District of Maryland

Baltimore, Maryland – Daniel Provencal, age 47, of Denton, Maryland, pleaded guilty today to possession of child pornography.  Provencal acknowledged that, at the time he committed the crime, he was on supervised release for a 2006 federal conviction for distribution of child pornography.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police; and Caroline County State’s Attorney Joe Riley.

According to his guilty plea, between January and October 2020, Provencal possessed and repeatedly distributed child pornography on a social media provider, using multiple electronic devices and usernames.  Specifically, Provencal used an Internet-based messaging application to distribute depictions, including photos and videos, of minors engaged in sexually explicit conduct.  The child pornography included videos and images of prepubescent minors and videos and images that depicted sadomasochistic conduct. 

On January 24, 2020 and January 31, 2020, the messaging application sent CyberTips to the National Center for Missing and Exploited Children (NCMEC) reporting two usernames that had uploaded child pornography.  Investigators learned that the IP address used to login to each of the accounts was the same and was assigned to Provencal at his residence in Denton.

Law enforcement executed a search warrant at Provencal’s residence on October 15, 2020, recovering two cellphones, numerous micro SD cards, a laptop computer, notebook computer, and three tablets.  Law enforcement also seized from Provencal’s bedroom a piece of paper that had 26 account usernames and passwords listed, including the two usernames which the messaging application had reported to NCMEC.

A subsequent forensic review of Provencal’s devices revealed that they each contained child pornography.  In total, the devices contained at least 5,000 child pornography videos.  In addition, at least one video depicts sadistic or masochistic conduct, namely a prepubescent girl bound and in bondage.  The forensic review also revealed that Provencal repeatedly, on multiple devices, distributed child pornography images and videos to other users on the messaging application and engaged in explicit chats in which he discussed his sexual attraction to minors. 

As detailed in his plea agreement, upon his release from prison, Provencal must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). 

Provencal and the government have agreed that, if the Court accepts the plea agreement, Provencal will be sentenced to 126 months in federal prison.  Provencal also faces 12 to 18 months in prison for violating his supervised release, which may be imposed concurrent or consecutive to the sentence in this case.  U.S. District Judge Catherine C. Blake has not yet scheduled sentencing. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.         

Acting United States Attorney Jonathan F. Lenzner commended the FBI, the Maryland State Police, and the Caroline County State’s Attorney’s Office for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Paul A. Riley, who is prosecuting the federal case.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.

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A Maryland man pleaded guilty today to conspiracy to participate in a racketeering enterprise by murdering a suspected rival gang member and attempting to murder two other victims, in connection with his MS-13 gang activities. 

According to his plea agreement and other court documents, from March 2016, Moises Alexis Reyes-Canales, aka Sicopita, 23, of Annapolis, was a member and associate of MS-13, and participated in a racketeering conspiracy that included assaults, murder, attempted murder, robbery, and drug trafficking. Specifically, Reyes-Canales admitted that he participated in the murder of a suspected rival gang member and conspired and attempted to murder two victims in Annapolis. In addition, between January 2016 and February 2017, Reyes-Canales and other MS-13 members/associates sold marijuana to raise funds for the gang. The drug proceeds were used for, among other purposes, the purchase of more narcotics, weapons, and to send to MS-13 members and associates in other states and in El Salvador.

“Reyes-Canales and his co-defendants committed murder, attempted murders, and other violent crimes on behalf of MS-13, causing lasting harm to victims and the Annapolis community,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Through the diligent efforts of law enforcement and department prosecutors, these defendants will no longer harm and intimidate the Annapolis community. We will continue our relentless pursuit of MS-13 gang members, both in the United States and internationally.”

“The violence perpetrated by Reyes-Canales and his fellow MS-13 members was brutal and tragic and is totally unacceptable,” said Acting U.S. Attorney Jonathan F. Lenzner of the District of Maryland. “The U.S. Attorney’s Office in Maryland and our local and state partners are working together to remove these violent gang members and to keeping our communities safe from the violent threat of MS-13. We continue to work with our counterparts here and abroad to bring to justice these transnational gangs. We need the continued help of members of our communities in order to carry on our work against MS-13.”

“This case illustrates that gang organizations are driven by greed and profit no matter the cost to innocent lives or our communities,” said Special Agent in Charge James Mancuso for the Homeland Security Investigations’ (HSI) Baltimore Field Office. “It is HSI’s priority to investigate crimes related to transnational gang violence, a duty we diligently and systematically discharge with the help of our federal, state, local and international law enforcement partners.”

“ATF is committed to focusing our efforts on identifying and investigating those who use violence and firearms to intimidate and brutalize others,” said Special Agent in Charge Tim Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division. “The strong partnerships ATF has with our federal, state, and local law enforcement partners, as well as prosecutors, are crucial in targeting these offenders and dismantling the violent gangs who try to take over communities.”

Co-defendants Marlon Cruz-Flores, 25, and Manuel Martinez-Aguilar, aka “El Lunatic” and “Zomb,” 22, both of Annapolis, previously pleaded guilty to the racketeering conspiracy and gun charge. Cruz-Flores was sentenced to 38 years in prison and Martinez-Aguilar was sentenced to 24 years. Co-defendant Fermin Gomez-Jimenez, 23, of Annapolis, pleaded guilty to conspiracy to participate in a racketeering enterprise and to using, carrying, and discharging a firearm during a crime of violence and is scheduled to be sentenced on May 18. Co-defendant David Diaz-Alvarado, 20, of Annapolis, pleaded guilty to murder in aid of racketeering in connection with his MS-13 gang activities. Co-defendant, Juan Carlos Sandoval-Rodriguez, 23, of Annapolis, was convicted on Oct. 31, 2019, of murder in aid of racketeering and conspiracy to commit murder in aid of racketeering after an 11-day jury trial for the murder of Victim 1. He faces a mandatory sentence of life in prison at his sentencing which will be scheduled at a later date. All of the defendants remain detained.

Reyes-Canales and the government have agreed that, if the court accepts the plea terms, Reyes-Canales will be sentenced to 35 years in federal prison. Chief U.S. District Judge James K. Bredar has scheduled sentencing for Reyes-Canales on Sept. 19.

This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

HSI, ATF, the Anne Arundel Police Department, the Annapolis Police Department and the Anne Arundel State’s Attorney Office investigated the case.

Trial Attorneys Matthew Hoff and Samantha Mildenberg Loiero of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Zachary Stendig of the District of Maryland are prosecuting the case.

Anyone with information about MS-13 is encouraged to provide their tips to law enforcement. The FBI and HSI both have nationwide tiplines that you can call to report what you know. You can reach the FBI at 1-866-STP-MS13 (1-866-787-6713), or you can call HSI at 1-866-DHS-2-ICE.

Greenbelt, Maryland – U.S. District Judge George J. Hazel today sentenced Keno Romario Brown, age 26, of Hyattsville, Maryland, to eight years in federal prison, followed by three years of supervised release, for conspiracy to commit mail and wire fraud, wire fraud, and mail fraud, in connection with a scheme to defraud more than 100 elderly victims through an advance fee scheme, specifically, by falsely representing that the victims had won a lottery or sweepstakes and demanding taxes or other fees before the victims could receive the prize.  Judge Hazel ordered Brown to pay restitution in the amount of $775,225.48.  After trial, a federal jury convicted Brown on March 12, 2020.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Timothy Thibault of the FBI’s Washington Field Office Criminal Division; and Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division.

Acting U.S. Attorney Jonathan F. Lenzner stated, “Keno Brown perpetrated a heartless scheme targeting more than 100 elderly victims.  He will now serve eight years in federal prison.  The Department of Justice is committed to bringing fraudsters who prey upon the elderly to justice.  I encourage anyone who believes they may be a victim of a fraud or scam to contact the Department of Justice’s Elder Fraud Hotline at 833-FRAUD-11 (833-372-8311).”

“Brown callously preyed on some of the most vulnerable members of our communities,” said Timothy Thibault, Acting Special Agent in Charge of the FBI’s Washington Field Office Criminal Division. “This sentence demonstrates that the FBI and our law enforcement partners will relentlessly pursue and hold accountable those who commit the unconscionable crime of elder fraud.”

“This investigation is another example of how the U.S. Postal Inspection Service, with its law enforcement partners, holds scammers who prey upon our most vulnerable citizens accountable.” Postal Inspector in Charge Peter R. Rendina continued, “We also encourage anyone who believes that they are a potential victim and/or has receive similar suspicious callings to contact the U.S. Postal Inspection Service at 877-876-2455.

According to the evidence presented at his seven-day trial, in April 2013, Brown and two co-conspirators began contacting victims, falsely telling them that they were representatives of Company 1 or Company 2, which sponsored a lottery or sweepstakes. Brown and his co-conspirators misrepresented to victims that they had won a prize sponsored by Company 1 or Company 2, but in order to collect the prize, the victims had to pay advance fees and taxes to Brown or his co-conspirators.  The conspirators directed the victims to send the advance fees and taxes electronically, or through an interstate mail carrier to “runners” who received the fraudulent proceeds and provided them to Brown and his co-conspirators.  Evidence was presented that Brown used physical abuse to control at least one of the runners.

The trial evidence proved that to launder the fraud proceeds, Brown and a co-conspirator obtained debit cards using the personal information of elderly individuals without their knowledge or consent, and deposited that fraud proceeds onto those debit cards, among other methods. 

The evidence proved that during the course of the conspiracy, Brown and other members of the conspiracy successfully defrauded over 100 elderly victims.    

Acting United States Attorney Jonathan F. Lenzner commended the FBI and the U.S. Postal Inspection Service for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Dana J. Brusca, who prosecuted the case.

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Baltimore, Maryland – Terrell Tomlin, age 32, of Baltimore, Maryland, pleaded guilty today to the federal charge of possession with the intent to distribute fentanyl, heroin, and cocaine.    

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Commissioner Michael Harrison of the Baltimore Police Department.

According to his guilty plea, on December 4, 2019, Baltimore Police Department (BPD) officers observed Tomlin driving his vehicle back and forth through three lanes of traffic without signaling as well as accelerating and braking quickly and aggressively.  Officers conducted a traffic stop of the vehicle on the road leading towards Sinai Hospital’s emergency room entrance. 

As detailed in the plea agreement, before approaching the vehicle, officers observed Tomlin making furtive movements in the vehicle and lowering his head towards the right side of the car.  During the traffic stop, a BPD officer asked Tomlin for his driver’s license and registration and noticed Tomlin’s hands shaking excessively and his eyes were opened extremely wide.  Based on Tomlin’s furtive movements and excessive nervousness, a BPD officer asked him to step out of the vehicle.

Instead, Tomlin admitted that he attempted to flee, crashing his vehicle into a stationery vehicle, in which Victim 1, who was recently discharged from the hospital after surgery, was the driver, and Victim 1’s child (Victim 2) was a passenger.  After the crash, Tomlin got out of the car and fled on foot, carrying a blue duffel bag.  Items were falling out of the bag as Tomlin fled.  Before he was apprehended by a BPD officer, Tomlin threw the bag in the air, causing items to scatter. 

BPD officers recovered drugs and drug paraphernalia along the route that Tomlin ran as he fled from them, including the area in which they apprehended him.  Among the items recovered were a blender containing fentanyl and tramadol residue; packaging material, some of which contained cocaine residue; and a clear plastic bag containing approximately 38 grams of heroin mixed with fentanyl.  During a search of Tomlin’s vehicle, BPD officers recovered a container of Inositol, a cutting agent for heroin; a bottle of ammonia, typically used to clean heroin mixing equipment; and a measuring cup. 

During the crash, the steering wheel struck Victim 1’s surgery wound, and Victim 2’s head hit a window of the vehicle.  Both victims received treatment for, and subsequently recovered from, the injuries caused by Tomlin crashing into their vehicle.

Tomlin and the government have agreed that, if the Court accepts the plea agreement, they will jointly recommend a sentence of 46 months in federal prison.  Chief U.S. District Judge James K. Bredar has scheduled sentencing for July 21, 2021 at 3:00 p.m. 

Acting United States Attorney Jonathan F. Lenzner commended the HSI Baltimore and the Baltimore Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Samika N. Boyd, who is prosecuting the case.

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Baltimore, Maryland – Moises Alexis Reyes-Canales, a/k/a Sicopita, age 23, of Annapolis, Maryland, pleaded guilty today to conspiracy to participate in a racketeering enterprise and to using, carrying, and discharging a firearm during a crime of violence, in connection with his MS-13 gang activities, including a murder and two attempted murders. 

According to his plea agreement and other court documents, from about March 11, 2016, Reyes-Canales was a member and associate of MS-13, and participated in a racketeering conspiracy that included assaults, murder, attempted murder, robbery, and drug trafficking.  Specifically, Reyes-Canales admitted that he participated in the murder of a suspected rival gang member, and conspired and attempted to murder two victims in Annapolis.  In addition, between January 2016 and February 2017, Reyes-Canales and other MS-13 members/associates sold marijuana to raise funds for the gang. The drug proceeds were used for, among other purposes, the purchase of more narcotics, weapons, and to send to MS-13 members and associates in other states and in El Salvador.

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Special Agent in Charge James Mancuso of Homeland Security Investigations (HSI) Baltimore Office; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Chief Amal Awad of the Anne Arundel County Police Department; Chief Edward Jackson of the Annapolis Police Department; and State’s Attorney Anne Colt Leitess of the Anne Arundel County State’s Attorney Office.

“The violence perpetrated by Reyes-Canales and his fellow MS-13 members was brutal and tragic and is totally unacceptable.  The U.S. Attorney’s Office in Maryland and our local and state partners are working together to remove these violent gang members and to keeping our communities safe from the violent threat of MS-13,” said Acting U.S. Attorney Jonathan F. Lenzner.  “We continue to work with our counterparts here and abroad to bring to justice these transnational gangs.  We need the continued help of members of our communities in order to carry on our work against MS-13.”

“Reyes-Canales and his co-defendants committed murder, attempted murders, and other violent crimes on behalf of MS-13, causing lasting harm to victims and the Annapolis community,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Through the diligent efforts of law enforcement and department prosecutors, these defendants will no longer harm and intimidate the Annapolis community. We will continue our relentless pursuit of MS-13 gang members, both in the United States and internationally.”

“This case illustrates that gang organizations are driven by greed and profit no matter the cost to innocent lives or our communities,” said Special Agent in Charge James Mancuso for the HSI Baltimore Field Office. “It is HSI’s priority to investigate crimes related to transnational gang violence, a duty we diligently and systematically discharge with the help of our federal, state, local and international law enforcement partners.”

“ATF is committed to focusing our efforts on identifying and investigating those who use violence and firearms to intimidate and brutalize others,” said ATF Baltimore Field Division Special Agent in Charge Tim Jones. “The strong partnerships ATF has with our federal, state, and local law enforcement partners, as well as prosecutors, are crucial in targeting these offenders and dismantling the violent gangs who try to take over communities.”

As part of the racketeering conspiracy, Reyes-Canales admitted that on March 11, 2016, he and other MS-13 members and associates planned and agreed to murder Victim 1, whom the gang suspected of being a rival gang member. Prior to the murder, Reyes-Canales received authorization to commit the murder from MS-13 leadership.  Juan Carlos Sandoval-Rodriguez and another MS-13 member/associate lured Victim 1 to Quiet Waters Park in Annapolis, Maryland, and once Victim 1 arrived at the park, members of the gang struck Victim 1 in the head with a branch or stick.  Reyes-Canales, co-defendants Marlon Cruz-Flores, Fermin Gomez-Jimenez, and other members and associates of MS-13, then stabbed Victim 1 repeatedly, killing him.  Reyes-Canales directed everyone during the murder.  While Reyes-Canales and other members of the gang stabbed Victim 1, Co-conspirator 1 and other MS-13 members/associates stood watch outside of the park to ensure no one entered or left the park, and to watch for police presence, so that the gang could complete the murder of Victim 1.  During this time, Co-conspirator 1 communicated by phone and through text messages with Reyes-Canales and Cruz-Flores inside the park, to let them know no one entered the park and they could complete the murder.  After Victim 1 was killed, Gomez-Jimenez left the park to stand watch, so that other MS-13 associates could enter the park help bury Victim 1 in a shallow grave inside the park, at the direction of Reyes-Canales.  Law enforcement did not locate Victim 1’s body until August 28, 2017, when it was exhumed by law enforcement

As detailed in their plea agreements, on October 23, 2016, Reyes-Canales, Gomez-Jimenez, and other members and associates of the MS-13 Hempstead clique in Annapolis, devised a plan to murder Victim 2, an unlicensed taxi driver.  Reyes-Canales, Gomez-Jimenez, Cruz-Flores, co-defendant Manuel Martinez-Aguilar, and other members and associates of MS-13, met at Quiet Waters Park to discuss the plan to murder Victim 2.  At the meeting, each member of the conspiracy was assigned a task to complete the murder and dispose of the evidence.  The group planned to use machetes, knives, and guns to kill the victim.  Reyes-Canales and Cruz-Flores each had a firearm and all the members of the conspiracy were aware that guns would be used in the murder. 

A co-conspirator called Victim 2 using another member’s cell phone to arrange for an unlicensed taxi ride.  Victim 2 arrived with another passenger, Victim 3.  Cruz-Flores asked Victim 2 to drive to the area of the 700 block of Annapolis Neck Road in Annapolis.  When they arrived, Reyes-Canales approached the vehicle and pointed a gun at the victims and Cruz-Flores also produced a gun and pointed it at the victims.  Victim 3 attempted to run away and Cruz-Flores shot Victim 3 in the leg, while another MS-13 member repeatedly attacked Victim 3 with a machete.  Victim 2 also tried to run. Reyes-Canales attempted to shoot Victim 2, but his gun failed to discharge.  Co-defendant Martinez-Aguilar and another MS-13 member took Victim 2’s vehicle and attempted unsuccessfully to run him over with the car.  Reyes-Canales, Gomez-Jimenez, and other conspirators chased Victim 2 and Gomez-Jimenez repeatedly stabbed Victim 2 with a knife.  The conspirators fled when they heard police sirens.  A short time later, police arrested Gomez-Jimenez nearby with Victim 2’s blood on his hands and clothes.  A surveillance camera in the area captured Gomez-Jimenez assaulting Victim 2 and the attempt to run over Victim 2 with Victim 2’s vehicle.  DNA subsequently confirmed that the blood on Gomez-Jimenez’ hands matched Victim 2’s blood.  Both victims were transported to the University of Maryland Shock Trauma Center with life threatening injuries.  Both victims survived but have permanent injuries as a result of the attack.

Reyes-Canales and the government have agreed that, if the Court accepts the plea, Reyes-Canales will be sentenced to 35 years in federal prison.  Chief U.S. District Judge James K. Bredar has scheduled sentencing for Reyes-Canales on September 17, 2021, at 9:30 a.m.

Co-defendants Marlon Cruz-Flores, age 25, and Manuel Martinez-Aguilar, a/k/a “El Lunatic” and “Zomb,” age 22, both of Annapolis, Maryland, previously pleaded guilty to the racketeering conspiracy and gun charge.  Cruz-Flores was sentenced to 38 years in federal prison and Martinez-Aguilar was sentenced to 24 years in federal prison.  Co-defendant Fermin Gomez-Jimenez, age 23, of Annapolis, Maryland pleaded guilty to conspiracy to participate in a racketeering enterprise and to using, carrying, and discharging a firearm during a crime of violence, and David Diaz-Alvarado, age 20, also of Annapolis, pleaded guilty to murder in aid of racketeering in connection with his MS-13 gang activities.  Co-defendant, Juan Carlos Sandoval-Rodriguez, age 23, of Annapolis was convicted on October 31, 2019, of murder in aid of racketeering and conspiracy to commit murder in aid of racketeering after a nine-day jury trial for the murder of Victim 1.  He faces a mandatory sentence of life in prison.  All of the defendants remain detained.

Anyone with information about MS-13 is encouraged to provide their tips to law enforcement.  The FBI and Homeland Security Investigations both have nationwide tiplines that you can call to report what you know.  You can reach the FBI at 1-866-STP-MS13 (1-866-787-6713), or you can call HSI at 1-866-DHS-2-ICE.

This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

Acting United States Attorney Jonathan F. Lenzner and commended HSI, the ATF, the Anne Arundel County Police Department, the Annapolis Police Department, and the Anne Arundel State’s Attorney Office for their work in the investigation and prosecution.  Mr. Lenzner and Mr. McQuaid thanked Assistant U.S. Attorney Zachary Stendig, and Trial Attorneys Matthew Hoff and Samantha Mildenberg Loiero of the Criminal Division’s Organized Crime and Gang Section, who are prosecuting the case.

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Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Chad Arrington a/k/a “Chad Focus”, age 33, of Randallstown, Maryland to 30 months in federal prison, followed by 12 months of home confinement as part of three years of supervised release, for a federal wire fraud conspiracy in connection with a scheme to use a company credit card to make more than $4.1 million in unauthorized purchases.  Judge Bennett also ordered Arrington to pay restitution in the full amount of the victim’s losses, totaling $4,142,435.31.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office.

“Chad Arrington illegally used a company credit card to spend more than $4 million to promote himself as a hip-hop artist and to promote his company,” said Acting U.S. Attorney Jonathan F. Lenzner. “Now Arrington will spend more than two years in federal prison.  The United States Attorney’s Office for the District of Maryland will continue to utilize our resources to prosecute this type of costly fraud.”  

According to his plea agreement, Arrington was employed by Company 1 as a Search Engine Optimization (“SEO”) Specialist from approximately 2011 to August 2018.  As an SEO Specialist, Arrington was responsible for promoting and marketing Company 1’s products and services online.  Company 1 assigned Arrington an American Express company credit card (the “credit card”) to be used for business expenses, exclusively. 

From at least January 2015 through August 2018, Arrington, and four co-conspirators used the credit card for fraudulent purchases, including to promote his hip-hop artist alter-ego, Chad Focus, and Focus Music Entertainment, as well as to make unauthorized purchases that benefitted them each personally.

Arrington admitted that he used the credit card to purchase sound equipment, studio kits, instruments, and music technology, which he then used to create an artist alter-ego “Chad Focus,” and produce a number of hip-hop songs through the company he formed, Focus Music Entertainment LLC.  Arrington then used the credit card to make additional unauthorized purchases including promotional services to increase online streaming of his songs, purchase “likes,” “followers,” “tags,” and “views” across social media and viewing platforms; to purchase services from a company that promoted mixtape videos and singles, his image, and music; and to make unauthorized payments to multiple billboard companies to display images of Arrington and his website throughout the United States and to promote Chad Focus and Focus Music Entertainment LLC. Arrington also charged the credit card over $300,000 for unauthorized international and national travel expenses, hotels, airfares, night life and other miscellaneous expenses for himself and for Co-Conspirators 1 and 2.  Additionally, Arrington made over $375,000 in unauthorized purchases for Chad Focus merchandise, accessories, and purchases related to a bike-sharing business.  Between May 2018 and August 2018, Arrington used the credit card to pay multiple billboard companies to create billboards for Chad Focus and Focus Music Entertainment LLC.  For example, a billboard displayed the image of Arrington surrounded by stacks of cash and the words “Get to the money.”  Another billboard depicted Arrington with the words “Chad Focus. I will teach you how to be rich.”

According to the plea agreement, Arrington used the credit card to make over $1.5 million in unauthorized purchases from entities and accounts controlled by Co-Conspirator 2 and Co-Conspirator 3. In turn, the co-conspirators kicked back hundreds of thousands of dollars to Arrington by funneling cash payments to Arrington and to accounts controlled by Arrington. 

In order to conceal the scheme, Arrington asked Co-Conspirator 1 and Co-Conspirator 4 to use computer software to make false entries on the credit card billing statements in order to conceal the recipient of the payments from Arrington’s supervisor and Company 1.  Additionally, Arrington forged the signature of his supervisor on his credit card billing statements to make it appear as though he had received approval for certain purchases when, in fact, he had not.  Arrington then sent those false payment authorizations to other employees who relied on the authorizations to ultimately pay off the outstanding balance of the credit card.                  

Acting United States Attorney Jonathan F. Lenzner commended the FBI for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Mary W. Setzer and Matthew Phelps, who prosecuted the case.

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Baltimore, Maryland – Harshe Shende, age 57, of Hanover, Maryland, pleaded guilty on May 4, 2021, to eight counts of failing to pay over employment taxes to the Internal Revenue Service in the amount of $258,905.    

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Acting Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.

According to Shende’s guilty plea, he was the sole owner and resident agent of Progressive Rehab Services, LLC, formed on September 10, 2004, which employed physical and occupational therapists who went to nursing homes to render services to patients.  Shende was the sole signatory on two bank accounts he opened for the corporation at separate banks in 2008 and 2013, respectively.  Shende accrued large liabilities for Progressive Rehab by filing forms with the IRS which showed the amount of income tax withholding he collected from Progressive Rehab’s employees and their Medicare and Social Security withholding (collectively employment taxes) but by failing to pay the employment taxes to IRS.  Shende also failed to pay the employers’ portion of employment taxes to the IRS. The IRS pursued collection activities against Progressive Rehab.

As detailed in his plea agreement, on March 16, 2006, Shende and his then wife incorporated Progressive Health Group, Inc., (“Progressive Health”) in Maryland, with the stated purpose to provide rehab to nursing homes, hospitals, assistive living and home health.  Shende was listed as Executive Director on two bank accounts he opened for the corporation at separate banks in 2008 and 2012, respectively.  Shende listed the same address in Columbia, Maryland, for Progressive Health as he did for Progressive Rehab.

Shende admitted that beginning in around April 2009, he caused Progressive Rehab’s employees to perform the same work, but he billed for their work using the name Progressive Health and paid their salaries using Progressive Health’s bank account.   Progressive Health withheld payroll taxes from its employees’ paychecks, including federal income taxes, Medicare and social security (“FICA”) taxes.  As he did with with Progressive Rehab, Shende filed forms with the IRS for Progressive Health showing the amount of employment taxes withheld.  However, as he did with Progressive Rehab, Shende willfully chose not to pay the taxes withheld from Progressive Health’s employees’ wages to the IRS, nor did he pay the employer’s portion of the employment taxes.

As a result, Shende failed to pay to the IRS a total of $155,838.15 in employment taxes withheld in tax years 2014 and 2015 and failed to pay the IRS a total of $103,066.85, which was the employer’s share of employment taxes for tax years 2014 and 2015.  .

Shende faces a maximum sentence of five years in federal prison for failure to pay over employment taxes.  Chief U.S. District Judge James K. Bredar has scheduled sentencing for July 23, 2021 at 2:00 p.m.

Acting United States Attorney Jonathan F. Lenzner commended the IRS-CI for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Joyce K. McDonald, who is prosecuting the case.

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Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang today sentenced Chaz Chriscoe, age 40, of Owings Mills, Maryland, yesterday to 39 months in federal prison, followed by three years of supervised release, for a racketeering conspiracy at the Jessup Correctional Institution (JCI).  The conspiracy included former correctional officers, inmates, and outside “facilitators,” like Chriscoe, who paid bribes to correctional officers to smuggle contraband, including narcotics, alcohol, tobacco, and cell phones into the prison. 

On May 3, 2021, JCI inmate Darnell Smith, a/k/a “Hook,” age 40, pleaded guilty to his role in the racketeering conspiracy.  

The sentence and guilty plea were announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Rachel Byrd, of the Federal Bureau of Investigation, Baltimore Field Office; and Secretary Robert Green, of the Maryland Department of Public Safety and Correctional Services.

“Prison corruption does not just endanger the lives of correctional officers and of the inmates entrusted to their care and supervision, but of the entire community, as it allows inmates to direct criminal activity from their prison cells” said Acting United States Attorney Jonathan F. Lenzner.  “The United States Attorney’s Office will continue to work with our law enforcement partners to root out prison corruption and prosecute correctional officers and others who facilitate and engage in criminal behavior.”

“From corrupt officials to outside facilitators, we cannot and will not accept the perpetuation of a cycle of illegal activity inside prison walls,” said Rachel Byrd, Acting Special Agent in Charge of the FBI Baltimore Field Office. “Federal, state, and local officials will continue to work together to root out those who undermine the administration of justice at our prisons.”

“Anyone—inmate, family member, community member, or employee—who tries to bring contraband into a correctional facility puts hundreds of people at risk, and must be prosecuted to the fullest extent of the law,” said Robert Green, Secretary of Maryland's Department of Public Safety and Correctional Services.

JCI was a maximum-security prison that housed approximately 1,800 male inmates, with approximately 423 Correctional Officers (COs).

According to their plea agreements, from at least 2017 until their arrests in 2020, Chriscoe, who also goes by the name “Cheese,” and Smith conspired with JCI COs, inmates, and outside facilitators to smuggle contraband into JCI, including narcotics, alcohol, tobacco, and cell phones, in order to enrich themselves and protect and expand their criminal operation.  According to their plea agreements and other court documents, COs accepted or agreed to accept payments from facilitators and/or inmates or engaged in sexual relations with inmates as consideration for smuggling contraband into JCI.  Inmates acted as both wholesalers and retailers of contraband and in the process made profits that far exceeded the profits that could be made by selling similar drugs on the street.  For example, conspirator inmates could purchase Suboxone strips for approximately $3 each and sell them inside JCI for approximately $50 each, or for a profit of more than 1,000 percent. 

As detailed in their plea agreements, Chriscoe maintained relationships with several inmates and COs at JCI, including CO Chanel Pierce and inmate Darnell Smith.  Chriscoe acted as the primary conduit through which coconspirators would get contraband, including controlled dangerous drugs, such as Suboxone, to CO Pierce and others to smuggle into JCI and then distribute the contraband to inmates.  On a nearly daily basis, Chriscoe met with other outside facilitators to gather and package contraband before meeting with a CO to provide the contraband and bribe payment.

For example, between December 30, 2018 and January 12, 2019, law enforcement intercepted communications indicating that Chriscoe was meeting with a JCI CO at the CO’s home to deliver drugs and bribe money.  When the CO was arrested a few days later, Chriscoe became the primary coordinator for the smuggling conspiracy because he and Darnell Smith had a connection with another JCI CO, specifically Chanel Pierce, with whom Smith was engaged in a romantic relationship.  Over the next several months, investigators intercepted daily communications between Chriscoe, Smith, Pierce and other JCI inmates and their outside facilitators to coordinate contraband drop-offs and payments.  The calls showed that outside facilitators would drop contraband off with Chriscoe, who then met with and provided the contraband to CO Pierce for smuggling into JCI.  Sataya Hall was Smith’s financial facilitator and sent payments to both Chriscoe and Pierce on Smith’s behalf.  In addition, Hall accepted payments on Smith’s behalf from facilitators for other JCI inmates in payment for contraband Smith had sold inside of JCI.

Smith admitted that during the time of the conspiracy, he possessed a contraband cell phone inside JCI that he used to further the smuggling operation, routinely using the contraband phone to communicate with CO Pierce, Hall, and Chriscoe.  In addition, there were numerous conversations in which Smith discussed the types and quantities of drugs that were to be smuggled into JCI, as well as the money that other inmates and outside facilitators would pay for them.  Smith also used the phone to conduct his romantic relationship with CO Pierce, coordinate her bribe payments and facilitate her meetings with Chriscoe.

As detailed in their plea agreements, early on the morning of May 25, 2019, Chriscoe met Pierce at her home and provided her with several balloons filled with controlled substances to smuggle into JCI.  Pierce then went to work and was stopped by law enforcement as she entered the facility and searched.  Law enforcement recovered a concealed purple balloon containing Suboxone from Pierce’s person.  A subsequent search of Pierce’s home revealed several more balloons filled with contraband that she intended to smuggle into JCI.

Smith faces a maximum sentence of 20 years in prison for the racketeering conspiracy.  Actual sentences for federal crimes are typically less than the maximum penalties.  A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  U.S. District Judge Theodore D. Chuang has scheduled sentencing for August 4, 2021, at 2:00 p.m.

A total of nine defendants, including Chriscoe, Smith, Pierce, and Hall, have pleaded guilty to their roles in the racketeering conspiracy.  Six defendants are still facing charges.  Former Correctional Dietary Officer Chanel Pierce, age 28, of Pikesville, Maryland, pleaded guilty to the racketeering conspiracy and is awaiting sentencing.  Co-defendant inmates Page Boyd, age 37, and Marshall Hill, a/k/a “Boosie,” age 29, pleaded guilty to their roles in the racketeering conspiracy and were each sentenced to four years in federal prison.  Co-defendant facilitators Sataya Hall, age 38, of Baltimore, and Trinesse Butts, age 37, of Parkville, Maryland also pleaded guilty to the racketeering conspiracy and were sentenced to six months in federal prison and a year and a day in federal prison, respectively.

This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

The U.S. Attorney expressed appreciation to the Department of Public Safety and Correctional Services, whose staff initiated the JCI investigation and have been full partners in this investigation. 

Acting United States Attorney Jonathan F. Lenzner commended the FBI and the Department of Public Safety and Correctional Services for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Lauren E. Perry and Special Assistant U.S. Attorney Craig G. Fansler, who are prosecuting this case.

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Baltimore, Maryland – Chief U.S. District Judge James K. Bredar sentenced Jordan K. Milleson, age 20, of Timonium, Maryland, to two years in federal prison, followed by one year of supervised release, for aggravated identity theft, in connecting with schemes to use the identity information of victims to  steal digital currency and social media accounts.  Milleson entered his guilty plea today.  Chief Judge Bredar also ordered Milleson to pay restitution of $34,329.01.

The guilty plea and sentence were announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Chief Melissa R. Hyatt of the Baltimore County Police Department.

According to his plea agreement, since at least September 23, 2017, Milleson was a computer “hacker” who accessed computers, networks, and electrometric accounts without authorization to perpetrate fraud schemes.  

As detailed in the plea agreement, between September 23, 2017, and July 29, 2020, Milleson set up Internet domains and fraudulent websites, designed to appear to be legitimate websites belonging to wireless providers, but which were intended to steal account credentials and enabled Milleson and his co-conspirators to access unsuspecting victims’ electronic accounts without authorization. Milleson used techniques such as phishing and vishing to deceive victims into visiting the fraudulent websites and providing their credentials to access their electronic accounts.  Victims of phishing attacks were generally contacted by e-mail, phone, or text message by persons purporting to be from reputable companies in order to induce the victims to reveal confidential information.  Vishing is “voice phishing” where imposters use Internet phone services to trick victims into turning over critical financial or personal information over the phone. 

Milleson admitted that he and his co-conspirators used electronic account credentials stolen from employees and affiliates of wireless providers to access those companies’ computer networks without authorization.  After obtaining access to these networks, Milleson took over individual victims’ wireless accounts through “SIM swapping,” whereby customers’ mobile numbers, which are linked to unique subscriber identity modules (“SIM”), were instead linked to a SIM installed in a device controlled by Milleson or his co-conspirators.  Once Milleson gained control over the victims’ mobile phone numbers, he was often able to also gain unauthorized access to the victims’ other electronic accounts, including e-mail, social media, and cryptocurrency accounts.  Milleson and his co-conspirators changed the passwords to the accounts to prevent the victims from accessing their own accounts.                  

As detailed in the plea agreement, Milleson used stolen account passwords to take over social media accounts of Victim 1 and Victim 6, both of whom had thousands of followers and had monetized their accounts through sponsored links, product placements, and product reviews.  Milleson changed the email address and password of the accounts, preventing Victim 1  and Victim 6 from accessing their accounts, and posted material to the victims’ accounts without their  authorization.  As a result of the takeover Victim 6 lost all of their followers on one of their social media accounts and was unable to advertise to them, losing their “brand deals,” the proceeds of which had been used to pay for college tuition, transportation, and groceries.

Milleson also admitted that, using a fraudulent website hosted at the domain Milleson registered, Milleson stole the login credentials of Victim 2, an employee of a third-party retailer for a wireless provider, who had access to the wireless provider’s computer networks. Milleson and others used the credentials of Victim 2, to gain access to the provider’s computer network system and execute SIM swapping attacks, taking control of the wireless calls and text messages sent to the accounts of Victim 3, Victim 4, and Victim 5..  This swapping attack resulted in the transfer of approximately $19,029.48 in digital currency from accounts belonging to Victim 3 and Victim 5.  In addition, Victim 4 had a social media account with a two-character username, coveted by other social media users for its uniqueness and simplicity. On about June 25, 2019, Milleson took unauthorized control of Victim 4’s social media account. On January 25, 2020, Victim 7’s mobile phone stopped working as a result of a SIM swapping attack. Soon thereafter, Victim 7’s personal email password was reset without authorization. An unauthorized user then accessed Individual Victim 7’s account on a digital currency exchange and stole digital currencies worth approximately $12,300 at the time.

On June 26, 2019, a co-conspirator anonymously called the Baltimore County Police Department and falsely reported that he, purporting to be a resident of the Milleson family residence, had shot his father at the residence.  During the call, the co-conspirator, posing as the purported shooter, threatened to shoot himself and to shoot at police officers if they attempted to confront him.  This call was a “swatting” attack, a criminal harassment tactic in which a person places a false call to authorities that will trigger a police or special weapons and tactics (SWAT) team response—thereby causing a life-threatening situation. 

Following his indictment, Milleson’s home was searched on June 29, 2020.  Review of the devices seized from Milleson at that time showed that they were used to complete two-factor authentication password resets for several digital currency account and contained login credentials and passwords belonging to Individual Victims 1 and 6.  Investigators also recovered incriminating messages between Milleson and his co-conspirators that detailed the group’s methodology of account infiltration and cryptocurrency theft.  

Acting United States Attorney Jonathan F. Lenzner praised the HSI and Baltimore County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Christopher M. Rigali and Zachary A. Myers, who prosecuted the case.

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Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Gerald Marshall, age 31, of Baltimore, Maryland, yesterday to 54 months in federal prison, followed by five years of supervised release, for conspiracy to engage in sex trafficking of a minor.  Marshall admitted that he conspired to traffic two minor girls, ages 15 and 17, to engage in commercial sex acts.  Judge Hazel ordered Marshall to pay $2,405 in restitution to each of the minor victims.  Judge Hazel also ordered that, upon his release from prison, Marshall will be required to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).

The sentence was announced by United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Chief Russell E. Hamill, III of the Laurel Police Department.

According to Marshall’s plea agreement, beginning in or about January 2018, Marshall conspired with co-defendant Sean Dean to recruit, harbor, transport, and/or maintain three females, including two minors, to engage in commercial sex acts.  In furtherance of the sex trafficking enterprise, Marshall rented hotel rooms in Timonium and Laurel, Maryland to be used by the victims to engage in commercial sex acts.  Marshall and Dean transported the victims to the various hotels where they would stay for multiple days. While in the hotel rooms, at Dean’s direction the victims used a website to advertise themselves for commercial sex acts.  The advertisements contained pictures of the victims in provocative poses and provided contact information for clients to use to secure a “date” with the victims.  The victims were required to share a portion of the proceeds from any commercial sex acts with Dean. 

As detailed in his plea agreement, during the first week of January 2018, Marshall and Dean transported the minor girls and the woman to a hotel in Timonium.  The victims were at the hotel for approximately one week and met with multiple customers per day to engage in commercial sex acts.  The victims shared a portion of the proceeds earned from their commercial sex acts with Dean. 

During the second week of January, Marshall and Dean transported the victims to a hotel in Laurel, where they stayed for one or two days, engaging in commercial sex.  On about January 11, 2018, Marshall and Dean transported the three females to a second hotel in Laurel.  Marshall went to the front desk and obtained keys to the rooms intended for the two minor girls and the woman to use for commercial sex.  Law enforcement subsequently responded to that hotel, after receiving a complaint about the smell of marijuana coming from the two rooms Marshall rented.  The two minor females and the woman were located in the two rooms along with condoms and other items use in connection with their commercial sex acts.

Sean Dean, age 28, of Baltimore, previously pleaded guilty to conspiracy to engage in sex trafficking of a minor.  Dean and the government have agreed that if the Court accepts the plea agreement Dean will be sentenced to 10 years in federal prison. 

This case was investigated by law enforcement agencies that are members of the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders.  Members include federal, state and local law enforcement, as well as victim service providers and local community members.  For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.

Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form.  Both are staffed around the clock by investigators.

Acting United States Attorney Jonathan F. Lenzner commended HSI Baltimore and the Laurel Police Department for their work in the investigation and thanked the Baltimore County Police Department and the Federal Bureau of Investigation for their assistance.  Mr. Lenzner thanked Assistant U.S. Attorneys Joseph R. Baldwin and Elizabeth Wright, who are prosecuting the case.

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Baltimore, Maryland – Victor Davis, age 41, of Baltimore, Maryland, pleaded guilty on May 4, 2021, to conspiracy to distribute and posses with the intent to distribute cocaine base (crack cocaine).  As part of his plea agreement, Davis admitted that during his participation in the conspiracy the members of the drug conspiracy distributed between 28 grams and 112 grams of crack cocaine. 

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Commissioner Michael Harrison of the Baltimore Police Department.

According to his guilty plea, from December 2019 through September 29, 2020, Davis conspired with at least two others to distribute crack cocaine in the area of the 2600 block of Greenmount Avenue and the 400 block of East Lorraine Avenue in Baltimore, Maryland, where Davis’s drug trafficking organization (DTO) operated a “drug shop.”  Members of the DTO, including Davis, conducted multiple hand-to-hand sales of drugs to confidential informants.

Davis admitted that he sold crack cocaine to confidential informants on four different occasions.  For example, on January 30, 2020, Davis sold two clear bags of crack cocaine to a confidential informant in exchange for $300.  In February 2020, a witness observed Davis in a home in the 400 block of East Lorraine Avenue preparing crack cocaine for street-level distribution and discussed future purchases of narcotics.  The witness also saw several guns in the home.  Davis admitted that the firearms were used to protect the DTO business and, therefore, were possessed in furtherance of the drug conspiracy.

As detailed in the plea agreement, Davis sold a confidential informant two bags of crack cocaine base $600 on February 26, 2020 and again March 4, 2020. On March 18, 2020, the confidential informant purchased four bags of crack cocaine from Davis for $650 and discussed a potential firearm transaction. Davis told the confidential informant that he possessed a “joint,” which is a slang term for a firearm.

As detailed in the plea agreement, Davis agrees that it is reasonably foreseeable to him that the members of the drug conspiracy distributed between 28 grams and 112 grams of crack cocaine. 

Davis and the government agreed that, if the Court accepts the plea agreement, Davis will be sentenced to five years in federal prison.  U.S. District Judge Catherine C. Blake has not set a date for sentencing. 

Acting United States Attorney Jonathan F. Lenzner commended the ATF and the Baltimore City Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Lindsey McCulley and Zachary B. Stendig, and Special Assistant U.S. Attorney Lindsay DeFrancesco who are prosecuting the case.

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Baltimore, Maryland – A federal grand jury has indicted Renul Barnet Forbes, a/k/a “Michael Renul,” “Breion Jones,” and “Bree Jones,” age 32, of Glen Burnie, Maryland, on the federal charges of false personation of a federal officer and possession of a fraudulently made government seal.  The indictment was returned on March 25, 2021 and was unsealed at his initial appearance on May 3, 2021.

The indictment was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; U.S. Marshal for the District of Maryland Johnny Hughes; and Anne Arundel County Police Chief Amal Awad.

According to the indictment, on September 26, 2020, Forbes pretended to be an agent of the United States Marshals Service and presented a fraudulent United States Marshals Service badge in relation to an investigation begin conducted by an Anne Arundel County Police officer, in an effort to avoid identification and prosecution.

If convicted, Forbes faces a maximum sentence of three years in federal prison for impersonating an officer and a maximum of five years in federal prison for presenting a fraudulent government seal.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Beth P. Gesner ordered that Forbes be released on electronic home monitoring pending trial.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the ATF, the USMS, and the Anne Arundel County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Mary W. Setzer who is prosecuting the case.

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Baltimore, Maryland - U.S. District Judge Richard D. Bennett today sentenced Michael Wedington, Jr., age 21, of Baltimore, Maryland, to 14 years in federal prison, followed by five years of supervised release, for the federal charge of kidnapping related to his role in the armed carjackings of two victims in June 2019.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office; and Commissioner Michael Harrison of the Baltimore Police Department.

According to his plea agreement, Wedington participated in the armed carjackings of two different victims that occurred on June 8 and June 10, 2019, respectively.  In each instance, the victim was intending to purchase tools as part of a purported transaction that Wedington set up through a cellular phone-based application, “OfferUp,” which allows sellers to post advertisements of personal property for sale. Through the OfferUp application, the buyer can then directly contact the seller and arrange to buy the property.  When the victims arrived at the designated meeting spot, they were robbed at gunpoint by Wedington and his co-conspirators, who also stole their vehicles.  In each instance, investigators were able to link the seller’s OfferUp account in the name of “Brian” to Michael Wedington, through Wedington’s phone number and other information.

In the carjacking on June 8, 2019, the victim arrived in the area of Washington Boulevard and South Monroe Street in Baltimore and was directed to the 2400 block of West Lexington Street.  Upon arriving, the victim was waved down and approached by Wedington and two other men.  At first the men appeared to load the victim’s van with the tools they were purportedly selling.  However, one suspect, armed with a handgun, then forced the victim into the rear of his vehicle.  Wedington and his accomplices stole the victim’s wallet and cash, a driver’s license, debit card, and the victim’s cellular phone.  As they drove away, one suspect shoved a handgun in the victim’s mouth and demanded the Personal Identification Number (PIN) to the victim’s debit card.  The suspects drove to a gas station in Northwest Baltimore with the victim still in the van, and one of the suspects used the PIN the victim had provided to obtain cash from an ATM.  The victim escaped from the van in the area of the 7000 block of Park Heights Avenue and fled on foot, later calling the Baltimore Police Department to report the incident.  The stolen vehicle was recovered five days later in the area of the 2700 block of Tivoly Avenue in Baltimore.

In the second carjacking on June 10, 2019, the victim was lured to the 2400 block of West Lexington Street through the OfferUp application by a user who was purportedly selling tools and equipment.  When the victim arrived, he was directed to the back alley behind West Fayette Street, where Wedington and another individual approached him—both armed with handguns.  The two men took the victim’s wallet, containing more than $1,000 in cash, the victim’s two cell phones, and the victim’s Toyota vehicle.

Wedington was identified in a photo array, and Wedington’s fingerprint was recovered from the van stolen in the second carjacking.  On November 1, 2019, a federal search warrant was executed at Wedington’s primary residence, which is located near the scenes of the two carjackings, and law enforcement recovered a Toyota car key, a firearm, 1,000 rounds of ammunition, replica firearms, and cellular phones.  Agents obtained a search warrant for Wedington’s cell phone, which revealed, among other things, that Wedington used the OfferUp application and the “Brian” account to communicate with the first victim’s friend and orchestrate the June 8, 2019 set up of the carjacking.  Agents also found various photos and videos showing Wedington posing with or using firearms.

Acting United States Attorney Jonathan F. Lenzner commended FBI and BPD for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Matthew DellaBetta and Daniel A. Loveland, Jr., who prosecuted the case.

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Baltimore, Maryland – The U.S. Attorney’s Office for the District of Maryland has seized “freevaccinecovax.org” which purported to be the website of an actual biotechnology company developing a vaccine for the COVID-19 virus but instead was allegedly used to collect the personal information of individuals visiting the site, in order to use the information for nefarious purposes, including fraud, phishing attacks, and/or deployment of malware.  Individuals visiting the site will now see a message that the site has been seized by the federal government and be redirected to another site for additional information.

The seizure of the domain name was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Special Agent in Charge James R. Mancuso of Homeland Security Investigations - Baltimore.

“This is the ninth fraudulent website seeking to illegally profit from the COVID-19 pandemic that we have seized,” said Acting U.S. Attorney Jonathan F. Lenzner.  “Members of the public should not provide personal information or click on links in unsolicited e-mails and should remember that the COVID-19 vaccine is not for sale.  The Federal government is providing the vaccine free of charge to people living in the United States. Working with our partners at HSI, we will continue to aggressively prosecute fraudsters who seek to prey on unsuspecting residents and their families.”

“It’s a scary thought but what HSI wants the public to understand is all a bad guy needs to defraud thousands of Americans in search of COVD-19 information is the ability to create a website combined with malicious intent, “said James Mancuso, Special Agent in Charge for the HSI Baltimore Field Office. “We must make an example of these perpetrators in order to deter others from committing these crimes against an unsuspecting and vulnerable Internet user.”

According to the affidavit filed in support of the seizure, the HSI Intellectual Property Rights Center (“IPRC”) and the HSI Cyber Crimes Center (“C3”) discovered an apparent fraudulent website, named “freevaccinecovax.org.”  A domain analysis conducted by HSI indicated the domain name was created on April 27, 2021, using an IP address located in Strasbourg. The registrant country was listed as Russia.

The HSI Cyber Operations Officer (COO) conducting domain analysis noted that the trademarked logos for Pfizer, the World Health Organization (WHO) and the United Nations High Commissioner for Refugees (UNHCR) appear on the homepage for the fraudulent site.  Specifically, the fraudulent website contained a “Select your city” drop down and “Apply” and “Upload application” buttons. Upon selecting a city and clicking on “Apply” a PDF file is downloaded to your computer. This PDF file is written in Cyrillic. Once the PDF is completed, it then can be uploaded to the website by clicking on the “Upload application” button.

By seizing the site, the government has prevented third parties from acquiring the name and using it to commit additional crimes, as well as prevented third parties from continuing to access the site in its present form.

Federal law enforcement agencies are united in our efforts to fight against COVID-19 fraud.  HSI has identified tips to recognize and report COVID-19 fraud.  If you believe you are a victim of a fraud or attempted fraud involving COVID-19, you may also call the National Center for Disaster Fraud Hotline at 1-866-720-5721 or for more information visit justice.gov/coronavirus.    

Acting United States Attorney Jonathan F. Lenzner commended HSI for its work in this investigation.  Mr. Lenzner recognized the U.S. Food and Drug Administration’s Office of Criminal Investigations, the U.S. Postal Inspection Service and the Baltimore County Police Department for their assistance and thanked Assistant U.S. Attorneys Aaron S.J. Zelinsky and Sean R. Delaney, who are handling the case.

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Baltimore, Maryland - Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office announced today that the Drug Enforcement Administration’s 20th National Prescription Drug Take Back Day held on Saturday, April 24, 2021, collected 11,536.59 pounds of potentially dangerous prescription medications at Maryland’s approximately 100 available sites. The nationwide event is held twice a year and aims to provide a safe, convenient, and responsible means of disposing of prescription drugs and educating the general public about the potential for abuse of medications.

“Pharmaceutical pills can be just as harmful as illegal drugs when they are used without proper medical supervision and without valid medical need,” said Acting U.S. Attorney Jonathan F. Lenzner.  “Over the pandemic we have seen a sharp increase in overdose deaths, and the path to opioid abuse can begin in the home with unused prescription drugs.  I am grateful to the Marylanders who participated in DEA’s Prescription Drug Take Back Day to get rid of unused and unneeded prescription drugs, which will help prevent drug abuse and opioid addiction. I encourage anyone who missed the event last week to visit https://takebackday.dea.gov/ to find a collection site near them to take advantage of this free and anonymous service.”

“Thousands of Maryland residents die every year due to overdose, with a significant number of those overdose deaths caused by opioids. Take Back Day provides a vital opportunity for us to fight against the opioid problem here in Maryland,” said DEA Assistant Special Agent in Charge Orville O. Greene.  “Those who participated in Take Back Day and disposed of unused prescription medication, may have saved someone from addiction or overdose.”

Rates of prescription drug abuse in the United States are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet.

In addition to DEA’s National Prescription Drug Take Back Day, prescription drugs can be disposed of at any of the 11,000 DEA authorized collectors at any time throughout the year, and at many local law enforcement agency sites. DEA and its partners will collect tablets, capsules, patches, and other solid forms of prescription drugs. Liquids (including intravenous solutions), syringes and other sharps, and illegal drugs are not accepted.

Given the ongoing COVID-19 public health emergency, DEA wants to ensure that the public is aware of other ways they can dispose of unwanted prescription drugs without having to leave their homes. Both the U.S. Food and Drug Administration and the Environmental Protection Agency have tips on how to safely dispose of drugs at home.

For more information on DEA’s National Prescription Drug Take Back Day, and to find a collection site in Maryland, visit https://takebackday.dea.gov/ or call 800-882-9539. 

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Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Boaz Salmon Bratton-Bey, age 38, of Owings Mills, Maryland, to four years in federal prison, followed by three years of supervised release, for federal bank fraud conspiracy and aggravated identity theft charges. Judge Russell ordered that the first year of supervised release must be spent in a half-way house or residential reentry program. During the time Bratton-Bey was perpetrating these fraud schemes, he was on supervised release from a previous federal fraud conviction.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Chief Melissa R. Hyatt of the Baltimore County Police Department; and Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division.

According to his guilty plea, Bratton-Bey and his co-conspirators committed numerous acts of bank fraud using the stolen personal identifying information (“PII”) of individual victims, without the victims’ knowledge or permission.

Specifically, on June 5, 2019, Bratton-Bey and his co-conspirators executed an “instant credit” scheme in which a co-conspirator, Terrell Meadows, used a fictitious driver’s license bearing the image of Meadows and the personal information of an individual victim to obtain a store credit card at a home improvement store.  The credit application contained the name, date of birth, Social Security Number, and other personally identifying information (PII) of a real person who did not consent to the use of his PII.  The credit application was approved and a credit card with a $12,000 line of credit was issued in temporary form instantaneously.  Transaction records indicate that on June 5 and June 6, 2019, the account was used to make a total of four purchases at four different store locations totaling in $5,988.14.  Bratton-Bey and Meadows used a U-Haul truck to load and carry away the fraudulently obtained goods. 

After one month of the truck rental, Bratton-Bey failed to provide payment and return the U-Haul truck, which caused the truck to be reported as stolen.   During a traffic stop, The Baltimore County Police located the truck, identified the driver as Bratton-Bey, and retrieved fraudulently obtained14 credit cards featuring 14 different names of real individuals.

Following the seizure of those credit cards, investigators obtained bank records from financial institutions which showed that these cards had been used to commit fraudulent transactions, totaling at least $6,822.03 in actual fraud and at least $1,046.85 in attempted fraud.  Records obtained from U-Haul revealed that Bratton-Bey paid a total of $4,039.91 for the rental of the U-Haul truck using fraudulent credit cards issued to real persons.  The total loss amount from the U-Haul rental and the cards recovered from Bratton-Bey following the traffic stop was $12,652.73. 

According to his plea agreement, investigators executed a search warrant at Bratton-Bey’s apartment on July 25, 2019.  During the course of the search warrant, Law enforcement located counterfeit identification documents bearing photographs of Bratton-Bey and other individuals, credit/debit cards issued to individuals or entities other than Bratton-Bey, mail and financial correspondence addressed to individuals other than Bratton-Bey, and several cell phones and other electronic devices.  Investigators recovered at least 12 credit/debit cards issued to individuals other than Bratton-Bey.  Investigators also found Bratton-Bey’s real driver’s license, along with a fictitious driver’s license that included Bratton-Bey’s picture and his alias, “Boa Salmon” and a fictitious social security card for the “Boa Salmon” alias.  The items recovered from Bratton-Bey’s apartment also included four other counterfeit identifications in the form of fictitious driver’s licenses bearing the PII of real victims, including counterfeit driver’s licenses for Pennsylvania and New York, in addition to Maryland.  The total loss amount from the accounts related to the cards recovered from Bratton-Bey’s apartment was $40,222.30. 

Judge Russell previously sentenced conspirator Terrell Meadows, age 32, of Rosedale, Maryland, to six months in prison, followed by three years of supervised release, for his role in the bank fraud conspiracy.

Bratton-Bey was previously convicted in U.S. District Court in Maryland for bank fraud conspiracy, access device fraud, and aggravated identity theft.  For that case, he was sentenced to 102 months in federal prison in July 2012.                    

Acting United States Attorney Jonathan F. Lenzner praised the Baltimore County Police Department and the U.S. Postal Inspection Service for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Daniel A. Loveland, Jr. and Tamera Fine, who prosecuted the case.

# # #

Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow today sentenced Mehul Khatiwala, age 37, of Voorhees, New Jersey, to 63 months in federal prison, followed by four years of supervised release, for conspiracy to commit bank fraud and for three counts of bank fraud, in connection with schemes to fraudulently obtain a total of approximately $15 million in loans from Cecil Bank to purchase hotels and a multifamily residential property, resulting in losses of more than $3.5 million.  Judge Chasanow also ordered Khatiwala to pay a $50,000 fine and to forfeit and pay restitution of $3,593,801.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Robert Manchak of the Federal Housing Finance Agency (FHFA), Office of Inspector General; Special Agent in Charge Shimon R. Richmond of the Federal Deposit Insurance Corporation-Office of Inspector General(FDIC-OIG); Special Inspector General Christy Goldsmith Romero of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP); and Inspector General Hannibal “Mike” Ware of the Small Business Administration - Office of Inspector General.

“Mehul Khatiwala will now serve more than five years in federal prison for fraudulently obtaining more than $15 million in loans.  Khatiwala’s criminal behavior stole millions of dollars from the victims, which included not only the bank that made the loans, but the American taxpayers whose tax dollars guaranteed the loans,” said Acting U.S. Attorney Jonathan F. Lenzner.  “All of us in federal law enforcement are committed to investigating and prosecuting this type of costly fraud.”

According to his plea agreement, from February 2011 through January 2014, Khatiwala and two co-conspirators executed a scheme to defraud Cecil Bank, the Small Business Administration (SBA), and other financial institutions by misrepresenting material facts in order to obtain financing for the purchase of two hotels and a multifamily residential property.  Khatiwala defaulted on the loans, causing losses to Cecil Bank and the SBA of more than $3.5 million.  According to the indictment and information presented at today’s plea hearing, on December 23, 2008, Cecil Bank’s holding company, Cecil Bankcorp, Inc., received an $11.5 million bailout from the Troubled Asset Relief Program (TARP).

Specifically, beginning in approximately April 2011, Khatiwala and Conspirator A made plans to apply for a $5 million loan at Cecil Bank to purchase the Memphis Airport Hotel in Memphis, Tennessee, as well as a $1.6 million loan to renovate that hotel.  In order to obtain a loan, Khatiwala concealed Conspirator A’s 80% ownership of the borrowing entity because Conspirator A had already reached his legal lending limit at Cecil Bank.  In May 2011, Cecil Bank’s Board of Directors approved the $5 million loan, with the condition that it be guaranteed by the SBA.  The SBA required Khatiwala, as the purported 100% owner of the borrowing entity, to show that he had equity in the borrowing entity, or cash on hand of approximately $1.8 million.  Conspirator B, who was an employee at another bank, falsely verified that Khatiwala had over $2 million on deposit at the co-conspirator’s bank.  Khatiwala admitted that he signed and submitted this statement, which he knew to be false.  The SBA approved its 75% guarantee of the $5 million loan funded by Cecil Bank.  The loan went into default in January 2015.

In 2007, Khatiwala and the other owners of the Best Western Hotel in York, Pennsylvania, refinanced a loan for the property in the amount of $6.635 million.  In early 2010, Khatiwala and his co-owners became delinquent on the loan and began discussions with the loan servicing company.  In August 2011, Khatiwala reached an agreement with the loan servicer to accept a discounted payoff of $3.625 million on the unpaid principal balance of approximately $6.6 million.  Khatiwala submitted fraudulent documentation and a fraudulent settlement statement to the loan servicer showing that the funds were being provided by a private lender.  In fact, Khatiwala had arranged for the sale of the hotel to related parties for the sum of $4.3 million.  

As early as April 2011, prior to the time Khatiwala made the misrepresentations to the loan servicer to negotiate the payoff, he began implementing the second step of his short-sale fraud scheme by arranging the sale of the hotel to Person B and one of Khatiwala’s employees.  Khatiwala fraudulently obtained a $3.225 million loan from Cecil Bank, which was guaranteed by the SBA. During the loan application review and underwriting process performed by Cecil Bank and the SBA, Khatiwala submitted false documents as to the ownership of the selling and purchasing entities, as well as false financial statements for the purchasers.  Khatiwala knew that the funds paid at closing would come from Khatiwala’s own personal bank account and other businesses, not from the purchasers, as was falsely represented to the bank and the SBA, in order to obtain approval of the loan.  As a result of this short-sale fraud, the original holder of the note on the Best Western Hotel lost $675,000, which instead went to Khatiwala.

Finally, Khatiwala admitted that beginning in February 2011, he negotiated the purchase of a multifamily residential property in Perryville, Maryland.  In order to obtain the loan, he established a company to serve as the borrowing and purchasing entity, representing to Cecil Bank that Persons A and B, a husband and wife, were the 100% owners of the company, and Khatiwala was the manager.  In fact, Conspirator A owned 50% of the company and agreed to serve as guarantor on the loan.  The bank approved a $7,122,500 loan for the purchase of the property with Persons A and B as the 100% owners of the purchasing entity.  On about March 28, 2011, several days before settlement, Khatiwala e-mailed to Conspirator A an Amended and Restated Operating Agreement reflecting Conspirator A’s 50% interest in the property and his agreement to indemnify Persons A and B for any loss, cost, liability or expense arising in connection with any enforcement of Cecil Bank’s rights under the loan guarantee agreement.  Khatiwala, Conspirator A, and Persons A and B signed the Amended Agreement; however, that material fact and document were never disclosed to Cecil Bank before or after the settlement, thus concealing Conspirator A’s ownership interest in the property.  As early as February 2012, the loan payments of approximately $29,000 per month became delinquent and the loan went into default.  Cecil Bank ultimately sold the note to a private lender for $3.252 million in lieu of foreclosure, incurring a loss of $3,583.170.

Acting United States Attorney Jonathan F. Lenzner commended the FHFA, the FDIC-OIG, SIGTARP, and the SBA-OIG, for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Martin J. Clarke and Harry M. Gruber, who prosecuted the case.

# # #

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Maria Espinal, age 53, of Montgomery Village, Maryland, yesterday to 27 months in federal prison, followed by one year of supervised release, for aiding and assisting in filing false tax returns and for aggravated identity theft.  Judge Chuang also ordered Espinal to pay restitution in the amount of $106,066.

The sentence was announced by Acting U.S. Attorney for the District of Maryland Jonathan F. Lenzner; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; Acting Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Maryland Comptroller Peter Franchot.

According to court documents and statements made in court, Maria Espinal owned and operated a tax return preparation business located in Gaithersburg, Maryland.  From 2011 through 2017, Maria Espinal prepared and filed fraudulent tax returns on behalf of her clients with the Internal Revenue Service (IRS) and the Comptroller of Maryland that claimed tax refunds to which the clients were not entitled.  To generate a fraudulent refund, Espinal altered legitimate Forms W-2 in the names of third parties and replaced the third party’s name with her client’s name.  As a result, her client claimed the third-party’s withholdings as his or her own, which generated fraudulent tax refunds.

In addition, Espinal displayed a sign on her office wall that read in Spanish “If you have lost your [identification] number or passport we have these people” and which listed the identifying information for several individuals.  Espinal used the personal identifying information for one of those individuals to obtain a fraudulent refund on behalf of another client.  Espinal also filed a tax return using another individual’s personal identifying information to generate a fraudulent refund that Espinal deposited into her own personal bank account. 

Acting U.S. Attorney Lenzner and Acting Deputy Assistant Attorney General Goldberg thanked IRS - Criminal Investigation and the Office of the Comptroller of Maryland for their work in the investigation, and commended Assistant United States Attorney Erin Pulice and Carl Brooker, formerly a Trial Attorney with the Tax Division and now an Assistant United States Attorney in the Southern District of California, who prosecuted the case.

# # #

Baltimore, Maryland – A federal criminal information has been filed charging Crystal Jones, a/k/a Crystal Powell-Jones, age 53, of Laurel, Maryland, for the federal charges of wire fraud and failure to pay to the IRS employment taxes withheld from employees’ wages.  The criminal information was filed on April 26, 2021.

The criminal information was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Acting Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office.

According to the criminal information, Jones was the owner and managing partner of JAG Professional Resources, a temporary employment agency doing business in Howard County, Maryland and elsewhere from 2012 through August 2107.  As JAG’s managing partner, Jones exercised control over all aspects of JAG’s business, including its finances.  A relative of Jones was a silent minority partner in JAG.

As detailed in the criminal information, from at least February 2013 through October 2016, Jones obtained factoring services from Victim Lender 1 for JAG.  Factoring is a means by which cash intensive businesses, like JAG, could obtain cash quickly and reliably by leveraging accounts receivable.  JAG was a cash intensive business because JAG had to pay its temporary employees weekly or biweekly, but typically did not receive payment from JAG’s clients until at least 30 days after services had been rendered, which meant that JAG could be short of the cash flow needed to pay its employees each week, but its business model was theoretically profitable if all outstanding invoices had been paid.  Specifically, JAG sold its account receivables to Victim Lender 1 and, in return, JAG received cash advances from Victim Lender 1 totaling approximately 90% of JAG’s accounts receivables.  Upon receiving payments from JAG’s clients on the outstanding invoices, Victim Lender 1 sent JAG the remaining 10% of the invoice that had been purchased, less fees Victim Lender 1 charged for its factoring services.

The criminal information alleges that from March 2016 to about May 2016, Jones caused JAG to sell Victim Lender 1 fraudulent invoices totaling more than $350,000 for services that JAG had purportedly provided to a City in Ohio.  The City in Ohio had contracted with JAG for temporary employment services beginning in February 2013, but JAG’s relationship with the City in Ohio ended in about February 2016.

To execute the scheme, Jones allegedly created false paystubs purportedly issued by JAG and fraudulent invoices that purported to represent services that JAG had provided, so Jones could obtain loans for her own benefit and the benefits of others.  Jones allegedly sent emails to representatives of Victim Lender 1 falsely stating that payments on the false and fraudulent invoices were coming, to lull Victim Lender 1 into a false sense of security about the outstanding collections.  Further, Jones allegedly appropriated the names, signatures, and personal identifying information of her silent partner and others for Jones’s own benefit.

In addition, the criminal information alleges that from January 2014 to October 2016 Jones withheld payroll taxes from the wages paid to JAG employees, but neglected to pay the taxes withheld over to the Internal Revenue Service, resulting in a tax loss to the United States of at least $523,244.38.

If convicted, Jones faces a maximum sentence of 20 years in federal prison for wire fraud; and a maximum of five in federal prison for failure to pay over employment taxes.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  Jones is expected to have an initial appearance and arraignment in U.S. District Court in Baltimore before U.S. District Judge George L. Russell III, although no date has been scheduled.

A criminal information is not a finding of guilt.  An individual charged by criminal information is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the IRS-CI for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Dana J. Brusca and Harry M. Gruber, who are prosecuting this case.

# # #

Greenbelt, Maryland – Marian Unguru, age 36, of Baltimore, Maryland pleaded guilty late yesterday to a federal bank fraud and wire fraud conspiracy, in which the conspirators received approximately at least $1,115,571.68 from 2,654 stolen checks. 

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Shimon R. Richmond of the Federal Deposit Insurance Corporation, Office of Inspector General (FDIC-OIG); Chief Marcus Jones of the Montgomery County Police Department; Chief Toni Dezomits of the Cary, North Carolina, Police Department; and Sheriff Dusty Rhoades of the Williamson County, Tennessee, Sheriff’s Office.

According to Unguru’s plea agreement, from June 2018 to January 2021, Unguru and his co-conspirators fraudulently opened bank accounts at victim financial institutions.  Unguru and his co-conspirators stole checks from the incoming and outgoing mail of churches and other religious institutions, then deposited the stolen checks into the fraudulently opened bank accounts.  Unguru and his co-conspirators then withdrew the funds and spent the fraudulently obtained proceeds.

Specifically, Unguru admitted that he and his co-conspirators used foreign identity documents, often but not universally Romanian, in both their true identities as well as suspected fictitious identities, to fraudulently open bank accounts at victim financial institutions.  Unguru and his co-conspirators then fraudulently negotiated the stolen checks by depositing the stolen checks into the victim bank accounts, often by way of automated teller machine (ATM) transactions, then made cash withdrawals from ATMs and purchases using debit cards associated with the bank accounts.  

Unguru admitted that during the course of the conspiracy, he personally deposited at least 90 stolen checks, totaling at least $35,662.79, and withdrew at least $22,200 from the accounts that received the checks.  In total, the fraudulently opened bank accounts received approximately at least $1,115,571.68 from 2,654 stolen checks.  Based on Unguru’s involvement in the scheme and his relationship with the other conspirators, between $550,000 and $1.5 million in actual and intended loss was foreseeable to Unguru.

As part of his plea agreement, Unguru has agreed to pay restitution in the full amount of the victims’ losses, which is at least $1,115,571.68, and to forfeit $14,100 in cash seized during a search of Unguru’s home on October 9, 2020.

Unguru faces a maximum sentence of 30 years in federal prison for conspiracy to commit bank fraud and wire fraud.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  U.S. District Judge Theodore D. Chuang has scheduled sentencing for Unguru on July 28, 2021, at 10:00 a.m.

Acting United States Attorney Jonathan F. Lenzner commended the U.S. Postal Inspection Service, HSI, the FDIC Office of Inspector General, the Montgomery County Police Department, the Cary (North Carolina) Police Department, and the Williamson County (Tennessee) Sheriff’s Office for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Elizabeth Wright, who is prosecuting the case.

# # #

Greenbelt, Maryland – A federal criminal complaint has been filed charging Edward Scott Finn, age 46, of Dunkirk, Maryland, for the federal charges of attempting to evade or defeat taxes for tax years 2014 through 2019.  Finn is a Lieutenant with the Prince George’s County Police Department and owned and operated Edward Finn Inc. (EFI).  EFI employs off-duty law enforcement officers to provide security services to apartment complexes and other businesses, primarily in Prince George’s and Montgomery Counties.  Finn was arrested on April 22, 2021 and will have an initial appearance today at 1:30 p.m. before U.S. Magistrate Judge Gina L. Simms.

The federal charges were announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office.

According to the affidavit filed in support of the criminal complaint, Finn allegedly omitted a total of $1.3 million of EFI income on his 2014 through 2019 individual income tax returns.  During that time frame, the affidavit alleges that Finn deposited approximately $1,397,295 of checks written for services from EFI into his personal bank account or into his children’s bank accounts.  These security service deposits were not reported as income on EFI’s corporate tax returns for tax years 2014 through 2019, nor as income on Finn’s personal tax returns.  This underreported income resulted in a total tax loss to the government of $484,281.

If convicted, Finn faces a maximum sentence of five years in federal prison for each of five counts of attempting to evade and defeat taxes.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. 

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the IRS-CI and the FBI and for their work in the investigation and thanked the Prince George’s County Police Department and the Prince George’s County State’s Attorney’s Office for their assistance.  Mr. Lenzner thanked Assistant U.S. Attorneys Thomas M. Sullivan and Thomas P. Windom, who are prosecuting this case.

# # #

Baltimore, Maryland – U.S. District Judge Paul W. Grimm sentenced Desmond Ringgold, a/k/a Worm and Fool, age 32, of Baltimore, Maryland to 15 years in federal prison, followed by five years of supervised release, for his role as a supervisor in a prolific drug trafficking organization (DTO) that operated in and around Baltimore. 

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office; Chief Marcus Jones of the Montgomery County Police Department; and Commissioner Michael Harrison of the Baltimore Police Department.  

According to Ringgold’s plea agreement, from October 2018 to April 2019, law enforcement investigated a DTO operating in the Baltimore metropolitan area that sold heroin, cocaine base (crack cocaine), and fentanyl to drug users and drug redistributors from Maryland, Virginia, West Virginia, and Pennsylvania. The DTO sold thousands of dollars in narcotics on a daily basis, with street-level distributors in the DTO working in shifts and sharing the phones they used to communicate with DTO leadership and customers.  Customers of the DTO believed they were purchasing heroin, but the DTO adulterated all heroin it sold with fentanyl.

Investigators identified Ringgold as a supervisor and manager in the drug trafficking organization.  As such, Ringgold managed daily supplies of narcotics and the collection of drug proceeds from distributors.  Investigators regularly overheard Ringgold arranging to resupply co-conspirators with heroin and cocaine base to sell to drug customers.  Ringgold also communicated about the DTO business with a leader in the DTO, serving as a conduit between street-level dealers and DTO leadership.  Ringgold admitted that over the course of the conspiracy he distributed more than one kilogram of heroin to street-level distributors.

This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.               

Acting United States Attorney Jonathan F. Lenzner praised the FBI, the DEA, the Montgomery County Police Department, and the Baltimore Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Matthew DellaBetta, who prosecuted the case.

# # #

Baltimore, Maryland – Marcus Street, age 26, of Baltimore, Maryland, pleaded guilty today to enticing and persuading a minor victim to engage in sexually explicit conduct to produce child pornography, which Street admitted he also distributed. 

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI); Baltimore City’s State’s Attorney Marilyn J. Mosby; Commissioner Michael Harrison of the Baltimore Police Department (BPD); and Baltimore County Sheriff Jay Fisher.

According to Street’s guilty plea, in December 2019, HSI and BPD investigators conducted a forensic review of the of a 14-year-old victim’s cell phone.  The review revealed six 15-second videos of the victim engaged in sexual acts with an adult man.  In some of the videos, a distinctive tattoo on the man’s left forearm is visible.  Further investigation identified Street as the man depicted in each of the videos.

Law enforcement interviewed Street on December 10, 2019, concerning his interaction with the victim.  Street initially claimed that he did not engage in sexual acts with the minor victim.  When law enforcement confronted Street with the video of him engaging in sex acts with a minor, Street stated “oh yeah, I did one time, I ain’t gonna lie I did”.  Street also told law enforcement that he recorded the video.  Following the interview, law enforcement obtained an arrest warrant and Street was arrested on January 6, 2020.  After his arrest, Street was again questioned by law enforcement and admitted to engaging in sexually explicit conduct with the victim, stating, “That was it, that was the last time I did anything with this girl.”

Investigators subsequently executed search warrants on Street’s cell phone, social media account, and on the victim’s social media account.  Review of Street’s cell phone revealed two minutes-long videos of him engaging in sex acts with the victim.  A review of Street’s and the victim’s social media accounts showed that Street had sent shortened versions of those videos, 15 seconds in length, to the victim using social media. 

Street faces a mandatory minimum sentence of 15 years in federal prison and a maximum of 30 years in federal prison for production of child pornography.  U.S. District Judge George L. Russell has scheduled sentencing for August 19, 2021 at 12:30 a.m.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.         

Acting United States Attorney Jonathan F. Lenzner commended the HSI, the Office of the Baltimore City State’s Attorney, the Baltimore Police Department, and the Baltimore County Sheriff’s Office for their work in the investigation and thanked the Federal Bureau of Investigation for its assistance.  Mr. Lenzner thanked Assistant U.S. Attorneys Daniel A. Loveland, Jr. and Ayn B. Ducao.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.

# # #

Greenbelt, Maryland – Philip Mungin, age 58, of Bryans Road, Maryland, pleaded guilty today to forgery of a military discharge certificate and identity theft, in connection with a scheme in which Mungin provided fraudulent DD-214 discharge certificates to individuals for fraudulent military waiver applications for commercial driver’s licenses in exchange for payment.    

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jamie Mazzone, U.S. Department of Transportation, Office of Inspector General, Washington Regional Office; and Special Agent in Charge Christopher Dillard of the Defense Criminal Investigative Service - Mid-Atlantic Field Office.

According to his guilty plea, between 1997 and 1999, Mungin was enlisted in the Army.  Upon Mungin’s discharge in 1999, Victim 1, was the “Senior Transition Specialist” who helped process Mungin’s discharge and signed Mungin’s military discharge certificate, known as the DD-214. 

Federal law mandates that drivers of commercial vehicles, such as tractor-trailers and semi-trucks, obtain a commercial driver’s license (CDL).  Among other requirements, CDL applicants must pass both a written test and a driving skills test.  Third-parties, such as driving schools, are authorized to train prospective CDL holders and administer the necessary tests, however, this training generally takes weeks to complete and may cost students $3,000 to $7,000.  The Department of Transportation implemented a program in 2011, aimed at helping U.S. military veterans to get jobs by allowing states to waive the driving skills test for U.S. military veterans who could provide proof that they had been trained to operate the relevant vehicles in the military.  To demonstrate their eligibility, veterans had to submit their DD-214 and complete an application, signed by the applicant’s commanding officer to certify that they had the relevant driving experience.

As detailed in the plea agreement, in December 2018, employees at the Maryland Motor Vehicle Administration (MVA) office in Waldorf, Maryland, became suspicious of waiver documents submitted by an applicant and confronted the applicant.  The applicant, who had never been in the military, identified Mungin as the person who offered to help him get a CDL by submitting falsified military paperwork.  MVA investigators subsequently learned that 44 individuals had submitted fraudulent waiver applications.  Many of the drivers who obtained CDLs based on fraudulent military paperwork identified Mungin as the person who helped them.  Thirty-four of the fraudulent applications had Victim 1’s name and title at the bottom of the form, many of which included a forged or photocopied version of Victim 1’s signature.  The certifying commanding officer on nearly all of the fraudulent waiver forms was the same, a purported colonel.  Department of Defense records showed that no person by that name had ever served in the U.S. military.

Specifically, Mungin admits that he falsified DD-214s and military waiver forms for drivers wanting to obtain CDLs, in exchange for the drivers paying Mungin—reportedly between $500 to $2,000 each.  Employees at the Waldorf MVA were familiar with Mungin because he often accompanied applicants with fraudulent paperwork to obtain their licenses, typically wearing a military uniform while doing so.  At times, Mungin told the employees he was a member of the military police accompanying members who were about to be discharged to obtain their CDLs.  At least one fraudulent CDL was issued in Virginia using the same forged DD-214 that Mungin had used with the Maryland drivers.  In that application, Mungin listed himself as the commanding officer on the waiver form.

Mungin acknowledged that he received between $15,000 and $40,000 to create false military paperwork, including DD-214s, to assist drivers in fraudulently obtaining CDLs.

As part of his plea agreement, Mungin will be required to forfeit any money, property, or assets derived as a result of, or used to facilitate, the commission of his illegal activities, and will also be required to pay a money judgment of $2,000.

Mungin faces a maximum sentence of one year in federal prison for forgery of a military discharge certificate and a maximum of 15 years in federal prison for identity theft.  U.S. District Judge Paula Xinis has scheduled sentencing for August 16, 2021 at 10:00 a.m.

Acting United States Attorney Jonathan F. Lenzner commended the DOT OIG, DCIS, and the Maryland MVA Office of Investigations and Internal Affairs for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Catherine K. Dick, who is prosecuting the case.

# # #

Baltimore, Maryland – A federal grand jury returned an indictment late yesterday charging Desmond Babloo Singh, age 19, of New York, New York, for the federal charges of cyberstalking and aggravated identity theft.

The indictment was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Chief Melissa R. Hyatt of the Baltimore County Police Department.

“HSI remains committed to protecting the public from cyberstalking and other online harassment,” said Special Agent in Charge James R. Mancuso of Homeland Security Investigations Baltimore field office. “The internet and social media platforms are not safe havens for criminal conduct and we will continue to pursue and hold the individuals accountable for their crimes.”   

According to the four-count indictment, Singh, the younger brother of a former middle school classmate of Victim 1’s, began following Victim 1 on multiple social media platforms after Singh’s family moved from Maryland to Texas.  Between approximately 2014 to February 14, 2020, Victim 1 and Singh exchanged limited communications online, but there was never a romantic relationship of any sort between Singh and Victim 1; in fact, Victim 1 had never met Singh in person.  Despite this, on Valentine’s Day 2020, Singh shared with Victim 1 a private social media post in which he professed his love for Victim 1.  He also shared with Victim 1 a separate online posting in which he further expressed his romantic interest in Victim 1.  Victim 1 rebuffed his advances and eventually asked him not to contact her any further. 

The indictment alleges that over the course of the next 10 months, Singh orchestrated and executed a relentless cyberstalking and harassment campaign against Victim 1. Singh carried out a similar cyberstalking campaign against Victim 2, an associate of Victim 1’s, whom Singh perceived to be a romantic rival. Specifically, the indictment alleges Singh used more than 100 different social media, electronic communication, and phone accounts to send Victim 1 harassing communications, some of which included express or implied threats of death or bodily injury, sexualized violence.  The communications also contained racial slurs directed at Victim 1.  The indictment further alleges that Singh used images of Victim 1 in the harassing communications, in which he denigrated Victim 1’s appearance and character and encouraged others to harass Victim 1.  The indictment further alleges Singh posted identifying information of Victim 1 including her address, phone number, school, social media identities, birth date, and other identifying information.  One post containing Victim 1’s identifying information included the text, “UGLY [racial slur] GIRL PLS DO MORE TO HER”. 

According to court documents, Victim 1 pleaded with Singh and his immediate family members to cease the online harassment, but to no avail.  Victim 1 told Singh that if he did not cease the harassment, she would seek a no-contact order.  In response, Singh allegedly sent a text message to Victim 1 stating, “You think I’m kidding I’m genuinely never going to stop, its going to be really funny…” 

On July 19, 2020, a harassing account, allegedly created by Singh, posted Victim 1’s parents’ Maryland address and stated there would be a party at that address the following day.  On July 20, 2020, Victim 1’s parents’ address was the subject of a false bomb threat, which was reported anonymously to the Baltimore County Police.  The following day, Singh allegedly texted Victim 1 from an anonymous phone number, writing “you’re getting swatted.”

As detailed in court documents, Singh’s alleged harassment campaigns also involved gaining unauthorized access to Victim 1’s social media accounts.  Specifically, Singh is alleged to have gained unauthorized access to two such accounts.  Singh used his unauthorized access to those accounts to obtain private photos of Victim 1, which he then posted online.  Singh also posted pictures of himself from one of Victim 1’s accounts, along with the text, “omg he’s so hot!!!”.

Finally, Singh allegedly conducted a similar cyberstalking and harassment campaign targeting Victim 2, which included creating social media accounts to denigrate Victim 2’s character, post Victim 2’s identifying information, and threats to engage Victim 2 in physical violence.  For instance, Singh allegedly posted a video to social media platforms, which showed an unidentified person knocking on front door of a residence where Victim 2 previously lived.  In this communication and others, Singh allegedly threated to seek out and fight Victim 2.

If convicted, Singh faces a maximum sentence of five years in federal prison for each of two counts of cyberstalking and a mandatory sentence of two years in federal prison, consecutive to any other sentence imposed, for each of two counts of aggravated identity theft. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  Singh is currently detained.

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the HSI and the Baltimore County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Christopher M. Rigali and Zachary A. Myers, who are prosecuting this case.

# # #

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander today sentenced Gregory Ray Blosser, age 39, of Tampa, Florida, to 32 months in federal prison, followed by three years of supervised release, for a wire fraud charge in connection with a scheme to defraud clients of The Surrogacy Group (TSG), which he owned and operated from offices in Annapolis, Maryland and Tampa, Florida.  Judge Hollander also ordered that Blosser must forfeit $1,104,706 and pay restitution in the amount of $1,194,519.54.  Blosser was arrested on April 29, 2019 in Florida and has been under home confinement since his arrest.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office.

“Gregory Blosser took advantage of and defrauded 44 individuals who were trying to become parents,” said Acting U.S. Attorney Jonathan F. Lenzner.  “Blosser misappropriated funds from escrow accounts that belonged to families and were owed to surrogates carrying babies.  This sentence should send a message to heartless criminals like Blosser who choose to line their pockets by taking advantage of people who are simply trying to start a family.”

“Dreams, hopes and bank accounts were wiped clean by Mr. Blosser who preyed on couples who were already in a vulnerable place,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “Today’s sentencing is a reminder that the FBI will use our resources appropriately to root out fraudulent surrogacy schemes that violate the trust of the American public.”

According to Blosser’s plea agreement, TSG was incorporated in Maryland on January 5, 2012 and offered and sold surrogacy-related services throughout the United States and internationally to individuals who desired to have children using a pregnancy surrogate.  From at least 2015 until his arrest in 2019, Blosser solicited and accepted funds from TSG clients who desired to have children using a surrogate, representing that these funds would be held in escrow.  Blosser told the clients that he would act as their agent disbursing the funds to the surrogate pursuant to contracts between the TSG client and TSG, and the TSG client and the surrogate.

Instead, Blosser admitted that beginning in 2017, he converted a significant portion of the funds he promised to hold in escrow to his own use without the authorization of the TSG client and failed to pay the surrogate as he had agreed to do. Blosser did not, as promised, create separate escrow accounts for these funds and as a result, those funds intermingled with TSG’s operating accounts and were used to pay business expenses, service business loans, and for other purposes not permitted under the escrow agreements.  TSG clients were forced to pay the surrogate’s expenses themselves, effectively paying twice for the services Blosser had promised to deliver.

As detailed in his plea agreement, at Blosser’s direction, at least seven victims paid fees to establish an escrow account to be controlled by Blosser, with the funds to be used to find a suitable surrogate, and to support the surrogate during a pregnancy.  The victims lived in Maryland, Australia, North Carolina, Germany, and Virginia.  In each case, after the victims deposited funds into the escrow account, Blosser either did not locate a suitable surrogate, or did not pay the surrogate the agreed-upon fees.

In total, Blosser fraudulently obtained approximately $1,104,706 from approximately 44 victims.

Blosser is also facing related civil suits filed by the States of Maryland and Florida.

Acting United States Attorney Jonathan F. Lenzner commended the FBI for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Leo J. Wise, who prosecuted the case.

# # #

Baltimore, Maryland – Njideka Udochi, M.D., a family practice physician who owns Millennium Family Practice in Howard County, has agreed to pay the United States $663,094.76 to resolve allegations that she submitted false claims to the Medicare program for fraudulent neurostimulator billings, arising from the use of an auricular stimulation (“P-Stim”) device. 

The settlement agreement was announced today by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Maureen Dixon, Special Agent in Charge of the Office of Inspector General for the Department of Health and Human Services.

“Taping a device with adhesive is clearly not the same as surgical implantation,” said Acting United States Attorney Jonathan Lenzner. “Falsely billing the government for a procedure that reimburses at a high rate for such a simple procedure that is not reimbursed at all diverts valuable government resources and undermines confidence in our healthcare system.  This settlement will restore funds that should not have been reimbursed and should serve as a bold reminder that improper billing will not be tolerated.  I commend our partners at CMS’s Center for Program Integrity and HHS-OIG for identifying and eliminating this kind of waste and abuse in our federal healthcare programs.”

In her practice, Dr. Udochi used a P-Stim device to treat her pain patients.   A P-Stim device provides electrical acupuncture to treat pain symptoms and is applied externally to the patient, generally behind the patient’s ear.  Acupuncture, electrical or otherwise, is not reimbursable by Medicare.    

According to the settlement agreement, from January 2019 to May 2019, Dr. Udochi falsely billed Medicare for the use of the P-Stim device by using the Healthcare Common Procedure Coding System (HCPCS) code for a neurosurgical procedure of an invasive and extensive nature where the device is implanted into the patient. HCPCS codes are used by Medicare to determine the level of reimbursement to providers. Medicare reimburses providers approximately $6,255.61 for an implantable neurostimulator procedure, reflecting the complexity and in-depth nature of surgical implantation of a neurostimulator.  Despite the fact that Medicare does not provide any reimbursement for the use of acupuncture devices, Dr. Udochi’s false billing for P -Stim devices, that were taped behind the ears of her patients and were often removed by her patients at home without assistance from a medical professional, caused Medicare to pay her hundreds of thousands of dollars. 

The claims resolved by this settlement are allegations.  The settlement is not an admission of liability by Dr. Udochi, nor a concession by the United States that its claims are not well founded.

Acting United States Attorney Jonathan Lenzner commended the Office of Inspector General for the Department of Health and Human Services for its work in the investigation.  Mr. Lenzner also thanked Assistant United States Attorneys Matt Haven and Allen Loucks, along with Investigators Steve Capobianco and Ann Thiel, who handled and investigated the case.

# # #

Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Cheikh Ahmet Tidiane Cisse, age 45, of Baltimore, Maryland, today to three years and a day in federal prison, followed by three years of supervised release for theft of government property and aggravated identity theft, in connection with a scheme in which Cisse filed fraudulent claims for Social Security benefits using fictitious identities and the identities of actual individuals, and attempted to collected over $236,000.  Judge Russell also ordered Cisse to pay restitution of $83,247 and forfeit $30,000 seized from Cisse’s home and pay a money judgment in the amount of $51,107.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Gail S. Ennis, Inspector General for the Social Security Administration.

Cisse was employed by the Social Security Administration (SSA) as a Claims Specialist in SSA’s Office of International Operations.  Cisse admitted that between July 2018 and March 2019, he filed fictitious claims for benefits using stolen identities and identity documents he obtained through the course of his employment with SSA in order to steal or attempt to steal over $236,000 from SSA.

According to his plea agreement, as part of his job, Cisse was responsible for reviewing the identity documents of social security claimants living abroad, such as passports, marriage certificates, and identity cards.  Cisse then created new, fictitious identities in SSA's database, often using information from the foreign identity documents he reviewed, which were issued social security numbers (SSNs).  Cisse used the fictitious identities to file fraudulent claims for social security divorced spouse survivor's benefits against actual deceased individuals, directing the benefits payments to debit cards or bank accounts he opened in the names of the fictitious identities using the identity documents he obtained through his employment.  Cisse sometimes provided his home address for that of the fictitious claimants, but also provided an address in Quebec, Canada, that corresponded to a mail forwarding service to which he subscribed, making it appear as if the fictitious claimants lived abroad.  Through this mail forwarding service, Cisse received mail associated with the scheme, including genuine social security cards in the names of the fictitious identities and benefits payments.

As detailed in the plea agreement, in one instance, when SSA stopped payment on the $10,734 back payment for one of the fraudulent claims due to suspected fraud, Cisse contacted SSA’s payment center and falsely relayed that the purported beneficiary had called inquiring about the whereabouts of the payment, causing the SSA payment center to issue the back payment by direct deposit.  Cisse received a total of approximately $25,916 as a result of this fraudulent claim, which he spent through cash withdrawals and retail purchases.

In total, Cisse submitted at least nine fraudulent claims in stolen and fictitious identities, causing SSA to pay approximately $87,000 in fraudulent claims through direct deposit, issue approximately $46,000 in checks that were never negotiated, and authorize approximately $103,000 in claims that SSA halted before payments were issued.  Cisse personally received and spent $82,047 as a result of the scheme.

Acting United States Attorney Jonathan F. Lenzner commended the SSA Office of Inspector General for their work in the investigation.  Mr. Lenzner thanked Special Assistant U.S. Attorney Michael F. Davio, who is prosecuting the case.

# # #

Greenbelt, Maryland – A criminal complaint was filed today in U.S. District Court in Maryland charging Oluwaseyi Akinyemi a/k/a “Paddy Linkin”, a/k/a “Joseph Kadin”, age 34, of Hyattsville, Maryland, for the federal charges of mail fraud, attempted mail fraud, and mail and wire fraud conspiracy, in connections with an advanced fee fraud scheme using social media to target elderly victims and causing losses of $474,145.07.

The criminal complaint was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Interim Chief Hector Velez of the Prince George’s County Police Department.

According to the affidavit filed in support of the criminal complaint, from July 10, 2018 to April 29, 2019, Akinyemi was a member of the a fraud group (the AFG), a group of Nigerian nationals who engaged in a social media-based advanced fee fraud schemes targeting elderly individuals.  Allegedly, AFG members perpetrated a financial scheme in which they created fictitious social media accounts to encourage elderly victims to send cash to cover “taxes” or “fees” in order to receive substantial financial awards.  The affidavit alleges that, in some instances, the AFG created fraudulent social media accounts of friends of the victims, making the victims believe they were communicating with individuals they knew and trusted.  Once the victims displayed a level of interest, the AFG allegedly opened a new account or persona (“the Closers”) to carry out the fraud scheme.  At times, the Closers fraudulently posed as real or fictitious government agencies offering the victims financial awards in exchange for associated taxes and fees.  The affidavit further alleges that once victims sent funds to individuals in Maryland and elsewhere, AFG members forwarded the victims’ funds to co-conspirators in Nigeria.  The affidavit alleges that Akinyemi is one of the individuals that received victims’ cash or gift card payments through mail services.

As detailed in the affidavit, on April 16, 2019, the Prince George’s County Police Department intercepted a package sent to “Paddy Linkin” at Akinyemi’s address.  The package was found to contain $30,000 in cash wrapped in money bands and concealed inside two stuffed animal bears.  The money was seized by law enforcement.  As detailed in the criminal complaint, Victim 1 was identified as the sender and was subsequently interviewed by law enforcement.  According to the affidavit, Victim 1 received an application for a purported federal government program from an individual that the victim believed was a “friend” on a social media platform, because the sender’s profile picture matched that of an individual with whom Victim 1 was friends.  The “friend” vouched for the program.  Victim 1 was allegedly contacted by a Closer, who advised that Victim 1 was approved for $100,000 in grant funds but needed to pay taxes to receive the grant funds.  Once Victim 1 sent funds for the “taxes”, she received a “Certificate of Completion” with the Internal Revenue Service seal and another certificate bearing her full name and the text: “Federal Government Grants for the sum of $5,000,000.”  Victim 1 was then notified that the Central Intelligence Agency was going to confiscate the grant funds if he/she did not send more money to cover the taxes on the awarded grant. Following the Closer’s specific instructions, Victim 1 allegedly sent a total of approximately $70,000 to $80,000 in cash to “Paddy Linkin” in six packages addressed to Akinyemi’s residence as well as to an address in Midland, Texas, including the $30,000 seized by the Prince George’s County Police officers.  According to the affidavit, Victim 1 withdrew funds from a retirement account and obtained a bank loan in order to pay the “taxes” believing that he/she would receive federal grants.

At least 13 victims have allegedly been defrauded of a total of $474,145.07 through the AFG scheme. 

If convicted, Akinyemi faces a maximum sentence of 20 years for each count of mail fraud, attempted mail fraud and mail fraud conspiracy.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Timothy J. Sullivan ordered that Akinyemi be detained.

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the HSI and the Prince George’s County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Rajeev R. Raghavan and Erin B. Pulice, who is prosecuting this case.

The Department of Justice has an interactive tool for elders who have been financially exploited to help determine to which agency they should report their incident, and also a senior scam alert website.  Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324.  Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP.

# # #

Baltimore, Maryland – A federal criminal complaint has been filed charging Eddy Blizzard, age 42, of Perry Hall, Maryland, with a federal wire fraud charge and with aggravated identity theft, in connection with a fraud scheme in which he embezzled more than $1 million from a client’s retirement account.  The criminal complaint was filed on April 14, 2021 and unsealed upon Blizzard’s initial appearance today.

The criminal complaint was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Special Agent in Charge Mark P. Higgins of the Federal Housing Finance Agency, Office of Inspector General.

“This defendant is charged with perpetrating a heartless scheme that preyed on a vulnerable elderly victim, allegedly stealing more than a million dollars,” said Acting U.S. Attorney Jonathan F. Lenzner.  “As a result of the fraud the victim’s house went into foreclosure and he owed the IRS at least $63,000.  We will continue to work with our law enforcement partners to bring to justice those who perpetrate these despicable schemes targeting elderly victims.  I encourage anyone who believes they may be a victim of financial fraud to contact the Elder Fraud Hotline at 833-FRAUD-11 (833-372-8311).”

According to the affidavit filed in support of the criminal complaint, Blizzard held several licenses that allowed him to operate as a registered broker and a registered investment adviser per the Financial Industry Regulatory Authority (“FINRA”).  From 2003 to 2014, Blizzard was employed by a bank securities company (Bank 1) and from 2014 to 2017 he was employed by a bank investment services company (Bank 2), both in Maryland.   

As detailed in the affidavit, victim R.M. was a resident of Maryland and was 75 years old in January 2020.  On December 12, 2019, R.M. was interviewed as part of this investigation.  R.M stated to investigators that beginning in 1963, R.M. went to work for a Baltimore based commercial air-conditioning company, where he enjoyed a successful career installing commercial grade air conditioning units around the country.  R.M. told investigators he routinely worked approximately 15 to 30 hours of overtime per week during his career to make extra money.  In 2003, after approximately 40 years of service with the air conditioning company, R.M. took a buyout and retired.  Six months later, R.M. decided to invest his retirement funds in order to provide an inheritance for his grandchildren.  R.M. sought investment advice from Bank 1, where he had his depository accounts.

Blizzard began working at Bank 1 shortly after R.M. began investing there and became R.M.’s financial adviser.  R.M. allegedly told investigators that in about 2005, Blizzard “went on his own” meaning that Blizzard began working as an independent financial advisor and asked R.M. if R.M. wanted to leave Bank 1 and use Blizzard as a full-time financial advisor.  Blizzard allegedly told R.M. that it would be a while before he had his own office, but he would continue to work out of the Bank 1 branch in Catonsville, Maryland.  A review of publicly available FINRA records shows that Blizzard never went to work as an independent financial advisor.  As detailed in the affidavit, approximately once a month, R.M. would drive from his new home in Chester, Maryland on the Eastern Shore to meet with Blizzard at Bank 1 in Catonsville, approximately one hour away; however, R.M. and Blizzard would meet in Blizzard’s car, not the office.  These meetings lasted 30-45 minutes and R.M. was never told why they were meeting in Blizzard’s car. 

In approximately 2010, the affidavit alleges that, at Blizzard’s request, R.M. gave Blizzard 15-20 signed blank checks, which Blizzard used.  According to the affidavit, R.M. did not know what the checks were for, but recognized Blizzard’s handwriting when he received the cancelled checks in the mail.   During the years of investment with Blizzard, R.M. stated that he believed his retirement funds were protected, meaning they would not lose value – a fact that was allegedly told to R.M. numerous times by Blizzard and Blizzard’s wife.  R.M. also believed that his mortgage was being paid by Blizzard.   

The affidavit alleges that on approximately 12 different instances, R.M. went to his local bank to withdraw cash and was told there was not enough money in the account.  R.M. would then call Blizzard to let him know about the deficiency.  Blizzard allegedly would then tell R.M. to wait a day or two and there would be funds in the account to withdraw. 

In August 2019, R.M. was preparing to go on a family vacation and attempted to withdraw $1,000 to $1,500 in cash from the local Bank 1 branch and was told there were not sufficient funds in the account.  R.M. attempted to contact Blizzard on his cell phone for a week with no response.  R.M. then went to Blizzard’s Perry Hall, Maryland residence to talk to Blizzard in person, knocking on the front and back doors of Blizzard’s residence.  No one came to the door, but according to the affidavit R.M. received a voicemail from Blizzard, while he was still at Blizzard’s home.  In the voicemail, Blizzard allegedly stated that the neighbors had called him and were complaining about the banging on the door.  As detailed in the affidavit, Blizzard further explained that all of R.M.’s money was gone. 

According to the affidavit, a review of R.M.’s depository and investment accounts showed that between January 2013 and August 2019 there were a total of 242 distributions totaling approximately $1.4 million from R.M.’s retirement accounts. Of those, 129 distributions totaling $1.2 million were specifically requested from R.M.’s retirement accounts instead of being regular systematic annuity payments. After taxes and fees were deducted from those requested payments, approximately $1 million was deposited into R.M.’s Bank 1 account.  This review allegedly also revealed that from April 2016 to April 2019 Blizzard deposited approximately 112 checks drawn on R.M.’s account into various bank accounts at Bank 1 and elsewhere that were held by Blizzard jointly with his wife or individually.  These checks totaled approximately $848,000 and were written to Blizzard or Blizzard’s wife.  A review of these checks showed that almost all had comments written on the memo section indicating various purposes such as payment of property taxes, construction, boat payments, and down payments for a new house.  

In addition, the affidavit alleges that R.M. received a letter from the IRS, which he turned over to Blizzard as Blizzard had instructed.  R.M.’s relatives later determined that R.M. owed approximately $63,000 in federal income tax due to disbursements from R.M.’s retirement accounts that were allegedly stolen by Blizzard.  In the fall of 2019, R.M.’s home was put into the foreclosure process because of lack of payment which R.M. allegedly thought was being handled by Blizzard.  R.M. died on March 20, 2020.

If convicted, Blizzard faces a maximum sentence of 20 years in federal prison for wire fraud and a mandatory sentence of two years, consecutive to any other sentence, for aggravated identity theft.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Deborah L. Boardman ordered that Blizzard be released pending trial.

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the FBI and the FHFA OIG for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Aaron S. J. Zelinsky, who is prosecuting this case.

The Department of Justice has an interactive tool for elders who have been financially exploited to help determine to which agency they should report their incident, and also a senior scam alert website.  Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324.  Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP.

# # #

Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Vantino Johnson, age 23, of Charlotte, North Carolina, in Maryland today to 18 months in federal prison, followed by five years of supervised release on the federal charges of bank fraud conspiracy and bank fraud, in connection with a scheme to negotiate stolen altered postal service money orders at victim financial institutions.  Judge Xinis ordered that Johnson pay restitution in the full amount of the victims’ losses, $272,087.19.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division.

According to his guilty plea, between May and October 2019, Johnson and others conspired to defraud victim financial institutions by negotiating stolen and fraudulent postal money orders.  Specifically, Johnson admitted that he and his co-conspirators stole money orders from post offices in Maryland and North Carolina, then altered the stolen money orders to reflect being issued for $800 or $1,000.  Johnson and his co-defendants then deposited the stolen and altered money orders into bank accounts that had been opened at the victim financial institutions in the names of identity theft victims, using those victims’ means of identification without their knowledge or permission.

On October 17, 2019, law enforcement executed search warrants at two residences in North Carolina associated with Johnson and at a residence in Waldorf associated with Beamon.  A search of Johnson’s residences as well as his vehicle recovered: receipts showing the deposit of stolen postal money orders; debit cards for bank accounts that were opened in a number of victims; money orders stolen from various post offices; stolen and altered money orders; blank paper printed with amounts, issue dates, and post office zip codes; and a loaded firearm.

A search of the Waldorf residence associated with Beamon recovered: a stolen postal arrow key used to open United States Postal Service collection boxes; checks that were stolen from the mail; blank paper printed displaying amounts, issue dates, and post office zip codes; and approximately 37 postal money orders.  Law enforcement also seized nine firearms from Beamon’s residence, including one AR-15 style ghost gun assault rifle, firearms with extended magazines, and approximately 553 rounds of various ammunition.

As detailed in their respective plea agreements, between May and October 2019, in Maryland and North Carolina, Johnson deposited 61 fraudulent postal money orders into at least 12 bank accounts that had been opened using the identification of at least 11 separate individuals.  Beamon deposited 34 fraudulent postal money orders into at least 6 bank accounts that had been opened using the identification of at least 5 separate individuals.  During the course of the conspiracy, it was foreseeable to Johnson and Beamon that the conspirators negotiated $529,000 in stolen money orders.  At least $150,200 was negotiated into accounts controlled by Johnson, and at least $124,800 was negotiated into accounts controlled by Beamon.

Johnson’s co-conspirator, Remy Beamon, age 24, of Waldorf, Maryland, pleaded guilty to federal charges for a bank fraud conspiracy and for bank fraud, as well as for being a felon in possession of a firearm and was sentenced on February 18, 2021, to 51 months in federal prison. 

Acting United States Attorney Jonathan F. Lenzner commended the U.S. Postal Inspection Service for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Rajeev Raghavan, who prosecuted the case.

# # #

Greenbelt, Maryland – Veronica Hope Fortune, age 54, of Upper Marlboro, Maryland, pleaded guilty today to conspiracy to defraud the United States and to assisting in the preparation and filing of false tax returns.    

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and Acting Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.

According to Fortune’s plea agreement, in August 2015 Fortune was a tax preparer in Maryland with electronic tax return filing privileges from the Internal Revenue System (IRS).  Fortune agreed to allow Co-Conspirator 1 and Co-Conspirator 2, both of whom had been suspended from the IRS’s e-filing program, to use Fortune’s unique electronic filing identifiers, in exchange for the use of Co-Conspirator 1 and Co-Conspirator 2’s shared office space in Temple Hills, Maryland. 

Co-Conspirator 1 and Co-Conspirator 2 misrepresented their identities on their clients’ tax returns by using Fortune’s identifiers to prepare and electronically file the tax returns with the IRS. Fortune also joined in her co-conspirators’ practice of falsifying tax returns and fraudulently claiming refunds.  Specifically, Fortune and her co-conspirators falsified tax returns by: fabricating, inflating, and improperly claiming items on the Schedules A that were attached to clients’ federal individual income tax returns; and engineering business losses on Schedules C by fabricating, inflating, and improperly claiming purported business expenses.  As a result, Fortune, Co-Conspirator 1, and Co-Conspirator 2 artificially lowered their clients’ taxable income, thereby lowering the taxes that the clients owed to the IRS and inflating their refunds.

On December 15, 2017, the IRS also expelled Fortune from the electronic tax return filing program due to a criminal investigation into fraudulent tax returns filed using her unique identifiers.  Fortune then made misrepresentations about the criminal nature of her issues with the IRS to a third-party electronic return originator (“ERO”) in order to obtain their assistance. The ERO allowed Fortune to file tax returns using its unique electronic filing identifiers, and Fortune shared those identifiers with Co-Conspirator 1 and Co-Conspirator 2.  Using the new identifiers, the co-conspirators, including Fortune, continued to prepare and file false and fraudulent returns through at least the 2019 tax filing season, which ended on or about April 2019.

In total, the tax loss caused to the IRS as a direct result of Fortune and her co-conspirators’ conspiracy for the tax years 2012 through 2018 was $189,748.  As part of her plea agreement, Fortune will be required to pay restitution in the full amount of the loss, which the parties stipulate is at least $189,748.

Fortune faces a maximum sentence of five years in federal prison for the conspiracy and a maximum of three years in federal prison for aiding and assisting in the preparation and filing of false tax returns.  U.S. District Judge Paul W. Grimm has scheduled sentencing for August 20, 2021.

Acting United States Attorney Jonathan F. Lenzner commended the IRS-Criminal Investigation for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Leah Grossi and Trial Attorney Kathryn Sparks of the Tax Division, who are prosecuting the case.

# # #

Baltimore, Maryland – Jeffrey John White, age 53, of Woodsboro, Maryland, pleaded guilty today to the federal charge of possession of child pornography.  At the time of his federal offense, White was on supervised probation for a previous conviction for similar conduct in Montgomery County Circuit Court.

The plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Frederick County Sheriff Charles A. “Chuck” Jenkins; and Frederick County State’s Attorney J. Charles Smith III.

According to his guilty plea, White was previously convicted of two counts of possession of child pornography in the Circuit Court of Montgomery County on September 25, 2014. The conviction arose from White’s possession of almost 10,000 files of child sex abuse material.  For that conviction, White was sentenced to five years imprisonment, suspended and five years of supervised release. On September 30, 2015, White was found to have violated his probation and was sentenced to five years in prison with all but 18 months suspended, followed by four years of supervised probation.

From April 14, 2020 through July 2020, while on supervised probation for his previous child pornography conviction, White began to use a peer-to-peer file sharing network to access, distribute and possess child pornography.  On three separate dates during April 2020, investigators with the Frederick County Sheriff’s Office were able to establish twenty direct connections with a device, later determined to be White’s laptop and SD card, to view and download known files of child pornography, including a one hour and thirty-nine second video depicting a prepubescent 12-year-old victim displaying her genitals.

On July 6, 2020 investigators from the Frederick County Sheriff’s Office and the Federal Bureau of Investigation executed a search warrant at White’s Woodsboro residence and seized White’s laptop and SD card.  At that time, White claimed ownership of his laptop, however he claimed he did not know how to access the encrypted laptop. White also claimed to have no knowledge of child pornography activity on the file sharing network.  Additionally, a child-sized sex-doll with an anal and vaginal opening was located during the execution of the search warrant.

Federal agents were able to decrypt White’s laptop and forensically examine its hard drive, recovering 7,000 unique images and more than 240 unique videos of child pornography.  Child pornography found on White’s laptop was similar to the images investigators initially downloaded from White’s IP address. In addition, thousands of child erotica files were also discovered on White’s laptop and SD card. 

As part of his plea agreement, White will be required to continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). 

White faces a mandatory minimum sentence of 10 years in federal prison and a maximum of 20 years in federal prison for possession of child pornography. U.S. District Judge Stephanie A. Gallagher has not yet scheduled a sentencing date for White.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.      

Acting United States Attorney Jonathan F. Lenzner commended the FBI, Frederick State’s Attorney’s Office, the Frederick Sheriff’s Office, and the Frederick County Cyber Crimes Task Force for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Daniel A. Loveland, Jr. and Special Assistant U.S. Attorney Joyce King, who are prosecuting the case.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.

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Baltimore, Maryland – Chief U.S. District Judge James K. Bredar today sentenced MS-13 gang member David Ernesto Nolasco Soriano age 29, to 200 months in federal prison, followed by three years of supervised release, for a federal racketeering conspiracy charge related to his participation in a violent racketeering enterprise, specifically MS-13, including a kidnapping and an attempted murder.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge James Mancuso of Homeland Security Investigations (HSI) Baltimore Office; Chief Jason Lando of the Frederick Police Department; Frederick County State’s Attorney J. Charles Smith, III; Chief Amal Awad of the Anne Arundel County Police Department; Anne Arundel County State’s Attorney Anne Colt Leitess; Acting Chief Hector Velez of the Prince George’s County Police Department; Prince George’s County State’s Attorney Aisha Braveboy; Chief Marcus Jones of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.

MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador and other central American countries.  Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Frederick County, Anne Arundel County, Prince George’s County, and Montgomery County, Maryland.  Nolasco Soriano was a member and associate of the Fulton Locotes Salvatrucha (FLS) clique of MS-13.

According to Nolasco Soriano’s plea agreement, from at least January 2015 through August 28, 2015, while Nolasco Soriano was a member and associate of the FLS clique of MS-13, members of the Fulton clique engaged in the distribution of marijuana on behalf of MS-13 in the District of Maryland.  Members of the Fulton clique also extorted money from legitimate and illegitimate businesses that operated in the gang’s perceived “territory.” 

As detailed in his plea agreement, in or around May 2015, members of the FLS clique began demanding extortion payments from “Victim 2.”   When Victim 2 stopped making the required extortion payments to the FLS clique, Nolasco Soriano and other MS-13 members kidnapped Victim 2 on May 10, 2015.  Nolasco Soriano and several other members of the FLS clique transported Victim 2 against his will to a remote wooded area in Frederick, Maryland.  While Nolasco Soriano was present, a member of the FLS clique brandished a handgun and put the barrel of the gun in Victim 2’s mouth. Nolasco Soriano and the other members of the FLS clique released Victim 2 once Victim 2 agreed to resume making extortion payments to the FLS clique. Nolasco Soriano and the other FLS clique members who participated in the kidnapping of Victim 2 did so for the purpose of maintaining and increasing their position in MS-13.

In August 2015, Nolasco Soriano and other MS-13 members and associates, to maintain and increase their position in the gang, planned and conspired to murder Victim 3, whom they believed to be a rival gang member.  On August 28, 2015, after previously conducting surveillance of the residence where Victim 3 lived with his girlfriend, Victim 4, the MS-13 members and associates entered the apartment and waited there for the victims to return.  After the victims returned to the apartment, Nolasco Soriano and two other gang members attacked Victim 3 and Victim 4 with machetes and knives.  Although both victims survived, the attack on Victim 3 left him with both hands nearly severed, and severe wounds to his face and torso.  Victim 3 has no use of one hand and limited use of the other. 

At all times of this conspiracy, members of MS-13 were expected to protect the name, reputation, and status of the gang from rival gang members and other persons.  To protect the gang and to enhance its reputation, MS-13 members were expected to use any means necessary to force respect from those who showed disrespect, including acts of intimidation and violence.  MS-13 had mottos consistent with its rules, beliefs, expectations and reputation including “mata, viola, controla,” which translates as, “kill, rape, control,” and “ver, oir y callar,” which means, “see nothing, hear nothing and say nothing.”

MS-13 members are required to commit acts of violence both to maintain membership and discipline within the gang, as well as against rival gang members.  Participation in criminal activity by a member, particularly in violent acts directed at rival gangs or as directed by gang leadership, increase the respect accorded to that member, resulting in that member maintaining or increasing his position in the gang, and opens the door to a promotion to a leadership position.  One of the principal rules of MS-13 is that its members must attack and kill rivals, often referred to as “chavalas,” whenever possible. 

A total of 29 defendants have been charged in this case with participating in a racketeering conspiracy and/or other crimes related to their association with MS-13, including 18 defendants charged in the fifth superseding indictment filed on October 21, 2019.  A total of 21 defendants, including Nolasco Soriano, have pleaded guilty to crimes related to their participation in MS-13 gang activities.

Anyone with information about MS-13 is encouraged to call the FBI’s nationwide tipline, 1-866-STP-MS13 (1-866-787-6713).  The FBI tipline allows individuals to provide information about MS-13’s criminal activities to a central location and the FBI will then disseminate the information to the appropriate law enforcement authorities for investigation.  Your identity will be protected.

This case is also part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

Acting United States Attorney Jonathan F. Lenzner commended the FBI; HSI; the Frederick Police Department; the Anne Arundel, Montgomery, and Prince George’s County Police Departments; and the Anne Arundel, Frederick, Montgomery, and Prince George’s County State’s Attorneys for their work in the investigation, and recognized the Baltimore County Police Department for its assistance.  Mr. Lenzner thanked Assistant U.S. Attorneys Kenneth S. Clark, Catherine K. Dick, and Matthew DellaBetta, who are prosecuting this case.

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Greenbelt, Maryland – U.S. District Judge Peter J. Messitte sentenced Jose Luiz Suarez, age 30, a Honduran citizen residing in Germantown, Maryland, to 21 months in prison for illegal reentry after being removed from the United States as a result of a previous felony conviction.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner Field Office Director Francisco Madrigal of Enforcement and Removal Operations (ERO) Baltimore; and Chief Marcus Jones of the Montgomery County Police Department.

According to his guilty plea, Suarez unlawfully entered the United States on July 5, 1999.  On September 27, 2012, Suarez was sentenced to five years of imprisonment with all but three years suspended after being convicted of accessory after the fact.  On March 14, 2014, the United States Department of Homeland Security (DHS) issued a removal order.  Suarez was removed to Honduras from the United States on April 4, 2014.  On June 25, 2019, Suarez was found in Montgomery County, Maryland while being treated for an arm injury resulting from an altercation in a restaurant.  Suarez provided a false name and false information about the events leading up to his injuries to police.  Soon after, he was arrested on several state charges, including providing a false statement to an officer.

Acting United States Attorney Jonathan F. Lenzner commended ERO and the Montgomery Police Department for their work in the investigation.  Mr. Lenzner thanked Special Assistant U.S. Attorney Craig Fansler and Assistant U.S. Attorney Michael Morgan, who prosecuted the case.

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Greenbelt, Maryland - James Maynard, Jr., age 53, of Boonesboro, Maryland, pleaded guilty today to a federal charge for coercion and enticement of a minor in order to produce and distribute child pornography. 

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Jason Lando of the Frederick Police Department.

According to Maynard’s guilty plea, on November 27, 2019, Maynard used a social media account to meet a 14-year-old female, Victim 1,  During his initial conversation with the victim over social media, the victim informed Maynard that she was 14 years old and he identified himself as a 52-year-old man.  While they did not begin that way, Maynard’s conversations with the victim became increasingly sexual.  On the second day of their online communications, November 28, 2019, Maynard asked Victim 1 to send him nude photographs of herself.  Victim 1 subsequently took the photos that Maynard requested, using her tablet computer to take the photo while she was in her bedroom.  Victim 1 sent the photos to Maynard via her social media account.  Maynard made numerous sexually explicit comments about Victim 1’s genitals, and what he wanted to do to her.  Maynard persuaded Victim 1 to take and send him more photos.  Maynard also sent images of his penis to Victim 1.

After Victim 1 sent Maynard the photographs, she began to feel upset about the social media communications with Maynard.  She tried to delete the images of herself, and she asked a trusted adult for help.  Around this same time, Frederick County detectives and the Federal Bureau of Investigation initiated an investigation and forensically analyzed the tablet computer and social media records.  Investigators discovered additional evidence that Maynard was using the internet to exploit Victim 1.   

On December 5, 2019, a search warrant was executed at Maynard’s residence and his cell phone was seized.  A forensic analysis of the phone revealed several images relevant to the investigation, including an image of Victim 1.  Forensic analysis of another computer located in Maynard’s residence revealed that Maynard used the internet to search topics involving minors and sex, such as: “daddy and daughter sex;” “kids having sex;” and “little girl nude.”

Investigators interviewed Maynard.  Maynard initially claimed that he thought Victim 1 was 19-years-old.  However, when investigators showed Maynard the content of his online messages with Victim 1, Maynard admitted that he knew the victim was 14-years-old at the time that he communicated with her on social media. 

As part of his plea agreement, upon his release from prison, Maynard will be required to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). 

Maynard faces a mandatory minimum sentence of 10 years in prison and a maximum of life in prison followed by up to lifetime of supervised release for coercion and enticement of a minor.  U.S. District Judge Stephanie A. Gallagher has not scheduled a sentencing date for Maynard.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.         

Acting United States Attorney Jonathan F. Lenzner commended the FBI and the Frederick Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Christine Duey and Special Assistant U.S. Attorney Joyce King, Chief Counsel with the Frederick County State’s Attorney’s Office, who prosecuted the federal case.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.

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Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Sonyia Cruz, age 52, of San Jose, California, and Frankie Cruz, age 46, of San Jose, California, to 18 months in federal prison, followed by three years of supervised release, for conspiring to distribute controlled substances and conspiring to commit money laundering.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police.

According to their plea agreements, beginning in at least 2014, the married couple of Frankie and Sonyia Cruz conducted marijuana sales by purchasing bulk amounts of marijuana (24 to 25 pounds per order), shipping the marijuana to their rental home in Laurel, Maryland, and repackaging the drug parcels to sell in the District of Columbia for $2,800 or $2,900 per pound.  The Cruzes then shipped the proceeds back to California after laundering the money at a Maryland Casino.  In the spring of 2016, they also conducted marijuana sales in North Carolina.  

From October 2015 through November 2016, Frankie Cruz, Sonyia Cruz, and other conspirators laundered approximately $674,897 derived from marijuana sales at a Maryland casino.  The Cruzes attempted to laundered funds by feeding large amounts of currency into slot machines, engaging in minimal gaming activity, and cashing out the remainder of the proceeds.  For example, on January 6, 2016, surveillance cameras captured Sonyia Cruz retrieving large stacks of money in small denominations from her purse and handing the funds to Frankie Cruz and a co-conspirator. Sonyia Cruz, Frankie Cruz, and a co-conspirator inserted the large piles of cash into various slot machines and engaged in minimal gaming activity when others walked by, spending less than $10 for every $500 they put into the machine.  They then collected their fraudulent winnings in the form of a barcode encoded ticket, which totaled the equal value of the currency the conspirators deposited into the slot machines minus the minimal gaming expenditures.  In some instances, Frankie Cruz deposited as much as $2,000 into a slot machine and cashed the same amount in the form of a ticket. 

Sonyia Cruz, Frankie Cruz and a co-conspirator conducted this activity for four hours from 9 pm on January 6, 2016 to 1 am on January 7, 2016.  Sonyia Cruz divided the fixed winnings amongst herself, Frankie Cruz, and a co-conspirator.  All three individuals used various automated cash-out kiosks to retrieve the value of their tickets in $20 denominations.  

Acting United States Attorney Jonathan F. Lenzner praised the HSI and Maryland State Police for their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorneys Dwight Draughon and David I. Salem, who prosecuted the case.

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Greenbelt, Maryland - U.S. District Judge Peter J. Messitte sentenced Anjan Ghosh Tagore, age 48, of Silver Spring, Maryland, to 15 years in federal prison, followed by lifetime supervised release, for receipt of child pornography and 18 months in federal prison for violating his supervised release from a previous federal conviction for possession of child pornography.  The sentences were imposed on April 8, 2021 and are to be served consecutively.  Judge Messitte also ordered that Tagore forfeit his electronic devices and pay $3,000 in restitution to a child pornography victim.  Upon his release from prison, Tagore must also continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). 

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Marcus Jones of the Montgomery County Police Department.

According to Tagore’s plea agreement, in February 2019, the United States Probation Office was alerted by monitoring software that Tagore searched for images of “naked/nude/preteen” children on his desktop computer. When confronted about his use of his authorized computer to search for “naked/nude/preteen” children, Tagore denied any knowledge of his computer being used that way, although he later admitted to viewing this material.  On April 16, 2019, Montgomery County Police contacted the U.S. Probation regarding a complaint that Tagore had been using a computer at a library in Montgomery County to view nude images of children at a library. Tagore’s U.S. Probation Officer had not authorized Tagore to use a computer or the internet.  Furthermore, searching for and viewing images of nude children was a violation of the rules and regulations of Tagore’s sex offender treatment program, nor did Tagore report his questioning by the Montgomery County Police as he was required to do under the terms of his supervised release.

In April 2019, upon questioning by a U.S. Probation officer, Tagore turned over several USB drives and Micro SD cards, which Tagore was not allowed to possess.  A search warrant was executed on the digital media and a forensic analysis revealed 105 video files depicting child pornography, including prepubescent children, at least one of which was an infant or toddler.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.       

Acting United States Attorney Jonathan F. Lenzner commended the FBI, the U.S. Probation and Pretrial Services Office, and the Montgomery County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Joseph R. Baldwin, who prosecuted the federal case.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md/project-safe-childhood and https://www.justice.gov/usao-md/community-outreach.

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Greenbelt, Maryland – Abdel Ndiaye, a/k/a “Pac,” age 32, of Boyds, Maryland, pleaded guilty to the federal charges of conspiracy to commit wire fraud and aggravated identity theft, in connection with a scheme in which Ndiaye and his co-conspirators opened credit card accounts at numerous retail and telecommunications stores in order to obtain money and property.  The guilty plea was entered on April 7, 2021. 

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Matthew S. Miller of the United States Secret Service - Washington Field Office; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; and Chief Marcus Jones of the Montgomery County Police Department.

According to his guilty plea, from October 2015 to April 2018, Ndiaye conspired with Jonathan Henry, Dominique Davis, and others to obtain real individuals’ personally identifying information (PII), without the victims’ knowledge or permission.  Ndiaye not only knew that the personal information belonged to real people, but he also used a minor’s identity to lease his Maryland apartment. 

As detailed in the plea agreement, Ndiaye then provided the victims’ PII to other conspirators and Ndiaye and other conspirators used the stolen PII to create fraudulent driver’s licenses.  As part of the conspiracy, co-conspirators used the victims’ personal information and fraudulent driver’s licenses to apply for instant credit at various retailors and telecommunications stores in the names of the victims to purchase merchandise and electronics.  To evade detection by law enforcement, co-conspirators traveled to stores located in different states including Maryland, Pennsylvania, North Carolina, Virginia, and Washington, D.C. 

On April 19, 2018, law enforcement officers executed a search warrant at Ndiaye’s Maryland apartment.  Officers located a 75’’ Samsung television and Bose Soundtouch 300 soundbar.  On March 7, 2019, Ndiaye used the same minor’s identifying information to open credit accounts and purchased the soundbar and television for $3,750.  Law enforcement also recovered the PII of approximately 659 victims located within a folder in Ndiaye’s bedroom dresser drawer, a total of $17,231 in cash which were proceeds or derived from proceeds of the scheme.  Also found in the apartment were shredded driver’s licenses, a shredding machine, and blank card stock used to create fraudulent identification cards and credit cards, as well as a credit card encoder which Ndiaye used to create fraudulent credit cards.  Officers located 10 telecommunication statements with the same account number but difference customer names and addresses.        

Officers also recovered several items Ndiaye had thrown out of the apartment window prior to law enforcement’s entry including Ndiaye’s laptop, driver’s license holograms from nine different states, as well as 14 fraudulent Maryland driver’s licenses.

During the investigation, law enforcement selected 145 potential victims out of the total 659 victim PII recovered from Ndiaye’s apartment and sent the victim information to the card issuers and telecommunications stores.  From three credit card issuers or telecommunications stores, Ndiaye and his co-conspirators opened over 60 fraudulent accounts and caused a loss of over $142,000 to the three retail institutions. 

Ndiaye admitted that he and his co-conspirators used the stolen personal information of at least 62 victims to open fraudulent accounts, causing a total loss to the card issuers and telecommunication stores at least $150,597.06.  As part of his plea agreement, Ndiaye has agreed to the entry of a restitution order for the full amount of the victims’ losses.Ndiaye faces a maximum sentence of 20 years in prison for conspiracy to commit wire fraud and a mandatory minimum sentence of two years in prison, consecutive to any other sentence imposed, for aggravated identity theft.  U.S. District Judge Paul W. Grimm has not yet scheduled Ndiaye’s sentencing date.

Jonathan Henry, age 29, of Bethesda, Maryland, and Dominique Davis, age 30, of Germantown, Maryland, previously pleaded guilty to their roles in the scheme and were sentenced to 41 months and 30 months in federal prison, respectively.

Acting United States Attorney Jonathan F. Lenzner commended the United States Secret Service, U.S. Postal Inspection Service, and the Montgomery County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Kelly O. Hayes and Dana J. Brusca, who are prosecuting the case.

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Baltimore, Maryland – Charles “Chuck” Nabit, age 64, of Baltimore, Maryland, pleaded guilty today to transportation of an individual to engage in prostitution.  Nabit, who owns residences and resides in Bethany Beach, Delaware and Deerfield Beach, Florida, is the owner of Westport Group, LLC. and previously owned Mountain Manor Treatment Center, a comprehensive drug treatment center.

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Chief Lisa Myers of the Howard County Police Department.

 “Charles Nabit used his wealth, his business and his position in society to facilitate his pattern of commercial sex, including with women suffering from narcotics addiction,” said Acting U.S. Attorney Jonathan Lenzner.  “Rather than use his resources to assist these victims, Nabit paid thousands of dollars to engage them in commercial sex acts. This guilty plea should remind others like Mr. Nabit that no one is above the law, no matter their wealth or stature.”

According to his guilty plea, beginning in 2017 until his arrest on June 10, 2020, Nabit regularly paid for commercial sex.  The seven women whom Nabit admitted he paid for commercial sex (Victim 1 through Victim 7), either regularly used narcotics or suffered from serious substance abuse disorders during the time periods in which Nabit engaged in commercial sex with them.  

Nabit admitted that from August 2018 to May 2020, he paid at least $90,000, as well as an unknown amount of cash, to women with whom he had commercial sex.  This includes 52 Cash App transactions to an individual whom he knew to be someone other than the woman he was seeing for commercial sex.  For example, on April 11, 2019, Nabit received a message from the Cash App account associated with an adult male named De’Angelo Johnson requesting $140 for “coming thru on a good girl and a hot girl.”  The victim, Victim 1, had requested that Nabit pay her directly, sending a message to Nabit’s CashApp account, but Nabit refused to pay her and sent $145 payment to the Cash App account associated with Johnson with a message indicating the payment was “for (the first name of Victim 1).”         

As detailed in his plea agreement, Nabit regularly transported victims to and from his Baltimore office for commercial sex, either in his vehicle or by using a rideshare car service.  In separate encounters with Victim 1, Victim 3, and Victim 5, Nabit also recorded their sex acts with a Go Pro camera despite their objections to being filmed.  Nabit was aware of Victim 5’s substance abuse as she discussed her struggles with addiction and depression.  Nabit knew that, more than likely, some of the money provided to Victim 5 was being used to fund her drug use.

According to the plea agreement, beginning no later than February 2019, Nabit began seeing Victim 6 for commercial sex and travel dates.  She discussed her addiction struggles with Nabit on several occasions. During their sexual encounters, Nabit provided Victim 6 with monetary payment and cocaine.  For example, Nabit paid $5,000 to Victim 6 for her to accompany him to Fort Lauderdale, Florida and engage in commercial sex.  During that trip, Nabit also provided Victim 6 with cocaine.  Nabit also traveled with Victim 6 to a hotel in Richmond, Virginia on at least three separate occasions to engage in commercial sex.  Victim 6 was paid at least $1,000 in cash for one of these trips.  Hotel records revealed multiple overnight stays by Nabit between August 2019 and March 2020.

Until her death in May 2019, Nabit admitted that he also regularly engaged in commercial sex with Victim 7.  Victim 7 repeatedly discussed her drug addiction in text messages and expressed her desire to obtain treatment for her substance abuse with Nabit.  Specifically, on August 13, 2018, Victim 7 told Nabit she completed an application for Mountain Manor Treatment Center and Nabit replied, “As you recall, I used to own MM and my ex-partner still does.”  Nabit and Victim 7’s mother spoke on several occasions about Victim 7’s drug use.  For example, on August 18, 2018, Nabit texted Victim 7’s mother about Victim 7 going to drug rehabilitation.  Nabit stated that Victim 7 began using opiates again but that “she seemed to handle crack ok for weeks.”   On May 23, 2019, Victim 7’s mother informed Nabit that Victim 7 had overdosed on drugs and died.

On December 9, 2019, Nabit and his attorney met with investigators for an interview in relation to a sex trafficking investigation involving alleged sex trafficker De’Angelo Johnson and Victims, 1, 2, 3, and 4.  During this interview Nabit was asked whether he was aware that the sex trafficking victims were drug users.  He was shown pictures of four victims and claimed to have only been aware of one victim’s drug use.  He also claimed he had never seen signs of drug use in the remaining victims, as he had owned a drug treatment facility for 10 years and he would have recognized signs of drug use.

On June 10, 2020, Nabit was arrested and law enforcement executed federal search warrants for his person, his electronics, his Baltimore office, and his vehicle.  Law enforcement recovered numerous sex toys and filming equipment, including five Go Pro cameras, from Nabit’s office.  Nabit’s office also had a large sectional sofa that converted to a bed which had a sheet on it.  A forensic analysis of Nabit’s cell phone and Go Pro cameras recovered numerous messages related to commercial sex as well as images and videos of victims engaging in commercial sex with Nabit.

Nabit faces a maximum of 10 years in prison for transportation of an individual to engage in prostitution.  U.S. District Judge George L. Russell, III has scheduled sentencing for June 24, 2021 at 9:30 a.m.

Acting United States Attorney Jonathan F. Lenzner commended HSI and the Howard County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Mary W. Setzer and Daniel A. Loveland, Jr., who are prosecuting the case.

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Greenbelt, Maryland – A federal jury has convicted Tyrek Montez Arrington, age 23, of Temple Hills, Maryland, on federal charges for robbing a pharmacy, discharging a firearm in furtherance of a violent crime, and being a felon in possession of a firearm.  The trial began on Monday, April 5, 2021 and the jury returned its verdict on April 7, 2021, after deliberating for a total of two hours.

The conviction was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Interim Chief Hector Velez of the Prince George’s County Police Department.

According to evidence presented at the three-day trial, on October 15, 2019, Arrington entered a drug store in Clinton, Maryland wearing a surgical mask and black latex gloves.  Armed with a handgun, Arrington walked to the pharmacy area, entered the pharmacist booth, and pointing the gun at the pharmacist, demanded oxycodone from a safe.  Arrington then demanded the pharmacist to open the cash register.  Arrington fired one round into the ceiling then took the cash the register from the register.  Witnesses testified that Arrington attempted to flee with the cash drawer taken from the register.  Two law enforcement officers encountered Arrington in the store as he was attempting to flee.  One officer saw Arrington with the cash drawer in his hand and ordered Arrington to the ground.  Arrington dropped the cash drawer and the handgun and tried to evade the first officer, but ran into the second officer and was arrested. 

According to evidence presented at trial, law enforcement collected a live round and a spent shell casing from behind the counter and recovered the handgun that Arrington dropped.  The gun, a .22-caliber handgun was loaded with six rounds of .22-caliber ammunition.

Arrington faces a maximum sentence of 20 years in federal prison for robbery; a maximum sentence of 10 years in federal prison for being a felon in possession of a firearm; and a mandatory minimum of 10 years, consecutive to any other sentence, and up to life in prison for using, carrying, brandishing and discharging a firearm in a crime of violence.  U.S. District Judge Theodore D. Chuang has scheduled sentencing for Arrington on July 13, 2021 at 2:00 p.m.

Acting United States Attorney Jonathan F. Lenzner commended the FBI and the Prince George’s County Police Department for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Dwight Draughon and William D. Moomau, who prosecuted the case.

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Baltimore, Maryland – A federal grand jury today returned an indictment today charging Ethan Glover, age 49, of Baltimore, Maryland, for the federal charges of false statements to law enforcement and theft of government property.  Glover joined the Baltimore Police Department (BPD) on February 19, 2003.  He became a federal task force officer (TFO) with the Drug Enforcement Administration in 2013.  

The indictment was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Commissioner Michael Harrison of the Baltimore Police Department.

According to the two-count indictment, on April 8, 2016 Glover participated in the execution of a search warrant on John Avenue as a member of DEA Group 51.  Law enforcement recovered three duffel bags containing large amounts of cash and a handwritten document with currency totals stating there was $2,428,900 in the house.  Glover transported the cash from the residence to another location where a search warrant had been executed, and then to the DEA Baltimore Office, alone in his vehicle the entire time.  The indictment alleges that during the drive from John Avenue to the DEA Baltimore Office, Glover stole a portion of the cash seized at the John Avenue residence.  Ultimately, Glover took the seized cash to a professional counting service due to the large amount.  The counting service found that the amount of cash seized, inclusive of any suspected counterfeit bills, totaled $2,419,125, which is $9,775 less than what was actually seized at the John Avenue residence, according to the handwritten document recovered within the home. 

The indictment further alleges that Glover went to his then-girlfriend’s apartment with what he described to her as $10,000 in cash.  Glover allegedly hid the funds in her bathroom.  During conversations about the money, Glover told his girlfriend that he was followed by another TFO while driving the cash from the search warrant site and that the money came from a “big case” that had been recently featured on the news.  Approximately one week later, Glover allegedly moved the money from his girlfriend’s apartment to his home. 

On April 23, 2016, Glover allegedly used some of the cash stolen from the John Avenue search to buy his then-girlfriend a pair of shoes valued at $295 from a mall in Pennsylvania.  According to the indictment, in June 2016, his then-girlfriend moved into his home and saw a large sum of money hidden behind Glover’s refrigerator.

As detailed in the indictment, on February 28, 2020, Glover participated in a voluntary interview with the FBI about a seizure that had occurred with the officer-in-charge of BPD’s Gun Trace Task Force.  Before being questioned, Glover confirmed that he understood that it was a crime to lie to the FBI TFO’s interviewing him.  When questioned, Glover asked the interviewing TFO’s how much the arrestee “is saying is missing?  Is it money or drugs?  How much did he say he had?  A million?” or words to that effect.  Glover told investigators that he did not witness any officer steal money during this seizure.  Glover also stated that he did not steal money from this particular seizure or any other case, saying, “I’ve never stolen anything in my life.  Never money or drugs.”

If convicted, Glover faces a maximum sentence of 10 years in federal prison for theft of government property and five years in federal prison for making false statements to federal law enforcement.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  No court appearance is currently scheduled for Glover. 

An indictment is not a finding of guilt.  An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the FBI and BPD for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Leo J. Wise and Christine Goo, who are prosecuting this case.

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Baltimore, Maryland – The U.S. Attorney’s Office for the District of Maryland has seized “healthbridgescience.com,” “global-pandemic-vaccines.com,” and “genobioscience.com” all of which purported to be the websites of actual biotechnology companies developing treatments for the COVID-19 virus but instead were allegedly used to collect the personal information of individuals visiting the sites, in order to use the information for nefarious purposes, including fraud, phishing attacks, and/or deployment of malware.  Individuals visiting those sites now will see a message that the site has been seized by the federal government and be redirected to another site for additional information.

The seizure of the domain names was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Special Agent in Charge James R. Mancuso of Homeland Security Investigations - Baltimore.

“We have now seized a total of eight fraudulent websites that seek to illegally profit from the COVID-19 pandemic,” said Acting U.S. Attorney Jonathan F. Lenzner.  “We urge all Maryland residents to be skeptical - don’t provide personal information or click on links in unsolicited e-mails and remember that the COVID-19 vaccine is not for sale.  The Federal government is providing the vaccine free of charge to people living in the United States. We will continue to aggressively prosecute fraudsters who seek to prey on unsuspecting residents and their families.”

“The danger with these illegitimate sites is that they can appear legitimate to the average viewer—all the more reason to exercise caution when searching for COVID-19 pandemic information,” said Special Agent in Charge James Mancuso for HSI Baltimore. “As part of our cyber mission, HSI is committed to denying online scammers the ability to deceive and profit from the American people by exploiting the demand for vaccines and treatments.”

According to the affidavits filed in support of these seizures, these investigations began in March 2021. Homeland Security Investigations and the National Intellectual Property Rights Center received notification of two fraudulent websites, “genobioscience.com” and “healthbridgescience.com.”  The third site, “global-pandemic-vaccines.com,” was discovered by Homeland Security Investigations’ Cyber Crimes Center (C3) during ongoing investigations for malicious websites.  The cases were referred to HSI Baltimore for investigation.

Specifically, HSI was notified of two fraudulent websites “healthbridgescience.com” and “genobioscience.com,” by a victim biotechnology company.  The company, which was granted an FDA emergency use authorization for their COVID-19 antibody drug cocktail treatment, confirmed neither of the suspect domains were approved company websites.  The fraudulent sites displayed a nearly identical theme and design as the legitimate biotechnology company except for the subsection tab information.  According to the affidavit, “healthbridgescience.com” was registered on February 21, 2021 and “genobioscience.com” was registered on March 24, 2021, but no registrant or contact information is listed for either website.  As stated in the affidavit, criminals who operate websites and use targeted domain names often conceal their identity when registering their domain names by redacting personal identifiers to avoid being tracked by victims or law enforcement.  An HSI Cyber Operations Officer (COO) also noted the “genobioscience.com” website did not use secure communication technology, making any sensitive information shared on this website potentially compromised.

The third domain name, “global-pandemic-vaccines.com,” offered COVID-19 vaccines for sale that it claimed were manufactured by pharmaceutical companies that had been granted FDA emergency use authorization for their COVID-19 vaccines.  A COO indicated that the domain was created on February 26, 2021 and its registrar organization was listed as “WhoisProtection.cc,” located in Kuala Lumpur, Malaysia, which is a privacy service used to shield a domain registrant’s actual information from being see publicly.  Additionally, under the bogus website’s “Contact Us” page, the telephone number appears to be associated with a messaging application and the street address listed is the address of a restaurant and a postal shipping center located in Torrance, California.  Under the spoof website’s “shop” tab, there were two counterfeit vaccinations offered for sale to the public.  The fraudulent website claimed that their vaccines did not require sub-zero storage.  On March 15, 2021, HSI Special Agents, acting in an undercover capacity, called the phone number listed on the fraudulent website.  An unknown individual agreed to sell fifty vials of the counterfeit vaccines for $20 each with a $500 deposit, and the remaining $500 due upon receipt of the vaccine doses. The provided invoice contained payment information for a specific bank account.

By seizing these sites, the government has prevented third parties from acquiring the names and using them to commit additional crimes, as well as prevented third parties from continuing to access the sites in their present form.

Federal law enforcement agencies are united in our efforts to fight against COVID-19 fraud.  HSI has identified tips to recognize and report COVID-19 fraud.  If you believe you are a victim of a fraud or attempted fraud involving COVID-19, you may also call the National Center for Disaster Fraud Hotline at 1-866-720-5721 or for more information e-mail justice.gov/coronavirus.    

Acting United States Attorney Jonathan F. Lenzner commended HSI for its work in these investigations.  Mr. Lenzner recognized the U.S. Food and Drug Administration, the U.S. Postal Inspection Service and the Baltimore County Police Department for their assistance and thanked Assistant U.S. Attorneys Aaron S.J. Zelinsky and Sean R. Delaney

Greenbelt, Maryland – Lenore Gail Worthy, age 53, of Accokeek, Maryland, pleaded guilty today to conspiracy to defraud the United States and to assisting in the preparation and filing of false tax returns.   

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and Acting Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.

According to Worthy’s plea agreement, Worthy obtained electronic tax return filing privileges from the Internal Revenue System (IRS).  Worthy subsequently agreed to allow co-conspirator 1, who was not eligible to for admission into the IRS’s e-filing program due to a conviction for wire fraud, to use Worthy’s unique electronic filing identifiers, in exchange for a fee of $29 per tax return.  Beginning in 2012, Worthy and co-conspirator 1 agreed to operate a business that would allow co-conspirator 1 to misrepresent his/her identity on the clients’ tax returns by using Worthy’s identifiers to prepare and electronically file fraudulent client tax returns with the IRS.  In August 2015, the IRS expelled Worthy from its electronic tax return filing program due to a criminal investigation into fraudulent tax returns filed with her unique identifiers.  At that time co-conspirator 3, who was also participating in the IRS’s electronic tax return filing program, agreed to allow Worthy and co-conspirator 1 to use co-conspirator 3’s unique identifiers in exchange for the use of Worthy and co-conspirator 1’s shared office space in Temple Hills, Maryland. 

Worthy and co-conspirator 1 misrepresented their identities on their clients’ tax returns by using co-conspirator 3’s identifiers to prepare and electronically file the tax returns with the IRS. Co-conspirator 3 also joined in Worthy and co-conspirator 1’s practice of falsifying tax returns and fraudulently claiming refunds.  Specifically, Worthy and her co-conspirators falsified tax returns by: fabricating, inflating, and improperly claiming deductions on the Schedules A that were attached to clients’ federal individual income tax returns; and engineering business losses by fabricating, inflating, and improperly claiming purported business expenses.  As a result, Worthy, co-conspirator 1, and co-conspirator 3 artificially lowered their clients’ taxable income, thereby lowering the taxes that the clients owed to the IRS and inflating their refunds.

On December 15, 2017, co-conspirator 3 was also expelled from the IRS’s electronic tax return filing program due to a criminal investigation into fraudulent tax returns filed using co-co-conspirator 3’s unique identifiers.  Co-conspirator 3 then misled a third-party electronic return originator (“ERO”) about the criminal nature of her issues with the IRS in order to obtain their assistance.  The ERO allowed co-conspirator 3 to file tax returns using its unique identifiers, which co-conspirator 3 shared with Worthy and co-conspirator 1.  Using the ERO’s identifiers, Worthy and her co-conspirators continued to prepare and file fraudulent federal tax returns through at least April 2019.

In total, the tax loss caused to the IRS as a direct result of Worthy and her co-conspirators’ conspiracy for the tax years 2012 through 2018 was $189,748.  As part of her plea agreement, Worthy will be required to pay restitution in the full amount of the loss, which the parties stipulate is at least $189,748.

Worthy faces a maximum sentence of five years in federal prison for the conspiracy and three years in federal prison for aiding and assisting in the preparation and filing of false tax returns.  U.S. District Judge Paul W. Grimm has scheduled sentencing for August 20, 2021 at 1:00 p.m.

Acting United States Attorney Jonathan F. Lenzner commended the IRS-Criminal Investigation for its work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorney Leah Grossi and Trial Attorney Kathryn Sparks of the Tax Division, who are prosecuting the case.

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Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Richard Tingler, age 56, of Baltimore, Maryland, to 14 years in federal prison, followed by five years of supervised release, on charges of armed bank robbery and brandishing of a firearm during a crime of violence.  The sentence was imposed on April 6, 2021.

The sentence plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Michael Harrison of the Baltimore Police Department; and Chief Melissa R. Hyatt of the Baltimore County Police Department (BCPD).

According to his plea agreement, on January 23, 2019 and February 1, 2019, Richard Tingler and his co-defendant David Gollahon committed two-armed bank robberies in Baltimore, Maryland, with co-defendant Richard Adams serving as the getaway driver in each robbery.  During each of the robberies, Tingler and Gollahon brandished firearms and threatened bank employees. 

Specifically, on January 23, 2019, Adams drove Tingler and Gollahon in a gray Hyundai Accent car that he had rented two weeks earlier, to a bank located in the 3600 block of Boston Street in Baltimore.  Tingler carried a loaded black .45-caliber firearm and Gollahon carried a loaded black .380-caliber firearm and both men wore ski masks to disguise their identities.  Tingler also carried a black leather duffel bag.

After entering the bank, Tingler approached the victim teller, pointed his firearm at her and demanded $100 dollar bills and “loose bills” from the bottom drawer of the till.  Meanwhile, Gollahon held the other bank employees and customers at gunpoint in the lobby area of the bank.  He told the bank employees and customers, “don’t move.”  Tingler took more than $7,000 in cash from the victim teller.  Tingler and Gollahon then ran away, accidentally dropping more than $5,000 in cash as they ran through a parking lot.  They got into the waiting gray Hyundai Accent car driven by Adams, and drove away.

On February 1, 2019, Adams drove Tingler and Gollahon in a 2006 Chevy Monte Carlo, which was registered to Adams, to a bank located in the 2900 block of O’Donnell Street in Baltimore.  Tingler and Gollahon each had the same firearm they had used in connection with the January 23, 2019 bank robbery, and their faces were covered.  After entering the bank, Tingler and Gollahon approached the teller window.  Tingler pointed his firearm at the teller and demanded $100 bills.  The victim teller handed over cash from the till, but Tingler continued to demand more money.  At the same time, Gollahon approached the teller line with his firearm pointed in the direction of the tellers and bank customers.  In response to the demands for more cash, the victim teller and a co-worker went to the bank’s vault and removed more cash, which they provided to Tingler and Gollahon, along with a GPS tracker, which was activated. 

Tingler and Gollahon then fled the bank and got into the 2006 Chevy Monte Carlo driven by Adams, who was waiting for them.  Adams drove the Monte Carlo away from the bank.  Law enforcement received GPS information concerning the location of the GPS tracker taken from the bank, which they relayed to Baltimore Police Department (BPD).

BPD officers stopped the vehicle.  Adams, Tingler, and Gollahon were ordered out of the vehicle and arrested.  At the time of his arrest, Gollahon had the same firearm he used during the robbery on his person.  Law enforcement searched Adams’ car and recovered a blue backpack containing the cash taken during the robbery, the GPS tracker, and the firearm carried by Tingler during both bank robberies. 

Later that day, law enforcement searched Adams’ residence in Essex, Maryland and seized Gollahon’s gray hooded sweatshirt and the black leather duffel bag carried by Tingler during the January 23, 2019 robbery. 

Tingler was detained pending trial. During the period of his pre-trial detention, Tingler was heard on lawfully recorded jail calls stating that he “robbed a bank” and that it “didn’t work out.” On a separate call, Tingler admitted that the cash taken from the bank “had a GPS in it.” On another call, Tingler described in more detail the banks he robbed, stating that he robbed two banks in Canton, and that he wouldn’t have gotten caught if he hadn’t taken a GPS tracker.

Co-defendants David Gollahon, age 59, of Baltimore, Maryland, and Richard Adams, age 60, of Essex, Maryland, were sentenced to 13 years in federal prison and 90 months in federal prison, respectively.

Acting United States Attorney Jonathan F. Lenzner commended the FBI, the BPD, and the BCPD for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Paul Riley and Daniel Loveland, Jr., who prosecuted the case.

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Greenbelt, Maryland – U.S. District Judge Peter J. Messitte today sentenced Santos Nicolas Obando-Flores, age 48, of Brentwood, Maryland, to 10 years in federal prison, followed by lifetime supervised release, for possession of child pornography.  Judge Messitte also ordered that, upon his release from prison, Obando-Flores must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).  In 2015, Obando-Flores was convicted of a sex offense after engaging in sexual contact with a nine-year-old minor and was sentenced to 20 years in prison with all but six years suspended.

The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police (MSP).

According to his guilty plea, on September 13, 2018, Obando-Flores was being administered a routine polygraph examination by a Maryland State Police polygraph examiner.  The routine polygraph was required because Obando-Flores was a registered sex offender.  During the post-polygraph interview, Obando-Flores admitted to the polygraph examiner that he had viewed child pornography on his cellphone and that the pornography was still on the cellphone. Obando-Flores also admitted to having as many as one hundred videos containing child pornography on his phone.

The polygraph examiner stopped the interview and read Obando-Flores his Miranda Rights, which Obando-Flores acknowledged that he understood.  Obando-Flores agreed to speak with law enforcement without an attorney present and again admitted to the MSP polygraph examiner that there was child pornography on his cellphone.  He explained to the polygraph examiner that he got it from a Facebook page and that he received multiple videos of child pornography through a “group chat” from an application on his phone. Obando-Flores was able to describe some videos depicting prepubescent minors engaged in sex acts or provocatively posed.  Obando-Flores admitted that he started getting the videos approximately six to eight months prior.

The polygraph examiner confiscated Obando-Flores’s cellphone, which Obando-Flores had brought with him to the scheduled meeting and Obando-Flores consented to the search of his phone.  An MSP trooper previewed the phone and found numerous files of suspected child pornography. Obando-Flores was arrested and a federal search warrant was obtained from the phone.  Forensic analysts identified approximately 359 videos and 200 images documenting the sexual abuse of minors. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.         

United States Attorney Jonathan F. Lenzner commended HSI-Baltimore and the Maryland State Police for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Timothy F. Hagan, Jr. and Jennifer R. Sykes, who prosecuted the federal case.

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Baltimore, Maryland –Jamie Clemons, age 36 of Pasadena, Maryland, pleaded guilty today to malicious destruction of a property by fire, in connection with the fire on July 28, 2017, at Coconut Charlie’s, a bar in Pasadena.  As a result of the arson, Coconut Charlie’s sustained over $500,000 in damage; the building was razed and the business was forced to permanently close.

The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; the Anne Arundel County Fire Chief Trisha L. Wolford; and the Anne Arundel County Fire Marshal Division Chief John Lane.

“This defendant not only caused devastating damage to a longtime Maryland business, he also endangered our brave firefighters who responded to the arson that he set,” said Acting U. S. Attorney Jonathan F. Lenzner.  “I’d like to thank ATF and our partners in Anne Arundel County for their impressive investigative work in solving this arson.  Arsons are often difficult crimes to uncover and prove in court, and I am grateful to our investigative and prosecution teams for their dedication and persistence.”

 According to the indictment and the government’s plea letter, on July 28, 2017, Clemons maliciously damaged and destroyed by fire a bar known as Coconut Charlie’s, located in the 9100 block of Fort Smallwood Road in Pasadena, in order to conceal evidence of an assault he had committed there on July 22, 2017.

As detailed in the statement of facts filed as part of the government’s plea letter, on July 22, 2017, at approximately 1 a.m., Clemons assaulted his girlfriend on the patio area of Coconut Charlie’s.  An Anne Arundel County Police officer witnessed the assault and it was also captured on Coconut Charlie’s video surveillance system.  As a result, Clemons was charged with second degree assault and theft of less than $100 in the District Court for Anne Arundel County, and was served with a summons for the case on July 27, 2017.

Clemons admitted that in the early morning hours of July 28, 2017, Clemons assembled multiple incendiary devices akin to Molotov cocktails, then lit the wicks for the devices on fire, and threw them at the exterior of Coconut Charlie’s in an attempt to burn the structure and destroy the video surveillance system, which had captured his assault on his girlfriend the week prior.

Due to the size of the fire, several agencies responded in an attempt to control and extinguish the fire, and a firefighter sustained injuries due to the force of a backdraft that caused him to fall off a ladder. A fire scene examination was conducted, and the area of origin of the fire was determined to be the west exterior of the restaurant. Investigators reviewed the exterior camera footage from the video recording system, which remained operational after the fire, and were able to observe multiple flashes of light (at least three), followed by a sustained fire on the west exterior of the structure.

Charred melted plastic cups, which had been filled with gasoline, and a burnt cloth used as a wick material were located on the roof and exterior grounds of the building, and most were found to contain the presence of gasoline.  Clemons admitted that he set the wicks on fire prior to throwing the devices on the roof.  An accelerant detection K9 also alerted to the presence of gasoline on the west side of the exterior just on the other side of the fence surrounding Coconut Charlie’s. This is the area where Clemons launched the devices at Coconut Charlie’s. A short distance away, along the north side of the exterior of the property fence line, a glove was found which tested positive for the presence of an ignitable liquid and contained Clemons’ DNA.

On November 30, 2017, a federal search warrant was obtained for Clemons’ text messages on his cell phone. The contents of those messages revealed that after the assault and in the days leading up to the fire, Clemons sent multiple text messages expressing concern as to whether police would obtain the video surveillance of the assault, and what the video had captured.

Clemons faces a mandatory minimum of five years in federal prison and a maximum sentence of 20 years in prison.  U.S. District Judge Richard D. Bennett has scheduled sentencing for July 13, 2021, at 1:30 p.m.

Acting United States Attorney Jonathan F. Lenzner commended the ATF, the Anne Arundel County Fire Department, and the Anne Arundel County Fire and Explosives Investigation Unit for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Judson T. Mihok and Mary W. Setzer, who are prosecuting the case.

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Greenbelt, Maryland – A criminal complaint has been filed charging Derrell Lamar Hooker Orange (“Hooker Orange”) age 36, of Brandywine, Maryland, with enticement of a minor and possession of child pornography.  The criminal complaint was filed on April 1, 2021 and unsealed at Hooker-Orange’s initial appearance on April 2, 2021.

The criminal complaint was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police and Sheriff Michelle Cook of Clay County Sherriff’s Office.

According to the affidavit filed in support of the criminal complaint, the Clay County Sheriff’s Office (“CCSO”) of Green Cove Springs, Florida, responded to a sex offense call in which an adult female discovered sexually explicit messages on her 12-year-old daughter’s cell phone.   CCSO spoke with the victim at her residence and discovered the victim had been communicating with “Lamar Thompson” of Washington, whom she believed to be a 16-year old male, from approximately July 2020 through October 2020.  The victim stated she met “Thompson” on a video creation application and continued to communicate with him, primarily through text message and cellular phone calls.

Based on reports by CCSO, CCSO observed sexually explicit text messages and images on the victim’s phone.  With the adult female’s consent, the cell phone was placed into evidence at the CCSO. On October 22, 2020, the Clay County State’s Attorney allegedly received information that identified Hooker Orange as the subscriber who had been communicating with the victim.

The affidavit alleges that further review of text messages exchanged between Hooker Orange (allegedly posing as Lamar Thompson, a 16-year-old male) and the victim revealed that the minor victim not only disclosed her age to Hooker Orange but also informed him that she was attending junior high school at the time.  Hooker Orange’s number was allegedly saved in the victim’s phone as “Bsf Forever.” According to the affidavit, Hooker Orange sent the victim sexually explicit messages and requested that the victim send him sexually explicit images and videos of herself.

The affidavit further alleges that Hooker Orange told the victim he wanted to see her and mentioned traveling to meet the underaged victim.  The victim allegedly advised Hooker Orange that she would like to see him, but he’d have to “wait a few years”.  

According to the affidavit, on March 16, 2021, law enforcement executed a search warrant at Hooker Orange’s residence, where he resides with two other individuals.   Law enforcement seized Hooker Orange’s tablet and cellular telephone and interviewed the other residents.  The other residents allegedly advised law enforcement that Hooker Orange was constantly on the phone with individuals whom they believed to be minors.  Forensic review of Hooker Orange’s devices allegedly revealed images and videos of child pornography. 

If convicted, Hooker Orange faces a mandatory minimum sentence of 10 years in federal prison and maximum of life in prison for enticement of a minor and a maximum of 20 years in prison for possession of child pornography.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. Hooker Orange had a detention hearing in U.S. District Court in Greenbelt on April 5, 2021 and was ordered to be released under the supervision of U.S. Pretrial Services pending trial.

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.         

Acting United States Attorney Jonathan F. Lenzner commended the HSI, the Maryland State Police, the Prince George County Police Department and the Clay County, Florida Sheriff’s Office for their work in the investigation and thanked the Prince George’s County Police Department for its assistance.  Mr. Lenzner thanked Assistant U.S. Attorney Leah Grossi and Special Assistant U.S. Attorney Craig Fansler, who are prosecuting the federal case.

# # #

Greenbelt, Maryland – A criminal complaint has been filed charging Derrell Lamar Hooker Orange (“Hooker Orange”) age 36, of Brandywine, Maryland, with enticement of a minor and possession of child pornography.  The criminal complaint was filed on April 1, 2021 and unsealed at Hooker-Orange’s initial appearance on April 2, 2021

The criminal complaint was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police and Sheriff Michelle Cook of Clay County Sherriff’s Office.

According to the affidavit filed in support of the criminal complaint, the Clay County Sheriff’s Office (“CCSO”) of Green Cove Springs, Florida, responded to a sex offense call in which an adult female discovered sexually explicit messages on her 12-year-old daughter’s cell phone.   CCSO spoke with the victim at her residence and discovered the victim had been communicating with “Lamar Thompson” of Washington, whom she believed to be a 16-year old male, from approximately July 2020 through October 2020.  The victim stated she met “Thompson” on a video creation application and continued to communicate with him, primarily through text message and cellular phone calls.

Based on reports by CCSO, CCSO observed sexually explicit text messages and images on the victim’s phone.  With the adult female’s consent, the cell phone was placed into evidence at the CCSO. On October 22, 2020, the Clay County State’s Attorney allegedly received information that identified Hooker Orange as the subscriber who had been communicating with the victim.

The affidavit alleges that further review of text messages exchanged between Hooker Orange (allegedly posing as Lamar Thompson, a 16-year-old male) and the victim revealed that the minor victim not only disclosed her age to Hooker Orange but also informed him that she was attending junior high school at the time.  Hooker Orange’s number was allegedly saved in the victim’s phone as “Bsf Forever.” According to the affidavit, Hooker Orange sent the victim sexually explicit messages and requested that the victim send him sexually explicit images and videos of herself.

The affidavit further alleges that Hooker Orange told the victim he wanted to see her and mentioned traveling to meet the underaged victim.  The victim allegedly advised Hooker Orange that she would like to see him, but he’d have to “wait a few years”.  

According to the affidavit, on March 16, 2021, law enforcement executed a search warrant at Hooker Orange’s residence, where he resides with two other individuals.   Law enforcement seized Hooker Orange’s tablet and cellular telephone and interviewed the other residents.  The other residents allegedly advised law enforcement that Hooker Orange was constantly on the phone with individuals whom they believed to be minors.  Forensic review of Hooker Orange’s devices allegedly revealed images and videos of child pornography. 

If convicted, Hooker Orange faces a mandatory minimum sentence of 10 years in federal prison and maximum of life in prison for enticement of a minor and a maximum of 20 years in prison for possession of child pornography.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. Hooker Orange had a detention hearing in U.S. District Court in Greenbelt on April 5, 2021 and was ordered to be released under the supervision of U.S. Pretrial Services pending trial.

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.  For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.         

Acting United States Attorney Jonathan F. Lenzner commended the HSI, the Maryland State Police, the Prince George County Police Department and the Clay County, Florida Sheriff’s Office for their work in the investigation and thanked the Prince George’s County Police Department for its assistance.  Mr. Lenzner thanked Assistant U.S. Attorney Leah Grossi and Special Assistant U.S. Attorney Craig Fansler, who are prosecuting the federal case.

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Greenbelt, Maryland – A criminal complaint has been filed charging Rudolph Brooks, Jr., age 45, of Cheltenham, Maryland, on the federal charge of wire fraud.  In addition, law enforcement obtained warrants authorizing the seizure of more than $2.2 million held in various bank accounts, as well as a 2018 Tesla Model 3.  The criminal complaint was filed on March 29, 2021 and was unsealed following Brooks’s arrest on April 2, 2021.

The criminal complaint and seizures were announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Shimon R. Richmond of the Federal Deposit Insurance Corporation, Office of Inspector General (FDIC OIG); Acting Special Agent in Charge Darrell Waldon of the Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Inspector General Hannibal “Mike” Ware of the U.S. Small Business Administration Office of Inspector General (SBA OIG).

As detailed in the affidavit filed in support of the criminal complaint, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted in March 2020 to provide emergency financial assistance to the millions of Americans suffering from the economic consequences of COVID-19.  The CARES Act authorized up to $659 billion in forgivable loans to small businesses for employee retention and certain business expenses through the Paycheck Protection Program (“PPP”).  The business must use PPP loan proceeds on payroll costs, mortgage interest, rent, and utilities.  Initially, the program allowed the principal to be forgiven if the business spent the loan proceeds on qualifying expenses within eight weeks of loan issuance and used at least 75 percent of the loan for payroll.  On June 5, 2020, the Paycheck Protection Program Flexibility Act of 2020 went into effect.  This law extended the period from eight weeks to 24 weeks that the loan proceeds had to be spent and reduced the requirement that the loan proceeds be spent on payroll from 75 percent to 60 percent.  An Economic Injury Disaster Loan (“EIDL”) is an SBA-administered loan designed to provide assistance to small businesses that suffer substantial economic injury as a result of a declared disaster.  An EIDL helps businesses meet necessary financial obligations that could have been met had the disaster not occurred.  It provides relief from economic injury that the disaster caused and permits businesses to maintain a reasonable working capital position during the period that the disaster affected.  In March 2020, the SBA issued an EIDL declaration making EIDL loans available to small businesses to help alleviate economic injury caused by COVID-19.

Brooks is the owner of Cars Direct by Gavawn HWD Bob’s Motors (Cars Direct), the stated purpose of which was to purchase and sell cars.   Cars Direct was incorporated with the Maryland State Department of Assessments and Taxation (SDAT) on October 29, 2010.  Cars Direct was forfeited on October 1, 2012 and subsequently revived on May 28, 2020.  Brooks is listed as the resident agent with SDAT. 

The affidavit alleges that, on May 9, 2020, Brooks applied for a PPP loan on behalf of Cars Direct in the amount of $1,556,589.  In support of the Cars Direct PPP loan application, Brooks allegedly submitted fraudulent tax forms which allegedly reported $724,469 in payments via Forms 1099-MISC and $7,471,630 in total unemployment payments to employees from Cars Direct.  However, as detailed in the affidavit, IRS records do not reflect any tax filings made by Cars Direct for any tax period, indicating that Cars Direct has not hired employees or paid unemployment taxes.  Additionally, the Maryland Department of Labor has no record of Cars Direct paying wages or of Brooks receiving wages.

On April 7, 2020, Brooks allegedly submitted an EIDL loan application on behalf of Cars Direct that contradicted the information and supporting documentation Brooks submitted for Cars Directs’ PPP loan application.  The EIDL application on behalf of Cars Direct allegedly stated that the company’s gross revenue was $148,000 and cost of goods sold was $82,293 in the one year period prior to COVID-19 being declared a disaster, which is inconsistent with a business that can support average monthly payroll costs of $622,635 or annual payments of $7,471,630 as Brooks reported on the PPP loan application and supporting fraudulent tax documents.

On May 9, 2020, Cars Directs’ PPP loan was approved and $1,556,589 was subsequently deposited into a bank account which has Brooks listed as the sole signer on the account.  Prior to the deposit of the PPP loan funds, payroll payments or payroll taxes were absent from this account. According to the affidavit, Brooks allegedly opened another bank account in the name of Payroll by BJM, into which he transferred $500,000 of PPP loan funds.  Brooks also then registered Payroll by BJM with SDAT, listing himself as resident agent.  Although the name Payroll by BJM creates the appearance that the account is associated with a payroll company, there has been no payroll or payroll-related expenses paid from this account.  Brooks also opened additional accounts in the name of Cars Direct, into which he transferred PPP loan funds.

After the deposit of PPP loan funds, Brooks initiated numerous transfers of PPP loan funds from the Cars Direct accounts to his personal bank accounts. Records revealed that Brooks used the PPP loan funds for personal expenditures including credit card bills, purchases at restaurants, retail stores, grocery stores, and automotive auctioneers, and mortgage payments for Brooks Cheltenham residence.

Beginning May 22, 2020, Brooks used PPP loan funds from the Cars Direct account and his own personal account to purchase of 39 used automobiles (including a 2017 Mercedes Benz S Class, two 2017 Infinity Q50s, a 2015 Cadillac Escalade, a 2005 Bentley Continental, a 2018 Tesla Model 3, a 2014 GMC Yukon XL, and several older model luxury vehicles. Under the terms of the PPP loan program, the purchase of these vehicles is not an appropriate use of loan funds.

According to the affidavit, on July 30, 2020, Brooks initiated a wire transfer from his personal account to Tesla Motors for $60,407, which was used to purchase a 2018 Tesla Model 3. “Rudolph Brooks” was listed as the customer for this vehicle, and a District of Columbia driver’s license was on file for a close relative of Brooks.  Records from the State of Maryland reflect that the Tesla Model 3 was registered in Brooks’s name at Brooks’s Cheltenham residence.

Finally, on August 13, 2020, Brooks initiated two wire transfers from one of the Cars Direct accounts for $144,343 and $2165 to a title company regarding a property in Baltimore, Maryland.  At the time of the wire transfers, $133,669.54 in funds from the Cars Direct PPP loan remained in the Cars Direct account.  Real estate deeds filed with the State of Maryland show that the Baltimore property was purchased by Madaro, LLC (Madaro) for $148,500.  Madaro was registered with the District of Columbia on August 8, 2019 and Brooks was listed as the resident agent of the company.  Brooks executed an Auction Contract of Sale on June 18, 2020 to purchase the Baltimore property.

In addition, seizure warrants authorized the seizure of up to $2,296,136.86 from eleven bank accounts and the 2018 Tesla Model 3 described above.  The affidavit in support of the seizure warrants alleges that these funds and vehicle constitute or are derived from the proceeds traceable to false statements made on bank loan applications. 

If convicted, Brooks faces a maximum sentence of 20 years in federal prison for wire fraud followed by three years of supervised release.  Actual sentences for federal crimes are typically less than the maximum penalties.  A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. 

Acting United States Attorney Jonathan F. Lenzner commended the FDIC OIG, the IRS-CI, the FBI, and the SBA OIG for their work in the investigation.  Mr. Lenzner thanked Assistant U.S. Attorneys Sean R. Delaney and Jessica Collins, who are prosecuting the case.

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