Eastern District of Kentucky
Press releases recorded for this federal judicial district.
East Bernstadt Woman Sentenced to 36 Months for Identity Theft and Bank FraudRead the Press Release
LONDON, Ky. – Sharon Hall, 68, of East Bernstadt, Kentucky was sentenced Wednesday, in United States District Court in London, on convictions for bank fraud and aggravated identity theft. United States District Judge Gregory Van Tatenhove sentenced Hall to 24 months imprisonment, on the aggravated identity theft conviction, which will run consecutively to 12 months, on the bank fraud conviction, for a total of 36 months in federal prison.
Hall was convicted by a jury, in January, 2018. The proof at trial established that, during a period of 18 months around 2007 and 2008, Hall applied for and received student loans from at least six different lenders, in the names of her children, niece, and nephew, without their knowledge. She forged the names of the students on loan applications and altered payroll documents to defraud the banks. She received over $93,000 on at least 11 different loans. She paid back approximately $23,000 on the loans, before the remaining amounts were written off by the lenders, resulting in bank losses of approximately $70,000. Hall was ordered to pay restitution to the banks and the students whose names she used.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, G. Michael Ishee, II, Assistant Special Agent in Charge of the U.S. Department of the Interior, Office of Inspector General (DOI OIG), and Edd Cole, Acting Special Agent in Charge of the U.S. Department of Education, Office of Inspector General, Midwest Regional Office (DOE OIG), jointly announced the sentence.
“I commend the efforts of DOI OIG and DOE OIG for jointly pursuing this investigation, which led to the defendant being held accountable for her fraudulent conduct,” said United States Attorney Duncan. “The defendant now faces the consequences of her criminal actions.”
“This verdict and sentencing are the direct result of two Federal investigative agencies working collaboratively to ensure the integrity of their designated Federal programs and personnel,” said Assistant Special Agent in Charge Ishee. “The DOI OIG is committed to working closely with our partner OIGs, including the U.S. Department of Education OIG, on behalf of the American taxpayers. This investigation and sentencing are significant in our continued efforts to combat fraud, waste and mismanagement within the DOI.”
“Accountability applies to everyone, and this is especially true for Federal employees, as we work on behalf of the American people,” said Acting Special Agent in Charge Cole. “That’s why I’m proud of the work of OIG special agents and our law enforcement colleagues in holding Ms. Hall accountable for her criminal actions.”
The investigation was conducted by the DOI OIG and the DOE OIG and Assistant United States Attorneys Ken Taylor and Erin Roth represented the United States.
19 Indicted for Methamphetamine Trafficking and Firearms OffensesRead the Press Release
LONDON, Ky. – A federal grand jury has indicted 19 individuals from Laurel, Knox, Whitley, and Jefferson Counties, on drug trafficking and firearm offenses, in indictments that were unsealed today. The following individuals were named in the indictments:
• Jonathan Harper, 27, Louisville, Kentucky;
• Derwin Julien, 25. Louisville;
• Daniel Nantz, 29, Woodbine, Kentucky;
• Lawrence Collinsworth, 36, Gray, Kentucky;
• Cortez Evans, 27, Louisville;
• Tasha Wernicke, 36, Corbin, Kentucky;
• Jordan Britt, 29, Louisville;
• Scott Hensley, 37, Corbin;
• Amy Mosley, 41, Bernstadt, Kentucky;
• Lindsey Rose, 30, Williamsburg, Kentucky;
• Darryl Moore, 46, Corbin;
• Thorold Johnson, 27, Corbin;
• Bobby Hamilton, 38, Pineville, Kentucky;
• Rickie Eubanks, 41, Corbin;
• Charles Warfield, 50, Artemus, Kentucky;
• Eddie Hoskins, 39, Corbin;
• David Lowe, 37, Gray;
• Justin Collins, 30, Corbin; and
• Ralph Jones, 56, Barbourville, Kentucky.
The indictments stem from a nine-month investigation by the ATF, into methamphetamine and firearms trafficking. According to the indictments, the defendants engaged in a conspiracy to distribute methamphetamine in and around Laurel, Knox, and Whitley Counties. The indictments further allege that defendants trafficked firearms, used firearms during their drug trafficking transactions, and illegally possessed firearms.
The charged individuals are each awaiting their initial appearance in federal court.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Stuart Lowrey, Special Agent in Charge ATF, jointly made the announcement.
The investigation was conducted by the ATF, with substantial assistance from the Corbin Police Department, Knox County Sheriff’s Department, and Kentucky State Police. The United States is represented by Assistant United States Attorney Jenna E. Reed.
An indictment by a grand jury is an accusation only, and individuals charged in an indictment are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Plead Guilty to Distributing Opioids that Caused Fatal OverdosesRead the Press Release
LEXINGTON, Ky. – Defendants in two separate indictments entered guilty pleas Monday, to distributing controlled substances that resulted in death. In Lexington, Daikuan Miller, 23, pleaded guilty to distributing fentanyl that resulted in an overdose death, before Senior District Judge Joseph M. Hood. Miller admitted that, on August 19, 2018, he distributed the lethal drug to an individual identified as W.M. The Nashville Police Department, the Lexington Police Department, and the Drug Enforcement Administration (DEA) jointly investigated the case.
In a separate matter in Frankfort, Kari Yount, 31, pleaded guilty to distributing heroin that resulted in an overdose death, before District Judge Gregory F. Van Tatenhove. Yount admitted that she distributed heroin to an individual identified as C.N.M.. The Frankfort Police Department and the DEA jointly investigated the death, which led to the federal charges.
Both defendants face a mandatory minimum sentence of 20 years in federal prison, and a maximum sentence of life imprisonment. Sentencing for Miller will occur in Lexington, on July 8, 2019; sentencing for Yount will occur in Frankfort, on July 24, 2019.
“The illegal distribution of opioids, particularly heroin and fentanyl, is a crisis,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “These drugs are killing Americans at a rate faster than car accidents, and one critical piece in our comprehensive approach to combatting this epidemic is to aggressively prosecute those who illegally sell this poison. Our Office remains committed to seeking justice for the families who have suffered so much from this illegal trade. The commitment of our law enforcement partners is also vital to the effort, and is what made these prosecutions possible.”
U.S. Attorney Duncan; Darrell Christopher Evans, Special Agent in Charge, DEA Louisville; Charles Adams, Interim Chief of Police, Frankfort Police Department; and Lawrence Weathers, Chief of Police, Lexington-Fayette County Division of Police, jointly announced the guilty pleas. Assistant United States Attorney Todd Bradbury prosecuted both cases on behalf of the United States.
Huntington, West Virginia Man Sentenced to 240 Months for Conspiracy to Distribute HeroinRead the Press Release
ASHLAND, Ky. — Eric Lavell Minter, 33, of Huntington, West Virginia, was sentenced Wednesday, to 240 months in federal prison by United States District Judge David L. Bunning, for conspiracy to distribute heroin.
In August 2017, law enforcement members of the Huntington FBI Task Force, in conjunction with the Kentucky State Police and the Ashland Police Department, seized 876 grams of heroin, which was transported from Detroit to Huntington. Minter, and a co-defendant, Leonard Wright, orchestrated the delivery of heroin, from June 2017 to August 2017. The heroin was then distributed in the Tri-State area. Minter has prior convictions for drug trafficking in West Virginia state and federal courts.
Under federal law, Minter must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for 8 years. Wright pleaded guilty and was previously sentenced to 156 months in prison and 4 years of supervised release.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Robert Allen Jones, Special Agent in Charge, FBI Pittsburgh Field Office; Richard Sanders, Commissioner of the Kentucky State Police; and Todd Kelly, Chief of the Ashland Police Department, jointly made the announcement.
The FBI, Kentucky State Police, and the Ashland Police Department conducted the investigation. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
Cynthiana Man Sentenced to 210 Months for Attempting to Entice Minors to Engage in Sexual ActivityRead the Press Release
LEXINGTON, Ky. - A Cynthiana man, who previously admitted to attempting to entice minors to permit him to engage in illicit sexual conduct, has been sentenced to 210 months in federal prison.
Today, U.S. District Judge Gregory F. Van Tatenhove sentenced Jeremy Wayne Martinez, 28, for using the Internet, with his cellular telephone, to knowingly attempt to persuade, induce, entice, and coerce a minor, to engage in sexual activity.
According to the plea agreement, Martinez previously admitted to communicating with an undercover law enforcement agent, who responded to an ad Martinez had posted on Craigslist.com. The undercover officer portrayed herself as the mother of two daughters, ages three and seven. Martinez engaged in text conversations on Kik Messenger, during which he indicated his interest in engaging in sexual intercourse with both of the fictitious minors. He traveled to a meeting place, in Frankfort, designated by the undercover officer, on October 19, 2017. He was arrested at that time. Martinez admitted that he was the person who had been communicating with the officer, and that those communications contained sexually explicit conversations.
Martinez pleaded guilty to the charge in October of 2018.
Under federal law, Martinez must serve 85 percent of his prison sentence and will be under the supervision of the U.S. Probation Office for 25 years, following his release from federal prison.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Richard F. Ferretti, Special Agent in Charge, Louisville Field Office, United States Secret Service, and Kentucky Attorney General Andy Beshear jointly announced the sentence.
The investigation was conducted by the United States Secret Service and the Cyber Crimes Branch of the Office of the Attorney General of Kentucky. Assistant U.S. Attorney David A. Marye represented the federal government in the case.
Magoffin County Man Convicted of Oxycodone Trafficking ConspiracyRead the Press Release
PIKEVILLE, Ky. — Danny Porter, of Salyersville, Kentucky, was convicted by a federal jury this week, for conspiring with two Indiana women to traffic oxycodone pills in Magoffin County. The jury also convicted Porter of possessing oxycodone pills with the intent to distribute them. Porter was acquitted of a firearm offense.
The proof at trial established that, for two years, Porter had been making monthly trips to Indiana to obtain hundreds of oxycodone pills, which he brought back to sell in Magoffin County. The investigation culminated in a search of Porter’s residence, where oxycodone pills, twenty firearms, and over $40,000 in cash were seized.
Katherine Redlark and Tonya Owens, both of Indiana, were subsequently stopped in Magoffin County and found to be in possession of over two hundred oxycodone pills that they were preparing to sell to Porter. Both Redlark and Owens have previously pled guilty to conspiring with Porter to distribute oxycodone.
Porter faces up to twenty years in prison.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Federal Bureau of Investigation Special Agent in Charge for the Louisville Field Division; Richard Sanders, Kentucky State Police Commissioner; Carson Montgomery, Magoffin County Sheriff; and Christopher Edmonds, Chief of the Pikeville Police Department, jointly made the announcement. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
Cincinnati Man Sentenced to 7 Years in Federal Prison for Heroin and Fentanyl ConspiracyRead the Press Release
COVINGTON, Ky. — Dante Marice Martin, 37, of Cincinnati, Ohio, was sentenced on Thursday to 7 years in federal prison by United States District Judge David L. Bunning for conspiracy to distribute and possession with intent to distribute heroin, fentanyl and acetyl fentanyl.
Martin previously pleaded guilty and admitted that from May through his arrest in June 2018, he conspired with his co-defendants to distribute and possess with intent to distribute 100 grams or more of heroin, 40 grams or more of fentanyl, and 10 grams or more of acetyl fentanyl, an analogue of fentanyl. Martin sold these drugs to undercover law enforcement working with the Northern Kentucky Drug Strike Force on four separate occasions. At the fourth and final undercover sale on June 27, 2018, Martin was arrested immediately after he sold 60 grams of the substance for $5,100. He had driven from Cincinnati, Ohio to Kenton County, Kentucky, with his girlfriend and three young children in the vehicle to complete the sale.
Under federal law, Martin must serve 85 percent of his prison sentence, and, upon release, will be under the supervision of the United States Probation Office for a term of 5 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Timothy Plancon, Special Agent in Charge, Drug Enforcement Administration made the announcement after the sentencing.
The investigation was conducted by the Drug Enforcement Administration and the Northern Kentucky Drug Strike Force. The United States was represented by Assistant United States Attorney Wade T. Napier.
Manchester Man Sentenced to 147 months for Drug Trafficking and Firearms OffensesRead the Press Release
LONDON, Ky. – Jason A. Cottongim, 39, of Manchester, Kentucky, was sentenced yesterday, to 147 months in federal prison, by United States District Judge Robert E. Wier, for possession with the intent to distribute Xanax, being a felon in possession of firearms, and using firearms in furtherance of drug trafficking. Judge Wier also ordered Cottongim forfeit $16,148 in cash, two firearms, and ammunition.
On April 26, 2018, Cottongim was discovered in the Save-a-lot parking lot in Manchester, armed with a loaded Smith & Wesson pistol in his pocket and a loaded semi-automatic M-11 at his feet. After rendering a hoax explosive device safe, law enforcement officers seized over 319 Xanax pills, $16,148 in cash, digital scales, distribution baggies, and ammunition from the vehicle.
Cottongim entered a guilty plea to all the charges, during his trial, in November of 2018. Under federal law, Cottongim must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge ATF; Chris Fultz, Chief Manchester Police Department; Richard Sanders, Commissioner of the Kentucky State Police; and Patrick Robinson, Clay County Sheriff; jointly made the announcement.
The investigation was conducted by the ATF, Manchester Police Department, KSP, and the Clay County Sheriff’s Office. The United States was represented by Assistant United States Attorney Jenna E. Reed.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Justice Department Files Sexual Harassment Lawsuit Against Owner and Manager of Rental Property in Dayton, KentuckyRead the Press Release
The Justice Department today announced that it has filed a lawsuit alleging that Gus Crank, manager of a residential rental property in Dayton, Kentucky, sexually harassed female tenants in violation of the federal Fair Housing Act. The lawsuit also alleges that Penny Crank, an owner of the rental property, is liable for Gus Crank’s actions because he managed the rental property on her behalf.
Today’s lawsuit, filed in the U.S. District Court for the Eastern District of Kentucky, alleges that Gus Crank engaged in sexual harassment of female tenants from approximately 2008 through 2016, by, among other things, demanding that female tenants engage in sexual acts to keep their housing, engaging in unwelcome sexual touching, offering to reduce monthly rental payments in exchange for sex, making unwelcome sexual comments and advances, making intrusive and unannounced visits to female tenants’ homes to further his sexual advances, and evicting or threatening to evict female tenants who objected or refused his sexual advances.
“No female tenant should have to suffer sexual harassment as a condition of maintaining housing for herself or her family,” said Assistant Attorney General Eric Dreiband. “The Justice Department will continue to enforce the Fair Housing Act against property managers and owners who make illegal demands for sex and cause women to feel unsafe in their own homes.”
“Everyone has the right to be free from sexual harassment and intimidation, and the allegations in this case are very troubling,” said Robert M. Duncan Jr., U.S. Attorney for the Eastern District of Kentucky. “Individuals who are being victimized as a condition of their housing have rights and we encourage them to report this type of reprehensible behavior to the Department of Justice.”
In October 2017, the Justice Department launched an initiative to combat sexual harassment in housing. In April 2018, the Department announced the nationwide rollout of the initiative, including three major components: a new joint Task Force with the Department of Housing and Urban Development to combat sexual harassment in housing, an outreach toolkit to leverage the Department’s nationwide network of U.S. Attorney’s Offices, and a public awareness campaign, including the launch of a national Public Service Announcement.
Since launching the initiative, the Justice Department has filed eight lawsuits alleging a pattern or practice of sexual harassment in housing. The Justice Department has filed or settled 14 sexual harassment cases since January 2017, and has recovered over $1.6 million for victims of sexual harassment in housing.
Today’s lawsuit seeks monetary damages to compensate the victims, civil penalties and a court order barring future discrimination. The complaint contains allegations of unlawful conduct. The allegations must be proven in federal court.
The federal Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at http://www.justice.gov/crt. Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination at rental dwellings managed by Gus Crank, or who have other information that may be relevant to this case, can contact the U.S. Attorney’s Office for the Eastern District of Kentucky at (859) 685-4823.
Individuals can also report sexual harassment and other forms of housing discrimination by e-mailing the Justice Department at [email protected].
Justice Department Files Sexual Harassment Lawsuit Against Owner and Manager of Rental Property in Dayton, KentuckyRead the Press Release
WASHINGTON – The Justice Department today announced that it has filed a lawsuit alleging that Gus Crank, manager of a residential rental property in Dayton, Kentucky, sexually harassed female tenants in violation of the federal Fair Housing Act. The lawsuit also alleges that Penny Crank, an owner of the rental property, is liable for Gus Crank’s actions because he managed the rental property on her behalf.
Today’s lawsuit, filed in the U.S. District Court for the Eastern District of Kentucky, alleges that Gus Crank engaged in sexual harassment of female tenants from approximately 2008 through 2016, by, among other things, demanding that female tenants engage in sexual acts to keep their housing, engaging in unwelcome sexual touching, offering to reduce monthly rental payments in exchange for sex, making unwelcome sexual comments and advances, making intrusive and unannounced visits to female tenants’ homes to further his sexual advances, and evicting or threatening to evict female tenants who objected or refused his sexual advances.
"No female tenant should have to suffer sexual harassment as a condition of maintaining housing for herself or her family," said Assistant Attorney General Eric Dreiband. "The Justice Department will continue to enforce the Fair Housing Act against property managers and owners who make illegal demands for sex and cause women to feel unsafe in their own homes."
"Everyone has the right to be free from sexual harassment and intimidation, and the allegations in this case are very troubling," said Robert M. Duncan, Jr., U.S. Attorney for the Eastern District of Kentucky. "Individuals who are being victimized as a condition of their housing have rights and we encourage them to report this type of reprehensible behavior to the Department of Justice."
In October 2017, the Justice Department launched an initiative to combat sexual harassment in housing. In April 2018, the Department announced the nationwide rollout of the initiative, including three major components: a new joint Task Force with the Department of Housing and Urban Development to combat sexual harassment in housing, an outreach toolkit to leverage the Department’s nationwide network of U.S. Attorney’s Offices, and a public awareness campaign, including the launch of a national Public Service Announcement.
Since launching the initiative, the Justice Department has filed eight lawsuits alleging a pattern or practice of sexual harassment in housing. The Justice Department has filed or settled 14 sexual harassment cases since January 2017, and has recovered over $1.6 million for victims of sexual harassment in housing.
Today’s lawsuit seeks monetary damages to compensate the victims, civil penalties and a court order barring future discrimination. The complaint contains allegations of unlawful conduct. The allegations must be proven in federal court.
The federal Fair Housing Act prohibits discrimination in housing based on race, color, religion, national origin, sex, disability and familial status. More information about the Civil Rights Division and the laws it enforces is available at http://www.justice.gov/crt. Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination at rental dwellings managed by Gus Crank, or who have other information that may be relevant to this case, can contact the U.S. Attorney’s Office for the Eastern District of Kentucky at (859) 685-4823.
Individuals can also report sexual harassment and other forms of housing discrimination by e-mailing the Justice Department at [email protected].
Mercer County Woman Pleads Guilty to Production of Child PornographyRead the Press Release
LEXINGTON, Ky. — Anastasia C. Vandergriff, 37, pleaded guilty today, to a single count of producing child pornography. A co-defendant, Rafael W. Poynter, pleaded guilty to the same offense last week.
In their plea agreements, Vandergriff and Poynter admitted to sexually abusing a minor and producing videos of the abuse using a cellular telephone. The abuse was discovered on January 21, 2017, when deputies with the Mercer County Sheriff’s Office received a complaint about the possible sexual assault of a juvenile. Deputies obtained a search warrant to search Poynter and Vandergriff’s residence in Harrodsburg, Kentucky, where they located Poynter’s cell phone. During the forensic examination of that cell phone, agents located multiple videos depicting the sexual abuse, which was perpetrated by Vandergriff and directed and filmed by Poynter.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James M. Gibbons, Special Agent in Charge of Homeland Security Investigations (HSI) Chicago Field Office; and Sheriff Ernie Kelty, Mercer County Sheriff’s Department, jointly announced the sentence.
The investigation was conducted by HSI and the Mercer County Sheriff’s Department. The United States was represented by Assistant United States Attorney Lauren Bradley.
Vandergriff is scheduled to be sentenced on June 3, 2019. Poynter is scheduled to be sentenced on May 28, 2019. Production of Child Pornography carries a minimum sentence of 15 years and a maximum of 30 years.
Lexington Man Sentenced to 25 Years for Distributing Fentanyl That Resulted in DeathRead the Press Release
LEXINGTON, Ky. – Garry Sean Ramone Drake, Jr., 26, of Lexington, was sentenced Friday, by U.S. District Judge Danny C. Reeves, to 300 months in federal prison, following his conviction for distribution of fentanyl resulting in the death of Mason Reppen, 22, on November 30, 2017.
Drake is the second individual convicted of distributing fentanyl that resulted in Mr. Reppen’s death. Phillip Clayton Jennings, 23, of Crestwood, Kentucky, pleaded guilty and was sentenced to 180 months in prison. Proof gathered during the investigation showed that both defendants were in the chain of distribution for the fentanyl mixture that led to the death. The Lexington Police Department and the DEA jointly investigated the death, which led to the federal charges.
Drake will be required to serve at least 85% of the sentence imposed. Upon his release, he is required to be under supervision by the United States Probation Office for a period of five years.
“Fentanyl and other dangerous drugs continue to devastate our community with tragic outcomes,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “We have made the prosecution of overdoses a core priority in our effort to combat this epidemic. We simply must use all the tools available to us to confront this grave problem. Our strong law enforcement partnerships in this District are critical to the effort. We remain committed to investigating and prosecuting these cases to hold those accountable who distribute this poison.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Darrell Christopher Evans, Special Agent in Charge, DEA Louisville; and Lawrence Weathers, Chief, Lexington Police Department, jointly announced the sentence. Assistant United States Attorney Todd Bradbury prosecuted the case on behalf of the United States.
Lexington Drug Trafficker Sentenced to 260 Months ImprisonmentRead the Press Release
LEXINGTON, Ky. — Michael J. West, 39, of Lexington, was sentenced today, by U.S. District Judge Joseph M. Hood, to 260 months in federal prison for conspiracy to distribute fentanyl and heroin, two counts of possession with the intent to distribute, three counts of distribution, possession of a firearm in furtherance of a drug trafficking, and possession of a firearm by a convicted felon.
On April 11, 2018, Lexington police officers executed a search warrant at West’s apartment, where they located a safe in the refrigerator containing approximately 231 grams of heroin, 150 grams of fentanyl, 78 grams of cocaine, and 22 grams of crack cocaine. In West’s bedroom, officers located cutting agents, a blender with white powder residue, digital scales, naloxone, and other drug trafficking paraphernalia. Officers also located two loaded semi-automatic pistols and more than $37,000 in cash.
During the course of the investigation, officers conducted multiple controlled buys of heroin and fentanyl from conspiracy members and learned that West and his co-conspirators, Timothy Darnell Bryant, 48, of Detroit, Kezzle Cortez Reeves, 37, of Detroit, and Jerry Lee Tolbert, 55 of Lexington, were traveling to Detroit, to obtain heroin, fentanyl, and other controlled substances, which they would then transport back to Lexington for distribution. The defendants used West’s apartment as a stash house where they would store the drugs prior to distributing them.
Previously in December 2018, Bryant pleaded guilty to conspiring to distribute heroin. Tolbert pleaded guilty to conspiring to distribute fentanyl and being a felon in possession of a firearm. And, on December 6, 2018, Reeves was convicted of distributing heroin and fentanyl after a three-day jury trial. West’s co-defendants are awaiting sentencing.
West will be required to serve at least 85% of the sentence imposed. Upon his release, he will be under supervision by the United States Probation Office for a period of 6 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Christopher Evans, Special Agent in Charge, DEA; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence. Assistant United States Attorneys Lauren Bradley and Rajbir Datta prosecuted the case on behalf of the United States.
Richmond Man Sentenced to 135 Months for Trafficking in Methamphetamine and Firearms OffensesRead the Press Release
LEXINGTON, Ky. — Jon Norman Moren, 45, of Richmond, Kentucky, was sentenced yesterday to 135 months in federal prison, by Chief United States District Judge Karen K. Caldwell, for possession with the intent to distribute over 500 grams of methamphetamine and for being a felon in possession of a firearm. Judge Caldwell also ordered Moren to forfeit $2,245 in cash, two firearms, and 366 rounds of ammunition.
On September 21, 2016, a search warrant was executed at Moren’s residence in Lexington. Law enforcement agents seized more than a pound of methamphetamine, which Moren admitted that he intended to sell. Moren also possessed a pistol and rifle, after having previously been convicted of a state drug trafficking felony, as well as other state drug charges.
Under federal law, Moren must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for three years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge ATF; ; D. Christopher Evans, Special Agent in Charge, DEA; and Chief Lawrence Weathers, Lexington Police Department, jointly made the announcement.
The investigation was conducted by the ATF, DEA, and the Lexington Police Department. The United States was represented by Assistant United States Attorney Roger W. West.
Mexican National Sentenced to 235 Months for the Distribution of Methamphetamine and Unlawfully Re-Entering the United States after DeportationRead the Press Release
LEXINGTON, Ky. — Jose Navarro Rios, 45, a Mexican national residing in Lancaster Ky., was sentenced today, to 235 months in federal prison, by United States District Judge Danny C. Reeves, for distributing methamphetamine and illegally re-entering the United States after having previously been deported. Judge Reeves also ordered Rios to pay a $4,000 fine and ordered five years of supervised release. Rios will be deported following service of his sentence.
Rios admitted that he sold approximately 13 pounds of methamphetamine, on four prior occasions, between March 28, 2018 and April 18, 2018. The methamphetamine was manufactured in Mexico and transported to Kentucky for distribution. Rios also admitted he had been deported from the United States on two prior occasions and had unlawfully re-entered the United States.
Under federal law, Rios must serve 85 percent of his prison sentence.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge, FBI; Kristoffer Cortex, Acting Assistant Field Office Director , ICE; Steven Igyarto, Resident Agent in Charge, Department of Homeland Security; Richard Sanders, Commissioner of the Kentucky State Police; and Chief Lawrence Weathers, Lexington Police Department, jointly made the announcement.
The investigation was conducted by the FBI, ICE, DHS, KSP, and and the Lexington Police Department. The United States was represented by Assistant United States Attorney Roger W. West.
Law Enforcement Officials Announce Recent Results in Effort to Reduce Violent Crime in LexingtonRead the Press Release
Statistics Reveal Meaningful Drop in Violent Crime Reported during 2018
LEXINGTON, Ky. – Law enforcement officials announced today the results of coordinated efforts to reduce violent crime in Lexington, during 2018.
According to statistics recently released by the Lexington Police Department, violent crime in Lexington decreased by 13% in 2018, compared to 2017. This decrease included declines in homicides (down 21%), robberies (down 21%), aggravated assaults (down 11%), and shootings (down 23%). Additionally, shots fired calls decreased by 9%.
In January 2018, U.S. Attorney Robert M. Duncan, Jr.; Fayette Commonwealth’s Attorney Lou Anna Red Corn; Chief Lawrence Weathers, Lexington Police Department; Stuart Lowrey, Special Agent in Charge, ATF Louisville Field Division; Fayette County Sheriff Kathy Witt; and other local, state and federal law enforcement partners, including FBI and DEA, announced the creation of the Fayette County Violent Crime Task Force, a joint effort to combat violent crime and drug trafficking in Lexington. The Task Force was formed as part of the Department of Justice’s Project Safe Neighborhoods (PSN) initiative, which focuses enforcement efforts on the most violent offenders and coordinates with locally based prevention and reentry programs in an effort to achieve lasting reductions in crime.
“These results indicate that our law enforcement partnerships have been effective,” said U.S. Attorney Duncan. “They validate a valuable enforcement strategy moving forward and have led to the arrest and prosecution of numerous violent offenders. That benefits not only Lexington, but the entire Central Kentucky community. Through our collective efforts, I believe we are making a difference.”
“I especially commend the men and women of the Lexington Police Department for their outstanding work in helping to reduce violent crime,” said U.S. Attorney Duncan. “Daily, these officers put their lives at risk to enforce the law and help keep our community safe. We are proud to partner with them.”
Mayor Linda Gorton said thanks to the work of the law enforcement community, Lexington is one of the safest cities of its size in the country. “We are happy that our overall numbers are declining,” Gorton said. “We know there’s more work to do, but we are moving in the right direction.”
“Across the department, each officer understands the importance of collaborative, proactive police work in identifying criminal offenders, especially those with guns and illegal narcotics. We can’t do this work alone,” Chief Weathers said. “Addressing crime trends is a never-ending process. From neighborhood meetings to strategic public safety task forces, we’ll continue to look for engaging and innovative methods to prevent crime from occurring and to hold criminals accountable.”
“Our Lexington Police Officers deserve much of the credit,” said Commonwealth’s Attorney Red Corn. “The sharing of resources between local and federal partners has truly enhanced investigations and helped build successful prosecutions.”
“ATF strives to be ‘no better partner’ to other law enforcement agencies,” stated ATF Special Agent in Charge Stuart Lowrey of the Louisville Field Division. “During the past year, ATF and these agencies investigated illegal sources of crime guns and persons who illegally possessed or used guns to commit violent crimes in the Lexington area. Together, we pursued ‘traffickers and trigger pullers’ with every resource, including new ballistic technology and other crime gun intelligence to disrupt the shooting cycle. ATF and these efforts support the Department of Justice’s Project Safe Neighborhoods in making our communities safer for everyone.”
“The Fayette County Violent Crime Task Force is a force multiplier,” said Special Agent in Charge James Robert Brown, Jr., of the FBI’s Louisville Field Division. “The Task Force focused its efforts towards one goal - reducing violent crime. It is working.
Seeing ATF Agents, FBI Agents, and DEA Agents work side by side with the Lexington Police Department and other agencies has been remarkable to witness.”“The success of the Project Safe Neighborhoods initiative is a testament to the hard work and dedication of all the law enforcement professionals in the region working in a truly collaborative fashion,” said D. Christopher Evans, Special Agent in-Charge of DEA’s Louisville Field Division. "We could not ask for a better group of professionals to work with toward the shared goal of reducing violent crime in our communities around Lexington and throughout Central Kentucky.”
Fayette County Violent Crime Task Force
Participants in the Fayette County Violent Task Force developed investigations of violent offenders and significant drug traffickers, resulting in the prosecution of 88 defendants in 2018 (44 defendants in state court, and 44 defendants in federal court). Here are a few examples of successful prosecutions:
U.S. v. Andre Stackhouse - In January 2018, detectives with the Lexington Police Department executed a search warrant at Stackhouse’s Lexington residence, locating 244 grams of a heroin/fentanyl mix and two firearms. Stackhouse was arrested and admitted to the distribution of heroin and to possessing the firearms for protection during his drug trafficking. Stackhouse has six prior felony convictions, including drug trafficking, from Chicago.
Stackhouse pleaded guilty and on December 8, 2018, was sentenced to 190 months in federal prison for possession with intent to distribute heroin, possession of a firearm in furtherance of drug trafficking, and possession of a firearm by a convicted felon. He was also sentenced to a term of 8 years of supervised release.
U.S. v. Davion Bledsoe - On April 17, 2018, Bledsoe fled from police and was involved in an injury collision. During a search of Bledsoe’s vehicle officers located distribution amounts of heroin and crack cocaine, scales, and a handgun. The substances were submitted for testing and were found to contain 8.9 grams of heroin and 18.896 grams of cocaine base (crack cocaine). The firearm was a pistol that was reported stolen from Fayette County in February 2018. On September 4, 2018, Bledsoe pled guilty to possession with intent to distribute heroin and crack cocaine and possession of a firearm in furtherance of a drug trafficking crime. On January 14, 2019, Bledsoe was sentenced to 96 months in federal prison, and 5 years of supervised release.
Commonwealth v. William Dixon: After observing a vehicle roll through a stop sign, Lexington patrol officers attempted a traffic stop. The vehicle fled, then the occupants jumped out of the vehicle and ran. One of the occupants, Dixon, threw down heroin, cocaine and a handgun as he ran. When arrested, Dixon has over $1,000 in cash. Dixon had been previously convicted of Possession of a Firearm by a convicted felon. At trial, a Fayette County jury convicted Dixon of Trafficking in a Controlled Substance, Tampering with Physical Evidence, and Fleeing/Evading Police. He was sentenced to ten years in prison in June of 2018.
Commonwealth v. Rodney Bell: Bell, who was on parole, was found to be in possession of cocaine, Xanax bars, and over $8,000 during a home visit by parole officers. Criminal records show he has prior convictions for Trafficking in a Controlled Substance, Fleeing/Evading Police, and Tampering with Physical Evidence. He pled guilty to Trafficking in a Controlled Substance and Tampering with Physical Evidence and was sentenced to serve five years in prison in June of 2018.
Operation Triple Beam – Bourbon Trail
Additionally, personnel from the United States Marshals Service, the Kentucky State Police, Immigration and Customs Enforcement, the Lexington Police Department, and other law enforcement agencies participated in Operation Triple Beam – Bourbon Trail Initiative (OTB-Bourbon Trail). OTB-Bourbon Trail was a three-month law enforcement initiative that focused on reducing crime in central Kentucky cities, including Lexington, by identifying and arresting violent fugitives, collecting intelligence, and removing individuals who had committed – and were committing – crimes from the community.
OTB-Bourbon Trail was operational from October 15, 2018 to December 14, 2018. During that time, law enforcement arrested 132 defendants (including several wanted for crimes in other states), seized quantities of illegal drugs (including fentanyl, heroin, methamphetamine, cocaine, and marijuana), and recovered 37 firearms. U.S. Attorney Duncan and United States Marshal Norman Arflack jointly announced the results of this additional initiative.
“Operation Triple Beam is a nationwide initiative supported by the U.S. Marshals service,” said Marshal Arflack. “We in the Eastern District of Kentucky are extremely grateful for the support we received from the U.S. Attorney’s office, Kentucky State Police, Lexington Police Department and all other local agencies who worked in collaboration to make this operation one of the most successful in the nation. I am certain that this initiative has made great strides in providing a safer environment for the citizens of Fayette and surrounding counties.”
KSP Commissioner Rick Sanders offered accolades for the successful partnerships that culminated with multiple arrests. “It’s not about who gets the credit, it’s about coming together as law enforcement officers to reduce violent crimes in our communities” said Commissioner Sanders. “That is exactly what these agencies did and we will continue to do in the future.”
Community Outreach and Engagement
In addition to enforcement efforts aimed at removing the most violent offenders from our streets, law enforcement personnel have engaged in community outreach and education. “Our law enforcement partnerships have helped remove several violent offenders from our communities, while also helping to improve existing community relationships and create new ones,” said Chief Weathers. “This helps build trust and government accountability by letting everyone know that we are serious about public safety.”
“We all recognize that enforcement alone is not enough, and sustained success requires a comprehensive approach,” added U.S. Attorney Duncan. “As prosecutors, holding offenders accountable is always our first priority, which usually means incarceration in gun violence cases,” emphasized Commonwealth’s Attorney Red Corn. “But we are also very involved in prevention, intervention, and re-entry work. PSN’s partnership with the city’s ONE LEX initiative has resulted in the sharing of useful information with offenders re-entering the community, including information about the city and community resources available to them, such as library services, mental health services, and potential employment opportunities.”
“Combatting violent crime is a cornerstone priority of the Department of Justice and of our Office, said U.S. Attorney Duncan. While we are proud of the work we have done alongside our partners, we recognize there is more to do. We are committed to carrying our efforts forward, in 2019 and beyond.”
Learn more about Project Safe Neighborhoods.
Danville Drug Trafficker Sentenced to 27 YearsRead the Press Release
LEXINGTON, Ky. – Carl Wayne Bartleson, Jr., 46, of Danville, Kentucky was sentenced today, by Chief U.S. District Judge Karen K. Caldwell, to 324 months in prison following his conviction in October 2018, following a jury trial in federal court. Bartleson was convicted of one count of conspiring to distribute heroin and fentanyl and four counts of distributing those same drugs. Chief Judge Caldwell imposed a 324-month sentence on each of the five counts, to run concurrently.
On February 21, 2017, three people fatally overdosed in Boyle County, Kentucky from the use of controlled substances that included fentanyl, a potent Schedule II controlled substance. Several others overdosed, but survived with the aid of first responders, within a five-day period surrounding the fatalities. The spike in overdoses led the Boyle County Sheriff’s Office to combine forces with the Drug Enforcement Administration, to determine the source of the drugs. The joint investigation led to the arrest and indictment of Bartleson, as a local supplier of heroin, fentanyl and acrylfentanyl, a Schedule I controlled substance that is even more potent than fentanyl.
Bartleson will be required to serve at least 85% of the sentence imposed. Upon his release, he will be under supervision by the United States Probation Office for a period of six years.
“This is yet another example of the tragic impact that heroin, fentanyl, and other powerful opioids are having on our community,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “We have made the prosecution of overdoses a core priority in our Office’s effort to combat this epidemic. This case confirms that law enforcement partnerships are critical to enforcing the law and protecting our community. It should also remind those who choose to distribute this poison in our community that we are committed to this fight and they risk serious and long term consequences for their conduct.”
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Darrell Christopher Evans, Special Agent in Charge, DEA Louisville; and Derek Robbins, Boyle County Sheriff, jointly announced the sentence. Assistant United States Attorneys Todd Bradbury and Francisco Villalobos prosecuted the case on behalf of the United States.
Man Charged with Unlawful Possession of Identification DocumentsRead the Press Release
LEXINGTON, Ky. – Mikhy Farrera-Brochez, of Winchester, Kentucky, was charged via criminal complaint today with the unlawful transfer of stolen identification documents and possession with intent to distribute these documents in violation of federal law.
The criminal complaint alleges that Farrera-Borchez illegally possessed and intended to distribute data containing sensitive medical and other identifying information. While living in the Eastern District of Kentucky, Farrera-Brochez sent links to the data from his e-mail account to several news outlets. He also sent e-mails to several government officials in Singapore containing links to the data.
Robert M. Duncan Jr., United States Attorney for the Eastern District of Kentucky, and James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation, jointly announce this criminal complaint. The investigation preceding the complaint was conducted by the Federal Bureau of Investigation.
The Defendant’s next court appearance is currently scheduled for Wednesday, February 27, at 11:00am, in Lexington.
The charges and allegations contained in the complaint are merely accusations. The Defendant is presumed innocent until proven guilty beyond reasonable doubt in a court of law.
Cincinnati Man Sentenced to 336 Months for Distributing MethamphtamineRead the Press Release
COVINGTON, Ky. — Rodney Jackson, 42, of Cincinnati, Ohio, was sentenced on Thursday, by United States District Judge David Bunning, to 336 months in federal prison for possessing Methamphetamine with the intent to distribute.
Jackson was convicted in October 2018, following a two-day jury trial. According to the evidence, Covington Police conducting a traffic stop and found multiple baggies that contained more than 23 grams of crystal methamphetamine packaged for sale. Because Jackson had prior felony convictions for drug trafficking, he qualified as a “career offender,” pursuant to the United States Sentencing Guidelines, which subjected him to an increased sentence. Jackson was also on supervised release, for a prior federal firearms conviction, at the time of this offense.
Under federal law, Jackson must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for a term of eight years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation, jointly made the announcement.
The investigation was conducted by the FBI and the Covington Police Department. The United States was represented by Assistant United States Attorney Tony Bracke.
Ohio Man Sentenced to 140 Months for Distributing MethamphetamineRead the Press Release
COVINGTON, Ky. — John Lee McCloud, 29, of Fairfield, Ohio, was sentenced today, by United States District Judge David Bunning, to 140 months in federal prison, for trafficking in methamphetamine.
McCloud was indicted in June 2018, and pled guilty in November 2018. According to court documents, McCloud was arrested in Florence, Kentucky, when he attempted to sell approximately five ounces of methamphetamine.
Under federal law, McCloud must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for a term of five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration; and Tom Grau, Chief of the Florence Police Department, jointly made the announcement.
The investigation was conducted by the DEA and the Florence Police Department. The United States was represented by Assistant United States Attorney Tony Bracke.
Texas Men Sentenced for Conspiracy to Distribute CocaineRead the Press Release
LONDON, Ky. – Christopher Lee Serrano, 45, of Austin, Texas and Pedro Vasquez Cavazos, 63, of Mercedes, Texas, were sentenced to federal prison Thursday, by United States District Judge Robert E. Wier, for conspiracy to distribute nearly five kilograms of cocaine. Serrano was sentenced to 262 months and Cavazos was sentenced to 120 months.
In February 2018, the Federal Bureau of Investigation seized 4.95 kilograms of cocaine, which Serrano and Cavazos transported from Austin, Texas to London, Kentucky. Serrano and Cavazos had hidden the cocaine in a speaker box under the passenger seat of Serrano’s Chevy truck. Prior to their arrest, the pair assured the buyer they could fulfill bi-weekly deliveries for similar amounts. In November 2018, Serrano and Cavazos entered pleas of guilty, admitting that they orchestrated the delivery of the cocaine to Laurel County, Kentucky for distribution.
Both men had prior federal felony drug trafficking convictions, from the Western District of Texas. Under federal law, Serrano and Cavazos must serve 85 percent of their prison sentences; and upon their release, they will be under the supervision of the United States Probation Office for eight years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; Richard Sanders, Commissioner of the Kentucky State Police; and Darrel Kilburn, Chief of the London Police Department, jointly made the announcement.
The FBI, London Police Department, and Kentucky State Police conducted the investigation. The United States was represented by Assistant United States Attorney Jenna E. Reed.
Eastern District of Kentucky U.S. Attorney’s Office Collects over 29 Million Dollars in Criminal and Civil Actions for U.S. Taxpayers in Fiscal Year 2018Read the Press Release
LEXINGTON, Ky. - U.S. Attorney Robert M. Duncan, Jr. announced today that the Eastern District of Kentucky collected $29,313,458.05 in criminal and civil actions in Fiscal Year 2018. Of this amount, $23,868,990.17 was collected in criminal actions and $5,444,467.88 was collected in civil actions.
Additionally, Eastern District of Kentucky worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $1,059,343.76 in cases pursued jointly by these offices in civil actions.
As a whole, the Justice Department collected nearly $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2018. The $14,839,821,650 in collections in FY 2018 represents is nearly seven times the appropriated $2.13 billion ($2,136,750,000) budget for the 94 U.S. Attorneys’ offices.
“The men and women of the U.S. Attorneys’ offices across the country work diligently, day in and day out, to see that the citizens of our nation receive justice. The money that we are able to recover for victims and this country as a whole is a direct result of their hard work,” Director James A. Crowell, IV, Executive Office for U.S. Attorneys.
“The Eastern District of Kentucky’s dedicated personnel, in collaboration with partners from other Department of Justice components, worked diligently to protect our citizens and to safeguard taxpayer resources,” stated United States Attorney Robert M. Duncan, Jr. “I commend their efforts in these important endeavors. As a result of their hard work, a significant amount of taxpayer dollars were recovered in last Fiscal Year.”
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, the Department of Health and Human Services, the Internal Revenue Service, the Small Business Administration and the Department of Education.
Versailles Man Convicted of Possessing Sexually Explicit Images of ChildrenRead the Press Release
LEXINGTON, Ky. – A Versailles, Kentucky man was convicted today, by a federal jury sitting in Lexington, of possessing sexually explicit photos of children.
After a brief deliberation following a two-day trial, the jury convicted 54-year-old Scott W. Sulik of one count of knowing possession of sexually explicit images of prepubescent minors.
According to the evidence presented at trial, Sulik was living in Versailles on January 10, 2018, when representatives of law enforcement searched his home for evidence relating to threatening emails that Sulik had sent to a United States Congressman. An examination of the evidence found during that search revealed that Sulik had downloaded and saved sexually explicit photos of children on a laptop and smartphone.
Sulik previously pleaded guilty to one count of cyberstalking, arising from the threats he had emailed to the Congressman. He is currently serving a 48-month term of imprisonment on that charge.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Matthew R. Verderosa, Chief of the United States Capitol Police, jointly announced the verdict. The investigation was conducted by the United States Capitol Police. The United States was represented by Assistant United States Attorney Andrew T. Boone.
Sulik will appear for sentencing on May 24, 2019. He faces a maximum of 20 years in prison. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
Tennessee Man Sentenced to 300 Months for Crossing State Line to Engage in Sex with a MinorRead the Press Release
FRANKFORT, Ky. — Billie Gene Spears, 47, of Jacksboro, Tennessee, was sentenced today to 300 months (25 Years) in federal prison, by United States District Judge Gregory F. Van Tatenhove, for crossing a state line with the intent to engage in a sexual act with a person who was under 12 years of age.
Late last year, Spears admitted that, in October of 2017, he traveled from Tennessee to Franklin County, Kentucky, with the intent to engage in a sexual act with a minor who was less than 12 years old. Spears had posted an internet ad, to which an undercover investigator with the Kentucky Attorney General’s Office responded. During the ensuing communications between the investigator and Spears, Spears unequivocally indicated that he was intending to have sex with the investigator’s fictitious 9 year-old daughter. On October 21, 2017, Spears was met by the investigator and other law enforcement officers, at a pre-arranged location in Franklin County, where he was arrested.
Under federal law, Spears must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for 20 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Richard F. Ferretti, Special Agent in Charge, United States Secret Service; and Andy Beshear, Kentucky Attorney General, jointly made the announcement.
The investigation was conducted by the U.S. Secret Service and the Cyber Crimes Branch of the Kentucky Office of Attorney General. The United States was represented by Assistant United States Attorney David A. Marye.
Williamsburg Pharmacist Convicted of Unlawful Drug DistributionRead the Press Release
LONDON, Ky. – Kimberly Jones, a Williamsburg pharmacist, was convicted last week, by a federal jury sitting in London, on seven counts of unlawful distribution of controlled substances.
Jones, 53, owned and operated Kim’s Hometown Pharmacy in Williamsburg, Kentucky, from approximately 2008 to 2018. According to the evidence at trial, Jones repeatedly filled prescriptions for significant quantities of Oxycodone and other controlled substances from a variety of out-of-state doctors. The evidence also established that Jones dispensed controlled substances to certain patients who did not have prescriptions at the time Jones dispensed the drugs. Following a six-day trial, the jury convicted Jones on seven counts of unlawfully dispensing controlled substances to patients outside the scope of professional practice and not for a legitimate medical purpose.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Christopher Evans, Special Agent in Charge, Drug Enforcement Administration; Steven D. Davis, Inspector General, Kentucky Cabinet for Health and Family Services, Office of Inspector General; and Daniel R. Levinson, Inspector General, U.S. Department of Health and Human Services, Office of Inspector General, jointly announced the jury’s verdict.
The investigation was conducted by the Drug Enforcement Administration; the Kentucky Cabinet for Health and Family Services, Office of Inspector General, Drug Enforcement and Professional Practices Branch; and the U.S. Department of Health and Human Services, Office of Inspector General. Assistant United States Attorney Andrew E. Smith represented the United States in the case.
Jones will be sentenced by U.S. District Judge Gregory Van Tatenhove. Jones faces a maximum of 20 years in prison, a fine of up to $1,000,000, and a term of supervision following the service of any sentence. The Court will consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
Detroit Man Sentenced to 156 months for Conspiracy to Distribute Fentanyl and HeroinRead the Press Release
ASHLAND, Ky. — Leonard Anthony Wright, 33, of Detroit, was sentenced Monday, to 156 months in federal prison, by United States District Judge David L. Bunning, for conspiracy to distribute 40 Grams or more of Fentanyl and conspiracy to distribute 100 Grams of more of Heroin.
In April 2017, law enforcement members of the Huntington FBI Task Force, in conjunction with the Kentucky State Police and the Ashland Police Department, seized 209 grams of fentanyl, which Wright transported from Detroit to the Tri-State area of Ashland, Huntington, W.Va., and Ironton, Ohio. In August 2017, the same law enforcement agencies sized 876 grams of heroin, which had also been transported from Detroit to the Tri-State area. In September 2018, Wright entered a plea of guilty, admitting that he orchestrated the delivery of the fentanyl and heroin.
“The defendant transported significant quantities of the deadly drugs fentanyl and heroin to the Tri-State area, and now he faces a lengthy sentence of imprisonment for his illegal actions,” said United States Attorney Robert M. Duncan, Jr. “I commend law enforcement for their coordination and cooperation during this investigation. The combined efforts of the law enforcement agencies involved helped remove substantial amounts of dangerous drugs from the streets and likely saved lives.”
Under federal law, Wright must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for four years.
U.S. Attorney Duncan; Robert Allan Jones, Special Agent in Charge of the FBI Pittsburgh; Richard Sanders, Commissioner of the Kentucky State Police; and Todd Kelley, Chief of the Ashland Police Department, jointly made the announcement.
The FBI, KSP, and Ashland Police Department conducted the investigation. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
A Tennessee Physician, Two Florida Clinic Owners, and a Kentucky Man Convicted for Roles in Tennessee-Based Pill Mill OperationRead the Press Release
LONDON, Ky. – A Tennessee doctor, two clinic owners from the Miami, FL area, and a Woodbine, KY man were convicted today by a federal jury in London on oxycodone-trafficking charges. Three defendants were also convicted of multiple counts of money laundering.
After three days of deliberations following a four-week trial, the jury convicted Timothy Gowder, 71, from Chattanooga, Tennessee, Anwar Mithavayani, 55, and Pete Tyndale, 47, clinic owners from Florida, of conspiracy to distribute oxycodone and oxymorphone. James Bradley Combs, 41, from Woodbine, Kentucky, was convicted of possession with intent to distribute oxycodone. One defendant, Gary Moore, 67, from Chattanooga, Tennessee was acquitted.
According to testimony at trial, Gowder and the clinic owners worked together to run an illicit pain clinic near Chattanooga, Tennessee, called Tennessee Pain Institute (or “TPI”), which drug addicts and drug traffickers in Kentucky and elsewhere used as their supplier. The evidence further revealed that, after the Tennessee Department of Health investigated TPI’s doctors and federal law enforcement executed a search warrant at TPI, clinic owners Tyndale and Mithavayani opened a new pain clinic in North Carolina to cater to the same Kentucky population.
Gowder was indicted in May of 2017, while Mithavayani, Tyndale, and Combs were indicted in January of 2018.
Co-defendant Larry Karr of Keavy, Kentucky, pled guilty to the drug trafficking charge in May of 2018, and was later sentenced to 108 months in federal prison.
“Prosecuting the unlawful distribution of opioids by medical professionals is a foremost priority of the Department of Justice and our Office,” said United States Attorney Robert M. Duncan, Jr. “The defendants contributed to the opioid crisis that is ruining lives in our District and throughout the Nation. I commend the law enforcement agencies involved for their thorough investigation, which ultimately resulted in the jury’s verdict that holds these defendants accountable for their actions.”
U.S. Attorney Duncan; Special Agent in Charge D. Christopher Evans of the Drug Enforcement Administration’s Louisville Field Division; Special Agent in Charge Matthew Line of the Internal Revenue Service, Criminal Investigation Division; Andy Beshear, Kentucky Attorney General; and Richard W. Sanders, Commissioner of Kentucky State Police jointly announced the convictions.
The investigation was conducted by the DEA, the IRS, and the Kentucky Attorney’s General Office and the KSP. The U.S. Attorney’s Office was represented in the case by Assistant U.S. Attorney Gregory Rosenberg.
The Court will set a date for the defendants to appear for sentencing. Combs faces a maximum sentence of 20 years in prison, Gowder faces up to 40 years, while Mithavayani and Tyndale face up to 120 and 130 years in prison, respectively. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
Lexington Man Found Guilty of Conspiracy and Attempted Possession of MarijuanaRead the Press Release
LEXINGTON, Ky. — Brandon Hayden, 37, of Lexington, was found guilty today, by a federal jury, of conspiracy to possess with the intent to distribute 50 kilograms or more of marijuana and attempt to possess with the intent to distribute 50 kilograms or more of marijuana.
The jury returned the verdict after a 2-day trial. The evidence established that on July 17, 2018, Hayden was at the Love’s truck stop in Richmond, Kentucky to meet an anticipated delivery of 200 pounds of marijuana. Earlier in the month, Hayden had received multiple photographs of bags and bales of marijuana buds on his cellular telephone, with texts indicating that marijuana was on its way to him. On July 17, 2018, the marijuana was being hauled in multiple duffle bags, inside the cab of a tractor-trailer that had picked up the marijuana from El Paso, Texas and South Carolina. Hayden met Vincent Raglin, a co-defendant who pleaded guilty to the conspiracy, in the parking lot of the truck stop. Hayden and Raglin then drove to the spot where the tractor-trailer was parked. After Raglin got out of his vehicle and collected the first duffle bag, the two were arrested. The total weight of the marijuana was 91.9 kilograms.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Christopher Evans, Special Agent in Charge, Drug Enforcement Administration; Richard Sanders, Commissioner, Kentucky State Police; and Charles Matthews, Chief of Police, Pineville Police Department, jointly announced the jury’s verdict.
Hayden is currently scheduled to appear for sentencing, in Lexington, on May 13, 2019 at 10:30 a.m. Hayden faces a maximum prison sentence of 30 years. However, his sentence will be imposed by the Court after consideration of the United States Sentencing Guidelines and the federal statute governing the imposition of sentences.
The investigation was conducted by the Drug Enforcement Administration, Kentucky State Police, and the Pineville Police Department.
Youngstown, Ohio Man Sentenced for Interfering with Flight AttendantRead the Press Release
COVINGTON, Ky. - A Youngstown, Ohio, man who previously admitted to striking a flight attendant while in flight on an aircraft was sentenced today to 31 days in custody, followed by seven months of home detention. U.S. District Court Judge David Bunning sentenced 24-year-old Donald Zuppo, Jr., for interference with a flight attendant.
According to Zuppo’s plea agreement, he was on a flight, from Phoenix to Cleveland on March 20, 2018, when he became agitated and struck a flight attendant with his fist. Zuppo’s actions caused the flight crew to divert the aircraft for a landing at the Cincinnati/Northern Kentucky International Airport.
In addition to the terms of imprisonment and home detention, Zuppo was ordered to pay restitution to the flight attendant and will be under the supervision of the U.S. Probation Office for two years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation, jointly announced the sentence. The investigation preceding the indictment was conducted by the FBI. The U.S. Attorney’s Office was represented by Assistant U.S. Attorney Andrew T. Boone.
United States and International Law Enforcement Dismantle Online Organized Crime Ring Operating out of Romania that Victimized Thousands of U.S. ResidentsRead the Press Release
According to court documents unsealed today, 20 people, including 16 foreign nationals, have been charged for their roles in an international organized crime group that defrauded American victims through online auction fraud causing millions of dollars in losses.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Robert M. Duncan, Jr. of the Eastern District of Kentucky, Director Randolph D. Alles of the U.S. Secret Service (USSS), Commissioner Richard W. Sanders of the Kentucky State Police, Chief of Police Lawrence Weathers of the Lexington Police Department, Chief Don Fort of IRS Criminal Investigation and Inspector in Charge Tommy Coke of the U.S. Postal Inspection Service Pittsburgh Division made the announcement.
“The defendants allegedly orchestrated a highly organized and sophisticated scheme to steal money from unsuspecting victims in America and then launder their funds using cryptocurrency,” said Assistant Attorney General Benczkowski. “As the charges and arrests announced today demonstrate, the Criminal Division and our law enforcement partners will vigorously pursue cybercriminals who defraud the American public, regardless of where those criminals may reside.”
“This prosecution stems from a multi-year investigation initiated in Kentucky led by the U.S. Secret Service, in cooperation with several local, state, federal, and international law enforcement partners,” said U.S. Attorney Duncan. “Cooperation of this kind is essential, if we are to be effective in disrupting organized cybercrime, which costs victims from across the United States millions of dollars and has become an increasingly prevalent means for criminals to prey on the public. I commend the exceptional work done by our law enforcement partners, and we are proud to join this cooperative effort to combat cyber fraud schemes.”
“Today’s announcement demonstrates the success of the collaborative efforts of our worldwide network of law enforcement partners. It sends a powerful message and demonstrates the transnational investigative capabilities of the Secret Service,” said Secret Service Director Randolph “Tex” Alles. “This is a shared win for law enforcement across the globe. I would like to thank the more than a dozen law enforcement agencies worldwide who helped us investigate this case, each played a vital role in its success.”
On July 5, 2018, a federal grand jury in Lexington, Kentucky returned a 24-count indictment charging 15 foreign nationals with RICO conspiracy, wire fraud conspiracy, money laundering conspiracy, and aggravated identity theft. Those charged include Andrei-Cătălin Stoica, 28, of Romania; Victor-Aurel Grama, 29, of Romania; Liviu-Sorin Nedelcu, 33, of Romania; Ionuţ Ciobanu, 28, of Romania; Marius-Dorin Cernat, 35, of Romania; Alexandru Ion, 30, of Romania; Ştefan-Alexandru Păiuşi, 33, of Romania; Eugen-Alin Badea, 34, of Romania; Cristişor Olteanu, 31, of Romania; Adrian Mitan, 34, of Romania; Bogdan-Ştefan Popescu, 29, of Romania; Florin Arvat, 24, of Romania; Alin-Ionuţ Dobrică, 26, of Romania; Vlad-Călin Nistor, 31, of Romania, and Rossen Iossifov, 51, of Bulgaria. On Feb. 6, a federal grand jury in Lexington returned an 11-count indictment charging an additional foreign national and four Americans for their roles in the criminal enterprise. Those charged include Beniamin-Filip Ologeanu, 29, of Alexandria, Romania; Austin Edward Nedved, 27, of Northborough, Massachusetts; Dimitrious Antoine Brown, 37, of Macon, Georgia and Rashawd Lamar Tulloch, 30, of Newnan, Georgia. Andrew Gilbert Ybarra II, 25, of Patterson, California, was also charged with conspiracy to commit money laundering. In all, 15 Romanian nationals and one Bulgarian national were charged in these two indictments. Of these, 12 have been extradited to the United States and are awaiting trials, which are currently set for June 18, 2019 and Aug. 7, 2019.
The indictment alleges that these defendants participated in a criminal conspiracy primarily located in Alexandria, Romania that engaged in a large-scale scheme of online auction fraud. Specifically, Romania-based members of the conspiracy and their associates posted false advertisements to popular online auction and sales websites—such as Craigslist and eBay—for high-cost goods (typically vehicles) that did not actually exist. According to the indictment, these members would convince American victims to send money for the advertised goods by crafting persuasive narratives, for example, by impersonating a military member who needed to sell the advertised item before deployment. The members of the conspiracy are alleged to have created fictitious online accounts to post these advertisements and communicate with victims, often using the stolen identities of Americans to do so. They are alleged to have delivered invoices to the victims bearing trademarks of reputable companies in order to make the transactions appear legitimate. Once victims were convinced to send payment, the indictment alleges that the conspiracy engaged in a complicated money laundering scheme wherein domestic associates would accept victim funds, convert these funds to cryptocurrency, and transfer proceeds in the form of cryptocurrency to foreign-based associates. The indictment alleges that these foreign-based money launderers include Vlad-Călin Nistor, who owns Coinflux Services SRL, and Rossen Iossifov, who owns R G Coins. According to the indictment, Nistor and Iossifov exchanged cryptocurrency into local fiat currency on behalf of the Romania-based members of the conspiracy, knowing that they were exchanging bitcoin that represented the proceeds of fraud.
Some of the fraud schemes alleged in the indictments include:
- Nedelcu persuaded victims to send money for the advertised goods by creating fictitious but legitimate sounding entities through which he purported to sell vehicles. For example, he used email address, [email protected], belonging to Aol Autos, to communicate with victims by email with subject lines like, “America Online Autos Financial Department [Order # 099106592090].” The email would contain messages appearing to be legitimate invoices for payment for the advertised item purported to be sold.
- Ciobanu and his coconspirators used the email address [email protected] to communicate with victims about the sale of vehicles, signing the emails as “Sgt. Judith Lane,” and created a Facebook profile for Judith Lane, who was depicted as a member of the Air Force. Ciobanu, acting as “Judith Lane,” also posted two Facebook advertisements for the sale of automobiles.
- Cernat and his coconspirators sent victims invoices that appeared to be from eBay Motors and provided an eBay Motors Support Department phone number and email address of [email protected]. These invoices provided instructions for payment and included reassuring language for secure transactions, such as, “Through OneVanilla Prepaid Visa services we can guarantee you 100 percent protection and insurance in this transaction. eBay Payments will secure the payment until the buyer receives, inspects, and accepts the item. Or, if it will be the case, eBay will refund the payment to the buyer.”
- Păiuşi also convinced victims to send money for the advertised goods by sending them invoices for payment that appeared legitimate. … [One such] invoice appeared to be sent from “eBayTM Buyer Protection,” provided the victim with an email address for questions, described the seller as a “certified eBayTM third-party seller,” and explained that the buyer will be refunded if he or she refuses the merchandise.
- The coconspirators then communicated with the victims via email, often signing their emails by posing as a member of the military, like “Sgt. Logan Burdick.” Other emails purported to be from the online auction company, like eBay. The emails often communicated convincing information about the item being sold and the reason payment was required before shipping or viewing the item.
Adrian Mitan, who was charged in the July 5, 2018 indictment, was also charged in a separate indictment unsealed today with money laundering offenses arising from a credit card phishing and brute-force attack scheme, likewise designed to steal money from Americans. The indictment explains that phishing is an attempt to acquire personal information by masquerading as a trustworthy entity through electronic communications, and brute force is a cryptological trial-and-error methodology used to obtain information such as personal identification numbers for credit cards. Mitan allegedly phished for credit/debit card information of U.S. customers, hacked into the electronic systems of American businesses, and then conducted a brute force attack on their point-of-sale systems for the purpose of stealing the remaining credit/debit card information. According to the indictment, Mitan then directed American money launderers to create “dummy” credit/debit cards with the stolen information, which were used to extract money from the customers’ accounts. These fraudulent proceeds were then returned to Mitan in the form of bitcoin.
The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Forces (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2). Assistance was provided by the Romanian National Police (Service for Combating Cybercrime) and the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime). The Justice Department’s Office of International Affairs provided significant support with the defendants’ extradition. This case is being prosecuted by Assistant U.S. Attorneys Kathryn M. Anderson and Kenneth R. Taylor of the Eastern District of Kentucky and Senior Trial Attorney Timothy Flowers and Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section with assistance from the Criminal Division’s Money Laundering and Asset Recovery Section.
Individuals believing they may be victims of the advanced fee and online auction fraud or brute-force attack schemes described herein are encouraged to visit the following website to obtain more information: https://justice.gov/usao-edky/information-victims-large-cases. Tips to avoid becoming a victim of online auction fraud can be found here on the U.S. Secret Service’s website.
For the RICO conspiracy and wire fraud conspiracy charges, each defendant faces up to 20 years in prison, a fine of $250,000, and three years of supervised release. The same penalties apply to the money laundering conspiracy charges, except that the fine may be up to $500,000. Additionally, if convicted of identity theft, Brown faces a term of 15 years in prison, a fine of $250,000, and three years of supervised release, and if convicted of aggravated identity theft, those charged face a mandatory-minimum sentence of two years in prison, to be served consecutive to any term of imprisonment ordered for the other counts of conviction. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal statutes.
The charges in the indictment are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States and International Law Enforcement Dismantle Online Organized Crime Ring Operating Out of Romania That Victimized Thousands of U.s. ResidentsRead the Press Release
Twelve Foreign Nationals Extradited to the United States
WASHINGTON – According to court documents unsealed today, 20 people, including 16 foreign nationals, have been charged for their roles in an international organized crime group that defrauded American victims through online auction fraud causing millions of dollars in losses.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Robert M. Duncan, Jr. of the Eastern District of Kentucky, Director Randolph D. Alles of the U.S. Secret Service (USSS), Commissioner Richard W. Sanders of the Kentucky State Police, Chief of Police Lawrence Weathers of the Lexington Police Department, Chief Don Fort of IRS Criminal Investigation and Inspector in Charge Tommy Coke of the U.S. Postal Inspection Service Pittsburgh Division made the announcement.
“The defendants allegedly orchestrated a highly organized and sophisticated scheme to steal money from unsuspecting victims in America and then launder their funds using cryptocurrency,” said Assistant Attorney General Benczkowski. “As the charges and arrests announced today demonstrate, the Criminal Division and our law enforcement partners will vigorously pursue cybercriminals who defraud the American public, regardless of where those criminals may reside.”
“This prosecution stems from a multi-year investigation initiated in Kentucky led by the U.S. Secret Service, in cooperation with several local, state, federal, and international law enforcement partners,” said U.S. Attorney Duncan. “Cooperation of this kind is essential, if we are to be effective in disrupting organized cybercrime, which costs victims from across the United States millions of dollars and has become an increasingly prevalent means for criminals to prey on the public. I commend the exceptional work done by our law enforcement partners, and we are proud to join this cooperative effort to combat cyber fraud schemes.”
“Today’s announcement demonstrates the success of the collaborative efforts of our worldwide network of law enforcement partners. It sends a powerful message and demonstrates the transnational investigative capabilities of the Secret Service,” said Secret Service Director Randolph “Tex” Alles. “This is a shared win for law enforcement across the globe. I would like to thank the more than a dozen law enforcement agencies worldwide who helped us investigate this case, each played a vital role in its success.”
On July 5, 2018, a federal grand jury in Lexington, Kentucky returned a 24-count indictment charging 15 foreign nationals with RICO conspiracy, wire fraud conspiracy, money laundering conspiracy, and aggravated identity theft. Those charged include Andrei-Cătălin Stoica, 28, of Romania; Victor-Aurel Grama, 29, of Romania; Liviu-Sorin Nedelcu, 33, of Romania; Ionuţ Ciobanu, 28, of Romania; Marius-Dorin Cernat, 35, of Romania; Alexandru Ion, 30, of Romania; Ştefan-Alexandru Păiuşi, 33, of Romania; Eugen-Alin Badea, 34, of Romania; Cristişor Olteanu, 31, of Romania; Adrian Mitan, 34, of Romania; Bogdan-Ştefan Popescu, 29, of Romania; Florin Arvat, 24, of Romania; Alin-Ionuţ Dobrică, 26, of Romania; Vlad-Călin Nistor, 31, of Romania, and Rossen Iossifov, 51, of Bulgaria. On Feb. 6, a federal grand jury in Lexington returned an 11-count indictment charging an additional foreign national and four Americans for their roles in the criminal enterprise. Those charged include Beniamin-Filip Ologeanu, 29, of Alexandria, Romania; Austin Edward Nedved, 27, of Northborough, Massachusetts; Dimitrious Antoine Brown, 37, of Macon, Georgia and Rashawd Lamar Tulloch, 30, of Newnan, Georgia. Andrew Gilbert Ybarra II, 25, of Patterson, California, was also charged with conspiracy to commit money laundering. In all, 15 Romanian nationals and one Bulgarian national were charged in these two indictments. Of these, 12 have been extradited to the United States and are awaiting trials, which are currently set for June 18, 2019 and Aug. 7, 2019.
The indictment alleges that these defendants participated in a criminal conspiracy primarily located in Alexandria, Romania that engaged in a large-scale scheme of online auction fraud. Specifically, Romania-based members of the conspiracy and their associates posted false advertisements to popular online auction and sales websites—such as Craigslist and eBay—for high-cost goods (typically vehicles) that did not actually exist. According to the indictment, these members would convince American victims to send money for the advertised goods by crafting persuasive narratives, for example, by impersonating a military member who needed to sell the advertised item before deployment. The members of the conspiracy are alleged to have created fictitious online accounts to post these advertisements and communicate with victims, often using the stolen identities of Americans to do so. They are alleged to have delivered invoices to the victims bearing trademarks of reputable companies in order to make the transactions appear legitimate. Once victims were convinced to send payment, the indictment alleges that the conspiracy engaged in a complicated money laundering scheme wherein domestic associates would accept victim funds, convert these funds to cryptocurrency, and transfer proceeds in the form of cryptocurrency to foreign-based associates. The indictment alleges that these foreign-based money launderers include Vlad-Călin Nistor, who owns Coinflux Services SRL, and Rossen Iossifov, who owns R G Coins. According to the indictment, Nistor and Iossifov exchanged cryptocurrency into local fiat currency on behalf of the Romania-based members of the conspiracy, knowing that they were exchanging bitcoin that represented the proceeds of fraud.
Some of the fraud schemes alleged in the indictments include:
- Nedelcu persuaded victims to send money for the advertised goods by creating fictitious but legitimate sounding entities through which he purported to sell vehicles. For example, he used email address, [email protected], belonging to Aol Autos, to communicate with victims by email with subject lines like, “America Online Autos Financial Department [Order # 099106592090].” The email would contain messages appearing to be legitimate invoices for payment for the advertised item purported to be sold.
- Ciobanu and his coconspirators used the email address [email protected] to communicate with victims about the sale of vehicles, signing the emails as “Sgt. Judith Lane,” and created a Facebook profile for Judith Lane, who was depicted as a member of the Air Force. Ciobanu, acting as “Judith Lane,” also posted two Facebook advertisements for the sale of automobiles.
- Cernat and his coconspirators sent victims invoices that appeared to be from eBay Motors and provided an eBay Motors Support Department phone number and email address of [email protected]. These invoices provided instructions for payment and included reassuring language for secure transactions, such as, “Through OneVanilla Prepaid Visa services we can guarantee you 100 percent protection and insurance in this transaction. eBay Payments will secure the payment until the buyer receives, inspects, and accepts the item. Or, if it will be the case, eBay will refund the payment to the buyer.”
- Păiuşi also convinced victims to send money for the advertised goods by sending them invoices for payment that appeared legitimate. … [One such] invoice appeared to be sent from “eBayTM Buyer Protection,” provided the victim with an email address for questions, described the seller as a “certified eBayTM third-party seller,” and explained that the buyer will be refunded if he or she refuses the merchandise.
- The coconspirators then communicated with the victims via email, often signing their emails by posing as a member of the military, like “Sgt. Logan Burdick.” Other emails purported to be from the online auction company, like eBay. The emails often communicated convincing information about the item being sold and the reason payment was required before shipping or viewing the item.
Adrian Mitan, who was charged in the July 5, 2018 indictment, was also charged in a separate indictment unsealed today with money laundering offenses arising from a credit card phishing and brute-force attack scheme, likewise designed to steal money from Americans. The indictment explains that phishing is an attempt to acquire personal information by masquerading as a trustworthy entity through electronic communications, and brute force is a cryptological trial-and-error methodology used to obtain information such as personal identification numbers for credit cards. Mitan allegedly phished for credit/debit card information of U.S. customers, hacked into the electronic systems of American businesses, and then conducted a brute force attack on their point-of-sale systems for the purpose of stealing the remaining credit/debit card information. According to the indictment, Mitan then directed American money launderers to create “dummy” credit/debit cards with the stolen information, which were used to extract money from the customers’ accounts. These fraudulent proceeds were then returned to Mitan in the form of bitcoin.
The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Forces (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2). Assistance was provided by the Romanian National Police (Service for Combating Cybercrime) and the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime). The Justice Department’s Office of International Affairs provided significant support with the defendants’ extradition. This case is being prosecuted by Assistant U.S. Attorneys Kathryn M. Anderson and Kenneth R. Taylor of the Eastern District of Kentucky and Senior Trial Attorney Timothy Flowers and Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section with assistance from the Criminal Division’s Money Laundering and Asset Recovery Section.
Individuals believing they may be victims of the advanced fee and online auction fraud or brute-force attack schemes described herein are encouraged to visit the following website to obtain more information: https://justice.gov/usao-edky/information-victims-large-cases. Tips to avoid becoming a victim of online auction fraud can be found here on the U.S. Secret Service’s website.
For the RICO conspiracy and wire fraud conspiracy charges, each defendant faces up to 20 years in prison, a fine of $250,000, and three years of supervised release. The same penalties apply to the money laundering conspiracy charges, except that the fine may be up to $500,000. Additionally, if convicted of identity theft, Brown faces a term of 15 years in prison, a fine of $250,000, and three years of supervised release, and if convicted of aggravated identity theft, those charged face a mandatory-minimum sentence of two years in prison, to be served consecutive to any term of imprisonment ordered for the other counts of conviction. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal statutes.
The charges in the indictment are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
- Nedelcu persuaded victims to send money for the advertised goods by creating fictitious but legitimate sounding entities through which he purported to sell vehicles. For example, he used email address, [email protected], belonging to Aol Autos, to communicate with victims by email with subject lines like, “America Online Autos Financial Department [Order # 099106592090].” The email would contain messages appearing to be legitimate invoices for payment for the advertised item purported to be sold.
Lexington Man Sentenced to 188 Months for Conspiracy to Distribute Cocaine and Money LaunderingRead the Press Release
LEXINGTON, Ky. — Eric D. James, 32, of Lexington, was sentenced yesterday to 188 months in federal prison, by United States District Judge Danny C. Reeves, for conspiracy to distribute more than five kilograms of cocaine and money laundering. Reeves also ordered James to pay a fine of $2,000 and ordered the forfeiture of his interest in $586,369 in cash.
James previously admitted that, in early January 2017, he engaged in a conspiracy to obtain large quantities of cocaine from the southwest United States. Shipments of these drugs were made by passenger vehicle, with the drugs concealed in various compartments within the vehicles. The drugs were then transported to Lexington. The proceeds from the distribution of these drugs were returned to the source. On May 18, 2017, the Lexington Police stopped a vehicle carrying approximately 6 kilograms of cocaine. On June 12, 2017, a search warrant was executed at the residence of James’ co-defendant, Ansar McIver. Law enforcement seized a quantity of cocaine and approximately $586,369, which were proceeds from the drug distribution.
James had previously been convicted of a drug trafficking felony, in Indiana, and Possession of Cocaine, in Kentucky. James was on parole for drug trafficking at the time he committed these offenses. James pleaded guilty in September 2018.
Under federal law, James must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for ten years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James (Robert) Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; Richard Sanders, Commissioner of the Kentucky State Police; and Chief Lawrence Weathers, of Lexington Police Department, jointly made the announcement.
The investigation was conducted by the FBI (Lexington and San Diego), the Kentucky State Police, and the Lexington Police Department. The United States was represented by Assistant United States Attorney Roger W. West.
Cincinnati Man Convicted of Conspiracy to Possess with Intent to Distribute Controlled SubstancesRead the Press Release
COVINGTON, Ky. – Trontez Mahaffey, a Cincinnati man, was convicted today by a federal jury in Covington for conspiring with Tyra Nelson, also from Cincinnati, and others, to possess with the intent to distribute marijuana and methamphetamine, which they transported in their luggage from Phoenix, Arizona to the Cincinnati/Northern Kentucky International Airport on September 8, 2017.
After slightly under one hour of deliberations following a three day trial, the jury convicted 23 year old Trontez Mahaffey of the conspiracy charge and two substantive charges of possession with the intent to distribute 80 pounds of marijuana and four pounds of crystal methamphetamine.
According to testimony at trial, Mahaffey and Nelson were drug couriers for a drug organization with connections in Evansville, Indiana and Phoenix, Arizona. They had made approximately five prior trips transporting controlled substances to the Cincinnati/Northern Kentucky International Airport from Phoenix, Arizona and paid approximately $1,500 each time. Tyra Nelson, age 21, was charged in the same indictment, and pleaded guilty prior to trial.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), and Shawn Ward, Chief, Airport Police Department jointly announced the conviction.
The investigation was conducted by the DEA and the Airport Police Department. The United States was represented by Assistant United States Attorney Laura K. Voorhees.
Mahaffey will appear for sentencing on March 9, 2019, and Nelson will appear for sentencing April 4, 2019. They each face a mandatory minimum sentence of ten years in prison due to the quantity of methamphetamine involved. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
Richmond Man Sentenced to 15 Years for Armed Drug TraffickingRead the Press Release
LEXINGTON, Ky. — Dewayne Thomas Farmer, 34, of Richmond, Kentucky, was sentenced yesterday to 15 years in federal prison, by Chief United States District Judge Karen K. Caldwell, for possession with the intent to distribute methamphetamine, possession of firearms in furtherance of the drug distribution, and possession of firearms by a convicted felon.
During his guilty plea, Farmer admitted that, on June 27, 2017, law enforcement executed a search warrant at his Richmond apartment. During the search warrant, officers seized more than 220 grams of methamphetamine, which was in close proximity to two shotguns.
Farmer confirmed that he had traded drugs for the shotguns located in his apartment, that he kept the shotguns for protection, and that he intended to sell the methamphetamine. The value of the seized drugs exceeded $20,000.
Under federal law, Farmer must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for eight years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge of the ATF; Christopher Evans, Special Agent in Charge of the DEA; and James Ebert, Chief of the Richmond Police Department jointly made the announcement.
The investigation was conducted by the ATF, DEA, and Richmond Police Department. The United States was represented by Assistant United States Attorney Roger W. West.
Lexington Man Sentenced to 84 Months for Trafficking in FentanylRead the Press Release
LEXINGTON, Ky. — Byron White, 38, of Lexington, was sentenced yesterday to 84 months in federal prison, by Chief United States District Judge Karen K. Caldwell, for conspiracy to distribute Fentanyl.
White previously admitted that he conspired with another person to distribute fentanyl in Lexington, between November 1, 2017 and March 18, 2018. White further admitted that he distributed heroin and more than 40 grams of fentanyl, in Lexington, during that time. White has a prior felony conviction for trafficking in cocaine, from Fayette County. White pleaded guilty to the charges in August.
Under federal law, White must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for eight years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge of the FBI; and Richard Sanders, Commissioner of the Kentucky State Police jointly made the announcement.
The investigation was conducted by the FBI and KSP. The United States was represented by Assistant United States Attorney Roger W. West.
Four Sentenced this Week for Conspiring to Distribute HeroinRead the Press Release
COVINGTON, Ky. – Courtney Webster, 34, of Cincinnati; Jonathan Stanley, 34, of Cincinnati; Keith Johnson, 35, of Alexandria, Kentucky; and Michael Boone, 45, of Newport, Kentucky, were sentenced this week, by United States District Judge David L. Bunning, for conspiring to distribute heroin. On Tuesday, Webster was sentenced to 240 months in federal prison and Stanley was sentenced to 51 months. Today, Johnson was sentenced to 90 months in federal prison and Boone was sentenced to 90 months.
Webster was convicted of leading the conspiracy, which included the other defendants and was responsible for distributing over a kilogram of heroin in Northern Kentucky and Cincinnati, from November 2016 through April 2018. Court documents established that Webster distributed heroin himself, and directed others who were selling heroin that he supplied. They also established that, during the course of the investigation, law enforcement agents conducted over 20 controlled buys of heroin from conspiracy members.
All four were indicted in April 2018 and entered guilty pleas. Under federal law, each defendant must serve at least 85 percent of their prison sentence; and following their release, they will be under the supervision of the United States Probation Office for an additional term.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; and Robert Nader, Chief of the Covington Police Department, jointly made the announcement. The investigation was conducted by the FBI and the Covington Police Department. The United States was represented by Assistant United States Attorney Tony Bracke.
Falmouth Man Sentenced to 360 Months for Conspiring to Distribute MethamphetamineRead the Press Release
COVINGTON, Ky. – Gregory Sydnor, 30, of Falmouth, Kentucky, was sentenced today to 360 months in federal prison, by United States District Judge David L. Bunning, for conspiring to distribute methamphetamine. Sydnor was also sentenced to 10 years of supervised release, to be served after completion of his prison term.
Sydnor was convicted of leading a conspiracy that was responsible for distributing more than 1.5 kilograms of crystal methamphetamine, in 2017. Crystal methamphetamine is an extremely pure form of methamphetamine commonly brought to this area from Mexico and communities along the southwest border of the United States. Court documents established that Sydnor regularly distributed methamphetamine to other traffickers and sold methamphetamine to minors. Sydnor, and other members of the conspiracy, also possessed firearms while selling the drugs. Agents seized ten firearms and a large amount of ammunition during the course of the investigation. Sydnor had five prior felony convictions.
Sydnor was indicted in November 2017 along with other members of his conspiracy. All entered guilty pleas. William Todd Ramsey was sentenced to 120 months in federal prison and Sterling T. Cole was sentenced to 157 months in prison, in November 2018. Nathaniel Hughes was sentenced to 37 months in prison in September 2018. Under federal law, each Defendant must serve at least 85 percent of their prison sentence.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration; Richard Sanders, Commissioner of the Kentucky State Police; and Charles Peoples, Pendleton County Sheriff, jointly made the announcement. The investigation was conducted by the DEA, the Kentucky State Police, and the Pendleton County Sheriff’s Department. The United States was represented by Assistant United States Attorney Tony Bracke.
London Physician Sentenced to Four Years for Tax CrimesRead the Press Release
LONDON, Ky. — Dr. Werner Grentz, 69, of London, Kentucky, was sentenced on Wednesday by United States District Judge Gregory F. Van Tatenhove to three years in federal prison, for falsely reporting his income as $0 on tax documents presented to the Internal Revenue Service for tax years 2011-2015, and for corruptly interfering with the IRS’ attempts to administer the tax laws. Dr. Grentz was also sentenced to an additional year in prison, for violations of the terms of his supervised release on a 2013 tax fraud conviction. This one-year prison term will run consecutively to Dr. Grentz’s three-year sentence, for a total of four years in prison.
Dr. Grentz was convicted in February 2018, following a jury trial in London. According to the evidence at trial, Dr. Grentz submitted false Form 1040X and Form 1040NR documents to the IRS, claiming to have received $0 in income during the years 2011, 2012, 2013, 2014, and 2015, when in fact Dr. Grentz earned $726,148 during that time period. The IRS determined that Dr. Grentz owed taxes of $237,860 on that income which he failed to report or pay. Dr. Grentz also took steps to impede collection efforts by the IRS and county clerks.
This was not Dr. Grentz’s first conviction for tax crimes. In 2014, Dr. Grentz was convicted of tax evasion, for willfully failing to pay more than $900,000 in taxes to the IRS. He was sentenced to 18 months in prison for that tax offense, and while he was on supervised release for the 2014 offense, committed the new tax crimes that resulted in his 2018 conviction. It was a violation of the terms of his supervised release to commit new federal crimes, and that violation resulted in the additional year of prison time.
In addition to his prison sentence, Dr. Grentz was ordered to pay restitution to the IRS of $237,860. He owes more than a million dollars in unpaid taxes to the IRS.
Under federal law, Grentz must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for a term of one year.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Ryan Lerner, Special Agent in Charge, IRS Criminal Investigation Cincinnati Field Office, jointly made the announcement.
The investigation was conducted by the IRS Criminal Investigation Division. The United States was represented by Assistant United States Attorneys Paul McCaffrey and Neeraj Gupta.
Georgia Man Sentenced to 276 Months for Drug Trafficking and Armed KidnappingRead the Press Release
LONDON, Ky. – Omar Davis, 38, of Moultrie, Georgia, was sentenced yesterday to 276 months in federal prison, by United States District Judge Gregory F. Van Tatenhove, for conspiracy to distribute methamphetamine, brandishing a firearm during a drug trafficking crime, and kidnapping.
From December 2014 through March 2016, Davis ran a drug-trafficking operation that distributed pound quantities of methamphetamine in and around the Laurel County area. On March 8, 2016, Davis held two people at gunpoint over a dispute about proceeds from drug sales. Davis pleaded guilty to the drug-trafficking, firearm, and kidnapping charges.
Under federal law, Davis must serve 85 percent of his prison sentence. Upon his release, he will be under the supervision of the United States Probation Office for five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Special Agent in Charge D. Christopher Evans of the Drug Enforcement Administration’s Louisville Field Division; and Richard Sanders, Commissioner of the Kentucky State police, jointly announced the sentence.
The DEA and the Kentucky State Police conducted the investigation. The United States was represented by Assistant United States Attorney Greg Rosenberg.
This case is part of Project Safe Neighborhoods (PSN) which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Lexington Man Sentenced to 43 Months for Trafficking in FentanylRead the Press Release
LEXINGTON, Ky. — Marvin Lee Foxx, 50, of Lexington, was sentenced Friday, to 43 months federal in prison, by United States District Judge Danny C. Reeves, for possession with intent to distribute fentanyl.
In April 2018, the Lexington Police Department executed a search warrant at Foxx’s Lexington residence, locating 28 grams of fentanyl, two grams of cocaine, and a firearm. On September 7, 2018, Foxx entered a guilty plea, admitting to possession with intent to distribute the fentanyl. Foxx has a prior conviction, for a conspiracy to distribute crack cocaine, from the United States District Court, Eastern District of Kentucky, from 2008.
Under federal law, Foxx must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for six years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge of the ATF Louisville Field Division; and Lawrence Weathers, Chief of the Lexington Police Department, jointly made the announcement.
The ATF and the Lexington Police Department conducted the investigation. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The PSN program was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Lexington Man Sentenced to 190 Months for Armed Heroin TraffickingRead the Press Release
LEXINGTON, Ky. — Andre Stackhouse, 47, of Lexington, was sentenced Friday, to 190 months in federal prison, by United States District Judge Danny C. Reeves, for possession with intent to distribute heroin, possession of a firearm in furtherance of drug trafficking, and possession of a firearm by a convicted felon.
In January 2018, detectives with the Lexington Police Department executed a search warrant at Stackhouse’s Lexington residence, locating 244 grams of a heroin/fentanyl mix and two firearms. Stackhouse was arrested and admitted to the distribution of heroin and to possessing the firearms for protection during his drug trafficking. Stackhouse has six prior felony convictions, including drug trafficking, from Chicago.
Under federal law, Stackhouse must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for eight years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge of the ATF Louisville Field Division; and Lawrence Weathers, Chief of the Lexington Police Department, jointly made the announcement.
The ATF and the Lexington Police Department conducted the investigation. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The PSN program was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Detroit Man Sentenced to 60 Months for Trafficking in FentanylRead the Press Release
LEXINGTON, Ky. — Trenton A. Shell, 24, of Detroit, was sentenced Friday, to 60 months in federal prison, by United States District Judge Danny C. Reeves, for possession with intent to distribute fentanyl.
In April 2018, detectives with the Lexington Police Department executed a search warrant at Shell’s Lexington residence, locating 49 grams of a fentanyl. Detectives also located ten grams of fentanyl concealed in Shell’s clothing. On August 31, 2018, Shell entered a guilty plea to possession with intent to distribute the fentanyl.
Under federal law, Shell must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for four years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; D. Christopher Evans, Special Agent in Charge of the DEA Louisville Field Division; and Lawrence Weathers, Chief of the Lexington Police Department, jointly made the announcement.
The DEA and the Lexington Police Department conducted the investigation. The United States was represented by Assistant United States Attorney Cynthia T. Rieker.
Methamphetamine Supplier from Honduras Sentenced to 198 MonthsRead the Press Release
LONDON, Ky. — Wilmer Caballero-Lazo, 26, was sentenced Tuesday, to 198 months in federal prison, by United States District Judge Gregory F. Van Tatenhove, for conspiracy to distribute methamphetamine. Caballero-Lazo is a citizen of Honduras.
Caballero-Lazo pleaded guilty to the methamphetamine charges in May of 2018. The investigation began as a search for stolen firearms and revealed that, between May of 2015 and September of 2016, Caballero-Lazo regularly delivered kilogram quantities of methamphetamine to large-scale drug dealers in the Laurel and Whitley County communities, including Brian Ellis, Richard Walker, Dustin Higginbotham, Michael Shane McCormick, Jr., and Lindsey Johnson. Each of those individuals have previously received federal sentences in connection with their criminal conduct.
Under federal law, Caballero-Lazo must serve 85 percent of his prison sentence. Caballero-Lazo will be deported back to Honduras following service of his sentence.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge for the Louisville Field Division; and Chris Fultz, Manchester Police Chief, jointly made the announcement. The Drug Enforcement Administration, Kentucky State Police, London Police Department, Laurel County Sheriff’s Office, Corbin Police Department, and the Marietta Cobb Smyrna Task Force in Georgia also assisted in the investigation. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
Louisville Man Sentenced to Eight Years for Distributing MethamphetamineRead the Press Release
COVINGTON, Ky. — Jamel Clay, 24, of Louisville, Kentucky, was sentenced on Thursday, by United States District Judge David Bunning, to eight years in federal prison, for possession with the intent to distribute Methamphetamine.
Clay was indicted in May 2018 and pled guilty in August 2018. According to court documents, Clay supplied approximately ten pounds of methamphetamine to a co-defendant, Michael Hager, over a period of several months. Hager, a Covington resident, was responsible for distributing the methamphetamine in Northern Kentucky. Agents arrested Hager in possession of approximately eight ounces of methamphetamine and a loaded firearm, on March 1, 2018. Agents arrested Clay in possession of approximately 15 ounces of methamphetamine, on March 12, 2018. Hager was sentenced to 144 months in prison, in November 2018.
Under federal law, Clay must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for a term of five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration, jointly made the announcement.
The investigation was conducted by the FBI and the Northern Kentucky Drug Strike Force. The United States was represented by Assistant United States Attorney Tony Bracke.
Florence Man Sentenced to 16 Years for Distributing Heroin and CocaineRead the Press Release
COVINGTON, Ky. — Donald Conway, 42, of Florence, Kentucky, was sentenced on Thursday, by United States District Judge David Bunning, to 16 years in federal prison for possessing heroin and cocaine with the intent to distribute the drugs.
Conway was convicted in August 2018, following a bench trial. According to testimony at trial, Covington Police conducting a traffic stop, finding baggies containing more than 25 grams of cocaine and more than 23 grams of heroin, packaged for sale. Based upon prior felony convictions for assault and drug trafficking, Conway qualified as a “career offender” under the United States Sentencing Guidelines, which subjected him to an increased sentence.
Under federal law, Conway must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for a term of five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James (Robert) Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; and Robert Nader, Chief of the Covington Police Department, jointly made the announcement.
The investigation was conducted by the FBI and the Covington Police Department. The United States was represented by Assistant United States Attorney Tony Bracke.
Convicted Felon Sentenced to 108 Months for Illegally Possessing Firearm Crime in Perry CountyRead the Press Release
LONDON, Ky. — Willie Combs has been sentenced to 108 months in federal prison, by United States District Judge Gregory F. Van Tatenhove, for illegally possessing a firearm following his prior felony convictions.
Combs pleaded guilty to the firearms charges in May of 2018. During his guilty plea, Combs admitted that on May 22, 2017, he brandished a firearm to another individual during an argument. The firearm was a loaded SKS 7.62x39 caliber rifle. Combs was prohibited by federal law from possessing a firearm, based on three prior felony convictions, including a federal conviction for possession with the intent to distribute a controlled substance.
Under federal law, Combs must serve 85 percent of his prison sentence. Upon his release, Combs will be under the supervision of the United States Probation Office.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge for the Louisville Field Division; and Richard Sanders, Kentucky State Police Commissioner, jointly made the announcement. The United States was represented by Assistant United States Attorney Jason D. Parman.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The PSN program was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Whitley County Man Sentenced to 300 Months for Armed Drug TraffickingRead the Press Release
LONDON, Ky. — Edwin Willis, 44, of Corbin, Kentucky, was sentenced to 300 months (25 years) in federal prison, by United States District Judge Robert E. Wier, for conspiring to distribute methamphetamine and possessing a firearm in furtherance of that drug trafficking offense. Willis has three prior felony drug convictions and, as a result, qualified for career offender status and an enhanced sentence under federal law.
Willis pled guilty to the charges against him in March of 2018. Willis is the final defendant to be sentenced in an interstate drug conspiracy led by Marti Payne, through which pound levels of methamphetamine were imported from Georgia to Whitley and Laurel County, Kentucky between April of 2017 and August of 2017. The conspiracy concluded on August 1, 2017, when law enforcement arrested Payne and Willis. Willis’s arrest followed a chase during which firearms were discarded from the vehicle. A subsequent search of that vehicle revealed that Willis was in possession of over 200 grams of methamphetamine. The investigation confirmed Willis, armed with a firearm, had traveled with Payne to Georgia to obtain methamphetamine.
Eleven others who participated in the conspiracy to obtain and distribute methamphetamine have previously pled guilty and were sentenced, including Marti Payne (160 months), Whitney Wright (93 months), Brandon Huff (118 months), Courtney Stacy (120 months), Jamieson Taylor Wayne Minton (92 months), Ethan Powers (93 months), Jamie Peters (124 months), David Russell (68 months), Christopher Jonas (160 months), Kenneth Buchanan (125 months), and Ladonna Ping (65 months). Under federal law, the defendants must serve 85 percent of their prison sentences; and upon their release, they will be under the supervision of the United States Probation Office.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Bureau of Alcohol, Tobacco, Firearms, and Explosives Special Agent in Charge for the Louisville Field Division; and Richard Sanders, Kentucky State Police Commissioner, jointly made the announcement. The Laurel County Sherriff’s Office and the Williamsburg Police Department also assisted in the investigation. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The PSN program was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Cincinnati Man Sentenced to 18 Years for Distributing Cocaine in Boone County, KentuckyRead the Press Release
COVINGTON, Ky. — Richard Crawford, Jr., 54, of Cincinnati, was sentenced Tuesday, to 18 years in federal prison for Distribution and Possession of Cocaine in Boone County, Kentucky. Crawford was sentenced by United States District Judge David Bunning.
Crawford was convicted in August 2018, following a three-day jury trial. According to evidence at trial, Crawford sold an ounce of cocaine to a confidential informant working with law enforcement, on June 27, 2017 in Florence, Kentucky. Two days later, law enforcement executed a search warrant on Crawford’s apartment in Florence, Kentucky, finding more than 400 grams of cocaine and crack cocaine, evidence of drug paraphernalia, and cash used by the confidential informant to purchase cocaine. Crawford has an extensive criminal history, including three prior convictions for trafficking in cocaine. Based on these prior convictions, Crawford qualified as a “career offender” under the United States Sentencing Guidelines, subjecting him to an increased sentence.
Under federal law, Crawford must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for six years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), jointly made the announcement.
The investigation was conducted by the DEA and the Northern Kentucky Drug Strike Force. The United States was represented by Assistant United States Attorneys Wade T. Napier, Jennifer K. Weinhold, and Tony Bracke.
Three Convicted, in Separate Cases, of Distributing Fentanyl that Resulted in a Fatal OverdoseRead the Press Release
LEXINGTON, Ky. – Defendants, in three separate indictments, have entered guilty pleas to distributing fentanyl that resulted in a death. In one case, Kloud Logan Jones, 27, of Mt. Sterling, Ky., pleaded guilty on October 19, 2018. Jones admitted that on November 23, 2017, he distributed the lethal drug to an individual identified as R.A.S., while both were inmates at the Montgomery County Regional Jail. Video surveillance from the jail captured the incident. The Montgomery County Sheriff’s Department and the Drug Enforcement Administration (DEA) jointly investigated the death, which led to federal charges.
In a separate case, Garry Sean Ramone Drake, Jr, 26, of Lexington, pleaded guilty on November 26, 2018, to distribution of fentanyl resulting in the death of an individual identified as M.R., on November 30, 2017, in Fayette County. Drake is the second individual convicted of distribution resulting in M.R.’s death. Phillip Clayton Jennings, 23, also of Lexington, previously entered a guilty plea to the same charge. Proof gathered during the investigation showed that both defendants were in the chain of distribution of the fentanyl mixture that led to the death. The Lexington Police Department and the DEA jointly investigated the death, which led to federal charges.
All three defendants face a mandatory minimum sentence of 20 years and a maximum sentence of life imprisonment. Sentencing for each of the defendants will occur in the United States District Courthouse, in Lexington, before the United States District Judge Danny C. Reeves.
“The distribution of fentanyl and other dangerous drugs is devastating our community with addiction and death,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “These three convictions demonstrate law enforcement’s continuing commitment to thoroughly investigate and prosecute drug distribution that results in an overdose. Each of these defendants will be facing a lengthy sentence of imprisonment, based on their decision to distribute fentanyl. Their conduct resulted in a death and the loss of their freedom is now the consequence.”
United States Attorney Duncan; Darrell Christopher Evans, Special Agent in Charge, DEA Louisville; Fred Shortridge, Montgomery County Sheriff; and Lawrence Weathers, Chief of Police, Lexington-Fayette County Division of Police, jointly announced the convictions. Assistant United States Attorney Todd Bradbury prosecuted the cases on behalf of the United States.
Lexington Man Sentenced to 290 Months in Prison for Trafficking in Fentanyl, Cocaine, and Heroin and Money LaunderingRead the Press Release
LEXINGTON, Ky. — Ansar I. McIver, 46, of Lexington, was sentenced last week to 290 months in federal prison, by United States District Judge Danny C. Reeves, for conspiracy to distribute fentanyl, cocaine, and heroin, and money laundering. Judge Reeves also ordered McIver to pay a fine and to forfeit more than $586,000 in cash.
McIver previously admitted that, in early January 2017, he engaged in an agreement with others to obtain large quantities of fentanyl, cocaine, and heroin from the southwest United States. Shipments of these controlled substances were made by passenger vehicle, with the substances concealed in various compartments within the vehicles, and were transported into Lexington. Proceeds from the distribution of the drugs were then returned to the southwest.
On May 18, 2017, the Lexington Police Department (LPD) stopped a vehicle containing approximately 6 kilograms of cocaine. On June 12, 2017, a search warrant was executed at McIver’s residence. There, law enforcement agents seized cocaine, approximately 786 grams of fentanyl, heroin, and a combined quantity of drugs, as well as approximately $586,369 in drug proceeds. At that time, it was the largest seizure of fentanyl in the Eastern District of Kentucky.
“This conspiracy involve the illegal distribution of enormous amounts of illegal drugs, drugs that continue to devastate our community,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “This case represents a stark reminder that much work still needs to be done to combat this epidemic and that effective law enforcement partnerships can – and do – save lives. Removing these drugs from our community was a team effort that almost certainly prevented overdoses and potential deaths in our community.”
The Defendant has previously been convicted of several drug trafficking felonies, which qualified him as a Career Offender under federal law. McIver pleaded guilty to the charges in January 2018.
Under federal law, McIver must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for ten years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James (Robert) Brown, Jr., Special Agent in Charge of the FBI; Richard Sanders, Commissioner of the Kentucky State Police; and Chief Lawrence Weathers, of the Lexington Police Department, jointly made the announcement.
The investigation was conducted by the FBI (Louisville and San Diego Field Offices), the Kentucky State Police, and the Lexington Police Department. The United States was represented by Assistant United States Attorney Roger W. West.