District of Maryland
Press releases recorded for this federal judicial district.
Mexican Drug Dealer Pleads Guilty to Baltimore County Cocaine Distribution ConspiracyRead the Press Release
Baltimore, Maryland – On October 22, 2018, Gary Gaines-Hidalgo, age 26, of Baja California, Mexico, pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to Gaines’s plea agreement, HSI and the Baltimore County Police Department were investigating a drug trafficking organization in Baltimore County. Gaines was identified as a member of the organization, along with Tony Lee Bauer and four others. In December 2017, Gaines arranged to purchase kilograms of cocaine for $26,500/kilogram from a confidential source (CS), who was working with law enforcement. Thereafter, Gaines arranged to resell the cocaine to several associates for $28,000/kilogram. Gaines arranged to have 10 kilograms of cocaine delivered to him in Baltimore.
As detailed in his plea, on January 26, 2018, Gaines and a co-conspirator entered the United States from Mexico, then traveled to Baltimore. Gaines and his co-conspirator agreed to sell three kilograms of cocaine to their associates, with additional sales of kilograms of cocaine to follow the initial purchase. Gaines agreed to meet the CS in the parking lot of a Baltimore hotel, and told the associates to whom he was selling three kilograms of cocaine to also meet him there.
Three cars arrived at the agreed-upon location, one driven by the CS and two other vehicles being operated by Gaines’ associates. Gaines was in the rear passenger seat of a car being driven by Bauer. The CS opened the trunk of his car, which contained two kilogram-shaped packages, one of powder cocaine and one kilogram of “sham,” or fake narcotics. Gaines placed his hand in the bag containing the packages and members of HSI and the MSP Tactical Team approached. The vehicles being driven by Gaines’ associates attempted to drive away, but were stopped. In the first car, which is the car Gaines had been riding in, a loaded 9mm semi-automatic pistol was recovered from the center console and a loaded .45-caliber semi-automatic pistol was recovered from the rear passenger-side floor of the vehicle. On the rear seat was a vinyl bank bag containing bank-banded cash and a white bag also containing cash. A search of Bauer also recovered banded up amounts of cash. In all, law enforcement recovered $129,583 in cash from the defendants, their vehicles, and their residences.
As part of his plea agreement, Gaines must forfeit the two loaded firearms, the cash recovered after the arrests of Gaines and his co-defendants, and four vehicles, including a Range Rover, a Mercedes Benz, a Cadillac Escalade, and a Cadillac CTS.
Gaines faces a maximum sentence of 10 years in prison. U.S. District Judge George L. Russell, III has scheduled sentencing for January 2, 2019 at 12:00 p.m.
Tony Lee Bauer, age 36, of Baltimore, Maryland, previously pleaded guilty to the drug conspiracy and to possession of a firearm in furtherance of a drug trafficking crime. Judge Russell has scheduled sentencing on January 2, 2019, at 11:00 a.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended HSI Baltimore, the Baltimore County Police Department, and the Maryland State Police for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Christopher Romano and Derek E. Hines, who are prosecuting the case.
Leader of Armed Robbery Crew who Committed a String of 10 Armed Robberies of Convenience Stores Sentenced to 11 Years in Federal PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Tyrone Jason Murphy, age 27, of Washington, D.C., to 11 years in federal prison, followed by three years of supervised release, on federal charges of robbery, and using, carrying, and brandishing a firearm during a crime of violence. The federal charges arose from a series of 10 armed robberies of 7-Eleven convenience stores.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Henry P. Stawinski III of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; Anne Arundel County Police Chief Tim Altomare; and Interim Chief Amal Awad of the Hyattsville Police Department.
According Murphy’s plea agreement, from May 17, 2017 through June 16, 2017, Murphy conspired with Kione Anthony Banks, Leighton Cordell Williams, Banks’ brother, Khiry Delonte Banks, and others, to commit 10 armed robberies of 7-Eleven convenience stores. The defendants wore clothing to partially conceal their faces. Murphy drove the robbers to the store in each robbery. During seven of the robberies, Murphy brandished a firearm and ordered the store employees to open their cash registers at gunpoint. In the three other robberies, one or more of Murphy’s co-defendants brandished a firearm.
Specifically, Murphy admitted committing the following armed robberies:
- Robberies in Gaithersburg and Derwood, Maryland, on May 17, 2017, with Kione Banks and Williams;
- A robbery in Hyattsville, Maryland, on June 11, 2017, with a co-conspirator;
- A robbery in Gambrills, Maryland, on June 13, with Khiry Banks and Williams; and
- Two robberies on June 14, 2017, first in Kettering, Maryland, with Khiry Banks and Williams, then in Rockville, Maryland with Khiry Banks.
- Also, on June 16, 2017, Murphy committed three additional robberies in Glen Burnie, Millersville, and Morningside, Maryland, with all three of his co-defendants.
In all of the June robberies, Murphy brandished a firearm. After the robbery in Morningside, Murphy drove his co-defendants onto Suitland Parkway and Prince George’s County Police officers executed a traffic stop on the vehicle. A subsequent search of the vehicle recovered two firearms, cash, and cigarettes stolen during the robberies. Members of this group robbed a total of ten 7-Elevens throughout Maryland.
Khiry Banks, age 29, and Williams, age 32, both of Washington, D.C., pleaded guilty to the same federal charges of robbery, and using, carrying, and brandishing a firearm during a crime of violence in relation to their participation in the 7-Eleven robberies. Each faces a maximum of 20 years in prison for robbery and a mandatory minimum sentence of seven years, and up to life in prison, consecutive to any other sentence imposed, for using, carrying and brandishing a firearm. Judge Chuang has scheduled sentencing for Khiry Banks on November 5, 2018. No date has been set yet for Williams. Kione Anthony Banks, age 21, also of Washington, D.C., also pleaded guilty to the same charges and was sentenced to nine years in federal prison on October 10, 2018.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI Cross Border Task Force; the Anne Arundel, Montgomery, and Prince George’s County Police Departments; and the City of Hyattsville Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Timothy F. Hagan, who is prosecuting the case.
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Eastern Shore Men Sentenced to Federal Prison for Scheme to Steal and Sell More Than $248,000 Worth of Processed Chicken Parts to Black Market CustomersRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Lamar Tiquon Greene, age 39, of Easton, Maryland, today to seven months in federal prison, followed by seven months of home detention as part of three years of supervised release, for interstate transportation of stolen chicken parts. On October 16, 2018, Judge Bennett sentenced co-defendants Clifton A. Seeney, age 58, of Millsboro, Delaware, and Dondrey Tamount Copper, age 43, of Easton, for the same charge. Seeney was sentenced to four months in federal prison followed by four months of home detention as part of three years of supervised release; and Copper was sentenced to a year and a day in federal prison, followed by six months of home detention as part of three years of supervised release. Judge Bennett also ordered that all three of the defendants must pay restitution totaling $248,721.
The sentences were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to their plea agreements, Seeney was a commercial truck driver who worked for a company that was contracted to transport pallets of frozen, processed chicken parts from a company in Maryland. The company in Maryland owned and operated poultry processing facilities, hatcheries, and feed mills in various locations on the East Coast. Greene and Copper worked at the company’s plant in Cordova, Maryland.
The chicken processing plant had a product inventory management system that used, among other things, bar code scanning to track the movement of its product inventory from the time chickens came into the facility with feathers on until they left as ready-to-cook chicken parts. From April 2015 to December 9, 2015, Seeney, Greene, and Copper exploited the system by stealing pallets of frozen chicken parts and selling them in the New York City area.
Specifically, as detailed in their plea agreements, Seeney would text Copper information concerning Seeney’s truck load assignment. Greene and Copper would scan the bar codes on pallets of cargo that were destined for wholesale customers back into the production inventory, then surreptitiously remove them without further scanning, and load the pallets onto a truck driven by Seeney that was already loaded with inventory destined for legitimate customers. Copper would inform Seeney of the number and location of the stolen pallets on Seeney’s truckload. Seeney would the deliver the stolen chicken parts to “black market” customers during the same trips he delivered pallets of chicken products to legitimate customers.
On December 9, 2015, another employee at the chicken processing plant alerted his supervisor that pallets of chicken parts had been loaded onto a trailer without properly being scanned out of inventory. Seeney was the operator of the truck hauling this trailer. The employee also spoke with Copper and Greene, who provided false accounts about the product on the trailer. The owner of the trucking company attempted to reach Seeney to tell him to return to the plant, and another driver spoke with Seeney and advised him of the owner’s order to return. Seeney ignored the order, denied anything was wrong with his load, and continued to New York City, where he delivered the product to the legitimate customers. GPS tracking revealed that in addition, Seeney traveled to another location where he off-loaded stolen chicken products and received cash in return. Seeney later posted photos to his social media account, taken while in the cab of the truck, flashing a wad of cash he received from the buyer of the stolen product.
Subsequent investigation revealed text messages between Copper and Seeney referencing the availability of stolen chicken products for delivery to black market customers. The insurance carrier for the chicken processing company estimated the value of the stolen chicken products at approximately $248,000.
United States Attorney Robert K. Hur praised the FBI and Maryland State Police for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney P. Michael Cunningham, who prosecuted the case.
# # #Baltimore Man Pleads Guilty to Attempting to Rob Undercover ATF Special Agents at Gunpoint During a Purported Drug DealRead the Press Release
Baltimore, Maryland – Donte Smith, age 33, of Baltimore, pleaded guilty today to assault of a federal officer and brandishing a firearm in the course of a crime of violence, in connection with the May 26, 2017, assault on two undercover Special Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
In a separate case, U.S. District Judge George L. Russell, III sentenced Sean Lloyd, age 26, of Baltimore, to seven years in federal prison, followed by three years of supervised release, for possession of a loaded firearm in furtherance of a drug trafficking crime. There is no parole in the federal system.
The guilty plea and sentence were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the ATF Baltimore Field Division; and Interim Police Commissioner Gary Tuggle.
“These cases highlight the connection between drug trafficking and gun violence. Both defendants’ gun crimes arose from drug trafficking—one to rob drug customers, and the other to protect his drug dealing. Unfortunately, in Baltimore drug dealers bring violence into their communities every day. With our law enforcement partners, we are targeting drug dealers to get drugs and guns off our streets,” said United States Attorney Robert K. Hur. “The undercover ATF agents, like all the law enforcement officers that work to identify and disrupt drug dealers, put their lives on the line every day. We are grateful for their service and sacrifice.”
“We are thankful every day that our dedicated Special Agents were unharmed in this attempted robbery,” said ATF Baltimore Special Agent in Charge Cekada. “ATF focuses our efforts in Baltimore on drug trafficking crews that use firearms to maintain and expand their turf. Special Agents risk their personal safety each time they infiltrate a criminal organization, yet they do this because they know the importance of their mission to protect the community from these violent criminals.”
DONTE SMITH PLEA
According to Smith’s plea agreement, on May 26, 2017, during an ATF undercover operation, Smith and his co-defendant, Menard Hazelwood, attempted to rob two ATF undercover Special Agents (UCs), who were working with a confidential informant (CI) to purchase $2,000 worth of heroin from a known heroin dealer. The UCs and the CI had picked up the heroin dealer, with one UC driving and the other UC in the front passenger seat, then drove to a location in West Baltimore to meet with the dealer’s supplier. The dealer got out of the car and told the CI and the UCs to wait; Smith and Hazelwood immediately walked up to the vehicle. Smith asked the UCs for a light and Hazelwood took advantage of the distraction and pointed a gun at the UC in the passenger seat. Smith then pointed a silver revolver at the other UC. Smith and Hazelwood demanded money. The UCs told Smith and Hazelwood, who continued to hold them at gunpoint, that there was cash in the vehicle. The UCs then gave the distress signal to the covert ATF team that was monitoring the operation. As the covert team arrived on the scene, the agents ordered Smith and Hazelwood to put their hands up. Smith fled, and the responding ATF Special Agents fired their service weapons, striking Smith. Hazelwood also broke away and ran to a nearby car, but was not able to get into the car. Special Agents arrested him at the scene.
Agents recovered the .44-caliber revolver brandished by Smith during the robbery, but did not recover the gun used by Hazelwood. Smith and Hazelwood admitted that they each participated in the robbery, but did not know that the undercover Special Agents were federal agents at the time of the robbery.
Smith and the government have agreed that if the Court accepts the plea agreements, Smith will be sentenced to between seven and 15 years in prison. U.S. District Judge George L. Russell, III has scheduled sentencing for March 29, 2018 at 11:00 a.m. Menard Hazelwood, age 29, of Baltimore, previously pleaded guilty to the same charges and is scheduled to be sentenced on March 29, 2019 at 2:00 p.m.
SEAN LLOYD SENTENCINGAccording to Lloyd’s plea agreement, on January 9, 2018, Lloyd was seen on Baltimore Police Department (BPD) surveillance cameras engaging in a hand-to-hand drug sale in the 2500 block of East Biddle Street in Baltimore. Shortly thereafter, BPD officers stopped Lloyd inside a nearby liquor store. Officers recovered a plastic bag containing three gel capsules of heroin; seven plastic containers of crack cocaine; and a loaded gun from Lloyd. As detailed in his plea, Lloyd had the gun for protection while he was dealing drugs.
These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF for its work in both investigations and the Baltimore Police Department for its work in the Lloyd case. Mr. Hur thanked Assistant U.S. Attorney Patricia C. McLane, who is prosecuting the Smith case, and Assistant U.S. Attorney Matthew DellaBetta, who prosecuted the Lloyd case.
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Silver Spring Physician Indicted on Federal Charges for Allegedly Obtaining over Half a Million Dollars of Her Deceased Mother’s Retirement BenefitsRead the Press Release
Greenbelt, Maryland – A federal grand jury has returned an indictment charging Crystal Mebane McGinty, age 58, of Silver Spring, Maryland, with mail fraud, theft of government property, and aggravated identity theft, in connection with a scheme to obtain over $517,000 of her deceased mother’s social security and City of New York teachers’ retirement benefits. The indictment was returned on July 31, 2018, and unsealed today. McGinty previously had an initial appearance in U.S. District Court in Greenbelt and was released under the supervision of U.S. Pretrial Services.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Michael McGill of the Social Security Administration (SSA) - Office of Inspector General, Philadelphia Field Division.
“Criminals who lie, cheat, and steal to obtain benefits to which they are not entitled defraud not only the Social Security Administration, but all law-abiding citizens,” said U.S. Attorney Robert K. Hur. “Federal prosecution of these cases serves to punish the lawbreakers and to deter others who may be tempted to do the same.”
According to the three-count indictment and other court documents, McGinty’s mother was a Maryland resident who began receiving monthly retirement benefits from the Teachers’ Retirement System of the City of New York (TRSCNY) in 1972, and began receiving Social Security Retirement Insurance Benefits (RIB) in 1989. According to her death certificate, McGinty’s mother died of natural causes in 2005, and McGinty, a practicing physician, was listed as the informant on the death certificate.
The indictment alleges that from June 2005 through June 2018, McGinty did not notify TRSCNY or SSA that her mother had died. In addition, the indictment alleges that McGinty deposited her mother’s TRSCNY checks, which were mailed to McGinty’s home, into a bank account that McGinty maintained in her name, her mother’s name, and the name of her mother’s deceased husband. The checks bore her mother’s signature, which McGinty knew was forged. McGinty’s mother’s SSA RIB payments were also deposited into that bank account. Further, McGinty allegedly signed and submitted several proof-of-life forms to TRSCNY, including some in which she identified herself as her deceased mother’s physician, in order to continue to receive her mother’s retirement benefits. McGinty also allegedly called TRSCNY posing as her deceased mother and providing her deceased mother’s identifying information, in an effort to get pension benefits reinstated.
According to the indictment, McGinty routinely withdrew her deceased mother’s TRSCNY and SSA retirement benefits from the bank shortly after they were deposited, by direct debit, cash withdrawals, debit card transactions, checks, and transfers to family members. McGinty allegedly used the funds to pay utility bills, mortgage fees, credit cards, and other expenditures. According to court documents, the expenditures also included fees associated with renewing McGinty’s Health Professional License, tuition at a private high school in Washington, D.C., international and domestic travel, and a cruise vacation.
If convicted, McGinty faces a maximum sentence of 20 years in prison for mail fraud; a maximum of 10 years in prison for theft of government property; and a mandatory two years in prison, consecutive to any other sentence imposed, for aggravated identity theft.
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.
United States Attorney Robert K. Hur commended the SSA Office of Inspector General for its work in the investigation. Mr. Hur thanked Special Assistant U.S. Attorney Michael Davio, who is prosecuting the case.
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Fourteenth and Final Member of the “Felony Lane Gang” Pleads Guilty in $1 Million Bank Fraud ConspiracyRead the Press Release
Baltimore, Maryland – The final defendant in the federal indictments charging 14 Florida residents with a bank fraud conspiracy involving over $1 million in losses pleaded guilty today. Kevin Williams, age 43, of Fort Lauderdale, Florida, pleaded guilty to federal charges of bank fraud conspiracy and aggravated identity theft. Williams was a member of the nationwide group of fraudsters known to law enforcement as the “Felony Lane Gang,” whose members traveled from Florida to Maryland and other states, broke into vehicles parked at recreation areas, sports fields, gyms, fitness centers, and other locations, and stole wallets, purses and other items left in the vehicles. Williams and his co-defendants used the victims’ stolen checks, credit cards and identifications to conduct fraudulent financial transactions.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Daniel Kurz of the United States Secret Service - Baltimore Field Office; Chief Darryl McSwain of the Maryland National Capital Park Police, Montgomery County Division; Chief Stanley Johnson of the Maryland National Capital Park Police, Prince George’s County Division; Chief Gary Gardner of the Howard County Police Department; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Anne Arundel County Police Chief Tim Altomare.
According to his guilty plea and other court documents, from September 2012 through July 2015, Williams is part of an organized group out of Florida who travel around the United States committing check fraud. Traveling groups generally consisted of two to four managers and one to six “strikers” (sometimes called “faces”) or persons who passed the fraudulent and stolen checks. Williams and his co-conspirators recruited prostitutes, drug addicts and other vulnerable individuals as faces to travel with them to conduct financial transactions using the stolen checks, driver’s licenses and other materials, and paid them with drugs, food, and small amounts of cash amounting to a fraction of the total value of the checks they cashed. They traveled in rental cars and stayed in hotels, sometimes paying for the rental cars and hotel rooms using victims’ identities and credit cards.
The managers, including Williams, went to locations where individuals often leave their belongings in their car—such as gyms, parks, and athletic fields—and broke into vehicles and stole wallets and purses for the identifications, credit cards, and check books—collectively called “paper.” Other items were usually discarded. The “paper” was provided to the strikers, along with glasses and wigs to allow them to resemble the individuals pictured in the stolen forms of identification. These co-conspirators, generally in teams of a driver and a passenger posing as the victim, traveled to banks to cash the checks stolen from victims. The managers were either in another car parked nearby so they could watch the transaction and look out for police, or they were crouched down behind the front seat.
As detailed in his plea agreement, Williams managed a crew and often coordinated crews who were in the same area at the same time. He both obtained the “paper” that was later distributed to strikers so that fraudulent checks could be cashed, and traded “paper” between crews as they came and went in a particular area. Williams assisted co-conspirators in cashing checks using the names and identifying information of the victims at banks in Maryland, including in Columbia, Millersville, and Edgewater.
According to their indictments and other court documents, the conspirators traveled throughout Maryland and other states conducting these thefts and financial transactions in one location for several days or weeks until the banks or law enforcement began thwarting their activities. Then they returned to Florida or moved on to another location, burying or hiding for future use the checks, credit cards, identification cards and other items they had stolen from vehicles, but had not yet used. A few weeks or months later, after scrutiny of their activities had faded, the defendants would return to Maryland, retrieve the hidden items, and use them to continue their financial fraud scheme.
As part of his plea agreement, Williams will be required to pay restitution in the full amount of the loss, which the government contends is no greater than $550,000. The full amount of the loss will be determined at sentencing.
Williams faces a maximum penalty of 30 years in prison for bank fraud conspiracy and a mandatory two years in prison, consecutive to any other sentence imposed, for aggravated identity theft. U.S. District Judge Ellen L. Hollander has scheduled sentencing for January15, 2019, at 10:00 a.m.
The following 13 defendants have all pleaded guilty in a related case and nine were sentenced to between time served and 54 months in federal prison:
Theodore L. Pittman, a/k/a Teddy, Tony, and Bear, age 32, of Lauderhill, Florida;
Courtney B. Walker, a/k/a Wayne Leo Walker, age 28, of Ft. Lauderdale, Florida;
James J. Blakey, a/k/a Jamal, age 29, of Ft. Lauderdale;
Vincent Lee Sands, a/k/a Young SP, and Chad, age 26, of Lauderhill;
Tara Kathleen Whyte, age 29, of Hollywood, Florida, and Gambrills, Maryland;
Tracy Lee Whyte, a/k/a Nikki, age 34, also of Hollywood and Gambrills;
Heather Brooke Roberts, age 45, of Perry, Ohio;
Michael J. Walker, age 44, of Pompano Beach, Florida, and Perry, Ohio;
Shannon Elise Isley, age 29, of Sunrise, Florida;
Lauren Anne Bole, age 28, of Miramar, Florida;
Felicia Kaye Waybright, a/k/a Felicia Kaye Phillips, age 25, of Daytona Beach, Florida;
Ronald Jason Rhoda, a/k/a Jason Rhoda, age 43, of Hollywood, Florida; and
Amie Nicole Carter, age 32, of Casselberry, Florida.Heather Roberts and Michael Walker are scheduled to be sentence on November 2, 2018 at 2:00 and 3:00 p.m., respectively. Sentencing has not yet been scheduled for Pittman and Rhoda.
The Maryland Identity Theft Working Group has been working since 2006 to foster cooperation among local, state, federal, and institutional fraud investigators and to promote effective prosecution of identity theft schemes by both state and federal prosecutors. This case, as well as other cases brought by members of the Working Group, demonstrates the commitment of law enforcement agencies to work with financial institutions and businesses to address identity fraud, identify those who compromise personal identity information, and protect citizens from identity theft.
United States Attorney Robert K. Hur commended the U.S. Secret Service, Maryland National Capital Park Police - Montgomery and Prince George’s County Divisions, and the Howard County, Baltimore County and Anne Arundel County Police Departments for their work in the Maryland portion of this multi-state, multi-agency investigation. Mr. Hur thanked Assistant U.S. Attorneys Tamera L. Fine and Ayn B. Ducao, who are prosecuting the case.
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Former Financial Advisor Convicted of All Federal Charges Related to $20 Million Ponzi SchemeRead the Press Release
Greenbelt, Maryland – After deliberating for fewer than five hours, a federal jury today convicted Dawn J. Bennett, age 56, of Chevy Chase, Maryland, on all 17 federal charges including conspiracy, securities fraud, wire fraud, bank fraud, and making false statements on a loan application. Bennett remains detained pending sentencing. U.S. District Judge Paula Xinis has not yet scheduled a date for sentencing.
The conviction was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
“Dawn Bennett’s greed knew no bounds as she knowingly defrauded elderly retirees of their life’s savings,” said U.S. Attorney Robert K. Hur. “This conviction—and the years in federal prison that she is facing—holds her accountable for her actions.”
According to the information presented at her nine-day trial, Bennett is the owner and operator of DJB Holdings, LLC, d/b/a DJBennett.com, an Internet retail website for luxury sportswear.
According to the evidence presented at trial, between December 2014 and April 2017, Bennett solicited individuals to invest money in her Internet clothing business, offering an annual interest rate of 15% via convertible or promissory notes. In order to entice individuals to invest, Bennett made false and misleading statements, including: the risks of investing in DJB Holdings; how investors’ funds would be used; and that the loans were liquid and guaranteed by DJB Holdings’ inventory and assets, and by Bennett herself. Witnesses testified that Bennett concealed the true financial condition of her companies from investors. Bennett convinced several investors to withdraw a significant portion of their retirement accounts to invest in, and loan money to, her companies. The evidence showed that Bennett misappropriated investor funds, using them to fund a lavish lifestyle, pay her personal legal expenses, and repay previous investors with funds she received from new investors. This is consistent with a Ponzi scheme--a fraudulent investment scheme where the operator of the scheme solicits investors by promising high rates of return with little risk. The scheme operator then funds payments to the earlier investors through funds obtained through new investors. Typically, the operator of the scheme will use investment funds for purposes other than what was conveyed to the investors.
According to testimony at trial, over the course of the scheme, Bennett obtained more than $20 million from 46 investors, many of them elderly clients who knew of Bennett from a radio show she hosted. Some of those funds were used to pay earlier investors and the rest was used for her personal benefit, including: a luxury suite at a football stadium; to pay a website operator to arrange for priests in India to perform religious ceremonies to ward off federal investigators; to purchase astrological gems; and for cosmetic medical procedures.
Evidence at trial showed that in May 2015, DJB Holdings, LLC also obtained a $750,000 line of credit, with Bennett as guarantor. According to witness testimony, in support of this line of credit, Bennett made false statements to the bank, including that she had a brokerage account with a net portfolio value of over $4 million. In reality, Bennett’s net portfolio value for that same account was only $35. The loan proceeds were to be used solely for business operations, but Bennett used the funds to pay off investors and to pay her personal expenses. In February 2016, the lender declared the loan in default. Bennett told the lender that she was unaware of the default because she had been in China for the preceding eight months. According to trial evidence, there was not any international travel for Bennett during the time in which she claimed to be in China, and her personal American Express card showed numerous transactions during that time in the Chevy Chase, Maryland and Washington, D.C. area.
On August 25, 2017, the SEC filed a related action against Dawn J. Bennett and DJB Holdings, LLC d/b/a/ DJBennett and DJBennett.com alleging violations of the Securities Act of 1933 and the Securities Exchange Act of 1934.
Bennett faces a maximum of 20 years in prison for wire fraud conspiracy and for each of nine counts of wire fraud; a maximum of five years in prison for securities fraud conspiracy; a maximum of 20 years in prison for each of four counts of securities fraud; and a maximum of 30 years in prison each for bank fraud and for false statements on a loan application.
On June 18, 2018, Bennett’s co-defendant, Bradley Mascho, age 52, of Frederick, Maryland, pleaded guilty to conspiracy to commit securities fraud and to making a false statement. Mascho faces a maximum of 10 years in prison. As part of his plea agreement, Mascho is required to pay restitution in the full amount of the victim’s losses, which is at least $5,720,457, minus amounts repaid with money not derived from his criminal conduct, but in no event less than $3,650,238. No date has been set for Mascho’s sentencing.
United States Attorney Robert K. Hur commended the FBI for its work on this investigation and thanked the SEC. Mr. Hur praised Assistant U.S. Attorneys Erin B. Pulice, Thomas P. Windom, and Gregory D. Bernstein, who are prosecuting the case.
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Former Anne Arundel County Sheriff’s Office Employee Pleads Guilty to Providing Information to the Target of a Drug Trafficking InvestigationRead the Press Release
Baltimore, Maryland – Chanel Holland, age 36, of Glen Burnie, Maryland, pleaded guilty today to obstructing an official proceeding arising from Holland providing information regarding law enforcement activity, including sealed indictments and investigative information, to the target of a drug trafficking investigation. At the time, Holland was employed as the Human Resource Administrator in the Anne Arundel County Sheriff’s Department.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Anne Arundel County Police Chief Tim Altomare; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Anne Arundel County State’s Attorney Wes Adams; and Maryland State Prosecutor Emmet C. Davitt.
“Law enforcement officers fight every day to keep our streets safe from drug dealers and other criminals who endanger our communities. Chanel Holland betrayed the trust of those officers and the citizens of Maryland,” said United States Attorney Robert K. Hur. “In doing so, she not only broke the law, but also put lives at risk. This prosecution holds her accountable for those actions.”
According to Holland’s plea agreement, as a result of an investigation into a violent drug trafficking organization, on June 8, 2018, sealed indictments were returned for 10 individuals, including Traymont Wiley (a/k/a “Whamp”), who was believed to be the leader of the organization. The organization operated in Anne Arundel County and elsewhere, and was believed to be associated with several murders in Anne Arundel County. Sealed arrest warrants and search warrants for several locations were also authorized.
On Monday, June 11, 2018, a conversation between Traymont Wiley and another individual was intercepted on the wiretap that was authorized as part of the investigation. Wiley stated that he had been told that he was going to be arrested on drug and gang-related charges. Wiley’s call led to a flurry of conversations monitored on the intercepted lines between targets of the investigation. During the conversations, it was revealed that the person who provided Wiley the information about the sealed criminal charges was a female named “Chanel.” During the conversations, the targets were reading portions of the sealed indictment out loud, including the names of other co-defendants named in the sealed indictment. Wiley also read his charges, using the exact legal wording of the crimes as stated in the sealed indictment. Further, on June 12, 2018, an attorney hired by one of the co-defendants made a motion to the court citing the specific court case number on the sealed indictment and requesting the court to unseal and quash a pending sealed arrest warrant. All of this occurred before the indictment and arrest warrants were unsealed, and prior to the execution of the sealed search warrants.
A subsequent audit of Maryland Judiciary Secure Case Search revealed that Holland’s Secure Case Search account was the only account to conduct a search of all four names heard during the interception of the target lines. Secure Case Search is not available to the public and is restricted to law enforcement and other related entities. Holland’s duties as Human Resource Administrator did not include running searches for individuals through Secure Case Search. Holland’s cell phone records revealed that she had 96 contacts (message and voice) with Wiley on June 11, 2018. Surveillance video at the Anne Arundel County Circuit Court showed that on Monday, June 11, 2018, Holland had entered and exited the administration offices where her Secure Case Search account was accessed from her assigned computer.
On June 20, 2018, a search warrant was executed at Holland’s residence and her phone was recovered. A search of the phone messages revealed that Holland had been providing information to Wiley and others for several months, beginning as early as April 2018. On June 11, 2018, Holland sent a photograph of the sealed indictment to Wiley’s phone and stated, “Here’s a list of your charges.” Holland then had a series of phone calls with Wiley’s phone in which she provided additional information about the sealed warrants and the nature of the charges. Holland attempted to find out if a cooperating source had provided information to law enforcement which led to the charges against Wiley and the other co-conspirators, and she conveyed information about suspected cooperating sources to Wiley and others, including photos of those individuals and information about the status of their court cases.
Holland admitted that she did not want Wiley and his co-conspirators to get any additional charges, so she alerted them about the outstanding warrants and indictment. Holland further admitted that she knew her actions were likely to affect the federal grand jury proceeding.
Holland faces a maximum sentence of 20 years in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for March 26, 2019 at 3:00 p.m.
United States Attorney Robert K. Hur commended HSI Baltimore, the Anne Arundel County Police Department, the Maryland State Police, and the FBI for their work in the investigation, and thanked the Anne Arundel County State’s Attorney’s Office and the Office of the State Prosecutor for their assistance in the investigation and prosecution. Mr. Hur thanked Assistant U.S. Attorney Derek E. Hines, who is prosecuting the case.
Baltimore Man Pleads Guilty to Attempting to Rob Undercover ATF Special Agents at GunpointRead the Press Release
Baltimore, Maryland – Menard Hazelwood, age 29, of Baltimore, pleaded guilty today to assault of a federal officer and brandishing a firearm in the course of a crime of violence, in connection with the May 26, 2017, assault on two undercover Special Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Rob Cekada of the ATF Baltimore Field Division.
“This case demonstrates how drug trafficking can lead to violence. The defendants thought they were robbing drug customers. Unfortunately, this occurs all too often in Baltimore. These agents, like all law enforcement officers, put their lives on the line every day to identify and disrupt the drug dealers that bring violence to our streets,” said United States Attorney Robert K. Hur. “We are grateful for their service and sacrifice.”
“ATF focuses our efforts in Baltimore on drug trafficking crews that use firearms to maintain and expand their turf. ATF agents risk their personal safety each time they infiltrate a criminal organization, yet they do this because they know the importance of their mission to protect the community from these violent criminals,” said ATF Baltimore Special Agent in Charge Cekada. “We are grateful every day that our dedicated Special Agents were unharmed and have been able to fully resume their duties as law enforcement officers.”
According to his plea agreement, on May 26, 2017, during an ATF undercover operation, Hazelwood and a co-defendant attempted to rob two ATF undercover Special Agents (UCs). A confidential informant (CI) made arrangements to purchase $2,000 worth of heroin. The UCs had driven the CI to pick up the heroin dealer, with one UC driving and the other UC in the front passenger seat. They picked up the dealer and drove to a location in West Baltimore to meet with the dealer’s supplier. When they arrived at the location, the dealer got out of the car and told the CI and the UCs to wait. Hazelwood and his co-defendant immediately walked up to the vehicle. The co-defendant asked the UCs for a light. Hazelwood took advantage of the distraction and pointed a gun at the UC in the passenger seat, while the co-defendant pointed a silver revolver at the other UC. Hazelwood and his co-defendant demanded money. The UCs told Hazelwood and his co-defendant, who continued to hold them at gunpoint, that there was cash in the vehicle. The UCs then gave the distress signal to the covert ATF team that was monitoring the operation.
As the covert team arrived on the scene, the agents saw Hazelwood and his co-defendant pointing handguns at the UCs in the vehicle, and ordered them to put their hands up. Hazelwood’s co-defendant fled, and the responding ATF Special Agents fired their service weapons, striking the co-defendant. Hazelwood also broke away and ran to a nearby car, but was not able to get into the car. Special Agents arrested him at the scene.
Agents recovered the .44-caliber revolver brandished by Hazelwood’s co-defendant during the robbery, but did not recover the gun used by Hazelwood. Hazelwood admitted that he participated in the robbery, but that he did not know that the undercover Special Agents were federal agents at the time of the robbery.
Hazelwood, and the government have agreed that if the Court accepts the plea agreement, Hazelwood will be sentenced to between seven and 15 years in prison. U.S. District Judge George L. Russell, III has scheduled sentencing for March 29, 2019 at 2:00 p.m.
Hazelwood’s co-defendant, Donte Smith, age 33, of Baltimore, is scheduled for a rearraignment on Friday, October 19, 2018 at 2:00 p.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Patricia C. McLane, who is prosecuting the case.
Baltimore Heroin Dealer Linked to 27 Overdoses—9 of Them Fatal—Sentenced to 10 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Karon Elijah Peoples, age 24, of Baltimore, Maryland, today to 10 years in federal prison, followed by five years of supervised release, for a heroin distribution conspiracy. Peoples admitted that during his participation in the conspiracy, he was responsible for distributing, or facilitating the distribution of, between nine and 10 kilograms of heroin. In addition, Peoples admitted that nine fatal overdose victims and 18 overdose survivors had contacted Peoples’ phones prior to their overdose—either by phone call or text message—in order to arrange for the purchase of heroin.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Harford County Sheriff Jeffrey Gahler and the other members of the Harford County Narcotics Task Force--Harford County State’s Attorney Joseph I. Cassilly, Colonel William M. Pallozzi, Superintendent of the Maryland State Police, Chief Henry Trabert of the Aberdeen Police Department, Chief Charles Moore of the Bel Air Police Department, and Chief Teresa Walter of the Havre de Grace Police Department; and Director Tom Carr of the Washington/Baltimore High Intensity Drug Trafficking Area (HIDTA).
“Heroin dealers like Karon Peoples sell death and despair. Heroin is one of the leading causes of death in Maryland—and many victims are teenagers,” said Maryland U.S. Attorney Robert K. Hur. “We will continue to work with our local, state, and federal partners to attack this problem from all sides to reduce overdose deaths. Federal defendants, like Karon Peoples, face stiff federal sentences, and there is no parole in the federal system.”
According to Peoples’ plea agreement, during the fall of 2017, law enforcement began conducting an investigation of Peoples after learning that he was supplying significant quantities of heroin to customers throughout Maryland who traveled to Baltimore City to obtain the heroin. As part of the investigation, law enforcement conducted controlled purchases and undercover purchases of heroin from Peoples.
On December 7, 2017, search warrants were executed at Peoples’ residence, at a stash location on West Lexington Street in Baltimore, and on his vehicle. Law enforcement recovered 900 grams of heroin; $405,156 in cash stored in a blue checkered Louis Vuitton bag; a Rolex watch; a money counter; and digital scales and other drug paraphernalia from the stash location. Law enforcement also recovered 68 grams of heroin from the vehicle.
On December 7, 2017, and on January 9, 2018, when Peoples was arrested as the result of a federal arrest warrant, law enforcement seized a total of 49 cellular phones from Peoples and the search locations. A court-authorized search of the phones revealed hundreds of text messages between Peoples, his co-conspirator, and his customers arranging for the acquisition, purchase, and sale of heroin. The text messages also established that Peoples was part of the conspiracy from no later than May 2015 until his arrest in January 2018.
The Harford County Narcotics Task Force and DEA coordinated with other federal, state, and local law enforcement agencies through the assistance of the HIDTA Investigative Support Center to collect information about customers of Peoples who were heroin overdose victims. After running searches for the 49 cellular telephones possessed by Peoples, law enforcement found links between cases involving a total of 27 overdose victims—nine who died as a result of the overdose and 18 who survived. The victims, who resided in Maryland, Pennsylvania, and West Virginia, had contacted Peoples’ drug phones prior to their overdoses in order to arrange for the purchase of heroin.
United States Attorney Robert K. Hur commended the DEA, the Harford County Narcotics Task Force, comprised of members of the Harford County Sheriff's Office, Maryland State Police, Aberdeen Police Department, Bel Air Police Department, Havre de Grace Police Department and the Harford County State’s Attorney’s Office, and the Washington/Baltimore HIDTA for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Derek E. Hines, who prosecuted the case.
Randallstown Man Sentenced to 40 Years in Federal Prison for Producing and Possessing Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced John Michael Fowler, age 28, of Randallstown, Maryland, today to 40 years in federal prison for four counts of sexually abusing a minor in order to produce visual images of the abuse, and one count of possession of child pornography, followed by 30 years of supervised release. Judge Bennett also ordered that, upon his release from prison, Fowler must 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 Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation; Interim Commissioner Gary Tuggle of the Baltimore Police Department; and Baltimore State’s Attorney Marilyn Mosby.
“John Fowler is a sexual predator who committed horrific acts against innocent children,” said U.S. Attorney Robert K. Hur. “This sentence demonstrates our commitment to protect our children and to hold accountable those who endanger them. As there is no parole for federal sentences, we have removed the threat of Mr. Fowler from our community.”
According to his indictment and other court documents, Fowler sexually abused two young girls and took videos and photos documenting the abuse. Specifically, in 2013 and 2014 Fowler sexually abused a girl who was six years old when the abuse began. Fowler photographed the abuse and those sexually explicit images were found during a search of his Randallstown home on February 16, 2017. Fowler admitted that he also abused an eight-year-old girl, whom Fowler thought was sleeping, using his mobile phone to produce sexually explicit images of the girl.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit 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 Robert K. Hur commended the FBI, the Baltimore Police Department, and the Office of the State’s Attorney for Baltimore City for their work in the investigation and prosecution. Mr. Hur thanked Assistant U.S. Attorney Paul Budlow, who is prosecuting the case.Five Plead Guilty in October to Federal Charges Related to a Violent Drug Distribution OrganizationRead the Press Release
Baltimore, Maryland – Five admitted members and confederates of the Old York Money Gang (OYMG), a gang that sustained itself in part through the distribution and sale of controlled substances, including crack cocaine, as well as through murder and other violent crimes, have pleaded guilty to federal drug or racketeering charges related to their membership in the gang. The gang operated throughout the Waverly Way neighborhood of Baltimore. The federal indictment charges murders, including the murder of McKenzie Elliott, a three-year-old girl who was shot to death on August 1, 2014, as acts of violence committed by members of the OYMG.
The following defendants, all of Baltimore, have entered guilty pleas:
Emmanuel Rose, age 27, pleaded guilty on October 1, 2018;
Davonte Rich, a/k/a Chopper, age 24, pleaded guilty on October 2, 2018;
Keith Wilson, age 25, pleaded guilty on October 3, 2018;
Jason Snowden, age 22, pleaded guilty on October 10, 2018; and
Calvin Watson, a/k/a Monster, age 27, pleaded guilty on October 12, 2018.Rich and Snowden each pleaded guilty to participating in a racketeering conspiracy in connection with their membership in the OYMG. Watson, Rose, and Wilson each pleaded guilty to conspiracy to distribute and possess with intent to distribute between 280 and 840 grams of crack cocaine.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Interim Commissioner Gary Tuggle of the Baltimore Police Department.
“Disputes between rival drug gangs lead to so many tragic shootings and murders in Baltimore City,” said U.S. Attorney Robert K. Hur. “Often the victims are innocent bystanders, like little McKenzie Elliott. We will continue to work with our law enforcement partners to root out and to hold accountable the criminals who turn our neighborhoods into war zones, and to stop the senseless violence.”
“The pain and violence this gang has inflicted on Baltimore cannot be overstated,” said ATF Baltimore Special Agent in Charge Cekada. “They pushed drugs into neighborhoods knowing that addiction ruins lives, and they used firearms to intimidate and inflict violence to protect and expand their territory, showing no concern for innocent bystanders like McKenzie Elliott. ATF will continue to work relentlessly in our efforts to make Baltimore’s communities safer by taking criminals like members of the Old York Money Gang off the street.”
According to their plea agreements and other court documents, from January 2014 to April 2017, Rich, Snowden, Watson, Rose, and Wilson were all members and associates of the OYMG, a violent drug trafficking organization operating in the Waverly Way neighborhood in the northeastern district of Baltimore. OYMG is involved in criminal activity including murder, robbery, extortion, burglary, and narcotics trafficking in and around Baltimore. OYMG is a neighborhood gang, limiting its membership to persons that originate from or live in the Waverly Way neighborhood, and generally excluding “outsiders.” The gang extensively and frequently endorsed and promoted its existence through social media accounts and rap music videos, whereby members would display their association and advertise membership and activities of the gang.
Beginning in October 2016, the ATF and the Baltimore City Police Department conducted undercover purchases of cocaine base and heroin from OYMG members, including Watson and Rose. All of the defendants generally sold controlled substances at or around drug shops controlled and managed by the OYMG—and in coordination with coconspirators. According to their plea agreements and other court documents, OYMG members sold heroin, powder and crack cocaine, and marijuana in their territory in Waverly Way and elsewhere. Wilson was principally involved in the sale of prescription pills and marijuana and Rich principally distributed marijuana for the gang, in addition to his other gang activities.
According to Rich’s plea agreement, OYMG members regularly carried firearms to defend the gang’s territory and violently expelled OYMG rivals or antagonists. Throughout its existence, a primary source of revenue for the gang was the trafficking of narcotics and marijuana. The gang used violence to protect and further these criminal activities. For example, as detailed in Snowden’s plea, on February 5, 2016, Baltimore Police officers recovered a firearm and marijuana packaged for distribution from a car in which Snowden was riding. On October 2, 2017, two perpetrators robbed the owners of a restaurant directly across the street from an OYMG drug shop, stealing nearly $30,000. One of the assailants struck a female victim during the robbery, fracturing her eye socket. The victims knew Snowden and identified him as one of the robbers.
As detailed in Rich’s plea agreement, from July 30 to August 1, 2014, Rich and other OYMG members violently attacked three victims who had entered OYMG territory to support a female friend engaged in a fight with the sister of an OYMG member. During this attack, one of the victims (Victim #1) was stabbed. Two days later, the victims returned to the same OYMG drug shop, at which point an OYMG member fired multiple gunshots at the vehicle carrying the victims. One bullet struck Victim #1 in the head, while an errant bullet killed three-year-old McKenzie Elliott.
In addition, Tyron Brown, age 28, and Davin Lawson, age 27, both of Baltimore, previously pleaded guilty to participating in a drug distribution conspiracy, on August 15 and January 23, 2018, respectively. Lawson was sentenced to 80 months in federal prison on April 27, 2018.
U.S. District Judge George L. Russell, III has scheduled sentencing for Calvin Watson on December 19, 2018. Watson and the government have agreed that if the Court accepts the plea, Watson will be sentenced to 90 months in federal prison. Judge Russell has scheduled sentencing for Wilson, Brown, Snowden, Rose, and Rich for early 2019.
The four remaining defendants charged in the case are scheduled to go to trial on November 5, 2018.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF and Baltimore Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys David Metcalf and Michael C. Hanlon, who are prosecuting the case.
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Reisterstown Man Sentenced to 25 Years in Federal Prison for Traveling to the Philippines to Have Sex with a Minor, Which he Videotaped and Transported Back to the United StatesRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Martin Hall, age 56, of Reisterstown, Maryland, today to 25 years in prison, followed by lifetime supervised release, for traveling from the United States to the Philippines to engage in illicit sexual conduct with a minor, and for producing child pornography with the intent to transport it to the United States. Judge Hollander also ordered that Hall must pay $125,000 in restitution to the victims, and upon his release from prison, Hall must 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 Robert K. Hur; Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
U.S. Attorney Robert K. Hur stated, “As this case demonstrates, children are cruelly and sexually abused to produce child pornography. Martin Hall traveled to the Philippines to abuse minors, filmed the abuse, and brought those images back to the U.S. We prosecute these crimes without the children having to testify because we have photo and video evidence of the crimes. This sentence, which includes restitution to the victims, sends a strong message that we will bring these criminals to justice to try to save even more children from becoming victims, and to help child victims recover.”
“Time and again we see these egregious offenders believe that they may hide their crimes across international borders or in the depths of cyberspace. Time and again, our investigators disprove such a notion, find these offenders and bring them before our justice system to face the consequences,” said Acting Special Agent in Charge Cardell T. Morant. “While we cannot undo the harm and trauma Martin Hall has inflicted, I am pleased with today’s announcement knowing that the just burden of his crimes will weigh heavily on him.”
According to his plea agreement, Hall traveled to the Philippines for the purpose of engaging in illicit sexual activity with minor girls. Hall’s conduct included engaging in sexual acts with minors, producing images of the minors engaging in sexually explicit conduct, and transporting the images back to Maryland. Hall began traveling to the Philippines in 2006 to engage in sexual conduct with, a sixteen-year-old girl. During Hall’s travels to the Philippines, he admitted that he also produced images of two other girls, Jane Doe 1 and Jane Doe 2, engaged in sexually explicit conduct, beginning when each girl was as young as 12 years old.
Specifically, as detailed in his plea agreement, from April through August 2016, Hall traveled to the Philippines to have sex with Jane Doe 1, who was then 14 years old, and produced images documenting his sexual abuse of the girl. Hall transported these images back to the United States. Additionally, Hall used sophisticated computer programs to download and store thousands of images and videos of child pornography on various digital devices in his residence, including the images of Jane Doe 1. Hall used encryption software on all of his digital devices to prevent others from accessing his files.
After observing Hall request child pornography using a file-sharing program, investigators from the Baltimore County Police Department obtain a search warrant and searched Hall’s residence on September 7, 2016. Investigators seized Hall’s computer equipment and digital camera. At the time of the execution of the warrant, Hall’s laptop and external hard drive were turned on and in an unencrypted state. During an on-scene forensic examination of the laptop and connected external hard drive, investigators discovered approximately 8,000 images relating to child exploitation. The device became encrypted during the forensic examination, but not before investigators had copied more than 4,600 image files, most of which are child pornography. The copied images included the series of sexually explicit images of Jane Doe 1 captured by Hall between April and August 2016.
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 Robert K. Hur and Assistant Attorney General Brian A. Benczkowski commended the FBI, HSI-Baltimore, the Baltimore County Police Department, and the Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Hur and Mr. Benczkowski thanked Assistant U.S. Attorney Paul E. Budlow and Trial Attorney Kaylynn Shoop of the Criminal Division’s Child Exploitation and Obscenity Section, who prosecuted the federal case.
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Pharmacist Who Owned and Operated a Baltimore Pharmacy Pleads Guilty to Federal Drug Distribution Conspiracy Charges Involving Fraudulent Prescriptions for Oxycodone and AlprazolamRead the Press Release
Baltimore, Maryland – David Robinson, age 49, of Baltimore, Maryland, pleaded guilty today to a drug conspiracy involving the distribution of oxycodone and alprazolam. Robinson, a licensed pharmacist who owned and operated the Frankford Family Pharmacy, admitted that he dispensed oxycodone and alprazolam outside the scope of professional practice and not for a legitimate medical purpose.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Interim Commissioner Gary Tuggle of the Baltimore Police Department.
“Pharmacists who divert pharmaceutical drugs for illegal purposes betray the trust placed in them and further the tragic cycle of addiction and the epidemic of opioid overdose deaths,” said U.S. Attorney Robert K. Hur. “Abuse of pharmaceutical drugs is one of our most significant drug enforcement challenges.”
According to Robinson’s plea agreement, a confidential source advised law enforcement that the pharmacist at Frankford Family Pharmacy knowingly filled fraudulent prescriptions for alprazolam and oxycodone at the pharmacy. During the DEA’s investigation, between January and July 2016, the confidential source made a number of controlled purchases from Robinson at the pharmacy, using blank prescriptions provided to the source by DEA. Robinson knew that the prescriptions were fraudulent because he told the source what name to use on the prescription and what quantity of oxycodone tablets to write on the prescriptions. Robinson also told the source to include non-controlled medications on the same prescriptions in order to evade law enforcement. Between April 2015 and June 2017, Robinson fraudulently distributed approximately 12,330 units of alprazolam, with a street value of $2 per milligram, and 10,000 milligrams of oxycodone, with a street value of $1 per milligram.
DEA investigators also learned that during Robinson’s tenure as a pharmacist working the night shift at a pharmacy in Waldorf, Maryland, Robinson also filled fraudulent prescriptions for oxycodone. Robinson admitted that he wrote prescriptions using the names of prominent athletes provided to him as the purported patients. Between September and December 2015, Robinson admitted that he dispensed at least 85,500 milligrams of oxycodone outside the scope of professional practice and not for a legitimate medical purpose.
Search warrants were obtained for Robinson’s residence, for the Frankford Family Pharmacy, for his vehicle, and for a safe deposit box rented by Robinson. Law enforcement recovered $159,862 in cash from Robinson’s home; $46,927 in a briefcase, blank prescriptions, a prescription pad, and a loaded 9mm pistol from Robinson’s car; and $60,486 in cash, an AR-15 rifle with a magazine, several boxes of ammunition for the rifle, and records, invoices, and receipts from the pharmacy. In addition, law enforcement recovered $25,041 in cash, $4,500 in gold coins, and $1,010 in silver coins from a safe deposit box.
Robinson and the government have agreed that if the Court accepts the plea agreement, Robinson will be sentenced to 51 months in prison. U.S. District Judge George L. Russell, III has scheduled sentencing for February 25, 2019 at 2:00 p.m.
In a separate case, licensed pharmacist Richard Daniel Hiller, age 64, of Owings Mills, Maryland, pleaded guilty on August 24, 2018, to distributing oxycodone in exchange for sexual favors. In that case, Hiller admitted that between January 2014 and February 2017, he filled fraudulent prescriptions, distributing approximately 20,500 15 milligram oxycodone pills. Hiller faces a maximum sentence of 20 years in prison at his sentencing on November 15, 2018, at 10:00 a.m., before U.S. District Judge Ellen L. Hollander.
The Robinson case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the DEA and Baltimore Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Kenneth S. Clark and Samika N. Boyd, who are prosecuting the case.
North Carolina Man Facing Federal Indictment for the 2002 Murder of an Employee of an Upper Marlboro BusinessRead the Press Release
Greenbelt, Maryland – A federal grand jury has indicted Levy Steven Moore, age 48, of Pollocksville, North Carolina, on the federal charge of murder resulting from using, carrying, brandishing, and discharging a firearm during and in relation to a crime of violence. The indictment was returned on August 27, 2018, and unsealed at Moore’s initial appearance today.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Henry P. Stawinski III of the Prince George’s County Police Department; and Prince George’s County Sheriff Melvin C. High.
According to the indictment, on October 25, 2002, Moore and at least one other accomplice planned to rob the victim employee of the cash belonging to the business. The victim employee made a cash deposit of business funds and obtained money to be used in the operation of the business at a bank in Capitol Heights, Maryland. The indictment alleges that as the victim was returning to the car with a money bag containing the business’ funds, Moore robbed the victim of the money and shot the victim, who collapsed to the ground. The indictment alleges that Moore then got into the getaway vehicle driven by his accomplice. According to the indictment, while fleeing the scene the robbers struck the victim’s vehicle, ran over the victim, and left the victim lying in the bank parking lot.
If convicted, Moore faces a maximum sentence of death. The Attorney General will determine whether or not to seek the death penalty. Moore had his initial appearance in U.S. District Court in Greenbelt, before U.S. Magistrate Judge Charles B. Day today. Moore will complete his state sentence in North Carolina on unrelated charges, before returning to Maryland.
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.
United States Attorney Robert K. Hur commended the FBI, the Prince George’s County Police Department, and the Prince George’s County Sheriff’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys William D. Moomau and Gregory Bernstein, who are prosecuting the case.
Landover Man Sentenced to over 13 Years in Federal Prison for a Series of Armed RobberiesRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Kodi Lamont Johnson, age 36, of Landover, Maryland, to 162 months in prison, followed by three years of supervised release, for two armed robberies, an armed bank robbery, using and brandishing a gun in relation to a crime of violence, and possession of stolen firearms.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
According to his plea agreement and information presented at today’s sentencing hearing, sometime after 11:15 a.m. on November 3, 2017, Johnson broke into a residence in Accokeek, Maryland, and stole a 45-caliber revolver, two 20-gauge shotguns, and a black baseball hat. He then set the house on fire before fleeing in the homeowner’s red pick-up truck. Between approximately 2:19 p.m. and 2:36 p.m. Johnson robbed, at gun point, a market, a tavern and a credit union, all in Accokeek, Maryland. In each instance, Johnson left the scene in the pick-up truck he’d stolen earlier in the day.
Specifically, Johnson displayed a handgun and demanded money and cigarettes from two victims at the market, stealing $500 from the store register and 15 packs of cigarettes. At 2:22 p.m., Johnson robbed the tavern, displaying a gun and demanding money from the seven victims in the tavern and from the cash register. The victims relinquished $80 in cash and Johnson stole approximately $200 from the cash register. At 2:36 p.m. Johnson robbed a credit union, displaying a handgun and demanding money from a customer and a teller. The customer relinquished approximately $2,800 and Johnson stole another $2,970 from the teller.
Later that afternoon, Johnson was arrested in the parking lot of a convenience store. At the time of the arrest, Johnson was in possession of $5,317 in a cash bag marked with the name of the credit union and the stolen 45-caliber revolver. A later search of the stolen pick-up truck recovered a number of items stolen from the Accokeek residence, including two 20-gauge shotgun and the black baseball hat.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI and the Prince George’s County Police Department for their work in the investigation. Mr. Hur thanked Special Assistant U.S. Attorney Elizabeth S. Boison and Assistant U.S. Attorney Kristi N. O’Malley, who prosecuted the case.
Serial Armed Robber Sentenced to 9 Years in Federal Prison for Committing Five Armed Robberies of Convenience StoresRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Kione Anthony Banks, age 21, of Washington, D.C., to nine years in federal prison, followed by three years of supervised release, on federal charges of robbery, and using, carrying, and brandishing a firearm during a crime of violence. The federal charges arose from a series of armed robberies of 7-Eleven convenience stores.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Henry P. Stawinski III of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; Anne Arundel County Police Chief Tim Altomare; and Interim Chief Amal Awad of the Hyattsville Police Department.
According Banks’ plea agreement, from May 17, 2017 through June 16, 2017, Banks conspired with Tyrone Jason Murphy, Leighton Cordell Williams, and Banks’ brother, Khiry Delonte Banks to commit five armed robberies of 7-Eleven convenience stores. The defendants wore clothing to partially conceal their faces. In four of the robberies Kione Banks brandished a firearm during the robbery and ordered the store employees to open their cash registers at gunpoint. In the fifth robbery, Murphy and Williams brandished firearms.
Specifically, Banks admitted committing robberies in Gaithersburg and Derwood, Maryland, on May 17, 2017, with Murphy and Williams. Banks committed three additional robberies on June 16, 2017, in Glen Burnie, Millersville, and Morningside, Maryland, with all three of his co-defendants. In the June 16th robberies, Murphy drove his co-defendants in a vehicle registered in the name of an associate. After the robbery in Morningside, Murphy drove onto Suitland Parkway and Prince George’s County Police officers executed a traffic stop on the vehicle. A subsequent search of the vehicle recovered two firearms, cash, and cigarettes stolen during the robberies.
Khiry Banks, age 29; Murphy, age 27; and Williams, age 32, all of Washington, D.C., pleaded guilty to the same federal charges in relation to their participation in the 7-Eleven robberies. A total of ten 7-Elevens throughout Maryland were robbed by members of this group.
Khiry Banks, Murphy, and Williams each face a maximum of 20 years in prison for robbery and a mandatory minimum sentence of seven years, and up to life in prison, consecutive to any other sentence imposed, for using, carrying and brandishing a firearm. Judge Chuang has scheduled sentencing for Murphy on October 23, 2018 at 9:30 a.m. No sentencing date has been set for Khiry Banks or Williams.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI Cross Border Task Force, the Anne Arundel, Montgomery, and Prince George’s County Police Departments, and the City of Hyattsville Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Timothy F. Hagan, who is prosecuting the case.
Illegal Alien, Previously Convicted Sex Offender, and Two Others Plead Guilty to or are Sentenced on Federal Charges Related to the Possession, Receipt, or Distribution of Child PornographyRead the Press Release
Baltimore and Greenbelt, Maryland – In U.S. District Court in Maryland today, two defendants—one a previously deported alien—were sentenced to federal prison for distribution and possession of child pornography, respectively. Two other defendants—one a previously convicted sex offender—each pleaded guilty to possession of child pornography.
The sentences and guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Calvert County Sheriff Mike Evans; Baltimore Field Office; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
BALTIMORE
U.S. District Judge George L. Russell, III sentenced Jeffrey Roger Forwood, age 49, of Bel Air, Maryland, to six years in prison, followed by 15 years of supervised release, for distribution of child pornography. Forwood admitted to using a file-sharing program to distribute 38 videos depicting minors, including prepubescent minors, engaged in sexually explicit conduct to an undercover law enforcement officer. On October 25, 2017, law enforcement executed a search warrant at Forwood’s residence. Forwood admitted to searching for, downloading, and watching child pornography using anonymizing software, and a file-sharing program. Forwood further admitted that he used wiping software to delete child pornography from his home computer in order to avoid detection by law enforcement. A forensic examination of Forwood’s computer revealed more than 200 images of child pornography, a log showing downloads of child pornography videos, three separate wiping programs, and other files indicating the existence of the file-sharing program and anonymizing web browser. United States Attorney Robert K. Hur commended HSI-Baltimore, and the Maryland State Police, for their work in this investigation and thanked Assistant U.S. Attorney Paul A. Riley, who prosecuted the case.
Gary Keith Pinkowski, Jr., age 33, of Catonsville, Maryland, who has prior sex offense convictions in Maryland and Delaware, pleaded guilty to possession of child pornography, which he obtained using public computers at a library. On October 22, 2017, Pinkowski attempted to produce two images of child pornography. A six-year-old boy and his father had been swimming at a recreational facility and went into the locker room to shower. Pinkowski admitted that he reached under a partition between shower stalls and took a photo of the boy, who was showering in that stall. The boy reported this to his father, who notified the facility. Although he had not seen the person in the stall next to the boy, the father noticed a pair of black and green plaid swim trunks hanging over the shower stall. Pinkowski had already left the facility on his bicycle, but staff members recognized the description of the swim trunks as belonging to Pinkowski and provided his description and contact information to Baltimore County Police officers. Officers found Pinkowski near the men’s shelter where he lived and recovered a digital camera containing an SD memory card, a second SD memory card, and multiple USB drives. One of the SD cards contained the photos of the boy, who was showering in his swim trunks, as well as child pornography. Pinkowski admitted that he used one of the USB drives to access child pornography using the public computers at a library. The USB drive contained a file that ran software that permits anonymous communication on the web. Since the library computer would not permit downloads, Pinkowski used his digital camera to take videos or pictures of the computer screen. Pinkowski and the government have agreed that, if the Court accepts the plea, Pinkowski will be sentenced to 24 years in federal prison. Judge Russell scheduled sentencing for Pinkowski on February 15, 2019, at 9:30 a.m. United States Attorney Robert K. Hur commended the FBI, HSI-Baltimore, the Baltimore County Police Department, and the Baltimore County State’s Attorney’s Office for their work in this investigation and thanked Assistant U.S. Attorneys Jeffrey J. Izant and Sandra Wilkinson, who are prosecuting the case.
GREENBELT
U.S. District Judge Peter J. Messitte sentenced Jimmy Orlando Varela-Reyes, age 25, an illegal alien residing in Aspen Hill, Maryland, to two years in prison, followed by six years of supervised release, for possession of child pornography. Varela-Reyes is a Honduran national who was previously deported on July 9, 2012 and illegally re-entered the United States prior to July 2017. As part of his plea agreement, Varela-Reyes also acknowledged that he is in the United States illegally and that he will be deported upon the completion of his sentence. According to his plea agreement, the National Center for Missing and Exploited Children (NCMEC) received a cybertip from Facebook in July 2017 that Varela-Reyes’ Facebook account had been used to entice a female to produce and send sexually explicit images via private message. Investigation showed that Varela-Reyes enticed and coerced a 13-year-old girl to send him the sexually explicit images. After obtaining search warrants, law enforcement determined the location of Varela’s cellular telephone to be a particular apartment in Aspen Hill, Maryland. A federal search warrant was executed at the apartment and Varela-Reyes was present. His cellular telephone was seized and a preview of the phone revealed the photographs provided in the Facebook cybertip. United States Attorney Robert K. Hur commended HSI-Baltimore for its work in this investigation and thanked Assistant U.S. Attorney Joseph R. Baldwin, who prosecuted the case.
Frank Crawford III, age 32, formerly of Virginia, pleaded guilty to receipt of child pornography in which he enticed a minor victim to send him sexually explicit photos of herself. Specifically, on May 4, 2017, Crawford communicated with a minor female who resided in Maryland, and persuaded the victim to send him sexually explicit images of herself. Crawford admitted that he and the victim used an interactive live chat service to engage in sexually explicit conduct. Crawford admitted that he knew the victim was a minor. Crawford and the government have agreed that, if the Court accepts the plea, Crawford will be sentenced to between eight and 15 years in federal prison. U.S. District Judge Theodore D. Chuang scheduled sentencing for Crawford on February 4, 2019, at 2:00 p.m. United States Attorney Robert K. Hur commended the FBI and the Calvert County Sheriff’s Office for their work in this investigation and thanked Assistant U.S. Attorney Joseph R. Baldwin, who is prosecuting the case.
As a result of their convictions, all four of these defendants will be required to register as a sex offenders in the places where they reside, where they are employed, and where they are students, under the Sex Offender Registration and Notification Act (SORNA).
These cases were all 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.
Defendants in Three Separate Cases Plead Guilty to Federal Fentanyl Distribution ChargesRead the Press Release
Baltimore, Maryland – Over the past three days, three separate defendants have pleaded guilty to federal charges relating to the distribution of fentanyl. First, Leslie Patillo, Jr. age 36, of Hagerstown, Maryland, pleaded guilty today to the federal charge of possession with intent to distribute 40 or more grams of fentanyl. Second, on October 3, 2018, Kamalah Nicole Cordell, age 31, also of Hagerstown, pleaded guilty to the federal charge of conspiracy to distribute fentanyl. Third, on October 2, 2018, Robert Luke Simpson, age 24, of Gambrills, Maryland, pleaded guilty to the federal charge of possession with intent to distribute 40 grams or more of fentanyl. As little as 2 milligrams of fentanyl can be a lethal dose. Each of these three defendants distributed at least 32 grams of fentanyl, or enough to kill 16,000 people.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; the Washington County Narcotics Task Force, led by Washington County Sheriff Douglas Mullendore; Washington County State’s Attorney Charles P. Strong, Jr.; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; and Anne Arundel County Police Chief Tim Altomare.
U.S. Attorney Robert K. Hur stated, “Drug traffickers are on notice that dealing in fentanyl increases their odds of federal prosecution. We’re also targeting drug dealers who use guns and increase the risk of gun violence in Maryland, as well as those who buy fentanyl on the dark web and re-sell this poison to our citizens. Working together with our local, state, and federal partners, we are determined to reduce the number of opioid overdose deaths in Maryland.”
Kamalah Nicole Cordell
According to her plea agreement, from at least 2017 through January 2018, Cordell conspired with others, including Antoine Henderson, to distribute fentanyl and other drugs in the area of Washington County, Maryland. In August and September 2017, investigators conducted at least six controlled purchases of either fentanyl or crack cocaine from Cordell and/or Henderson. According to their plea agreements, the controlled purchases were supposed to be heroin, but lab results showed that the substances provided by Cordell and/or Henderson were in fact fentanyl, not heroin. On January 17, 2018, search warrants were executed at two locations and three vehicles associated with Cordell and Henderson. At the stash house, located on Atlantic Drive in Hagerstown, agents recovered 80.22 grams of fentanyl, located in the bottom compartment of a Coca-Cola vending machine in the garage. Cordell and Henderson own and operate a vending machine company. The agents also recovered 9 mm ammunition, a drug press, digital scales, cellular phones, and other drug paraphernalia. At Cordell and Henderson’s primary residence, located on Lantern Lane in Hagerstown, the agents recovered additional cellular phones, a currency counter, jewelry, and a garage opener that opened the garage at the stash house. Cordell admitted that her participation in the conspiracy involved at least 32 grams but less than 40 grams of fentanyl.
Leslie Patillo, Jr.
Patillo was part of the same drug organization and admitted that he distributed fentanyl and other drugs in the Washington County, Maryland area. According to his plea agreement, on April 10, 2018, law enforcement executed a search warrant at Patillo’s residence and recovered 99.44 grams of a combination of fentanyl and heroin, as well as drug paraphernalia. In addition, a knotted baggie was found on Patillo’s person that contained .82 grams of a combination of heroin and fentanyl. Investigators also recovered $26,680 in cash from the home, believed to be the proceeds of Patillo’s drug distribution. A storage unit in Patillo’s name was also searched and three guns, each packaged with a loaded magazine, were seized from the unit. One of the magazines, packaged with a .45-caliber semi-automatic pistol, was loaded with six rounds of hollow-point ammunition.
Robert Luke Simpson
Law enforcement executed a search warrant at Simpson’s residence and found 6,200 fentanyl pills weighing approximately 369 grams, in a hidden compartment in a wall-mounted shelf and on a desk. Officers also found $8,578 in cash, as well as cell phones, computers, iPads, and Bitcoin cryptocurrency mining equipment. Simpson admitted that he purchased 10,000 fentanyl pills from a dark web marketplace for approximately $10,000 worth of Bitcoin cryptocurrency. Simpson sold the fentanyl pills for $5 to $10 each to customers in Maryland. Simpson admitted that he sold between 400 grams and 1.2 kilograms of fentanyl.
Antoine Jamel Henderson, age 35, of Hagerstown, Maryland previously pleaded guilty. Henderson and the government have agreed that if the Court accepts the plea agreement, Henderson will be sentenced to between 10 and 15 years in federal prison.
U.S. District Judge Richard D. Bennett has scheduled sentencing for both Cordell and Patillo on January 3, 2019 at 11 a.m. and 3:00 p.m., respectively. Henderson is scheduled to be sentenced on January 10, 2019, at 3:00 p.m.
U.S. District Judge George L. Russell, III has scheduled sentencing for Simpson on March 2, 2019, at 3:00 p.m.
United States Attorney Robert K. Hur commended the DEA; the Washington County Narcotics Task Force, led by Washington County Sheriff Douglas Mullendore; and Washington County State’s Attorney Charles P. Strong, Jr. for their work in the Cordell and Patillo investigation. U.S. Attorney Hur commended HSI Baltimore, the U.S. Postal Inspection Service, and the Anne Arundel County Police Department for the work in the Simpson investigation. Mr. Hur thanked Assistant U.S. Attorneys Joan C. Mathias and Michael C. Hanlon, who are prosecuting the Cordell and Patillo Organized Crime Drug Enforcement Task Force case; and Assistant U.S. Attorney Nicolas A. Mitchell, who is prosecuting the Simpson case.
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Maryland Men Plead Guilty to Charges Relating to Dark Web Drug Distribution and Money LaunderingRead the Press Release
Baltimore, Maryland –Ryan Farace, age 34, of Reisterstown, Maryland, pleaded guilty today to drug distribution and money laundering conspiracies. The charges arose from a scheme to manufacture and distribute alprazolam tablets, which are typically sold under the brand name “Xanax,” through sales on the dark web in exchange for Bitcoin. Farace and his co-conspirator, Robert Swain, laundered the drug proceeds through financial transactions designed to conceal the source and ownership of the illegal funds. Robert Swain, age 34, of Freeland, Maryland, pleaded guilty today to the money laundering conspiracy.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don Hibbert of the Drug Enforcement Administration - Washington; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service – Washington Division; Acting Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service (IRS) – Criminal Investigation; Maryland U.S. Marshal Johnny Hughes; and Chief Terrence B. Sheridan of the Baltimore County Police Department.
“Federal law enforcement and our international partners are working together to find and prosecute those who use the dark web to sell drugs and launder the proceeds of their drug dealing,” said U.S. Attorney Robert K. Hur. “This case is an excellent example of what can be accomplished through that cooperation.”
“The dark web is the new frontier for drug dealing,” stated Don Hibbert, Assistant Special Agent in Charge Drug Enforcement Administration Baltimore District Office. “DEA will find and arrest drug traffickers wherever they are, whether it be in the coca fields of Colombia, the alleys of Baltimore, or in the dark corners of the internet.”
According to their plea agreements, from November 2013 through June 2017, Farace purchased narcotics manufacturing equipment, including pill presses and counterfeit “Xanax” pill molds, which he used to press loose alprazolam powder into tablet or pill form, to resemble genuine Xanax pills. Farace solicited orders for the alprazolam pills on dark web marketplaces and sold alprazolam pills directly to buyers in exchange for Bitcoin.
The dark web is the part of the World Wide Web that requires specific software, configurations or authorization to access, allowing users and website operators to remain anonymous. Dark web marketplaces typically use Bitcoin or other digital currency as the means of payment for their transactions.
Bitcoin is a form of digital currency that does not exist in any physical form. It is not issued or controlled by any government, bank, or company, but is generated and controlled automatically through computer software operating on a decentralized peer-to-peer network. Bitcoin can be exchanged for conventional currency, with the exchange rate determined on the open market.
Farace admitted that he communicated with his customers through encrypted electronic messages and shipped the completed pill orders through the U.S. mail. Farace admitted that the postage for these packages was usually paid using pre-paid debit cards that Farace obtained in the names of, and with the personal identifying information of, other people. Law enforcement also recovered fake driver’s licenses in the names of those individuals but with Farace’s photograph when they executed a federal search warrant at Farace’s home on January 16, 2018. Based on data recovered from dark web marketplaces seized by law enforcement, between December 2013 and March 2017, Farace distributed more than 920,000 alprazolam pills.
From at least July 2015 until February 2017, Farace and Swain conspired with others to launder the proceeds of the illegal drug sales by conducting financial transactions designed to conceal and disguise the nature, source, ownership and control of the illegal drug proceeds. Specifically, Farace used pseudonyms to contact a co-conspirator through dark web marketplaces and encrypted messages in order to exchange Bitcoin he received from his drug trafficking for cash. The co-conspirator would then mail or ship packages of U.S. currency equivalent to the value of the Bitcoin received, less a fee, to mailing addresses provided by Farace. To conceal the fact that he was receiving cash, Farace, and later Swain, opened post office boxes at U.S. Post Offices and private rental mailboxes in fake names. Swain knew that Farace was receiving cash and drugs at these mailboxes and that the cash was the proceeds of Farace’s drug trafficking. During the course of the conspiracy, Farace received cash totaling more than $5 million, through the mails, which he had exchanged for Bitcoin earned from drug trafficking. In addition, Farace and Swain drove to New Jersey so that Swain could collect $200,000 in cash that Farace had exchanged for Bitcoin. During the in-person meeting on February 16, 2017, Swain provided a fictitious name to the individual he met and falsely stated that the Bitcoin and cash were his own. Farace and Swain later tried unsuccessfully to exchange Bitcoin for $400,000 in cash with the same individual.
As part of his plea agreement, Farace must forfeit assets traceable to the conspiracies, which Farace agrees is at least $5,665,000, as well as 4,000 Bitcoin. Farace must also forfeit his residence, cash, digital currency, bank accounts, vehicles, electronics, jewelry, and other items seized by law enforcement during the execution of search warrants on January 16, 2018, at locations associated with the conspiracies. Swain must also forfeit at least $30,000, including digital currency and cash held in his name
Farace faces a maximum sentence of five years in prison for conspiracy to manufacture, distribute, and possess with the intent to distribute alprazolam. Farace and Swain face a maximum of 20 years in prison for money laundering conspiracy. U.S. District Judge Catherine C. Blake has scheduled sentencing hearing for Farace and Swain on November 30, 2018, and January 25, 2019, respectively.
United States Attorney Robert K. Hur commended the DEA, HSI, the U.S. Postal Inspection Service, the IRS-Criminal Investigation; the U.S. Marshals Service, and the Baltimore County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Dana J. Brusca and Zachary B. Stendig, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
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Department of Justice Announces More Than $70 Million to Support School Safety and $64 Million to Improve State Criminal Record SystemsRead the Press Release
WASHINGTON – Maryland U.S. Attorney Robert K. Hur joined the Department of Justice today in announcing more than $70 million in grant funding to bolster school security, educate and train students and faculty, and support law enforcement officers and first responders who arrive on the scene of a school violence incident, including $333,333 to the Maryland State Department of Education under the STOP School Violence Prevention and Mental Health Training Program, and $200,000 to the Governor’s Office of Crime Control Prevention under the STOP School Violence Threat Assessment and Technology Reporting Program in the District of Maryland.
These grants are in addition to the funding to the National Association of School Resource Officers (NASRO), announced by Attorney General Sessions last week, to expand and update their curriculum to better support training programs. These grants combined will better protect students, teachers, faculty, and first responders across the United States. Additionally, the Department is awarding more than $64 million to state agencies to improve the completeness, quality, and accessibility of the nation’s criminal record systems, which will help law enforcement and increase the effectiveness of background checks. The Maryland Department of Public Safety and Correctional Services was awarded $666,982 under the National Criminal History Improvement Program.
“President Trump and his administration will ensure the safety of every American school," Attorney General Jeff Sessions said. "Earlier this year he signed into law the STOP School Violence Act, which provides grant funding to develop anonymous school threat reporting systems, to implement school building security measures, and to train students, school personnel, and law enforcement on how to prevent school violence. Today I am announcing $70 million in these grants to hundreds of cities and states across America. These grants will go a long way toward giving young people and their families both safety and peace of mind.”
“We must do everything we can to keep our children safe in school,” said U.S. Attorney Robert K. Hur. “These funds are an investment in programs that prevent violence by providing training and support our state partners, crisis intervention teams, and first responders.”
The Office of Justice Program’s (OJP) Bureau of Justice Assistance (BJA) and the Office of Community Oriented Policing Services (COPS Office) together are making more than 220 awards to jurisdictions across the country to help make schools more secure. The awards, granted through three funding streams, will provide new technology for reporting systems and other threat deterrent measures and create school safety training and education programs for school administrators, staff, students, and first responders. This includes the support for existing crisis intervention teams and the creation of new ones.
- BJA’s STOP School Violence Threat Assessment and Technology Reporting Program will provide 68 awards valued at more than $19 million. This funding supports training to create and operate threat assessment and crisis intervention teams and to develop technology for local or regional anonymous reporting systems. This technology may be in the form of a mobile phone application, hotline, or website.
- The STOP School Violence Prevention and Mental Health Training Program, also managed by BJA, will provide training and education on preventing violence and effectively responding to related mental health crises. This program will fund 85 awards at nearly $28 million.
- The COPS Office School Violence Prevention Program (SVPP) will provide nearly $25 million to 91 jurisdictions for school safety measures including coordination with law enforcement, training for law enforcement to prevent student violence against others and self, target hardening measures, and technology for expedited notification of law enforcement during an emergency.
The grants are authorized by the STOP School Violence Act, which are intended to improve school security by helping students and teachers reduce exposure to risks, prevent acts of violence, and quickly recognize and respond to violent attacks.
The Department also announced that it has awarded more than $64 million to state agencies to improve the completeness, quality, and accessibility of the nation’s criminal record systems. These grants are administered by the Bureau of Justice Statistics, part of OJP. Approximately $43 million in funding will be administered through the National Criminal History Improvement Program (NCHIP), and nearly $21 million will be awarded under the National Instant Criminal Background Check System (NICS) Act Record Improvement Program. These grant programs help states automate and upgrade records accessed by the firearms background check system. This year, at the direction of the Attorney General, the Department prioritized funding for projects that improve accessibility of criminal history records, domestic violence convictions, and information on persons who are prohibited from possessing firearms for mental-health related reasons.
The Department is also investing over $1 million in research to better understand the factors behind mass shooting incidents. The grant awards, made by the Department’s National Institute of Justice (NIJ), part of OJP, support scientific investigations that will examine factors that contribute to mass violence, identify any patterns in mass shootings, analyze psychological and social life histories of mass shooters and community-level predictors of mass violence, and will examine firearm purchasing patterns of known mass shooters in order to create a risk prediction tool.
For addition information on today’s grant announcements, visit www.bja.gov or www.cops.usdoj.gov.
NOTE: The breakdown of the STOP School Violence Grants can be found here: STOP School Violence Threat Assessment and Technology Reporting Program, STOP School Violence Prevention and Mental Health Training Program, and COPS Office School Violence Prevention Program
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Essex Man Sentenced to 17 Years in Federal Prison for Sexual Exploitation of a Child to Produce Child Pornography and Related ChargesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Roy David Evans, Jr., age 34, of Essex, Maryland, today to 17 years in prison, followed by lifetime supervised release, on charges of sexual exploitation of a minor to produce child pornography, possession of child pornography, and receipt of child pornography. Judge Xinis also ordered that upon his release from prison, Evans is 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 Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief J. Thomas Manger of the Montgomery County Police Department.
“Roy Evans took advantage of anonymous Internet messaging services to encourage minors to send him sexually explicit images of themselves,” said U.S. Attorney Robert K. Hur. “This lengthy sentence should send a powerful message that sexual exploitation of children to produce child pornography will not be tolerated in Maryland.”
“With ever increasing access to communication platforms, we must continue to stay a step ahead of those who exploit technology to facilitate the worst crimes in modern society,” said Cardell T. Morant, Acting Special Agent in Charge, HSI Baltimore. “Today’s announcement serves as a significant marker in our fight against these heinous criminals, and I proudly commend the investigators bringing such criminals to justice.”
According to Evans’ plea agreement and evidence presented at today’s sentencing hearing, Evans posted advertisements on Craigslist for “young models” and encouraged girls to contact him via e-mail or via Kik, a social messaging application where users can text, livestream, and send digital images and videos to one another. Evans admitted that he enticed and coerced three minor victims to engage in sexually explicit conduct in order to produce images of that conduct. Evans received sexually explicit images and videos of the victims via Kik. Evans sent at least three of those images and videos to himself through the Internet. Evans further admitted that he traveled to Montgomery County, Maryland in order to engage in sexual conduct with a 14-year-old victim. Evans admitted that he solicited at least two other minors to create and send sexually explicit images and videos of themselves after they had responded to his advertisements.
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 Robert K. Hur commended HSI Baltimore and the Montgomery County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Kelly O'Connell Hayes and Timothy Hagan, who prosecuted the federal case.
New York Heroin Supplier Sentenced to 12 Years in Federal PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Luis Miguel Mendez-Rivera, a/k/a El Flaco, age 34, of the Bronx, New York, today to 12 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute heroin.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Chief J. Thomas Manger of the Montgomery County Police Department; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
According to his plea agreement, from December 2017 through March 6, 2018, Mendez-Rivera conspired with others to distribute between three and 10 kilograms of heroin. In December 2017, a man residing in the Dominican Republic directed Mendez-Rivera to contact a confidential source who was working with law enforcement to provide the source with narcotics. Mendez-Rivera had numerous telephone conversations with the source and agreed to provide the source with a kilogram of heroin on consignment. During the calls, Mendez-Rivera advised the source that his co-conspirator, Milciades D. Pena-Zapata, would deliver the heroin to the source and complete the transaction.
On February 22, 2018, Mendez-Rivera sent his co-conspirator and drug courier, Pena-Zapata, from New York to Maryland to deliver heroin to the source. Pena-Zapata met the source at a previously agreed upon location and they completed the drug transaction in the source’s car. The source and Mendez-Rivera arranged a second transaction for three kilograms of heroin in exchange for $100,000 and three handguns. On March 6, 2018, Pena-Zapata again traveled from New York to Maryland to meet the source. Pena-Zapata got into the source’s car and they drove to a more secluded location where Pena-Zapata removed a large quantity of heroin from his backpack and placed it in the trunk of the source’s car. Pena-Zapata inspected the contents of the suitcase containing three handguns and approximately $100,000. Pena-Zapata was arrested a short time later.
Laboratory analysis confirmed that a total of 3,998.54 grams of heroin was delivered to Maryland by Pena-Zapata on behalf of Mendez-Rivera.
Pena-Zapata, age 35, of Lawrence, Alabama, pleaded guilty to his role in the conspiracy and was sentenced to five years in prison.
United States Attorney Robert K. Hur praised HSI Baltimore, the Montgomery County Police Department and the Prince George’s County Police Department for their work in the investigation, and thanked the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Baltimore Field Division for its assistance. Mr. Hur thanked Assistant U.S. Attorneys Erin B. Pulice and Ray D. McKenzie, who prosecuted the case.
Assistant Superintendent for the Catholic Archdiocese of Washington Indicted for Allegedly Stealing Almost $45,000 from his EmployerRead the Press Release
Greenbelt, Maryland – A federal grand jury has indicted Kenneth Patrick Gaughan, age 40, of Washington, D.C., on mail fraud charges arising from a scheme to embezzle funds from the Catholic Archdiocese of Washington (ADW), where he was employed as Assistant Superintendent. The indictment was returned on September 24, 2018, and unsealed today upon Gaughan’s arrest.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
According to the three-count indictment, Gaughan was employed as the Assistant Superintendent of ADW, headquartered in Hyattsville, Maryland. In that role, Gaughan was responsible for recruiting and acting as the point of contact for contractors who provided various services to ADW. These included contractors that could help ADW implement anti-bullying, crisis intervention, and professional development programs at the approximately 95 Catholic schools overseen by ADW, located in Calvert, Charles, Montgomery, Prince George’s, and St. Mary’s Counties in Maryland, and Washington, D.C. Gaughan also obtained invoices for services from contractors and provided those invoices, along with requests for payment and supporting documentation, to his superiors for approval.
The indictment alleges that beginning in at least June 2010 and continuing through April 2018, Gaughan caused ADW to pay invoices manufactured by Gaughan purportedly for anti-bullying and crisis intervention programs, as well as for software used to send mass text messages to ADW’s students and families. To execute the scheme, Gaughan allegedly incorporated two companies using names that were almost identical to those of real companies and opened bank accounts in the names of those companies. Gaugahan also opened a bank account in the name of a third company, which was an unlicensed entity in Washington, D.C.
According to the indictment, Gaughan then transmitted fraudulent invoices and persuaded ADW to issue checks for services that Gaughan knew the companies did not provide. Gaughan allegedly opened virtual and private mailboxes in order to receive the checks that ADW issued to pay for the fraudulent invoices that Gaughan manufactured and transmitted to ADW officials. The indictment alleges that Gaughan deposited the checks issued by ADW into the bank accounts he controlled, and converted the money to his personal use. The indictment details three invoices paid from September 2016 through April 2018 totaling almost $45,000.
If convicted, Gaughan faces a maximum sentence of 20 years in prison for each of three counts of mail fraud. An initial appearance was held for Gaughan today in U.S. District Court in Greenbelt before U.S. Magistrate Judge Timothy Sullivan. Gaughan was released under the supervision of U.S. Pretrial Services.
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.
United States Attorney Robert K. Hur commended the FBI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Gregory Bernstein, who is prosecuting the case.
Member of the Violent “Murdaland Mafia Piru” Bloods Gang Pleads Guilty to Racketeering and Drug ConspiraciesRead the Press Release
Baltimore, Maryland - Dontray Johnson, a/k/a “Gambino,” “Bino,” and “Tray,” age 33, of Baltimore, Maryland pleaded guilty today to racketeering and drug conspiracies related to their participation in the gang activities of the Murdaland Mafia Piru (MMP), a subset of the Bloods gang. As part of his gang activities, Johnson admitted committing two murders, and to conspiracy to distribute controlled substances.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Interim Commissioner Gary Tuggle of the Baltimore Police Department; Chief Terrence B. Sheridan of the Baltimore County Police Department; Baltimore City State’s Attorney Marilyn J. Mosby; and Baltimore County State’s Attorney Scott Shellenberger.
“Federal authorities worked with the Baltimore City and Baltimore County Police Departments and State’s Attorney’s Offices to dismantle a criminal organization that dealt drugs and despair in Northwest Baltimore and Baltimore County,” said U.S. Attorney Robert K. Hur. “We are committed to using this sort of coordinated effort to bring to justice the violent gang members that terrorize our communities.”
“The Murdaland Mafia Piru and Dontray Johnson showed no concern for the Baltimore communities they flooded with murder, violence, and drugs. They irreparably damaged the families of their victims and the neighborhoods in which they operated,” said ATF Special Agent in Charge Cekada. “Today’s plea shows the importance of investigating and prosecuting these violent groups who willfully destroy communities.”
According to Johnson’s plea agreement and court documents, MMP, also known as the “Mob” or “Mobsters,” is a violent subset of the Bloods gang that operates in Maryland and elsewhere. MMP was modeled after the Italian Mafia, and was organized hierarchically, with “the Don,” at the top and various “Bosses,” “Underbosses,” “Capos,” “Lieutenants,” and “Mobsters” underneath. For many years, MMP has controlled the drug trade in large swaths of Northwest Baltimore City and neighboring Baltimore County, including Forest Park, Windsor Mill, Gwynn Oak, Howard Park, Woodlawn, and Walbrook Junction. The gang’s drug shop in the 5200 block of Windsor Mill Road was particularly lucrative due to its close proximity to Interstate 70, and it frequently attracted drug customers driving from Western Maryland and neighboring states. MMP’s members enriched themselves through drug trafficking and other criminal activities, and using violence and threats of violence to intimidate or retaliate against witnesses, protect the gang’s territories, enforce debts, and eliminate rivals.
Johnson admits that he was a member of MMP and participated in the gang’s affairs through a pattern of racketeering activities, including murder, extortion, robbery, witness tampering and retaliation, money laundering, and drug distribution.
Specifically, Johnson admits that on November 22, 2012, he murdered MMP member Antoine Ellis, a/k/a Poopy, in the 200 block of North Forest Park Avenue, because he had shown disloyalty to MMP. Earlier that day, Johnson had posted a comment to his Facebook account saying “198 n risen,” a reference to that year’s murder tally in Baltimore City. On September 29, 2015, Johnson murdered MMP member Brian Johnson, a/k/a Nutty B, because he refused to pay gang dues that Johnson was collecting for an MMP member.
As detailed in his plea agreement, on November 1, 2013, Johnson was featured in two rap videos that were posted to a social media website. The first video, “Boy You Lying,” was posted to enhance the gang’s status, intimidate rivals, and discourage anyone from selling drugs in MMP territory without paying its members. The second video, “Str8 Mobbin,” was posted to assert the gang’s dominance over its drug territories. It features Johnson with other MMP members, as well as footage of various MMP drug locations. Johnson brandishes a firearm in the video.
On July 31, 2015, law enforcement executed a search warrant at Johnson’s residence in Owings Mills and recovered 28 grams of heroin, 70 rounds of .22-caliber ammunition, a bulletproof vest, $1,480 in cash, and an “owe sheet” with a tally of drug debts owed by MMP members and associates.
Finally, Johnson admits that he conspired with other MMP members to distribute at least one kilogram of heroin and 280 grams of crack cocaine, and that he knew that during the conspiracy between one and three kilograms of heroin and between 280 and 840 grams of crack cocaine would be distributed.
In addition to Johnson, fourteen of twenty-six defendants have pleaded guilty in the case. Trial is tentatively scheduled for November 5, 2018 through February 1, 2019.
Johnson and the government have agreed that if the Court accepts the plea agreement, Johnson will be sentenced to 30 years in prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for Johnson on November 16, 2018 at 10:30 a.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur praised the ATF, the Baltimore City and Baltimore County Police Departments, and the Baltimore City and Baltimore County State’s Attorney’s Offices for their work in the investigation and prosecution. Mr. Hur thanked Assistant United States Attorneys Christina Hoffman and Lauren E. Perry, who are prosecuting the case.
Former NSA Employee Sentenced to Prison for Willful Retention of Classified National Defense InformationRead the Press Release
Nghia Hoang Pho, 68, of Ellicott City, Maryland, and a naturalized U.S. citizen originally of Vietnam, was sentenced today to 66 months in prison, to be followed by three years of supervised release, for willful retention of classified national defense information. According to court documents, Pho removed massive troves of highly classified national defense information without authorization and kept it at his home.
The sentence was announced by Assistant Attorney General for National Security John C. Demers, U.S. Attorney for the District of Maryland Robert K. Hur, and Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Field Office. U.S. District Judge George L. Russell, III issued the sentence.
“Pho’s intentional, reckless and illegal retention of highly classified information over the course of almost five years placed at risk our intelligence community’s capabilities and methods, rendering some of them unusable,” said Assistant Attorney General Demers. “Today’s sentence reaffirms the expectations that the government places on those who have sworn to safeguard our nation’s secrets. I would like to thank the agents, analysts and prosecutors whose hard work brought this result.”
“Removing and retaining such highly classified material displays a total disregard of Pho’s oath and promise to protect our nation’s national security,” said U.S. Attorney Hur. “As a result of his actions, Pho compromised some of our country’s most closely held types of intelligence, and forced NSA to abandon important initiatives to protect itself and its operational capabilities, at great economic and operational cost.”
“The privilege of working for the U.S. Intelligence Community requires strict adherence to laws governing the lawful secrecy of its work,” said Special Agent in Charge Johnson. “We cannot have a functioning Intelligence Community without the protection of sources and methods, and taking classified information and placing it in a vulnerable setting has profound and often disastrous consequences. This case is a clarion call to all security clearance holders to follow the law and policy regarding classified information storage. The FBI will leave no stone unturned to investigate those who compromise or mishandle classified information.”
According to his plea agreement, beginning in April 2006, Pho was employed as a developer in Tailored Access Operations (TAO) at the National Security Agency (NSA). NSA is a component of the U.S. intelligence community and the U.S. Department of Defense (DoD). The NSA's TAO involved operations and intelligence collection from foreign automated information systems or networks, as well as actions taken to prevent, detect and respond to unauthorized activity within DoD information systems and computer networks, for the United States and its allies.
Pho held various security clearances in connection with his employment, including Top Secret and Top Secret // Sensitive Compartmented Information (SCI). Pho had access to national defense and classified information and worked on highly classified, specialized projects. Over his years of holding a security clearance, Pho received training regarding the proper handling, marking, transportation and storage of classified information. Pho was also told that unauthorized removal of classified materials, and the transportation and storage of those materials in unauthorized locations, risked disclosure of the materials and could endanger the national security of the United States. Pho signed numerous non-disclosure agreements demonstrating that he understood the trust that the United States places in individuals who receive a security clearance.
According to the plea agreement, beginning in 2010 and continuing through March 2015, Pho removed and retained U.S. government property, including documents and writings that contained national defense information classified as Top Secret and SCI. This material was in both hard copy and digital form, and was kept in a number of locations in Pho’s residence in Maryland. Pho knew that he was not authorized to remove the material or store it at his home.
Assistant Attorney General Demers and U.S. Attorney Hur commended the FBI and the NSA for their work in the investigation. This prosecution was handled by the District of Maryland, and the National Security Division’s Counterintelligence and Export Control Section.
Former NSA Employee Sentenced to over 5 Years in Federal Prison for Willful Retention of Classified National Defense InformationRead the Press Release
Baltimore, Maryland – United States District Judge George L. Russell, III sentenced Nghia Hoang Pho, age 68, of Ellicott City, Maryland, today to 66 months in prison, followed by three years of supervised release, for willful retention of classified national defense information. According to court documents, Pho removed massive troves of highly classified national defense information without authorization, which he kept at his residence.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Attorney General for National Security John C. Demers; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
“Removing and retaining such highly classified material displays a total disregard of Pho’s oath and promise to protect our nation’s national security,” said United States Attorney Robert K. Hur. “As a result of his actions, Pho compromised some of our country’s most closely held types of intelligence, and forced NSA to abandon important initiatives to protect itself and its operational capabilities, at great economic and operational cost.”
“Pho’s intentional, reckless, and illegal retention of highly classified information over the course of almost five years placed at risk our intelligence community’s capabilities and methods, rendering some of them unusable,” said Assistant Attorney General Demers. “Today’s sentence reaffirms the expectations that the government places on those who have sworn to safeguard our nation’s secrets. I would like to thank the agents, analysts and prosecutors whose hard work brought this result.”
“The privilege of working for the U.S. Intelligence Community requires strict adherence to laws governing the lawful secrecy of its work," said FBI Baltimore Special Agent in Charge Gordon B. Johnson. "We cannot have a functioning Intelligence Community without the protection of sources and methods, and taking classified information and placing it in a vulnerable setting has profound and often disastrous consequences. This case is a clarion call to all security clearance holders to follow the law and policy regarding classified information storage. The FBI will leave no stone unturned to investigate those who compromise or mishandle classified information.”
According to his plea agreement, beginning in April 2006, Pho was employed as a developer in Tailored Access Operations (TAO) at the National Security Agency (NSA). NSA is a component of the U.S. intelligence community and the U.S. Department of Defense (DoD). The NSA's TAO involved operations and intelligence collection from foreign automated information systems or networks, as well as actions taken to prevent, detect, and respond to unauthorized activity within DoD information systems and computer networks, for the United States and its allies.
Pho held various security clearances in connection with his employment, including Top Secret and Top Secret//Sensitive Compartmented Information (SCI). Pho had access to national defense and classified information and worked on highly classified, specialized projects. Over his years of holding a security clearance, Pho received training regarding the proper handling, marking, transportation, and storage of classified information. Pho was also told that unauthorized removal of classified materials, and the transportation and storage of those materials in unauthorized locations, risked disclosure of the materials and could endanger the national security of the United States. Pho signed numerous non-disclosure agreements demonstrating that he understood the trust that the United States places in individuals who receive a security clearance.
According to the plea agreement, beginning in 2010 and continuing through March 2015, Pho removed and retained U.S. government property, including documents and writings that contained national defense information classified as Top Secret and Sensitive Compartmented Information. This material was in both hard copy and digital form, and was kept in a number of locations in Pho’s residence in Maryland. Pho knew that he was not authorized to remove the material or store it at his home.
United States Attorney Robert K. Hur and Assistant Attorney General John C. Demers commended the FBI and the NSA for their work in the investigation. Mr. Hur thanked his office’s national security prosecutors and attorneys from the Justice Department’s National Security Division, Counterintelligence and Export Control Section, all of whom are handling the prosecution.
Two-Time Murderer and Member of West Baltimore’s Violent Pedestal Gardens Gang Sentenced to 25 Years in Federal PrisonRead the Press Release
Baltimore, Maryland –U.S. District Judge Catherine C. Blake sentenced Garrion McCellan, age 30, of Baltimore today to 25 years in prison, followed by 8.5 years of supervised release, for a drug conspiracy and for possession of a firearm in furtherance of a drug trafficking crime causing death. McCellan was part of a drug trafficking operation that operated in and around Pedestal Gardens, an apartment complex located in the 300 block of McMechan Street in West Baltimore. McCellan was also an active member of the Black Guerilla Family (BGF) gang during his participation in the drug conspiracy.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Interim Police Commissioner Gary Tuggle of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.
“Garrion McCellan and his fellow members of the Pedestal Gardens gang brought death to West Baltimore--through the drugs they sold and the gun violence they committed,” said United States Attorney Robert K. Hur. “This sentence makes clear that U.S. Attorney’s Office, along with our federal, state, and local law enforcement partners, will bring to justice those who terrorize our city’s neighborhoods.”
“Today’s sentencing is indicative of the success that can be attained when agencies combine resources to remove violent drug distributors off the street,” said FBI Baltimore Special Agent in Charge Gordon B. Johnson. “The citizens of Maryland have the FBI’s commitment that we will continue to aggressively investigate criminal organizations that target our communities with their drug-related violent activity to ensure they are held accountable and removed from their neighborhoods."
According to his plea agreement and other court documents, from at least July 2016 through April 28, 2016, MCellan conspired with others, including Pedestal Gardens gang leader DeAndre Smith, and gang members Jamal Carter and Dymir Rhodes, to distribute heroin and fentanyl in and around Pedestal Gardens. Smith, Carter, Rhodes, and others maintained a “stash” house in Catonsville, Maryland to store drugs and drug proceeds, and to process and package drugs for distribution. Rhodes supplied McCellan with “packs” of heroin and/or fentanyl, which McCellan redistributed to drug users at Pedestal Gardens. Each “pack” typically contained between 25 and 50 gel capsules of the drugs, totaling approximately 2.5 to 5 grams. McCellan and other co-conspirators routinely distributed 40 to 50 packs of heroin and fentanyl in one day.
McCellan admitted that sometime before August 10, 2015, Smith ordered McCellan to kill a drug dealer who was encroaching on their organization’s drug territory. On August 10, 2015, McCellan, Smith, and Rhodes went to the 1700 block of McCullough Street where they located the drug dealer outside a corner store. McCellan shot the drug dealer several times, killing him. Another person was found shot in the corner store, but survived.
As detailed in his plea agreement, on October 7, 2015, McCellan shot another individual at the direction of Smith, who was disrupting the organization’s drug operation by robbing drug dealers in the area. On October 7, 2015, McCellan and Carter contacted the individual using the ruse that they wanted help to rob other drug dealers. McCellan and Carter arranged to meet the victim in the 1400 block of Druid Hill Avenue. While the victim was putting on gloves in preparation for the purported robbery, McCellan shot the victim multiple times at close range, killing him.
McCellan admitted that he expected to receive something of value from Smith in return for the two killings. McCellan also admitted that during his participation in the conspiracy he and his co-conspirators distributed between one and three kilograms of heroin.
Co-Defendants:
Deandre Smith, age 28, of Baltimore, pleaded guilty to the drug conspiracy.
Sentenced to 25 years in federal prison;Jamal Carter, age 24, of Baltimore, previously pleaded guilty to the drug conspiracy.
Sentenced to 11 years in federal prison;Dymir Rhodes, age 32, of Baltimore, pleaded guilty to the drug conspiracy. Sentenced to 10 years in federal prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI, the Baltimore Police Department, and the Office of the State’s Attorney for Baltimore City for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Daniel C. Gardner and Christopher J. Romano, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Hagerstown Man Pleads Guilty to Charges Related to Managing a Fentanyl Distribution Conspiracy that Resulted in at Least Two Fatal OverdosesRead the Press Release
Baltimore, Maryland – Antoine Jamel Henderson age 35, of Hagerstown, Maryland, pleaded guilty today to conspiracy to distribute 40 or more grams of fentanyl—as little as 2 milligrams of fentanyl can be a lethal dose. In his plea agreement, Henderson admitted that he and others distributed at least 280 grams of fentanyl in the area of Washington County, Maryland—enough fentanyl to kill most of the residents of Washington County. As part of his plea, Henderson admitted that the drug trafficking organization that he supervised sold fentanyl that resulted in both fatal and non-fatal overdoses, including the fatal overdoses of two Pennsylvania men.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; the Washington County Narcotics Task Force, led by Washington County Sheriff Douglas Mullendore; and Washington County State’s Attorney Charles P. Strong, Jr.
U.S. Attorney Robert K. Hur stated, “Working together with our local, state, and federal partners, we will reduce the number of opioid overdose deaths in Maryland. We’re particularly targeting those who sell fentanyl, the drug that is killing the most of our citizens. Drug traffickers are on notice that dealing in fentanyl increases their odds of federal prosecution.”
According to his plea agreement, from at least 2017 through January 2018, Henderson conspired with others to distribute at least 280 grams of fentanyl in the area of Washington County, Maryland. Henderson knew that the fentanyl that was distributed during the conspiracy resulted in both fatal and non-fatal overdoses, including the fatal overdoses of Marc Brumbaugh, age 27, and Nathan Bolden, age 31, both from Waynesboro, Pennsylvania.
Between August and September 2017, investigators conducted at least six controlled purchases of either fentanyl or crack cocaine from Henderson or his co-defendant. According to the plea agreement, the controlled purchases were supposed to be heroin, but lab results showed that the substances provided by Henderson and his co-defendant were in fact fentanyl, not heroin.
On January 17, 2018, search warrants were executed at two locations and three vehicles involved in the Henderson Drug Trafficking Organization (DTO). At Henderson’s stash house, located on Atlantic Drive in Hagerstown, agents recovered 80.22 grams of fentanyl. The fentanyl was located in the bottom compartment of a Coca-Cola vending machine in the garage. The agents also recovered 9 mm ammunition, a drug press, digital scales, drug packaging equipment, plastic bags containing fentanyl residue, cellular phones, and other drug paraphernalia.
At Henderson’s primary residence, located on Lantern Lane in Hagerstown, the agents recovered additional cellular phones, a currency counter, jewelry, and a garage opener that opened the garage at the stash house. Search warrants were obtained for the 28 cellular phones that were recovered from the houses and cars, as well as for the DVD from the surveillance system located at the stash house. Also on Henderson’s iPhone, agents found iPhone “notes” tracking law enforcement surveillance.
Henderson and the government have agreed that if the Court accepts the plea agreement, Henderson will be sentenced to between 10 and 15 years in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for January 10, 2019, at 3:00 p.m.
United States Attorney Robert K. Hur commended the DEA; the Washington County Narcotics Task Force, led by Washington County Sheriff Douglas Mullendore; and Washington County State’s Attorney Charles P. Strong, Jr. for their work in the investigation. U.S Attorney Hur thanked Franklin County (PA) District Attorney Matt Fogal, the Waynesboro (PA) Police Department, the Franklin County Drug Task Force, the Franklin County Coroner’s Office, the Washington County Special Response Team, and the Maryland Natural Resources Police for their assistance in the investigation and prosecution. Mr. Hur thanked Assistant U.S. Attorneys Joan C. Mathias and Michael C. Hanlon, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Fifth Defendant in the Armed Robbery of A Federally Licensed Firearms Dealer Sentenced to 13 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced David Wise, a/k/a Rambo and Rampage, age 23, of Baltimore, to 13 years in prison, followed by three years of supervised release, for the armed robbery of a federally licensed firearms dealer.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Terrence B. Sheridan of the Baltimore County Police Department.
“David Wise and his co-defendants targeted a gun dealer in order to steal and resell the guns on the street. Through the coordinated efforts of our law enforcement partners, many of the guns were recovered, and a group of armed robbers has been put behind bars,” said U.S. Attorney Robert K. Hur.
“These five felons terrorized innocent employees, they victimized a law-abiding business owner, and they stole these firearms with purely criminal intentions in mind,” said ATF Special Agent in Charge Cekada. “Federal firearms licensees are more than businesses—they are the livelihood of the FFL owner and their employees. Violent acts like this are a threat to public safety and we will do everything in our power to bring offenders like these to justice.”
According to his plea agreement and other court documents, on August 5, 2016, Wise and four co-conspirators robbed a bait, tackle, and gun store in Dundalk, Maryland, that was a federally licensed firearms dealer. Specifically, Raymond McCullough, the principal planner and orchestrator of the robbery, drove the co-conspirators in a stolen pick-up truck to the store to conduct the robbery. The group had specifically targeted the store in order to pilfer firearms for subsequent sale and use, and brought firearms to force the victims to submit and zip-ties to bind the victims. Wise and Lerron Sheppard entered the store, pointed guns at the store owners, and demanded money and guns. Fearing for their lives, the victims complied. Wise and Sheppard bound one victim with zip-ties, then ordered the second victim to assist them in getting the cash and firearms. While Wise stood guard over the victims, Sheppard unlocked the front door of the store (which had automatically locked) so that Smith and Hawkins could enter. McCullough backed the pick-up truck to the front of the store and waited outside. Wise, Smith, Hawkins, and Sheppard then proceeded to plunder the store of cash and 37 firearms, including three assault rifles and a silencer. The men packed the firearms in duffel bags and backpacks and carried them outside to the pick-up truck. Sheppard then pushed the second victim in a safe and locked her inside. The men then fled to an apartment in Baltimore, where they divided the cash and firearms among themselves. Wise received several guns, including one of the assault rifles.
The victims reported that Wise had removed a shotgun from the safe before Sheppard locked the second victim inside. Wise did not take the shotgun, but left it in the store next to the earbuds he had worn during the robbery. Investigators were able to obtain a fingerprint from the shotgun which matched Wise’s fingerprint. A search warrant was subsequently executed at Wise’s residence. Law enforcement recovered several items stolen in the robbery, including firearms with the sales tags still attached. Officers also recovered the loaded pistol that Wise pointed at the victims during the robbery.
During the investigation of this robbery, law enforcement recovered many of the firearms taken during the robbery and learned that the defendants had committed additional robberies in the weeks before the robbery of the firearms dealer. As part of their plea agreements and/or at their sentencing hearings, David Wise, Raymond McCullough, and Lerron Sheppard admitted committing these additional robberies.
Wise is the fifth, and final, defendant to be sentenced to federal prison in this case.
Co-defendants:
Raymond McCullough, a/k/a Troop, age 35, of Baltimore, pleaded guilty to an armed commercial robbery and admitted committing another robbery with David Wise. Sentenced to 20 years in federal prison;
Reginald Smith, a/k/a Young Loc and Loc, age 25, of Baltimore, pleaded guilty to an armed commercial robbery. Sentenced to 115 months in federal prison;
Tavon Hawkins, a/k/a G and Tay, age 36, of Baltimore, pleaded guilty to an armed commercial robbery. Sentenced to 17 years in federal prison; and
Lerron Sheppard, a/k/a D-Loc, age 25, of Baltimore, pleaded guilty to an armed commercial robbery and admitted committing another robbery. Sentenced to 17 years in federal prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF, FBI and Baltimore County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys David Metcalf and Patricia C. McLane, who prosecuted the case.
Thurmont Man Sentenced to 10 Years in Federal Prison for Detonating a Pipe Bomb on a Police VehicleRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Kyle Mueller, age 24, of Thurmont, Maryland, to 10 years in prison, followed by three years of supervised release, for malicious use of explosive materials in connection with the detonation of a pipe bomb on a Thurmont Police Department vehicle. The sentence was imposed on September 19, 2018.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Baltimore Field Division; and Chief Gregory L. Eyler of the Thurmont Police Department.
“Kyle Mueller admitted constructing a pipe bomb that not only damaged a police vehicle, but caused bomb fragments to be blown into an officer’s residence,” said U.S. Attorney Robert K. Hur. “Today’s sentence sends the message that this type of violent attack on law enforcement cannot and will not be tolerated.”
“This dedicated officer was targeted at his home, a place he should have been able to feel safe after returning from a day of serving and protecting his community,” said Special Agent in Charge Cekada. “This case should make it clear to anyone with violent intentions against police officers: ATF, our state and local partners, and the U.S. Attorney’s Office are united in our efforts to end this vicious cycle of attacks on law enforcement officers.”
According to Mueller’s plea agreement, on August 3, 2016, a pipe bomb was detonated on the hood of a Thurmont Police Department vehicle that was parked in front of an officer’s residence. The explosion caused significant damage to the police vehicle. Pieces of the device also entered the residence through the front picture window, traveling through the curtains and into an interior wall. Parts of the device were recovered, including a piece of galvanized pipe, end caps, and explosive filler powder. Finishing nails were taped to the exterior of the galvanized pipe.
Investigation revealed that between July 20 and August 1, 2016, Mueller purchased black powder at a firearms store in Waynesboro, Pennsylvania; a roll of cannon fuse from an online company; and pipe and end caps at a store in Pennsylvania. All of these items, which were utilized to construct the explosive, were purchased using a credit/debit card used by and in the name of Mueller. The last four digits of the credit/debit card matched those on a fast food receipt that was found on the street where the explosion occurred a few days prior to the detonation.
Mueller was arrested on August 5, 2016, waived his rights, and agreed to be interviewed by law enforcement agents. During the interview, Mueller admitted to purchasing black powder, pipe, and end caps and to constructing the destructive device. Mueller also admitted that he was in the area of the explosion at the time that the destructive device was detonated. A residence used by Mueller was searched on August 5, 2016, and law enforcement recovered metal shavings, various drill bit sets, grey adhesive tape, and 2.5 inch nails similar to those used to construct the explosive device detonated on August 3, 2016.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF and the Thurmont Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney John W. Sippel, Jr., who prosecuted the case.
Silver Spring Pimp Sentenced to 12 Years in Federal Prison for Sex Trafficking of Two MinorsRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Roland Chick Akum, age 25, formerly of Silver Spring, Maryland, to 12 years in prison, followed by five years of supervised release, for two counts of sex trafficking of a minor. Judge Blake imposed the sentence on September 18, 2018, and also ordered that, upon his release from prison, Akum must 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 Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
According to Akum’s plea agreement, between June and August 2017, Akum, a/k/a “Rayne,” transported two minor females, 15 and 17 years old, respectively, to a motel in College Park, Maryland, in order to engage in commercial sex acts. Akum used Backpage, a website that marketed commercial sex, to advertise the girls and kept a portion of the proceeds that customers paid the girls for commercial sex acts. On July 7, 2017, the 15-year-old girl left Akum and the hotel and contacted law enforcement authorities. Akum continued to traffic the 17-year-old girl until he was arrested on August 10, 2017, as part of an undercover operation targeting Backpage, and was released on bond the following day.
On September 30, 2017, Akum, who is a citizen of Cameroon, purchased a one-way ticket from Dulles International Airport to Cameroon, scheduled to depart on October 12, 2017. Akum was arrested again on October 3, 2017, and remains in custody.
This case was investigated by 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.
United States Attorney Robert K. Hur commended HSI and the Prince George’s County Police Department for their work in the investigation and thanked the Prince George’s County State’s Attorney Angela Alsobrooks and Chief Tim Altomare of the Anne Arundel County Police Department for their assistance. Mr. Hur thanked Assistant U.S. Attorneys Zachary A. Myers and Ray D. McKenzie, who prosecuted the case.
Maryland and Texas Men Indicted for Alleged $364 Million Ponzi Scheme—One of the Largest Ever Charged in MarylandRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted three men on charges of conspiracy, wire fraud, identity theft, and money laundering, arising from an alleged $364 million investment fraud scheme. The indictment was returned under seal on September 11, 2018, and unsealed on September 18, 2018, upon the arrests of the defendants. Charged in the indictment are:
Kevin B. Merrill, age 53, of Towson, Maryland;
Jay B. Ledford, age 54, of Westlake, Texas and Las Vegas, Nevada; and
Cameron R. Jezierski, age 28, of Fort Worth, Texas.The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office. A related enforcement action and complaint was announced by the U.S. Securities and Exchange Commission Co-Director of Enforcement Stephanie Avakian.
“Federal prosecutors, FBI agents, and our SEC partners together interrupted an ongoing fraud scheme, with the potential to victimize even more people. According to the indictment, the defendants lured investors through an elaborate web of lies, duping them into paying millions of dollars into this Ponzi scheme,” said U.S. Attorney Robert K. Hur. “Most of these investors are just learning that they have been victimized. The effects of this kind of fraud can be devastating. We urge anyone who thinks they may be a victim to contact the FBI at www.FBI.Gov/MerrillLedford or e-mail [email protected].”
“The FBI takes our responsibility to investigate and pursue those who commit fraud for personal gain very seriously,” said Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Division. “We will continue working with our law enforcement partners to hold accountable those who use illegal means and criminal behavior to take advantage of others. We are committed to protecting investors from the illegal and deceptive practices Mr. Merrill and Ledford used to defraud investors out of their hard earned money and savings.”
According to the fourteen-count indictment, beginning in January 2013, the defendants perpetrated a Ponzi scheme to defraud investors of more than $364 million. The scheme was revealed with the arrests and unsealing of the indictment. Specifically, the indictment alleges that Merrill and Ledford invited investors to join them in purchasing consumer debt portfolios. “Consumer debt portfolios” are defaulted consumer debts to banks/credit card issuers, student loan lenders, and car/truck financers which are sold in batches called “portfolios” to third parties which attempt to collect on the debts. The defendants falsely represented to investors that they would use the investors’ money to buy consumer debt portfolios and make money for them by (1) collecting the payments that people made on their debts or (2) selling the portfolios for a profit to third party debt buyers--in a practice called “flipping.” According to the related complaint filed by the SEC, the victim investors included small business owners, restauranteurs, construction contractors, retirees, doctors, lawyers, accountants, bankers, talent agents, professional athletes, and financial advisors, located in Maryland, Washington, D.C., Northern Virginia, Las Vegas, Texas, and elsewhere.
The indictment alleges that in order to induce investors to participate, the defendants falsely represented who they were buying the debt portfolios from and how much they were paying for the portfolios; whether they were investing their own funds, and their track record of success. At times, according to the indictment, there was no underlying debt portfolio purchased with the investors’ money. To conceal the truth, the defendants created imposter companies with names similar to actual consumer debt sellers or brokers and opened bank accounts in the names of those imposter companies. In addition, to lend credibility to the transactions, the defendants created false portfolio overviews, sales agreements which used the names and forged signatures of actual employees of the sellers, created false collections reports, and falsified bank wire transfer records and bank statements.
Further, the indictment alleges that the defendants falsely represented that the monies they paid to investors were “proceeds” from collections and/or flipping debt portfolios, when in fact, the proceeds were paid from funds provided by other investors. The indictment alleges that Merrill, Ledford, and Jezierski personally enriched themselves and concealed their diversion of $73 million of investors’ funds to purchase and renovate high end homes in Maryland, Texas, Nevada, and Florida, purchase luxury automobiles, jewelry, boats, and a share in a jet plane, gamble $25 million at casinos, and support a lavish lifestyle.
The indictment seeks to forfeit nine properties, 26 luxury cars, one boat, interest in an aircraft, a life insurance policy, seven and nine carat diamond rings, and a 23 carat diamond bracelet, which were allegedly purchased with proceeds of the scheme to defraud.
If convicted, Merrill, Ledford, and Jezierski each face a maximum of 20 years in prison for the wire fraud conspiracy and for each of five counts of wire fraud. Merrill and Ledford each also face 20 years in prison for an additional two counts of wire fraud, as well as 20 years in prison for a money laundering conspiracy, and for each of four counts of money laundering. Finally, Merrill and Ledford face a mandatory two years in prison, consecutive to any other sentence, for identity theft. The defendants also face possible fines of $250,000, or twice the gross gain, for the wire fraud conspiracy and for each count of wire fraud and money laundering. Merrill and Ledford face an additional fine of $500,000, or twice the value of the property, for the money laundering conspiracy.
The SEC has filed a parallel civil complaint in this matter.
If you believe you may have been a victim, or have information concerning these charges, please complete a brief questionnaire at www.fbi.gov/MerrillLedford or you can email [email protected]. Your responses are voluntary. You may be contacted by the FBI.
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.
Merrill and Ledford each had an initial appearance in U.S. District Court in Baltimore and Las Vegas, respectively, on September 18, 2018, and were ordered to be detained. Jezierski also had his initial appearance in Las Vegas and was released under the supervision of U.S. Pretrial Services. Merrill is scheduled to have a detention hearing on Thursday, September 20th at 3:30 p.m. Jezierski is expected to have his initial appearance in Maryland on September 24, 2018, and Ledford is expected to be brought to Maryland for a court appearance at a later date.
United States Attorney Robert K. Hur commended the FBI in Baltimore, Dallas, Las Vegas and Tampa, and the Federal Housing Finance Agency, Office of the Inspector General for their work in this investigation. Mr. Hur thanked Assistant U.S. Attorneys Joyce K. McDonald and Martin J. Clarke, who are prosecuting the criminal case.
Baltimore and Texas Men Indicted for Alleged $364 Million Ponzi Scheme—One of the Largest Ever Charged in MarylandRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted three men on charges of conspiracy, wire fraud, identity theft, and money laundering, arising from an alleged $364 million investment fraud scheme. The indictment was returned under seal on September 11, 2018, and unsealed on September 18, 2018, upon the arrests of the defendants. Charged in the indictment are:
Kevin B. Merrill, age 53, of Towson, Maryland;
Jay B. Ledford, age 54, of Westlake, Texas and Las Vegas, Nevada; and
Cameron R. Jezierski, age 28, of Fort Worth, Texas.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office. A related enforcement action and complaint was announced by the U.S. Securities and Exchange Commission Co-Director of Enforcement Stephanie Avakian.
“Federal prosecutors, FBI agents, and our SEC partners together interrupted an ongoing fraud scheme, with the potential to victimize even more people. According to the indictment, the defendants lured investors through an elaborate web of lies, duping them into paying millions of dollars into this Ponzi scheme,” said U.S. Attorney Robert K. Hur. “Most of these investors are just learning that they have been victimized. The effects of this kind of fraud can be devastating. We urge anyone who thinks they may be a victim to contact the FBI at [email protected].”
“The FBI takes our responsibility to investigate and pursue those who commit fraud for personal gain very seriously,” said Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Division. “We will continue working with our law enforcement partners to hold accountable those who use illegal means and criminal behavior to take advantage of others. We are committed to protecting investors from the illegal and deceptive practices Mr. Merrill and Ledford used to defraud investors out of their hard earned money and savings.”
According to the fourteen-count indictment, beginning in January 2013, the defendants perpetrated a Ponzi scheme to defraud investors of more than $364 million. The scheme was revealed with the arrests and unsealing of the indictment. Specifically, the indictment alleges that Merrill and Ledford invited investors to join them in purchasing consumer debt portfolios. “Consumer debt portfolios” are defaulted consumer debts to banks/credit card issuers, student loan lenders, and car/truck financers which are sold in batches called “portfolios” to third parties which attempt to collect on the debts. The defendants falsely represented to investors that they would use the investors’ money to buy consumer debt portfolios and make money for them by (1) collecting the payments that people made on their debts or (2) selling the portfolios for a profit to third party debt buyers--in a practice called “flipping.” According to the related complaint filed by the SEC, the victim investors included small business owners, restauranteurs, construction contractors, retirees, doctors, lawyers, accountants, bankers, talent agents, professional athletes, and financial advisors, located in Maryland, Washington, D.C., Northern Virginia, Las Vegas, Texas, and elsewhere.
The indictment alleges that in order to induce investors to participate, the defendants falsely represented who they were buying the debt portfolios from and how much they were paying for the portfolios; whether they were investing their own funds, and their track record of success. At times, according to the indictment, there was no underlying debt portfolio purchased with the investors’ money. To conceal the truth, the defendants created imposter companies with names similar to actual consumer debt sellers or brokers and opened bank accounts in the names of those imposter companies. In addition, to lend credibility to the transactions, the defendants created false portfolio overviews, sales agreements which used the names and forged signatures of actual employees of the sellers, created false collections reports, and falsified bank wire transfer records and bank statements.
Further, the indictment alleges that the defendants falsely represented that the monies they paid to investors were “proceeds” from collections and/or flipping debt portfolios, when in fact, the proceeds were paid from funds provided by other investors. The indictment alleges that Merrill, Ledford, and Jezierski personally enriched themselves and concealed their diversion of $73 million of investors’ funds to purchase and renovate high end homes in Maryland, Texas, Nevada, and Florida, purchase luxury automobiles, jewelry, boats, and a share in a jet plane, gamble $25 million at casinos, and support a lavish lifestyle.
The indictment seeks to forfeit nine properties, 26 luxury cars, one boat, interest in an aircraft, a life insurance policy, seven and nine carat diamond rings, and a 23 carat diamond bracelet, which were allegedly purchased with proceeds of the scheme to defraud.
If convicted, Merrill, Ledford, and Jezierski each face a maximum of 20 years in prison for the wire fraud conspiracy and for each of five counts of wire fraud. Merrill and Ledford each also face 20 years in prison for an additional two counts of wire fraud, as well as 20 years in prison for a money laundering conspiracy, and for each of four counts of money laundering. Finally, Merrill and Ledford face a mandatory two years in prison, consecutive to any other sentence, for identity theft. The defendants also face possible fines of $250,000, or twice the gross gain, for the wire fraud conspiracy and for each count of wire fraud and money laundering. Merrill and Ledford face an additional fine of $500,000, or twice the value of the property, for the money laundering conspiracy.
The SEC has filed a parallel civil complaint in this matter.
If you believe you may have been a victim, or have information concerning these charges, please email [email protected] and complete a brief questionnaire. Your responses are voluntary. You may be contacted by the FBI
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.
Merrill and Ledford each had an initial appearance in U.S. District Court in Baltimore and Las Vegas, respectively, on September 18, 2018, and were ordered to be detained. Jezierski also had his initial appearance in Las Vegas and was released under the supervision of U.S. Pretrial Services. Merrill is scheduled to have a detention hearing on Thursday, September 20th at 3:30 p.m. Jezierski is expected to have his initial appearance in Maryland on September 24, 2018, and Ledford is expected to be brought to Maryland for a court appearance at a later date.
United States Attorney Robert K. Hur commended the FBI in Baltimore, Dallas, Las Vegas and Tampa, and the Federal Housing Finance Agency, Office of the Inspector General for their work in this investigation. Mr. Hur thanked Assistant U.S. Attorneys Joyce K. McDonald and Martin J. Clarke, who are prosecuting the criminal case.
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“Winter Hat” Robber Sentenced to 11 Years in Federal Prison for Seven Bank RobberiesRead the Press Release
Baltimore, Maryland – U.S. District Judge George J. Hazel sentenced Harrison Lewis III, age 54, of Catonsville, Maryland, today to 11 years in prison, followed by three years of supervised release for six counts of bank robbery and one count of attempted bank robbery. A federal jury convicted Lewis of those charges on May 18, 2018. Lewis was dubbed the “winter hat” robber due to the hats he wore during the robberies as part of his disguise.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
According to the evidence presented at his five-day trial, Lewis committed bank robberies in Catonsville on December 28, 2016, January 5, 2017, January 6, 2017, January 11, 2017; a robbery and an attempted robbery on January 19, 2017 in Ellicott City; and a robbery on January 30, 2017 in Phoenix, Maryland. According to evidence presented at trial, Lewis entered each bank wearing a hat and sunglasses, approached the teller, passed the teller a note that demanded U.S. currency, and then fled the bank after the teller complied and handed over cash. The notes referenced an armed partner outside the bank, and instructed the tellers to not use any security measures such as alarms, dye packs, bait money, or tracking devices. Lewis also demanded the notes back from the tellers.
As to the January 19, 2017 attempted robbery, Lewis, entered a bank wearing a disguise, including a hat and sunglasses, passed a note, and then fled the bank after the teller told him that she could not read it. Minutes later, while wearing the same disguise, Lewis walked less than 100 yards down the street to another bank, again passed a note demanding money, and fled after the teller complied and handed over cash.
At his trial in May, the jury was unable to reach a verdict on charges relating to robberies that took place on December 31, 2016 in Sykesville and January 10, 2017 in Ellicott City.
In 2002, Lewis was convicted of federal bank robbery, and was sentenced to 150 months in prison on that charge. As part of his guilty plea in 2002, Lewis admitted to robbing 19 banks over the course of three months in 2001, using a demand note.
United States Attorney Hur commended the FBI, the Baltimore County Police Department, the Howard County Police Department, and the Maryland State Police for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Paul Budlow and Paul Riley, who prosecuted this case.
Montgomery County Man Convicted by Federal Jury of Producing Child PornographyRead the Press Release
Greenbelt, Maryland – A federal jury today convicted Kyle Stephen Thompson, age 33, of Burtonsville, Maryland, on 18 counts of production of child pornography. The jury deliberated less than 30 minutes before reaching its guilty verdict.
The conviction was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.
According to the evidence presented at his three day trial, from May 9, 2015, to January 28, 2017, Thompson engaged in sexually explicit conduct with three minor females, in order to produce visual depictions documenting the abuse. Witnesses testified that on March 17, 2017, law enforcement executed a search warrant at Thompson’s residence and recovered a Secure Digital (SD) memory card hidden in the laundry room. During a preliminary on-scene forensic preview of the SD card, law enforcement saw a video depicting child pornography. According to trial testimony, subsequent forensic analysis of the SD card revealed 18 videos of Thompson sexually abusing three young girls, each of whom were between two and four years of age at the time of the abuse.
Thompson faces a mandatory minimum of 15 years in prison and up to 30 years in prison for each of the 18 counts of production of child pornography. U.S. District Judge Theodore D. Chuang has scheduled Thompson’s sentencing for January 28, 2019, at 2:30 p.m. in U.S. District Court in Greenbelt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit 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 Robert K. Hur commended the FBI, Montgomery County Police Department, and Montgomery County State’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Kristi N. O’Malley, Kelly O. Hayes, and Joseph Baldwin, who are prosecuting the federal case.
Leader of West Baltimore’s Violent Pedestal Gardens Gang Sentenced to 25 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Deandre Smith, age 28, and Karron Wheeler, age 35, both of Baltimore, to 12 years and 25 years in prison, respectively, for conspiring to sell heroin and fentanyl. Smith was sentenced today and Wheeler was sentenced on September 12, 2018.
The sentences were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Interim Police Commissioner Gary Tuggle of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.
“Our city is plagued by the deaths caused by drug-trafficking gangs: They kill their customers with heroin and fentanyl, and they kill each other (and innocent bystanders) with guns and bullets. These gangs are terrorizing the neighborhoods that they occupy,” said U.S. Attorney Robert K. Hur. “Police, federal agents, and prosecutors are working together to identify, disrupt, and hold accountable drug dealers who bring violence to Baltimore City and remove entire groups of them from our neighborhoods.”
According to Smith’s plea agreement, from at least July 2015 through April 28, 2016, Smith managed a large drug-trafficking organization that supplied heroin and fentanyl to distributors in Baltimore, including Wheeler. Smith also managed a drug trafficking operation that operated in and around Pedestal Gardens, an apartment complex located in the 300 block of McMechan Street in West Baltimore.
Smith maintained a “stash” house in Catonsville, Maryland, to store drugs and drug proceeds, and to process, and package drugs for distribution. Once packaged for distribution, Smith supplied large quantities of heroin and/or fentanyl to several drug shops in Baltimore, including shops operated by Wheeler. At Pedestal Gardens, Smith’s operation distributed “packs” of heroin and/or fentanyl. Each “pack” typically contained between 25 and 50 gel capsules of the drugs, totaling approximately 2.5 to 5 grams.
As detailed in Smith’s plea agreement, a co-conspirator killed two individuals on October 7, 2015 and August 10, 2016 respectively, to further the Pedestal Gardens drug organization’s drug trafficking activities. The organization believed that one of the individuals was distributing drugs in their territory, and that the other was robbing drug dealers in the area and disrupting the organization’s drug trafficking.
On April 28, 2016, law enforcement officers executed a search warrant at the stash house in Catonsville. At the time of the search warrant, officers located Smith and other conspirators inside the residence. During the search, officers discovered over a kilogram of fentanyl, 575 grams of heroin, and nine grams of cocaine, all of which was being packaged for distribution. Officers also discovered approximately two kilograms of Phenacetin, a substance commonly used to “cut” drugs, as well as drug paraphernalia and approximately $15,465 in cash. Smith also had approximately $2,000 cash in his pocket.
According to Wheeler’s plea agreement, between at least March 2015 and August 26, 2016, Wheeler managed a drug organization that operated in several locations in Baltimore, including Pennsylvania Avenue and Laurens Street in West Baltimore. During the course of the conspiracy, Wheeler employed or directed more than five individuals. Wheeler admitted that, at his direction, the organization kept a firearm in close proximity to the drug shop for protection and to facilitate the drug operation.
Smith and Wheeler admitted that during their participation in the conspiracy they and their co-conspirators distributed between one and three kilograms of heroin.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI, the Baltimore Police Department, and the Office of the State’s Attorney for Baltimore City for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Daniel C. Gardner and Christopher J. Romano, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Second Baltimore Man Sentenced to over 5 Years in Federal Prison for Assaulting a Federal OfficerRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Earl Williams, age 30, of Baltimore, today to 66 months in prison, followed by 3 years of supervised release, for assaulting a federal officer.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Baltimore Field Division; and Interim Police Commissioner Gary Tuggle of the Baltimore Police Department.
“This officer, like all law enforcement officers, put his life on the line in order to make our community safer,” said United States Attorney Robert K. Hur. “We will find and hold accountable those who assault the brave men and women who have sworn to protect us.”
“ATF Special Agents and Task Force Officers risk their safety and lives every day investigating violent offenders, including those who push drugs onto Baltimore’s streets. We do this to protect the community, and remove criminals and violence from their neighborhoods,” said ATF Baltimore Special Agent in Charge Rob Cekada. “Earl Williams and Devin Braxton showed no regard for human life when they violently beat our Task Force Officer, a member of our ATF family. We are immensely grateful that this TFO has made a full recovery and that these men are being held responsible for their crime.”
According to Williams’ plea agreement, on January 18, 2017, an ATF Task Force Officer (TFO) was working undercover in an investigation of a drug dealer in Baltimore.
While wearing an audio recording device, the TFO met the target drug dealer in front of a carryout store in the 1800 block of North Gay Street in Baltimore, where the drug dealer gave the TFO packaged crack cocaine in exchange for cash. While the TFO was engaged in the transaction, Earl Williams approached the TFO and poked his finger into the TFO’s hand that was holding the crack cocaine. The TFO attempted to excuse Williams, who persisted in his confrontation and began threatening the TFO. Williams and his co-defendant Devin Braxton then blocked the exit to the business. The TFO attempted to push Williams into the corner of the store, but, as the TFO struggled with Williams, Braxton began striking the TFO. Williams then wrestled the TFO to the ground, where Braxton and Williams punched and kicked the TFO, causing serious injuries. Hearing the commotion over the TFO’s audio recording device, ATF agents rapidly responded to the scene. Before agents could arrive, Braxton and Williams left the store. As they fled, Williams took the TFO’s cell phone and Braxton took the TFO’s service weapon.
ATF agents apprehended Braxton and Williams a short time later. They also recovered the TFO’s phone and service weapon. The TFO was taken to the hospital for treatment of his injuries.
Co-defendant:
Devin Braxton, age 28, of Baltimore, was sentenced to five years in prison, followed
by 3 years of supervised release, for assaulting a federal officer.United States Attorney Robert K. Hur commended the ATF and the Baltimore Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney John W. Sippel, who prosecuted the case.
Queen Anne’s County Couple Pleads Guilty to Multi-State Crime Spree Including ATM Burglaries and Transportation of Stolen VehiclesRead the Press Release
Baltimore, Maryland –Matthew Dale Bush, age 39, and Crystal French, a/k/a “Crystal Lynn Bush,” age 34, both of Grasonville, Maryland, pleaded guilty to conspiring to commit bank larceny, interstate transportation of stolen goods, and interstate transportation of stolen vehicles. Bush also pleaded guilty to bank robbery and to illegal possession of a firearm and ammunition. Bush entered his guilty plea on September 11, 2018, and French pleaded guilty today.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to their respective plea agreements, from September 2017 through October 23, 2017, Bush and French conspired to break into retail businesses in order to steal Automated Teller Machines (ATMs) and the money contained inside. The couple admitted that they used stolen vehicles to travel to and from the scenes of the crimes.
In September and October 2017, the couple stole six ATMs that contained over $38,900, and attempted to steal two other ATMs. As part of the conspiracy, the couple traveled to, and stole from, businesses in: Stevensville, Maryland; Chester, Maryland; Kent County, Delaware; Sterling, Virginia; Broadlands, Virginia; Dover, Delaware; Stevensville, Maryland; and Cambridge, Maryland. Generally, Bush entered the store wearing a mask, attached a chain or rope to the ATM, and pulled the ATM out of the store through the front glass window. Bush and French then transported the ATM and its contents to their home in Grasonville, where they hid the proceeds. Bush and French spent the proceeds of the crimes they committed on personal items, including heroin and other illegal narcotics. Bush and French married on October 14, 2017, during the crime spree.
Law enforcement obtained a state search warrant for Bush and French’s residence. On October 19, 2017, just prior to the execution of the search warrant, the police saw Bush and French leave the residence in a green Mercedes. When Bush and French saw a marked Queen Anne’s County patrol vehicle, they sped away. During the search, police recovered the following evidence: tow straps used to pull the ATM machines from the stores; sledgehammers used to break the glass at the burglaries; masks and clothing worn by the suspects in the surveillance videos at the burglaries; the license plate to one of the stolen pickup trucks, cut in numerous pieces; packaging for “walkie-talkies” used by Bush and French during some of the ATM burglaries; and a van containing several damaged ATM machines. The police also found French’s cell phone, a loaded 12 gauge shotgun near the bed where Bush slept, and additional shotgun ammunition in the garage. Bush is prohibited from possessing a firearm due to previous felony convictions, including 2010 convictions for assault and burglary related to a number of Delaware ATM burglaries.
On October 22, 2017, Bush and French stole a pick-up truck in White Marsh, Maryland, and drove to a gas station in Harford County. Bush entered the gas station and demanded money, but the clerk refused to give Bush the cash. Bush and French then drove to Lancaster County, Pennsylvania, where they left the pick-up truck stolen in White Marsh and stole another pick-up truck. Bush and French then drove the second stolen pick-up truck to a convenience store in Harford County, Maryland. Bush and another person, both wearing masks and hats, broke into the convenience store and stole approximately 86 packs of cigarettes. Later that morning, Bush and French drove to a bank on Bel Air Road in Perry Hall, Maryland. While French remained in the passenger seat of the truck, Bush entered the bank and displayed a note demanding money to the teller, who complied with Bush’s demands. Bush stole $4,820, fled the bank, got into the truck and drove away in the stolen truck.
Officers spotted Bush and French leaving the bank and attempted a traffic stop. Bush refused to stop. He drove away in a reckless manner, fled into Baltimore City, finally crashing into another vehicle. Bush then got out of the truck, helped French out of the passenger side, and the two ran away, followed by at least two police officers. Bush and French were caught and arrested. The cigarettes stolen from the convenience store were found in the stolen truck.
French faces a maximum sentence of five year in prison for the conspiracy. Bush and the government have agreed that if the Court accepts the plea agreement Bush will be sentenced to between four and 10 years in prison for the conspiracy, bank robbery, and gun charge. U.S. District Judge Richard D. Bennett has scheduled sentencing for Bush on December 11, 2018 at 3:00 p.m. and for French on December 12, 2018, at 3:00 p.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the HSI, the Maryland State Police, the Delaware State Police, the Queen Anne’s County Sheriff’s Office, the Harford County Sheriff’s Office, the Baltimore County Police Department, and the Loudon County, Virginia Sheriff’s Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Paul Budlow and Sandra Wilkinson, who are prosecuting the case.
CEO of Lab Testing Company and Marketing Representative Sentenced to Federal Prison in Pain Management Clinic Kickback SchemeRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge James K. Bredar sentenced Konstantin Bas, age 41, of Brooklyn, New York, and co-conspirator Mubtagha Shah Syed, age 49, of Jersey City, New Jersey, today to a year and a day, and three months in prison, respectively, each followed by three years of supervised release, for a scheme in which a Maryland pain management practice referred urine specimens to Bas’s testing lab in return for $1.37 million in kickbacks. Chief Judge Bredar also ordered Bas to forfeit $241,600 and to pay a fine of $5,000. Chief Judge Bredar ordered that Syed serve the first three months of his supervised release in home detention with electronic monitoring, and ordered that Syed forfeit $23,400 and pay a fine of $4,000.
The sentences were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Maureen Dixon, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; Acting Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Robert E. Craig, Jr. of the Defense Criminal Investigative Service - Mid-Atlantic Field Office; and Special Agent in Charge Bret D. Mastronardi, Investigative Operations, U.S. Office of Personnel Management Office of the Inspector General.
According to their plea agreements and other court documents, Bas was the owner and CEO of Accu Reference, a medical testing laboratory with corporate offices in New Jersey. In late 2010 or early 2011, Bas began using Mubtagha Shah Syed to market Accu Reference’s services. In February 2011, Syed had a meeting with Muhammad Ahmad Khan, the chief administrative officer (CAO) of a group of Maryland-based pain management medical clinics that were incorporated as Advanced Pain Management Services but that operated under the name of American Spine Center (APMS/ASC). The clinics were owned and operated by Drs. Atif Malik and Sandeep Sherlekar. APMS/ASC required patients who were prescribed pain relief medications to submit urine samples for testing in order to monitor the levels of pain medication or other narcotics in their bodies.
During their February 2011 meeting, Syed and Khan discussed the possibility of APMS/ASC referring its patients’ urine toxicology specimens to Accu Reference for testing in return for the payment of kickbacks. Khan discussed the plan with Malik and Sherlekar who assigned Vic Wadhwa, APMS/ASC’s Chief Financial Officer (CFO), to conduct additional discussions concerning the arrangement. Syed arranged for a meeting between Bas and Wadhwa during which they agreed that Accu Reference’s profits from the urine toxicology tests would be equally divided between Accu Reference and APMS/ASC personnel. In addition, Bas agreed to pay Syed a 5% share of the proceeds for his role in putting the transaction together. Unknown to Bas, Wadhwa told Malik and Sherlekar that he and Bas had agreed on a figure of $35 per specimen cup for the kickbacks, which was significantly lower than the amount of the kickbacks Bas would actually be paying under his agreement with Wadhwa. This allowed Wadhwa and Khan to skim off approximately 60% of the kickback payments for themselves. Starting in the spring of 2011, APMS/ASC also referred patients for back braces to another company that Bas operated, in exchange for kickbacks to APMS/ASC.
Each month from April 2011 through July 2012, APMS/ASC referred between 700 and 1,300 patient urine specimens to Accu Reference in return for kickbacks. Accu Reference received approximately $4.4 million in payments from claims submitted to Medicare and private insurers for testing the specimens submitted by APMS. Bas caused his companies to pay kickbacks totaling approximately $1.37 million to Wadhwa and his co-conspirators.
Co-Defendants:
Sandeep Sherlekar, age 52, of Germantown, Maryland, died before his scheduled initial
appearance and arraignment. The charges were dismissed after his death.Atif Babar Malik, age 48, of Germantown, Maryland, was sentenced to eight years in prison,
followed by three years of supervised release. The sentence was imposed for his trial
conviction on 26 counts arising from the $1.376 million kickbacks scheme and a fraudulent
billing scheme, as well as his guilty plea to a conspiracy to defraud the United States of more
than $2.1 million in taxes. Malik was also ordered to pay a fine of $75,000; to pay restitution
of $175,000; and to forfeit $241,976.Vic Wadhwa, 41, of Frederick, Maryland, pleaded guilty to violating the Anti-Kickback Act.
Scheduled to be sentenced on September 26, 2018 at 4:00 p.m.Muhammad Ahmad Khan, age 44, charged with the kickbacks conspiracy and conspiracy to
defraud the United States. He is a fugitive.United States Attorney Robert K. Hur commended the FBI, the Department of Health and Human Services – OIG, IRS - Criminal Investigation, the Defense Criminal Investigative Service, and the Office of Personnel Management – OIG for their work in the investigation. Mr. Hur also thanked Assistant U.S. Attorneys Jefferson M. Gray and Sean Delaney, who prosecuted the case.
Washington, D.C. Man Sentenced to 10 Years in Federal Prison for Robbing a Prince George’s County Business at GunpointRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Antonio Raymond Leach, age 45, of Washington, D.C., on September 10, 2018, to 10 years in prison, followed by five years of supervised release, for armed commercial robbery and for using, carrying, and brandishing a firearm during and in relation to a crime of violence.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Baltimore Field Division; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
According to his plea agreement, on April 2, 2017, Leach and two co-conspirators robbed a business in District Heights, Maryland. Leach and one co-conspirator entered the store, while the second co-conspirator drove the get-away car. After entering the store, Leach pointed the loaded gun at one victim, while the co-conspirator made the second victim open the both cash registers. The co-conspirator took cash from both registers and Leach and the co-conspirator fled in the waiting car. Prince George’s County Police officers stopped the car and located the $195 stolen from the business in the car. Near the car, officers located the 7.62-caliber semi-automatic handgun used during the robbery and the blue latex gloves worn by the co-conspirator. The gun was loaded with five rounds of ammunition in the magazine and one round in the chamber. Leach and his co-conspirators were arrested. The co-conspirators were convicted on related state charges.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the ATF and the Prince George’s County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Gregory Bernstein and Ray D. McKenzie, who prosecuted the case.
Pain Management Physician Sentenced to 8 Years in Federal Prison for Central Role in Million Dollar Kickback Scheme and Fraudulent Billing SchemeRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge James K. Bredar sentenced Atif Babar Malik, age 48, of Germantown, Maryland, today to eight years in prison, followed by three years of supervised release. The sentence was imposed for his trial conviction on 26 counts arising from two criminal schemes involving $1.376 million in kickbacks and fraudulently billing, as well as his guilty plea to a conspiracy to defraud the United States of more than $2.1 million in taxes. Chief Judge Bredar also ordered Malik to pay a fine of $75,000; to pay restitution of $175,000; and to forfeit $241,976.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Maureen Dixon, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Robert E. Craig, Jr. of the Defense Criminal Investigative Service - Mid-Atlantic Field Office; and Special Agent in Charge Bret D. Mastronardi, Investigative Operations, U.S. Office of Personnel Management Office of the Inspector General.
According to his plea agreement and the evidence presented to the jury at his 13-day trial, Malik is a physician trained in pain management. Malik and co-defendant, Dr. Sandeep Sherlekar, merged their pain management practices in February 2009 to create Advanced Pain Management Services, LLC (APMS), which had offices in Maryland and New Jersey. In August 2010, APMS began doing business under the name of American Spine Center, LLC (APMS/ASC). Co-defendants Muhammad Ahmad Khan and Vic Wadhwa were respectively the CEO and CFO of APMS/ASC.
The Kickback Scheme
APMS/ASC physicians required patients who were prescribed controlled substances as pain relief medications to submit urine specimens to monitor the levels of pain medication or other narcotics in their bodies. According to evidence presented at trial, in late 2011, Mubtagha Syed, the marketing agent for Accu Reference (which was owned by co-defendant Konstantin Bas), proposed to Khan and Wadhwa that APMS/ASC start referring patients’ urine toxicology specimens to Accu Reference in return for the payment of kickbacks. After Malik and Sherlekar approved the plan, which also came to include back braces from another Bas-controlled company, APMS/ASC began submitting all of its patients’ urine specimens to Accu Reference.
Each month from April 2011 through July 2012, APMS/ASC referred between 700 and 1,300 patient urine specimens to Accu Reference in return for kickbacks. Accu Reference received approximately $4.4 million from claims submitted to Medicare and private insurers for testing the specimens. After deducting its overhead expenses on the testing, Accu Reference split its profits 50/50 with Khan, Wadhwa, Sherlekar, and Malik. (Syed also received a share of Accu Reference’s profits.) From the time the kickback payments commenced in June 2011 until the end of the scheme in August 2012, Bas caused his companies to pay kickbacks totaling $1.376 million to Sherlekar, Malik, Khan and Wadhwa. Khan and Wadhwa deceived Drs. Sherlekar and Malik about the full amount of the kickback payments from Accu Reference, however, and retained more than 60% of the kickback payments for themselves. Drs. Sherlekar and Malik each received approximately $240,000 in kickbacks from the scheme.
The Fraudulent Anesthesia Billing Scheme
In addition, according to evidence presented at trial, from January 2010 through the summer of 2012, APMS/ASC fraudulently submitted bills to Medicare and private insurers using a billing code that represented that two separate physicians had provided the nerve block and the anesthesia, when in fact, only one physician performed both. As a result of this fraudulent “upcoding,” APMS/ASC received a higher level of reimbursement from insurers. For example, on January 3, 2012, Dr. Sherlekar provided both spinal injections and anesthesia to a large number of patients at APMS/ASC’s Frederick office. However, he texted Dr. Malik that “I am using your name today as surgeon as we have 34 procedures here [in Frederick] and 20 in Waldorf,” to which Malik responded “ok.” Malik was seeing patients at his office in Hackettstown, New Jersey that day.
The Tax Evasion Scheme
On June 25, 2018, Malik pleaded guilty to conspiring to defraud the IRS. Malik admitted that from 2009 through 2012, he underreported his taxable income by approximately $3,374,997, resulting in additional taxes owed of $1,157,712. Malik failed to report as income the kickback payments received from Accu Reference; he did not report and instead pocketed large amounts of the cash payments received by the practice from patients; and he used the services of a corrupt New Jersey accountant to fraudulently overstate APMS/ASC’s business expenses on its corporate tax returns and to understate the income received from the company.
Co-Defendants:
Sandeep Sherlekar, age 52, of Germantown, Maryland, died before his scheduled initial
appearance and arraignment. The charges were dismissed after his death.Konstantin Bas, age 41, of Brooklyn, New York, pleaded guilty to conspiring to violate the
Anti-Kickback Act. Scheduled to be sentenced on September 12, 2018 at 10:00 a.m.Mubtagha Shah Syed, age 50, of Jersey City, New Jersey; pleaded guilty to conspiring to
violate the Anti-Kickback Act. Scheduled to be sentenced on September 12, 2018 at 2:15 p.m.Vic Wadhwa, 41, of Frederick, Maryland, pleaded guilty to violating the Anti-Kickback Act.
Scheduled to be sentenced on September 26, 2018 at 4:00 p.m.Muhammad Ahmad Khan, age 44, charged with the kickbacks conspiracy and conspiracy to
defraud the United States. He is a fugitive.United States Attorney Robert K. Hur commended the FBI, the Department of Health and Human Services – Office of the Inspector General, IRS - Criminal Investigation, the Defense Criminal Investigative Service, and the Office of Personnel Management – Office of the Inspector General for their work on the investigation. Mr. Hur also thanked Assistant U.S. Attorneys Jefferson M. Gray and Sean R. Delaney, who prosecuted the case against Dr. Malik.
Baltimore County Tax Preparer Sentenced to 7 Years in Federal Prison for Filing False Tax Returns and for Identity TheftRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Dawn Chapelle Cottman, age 45, of Owings Mills, Maryland today to seven years in prison, followed by five years of supervised release, for fourteen counts of filing false tax returns, wire fraud and aggravated identity theft. Cottman owned a tax preparation business called 40 AM Tax Service, which she operated from her residence in Owings Mills. A federal jury convicted Cottman on May 22, 2018.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service – Criminal Investigation; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
Evidence presented at trial showed that from January 2009 until March 2013, Cottman electronically filed hundreds of tax returns, then had the tax refunds for those returns directly deposited into her bank account instead of having the refunds sent to the taxpayers. Many of the returns she filed contained materially false information to increase the size of the tax refunds. The false information included fictitious personal income amounts and dependent information that qualified taxpayers for the Earned Income Tax Credit and American Opportunity Education Credit.
Cottman also prepared and filed income tax returns using the personal identifiers of other people without their knowledge and consent in order to fraudulently obtain a tax refund to which she was not entitled. Cottman paid money to various individuals to obtain the identities of other people in whose names she filed the false returns. Cottman had the resulting tax refunds directly deposited into her bank account.
Cottman was also convicted of filing a false personal tax return for 2011. Cottman falsely claimed in her tax return that her tax preparation business had gross receipts of $152,100 when, in fact, more than $1 million of other people’s tax refunds were wired into her bank account. Cottman also falsely claimed to have earned a net income of approximately $17,000 when, in fact, she spent more than $250,000 that year on personal expenses, including trips to Disneyland, Las Vegas, Busch Gardens, and Atlantic City.
United States Attorney Hur commended the Internal Revenue Service – Criminal Investigation and the FBI for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Martin J. Clarke and Sean R. Delaney, who prosecuted this case.
Baltimore County Man Pleads Guilty to Distribution, Transportation, and Possession of Child PornographyRead the Press Release
Baltimore, Maryland – Adam Robert Miller, age 29, of Baltimore, Maryland, pleaded guilty today to possession, receipt, and distribution of child pornography. Miller also admitted taking sexually explicit images and videos of a minor female beginning when she was 15 years old.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Terrence B. Sheridan of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.
According to the indictment and the facts presented to the Court as part of his guilty plea, in July 2017, Homeland Security Investigations-Baltimore received information from Canadian authorities regarding a user of the KIK secure messaging application, “amiller89,” who was distributing visual depictions of minor engaged in sexually explicit conduct in KIK chatrooms. Canadian authorities learned about the account in the course of a larger investigation of child pornography trafficking by KIK users. Subscriber information obtained for the IP address used to access the account was identified as belonging to Miller’s father, at the home where they both resided.
On September 13, 2017, a search warrant was executed at Miller’s residence. Miller waived his rights and spoke with law enforcement, admitting that “amiller89” was his account. Miller admitted that between May 13, 2015 and September 13, 2017, he uploaded and stored images and videos depicting minors engaged in sexually explicit conduct in his Dropbox accounts. A search of Miller’s Dropbox accounts revealed that they contained over 300 videos of child pornography. Data stored on devices seized during the search of Miller’s residence included hundreds of videos and images of minors engaged in sexually explicit activity, including a prepubescent girl being subjected to sexual bondage.
In addition, Miller admitted taking sexually explicit images and videos of Jane Doe, whom the defendant met when Jane Doe was 14 years old. The images and videos produced by Miller were uncovered on Miller’s devices and were taken when Jane Doe was 15, 16, and 17 years old. On July 16, 2017, Miller used an encrypted chat application to communicate with another user. During those communications, Miller sent the other user three images of Jane Doe engaged in sexually explicit activity.
As a result of his conviction, Miller 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).
Miller faces a minimum mandatory sentence of five years in prison and a maximum of 20 years in prison, followed by up to lifetime of supervised release for each of three counts of distribution and transportation of child pornography; and a maximum of 20 years in prison for possession of child pornography. U.S. District Judge Catherine C. Blake has scheduled sentencing for December 14, 2018 at 11:30 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.
United States Attorney Robert K. Hur commended HSI-Baltimore, the Baltimore County Police Department, and the Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Zachary A. Myers, who is prosecuting the federal case.
Maryland MS-13 Program Leader Pleads Guilty in Federal Court to a Violent Racketeering Conspiracy, Including Attempted MurderRead the Press Release
Greenbelt, Maryland – Jose Augustin Salmeron-Larios (a/k/a Joseph Morales-Martinez, Angel Salvador Gutierrez, Yankee, and Kean), age 25, of Severn, Maryland, pleaded guilty today to a conspiracy to participate in a racketeering enterprise known as La Mara Salvatrucha, or MS-13; attempted murder in aid of racketeering; and using and carrying a firearm during and in relation to a crime of violence.
The plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Attorney General Brian A. Benczkowski for the Justice Department’s Criminal Division; Acting Special Agent in Charge Scott Hoernke of the Drug Enforcement Administration - Washington Field Division; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief J. Thomas Manger of the Montgomery County Police Department; Chief Henry P. Stawinski III of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; and Montgomery County State’s Attorney John McCarthy.
“Salmeron-Larios’s arrest and conviction have dealt a significant blow to MS-13 in Maryland,” said U.S. Attorney Robert K. Hur. “As the founder and leader of the Maryland Program, Salmeron-Larios organized and coordinated violence, drug trafficking and extortion among six cliques operating in the Maryland area. His arrest helped to dismantle the Maryland Program and the effort to create a permanent structure under which these cliques worked.”
“MS-13 is an organization ruthlessly committed to living up to its motto—‘Kill, Steal, Rape, Control,” said Assistant Attorney General Benczkowski. “Fortunately, today’s plea demonstrates that the Department of Justice and its law enforcement partners are committed to relentlessly pursuing the gang and its leadership.”
“DEA and our partners work hard every day to ensure the safety of our communities,” state DEA Acting Special Agent in Charge Scott Hoernke. “Following this case through to a guilty plea shows our commitment to hold accountable those who jeopardize the safety of our neighborhoods. We will continue to investigate criminal enterprises that have a callous disregard for the destruction they cause.”
MS-13 is a gang composed primarily of immigrants or descendants of immigrants from El Salvador, with members operating in the State of Maryland, including Montgomery County, Prince George’s County, and Frederick County, and throughout the United States. Branches or “cliques” of MS-13 often work together cooperatively to engage in criminal activity and to assist one another in avoiding detection by law enforcement. In Maryland and the surrounding area, these cliques include Parkview Locos Salvatrucha (“PVLS”), Normandie Locos Salvatrucha (“NLS” or “Normandie”), Sailors Locos Salvatrucha Westside (“SLSW” or “Sailors”), Langley Park Salvatrucha (“LPS”), Weedoms Locos Salvatrucha (“Weedoms”), and Cabanas Locos Salvatruchas (“Cabanas”). MS-13 cliques often combine and work together as “Programs,” with the purpose of increasing the gang’s levels of organization, violence, extortion, and other criminal activity. A person within the participating cliques is selected as the Program leader.
To protect the gang and to enhance its reputation, MS-13 members and associates are expected to use any means necessary to force respect from those who show disrespect, including acts of intimidation and violence. MS-13’s creed is based on one of its mottos, “Mata, roba, viola, controla,” which translates to, “kill, steal, rape, control.”
According to his plea agreement, from at least January 2015 through September 2016, Salmeron-Larios was a member of the PVLS clique and served as the MS-13 Maryland Program Leader. Salmeron-Larios admitted to participating in numerous acts in furtherance of the racketeering conspiracy.
For example, in April 2015, Salmeron-Larios and other MS-13 members and associates traveled to New York, met with MS-13 members there and discussed MS-13 business. Salmeron-Larios admitted that on November 7, 2015, he and other MS-13 members and associates traveled to Hyattsville, Maryland, intending to murder Victim 1, who was believed to be a member of the 18th Street Gang. Two MS-13 co-conspirators lured Victim 1 to a location in Hyattsville. Salmeron-Larios and two MS-13 co-conspirators, all armed with firearms, went to the meeting location. Salmeron-Larios and the armed MS-13 co-conspirators got out of the car while another MS-13 accomplice waited in the vehicle. The victim arrived in a car driven by another person and one of Salmeron-Larios’s MS-13 co-conspirators fired his handgun into the vehicle, attempting to kill Victim 1, who was struck in the face by one of the gunshots. Salmeron-Larios and his accomplices returned to their vehicle and left the area. The guns used during this crime, including the gun possessed by Salmeron-Larios, were taken to the residence of the co-conspirator who shot Victim 1. Victim 1 survived the shooting, but lost an eye, sustained loss of hand and leg function, and was permanently disfigured as a result of the shooting. Salmeron-Larios participated in the shooting in order to gain entrance to, maintain, and increase his position in MS-13.
Salmeron-Larios admitted that in January 2016, he traveled to Florida and obtained firearms, which were distributed to MS-13 members for use in Maryland. In addition, during the time of the conspiracy, Salmeron-Larios possessed and distributed controlled substances, including cocaine, for the benefit of MS-13. Finally, on June 8 and June 9, 2016, Salmeron-Larios discussed an attack upon suspected rival gang members with other MS-13 members. During several conversations, Salmeron-Larios discussed providing a firearm to a member of the Sailors Clique to be used against rival gang members in the area of 23rd Avenue in Langley Park “by the towers.” Salmeron-Larios instructed one individual where to find the gun and that it was loaded, and instructed another MS-13 member to loan a gun to a member of the Sailors Clique.
Salmeron-Larios faces a maximum sentence of life in prison for conspiring to participate in a racketeering enterprise; a maximum sentence of 10 years in prison for attempted murder in aid of racketeering; and a mandatory 10 years in prison, consecutive to any other sentence, and up to life in prison, for using and carrying a firearm during a crime of violence.
U.S. District Judge Paula Xinis has scheduled sentencing for Salmeron-Larios for December 7, 2018, at 10:00 a.m. Salmeron-Larios remains detained pending sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur and Assistant Attorney General Brian A. Benczkowski commended the DEA; HSI Baltimore, the Prince George’s County Police Department, the Montgomery County Police Department, the Prince George’s County State’s Attorney’s Office, and the Montgomery County State’s Attorney’s Office for their work in the investigation. Mr. Hur and Mr. Benczkowski also recognized the Montgomery County and Prince George’s County Departments of Corrections, HSI Baltimore’s Operation Community Shield Task Force, and the Maryland Department of Corrections Intelligence Unit for their assistance. Mr. Hur and Mr. Benczkowski thanked Assistant United States Attorneys William D. Moomau, Ray D. McKenzie, and Lindsay Eyler Kaplan and Trial Attorney Catherine K. Dick with the Justice Department’s Organized Crime and Gang Section, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Maryland MS-13 Program Leader Pleads Guilty in Federal Court to a Violent Racketeering Conspiracy, Including Attempted MurderRead the Press Release
Jose Augustin Salmeron-Larios aka “Joseph Morales-Martinez,” “Angel Salvador Gutierrez,” “Yankee,” and “Kean,” 25, of Severn, Maryland, pleaded guilty today to a conspiracy to participate in a racketeering enterprise known as La Mara Salvatrucha, or MS-13; attempted murder in aid of racketeering and using and carrying a firearm during and in relation to a crime of violence.
Assistant Attorney General Brian A. Benczkowski for the Justice Department’s Criminal Division, U.S. Attorney Robert K. Hur for the District of Maryland, Acting Special Agent in Charge Scott Hoernke of the U.S. Drug Enforcement Administration (DEA) Washington Field Division, Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore Field Office, Chief J. Thomas Manger of the Montgomery County Police Department, Chief Henry P. Stawinski III of the Prince George’s County Police Department, Prince George’s County State’s Attorney Angela D. Alsobrooks and Montgomery County State’s Attorney John McCarthy made the announcement.
“MS-13 is an organization ruthlessly committed to living up to its motto—‘Kill, Steal, Rape, Control,” said Assistant Attorney General Benczkowski. “Fortunately, today’s plea demonstrates that the Department of Justice and its law enforcement partners are committed to relentlessly pursuing the gang and its leadership.”
“Salmeron-Larios’s arrest and conviction have dealt a significant blow to MS-13 in Maryland,” said U.S. Attorney Robert K. Hur. “As the founder and leader of the Maryland Program, Salmeron-Larios organized and coordinated violence, drug trafficking and extortion among six cliques operating in the Maryland area. His arrest helped to dismantle the Maryland Program and the effort to create a permanent structure under which these cliques worked.”
“DEA and our partners work hard every day to ensure the safety of our communities,” said DEA Acting Special Agent in Charge Hoernke. “Following this case through to a guilty plea shows our commitment to hold accountable those who jeopardize the safety of our neighborhoods. We will continue to investigate criminal enterprises that have a callous disregard for the destruction they cause.”
MS-13 is a gang composed primarily of immigrants or descendants of immigrants from El Salvador, with members operating in the State of Maryland, including Montgomery County, Prince George’s County, and Frederick County, and throughout the United States. Branches or “cliques” of MS-13 often work together cooperatively to engage in criminal activity and to assist one another in avoiding detection by law enforcement. In Maryland and the surrounding area, these cliques include Parkview Locos Salvatrucha (“PVLS”), Normandie Locos Salvatrucha (“NLS” or “Normandie”), Sailors Locos Salvatrucha Westside (“SLSW” or “Sailors”), Langley Park Salvatrucha (“LPS”), Weedoms Locos Salvatrucha (“Weedoms”), and Cabanas Locos Salvatruchas (“Cabanas”). MS-13 cliques often combine and work together as “Programs,” with the purpose of increasing the gang’s levels of organization, violence, extortion, and other criminal activity. A person within the participating cliques is selected as the Program leader.
To protect the gang and to enhance its reputation, MS-13 members and associates are expected to use any means necessary to force respect from those who show disrespect, including acts of intimidation and violence. MS-13’s creed is based on one of its mottos, “Mata, roba, viola, controla,” which translates to, “kill, steal, rape, control.”
According to his plea agreement, from at least January 2015 through September 2016, Salmeron-Larios was a member of the PVLS clique and served as the MS-13 Maryland Program Leader. Salmeron-Larios admitted to participating in numerous acts in furtherance of the racketeering conspiracy.
For example, in April 2015, Salmeron-Larios and other MS-13 members and associates traveled to New York, met with MS-13 members there and discussed MS-13 business. Salmeron-Larios admitted that on Nov. 7, 2015, he and other MS-13 members and associates traveled to Hyattsville, Maryland, intending to murder Victim 1, who was believed to be a member of the 18th Street Gang. Two MS-13 co-conspirators lured Victim 1 to a location in Hyattsville. Salmeron-Larios and two MS-13 co-conspirators, all armed with firearms, went to the meeting location. Salmeron-Larios and the armed MS-13 co-conspirators got out of the car while another MS-13 accomplice waited in the vehicle. The victim arrived in a car driven by another person and one of Salmeron-Larios’s MS-13 co-conspirators fired his handgun into the vehicle, attempting to kill Victim 1, who was struck in the face by one of the gunshots. Salmeron-Larios and his accomplices returned to their vehicle and left the area. The guns used during this crime, including the gun possessed by Salmeron-Larios, were taken to the residence of the co-conspirator who shot Victim 1. Victim 1 survived the shooting, but lost an eye, sustained loss of hand and leg function, and was permanently disfigured as a result of the shooting. Salmeron-Larios participated in the shooting in order to gain entrance to, maintain, and increase his position in MS-13.
Salmeron-Larios admitted that in January 2016, he traveled to Florida and obtained firearms, which were distributed to MS-13 members for use in Maryland. In addition, during the time of the conspiracy, Salmeron-Larios possessed and distributed controlled substances, including cocaine, for the benefit of MS-13. Finally, on June 8 and June 9, 2016, Salmeron-Larios discussed an attack upon suspected rival gang members with other MS-13 members. During several conversations, Salmeron-Larios discussed providing a firearm to a member of the Sailors Clique to be used against rival gang members in the area of 23rd Avenue in Langley Park “by the towers.” Salmeron-Larios instructed one individual where to find the gun and that it was loaded, and instructed another MS-13 member to loan a gun to a member of the Sailors Clique.
Salmeron-Larios faces a maximum sentence of life in prison for conspiring to participate in a racketeering enterprise; a maximum sentence of 10 years in prison for attempted murder in aid of racketeering; and a mandatory 10 years in prison, consecutive to any other sentence, and up to life in prison, for using and carrying a firearm during a crime of violence.
U.S. District Judge Paula Xinis has scheduled sentencing for Salmeron-Larios for Dec. 7 at 10 a.m. Salmeron-Larios remains detained pending sentencing.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
The investigation was conducted by DEA, HSI Baltimore, the Prince George’s County Police Department, the Montgomery County Police Department, the Prince George’s County State’s Attorney’s Office, and the Montgomery County State’s Attorney’s Office for their work in the investigation. The Montgomery County and Prince George’s County Departments of Corrections, HSI Baltimore’s Operation Community Shield Task Force, and the Maryland Department of Corrections Intelligence Unit provided investigative assistance. This Organized Crime Drug Enforcement Task Forces case is being prosecuted by Trial Attorney Catherine K. Dick of the Criminal Division’s Organized Crime and Gang Section, Assistant U.S. Attorneys William D. Moomau, Ray D. McKenzie, and Lindsay Eyler Kaplan of the District of Maryland.
Lover and Co-Conspirator of U.S. Army Sergeant who Murdered his Wife Sentenced to 17 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Dolores Delgado, age 33, of San Antonio, Texas, today to 17 years in prison, followed by five years of supervised release, for interstate travel to commit domestic violence resulting in death, in connection with the death of Karlyn Ramirez. Army Sergeant Maliek Kearney, age 37, of San Antonio, Texas, with whom Delgado had a romantic relationship, was convicted by a federal jury on August 9, 2018, for the murder and a related gun charge.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Major General David P. Glaser, Commanding General of the U.S. Army Criminal Investigation Command; and Anne Arundel County Police Chief Tim Altomare.
According to Delgado’s plea agreement, Karlyn Ramirez was an active-duty soldier of the United States Army assigned to Fort Meade, Maryland. Ms. Ramirez was found shot to death in her off-post residence on the morning of August 25, 2015. Her four-month old daughter had been placed in her arms. Forensic evidence estimated the likely time of death was during the late evening hours of August 24, 2015.
At the time of her death, Ramirez was married to another active-duty soldier, Sergeant Maliek Kearney, who was the father of her four-month old daughter. They had recently separated and Ramirez had obtained a protective order through the Army prohibiting all contact between Ramirez and Kearney.
According to Delgado’s plea agreement and evidence presented at Kearney’s trial, Kearney was stationed at Fort Jackson, South Carolina. On August 24, 2015, he finished work in the early afternoon and traveled from South Carolina to Severn, Maryland. He entered Ramirez’s townhouse using his key and brandishing a Taurus .357 caliber revolver. Ramirez attempted to calm her husband but reiterated that she did not want to see him again. Kearney shot Ramirez three times, killing her. He then took off her pants and pulled down her underwear in an attempt to make it look like a sexual assault. Kearney also placed their 4-month old daughter in Ramirez’s arms.
Delgado admitted that she provided the firearm that Kearney used to murder Ramirez and allowed Kearney to drive her car from South Carolina to Maryland to commit the murder. Delgado also purchased large gas cans for Kearney to take with him, so that he would not have to stop for gas and risk being seen. During the murder, Delgado (who lived in Florida at the time) stayed at Kearney’s apartment in South Carolina with his phone and vehicle so that it would appear that he was in South Carolina at the time of the murder. After the murder, Delgado and another individual traveled to a waterway in Florida and disposed of the firearm, shell casings, the clothing Kearney wore during the murder, and the key he used to enter Ramirez’s townhouse. Delgado also dismantled the revolver and took steps to obliterate the serial number. Law enforcement divers recovered the firearm and forensic testing determined that it was indeed the gun Kearney used to shoot Karlyn Ramirez to death.
Judge Russell has scheduled sentencing for Maliek Kearney on November 30, 2018, at noon. Kearney remains detained pending sentencing.
Delgado has been detained since her arrest.
United States Attorney Robert K. Hur commended the FBI Baltimore, the Army CID, and the Anne Arundel County Police Department for their work in the investigation, and thanked the U.S. Attorney’s Office for the Western District of Texas and FBI San Antonio for their assistance. Mr. Hur also thanked Assistant U.S. Attorneys James G. Warwick and Kenneth S. Clark, who are prosecuting the case.
Leaders in St. Mary’s County Cocaine Distribution Conspiracy Each Sentenced to 11 Years in Federal PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Joseph Darren Brooks, age 42, of California, Maryland, and Marvin Leon Young, age 42, of Lexington Park, Maryland, each to 11 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute powder and crack cocaine. Brooks was also convicted of being a felon in possession of a firearm. Judge Hazel sentenced co-conspirator Brandon Darnell Bowman, age 32, of Great Mills, to 86 months in prison, followed by three years of supervised release. Brooks and Young were sentenced on September 5th and 6th respectively, and Bowman was sentenced today.
The sentences were announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Scott Hoernke of the Drug Enforcement Administration - Washington Field Division; St. Mary’s County Sheriff Tim Cameron; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
According to Young’s plea agreement and information presented to the Court, from at least February 2015 through December 2016, Brooks and Young conspired with others, including Darryl Michael Franklin and Brandon Darnell Bowman, to distribute cocaine and crack cocaine primarily in St. Mary’s County. During the course of the conspiracy, Young and Brooks were business partners and Franklin was their source of supply for cocaine. Young would typically acquire kilograms of cocaine from Franklin, which he would split with Brooks. Brooks sold smaller distribution quantities of cocaine to other members of the conspiracy and to his own customers. On occasion, Brooks would cook the powder cocaine into crack cocaine and distribute the crack cocaine. The conspirators used Bowman’s residence as a stash house and to cook the powder cocaine into crack.
For example, on November 2, 2016, Young, acting on behalf of himself and Brooks, arranged to purchase two kilograms of cocaine from Franklin. Prior to meeting Franklin, Young picked up cash from Brooks at Bowman’s house. Young met Franklin to deliver the cash and received the cocaine in return. Young dropped off one kilogram of cocaine to Brooks at the home of another conspirator and retained one kilogram to sell to his own customers. Later that day, Brooks informed Young that he had already sold a good portion of his kilogram of cocaine. Between October 5 and November 2, 2016, Young and Brooks purchased at least six kilograms of cocaine from Franklin.
On December 15, 2016, law enforcement executed search warrants at the homes of Brooks, Young, Bowman and other conspirators. At Brooks’ home they recovered a loaded .45-caliber semi-automatic handgun, three .50-caliber rifles, a shotgun, and a variety of ammunition. Brooks, who was not home at the time of the search, was prohibited from possessing firearms or ammunition as a result of a previous felony convictions, including a previous conviction in St. Mary’s County for drug distribution.
When officers searched Bowman’s residence in Great Mills, Maryland, they located Brooks in the living room. From Bowman’s residence, law enforcement recovered a total of 228 grams of cocaine, drug distribution paraphernalia, $11,490 in cash hidden in a speaker, and $2,165 in cash from Brooks. From the search of Young’s residence, law enforcement recovered $5,743 in cash and three cell phones. The cash represented proceeds of their drug dealing.
Based upon the length of the drug trafficking conspiracy, recorded telephone conversations, surveillance, and information provided by others, the quantity of cocaine involved in the offense and foreseeable to Young and Brooks was between 15 and 40 kilograms of cocaine.
Darryl Michael Franklin, age 44, of Waldorf, Maryland, also pleaded guilty and was sentenced to 20 years in prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the DEA, the St. Mary’s County Sheriff’s Office, and the Prince George’s County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Erin B. Pulice and Gregory Bernstein, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Four-Time Baltimore Felon Sentenced to 19 Years in Federal Prison for Series of Armed RobberiesRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced William McFadden, age 33, of Baltimore, to 19 years in prison, followed by three years of supervised release, for robbing a gas station in Greenbelt, Maryland, and for using, carrying, and brandishing a firearm during the robbery. McFadden pleaded guilty to those charges on July 9, 2018, just before his trial was scheduled to begin.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation.
According to the indictment and information presented to the Court, during October and November 2015, McFadden and two other men, either together or in pairs, robbed seven businesses in Maryland and Virginia, including five gas stations, a food store, and a check cashing store. In each of the robberies either McFadden or one of the other men brandished a handgun and took cash from the business. In the robbery of the food store, McFadden dropped a mask that contained both his and a co-conspirator’s DNA profile. Furthermore, McFadden is seen on video holding a handgun that was similar to a handgun recovered from McFadden’s car after the robbery on November 22nd.
Specifically, McFadden admitted that on November 22, 2015 he drove a co-conspirator to a gas station in Greenbelt in order to rob the gas station. The co-conspirator entered the store wearing a black jacket and a ski mask, pointed a gun at the clerk and demanded money. The cashier placed approximately $400 in the bag provided by the co-conspirator. McFadden and the co-conspirator drove away from the gas station and were stopped by law enforcement in Baltimore City. Officers recovered the cash, ski mask and other identifying clothing, as well as a loaded.45-caliber automatic pistol.
McFadden is prohibited from possessing a firearm or ammunition as a result of convictions for three previous armed robberies and another robbery. He was also convicted of assaulting a correctional officer while in prison.
Co-defendants Marcus Cureton, age 34, and Taeqwon Prater, age 25, both of Baltimore, previously pleaded guilty to their roles in the robbery conspiracy and were each sentenced to 15 years in prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
United States Attorney Robert K. Hur commended the FBI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Patricia C. McLane and Lauren E. Perry, who prosecuted the case.
Essex Sex Offender Sentenced to over 12 Years in Federal Prison for Transportation of Child PornographyRead the Press Release
Baltimore, Maryland –U.S. District Judge Richard D. Bennett today sentenced Raymond Kilchenstein, age 53, formerly of Essex, Maryland, to 150 months in prison, followed by 20 years of supervised release, for transportation of child pornography. Judge Bennett ordered that, upon his release from prison, Kilchenstein 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).
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Interim Commissioner Gary Tuggle of the Baltimore Police Department.
According to the his plea agreement, in 1997, while Kilchenstein was serving in the U.S. Air Force, he pleaded guilty to repeatedly sexually abusing a minor female for four years, beginning when the child was four years old. He also acknowledged fondling a second minor female, who was 10 years old at the time of the abuse. Kilchenstein was sentenced to 10 years of confinement and dishonorably discharged from the Air Force. He was released on May 2, 2003 and has been a registered sex offender since that time.
Kilchenstein admitted that beginning in 2015, he traded child pornography in three ways: by using a foreign website that facilitates sharing images and videos; through several e-mail addresses; and by utilizing an instant-messaging application for mobile devices that allows users to share photos, videos, and other content. A search warrant executed at Kilchenstein’s home on February 10, 2017, recovered digital storage media, including three thumb drives, a laptop, and a hard drive. Subsequent forensic analysis of the media recovered over 20,000 images and 665 videos of child pornography, including over 275 identified child pornography series. Kilchenstein has been ordered to pay $13,000 in restitution to the identified victims in those series. The images and videos also included prepubescent minors engaged in sexually explicit conduct, as well as sadistic, masochistic, and other depictions of violence.
Kilchenstein was arrested on December 15, 2017, and an Apple iPhone 7 was seized, but was locked, preventing forensic analysis. As part of his plea agreement, Kilchenstein provided the password to allow access to his iPhone in order to allow a full forensic analysis of the phone to determine whether there was any evidence of production of child pornography. None was found.
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 Robert K. Hur commended the FBI and Baltimore Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Judson T. Mihok, who is prosecuting the federal case.