District of Maryland

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Jonathan J. Lewin, age 46, of Pikesville, Maryland, today to five years in federal prison, followed by 12 years years of supervised release, for receiving and possessing child pornography. Judge Garbis also ordered that upon his release from prison Lewin 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 Kevin Perkins of the Federal Bureau of Investigation; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Chief James W. Johnson of the Baltimore County Police Department.

According to information presented to the court at the plea hearing, Lewin admitted that prior to May 16, 2014, he received child pornography from a file sharing network and that on May 16, 2014, Lewin made child pornography publicly available to other users of a file sharing network using an internet account assigned to his residence.  On May 26, 2014, a law enforcement officer engaged in undercover internet investigations for offenders publicly sharing child pornography located a device used by Lewin, which was accessing the internet.  The undercover officer downloaded several files that Lewin was sharing over the internet which depicted sexually explicit images of nude prepubescent girls.

On June 12, 2014, law enforcement officers executed a search warrant at Lewin’s home and recovered numerous electronic devices, including an external hard drive, two thumb drives, a tablet computer, a custom built desk top computer, and several cloud accounts.  Forensic examination of the computer and other electronic devices revealed thousands of images of child pornography, including the images downloaded by the undercover officer.

Additionally, the forensic examination revealed that Lewin used his cell phone camera to take hundreds of voyeuristic images of young females in public places including the zoo, grocery stores, and parks. Many of these images included zoomed in images of prepubescent female children’s buttocks and appeared to be taken while Lewin was following the children around a park or store.  Lewin added sexually explicit text banners to some of these voyeur images. It is clear from the images that the subjects were unaware that they were being followed or photographed. These images were stored on Lewin’s computer and other devices and sorted into individual folders, often by location.

One recurring subject of Lewin’s voyeuristic photographs was a prepubescent female child, age 14, with whom Lewin was acquainted. Lewin had photographs of this girl that were extracted from her and her mother’s social media, without their knowledge and were cropped and zoomed so that she was the focus of the image. Lewin also had photographs of her taken from inside her home and photographs of her exiting a vehicle that Lewin was driving which focused on her backside and buttocks. Lewin saved the images of this child on his computer and other devices in a folder titled in her name. 

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, HSI Baltimore and Baltimore County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Sandra K. Wilkinson and Special Assistant United States Attorney Lauren E. Perry, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge J. Frederick Motz sentenced Ronnie Candelario, age 32, of Edgewood, Maryland, today to 41 months in prison, followed by three years of supervised release, after Candelario pleaded guilty to the possession of an unregistered silencer. 

The guilty plea and sentence 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 (ATF) - Baltimore Field Division; Commissioner Kevin Davis of the Baltimore Police Department; and Harford County Sheriff Jeffrey R. Gahler.

According to his plea agreement, from at least April until June 2016, Candelario manufactured and sold AR-15 style assault rifles in Maryland without a license.  Between April 15 and June 16, 2016, a confidential source working with the ATF purchased six automatic and semi-automatic assault rifles as well as two silencers from Candelario, typically meeting in a gas station parking lot to complete the transactions.  The source told Candelario that the firearms he was purchasing were for resale in New York.  Candelario told the source that he was manufacturing the guns and silencers that he sold and that he had other customers for whom he was manufacturing AR-15 style firearms.  Candelario did not have any guns or silencers registered to him.

On June 22, 2016, ATF agents executed a search warrant at Candelario’s residence in Edgewood and recovered items used to manufacture firearms and silencers, including: boxes of AR-15 lower receivers; a fuel filter with an adapter used in the assembly of silencers; AR-15 magazines and rifle sights with boxes; and vices, a drill press, and other tools.

United States Attorney Rod J. Rosenstein commended the ATF, Baltimore Police Department and Harford County Sheriff’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Kenneth Clark, who prosecuted the case.

Greenbelt, Maryland – Sylvia Price, a/k/a “Deez Nuts,” age 50, of Suitland, Maryland pleaded guilty today to conspiring to participate in a racketeering conspiracy and to aggravated identity theft, in connection with her activities in the Simple City Criminal Organization (SCCO), a racketeering enterprise engaged in fraud and related activity, including vehicle theft and interstate transportation of stolen property.  Specifically, Sylvia Price admitted that she engaged in fraudulent financial transactions, using the identities of over 230 victims, with losses to the victims of SCCO’s activities of at least $453,900.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins 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 her plea agreement, from at least 2009 to July 2015, Price and her conspirators 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.

For example, Sylvia Price received stolen pocketbooks containing checks, credit and debit cards, and other forms of identification, such as driver’s licenses, from other members of SCCO.  Price and other conspirators used the stolen items to conduct fraudulent financial transactions. The money obtained from those transactions was given to Price, who then provided a portion to another SCCO member, to divide with the co-conspirators who stole the pocketbooks.  Law enforcement intercepted communications between Price and another SCCO member in which they discuss providing handbags stolen from automobiles to Price. 

On July 16, 2015, law enforcement agents executed a search warrant at Price’s home in Suitland and recovered checkbooks and means of identifications of individuals who had reported their vehicles stolen, or had reported a theft of those items from their vehicle.  In addition, law enforcement recovered 95 women’s designer handbags worth approximately $53,000, as well as gift cards totaling approximately $1,180.

As part of her plea agreement, Sylvia Price will be required to forfeit and pay restitution of at least $453,900, the full amount of the victims’ losses.

Sylvia Price faces a maximum sentence of 20 years in prison for the racketeering conspiracy, and a mandatory sentence of two years in prison, consecutive to any other sentence, for aggravated identity theft. U.S. District Judge George J. Hazel has scheduled sentencing for November 21, 2016, at 2:30 p.m.

Co-defendants Stefon Janey, a/k/a “Stef,” and “Stef Luva,” age 23, of Marlow Heights, Maryland, Jessica Rubio, age 38, of Washington, D.C. previously pleaded guilty to their participation in the racketeering conspiracy.  Rubio also pleaded guilty to aggravated identity theft.  Judge Hazel sentenced Janey to 27 months in prison, and Rubio to 40 months in prison.

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 – A federal grand jury returned a second superseding indictment charging Anthony Darnell Boyd, Jr., a/k/a Tony Fortune, Tone Tone, Big Tony, Jermaine Jefferson, and Paul Dreber, age 37, of Capitol Heights, Maryland, with two counts of being a felon in possession of firearms.  The indictment also charges Boyd, Bianca Desirea Williams, a/k/a Bianca Boyd, Chocolate, Mahogany, and Katrina Watson, age 22, also of Capitol Heights; Natalie Ragsdale Goetschius, a/k/a London, age 22, of Baltimore, Maryland; and David D’Von Frazier, a/k/a Peanut, age 24, of Bladensburg, Maryland, with conspiracy to tamper with evidence and obstruct a federal proceeding. 

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Director in Charge Paul M. Abbate of the Federal Bureau of Investigation - Washington Field Office; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; and Chief Earl L. Cook of the Alexandria, Virginia Police Department.

According to the three count indictment, on July 21, 2016, law enforcement executed a search warrant at Boyd’s residence in Capitol Height, where he lived with Williams, and recovered two loaded 9 millimeter semi-automatic pistols and three additional rounds of 9 millimeter ammunition.  Boyd was arrested and charged with being a felon in possession of firearms and ammunition (as charged in the previous indictments and in count one of this second superseding indictment). 

After his arrest, Boyd was detained and subsequently housed at the Chesapeake Detention Facility (“CDF”) in Baltimore, Maryland, under the name “Jermaine Jefferson,” the name Boyd previously had given to law enforcement in connection with a prior felony conviction and under which Boyd served a sentence of imprisonment exceeding one year for that prior felony conviction.

Between July 22 and August 6, 2016, while Boyd was held at CDF, he made numerous calls to Williams, Goetschius, and Frazier through his inmate telephone account.  The calls were recorded, as are all jail calls per CDF policy.  According to the indictment, during those calls Boyd, Williams, Goetschius, and Frazier conspired to tamper with evidence and to obstruct the government’s ongoing investigation.  Specifically, the indictment alleges that the defendants attempted to conceal additional firearms owned by Boyd.  Those firearms, a 7.62 millimeter caliber, semi-automatic rifle, two .357 caliber revolvers (one with an obliterated serial number), a 12 gauge shotgun, a 9 millimeter semi-automatic pistol, and assorted rounds of ammunition, were recovered and are charged in count two of the second superseding indictment.  The indictment further alleges that, in an effort to obstruct the investigation, the defendants submitted a document to the Court falsely claiming that Goetschius owned and possessed the firearms recovered from Boyd’s home on July 21, 2016.

Boyd faces a maximum sentence of 10 years in prison for each of the gun charges.  The defendants each face a maximum sentence of 20 years in prison for conspiracy to tamper with evidence and obstruct a federal investigation.  Boyd is scheduled to have an initial appearance and arraignment on August 24, 2016, in U.S. District Court in Greenbelt and he remains detained.  No court appearance has been scheduled for Williams, Goetschius, and Frazier who remain detained on related charges.

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 Washington and Baltimore Field Offices, the Prince George’s County Police Department and Alexandria, Virginia Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Ray D. McKenzie, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Vinnie Lysander Taylor, a/k/a “T,” age 44, of Wilmington, North Carolina, Pennsylvania and Georgia, today to 14 years in federal prison, followed by three years of supervised release, for receiving and selling industrial grade silicone, but representing to customers that it was medical grade silicone.  A client died as a result of receiving such injections.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Prince George’s County State’s Attorney Angela D. Alsobrooks; Special Agent in Charge Mark S. McCormack of the U.S. Food & Drug Administration, Office of Criminal Investigations’ Metro Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; and Chief J. Thomas Manger of the Montgomery County Police Department.

“FDA regulates medical devices to protect the public from potentially dangerous complications and side effects. Industrial-grade silicone that is injected into individuals’ bodies can cause serious bodily injury or death,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations’ Metro Washington Field Office. “FDA’s OCI will continue to work with our law enforcement partners to bring to justice those who offer such dangerous products to the public.”           

Taylor admitted that from at least 2008 through December 16, 2014, he administered silicone injections into the buttocks of customers who wanted larger or fuller buttocks. Taylor, who was not a licensed medical practitioner, falsely represented to customers and victims to whom he administered liquid silicone injections that the procedure was safe and that he used medical grade silicone, when in fact the silicone was not medical grade silicone. Taylor administered the injections in hotel rooms in Prince George’s County, Maryland, St. Louis, Missouri, Arlington, Virginia, and elsewhere. Taylor charged between $800 and $1000 for the initial injections and between $350 and $800 for subsequent injections. When used in this fashion, liquid silicone is a medical device subject to regulation by the FDA.

In Maryland, between at least 2012 and December 2014, Taylor administered silicone injections to more than 10 individuals, representing to each victim that he used medical grade silicone and that it was safe.  In fact, Taylor did not use medical grade silicone, but used polydimethylsiloxane, a common silicone product used in commercial applications such as foods, lubricating oils, sealants and shampoos.

On March 20, 2014, Taylor injected silicone into the buttocks of a victim.  After the victim left the hotel she began having breathing difficulties.  On March 22, 2014, the victim checked herself into the hospital and two days later, she died.  An autopsy determined that the cause of death was acute and chronic respiratory failure due to a foreign substance causing a pulmonary embolization.  The medical examiner ruled the manner of death to be a homicide.  A clear viscous fluid removed from the victim’s buttocks during the autopsy was determined to be polydimethylsiloxane.

According his plea agreement, from approximately 2008 through December 2, 2014, Taylor purchased 152 gallons of food grade liquid silicone. Taylor stored the liquid silicone in plastic bottles that were not labeled nor approved by the FDA for that purpose.  Therefore, the liquid silicone was adulterated and misbranded.  The 152 gallons of silicone equates to 3,196 sessions.  At $500 per treatment, Taylor’s mid-range fee, proceeds from the illegal injections total at least $1,598,000.

As part of his plea agreement, Taylor has agreed to plead guilty to a criminal information filed in Prince George’s County Circuit Court, admitting that his conduct resulted in the death of the victim in March 2014.  In exchange, the Prince George’s County State’s Attorney’s Office dismissed first degree murder charges which were pending against Taylor.

Taylor remains detained.

United States Attorney Rod J. Rosenstein praised the FDA Office of Criminal Investigations’ Metro Washington Field Office, the Prince George’s County Police Department, Montgomery County Police Department, and the Prince George’s County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorney Deborah A. Johnston and William D. Moomau, who prosecuted the case.

Baltimore, Maryland – PNC Bank N.A. has agreed to pay the United States $9.5 million to settle claims under the False Claims Act in connection with the issuance of loans guaranteed by the U.S. Small Business Administration (SBA).  PNC is a national banking association with its principal offices located in Pittsburgh.

The settlement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; U.S. Small Business Administration Inspector General Peggy E. Gustafson; and SBA General Counsel Melvin F. Williams, Jr.

“Banks that are trusted to make loans backed by the SBA have a duty to apply proper lending standards, because the United States is obligated to pay when federally-backed loans default,” said U.S. Attorney Rod J. Rosenstein. “The government will vigorously pursue lenders that fail to enforce reasonable lending standards and stick the taxpayers with the bill for bad loans.”

“This case is the latest example of the significant, positive results achieved through the combined efforts of the SBA and the Department of Justice to uncover, and forcefully address, civil fraud committed in connection with SBA's lending programs,” said SBA General Counsel, Melvin F. Williams, Jr.  “Rooting out, and vigorously pursuing, instances of civil fraud committed by those who participate in the lending programs of SBA is among the highest priorities of this Agency.”

“The SBA Office of Inspector General will aggressively investigate wrongdoing in SBA programs,” said Inspector General Peggy E. Gustafson.  “SBA’s loan programs are designed to provide eligible small businesses access to capital to finance and grow their businesses, and SBA’s preferred lenders have a responsibility to apply prudent lending standards in making these loans.” 

The SBA Act allows banks to partner with the SBA to make loans to qualified small businesses. Participants in the SBA’s Preferred Lenders Program (PLP), like PNC, have authority to make and close these loans without obtaining the prior approval of the SBA.  Banks are required to comply with terms and conditions, including SBA regulations, standard operating procedures (“SOPs”), and prudent lending standards, when making loans under the Preferred Lenders Program.  In the event a borrower defaults on the loan, SBA guarantees to repay the lender 75% of the balance of the loan.

As a PLP lender, PNC approved 74 SBA-guaranteed loans that were brokered by Jade Capital & Investments LLC (“Jade Capital”) through its principals, including Joon Park (“Park”).  Beginning in 2006, certain Jade Capital loans went into default.  PNC submitted guaranty claims to SBA for payment for many of the defaulted loans.  The SBA approved the claims for 24 loans and paid PNC the SBA-guaranteed portion of the unpaid balance of the loans at the time of default, minus any recovery from the liquidation of business assets.

The U.S. Attorney’s Office for the District of Maryland subsequently prosecuted Joon Park and others associated with Jade Capital, for conspiring to commit bank fraud in connection with a scheme to fraudulently obtain business loans guaranteed by the SBA, with resulting losses of over $100 million. Joon Park and other defendants admitted in plea agreements that they created and submitted false and fraudulent documents to secure PNC’s loan approval.  For example, Joon Park and others used computer software programs to alter bank statements, and created false management resumes, profit/loss figures, and gift letters, among other documents.  PNC in turn approved the loans based on the documentation provided by Joon Park and others.  Joon Park and five other defendants were convicted for their roles in the scheme and sentenced to federal prison.

The United States contends that it has civil claims against PNC with regard to the Jade Capital Loans for failing to adhere to requirements as a PLP lender, including demanding adequate bank and IRS tax records from the borrowers, ensuring that the borrowers had the ability to repay the loans, and failing to apply prudent lending standards.  Moreover, PNC sought payment on SBA guarantees even though PNC should have known that SBA requirements to recover on the guarantees were not met.  

U.S. Attorney Rod J. Rosenstein thanked Assistant U.S. Attorneys Jason D. Medinger and Roann Nichols, the SBA Office of Inspector General and the SBA Office of General Counsel for the collaboration that resulted in the settlement announced today. The claims settled by this agreement are allegations only; there has been no determination of liability. Criminal charges against Jade Capital and its co-owner Loren Park, who is a fugitive, are still pending. 

Greenbelt, Maryland – A federal jury convicted Olden Minnick, a/k/a “O,” age 53, of Clinton, Maryland, today on charges connected to a conspiracy to distribute heroin and marijuana.

The guilty verdict 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; Assistant Director in Charge Paul M. Abbate of the Federal Bureau of Investigation - Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; Chief James W. Johnson of the Baltimore County Police Department; and Commissioner Kevin Davis of the Baltimore Police Department.                               

According to the evidence presented at his four-week trial, from June 2012 to December 3, 2014, Minnick conspired with Terrance Stanback, Sean Wilson, Christian Byrd, and others to distribute heroin and marijuana.  From at least June 1, 2014 to December 3, 2014, Minnick used residences in Clinton, Maryland and Capitol Heights, Maryland, for the distribution and storage of heroin and other controlled substances.  Over the course of the conspiracy Minnick used cellular telephones to arrange for the distribution of heroin and was intercepted on several occasions in 2014 arranging to provide distribution quantities of heroin.

Minnick faces a mandatory minimum sentence of 10 years in prison, and a maximum of life in prison, as well as a fine of up to $10 million.  U.S. District Judge Theodore D. Chuang has scheduled sentencing for Minnick on December 7, 2016 at 10:30 a.m.    

Co-defendant Terrance Stanback, age 52, of Clinton, Maryland, pleaded guilty to his role in the conspiracy on the day before trial and is scheduled to be sentenced on October 14, 2016 at 10:00 a.m.  Sean Wilson, age 46, of Randallstown, Maryland previously pleaded guilty to conspiracy to distribute and possess with the intent to distribute heroin and was sentenced to 11 years in federal prison.  Christian Byrd, age 45, of Laurel, Maryland, pleaded guilty to possession with intent to distribute heroin and was sentenced to 15 years in federal prison. Judge Chuang also ordered Byrd to forfeit $440,000, as the proceeds of his drug distribution.

United States Attorney Rod J. Rosenstein commended the DEA, FBI, and the Prince Georges County, Baltimore County, and Baltimore City Police Departments for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Deborah A. Johnston and Thomas P. Windom, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – U.S. District Judge George Jarrod Hazel sentenced Bryan Leneil Tiggle, age 32, of Accokeek, Maryland, late on August 15, 2016, to 10 years in federal prison, followed by four years of supervised release, for conspiracy to possess with intent to distribute cocaine 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 Hank Stawinski of the Prince George’s County Police Department.

According to their plea agreements, between April and May 2015, Tiggle and co-conspirator Sean Michael Midgette conspired to rob a drug dealer.  On April 8, 2015, Tiggle met with an undercover ATF agent and agreed to rob a cocaine dealer’s stash house, then split the 12 kilograms of stolen cocaine.  Tiggle told the undercover agent that he would bring another individual to the next meeting to discuss the robbery. On April 29, 2015, Tiggle brought Midgette to meet with the undercover agent and discuss the details of the robbery.  Tiggle and Midgette stated that they would re-package the stolen drugs before selling their portions, and offered to help the undercover agent to sell his share of the cocaine as well.

On May 8, 2015, the undercover agent spoke with Tiggle and Midgette by telephone and the conspirators confirmed that they were ready to commit the robbery.  Tiggle and Midgette drove together to meet the undercover agent at an agreed upon location.  Midgette and Tiggle confirmed to the undercover officer that they were armed and Midgette put a duffle bag containing the guns in the back seat of the undercover agent’s vehicle.  Tiggle rode with the undercover agent while Midgette followed in another vehicle.  Tiggle and Midgette were subsequently arrested by law enforcement. 

From the duffle bag, law enforcement recovered a 9 millimeter semi-automatic firearm, a .45 caliber semi-automatic pistol with an obliterated serial number, a black body armor vest, and 64 rounds of ammunition.  From Tiggle and Midgette’s vehicle officers recovered three black hoodies, gloves and a black balaclava.  A search warrant executed at Midgette’s residence also recovered digital scales, and drug packaging materials.

Sean Michael Midgette, age 33, of Upper Marlboro, Maryland, previously pleaded guilty and was sentenced to 101 months in prison.

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 Special Assistant U.S. Attorney Matthew L. Paeffgen and Assistant U.S. Attorney Thomas M. Sullivan, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Monica Kendrick, age 47, of Walkersville, Maryland, today to 27 months in federal prison, followed by three years of supervised release, for wire fraud arising from a scheme in which she embezzled money from her employer. Judge Chuang also ordered Kendrick pay restitution of $271,921.06, the total amount of loss resulting from the scheme.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Ebert of the United States Secret Service - Washington Field Office; and Chief J. Thomas Manger of the Montgomery County Police Department.

According to her plea agreement, In May 2014, Kendrick was hired as the office and finance administrator for a non-profit organization located in Silver Spring, Maryland, which acted as a trade association for the herbal products industry.  Almost immediately after being hired, Kendrick began stealing money from the company.  From May 2014 to November 2015, Kendrick wrote over 80 unauthorized checks from the company and deposited the fraudulent checks into a bank account.  She then withdrew the illicit proceeds from the account.

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 U.S. Secret Service and Montgomery County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Leah Jo Bressack, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge George L. Russell, III today sentenced Michael Smith, a/k/a Lil Mikey, age 23, of Baltimore, to 24 years in federal prison, followed by five years of supervised release, for conspiring to participate in a racketeering enterprise in connection with his gang activities as a member of the “Up the Hill,” “Up da Hill” and “UDH” (UDH) organization, which operates in the Cherry Hill section of Baltimore.

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; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.               

According to his plea agreements, from at least 1997 to 2013, the UDH organization operated in the Cherry Hill area of Baltimore.  UDH members have been in a violent dispute with both the “Coppin Court” and “Little Spelman” organizations, which are involved in criminal activity in the part of Cherry Hill known as “Down the Hill,” or “Down da Hill.”  In addition to selling drugs, UDH members have also committed murders, assaults and robberies.

Some of these acts of violence include the August 28, 2011 murder of Little Spelman member Dewayne Jones; the January 20, 2012 murder of Little Spelman leader Dominic Hope; and the August 19, 2009 murder of Charles Pratt.

Smith admitted that he shot and killed rival gang member Charles Pratt on August 9, 2009 in the 600 block of Cherry Hill Road.  Smith also admitted that on August 17, 2009, in the 1700 block of E. Lafayette Avenue he possessed a gun that he used in a shootout with another individual earlier that day.  An individual was hit in the crossfire and suffered a minor injury.  The firearm possessed by Smith was the same gun that was used in a shooting on June 13, 2009; was used to shoot and kill Charles Pratt; and was discharged on August 12, 2009.

Smith also knew that UDH members sold narcotics throughout the neighborhood.  During his involvement in the conspiracy, it was foreseeable to Smith that UDH was responsible for the distribution of at least one kilogram of heroin, five kilograms of cocaine, 280 grams of crack cocaine, and marijuana.

A total of 35 Cherry Hill gang members have pleaded guilty to their roles in the racketeering and/or narcotics distribution conspiracies, as well as to other violent crimes.

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. Mr. Rosenstein thanked Assistant United States Attorneys Andrea L. Smith, Seema Mittal, and Patricia C. McLane, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced former Baltimore City Department of Public Works (DPW) employee Tamara Oliver Washington, age 56, of Baltimore, today to 18 months in federal prison, followed by three years of supervised release, for conspiracy and solicitation of bribes.  The charges stemmed from a 14 year scheme in which Washington and other DPW employees sought and accepted cash payments from commercial trash haulers in return for allowing the commercial haulers to deposit trash at the Quarantine Road Landfill (Landfill) without paying the required disposal fees.  Judge Garbis also entered an order requiring Washington to pay restitution of $6 million.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Robert H. Pearre, Jr., Inspector General, City of Baltimore Office of Inspector General; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

The DPW’s Bureau of Solid Waste is responsible for managing Baltimore City’s waste management services, including overseeing citizen drop-off centers, such as the Northwest Transfer Station (NWTS) and the Landfill.  The waste management system generates revenue for the City by collecting and selling recyclable scrap metal dumped at the City’s trash collection facilities.  Baltimore contracts with private salvage companies to purchase and remove scrap metal from its trash collection facilities. DPW employees at the Landfill and NWTS are required to place the recyclable scrap metal in separate bins provided by the salvage companies.  The salvage companies regularly pick up the scrap metal and, based on predetermined prices per ton, the salvage companies pay the City for the value of the scrap metal.           

Baltimore residents can deposit small amounts of trash and/or recyclables in dumpsters located near the main entrance of the Landfill, free of charge.  Individuals or companies commercially hauling trash that have registered their vehicles with the City and obtained Landfill permits, as well as Baltimore residents with larger loads, must deposit their trash in an open area located further within the Landfill.  Commercial haulers of trash that meet certain vehicle weight limitations must, in addition to purchasing a Landfill permit, pay a waste disposal fee of $67.50 per ton of trash deposited at the Landfill.

According to her plea agreement, Washington was a DPW employee assigned to the scale house at the Landfill.  DPW employees assigned as scale house operators weigh each truck as it enters the Landfill, which is recorded on a computerized point-of-sale system.  To activate the system and record a particular transaction, DPW employees must enter the tag number of the truck and a corresponding billing code.  The scale house operators reweigh each truck as it leaves the Landfill.  The net weight of the deposited trash and the required disposal fee is then calculated and printed on a receipt that is handed to the driver.

Beginning in 2001, about three months after getting hired as a scale house operator at the Landfill, Washington started accepting bribe payments from small haulers in lieu of charging them the full disposal fee for using the Landfill.  Beginning in 2002, about one year after being hired, Washington started accepting bribe payments from large haulers of trash in lieu of charging them the full disposal fee for using the Landfill.  Washington and other scale house employees accepted $100 bribe payments from some haulers for each truckload of trash dumped at the Landfill. Washington participated in the bribery scheme for more than fourteen years, until her arrest in May 2015. 

Washington and others concealed the bribery scheme by not entering a truck’s registration number into the computerized scale system, which meant the transaction was not recorded.  Consequently, the transaction would not appear on the scale house’s daily logs and the commercial hauler would not be billed for using the Landfill on that particular occasion.  To maintain the pretense that the trucks had been weighed and the disposal fee paid, Washington and others would hand the truck drivers fake or blank receipts when they crossed the outbound scale.  In return, the commercial haulers either paid the $100 bribe through the outbound window at the scale house or met with Washington or another scale house operator at an off-site location to pay a week’s worth of bribes or more.  The commercial haulers always paid the $100 bribes in cash. 

By paying the $100 bribes in lieu of the disposal fees, these haulers saved their businesses thousands of dollars each month, which, in turn, cost the City of Baltimore more than $6 million in revenue.  From July 1, 2014 through May 1, 2015 alone, Washington accepted on her own behalf, and on behalf of other DPW employees, more than $40,000 in bribe payments from one individual in return for not charging the individual or his company the required waste disposal fees, which totaled approximately $120,000 during that period of time. 

Six Baltimore Department of Public Works (DPW) employees and six commercial trash haulers have been convicted in federal court for this scheme, and/or a second scheme in which DPW employees stole scrap metal from the Landfill for personal gain.   

United States Attorney Rod J. Rosenstein praised the FBI, IRS-CI, Baltimore Office of Inspector General, and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys Martin J. Clarke and Leo J. Wise, who prosecuted the case.

Baltimore, Maryland – Brian Nelson Halsey, age 52, of Westminster, Maryland, formerly of Dundalk, Maryland, pleaded guilty today to interstate transportation of stolen goods in connection with a scheme to sell property stolen from shopping mall kiosks online.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to his plea agreement, from October 7, 2014 through March 29, 2016, Halsey used online accounts opened in different names and identities to sell stolen items, including designer sunglasses, and shipped the items nationwide from his home in Dundalk, Maryland. 

Specifically, Halsey’s co-conspirator broke into kiosks and stores in shopping malls in Cape Girardeau, Missouri; Fairview Heights, Illinois; and Myrtle Beach, Wilmington, Columbia, and Florence, South Carolina, and stole merchandise which he brought to Halsey in Maryland. Halsey sold the property through an online market, and used the U.S. Postal Service and commercial carriers to ship the stolen property to the buyers. Halsey provided cash from the sale of the stolen property to his co-conspirator and also helped to finance the co-conspirator’s travel and travel expenses to other states to commit thefts in order to obtain more property for sale.  Halsey maintained multiple online market accounts, online payment accounts, and bank accounts under different names and identities during the scheme.

On August 28, 2015, law enforcement searched Halsey’s residence and recovered over $200,000 worth of stolen designer sunglasses, as well as a printing and labeling system, and a large number of documents related to selling sunglasses through an online market. Law enforcement also recovered lock-pick kits and numerous atlases and street maps.

Halsey admitted that more than five individuals participated in the scheme, helping Halsey to package and ship the stolen sunglasses, providing their identification information to Halsey to set up bank and online accounts, and/or assisting in the thefts.  Halsey organized the sale of items online and their shipment to buyers outside Maryland.  The estimated loss from the scheme was approximately $500,000. 

Halsey faces a maximum sentence of 10 years in prison.  As part of his plea agreement, he will also be required to pay restitution in the full amount of the victims’ losses.  U.S. District Judge Richard D. Bennett has scheduled sentencing for November 15, 2016 at 3:00 p.m.  Halsey remains detained.

United States Attorney Rod J. Rosenstein commended FBI and Maryland State Police 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 George L. Russell, III sentenced Elijah Sykes-Bey, a/k/a LaLa, age 22, of Baltimore, today to 24 years in prison, followed by five years of supervised release, for conspiracy to participate in a racketeering enterprise in connection with his gang activities as a member of the UDH organization, which operates in the Cherry Hill section of Baltimore. 

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; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.

According to his plea agreement, from at least 2007 to 2013, the UDH organization operated in the area of Cherry Hill known as “Up the Hill” or “Up da Hill.”  UDH members and associates have been in a long-running dispute with members of an organization known as “Coppin Court” that is involved in criminal activity in the part of Cherry Hill known as “Down the Hill,” or “Down da Hill,” (DDH), and since at least January 2011, have been in a dispute with members of “Little Spelman,” another organization that is involved in criminal activity in the DDH section of Cherry Hill. UDH members and associates used violence and intimidation to protect themselves, the organization, and their control of the drug trade in part of Cherry Hill.

In addition to selling drugs, UDH members have also committed murders, attempted murders, assaults, carjackings, and robberies. Beginning in 2004, UDH members committed six murders of rival gang members and/or drug dealers, and shot nine other individuals. In addition, the members of UDH committed street and bank robberies in order to fund their narcotics activities.

Sykes-Bey admitted that as a member of UDH he was part of a racketeering enterprise and protected the gang’s power, territory and profits through the use of violence, threats of violence, intimidation, robbery, and narcotics trafficking. Sykes-Bey also admitted that he participated in the murders of two rival gang members.

Sykes-Bey also knew that UDH members sold narcotics throughout the neighborhood.  During his involvement in the conspiracy, it was foreseeable to Sykes-Bey that UDH was responsible for the distribution of at least one kilogram of heroin, five kilograms of cocaine, 280 grams of crack cocaine, and marijuana.

A total of 35 Cherry Hill gang members have pleaded guilty and 27 of those defendants, including Elijah Sykes-Bey, have been sentenced.

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. Mr. Rosenstein thanked Assistant United States Attorneys Andrea L. Smith, Seema Mittal, and Patricia C. McLane, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced John Gilmore, age 41 of Baltimore, today to 77 months in federal 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 City State’s Attorney Marilyn J. Mosby; and Baltimore Police Commissioner Kevin Davis.

“Shortly after serving five years in federal prison for a gun conviction, and while still being supervised by a federal probation officer, John Gilmore returned to the streets of Baltimore with a loaded gun,” said U.S. Attorney Rod J. Rosenstein. “Other criminals should be on notice about the prospect of spending six more years in federal prison for possessing a gun.”

According to his plea agreement, on September 17, 2015, a Baltimore Police officer was in a covert location watching the 1800 block of Edmondson Avenue when he received information that there was a possible armed person in the area.  According to the information, the individual was a male carrying a black and red book bag and was armed with a handgun.  Shortly after receiving the information, the officer saw a man matching the description and notified officers who were in an unmarked car close by.  The individual, later identified as Gilmore, became noticeably nervous and tense when he saw the officers.  The officers got out of the car and asked Gilmore what was in the bag. Gilmore stated, “a .38 snub nose.”  Officers recovered a black .38 caliber revolver, four live cartridges, and a stun gun from the book bag.  Gilmore was arrested. 

At the time of his arrest on September 17, 2015, Gilmore was on federal supervised release for a 2011 case in which he was also convicted of being a felon in possession of a firearm.  The possession of the gun on September 17, 2015 violated his conditions of release.  Judge Bennett today also sentenced Gilmore to two years in federal prison for violating his supervised release.  That sentence is to be served concurrent to the 77 months sentence imposed for the 2016 federal gun conviction.

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 Special Assistant United States Attorney H. Brandis Marsh, Jr., a cross-designated Baltimore Assistant State’s Attorney assigned to Exile cases, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Brian T. McClurkin, age 28, of Baltimore, today to 10 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute heroin. 

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

According to his plea agreement, from June through September 2014, McClurkin conspired with Phillip Vaughn and others to distribute heroin in Baltimore.  During July and August, McClurkin was overheard by law enforcement discussing the distribution of heroin on his cell phone.  On August 27, 2014, members of the Baltimore Police Department and DEA conducted undercover purchases of heroin from Vaughn and a co-conspirator.  During the purchases, Vaughn was observed brandishing a firearm.  Vaughn and the co-conspirator were subsequently arrested and the gun and additional quantities of heroin were recovered.  Both the heroin distribution and the firearm were discussed by McClurkin during calls intercepted by law enforcement.

McClurkin admitted that during his participation in the conspiracy between 100 grams and 1 kilogram of heroin was distributed.

Phillip Vaughn, age 26, of Baltimore, previously pleaded guilty to his role in the conspiracy and was sentenced to five years in federal prison.

United States Attorney Rod J. Rosenstein commended the DEA, Baltimore Police Department and Baltimore City State’s Attorney=s Office for their work in the investigation.  Mr. Rosenstein thanked Special Assistant United States Attorney H. Brandis Marsh, Jr., a cross-designated Baltimore Assistant State’s Attorney assigned to Exile cases, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Erica Lee Buffolino, age 25, of Hagerstown, Maryland late on August 2, 2016, to 71 months in federal prison, followed by three years of supervised release, for conspiracy to distribute heroin and distribution of heroin.

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; Washington County Sheriff Douglas Mullendore; and Hagerstown Police Chief Victor V. Brito.

“This investigation and case represents the dangers of heroin use, possession, and distribution, not only in Metropolitan areas like Baltimore, but also in more rural areas like Hagerstown and Western Maryland” stated Assistant Special Agent in Charge Don A. Hibbert.  “People need to be aware of the fact that heroin kills.  If you distribute heroin to someone and that person dies as a result of using the heroin, you are complicit in their death, it is as simple as that.  Given the fact that the heroin on the street today is much more potent than it was 10, or even 5 years ago, and that it can be “cut” with fentanyl or other unknown ingredients, heroin use is a death waiting to happen.”

According to Buffolino’s plea agreement, early on April 13, 2015 Buffolino met the victim, a 19-year old woman from Clear Spring, Maryland, at a residence in Hagerstown. Buffolino was a long-time heroin addict and the victim was a recovering heroin addict who had recently been released from jail. While at the residence, the victim asked Buffolino to give her heroin.  Buffolino initially refused, but sometime after 1:30 a.m., she agreed to share her “morning stash” of heroin with the victim, who injected the heroin and became high. 

Buffolino later called co-defendant Cory Kline to obtain more heroin. Cory Kline and another co-defendant arrived at the residence sometime after 3:00 a.m. and the victim purchased half a gram of heroin to repay Buffolino for the “morning stash” of heroin that she had shared earlier.  According to Buffolino, the victim again asked for some of the heroin and Buffolino initially resisted.  Eventually, Buffolino relented and provided some heroin to the victim. After injecting the heroin, the victim became very high and reported feeling ill and wanting to lie down. The victim fell asleep in Buffolino’s bed, but Buffolino woke her up when she noticed the victim was having difficulty breathing. Kline left the residence sometime before 6:00 a.m. Buffolino and the victim got into an argument and the victim left the residence in her car at about 6:15 a.m. The victim spoke to another individual on her cell phone from that time until approximately 7:06 a.m. on April 13. According to this individual, the victim stated she was very high and did not feel right, and the individual could hear the victim throwing up. The victim reported driving to a convenience store parking lot, and then to a nearby church. Toward the end of the call, the victim began nodding off and then stopped speaking.  The victim’s body was discovered the following day in her car in a church parking lot in Hagerstown. The medical examiner reported that the cause of death was heroin intoxication. There were no drugs or drug paraphernalia found inside the vehicle, nor does the victim’s cell phone reflect any completed calls or outgoing messages after 7:06 a.m. on April 13. 

Cory Allen Kline, age 32, of Hagerstown, Maryland, previously pleaded guilty to conspiracy to distribute heroin and was sentenced to eight years in prison.

United States Attorney Rod J. Rosenstein commended the DEA and Washington County Narcotics Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Christina Hoffman and Robert R. Harding, who prosecuted the case.

Greenbelt, Maryland – A federal grand jury returned a superseding indictment today charging Justin Larson, age 30, of Gaithersburg, Maryland, with one count of distribution of acetyl fentanyl, which resulted in death; five counts of possession or attempted possession of a controlled substance and controlled substance analogue with intent to distribute; and one count of possession and distribution of a controlled substance.  The superseding indictment also includes the charges from the original indictment of distribution of acetyl fentanyl, which resulted in death, and conspiracy to distribute narcotics.

The superseding indictment 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); Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.

According to the nine count superseding indictment, from May 2014 through March 17, 2016, Larson participated in a conspiracy to distribute acetyl fentanyl, and furanyl fentanyl, a controlled substance analogue.  The superseding indictment alleges that on May 9, 2014, and October 14, 2015, Larson distributed acetyl fentanyl to individuals, resulting in the death of those individuals.

Larson faces a mandatory minimum sentence of 20 years and up to life in prison for each of the two counts of distribution of acetyl fentanyl with death resulting; and a maximum of 20 years in prison for each of the six possession and distribution counts, and for the narcotics conspiracy.  An initial appearance has been scheduled for August 9, 2016, at 3:30 p.m. in U.S. District Court in Greenbelt, Maryland.  Larson 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 praised HSI Baltimore, the 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 – U.S. District Judge Marvin J. Garbis sentenced Darius Raymond Stewart, age 22, of Baltimore, Maryland today to five years in federal prison, followed by three years of supervised release, for malicious destruction of property by fire, arising from the arson of a liquor store on April 27, 2015, during the riots following the death of Freddie Gray. One victim was seriously injured inside the store, and another escaped with minor injuries. Judge Garbis also ordered that Stewart pay restitution of $378,526.56, the approximate cost to repair and restore the building.

“Surveillance cameras recorded Darius Stewart setting fire to a store with people inside, while other rioters viciously attacked the store owner,” said U.S. Attorney Rod J. Rosenstein. “When the evidence proves that criminals destroyed property and jeopardized lives, they must be held accountable.”

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 (ATF) - Baltimore Field Division; Maryland State Fire Marshal Brian Geraci; and Commissioner Kevin Davis of the Baltimore Police Department.

According to his plea agreement, on April 27, 2015, during civil unrest in the wake of the funeral for Freddie Gray, there was widespread looting, and multiple structure and vehicle fires were set in Baltimore.  The two owners of a liquor store located on West North Avenue were inside their store when the first wave of approximately 20 to 30 people entered the business and began banging on the bulletproof plexiglass window with pipes and crow bars.  The group was chased off by a community member. 

Shortly thereafter, a second wave of approximately 150 people entered the business and began ransacking and looting the store.  One of the business owners was assaulted, including by Trevon Green, resulting in a facial injury, and was eventually rescued by police.  Baltimore CitiWatch surveillance footage captured individuals robbing and repeatedly assaulting the owner as he was outside his store while it was being looted. 

The second owner fled upstairs and was able to hide on an enclosed balcony as the looters broke down the door and looted the second floor. 

At approximately 8:30 p.m. that night, Stewart set three fires inside the store.  Surveillance footage clearly captured Stewart starting the fires and then going out to the street to get paper and cardboard to feed the fires he had set.

Smoke from the fires spread upstairs where the second owner was hiding. He was able to escape the burning building by using the gutter in an effort to slow his fall as he jumped to the ground.  He suffered head trauma and injured his ankle.  He was able to escape in his vehicle.

Baltimore City Fire Department responded to the scene.  While extinguishing the fire, fire department personnel discovered an unconscious victim in the basement of the building.  The victim suffered smoke inhalation and carbon monoxide poisoning, and was hospitalized for five days.

The investigation into arsons that occurred on April 27, 2015, is continuing.  Anyone with information is urged to call the ATF hotline, 1-888-ATF-FIRE (1-888-283-3473). ATF continues to offer a reward of up to $10,000 for information leading to the arrest and conviction of any individual responsible for these incidents.

Federal prosecutors previously have charged four other defendants for arson crimes committed during the Baltimore riots on April 27, 2015. Trevon Green, age 23, of Baltimore, pleaded guilty to the arson of a Baltimore food market and admitted that he participated in the looting of the liquor store set on fire by Stewart, and assaulted the store’s owner.  Green is scheduled to be sentenced on August 24, 2016, at 3:00 p.m.  Gregory Lee Butler, Jr., a/k/a Greg Baly, age 22, of Baltimore, pleaded guilty to the federal indictment charging him with obstruction of firefighters during a civil disorder, and is scheduled to be sentenced on September 20, 2016.  Donta Betts, age 20, of Baltimore, was sentenced to 15 years in prison for making a destructive device in connection with the April 27, 2015, riots in Baltimore and, in an unrelated case, for discharge of a firearm in furtherance of a drug trafficking crime on July 2, 2015. Raymon Carter, age 25, of Baltimore, Maryland, pleaded guilty to the federal crime of rioting, including the arson of the CVS Pharmacy on April 27, 2015, and was sentenced to four years in prison and ordered to pay restitution of $500,000.

United States Attorney Rod J. Rosenstein commended ATF, Maryland State Fire Marshal’s Office, and the Baltimore City Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.

Baltimore, Maryland – The U.S. Attorney’s Office for the District of Maryland will join law enforcement and community leaders on Tuesday, August 2nd at Beckett Field in New Carrollton, Maryland, and Carrollton Park in Frederick, Maryland, as part of the annual National Night Out crime and drug prevention event.

The New Carrollton event, sponsored by The Friends of New Carrollton Police Foundation in partnership with the Lanham Target, will be held from 5:00 – 8:00 p.m. at Beckett Field.  Led by the New Carrollton Police Department and celebrating police and community partnerships, the event features water slides, a car show, rides, food and fun.

From 6:00 – 9:00 p.m., the Frederick Police Department and Neighborhood Advisory Councils are sponsoring events at five locations, including Carrollton Park, Lake Coventry Park, Lucas Village Park, Mullinix Park and the YMCA.  The events feature safety information, a K-9 demonstration, children’s activities, police displays, food, giveaways and much more.

National Night Out is designed to: heighten crime and drug prevention awareness; generate support for and participation in local anticrime efforts; strengthen neighborhood spirit and police-community partnerships; and send a message to criminals letting them know neighborhoods are organized and fighting back.

“National Night Out events are a wonderful opportunity for neighbors to get to know their local police officers,” said U.S. Attorney Rod J. Rosenstein. “When police and community members stand together it sends a strong message that crime will not be tolerated.”

“National Night Out provides the department with an opportunity to strengthen our community partnerships that in turn allows us to bolster our ability to work together towards keeping our neighborhoods safe,” said Frederick Police Department Chief Edward G. Hargis.

National Night Out organizers are expecting over 16,000 communities and 38 million people nationwide to take part in community events on Tuesday.

Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Sultana Siddiqui, a/k/a Sultana Ahmad, age 56, of North Potomac, Maryland, today to two years in federal prison, followed by three years of supervised release, for conspiring to commit wire and mail fraud arising from an investment fraud scheme.  Judge Chuang also entered an order requiring Siddiqui to forfeit $405,000, and pay restitution of $402,800, the loss resulting from the scheme minus $2,200 in “lulling payments” paid to two of the victims in order to prevent them from going to authorities. 

Judge Chuang ordered that Siddiqui be immediately taken into custody after finding that she violated the conditions of her pretrial release by visiting the victims this weekend.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Olga Acevedo of the Federal Housing Finance Agency Office of Inspector General; and Montgomery County State’s Attorney John McCarthy.

According to her guilty plea, Siddiqui was a mortgage broker who falsely represented to individual victims that co-conspirator Alexander Matthews was an investor or developer who could secure substantial returns on the victims' investments in a short time period. Siddiqui solicited investments from each of the victims, vouched for Matthews's trustworthiness and business acumen, and received money from the victims. She deposited most of the money from the victims into her personal bank account. Then she and/or Matthews provided each victim with a post-dated check in the amount of the victim's investment plus the promised return. None of the post-dated checks were negotiable on the promised return date. After the victims discovered that the post-dated checks were not negotiable, Siddiqui and/or Matthews sent lulling payments and/or email communications to the victims.

For example, in 2008, a real estate agent and her husband agreed to invest $300,000, drawn on their home equity line of credit, to renovate a home in Clifton, Virginia, which Siddiqui and Matthews claimed was to be leased by the FBI.  Siddiqui, however, deposited the money in her personal bank account, and no lease agreement existed with the FBI.  Siddiqui and Matthews used the money for their own benefit, providing only a small number of lulling payments to the victims. 

In November 2010, at Siddiqui’s urging, another victim agreed to invest $50,000 with Matthews and give Siddiqui a $5,000 personal loan. In return, Siddiqui gave the victim a promissory note for the investment signed by Matthews, and two post-dated checks: one for $6,000 from a bank account held by Siddiqui; and one for $60,000 from an account held by Matthews. When the victim attempted to cash the checks, a bank official told her they were not negotiable.  Siddiqui sent several lulling emails to the victim, claiming that she would be repaid, but the victim has not received any payment.

Siddiqui and Matthews defrauded the victims of approximately $355,000.

Siddiqui admitted to defrauding another individual of $50,000 in a transaction in 2014.

Alexander Matthews, age 50, of Dunn Loring, Virginia, pleaded guilty in 2011 in federal court in the Eastern District of Virginia to his participation in the conspiracy and was sentenced to 10 years in prison.

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 http://www.justice.gov/usao-md/financial-fraud-and-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, Federal Housing Finance Agency Office of Inspector General, and Montgomery County State’s Attorney’s Office for their work in the investigation and thanked Assistant U.S. Attorney Ray D. McKenzie, who prosecuted the case.

Baltimore, Maryland – Issah Mohammed, a/k/a Yissa and Ali, age 28, a citizen of Ghana residing in Laurel, Maryland, pleaded guilty today to federal bank fraud and wire fraud conspiracy charges related to a scheme in which Mohammed and his co-conspirators impersonated individual victims to remove funds from the victims’ investment accounts.  Mohammed also pleaded guilty to conspiracy to transport stolen motor vehicles in connection with his participation in a conspiracy to transport stolen vehicles to Africa.

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); U.S. Customs and Border Protection Baltimore Port Director Dianna Bowman; Chief James W. Johnson of the Baltimore County Police Department; and Chief Hank Stawinski of the Prince George’s County Police Department.

According to his plea agreement from at least January 31, 2013, through May 12, 2014, Mohammed were part of a conspiracy that acquired stolen vehicles, some of which were stolen from other states and transported to Maryland, and then shipped to Africa for sale. Members of the conspiracy in the United States would hire other to steal vehicles – with the keys – so that the vehicles could be more easily sold.  Mohammed and other members of the conspiracy: purchased the stolen vehicles from the thieves or an intermediary; arranged to store the vehicles at parking lots and other locations, known as “cooling spots”; loaded the vehicles into a shipping container; and transported the containers to a port, including the Port of Baltimore, for export to destinations including Lagos, Nigeria and Accra, Ghana.

In order to ship vehicles overseas, shipping companies are required to have valid titles for the vehicles.  As part of the scheme, Mohammed and other members of conspiracy used fraudulent title information in an effort to conceal that the cars they sought to ship had been stolen.  Mohammed and other conspirators: acquired false Vehicle Identification Numbers (VINs) and replaced the true VINs on the stolen vehicles; and registered businesses with the state of Maryland, then used these businesses to create registration paperwork for the vehicles, including false bills of sale utilizing the false VINs.  In that manner, the conspirators were able to acquire or forge title(s), registration(s), and proof of insurance for the vehicles to fill out the necessary paperwork in order to be able to ship the cars overseas.  The loss for the cars, both recovered and not recovered, was over $200,000.

Further, Mohammed admitted that from March through November 2104, he and his conspirators stole money from the accounts of individual victims.  The conspirators obtained the email addresses of victims, then purporting to be the victims, sent emails to investment account managers requesting that funds be wired into a business account controlled by Mohammed or a co-conspirator.  They also obtained victims’ account information at various investment account firms and took over the online accounts of the victims. Mohammed and others also created fraudulent checks and cashier’s checks drawn on the victims’ accounts. Conspirators recruited by Mohammed deposited those checks into bank accounts they controlled.  Mohammed and others then withdrew or transferred the funds from the business account they maintained to receive the victims’ funds to other accounts controlled by the conspirators before the bank discovered the fraud.  The total intended loss was approximately $1,022,183.10.  The actual loss, that is funds successfully withdrawn, was $292,463.19. 

The proceeds from the bank and wire fraud conspiracy were pooled with the funds used and generated from the purchase and sale of the stolen vehicles.

Mohammed faces a maximum sentence of 30 years in prison for the bank and wire fraud conspiracy, and a maximum of five in prison for conspiracy to transport stolen motor vehicles.  U.S. District Judge J. Frederick Motz scheduled sentencing for October 7, 2016 at 2:15 p.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 HSI Baltimore, U.S. Customs and Border Protection and the Baltimore County and Prince George’s County Police Departments for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok and Zachary A. Myers, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced physician William Crittenden III, age 52, of Kensington, Maryland today to three years in prison, followed by three years of supervised release, for conspiring to distribute oxycodone and alprazolam, and eight separate counts of unlawfully distributing oxycodone.  Crittenden was convicted by a federal jury on February 19, 2016, after an 11 day trial.

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; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

“State and federal authorities are working to shut down ‘pain clinics’ that are really just fronts for criminals who divert pharmaceutical drugs,” said U.S. Attorney Rod J. Rosenstein. “William Crittenden prescribed opioid drugs to people who had no medical need for the drugs. Pharmaceutical pills can be just as harmful as illegal drugs when they are used without proper oversight.”

According to court documents and evidence presented at trial, co-defendants Michael Resnick, Alina Margulis and Gerald Wiseberg owned and operated Healthy Life, a purported pain management clinic, first in Owings Mills, Maryland, and later in Timonium, Maryland, from March 2011 until it closed on May 15, 2012.  Both Healthy Life locations attracted large and unruly crowds.  Customers caused disturbances outside the locations, used narcotics inside the clinic, and engaged in narcotics transactions in the parking lot.  Over 80% of Healthy Life’s customers were from out of state.

Wiseberg interviewed and hired Crittenden to serve as one of the first medical directors at Healthy Life because Wiseberg believed that Crittenden would write narcotics prescriptions for customers without a legitimate medical need.  Customers to Healthy Life paid at least $300 for an initial visit and at least $250 for all subsequent visits and the fees were collected upfront. Crittenden was paid $1,500 a day by the managers of Healthy Life, and received a total of $104,500 over just four months while he was engaged in the scheme.  During this time, Crittenden knowingly provided prescriptions to individuals who were addicted to oxycodone and only wanted more pills to feed their addictions, and to individuals who wanted to sell the narcotic pills on the street.  Crittenden knowingly provided prescriptions to Healthy Life customers even after their urinalysis results showed the presence of illicit substances such as cocaine and marijuana. Finally, Crittenden made false entries in patient files to make it seem as if he had conducted full physical exams on customers when in fact he had not.

Crittenden was the medical director of Healthy Life from April 2011 until his resignation in August 2011 when the Maryland Board of Physicians - the agency authorized to issue licenses to practice medicine in Maryland and to discipline licensees - initiated an investigation into Crittenden’s prescribing practices.  This investigation ultimately led the Maryland Board of Physicians to suspend Crittenden’s medical license.

To maximize profits, prescribing physicians, including Crittenden, were encouraged: to prescribe the maximum amount of oxycodone to each customer; and to write prescriptions for 28-day cycles as opposed to 30-day cycles. Additionally, Margulis and Resnick handled complaints by Healthy Life customers who were unhappy with the prescriptions they received, particularly when a medical provider might prescribe less oxycodone than the customer wanted.  In those instances, Margulis and Resnick would intervene and ask the prescribing medical provider to reconsider, knowing it would lead the provider to give the customer what the customer wanted.           

Michael Resnick, a/k/a Michael Reznikov, age 55, and his wife, Alina Margulis, age 49, both of Brooklyn, New York, previously pleaded guilty to conspiracy to distribute oxycodone and alprazolam and were sentenced to three years in prison and a year and a day in prison, respectively. Margulis also pleaded guilty to money laundering, and Resnick also pleaded guilty to structuring currency deposits. Resnick and Margulis were also ordered to forfeit $280,000. 

Gerald Wiseberg, a/k/a Gerry Wiseberg and Jerry Wiseberg, age 82, of Boca Raton, Florida, previously pleaded guilty and was sentenced to three years in prison for conspiring to distribute oxycodone and other drugs. Chief Judge Blake also ordered that Wiseberg forfeit $273,000.

United States Attorney Rod J. Rosenstein commended DEA, IRS-CI, Baltimore County Police Department and Baltimore County State’s Attorneys’ Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Jason D. Medinger and Peter J. Martinez, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – A Nigerian national pleaded guilty this week to a federal wire fraud conspiracy for using the personal identifying information (PII) of individual victims to commit stolen identity refund fraud (SIRF).  In a separate scheme, two Baltimore area women were sentenced to federal prison in a bank fraud scheme, which also used the PII of victims.

Adebola Opeyemi Adeniyi, age 31, a Nigerian citizen and a resident of Baltimore, pleaded guilty today to conspiring to commit wire fraud in a SIRF scheme, using the personal identifying information (PII) of individual victims to defraud the IRS by obtaining over $655,000 in fraudulent tax refunds.

Chief U.S. District Judge Catherine C. Blake sentenced LaKeisha Butler, age 33, of Columbia, Maryland to 30 months in prison on July 22, 2016, and on July 26, 2016, sentenced co-defendant Kesa Baker, age 43, of Baltimore, to 13 months in prison, after giving her credit for 13 months she served on a related case in Pennsylvania, each followed by five years of supervised release, for their roles in a $1.5 million bank fraud scheme. Six additional co-defendants are awaiting sentencing in this case, including Terry Bowman, age 55, of Laurel, Maryland.  On June 9, 2016, Bowman was convicted by a federal jury for conspiracy, bank fraud, and aggravated identity theft.

The guilty plea and sentences were 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); Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office; and Chief James Johnson of the Baltimore County Police Department.

According to his plea agreement, from October 17, 2013 through March 17, 2015, Adeniyi and his co-conspirators filed false tax returns, arranging for the electronic transfer of the fraudulently obtained tax refunds to prepaid debit cards.  Adeniyi also obtained victims’ account information from the 2013 Target Store data breach, which he and other participants in the scheme used to re-encode the magnetic strips of payment cards in their possession.  Adeniyi and other participants used the debit cards loaded with SIRF funds and the re-encoded payment cards to purchase money orders, some of which they cashed at check cashing businesses. Adeniyi shared the cash proceeds with other participants in the scheme. The total value of money orders purchased with SIRF funds and cashed by Adeniyi or at his direction was at least $665,635.  The total value of money orders purchased with account information compromised during the Target Store data breach and cashed at Adeniyi’s direction was at least $80,500.  

Further, Adeniyi admitted that he used some of the money orders obtained from the two schemes to: purchase vehicles at auctions in Maryland, and arrange for their shipment to purchasers in Nigeria; and to engage in currency exchange transactions, exchanging U.S. currency for Nigerian currency at competitively low rates. 

In a separate case, co-defendants Butler and Baker participated in a scheme to defraud financial institutions by depositing counterfeit and stolen checks into bank accounts opened and controlled by the conspirators, and withdrawing the funds before the deposits were identified as fraudulent.  Among other things, Butler and Baker opened accounts using the PII of others, and deposited and cashed checks. Baker and Butler generally received 5-10% of any checks they cashed.  Butler, Baker and their co-conspirators obtained extensions of credit from federally insured financial institutions of $1,519,429.52 and attempted to obtain extensions of credit of $3,149,616.10. 

Adeniyi faces a maximum sentence of 20 years in prison for the wire fraud conspiracy.  U.S. District Judge J. Frederick Motz scheduled his sentencing for September 30, 2016, at 11:00 a.m.   As part of his plea agreement, Adeniyi will also be required to pay restitution of $550,000, the full amount of the victims’ losses.  Co-conspirators Mayowa Olabiyi Towobola, age 25, of Parkville, Maryland, and Hafis Omowonuola Oladokun, age 39, of Owings Mills, Maryland, previously pleaded guilty to their involvement in the wire fraud conspiracy and are awaiting sentencing

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 HSI-Baltimore, the U.S. Postal Inspection Service, IRS-CI and Baltimore County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Paul E. Budlow and Matthew J. Maddox, who are prosecuting the Adeniyi case; and Assistant U.S. Attorney Tamera L. Fine, who prosecuted the Butler and Baker case.

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Jeffrey Sean Nazari, age 44, of Silver Spring, Maryland, today to 15 years in federal prison, followed by three years of supervised release, for distributing a controlled substance analogue, and being a felon in possession of a firearm. Nazari admitted that a victim died from using the acetyl fentanyl analogue that he distributed.

The sentence 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; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.      

According to his plea agreement, for about five years Nazari knew and periodically sold heroin and other drugs to the victim. On January 4, 2015, Nazari and the victim exchanged texts wherein Nazari agreed to provide the victim with drugs.  Nazari went to the victim’s residence and distributed acetyl fentanyl to the victim.  The next day, the victim was found dead. The Office of the Chief Medical Examiner determined that the victim’s cause of death was acetyl fentanyl intoxication.

On January 6, 2015, another drug customer went to Nazari’s residence.  As the customer left the area, members of law enforcement stopped and searched the customer’s vehicle and recovered residue from the acetyl fentanyl analogue that Nazari had sold to the customer, as well as drug paraphernalia with acetyl fentanyl analogue and heroin residue.  

On January 7, 2015, a search warrant was executed at Nazari’s residence. When law enforcement entered, Nazari was in the basement bathroom, attempting to flush drugs down the toilet.  Law enforcement seized from the basement bathroom approximately 7.5 grams of acetyl fentanyl analogue, 10 grams of cocaine, and nine grams of testosterone. In addition, members of law enforcement seized two digital scales from the basement bedroom closet, and a loaded .380 caliber handgun from the basement bedroom nightstand.  Nazari had previous felony convictions and was prohibited from possessing firearms or ammunition. 

United States Attorney Rod J. Rosenstein praised the DEA, Montgomery County Police Department, and the Montgomery County State’s Attorney’s Office for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorneys Arun G. Rao and Nicolas A. Mitchell, who prosecuted the case.

Baltimore, Maryland –Michael L. Fischer, age 42, of Toledo, Ohio, pleaded guilty today to the federal charge of transportation of a minor with intent to engage in criminal sexual activity. Fisher admitted that he transported a girl from Maryland to Ohio to engage in sexual activity.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation - Baltimore; Special Agent in Charge Stephen D. Anthony of the Federal Bureau of Investigation – Cleveland, Ohio; Commissioner Kevin Davis of the Baltimore Police Department; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to his plea agreement, in the summer of 2014, Fischer and the victim met online and communicated using chat rooms, social media, and telephone during the summer and fall of 2014. The victim told Fischer that she was 15 years old from their earliest communications, and prior to Fischer meeting the victim in person.  In August and early September 2014, Fischer travelled from Ohio to Maryland and engaged in sexual activity with the girl.  On September 19, 2014, Fisher and his wife travelled from Ohio to Maryland and picked the girl up near her home in the early morning of September 20, 2014.  Fischer and his wife then transported the girl to Fischer’s home in Toledo. At the time, Fisher’s wife was not aware that Fisher had been engaging in sexual conduct with the victim.  Between September 20 and 26, 2014, Fischer engaged in sexual conduct with the victim in Ohio. 

On September 23, 2014, the Fischers were contacted by law enforcement regarding the victim’s whereabouts.  According to his plea agreement, prior to meeting with law enforcement, the Fischers dropped the victim off at a store in Toledo.  Fischer lied to law enforcement officers that he did not know where the victim was and suggested to law enforcement that he believed she may be in Florida.  After the meeting, Fischer transported the victim from Ohio to Brighton, Michigan, and left the victim with one of his relatives.  She was recovered by law enforcement officers two days later.

Fischer and the government have agreed that if the Court accepts the plea agreement Fischer will be sentenced to between 84 and 151 months in prison, followed by between 10 and 20 years of supervised release.  U.S. District Judge Ellen L. Hollander has scheduled sentencing for October 20, 2016 at 10:00 a.m.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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.  

The case was investigated by the FBI-led Maryland Child Exploitation Task Force (MCETF), created in 2010 to combat child prostitution, with members from10 state and federal law enforcement agencies.  The Task Force coordinates with the National Center for Missing and Exploited Children and the Maryland State Police Child Recovery Unit to identify missing children.  

United States Attorney Rod J. Rosenstein commended the FBI Baltimore, Cleveland, Ohio and Detroit, Michigan Field Offices, the Baltimore Police Department, Maryland State Police, and the Toledo Child Exploitation Task Force for their work in the investigation, and thanked the Brighton, Michigan Police Department, the Livonia, Michigan Police Department and the Michigan State Police for their assistance.  Mr. Rosenstein thanked Assistant U.S. Attorneys Zachary A. Myers and Ayn B. Ducao, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Taylor King Pepe, age 21, of Laurel, Maryland today to 35 years in federal prison, followed by five years of supervised release, for an armed robbery conspiracy, and for aiding and abetting the brandishing and use of a gun during a crime of violence, arising from the robbery of Russell Rowe, who was shot and killed. There is no parole in the federal criminal justice system.  At today’s sentencing hearing, Judge Russell found that Pepe was an organizer and leader of the armed robbery conspiracy.

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; Chief Gary Gardner of the Howard County Police Department; and Howard County State’s Attorney Dario Broccolino.

According to his plea agreement, on January 23, 2014, Pepe, Desmick Lewis, Amanda McAdoo and Lauren Maready planned to rob Russell Rowe of Oxycodone pills.  Maready drove the conspirators to the location where McAdoo had arranged to meet Rowe, purportedly to buy the pills from him. 

When they arrived at the meeting place, Lewis hid behind a fence and McAdoo went to meet Rowe in his car, while Pepe and Maready remained in her car.  Lewis approached Rowe’s car and began shooting. Upon hearing the shots, Pepe and Maready drove away, leaving Lewis and McAdoo.  Rowe was discovered by Howard County Police a short time later, after his car had run into a tree.  There were bullet holes in the driver’s side window and Rowe had been shot several times in the head.  He subsequently died.  The conspirators met a short time later near McAdoo’s residence in Laurel, close to where the shooting occurred.  Pepe told Maready to drive them to his friend’s home in Elkridge, Maryland, where Pepe and McAdoo went inside and discussed the robbery/murder. Maready then drove Pepe, McAdoo and Lewis to Lewis’ grandmother’s house in Columbia, Maryland.  Avery Terry and Donte Powell joined them later and they discussed the robbery/murder. Terry then drove Pepe, McAdoo and Lewis, along with the gun, to Pepe’s home.

On January 25, 2014, Pepe, McAdoo, and Maready were arrested in connection with the robbery and shooting.  On January 26, 2014, Lewis went to Pepe’s residence, which had not yet been searched, and retrieved an item from the basement.  Lewis texted Terry, who met him at Lewis’ grandmother’s house. Law enforcement officers had set up surveillance at the residence.  They saw Terry trying to shield Lewis from view as the two men left the home and got into Terry’s car.  Police stopped Terry’s car and arrested Lewis.  A black .38 caliber revolver was recovered from Terry’s car.  Rowe was killed with a .38 caliber revolver. 

Avery Terry, age 23, of Laurel, pleaded guilty in U.S. District Court to an unrelated robbery of a CVS Pharmacy on January 21, 2014, in Elkridge, Maryland, and to using and brandishing a firearm during that robbery.  In addition, Terry pleaded guilty to being an accessory after the fact to the January 23, 2014 robbery that resulted in the death of Russell Rowe.  Terry was sentenced to 181 months in prison. 

At his guilty plea on July 18, 2016, Donte Powell, a/k/a “Rain,” age 29, a Crips gang member who resides in Washington, D.C. and Columbia, admitted to committing the CVS robbery with Avery Terry, and to being a felon in possession of a gun.  Powell is currently serving a state sentence for an unrelated armed robbery. A .40 caliber pistol seized during Powell’s arrest in that case is the gun that was used in the CVS robbery.  U.S. District Judge George L. Russell III scheduled Powell’s sentencing in federal court for August 22, 2016 at 2:00 p.m.

Amanda McAdoo, age 21, of Laurel, Lauren Maready, age 21, of Highland, Maryland; and Desmick Lewis, age 24, of Columbia, pleaded guilty in Howard County Circuit Court to their roles in the January 23, 2014 robbery and murder. Lewis was sentenced to life in prison, McAdoo was sentenced to 30 years in prison and Maready was sentenced to 15 years in prison. 

United States Attorney Rod J. Rosenstein commended the ATF, Howard County Police Department and Howard County State’s Attorney’s Office, especially Assistant State’s Attorneys Brian Furlong and Devora Kirschner, for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant United States Attorney Sandra Wilkinson and Special Assistant United States Attorney Lauren E. Perry, who prosecuted the federal case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Andre Antoine Walker, age 23, of Temple Hills, Maryland, today to 162 months in federal prison, followed by three years of supervised release, for bank robbery conspiracy, bank robbery, armed bank robbery and brandishing a firearm in relation to a bank robbery. Judge Bennett also ordered Walker to pay restitution of $10,593.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; Chief James W. Johnson of the Baltimore County Police Department; Chief Hank Stawinski of the Prince George’s County Police Department; Kent County Sheriff John F. Price IV; Loudoun County Sheriff Michael L. Chapman; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to his plea agreement, Walker and co-defendant Malcolm Green robbed three banks in Maryland and one bank in Virginia.  On July 1, 2015, Walker and Green entered the BB&T Bank on Allentown Road in Camp Springs, Maryland.  Walker passed a note to a teller demanding money in large and small bills.  When the bank teller stated that she did not have large bills, Walker patted his waistband with his hand.  The teller believed that this motion was meant to indicate that Walker had a weapon.  The teller provided money and the defendants left.

On July 13, the defendants presented a demand note to a teller at the Essex Bank on Ingleside Road in Baltimore.  The teller provided cash and the defendants left with approximately $100.  A dye pack ignited in Green’s pants, burning his legs and ruining the money. 

On July 17, the defendants walked into the BB&T Bank on Cypress Avenue in Millington, Maryland.  Green passed the teller a note demanding money, and threatening to come back shooting if his demands were not met.  When the teller hesitated, Walker pulled out a gun from his waistband, brandishing it several times.  The teller provided cash and the defendants left.

On July 24, 2015, the defendants entered the BB&T Bank in Lovettsville, Virginia.  Green brandished a gun and gave the teller a note demanding money and no dye packs.  The teller provided money and the defendants left.

The total amount that the defendants stole from the banks was in excess of $10,590.

Investigators identified the defendants through fingerprint analysis on a robbery note, law enforcement databases and surveillance footage of the robberies.  Walker and Green were arrested on August 3, 2015.

Malcolm Xavier Green, age 24, of Temple Hills, Maryland, pleaded guilty to his participation in the conspiracy and was sentenced to 154 months in federal prison on May 31, 2016.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Prince George’s County Police Department, Kent County Sheriff’s Office, Loudoun County Sheriff’s Office and the Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked the Loudoun County Commonwealth’s Attorney’s Office for their assistance, and Assistant United States Attorney Aaron S. J. Zelinsky, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Edward Dewy Viens, age 30, of North Beach, Maryland, today to 108 months in federal prison, followed by three years of supervised release, for conspiracy to distribute and possession with intent to distribute controlled substances. Judge Grimm also ordered Viens to forfeit $1,302, seized during the investigation. 

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; Calvert County Sheriff Mike Evans; Calvert County State’s Attorney Laura Martin; and Anne Arundel County State’s Attorney Wes Adams.

“More than 50 Marylanders die every month from heroin, which may be poisoned with deadly additives, according to the Maryland Department of Health and Mental Hygiene,” said U.S. Attorney Rod J. Rosenstein. “If you know someone who uses heroin, get them help today before they become the next statistic.”

 According to his plea agreement, from October to December 30, 2014, Viens obtained heroin and fentanyl from a supplier in Annapolis, and redistributed those drugs to users in Prince George’s, Calvert and Anne Arundel Counties.

On November 30, 2014, a Calvert County Sheriff’s Office (CCSO) patrol officer attempted to pull over a vehicle in Owings, Maryland for a traffic violation.  When the officer activated his lights, the vehicle turned abruptly into a driveway and stopped.  Viens got out of the vehicle and threw approximately 13 grams of heroin to the ground as he ran away, eluding arrest.

On December 21, 2014, Viens met one of his regular customers at a gas station in Calvert County and sold a gram of mixture containing heroin and/or fentanyl for $120.  Afterwards, the customer and an acquaintance drove to a secluded area where the customer ingested the drugs.  Almost immediately, the customer lost consciousness.  The acquaintance called emergency personnel who performed CPR on the victim and administered Naloxone Hydrochloride (Narcan).  The victim was subsequently admitted to a hospital and diagnosed with a heroin overdose.

A few days later on December 27, Viens met another customer in Calvert County and sold 1.5 grams of a mixture containing heroin and/or fentanyl for $210.  Veins warned the customer to “be careful, people have been falling out over this.  It’s fire, so just please be careful.”  The customer drove to a nearby parking lot and ingested a small amount of the drugs.  The customer then dropped off an acquaintance and drove to a second parking lot, ingesting more of the drugs.  The customer drove a short distance from the parking lot, lost consciousness and struck a telephone pole.  CCSO officers found the victim unconscious and unresponsive.  They administered Narcan, and the victim was taken to a hospital and diagnosed with a heroin overdose.

On December 30, 2014, law enforcement officers executed a search warrant at Viens’ hotel room in Annapolis.  They detained Viens, who was attempting to flush drugs and drug paraphernalia down the toilet.  They seized a digital scale with heroin residue, material used to package drugs, a bag containing alprazolam and oxycodone pills, syringes and a residue from a table that contained fentanyl, caffeine and quinine.  Law enforcement also recovered $302 from Viens’ wallet, and $1,000 from Viens’ front pants pocket, or that had spilled out of his pocket.

United States Attorney Rod J. Rosenstein commended the DEA, Calvert County Sheriff’s Office, and the Calvert County and Anne Arundel County State Attorney’s Offices for their work in the investigation and prosecution.  Mr. Rosenstein thanked Assistant U.S. Attorneys Thomas M. Sullivan and Daniel C. Gardner, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Donte Maurice Johnson, age 30, of Baltimore, Maryland, to 183 months in federal prison, followed by five years of supervised release, for two commercial robberies and for using and brandishing a firearm during a crime of violence.  The sentencing was held on July 19, 2016.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; Commissioner Kevin Davis of the Baltimore Police Department; Baltimore County State’s Attorney Scott Shellenberger; and Baltimore City State’s Attorney Marilyn J. Mosby.

According to his plea agreement, on November 2, 2013, Johnson robbed a grocery on Claremont Avenue in Baltimore.  Johnson held a shotgun to the store owner’s head and demanded money.  A co-conspirator stood inside the door as a look-out.  The robbers took between $600 and $700.

On November 25, 2013, Johnson and the co-conspirator robbed a convenience store, located on Philadelphia Road in Baltimore.  Specifically, two employees were working at the counter area of the store and two men approached the counter.  Donte Johnson pointed a shotgun at both employees and demanded that they open the registers.  In fear for their lives, the clerks complied.  Johnson reached over the counter and obtained money from one register.   The co-conspirator walked behind the counter and retrieved money from another register.  The total loss to the store was $153.

Donte Johnson continued to rob the store’s customers.  As this was happening, a customer was able to leave the store and get into his vehicle, which was parked in the store’s parking lot.  He called 911 and waited for the robbers to exit.  The customer saw the robbers run across Philadelphia Road to the parking lot of a bar across the street, and enter a dark green Honda Civic.  The customer followed Johnson and the co-conspirator so he would be able to give directions to the police.  Once the robbers turned onto Square Ridge Road, the car stopped, and Donte Johnson fired one round from a shotgun at the customer in his vehicle.

Baltimore County Police detectives were able to locate the shotgun used in the convenience store robbery.  The shotgun had two unfired shotgun shells lying on the ground next to it and one fired shotgun shell casing loaded in the action of the gun. 

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Baltimore City Police Department and the Baltimore County and Baltimore City State’s Attorney’s Offices for their work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorneys David Metcalf and Bonnie S. Greenberg, who prosecuted the case.

Baltimore, Maryland –Trevon Green, age 23, of Baltimore, pleaded guilty on July 18, 2016, to the arson of a Baltimore food market in connection with the April 27, 2015, riots in Baltimore. Green also admitted that he participated in the looting of a liquor store and assaulted the store’s owner. 

The guilty plea 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; Maryland State Fire Marshal Brian Geraci; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.           

“Trevon Green was not a protester, he was a criminal who enjoyed committing gratuitous violence,” said U.S. Attorney Rod J. Rosenstein. “He looted a liquor store and kicked the defenseless store owner in the head, then he set fire to a food market. We caught him because police and prosecutors spent time reviewing recordings from cameras throughout the city.”

On April 27, 2015, riots and widespread looting erupted in Baltimore following the funeral of Freddie Gray.  According to his plea agreement, Green participated in the rioting.  In the later afternoon of April 27, 2015, Green engaged in the looting at a liquor store located in the 2200 block of W. North Avenue. Green is captured on video leaving the store with a box of merchandise from the store.  Green stopped briefly to have a conversation with a woman outside the liquor store.  One of the owners of the store, who had previously been punched in the face, was crouching near his vehicle, just behind where Green was standing, watching the looting of his store.  After Green was done speaking with the woman, he turned, and without provocation or speaking a word, Green kicked the store owner in the face.  As a result, the owner crumpled to the street, suffering an injury to his face.

Just prior to 8:25 p.m., Green proceeded to the market located in the 1500 block of North Monroe Street in Baltimore.  Green was recorded on cell phone video with two other men near the broken front window of the market.  Green is recorded telling the other men to light the store on fire, as one of the men lit the contents of a garbage can on fire, then threw the can with its contents ablaze through the broken front window.  Others depicted on the video confirmed that the store was on fire and the video captured flames in the front of the store.  On the video recording, Green states that he and the others were setting the store on fire for Freddie Gray.  The damage to the store from the fire and looting is at least $334,894.16.  As part of his plea agreement, Green has agreed to the entry of a restitution order in the full amount of the victims’ losses.

During the investigation, ATF released video from the arson of the liquor store in an attempt to identify the perpetrators of the arson, as well as the assaults on the owner of the store. (link to the video: https://www.dvidshub.net/video/428956/assault-true-religion#.ViU1Wv3oteU) Multiple tips were received from the public identifying Green as one of the individuals assaulting the liquor store owner, which assisted law enforcement in identifying Green in the video from the subsequent arson of the market.

Green and the government have agreed that if the Court accepts the plea agreement Green will be sentenced to 70 months in prison.  U.S. District Judge J. Frederick Motz has scheduled sentencing for August 22, 2016 at 2:00 p.m.  Green remains detained.

The investigation into arsons that occurred on April 27, 2015, is continuing.  Anyone with information is urged to call the ATF hotline, 1-888-ATF-FIRE (1-888-283-3473). ATF continues to offer a reward of up to $10,000 for information leading to the arrest and conviction of any individual responsible for these incidents.

Federal prosecutors previously have charged four other defendants for arson crimes committed during the Baltimore riots on April 27, 2015. Darius Raymond Stewart, age 22, of Baltimore, pleaded guilty to malicious destruction of property by fire, arising from the arson of a liquor store. Stewart is scheduled to be sentenced on August 3, 2016.  Gregory Lee Butler, Jr., a/k/a Greg Baly, age 22, of Baltimore, pleaded guilty to the federal indictment charging him with obstruction of firefighters during a civil disorder, and is scheduled to be sentenced on September 20, 2016.  Donta Betts, age 20, of Baltimore, was sentenced to 15 years in prison for making a destructive device in connection with the April 27, 2015, riots in Baltimore and, in an unrelated case, for discharge of a firearm in furtherance of a drug trafficking crime on July 2, 2015. Raymon Carter, age 25, of Baltimore, Maryland, pleaded guilty to the federal crime of rioting, including the arson of the CVS Pharmacy on April 27, 2015, and was sentenced to four years in prison and ordered to pay restitution of $500,000.

United States Attorney Rod J. Rosenstein praised the ATF, Office of the State Fire Marshal, Baltimore Police Department, and Baltimore City State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant United States Attorney Judson T. Mihok, who is prosecuting the case.

Greenbelt, Maryland –Jaime Ernesto Navarette-Mejia, a/k/a Violento, age 35, of Gaithersburg, Maryland, pleaded guilty today to conspiracy to participate in a racketeering enterprise known as La Mara Salvatrucha, or MS-13, including an attempted murder.

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); Chief Hank Stawinski of the Prince George’s County Police Department; Chief Richard McLaughlin of the Laurel Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief Douglas Holland of the Hyattsville Police Department; Chief Edward G. Hargis of the Frederick Police Department; Frederick County State’s Attorney J. Charles Smith; Chief J. Thomas Manger of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.

MS-13 is a national and transnational gang composed primarily of immigrants or descendants from El Salvador.  Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County, Montgomery County, and Frederick County, Maryland.  MS-13 members are required to commit acts of violence to maintain membership and discipline within the gang. One of the principal rules of MS-13 is that its members must attack and kill rivals, known as “chavalas,” whenever possible.

According to his plea agreement and court documents, from 2012 through at least 2014, Navarette-Mejia was a member of the Normandie clique of MS-13.  Navarette-Mejia and MS-13 members committed crimes to further the interests of the gang, including murder, assault, robbery, extortion by threat of violence, obstruction of justice, witness tampering, and witness retaliation.

Navarette-Mejia admitted that on March 28, 2014, he and another MS-13 member traveled to a restaurant/bar in Laurel, Maryland. Navarette-Mejia and the other MS-13 member had in their possession a .380 caliber handgun that belonged to the Normandie clique.  After Navarette-Mejia became involved in an altercation with patrons of the restaurant, he and the other MS-13 member were asked to leave the restaurant.  They went to the car of the other MS-13 member, parked outside.  When the patrons who had been involved in the altercation came outside, Navarette-Mejia fired at least five shots at them using the Normandie clique .380 caliber handgun.  One of the shots struck a victim in the foot, causing serious injury.

A firearms examiner determined that the .380 caliber handgun that fired the shell casings recovered at the restaurant was the same firearm used at other crime scenes including a murder that occurred on February 28, 2013, an attempted murder that occurred on July 30, 2014, in Hyattsville, Maryland, and a murder that occurred on November 30, 2013 in Frederick, Maryland.  These crimes were committed by co-conspirators of Navarette-Mejia.

Navarette-Mejia faces a maximum sentence of life in prison for the racketeering conspiracy because it included an attempted murder.  U.S. District Judge Peter J. Messitte has scheduled sentencing for October 28, 2016, at 9:30 a.m.

United States Attorney Rod J. Rosenstein commended the HSI Baltimore, Prince George’s County Police Department, Laurel Police Department, Frederick Police Department, Hyattsville Police Department, Montgomery County Police Department, Prince George’s County State’s Attorney’s Office and its Strategic Investigations Unit, Frederick County State’s Attorney’s Office and Montgomery County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein also recognized the Prince George’s County Sheriff’s Office, Prince George’s County Department of Corrections, HSI Baltimore’s Operation Community Shield Task Force, and the Maryland Department of Corrections Intelligence Unit for their assistance. Mr. Rosenstein thanked Assistant United States Attorneys William D. Moomau and Lindsay Eyler Kaplan, who are prosecuting this case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Mardell Abrams, age 35, of Havre de Grace, Maryland, today to 150 months in federal prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine.  Judge Russell also ordered Abrams to forfeit $225,460 seized during the investigation.

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; Harford County Sheriff Jeffrey R. Gahler; Chief Henry Trabert of the Aberdeen Police Department; Bel Air Police Chief Charles Moore; Chief Teresa Walter of the Havre de Grace Police Department; and Harford County State’s Attorney Joseph I. Cassilly.

According to his plea agreement, as part of an investigation into cocaine trafficking, the Harford County Task Force intercepted cellular telephone calls and text messages from members of a drug trafficking organization operating in Harford County.  Based on the intercepted calls and texts, Mardell Abrams was identified as a member of the organization, which according to court documents and findings by Judge Russell at today’s hearing, distributed significant amounts of cocaine and heroin.

For example on August 26, 2014, investigators intercepted a series of text messages between Abrams and co-conspirator Eric Maurice Clanton, in which they discussed arranging for a re-supply of cocaine from Philadelphia, Pennsylvania, and using a courier for the organization to make the trip.  Abrams and Clanton also discussed which source of supply to use.  Investigators determined that Abrams not only financed the purchase of multiple kilograms of cocaine, but also arranged to lease rental vehicles which were used by couriers to transport cocaine from the Philadelphia area to Maryland.

On October 6, 2014, it was learned that Clanton and a courier were again traveling to Philadelphia to meet the same source of supply, in a vehicle leased by Abrams.  The vehicle was stopped on its return to Maryland and a search of the vehicle recovered approximately 1.25 kilograms of cocaine.  In addition, Abrams was seen traveling to a storage locker in Harford County on multiple occasions.  A subsequent search of the storage locker recovered approximately $220,000 in cash, which had been heat-sealed and labelled with numbers, and a kilogram press.

During his participation in the conspiracy, Abrams admitted that he was responsible for the distribution of at least five kilograms of cocaine.

Eric Maurice Clanton, age 36, of Edgewood, Maryland, previously pleaded guilty to his role in the drug distribution conspiracy and was sentenced to 10 years in prison. Donald Lee Cox, age 42, of Aberdeen, Maryland, and Travius Edwin Gregory, age 30, of Edgewood, also pleaded guilty to federal drug charges and were sentenced to two years and five years in federal prison, respectively.

United States Attorney Rod J. Rosenstein praised DEA and the Harford County Task Force, comprised of members of the Harford County Sheriff's Office, Maryland State Police, Aberdeen Police Department, Bel Air Police Department, Havre de Grace Police Department and the Harford County States Attorney’s Office.  Mr. Rosenstein thanked Assistant U.S. Attorney Christopher J. Romano, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland - U.S. District Judge Deborah K. Chasanow sentenced David DiPaolo, age 34, of Bristow, Virginia, today to 10 years in prison, followed by three years of supervised release, for voluntary manslaughter in connection with the death of Geoffrey Farrar, in Carderock, a popular rock climbing area within the Chesapeake and Ohio Canal National Historical Park. 

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

According to DiPaolo’s plea agreement, on December 28, 2013, DiPaolo had an argument with Farrar, age 69, in the parking area at Carderock Recreation Area (Carderock), located in Bethesda, Maryland, within the Chesapeake and Ohio Canal National Historical Park. Immediately following this altercation, Farrar went to the base of the rock climbing area and DiPaolo returned to his parked vehicle. Shortly thereafter, DiPaolo found Farrar and used a claw hammer to hit Farrar multiple times on his head.  DiPaolo then fled first from Carderock and subsequently drove to New York State, where he remained until his arrest on January 8, 2014.

Following DiPaolo’s attack, other rock climbers in the area discovered Farrar at the base of the rock face.  Farrar was suffering from massive head trauma as a result of the attack, but was still alive.  Emergency personnel were called, and Farrar was airlifted to a hospital in Bethesda, Maryland, where he later died of his injuries.

United States Attorney Rod J. Rosenstein praised the U.S. Park Police for its work in the investigation and thanked the New York State Police, U.S. Attorney’s Office for the Northern District of New York, and the U.S. Marshals Service for their assistance.  Mr. Rosenstein thanked Assistant United States Attorney Thomas M. Sullivan, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Wilfred Mendez, age 21, of Bronx, New York to 33 months in prison; Ferny Alexander Moreno Puente, age 26, of Gaithersburg, Maryland, to 30 months in prison; and Wilfredo Torres, age 36, of Alexandria, Virginia, to 20 months in prison, for a conspiracy to fraudulently obtain over $1.4 million in unemployment benefits.  Judge Hollander also ordered that Mendez, Moreno Puente, and Torres each serve three years of supervised release following their prison sentence, and that they forfeit and pay restitution of: $195,422; $268,911; and $173,185.32, respectively.

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robin Blake, of the Washington Regional Office, U.S. Department of Labor - Office of Inspector General; and Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division.

According to their plea agreements, from 2012 to 2015, Mendez, Moreno Puente, and Torres, conspired with Diameter Akala and others, to cause the Maryland Department of Labor, Licensing and Regulation (DLLR) and the Pennsylvania Department of Labor and Industry (DLI), which administered the unemployment insurance benefit programs in their respective states, to issue fraudulent unemployment by submitting false applications for monetary benefits.

Members of the conspiracy obtained the personally identifying information (PII) of individuals, including Maryland residents. Akala filed false documentation with DLLR and DLI in the names of fictitious companies, falsely stating that the companies employed and paid wages to actual individuals. In fact, no unemployment insurance taxes were ever paid to DLLR or DLI in the names of the fictitious companies.  Akala, electronically and by phone, filed claims in Maryland and Pennsylvania for unemployment benefits in his own name and the names of co-conspirators and others, falsely claiming that they previously worked for the fictitious companies.

Akala and other members of the conspiracy used residential mailing addresses of co-conspirators in Maryland, New York, the District of Columbia, Pennsylvania and Virginia to register and receive correspondence for the fictitious companies, and apply for and receive unemployment benefits in the form of prepaid debit cards.  In exchange for the use of their addresses, the co-conspirators received funds obtained through the fraud, typically a fraudulently obtained prepaid debit card.  Mendez, Moreno Puente, Torres, his half-brother, Eric Gonzalez, co-conspirators Tawana McClain, Yaw Bempa-Boateng, and Carmen Benitez agreed to have Akala file fraudulent unemployment claims in their names.  Mendez, his mother Dulce Oleo, Moreno Puente and Torres also provided the personal identification information and/or addresses of other individuals to file additional false claims in the names of those individuals, and others. The co-conspirators used the fraudulently obtained unemployment benefits prepaid debit cards that were mailed directly to them or provided to them by Akala, at ATMs or stores in order to withdraw and use the funds.  Some of the cards were in their names, but some of the cards were in the names of other individuals. Generally, the conspirators kept a portion of the fraudulently obtained funds for themselves and provided the remainder to Akala.  The members of the conspiracy regularly contacted DLLR and DLI, falsely representing themselves either to be a representative of one of the fictitious companies or an individual entitled to unemployment benefits.  Akala moved between states to retrieve correspondence addressed to fictitious companies and individuals, including prepaid debit cards issued by DLLR and DLI.

During the course of the conspiracy the actual loss was approximately $1,468,463.80 in fraudulently obtained unemployment benefits. 

Diameter Akala, age 43, of Silver Spring, Maryland, Washington, D.C. and New York, faces a maximum sentence of 20 years in prison for conspiracy to commit wire fraud and  a mandatory minimum of two years in prison, consecutive to any other sentence, for aggravated identity theft. As part of his plea agreement, Akala will also be required to pay restitution and forfeiture in the full amount of the loss, approximately $1,468,463.80. Judge Hollander has scheduled sentencing for Akala on August 4, 2016, at 10:00 a.m.

Judge Hollander previously sentenced co-conspirators: Yaw Bempa-Boateng, age 35, of Silver Spring, Maryland, to 30 months in prison; Carmen Benitez, age 29, of Scranton, Pennsylvania, Dulce Oleo, age 39, of the Bronx, New York, and Tawana McClain, age 51, of Washington, D.C., each to 18 months in prison; and Eric Gonzalez, age 34, of Alexandria, Virginia, to a year and a day in prison.

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 Department of Labor – OIG and U.S. Postal Inspection Service for their work in the investigation, and praised the Maryland Department of Labor, Licensing and Regulation and the Pennsylvania Department of Labor and Industry for their assistance in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Sean R. Delaney, who is prosecuting the case.

Greenbelt, Maryland – Quinton Darnell McLean, age 21, of Washington, D.C., pleaded guilty in U.S District Court in Greenbelt, to being a felon in possession of a firearm.  The guilty plea was entered on Friday, July 15, 2016. 

The guilty plea 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; Chief Hank Stawinski of the Prince George’s County Police Department; and Prince George’s County State’s Attorney Angela D. Alsobrooks.

“Criminals who are not deterred from carrying guns by the threat of prison time can be deterred by the reality of years spent in a federal prison far from home,” said U.S. Attorney Rod J. Rosenstein. “Police and prosecutors are working to identify armed criminals who deserve to be charged in federal court.”

According to his plea agreement, on February 12, 2016, McLean was traveling with two other men in a green Saturn on the Suitland Parkway.  Officers with the Prince George’s Police Department Washington Area Vehicle Enforcement Team (WAVE) conducted a query of the temporary registration on the Saturn, which revealed that the tag was issued for a 1987 Mercedes Benz.  Officers followed the vehicle, which pulled into a carwash on Branch Avenue in Temple Hills, Maryland.

The driver of the Saturn pulled the vehicle into the carwash bay and began washing the car while McLean and the other occupant stood outside the entrance to the carwash bay.  One of the officers, whose unmarked car was next in line for the wash bay behind the green Saturn, saw McLean adjusting his waistband and clutching the right side of his waistband as he stood outside the carwash bay.  The officer knew that McLean’s behavior was indicative of an armed person, and believed that McLean had a firearm in his waistband.  The officer frisked McLean for weapons and recovered a loaded .45 caliber semi-automatic pistol that was tucked in the right front side of McLean’s waistband area.  McLean was arrested.  McLean has a previous felony conviction and is prohibited from possessing a firearm or ammunition.  

While in state custody, before federal charges were filed, McLean made several calls from jail.  During these conversations, which are recorded by the detention center, McLean made several statements, including, that he had made “a stupid a** mistake,” and that “I should have left the ‘dog’ in the glove box.”  According to court documents, McLean also stated, “Maryland time is cheap as s**t.”  

McLean and the government have agreed that if the Court accepts the plea agreement McLean will be sentenced to two years in prison.  There is no parole in the federal criminal justice system.    U.S. District Judge Paul W. Grimm has scheduled sentencing for September 26, 2016 at 9:30 a.m.

As part of the coordinated state effort to reduce violent crime, the Prince George’s County Police Department, ATF, FBI, DEA, HSI, U.S. Marshals Service, the Prince George’s County State’s Attorney’s Office, and the United States Attorney’s Office, review cases of defendants arrested for firearms violations, drug offenses and other violent crimes, and evaluate whether the case should be considered for federal prosecution. Prosecutors evaluate each defendant’s criminal record, the circumstances of the arrest and other relevant information. 

United States Attorney Rod J. Rosenstein commended the ATF, Prince George’s County Police Department and Prince George’s County State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Special Assistant United States Attorney Matthew L. Paeffgen, who is prosecuting the case.

Baltimore, Maryland – Constructora Santiago II, Corp., Centro Cardiovascular and Hospital Del Maestro have agreed to pay $132,000, collectively, to the United States to resolve allegations that each falsely certified to the Nuclear Regulatory Commission (“NRC”) that it was a small business entity in order to pay reduced nuclear material handling fees. 

The settlement agreement was announced today by United States Attorney for the District of Maryland Rod J. Rosenstein and Joseph A. McMillan, Assistant Inspector General for Investigations, NRC, Office of Inspector General.

“Companies that falsely certify they are small businesses in order to obtain government benefits must be held accountable,” said U.S. Attorney for the District of Maryland Rod J. Rosenstein. 

“The NRC OIG is committed to identifying anyone that will defraud the Commission regardless of their location.  The NRC OIG is thankful to the US Attorney’s Office, Baltimore, MD, for their outstanding support in these investigations,” said Assistant Inspector General for Investigations Joseph A. McMillan.        

In order to possess and handle radioactive materials, an entity has to obtain a license from the NRC and pay an annual fee.  The NRC permits companies to pay a reduced fee if it qualifies as a small business.  In order to certify small business status, a business must “average gross receipts of $7 million or less over its last three completed fiscal years.”  Each small business entity is required to complete a form certifying that it meets the criteria to qualify as a small business entity. 

According to the settlement agreements, Constructora Santiago II, Corp., Centro Cardiovascular and Hospital Del Maestro falsely certified that each had gross receipts of less than $7 million when the government contends that in fact, all three companies had gross receipts that greatly exceeded $7 million.  As a result of their false claims, each of the three entities paid reduced NRC license fees.  Each entity has denied the allegations. 

 U.S. Attorney Rod J. Rosenstein commended the NRC Office of Inspector General, Washington field office for its work in the investigation.  Mr. Rosenstein thanked Assistant United States Attorney Thomas F. Corcoran, who handled the case.

Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake sentenced Michael Resnick, a/k/a Michael Reznikov, age 54, today to three years in federal prison followed by three years of supervised release for conspiring to distribute oxycodone and alprazolam, and for structuring currency deposits.  Chief Judge Blake sentenced Resnick’s wife, Alina Margulis age 49, both from Brooklyn, New York, to a year and a day in prison followed by three years of supervised release for the drug conspiracy and for money laundering.  Chief Judge Blake also entered an order that Resnick and Margulis forfeit $280,000, the amount of illicit profits they received from the scheme. 

The sentences were 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; Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

“State and federal authorities are working to shut down ‘pain clinics’ that are really just fronts for criminals who divert pharmaceutical drugs,” said U.S. Attorney Rod J. Rosenstein. “Michael Resnick and his wife Alina Margulis operated a clinic in which they hired physicians to prescribe opioid drugs to people who had no medical need for the drugs. Pharmaceutical pills can be just as harmful as illegal drugs when they are used without proper oversight.”

“Those who facilitate the illegal use of controlled substances negatively impact our entire community,” said Thomas Jankowski, Special Agent in Charge, IRS Criminal Investigation, Washington D.C. Field Office.  “Today they are being held accountable and will not financially benefit from their illegal activity.”

According to their plea agreements and court documents, in late 2010 and early 2011, Resnick and Margulis traveled to Florida to learn how to operate a pain clinic under the direction of co-defendant Gerald Wiseberg, who owned and operated Total Care Medical Center in Deerfield Beach, Florida. Wiseberg told Resnick that operating a pain clinic would be a lucrative business and that no medical experience was required.

By early 2011, Resnick, Margulis and Wiseberg agreed to open a similar pain management clinic in Maryland.  In March 2011, the defendants opened Healthy Life in

Owings Mills.  Healthy Life later moved to larger space in Timonium, Maryland, until it was closed on May 15, 2012.  Both Healthy Life locations attracted large and unruly crowds.  Customers caused disturbances outside the locations, using narcotics and engaging in narcotics transactions.  Over 80% of the customers who received a prescription from Healthy Life were from out of state, and approximately 97% of the customers received at least one prescription for oxycodone.

Wiseberg hired physician William Crittenden to serve as one of the first medical directors at Healthy Life because Wiseberg believed that Crittenden would write prescriptions for narcotics to customers without a legitimate medical need. Crittenden resigned as the medical director in August 2011 when the Maryland Board of Physicians—the agency authorized to issue licenses to practice medicine in Maryland and to discipline licensees—initiated an investigation into Crittenden’s prescribing practices.  This investigation ultimately led to revocation of Crittenden’s medical license.

In September 2011, Resnick, Margulis and Wiseberg hired another medical director, Daniel Alexander, because they believed that Alexander would likewise write drug prescriptions to customers without a legitimate medical need.  Margulis told Alexander that Healthy Life only prescribed pills and did not offer any alternative therapies.   

To increase profits, Alexander spent a limited amount of time with each patient in order to see a very large number of patients each day.  From September 2011 to March 2012, Alexander issued prescriptions to 627 patients on 946 separate office visits.  Of those 946 visits, the customer received a prescription for oxycodone 97% of the time, and a prescription for alprazolam 23% of the time, despite Alexander’s knowledge that many of the customers did not have a legitimate medical need for the drugs. 

Following the business model of Total Care, Resnick, Margulis and Wiseberg, who were not doctors, established the standard operating procedures for Healthy Life, including which drugs the prescribing physician could prescribe and the maximum dosage amounts of these drugs.  Healthy Life also accepted cash payments in exchange for providing prescriptions for large amounts of oxycodone, alprazolam and other drugs, to customers without a legitimate medical need for the drugs.

Also to maximize profits, they also encouraged the prescribing physicians to prescribe the maximum amount of oxycodone to each customer. Margulis and Resnick handled complaints by Healthy Life customers who were unhappy with the prescriptions they received, particularly when a medical provider might prescribe less oxycodone than the customer wanted.  In those instances, Margulis and Resnick would ask the prescribing medical provider to reconsider, knowing it would lead the provider to give the customer what the customer wanted. 

Margulis and Resnick received 28% of the net profits from Healthy Life, obtaining a total of $280,000. Wiseberg received 30% of the net profits.  Margulis kept the accounting books for the business.  From June 2011 to April 2012, Margulis wrote monthly checks of $12,000 to an entity Wiseberg controlled. Additionally, Resnick and Margulis paid Wiseberg $165,000 in cash in 2011 for Wiseberg’s 30% share.

In order to evade currency transaction reporting requirements, Resnick and others at his direction deposited cash accumulated from customers in amounts less than $10,000 into several bank accounts for Healthy Life.  Resnick admitted that he engaged in a pattern of illegal structuring involving more than $100,000 in a 12-month period.

Gerald Wiseberg, a/k/a Gerry Wiseberg and Jerry Wiseberg, age 82, of Boca Raton, Florida pleaded guilty on October 15, 2015 to his participation in the conspiracy and was sentenced on June 7, 2016 to three years in prison. Chief Judge Blake also entered an order that Wiseberg forfeit $273,000.

A federal jury convicted William Crittenden III, age 52, of Kensington, Maryland on February 19, 2016 of conspiring to distribute oxycodone and alprazolam, and eight separate counts of unlawfully distributing oxycodone.  Crittenden was acquitted on 15 of the drug distribution counts.  Crittenden awaits sentencing.

Daniel Alexander, age 53, of Pikesville, Maryland, pleaded guilty on October 27, 2015 to his participation in the conspiracy.  On July 6, 2016, Alexander filed a motion to vacate his guilty plea.  The motion is pending.

United States Attorney Rod J. Rosenstein commended DEA, IRS-CI, Baltimore County Police Department and Baltimore County State’s Attorneys’ Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Jason D. Medinger and Peter J. Martinez, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Asim Benns, a/k/a Seem, age 33, of Baltimore, today to 275 months in federal prison, followed by five years of supervise release, for conspiracy to participate in a racketeering enterprise in connection with his gang activities.  Benns was a member of the UDH organization, as well as being a high-ranking member of the Black Guerilla Family gang, overseeing the “up the hill” area of Cherry Hill.

Also today, Judge Russell sentenced UDH gang members Donte Thornton, a/k/a Tay, age 30, of Baltimore to 15 years in federal prison, and James Scott, a/k/a Mook Day, age 24, of Essex, Maryland to 10 years in federal prison, each followed by five years of supervised release, for their participation in the racketeering 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; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.

From at least 2007 to 2013, the UDH organization operated in the area of Cherry Hill known as “Up the Hill” or “Up da Hill.”  UDH members and associates have been in a long-running dispute with members of an organization known as “Coppin Court” that is involved in criminal activity in the part of Cherry Hill known as “Down the Hill,” or “Down da Hill,” (DDH), and since at least January 2011, have been in a dispute with members of “Little Spelman,” another organization that is involved in criminal activity in the DDH section of Cherry Hill. The defendants admitted that as members of UDH they were part of a racketeering enterprise and protected their power, territory and profits through the use of violence, threats of violence, intimidation, robbery, and narcotics trafficking.

According to his plea agreement, Benns admitted that he planned and/or participated in the murders of two rival gang members, and two other shootings.  Benns ran a heroin shop in the UDH area, as well as distributing other drugs.  In July and August of 2011, Benns and other UDH members robbed two banks, stealing a total of $11,100, which he and the other robbers used to buy drugs that they could sell. 

According to Thornton’s plea agreement, he participated in a bank robbery committed on July 19, 2011 with Benns and other UDH members. In addition, Thornton admitted his participation in a 2003 shooting and a 2007 murder of a rival gang member.

Scott, Thornton and Benns all admitted to their participation in the gang’s narcotics trafficking activities.  Scott and Thornton admitted that they conspired with other UDH members to distribute at least one kilogram of heroin, five kilograms of powder cocaine, 280 grams of crack cocaine and marijuana.  Benns admitted that he conspired with others to distribute between three and 10 kilograms of heroin, and between 840 grams and 2.8 kilograms of crack cocaine.

A total of 35 Cherry Hill gang members have pleaded guilty and 26 of those defendants, including the three sentenced today, have been sentenced to up to 35 years in prison.

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. Mr. Rosenstein thanked Assistant United States Attorneys Andrea L. Smith, Seema Mittal, and Patricia C. McLane, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Keith Dunmore, age 47, of Washington, D.C., today to 162 months in federal prison, followed by three years of supervised release, for bank robbery.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation-Baltimore Field Office; Assistant Director in Charge Paul M. Abbate of the Federal Bureau of Investigation - Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; and Maryland Attorney General Brian E. Frosh. 

According to his plea agreement and other court documents, from June 7 through June 20, 2014, Keith Dunmore, his brother Dallas Dunmore, Derrick Hart and Teddy McCain robbed or attempted to rob banks in Maryland and Virginia.  In each robbery the conspirators passed notes to bank employees threatening to use violence and implying the possession of firearms unless the employees provided the money.  During the robbery on June 20, 2013, which Keith Dunmore committed alone, he brandished a gun at the teller.  The conspirators divided the proceeds of the bank robberies amongst themselves. 

Keith and Dallas Dunmore generally entered the bank and presented the teller with a note demanding money.  On one occasion the note stated that Dallas Dunmore had a gun, while on two other occasions Dallas Dunmore told the teller that he or another conspirator had a gun.  McCain waited outside during each robbery.  Hart also waited outside during the robberies, except on June 19, 2013, when Hart entered the bank with Keith and Dallas Dunmore.  On June 20, 2013, Keith Dunmore entered a bank in Largo, Maryland, handed the bank teller a note that demanded money, and brandished a firearm.  The teller gave $2,040 to Keith Dunmore, who fled the bank.

The total proceeds from the seven robberies in which Keith Dunmore participated are $10,477.  The total proceeds from the five robberies in which Dallas Dunmore participated are $5,370; and the total proceeds from the six robberies in which Hart and McCain participated are $8,437.

Co-conspirators Dallas Eric Dunmore, age 49, of Washington, D.C., was sentenced to 163 months in prison; Derrick Hart, age 45, of District Heights, Maryland, was sentenced to 75 months in prison; and Teddy McCain, age 56, of Germantown, Maryland, was sentenced to six years in prison.  Each was also ordered to pay restitution in the full amount of  the loss to the banks.

United States Attorney Rod J. Rosenstein praised the FBI; Prince George’s and Montgomery County Police Departments; the Arlington, Fairfax, and Alexandria, Virginia Police Departments; and the Maryland Attorney General’s Office, for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Nicolas Mitchell, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Damien Henry Thomas, age 37, of Langley Park, Maryland, today to 15 years in federal prison, followed by five years of supervised release, for conspiracy to distribute crack and powder cocaine, and for being a felon in possession of a firearm. At today’s sentencing hearing, Judge Grimm found that Thomas was an armed career criminal and a career offender.  Judge Grimm also entered an order requiring Thomas to forfeit a .38 caliber revolver and ammunition, as well as $2,916 in drug proceeds.                

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 Hank Stawinski of the Prince George’s County Police Department.

According to his plea agreement, from February through May 2014, Thomas was part of a conspiracy to distribute crack cocaine in which Thomas purchased crack cocaine from several suppliers for resale to his own narcotics customers.  At times, Thomas would consult with his suppliers before confirming the price of a narcotics sale to his customers.  Thomas conducted narcotics transactions with his customers in their vehicles and in the parking lots of commercial establishments.

For example, on three occasions from February 28 through March 20, 2014, Thomas sold crack cocaine to a confidential informant (CI) working at the direction of law enforcement.  The transactions occurred in the CI’s car and were recorded.  The CI met Thomas at his residence or at commercial locations, at Thomas’ direction, in order to make the purchase.  On two occasions Thomas met with one of his suppliers prior to supplying the CI with crack cocaine. Thomas sold the CI a total of 51.9 grams of crack cocaine for a total of $2,800.

Thomas admitted that during his participation in the conspiracy, between 280 and 840 grams of crack cocaine, and between 500 grams and two kilograms of powder cocaine were distributed.

On June 14, 2014, law enforcement executed a search warrant at Thomas’ residence and recovered a .38 caliber revolver hidden behind the property’s fence.  On recorded jail calls Thomas made that evening he is heard expressing his displeasure at law enforcement recovering the gun.  Thomas had previously been convicted of a felony 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 Attorneys Jennifer R. Sykes and Deborah A. Johnston, who prosecuted the case.

Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Arthur Charles Clements, age 57, of Temple Hills, Maryland, today to 14 years in federal prison, followed by lifetime supervised release, for receipt of child pornography. Judge Hazel also ordered that upon his release from prison Clements 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 Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to Clements’ plea agreement, on April 8, 2015, the National Center for Missing and Exploited Children (NCMEC) received a report of suspected child pornography from Microsoft after Clements uploaded an image depicting children engaged in sexually explicit conduct to his One Drive account. NCMEC referred the report to the Maryland State Police and on July 24, 2015, Maryland State Police Troopers and Special Agents from HSI executed a search warrant at Clements’ residence.  Law enforcement seized a laptop computer that contained from than 1,900 videos and 1,100 images of child pornography, including images and videos depicting sadistic or masochistic conduct and other depictions of violence performed on prepubescent children.  Forensic analysis of Clements’ digital media revealed that Clements received child pornography via Skype, including a video received on March 25, 2015.

Clements waived his rights and agreed to be interviewed by law enforcement.  During the interview Clements admitted that he downloaded and distributed child pornography and had been watching child pornography for approximately seventeen years.  Clements also admitted chatting via Skype for at least six months with an adult male living in another state who was sexually abusing a nine year old girl.  Clements admitted to watching live sexual conduct between the adult male and girl.  Clements had at least 34 videos and 25 images documenting the sexual abuse of the minor female saved on his laptop computer, including the video received on March 25, 2015, described above.

Within 12 days, Special Agents with HSI identified and arrested the individual with whom Clements chatted via Skype, Joshua Logan Thornton, age 31, of Wynne, Arkansas.  The child was rescued.  Thornton pleaded guilty to one count of production of child pornography in the Eastern District of Arkansas on November 28, 2015, and was sentenced to 30 years in prison on February 18, 2016, in U.S. District Court in Little Rock, Arkansas.

In 2007, Clements was convicted of indecent exposure in St. Mary’s County Circuit Court stemming from images and videos he sent to teenaged girl.

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

United States Attorney Rod J. Rosenstein commended HSI Baltimore and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Kristi N. O’Malley and Special Assistant U.S. Attorney Sumon Dantiki, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Issa Haddad, age 24, of Rockville, Maryland today to a year and a day in federal prison, followed by four years of supervised release, for drug and money laundering conspiracies involving over 400 kilograms of marijuana, and more than $2.5 million in drug proceeds. Judge Motz also entered an order requiring Haddad to forfeit $2.5 million.

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); and Chief J. Thomas Manger of the Montgomery County Police Department.

According to his plea agreement, from March 2010 to April 10, 2014, Haddad provided addresses in Montgomery County, Maryland and elsewhere to which co-conspirators in California would ship marijuana.  Haddad and others received packages of marijuana in Maryland, and Haddad was responsible for sending, receiving, and preparing for distribution. Ultimately, Haddad admitted that he conspired with others to distribute between 400 and 700 kilograms of marijuana in Maryland.

Members of the conspiracy provided Haddad with bank account numbers into which the proceeds from the sale of the marijuana were deposited.  Haddad and others deposited cash in amounts less than $10,000 into the provided banks accounts which were controlled by co-conspirators. These deposits of less than $10,000 were structured to evade IRS reporting requirements and conceal from the government large cash transactions by narcotics dealers.

Haddad admitted that he conspired to launder of between $2.5 million and $7 million of drug proceeds.

Seven co-defendants pleaded guilty to their participation in the drug and/or money laundering conspiracies, and were sentenced to up to seven years in prison.

United States Attorney Rod J. Rosenstein commended HSI Baltimore and Montgomery County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Kelly O. Hayes, who is prosecuting the case.

Baltimore, Maryland – Chief U.S. District Judge Catherine C. Blake sentenced former U.S. Postal Service employee Linwood R. Nelson, Jr., age 32, of Baltimore, today to 30 months in prison, followed by three years of supervised release, for federal charges related to a conspiracy to possess with the intent to distribute heroin, and to diverting packages of drugs sent through the U.S. mail and delivering them to co-conspirators

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to Nelson’s plea agreement, he was a letter carrier employed by the United States Postal Service and assigned a delivery route in Woodstock, Maryland.  From July 2014, through September 11, 2014, Nelson agreed to divert U.S. mail parcels containing drugs, including heroin, from his regular delivery route and deliver those packages directly to various co-conspirators.

Nelson provided co-conspirators with an address along his route and instructed them to send parcels to this address, but to use false addressee names on each parcel.  Co-conspirators regularly communicated with Nelson via telephone and text message to provide descriptions of the parcels sent, including the colors of the mailed boxes and the false addressee names used.  Nelson then used the information to remove the parcels from his delivery batches, falsely scan them as “delivered” in the U.S. Postal Service computer tracking system, and then bring them to co-conspirators at an agreed-upon location.  Nelson received cash in exchange for delivering the parcels, typically $500 per parcel.  

On September 11, 2014, Nelson was arrested in possession of a package containing approximately two kilograms of heroin.  When arrested, he was on his way to meet with a co-conspirator at a pre-determined location, where Nelson was to provide the parcel containing heroin to the co-conspirator in exchange for cash. 

Nelson admitted that during the course of the conspiracy the conspirators distributed more than one kilogram of heroin.

United States Attorney Rod J. Rosenstein commended the U.S. Postal Inspection Service, DEA, and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys James G. Warwick and Joshua T. Ferrentino, who prosecuted the case.

Baltimore, Maryland – A federal grand jury has indicted John Kays, age 42, of Bel Air, Maryland, and Matthew Barrow, age 42, of Toledo, Ohio, on 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 indictment was returned on June 21, 2016, and unsealed on June 24, 2016.  Kays and Barrow had initial appearances last week in U.S. District Court in Baltimore, and were each released under the supervision of U.S. Pretrial Services.  No trial date has been set.

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

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. Kays had a number of leadership positions related to this contract. In April 2011, a task order for services pursuant to the contract was placed.

According to the three count indictment, Kays was a civilian employee of the Army, who represented the Army on these types of multi-year contracts.  From January 2011 until his resignation from government service in July 2014, Kays held the position of Deputy Project Manager for Mission Command, in effect the number two position for Mission Command.  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. 

The indictment alleges that from December 2010 to June 2014, Kays agreed to take official actions favorable to Barrow and MJ-6 in return for Barrow paying Kays a total of approximately $157,000.  Specifically, Kays used his official position to add MJ–6 as a subcontractor acceptable to the Army and suggested to prime contractors that MJ-6 be added as a subcontractor on the TO.  Barrow allegedly withdrew cash from his personal accounts and from MJ-6 accounts, then traveled from his home in Toledo to Maryland, to deliver cash payments to Kays.  To conceal their relationship, Barrow made all the payments to Kays in cash, withdrawing the money in amounts less than $10,000 to avoid bank reporting requirements, and Kays did not report the receipt of the cash on the government ethics forms that he was required to file. Kays used the cash for his personal benefit, including: purchasing two new vehicles; and to pay credit card bills.

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 Kays was illegally paid, plus forfeiture of the proceeds of the offense.  The court has entered an order restraining assets of 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.

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 FBI, DCIS, and Army Criminal Investigation Command for their work in the investigation.  Mr. Rosenstein praised Assistant U.S. Attorney Joyce K. McDonald, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Andracos Marshall, a/k/a “Draco,” age 42, of Bowie, Maryland, to 23 years in prison, followed by five years of supervised release, for conspiring to distribute cocaine; possession with intent to distribute cocaine; and money laundering conspiracy. Judge Chasanow also entered an order requiring Marshall to forfeit $51,300,000.  Marshall was convicted of the federal charges on February 8, 2016, after a 13 day jury trial.

The sentence 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; Assistant Director in Charge Paul M. Abbate of the Federal Bureau of Investigation - Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; Chief of Police Robert D. MacLean of the U.S. Park Police; Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Thomas Jankowski the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; Special Agent in Charge Michael B. Boxler of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Washington Field Division; U.S. Marshal Johnny Hughes; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.

According to evidence presented at his trial, from at least January 2011 through January 2015, Marshall conspired with Anthony Torrell Tatum, Ishmael Ford-Bey and others to distribute cocaine and heroin in Prince George’s County, including Oxon Hill, Maryland, and Washington, D.C.  In order to disguise their drug proceeds, Marshall and his co-conspirators used aliases and false identifications and created numerous business entities, which had little, if any, legitimate business.

They also used the aliases and false identifications to rent storage facilities and apartments for their drug trafficking activities.  For example, on February 22, 2013, a third party leased an apartment for Marshall in the 3800 block of Tunlaw Road in Washington, D.C.  Investigation revealed that Tatum and Ford-Bey were visitors to the apartment.  On October 1, 2013, agents executed a search warrant at the apartment and located a safe which contained $823,640 in cash, several expensive watches, and jewelry. Agents also recovered scales, three heat sealers, a coffee grinder, a currency counter and other drug paraphernalia, as well as approximately 150 grams of cocaine base. 

Testimony showed that from January 2011 until August 2012, Ford-Bey, assisted by Marshall, received multiple kilogram shipments of cocaine from a source in California.  On August 15, 2012, the Texas Department of Public Safety stopped a refrigerated box truck that was transporting 13 boxes, each containing approximately 10 kilograms of cocaine.  The boxes were to be delivered to Ford-Bey in Temple Hills, Maryland.  A controlled delivery of the boxes from the truck was arranged. 

On August 17, 2012, the truck arrived at the meeting location in Marlow Heights, Maryland.  A few minutes later, a vehicle registered to Ford-Bey arrived.  Law enforcement saw the truck driver and Ford-Bey unloading the drugs into Ford-Bey’s vehicle. Marshall, who was driving another vehicle, followed Ford-Bey as they left the area. As law enforcement officers pursued Ford-Bey, Marshall drove his vehicle in a manner to evade law enforcement. Marshall and Ford-Bey eventually abandoned their vehicles after a high-speed chase on I-495 and ran away.  Agents recovered the vehicles, the cocaine, cell phones and other evidence.  Marshall remained a fugitive until he was arrested in January 2015.

Four other defendants were convicted and sentenced to federal prison for their participation in the conspiracy:

  Anthony Torrell Tatum, age 37, of Arlington, Virginia – 27 years in prison;

  Ishmael Ford-Bey, age 40, of Mitchellville, Maryland – 33 years in prison;

  Terrin Tamal Anderson, age 29, of Waldorf, Maryland – 12 years in prison; and

  David Allen Jones, age 40, of District Heights, Maryland - 45 months in prison.

Judge Chasanow also entered an order requiring Tatum and Ford-Bey to pay a $108 million money judgment, and a forfeiture order for personal property, including luxury vehicles, jewelry and cash.

United States Attorney Rod J. Rosenstein commended the DEA, FBI, Prince George’s County Police Department, U.S. Park Police, U.S. Postal Inspection Service, IRS-CI, ATF, U.S. Marshals Service and Maryland State Police for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Deborah A. Johnston, Ray D. McKenzie, and Thomas P. Windom, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Janelle A. Rose, age 21, of Baltimore, and Tuscon, Arizona, pleaded guilty today to unauthorized access to a protected computer in furtherance of fraud arising from a scheme to steal student loan refund payments.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; and John L. Phillips, Assistant Inspector General for Investigations, U.S. Department of the Treasury - Office of Inspector General.

According to her plea agreement, on June 8, 2015, Rose began work as a student financial services representative at a school in Baltimore that provided postsecondary education.  From June 15 to 19, Rose secretly wrote down the names of students, their account passwords and other information in a notepad that she then took back to her home.  From June 19 to 23, Rose used the stolen information and her computer to access the electronic accounts of at least 40 students, and alter the student bank account information so that each of the student’s loan refund payments would be made to Rose’s Green Dot Bank account.  Refunds to 20 of the students were processed and $73,996 was fraudulently deposited to her Green Dot Bank account.

Each time an adjustment is made to a student’s financial information, account number, address or bank information, the school’s computer system generates an email to the student providing notice of the change.  Rose accessed the students’ email accounts and deleted the account change notification emails from the students’ inboxes. 

The school and its vendors discovered Rose’s fraud.  Green Dot returned the $73,996 in stolen student loan refund proceeds before Rose was able to withdraw the funds.  This money was returned to the student victims. 

Rose was fired on June 27 and she moved to Tuscon to attend college.

On September 20, 2015, Rose opened a new Green Dot account in the name of her roommate.  That day, from her Tuscon residence, she used information she stole from the school where her employment had been terminated to access two students’ accounts on the school network.  Rose changed these two students’ bank account information so that any student loan refunds would be paid to the Green Dot account that Rose created in her roommate’s name.  As a result, the students’ loan refunds totaling $11,979.50 were paid to the Green Dot account in the roommate’s name.  These transactions were rejected by Green Dot and the money was returned to the victim students.

Rose faces a maximum sentence of five years in prison.  U.S. District Judge J. Frederick Motz scheduled her sentencing for September 20, 2016, at 11:00 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 FBI and Department of the Treasury – OIG for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Zachery A. Myers, who is prosecuting the case.

Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Derrick Kwan Byas, age 28, of Baltimore, Maryland, today to 54 months in federal prison, followed by three years of supervised release, for a bank fraud conspiracy and aggravated identity theft in which Byas and his the conspirators obtained fraudulent vehicle and personal loans, using false information, including a social security number.  Judge Chasanow also ordered Byas to forfeit and pay a money judgment of $96,515. 

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); and Chief Hank Stawinski of the Prince George’s County Police Department.

According to his plea agreement and other court documents, from January 2009 to April 29, 2015, Byas and others applied for vehicle loans with financial institutions and lenders using false information as to employment history at shell entities created by the conspirators, addresses, dates of birth and social security numbers.  In addition to vehicle loans, Byas applied for personal loans and credit cards using false information, including a social security number belonging to another individual, and false employment information. Byas and others created and submitted fake documents, such as lien releases, utility bills, paystubs, letters of recommendation and a police report. The defendants often applied for vehicle loans on the same vehicle with different lenders.  They sold the vehicles, obtained money from the sales and then did not provide the vehicles to the buyers.  They deposited the loan funds into bank accounts and cashed loan checks at liquor stores.  Byas and his co-conspirators failed to make payments on the credit card accounts, personal loans and vehicle loans, which often resulted in the vehicles being repossessed by the lenders.  Byas knew that he had no intention of purchasing a vehicle and that the loan proceeds would be split between himself and his co-conspirators.

The total intended loss resulting from Byas’ conduct in the scheme was at least $220,603.

Robert Anthony Fitzgerald Lathan, age 48, of Accokeek, Maryland, pleaded guilty to his role in the scheme and was sentenced to 42 months in prison.  Three other co-defendants have pleaded guilty to their roles in the conspiracy and are awaiting sentencing.

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 HSI Baltimore and the Prince George’s County Police Department for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Thomas P. Windom and Joseph R. Baldwin, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge George L. Russell III, sentenced Jerry Anderson, age 31, of Towson, Maryland, today to 76 months in prison, followed by six years of supervised release for two separate bank fraud and aggravated identity theft schemes in which Anderson and others used counterfeit credit cards to make fraudulent purchases.  Anderson executed the second scheme while he was awaiting sentencing on the previous fraud conviction. Judge Russell also ordered Anderson to pay restitution of $419,807.14, in the first scheme and restitution of $1,289.23 in the second scheme.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

According to his plea agreements, on April 7, 2015, Anderson pleaded guilty to conspiring with co-defendants, Zachary O’Brien, Steven Harris, Marquis Johnson, and Steven Tejeda, as well as others, to use stolen credit card and other personal information of customers of victim financial institutions to purchase items, including Apple iPhones, at retail locations in Maryland and elsewhere.  The total actual loss resulting from the conspiracy, which operated from at least February to October 2014, was $419,807.14, and the potential loss was over $1.8 million.  The conspiracy involved over 250 victims. 

After his guilty plea, Anderson was released under the supervision of U.S. Pretrial Services.  One of the conditions of his release was that he not commit any new crimes. Anderson admitted that on June 25, 2015, he purchased four $100 American Express gift cards at a store in Cockeysville, Maryland, using a Visa credit card. Store surveillance depicts Anderson making these purchases. The Visa credit card used in the transaction belongs to “G.B.”  After being contacted by law enforcement, the victim advised that that a fraud alert had been placed on the account and that the charges on June 25, 2015 were fraudulent. The victim further advised that he did not give permission to any individual to possess or use his credit card.

On July 3, 2015, Anderson was seen by Apple Loss Prevention at an Apple Store in Bethesda, Maryland, purchasing two iPhones totaling $1,375.88 using a combination of gift cards. Specifically, Anderson used the American Express gift cards he fraudulently purchased on June 25, 2015, along with other gift cards, to purchase the phones. The total actual loss as a result of Anderson’s conduct was $1,389.23. On July 8, 2015, Anderson was ordered to be detained pending sentencing. 

Co-defendants Steven Tejeda, age 22, of Richmond, Virginia, Zachary O’Brien, age 32, and Steven Harris, age 25, both of Bronx, New York, previously pleaded guilty and were each sentenced to four years in prison. Marquis Johnson, age 22, of Severna Park, Maryland, and Ronnie Mejia, age 26, of Bronx, New York, also pleaded guilty to their roles in the scheme and are scheduled to be sentenced on August 8, 2016 and August 19, 2016, respectively.

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 efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 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 the inception of FFETF in November 2009, the Justice Department has filed more than 12,841 financial fraud cases against nearly 18,737 defendants including nearly 3,500 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein commended the U.S. Secret Service, Baltimore County Police Department, and Baltimore County State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorneys Ayn B. Ducao and Zachary A. Myers, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Gregory Sykes-Bey, age 22, of Baltimore, today to 24 years in federal prison, followed by five years of supervised release, for conspiracy to participate in a racketeering enterprise in connection with his gang activities as a member of the UDH organization, which operates in the Cherry Hill section of Baltimore. 

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; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.

According to his plea agreement, Gregory Sykes-Bey participated in the activities of the UDH organization, which operates in the area of Cherry Hill known as “Up the Hill” or “Up da Hill.”  UDH members and associates have been in a long-running dispute with members of an organization known as “Coppin Court” that is involved in criminal activity in the part of Cherry Hill known as “Down the Hill,” and since at least January 2011, have been in a dispute with members of “Little Spelman,” another organization that is involved in criminal activity in the Down the Hill section of Cherry Hill. UDH members and associates used violence and intimidation to protect themselves, the organization, and their control of the drug trade in part of Cherry Hill.

Gregory Sykes-Bey knew that members of UDH sold crack cocaine, heroin and other narcotics.  During his involvement in the conspiracy, Sykes-Bey knew that UDH was responsible for the distribution of at least one kilogram of heroin, five kilograms of cocaine, 280 grams for crack cocaine and marijuana. In addition to his participation in the gang’s narcotics trafficking activities, Gregory Sykes-Bey admitted shooting two people on June 1, 2008 and shooting a rival gang member on May 11, 2012.  Witnesses also identified Gregory Sykes-Bey as shooting and killing a rival gang member on August 28, 2011.

A total of 35 Cherry Hill gang members have pleaded guilty and 23 of those defendants, including Sykes-Bey have been sentenced to up to 35 years in prison.

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. Mr. Rosenstein thanked Assistant United States Attorneys Andrea L. Smith, Seema Mittal, and Patricia C. McLane, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Yaw Bempa-Boateng, age 35, of Silver Spring, Maryland, to 30 months in prison; and sentenced Carmen Benitez, age 29, of Scranton, Pennsylvania, and Dulce Oleo, age 39, of the Bronx, New York, each to 18 months in prison, for a conspiracy to fraudulently obtain over $1.4 million in unemployment benefits.  Judge Hollander also ordered that Bempa-Boateng, Benitez and Oleo serve three years of supervised release following their prison sentence, and that they forfeit and pay restitution of: $801,710.40; $388,878; and $191,122, respectively.

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robin Blake, of the Washington Regional Office, U.S. Department of Labor - Office of Inspector General; and Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division.

According to their plea agreements, from 2012 to 2015, Bempa-Boateng, Benitez, and Oleo conspired with Diameter Akala and others to cause the Maryland Department of Labor, Licensing and Regulation (DLLR) and the Pennsylvania Department of Labor and Industry (DLI), which administered the unemployment insurance benefit programs in their respective states, to issue fraudulent unemployment by submitting false applications for monetary benefits.

Oleo, her son Wilfred Mendez, and other members of the conspiracy obtained the personally identifying information (PII) of individuals, including Maryland residents.  Akala filed false documentation with DLLR and DLI in the names of fictitious companies, falsely stating that the fictitious companies employed and paid wages to actual individuals. In fact, no unemployment insurance taxes were ever paid to DLLR or DLI in the names of the fictitious companies.  Akala, electronically and by phone, filed claims in Maryland and Pennsylvania for unemployment benefits in his own name and the names of other individuals, including his cousin, Benitez, and Bempa-Boateng, falsely claiming that they previously worked for those fictitious companies. Akala used the PII of individuals who had given permission to have their information used, as well as many who did not. 

Akala and other members of the conspiracy used residential mailing addresses of Bempa-Boateng, Benitzez and Oleo, as well as other co-conspirators in Maryland, New York, the District of Columbia, Pennsylvania and Virginia to register and receive correspondence for the fictitious companies, and apply for and receive unemployment benefits in the form of prepaid debit cards.  In exchange for the use of their addresses, the co-conspirators received funds obtained through the fraud, typically in the form of a fraudulently obtained prepaid debit card.  The members of the conspiracy regularly contacted DLLR and DLI, falsely representing themselves either to be a representative of one of the fictitious companies or an individual entitled to unemployment benefits.  Akala moved between different states in order to retrieve correspondence addressed to fictitious companies and individuals, including prepaid debit cards issued by DLLR and DLI.

Bempa-Boateng, Benitez and co-conspirators Wilfred Mendez, Tawana McClain, Ferny Alexander Moreno Puente, Wilfredo Torres and his half-brother, Eric Gonzalez, agreed to have Akala file fraudulent unemployment claims in their names.  Oleo, Mendez, Moreno Puente and Torres also provided the personal identification information and/or addresses of other individuals to file additional false claims in the names of those individuals, and others. The co-conspirators used the fraudulently obtained unemployment benefits prepaid debit cards that were mailed directly to them or provided to them by Akala, at ATMs or stores in order to withdraw and use the funds.  Some of the cards were in their names, but some of the cards were in the names of other individuals. Generally, the conspirators kept a portion of the fraudulently obtained funds for themselves and provided the remainder to Akala.  Torres also allowed his business address to be used to file fraudulent unemployment benefit claims and when the unemployment benefits debit cards arrived, he either used them or distributed them to co-conspirators. 

During the course of the conspiracy the actual loss was approximately $1,468,463.80 in fraudulently obtained unemployment benefits. 

Diameter Akala, age 43, of Silver Spring, Maryland, Washington, D.C. and New York, faces a maximum sentence of 20 years in prison for conspiracy to commit wire fraud and  a mandatory minimum of two years in prison, consecutive to any other sentence, for aggravated identity theft. As part of his plea agreement, Akala will also be required to pay restitution and forfeiture in the full amount of the loss, approximately $1,468,463.80. Judge Hollander has scheduled sentencing for Akala on August 4, 2016, at 10:00 a.m.

Oleo’s son, Wilfred Mendez, age 21, of Bronx, New York; Eric Gonzalez, age 34, of Alexandria, Virginia; Tawana McClain, age 51, of Washington, D.C.; Ferny Alexander Moreno Puente, age 26, of Gaithersburg, Maryland; and Wilfredo Torres, age 36, of Alexandria, Virginia, previously pleaded guilty to their roles in the scheme and are awaiting sentencing.

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 Department of Labor – OIG and U.S. Postal Inspection Service for their work in the investigation, and praised the Maryland Department of Labor, Licensing and Regulation and the Pennsylvania Department of Labor and Industry for their assistance in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Sean R. Delaney, who is prosecuting the case.