District of Maryland

Baltimore, Maryland – A federal grand jury has indicted licensed drug counselor Jennifer Hamersky, a/k/a Jennifer Maroney and Jennifer Hurt, age 33, of Severn, Maryland, and Anthony Evans Owings Seen, a/k/a Tony, age 31, of Glen Burnie, Maryland, for conspiring to conceal alleged violations of pretrial release by one of Hamersky’s clients. The indictment was returned on March 16, 2017.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; William F. Henry, Chief, U.S. Probation and Pretrial Services Office, District of Maryland; and Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office.

 

According to the seven-count indictment, Hamersky is a licensed Clinical Professional Addictions Counselor in Maryland. Hamersky’s employer is contracted to provide mental health and substance abuse assessments and counseling, and urinalysis testing, for pretrial offenders and supervised release defendants under the supervision of the United States Probation and Pretrial Services Office (USPO) in Maryland. Seen, who is on supervised release under the supervision of USPO, met Hamersky in August 2015, when she conducted Seen’s initial substance abuse diagnostic assessment for USPO.

 

Hamersky served as Person A’s pretrial release substance abuse and mental health counselor from September 2015 through February 2016, and again from August 2016 through February 2017, with a break due to Person A’s incarceration. Hamersky was responsible for communicating Person A’s compliance with pretrial release conditions of counseling and urinalysis testing to USPO.

 

The indictment alleges that Hamersky and Seen conspired to, and obstructed justice in an effort to conceal from USPO officers and U.S. Magistrate and District Court Judges, Person A’s violations of his conditions of release. The violations alleged in the indictment include: use of narcotic drugs or other controlled substances; failure to appear for urinalysis testing; and failure to appear for counseling sessions.

 

Specifically, the indictment alleges that Hamersky included false information and material omissions in Person A’s monthly treatment reports which were submitted to USPO, and that she provided false information to Person A’s attorney and USPO regarding Person A’s compliance with conditions of release. Hamersky allegedly forged or caused to be forged the initials of the company urinalysis collector on reports in order to make it appear that Person A had participated in urinalysis testing, when in fact, he had not. In addition, the indictment alleges that Hamersky falsely represented to the company urinalysis collector that Person A’s USPO officer had authorized Person A’s removal from the urinalysis testing list, and had authorized Hamersky to collect urinalysis samples from Person A. According to the indictment, Seen also obtained Person A’s signature on reports to make it appear that Person A had attended urinalysis testing and counseling sessions, when in fact, Person A had not attended the testing or sessions.

 

According to the indictment, from October 2015 through at least February 2016, while Person A was under Hamersky’s supervision, Hamersky and Person A engaged in repeated sexual encounters, and used narcotic drugs or other controlled substances together. While Person A was incarcerated, Hamersky allegedly purchased, and delivered to the detention facility electronics, clothing, and other items for Person A’s benefit. The indictment alleges that Hamersky also paid for and caused money orders to be sent for the purchase of narcotic drugs or other controlled substances used by Person A while he was incarcerated. After Person A’s release from detention in May 2016, Hamersky and Person A allegedly ceased their sexual encounters, although Hamersky continued to counsel Person A as part of his conditions of pretrial release. The indictment also alleges that from September 2016 through February 2017, Hamersky and Seen had a sexual relationship.

 

Hamersky and Seen each face a maximum sentence of five years in prison for the conspiracy; a maximum of 20 years in prison for each count of obstruction of justice; and a maximum of five years in prison for each count of making a false document. Hamersky also faces a maximum of five years in prison for making a false statement. The defendants each had an initial appearance this afternoon in U.S. District Court in Baltimore.

 

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 Rod J. Rosenstein commended the FBI, USPO, and DEA for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Philip A. Selden and Rachel Miller Yasser, who are prosecuting the case.

 

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Edward Leon Samuel, Jr., age 50, of Baltimore, Maryland , on March 16, 2017, to 13 years in prison, followed by five years of supervised release, for possession with intent to distribute heroin and cocaine, and for possession of a firearm in furtherance of a drug trafficking crime.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Commissioner Kevin Davis of the Baltimore Police Department.

 

According to his plea agreement, Samuel distributed heroin and cocaine in Baltimore City. On February 2, 2016, members of the DEA and Baltimore City Police Department executed a search warrant at Samuel’s residence and recovered 171 grams of heroin and 25.8 grams of cocaine, which Samuel admits he intended to distribute to his customers. Law enforcement also recovered three loaded firearms, including a .40 caliber handgun, a 9mm handgun with no serial number, and a 454 revolver with no serial number. Samuel admits that he possessed the firearms to further his drug trafficking activities.

 

United States Attorney Rod J. Rosenstein praised the DEA and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Derek E. Hines and Christopher J. Romano, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Rondell McLeod, age 23, of Washington, D.C., on March 15, 2017, to 11 years in prison, followed by five years of supervised release, for two armed commercial robberies and for using and brandishing a firearm during a crime a violence. Judge Titus also ordered McLeod to pay restitution of $10,568.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department; and Acting Chief Peter Newsham of the Metropolitan Police Department.

 

According to his plea agreement, between March 28 and April 1, 2016, McLeod conspired with Tyrell Bailey and Steven Mosby to rob cellular phone stores in Bethesda and Forestville, Maryland. In both the March 28 and April 1 robberies, McLeod entered the store to commit the robbery and brandished a firearm at store employees, while Mosby was the get-away driver. Bailey participated in the April 1st robbery, entering the store with McLeod to commit the robbery. McLeod and his co-conspirators stole cash, cellular phones and other high-end electronics, with a total value of approximately $30,658.

 

After the second robbery on April 1, 2016, a witness who saw the robbers drive away from the store called 911 and provided a description of the car. The witness followed the vehicle for some distance before losing sight of the vehicle. A Prince George’s County Police plain clothes officer in an unmarked car saw the getaway vehicle a short time later speeding, driving on the shoulder of the road, and driving through a red light. A marked Prince George’s County Police vehicle was able to start following the getaway car. Prince George’s County Police officers were also conducting aerial surveillance of the pursuit and saw McLeod and his co-conspirators flee from the vehicle. The aerial officers noticed that McLeod was gripping his waistband consistent with someone who was concealing a firearm. The aerial officers directed pursuing foot officers to the rear delivery door of a business that McLeod had entered, and McLeod was arrested. Officers found a loaded .40 caliber handgun on the ground where McLeod had been laying and recovered a cellular telephone from McLeod.

 

Tyrell Bailey, age 20, and Steven Walter Mosby, age 26, both of Washington, D.C., were also arrested after the chase on April 1, 2016. On December 13, 2016, Bailey pleaded guilty to robbery, and to using, carrying and brandishing a firearm during a crime of violence. Bailey and the government have agreed that if the Court accepts the plea agreement Bailey will be sentenced to seven years and one day in prison. Judge Titus has scheduled sentencing for Bailey on March 21, 2017 at 10:00 a.m. On December 15, 2016, Mosby pleaded guilty to a robbery conspiracy and is scheduled to be sentenced on May 10, 2017 at 9:00 a.m.

 

United States Attorney Rod J. Rosenstein commended the FBI, Prince George’s County Police Department, and the Metropolitan Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Thomas M. Sullivan and Michael T. Packard, who prosecuted the case.

Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake sentenced William H. Steinhaus IV, age 34, of Brunswick, Maryland, today to 25 years in prison, followed by lifetime supervised release, for sexual exploitation of a child to produce child pornography. Judge Blake also ordered that, upon his release from prison, Steinhaus must register as a sex offender in the place 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 Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation; Frederick County Sheriff Charles A. “Chuck” Jenkins; Frederick County State’s Attorney J. Charles Smith; and Acting Chief Peter Newsham of the Metropolitan Police Department.

 

According to his plea agreement, between December 8 and 9, 2014, Steinhaus had a number of sexually explicit conversations on Kik, an instant messaging application, with other Kik users regarding their shared sexual interest in prepubescent children. Steinhaus took pictures using his iPhone or iPad of a two year old girl engaged in sexually explicit conduct and distributed them to approximately 25 other Kik users.

 

Steinhaus admitted that during those two days, he and another Kik user exchanged approximately 290 messages, including a discussion as to how Steinhaus could best sexually abuse the toddler. Also on December 8, 2014, Steinhaus and a second Kik user exchanged approximately 293 messages. Steinhaus sent both users images of the child and Steinhaus engaged in sexually explicit conduct; and pictures of a couch, stating to the first user “That’s where tw[sic] assault will happen,” and to the second, “That’s where the assault is going to happen.”

 

According to his plea agreement, between December 8 and 9, 2014, Steinhaus exchanged approximately 419 messages on Kik with an undercover law enforcement officer, whom Steinhaus had emailed earlier on December 8, 2014. Steinhaus sent the undercover officer approximately 30 pictures he had taken of the toddler, several of which contained images of the child and Steinhaus engaged in sexually explicit conduct.

 

Through emergency legal requests, on December 9, 2014, officers identified Steinhaus as the subscriber to the Kik and Yahoo accounts used to communicate with the undercover officer. Officers began surveillance of Steinhaus’ residence in advance of the execution of a search warrant. During the surveillance, Steinhaus began sending the undercover officer images of himself with the victim in the background. Steinhaus told the undercover officer that he would be alone with the victim and would continue the sexual abuse of the child. Officers used a ruse to get Steinhaus out of the residence. Steinhaus came out of the house with his iPhone, and the officers identified themselves. Steinhaus fought with the officers as they tried to secure his iPhone, but they were able to secure and access the device. Steinhaus was arrested and the victim was rescued by the officers.

 

Nine of the Kik users to whom Steinhaus sent photographs of the victim were arrested and charged – seven of them federally. Of the federal defendants, five have pleaded guilty to distribution, possession, or transportation of child pornography and two other have charges pending. Three of the convicted defendants were sentenced to between five and 10 years in federal prison and the two defendants are awaiting sentencing.

 

As part of his plea agreement in the federal case, Steinhaus pleaded guilty to related charges filed against him in the Circuit Court for Frederick County, Maryland, and is scheduled to be sentenced on those charges on March 21, 2017, at 9:00 a.m.

 

The 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 Rod J. Rosenstein commended the FBI, Frederick County Sheriff’s Office, Frederick County State’s Attorney’s Office and Metropolitan Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Zachary A. Myers and Judson T. Mihok, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Barry Terry, age 39, of Baltimore, Maryland, today to 15 years in prison, followed by three years of supervised release, for being a felon in possession of a firearm.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore Police Commissioner Kevin Davis; and Baltimore City State’s Attorney Marilyn Mosby.

 

According to the evidence presented at his two-day trial, in the summer of 2015 a Baltimore City Watch camera operator saw Terry walking through a Baltimore City park with what appeared to be a gun in the waistband of his pants. The operated directed Baltimore Police officers to the location. When officers approached Terry to investigate, Terry fled, throwing something in the direction of a clothes donation box. Terry was apprehended and police located a loaded pistol where Terry had thrown the object as he was running away.

 

As a result of seven previous felony convictions, Terry was prohibited from possessing a firearm or ammunition.

 

United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Patricia C. McLane and Zachary B. Stendig, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Christopher Zane Ordiway, age 43, of Drayden, Maryland, today to 10 years in prison, followed lifetime supervised release, for possession of child pornography. Ordiway admitted to engaging in sexual activity with a minor victim and possessing photos of that sexually explicit conduct. Judge Titus also ordered that, upon his release from prison, Ordiway must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).

 

In U.S. District Court in Baltimore, Santos Jovany Quintanilla, age 37, of Lutherville-Timonium, Maryland, pleaded guilty today to two counts of sexually abusing a minor to produce child pornography.

 

The sentence and guilty plea were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

 

According to Ordiway’s plea agreement, from 2012 through 2014, Ordiway engaged in sexual activity with a minor female and possessed digital photographs documenting the abuse. The photos were found on Oridway’s cellular telephone on January 21, 2016, during a forensic analysis of the phone by an HSI examiner. Even though Ordiway had attempted to delete the photographs, the forensic analysis was able to recover thumbnails of the photographs that remained on the phone.

 

According to Quintanilla’s plea agreement, from 2010 through 2015, beginning when the victim was five years old, Quintanilla sexually abused a young girl, producing images of himself and the victim engaged in sexually explicit conduct. Multiple instances of abuse occurred when Quintanilla visited the home of the victim’s father. On several occasions, Quintanilla was left alone to watch the victim and her younger sister when their father left the house. During these times, Quintanilla sexually abused the victim and, on at least one occasion, took photographs documenting the abuse.

 

Quintanilla admitted that in 2015 he sent text messages to the victim asking her to take off her clothes and send Quintanilla photographs of her body. On March 30, 2015, Quintanilla contacted the victim, who was 10 years old at that time, via Facebook. Quintanilla sent the victim a photograph of a $50 bill, along with the message: “Do you want it? Do you want me to come over?”

 

In addition to photographs of the victim engaged in sexually explicit conduct, Quintanilla also took and possessed 40 images of child pornography, including pictures of a pre-pubescent male’s genitalia.

 

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

 

Quintanilla faces a minimum mandatory sentence of 15 years and up to 30 years in prison for each of two counts of production of child pornography. U.S. District Judge J. Frederick Motz has scheduled sentencing for May 31, 2017 at 9:30 a.m. Quintanilla remains detained pending sentencing.

 

These cases were 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 Rod J. Rosenstein commended HSI Baltimore, and the Maryland State Police for their work in the Oridway case; and the FBI, HSI-Baltimore, Baltimore County Police Department and Baltimore County State’s Attorney’s Office for their work in the Quintanilla investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorneys Joseph R. Baldwin and Daniel C. Gardner who prosecuted the Ordiway case, and Assistant U.S. Attorneys Aaron S. J. Zelinsky and Paul E. Budlow, who are prosecuting the Quintanilla case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Jerryan Burrell, a/k/a Rhino, age 31, of Baltimore, today to 20 years in prison, followed by five years of supervised release, for conspiracy to possess with intent to distribute heroin, powder and crack cocaine, marijuana, and oxycodone. On March 8, 2017, Judge Russell sentenced Devin Rodgers, a/k/a Donkey and Dick Butkus, age 21, of Baltimore, to 10 years in prison, followed by five years of supervised release, on the same charge. Burrell and Rodgers admitted that they were members of Hillside, a drug distribution conspiracy which operated for 14 years in the Cherry Hill section of Baltimore.

 

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.

 

“Although the only crime charged in this case is a drug conspiracy, the allegations against the Hillside group includes 13 murders and 21 non-fatal shootings,” said U.S. Attorney Rod J. Rosenstein. “Conspiracy cases are a valuable tool to put violent gangs out of business.”

 

According to Burrell’s and Rodgers’ plea agreements, from at least 2002, a group known as Hillside distributed powder and crack cocaine, heroin, oxycodone and marijuana, primarily in the Cherry Hill Shopping Center and other locations throughout Cherry Hill, and in west and southwest Baltimore City. Members of Hillside used the proceeds of their narcotics sales to purchase firearms, to enrich themselves, and to further the activities of the organization. Hillside members used residences in and around Cherry Hill to cut and package drugs for distribution. Only trusted members of Hillside, such as Burrell and Rodgers, were admitted to these locations while the drugs were being prepared for sale. In an effort to distinguish their narcotics, Burrell, Rodgers and other Hillside members used colored topped vials or colored the drugs with food coloring.

 

Burrell and Rodgers admitted that they distributed heroin, marijuana, cocaine and other narcotics. According to the plea agreements, video recordings show that Burrell and Rodgers were in the Hillside stash houses, along with other Hillside members.

 

During Burrell’s and Rodgers’ involvement in the Hillside drug conspiracy, it was reasonably foreseeable to them that the conspiracy involved between one and three kilograms of heroin, between 280 and 840 grams of crack cocaine, between five and 15 kilograms of powder cocaine, as well as marijuana and oxycodone.

 

Members of Hillside, including Burrell, also committed acts of violence in order to fund their narcotics activities and intimidate others who would interfere with their narcotics trafficking. For example, on January 16, 2011, Burrell and another Hillside member committed an armed robbery with a loaded .22 caliber handgun with an obliterated serial number. Acts of violence were also committed to discipline members within the Hillside Enterprise for transgressions, real or perceived, against the conspiracy.

 

Since 2013, federal prosecutors have convicted at least 35 members of three other rival drug-dealing organizations that operated in Cherry Hill: “Up da Hill,” “Little Spelman” and “Coppin Court.”

 

United States Attorney Rod J. Rosenstein praised the ATF, Baltimore Police Department, and Baltimore City State’s Attorney’s Office for their work in the investigation and thanked the FBI, Baltimore County Police Department, Anne Arundel County Police Department, and Baltimore City Sheriff’s Office for their assistance. Mr. Rosenstein thanked Assistant United States Attorneys Seema Mittal and Patricia C. McLane, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Correctional Officer Thomas Leimbach, age 32, of Pocomoke City, Maryland, pleaded guilty on March 9, 2017, to his participation in a racketeering conspiracy operating at the Eastern Correctional Institution in Westover, Maryland.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Postal Inspector in Charge Robert B. Wemyss of the U.S. Postal Inspection Service - Washington Division; Secretary Stephen T. Moyer of the Maryland Department of Public Safety and Correctional Services; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

 

According to his plea agreement and court documents, the Eastern Correctional Institution (ECI) is the largest state prison in Maryland, operating near Westover, in Somerset County, on Maryland’s Eastern Shore. During the conspiracy, Leimbach was a Correctional Officer (CO) at ECI.

 

Leimbach admitted that he accepted bribes from inmates to smuggle contraband into ECI, including narcotics, cell phones and tobacco. Leimbach worked with other COs to smuggle contraband into the prison. On June 5, 2014, law enforcement intercepted a call from an inmate to his sister, in which they discuss whether their mother “took care of that today.” That same day, Leimbach was arrested after the inmate’s mother delivered contraband to Leimbach. Leimbach was searched and had in his possession 75 Suboxone strips and $375 in cash.

 

Leimbach faces a maximum sentence of 20 years in prison for the racketeering conspiracy. U.S. District Judge James K. Bredar has scheduled sentencing for Leimbach on June 29, 2017 at 10:00 a.m.

 

The U.S. Attorney expressed appreciation to Secretary Moyer whose staff initiated the ECI investigation and who has made the full resources of the DPSCS available to assist the three-year investigation. U.S. Attorney Rosenstein also recognized the efforts of the Maryland Prison Task Force which has brought together federal, state and local agencies in meetings to generate reforms in prison procedures and facilitate joint investigations of prison corruption and prison gangs. Mr. Rosenstein thanked the members of the Maryland Prison Task Force and the other agencies who assisted in this investigation and prosecution.

 

United States Attorney Rod J. Rosenstein commended the FBI, U.S. Postal Inspection Service, Department of Public Safety and Correctional Services, the Baltimore Police Department and Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Leo J. Wise, Robert R. Harding, and Daniel C. Gardner, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Odere Suleitopa, age 33, a Nigerian national residing in Brooklyn, New York, today to 63 months in prison, followed by three years of supervised release, for 18 counts of wire fraud and five counts of aggravated identity theft arising from a three-year credit card fraud scheme. A federal jury convicted Suleitopa on October 27, 2016, after a four-day trial. Judge Motz entered an order requiring Suleitopa to pay restitution of $140,000, and to forfeit over $1,000 and cellular telephones seized during the investigation.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Easton Police Department Chief David A. Spencer; and Talbot County State’s Attorney Scott G. Patterson.

 

According to the evidence presented at his four day trial, Suleitopa obtained credit cards with his name embossed on them, but with the account numbers that had been stolen. The magnetic strip on the fraudulent cards were disabled. Suleitopa went to retail stores and used the fraudulent cards to purchase gift cards and merchandise. The evidence showed that on October 29, 2015, Suleitopa completed three fraudulent transactions in Alexandria, Virginia, totaling $5,814.08. Between November 9 and November 17, 2015, the evidence showed that Suleitopa completed 26 transactions using the fraudulent credit cards – eight in Delaware, and 18 in Easton and Denton, Maryland. The total purchases were over $44,000.

 

On December 23, 2015, Suleitopa made over $4,000 of purchases of high end electronics and gift cards at a retail store in in Gardner, Massachusetts, using the fraudulent credit cards. He was arrested on January 13, 2016, after returning to the same store and attempting to make additional purchases with the fraudulent cards.

 

Over the course of the scheme, which spanned eight states from New Hampshire to Georgia, more than 15 victims had their credit card accounts compromised and losses were in excess of $190,000.

 

Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.

 

United States Attorney Rod J. Rosenstein commended HSI-Baltimore, the Easton Police Department, and Talbot County State’s Attorney’s Office for their work in the investigation, and recognized the Gardner, Massachusetts Police Department, the Spartanburg County and Berkeley County (South Carolina) Sheriff’s Offices, and the Summerville, South Carolina Police Department for their assistance in the investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorneys Judson T. Mihok and Menaka Kalaskar, who prosecuted the case.

 

Baltimore, Maryland – A federal grand jury has indicted five men on charges of conspiracy to possess, conceal and sell stolen firearms; conspiracy to commit a commercial robbery; and using, carrying and brandishing a firearm during and in relation to crime of violence, in connection with the armed robbery of a federally licensed firearms dealer. The indictment was returned on March 8, 2016.

 

The indictment charges the following defendants, who are all from Baltimore:

 

David Wise, a/k/a Rambo and Rampage, age 22; Raymond McCullough, a/k/a Troop, age 33; Reginald Smith, a/k/a Young Loc and Loc, age 24; Tavon Hawkins, a/k/a G and Tay, age 34; and
Lerron Sheppard, a/k/a D-Loc, age 23.

 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - 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.

 

“Keeping illegal firearms from hitting the streets of Baltimore is ATF’s number one priority,” said ATF Special Agent in Charge Daniel L. Board. The men and women of the ATF Baltimore Field Division will relentlessly pursue any criminals who attempt to acquire or distribute stolen weapons and we will utilize all of our resources to ensure that they are held accountable for their violent and dangerous actions.”

 

According to the seven-count indictment, from August 2016 through September 2016, the defendants conspired to rob a bait, tackle and gun store in Dundalk, Maryland, that was a federally licensed firearms dealer. As part of the conspiracy, the defendants planned to use firearms and a stolen vehicle to commit the robbery. The indictment alleges that on August 5, 2016, the defendants, brandishing firearms, robbed the store, stealing 36 firearms, including three assault rifles and silencers, cash, a computer and monitor, credit cards and a cellular phone. The defendants fled in the vehicle they had stolen to use during the robbery to an apartment in Baltimore, where they divided the cash and firearms among themselves. The indictment alleges that from time of the robbery until March 8, 2017, the defendants possessed, concealed, stored, sold and otherwise disposed of the stolen firearms.

 

Each of the defendants faces a maximum sentence of 10 years in prison for the firearms conspiracy; 20 years in prison for the commercial robbery conspiracy; 20 years in prison for the commercial robbery; and a mandatory minimum of seven years and a maximum of life in prison for using and brandishing a firearm during a crime of violence. Wise, McCullough and Smith also face 10 years in prison for being a felon in possession of a firearm.

 

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 Rod J. Rosenstein commended the ATF, FBI and Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney David Metcalf, who is prosecuting the case.

Greenbelt, Maryland – A federal grand jury has indicted former Maryland State Delegate Michael Lynn Vaughn, age 59, of Bowie, Maryland, for a bribery conspiracy in connection with a scheme in which he allegedly accepted bribes in exchange for influencing the performance of his official duties, as well as for stealing campaign funds. The indictment was returned on March 6, 2017, and unsealed late on March 7, 2017. Vaughn’s initial appearance is scheduled today at 1:00 p.m. before U.S. Magistrate Judge William B. Connelly in U.S. District Court in Greenbelt, Maryland.

 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Acting Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department.

 

According to the eight count indictment, Vaughn was a Maryland State Delegate from January 2003 until January 2017, representing District 24, which covered portions of Prince George’s County, Maryland, and was the Deputy Majority Whip and a member of the Economic Matters Committee.

 

The indictment alleges that from January 2015 through April 2016, Vaughn conspired with former Prince George’s County Liquor Board member and later, Chief Liquor Inspector, David Dae Sok Son, liquor store owners Young Jung Paig, Shin Ja Lee, and others in order to enrich himself personally, in exchange for Vaughn performing and agreeing to perform favorable official action.

 

Specifically, the indictment alleges that Vaughn took over $10,000 in cash bribe payments from Paig, Lee, and others, in exchange for influencing and voting for the Sunday Sales Bill, which established up to 100 Sunday liquor sales permits in Prince George’s County for holders of Class A licenses and Class B licenses with an off-sale privilege; and the Additional Sunday Permits Bill, which raised the limit of Sunday liquor sales permits in Prince George’s County from 100 to 105, and authorized the additional five permits “only to holders of a Class B beer, wine, and liquor license with an off-sale privilege that acquired the license on or after January 1, 2016.” Vaughn voted in favor of the bills, which benefitted Paig and Lee’s liquor stores, in the Economic Matters Committee, and in the Maryland House of Delegates.

 

Further, the indictment alleges that from 2012 through 2016, Vaughn diverted money donated to his campaign finance committee, Friends of Michael Vaughn (FOMV), for his personal use. A candidate, such as Vaughn, is prohibited from personally making disbursements from a political committee established to promote his candidacy. According to the indictment, Vaughn withdrew campaign funds from the FOMV account to use for personal expenses, including electronically transferring money from the FOMV campaign account directly to Vaughn’s personal bank account, making payments to his personal American Express credit card account, and making payments of his personal income tax to the Internal Revenue Service. In addition, Vaughn allegedly received campaign contributions, deposited them into the FOMV account, and then converted them to his personal use without identifying the contributions on campaign finance reports made to the Maryland State Board of Elections. For example, from June 10, 2015, through November 10, 2015, at least 25 checks totaling approximately $11,175, were deposited into the FOMV account but not reported on the FOMV campaign finance report. As with the other amounts deposited into the FOMV account, the funds from these checks were then withdrawn by Vaughn and converted for his personal use. The indictment alleges that Vaughn caused the filing of fraudulent campaign finance reports with the Maryland State Board of Elections in order to conceal the scheme from FOMV and the FOMV campaign contributors. For example, as of January 14, 2015, the campaign finance report filed with the Maryland State Board of Elections showed a balance in the FOMV account of $64,462.44. The indictment alleges that the expenditures identified in the report did not include substantial cash withdrawals made by Vaughn, and that the account actual balance on that date, according to bank statements, was only $1,654.36.

 

If convicted, Vaughn faces a maximum sentence of five years in prison for the conspiracy; a maximum of 10 years in prison for each of four counts of bribery; and a maximum of 20 years in prison for each of three counts of wire fraud.

 

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 Rod J. Rosenstein commended the FBI, IRS-CI, and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Thomas P. Windom, Menaka S. Kalaskar, and Arun G. Rao, who are prosecuting the case.

Baltimore, Maryland – A federal grand jury has returned an indictment charging eleven alleged members of a drug trafficking organization (DTO), with conspiracy to distribute and possess with the intent to distribute heroin, cocaine and crack cocaine. The indictment was returned on March 7, 2017.

 

The indictment charges the following defendants:

 

Terrell Allen, a/k/a Fat Relly and Chino, age 43, of Baltimore; Lawrence Trogdon, a/k/a Bucky, age 34, of Dundalk, Maryland;

Laroy Weaver, a/k/a Jones and Rell, age 34, of Baltimore;

Brandon Brown, a/k/a Ball, age 27, of Baltimore; Delanie McCloud, a/k/a D-money, age 31, of Baltimore; Deangelo Rouzer, a/k/a Wacky, age 35, of Gwynn Oak, Maryland;

Trey Allen, age 24, of Baltimore;

Valleria Rice, a/k/a Muk, age 26, of Baltimore;

Michael Grant, age 37, of Baltimore;

Dantre Hill, age 21, of Baltimore; and

Mavrreck Boone, a/k/a Rocie, age 24, of Baltimore.

 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; and Commissioner Kevin Davis of the Baltimore Police Department.

 

“Drug-dealing organizations are responsible for most of the murders and shootings in Baltimore,” said U.S. Attorney Rod J. Rosenstein.

 

“There is no room in Baltimore for individuals who have no regard for the safety of our communities and who disrupt the lives of law-abiding citizens. This case and its thousands of hours of investigative work represents the second phase of multiple planned enforcement efforts targeting the individuals and organizations that foment the violence that continues to plague our city,” said Danny Board, ATF Baltimore Field Division Special Agent in Charge.

 

According to the indictment and the previously filed criminal complaint, from June 2016 through February 22, 2017, the Allen DTO allegedly sold heroin, cocaine and crack cocaine from open-air drug shops in Baltimore City, including in the Latrobe Homes housing complex. According to the affidavit, an ongoing feud between the Allen DTO and a rival drug organization resulted in one of the defendants being shot.

 

As noted, the defendants were previously charged by a federal criminal complaint. Six of the defendants were arrested on February 22, 2017, two were already in custody on state charges, and one was arrested since then. In addition to the arrests on February 22, 2017, search warrants were executed at six locations believed to be connected to the conspiracy, including the residences of several of the alleged conspirators. Two defendants remain at large.

 

If convicted, the defendants each face a maximum sentence of 40 years in prison. Seven of the defendants have had their initial appearances and five have been detained pending trial. Two of the defendants have been released under the supervision of U.S. Pretrial Services. No court appearance has been scheduled yet on the indictment.

 

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 Rod J. Rosenstein commended the ATF and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Clinton J. Fuchs and David Metcalf, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced former Howard County youth gymnastics coach Paul Daniel Bollinger, age 57, of Windsor Mill, Maryland, on March 3, 2017, to six years in prison, followed by twelve years of supervised release, for distribution of child pornography. Bollinger worked as a youth gymnastics coach in Maryland for over 30 years prior to his arrest in this case.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; 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; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Baltimore County State’s Attorney Scott Shellenberger

 

According to his plea agreement, on May 15, 2016, Bollinger distributed computer files containing videos of child pornography using a file sharing program. An undercover Baltimore County Police detective downloaded at least 10 movie files containing child pornography that Bollinger distributed.

 

On May 25, 2016, investigators executed a state search warrant at Bollinger’s residence. During the search, investigators found a desktop computer powered on and running peer-to-peer file sharing software, and numerous files with titles indicative of child pornography were being shared and downloaded through use of the software. The wallpaper image on the computer monitor depicted a naked female child lying on her stomach. Law enforcement seized the desktop computer, hard drives and other digital media which contained over 40,000 image files and over 100 video files of child pornography. Next to Bollinger’s bed, detectives found over 100 pages of handwritten stories about an adult male having sex with young children.

 

According to his plea agreement, Bollinger was present during the execution of the search warrant and spoke with law enforcement. He characterized his involvement with child pornography as an obsession and stated that he had been viewing child pornography since approximately 1990. Bollinger advised that he prefers female children aged 8 to 12 years, the same age group of girls that he currently coached, but denied any inappropriate contact with children. Bollinger stated that he had sexual thoughts about a girl he coached in gymnastics and that he was attracted to the “body type” of many of the girls he coached.

 

Bollinger remains detained.

 

The 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 Rod J. Rosenstein commended the FBI, Baltimore County Police Department, HSI Baltimore, and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Matthew J. Maddox, who prosecuted the federal case.

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Elma Myles, age 52, on March 2, 2017, to four years in prison, in connection with her role in a health care fraud scheme, aggravated identity theft, and conspiracy to defraud the United States for failing to file income tax returns. Judge Garbis also ordered Myles to pay restitution of $1,207,585.38 to Medicaid.

 

The sentencing was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; Acting Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office and Chief Terrence B. Sheridan of the Baltimore County Police Department.

 

According to Myles’ plea agreement, she worked as a biller at RX Resources and Solutions (RXRS), a durable medical equipment located in Randallstown, Maryland. Myles conspired with Harry Crawford, the owner of RXRS, and others causing RXRS to bill for adult incontinent supplies (diapers) that were never provided, overcharge for supplies actually delivered, and bill for supplies that were unneeded and had not been prescribed by a physician.

 

At her plea hearing, Myles admitted that she worked closely with Crawford and both were the managers/supervisors of all business activities at RXRS. Myles and Crawford lived together and were once domestic partners. Myles used the personal identity information of clients to submit fraudulent claims to Medicaid and other health care benefits programs for incontinent supplies that were not delivered to the beneficiary and delivered medical supplies to beneficiaries who did not need the supplies and whose physicians had not prescribed the supplies, even after the beneficiaries reported that they did not want or need the supplies.

On February 4, 2014, federal agents executed a search warrant at RXRS and Myles and Crawford’s home. Agents recovered almost $60,000 in cash from a clothes bin beside the bed in Crawford’s room. In addition, Myles had made a makeshift closet containing tens of thousands of dollars’ worth of clothing and designer shoes, including apparel for her then three-year-old granddaughter who competed in beauty pageants. Evidence offered at the sentencing reflected expenditures of more than $167,000 at luxury retailers to include Gucci, Michael Kors and Nieman Marcus. Agents also recovered boxes of patient files from the house.

 

An analysis of RXRS billing of Medicaid from 2007 through 2014 establishes that the loss to Medicaid just for incontinent supplies billed but not provided is approximately $1.2 million. A review of bank records shows that Myles and Crawford used the proceeds of the fraud directly for the accounts of RXRS, using a significant portion of the proceeds for their personal benefit, including clothing, personal cars, mortgage payments, payments to Myles’ daughter and to a business entity set up for the benefit of Myles’ daughter, to a private school for their granddaughter, personal travel, restaurants, and hosting social events.

 

The IRS determined that Myles owes $40,194.36 in federal taxes and $13,000 for state taxes for tax years 2010 through 2013 as a result of the conspiracy to defraud the United States by not reporting or paying taxes on the proceeds of the fraud. Judge Garbis ordered Myles to pay restitution in those amounts.

 

Harry Crawford, age 56, of Baltimore, Maryland, pleaded guilty to collection of a debt by extortionate means from victim David Wutoh; to health care fraud conspiracy; and to conspiracy to defraud the United States. Judge Garbis scheduled sentencing for Crawford on March 28, 2016, at 11:30 a.m. Crawford is released under the supervision of U.S. Pretrial Services.

 

Co-defendant Matthew Hightower, age 34, also of Baltimore, was convicted of extortion and the murder of David Wutoh on September 22, 2016, after a seven-day trial and sentenced to 380 months in prison. Health care fraud charges remain pending and a trial date has not been set.

 

United States Attorney Rod J. Rosenstein commended the HHS-OIG, IRS-CI, and Baltimore County Police Department for their work in the investigation, and thanked the Maryland Attorney General’s Office Medicaid Fraud Control Unit for its assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Aaron S.J. Zelinsky, Judson T. Mihok and Sandra Wilkinson, who are prosecuting the case.

“Criminals Who Work in Police Agencies Unfairly Tarnish Honorable Officers”

 

Baltimore, Maryland – Federal agents arrested seven Baltimore City Police Department (BPD) officers today for a racketeering conspiracy and racketeering offenses, including robbery, extortion, and overtime fraud. The indictment was returned on February 23, 2017, and unsealed today following the execution of arrest and search warrants. One of the officers also was charged in a separate drug conspiracy indictment, also unsealed today.

 

The indictments were announced by Maryland U.S. Attorney Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Commissioner Kevin Davis of the Baltimore Police Department.

 

“This is not about aggressive policing, it is about a criminal conspiracy,” said U.S. Attorney Rod J. Rosenstein. “Prosecuting criminals who work in police agencies is essential both to protect victims and to support the many honorable officers whose reputations they unfairly tarnish.”

 

“As evidenced by these indictments the FBI will continue to make rooting out corruption at all levels one of its top criminal priorities,” said Special Agent in Charge Gordon B. Johnson, FBI Baltimore Field Office. “Coupled with strong leadership by Commissioner Davis and his department, this investigation has dismantled a group of police officers who were besmirching the good name of the Baltimore City Police Department.”

 

“The police officers charged today with crimes that erode trust with our community have disgraced the Baltimore Police Department and our profession," said Baltimore Police Commissioner Kevin Davis. "We will not shy away from accountability, as our community and the men and women who serve our City every day with pride and integrity deserve nothing less. Our investigative partnership with the FBI will continue as we strive to improve. Reform isn't always a pretty thing to watch unfold, but it's necessary in our journey toward a police department our City deserves."

 

 

DEFENDANTS

 

The officers charged in the racketeering indictment are:

Detective Momodu Bondeva Kenton Gondo, a/k/a GMoney and Mike, age 34, of
Owings Mills, Maryland; Detective Evodio Calles Hendrix, age 32, of Randallstown, Maryland; Detective Daniel Thomas Hersl, age 47, of Joppa, Maryland; Sergeant Wayne Earl Jenkins, age 36, of Middle River, Maryland; Detective Jemell Lamar Rayam, age 36, of Owings Mills; Detective Marcus Roosevelt Taylor, age 30, of Glen Burnie; and
Detective Maurice Kilpatrick Ward, age 36, of Middle River.

 

A separate indictment alleges that Detective Gondo joined a drug-dealing conspiracy. In addition to Gondo, the other indictment charges:                          Antonio Shropshire, a/k/a Brill, B, and Tony, age 31, of Baltimore;                          Omari Thomas, a/k/a Lil’ Bril, Lil B, and Chewy, age 25, of Middle River;                          Antoine Washington, a/k/a Twan, age 27, of Baltimore;                          Alexander Campbell, a/k/a Munch, age 28, of Baltimore; and
                         Glen Kyle Wells, a/k/a Lou, and Kyle, age 31, of Baltimore.

 

RACKETEERING INDICTMENT

 

The racketeering indictment alleges that the police officers stole money, property and narcotics from victims, some of whom had not committed crimes; swore out false affidavits; submitted false official incident reports; and engaged in large-scale time and attendance fraud.

 

Count One, racketeering conspiracy, alleges robbery and extortion violations committed by the defendants in 2015 and 2016 when they were officers in the police department’s Gun Trace Task Force, a specialized unit created to investigate firearms crimes.

 

Count Two, a substantive racketeering charge, alleges those crimes as well as several incidents of robbery and extortion committed by five of the seven defendants beginning in 2015, before they joined the task force. Four of the defendants previously worked together in another police unit; a fifth defendant was working in a separate unit during the earlier incidents.

 

In some cases, there was no evidence of criminal conduct by the victims; the officers stole money that had been earned lawfully. In other instances, narcotics and firearms were recovered from arrestees. In several instances, the defendants did not file any police reports. The amounts stolen ranged from $200 to $200,000.

 

According to the indictment, the defendants schemed to steal money, property, and narcotics by detaining victims, entering residences, conducting traffic stops, and swearing out false search warrant affidavits. In addition, the defendants allegedly prepared and submitted false official incident and arrest reports, reports of property seized from arrestees, and charging documents. The false reports concealed the fact that the officers had stolen money, property and narcotics from individuals.

 

The indictment alleges that the defendants obstructed law enforcement by alerting each other about potential investigations of their criminal conduct, coaching one another to give false testimony to investigators from the Internal Investigations Division of the BPD, and turning off their body cameras to avoid recording encounters with civilians. Finally, the indictment alleges that the defendants defrauded the BPD and the State of Maryland by submitting false time and attendance records in order to obtain salary and overtime payments for times when the defendants did not work.

 

For example, according to the indictment, on July 8, 2016, Rayam submitted an affidavit for a search warrant which falsely stated that he, Jenkins and Gondo had conducted a full day of surveillance at the residence of two victims. Later that day, Rayam, Gondo and Hersl conducted a traffic stop of the victims during which Rayam allegedly stole $3,400 in cash. Rayam, Gondo and Hersl then transported the victims to a BPD off-site facility. In a telephone call, Jenkins told Gondo that he would meet them at the facility and that they should introduce Jenkins as the U.S. Attorney. When Jenkins arrived, he told one of the victims that he was a federal officer. Jenkins and Rayam asked the victim if he had any money in his residence, and the victim said he had $70,000 in cash. Jenkins, Rayam, Gondo and Hersl then transported the victims back to their home. In the master bedroom closet, the officers located two heat sealed bundles – one containing $50,000 and the other containing $20,000 in $100 bills. Jenkins, Rayam, Gondo and Hersl stole the $20,000 bundle. Gondo and Rayam later argued about how to divide the stolen money. On July 11, 2016, Gondo deposited $8,000 in cash into his checking account.

 

Three days after the robbery, on July 11, 2016, Jenkins went on vacation with his family in Myrtle Beach, South Carolina, staying until July 16, 2016. The indictment alleges that Jenkins falsely claimed he worked overtime on five of the six days he was on vacation. That same week, Gondo called Rayam and said that working for the BPD was “easy money” and that “one hour can be eight hours,” referring to working for one hour and then claiming eight hours on official time and attendance records.

 

In another episode alleged in the Indictment, on September 7, 2016, Rayam described to Gondo how he had told Jenkins that he only “taxed” a detainee a “little bit,” referring to stealing some but not all of the detainee’s drug proceeds. Rayam said that they had not arrested the victim, so he “won’t say nothing.” Rayam told Gondo that he had to give Wayne Jenkins $100 of the money stolen from the victim. The victim was not charged.

 

DRUG INDICTMENT

 

In a separate seven-count indictment, Gondo, Shropshire, Thomas, Washington, Campbell and Wells are charged with conspiracy to distribute and possess with intent to distribute heroin as part of the Shropshire drug trafficking organization (DTO). Washington is charged with possession with intent to distribute and distribution of heroin resulting in death; Shropshire, Gondo, and Campbell are charged with possession with intent to distribute heroin; and Shropshire is also charged with possession with intent to distribute heroin and cocaine. According to the indictment, the conspirators primarily distributed heroin near the Alameda Shopping Center in Baltimore.

 

In one telephone call, Detective Gondo allegedly said, “I sell drugs.” In addition to selling heroin, Gondo provided sensitive law enforcement information to other conspirators in order to help the DTO and protect his co-conspirators. For example, Gondo helped Shropshire get rid of a GPS tracking device that had been placed on his vehicle by DEA. Gondo also advised Wells about law enforcement operations in order to protect Wells from being arrested.

 

CONCLUSION

 

Anyone who believes they may have information about these cases is urged to call 1-800-CALL FBI (1-800-225-5324).

 

The seven defendants charged in the racketeering conspiracy each face a maximum sentence of 20 years in prison for the conspiracy and for racketeering. The defendants are expected to have an initial appearance in U.S. District Court in Baltimore later today.

 

Shropshire, Washington, and Campbell each face a mandatory minimum of 10 years and up to life in prison for conspiracy to distribute at least one kilogram of heroin. Gondo, Wells and Thomas each face a mandatory five years and up to 40 years in prison for conspiracy to distribute at least 100 grams of heroin. Washington faces a maximum penalty of 20 years in prison for distribution of heroin resulting in death. Shropshire, Gondo, and Campbell also face a maximum penalty of 20 years in prison for possession with intent to distribute heroin and cocaine.

 

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 Rod J. Rosenstein commended the FBI and Baltimore Police Department for their work in both investigations, and the DEA for its work in the drug investigation. U.S. Attorney Rosenstein also recognized the Baltimore County Police Department and Harford County Sheriff’s Office for their assistance in the racketeering case. Mr. Rosenstein thanked Assistant U.S. Attorneys Leo J. Wise and Derek E. Hines, who are prosecuting these Organized Crime Drug Enforcement Task Force cases.

Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Michael Gerard Camphor, age 60, of Baltimore, to 27 months in prison, followed by three years of supervised release on charges arising from the fraudulent purchase of four properties in Baltimore, using fraudulent loan documentation and straw purchasers, resulting in losses of over $735,000. At the sentencing on February 28, 2016, Judge Bredar also ordered Camphor to pay restitution of $735,363.47 and to forfeit $962,274.95.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Bertrand Nelson of the U.S. Department of Housing and Urban Development Office of Inspector General; and Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office.

 

According to Camphor’s plea agreement and other court documents, since 2002, co-conspirator Andreas Tamaris purchased, renovated, and then resold distressed row houses in Baltimore City, primarily in the Highlandtown neighborhood. Camphor had worked as a real estate agent for a company and also operated a real estate consulting business called Ron Gerard LLC, a/k/a Ron Gerard & Associates.

 

From approximately February 2008 to July 2009, Camphor and his co-conspirators, including Cecil Chester, found buyers for Tamaris’ properties and for other property owners. They sought potential buyers who were inexperienced with residential real estate transactions. Camphor and his co-conspirators advised these “straw purchasers,” who lacked the funds needed to pay the down payment and closing costs, that they didn’t need to contribute these funds to buy the properties. Because the straw purchasers also lacked the earnings to keep up the mortgage payments, the conspirators typically promised that they would place tenants in the properties whose rent payments would cover the monthly mortgage payments after the transactions closed. The conspirators promised to collect the rent and make the mortgage payments.

 

The government contended at sentencing that Camphor and his co-conspirators set the purchase price for the properties to exceed their actual fair market value, thereby generating excess proceeds from the transactions from which they could profit. The conspirators provided false information about the straw purchasers’ employment, income and financial assets to the mortgage loan brokers to enable the straw purchasers to qualify for home mortgage loans. The conspirators falsely indicated to the mortgage loan brokers that the straw purchasers each intended to use the property as their primary residence following the purchase. Tamaris and other individuals supplied the funds needed for the down payment and closing costs on each of the transactions, and were in turn reimbursed from the loan proceeds at settlement.

 

One of the conspirators brought the straw purchaser to the closing and then caused the straw purchaser to falsely sign certifications in the closing documents affirming that the property was to be used as the primary residence, and that no portion of the down payment and closing costs were borrowed. Following the settlement on each transaction in which they participated, Camphor and his co-conspirators received substantial payments drawn from the proceeds of the loan. Few, if any, payments were made towards the mortgages.

 

Camphor was integrally involved in the fraud scheme by which four of the properties handled by the conspirators were sold and financed: 126 S. Curley Street; 1720 W. Pratt Street; 322 S. Robinson Street; and 8020 Gough Street, all located in Baltimore. All four properties went into foreclosure, resulting in a loss of at least $735,000.

 

Camphor has agreed to forfeit property retained or obtained as a result of the fraudulent conspiracy, including 1619 W. Baltimore Street; 2040 Linden Avenue, Unit A, and 1610 N. Smallwood Street, all located in Baltimore.

 

Cecil Sylvester Chester, age 70, of Mitchellville, Maryland previously pleaded guilty to the same charges and was sentenced to two years in prison and was ordered to pay restitution of at least $1.483 million.

 

In related proceedings, Andreas E. Tamaris, age 46, of Bel Air, Maryland, Christopher A. Kwegan, age 59, of Randallstown, Maryland, and Alexander Sivels, II, age 32, of Baltimore, previously pleaded guilty to their roles in this, or related mortgage fraud schemes. Tamaris was sentenced to 15 months in prison and was ordered to pay $1,229,206.28 in restitution. Sivels and Kwegan were each sentenced to 27 months in prison. Judge Bredar ordered Sivels to pay restitution of $1,317,314.35, and ordered Kwegan to pay restitution of $530,641.27.

 

The Maryland Mortgage Fraud Task Force was established to unify the agencies that regulate and investigate mortgage fraud and promote the early detection, identification, prevention and prosecution of mortgage fraud schemes. This case, as well as other cases brought by members of the Task Force, demonstrates the commitment of law enforcement agencies to protect consumers from fraud and promote the integrity of the credit markets. Information about mortgage fraud prosecutions is available at http://www.justice.gov/usao-md/financial-fraud-and-identity-theft.

Today’s announcement is part of the efforts undertaken in connection with the Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. For more information on the task force, please visit www.StopFraud.gov.

United States Attorney Rod J. Rosenstein commended the FBI, HUD OIG - Office of Investigations and the U.S. Secret Service for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Jefferson M. Gray, who prosecuted the case.

Baltimore, Maryland –U.S. District Judge James K. Bredar sentenced Jerome Harrod, age 36, of Baltimore, Maryland, on February 22, 2017, to 10 years in prison, followed by three years of supervised release, for possession of a stolen firearm.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore Police Commissioner Kevin Davis; and Baltimore City State’s Attorney Marilyn Mosby.

 

According to his guilty plea, on September 23, 2015, a Baltimore Police detective surveilling the 2900 block of Presbury Street in Baltimore, Maryland, saw Harrod walk up to the front porch of a home, pull a silver revolver from his waistband, and hold it in the air. The detective gave a description of Harrod to two Baltimore Police detectives, who traveled to the residence to investigate.

 

Harrod noticed the approach of the detectives, reached for the firearm in his waistband, and then hastily turned and ran inside the house. The detectives followed Harrod inside and through the home to the back of the kitchen. Harrod attempted to exit out of a back door, then turned and attempted to draw his firearm on the detectives. One of the detectives realize that Harrod was pulling out a silver gun and yelled “Gun!” The other detective then struck Harrod in the face to prevent him from pulling out the gun.

 

A search of Harrod recovered a .357 caliber revolver. Investigation revealed that the gun was stolen from its owner in Dekalb County, Georgia on January 23, 2012.

 

At the time of this arrest, Harrod was on pre-trial release for a separate firearm offense, and on parole for five separate convictions including drug trafficking and three previous armed robbery convictions.

 

United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney David Metcalf, who prosecuted the case.

Baltimore, Maryland –David Edward Weatherholtz, age 57, of Berlin, Maryland, pleaded guilty today to two counts of producing child pornography.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Worcester County Sheriff Reggie T. Mason, Sr.; Worcester County State’s Attorney Beau Oglesby; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

 

According to his plea agreement, from at least August 1990 through his arrest in 2015, Weatherholtz had sexual contact and/or sexual intercourse with at least four minors, including family members and a child whom he mentored and taught as owner of the theater business named “OC Jamboree” in Ocean City, Maryland.

 

On December 3, 2014, an undercover detective corporal with the Worcester County Sheriff’s Office responded to a sexually explicit ad placed on an internet website. Records obtained from the website identified Weatherholtz as the person who posted the advertisement and further indicated that the ad was one of many posted by Weatherholtz from 2009 to December 2014 for the purpose of meeting young males interested in sex.

 

Weatherholtz and the undercover detective exchanged emails and text messages, in which the detective identified himself as a thirteen-year-old deaf white male who lived with his aunt in Snow Hill. Weatherholtz sent the detective two video files by text messages. In the first video file Weatherholtz depicted himself greeting the purported thirteen-year-old deaf male, and in the second video file he pretended to be the 13-year-old deaf male greeting Weatherholtz.

 

Weatherholtz arranged to meet the purported 13-year-old male at a restaurant in Snow Hill on December 16, 2014, and indicated that he would bring the boy back to his residence. When Weatherholtz arrived at the meeting location, he was taken into custody. A search warrant was also executed at his home and law enforcement seized numerous computers, hard drives, and other media storage devices. Subsequent forensic analysis of those items recovered numerous still photographs and a video of Weatherholtz engaged in sexually explicit conduct with a minor male victim. The images and video indicate that the sexual abuse began when the victim was 12 years old and that Weatherholtz met the victim through his work as a musician, music teacher and owner of OC Jamboree.

 

At some point between January and August 2016, the commercial building formerly occupied by OC Jamboree was sold to a new owner. On August 17, 2016, an employee of the new owner found a box on the property that was address to “Aaron Weatherholtz” – the defendant’s dog – and that listed the sender as one of Weatherholtz’s relatives. Inside the box were photos of minor males engaged in sex acts; sheets of paper called “official progress charts” that depicted dated, hand-traced outlines of erect male penises; CDs and DVDs; and two VHS-compatible camcorder cassette tapes. A review of that material revealed three other minor male victims engaged in sexually explicit conduct, including video of Weatherholtz engaged in sexually explicit conduct with two minor family members.

 

Weatherholtz faces a minimum mandatory sentence of 15 years in prison and a maximum of 30 years in prison followed by up to lifetime of supervised release for each of the two counts of producing child pornography. According to his plea agreement, the government will recommend a sentence of 50 years in prison, followed by lifetime supervised release. U.S. District Judge Ellen L. Hollander scheduled sentencing for Weatherholtz on May 19, 2017, at 11:00 a.m. Weatherholtz has been detained since his arrest in December 2014.

The 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 Rod J. Rosenstein commended the HSI Baltimore, Maryland State Police, Worcester County Sheriff’s Office, Worcester County State’s Attorney’s Office and the Internet Crimes Against Children Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Ayn B. Ducao and Paul A. Riley, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Paul Randolph Beeks, Jr., age 59, of Mt. Airy, Maryland, on February 16, 2017, to 15 months in prison, followed by three years of supervised release, for wire fraud arising from a scheme to defraud one of his clients of at least $526,000. Judge Russell also entered an order requiring Beeks to pay a money judgment of $180,515, the amount of the loss that Beeks has not yet repaid.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.

 

According to his plea agreement, from January 2008 to the present, Beeks was the President of various Maryland tax and financial management companies including PRB Tax & Accounting Services, Inc. (hereafter “PRB”) and Elite Financial Services, LLC (hereafter “Elite Financial”). In 2008, at the request of the physician who owned and operated Mid Atlantic Radiology Services, LLC (MARS), Beeks incorporated MARS in Maryland, and was entrusted with all of MARS’ accounting, tax, and financial responsibilities. Beeks also conducted payroll on behalf of MARS, paid MARS’ vendors and paid malpractice insurance for MARS’ physicians. MARS was the exclusive radiology service provider to a hospital in Clinton, Maryland.

 

Starting in November 2009 and continuing to August 2015, Beeks, in his capacity as MARS’ accountant and financial planner, caused approximately 24 wire transfers from MARS accounts to bank accounts associated with Beeks’ various companies. In order to disguise the theft of funds, Beeks falsely claimed that some of these wire transfers were for management fees and bonuses. However, no management fees or bonuses were authorized by any MARS representative and the remaining wire transfers were not for legitimate purposes.

 

Today’s announcement is part of the efforts undertaken in connection with the Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.

 

United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Philip A. Selden, who is prosecuting the case.

 

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Ronald Francis Wosk, Jr., age 30, of Baltimore, Maryland, today to seven years in prison, followed by four years of supervised release, for conspiracy to distribute and possess with intent to distribute heroin and cocaine.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Anne Arundel County Police Chief Tim Altomare.

 

According to his plea agreement, from at least March 2014 through July 2014, Wosk and other members of the conspiracy obtained heroin and crack cocaine from Alex Valerio and other co-conspirators in Maryland and re-distributed them to others. During the conspiracy, investigators intercepted phone calls between Wosk and Valerio discussing purchases of heroin, and saw Wosk and Valerio meet multiple times.

 

Ten other co-conspirators, including Alex Raymond Valerio, age 36, of Glen Burnie, Maryland, pleaded guilty to their roles in the conspiracy and were sentenced to between time served and 92 months in prison.

 

United States Attorney Rod J. Rosenstein commended the DEA and Anne Arundel County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kenneth S. Clark, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Derrick Rondell Battle, age 43, of Bladensburg, Maryland, today to 198 months in prison, followed by five years of supervised release, for armed commercial robbery, using and brandishing a firearm during a crime of violence and being a felon in possession of a firearm, related to three robberies he committed in September 2015.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department.

 

According to his plea agreement, Battle committed three armed robberies between September 21 and September 25, 2015. In each robbery Battle wore a mask and was armed with a black semi-automatic handgun, which he brandished at store employees.

 

Specifically, Battle robbed: a pharmacy in the 6400 block of Landover Road in Landover, Maryland on September 21, 2015; a discount store in the 6500 block of Annapolis Road in Landover Hills, Maryland on September 24, 201; and a gas station in the 5800 block of Annapolis Road in Cheverly, Maryland.

 

As Battle fled the gas station, a strong wind blew the stolen money out of the bag and Battle stopped to collect the money. Responding police officers saw Battle in a nearby ravine and he was apprehended after a brief chase. Police officers recovered cash from Battle and, within feet of where he was apprehended, the gun used in the robbery, additional cash, and the jacket Battle wore during the robbery.

 

The gun was a .45 caliber semi-automatic handgun loaded with six .45 caliber rounds of ammunition. Battle was prohibited from possessing a firearm or ammunition as a result of previous felony convictions. Of the approximately $1,600 stolen, a total of $1,200 was recovered.

 

United States Attorney Rod J. Rosenstein commended the FBI and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Menaka Kalaskar and Bryan E. Foreman, who prosecuted the case.

 

Greenbelt, Maryland – Joseph Axzavis Stewart, Sr. age 58, of Upper Marlboro, Maryland, pleaded guilty on February 14, 2017, to assault with a dangerous weapon, and to possession of a dangerous weapon with intent to injure.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief of Police Robert D. MacLean of the U.S. Park Police.

 

According to Stewart’s plea agreement, on July 31, 2016, at approximately 9:00 p.m., Stewart stabbed an individual who was seated in the passenger seat of a friend’s truck at a construction site near the Baltimore-Washington Parkway, where the friend worked. Stewart, who worked for the same construction company, previously had a brief romantic relationship with the individual’s friend. After other employees from the construction company intervened, Stewart fled the scene in a gray truck. The victim was transported to hospital, suffering from stab wounds to the arm and back. As a result of the stabbing, the victim underwent several surgeries, and lost feeling in the right arm. Law enforcement executed a search warrant and recovered the knife Stewart used to stab the victim from Stewart’s gray truck.

 

As part of his plea agreement, Stewart will be required to pay restitution in the full amount of the loss of the victim.

 

Stewart and the government have agreed that if the Court accepts the plea agreement Stewart will be sentenced between eight and 12 years in prison. U.S. District Judge Paul W. Grimm has scheduled sentencing for July 5, 2017 at 9:30 a.m.

 

United States Attorney Rod J. Rosenstein commended the U.S. Park Police for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Hollis R. Weisman and Thomas M. Sullivan, who are prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Victor Oyewumi Oloyede, age 42, of Laurel, Maryland today to 234 months in prison, followed by four years of supervised release, for conspiracies to commit wire fraud and money laundering, and for aggravated identity theft arising from a scheme to defraud vulnerable victims of millions of dollars. Judge Grimm also ordered Oloyede to forfeit and pay restitution of $1,641,959.74. Oloyede and three co-conspirators were convicted on November 18, 2016, after a 17-day trial.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation.

 

According to evidence presented at his trial, from January 2011 to May 18, 2015, members of the conspiracy searched online dating websites to initiate romantic relationships with vulnerable male and female individuals. They phoned, emailed, texted and used internet chat messenger services to form romantic relationships with the victims, who lived in Maryland and around the country.

 

Witnesses testified that members of the conspiracy used false stories and promises to convince the victims to provide money to the conspirators, including fake hospital bills, plane trips to visit the victims, problems with overseas businesses and foreign taxes. Oloyede and other conspirators opened bank accounts, called “drop accounts,” in order to receive millions of dollars from the victims. Testimony at trial showed that victims provided money to the defendants as a result of the false stories and promises, either depositing money directly into drop accounts controlled by the defendants, or by checks sent to the conspirators. The payments from victims ranged from $1,720 to $50,000. Oloyede and others used victims’ names, bank account numbers or driver’s licenses in furtherance of the fraud scheme.

 

Oloyede and his co-conspirators dispersed money received from the victims by transferring funds to other accounts controlled by the conspirators, by obtaining cashier’s checks, and by writing checks to individuals or entities, in order to conceal the nature, source, and control of those assets.

 

Gbenga Benson Ogundele, a/k/a “Benson Ogundele,” age 58, of Laurel, Maryland; Babatunde Emmanuel Popoola, a/k/a “Emmanuel Popoola” and “Tunde Popoola, age 34, of Bowie, Maryland; and his sister, Mojisola Tinuola Popoola, a/k/a “Mojisola Oluwakemi Tin Popoola” and “Moji T. Popoola,” age 42, of Laurel, were also convicted for their roles in the fraud scheme. Judge Grimm has scheduled sentencing for Babatunde Popoola on February 22, 2017; and for Mojisola Popoola and Ogundele on March 22, 2017.

 

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.

 

Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.

 

United States Attorney Rod J. Rosenstein commended the FBI for its work in the investigation and thanked Assistant U.S. Attorneys Thomas P. Windom and Leah Jo Bressack, who are prosecuting the case.

 

Baltimore, Maryland – Alan Kemp, age 38, of District Heights, Maryland, pleaded guilty today to armed bank robbery and to using a firearm in relation to a crime of violence. Kemp was employed as a civilian police officer by the Department of the Army at Fort Myer in Arlington, Virginia, at the time of the crime.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief Gary Gardner of the Howard County Police Department.

 

According to the information presented by the government at today’s plea hearing, on August 26, 2016, Kemp entered a bank in the 8400 block of Baltimore National Pike in Ellicott City wearing all black, a mask over his mouth, glasses over his eyes, black gloves, and a Baltimore Ravens hat, and was carrying a loaded black and tan handgun. Kemp pointed the gun at the teller and demanded money. The teller set the cash box on the counter and backed up, as Kemp had ordered. Kemp took the money and placed it in a black trash bag. Detectives were able to track Kemp to the intersection of Thunder Hill and Twin Knolls Roads, where they saw him walk out of the woods and get into a vehicle. Police stopped the vehicle and Kemp was arrested and searched. An empty brown leather holster was found on Kemp’s waistband. In the woods nearby police found a cooler which contained the black trash bag with the money in it. Subsequent investigation identified Kemp’s fingerprints inside the cooler. The gun was found in the trunk of Kemp’s car, unsecured. The gun was loaded with 12 rounds in the magazine and a round in the chamber.

 

Kemp faces a maximum sentence of 25 years in prison for armed bank robbery, and a mandatory minimum sentence of five years, consecutive to any other sentence, and up to life in prison for using a firearm in relation to a crime of violence. U.S. District Judge George L. Russell III has scheduled sentencing for May 12, 2017, at 2:00 p.m.

 

United States Attorney Rod J. Rosenstein commended the FBI and Howard County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Aaron S. J. Zelinsky, who is prosecuting the case.

Baltimore, Maryland –U.S. District Judge James K. Bredar sentenced Swain J. Clarke, age 30, of Owings Mills, Maryland, today to 20 years in prison, followed by three years of supervised release, for a series of commercial robberies.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; 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.

 

According to his guilty plea, from May 22, 2014 through September 30, 2014, Clarke robbed six businesses, and attempted two additional robberies, of grocery and convenience stores. In four of the robberies, Clarke brandished what appeared to be black a semi-automatic handgun, and in two robberies he threatened the store employee with a knife.

 

On July 23, 2014, Clarke robbed a convenience store in the 3000 block of Hammonds Ferry Road in Halethorpe, Maryland, brandishing a gun at the cashier and removing cash from two cash registers. On August 14 and September 9, 2014, Clarke attempted to rob the store again, however, the same cashier he had robbed on July 23rd was working on both those dates and Clarke left the store. On September 30, 2014, Clarke returned to a grocery store that he had previously robbed, and purchased a $10 money order from the customer service manager, who recognized Clarke as the person who robbed her on May 22, 2014. The money order was made out to “Swain Clarke.”

 

Clarke admitted that he wore a dreadlocks wig in several of the robberies. Clarke also wore distinctive clothing in a number of the robberies, including a “True Religion” baseball cap, a black and white plaid shirt, a blue button-down shirt with distinctive horizontal stripes, and a blue hooded sweatshirt with white strings and a logo on the left breast. Law enforcement recovered the wig and baseball cap during a search of Clarke’s apartment and obtained photographs from Clarke’s girlfriend’s phone showing Clarke wearing the striped button-down shirt and blue hooded sweatshirt in social settings.

 

On November 2, 2014, while he was being held at the Baltimore County Detention Center in connection with the robberies, Clarke called his girlfriend and asked her to deactivate his Facebook and Instagram accounts, which she did. As a result, law enforcement officers were unable to view photographs and other information posted on his social media accounts. The call was recorded by the Detention Center’s telephone system.

 

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney James G. Warwick, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Richard Byrd, a/k/a Robert Smith, age 43, a Jamaican national residing in Maryland and Arizona, today to 26 years in federal prison, followed by 10 years of supervised release, for conspiracy to distribute and possess with intent to distribute cocaine and marijuana, and to conspiracy to launder drug proceeds. Judge Bennett also entered an order requiring Byrd to pay a money judgment of $20 million dollars, as well as forfeit his interest in two properties, three businesses, and 10 vehicles, and forfeit $1,609,411.51 in cash seized during the investigation.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Chief Terrence B. Sheridan of the Baltimore County Police Department; Colonel Woodrow Jones, Chief of the Maryland Transportation Authority Police; Interim Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel Frank L. Milstead, Director of the Arizona Department of Public Safety; Chief Jeri Williams of the Phoenix, Arizona Police Department; and Chief Sean Duggan of the Chandler, Arizona Police Department.

 

“This case represents the very height of drug organizations operating out of Baltimore in recent history,” stated Assistant Special Agent in Charge of the Drug Enforcement Administration Don Hibbert. “The Byrd organization had it all; sources of supply, couriers, and lots and lots of money. But now all they have to show for it is a great deal of time behind bars to think about how they destroyed lives with the drugs they put on the street.”

 

“Richard Byrd’s actions were motivated by pure greed, as evidenced by the millions of dollars in narcotics proceeds he received while perpetuating his sophisticated narcotics trafficking and money laundering operation. IRS Criminal Investigation is committed to unraveling money laundering schemes such as this, where individuals attempt to conceal the true source of their money,” said Thomas J. Holloman, Interim Special Agent in Charge, IRS Criminal Investigation, Washington D.C. Field Office. “Today’s sentencing shows that IRS-CI, in conjunction with our law enforcement partners, will continue to bring cases like these to justice.”

 

According to his plea agreement and court documents, from 2009 through April 2014, Richard Byrd was the leader and organizer a drug distribution network which provided for the acquisition, transportation and distribution of cocaine and marijuana. The sale of marijuana and cocaine generated proceeds in the millions of dollars. These proceeds were counted and packaged in and around Baltimore. Byrd used couriers to transport the proceeds to the Atlanta, Georgia area, then others to transport the money from Atlanta to cities in Nevada, Texas, Arizona, and California, where the cash was used to purchase additional quantities of drugs.

 

Byrd also acquired a financial interest in a business in order to launder drug proceeds, finance commercial ventures, and pay other bills and expenses. At his direction, several million dollars in cash were deposited into the bank accounts maintained by the business. Many of these transactions involve deposits in excess of $10,000. In addition, Byrd used bank accounts in the name of an alias, Robert Smith, to conduct financial transactions intended to launder drug proceeds, including paying personal bills and expenses.

 

The conspirators used freight companies to ship drugs obtained in Arizona, California and elsewhere to distribution points in Baltimore, and other east coast destinations. Rasan Byrd supervised the Arizona-based activities of organization. Under the direction of Richard Byrd, Rasan coordinated the acquisition of large quantities of marijuana and cocaine from Mexican sources of supply and supervised several workers who weighed and packaged the drugs in a way to avoid detection by law enforcement. On April 22, 2013, law enforcement officers in Arizona seized 16 kilograms of cocaine and over 600 pounds of marijuana which were about to be shipped to Byrd’s Baltimore-based distributors.

 

The Baltimore distributors included Jerome Castle, Joseph Byrd, and Harold Byrd. Castle supervised the Baltimore operation, taking delivery of the drugs, selling them, and collecting and counting proceeds from the drug sales. On April 22, 2013, law enforcement officers in Maryland seized approximately 350 pounds of marijuana and over 10 kilograms of cocaine from businesses and residences utilized by Castle, Joseph Byrd, and Harold Byrd. In addition, almost $58,000 in currency and jewelry valued at more than $400,000 were recovered at the residence of Jerome Castle. The money and jewelry were also proceeds from illegal drug sales.

 

In addition, over $1 million was seized in Arizona from Richard Byrd in early 2011. In July 2012, an additional of $372,000 was seized from a residence in Arizona occupied by Richard and Rasan Byrd. These money seizures were proceeds from east coast drug sales intended for use in acquiring additional quantities of marijuana and cocaine.

 

During the course of this conspiracy more than 150 kilograms of cocaine and 20,000 kilograms of marijuana were acquired and distributed by Richard Byrd and his associates.

 

Brothers Rasan Byrd, age 41, of Houston, Texas, Harold Alexander Byrd, age 27, of Phoenix, Maryland, and Joseph Ibreham Byrd, age 35, of Owings Mills, Maryland, previously pleaded guilty to their roles in the conspiracy. Rasan was sentenced to 14 years in prison and Harold and Joseph were each sentenced to 10 years in prison.

 

Jerome Adolfo Castle, a/k/a Dontwon Burris, age 37, a Jamaican citizen residing in Pikesville, Maryland, previously pleaded guilty to his role in the conspiracy and was sentenced to 14 years in prison. Castle was also ordered to forfeit $57,997 in cash, his interest in seven Baltimore properties, jewelry valued at more than $411,000, 98 pairs of men’s shoes, two laptop computers and an I-Pad, seven firearms and ammunition, as well as six vehicles, including a 2009 Jaguar XF Premium.

 

Maurice Jones, age 62, and Richard Drummond, age 40, both of Baltimore, also pleaded guilty to their roles in the conspiracy and were sentenced to seven years in prison and two years in prison, respectively.

 

United States Attorney Rod J. Rosenstein commended the DEA, Baltimore County Police Department, the Maryland Transportation Authority Police, IRS-Criminal Investigation, HSI-Baltimore, Arizona Department of Public Safety, Phoenix Police Department, and Chandler, Arizona Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys James G. Warwick and Kenneth S. Clark, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

 

Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Raymond Idemudia Aigbekaen, age 29, of Amityville, New York, on February 7, 2017, to 15 years in prison, followed by five years of supervised release, for conspiracy to commit sex trafficking, sex trafficking of a minor and other charges related to the trafficking of a 16 year-old female for prostitution in Maryland, Virginia, and New York. Judge Bredar also ordered that upon his release from prison Aigbekaen will be required to register as a sex offender in the place 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 Rod J. Rosenstein; Special Agent in Charge Andre R. Watson 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, Baltimore Field Office; Harford County Sheriff Jeffrey R. Gahler and the Harford County Child Advocacy Center (HCCAC); and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

 

According to information presented at his nine-day trial, from late February through April 12, 2015, Aigbekaen and his co-defendant, Marcell Greene, trafficked a 16 year-old girl for prostitution. On April 12, 2015, the victim called 911 from a hotel in Bel Air, Maryland. Members of the Harford County Child Advocacy Center responded and the victim eventually advised that she had been taken to Virginia and Maryland from New York by two men, one named Marcell and another named “Raymond” who was Nigerian. The victim advised that commercial sex ads of her were posted on a webpage, and that she engaged in commercial sex acts with prostitution dates. Law enforcement was able to identify Aigbekaen as the person who rented the hotel room where victim was staying.

 

Items, such as tissues and used condoms, were recovered from the trash cans of the hotel room used by Aigbekaen, Greene and the victim on April 11-12, 2015. Some of these items were found to contain DNA evidence, including DNA evidence that matched the co-defendant, Greene. The evidence also determined that Aigbekaen was a potential contributor to stains on the victim’s underwear. Hotel records show that Aigbekaen also rented rooms on March 30, 2015 to April 1, 2015 and from April 2, 2015 to April 4, 2015. Hotel records also showed that Aigbekaen rented rooms at other hotels in Maryland and Fredericksburg, Virginia and Virginia Beach, Virginia.

 

Law enforcement were able to locate internet prostitution advertisements advertising the victim for prostitution using Aigbekaen’s email accounts. These advertisements were posted in the Long Island, New York, Maryland, and Virginia areas in February and March 2015. At least some of these advertisements listed Aigbekaen’s phone number. Photos of the victim that were used in the ads were also found on Aigbekaen’s computer. Finally, historical cell site records for Aigbekaen’s phones showed him travelling in Maryland and Virginia and puts him in vicinity of Maryland and Virginia hotels that were used when the victim was engaging in commercial sex acts.

 

Aigbekaen remains detained.

 

Marcell Greene, age 28, of Wyandanch, New York, previously pleaded guilty to conspiracy to commit sex trafficking and sex trafficking of a minor, and is scheduled to be sentenced on February 10, 2017. Greene remains detained.

 

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 Rod J. Rosenstein commended HSI-Baltimore, the Harford County Sheriff’s Office, Harford County Child Advocacy Center, Maryland State Police, FBI, for their work in the investigation and thanked U.S. Customs and Border Protection – New York for its assistance. The HCCAC is a task force comprised of the Harford County Sheriff’s Office, Maryland State Police – Bel Air Barrack, Aberdeen, Bel Air, and Havre de Grace Police Departments, Harford County State’s Attorney’s Office, Harford County Department of Social Services – Child Protective Services, and Family and Children’s Services of Central Maryland, which investigates allegations of child maltreatment while also providing services and resources for the abused child and his/her family. Mr. Rosenstein thanked Assistant U.S. Attorneys Ayn B. Ducao and Matthew J. Maddox, who prosecuted the case.

Baltimore, Maryland – Comprehensive Health Services, Inc. has agreed to pay the United States $3,818,881 to settle allegations under the False Claims Act that it submitted false claims to the United States by double-billing and mischarging for medical services in connection with work performed on an Internal Revenue Service (“IRS”) contract.

 

The settlement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein, and Acting Special Agent in Charge Paul Desautels of the Treasury Inspector General for Tax Administration’s Procurement Fraud Division.

 

“Businesses that knowingly overcharge the government should be held accountable and penalized,” said U.S. Attorney Rod J. Rosenstein. “Whistleblower lawsuits are a valuable tool to deter fraud and punish perpetrators.”

 

“The settlement strongly demonstrates TIGTA’s continued efforts to protect the integrity of the federal acquisition process, as well as IRS contracts and financial expenditures,” said Acting Special Agent in Charge Paul Desautels. “It serves as a reminder that all government contractors need to be good stewards of taxpayer money, and those who seek to defraud the Federal government through contracts will be prosecuted to the fullest extent.”

 

Comprehensive Health Services, Inc. (“CHSi”) is a Florida-based company that is one of the United States’ largest providers of workforce medical services. CHSi implements and manages for the United States government and commercial companies customized medical programs for large workforces that range from pre-placement, pre-deployment, and fitness-for-duty medical examinations to medical surveillance and health wellness programs. In February 2009, CHSi was awarded an IRS contract, under which it was required to provide medical services to IRS-Criminal Investigation special agent applicants and incumbent special agent personnel. Among other things, the IRS contract required CHSi to provide pre-placement medical examinations to evaluate special agent applicants’ medical qualifications. The pre-placement medical examinations included a range of tests, including resting electrocardiograms and vision tests, that were required to be billed as part of a bundled fee. The IRS contract also required that CHSi conduct certain medical tests to determine incumbent agents’ ability to participate in physical fitness programs and their fitness for duty. Such medical services included physical fitness examinations which were to be billed only if such examinations were medically necessary, and blood specimen collection, which was to be billed as part of a bundled fee.

 

The settlement agreement resolves allegations that from April 2009 through April 2014, CHSi knowingly double-charged the United States for vision screenings, resting electrocardiograms, and for the collection of blood specimens provided to IRS agents when those costs were already included in the bundled price for the IRS new applicant pre-placement exam. The civil settlement also disposes of the allegation that CHSi charged the United States for annual full physical exams for IRS agents despite the IRS specification that the exam was to be administered only if it was determined to have been medically indicated and no such determination occurred and the exams were never actually performed.

 

The civil settlement resolves a lawsuit filed by James J. Kerr, Jr. under the whistleblower provision of the False Claims Act in United States ex rel. James J. Kerr, Jr. v. Comprehensive Health Services, Inc., Civ. No. RDB-14-1769 (D.Md.). The Act permits private parties to file suit on behalf of the United States for false claims and obtain a portion of the United States’ recovery. As part of the civil resolution, Mr. Kerr will receive approximately $645,391. The claims resolved by this settlement are allegations; there has been no determination of liability and CHSi cooperated in the investigation.

 

United States Attorney Rod J. Rosenstein commended the Treasury Inspector General for Tax Administration for their work in the investigation and thanked Assistant U.S. Attorney Tarra DeShields who handled this case.

Baltimore, Maryland – A federal grand jury returned an indictment today charging Harold Thomas Martin III, age 52, of Glen Burnie, Maryland, with willful retention of national defense information.

 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Attorney General for National Security Mary McCord; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.

 

“The indictment alleges that for as long as two decades, Harold Martin flagrantly abused the trust placed in him by the government by stealing documents containing highly classified information, “said U.S. Attorney Rod J. Rosenstein.

 

“As a private contractor who worked on classified programs at various U.S. government agencies, the defendant was entrusted with access to sensitive government materials," said Acting Assistant Attorney General McCord. “Martin allegedly violated the trust our nation put in him by stealing and retaining classified documents and other material relating to the national defense. Insider threats are a significant danger to our national security and we will continue to work relentlessly with our law enforcement and intelligence partners to identify, pursue and prosecute such individuals.”

 

“The FBI investigation and this indictment reveal a broken trust from a security clearance holder,” said Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Division. “Willfully retaining highly classified national defense information in a vulnerable setting is a violation of the security policy and the law, which weakens our national security and cannot be tolerated. The FBI is vigilant against such abuses of trust, and will vigorously investigate cases whenever classified information is not maintained in accordance with the law.”

 

According to the indictment, from December 1993 through August 27, 2016, Martin was employed by at least seven different private companies and assigned as a contractor to work at a number of government agencies. Martin was required to receive and maintain a security clearance in order to work at each of the government agencies to which he was assigned. Martin held security clearances up to Top Secret and Sensitive Compartmented Information (SCI) at various times, and worked on a number of highly classified, specialized projects where he had access to government computer systems, programs, and information, including classified information. Over his many years of holding a security clearance, Martin received training regarding classified information and his duty to protect classified materials from unauthorized disclosure.

 

The indictment alleges that beginning no earlier than 1996 and continuing through August 27, 2016, Martin stole and retained U.S. government property, including documents that bore markings indicating that they were property of the United States and contained highly classified information of the United States, including TOP SECRET/SCI. A Top Secret classification means that unauthorized disclosure reasonably could be expected to cause exceptionally grave damage to the national security of the United States.

 

Martin allegedly retained stolen documents containing classified information relating to the national defense at his residence and in his vehicle. The indictment alleges that Martin knew that the stolen documents contained classified information that related to the national defense and that he was never authorized to retain these documents at his residence or in his vehicle.

 

If convicted, Martin faces a maximum sentence of 10 years in prison for each of 20 counts of willful retention of national defense information. Martin’s initial appearance is scheduled for 11:00 a.m. on Tuesday, February 14, 2017, before U.S. Magistrate Judge A. David Copperthite in U.S. District Court in Baltimore. Martin remains detained.

 

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

 

United States Attorney Rod J. Rosenstein and Acting Assistant Attorney General for National Security Mary McCord commended the FBI for its work in the investigation. Mr. Rosenstein and Ms. McCord thanked Assistant U.S. Attorneys Zachary A. Myers, Nicolas A. Mitchell, and Harvey E. Eisenberg, and Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section, who are prosecuting the case.

A federal grand jury returned an indictment today charging Harold Thomas Martin III, 52, of Glen Burnie, Maryland, with willful retention of national defense information.

The indictment was announced by Acting Assistant Attorney General for National Security Mary McCord, U.S. Attorney Rod J. Rosenstein for the District of Maryland and Special Agent in Charge Gordon B. Johnson of the FBI’s Baltimore Field Office.

“As a private contractor who worked on classified programs at various U.S. government agencies, the defendant was entrusted with access to sensitive government materials," said Acting Assistant Attorney General McCord. “Martin allegedly violated the trust our nation put in him by stealing and retaining classified documents and other material relating to the national defense. Insider threats are a significant danger to our national security and we will continue to work relentlessly with our law enforcement and intelligence partners to identify, pursue and prosecute such individuals.”

“The indictment alleges that for as long as two decades, Harold Martin flagrantly abused the trust placed in him by the government by stealing documents containing highly classified information,” said U.S. Attorney Rosenstein.

"The FBI investigation and this indictment reveal a broken trust from a security clearance holder," said Special Agent Johnson. "Willfully retaining highly classified national defense information in a vulnerable setting is a violation of the security policy and the law, which weakens our national security and cannot be tolerated. The FBI is vigilant against such abuses of trust, and will vigorously investigate cases whenever classified information is not maintained in accordance with the law."

According to the indictment, from December 1993 through Aug. 27, 2016, Martin was employed by at least seven different private companies and assigned as a contractor to work at a number of government agencies. Martin was required to receive and maintain a security clearance in order to work at each of the government agencies to which he was assigned. Martin held security clearances up to Top Secret and Sensitive Compartmented Information (SCI) at various times, and worked on a number of highly classified, specialized projects where he had access to government computer systems, programs and information, including classified information. Over his many years of holding a security clearance, Martin received training regarding classified information and his duty to protect classified materials from unauthorized disclosure.

The indictment alleges that beginning no earlier than 1996 and continuing through Aug. 27, 2016, Martin stole and retained U.S. government property, including documents that bore markings indicating that they were property of the U.S. and contained highly classified information, including TOP SECRET/SCI. A Top Secret classification means that unauthorized disclosure reasonably could be expected to cause exceptionally grave damage to the national security of the U.S.

Martin allegedly retained stolen documents containing classified information relating to the national defense at his residence and in his vehicle. Martin knew that the stolen documents contained classified information that related to national defense and that he was never authorized to retain these documents at his residence or in his vehicle.

If convicted, Martin faces a maximum sentence of 10 years in prison for each of the 20 counts of willful retention of national defense information. Martin’s initial appearance is scheduled for 11:00 a.m. on Tuesday, February 14, before U.S. Magistrate Judge A. David Copperthite in U.S. District Court in Baltimore. Martin remains detained.

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

Acting Assistant Attorney General for National Security McCord and U.S. Attorney Rosenstein commended the FBI for its work in the investigation and thanked the Maryland State Police for its assistance. Ms. McCord and Mr. Rosenstein thanked Assistant U.S. Attorneys Zachary A. Myers, Nicolas A. Mitchell and Harvey E. Eisenberg for the District of Maryland and Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section, who are prosecuting the case.

Martin Harold Indictment

Baltimore, Maryland – Kendra Westmoreland, age 54, of Randallstown, Maryland, pleaded guilty today to receiving and delivering an adulterated or misbranded device, in connection with her receipt and use of polydimethylsiloxane, which she misrepresented to customers as medical grade silicone.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Mark McCormack of the U.S. Food & Drug Administration, Office of Criminal Investigations’ Metro Washington Field Office; and Chief Terrence B. Sheridan of the Baltimore County Police Department.

 

According to her plea agreement, from October 2000 through October 4, 2015, Westmoreland received polydimethylsiloxane, a silicon-based organic polymer that she injected directly into the bodies of victim customers for money or some other payment. Westmoreland intentionally defrauded and misled individuals by representing polydimethylsiloxane as “medical grade” silicone and approved for injecting directly into the human body. Westmoreland also indicated that she was medically licensed to perform the procedure. In fact, Westmoreland was never a licensed medical practitioner and silicone is not approved by the FDA for this purpose.

 

As a result of her representations, victim customers came to her residence, or to hotel rooms, to have polydimethylsiloxane injected directly into their buttocks and other places on their bodies, for larger and fuller buttocks or to shape other areas of their bodies. Westmoreland also traveled to other locations for the same purpose. Westmoreland typically charged customers $250 to $500 per session, and estimated that she had injected thousands of customers, who she claimed found her through word of mouth, or through her business website. On October 4, 2015, a search warrant was executed at Westmoreland’s residence. A room of her home was set up to resemble an operating room, including medical equipment and collages of photographs of individuals exposing their buttocks, representing a sampling of those who Westmoreland had injected with silicone. A forensic search of Westmoreland’s cellular phone revealed 126 individuals listed in her contacts as clients. A financial audit of Westmoreland’s finances for the period from December 2011 to October 2015 revealed cash deposits of $227,994.01, and additional deposits of $48,801.06, for a total of $276,795.07. The audit indicated no tax payments and no tax returns filed during that period.

 

Westmoreland admitted that she stored the polydimethylsiloxone in a plastic container that was not properly labeled for medical use. When injected into humans, liquid silicone is a medical device subject to the regulation of the Food and Drug Administration (FDA). Polydimethylsiloxane is not approved, exclusively or as a component, for body-contouring. Polydimethylsiloxane is used in the manufacture of shampoos (to make hair shiny and slippery), food (as an antifoaming agent), caulking, lubricants, kinetic sand, and heat-resistant tiles.

 

Westmoreland faces a maximum sentence of three years in prison and a fine of up to $250,000. U.S. District Judge Ellen L. Hollander has scheduled sentencing for April 17, 2017, at 10:00 a.m.

 

United States Attorney Rod J. Rosenstein commended FDA Office of Criminal Investigations and Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Joseph Leroy Miles, Sr., age 63, of Westernport, Maryland, to nine years in prison, followed by five years of supervised release for conspiring to possess with intent to distribute crack cocaine.

 

Judge Chasanow sentenced co-conspirator Jovan Brian Lancaster, age 32, of Gaithersburg, Maryland, to eight years in prison, followed by three years of supervised release, for conspiracy to possess with intent to distribute heroin and cocaine. The sentencing hearings were held on February 6, 2017.

 

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; 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; Chief Hank Stawinski of the Prince George’s County Police Department; Acting Chief Bob Rappoport of the Rockville City Police Department; and Montgomery County State’s Attorney John McCarthy.

 

According to Miles’ plea agreement, from March to April 30, 2015, Miles conspired with others to distribute cocaine and crack. Miles purchased the cocaine from George Earl Gee and others in Silver Spring to distribute to his customers in Westernport and the surrounding area. On March 1, 2015, law enforcement overheard Miles talking to Gee by phone to arrange to meet near Bel Pre Square in Silver Spring, Maryland to purchase crack and cocaine. Miles then met with the Gee and bought three and a half ounces of powder cocaine for $4,200. Miles redistributed the drugs to his customers in Westernport. At a second meeting on April 30, Miles bought 62 grams of crack for $2,400 and began to travel back from Silver Spring to Westernport with an associate to sell the drugs. Montgomery County Police officers stopped the vehicle and seized 62 grams of crack from the associate, to whom Miles had given the drugs to hide.

 

According to Lancaster’s plea, from February 2015 through April 29, 2015, Lancaster conspired with Gee, who supplied him with cocaine and heroin, which Lancaster then distributed to customers in and around Montgomery County. In February and March 2015, Lancaster and Gee discussed a drug debt that Lancaster owed Gee for a prior drug transaction. On February 7, 2015, Gee refused to sell Lancaster more drugs until he settled his debt. On March 12, 2015, one of Lancaster’s family members arranged to meet Gee and provided him with $3,800 to settle the debt. On March 26, 2016, Lancaster contacted Gee and arranged to purchase $750 worth of heroin (approximately 10 grams). Law enforcement overheard several other conversations in which Lancaster arranged to purchase heroin and/or cocaine from Gee.

 

All 15 defendants charged in this case, including Miles, Lancaster, and George Gee have pleaded guilty to their roles in the drug conspiracy. Twelve defendants have been sentenced to between eight months and 10 years in prison. The remaining defendants are awaiting sentencing.

 

United States Attorney Rod J. Rosenstein praised the FBI, the Montgomery County Police Department, Prince George’s County Police Department and Rockville Police Department for their work in the investigation. Mr. Rosenstein commended the Montgomery County State’s Attorney’s Office for its assistance, and thanked Assistant U.S. Attorneys Joseph R. Baldwin, Jennifer R. Sykes, and Daniel C. Gardner, who are prosecuting this this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Tyrell Lamont Thompson, a/k/a Freak, age 24, of Forestville, Maryland, to 110 months in prison, followed by three years of supervised release, for possession with intent to distribute crack cocaine; possession of a firearm in furtherance of a drug trafficking crime; and for being a felon in possession of a firearm. The sentencing hearing was held on February 3, 2017.

 

The charges were the result of a joint investigation by ATF, DEA and the Prince George’s County Police Department that targeted armed drug dealers in Prince George’s County.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division (ATF); Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division (DEA); and Chief Hank Stawinski of the Prince George’s County Police Department.

 

According to his plea agreement, on June 29, 2016, law enforcement officers executed a federal search warrant at Thompson’s residence in the 6400 block of Hil Mar Drive in Forestville. Recovered from the residence was a loaded 357 magnum revolver with an obliterated serial number, which was found near where Thompson was standing when officers entered the residence; a loaded 9mm semiautomatic pistol that was equipped with a laser sight and an extended magazine; and a bag containing several smaller baggies and chunks of crack cocaine, which was intended for distribution.

 

Thompson had a previous felony conviction and was prohibited from possessing firearms or ammunition.

 

United States Attorney Rod J. Rosenstein commended ATF, DEA and the Prince George’s County Police Department for their work in the investigation and thanked the Metropolitan Police Department, Maryland National Capital Park Police and U.S. Marshals Service for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Michael T. Packard and Thomas M. Sullivan, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – Kevin Heiting, age 28, of Aspen Hill, Maryland, pleaded guilty on Friday, February 3, 2017, to distribution of child pornography.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HIS).

 

According to his plea agreement, on May 19, 2016, a federal search warrant was executed at Heiting’s residence in Silver Spring, Maryland, and law enforcement seized five hard drives, two laptop computers, a tower computer, and a cellular telephone. A forensic analysis of one of the seized hard drive revealed more than 17,913 video files and 405,071 image files, many of which depicted children, including infants and toddlers, engaged in sexually explicit conduct. A file sharing program found on Heiting’s computer revealed that Heiting shared over 100,000 files between June 8, 2014 and January 6, 2015. The analysis revealed that thousands of users connected to one of Heiting’s laptop computers and downloaded files. The analysis further showed that Heiting both received and distributed child pornography using the laptop computer.

 

The same afternoon that the search warrant was executed, Hieting purchased a new laptop computer. On August 4, 2016, Heiting traveled from Maryland to Central America with the laptop, which Heiting was using to run a file sharing program and to conduct online chats with minors. On Heiting’s return from Central America, the laptop was detained by officers from U.S. Customs and Border Protection and subsequently forensically examined. The analysis revealed that in addition to sharing and downloading child pornography, Heiting was communicating over the “dark web” using an encrypted web chat application, with a 14 year old boy. Enticed and persuaded by Heiting, the victim sent Heiting images of himself engaged in sexually explicit conduct.

 

On August 29, 2016, Heiting was indicted on federal child pornography charges and placed on pretrial release, with conditions which forbade Heiting from possessing internet capable devices. On February 1, 2017, law enforcement agents executed a search warrant at Heiting’s residence and recovered a laptop computer, two 5TB hard drives, and three USB thumb drives that had been hidden by Heiting in an air purifier cabinet. An initial forensic review of the laptop reveal that it contained a file sharing program and the encrypted deep web application that Heiting had previously used. The laptop computer had last been accessed on February 1, 2017.

 

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

 

Heiting and the government have agreed that if the Court accepts the plea agreement Heiting will be sentenced to between 13 and 19 years in prison. U.S. District Judge Paula Xinis has scheduled sentencing for May 16, 2017 at 10:30 a.m. Heiting is detained.

 

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 Rod J. Rosenstein commended HSI Baltimore for its work in the investigation, and thanked the Maryland State Police Internet Crimes Against Children Task Force, U.S. Customs and Border Protection – Atlanta, HSI Atlanta, and the FBI for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorney Joseph R. Baldwin and Special Assistant U.S. Attorney Julie Finocchiaro, who are prosecuting the federal case.

Greenbelt, Maryland – Late on February 2, 2017, a federal jury convicted Philadelphia attorney James Michael Farrell, age 63, of Wenonah, New Jersey, of money laundering, witness tampering, and obstruction of official proceedings, related to his activities on behalf of members of an extensive drug trafficking operation.

 

The conviction was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration – Philadelphia Field Office; Acting Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; Chief Hank Stawinski of the Prince George’s County Police Department; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Commissioner Kevin Davis of the Baltimore Police Department.

 

“The evidence proved that James Farrell went far across the line between representing a criminal defendant and joining a criminal conspiracy,” said U.S. Attorney Rod J. Rosenstein. “He ordered witnesses to lie, filed forged affidavits, concealed criminal proceeds, and laundered financial transactions to avoid detection.”

 

According to the evidence presented at his 14-day trial, Farrell was admitted to practice law in Pennsylvania and New Jersey, and maintained a law office in Philadelphia, Pennsylvania. Matthew Nicka, Gretchen Peterson, David D’Amico, and others were part of an extensive drug trafficking operation which was discovered by the DEA when they executed a search warrant at a residence in the 3500 block of Hickory Avenue in Baltimore on March 18, 2009. The residence was a center of operation for the group. Agents seized more than 80 pounds of marijuana, 30 cell phones, and tally sheets showing over $14 million in marijuana sales, among other items.

 

Trial testimony showed that beginning in 2009 and continuing through at least April 2013, Farrell conspired with Nicka, D’Amico, Peterson and others to conduct financial transactions using the proceeds of the Nicka Organization in order to conceal the source and control of the drug proceeds. A witness testified that the drug conspirators would deliver to Farrell drug proceeds in the form of cash. Farrell then deposited some of the cash into his commercial bank accounts, recording the deposits as payments in the names of individuals who had not provided the cash to Farrell. The evidence showed that, using the drug proceeds, Farrell wrote checks and disbursed cash to pay for the legal representation of grand jury witnesses and individuals under investigation in connection with the activities of the Nicka Organization, which included payments to two Baltimore area attorneys. Evidence presented at trial demonstrated that Farrell also used drug proceeds to purchase money orders, which he directed to be sent to the inmate account of an incarcerated individual who was part of the Nicka organization.

 

According to trial evidence, in February 2011, Farrell met with a member of the Nicka organization to discuss filing a claim with the DEA to seek the return of certain property DEA had seized upon arrest. Farrell advised that individual not to disclose to the DEA that another member of the Nicka organization had given him one of the items of property. On February 28, 2011, Farrell caused four affidavits in support of the forfeiture of the property to be filed with DEA that contained the forged signature of this individual and the forged signature of the notary public.

 

According to witness testimony, on July 11, 2012, Farrell met with another member of the Nicka organization, knowing that person was represented by other counsel. Farrell directed that member of the Nicka organization to meet with federal law enforcement officers and federal prosecutors, but to only tell them what they already knew, rather than sharing all the information about the drug and money laundering conspiracy, and the fact that Farrell had previously handed that person $10,000 cash in exchange for a $10,000 check. Farrell then agreed to try to obtain $25,000 to assist with that person’s legal expenses.

 

Farrell faces a maximum sentence of 20 years in prison for conspiracy to engage in money laundering and for each of six counts of money laundering; a maximum of 20 years in prison for each of two counts of tampering with an official proceeding; and a maximum of 20 years in prison for tampering with a witness. Farrell was acquitted of one count each of tampering with an official proceeding and tampering with a witness. U.S. District Judge Roger W. Titus has scheduled sentencing for Farrell on May 15, 2017, at 1:00 p.m.

 

U.S. District Judge Roger W. Titus previously sentenced: David D’Amico, age 52, of Baltimore, to 10 years in prison; Matthew Nicka, age 46, of Baltimore, to 188 months in prison; and Gretchen Peterson, age 37, of Kennett Square, Pennsylvania, to seven years in prison. D’Amico, Nicka and Peterson pleaded guilty on January13, 2016, to conspiracy to distribute at least 1,000 kilograms of marijuana and conspiracy to commit money laundering. D’Amico, Nicka and Peterson were fugitives from the time the indictment was returned in December 2010, until Nicka and Peterson were arrested in Canada in early August 2013, and D’Amico was extradited from Colombia, South America. Judge Titus also entered forfeiture orders requiring Nicka to pay a money judgment of $15 million; and D’Amico to pay a money judgment of $1 million, which represents the proceeds of the offense.

 

Twelve other defendants were convicted in this investigation and sentenced to up to 121 months in prison.

 

United States Attorney Rod J. Rosenstein praised the DEA Washington and Philadelphia Field Offices, IRS-CI, and the Montgomery County, Prince George’s County, Baltimore County and Baltimore City Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Deborah A. Johnston, Leah J. Bressack, and Mara Zusman Greenberg, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Jasmine Young, age 28, of Windsor Mill, Maryland, pleaded guilty in U.S. District Court on January 31, 2017, to a narcotics conspiracy, which was committed while she was on pretrial release for federal bank fraud and identity theft charges.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Chief J. Thomas Manger of the Montgomery County Police Department.

 

According to her plea agreement, from November 2015 through January 2016, Young conspired with others to distribute marijuana. Young was identified after a homicide in Baltimore that was related to the drug trafficking conspiracy. According to the plea agreement a woman was killed on January 12, 2016, the same day an eight to 11 pound marijuana shipment was delivered to her residence. Also on January 12, 2016, the DEA in Maryland received information from a DEA Narcotics Task Force operating in San Diego, California, that a suspicious package was in route to an address in Windsor Mill, Maryland, for delivery on January 15, 2016. Law enforcement interdicted the package, which was addressed to Nancy Young, at Jasmine Young’s address. A narcotics dog alerted to the package for narcotics. After obtaining a search warrant, the package was found to contain 11 pounds of marijuana. DEA conducted a controlled delivery and the package was accepted by Jasmine Young. A short time later, DEA executed a search warrant at the residence and Young and a man were taken into custody.

 

From the apartment, law enforcement recovered: a .22 caliber handgun located in a black shoebox on top of the dryer, along with ammunition in multiple calibers and a 9mm magazine with live rounds; a loaded revolver located inside a black sectional couch (near where the man had his hands when police entered the apartment); a package of green plastic wrap containing marijuana (what was left in the parcel that was delivered to the residence by DEA); six cellular phones located in several locations throughout the home; and a large digital scale with residue located on the kitchen counter. The gun recovered from the couch was later determined to have been stolen on January 28, 2015.

 

Young initially denied having any involvement in the drug conspiracy, but investigators recovered text messages from some of the recovered cellular phones that showed that Young was part of the conspiracy. Young and the woman who was murdered both allowed marijuana to be delivered to their residences.

 

As a result of Young’s arrest on narcotics charges, her pre-trial release in the bank fraud case was revoked and she was ordered to be detained.

 

On April 15, 2016, Young pleaded guilty to bank fraud and aggravated identity theft. Young admitted that from July 2014 through October 2014, she used her employment at a bank to obtain the personal information of customers. Specifically, Young admitted that she used her employee access to target customer accounts with high dollar balances. Once she accessed these accounts, she took “screen shots” of the account information, including the account holder’s personal information and copies of checks that had previously been written and processed. She then provided that information to co-schemers who used the information to fraudulently obtain and write checks drawn on the customers’ accounts. The bank identified 22 victims of the scheme, which resulted in a financial loss to the bank of over $300,000.

 

Young faces a sentence of five years in prison for the narcotics conspiracy and up to an additional 10 years’ imprisonment based on committing the offense while on pretrial release; a maximum of 30 years in prison for bank fraud; and two years in prison, consecutive to any other sentence imposed, for aggravated identity theft. U.S. District Judge George L. Russell III has scheduled sentencing for March 30, 2017 at 2:00 p.m.

 

United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Maryland State Police, DEA, and Montgomery County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Lauren E. Perry and Sandra Wilkinson, who are prosecuting the cases.

Greenbelt, Maryland – A criminal complaint has been filed charging Felix Nelson Ayala, of Rockville, Maryland, late yesterday with bribery and making false statements in connection with a scheme to engage in bribery in order to influence a public official in the performance of his official duties in Prince George’s County. Ayala’s initial appearance is scheduled today at 1:45 p.m. before U.S. Magistrate Judge Timothy J. Sullivan in U.S. District Court in Greenbelt, Maryland.

 

The criminal complaint was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Acting Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Chief Hank Stawinski of the Prince George’s County Police Department.

 

According to affidavit filed in support of the criminal complaint, Ayala was an accountant and founder of Ayala and Associates Public Accountants in Washington, D.C. Ayala was also the founder of the Salvadoran Business Caucus, a non-profit organization also known as the Caucus Salvadoreno Empresarial, Inc. (CSE). CSE’s website stated that CSE awarded scholarships to high school and college students.

 

The affidavit alleges that Ayala paid bribes to former Prince George’s County Council Member Will Campos in exchange for grant funding. Specifically, the affidavit alleges that Ayala paid Campos $5,000 for each of County fiscal years 2012 through 2015, in exchange for $25,000 in grants to CSE in each of those years. For example, on August 13, 2014, Campos met with Ayala for lunch in Washington, D.C. During the meeting, Ayala asked Campos what would happen after Campos left his position on the County Council and assumed his position within the Maryland General Assembly. According to the affidavit, Ayala advised, “The arrangement is still on,” and Campos asked if Ayala had anything for Campos. Ayala asked Campos to give him two weeks, and “I [Ayala] call you and I’ll say let’s, let’s have a drink and you know what it’s for.” Campos asked for $5,000, “like last time,” and Ayala agreed.

 

According to the affidavit, on September 23, 2014, Ayala had dinner with Campos at a restaurant in Silver Spring, Maryland, and discussed the grant money. Specifically, Campos advised that he would push for Ayala to still receive grant money after Campos left office. At the conclusion of the meal, Ayala walked Campos out of the restaurant and allegedly handed Campos an envelope bearing a label for CSE and containing a cashier’s check for half the agreed upon amount. The affidavit alleges that Ayala explained, “I was unable to obtain cash. It’s better like this. This comes from – from a third party who knows me, so it’s better.” Campos joked that Ayala was paying “half now, half later,” and Ayala responded, “I would say that.”

 

According to the affidavit, on January 8, 2015, Ayala met with Campos at Ayala’s office in Washington, D.C. Ayala reached into his desk and retrieved an envelope. Ayala handed the envelope to Campos, who asked if it was “the rest that we talked about? 2,500?” and Ayala responded, “Yeah.” The affidavit alleges that inside the envelope, Ayala had placed $2,500 in cash.

 

On January 5, 2017, Ayala was interviewed by federal law enforcement agents. The affidavit alleges that Ayala denied providing anything of value to Campos in exchange for receiving Prince George’s County grant money for CSE. Thereafter, agents showed Ayala still photographs from videos taken while Ayala was making bribe payments to Campos on September 23, 2014 and January 8, 2015.

 

If convicted, Ayala faces a maximum sentence of ten years in prison for bribery, and a maximum of five years in prison for false statements. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.

 

United States Attorney Rod J. Rosenstein commended the FBI, IRS-CI, and Prince Georges County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Thomas P. Windom, Mara Zusman Greenberg, and James A. Crowell IV, who are prosecuting the case.

Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Shaka Abdul-Muhaimin, age 31, of Accokeek, Maryland, today to 92 months in prison, followed by three years of supervised release for possession with intent to distribute controlled substances, being a felon in possession of a firearm, and possession of a firearm in furtherance of a drug trafficking crime.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; and Chief Henry P. Stawinski of the Prince George’s County Police Department.

 

According to his plea agreement, late on July 9, 2015, Abdul-Muhaimin and another individual were seated in Abdul-Muhaimin’s vehicle at the far end of a restaurant parking lot in Accokeek. Police officers approached the vehicle and saw Abdul-Muhaimin, who was in the driver’s seat, abruptly begin to move around inside the vehicle, and saw the passenger quickly exit the vehicle. Abdul-Muhaimin then jumped out of the vehicle and attempted, unsuccessfully, to get away.

 

From inside the vehicle and from Abdul-Muhaimin, law enforcement recovered crack and powder cocaine; heroin; ethylone; marijuana; a 9mm semi-automatic pistol loaded with 11 rounds of ammunition; and a digital scale with cocaine residue.

 

Abdul-Muhaimin had a 2008 felony drug conviction in the District of Columbia and was prohibited from possessing a firearm or ammunition.

 

United States Attorney Rod J. Rosenstein commended the ATF and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Menaka Kalaskar, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced James Ricardo Williams, a/k/a Snipe, age 28, of District Heights, Maryland, today to eight years in prison, followed by four years of supervised release, for conspiracy to distribute crack cocaine and phencyclidine (PCP) and for possession with intent to distribute narcotics.

 

His brother, Ricky Lee Williams, a/k/a Slick, Pullaman, and Stacy, age 27, of Forestville, Maryland, previously pleaded guilty to the drug conspiracy, and to being a felon in possession of a gun.

 

Their charges were the result of a joint investigation by ATF, DEA and the Prince George’s County Police Department that targeted armed drug dealers in Prince George’s County.

 

The sentence and guilty plea were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division (ATF); Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division (DEA); and Chief Hank Stawinski of the Prince George’s County Police Department.

 

According to their plea agreements, from September 2015 until June 2016, James and Ricky Williams and others conspired to distribute crack cocaine and PCP in Prince George’s County, particularly near the intersection of Walters Lane and Hil Mar Drive in Forestville. James Williams obtained PCP and powder cocaine from his suppliers in bulk quantities. The Williams brothers and their co-conspirators then distributed cocaine (most of which was manufactured into crack) and PCP to their customers. An ATF source also purchased a loaded .40 caliber semi-automatic pistol from Ricky Williams, who has a prior felony conviction and is therefore prohibited from possessing a firearm or ammunition.

 

A search warrant executed at James Williams’ residence, as well as an apartment and vehicle used by him to facilitate his drug trafficking resulted in the seizure of extensive drug trafficking paraphernalia, $1,400 in cash, and quantities of PCP and crack cocaine. The evidence also included recorded telephone conversations, surveillance, and information provided by other individuals.

 

Ricky Williams and the government have agreed that if the Court accepts the plea agreement Ricky Williams will be sentenced to 87 months in prison. Judge Titus has scheduled his sentencing for May 11, 2017 at 11:00 a.m.

 

United States Attorney Rod J. Rosenstein commended ATF, DEA and the Prince George’s County Police Department for their work in the investigation and thanked the Metropolitan Police Department, Maryland National Capital Park Police and U.S. Marshals Service for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Michael T. Packard and Thomas M. Sullivan, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Jeff Crews, a/k/a “Fro,” age 25, of Washington, D.C., today to 121 months in prison, followed by three years of supervised release, for conspiring to participate in a racketeering conspiracy and for aggravated identity theft, in connection with his activities as the leader of the Simple City Criminal Organization (SCCO). SCCO was a racketeering enterprise engaged in fraud and related activity, including vehicle theft, interstate transportation of stolen property, and aggravated identity theft. Judge Hazel also entered an order requiring Crews to forfeit and pay restitution of $1,250,000.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation; Chief Hank Stawinski of the Prince George’s County Police Department; and Chief J. Thomas Manger of the Montgomery County Police Department.

 

According to his plea agreement, the SCCO is a criminal organization based in the southeast quadrant of Washington, D.C. in a neighborhood known as “Simple City.” From at least 2009 to July 2015, Crews and his conspirators, including Sylvia Price and Stefon Janey, met on a regular basis, and planned criminal activity, including vehicle theft, the interstate transportation of stolen property, identity theft and credit/debit card fraud. The SCCO received money and income from those criminal activities.

 

According to his plea agreement, Crews and other SCCO members would steal vehicles in Prince George’s and Montgomery Counties, Maryland, as well as in Washington, D.C. Crews and SCCO members sometimes used the stolen vehicle in a short crime spree during which they committed a string of auto thefts; thefts from autos; and commercial burglaries targeting ATM machines. Once the SCCO had used a stolen vehicle to commit one or more crime sprees, the SCCO would then transport the stolen vehicle across state lines for resale.

 

Crews and other SCCO members would provide any personal identification information and access devices stolen during the crime spree to another group within the SCCO, which was led by Sylvia Price. Sylvia Price and those under her direction would conduct fraudulent transactions with the stolen identification documents and access devices, in Maryland, Washington, D.C., and Virginia. Price would provide a portion of the fraud proceeds to Crews, for disbursement to the SCCO members who participated in the thefts.

 

For example, on April 18, 2015, Crews, Janey, and another co-conspirator robbed a BP Gas Station in Beltsville, Maryland. While Crews acted as the getaway driver, Janey and another co-conspirator used a crowbar to forcibly enter the vestibule area, where an employee was working. Janey and the co-conspirator threatened the employee and stole the employee’s cell phone and cash from a cash register. In addition, Janey and the co-conspirator forcibly opened an ATM in the gas station, causing damage to the ATM, and took cash from the ATM. They fled the gas station in a gray Acura MDX that had previously been stolen in Prince George’s County, on March 31, 2015.

 

At least $550,000, but not more than $1,500,000, was reasonably foreseeable to Crews based on his involvement in the activities of the SCCO.

 

All fourteen defendants charged in this case have pleaded guilty to their participation in the racketeering conspiracy. Sylvia Price, a/k/a “Deez Nuts,” age 50, of Suitland, Maryland, was sentenced to 75 months in prison, ordered to pay a money judgment of $453,900, and to forfeit 101 high end women’s handbags, 45 debit cards, as well as gift cards, credit cards and gas cards. Stefon Janey, a/k/a “Stef,” and “Stef Luva,” age 23, of Marlow Heights, Maryland, was sentenced to 27 months in prison. Three other defendants have been sentenced to between 27 and 43 months in prison. The nine remaining defendants are scheduled to be sentenced in the next few months.

 

United States Attorney Rod J. Rosenstein praised the FBI, Prince George’s County Police Department, Montgomery County Police Department and the members of the Washington Area Vehicle Enforcement Unit for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Thomas M. Sullivan and Nicolas A. Mitchell, who are prosecuting the case.

Greenbelt, Maryland – Timothy Carl Johnson, age 52, of Fort Washington, Maryland, pleaded guilty on January 30, 2017, to theft of government property. Johnson, the former automotive fleet program coordinator for FBI Headquarters in Washington, D.C., admitted he falsely reported the cost of automotive and/or towing services, charging the inflated or fictional costs to his government purchase card, and accepted cash payments from vendors to perform work on FBI vehicles.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Michael Tompkins, Washington Field Office, U.S. Department of Justice Office of the Inspector General; and Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division.

 

According to his plea agreement, Johnson was responsible for maintaining government vehicles for use by employees at FBI Headquarters. As part of his duties, Johnson solicited local vendors to perform routine maintenance, tow, repair and detail work for government vehicles at FBI headquarters. The FBI assigned Johnson a government purchase card that he was authorized to use to pay for work on those vehicles.

 

Johnson admitted that from 2011 through January 2016, he conspired with others to defraud the government by charging inflated or fictional costs for automotive and/or towing services to his government purchase card. Specifically, co-conspirators who supplied automotive and/or towing services billed the government for fictitious services, or inflated their bills. Johnson then authorized payment to the co-conspirators through his government credit card and the co-conspirators provided the fraud proceeds to Johnson in cash. As part of his plea agreement, Johnson will be required to pay restitution in the full amount of the loss, which is at least $20,995.

 

Johnson faces a maximum sentence of 10 years in prison. U.S. District Judge Theodore D. Chuang has scheduled sentencing for June 6, 2017 at 2:30 p.m.

 

United States Attorney Rod J. Rosenstein commended the DOJ Office of the Inspector General, and DEA for their work in the investigation and thanked the FBI, Charles County Sheriff’s Office and Prince George’s County Police Department for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorney Lindsay Eyler Kaplan, who is prosecuting the case.

Greenbelt, Maryland – Clarence Henry Andrews, age 28, of Silver Spring, Maryland, pleaded guilty late on January 27, 2017, to production of child pornography. Andrews is a registered sex offender as a result of a 2010 conviction in Prince George’s County Circuit Court for a fourth degree sex offense and second degree assault, in connection with his abuse of a nine-year-old boy in the bathroom of a Laurel, Maryland, church.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; 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 his plea agreement, in March 2015, Andrews communicated with an 11-year-old male residing in Georgia, via a video game system, Skype, FaceTime, text messages, and telephone. During the course of the communications, Andrews promised to provide the victim with Advanced Warfare, a video game, in exchange for sexually explicit images and videos of the victim. At times, Andrews invoked the Bible in order to persuade the victim to produce and share sexually explicit images and videos. Andrews admitted that between approximately 2013 and April 2015, Andrews – using similar means and pattern of conduct – attempted to coerce at least eight additional victims aged 16 and younger to produce images and videos of sexually explicit conduct.

 

In addition, Andrews admitted that between April 2013 and October 2014, Andrews befriended a family through church, that included an eight-to-nine-year-old female and a seven-to-eight-year-old male, residing in Olney, Maryland. Andrews visited the family’s home on several occasions. On one occasion Andrews took the girl to a downstairs bathroom in the home and gave her cash to pull down her pants, then touched and photographed the child’s buttocks. On other occasions while visiting the family Andrews took the boy to the downstairs bathroom, engaged in sexually explicit conduct and photographed the boy’s buttocks. As part of his federal plea agreement, Andrews has agreed to plead guilty to this conduct in Montgomery County Circuit Court (Case No. 130047C)

 

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

 

Andrews and the government have agreed that if the Court accepts the plea agreement Andrews will be sentenced to between 20 and 30 years in prison, followed by lifetime supervised release. U.S. District Judge Paul W. Grimm has scheduled sentencing for May 12, 2017.

 

The 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 Rod J. Rosenstein commended the FBI, Montgomery County Police Department, and Montgomery County State’s Attorney’s Office for their work in the investigation, and thanked the Georgia Bureau of Investigation and the Butts County, Georgia, District Attorney’s Office for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Nicolas A. Mitchell and Menaka Kalaskar, who are prosecuting the federal case.

Greenbelt, Maryland –Deonte Carraway, age 22, of Glenarden, Maryland, pleaded guilty today to 15 counts of sexual exploitation of a minor to produce child pornography, involving 12 minor victims ranging in age from nine to 13 years old.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; and Prince George’s County State’s Attorney Angela D. Alsobrooks.

 

“Deonte Carraway abused at least 12 child victims,” said U.S. Attorney Rod J. Rosenstein. “Fortunately, an alert relative checked a child’s smartphone, found an inappropriate photo and called the police. That call may have prevented more children from being abused.”

 

“I am extremely proud of the collaborative effort put forth by the FBI Maryland Child Exploitation Task Force in order to ensure this defendant was brought to justice and will no longer be able to terrorize or threaten children again,” said Special Agent Gordon B. Johnson of the FBI’s Baltimore Division. “Knowing the defendant will serve the next 60-100 years in federal prison, signals that the FBI and our partners will not tolerate such behavior. Our community just got a lot safer today.”

 

“Carraway violated the public’s trust by putting himself in a position to harm children. One of the worst crimes a person can commit is when the victim is an innocent child. I am particularly pleased by the collaboration between the Prince George’s County Police department, the Federal Bureau of Investigation, the United States Attorney’s Office, and the Prince George’s County State’s Attorney’s Office in bringing him to justice,” said Prince George’s County Police Chief Hank P. Stawinski.

 

“I would like to thank the U.S. Attorney’s Office for their efforts that have ensured that Mr. Carraway is being held accountable for his actions,” Alsobrooks said. “I also want to thank them for the continued collaboration with our office as we work towards our prosecution of Mr. Carraway, which will commence following the conclusion of his case in federal court.”

 

According his plea agreement, between September 2015 and February 2016, Carraway was an unpaid Dedicated Assistant at a Prince George’s County elementary school. Prior to becoming a Dedicated Assistant, Carraway served as a paid teacher’s assistant at the elementary school since 2014. Carraway also directed a children’s choir at a Prince George’s County church. Through these roles, Carraway gained the trust of parents who entrusted their children to Carraway’s care in their residences.

 

Carraway admitted that between at least October 2015 and February 2016, he engaged in sex acts with children between the ages of nine and 11 years old, using a cellular phone to record the sexual acts. Carraway also directed the children to engage in sex acts with each other, recording those acts on cellular phones, as well. Carraway directed the children to record sexual acts and provided the victims with cellular phones to use for that purpose. Carraway reached out to minor males and encouraged them to provide Carraway with images and videos of children engaged in sexually explicit conduct. Carraway also sent his child victims images of himself exposing his penis and engaging in sexually explicit conduct, as well as images of other children engaged in such acts. Carraway admitted that he founded a club with children and requested that children who wanted to join the club send Carraway sexually explicit images of themselves via cell phone messenger applications.

 

Carraway and the government have agreed that if the Court accepts the plea agreement Carraway will be sentenced to between 60 and 100 years in prison. U.S. District Judge Deborah K. Chasanow has scheduled sentencing for June 5, 2017 at 9:30 a.m. Carraway has been detained since his arrest on February 5, 2016. Related charges filed in Prince George’s County Circuit Court are still pending.

 

The case was investigated by the FBI Maryland Child Exploitation Task Force (MCETF) and the Prince George’s County Police Department. The task force was created in 2010 to combat sex crimes involving children and is made up of members from ten state and federal law enforcement agencies.

 

The 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 Rod J. Rosenstein commended the FBI, Prince George’s County Police Department, and Prince George’s County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorneys Kristi N. O’Malley and Daniel C. Gardner, who are prosecuting the case.

 

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Delonte Gregory Parker, age 25, of Laurel, Maryland, late on January 25, 2017, to 90 months in prison, followed by four years of supervised release, for a heroin distribution conspiracy, and for possession of a firearm and ammunition by a convicted felon. On January 23, 2017, Judge Grimm sentenced co-defendant, John Gates, age 31, also of Laurel, to 100 months in prison, followed by four years of supervised release. Judge Grimm also entered an order requiring Parker and Gates to forfeit $70,000, the proceeds from the drug conspiracy.

 

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; and Chief Henry P. Stawinski of the Prince George’s County Police Department.

 

According to their plea agreements, from January 2015 through August 24, 2015, Parker and Gates conspired with Thomas Hancock, Paul Fredericks, and Dwight Leo Dent to distribute heroin. Hancock supplied heroin to Fredericks, who distributed it to Parker and Gates. Parker and Gates then sold the heroin to drug users. Dent obtained heroin from Parker and others, which he also distributed to drug users.

 

During the investigation law enforcement intercepted thousands of phone called between the defendants and others, during which they discussed the distribution of heroin. For example, Parker and Gates were overheard arranging to purchase 100 grams of heroin from Fredericks during a call on June 24, 2015. In addition, during the course of the conspiracy, ATF confidential sources made purchases of heroin from both Parker and Gates.

 

On August 24, 2015, law enforcement executed search warrants at the defendants’ residences, as well as other locations associated with the conspiracy. At the apartment where Parker, Gates and Dent resided law enforcement recovered drugs and guns. Specifically, from Parker’s bedroom law enforcement recovered heroin, cocaine, drug paraphernalia, a .357 caliber handgun loaded with 29 rounds in an extended magazine, as well as 19 additional rounds of .357 caliber ammunition. Law enforcement also recovered cocaine and drug paraphernalia from Gates’ bedroom, as well as a loaded .40 caliber handgun. Parker and Gates had previous felony convictions and were prohibited from possessing firearms or ammunition. At the time of their arrests, Parker was on probation for a 2014 conviction for second degree assault in Prince George’s County Circuit Court, and Gates was on supervised release from a 2010 federal drug conviction.

 

Thomas Hancock, age 34, of Washington, D.C.; Paul Fredericks, a/k/a Duke, age 39, of District Heights, Maryland; and Dwight Leo Dent, a/k/a Pablo, age 24, of Laurel, pleaded guilty to their participation in the conspiracy. Hancock and Dent were sentenced to 100 months in prison and 7 years in prison, respectively. Fredericks is scheduled to be sentenced on January 27, 2017.

 

United States Attorney Rod J. Rosenstein commended the ATF, DEA, and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Nicolas A. Mitchell and Daniel C. Gardner, who prosecuted the case.

Baltimore, Maryland – Sean Stanley Jackson, age 44, of Baltimore, pleaded guilty today to wire fraud and money laundering charges as the leader of a scheme to defraud auto dealers and lenders in Anne Arundel, Howard, Baltimore and Montgomery counties. Co-defendants Erika Patrice Ryles, age 35, of Baltimore; and Walter Jermaine Perry, III, age 39, of Owings Mills previously pleaded guilty to their roles in the scheme.

 

The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Commissioner Kevin Davis of the Baltimore Police Department.

 

According to their plea agreements, from January 2010 to February 2016, Jackson, Ryles, and Perry conspired to make false representations on loan applications to lenders in order to obtain loans to purchase vehicles from dealers, for which they were not financially qualified. Jackson and his co-conspirators organized and registered shell entities, including The Black Group LLC, which they used to make false representations in loan applications. For example, the conspirators falsely represented that The Black Group was a legitimate, thriving business with millions of dollars in annual revenues. To support their false representations, the defendants created fake documents, including paystubs, bank account statements, utility bills and corporate tax returns and schedules for the shell entities, which they submitted with auto loan applications, and to banks and other lenders.

 

Jackson admitted that on December 5, 2013, he sent a message to Ryles asking her to create a fake bank account statement showing specific deposits and balance, which she did. Jackson and another co-conspirator, who was an elderly family member, then used the fraudulent bank statement to apply for loans on behalf of The Black Group on two different 2014 Ford F450 trucks, a Chevrolet Express Van, and a 2009 Audi A8. After obtaining more than $246,349 to purchase the four vehicles, Jackson and the co-conspirator defaulted on the loans, causing losses to the lender. In June 2014, Ryles again prepared false bank statements at Jackson’s request. Jackson and the co-conspirator then used the false bank statement in support of a loan application to purchase a 2006 5900i International Dump Truck. After receiving the financing to purchase the dump truck, Jackson and the co-conspirator again defaulted on the loan, causing a loss to the lender.

 

Jackson also used The Black Group to launder proceeds he obtained from the sale of a 2012 Chevrolet Avalanche. On May 10, 2012, Jackson submitted a false loan application and obtained $63,067.38, to finance the purchase of a 2012 Chevrolet Avalanche. After a few months, Jackson stopped making payments on the loan and the lender attempted to repossess the vehicle, but was unsuccessful since Jackson did not live at the address he provided on the loan application. Jackson continued using the vehicle. On November 29, 2014, Jackson went to a title shop in Maryland and presented a Mississippi title for the Avalanche which reflected that the vehicle had been sold to The Black Group on November 24, 2014, by the original owner, Thomas Mack, and that the vehicle did not have any outstanding liens. In order to conceal the true ownership of the vehicle, Jackson used the Mississippi title to obtain a Maryland MVA title on the Avalanche in the name of The Black Group. On December 15, 2014, Jackson, acting as a representative of The Black Group, sold the Avalanche to a car dealership in Maryland for $34,000, receiving a check in that amount made payable to The Black Group.

 

The next day, Jackson directed Perry to open two bank accounts representing that Perry owned a company called “Black Group,” and had Perry deposit the check from the sale of the Avalanche into one of those accounts. On December 18, 2014, at Jackson’s direction, Perry use the funds in that account to purchase three cashiers’ checks totaling $23,000, each made payable to Jackson. In addition, Perry withdrew $8,000 in cash and gave the money to Jackson. On January 9, 2015, Jackson had Perry purchase the Avalanche from the dealership where he’d sold it. At Jackson’s direction, Perry applied for a loan to purchase the vehicle, falsely stating that he was president of the Black Group LLC. Jackson provided Perry with two fake pay stubs, which Perry used as part of his loan application.

 

As a result of his conduct, Jackson caused a loss of at least $250,000 to lenders and car dealers. As part of their plea agreements, Jackson, Ryles and Perry are required to pay restitution in the full amount of the loss, which will be determined by the Court.

 

Jackson and Ryles each face a maximum sentence of 20 years in prison for wire fraud conspiracy. Jackson and Perry face a maximum sentence of 20 years in prison for money laundering. Chief U.S. District Judge Catherine C. Blake scheduled sentencing for Jackson on April 28, 2017 at 10:30 a.m.

 

Today’s announcement is part of the efforts undertaken in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions and other organizations. Since fiscal year 2009, the Justice Department has filed over 18,000 financial fraud cases against more than 25,000 defendants. For more information on the task force, please visit www.StopFraud.gov.

 

United States Attorney Rod J. Rosenstein commended the IRS - Criminal Investigation and Baltimore County and City Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Phil Selden and Dana J. Brusca, who are prosecuting the case.

Baltimore, Maryland – A federal grand jury has returned a superseding indictment charging John Kays, age 42, his wife, Danielle N. Kays, age 41, both of Bel Air, Maryland, and Matthew Barrow, age 42, of Toledo, Ohio, with conspiracy and bribery charges related to contracting at the U.S. Army Communications-Electronics Command headquartered at Aberdeen Proving Ground (APG), in Harford County, Maryland. The superseding indictment adds Danielle Kays as a defendant, and charges John and Danielle Kays with making false statements on their government ethics forms. The superseding indictment was returned on January 17, 2017, and unsealed today.

 

The superseding indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robert E. Craig, Jr. of the Defense Criminal Investigative Service - Mid-Atlantic Field Office; Special Agent in Charge L. Scott Moreland, Mid-Atlantic Fraud Field Office, Major Procurement Fraud Unit, U.S. Army Criminal Investigation Command; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.

 

In March 2006, the U.S. Army Contracting Command at APG awarded a 10-year, $19.2 billion contract to seven prime contractors to provide technology services to support the integrated engineering, business operations, and logistics needs for the Army. John and Danielle Kays each had leadership positions related to this contract. From September 2006 through April 2011, a series of task orders for services pursuant to the contract were placed.

 

According to the seven-count superseding indictment, John and Danielle Kays were civilian employees who represented the Army on these types of multi-year contracts. From January 2011 until his resignation from government service in July 2014, John Kays held the position of Deputy Project Manager for Mission Command, in effect the number two position for Mission Command. From June 2009 through June 2012, Danielle Kays was the Deputy Director of the Technical Management Division, and from 2012 until her resignation from government employment in October 2015, Danielle Kays was the Product Director of Common Hardware Systems. Barrow was the President and owner of MJ-6, LLC, a company which he and his wife formed in Ohio in 2008 to obtain military subcontracts. From June 2008 through August 2010, Barrow was also employed as a procurement manager by a glass company in Ohio.

 

The superseding indictment alleges that from August 2008 to June 2014, John and Danielle Kays agreed to take official actions favorable to Barrow and MJ-6 in return for Barrow paying them a total of approximately $800,000. Specifically, the Kays used their official positions to add MJ–6 as a subcontractor acceptable to the Army, to steer potential employees for government contractors to work for MJ-6, to approve MJ-6 employees to work on various TOs, and to approve the pay rates, status reports, and travel reimbursements for MJ-6 employees. The indictment alleges that the Kays steered subcontracts worth approximately $21 million to MJ-6.

 

In order to conceal their corrupt relationship Barrow caused the glass company he worked for to purportedly enter into contracts and make payments to Transportation Logistics Services, LLC, a company incorporated by John Kays; and later made payments to the Kays in cash, which Barrow allegedly withdrew from his personal accounts and from MJ-6 accounts. According to the superseding indictment, Barrow withdrew the money in amounts less than $10,000 to avoid bank reporting requirements. To further conceal the scheme, the superseding indictment alleges that John and Danielle Kays made false statements on the government ethics forms that they were required to file by failing to disclose the cash payments received from Barrow. According to the superseding indictment, the Kays used the cash for their personal benefit, including: purchasing two new vehicles; a power boat, jewelry, a pool party at their country club, and to pay credit card bills.

 

John Kays, Danielle Kays, and Barrow each face a maximum sentence of five years in prison for conspiracy, and a maximum of 15 years in prison for bribery, $250,000 per count in criminal fines or three times the value of whatever the Kays were illegally paid, plus forfeiture of the proceeds of the offense. John and Danielle Kays both face a maximum of five years in prison for each of two counts of making false statements. The court has entered an order restraining assets of the Kays in Harford County including real estate, a Nissan Armada, a 2012 BMW, a 2012 Yamaha power boat and a pair of diamond earrings. An order has also been entered restraining the assets of Barrow in Toledo, including, two pieces of real estate, a 2016 GMC Yukon, 2015 Buick Enclave, a 2011 GMC Yukon Denali, a power boat, a Wave Runner and funds in three bank accounts.

 

Kays will have her initial appearance in U.S. District Court in Baltimore on Friday, January 23, 2017, at 11 a.m. before U.S. Magistrate Judge A. David Copperthite. No court appearance has been scheduled yet for John Kays and Matthew Barrow.

 

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.

 

The National Procurement Fraud Task Force was formed in October 2006 to promote the early detection, identification, prevention and prosecution of procurement fraud associated with the increase in government contracting activity for national security and other government programs. The Procurement Fraud Task Force includes the United States Attorneys’ Offices, the FBI, the U.S. Inspectors General community and a number of other federal law enforcement agencies. This case, as well as other cases brought by members of the Task Force, demonstrates the Department of Justice’s commitment to helping ensure the integrity of the government procurement process.

 

United States Attorney Rod J. Rosenstein thanked the DCIS, Army Criminal Investigation Command, and FBI for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorneys Joyce K. McDonald and Harry M. Gruber, who are prosecuting the case.

Baltimore, Maryland – Melissa Strohman, age 54, of Nottingham, Maryland, pleaded guilty in federal court today to wire fraud and bank embezzlement, arising from a six-year scheme to steal over $1.8 million from bank customers at the bank where she worked.

 

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Patti Tarasca, Special Agent in Charge, New York Region, Federal Deposit Insurance Corporation (FDIC) Office of Inspector General; and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.

 

According to her plea agreement, from April 2010 through July 2016, Strohman was Senior Vice President at a federal savings bank in Maryland, which had branches in Pikesville and Highlandtown. Strohman was responsible for managing the bank’s savings department, including overseeing deposits and Individual Retirement Accounts for every customer. In addition, as the bank’s Bank Secrecy Officer, Strohman was responsible for filing Currency Transaction Reports and Suspicious Activity Reports for any transactions that were deemed to be suspicious or potentially illegal.

 

Strohman admitted that she used her position of trust at the bank to cause more than 200 unauthorized transfers and withdrawals of funds from six customers’ bank accounts to pay for mortgages, credit card bills and property tax bills associated with Strohman and her family members. Three of the six victim customers were at least 80 years old, and for two of the accounts the customers were deceased.

 

For example, Strohman used her supervisory override function on the bank’s electronic banking system to facilitate unauthorized transfers between the victim customers’ accounts to accounts associated with Strohman; forged the signature of one victim customer in order to complete an unauthorized transaction from that person’s bank account to an American Express account associated with Strohman; and caused unauthorized transfers of funds between the victim customers’ accounts to replace the monies Strohman stole and to conceal those thefts.

 

Strohman faces a maximum sentence of 20 years in prison for wire fraud, and a maximum of 30 years in prison for bank embezzlement. U.S. District Judge Richard D. Bennett has scheduled sentencing for Strohman on May 12, 2017, at 10:00 a.m.

 

United States Attorney Rod J. Rosenstein commended the FDIC Office of Inspector General and FBI for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Phil Selden and Evan Shea, who are prosecuting the case.

Greenbelt, Maryland – A federal jury today convicted Justin Larson, age 30, of Gaithersburg, Maryland, for distribution of acetyl fentanyl, which resulted in death; conspiracy to distribute narcotics; five counts of possession or attempted possession of a controlled substance and controlled substance analogue with intent to distribute; and one count of possession with intent to distribute and distribution of a controlled substance. The jury was not able to reach a verdict on a second count of distribution of acetyl fentanyl, resulting in death.

 

The conviction was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson 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, Baltimore Field Office; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.

 

According to the testimony at his three-week trial, from May 2014 through March 17, 2016, Larson conspired to distribute acetyl fentanyl, and furanyl fentanyl, a controlled substance analogue. The evidence showed that on May 9, 2014, Larson distributed acetyl fentanyl to an individual, resulting in the death of that individual.

 

Larson faces a mandatory minimum sentence of life in prison for distribution of acetyl fentanyl with death resulting; a maximum of 30 years in prison for the narcotics conspiracy; and a maximum of 20 years in prison for each of the six possession and distribution counts, and. U.S. District Judge Paula Xinis has scheduled sentencing for April 26, 2017, at 1:30 p.m. Larson remains detained.

 

United States Attorney Rod J. Rosenstein praised HSI Baltimore, the FBI, Montgomery County Police Department, and Montgomery County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant United States Attorneys Kelly O’Connell Hayes and Erin Pulice, who are prosecuting the case.

Baltimore, Maryland – A federal grand jury returned an indictment late on January 24, 2017, charging Kevin Graham Conlon, age 30, of Cockeysville, Maryland, with: production of child pornography; receipt of child pornography; and cyberstalking.

 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Chief James W. Johnson of the Baltimore County Police Department.

 

According to the indictment and court documents Conlon posed as an 18-year-old woman to obtain photos and videos of a minor victim engaged in sexually explicit conduct. Further, the indictment alleges that from April 13, 2016 through January 6, 2017, Conlon used electronic communication, including the internet and Facebook, to intentionally injure, harass, and cause substantial emotional distress to the victim and the victim’s family. Court documents allege that Conlon opened several Facebook profiles in the victim’s name, without her permission. These unauthorized accounts “friended” many of the victim’s friends and sent them the sexually explicit photos of the victim.

 

If convicted, Conlon faces a mandatory minimum sentence of 15 years and up to 30 years in prison for production of child pornography; a mandatory minimum sentence of five years and up to 20 years in prison for receipt of child pornography; and five years in prison for cyberstalking. Conlon is detained.

 

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

 

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 Rod J. Rosenstein commended the FBI and Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who is prosecuting the federal case.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Oswaldo Jariel Bonilla, age 29, of Adelphi, Maryland, today to 12 years in prison, followed by three years of supervised release, for conspiracy to commit an armed commercial robbery, attempted armed robbery, and being a felon in possession of a firearm. Judge Chuang also ordered Bonilla to pay restitution of $1,038.99 to the company he attempted to rob.

 

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Chief Stephen E. Walker of the Edmonston Police Department; and Chief Henry P. Stawinski of the Prince George’s County Police Department.

 

According to his plea agreement, Bonilla conspired to rob a towing business. Late on January 5, 2016, Bonilla and an accomplice went to the business with the intent to rob it. Bonilla was armed with a loaded .45 caliber silver revolver. Bonilla and the accomplice first attempted to sneak into the rear door of the facility, but it was locked. An employee who was in the building heard the activity and opened it to look outside. Bonilla and the accomplice attempted to rush inside, but the employee managed to close and lock the door and scramble to a phone.

 

Bonilla ran to the front door of the towing company and kicked in the door. Bonilla pointed the revolver at the employee’s head and demanded to know where the cash registers and safe were located. The employee told Bonilla that there were no cash registers or safe, but Bonilla did not believe the employee. Bonilla then forced the employee at gunpoint to escort him throughout the facility looking for the safe and other valuables, as well as tools that Bonilla could use to break into a safe. Bonilla used a “smartwatch” to call his accomplice and told the accomplice to join him by coming in the front door. However, when Bonilla and the employee reached the main office they saw the accomplice running away. Bonilla then ran from the towing business, still brandishing the firearm.

 

Another towing company employee, who was driving toward the towing business, saw Bonilla and his accomplice running away and followed them. Bonilla realized the second employee was following them and shot his revolver. Moments later, a marked Edmonston Police Department cruiser arrived on the scene with lights and siren activated. Bonilla then shot the revolver a second time in the direction of the police cruiser and the second employee.

 

Bonilla was arrested several blocks away while attempting to break into a residence. In an attempt to conceal evidence of his crime, Bonilla covertly swallowed two bullets. However, Bonilla became afraid that the bullets might discharge in his stomach and asked to be taken to the hospital. While in the hospital, Bonilla wrote a note on a tea bag asking his girlfriend to remove firearms and ammunition from his residence. Bonilla gave the note to a nurse and asked her to call his girlfriend to convey the message, but the nurse gave the note to police. Police subsequently searched the area where Bonilla was arrested and located clothing Bonilla work during the robbery as well as the revolver, which contained two spent rounds and several live rounds.

 

Bonilla had previous felony convictions, including a 2009 robbery conviction in Prince George’s County Circuit Court, and was prohibited from possessing firearms or ammunition.

 

United States Attorney Rod J. Rosenstein commended the FBI, Edmonston Police Department and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Michael T. Packard and Thomas M. Sullivan, who prosecuted the case.