District of Maryland
Press releases recorded for this federal judicial district.
Langley Park Felon Exiled to 15 Years in Federal Prison for Gun and Drug OffensesRead the Press Release
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.
Temple Hills Man Sentenced to 14 Years in Federal Prison for Receipt of Child PornographyRead the Press Release
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.
Rockville Man Sentenced to Federal Prison for Drug Trafficking and Laundering over $2.5 Million of Drug ProceedsRead the Press Release
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.
Former Letter Carrier Sentenced to Federal Prison for Heroin Distribution ConspiracyRead the Press Release
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.
Former Army Official and Contractor Indicted for Bribery Scheme Involving Contracts at Aberdeen Proving GroundRead the Press Release
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.
Bowie Drug Trafficker Sentenced to 23 Years in Federal Prison for $108 Million Drug Distribution and Money Laundering ConspiraciesRead the Press Release
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.
School Financial Aid Worker Admits to Stealing Student Financial Aid RefundsRead the Press Release
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.
Baltimore Fraudster Sentenced to over 4 Years in Federal Prison for Conspiracy to Fraudulently Obtain over $200,000 in Vehicle LoansRead the Press Release
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.
Towson Man Sentenced to over 6 Years in Federal Prison for Two Separate Bank Fraud and Identity Theft SchemesRead the Press Release
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.
Member of Cherry Hill Gang ‘UDH’ Sentenced 24 Years in Federal Prison for Racketeering Conspiracy, Including MurderRead the Press Release
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.
Conspirators Sentenced to Federal Prison in Scheme to Fraudulently Obtain over $1.4 Million in Unemployment BenefitsRead the Press Release
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.
Former Maryland Man Pleads Guilty to Production of Child PornographyRead the Press Release
Baltimore, Maryland – Christopher Michael Salisbury, age 38, of Long Beach, California, formerly of Maryland, pleaded guilty today to two counts of production of child pornography.
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 Special Agent in Charge Sean Ragan of the Criminal Division of the Federal Bureau of Investigation’s Los Angeles Field Office.
According to his plea agreement, between 2006 and 2013, while residing in Maryland, Salisbury sexually abused two minors, beginning when each victim was approximately five years old, and produced images and videos of himself and the minors engaged in sexually explicit conduct. Salisbury used video and photo editing software to assemble many of the videos documenting his sexual abuse of the victims into compilation videos that included music, text, and other editing.
Additionally, Salisbury regularly accessed the internet through a network specifically designed to facilitate anonymous communication, commonly referred to as the “dark web.” Salisbury used the network to find and join a hidden website whose primary purpose was to advertise and distribute child pornography. Salisbury used the “dark web” and his membership in the hidden website to view, download, receive, and collect thousands of images and videos of child pornography.
As part of his plea agreement, Salisbury 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).
Salisbury faces a mandatory minimum of 15 years in federal prison and a maximum sentence of 30 years in prison for each of the two counts of production of child pornography, followed by up to a lifetime of supervised release. U.S. District Judge George L. Russell III, has scheduled sentencing for November 4, 2016 at 9:30 a.m. Salisbury remains detained.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended, the FBI Baltimore and Los Angeles Field Offices for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who is prosecuting the federal case.
Baltimore Man Pleads Guilty to Federal Charge for Obstructing Firefighters’ Efforts to Fight CVS Fire During Baltimore RiotsRead the Press Release
Baltimore, Maryland – Gregory Lee Butler, Jr., a/k/a Greg Baly, age 22, of Baltimore, pleaded guilty today to the federal indictment charging him with obstruction of firefighters during a civil disorder, in connection with a fire at CVS during the civil disturbance in Baltimore on April 27, 2015.
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; Commissioner Kevin Davis of the Baltimore Police Department; Maryland State Fire Marshal Brian Geraci; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to the information presented at today’s plea hearing, on April 27, 2015, riots erupted in Baltimore and at approximately 6:30 p.m. the Baltimore City Fire Department (BCFD) was notified of a fire at the CVS Pharmacy located at 2509 Pennsylvania Avenue, which is adjacent to the intersection of Pennsylvania Avenue and West North Avenue in Baltimore. Several BCFD engines were dispatched to suppress and extinguish the fire at the CVS. Firefighters deployed fire hoses to provide water in those efforts and to protect firefighters inside and near the building. Throughout the course of BCFD’s fire suppression and extinguishment efforts, rioting continued in the vicinity of CVS Pharmacy.
One hose was attached to a hydrant near the intersection of Pennsylvania and West North Avenues. Once the hose was attached to the hydrant and the water was flowing into the hose, Butler admitted that he punctured the hose twice using a knife. Both punctures released a high-pressure stream of water from the hose and rendered the hose inoperable. As a result, the efforts to put out the fire at the CVS were impeded and delayed.
Butler faces a maximum sentence of five years in prison for obstruction of firefighters during a civil disorder. U.S. District Judge J. Frederick Motz has scheduled sentencing for September 20, 2016, at 9:30 a.m.
Federal prosecutors have charged four other defendants for arson crimes committed during the Baltimore riots on April 27, 2015. Trevon Green, age 23, of Baltimore, is charged with malicious destruction of property by fire, for allegedly setting fire to a food store on North Monroe Street. 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. 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.
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.
United States Attorney Rod J. Rosenstein praised the ATF, Baltimore Police Department, Maryland State Fire Marshal’s Office and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Philip A. Selden and Matthew J. Maddox, who are prosecuting the case.
Real Estate Agent Pleads Guilty in Mortgage Fraud SchemeRead the Press Release
Baltimore, Maryland – Real estate agent Christopher A. Kwegan, age 59, of Randallstown, Maryland pleaded guilty today to charges arising from the fraudulent purchase of a Baltimore City property using fraudulent loan documentation and a straw purchaser.
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; Special Agent in Charge Cary A. Rubenstein of the U.S. Department of Housing and Urban Development Office of Inspector General; and Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office.
According to his guilty plea, in the summer of 2008, Kwegan learned that Mr. K.D. was trying to sell a row house he owned in Baltimore City on Washington Boulevard. Mr. K.D. had purchased the property 10 years earlier for $11,500. Kwegan told Mr. K.D. that he could sell it for $75,000. Mr. K.D. was dubious, but agreed to sell it for that price.
Rather than trying to sell the property at the actual market price, Kwegan requested assistence from accountant Cecil Chester and real estate agent/consultant Michael Camphor, who were already operating a mortgage fraud scheme. Kwegan arranged to use the personal identifiers of an individual recruited by Chester – Ms. D.B. – to buy the property as a straw purchaser. A “straw purchaser” is an individual whose name and personal identifiers are used by fraudsters to acquire the property, but who does not contribute his or her own funds to the purchase and who has no intention of actually residing in the property.
Ms. D.B., who lived in Queens, New York, was inexperienced with residential real estate transactions and with the Baltimore real estate market. To encourage Ms. D.B. to buy the property, Chester promised her that she would need to put up little if any money to cover the down payment and closing costs on this property. Ms. D.B. lacked the necessary assets to pay for the down payments and closing costs on the property out of her own resources, or the income to keep up the mortgage payments on the house after the transaction closed, as Kwegan and Chester knew.
Kwegan and Chester set the price not at $75,000, but at $250,000. Chester provided a mortgage loan broker located in Towson with a false loan application and fraudulent supporting documents which inaccurately represented that Ms. D.B. worked for a fictitious company that Chester had created, and which falsely inflated her annual income. Chester also falsely represented that Ms. D.B. lived in Baltimore City, and the amount of assets she had in a bank account.
Based upon these false representations, a bank wired $242,500 to finance the purchase of the property, at the settlement on September 30, 2008. As the purchaser, Ms. D.B. was required to provide $9,391.53 to cover the down payment and her share of the closing costs. Because she lacked the necessary funds, Kwegan used his own funds to obtain a cashier’s check for that amount, which was tendered to the settlement company on her behalf.
After the settlement, just $15,773.65 was disbursed to Mr. K.D., the seller of the property. In contrast, $145,000 was wired to an entity identified as “CAK,” which were Kwegan’s initials. These funds were transferred into Kwegan’s bank account. Kwegan then wrote a check to Chester for $35,000.
No payments were made on the mortgage. The property went into foreclosure and remains unsold at this time, resulting in a loss of between $150,000 and $235,000.
Kwegan faces a maximum sentence of 30 years in prison and a $250,000 fine for conspiring to commit wire and mail fraud, and for wire fraud. U.S. District Judge James K. Bredar has scheduled sentencing for November 4, 2016 at 10:00 a.m.
Cecil Sylvester Chester, age 69, of Mitchellville, Maryland previously pleaded guilty to the same charges arising from the fraudulent purchase of seven properties in Baltimore, resulting in losses of over $1.7 million. Michael Gerard Camphor, age 60, of Baltimore, previously pleaded guilty to charges arising from the fraudulent purchase of four properties in Baltimore resulting in losses of over $736,000. Judge Bredar scheduled Camphor and Chester’s sentencings for August 26 and October 4, 2016, respectively.
The Maryland Mortgage Fraud Task Force was established to unify the agencies that regulate and investigate mortgage fraud and promote the early detection, identification, prevention and prosecution of mortgage fraud schemes. This case, as well as other cases brought by members of the Task Force, demonstrates the commitment of law enforcement agencies to protect consumers from fraud and promote the integrity of the credit markets. Information about mortgage fraud prosecutions is available at http://www.justice.gov/usao-md/financial-fraud-and-identity-theft.
Today’s announcement is part of the efforts undertaken in connection with the 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 , HUD OIG - Office of Investigations and the U.S. Secret Service for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Jefferson M. Gray and Evan T. Shea, who are prosecuting the case.
Gwynn Oak Man Sentenced to Almost 6 Years in Federal Prison for Conspiring to Commit Sex Trafficking of a 13 Year Old ChildRead the Press Release
Baltimore, Maryland - U.S. District Judge George L. Russell III sentenced Jonathan M. Went, a/k/a “Jon Maxx,” and “Max Out,” age 31, of Massachusetts and Gwynn Oak, Maryland, today to 71 months in prison, followed by 15 years of supervised release, for conspiracy to commit sex trafficking of a child. Judge Russell also ordered that upon his release from prison, Went 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 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; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Baltimore County State’s Attorney Scott Shellenberger.
According to Went’s guilty plea and other court documents, on March 5, 2014, co-defendant Rayvon O. Archibald encountered a girl under the age of 14 in New York City and provided her with alcohol and drugs. The next day, Archibald transported the girl by bus from New York to White Marsh, Maryland, then by taxi to Went’s apartment in Gwynn Oak. Before they left New York, Archibald called Went to let him know that he would arrive in Baltimore later that day. That same day, Archibald and Went posted an ad on a commercial sex website soliciting customers for the girl which listed the number for a phone used by Went. Archibald also instructed the girl on pricing for commercial sex acts and provided her with a document that included prices. After the ad was posted, customers responded to the ad on that phone through at least midnight and at least one of the customers engaged in a commercial sex act with the victim.
At approximately 10:30 p.m. on March 6, 2014, the girl used Went’s phone to secretly send a message to her mother advising that she was not able to leave. After receiving the message, the girl’s mother reported her daughter missing to the police. The next morning, the girl secretly left Went’s apartment and called 911 from Went’s phone. The police found the girl at a nearby intersection. The girl gave police the address of Went’s apartment and told police that there were two men and a woman inside the location. The girl reported that she was held against her will inside Went’s apartment building. The girl identified Archibald as her captor and stated that he had assaulted her.
Police went to the apartment and arrested Went, Archibald and a woman. A search warrant was executed and police seized electronic devices, including the phone the girl used to contact her mother and the device used to place the ad on the commercial sex website. Both the girl and the woman who was arrested independently told police that one customer who came to the apartment demanded his money back because the girl was too young. The woman and the girl gave the money back to the customer, and when they told Archibald what happened, he slapped them both.
Rayvon O. Archibald, a/k/a “P Money,” “Keyvon M. Malone,” “Keyvon Smith,” and “Scoobie,” age 26, of Boston, Massachusetts, pleaded guilty to sex trafficking of a child and was sentenced to 14 years in federal prison.
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 being advertised online for prostitution.
MCETF partners with the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, Maryland State Police and the Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Zachary A. Myers and Sandra Wilkinson, who prosecuted the case.
Dead Man Inc. Gang Member Indicted on Federal Charges for Murdering a Witness in a Baltimore City CaseRead the Press Release
Baltimore, Maryland – A federal grand jury indicted Troy Allen Lucas a/k/a “Troy Madron,” age 47, of Baltimore, Maryland on charges arising from a murder-for-hire of Robert Long, who was a cooperating witness in a case pending in the Circuit Court for Baltimore City. The indictment was returned on June 7, 2016, and unsealed today upon the arrest of the defendant.
The indictment 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; Colonel Woodrow Jones, Chief of the Maryland Transportation Authority Police; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
“This investigation has resulted in several convictions and the exoneration of an innocent man who was wrongly convicted and sentenced to life in state prison,” said U.S. Attorney Rod J. Rosenstein.
According to the three count indictment, Lucas was a member of "Dead Man Inc." (DMI), a criminal street and prison gang. Robert Long worked for Jose Morales and was a co-defendant with Morales in criminal cases pending in Baltimore.
The indictment charges that Morales solicited Lucas and others to kill Robert Long in order to retaliate for Long’s cooperation with the police and to prevent Long from testifying against Morales. Lucas accepted payment from Morales for agreeing to kill Long. Lucas and Morales used cell phones to contact one another regarding Long’s cooperation and whereabouts, and to contact Long.
On March 24, 2008, in an open area behind Traci Atkins Park in southwest Baltimore, Long was shot twice in the head and died. The indictment charges that from March 23 to 24, 2008, Lucas used, carried and discharged a .25 caliber handgun, causing Long’s murder.
Lucas faces a maximum sentence of life in prison for murder-for-hire conspiracy, use of interstate commerce facilities in the commission of murder-for-hire and use of a firearm during a crime of violence resulting in death. Lucas had his initial appearance today in U.S. District Court in Baltimore.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Jose Joaquin Morales, age 40, of Baltimore, Maryland, was convicted at trial by a federal jury for using a cell phone to arrange the murder-for-hire of Robert Long, and was sentenced to life in prison on December 9, 2013.
The prosecution of Morales resulted in the exoneration of Demetrius Smith, who was serving life in state prison for the murder -- a crime he did not commit.
United States Attorney Rod J. Rosenstein commended the DEA, Maryland Transportation Authority Police and Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Sandra Wilkinson and Martin Clarke, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Previously Convicted Bank Robber Admits to Robbing Second Bank with an AK-47 While on Federal Supervised ReleaseRead the Press Release
Baltimore, Maryland – Jesse Allen Burney, age 34, of Harrisburg, Pennsylvania, pleaded guilty today to armed 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; Colonel Tyree C. Blocker, Superintendent of the Pennsylvania State Police, and Harford County Sheriff Jeffrey R. Gahler.
In January 2005, Burney pleaded guilty in federal court in the Middle District of Pennsylvania to charges arising from an armed bank robbery. He was sentenced to 144 months in federal prison and released on May 30, 2014.
According to his plea agreement, on April 27, 2015 and while on supervised release for the bank robbery conviction, Burney entered a bank in Whiteford, Maryland wearing a motorcycle helmet with the reflective visor down, a tactical vest, gloves and a backpack. A loaded AK-47 with a sock over the barrel was poking out the top of the backpack.
Shortly after entering the bank, Burney withdrew a taser, turned it on, pointed it at the tellers stating that this is a robbery. He demanded $100,000. Burney threatened to start shooting if the safe was not opened in 15 seconds. The tellers gave Burney money from the bank’s vault. Burney put $97,237 in his backpack. As he walked out of the bank, Burney told the employees that he would come back and shoot them if he saw any police.
Burney fled the scene on a dirt bike. Several miles away, he left the bike on a country road hidden under a tarp. He drove away in an SUV that he had left at that location. Law enforcement officers were able to track Burney as he drove into a farm field in Lower Chanceford Township, Pennsylvania, via a GPS device deposited with the money he had stolen. Burney then fled from the SUV and hid in the woods.
A Pennsylvania State Trooper found Burney in the woods. Investigators recovered a loaded AK-47 magazine in the backpack, as well as the AK-47 which had a loaded 30-round magazine attached and a round in the chamber. The stolen money was also recovered, along with the helmet and tactical vest Burney wore during the robbery. Burney told investigators that he owed $100,000 in restitution for the prior federal bank robbery conviction.
Burney and the government have agreed that if the Court accepts the plea agreement Burney will be sentenced to 252 months in prison. U.S. District Judge Ellen L. Hollander scheduled sentencing for September 2, 2016 at 11:30 a.m.
United States Attorney Rod J. Rosenstein commended the FBI, Pennsylvania State Police and Harford County Sheriff’s Office for their work in the investigation. Mr. Rosenstein thanked Special Assistant United States Attorney Aaron S.J. Zelinsky, who is prosecuting the case.
Member of Cherry Hill Group ‘Little Spelman’ Sentenced to 12 Years in Prison for Drug Distribution ConspiracyRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Shaquan Robinson, a/k/a Quanny, age 26, of Baltimore, today to 12 years in prison, followed by 10 years of supervised release, for conspiracy to distribute and possess with intent to distribute heroin and crack cocaine, related to his drug dealing and violence 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, Robinson was a member of a group known as “Little Spelman.” From at least 2003 to 2013, Little Spelman operated in the “down the hill” area of Cherry Hill. This group committed acts of robbery, homicides, non-fatal shootings and drug distribution, to include crack cocaine, heroin, cocaine and marijuana.
Beginning in at least 2010, Robinson was a drug distributor in Cherry Hill, distributing crack cocaine, heroin, marijuana, and other drugs with members of Little Spelman. In May 2013, Robinson was seen by law enforcement on CCTV engaging in hand to hand drug transactions on a school playground. When police approached the playground, Robinson attempted to conceal the drugs, but police recovered two ziplocks of marijuana from a bag Robinson had thrown on the ground, and recovered 24 ziplocks of cocaine and $51 from Robinson. Robinson admitted that he also possessed a firearm in furtherance of the drug conspiracy. On July 8, 2012, officers approached a group of men with whom Robinson was standing. Robinson ran away holding a loaded handgun in the waistband of his pants then tossed the gun into the front yard of a home, where it was recovered by police.
In addition to drug activity, since at least 2011, members of Little Spelman have been in a dispute with members of an organization involved in the distribution of narcotics and violence that operates primarily in the part of Cherry Hill known as “Up the Hill” or “Up da Hill.” Members and associates of Little Spelman protected themselves, the organization, and their control of the drug trade in part of the Down the Hill section of Cherry Hill, and engaged in their dispute with UDH, through violence and intimidation.
For example, Little Spelman member Davon Martin admitted that on January 20, 2011, he shot and killed UDH member Rhidell Price. Martin killed Price in retaliation for Martin and another Little Spelman member, Dewayne Jones, being shot at by Up Da Hill members a few days earlier. Dewayne Jones was subsequently shot and killed on August 28, 2011.
Two days after Martin killed Price, on January 22, 2011, Little Spelman associate Harry Hicks was shot and killed by Up Da Hill members in retaliation for Price’s murder. On April 9, 2011, Martin shot and killed Up Da Hill member Dwight Taylor at a barbershop on W. Saratoga Street in Baltimore, in retaliation for Hicks’ murder. Robinson was in the barbershop during the murder. A ballistics comparison of the .45 caliber firearm that Martin used to kill Taylor revealed that it was the same gun used on January 28, 2011 by Dominic Hope, the former leader of Little Spelman, to shoot Up Da Hill member Antione White, who was leaving the funeral of Rhidell Price. Dominic Hope was subsequently shot and killed on January 20, 2012.
Davon Martin, age 27, of Baltimore, was previously sentenced 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 and thanked the FBI, Baltimore County Police Department, Anne Arundel County Police Department, and Baltimore City Sheriff’s Office for their assistance. Mr. Rosenstein thanked Assistant United States Attorneys Andrea L. Smith, Seema Mittal, and Patricia C. McLane, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
Leader of Bank Fraud Scheme Involving over 200 Victims Sentenced to over 5 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Tariq Hicks, age 48, of Owings Mills, Maryland, today to 65 months in prison, followed by three years of supervised release, for bank fraud conspiracy and aggravated identity theft arising from a scheme to use stolen credit information of more than 200 victims to defraud financial institutions. Judge Bredar also ordered Hicks to pay restitution of $61,030.78, and to forfeit the credit and identification card counterfeiting equipment seized during the investigation. In a separate case, Judge Bredar sentenced Hicks to 21 months in prison, for being a felon in possession with a gun, which is to be served concurrent to the sentence for the fraud scheme.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; and Chief James W. Johnson of the Baltimore County Police Department.
According to his plea agreement, from at least June 2013, through December 18, 2013, Hicks conspired with Shivani Patel, Eddie Carey, Ishia Cason, and others to defraud financial institutions by accessing stolen credit card and debit card accounts belonging to real people and using counterfeit cards encoded with the stolen account information to make unauthorized purchases.
Hicks purchased the stolen account information over the internet. Hicks and Patel used a computer and a “reader-writer” to encode the stolen credit and debit card information onto existing credit cards, gift cards, or similar cards, which were sold or distributed to co-conspirators, such as Carey and Cason, who used them and provided the bulk of the proceeds to Hicks.
Hicks also purchased or obtained over the internet “credit profiles” containing the identity information of victims, then obtained full credit reports for these victims. Using the information from the credit reports, Hicks sent co-conspirators into stores where the victims had existing credit accounts, with the victim’s personal identity information so that they could “authenticate” themselves as the victim. The co-conspirators, including Patel, Carey and Cason, would then make purchases on the existing accounts (called “account takeover”). Using the victims’ credit information, Hicks also directed the conspirators to apply for new credit accounts at other stores in the victim’s identity, and then use that “instant credit” to make purchases before the victim learned of the account.
For all of these schemes, Hicks obtained fraudulent drivers’ licenses which bore the information of the victim, but the photograph of a co-conspirator. The co-conspirators could then use the counterfeit license to establish their identity as the victim.
Hicks also instructed Patel, Carey and others to travel to other states to engage in the fraud. As they traveled, the conspirators used counterfeit cards in victims’ names to rent hotel rooms and automobiles.
On December 18, 2013, a search warrant was executed at Hicks’ residence, where he lived with Patel and Carey. Located on the dining table in the kitchen area was a complete set up for the fraud scheme, including a computer with the credit profiles and credit reports on it, a reader/writer device, credit cards in various states of manufacture, money gram receipts for payments for the stolen credit card numbers and profiles, and lists of personal identity information. Also recovered were dozens of credit cards bearing victims’ names and accounts, as well as dozens of fraudulent identification to match the credit cards, all bearing the information of the victims but the photographs of co-conspirators. In Hicks’ bedroom was a receipt for a storage unit which was rented in a false identity used by Patel. A search warrant was executed on the storage unit and a duplicate “mill” was located, including an embosser to manufacture embossed credit cards, and boxes containing hundreds of blank plastic cards ready for counterfeiting. There were also over 150 cards in various states of manufacture.
According to his plea agreement in the gun case, during the search law enforcement also recovered a loaded .22 caliber handgun and ammunition from a safe found in Hicks’ bedroom. As the result of a previous felony conviction, Hick was prohibited from possessing a gun or ammunition.
Over 450 compromised accounts were compiled from the evidence seized from the residence and storage locker, although most had not yet been used in the scheme. There were over 200 victims, including businesses and financial institutions which sustained an actual loss and victims who had their identities compromised in the conspiracy. Based on the individual victims and credit accounts which were recovered from the search warrant, actual losses associated with the scheme are $61,030.78.
Shivani Patel, age 30 of Reisterstown, Maryland; Eddie Carey, age 32; and Ishia Biff Cason, age 36, both of Baltimore, pleaded guilty to bank fraud conspiracy and aggravated identity theft. Judge Bredar scheduled sentencing for Cason on August 5, 2016, at 2:00 p.m., and for Carey and Patel on September 30, 2016, at 2:00 and 3:00 p.m., 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 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. Secret Service, and Baltimore County Police Department for their work in the investigations. Mr. Rosenstein thanked Assistant U.S. Attorney Tamera L. Fine, who is prosecuting the case.
Final Defendant Pleads Guilty in Federal Court in Two Separate Schemes to Defraud the City of BaltimoreRead the Press Release
Baltimore, Maryland – Charles Dennis Bolden, Sr., age 69, of Baltimore, a former employee at the Quarantine Road Landfill (Landfill), pleaded guilty today to conspiring to commit two separate criminal schemes: one in which Department of Public Works (DPW) employees sought and accepted cash payments from commercial haulers in return for allowing the haulers to deposit trash at the Landfill without paying the required disposal fees (extortion scheme); and a second scheme in which DPW employees stole scrap metal from the Landfill for personal gain (the junking scheme).
Bolden is the last of 12 defendants to be convicted. Six Baltimore City Department of Public Works (DPW) employees and six commercial trash haulers were charged in federal court with conspiracy and other charges, including bribery, extortion and theft. Bolden was one of the two DPW employees charged in both schemes. All 12 defendants have been convicted.
The conviction 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; 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.
Extortion Scheme
Individuals or companies commercially hauling trash that have registered their vehicles with Baltimore City and obtained Landfill permits, as well as Baltimore City residents with larger loads, must deposit their trash in an open area located 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. 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. The scale house operators reweigh each truck as it leaves the Landfill.
Baltimore City residents can deposit small amounts of trash and/or recyclables in dumpsters at the Convenience Center 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 City 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, also referred to as a “tipping fee.” The disposal fee applies to the net weight of the trash deposited at the Landfill.
Bolden pleaded guilty today to both indictments charging him in the two schemes. According to the statement of facts presented by the government to the court, Bolden, who was employed by DPW as a laborer at the Landfill, and other DPW employees sought and accepted cash payments from commercial haulers in return for allowing the commercial haulers to deposit trash at the Landfill without paying the required disposal fees.
On August 28, 2013, an FBI confidential source (CS) went to the Convenience Center and spoke with Bolden about the cost of dumping a truckload of trash at the Landfill. Bolden told CS that he and his “girls” at the scale house would have to be paid a “fair” amount of money in order for CS to avoid paying the required disposal fee assessed at the scale house. When CS agreed to make the payment, Bolden said that the scale house “girl gonna waive you thru.”
The next day, Latonya Drinkard, a scale house operator, waived CS past the scale house and allowed him to dump his truckload of trash without paying the required fee. Afterwards, CS paid Bolden $70 in cash, which Bolden explained was a lot less than what he and the scale house “girls” have charged others. On September 12, 2013 and October 9, 2013, Drinkard allowed CS to dump two more truckloads of trash without paying the required disposal fee. Bolden charged CS $200 for each truckload.
During a recorded conversation on October 17, 2013, Drinkard asked the CS how much Bolden was charging CS. Upon learning that it was $200 per trip, the scale house operator agreed to waive the disposal fee for less money without Bolden’s involvement and stated, “Just call and let me know whenever you want to come in and I got you.”
Illegal Junking Scheme
In addition to the revenue generated by the collection of disposal fees, Baltimore City’s waste management system generates revenue by collecting and selling recyclable scrap metal dumped at the City’s trash collection facilities, including household appliances, steel cables, copper wires, car parts, computer parts, door and window frames. The City awards contracts to private salvage companies to purchase and remove such scrap metal from its trash collection facilities.
DPW employees at the Landfill and other trash collection sites are required to segregate the recyclable scrap metal from general refuse and place it in separate bins provided by the salvage companies. The companies regularly pick up the scrap metal, weigh it and send a tonnage report to the City. Based on predetermined prices per ton, the City sends an invoice to the companies requesting payment for the value of the scrap metal the companies removed during a given period of time. Salvaging by employees, also referred to as “junking,” was strictly prohibited and employees were put on notice that any salvaging of metal constituted theft of City property.
According to the statement of facts presented by the government to the court, from 2005 to May 2015, Bolden and other Landfill employees falsely represented to the DPW that they were performing the jobs for which they were hired when, in fact, they used their paid positions during work hours to unlawfully collect, remove and sell scrap metal for personal gain.
Bolden and other laborers used their personal cell phones to communicate when and where recyclable scrap metals were being dumped at the Landfill. After creating piles of the scrap metal at various locations at the Landfill, the laborers would then use their personal pick-up trucks to collect the scrap metal and transport it from the Landfill to a private salvage company, frequently making multiple trips during a single, eight-hour work shift.
For most of the period, Bolden oversaw operations at the Convenience Center where residential trash was dumped. Video recordings documented Bolden’s use of a front-end loader to separate salvageable metal from the general trash bins. After setting aside a sufficient amount of such metal, Bolden would use his cell phone to contact other laborers, including Jarrod Hazelton and Michael Bennett, to pick up what he had collected. Telephonic intercepts revealed a daily pattern of phone calls wherein Bolden notified other employees that he had collected various types of salvageable metal that he was ready to load onto their trucks. Video footage showed Bolden helping to load the salvageable metals onto other employees’ pick-up trucks as well as his own. Those employees, in turn, would sell the metal to salvage companies and share the proceeds of the sales with Bolden. Sometimes the other laborers would meet with Bolden after hours to pick up his stolen metal and pay him.
The scrap metal that Bolden, Hazelton, Bennett and others stole and sold to private salvage companies resulted in a loss of revenue to the City totaling hundreds of thousands of dollars.
In addition, video footage established that Bolden and other employees spent a significant part of almost every workday coordinating the search and collection of salvageable metals to steal. Nonetheless, Bolden and other employees regularly signed and submitted daily time and attendance sheets falsely reflecting that they had fulfilled the hourly requirements of their respective paid positions when, in fact, they were routinely engaged in unauthorized “junking.” As a result, Bolden received hourly wages every pay period for work he did not perform on behalf of the City. More specifically, for calendar years 2013 and 2014, Bolden stole and conspired to steal salvageable metals and unearned wages from Baltimore City totaling more than $5,000 per year.
Bolden faces a maximum sentence of five years in prison for conspiracy, 20 years in prison for extortion; and 10 years in prison for theft from a government program. U.S. District Judge Marvin J. Garbis has scheduled sentencing for August 23, 2016, at 9:30 a.m.
Former DPW employees Tamara Oliver Washington, age 55; William Charles Nemec, Sr., age 56; and Michael Theodore Bennett, age 47; Latonya Drinkard, age 39, all of Baltimore, and Jarrod Terrell Hazelton, age 33, of Parkville, Maryland, previously pleaded guilty to their roles in the schemes. Nemec was sentenced to 78 months in prison, Bennett to 46 months in prison and Hazelton to two years in prison. U.S. District Judge Marvin J. Garbis also ordered Bennett and Hazelton to each pay restitution of $400,000. Washington and Drinkard are scheduled to be sentenced on August 12 and October 13, 2016.
Commercial trash hauler, John Howard Brady, age 74, was convicted by a federal jury in the bribery scheme, and is scheduled to be sentenced on July 22, 2016. The five remaining commercial trash haulers pleaded guilty to their participation in the bribery scheme. Quentin Turgot Glenn, age 50, of Hanover, Maryland, who owned and operated Glenn Services, LLC, a trash hauling business, was sentenced to three years in prison. Jessie Lee Wilson, Jr., age 41, of Baltimore, who was employed by Glenn Services as a truck driver, to three years of probation, with the first year to be spent in community confinement. Adam Williams, Jr., age 53, of Randallstown, was sentenced to one year in prison; and Larry Lowry, age 61, of Orchard Beach, Maryland, to 30 months in prison. Judge Garbis also ordered that Glenn pay restitution of $306,000; Williams pay restitution of $900,000; and Lowry pay restitution of $180,000. Mustafa Sharif, age 64, of Baltimore, awaits sentencing.
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 are prosecuting the cases.
Federal Charges Filed Against 6 Prince George’s County Men as the Result of a Joint Investigation Targeting Armed Drug DealersRead the Press Release
Greenbelt, Maryland – Federal criminal complaints have been filed charging six Prince George’s County men with gun and drug crimes, as a result of a joint investigation by ATF, DEA and the Prince George’s County Police Department that targeted armed drug dealers in Prince George’s County.
In addition, over 150 members of law enforcement executed 12 search warrants at locations in and around Prince George’s County today. As a result of those searches, law enforcement recovered five firearms and 205 rounds of ammunition, over 300 grams of crack cocaine, 1.94 kilos of PCP, approximately $30,000 in cash, as well as codeine and marijuana.
The charges were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division (ATF); Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division (DEA); and Chief Hank Stawinski of the Prince George’s County Police Department (PGPD).
“ATF and our federal and local law enforcement partners will continue to be relentless in our pursuit of violent offenders in Prince Georges County,” said ATF Special Agent in Charge Daniel L. Board, Jr.
Three brothers are charged with conspiracy to distribute and possess with intent to distribute crack cocaine and phencyclidine (PCP). The defendants are: Ricky Lee Williams, a/k/a Slick, Pullaman, and Stacy, age 26; James Ricardo Williams, a/k/a Snipe, age 27; and Brooks Everett Williams, age 25, all of Forestville, Maryland. Ricky Lee Williams is also charged with being a felon in possession of a firearm. The criminal complaint was filed on June 28, 2016.
Three other defendants were charged today by criminal complaint. Tyrell Lamont Thompson, age 24, of Forestville, was charged with possession with intent to distribute crack cocaine, possession of a firearm by a previously convicted felon, and using and carrying a firearm during and in relation to a drug trafficking crime. Alvin Bradley, age 27, of Suitland, Maryland is also charged with possession of a firearm by a previously convicted felon. According to his criminal complaint, Bradley was on supervised release for previous federal drug and gun convictions at the time of his arrest. Darrell Glen Pinkney, age 32, of Temple Hills, Maryland, is charged with possession with intent to distribute crack cocaine.
James Williams, Thompson and Bradley were arrested today. Law enforcement is still looking for Ricky and Brooks Williams and Darrell Pinkney.
According to the affidavit filed in support of the Williams’ criminal complaint, the defendants conspired to distribute crack cocaine and PCP in Prince George’s County from September 2015 until the June 2016. Specifically, the affidavit alleges that in September and October 2015, an ATF source made controlled purchases of crack cocaine and a loaded .40 caliber semi-automatic pistol, respectively, from Ricky Williams. The meetings between the source and Ricky Williams were recorded. Ricky Williams has a prior felony conviction and is therefore prohibited from possessing a firearm or ammunition. In addition, the affidavit details phone calls overheard by law enforcement, in which Ricky, James and Brooks Williams, discuss their distribution of PCP.
The charges against Thompson, Bradley and Pinckney were filed after search warrants were executed at their residences.
James Williams, Thompson and Bradley had initial appearances today before U.S. Magistrate Judge Charles B. Day in U.S. District Court in Greenbelt. The defendants were detained pending detention hearings scheduled for next week.
If convicted, the Williams’ face a maximum sentence of 20 years in prison for the drug conspiracy. Ricky Williams, Thompson and Bradley face a maximum sentence of 10 years in prison for being a felon in possession of a firearm. Thompson and Pinkney each face a maximum of 20 years in prison for possession with intent to distribute crack cocaine. Thompson also faces a mandatory minimum of five years consecutive to any other sentence imposed, and up to life in prison for using and carrying a firearm during and in relation to a drug trafficking crime.
A criminal complaint is not a finding of guilt. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein commended ATF, DEA and the Prince George’s County Police Department for their work in the investigation and thanked the Metropolitan Police Department, Maryland National Capital Park Police and U.S. Marshals Service for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Michael T. Packard and Thomas M. Sullivan, who are prosecuting the case.
Silver Spring Man Admits Throwing Molotov Cocktails at Residence in Upper MarlboroRead the Press Release
Greenbelt, Maryland – Damien Travis Boddy, age 35, of Silver Spring, Maryland, pleaded guilty today to possession of an unregistered firearm and to transportation of explosive material with the intent to injure, kill or intimidate.
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 Fire/EMS Chief Marc S. Bashoor.
According to his plea agreement, in the early morning hours of October 19, 2014, Boddy drove to a gas station in Upper Marlboro, Maryland and filled several empty beer bottles with gasoline. Boddy placed the bottles in his car and drove to a residence in Upper Marlboro. Using protective gloves and a lighter, Boddy set fire to at least two of the bottles filled with gasoline and threw the lit bottles at the residence. The lit bottles, which qualify as explosives, struck a window on the first floor and ignited a small fire on the exterior of the residence. The bottles did not penetrate to the interior of the residence and the fire was confined to the exterior of the window and shrubbery. Members of the Prince George’s County Fire Department responded and extinguished the fire. Fire investigators subsequently recovered the remnants of one of the gas filled beer bottles near the residence, gas residue on the window, and an intact gas-filled beer bottle on the sidewalk adjacent to the residence.
Members of the Prince George’s County Police Department encountered Boddy in his vehicle a short distance from the residence. Officers discovered a beer bottle filled with gasoline in the vehicle’s cup holder, a lighter, protective gloves and paperwork from the gas station where Boddy filled the beer bottles.
Boddy knew the owner of the residence and in previous years had set fire to a car parked at the victim’s residence, and had contacted the victim’s employer and threatened to kill the victim.
Boddy and the government have agreed that if the Court accepts the plea agreement Boddy will be sentenced to between 10 and 20 years in prison. U.S. District Judge George J. Hazel has scheduled sentencing for October 3, 2016 at 3:00 p.m.
United States Attorney Rod J. Rosenstein commended the ATF, Prince George’s County Police Department and Prince George’s County Fire/EMS for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Daniel C. Gardner, Michael T. Packard, and Erin B. Pulice, who are prosecuting the case.
Dead Man Inc. Member Admits to Retaliating Against a Federal WitnessRead the Press Release
Greenbelt, Maryland –Anthony E. Alascio, age 31, formerly of Baltimore, Maryland, pleaded guilty today, before jury selection began in his trial, to retaliating against a witness who had testified in a federal criminal trial involving Dead Man Inc. (DMI).
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Colonel Woodrow Jones, Chief of the Maryland Transportation Authority Police; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; and Secretary Stephen T. Moyer of the Maryland Department of Public Safety and Correctional Services.
On November 26, 2013, Alascio was an inmate at the Chesapeake Detention Facility (CDF) in Baltimore, awaiting trial in federal court on charges stemming from a December 28, 2012 armed robbery of a pharmacy in case number ELH-13-0153 (Robbery Case).
According to his plea agreement, Alascio was a member of Dead Man, Incorporated (DMI), a criminal gang founded in Maryland prisons in the 1990s. On November 26, 2013, during a series of recorded telephone call made from CDF, Alascio informed several individuals that he would soon be going into secure detention because of something he was about to do.
Later that day, Alascio assaulted another inmate at CDF using a sock filled with batteries and dominoes that had been taped together. The victim was seriously injured, including serious bleeding, lacerations that required stitches, and bruising. The victim was admitted to a nearby hospital for treatment and discharged two days later.
During the assault, Alascio called the victim a “snitch.” The assault was captured on video and the weapon was later found in Alascio’s cell. In a letter written in detention later that evening, Alascio admitted to beating the victim. Alascio referred to the victim as a “RAT” and stated that the victim “told on my peoples so he got what he deserved.”
Several weeks before the assault, the victim testified in the federal trial of Jose Morales. Evidence introduced at the Morales trial established that Morales paid DMI to murder Robert Long. Jose Joaquin Morales, age 40, of Baltimore, Maryland, was convicted at that trial by a federal jury for using a cell phone to arrange the murder-for-hire of Robert Long. Morales was sentenced to life in prison on December 9, 2013. The prosecution of Morales resulted in the exoneration of Demetrius Smith, who was serving life in state prison for the murder -- a crime he did not commit.
Alascio faces a maximum sentence of 20 years in prison. U.S. District Judge Roger W. Titus has scheduled sentencing for October 14, 2016 at 10:00 a.m.
On December 23, 2013, Alascio pled guilty to robbery in the Robbery Case and was sentenced on March 28, 2014 to 135 months in federal prison.
United States Attorney Rod J. Rosenstein commended the DEA, Maryland Transportation Authority Police, ATF and Maryland Department of Public Safety and Correctional Services for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Zachary A. Myers and Sandra Wilkerson, who are prosecuting the case.
Columbia Man Sentenced to 8 Years in Federal Prison for Bribing Letter Carriers to Divert Packages Containing MarijuanaRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Suleiman Pasha, age 33, of Columbia, Maryland, today to eight years in prison, followed by three years of supervised release, in connection with a bribery and drug conspiracy in which he bribed letter carriers to divert packages of marijuana sent through the mail and deliver the packages to him and other co-conspirators. Judge Motz also ordered Pasha to forfeit $14,700.
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; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City Sheriff John Anderson.
According to his plea agreement, Pasha conspired with letter carriers Antoinette McDaniels and Hilary Gainey, paying them bribes in exchange for diverting packages containing marijuana and delivering those packages to him, and co-conspirators Gary Coleman and Cyril Boodoo.
Specifically, Pasha admitted that in February 2014 and April 2014, he approached Antoinette McDaniels and Hilary Gainey, respectively, while they were employed by the U.S. Postal Service as letter carriers, and offered to pay McDaniels and Gainey $100 per parcel if they would divert specific packages sent through the U.S. mail that contained marijuana, and deliver those packages to him and other co-conspirators. McDaniels and Gainey agreed to this arrangement. Pasha introduced McDaniels and Gainey to Coleman and other co-conspirators, and directed McDaniels and Gainey to deliver certain packages to those co-conspirators as well. Pasha and his co-conspirators paid the letter carriers up to $100 for each parcel diverted and delivered to them. According to court documents the packages were sent via the U.S. mail from Arizona, California, Florida, and elsewhere, to addresses along McDaniels’ route in Baltimore and Gainey’s route in Columbia, Maryland.
Gainey and McDaniels delivered approximately 100 packages and 30 packages, respectively, to Pasha, Coleman and Boodoo. Gainey was paid a total of $10,000 by the co-conspirators and McDaniels was paid a total of $4,700 by the co-conspirators. Pasha admitted that during his participation in the conspiracy, between 100 and 400 kilograms of marijuana were distributed.
Gary Coleman, a/k/a “Short,” age 45, and Cyril Boodoo, age 55, both of Baltimore, Antoinette McDaniels, age 47, of Windsor Mill, Maryland, and Hilary Gainey, age 27, of Baltimore previously pleaded guilty to their roles in the conspiracy. Judge Motz sentenced Coleman to nine years in prison, Boodoo to six months in prison, and sentenced McDaniels and Gainey each to three years’ probation.
United States Attorney Rod J. Rosenstein praised the U.S. Postal Inspection Service, DEA, Maryland State Police, Baltimore City Police Department and Baltimore City Sheriff’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Jason D. Medinger, who prosecuted the case.
Baltimore Heroin Importer Sentenced to 7 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Adedeji Ajala, age 36, of Baltimore, Maryland today to seven years in federal prison, followed by four years of supervised release, for conspiracy to import heroin.
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); Postal Inspector in Charge Maria L. Kelokates of the U.S. Postal Inspection Service - Washington Division; and Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office.
According to the evidence presented at his six day trial, two international parcels, one sent in July 2014 to the name “Wayne Adams,” at an address on Whittier Avenue in Baltimore; and one sent in August 2014 to the name “Bobby Mills,” at 3814 Old Frederick Road in Baltimore, are associated with Ajala. Both packages were intercepted by investigators, searched pursuant to a federal search warrant, and found to contain a total of approximately 382.5 grams of heroin.
On August 12 and August 14, 2014, undercover postal inspectors placed calls to an individual, later identified as Ajala, to arrange for a controlled delivery of the Old Frederick Road package. During those calls, Ajala portrayed himself as “Bobby Mills,” and inquired about the whereabouts and pickup of the Old Frederick Package. According to trial testimony, Ajala provided fraudulent identity documents, including a driver’s license and social security card in the name of “Bobby Mills,” to a co-conspirator, so that the co-conspirator could pick up the Old Frederick Road package.
According to evidence presented at trial, Ajala drove the co-conspirator to the Carroll Station Post Office on August 15, 2014, to attempt to pick up the Old Frederick Road package. The co-conspirator went inside to get the package and was arrested almost immediately. Shortly thereafter, several investigators approached Ajala, who was sitting outside in his car. Ajala sped off, striking two unmarked police cars with officers inside, and then fled on foot down an alley.
Witnesses testified that law enforcement recovered several cell phones from Ajala’s abandoned vehicle. One of those phones, found on the driver’s side floor, contained both the tracking number for the Whittier Package and the tracking number for the Old Frederick Package. That same cell phone showed the two incoming calls, in which the undercover postal inspectors had spoken with Ajala about that package. Another phone, found in the center console, contained the full address found on the Old Frederick Package.
United States Attorney Rod J. Rosenstein praised HSI Baltimore, U.S. Postal Inspection Service, and DEA for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Matthew C. Sullivan and Christopher J. Romano, who prosecuted the case.
Lusby Man Sentenced to 10 Years in Federal Prison for His Role in a Southern Maryland Drug Trafficking ConspiracyRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Antoine Dewayne Savoy, age 35, of Lusby, Maryland, today to 10 years in prison, followed by five years of supervised release, for conspiracy to distribute and possess with intent to distribute powder and crack cocaine.
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; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Chief Hank Stawinski of the Prince George’s County Police Department; Chief Stanley Johnson, of the Maryland National Capital Park Police, Prince George’s County Division; Charles County Sheriff Troy Berry; St. Mary’s County Sheriff Tim Cameron; and Calvert County Sheriff Mike Evans.
According to his plea agreement and other court documents, from January through July 2015, Savoy conspired with Colbert Juan Jones, Vincent Leo Fletcher, Troy Taishon Swann, and James Devwan Pixley, to distribute cocaine. Jones sold cocaine to his customers, which included Savoy and Pixley. Savoy and Pixley purchased cocaine from Jones several times a month and used at least half of that cocaine to manufacture crack cocaine, which they sold in smaller distribution quantities. Savoy often retrieved the cocaine from a home in Prince Frederick, Maryland, from which Jones distributed narcotics. Savoy would either meet Jones there and personally exchange money for the cocaine, or retrieve the cocaine from a hiding place known to Savoy and Jones. Savoy would then leave cash in the hiding place, or arrange another time and place to provide money to Jones.
Jones obtained cocaine from Fletcher and other sources. Fletcher obtained cocaine several times a month from Swann and other suppliers. Fletcher distributed the cocaine to his customers for further distribution, and used some of the powder cocaine to manufacture crack cocaine, which he also distributed.
Colbert Juan Jones, age 33, of St. Leonard, Maryland, and Vincent Leo Fletcher, age 29, of Clinton, Maryland, and James Devwan Pixley, age 26, of Waldorf, Maryland, were each previously sentenced to 10 years in prison. Troy Taishon Swann, age 39, of Waldorf, pleaded guilty to his role in the conspiracy and is scheduled to be sentenced on July 11 2016 at 11:00 a.m.
United States Attorney Rod J. Rosenstein praised the ATF, DEA, Prince George’s County Police Department, Maryland National Capital Park Police, Prince George’s County Division, and the Charles, St. Mary’s and Calvert County Sheriffs’ Offices for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Michael T. Packard and Leah J. Bressack, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Armed Robber Sentenced to over 15 Years in Federal PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Darrell Lee, age 48, of Charlotte Hall, Maryland, today to184 months in prison followed by five years of supervised release for robbery, and for carrying and brandishing a gun during a robbery. Judge Grimm also ordered Lee to pay restitution of $24,791.50 and forfeit $19,987.
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; St. Mary’s County Sheriff Tim Cameron; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to his plea agreement, on June 18, 2014, Lee and Furman Troy entered a jewelry store in Charlotte Hall. Lee brandished a gun at the store owner and Troy bound the victim with duct tape. After obtaining the key to the jewelry counter from an employee, they stole jewelry worth approximately $8,890, cash, a laptop computer valued at approximately $2,100 and other items.
On June 22, 2014, Lee and Troy robbed a pharmacy in Mechanicsville, Maryland. Again, Lee brandished a gun and Troy bound the employee with duct tape. They stole cash and prescription bottles containing oxycodone, methadone, hydrocodone and endocet, valued at approximately $8,997.
Furman Troy, age 45, of Charlotte Hall, Maryland, pleaded guilty to his participation in the scheme and was sentenced to 12 years in prison. In addition, Michael Burgess, age 54, of Alexandria, Virginia, and Abdelrahim Ayyad, a/k/a Sahid, age 50, of White Plains, Maryland previously pleaded guilty to their roles in the robberies and await sentencing.
United States Attorney Rod J. Rosenstein commended the FBI, St. Mary’s County Sheriff’s Office and Maryland State Police for their work in the investigation, and recognized the St. Mary’s County State’s Attorney’s Office for its assistance in the case. Mr. Rosenstein thanked Assistant United States Attorney Leah J. Bressack, who prosecuted the case.
Westminster Man Sentenced to over 4 Years in Federal Prison for Distribution of HeroinRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Alexander E. Agniadis, age 28, of Westminster, Maryland, today to 54 months in prison, followed by three years of supervised release, for distribution of heroin. An individual died after receiving heroin from Agniadis. Judge Motz also ordered that Agniadis pay restitution of $6,743.41 to the victim’s family for the cost of his funeral and final arrangements. There are no suspended sentences or parole in the federal court system.
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; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Chief Jeffrey Spaulding of the Westminster Police Department; Carroll County Sheriff James DeWees; and Carroll County State’s Attorney Brian DeLeonardo.
According to Agniadis’ plea agreement, at approximately 3:30 p.m. on December 28, 2014, Agniadis distributed heroin to an individual in the vicinity of Medinah Circle in Westminster. Text messages show that the individual contacted Agniadis to obtain heroin. According to witnesses Agniadis and the individual met at about 3:30 p.m., and Agniadis gave the individual a small amount of heroin. The individual was not in contact with his family or anyone else after that time and his phone reflects only unanswered calls and incoming texts from that time forward. The individual was found dead on January 5, 2015. The Medical Examiner determined that the victim died of heroin intoxication.
As part of the investigation, in early January 2015, heroin was purchased from Agniadis. On January 14, 2015, a search warrant was executed at Agniadis’ residence and law enforcement recovered 14 individually wrapped glassine bags containing heroin, and additional bags with heroin residue.
United States Attorney Rod J. Rosenstein commended the DEA and the Carroll County Drug Task Force comprised of the Maryland State Police, Westminster Police Department, Carroll County Sheriff’s Office and Carroll County State’s Attorney’s Office, for their work in the investigation and prosecution. Mr. Rosenstein thanked Assistant U.S. Attorney Andrea L. Smith, who prosecuted this Organized Crime Drug Enforcement Task Force case.
Serial Fraudster Sentenced to 10 Years in Federal PrisonRead the Press Release
Baltimore, Maryland –. U.S. District Judge Ellen L. Hollander sentenced Monika Michelle Hill, age 36, of Baltimore and Cockeysville, Maryland, to 10 years in prison, followed by five years of supervised release, for two separate fraud schemes, including conspiracy to commit bank fraud and wire fraud, and aggravated identity theft. Judge Hollander also ordered Hill to pay restitution of $199,318 for the 2015 bank fraud case, and restitution of $105,899.16 in the 2013 wire fraud case.
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; and Chief James W. Johnson of the Baltimore County Police Department.
According to her plea agreement, between March 2013 and July 2014, Hill, was the leader of a scheme in which the defendants deposited counterfeit checks, drawn on the accounts of identity theft victims, into bank accounts opened by the defendants in the name of shell companies. The defendants then withdrew the funds before the fraud could be detected. Hill conspired with co-defendants Alysia Rascoe, Vance McKoy, Mark Peeples, Dorian Griffin and others to open 22 business bank accounts online, using the personal identifying information of identity theft victims. The bank accounts were funded using forged checks bearing the bank account numbers and forged signatures of other identity theft victims.
For example, Grant U Pleasure, LLC and Kersey’s Recovery, LLC were registered with the State of Maryland Department of Labor, Licensing and Regulation as businesses on March 12, 2014 and May 19, 2014, respectively. The businesses each listed an identity theft victim as the managing member/owner, and used that person’s social security number and date of birth to open online bank accounts for the business. The bank accounts listed the identity theft victim as the sole authorized signer on the account.
Beginning on March 25, 2014, 31 counterfeit checks totaling $51,490 were deposited into three business banks accounts opened online in the name of Grant U Pleasure. A total of $52,433 was drawn out of those accounts by checks being cashed against funds in the accounts. All of the deposited counterfeit checks were from an account belonging to identity theft victims. Hill deposited three of the counterfeit checks and Peeples deposited four counterfeit checks into the Grant U Pleasure bank accounts, each bearing the forged signature of a victim account owner. Once the counterfeit checks were deposited, Hill provided checks to Griffin, Rascoe, Peeples, and others from the Grant U Pleasure accounts. The checks were made out to them in amounts ranging from $1,500 to $1,800, and bore the forged signature of the purported managing member/owner of Grant U Pleasure. Griffin, Rascoe and Peeples cashed the checks, providing their driver’s licenses, fingerprints and signatures. They typically kept about $200 of the proceeds for themselves and provided the rest to Hill and others.
Similarly, between June 3 and 5, 2014, eight counterfeit checks totaling $13,810 were deposited into the Kersey’s Recovery bank accounts. Hill deposited four counterfeit checks, including on June 4, 2014, immediately after entering her guilty plea in a separate federal fraud case, and while she was on pretrial release. Hill then provided McKoy and others checks from the Kersey’s Recovery accounts that were made out to them in amounts ranging from $1,200 to $1,400, and bore the forged signature of the purported managing member/owner of Kersey’s Recovery. After cashing the checks, McKoy and others received between $150 and $400, and provided the balance to Hill.
The loss to the bank as a result of the scheme was $179,808.76, the amount actually withdrawn. The intended loss was $233,190.02, the total amount of the counterfeit checks deposited.
Mark Darnell Peeples, age 31, of Baltimore, pleaded guilty to conspiracy to commit bank fraud and to aggravated identity theft; Alysia Samon Rascoe, age 26, of Baltimore pleaded guilty to two counts of conspiracy to commit bank fraud and to aggravated identity theft; Christopher Vance McKoy, age 24, of Baltimore, pleaded guilty to two counts of conspiracy to commit bank fraud; and Dorian Maurice Griffin, age 20, of Baltimore, pleaded guilty to conspiracy to commit bank fraud and to aggravated identity theft. U.S. District Judge Ellen L. Hollander has scheduled sentencing for McKoy on July 19, 2016 at 10:00 a.m., for Rascoe on July 20, 2016, for Peeples on August 23, 2016, both at 2:30 p.m., and for Griffin on October 21, 2016, at 10:00 a.m.
In the prior case, Hill conspired with Tavares Davon Miller, age 32, of Baltimore. According to her plea agreement in that case, from September 25 through November 1, 2012, Miller acquired the identifying information of more than 10 victims, and used that information to fabricate driver’s licenses and credit cards in the names of those victims, but using the photograph of co-conspirator Monika Hill (where applicable). Miller and Hill traveled to motorcycle dealerships and retail stores in Maryland, Delaware, Virginia and Pennsylvania, and used the fraudulent identification documents to purchase motorcycles and other merchandise, or apply for lines of credit at those stores. Miller and Hill then loaded the motorcycles and merchandise into their vehicle and returned to Maryland. Miller advertised the motorcycles and merchandise for sale over the internet, retaining the proceeds of the sales and paid Hill a fee for her services. Miller was previously sentenced to 75 months in prison and ordered to pay restitution of 105,899.66.
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 Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted both cases.
Man Sentenced to 15 Years in Federal Prison for Arson, Looting, Assault and Other Mayhem During Baltimore Riots and Shooting Woman over a $20 Drug Dispute 10 Weeks LaterRead the Press Release
Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Donta Betts, age 20, of Baltimore, today to 15 years in prison, followed by five years of supervised release, 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.
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 J. Mosby.
“Donta Betts engaged in arson, looting, assault and other mayhem during the Baltimore riots,” said U.S. Attorney Rod J. Rosenstein. He threw rocks at the police near Mondawmin Mall; tried to destroy police cars; stole from a pharmacy, a liquor store and a shoe store; and set off a homemade bomb. Ten weeks later, he tried to murder a woman over a $20 drug dispute, then he conspired to get her to sign a false affidavit. We caught him only because police and prosecutors spent many hours reviewing video and audio recordings. It may sound like a story arc from a TV series, but it is real life in Baltimore.”
On April 27, 2015, riots and widespread looting erupted in Baltimore. Among the affected businesses, the CVS Pharmacy located at 2509 Pennsylvania Avenue in Baltimore was looted and burned. According to his plea agreement, Betts participated in the looting at the CVS. Betts is captured on surveillance video entering the store through its main front entrance and removing merchandise from the store.
By 5:44 p.m., riot participants had placed an assemblage of metal propane cylinders and charcoal briquettes near the main entrance to CVS, between West North Avenue and a line of police officers that had formed across the 2500 block of Pennsylvania Avenue. In an effort to deter the line of police officers from advancing to stop the looting of the CVS, Betts set fire to a roll of toilet paper and placed it on top of the propane cylinders and charcoal briquettes. Betts then squirted lighter fluid onto the burning roll of toilet paper atop the incendiary materials. Betts’ face and full body are shown squirting lighter fluid onto the incendiary materials in still photographs, some of which were published by local and national news media. Betts then fled, and at approximately 5:58 p.m., a large flame exploded from the improvised incendiary device, resulting in flying debris of large metal fragments from the propane cylinders and blast effects felt by nearby bystanders.
During the investigation, ATF learned that in addition to making the incendiary device, the scope of Betts’ participation in the April 27th riots included: throwing objects at police in the vicinity of Mondawmin Mall; attempting to tip over MTA and police vehicles while encouraging others to join him; attempting to destroy a police cruiser by placing flammable material in the fuel filler pipe and igniting the material; and stealing from the CVS, a liquor store in Baltimore, and a shoe store at Mondawmin Mall. Betts’ involvement in the riots is documented in surveillance footage and still photographs.
In an unrelated case, on July 2, 2015, Betts shot and attempted to kill an individual who had previously purchased heroin from him. According to the plea agreement, Betts expected to be paid $40 for the heroin, but the individual only paid him about $20. On the morning of July 2, 2015, Betts saw the individual in the driver’s seat of a vehicle with a passenger in southwest Baltimore. Betts approached the vehicle with a gun in his hand and shot at the individual, intending to kill the victim in retaliation for having been cheated in the prior drug transaction. The victim managed to drive away and was treated at the Shock Trauma Center at University of Maryland Hospital for severe injuries to her left leg. Betts was arrested for the shooting on July 7, 2015 and charged in state court with attempted first degree murder and other offenses, and detained.
On July 18 and July 19, 2015, while he was detained, Betts made calls to a friend. During the call on July 19, which was recorded by the Maryland Department of Public Safety and Correctional Services, Betts provided the name of the shooting victim and asked his friend to relay that information to associates of Betts and to instruct them to obtain a signed affidavit from the victim stating that Betts did not shoot her. During the same call, Betts admitted that he did shoot the victim.
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, is charged with malicious destruction of property by fire, for allegedly setting fire to a food store on North Monroe Street. Gregory Lee Butler, Jr., a/k/a Greg Baly, age 22, of Baltimore, faces federal charges for obstruction of firefighters during a civil disorder. 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. 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, 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 Attorneys Matthew J. Maddox and Sandra Wilkinson, who are prosecuting the case.
DOJ Employee Pleads Guilty to Traveling to Engage in Sex with a MinorRead the Press Release
Baltimore, Maryland –James Cicala, age 55, of Columbia, Maryland pleaded guilty today to interstate travel with intent to engage in a sexual act with a minor.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Worcester County Sheriff Reggie T. Mason, Sr.; and Special Agent in Charge Michael Tompkins, Washington Field Office, U.S. Department of Justice Office of the Inspector General.
According to his plea agreement, Cicala was a career employee at the U.S. Department of Justice, providing information technology support. Cicala owned a beach house in Fenwick Island, Delaware. From March 2015 through at least July 21, 2015, Cicala placed multiple ads in the Delaware, Maryland and District of Columbia editions of an online marketplace, seeking females to engage in “daddy-daughter” relationships. On July 21, 2015, an undercover detective with the Worcester County Sheriff’s Office who was investigating child solicitation on the internet responded to Cicala’s ad entitled “Daddy’s Little Girl.” The undercover detective identified himself as “Sydney,” a 15 year old female, and Cicala identified himself as a male in his late 40’s.
Cicala and the undercover detective posing as “Syndey” exchanged messages for several weeks, eventually agreeing to meet to engage in sexually explicit conduct. During their conversations, Cicala referred to himself as “Daddy.” Cicala promised to take “Sydney” on a shopping trip and to bring a pair of earrings which “Sydney” had picked out at Cicala’s request. According to the plea agreement, the meeting was initially scheduled for August 1, 2015. On August 1, 2015, Cicala traveled from his beach house in Delaware to Berlin, Maryland, to meet “Sydney,” who did not show up, later claiming that she was with her Aunt and was unable to get away.
The texting continued and Cicala again made arrangements to meet Sydney on August 15, 2015, in Berlin. Many of the conversations Cicala had with the undercover officer occurred using Cicala’s DOJ-issued phone or work computer, sometimes during work hours. Cicala frequently attempted to engage “Sydney” in sexually explicit chat, instructing her to delete the message, and sent Sydney nude and partially nude photos of himself. However, throughout the text message exchanges “Sydney” refused to send sexually explicit photos or engage in sexually explicit chat.
On August 15, 2015, Cicala traveled from his beach house in Delaware to Berlin, Maryland, to engage in sexual activity with “Sydney,” whom he believed to be a 15 year old girl. He was arrested as he arrived at the meeting place. He had his DOJ issued cell phone, which he had used for sending and receiving the texts with “Sydney.” In his SUV was bedding, pillows, a giftwrapped box with the promised earrings, and cell phone batteries for the phone “Sydney” has told him she used. On August 17, 2015, Cicala was placed on administrative leave by the Department of Justice.
Cicala faces a maximum of 30 years in prison followed by up to lifetime of supervised release for traveling interstate to have sex with a minor. U.S. District Judge Ellen L. Hollander scheduled sentencing for August 25, 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.
United States Attorney Rod J. Rosenstein commended the HSI Baltimore, Worcester County Sheriff’s Office and DOJ Office of Inspector General for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Tamera L. Fine, who is prosecuting the case.
Member of Cherry Hill Gang ‘UDH’ Sentenced to over 21 Years in Federal Prison for Racketeering Conspiracy, Including MurderRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Cornell Harvey, a/k/a “Little Head,” age 29, of Baltimore, today to 262 months 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. Harvey’s federal sentence will be served concurrent to the two life sentences he received on state charges for an unrelated murder in Cherry Hill.
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.
“Disputes between rival drug gangs lead to many shootings and murders in Baltimore City,” said U.S. Attorney Rod J. Rosenstein. “Thanks to a lengthy and intensive investigation, we will hold accountable the criminals who turned Cherry Hill into a war zone.”
According to his plea agreement, from at least 2007 to 2013 Harvey was a member 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.
Harvey admitted that as a member of UDH he sold crack cocaine, heroin and other narcotics with UDH members. In addition to selling drugs, Harvey admitted that on October 5, 2010, he and co-defendant Dominic Evans committed an armed robbery of two individuals who were selling marijuana in the area, but who were not UDH members. After stealing $150 from one of the victims, Harvey began to shoot at the two individuals. One of the victims was shot once and survived his wound, but the other victim, who was shot at least three times, died from her wounds. The murder was captured on CCTV. A Baltimore City jury acquitted Harvey and Evans of this murder.
Finally, on January 29, 2011, at approximately 1:30 am, Harvey, and other gang members were arrested riding around Cherry Hill in a stolen 1997 green Cadillac Seville. Upon trying to stop the vehicle, a chase ensued, and all four occupants bailed out in the rear of the 2800 block of Bookert. Harvey was chased by an officer who saw him toss a fully loaded 9mm .357 handgun. Officers also recovered from the vehicle: a box containing 39 rounds of .38 special ammunition; a plastic bag containing 33 rounds of 9mm ammunition; a ski mask; and a glove.
According to Harvey’s plea agreement, the green Cadillac Seville was stolen late on January 27, 2011, after the victim was approached by three men as he was filling the vehicle at a gas station at North Avenue and McCulloh Street, in Baltimore City. After giving the three men a ride, the victim was ordered out of the vehicle at gunpoint in the 1800 block of Eutaw Place, where he was shot and left for dead.
Throughout the course of Harvey’s involvement in the UDH drug conspiracy Harvey knew that the conspiracy involved between 840 grams and 2.8 kilograms of crack cocaine and between 3 and 10 kilograms of heroin.
Co-defendant Dominic Evans, a/k/a “FlatLine,” age 25, of Baltimore, previously pleaded guilty to his role in the racketeering conspiracy and was sentenced to 30 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.
Cocaine Trafficker Sentenced to over 13 Years in Federal Prison for Gun and Drug OffensesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Moses Wood Brown, Jr., age 38, of Hillcrest Heights, Maryland, today to 162 months in prison followed by five years of supervised release for possession with intent to distribute cocaine base and possession of a firearm in furtherance of a drug trafficking crime. Judge Chasanow also ordered Brown to forfeit $42,758, a firearm, ammunition and a bulletproof vest.
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 Cathy L. Lanier of the Metropolitan Police Department; and Chief Hank Stawinski of the Prince George’s County Police Department.
According to his plea agreement, on four occasions from September 12 to December 18, 2013, Brown provided Cornelius Jackson with a total of 201.9 grams of crack cocaine, commonly referred to as crack cocaine, for which Jackson paid a total of $9,100.
On February 20, 2014, law enforcement executed a search warrant at Brown’s residence and seized three plastic bags containing a total of approximately 881.5 grams of cocaine base; a plastic container of Inositol which is frequently used as a cutting agent for cocaine; $42,758; a bullet proof vest and 150 rounds of .40 caliber ammunition; two plastic bags containing a total of approximately 193.9 grams of powder cocaine; a semiautomatic pistol loaded with fourteen 9 millimeter rounds of ammunition in the magazine and one round in the chamber; and narcotics paraphernalia, including a digital scale, used for the processing and cooking of powder cocaine into crack cocaine.
Brown admitted that he used his residence to manufacture and distribute crack cocaine.
In a separate proceeding, Cornelius Maurice Jackson, a/k/a “Buddy Love” and “Buddy,” age 43, of Washington, D.C., was sentenced to 11 years in prison for conspiring to distribute and possession with intent to distribute cocaine base. Judge Chasanow also ordered Jackson to forfeit $9,100.
United States Attorney Rod J. Rosenstein commended the DEA, Metropolitan Police Department and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Kelly O. Hayes and Ray D. McKenzie, who prosecuted the case.
Baldwin Man Sentenced to over 17 Years in Federal Prison for Taking Sexually Explicit Photos of His Friends’ ChildrenRead the Press Release
Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Raymond Mykale Goodridge, age 21, of Baldwin, Maryland, today to 210 months in prison, followed by 25 years of supervised release, for production of child pornography in connection with images and videos he made of two minor boys, both engaged in sexually explicit conduct. Judge Garbis also ordered that upon his release from prison Goodridge 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, Baltimore Field Office; Harford County Sheriff Jeffrey R. Gahler; Chief James W. Johnson of the Baltimore County Police Department; Harford County State’s Attorney Joseph I. Cassilly; and Baltimore County State’s Attorney Scott Shellenberger.
According to his plea agreement, Goodridge was friends with the mother of a prepubescent boy. Goodridge spent time alone with the boy, spending the night at the boy’s home in Dundalk, Maryland. The boy also spent the night at Goodridge’s home. In May 2014, when Goodridge was alone with the boy at the boy’s house, Goodridge used his cell phone to produce four photos which depict the boy partially naked. The photos focused on the boy’s genitals.
Goodridge was also friends with the mother of a 13 year old boy, who lived in Harford County. Goodridge and the 13 year old boy spent time together alone. In May 2014, Goodridge used a camera phone to surreptitiously take a video of the boy, intending to capture images of the boy engaging in sexually explicit conduct. The video captured the boy changing clothes and in various states of undress, included fully naked, and his genitals.
In February 2015, law enforcement seized digital devices belonging to Goodridge from his former residence, including a laptop and hard drive, which contained more than 600 images and videos of minors engaged in sexually explicit conduct. Numerous files portrayed prepubescent children engaged in sex acts with adults. The hard drive also contained the images and videos Goodridge produced of the two boys.
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, Harford County Sheriff’s Office, Baltimore County Police Department, and the Harford County and Baltimore County State’s Attorney’s Offices for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who prosecuted the case.
Pikesville Man Indicted on Federal Murder ChargeRead the Press Release
Baltimore, Maryland – A federal grand jury today returned an indictment charging Stanislav “Steven” Yelizarov, age 26, of Pikesville, Maryland, with using, carrying and discharging a firearm during a crime of violence, resulting in death.
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; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore Police Commissioner Kevin Davis.
According to the indictment, on December 26, 2009, Yelizarov allegedly shot and killed a man during a commercial robbery.
Yelizarov faces a maximum sentence of death or life in prison. An initial appearance has not yet been scheduled in U.S. District Court in Baltimore. Yelizarov is currently in prison serving a sentence on unrelated state and federal 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, Baltimore County Police Department and Baltimore City Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Paul E. Budlow and Aaron S. J. Zelinsky, who are prosecuting the case.
Lusby Man Pleads Guilty to Federal Charge of Production of Child PornographyRead the Press Release
Greenbelt, Maryland –Jose Antonio Jaramillo, age 54, of Lusby, Maryland, pleaded guilty today in federal court to production of child pornography.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Clark E. Settles of HSI Washington D.C.; Calvert County Sheriff Mike Evans; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to his plea agreement, from at least December 2014 through July 2015, Jaramillo, posing as teenaged male named, “Tommy James,” “Thomas James Jones,” or “Thomas James,” used email, applications on cellular phones and social media sites to induce, coerce and entice more than five minor female victims between the ages of 13 and 16 to send him sexually explicit images of themselves over the internet.
Jaramillo admitted that, using the “Tommy James” persona, he engaged in or attempted to engage in, sexually explicit conversations with at least 14 minor females and induced at least seven victims to produce sexually explicit images and videos of themselves and transmit those images to Jaramillo.
As part of his plea agreement, Jaramillo 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).
Jaramillo and the government have agreed that if the Court accepts the plea agreement Jaramillo will be sentenced to between 15 and 19 years in prison, followed by up to a lifetime of supervised release. U.S. District Judge Paul W. Grimm has scheduled sentencing for September 21, 2016 at 9:30 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States 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 Washington, D.C, the Calvert County Sheriff’s Office, and the Maryland State Police Internet Crimes Against Children Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Ray D. McKenzie and Kristi N. O’Malley, who are prosecuting the case.
Greenbelt Carjacker Sentenced to over 8 Years in PrisonRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Jeffrey Carl Franklin, age 29, of Greenbelt, Maryland, today to 102 months in prison, followed by three years of supervised release, for carjacking and being a felon in possession of a gun.
The sentence 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’s Washington Field Office; Chief Hank Stawinski of the Prince George’s County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; Chief J. Thomas Manger of the Montgomery County Police Department; Montgomery County State’s Attorney John McCarthy; Maryland Attorney General Brian E. Frosh; Chief Alan Goldberg of the Takoma Park Police Department; Chief Ronald A. Pavlik, Jr. of the Metro Transit Police Department; Chief Cathy L. Lanier of the Metropolitan Police Department; and Chief Earl L. Cook of the Alexandria (City) Police Department.
According to his plea agreement, on February 8, 2012, Franklin, David Peebles, and another co-conspirator drove to the Manchester Road area of Silver Spring, Maryland, where they spotted an individual parking a 2008 Infiniti. As the individual got out of the vehicle, two of the co-conspirators approached the individual. At gunpoint, the two co-conspirators demanded the keys to the car, took the victim’s keys, and then drove away in the Infiniti.
On March 2, 2012, law enforcement officers executed a search warrant at Franklin’s residence in Greenbelt, Maryland. Officers seized a .380 caliber pistol loaded with six rounds of ammunition in Franklin’s bedroom. Franklin knew that he was prohibited from possessing a firearm or ammunition as a result of a previous felony conviction.
David Nathaniel Peebles, age 32, of Washington, D.C., previously pleaded guilty to his role in the conspiracy and was sentenced to eight years in prison for carjacking and being a felon in possession of a gun. Another member of the conspiracy, Samuel Damien Bynum, age 26, of Washington, D.C., pleaded guilty and was sentenced to 207 months in prison for conspiring to use a gun during carjackings, using a gun during a carjacking, carjacking and being a felon in possession of a gun and ammunition.
United States Attorney Rod J. Rosenstein commended the FBI; the Prince George’s County, Montgomery County, Takoma Park, Metro Transit, Alexandria and Metropolitan Police Departments; the Prince George’s County and Montgomery County State’s Attorney’s Offices; and the Maryland Attorney General’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Thomas M. Sullivan and William D. Moomau, and Special Assistant Matthew L. Paeffgen, who prosecuted the case.
Drunk Driver Sentenced to 4 Years in Federal Prison for Involuntary Manslaughter in Fatal Baltimore-Washington Parkway Car CrashRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Charles Jerome Wiggins, age 26, of Cottage City, Maryland, today to four years in prison followed by three years of supervised release for involuntary manslaughter and reckless driving.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief of Police Robert D. MacLean of the U.S. Park Police.
According to trial evidence, on December 12, 2013 at 2 a.m., Wiggins was driving a car on the Baltimore-Washington Parkway. His wife, Kiana Wiggins, who had turned 34 that day, was in the front passenger seat, and his sister-in-law, Angel Barbour, age 21, was sitting in the back behind her. His sister-in-law’s boyfriend was also sitting in the back seat. Wiggins rear-ended a pickup truck that was driving in the same direction. The truck went into the woods, and Wiggins’s car flipped over and skidded on its roof more than 200 feet. The two women were killed. Wiggins was found to have a blood alcohol level of .19%.
United States Attorney Rod J. Rosenstein commended the U.S. Park Police for its work in the investigation and thanked Assistant U.S. Attorney Hollis Raphael Weisman and Special Assistant United States Attorney Conor Mulroe, of the U.S. Justice Department, who prosecuted the case.
Anne Arundel County Man Sentenced to over 8 Years in Federal Prison for Possession of Child PornographyRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell III sentenced Sergei William Noack, age 23, of West River, Maryland, today to 97 months in prison, followed by 25 years of supervised release, for possession of child pornography. Judge Russell also ordered that upon his release from prison Noack 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, Baltimore Field Office; Anne Arundel County Police Chief Tim Altomare; and Anne Arundel County State’s Attorney Wes Adams.
According to his plea agreement, on May 8, 2015, an Anne Arundel County Police Department investigator received two Cybertips from the National Center for Missing and Exploited Children that had been received from an internet service provider. The tips involved an individual, later determined to be Noack, who had: uploaded to his computer an image depicting two prepubescent male minors engaging in sexually explicit conduct; and, sent a photo of a prepubescent minor to another individual and stated via chat that he was having sexual contact with the minor.
That same day, a search warrant was executed at Noack’s residence. Investigators seized his desktop computer, two external hard drives, and his cell phone. Noack advised law enforcement that he had thousands of images of child pornography on his computer, which he searched for and collected from the internet. Noack admitted that he likes images and videos depicting bondage. Noack admitted that he meets people online in websites and chat rooms, then moves to applications that conceal the identity of the user to trade child pornography files with those people.
A preliminary forensic examination of the seized items revealed at least eight videos and 90 images children engaged is sexually explicit conduct on the desktop computer and external hard drive, including numerous files that portray sadistic or masochistic conduct or other depictions of violence. One of the videos was surreptitiously recorded by Noack and depicted a minor prepubescent male using the bathroom in Noack’s home. Noack also stated that approximately two to three years earlier he was alone with a prepubescent minor who was visiting his home and that he touched the back and stomach of the prepubescent minor. The minor was interviewed in 2015 and stated that Noack would give him a cookie to take off his shirt and then touched him on his bare chest and stomach. The minor stated that Noack attempted to put his hands under the minor’s pants, towards his genitals, but the minor moved away. In 2012, Noack sent frequent text messages to the minor, often declaring his love for the minor.
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, Anne Arundel County Police Department and Anne Arundel County Police Department for their work in the investigation and recognized Anne Arundel County Assistant State’s Attorney Anastasia Prigge, who handled the state prosecution. Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who prosecuted the federal case.
College Park Man Sentenced to over Eight Years in Federal Prison in Scheme to Obtain more than $7 Million in Fraudulent Tax RefundsRead the Press Release
Greenbelt, Maryland –U.S. District Judge Roger W. Titus sentenced Charles W. Parker, Jr., age 49, of College Park, Maryland, today to 97 months in prison, followed by three years of supervised release, for conspiring to file false federal income tax returns and six counts of filing false tax returns. A federal jury convicted Parker on November 10, 2015. Judge Titus also entered an order requiring Parker to forfeit and pay restitution of $2,007,568.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Attorney General Caroline D. Ciraolo, of the Justice Department’s Tax Division; and Special Agent in Charge Thomas Jankowski of the Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office.
According to evidence presented during the five day trial, from March to June 2009, Parker recruited clients for co-conspirator Penny Jones. Jones, a resident of Idaho, was a tax return preparer who prepared tax returns falsely reporting the amount of taxes withheld and purportedly paid to the IRS. Parker collected financial information from clients and provided the information to Jones for the preparation of the false tax returns. Parker paid Jones to prepare false tax returns for Parker and others. Parker mailed the false tax returns to the IRS for tax years 2005 to 2008, claiming large tax refunds to which the taxpayers were not entitled. In a six month period, Parker caused the filing of 14 false tax returns that fraudulently claimed $7,753,940 in tax refunds.
Parker and his co-conspirators caused the IRS to issue two fraudulent tax refunds totaling $2,007,568. In 2013, Jones was sentenced to 12 years in prison for her role in a scheme to help individuals obtain fraudulent tax refunds from the IRS.
United States Attorney Rod J. Rosenstein praised the Tax Division and IRS-Criminal Investigation for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Leah Jo Bressack and Trial Attorney Erin Pulice of the Department of Justice Tax Division, who prosecuted the case.
Baltimore Man Pleads Guilty in Two Murder for Hire SchemesRead the Press Release
Baltimore, Maryland – Tavon Slowe, age 24, of Baltimore, Maryland, pleaded guilty today to charges arising from two murder for hire contracts.
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; Commissioner Kevin Davis of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn J. Mosby.
According to his plea agreement, in March of 2012, a fight occurred near West Paterson Park Avenue and Chase Street. One of the participants was Gregory Parker. A few days later, an individual was given a “contract” to kill Gregory Parker. The individual arranged with Slowe to kill Gregory Parker for $5,000.
On March 16, 2012, the individual called Slowe on a cell phone and the two met in person, along with another person. The individual told Slowe where the victim could be found and that the victim was wearing a blue floppy hat. The two agreed that Slowe was to use his own gun, but that the individual would replace it after Parker had been killed.
Within about an hour after the meeting, Gregory Parker was shot multiple times with a .9mm semi-automatic pistol on East Chase Street in Baltimore City. Fourteen shell casings were found at the scene. Parker was wearing a blue floppy hat. Video surveillance depicts the shooter running from the murder scene and getting into a car driven by Slowe.
In March 2013, at the direction of the FBI, the individual called Slowe from a jail phone and told Slowe that he had been sentenced to a lengthy incarceration period after being set up by a person he had known since he was four years old. Slowe agreed to commit a murder for money. Slowe requested two guns to commit the murder. The individual told Slowe that another person would meet with Slowe to provide the money and guns.
On April 26, 2013, at the FBI’s direction, an undercover officer met with Slowe, and Slowe agreed to meet her again at a later date to receive the handguns and money. Slowe was upset that he was not getting the handguns that day and would only be paid $3,000 up front, arguing that it is usually $5,000.
On April 29th, the individual spoke with Slowe and worked out details concerning the murder for hire. Slowe stated that if the intended victim was not alone, Slowe would kill the other person as well. Slowe also expressed concerns over the undercover officer because he did not know her.
On April 30, an arrest operation was planned in which the undercover officer was going to meet with Slowe and provide him the guns that he requested for the murder-for-hire. Slowe did not show up for this meeting.
On August 8, 2013 Baltimore Police arrested Slowe on drug and gun charges, and Slowe was detained.
On February 4, 2014, at the direction of the FBI, the individual called Slowe’s half-brother to hire him for the same murder. The individual had previously used the brother, in addition to Slowe, for murder-for-hire contracts in Baltimore. The brother accepted this contract from the individual. Later that same day, the brother received a recorded jail call from Slowe in which the brother explained that he received a call from the individual and that he was going to meet the individual’s girl that day. Slowe cautioned his brother about the possibility of the “girl” being a police officer or “one of them.” Additionally, Slowe admitted to taking the contract to kill, but that he did not show up on April 30, 2013 because he believed the “girl” was a police officer.
Slowe and the government have agreed that if the Court accepts the plea agreement, Slowe will be sentenced to 10 years in prison for the use of interstate commerce to facilitate the commission of a murder for hire, which will be served concurrently to a sentence of between 23 and 27 years in prison for conspiracy to use interstate commerce to facilitate the commission of a murder for hire that resulted in death. Chief U.S. District Judge Catherine C. Blake has scheduled sentencing for August 10, 2016 at 9:30 a.m.
Co-defendant Davon Sanford, a/k/a “Chronic,” age 33, of Baltimore, was indicted on the same charges. His initial appearance and arraignment are scheduled for July 1, 2016.
United States Attorney Rod J. Rosenstein praised the FBI, Baltimore Police Department, Safe Streets Task Force and Baltimore State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys James G. Warwick and Joshua T. Ferrentino, who are prosecuting the case.
Vice President of X-Ray Company Sentenced to Four Years in Federal Prison for Health Care FraudRead the Press Release
Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Timothy Emeigh, age 52, of York Springs, Pennsylvania today to four years in prison, followed by one year of supervised release, for health care fraud arising from a scheme in which insurance providers and Medicare were fraudulently billed for tests interpreted by unlicensed personnel, and for tests and services which in fact had not been provided.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation.
According to his plea agreement, Emeigh was a licensed x-ray technologist in Maryland. Emeigh was not a licensed physician. Emeigh worked at Alpha Diagnostics Services beginning in 1993 as an x-ray technologist. In 1997, he was named vice president of the company’s operations by Rafael Chikvashvili, the CEO and owner of Alpha Diagnostics.
Alpha Diagnostics was principally a portable x-ray supplier in Maryland, Delaware, Pennsylvania and Virginia. However, Alpha Diagnostics also supplied or provided portable ultrasound tests, electrocardiograms (“EKGs”), echocardiograms and Holter monitors. The majority of its clients were nursing homes, whose patients Alpha Diagnostics tested. Alpha Diagnostics was headquartered in Owings Mills, Maryland with an office in Harrisburg, Pennsylvania. Alpha Diagnostics was enrolled in the Medicare program. Medicare required that a licensed physician order and interpret the x-ray or other test, and render a formal report.
Nonetheless, in 1997, at Chikvashvili’s request, Emeigh began performing x-ray interpretations in lieu of a licensed physician or radiologist, and producing fraudulent reports using the names of actual physicians who had never seen the x-rays in question. In 2003, as technology improved, Emeigh began interpreting medical tests and writing reports in the name of registered licensed physicians from his home using his home computer. In addition to x-rays, Emeigh began interpreting and drafting fraudulent reports for ultrasounds and EKGs from his home, while traveling out of state, and at times, from overseas. Sometimes Emeigh performed medical interpretations and transmitted x-ray images using a cell phone application. Emeigh maintained steady communication with Chikvashvili regarding the interpretation reports that he created from remote locations.
By 2010, Emeigh performed more than 70% of the x-ray interpretations, masquerading as a licensed radiologist or physician. On an average month, more than 1,000 x-ray interpretations were conducted by Alpha Diagnostics in Maryland alone.
Emeigh suggested to Chikvashvili that he transmit particularly difficult medical interpretations to actual licensed physicians. If a patient caregiver contacted Alpha Diagnostics to question any of the medical interpretation reports generated by Emeigh or other unlicensed Alpha Diagnostics personnel, Emeigh and Chikvashvili reassigned the diagnostic interpretation to an actual licensed physician for a second interpretation, who was not apprised of the first interpretation and conclusion.
Alpha Diagnostics would bill insurance providers for 2-view chest x-rays even where single-view x-rays had been ordered or performed. Alpha Diagnostics routinely submitted insurance payment claims which exaggerated the number of anatomical views performed by its x-ray and ultrasound technologists; and for multiple transportation charges on occasions when multiple patients had been examined at the same facility. Alpha Diagnostics would routinely bill Medicare for “global” x-ray procedures (i.e., both professional and technical components), along with transportation and setup charges, for studies interpreted "in-house" by Emeigh or other unlicensed Alpha Diagnostics personnel.
From January 2007 through October 2012, the financial loss to Medicare alone for the misconduct described above was more than $2.5 million.
The owner of Alpha Diagnostics, Rafael Chikvashvili, age 69, of Baltimore, Maryland, was sentenced on June 15, 2016, to 10 years in prison, followed by two years of supervised release, for charges related to a health care fraud and wire fraud conspiracy resulting in the deaths of patients, as well as false statements and aggravated identity theft, related to a scheme to defraud Medicare and Medicaid of more than $6 million. Chikvashvili was convicted by a federal jury on February 17, 2016.
United States Attorney Rod J. Rosenstein praised the HHS- Office of Inspector General and FBI for their work in the investigation, and thanked Assistant U.S. Attorneys Leo J. Wise and P. Michael Cunningham, who prosecuted the case.
Howard County Gymnastics Coach Charged in Federal Court with Possessing and Distributing Child PornographyRead the Press Release
Baltimore, Maryland – Howard County gymnastics coach Paul Daniel Bollinger, age 56, of Windsor Mill, Maryland was charged by federal complaint today with possessing and distributing child pornography.
The complaint 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; Special Agent in Charge Andre R. Watson of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); and Baltimore County State’s Attorney Scott Shellenberger.
According to the affidavit supporting the complaint, on May 15, 2016, an undercover Baltimore County Police detective downloaded from the internet at least 10 movie files from Bollinger’s IP address that contained child pornography.
On May 25, 2016, investigators executed a state search warrant at Bollinger’s residence and seized a desktop computer, hard drives and other digital media which contained at least 47,130 images and videos of child pornography, child modeling and child erotica. Next to Bollinger’s bed, detectives found over 100 pages of handwritten stories about “P” having sex with young children.
Bollinger was present during the execution of the search warrant and advised that he is a youth gymnastics coach and for over 30 years has coached hundreds of children. Throughout the residence were pictures of young girls in gymnastics leotards.
Bollinger faces a mandatory minimum sentence of five years in prison and a maximum sentence of 20 years in prison for possessing child pornography; and a maximum sentence of 20 years in prison for distributing child pornography. An initial appearance is scheduled for today at 1:30 p.m. before U.S. Magistrate Judge Stephanie A. Gallagher in U.S. District Court in Baltimore.
A complaint is not a finding of guilt. An individual charged by complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "resources" tab on the left of the page.
United States Attorney Rod J. Rosenstein commended the FBI, Baltimore County Police Department, HISI Baltimore and Baltimore County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Matthew J. Maddox, who is prosecuting the federal case.
New York Man Pleads Guilty to Federal Charges Related to Sex Trafficking of a MinorRead the Press Release
Baltimore, Maryland – Marcell Greene, age 28, of Wyandanch, New York, pleaded guilty today to conspiracy to commit sex trafficking of a minor and to sex trafficking of a minor.
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); Harford County Sheriff Jeffrey R. Gahler; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and the Maryland Department of Human Resources, Child Protective Services.
According to his plea agreement, from about February 2015 through April 12, 2015, Greene and a co-defendant advertised a 16 year old female on computer websites for commercial sex acts and transported her from New York to hotels in Virginia and Maryland to engage in commercial sex acts. On April 12, 2015, the victim called 911 from a hotel in Bel Air, Maryland. The victim told responding members of the Harford County Sheriff’s Office and the Department of Social Services that Greene and another man had taken her from New York to Virginia and Maryland to engage in commercial sex acts. The victim advised that on April 12, 2015, the day she called 911, she had something thrown at her because she refused to perform a specific sex act. Law enforcement and a child protective services worker saw swelling and bruising to the victim’s right cheek and right temple.
The investigation revealed that Greene registered and paid for hotel rooms in several locations where the victim performed commercial sex acts. Witnesses identified Greene as being in the area where the victim was engaging in commercial sex acts, and investigators uncovered texts between Greene and the co-defendant discussing commercial sex.
As part of his plea agreement, Greene 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).
Greene faces a minimum mandatory sentence of 10 years in prison and a maximum of life in prison for sex trafficking of a minor, and up to life in prison for the conspiracy, each followed by up to lifetime of supervised release. U.S. District Judge James K. Bredar has scheduled sentencing for October 14, 2016 at 3:00 p.m.
This case was investigated by the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Harford County Sheriff’s Office, Maryland State Police, and Maryland Department of Human Resources, Child Protective Services, for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Ayn B. Duaco, who is prosecuting the case.
Garrett County Developer Sentenced to Federal Prison in $5.7 Million Bank Fraud SchemeRead the Press Release
Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Samuel R. VanSickle, age 52, of Accident, Maryland today to two years in prison followed by five years of supervised release for conspiring to commit bank fraud arising from three fraudulent bank loans in which VanSickle received proceeds from the sale of real property in Garrett County, Maryland, and Cheat Lake, West Virginia, totaling over $5.7 million. Judge Garbis also ordered VanSickle to forfeit and pay restitution of $2,755,102.50, and forfeit his interest in 40 properties held in his name or in the names of others that are located in Maryland, West Virginia and Pennsylvania, up to the value of $2,755,102.50.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office.
VanSickle and co-defendant Louis Strosnider owned and developed property in Garrett County, Maryland. Strosnider operated Stony Brook Development Company, located in McHenry, Maryland,
According to his plea agreement, from December 2001 to May 2005, Strosnider fraudulently obtained real estate loans from banks to buy properties controlled, through aliases, by VanSickle. VanSickle concealed from the lenders his role as seller of the properties and recipient of the sales proceeds through fictitious identities such as “Donald Blunt, Trustee for Gospel Church,” “Donald Blunt, Trustee for Freedom Church,” “Equity Exchange,” “Unity Mortgage,” “Jacob Aiken” and “Allen Helms.” The scheme also involved fictitious down payments, inflated collateral, and false contracts.
For example, in 2002, VanSickle provided $600,000 for the purchase of Red Run, a restaurant and bed and breakfast which bordered on Deep Creek Lake in Garrett County, Maryland. In April 2003, VanSickle caused Red Run to be transferred for $0 to “Donald Blunt, Trustee for Gospel Church” - a fictitious church with a fictitious trustee. In February 2004, Strosnider signed a contract to buy Red Run from Gospel Church for $3 million. The contract recited a fictitious $750,000 down payment. Strosnider applied to a bank for a loan to complete the purchase of Red Run. When the bank required additional collateral, VanSickle supplied a timber contract for land in Garrett County with a valuation signed by “Paul Walsh” of “Noble Forest Consultants.” Both “Noble Forest Consultants” and “Paul Walsh” were fictitious. The settlement for the sale of the property was conducted by attorney Angela Blythe. Blythe failed to collect Strosnider’s funds to close the loan. At VanSickle’s direction, Blythe paid over the sales proceeds of $1.6 million to “Unity Mortgage,” which was VanSickle. “Unity Mortgage” did not, in fact, have a mortgage on Red Run.
VanSickle and Strosnider used similar fraudulent methods in Strosnider’s purchase from VanSickle of 5.87 acres on State Park Road, bordering Deep Creek Lake, and 116 acres of undeveloped land on Cheat Lake, West Virginia.
VanSickle received over $5.7 million in sales proceeds from the fraudulent transactions. Strosnider defaulted on all three loans. As a result of the scheme, the loss to the financial institutions was $2,755,102.50, the amount of the loans minus the recovery from foreclosure and sale of the collateral.
Louis W. Strosnider, III, age 50, of Oakland, Maryland, previously pleaded guilty to his participation in the conspiracy and awaits sentencing. In a related case, Angela M. Blythe, age 52, of Oakland, Maryland, was convicted by a federal jury on October 9, 2015, after a nine day trial, of conspiring with VanSickle to commit bank fraud, bank fraud, and two counts of making a false statement to a bank. U.S. District Judge William D. Quarles sentenced Blythe to a year and a day in prison, and entered an order requiring Blythe to forfeit $696,517 and pay restitution of $948,203.25.
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 praised the FBI for its work in the investigation and thanked Assistant United States Attorneys Joyce K. McDonald and Philip A. Selden, who prosecuted the case.
Baltimore City Landfill Employee Sentenced to 2 Years in Federal Prison for Stealing Scrap Metal and Filing False Tax ReturnsRead the Press Release
Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Jarrod Terrell Hazelton, age 33, of Parkville, Maryland, a former employee at the Quarantine Road Landfill (Landfill), today to two years in prison followed by three years of supervised release for conspiracy and wire fraud in connection with a scheme to unlawfully sell scrap metal from the Landfill and the Northwest Transfer Station, while falsely representing to the Baltimore Department of Public Works (DPW) that he was performing his job; and for filing a false tax return. Judge Garbis also ordered Hazelton to pay restitution of $400,000.
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; 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.
Baltimore City’s waste management system generates revenue by collecting and selling recyclable scrap metal dumped at the City’s trash collection facilities, including household appliances, steel cables, copper wires, car parts, computer parts, door and window frames. The City awards contracts to private salvage companies to purchase and remove such scrap metal from its trash collection facilities.
DPW employees at the Landfill and other trash collection sites are required to segregate the recyclable scrap metal from general refuse and place it in separate bins provided by the salvage companies. The companies regularly pick up the scrap metal, weigh it and send a tonnage report to the City. Based on predetermined prices per ton, the City sends an invoice to the companies requesting payment for the value of the scrap metal the companies removed during a given period of time. Salvaging by employees, also referred to as “junking,” was strictly prohibited and employees were put on notice that any salvaging of metal constituted theft of City property.
According to his plea agreement, from 2005 until May 2015, Hazelton, who was employed by DPW at the Landfill, and other DPW employees, including Michael Bennett and supervisor William Nemec, unlawfully collected and sold scrap metal for personal gain during work hours, while representing to DPW that they were doing the jobs for which they were being paid. Hazelton was a leader in the scheme and coordinated the daily collection of scrap metal at the Landfill.
Hazelton and other employees used part of the sale proceeds of the stolen scrap metal to pay other DPW employees for their help in locating, setting aside, collecting and loading the scrap metal onto their trucks. Hazelton, Bennett and other employees at the Landfill used their personal cell phones to communicate when and where recyclable scrap metals were being dumped at the Landfill, and to coordinate their arrival at the private salvage yard. Hazelton, Bennett and others uses their personal pickup trucks to transport the scrap metal to a private salvage company, frequently making multiple trips during a single, eight-hour work shift.
The sale of the stolen scrap metal resulted in a loss of revenue to the City of at least $400,000.
In order to conceal the junking scheme, Hazelton and Bennett paid cash to Nemec and other supervisors to not report them for collecting and transporting the stolen scrap metal, and to authorize and submit false time and attendance records. Hazelton prepared and submitted false time and attendance records which falsely claimed he had been working, when in fact, he was instead illegally collecting and selling the scrap metal, resulting in wages being paid to Hazelton for work he did not perform.
In addition, for tax years 2011 through 2015, Hazelton failed to report approximately $476,703 of income received from the illegal junking scheme. For example, for tax year 2013, Hazelton reported $14,009 in total income to the IRS on his individual tax return, when Hazelton knew that he received $126, 293 of additional income that year from the illegal junking scheme.
Former DPW employees Tamara Oliver Washington, age 55, William Charles Nemec, Sr., age 56; and Michael Theodore Bennett, age 47, all of Baltimore, previously pleaded guilty to their roles in the schemes. Nemec was sentenced to 78 months in prison, and Bennett to 46 months in prison. Judge Garbis also ordered Bennett to pay restitution of $400,000. Washington is scheduled to be sentenced on August 12, 2016, at 11:30 a.m.
Five other commercial trash haulers have also pleaded guilty and a sixth commercial trash hauler has been convicted by a federal jury, in connection with their participation in a scheme. Four of these trash haulers have been sentenced: Quentin Turgot Glenn, age 50, of Hanover, Maryland, who owned and operated Glenn Services, LLC, a trash hauling business, was sentenced to three years in prison; Jessie Lee Wilson, Jr., age 41, of Baltimore, who was employed by Glenn Services as a truck driver, to three years of probation, with the first year to be spent in community confinement; Adam Williams, Jr., age 53, of Randallstown, to one year in prison; and Larry Lowry, age 61, of Orchard Beach, Maryland, to 30 months in prison. Judge Garbis also ordered that Glenn pay restitution of $306,000; Williams pay restitution of $900,000; and Lowry pay restitution of $180,000.
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.
U.S. Postal Service Employee Pleads Guilty to Fraudulently Obtaining Workers Compensation BenefitsRead the Press Release
Greenbelt, Maryland – U.S. Postal Service employee Doreen Allen, age 51, of Temple Hills, Maryland, pleaded guilty today to theft of government property arising from a scheme to fraudulently obtain over $25,000 in worker’s compensation benefits.
The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Paul L. Bowman of the U.S. Postal Service, Office of Inspector General;and Special Agent in Charge Robin Blake, of the Washington Regional Office, U.S. Department of Labor Office of Inspector General, Office of Labor Racketeering and Fraud Investigations.
According to her plea agreement, Allen was employed by the United States Postal Service as a city carrier at the Capital Heights, Maryland, Processing and Distribution Facility. On September 27, 2002, Allen filed an injury claim which qualified her for Worker’s Compensation. Allen began receiving benefits in November 2002 from the Office of Worker’s Compensation Programs (OWCP), including reimbursement for travel expenses for medical treatment related to her injury.
Between July 2012 and September 2015, Allen received reimbursement for travel expenses for medical care related to one of her injury claims. This compensation was based on vouchers that Allen submitted for 721 trips to receive medical care. Allen admitted that approximately 27 of those trips were for medical care, while the remaining 694 were unrelated. Allen submitted numerous forms to OWCP falsely certifying that she had driven round trip from her home in Temple Hills to a doctor’s office in Laurel, Maryland for medical treatment related to her injury. As a result, Allen fraudulently received $27,639.10 in travel reimbursements.
Allen faces a maximum sentence of 10 years in prison. U.S. District Judge Paula Xinis scheduled Allen’s sentencing for September 13, 2016, at 9:30 a.m.
United States Attorney Rod J. Rosenstein commended the U.S. Postal Service, Office of Inspector General and U.S. Department of Labor Office of Inspector General, Office of Labor Racketeering and Fraud Investigations for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Hollis R. Weisman, who is prosecuting the case.
Maryland Health Care Provider Sentenced to 10 Years in Federal Prison for Health Care Fraud Resulting in Patient DeathsRead the Press Release
Baltimore, Maryland – U. S. District Judge James K. Bredar sentenced the owner of Alpha Diagnostics, Rafael Chikvashvili, age 69, of Baltimore, Maryland, today to 10 years in prison, followed by two years of supervised release, for charges related to a health care fraud and wire fraud conspiracy resulting in the deaths of patients, as well as false statements and aggravated identity theft, related to a scheme to defraud Medicare and Medicaid of more than $6 million. Judge Bredar also ordered that Chikvashvili pay restitution and forfeit proceeds of the fraud, with the exact amount to be determined at a later date. Chikvashvili has been detained since his conviction by a federal jury on February 17, 2016.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; and Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office.
“The evidence showed that Rafael Chikvashvili failed to provide medical services to patients who needed them, and billed for services that he did not provide,” said U.S. Attorney Rod J. Rosenstein. “The jury found that two patients died because their X-rays were not reviewed by a qualified radiologist. Health care fraud has consequences, in money wasted and lives lost.”
According to the evidence presented at the two-and-a-half week trial, Chikvashvili formed Alpha Diagnostics Services, Inc., which later became Alpha Diagnostics, LLC, in 1993, and was the Managing Member, Authorized Official, Managing Employee, President and Chief Executive Officer for Alpha Diagnostics. Chikvashvili holds a PhD in mathematics, but was never a medical doctor or licensed physician. Timothy Emeigh was the Vice President in charge of Operations at Alpha Diagnostics and was a licensed radiologic technologist.
Alpha Diagnostics was a portable diagnostic services provider, principally of X-rays, but also provided ultrasound tests, and cardiologic examinations. Alpha Diagnostics’ clients included nursing homes whose patients were covered by Medicare and Medicaid. Alpha Diagnostics operated in Maryland, Delaware, Pennsylvania, Virginia and the District of Columbia, but was headquartered in Owings Mills, Maryland, where Chikvashvili worked full time.
Based on the evidence, the jury found that from 1997 through October 2013, Chikvashvili conspired with others to defraud Medicare and Medicaid by: creating false radiology, ultrasound and cardiologic interpretation reports; by submitting insurance claims for medical examination interpretations that were never completed by licensed physicians; by falsely representing to Medicare and Medicaid, as well as to treating physicians, that the interpretations had, in fact, been completed by actual licensed physicians; by submitting insurance claims for radiology, ultrasound and cardiologic examinations (and their associated costs) that were never performed and/or were not ordered by the treating physician; and by submitting claims for transportation and other charges that Alpha Diagnostics was not entitled to receive.
According to witness testimony, Chikvashvili instructed his non-physician employees, including Emeigh, to interpret X-rays, ultrasounds and cardiologic examinations instead of licensed radiologists. For example, in June 2012, Emeigh traveled to Jamaica for a vacation. The evidence showed that Chikvashvili directed Emeigh, through text messages and telephone calls, to view medical images using his personal laptop in his hotel room and then draft false physician interpretation reports. Alpha Diagnostics personnel subsequently submitted false claims to Medicare for these images and fraudulent physician reports.
The evidence showed that Chikvashvili also caused employees to draft licensed physician’s examination reports. Chikvashvili, in turn, caused a copy of the handwritten signature of the actual physician to be affixed to the report, or forged the physician’s signature himself, creating the appearance that a licensed physician had performed the medical interpretation.
According to the testimony provided at trial, two patients died because their X-rays were not interpreted by a qualified radiologist. Instead, non-physician Alpha Diagnostics employees reviewed the images and failed to detect congestive heart failure. As a result of the incorrect reading the her chest X-ray, the first patient with congestive heart failure was not transferred to an acute care facility for treatment, as is standard medical practice, but remained in a rehabilitative nursing home. The patient died four days after unqualified Alpha Diagnostics personnel misinterpreted her chest X-ray. Witnesses testified that had the patient been transferred, her symptoms could have been addressed. The second patient was scheduled to undergo elective surgery and the chest X-ray was a pre-operation test to determine if the patient could safely have surgery. According to the evidence presented at trial, although the patient’s X-ray revealed mild congestive heart failure, the non-physician Alpha Diagnostics employee failed to detect it. A patient in congestive heart failure is at an increased risk of bleeding during and after surgery. As a result of the incorrect reading of the chest X-ray, the patient was cleared for elective surgery and experienced significant bleeding after the elective surgery, and the worsening of her congestive heart failure. Six days after unqualified Alpha Diagnostics personnel misinterpreted her chest X-ray, the patient died.
Subsequently, Alpha Diagnostics submitted claims to Medicare falsely representing that licensed radiologists had interpreted both patients’ chest X-rays. Medicare paid Alpha Diagnostics $8.87 for the first claim and $218.36 for the second claim.
The evidence showed that over the course of the conspiracy, Chikvashvili and Alpha Diagnostics received more than $6 million from fraudulent claims submitted to Medicare and Medicaid.
Timothy Emeigh, age 51, of York Springs, Pennsylvania previously pleaded guilty to health care fraud and is scheduled to be sentenced on June 17, 2016.
United States Attorney Rod J. Rosenstein praised the HHS-OIG and the FBI for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Leo J. Wise and P. Michael Cunningham, who prosecuted the case.
D.C. Man Pleads Guilty to Armed Robbery of District Heights Liquor StoreRead the Press Release
Greenbelt, Maryland – Donnell Calloway, age 30, of Washington, D.C., pleaded guilty today to robbery conspiracy, and possession of a firearm by a convicted felon.
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; and Chief Hank Stawinski of the Prince George’s County Police Department.
According to his plea agreement, on January 22, 2014, Calloway, Gregory Evans, and another co-conspirator robbed a liquor store in District Heights, Maryland. After entering the store, Calloway stood by the door with a silver .45 caliber handgun. Evans jumped the counter and pointed a black handgun at store employees, demanding that they lay on the ground, while the third co-conspirator took money from the cash register. Evans pointed his gun at an employee who opened the cash register, and Evans took money from that and another register. Calloway, Evans, and their co-conspirator left the store with the money and escaped in a van. A witness followed the van and reported a partial tag number to police.
The van was located by law enforcement in Prince George’s County where it was followed until it came to a stop in Washington D.C. Responding officers saw the occupants exit the van and run away. Officers apprehended Calloway and Evans after a foot chase. After his arrest, a search of Calloway recovered 45 small ziplock bags containing crack cocaine, which Calloway admitted he intended to distribute. Officers also recovered the gun Calloway used during the robbery, a .45 caliber handgun with an obliterated serial number. Calloway had a previous felony drug conviction and was therefore prohibited from possessing a firearm.
Calloway faces a maximum sentence of 30 years in prison. U.S. District Judge Deborah K. Chasanow has scheduled sentencing for August 15, 2016 at 3:15 p.m.
Gregory Evans, age 30, of Washington D.C., previously pleaded guilty to his role in the robbery and was sentenced to 114 months in prison.
United States Attorney Rod J. Rosenstein commended the FBI and Prince George’s County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Thomas M. Sullivan, who is prosecuting the case.
Baltimore Jail Inmate and Co-Defendant Indicted in Scheme to Fraudulently Use the Identity of a Correctional Officer’s WifeRead the Press Release
Baltimore, Maryland – A federal grand jury indicted Dontae Small, age 42, an inmate at the Baltimore City Detention Center (BCDC) and Kimberly Duckfield, a/k/a “Sincere,” age 29, of Hagerstown, Maryland on charges arising from a scheme to defraud a financial institution through credit card fraud.
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; and Commissioner Kevin Davis of the Baltimore Police Department.
According to the two count indictment, while an inmate at BCDC, Small unlawfully obtained and recorded the name and credit card number of the wife of a correctional officer at the BCDC. Small then provided this information to Duckfield. From January 4, 2016 to January 19, 2016, Duckfield used the credit card number to pay her telephone bill and buy goods and services.
Both defendants face a maximum sentence of 30 years in prison for bank fraud; and a mandatory minimum of two years in prison for aggravated identity theft consecutive to any other sentence. Duckfield had her initial appearance last Friday and has been detained. An initial appearance has not yet been scheduled for Small.
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.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Rod J. Rosenstein commended the FBI and Baltimore City Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Sandra Wilkinson, who is prosecuting the case.