, KAN. – A Kansas man was sentenced for the attempted robbery of a Kansas City, Kansas convenience store in which a clerk was shot in the face. Jakel Webster, 26, of Kansas City was sentenced to 212 months in prison.
On April 28, 2020, Webster and Jorden Brownlee, 22, of Lenexa entered a Quick Shop on Metropolitan Avenue. After Brownlee unsuccessfully tried to breech the enclosed cashier area with a baseball bat, Webster fired an apparent SKS-style rifle, striking the clerk. Webster admitted he fired a second shot at the clerk before he and Brownlee fled the scene without any stolen goods and leaving the clerk bleeding on the floor.
The injured clerk was taken to the hospital in critical condition. He has had multiple surgeries due to problems stemming from his gunshot wounds. As part of sentencing, a federal judge ordered Webster to pay approximately $318,000 in restitution, primarily for injuries sustained by the clerk.
Codefendant Jorden Brownlee was sentenced to 97 months in prison for attempted robbery.
The Kansas City, Kansas Police Department investigated the case.
Assistant U.S. Attorney Scott Rask prosecuted the case.
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U.S. Soldier Indicted in Romance SchemeRead the Press Release
TOPEKA, KAN. – A federal grand jury in Topeka indicted a U.S. Army service member for allegedly participating in a scheme to fraudulently obtain approximately $149,476 from at least 25 individuals.
According to court documents, Innocent N. Ugwu, 24, of Fort Riley, Kansas, is charged with five counts of wire fraud, five counts of laundering monetary instruments, and one count of procurement of citizenship or naturalization unlawfully. From an unknown date until January 2021, Ugwu is accused of conspiring with others to defraud money from individuals in the United States using false pretenses and promises, and the omission of material facts to carry out romance, advance fee and other fraudulent schemes.
The U.S. Secret Service and the Department of Defense, Defense Criminal Investigative Service are investigating the case.
Special U.S. Assistant Attorney Robin Graham and U.S. Assistant Attorney Christine Kenney are prosecuting the case.
OTHER INDICTMENTS
Daniel Cardiel-Ramirez, 31, of Wichita is charged with one count of possession with intention to distribute a controlled substance and one count of possession of a firearm by an illegal alien. The Drug Enforcement Administration (DEA) is investigating the case. Special Assistant U.S. Attorney Katie Andrusak is prosecuting the case.
Chelsea Pulse, 27, of Junction City is charged with one count of embezzlement of the mail, two counts of theft of the mail, and one count of delay of mail. The U.S. Postal Service is investigating the case. Assistant U.S. Attorney Sara Walton is prosecuting the case.
Jeremias Sanchez, 27, an inmate of U.S. Penitentiary Leavenworth, is charged with one count of possession contraband in prison. The U.S. Marshals Service is investigating the case. Assistant U.S. Attorney Greg Hough is prosecuting the case.
James Shaughnessy, 20, is charged with one could of sexual exploitation of a minor- production of child pornography. Homeland Security Investigations (HSI) is investigating the case. Assistant U.S. Attorney Sara Walton is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Bookkeeper Pleads Guilty to Bank FraudRead the Press Release
WICHITA, KAN. – A Kansas woman pleaded guilty in connection to a scheme to defraud her former employers of millions of dollars.
According to court documents, Nancy Martin, 77, of Wichita pleaded guilty to one count of bank fraud and one count of aid or assist filing a false tax document. Martin admits to defrauding her employers Mid-Kansas Wound Specialists and Emergency Services P.A. She worked for the businesses as a bookkeeper, business manager, and chief operating officer. An audit revealed that from 2012 to 2017, Martin embezzled approximately $3.1 million by fraudulent obtaining money from her employers’ banks. She used funds to pay for personal expenses, travel, and investments then made false accounting entries to disguise the embezzlement as payments or transferred funds between entities.
From 2013 to 2016, Martin either filed tax turns or caused tax returns to be filed to the Internal Revenue Service that omitted income, therefore, causing a tax loss to the IRS of approximately $670,000.
“IRS Criminal Investigation is committed to unravelling the most complicated embezzlement and tax schemes,” said William Steenson, Assistant Special Agent in Charge, IRS Criminal Investigation. “Ms. Martin’s guilty plea shows IRS-CI’s commitment to protecting the healthcare system and all those who work tirelessly to promote the welfare for all.”
Martin is scheduled to be sentenced on August 17 and faces a maximum penalty of 30 years in prison for bank fraud and a maximum of three years in prison for aid or assist filing a false tax document. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The IRS-Criminal Investigation is investigating the case.
Assistant U.S. Attorney Aaron Smith is prosecuting the case.
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OK Man Indicted for Hotel Armed RobberiesRead the Press Release
WICHITA, KAN. – A federal grand jury in Wichita returned an indictment charging an Oklahoma man with two counts of interference with interstate commerce by robbery, two counts of brandishing a firearm during a crime of violence, and two counts of felon in possession of a firearm.
According to court documents, Darrell E. Black, 28, of Midwest City allegedly committed armed robberies at the Extended Stay America hotel in Wichita on May 27, 2017, and at the Days Inn and Suites hotel in Wichita on May 29, 2017.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating the case.
Assistant U.S. Attorney Lanny Welch is prosecuting the case.
OTHER INDICTMENTS
Tommy Anderson, Sr., 50, of Wichita, Kan. is charged with ten counts of possession with intent to distribute a controlled substance, two counts of prohibited person in possession of a firearm, two counts of possession of a firearm during a drug trafficking crime, two counts of using or maintaining drug premises, and one count of prohibited person in possession of ammunition. The Wichita Police Department is investigating the case. Assistant U.S. Attorney Debra Barnett is prosecuting the case.
Jaidyn Irving, 22, of Wichita, Kan., is charged with one count of possession of a firearm by a previously convicted felon. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating the case. Assistant U.S. Attorney Matt Treaster is prosecuting the case.
Bradley Wicks, 39, of Wichita, Kan., is charged with one count of possession of methamphetamine with intent to distribute and one count of possession of a firearm by a prohibited person. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is investigating the case. Special Assistant U.S. Attorney Katie Andrusak is prosecuting the case.
Alberto Vasquez, 48, of Tucson, Ariz., is charged with one count of possession with intent to distribute a controlled substance-fentanyl. The Drug Enforcement Administration (DEA) is investigating the case. Assistant U.S. Attorney Molly Gordon is prosecuting the case.
Ever Quintana-Lopez, 31, of Wichita, Kan., is charged with one count of possession of cocaine with intent to distribute, one count of possession of methamphetamine with intent to distribute, one count of possession of fentanyl with intent to distribute, one count possession of a firearm in the furtherance of a drug trafficking crime, and one count of possession of a firearm by an illegal alien. The Drug Enforcement Administration (DEA) is investigating the case. Assistant U.S. Attorney Ola Odeyemi is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas Cattle Trader Fined and Banned for Life After Repeated Violations of the Packers and Stockyards ActRead the Press Release
WICHITA, KAN. – The U.S. District Court for the District of Kansas fined a recidivist violator of statutory and regulatory federal livestock laws under the Packers and Stockyards Act.
The District Court also entered a lifetime ban against trader, John Rife, of Oswego, Kansas, for his violations of federal law and for breaching prior injunctive orders previously entered by the federal court.
Rife did not substantively defend allegations filed by the United States of numerous violations of federal law. The violations include:
• operating on a dealer basis of cattle transactions with a suspended registration;
• operating without an adequate bond;
• failing to maintain records and make records available to the federal inspectors; and
• violating the federal court’s prior 2012 and 2017 orders imposing penalties and injunctive relief against Rife for similar conduct.During a hearing on the matter, the United States argued that Rife’s operation as a cattle dealer and market agency without registering, bonding, or maintaining records potentially jeopardizes the financial integrity of the cattle markets. The United States also contended Rife’s failure to comply with federal law impairs the government’s ability to investigate and prevent the spread of disease.
The District Court ordered Rife to pay the United States 15% of $1,799,168.50 in new and reinstated penalties, equaling $269,875.27. The remainder is set in abatement in case of future violations. The District Court further entered a lifetime ban against Rife, barring him from engaging in any further business within the USDA’s jurisdiction for which registration and bonding are required.
The U.S. Department of Agriculture, Agricultural Marketing Service (AMS), Packers and Stockyards Division investigated the case against Rife.
The U.S. Attorney’s Office for the District of Kansas, and Assistant U.S. Attorneys Steven Brookreson and Christopher Allman brought the enforcement action on behalf of the United States.
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Nebraska Man Pleads Guilty to Charge Related to Kansas Bank RobberyRead the Press Release
TOPEKA, KAN. – A Nebraska man pleaded guilty to one count of use of a firearm during a crime of violence.
According to court documents, in February 2021, Cody Deichen, 26, of Hastings, Nebraska, admitted to aiding and abetting in the brandishing and use of a home built .223 caliber AR-15 style rifle during a bank robbery at Guaranty State Bank on South Main Street in Burr Oak, Kansas.
A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. A sentencing hearing is scheduled for July 27.
The FBI and the Kansas Bureau of Investigation are investigating the case.
Assistant U.S. Attorney Sara Walton is prosecuting the case.
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Two Men Indicted on Drug Trafficking Related OffencesRead the Press Release
WICHITA, KAN – A federal grand jury in Wichita returned an indictment charging two men with various drug trafficking related offenses.
Jose Rodriguez-Cardenas, 46, and Felix Rodriguez-Flores, 42, of Wichita, are both charged with one count of heroin conspiracy, one count of fentanyl conspiracy, and one count of possession of heroin with intent to distribute.
Rodriguez-Cardenas is also charged with four counts of distribution of a controlled substance, one count of possession of methamphetamine with intent to distribute, and one count of possession of fentanyl with intention to distribute.
Rodriguez-Flores is charged with six counts of distribution of a controlled substance and one count of possession of fentanyl with intention to distribute.
The FBI and the Wichita Police Department are investigating the case.
Special Assistant U.S. Attorney Katie Andrusak is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Kansas City Man Guilty of Bank RobberyRead the Press Release
KANSAS CITY, KAN. – A federal jury convicted a Kansas man of one count of bank robbery and one count of use of a firearm in furtherance of a crime of violence.
According to court documents, and evidence presented at trial, Davonte Chaney, 30, of Kansas City was found guilty of robbing Truity Credit Union, 2221 West 31st Street, in Lawrence. In September 2021, Chaney entered the bank, pointed a semi-automatic gun at the employees, and instructed them to get down on the ground.
“Chaney’s criminal actions in order to get money subjected people who were making an honest living to a violent, terrifying ordeal,” said Duston Slinkard, U.S. Attorney. “The strong evidence collected by law enforcement investigators along with the convincing arguments prosecutors put before the jury, secured a conviction so that the victims’ suffering will not go unpunished.”
A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing is scheduled for August 16.
The Lawrence Police Department and the FBI investigated the case.
Assistant U.S. Attorneys Trent Krug and Faiza Alhambra prosecuted the case.
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Jury Convicts in Check Kiting TrialRead the Press Release
TOPEKA, KAN. – A federal jury convicted a Kansas man of 31 counts of bank fraud, one count of making a false statement in connection with a Small Business Administration guaranteed loan, and one count of making a false statement in a loan or credit card application.
According to court documents and evidence presented at trial, Tyler Gillum, 51, of Plainville owned and operated Plainville Livestock Commission Inc. from 2006 until 2019. Between January 2015 and August 2017, Gillum wrote checks and made wire transfers between various accounts under his control at various banks in a scheme commonly known as check kiting. This is when checks are continually written back and forth to fraudulently inflate account balances tricking banks into honoring checks written with insufficient funds. Gillum’s scheme resulted in losses of more than $10 million to the banking system.
Gillum also applied for and obtained a $1,500,000 loan, secured by the U.S. Small Business Administration, and a $500,000 line of credit from Almena State Bank, while concealing he’d previously signed an approximately $6.1 million promissory note to TBK Bank of Dallas, Texas.
“Because of the defendant’s crimes, banks suffered millions of dollars in losses. These fraudulent acts should be of concern to everyone, because the stability our nation’s banking system is vital to the financial health of this country,” said U.S. Attorney Duston Slinkard, District of Kansas.
The FBI, U.S.D.A. Office of Inspector-General, S.B.A. Office of Inspector-General, and F.D.I.C. Office of Inspector-General investigated the case.
U.S. Attorney Duston Slinkard commends the work of Assistant U.S. Attorneys Sara Walton and the late Richard Hathaway in preparing and prosecuting the case.
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Former Accounting Supervisor Pleads Guilty to Embezzling Funds from Johnson Co. District CourtRead the Press Release
KANSAS CITY, KAN. – A Kansas woman pleaded guilty today to federal charges of wire fraud and filing a false tax return related to a scheme to embezzle money from the Johnson County District Court in Olathe, Kansas.
According to court documents, Dawna Kellogg, 61, of Williamsburg—while employed in the accounting department at the Johnson County District Court—stole at least $776,691.50 in cash from her employer between January 2010 and June 2017. Kellogg’s legal name was Dawna Brandt at the time.
As the Accounting Supervisor for the Court, Kellogg managed the accounting department, collected funds from each separate county system, recorded funds collected, processed daily reports, and deposited the collected funds into the Court’s bank account. The Court utilized a case management system named the Justice Information Management System (JIMS), which had an accounting function to maintain the Court’s financial transactions.
Kellogg stole cash that the Court received, such as bail bond payments, and either spent or deposited the embezzled proceeds into her personal accounts. Kellogg concealed the stolen cash by two primary means: (1) manipulating an unclaimed property account and (2) creating an open payable in the JIMS system and then issuing a check that was both drawn on and deposited into the Court’s bank account, which created a corresponding debit and credit and thus no increase or decrease in the amount under deposit.
Kellogg pleaded guilty to one count of wire fraud and one count of subscribing to a false tax return. As part of her plea agreement, Kellogg agreed to not contest that the total loss resulting from the scheme to defraud was $1,135,988.13, which consists of $359,296.63 from 2007 through 2009 and $776,691.50 from 2010 through June 2017.A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing is scheduled for August 16 at 9:00 a.m., before U.S. District Judge Holly L. Teeter.
“The defendant knowingly defrauded the public for personal financial gain over a prolonged period of time. When someone in a position of public trust redirects incoming cash payments for city bonds, fines, and court costs to their personal bank account it threatens the very core of our government institutions. Today’s agreement underscores the importance of holding those whose criminal actions degrade the public’s trust accountable,” said Special Agent in Charge Charles Dayoub, FBI Kansas City.
“Ms. Kellogg’s attempt to conceal her embezzlement by making fraudulent accounting entries and filing false tax returns was no match for IRS Criminal Investigation”, said Tyler Hatcher, Special Agent in Charge, IRS Criminal Investigation. “IRS-CI will aggressively pursue those who threaten to defraud the very court system which provides justice to all.”
The FBI and IRS Criminal Investigation are investigating the case.
Assistant U.S. Attorneys Ryan J. Huschka and D. Christopher Oakley are prosecuting the case.
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