District of Maryland

New Employees Also Recognized at Courthouse Ceremony

Baltimore, Maryland - Twelve employees of the United States Attorney’s Office and four law enforcement officers were honored today with the Office’s most prestigious awards. At a ceremony held to announce the awards this morning at the U.S. Courthouse in Baltimore, the United States Attorney also welcomed new Assistant U.S. Attorneys and other employees who have joined the Office since last year.

Former United States Attorney, Maryland Court of Appeals Judge Lynne A. Battaglia served as the keynote speaker for the event. Judge Battaglia served as U.S. Attorney from 1993 to 2001.

“The recipients of these awards upheld the highest ethical and professional standards while pursuing justice with exceptional skill and dedication,” commented U.S. Attorney Rod J. Rosenstein.

“The Maryland U.S. Attorney’s Office has earned a reputation for excellence, integrity and achievement over more than two centuries,” U.S. Attorney Rosenstein added. “We are counting on our new employees to live up to that reputation as you work to promote the rule of law, punish criminals, deter crime and protect government property.”

Annual Awards

The following awards were announced for accomplishments over the past year:

Gary Jordan Award
Recipient: Joyce K. McDonald

Gary P. Jordan served with distinction for many years as an Assistant U.S. Attorney, as First Assistant from March 29, 1987 until his death on October 25, 1996, and as interim U.S. Attorney in 1993. This is an honorary award presented annually to an Assistant U.S. Attorney for exemplary performance that demonstrates the highest traditions of the office: integrity, ingenuity, dedication to public service and fairness.

Barnet D. Skolnik Award
Recipients: Robert R. Harding
Christopher J. Romano

Barnet D. (Barney) Skolnik was an Assistant U.S. Attorney who led teams that prosecuted numerous white collar criminals and corrupt public officials in the 1970s, including Vice President Spiro T. Agnew. This is an honorary award presented annually to one or more Assistant U.S. Attorneys who demonstrate outstanding professionalism, determination and creativity in a case of unusual public significance.

Employee of the Year Award
Recipient: Kathleen Rosier

The Employee of the Year Award recognizes sustained superior performance and outstanding achievements by a non-attorney employee. The award also recognizes the recipient's professionalism, dedication and comprehensive knowledge in their area of expertise.

Pete Twardowicz Award
Recipients: Michael Aiosa
Richard Henry
Daniel Salak
Dougald Thrutchley

The Pete Twardowicz Award was established in honor of Eugene P. (Pete) Twardowicz, who rendered many years of outstanding service to the U.S. Attorney’s Office as an IRS criminal investigator and a Special Investigator for this Office. This award recognizes law enforcement agents or officers for outstanding cooperation and achievement while working with the U.S. Attorney’s Office on a significant case.

Excellence in Civil Advocacy
Recipient: Joseph R. Baldwin

The U.S. Attorney’s Award for Excellence in Civil Advocacy, established in 2007, is presented annually to an Assistant U.S. Attorney for outstanding advocacy in civil litigation.

Excellence in Prosecution of Fraud
Recipients: Jefferson M. Gray
Leo J. Wise

The U.S. Attorney’s Award for Excellence in Prosecution of Fraud, established in 2007, is presented annually to an Assistant U.S. Attorney for outstanding work in prosecuting fraud.

Excellence in Prosecution of Violent Crime
Recipient: Stefan D. Cassella
Peter M. Nothstein

The U.S. Attorney’s Award for Excellence in Prosecution of Violent Crime, established in 2007, is presented annually an Assistant U.S. Attorney for outstanding work in prosecuting violent crime.

Excellence in Prosecution of Organized Crime
Recipient: David I. Salem

The U.S. Attorney’s Award for Excellence in Prosecution of Organized Crime, established in 2007, is presented annually to an Assistant U.S. Attorney for outstanding work in prosecuting organized criminal activity.

Excellence in Legal Support
Recipient: Michelle Wicker

The U.S. Attorney’s Award for Excellence in Legal Support, established in 2007, is presented annually to one or more non-attorney employees for outstanding work in support of the mission of the U.S. Attorney’s Office.

Outstanding Contributions to a Law Enforcement Initiative
Recipient: Rachel M. Yasser

The U.S. Attorney’s Award for Outstanding Contributions to a Law Enforcement Initiative, established in 2007, is presented annually to one or more employees for outstanding work in support of an initiative of the U.S. Attorney’s Office.

New Employees

In addition, the U.S. Attorney welcomed new employees who joined the office last year. Assistant U.S. Attorneys: Leah Bressack, Kenneth Clark, Kelly Hayes, Jakarra Jones, Scott Lemmon, Peter J. Martinez, Nicholas Mitchell, Seema Mittal, David Sharfstein, Thomas Sullivan, Thomas Windom. Support Staff: Jennifer Mills, Angela Ostrum, Ashley Tyson, Damaris Weeks.

Baltimore, Maryland – In two unrelated cases, U.S. District Judge Ellen L. Hollander today sentenced Larry James Kerfoot, age 38, of Dundalk, Maryland, and Robert Marzola, age 31, of Essex, Maryland, to 28 and 29 years in prison, respectively, each followed by lifetime supervised release, for sexually abusing a minor to produce child pornography. Judge Hollander also ordered that upon their release from prison, Kerfoot and Marzola must each 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 sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

According to Kerfoot and Marzola’s plea agreements, in late May and early June 2012, respectively, an undercover Baltimore County detective downloaded child pornography from internet files made available by Kerfoot and Marzola from their homes.

Law enforcement officers executed a search warrant at Kerfoot’s home on June 27, 2012, and seized computers and digital media containing 19 videos and 80 images of child pornography that Kerfoot had received from the internet. Officers also seized a video Kerfoot had produced of a 12 year old girl whom he had coerced to engage in sexually explicit conduct with him on at least five occasions.

Baltimore County Police executed a search warrant at Marzola’s residence on July 19, 2012 and seized a camera, computers and digital media. Investigation revealed that between December 2011 and July 2012, Marzola sexually abused a minor male at his home to produce images of himself and the minor engaged in sexually explicit conduct. Marzola saved the images on his laptop. Marzola told the boy, who was six years old when the abuse began, not to tell anyone about their conduct, which Marzola described to the boy as a game. The images and videos that Marzola had previously produced of the boy were found on his laptop, along with 18 additional videos of children engaged in sexual conduct. According to information presented at today’s sentencing hearing, during the investigation law enforcement identified a second boy that had been sexually abused by Marzola. The second victim, who was five years old at the time of the abuse, told investigators that on at least one occasion he had witnessed the sexual abuse of the first victim, and had been abused himself. As with the first victim, Marzola told the second victim not to tell anyone about what happened.

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

The Marzola investigation was also part of Operation Predator, a nationwide HSI initiative to protect children from sexual predators, including those who travel overseas for sex with minors, Internet child pornographers, criminal alien sex offenders and child sex traffickers. HSI encourages the public to report suspected child predators and any suspicious activity through its toll-free hotline at 1-866-DHS-2ICE or by completing its online tip form. Both are staffed around the clock by investigators.

United States Attorney Rod J. Rosenstein commended HSI Baltimore, FBI, Baltimore County Police Department and Baltimore County State’s Attorney’s Office for their work in these investigations. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the Kerfoot case and Assistant U.S. Attorney Paul Budlow, who prosecuted the Marzola case.

Total of 15 Defendants Convicted in the Conspiracy

Baltimore, Maryland - U.S. District Judge Ellen L. Hollander sentenced David Graham, age 63, of Elkton, Maryland, today to 97 months in prison, followed by three years of supervised release, for conspiracy to distribute oxycodone.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Cecil County Sheriff Barry A. Janney, Sr. and Colonel Marcus L. Brown, Superintendent of the Maryland State Police.

According to his plea agreement between 2008 and 2010, Graham was part of a conspiracy that distributed prescription drugs in and around Cecil County, Maryland. Graham and co-conspirator Matthew Ward paid individuals to go into doctors’ offices, obtain large prescriptions for oxycodone and other pills, and then sell many of the pills they obtained to Graham and Ward. Graham and Ward would then sell the pills to individual users.

Intercepted telephone communications made clear that Graham had numerous people obtaining pills for him from doctor’s offices and pharmacies. Many of these individuals were drug addicts who would sell Graham drugs to feed their addiction. Graham was not a drug user and was engaged in the enterprise to make money.

At the time of Graham’s arrest in November, 2010, a search was conducted at his residence. Law enforcement recovered $9,120 in cash, eight cellphones and numerous prescription pills, including hundreds of oxycodone, morphine and Dilaudid pills. In addition, Graham possessed 17 firearms, including eight rifles, four shotguns, a revolver, a semi-automatic pistol and a 12 gauge.

Graham admitted that between 2008 and 2010, the co-conspirators distributed approximately 1.4 million milligrams of oxycodone.

Co-defendant Matthew Earl Ward, age 33, of Elkton, Maryland, was previously sentenced to 10 years in prison. Ward was convicted after an eight day trial of conspiracy to distribute, and possess with intent to distribute oxycodone and alprazolam. Thirteen other conspirators were also convicted and sentenced to between 18 months and eight years in prison

United States Attorney Rod J. Rosenstein commended the DEA, FBI, Cecil County Sheriff’s Office and Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Joshua Kaul and Mushtaq Gunja, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – An administrator of the Silk Road website, Curtis Green, a/k/a “Flush,” and “chronicpain,” age 47, of Utah, pleaded guilty today to conspiracy to distribute and possess with attempt to distribute cocaine. In a related case, Jacob Theodore George IV, age 32, of Edgewood, Maryland, pleaded guilty on November 5, 2013, to conspiracy to distribute and possess with intent to distribute drugs, including heroin.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Postal Inspector in Charge Gary R. Barksdale of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office; and Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.

“People who believe they can commit crimes anonymously using the internet should reconsider,” said U.S. Attorney Rod J. Rosenstein.

“HSI Baltimore special agents arrested Jacob George, who was the first vendor on Silk Road selling illegal drugs to be arrested,” said ICE HSI Special Agent in Charge William Winter. “Thereafter, HSI Baltimore created and led the Baltimore Silk Road Task Force to combat the illicit activities of this digital black market website. Subsequently, Curtis Green was arrested after he was identified as an administrator and cocaine distributor on Silk Road. Last month, HSI assisted in the identification and arrest of Silk Road’s operator Ross William Ulbricht aka DPR. HSI will continue working with our domestic and international law enforcement partners to identify and arrest individuals who are conducting criminal activities by using networks and digital currency designed to provide anonymity, such as Tor and bitcoins.”

“Special Agents of the Drug Enforcement Administration are highly trained to locate narcotic traffickers and arrest them regardless of their location,” stated Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration’s Baltimore District Office. “Special Agents acting in an undercover capacity were able to locate narcotic traffickers operating in cyberspace during the course of this investigation. This sends a clear message to traffickers that even in cyberspace DEA will find you,” stated Tuggle.

According to his plea agreement, beginning in November 2012, Green worked for the creator and operator of Silk Road, Ross Ulbricht, whom Green only knew by his alias, “Dread Pirate Roberts.” Silk Road was an online, international marketplace that allowed users to anonymously buy and sell illegal drugs, false identifications, and other contraband over the Internet. Ulbricht collected a fee for each transaction on the website. Green’s responsibilities included responding to questions and complaints from buyers and sellers, resolving disputes between buyers and sellers, and investigating possible law enforcement activity on Silk Road. As part of his role as an administrator, Green had the ability to see messages Silk Road users sent to each other, to see the details of each transaction on Silk Road, and to see the accounts - including financial information - of Silk Road users, including the accounts of Ulbricht.

In September 2011, HSI Baltimore special agents initiated an investigation into the Silk Road website. Thereafter, the Baltimore Silk Road Task Force was created to address the contraband being sold on Silk Road.

Starting in April 2012, a DEA undercover agent in Maryland (the UC), began communicating with Ulbricht about selling illegal drugs on Silk Road. That agent was one of several assigned to the Baltimore Silk Road Task Force. The UC claimed to be a smuggler who specialized in moving substantial quantities of illegal drugs. In December 2012, Ulbricht set out to find a drug dealer on Silk Road who could purchase large quantities of drugs from the UC and directed his administrators, including Green, to assist. Green assisted the UC to establish contact with a buyer, who was an established seller of drugs on Silk Road (the Vendor). The UC and the Vendor negotiated a deal for one kilogram of cocaine for approximately $27,000 in Bitcoin, a digital currency that has no association with a national government, is difficult to track, and easy to move online.

Without the knowledge of either Ulbricht or the UC, Green agreed to act as a middle-man for the Vendor and take delivery of drugs. As a result, the Vendor provided Green’s address to the UC as the place to which the cocaine was to be delivered. On January 17, 2013, an undercover U.S. Postal Inspector delivered the cocaine to Green at his residence. Shortly after Green accepted delivery of the cocaine, federal agents with the HSI, DEA, U.S. Postal Inspectors and the U.S. Secret Service executed a search warrant at Green’s residence and recovered the kilogram of cocaine. U.S. Secret Service agents also conducted a forensic examination of Green’s computers and digital media seized during the search.

According to Jacob George’s plea agreement, from at least November 2011 to January 18, 2012, George sold drugs via Silk Road. George made contact with buyers via Silk Road, accepted payment electronically through Silk Road, and shipped drugs via the United States Postal Service to buyers throughout the United States and in foreign countries. The owner and operator of Silk Road, Ross William Ulbricht, collected a fee for each transaction on the website. George acquired drugs from two primary sources: he purchased some drugs, including heroin, from drug dealers in the Baltimore metropolitan area; and he purchased synthetic drugs, including methylone, from suppliers in China and had those drugs shipped to him.

Green faces a maximum sentence of 40 years in prison and George faces a maximum sentence of 20 years in prison for conspiracy to distribute and possess with intent to distribute cocaine. U.S. District Judge Catherine C. Blake scheduled sentencing for Green on February 28, 2014, at 2:00 p.m. and for George on February 20, 2014, at 9:15 a.m.

Ross Ulbricht, a/k/a “Dread Pirate Roberts,” a/k/a “DPR,” age 29, of San Francisco, California, has been indicted in Maryland on charges of conspiracy to distribute a controlled substance, attempted witness murder and using interstate commerce facilities in the commission of murder-for-hire. He faces a maximum of 40 years in prison for the drug distribution conspiracy; a maximum sentence of 30 years in prison for attempted witness murder; and a maximum of 10 years in prison for using interstate commerce facilities in the commission of murder-for-hire. No court appearance in Maryland has been scheduled.

Ulbricht faces a related indictment in the U.S. District Court for the Southern District of New York. An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein praised HSI Baltimore, DEA, U.S. Postal Inspection Service, U.S. Secret Service and IRS-Criminal Investigation for their work in the investigation. U.S. Attorney Rosenstein recognized U.S. Attorneys Preet Bharara and Gary S. Shapiro of the Southern District of New York and the Northern District of Illinois, respectively, and their offices; the FBI; and Senior Trial Counsel James Silver of the U.S. Department of Justice Computer Crimes and Intellectual Property Section for their assistance in the case. Mr. Rosenstein thanked Assistant United States Attorney Justin S. Herring, who is prosecuting this Organized Crime Drug Enforcement Task Force case.

Three Defendants Convicted to Date for Changing Test Scores to Qualify Students for Federal Grants

Baltimore and Greenbelt, Maryland – Jacqualyn Sue Caldwell, age 55, of Baltimore, and Jesse Raymond Moore, Sr., age 30, of Crofton, Maryland, pleaded guilty today to conspiring to defraud a student financial aid program.

The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Steven Anderson, Special Agent in Charge of the U.S. Department of Education, Office of Inspector General Mid-Atlantic Regional Office.

“Students without high school diplomas who applied for financial aid to attend trade schools were required to pass the Ability to Benefit test and demonstrate their aptitude to complete the educational program and work in the field,” said U.S. Attorney Rod J. Rosenstein. “By cheating, the defendants defeated the purpose of the tests and defrauded the government.”

Caldwell was a test administrator for a company that offered cognitive tests to schools and businesses. During her employment, Caldwell worked almost exclusively as a test proctor for student admissions at the All-State Career School, a for-profit trade school located on Broening Highway in Baltimore. Moore worked as an admissions representative for All-State. Moore was paid a salary and was eligible for performance-based raises and commissions for each student that graduated.

Students who applied for federal financial aid at All-State were required to have a high school diploma, possess a GED, or pass a designated Ability to Benefit (ATB) test. Caldwell was certified to administer the ATB test onsite at All-State’s campus. Her duties did not include scoring the tests; rather, she was to collect the students’ answer sheets, seal them in an envelope and mail them to her company employer’s headquarters in Illinois, where they were scored and the results sent back to All-State. The ATB test used a Scan Tron answer sheet that required students to use pencils to fill in circles next to the correct answers. Student applicants who failed the ATB test the first time could take it again.

According to Caldwell’s plea agreement, soon after starting her job as a test proctor at All-State in 2008, an All-State admissions representative asked Caldwell for an applicant’s answer sheet so that the representative could change some of the applicant’s answers to allow the applicant to pass the test. Caldwell agreed. Caldwell allowed the representative access to the answer sheet by not sealing the envelope containing the applicants’ answer sheets and leaving the envelope on the receptionist’s desk. After the admissions representative corrected the applicant’s wrong answers, the representative put the answer sheet back into the envelope, sealed it and left it to be mailed. Thereafter, this process was repeated by the representative for other applicants. Caldwell also agreed to employ the same process for a second representative.

Subsequently, the second representative suggested a different method to change the answers on the ATB test which Caldwell agreed to do. The representative gave Caldwell a completed Scan Tron answer sheet which allowed Caldwell to erase and change just enough incorrect answers to provide a passing grade. The representative told Caldwell which student applicants were taking the test for a second time, so that Caldwell could correct their answer sheets.

Although the first two representatives agreed not to tell anyone that Caldwell was changing test scores for their student applicants, a third admissions representative asked Caldwell to change scores on answer sheets, which Caldwell agreed to do. Thereafter, Caldwell was continuously approached in the hallways by the three admissions representatives about “helping” a student pass the ATB test on the second try, and Caldwell agreed to do it every time.

According to Moore’s plea agreement, Moore learned through another admissions representative that Caldwell could ensure that students who failed the ATB the first time would pass it the second time. Between January and December 2011, Caldwell agreed to Moore’s requests to help prospective students pass the test the second time.

Additionally, All-State admissions representative Barry Sugarman, age 63, of Owings Mills, pleaded guilty on March 13, 2013 to the conspiracy. Sugarman admitted that he also asked Caldwell to manipulate the test results to give applicants taking the test a second time a passing score, which she did. Sugarman also told prospective students to understate their income from previous years when they applied for federal aid in order to qualify for the maximum amount of Pell grants and student loans.

During her tenure at All-State from 2008 to December 2011, Caldwell changed the answer sheets for approximately 170 students. Approximately 102 of them went on to enroll at All-State and became eligible to receive federal financial aid in the form of Pell Grants and student loans. Approximately 72 of those students received financial aid totaling approximately $572,255.

Caldwell, who pleaded guilty to a felony, faces a maximum sentence of five years in prison and a fine of $250,000 or not more than the greater of twice the pecuniary loss or gain from the fraud. Moore and Sugarman, who each pleaded guilty to a misdemeanor, face a maximum sentence of one year in prison. U.S. District Judge George L. Russell, III scheduled sentencing for Caldwell in federal court in Baltimore on February 14, 2014 at 9:30 a.m. U.S. Magistrate Judge Timothy J. Sullivan scheduled sentencing for Sugarman and Moore in federal court in Greenbelt on December 18, 2013 and January 28, 2014, respectively.

United States Attorney Rod J. Rosenstein praised the FBI and Department of Education, Office of Inspector General for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Martin Clarke, who is prosecuting the cases.

Baltimore, Maryland - Baltimore Police officer Ashley Roane, age 26, of Pikesville, Maryland, pleaded guilty today to extortion and aggravated identity.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Commissioner Anthony W. Batts of the Baltimore Police Department.

According to her plea agreement, beginning in the fall of 2012, Roane and her roommate Erica Hughes engaged in a scheme whereby they provided the names and social security numbers of persons arrested by the Baltimore Police to an individual who could file false tax returns to obtain fraudulent tax refunds. Roane obtained the personal information of more than 30 people from law enforcement databases through her position as a Baltimore Police officer. Roane and Hughes provided the information to the individual, who they believed worked as a tax preparer, in addition to being a large scale heroin trafficker in Baltimore. The individual who the defendants believed was filing false tax returns and selling heroin was, in fact, an FBI cooperator.

On April 4, 2013, FBI agents watched as Roane arrived in her marked police patrol car for a meeting with the individual to obtain a fraudulent tax refund payment. As directed by the individual, Roane retrieved an envelope containing $2,500 from the source’s vehicle. At a recorded meeting on April 24, 2013, the individual went to Roane’s house and gave Roane an additional $1,500 that the FBI had provided to the individual, purported to be a fraudulent tax refund.

Roane admitted that she also provided protection for the individual’s purported drug trafficking. For example, on March 31, 2013, Roane told the individual that she had performed an unauthorized criminal check of one of the individual’s alleged associates, to determine if the associate was a police informant, and the individual was “clean.” After Roane agreed to provide protection during drug transactions, on April 30, 2013, the FBI set up a controlled purchase by the individual of white powder which resembled a kilogram of heroin. The FBI watched while Roane, in uniform, armed with her service gun, and in a marked police car, provided protection while the individual purportedly retrieved heroin from a vehicle provided by the FBI. Shortly thereafter, at a prearranged meeting, the individual paid Roane $500 for her protection. Roane agreed to provide such protection again in a future transaction involving multiple kilograms of heroin.

During the course of the schemes, Roane and Hughes received $5,250 from the individual in what Roane believed was proceeds of fraudulent tax refunds. Roane also received a total of $1,000 in exchange for providing protection to the individual during what Roane believed were kilogram-level heroin transactions.

Roane and the government have agreed that if the Court accepts the plea agreement, a sentence of between 60 and 111 months is the appropriate disposition of the case. U.S. District Judge William D. Quarles, Jr. has scheduled sentencing for February 4, 2014 at 1:00 p.m.

Co-defendant Erica Hughes, age 26, of Pikesville, previously pleaded guilty to aggravated identity theft and is scheduled to be sentenced on January 14, 2014, at 1:00 p.m.

United States Attorney Rod J. Rosenstein praised the FBI and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Peter M. Nothstein, who is prosecuting the case.

Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Antonio Davis, age 33, of Baltimore, today to 295 months in prison, followed by five years of supervised release, for: a robbery and drug distribution conspiracy; conspiring to possess and possessing firearms in furtherance of a drug trafficking crime and a crime of violence; and for 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 Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Baltimore City State’s Attorney Gregg L. Bernstein; and Baltimore Police Commissioner Anthony W. Batts.

“The Drug Enforcement Administration, working in partnership with the Baltimore Police Department, continues to actively target extreme violent offenders like Davis in order to combat the drug violence in our city,” stated Assistant Special Agent in Charge Gary Tuggle, of the Drug Enforcement Administration’s Baltimore District Office. “This investigation emphasizes the proactive work that Special Agents undertake every day in an effort to remove violent offenders from the streets of Baltimore,” added ASAC Tuggle.

According to evidence presented at his four day trial, in the Fall of 2012, the DEA and Baltimore Police Department (BPD) received information that Davis, and his co-defendants Rodney Proctor, and Sean Thornton were armed drug traffickers and members of the Black Guerilla Family (BGF) gang. According to the individual providing the information, the defendants earned money by conducting robberies and kidnappings and were active in the Penrose neighborhood of Baltimore City.

On December 12, 2012, at the direction of law enforcement, a DEA confidential source was introduced to Davis, Proctor, Thornton, and Michael Johnson. The source claimed to be a drug dealer and discussed with Davis and his co-defendants robbing his source of supply of cocaine and dividing the stolen cocaine among the robbers. On December 20, 2012, Davis, Proctor, Thornton and Johnson picked up a fifth co-defendant, Jazmen Trusty, to carry out the robbery. As Davis drove the conspirators to the location of the purported robbery, law enforcement stopped their vehicle and arrested the defendants. They seized a latex glove, two black gloves and a black mask from Davis; a stocking cap and a loaded semiautomatic handgun from Proctor, as well as masks and caps from the other co-defendants.

According to trial testimony, at the time of his arrest, Davis had only recently been released on parole, after serving a 16 year sentenced for murder. In addition, Davis had proposed kidnapping the four-year-old child of a known drug trafficker and holding the child for ransom – a plan that was still in motion until the DEA source proposed a more lucrative alternative – the drug robbery. Finally, witnesses testified that Davis discussed the robbery and murder of the DEA source and proposed dumping the body in Harford County. In fact, Davis was picked up on recording equipment, that had been installed in the car he was driving to the robbery, discussing the robbery and murder of the DEA source.

Michael Johnson, age 33, Jazmen Trusty, age 20, Rodney Proctor and Sean Thornton, both age 21, all of Baltimore, previously pleaded guilty to their participation in the conspiracy. Proctor was sentenced to 11 years in prison and Johnson was sentenced to 90 months in prison. Jazmen Trusty is scheduled to be sentencing on November 12, 2013.

United States Attorney Rod J. Rosenstein commended the DEA, Baltimore Police Department and Baltimore City State’s Attorney=s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Clinton J. Fuchs and James T. Wallner, who prosecuted the case.

Greenbelt, Maryland – George Nelson Smith, age 52, of Potomac, Maryland pleaded guilty today to filing a false tax return and failing to file a tax return.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.

“No matter how you disguise your income, one still has to pay taxes on it,” said Thomas J. Kelly, Special Agent in Charge, IRS Criminal Investigation, Washington DC Field Office. “As an attorney, Mr. Smith is well educated regarding his federal income tax obligations, making his actions even more egregious. Today’s plea should be a warning to others that IRS Criminal Investigation is focused on those that intentionally underreport taxable income, no matter how or what entity they may attempt to hide behind.”

According to his plea agreement, Smith is an attorney and owner of the Smith Law Firm, which specialized in litigating tort actions. Smith did not pay himself a salary, and used business funds for personal expenses. For example, on his individual tax return for 2005, which he filed on December 16, 2007, Smith stated that his income was $18,972.41, even though he knew that he used money from the law firm’s corporate account to pay for personal expenditures that were not accounted for as income on his tax return. These personal expenditures included over $4,100 to a homeowners’ association for his personal residence; over $83,000 in mortgage payments on his personal residence; and over $15,000 to a private school for his children’s education.

Smith failed to file a tax return for 2007, even though he took at least $668,000 from the law firm for personal expenses, including the purchase of a home in Potomac.

Smith will be required to pay restitution of $91,547, the total loss caused by his conduct.

Smith faces a maximum sentence of three years in prison for filing a false tax return and one year in prison for failing to file a tax return. U.S. District Judge Alexander Williams, Jr. has scheduled sentencing for January 28, 2014.

United States Attorney Rod J. Rosenstein praised the IRS-Criminal Investigation for its work in the investigation and thanked Assistant U.S. Attorney Nicolas A. Mitchell and Special Assistant U.S. Attorney Gregory P. Bailey, of the U.S. Department of Justice, Tax Division, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Dwayne Smiley, Sr., age 49, of Detroit, Michigan, today to seven years in prison followed by three years of supervised release for bank robbery.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Washington County Sheriff Douglas W. Mullendore.

According to Smiley’s plea agreement, on December 30, 2010, Smiley drove with Donald Hays from Detroit, Michigan to western Maryland and Martinsburg, West Virginia, where they robbed the BB&T bank in the 1100 block of Winchester Avenue. Smiley drove Hays to and from the bank. Later, they divided the $1,070 stolen from the bank.

On January 6, 2011, Smiley and Hays again drove from Detroit, Michigan to western Maryland. The next day, Smiley drove Hays to and from the M&T Bank on Mill Street in Clear Spring, Maryland where they stole $3,186, and later divided the money. On January 10, 2011, Smiley drove Hays to and from the M&T Bank on Fairway Lane in Hagerstown, Maryland, where they stole $2,726, and later divided the money.

Donald Larue Hays, age 61, also of Detroit, previously pleaded guilty and is scheduled to be sentenced on November 12, 2013 at 2:00 p.m.

United States Attorney Rod J. Rosenstein praised the FBI and Washington County Sheriff’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Mark W. Crooks and P. Michael Cunningham, who prosecuted the case.

Fired Many Shots at Officers Serving Him With an Arrest Warrant, Wounding One Officer

Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Tayvon Dobson, age 23, of Cambridge, Maryland, today to 28 years in prison followed by five years of supervised release for attempted murder of a federal officer and using a gun during the attempted murder.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Dorchester County State’s Attorney William H. Jones; Cambridge Police Chief Kenneth W. Malik; U.S. Marshal Johnny Hughes; Dorchester County Sheriff James W. Phillips, Jr.; and Colonel Marcus L. Brown, Superintendent of the Maryland State Police.

“Law enforcement officers put their lives on the line every day to protect us from violent criminals,” said U.S. Attorney Rod J. Rosenstein. “I am grateful to the local, state and federal agencies that brought Tayvon Dobson to justice.”

On February 29, 2012, members of the Maryland State Apprehension Team/Capital Area Regional Fugitive Task Force of the U.S. Marshals Service and the Cambridge, Maryland Police Department arrived at a residence divided into individual apartments on Hubbard Street in Cambridge to serve an arrest warrant for Dobson. The arrest warrant charged Dobson with first degree assault and other related charges.

A Task Force detective and a supervisory inspector wore official police vests with bright letters signifying “SHERIFF” or “Police US MARSHAL” across the back, along with a “Task Force” or “Police US Marshal” patch on the front. Shortly after entering one of the apartments, Dobson’s movements were heard across the hall in apartment #1. Officers shouted at Dobson to open the door. Within minutes, gunshots from apartment #1 were directed at law enforcement located outside the residence at their unmarked police vehicles. After the Task Force detective in apartment #2 realized that he could not safely escape that apartment through the hallway, he barricaded the bedroom door with a mattress and dresser.

Shots continued to ring out from apartment #1 as other officers yelled to Dobson to surrender. After several minutes of gunfire, the detective heard Dobson reload a firearm. Dobson began to shoot again. The detective was able to see into the hallway and the front door of apartment #1. Seconds later, the detective saw Dobson leave the apartment and stop in the hallway. Dobson saw the detective no more than 15 feet away and began to fire. The detective fired back while still barricaded in apartment #2. After several volleys of gunfire, the detective felt a sharp pain in his left shoulder, but continued to fire at Dobson. When Dobson left the hallway, the detective saw blood rapidly coming from his wound. The detective broke through the aprtment window, rolled out to the ground and ran to safety. He later underwent surgery.

Dobson continued to shoot at the remaining officers. Four hours after law enforcement first entered the building, Dobson finally surrendered. All of the rooms of Dobson’s residence were riddled with bullet holes. Three firearms were seized, two of which had been used to fire from inside the apartment, as well as a magazine, several rounds of live ammunition and numerous spent shell casings and projectiles.

United States Attorney Rod J. Rosenstein commended the ATF, Dorchester County State’s Attorney’s Office, Capital Area Regional Fugitive Task Force of the United States Marshals Service, Cambridge Police Department, U.S. Marshals Service, Dorchester County Sheriff’s Office and the Maryland State Police for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Debra L. Dwyer, who prosecuted the case.

Smuggled Drugs and Other Contraband for BGF Gang Members in Baltimore Correctional Facilities

Baltimore, Maryland – Kimberly Dennis, age 26, of Baltimore, Maryland pleaded guilty today to a racketeering conspiracy for smuggling drugs and other contraband for members of the Black Guerilla Family (BGF) gang inside several correctional facilities.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Secretary Gary D. Maynard of the Maryland Department of Public Safety and Correctional Services; Baltimore Police Commissioner Anthony W. Batts; and Baltimore City State’s Attorney Gregg L. Bernstein.

According to court documents, BGF has been the dominant gang at the Baltimore City Detention Center (BCDC), and in several connected facilities, including the Baltimore Central Booking Intake Center, the Women’s Detention Center, which houses many men, and in the Jail Industries Building.

According to her plea, Kimberly Dennis worked as a Correctional Officer (CO) at Baltimore City Detention Center (BCDC) from 2006 to 2013. She entered into personal and sexual relationships with two inmates who were members of the Black Guerilla Family (“BGF). Dennis smuggled contraband, including marijuana, tobacco and prescription pills, into BCDC on behalf of BGF inmates, who would then sell that contraband to other BCDC inmates who were members of BGF. Dennis was aware that of the inmates’ BGF affiliation and assisted in furthering the racketeering enterprise. Dennis worked with other CO’s to assist in the smuggling. Dennis obtained contraband from others, including co-defendants. Dennis was aware that other co-defendants and correctional officers also smuggled contraband.

Dennis faces a maximum sentence of 20 years in prison for the racketeering conspiracy. U.S. District Judge Ellen L. Hollander scheduled sentencing for January 24, 2014.

In addition to Dennis, six other CO’s have pleaded guilty to the racketeering enterprise:

Jasmin Jones, a/k/a/ J.J., age 24, of Baltimore; Taryn Kirkland, age 23, of Baltimore; Jennifer Owens, a/k/a/ O and J.O., age 31, of Randallstown; Adrena Rice, age 25, of Baltimore; Katera Stevenson, a/k/a KK, age 24, of Baltimore; and
Jasmine Thornton, a/k/a J.T., age 26, of Glen Burnie.

Three other co-defendants, inmates Tavon White, age 36, and Steven Loney, age 24, both of Baltimore, and Tyesha Mayo, age 29, of Baltimore, have also pleaded guilty.

The case arose from the efforts of the Maryland Prison Task Force, a group of local, state and federal law enforcement agencies and prosecutors that met regularly for more than two years and generated recommendations to reform prison procedures. The investigation is continuing.

U.S. Attorney Rosenstein recognized the efforts of the other members of the Maryland Prison Task Force, including: Colonel Marcus L. Brown, Superintendent of the Maryland State Police; Chief Mark A. Magaw of the Prince George’s County Police Department; United States Marshal Johnny Hughes; Special Agent in Charge Karl C. Colder of the Drug Enforcement Administration - Washington Field Division; Tom Carr, Director of the Washington-Baltimore High Intensity Drug Trafficking Area; and Dave Engel, Executive Director of the Maryland Coordination and Analysis Center.

United States Attorney Rod J. Rosenstein praised the FBI, Maryland Department of Public Safety and Correctional Services, Baltimore Police Department, and Maryland Prison Task Force, for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Robert R. Harding and Ayn B. Ducao, who are prosecuting this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – A federal grand jury returned an indictment today charging Rodney Hubert, a/k/a “Noah,” age 38, of Parkville, Maryland, with sex trafficking of a minor.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Chief James W. Johnson of the Baltimore County Police Department; and Baltimore County State’s Attorney Scott Shellenberger.

According to the one count indictment, Hubert paid a 19 year old associate who worked for him as a prostitute a commission for recruiting a 16 year old girl to perform prostitution for him. Hubert allegedly offered to pay the 16 year old girl $400 to take photos of her wearing lingerie in a provocative manner. The girl posed for the pictures but never received the promised payment. Hubert offered to pay an additional $1,000 to make a pornographic film. The girl told Hubert that she was only 16 years old.

According to the allegations in the indictment, from February 1 to 22, 2013, Hubert uploaded these photos onto an internet website and advertised the girl as a prostitute. He paid a driver and a security guard to travel with the girl to “outcalls,” using money she earned as a prostitute. Hubert kept a large percentage of the girl’s earnings.

Hubert faces a minimum mandatory sentence of 10 years in prison and a maximum of life in prison followed by up to lifetime of supervised release. An initial appearance has not yet been scheduled.

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 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 and Baltimore County State's Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Mark W. Crooks, who prosecuted the case.

Baltimore, Maryland – Axway, Inc. has agreed to pay the United States $6.2 million to settle allegations under the False Claims Act that it and its predecessors provided the General Services Administration (GSA) with defective pricing information in order to obtain and maintain a GSA Multiple Award Schedule (MAS) contract that permitted them to sell software licenses and related services to federal agencies at inflated prices.

The settlement was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Inspector General Brian D. Miller of the GSA Office of the Inspector General.

“This agreement demonstrates the Department of Justice’s commitment to rooting out fraud in government procurements and protecting taxpayer dollars,” said U.S. Attorney Rod J. Rosenstein. “Companies that attempt to skirt the rules for securing government business should be on notice that they will be held accountable and will not be permitted to undermine the integrity of the procurement process.”

"Companies must provide complete and accurate pricing information during the GSA contracting process," said GSA Inspector General Brian D. Miller. "Failure to do so is cheating the government and ultimately the American taxpayers, and taxpayers deserve a better deal."

Under the MAS Program, prospective vendors agree to disclose their commercial pricing policies and practices to GSA in exchange for the opportunity to gain access to the broad federal marketplace and the ease of administration that comes from selling to hundreds of government purchasers under one central MAS contract. GSA regulations require that, during the initial contract negotiations with GSA, prospective vendors seeking a MAS contract make “current, accurate and complete” disclosures of the standard and non-standard discounts they offer to commercial customers. GSA relies on the accuracy of these disclosures in order to negotiate fair pricing for government purchasers. Additionally, after the MAS contract is awarded, regulations require that MAS Program vendors disclose to GSA any changes in their commercial pricing practices, including new discounts that are offered to commercial customers after the MAS contract is in place.

According to the Settlement Agreement, on October 3, 2001, GSA awarded an MAS contract to Valicert, Inc. for the sale of software licenses and related services. Valicert subsequently merged in 2003 with Tumbleweed Communications Corporation, which in turn merged with Axway in 2009. GSA approved the novation of the MAS contract to these successors. From 2001 to December 31, 2011, numerous federal agencies purchased products and services from Valicert, Tumbleweed and Axway based on the MAS contract pricing.

This settlement resolves allegations that during the initial negotiation of the contract, Valicert knowingly provided GSA with commercial pricing information that was not current, accurate and complete. As a result, the United States alleges that the MAS contract that was awarded to Valicert contained pricing that was less advantageous to the government than would have been negotiated had accurate and complete disclosures been made. In addition, the United States alleges that in 2007, when the MAS contract was renewed, Tumbleweed also failed to provide GSA with accurate and complete commercial pricing disclosures. Finally, the United States contends that after being novated onto the MAS contract, Tumbleweed and Axway failed to comply with the price reduction clause of the contract. As a result, the United States alleges that the MAS contract contained inflated prices, and that numerous government agencies relied on these inflated prices and overpaid for their purchases of software and related services.

The civil settlement resolves a lawsuit filed under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and obtain for themselves a portion of the government’s recovery. The civil lawsuit was filed in the District of Maryland by Kenneth Marcus, who is a former employee of Tumbleweed. The case is captioned United States ex rel. Kenneth Marcus v. Tumbleweed Communications Corp., DKC-08-1006. As part of today’s resolution, Mr. Marcus will receive $1,178,000 from the settlement.

The settlement was the result of an investigation by the U.S. Attorney’s Office for the District of Maryland and GSA Office of Inspector General, with assistance from the Defense Criminal Investigative Service and the Naval Criminal Investigative Service. The case was handled by Assistant U.S. Attorneys Michael A. DiPietro and Jason D. Medinger.

Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Franklin Harold Barney, age 31, of Laurel, Maryland, today to 121 months in prison, followed by five years of supervised release, for conspiracy to distribute crack cocaine, powder cocaine, heroin, and phencyclidine (PCP). Judge Bredar also entered an order requiring that Barney forfeit three handguns and $105,880 in cash seized during the investigation.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Anne Arundel County Police Chief Kevin Davis; Howard County Police Chief William McMahon; Chief Mark A. Magaw of the Prince George’s County Police Department; and Chief Richard McLaughlin of the Laurel Police Department.

According to Barney’s plea agreement, during July, 2010, Barney was identified as a large-scale narcotics trafficker in the Anne Arundel, Howard and Prince George’s County areas. Based on that information, from August 2010 through May 2011, a confidential source and an undercover officer made a series of crack cocaine purchases from both Barney and Joseph Padro Hill. During one of these transactions, the source met Barney at an apartment in Laurel, where Barney was observed to be cooking crack cocaine, readying it for distribution. John Anderson, whose apartment it was, was also present.

Beginning in April, 2011, law enforcement obtained authorization to wiretap the phones used by Barney, Hill and Anderson. Based on those intercepted communications, surveillance of Barney’s activities, and search warrants executed at Barney’s home, Barney and the other members of the conspiracy were responsible for distributing at least 280 grams of crack cocaine, at least five kilograms of powder cocaine, and at least one kilogram each of heroin and PCP.

Joseph Padro Hill, age 31, and John Anderson, age 72, both of Laurel, were previously sentenced to two years in prison and two months in prison, respectively.

United States Attorney Rod J. Rosenstein praised the DEA, FBI Anne Arundel, Howard and Prince George’s County Police Departments and the Laurel Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Brooke Carey, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Corrupt Officer Protected Drug Dealer, Filed False Police Reports, Planned Armed Robbery and Sold Stolen Property

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Baltimore Police officer Kendell Richburg, age 36, of Baltimore, today to eight years in prison, followed by four years of supervised release, for conspiracy to distribute heroin and possession of a firearm in furtherance of drug trafficking. Judge Bennett ordered that as a special condition 10 months of his supervised release be served in home detention.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Commissioner Anthony W. Batts of the Baltimore Police Department.

According to his plea agreement, from June 2011 through October 2012, Richburg, who was assigned to the Violent Crimes Impact Section in the Northwestern District of the Baltimore Police Department, conspired with a street level drug trafficker to distribute heroin. Richburg’s co-conspirator was a registered confidential informant with the Baltimore Police Department. The co-conspirator sold drugs in the Pimlico area of Northwest Baltimore. Richburg provided information to the co-conspirator that permitted him to sell drugs without interference from law enforcement, telling the co-conspirator on a near daily basis when it was “safe” to go out to sell drugs. In return, the co-conspirator provided Richburg with information about his drug customers so that Richburg could arrest them. Richburg paid his co-conspirator with official Baltimore Police Department funds for providing the information that resulted in the arrest of the drug customers. Richburg sometimes gave the co-conspirator back some of the drugs seized from the co-conspirator’s customers so that the co-conspirator could re-sell the drugs. Richburg falsified the arrest documents to eliminate the co-conspirator’s involvement, often falsely stating that Richburg had witnessed a drug transaction.

In early 2012, the FBI received information that Richburg was trafficking in stolen property, including iPhones, iPads and other electronics, and obtained a wiretap of Richburg’s cellphone. Intercepted conversations confirmed that Richburg was trafficking in stolen property and led to the discovery of Richburg’s drug trafficking.

Richburg and the co-conspirator were also overheard discussing the “planting” of evidence, and arranging an armed robbery. For example, on September 2, 2012, Richburg and the co-conspirator discussed having the co-conspirator plant a gun in an unlicensed cab, then having Richburg pull over and arrest the cab driver on a gun violation and pay the co-conspirator $350 to $400 as an informant fee for recovering a firearm. On October 9, 2012, Richburg, armed with his service weapon, searched a person, without probable cause, and located a large amount of cash. The victim told Richburg that he had just received his paycheck. Richburg contacted his co-conspirator and arranged for the co-conspirator, whom Richburg knew was armed, to rob the victim, identifying where the victim was located.

Richburg has been detained since his arrest on January 18, 2013.

United States Attorney Rod J. Rosenstein praised the FBI and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys A. David Copperthite and Peter M. Nothstein, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Michael Dale Irwin, age 27, of Rising Sun, Maryland, today to 210 months in prison, followed by lifetime supervised release, for the sexual exploitation of a minor to produce child pornography. Judge Bennett also ordered that upon his release from prison, Irwin 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 William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel Marcus L. Brown, Superintendent of the Maryland State Police (MSP); and Cecil County State’s Attorney Ellis Rollins.

According to Irwin’s plea agreement, on March 12, 2013, a witness reported to Maryland State Police that Irwin had sent an image to her cellular phone documenting his sexual abuse of a prepubescent minor female. The witness contacted MSP when she recognized Irwin in the image. Although the messages were set to “auto delete” and were no longer on the witness’ phone, with the consent of the witness MSP began monitoring calls and text messages between Irwin and the witness and directed all communication by the witness with Irwin. After Irwin sent the witness a video depicting a six to eight year old female engaged in sexually explicit conduct, troopers arrested Irwin at his place of employment and seized his phone, which had been used to text and call the witness. MSP recovered the images and video documenting Irwin’s sexual abuse of a prepubescent minor female and obtained the sexually explicit text messages that he had previously sent to the witness describing in graphic detail the sexual acts he performed on the child. HSI special agents in Baltimore conducted the forensic examination on Irwin’s phone and HSI’s victim witness specialist provided substantial assistance to the victims and their families.

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.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the "resources" tab on the left of the page.

United States Attorney Rod J. Rosenstein commended HSI Baltimore, the Maryland State Police and the Cecil County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Sandra Wilkinson, who prosecuted the case.

Founded the Gang and Directed Gang Activities While Incarcerated

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Andre Ricardo Roach, a/k/a “Squeaky,” “Redrum,” and “Rum,” age 35, of Prince George’s County, Maryland, today to 30 years in prison, followed by three years of supervised release, after Roach pleaded guilty to conspiracy to participate in a racketeering enterprise, the South Side Brims (SSB) Bloods gang. Roach admits that in 2005, he founded the SSB gang, which operates from Western Maryland to the lower Eastern Shore. This case is the culmination of a long-term joint investigation by federal, state and local authorities throughout Maryland.

The guilty plea and sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven E. Vogt of the Federal Bureau of Investigation; Colonel Marcus L. Brown, Superintendent of the Maryland State Police; Secretary Gary Maynard of the Maryland Department of Public Safety and Correctional Services; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Frederick County Sheriff Charles A. “Chuck” Jenkins; Captain Thomas J. Ledwell, Chief of the Frederick Police Department; Commissioner Anthony W. Batts of the Baltimore Police Department; Chief James W. Johnson of the Baltimore County Police Department; Chief William J. McMahon of the Howard County Police Department; Anne Arundel County Police Chief Kevin Davis; Annapolis Police Chief Michael A. Pristoop; Chief Ross C. Buzzuro of the Ocean City Police Department; Chief Michael Phillips of the Fruitland Police Department; Garrett County Sheriff Robert E. Corley; Allegany County Sheriff Craig Robertson; Cumberland Police Chief Charles H. Hinnant; Washington County Sheriff Douglas Mullendore; Dorchester County Sheriff James W. Phillips; Queen Anne’s County Sheriff R. Gary Hofmann III; Wicomico County Sheriff Michael A. Lewis; Worcester County Sheriff Reggie T. Mason, Sr.; Salisbury Police Chief Barbara Duncan; Chief Mark A. Magaw of the Prince George’s County Police Department; Wicomico County State’s Attorney Matthew Maciarello; Frederick County State’s Attorney J. Charles Smith; Baltimore City State’s Attorney Gregg L. Bernstein; Washington County State’s Attorney Charles P. Strong, Jr.; Garrett County State’s Attorney Lisa Thayer Welch; Allegany County State’s Attorney Michael O. Twigg; and Queen Anne’s County State’s Attorney Lance G. Richardson.

According to Roach’s plea agreement, in 2005, a member of a Bloods subgroup or set called the Fruit Town Brims, was incarcerated in the Maryland Division of Corrections. This Bloods member recruited Roach to join this sub-set. Roach, who was also incarcerated, moved up in the gang hierarchy and in June 2005, was granted permission to start a new set in Maryland called the South Side Brims. It was common for Roach to send out open letters to the entire set through Monique Marie Hagler, a/k/a “Platinum,” “Plat,” and “Diamond,” who operated as the First Lady of the SSBs Enterprise in Maryland. In these written communications, Roach directed the activities of the SSBs Enterprise and served as the leader/organizer and founder of the Enterprise.

As First Lady, Hagler took direction from Roach and sent out orders and commands to the SSB members. Hagler operated as the official record keeper, and maintained and disseminated lists identifying members of the organization. During the course of the conspiracy, Roach coordinated regularly with Hagler and others to maintain the illegal activities, promote the business of the enterprise and maintain discipline and order within the SSBs. For example, Hagler sent communications to gang members demanding payment of dues used to support members of the SSB enterprise and their activities, including criminal defense lawyers, firearms, bail and to assist gang members recently released from prison to help them get on their feet.

Roach admitted that during the course of the conspiracy he and other SSBs conspired to distribute controlled substances, including cocaine, heroin, marijuana, ecstacy, and diverted pills, to customers of the SSBs in Frederick County, Howard County, Anne Arundel County and Queen Anne County, and other locations in Maryland. Roach and his co-conspirators used cellular telephones to conduct the narcotics trafficking. The amount of controlled substances reasonably foreseeable to Roach during the conspiracy is between five and 15 kilograms of cocaine.

During the course of the conspiracy, Roach, along with other SSB members and associates, participated in the planning and commission of several violent acts in furtherance of the SSBs enterprise, including a murder, several attempted murders, home invasion robberies, witness intimidation, violence against gang members who violated gang rules and other acts of violence.

Thirty four SSB members and associates, including Roach and Monique Hagler, age 29, of Suitland, Maryland, have pleaded guilty to their roles in the conspiracy. Hagler is awaiting sentencing, but 30 defendants have been sentenced, with sentences ranging from time served to 30 years in prison.

United States Attorney Rosenstein praised the FBI; Maryland State Police; ATF; Delaware State Police; Baltimore City, Baltimore County, Cumberland, Frederick, Howard County, Prince George’s County, Salisbury, Fruitland, Annapolis, Anne Arundel County and Ocean City Police Departments; Allegany County Sheriff’s Office; Allegany County Criminal Investigations; the Frederick, Washington, Queen Anne’s, Dorchester, Wicomico and Worcester County Sheriffs Offices; and the State’s Attorney’s Offices of Baltimore City, Frederick, Wicomico, Washington, Allegany, Garrett and Queen Anne’s Counties for their investigation of this Organized Crime Drug Enforcement Task Force case. Mr. Rosenstein also recognized the Maryland Department of Public Safety and Correctional Services and the Drug Enforcement Administration for their assistance in the investigation.

Mr. Rosenstein thanked Assistant U.S. Attorneys Andrea L. Smith and A. David Copperthite, who are prosecuting this case.

Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Davon Robinson, age 35, of Baltimore, Maryland, today to 10 years in prison, followed by five years of supervised release, for possession with intent to distribute heroin.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; and Commissioner Anthony W. Batts of the Baltimore Police Department.

According to Robinson’s plea agreement, on October 30, 2012, Baltimore Police officers observed several traffic violations by a red Lexus and initiated a traffic stop. One officer approached the driver’s side of the car and saw the driver, later identified as Robinson, with an open bag in his lap. The bag contained a number of clear plastic bags with gel caps containing a tan powder, which the officer believed to be heroin. Robinson quickly shoved the bag to his feet and tried to kick it under the seat. The officer instructed Robinson to get out of the car. Robinson tried to run away, but the officers grabbed him and restrained him. Robinson was searched and officers recovered a plastic back with four gel caps of heroin and $809 in cash. The car was also searched and officers recovered the plastic bag which contained 850 gel caps of heroin. The total weight of the heroin was approximately 174 grams.

Robinson admits that he is a career offender based on three previous drug convictions

United States Attorney Rod J. Rosenstein praised the DEA and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Kenneth S. Clark, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge J. Frederick Motz sentenced Taji Hart, age 32, of Baltimore, today to 10 years in prison followed by three years of supervised release for possession with intent to distribute heroin.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Baltimore City State’s Attorney Gregg L. Bernstein; and Baltimore Police Commissioner Anthony W. Batts.

According to his plea agreement, on July 27, 2012, after receiving information about a fight involving a man with a handgun who was driving a vehicle, police officers saw the vehicle in the 2200 block of West Fayette Street in Baltimore. The officers saw Hart drive the vehicle away. Officers stopped the vehicle in the 2100 block of West Saratoga Street and seized a loaded .40 caliber Glock handgun and a plastic bag with nine gel capsules containing heroin from the vehicle. Hart admits that he is a career offender. He has five previous drug convictions.

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

Baltimore, Maryland – Ronald J. Dalessandro, age 49, of Frederick, Maryland pleaded guilty today to two counts of selling drug paraphernalia and filing a false income tax return.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Antoinette V. Henry of the U.S. Food & Drug Administration, Office of Criminal Investigations.

According to his plea agreement, Dalessandro owned and operated The Needle Beast, a company through which he marketed and sold hypodermic needles and syringes on the internet to individual consumers around the country, who sought to enhance their physiques by self-administering anabolic steroids by injection. Dalessandro advised his customers on the most popular sizes ordered by his previous customers for self-administering anabolic steroids by injection. Dalessandro advertised his company on other websites focused on bodybuilding, anabolic steroids and other performance-enhancing drugs.

Dalessandro displayed on his websites numerous disclaimers stating that the products he sold were “for medical, industrial, or vetrinary [sic] use only.” He used these disclaimers to avoid regulatory and law enforcement scrutiny, knowing that his customers intended to use the syringes and needles to inject themselves with body-enhancing substances, including anabolic steroids.

From the sale of needles and syringes through The Needle Beast website, Dalessandro received annual revenues of at least $68,432.93, $105,313.84 and $133.257.78 in 2006, 2007, and 2008, respectively. However, Dalessandro filed false income tax returns for these years which reported substantially less income than he earned, in that he did not report all of the income earned from the illicit sales of syringes and needles.

Dalessandro faces a maximum sentence of three years in prison followed by a year of supervised release for each of the offenses and a fine of $250,000. U.S. District Judge George L. Russell III scheduled sentencing for January 31, 2014 at 11:30 a.m.

United States Attorney Rod J. Rosenstein praised the IRS Criminal Investigation and FDA, Office of Criminal Investigations for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Robert K. Hur and Kelly O'Connell Hayes, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge James K. Bredar sentenced Michael Bowman, age 61, of Baltimore, today to 33 months in prison, followed by three years of supervised release, for wire fraud in connection with a scheme to use personal identifying information of individual bank accounts holders to defraud banks. Bowman also paid restitution of $35,283.70.

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 Inspector General William E. Johnson, Jr. of the Maryland Department of Human Resources.

According to his plea agreement, Bowman was a supervisor for the Maryland Department of Social Services. In September 2011, Bowman’s work email account was flagged for suspicious activity. An email contained an attachment which listed numerous names, bank account numbers and other personal identifying information. Bowman admitted to law enforcement agents that he was lonely and had sought companionship online. Bowman met a man named “Steve” on a networking site in October 2010, who claimed to live in London, to be recently single and to be interested in Bowman. Steve promised to move in with Bowman in Baltimore if Bowman helped provide him with money, including funds to purportedly repair a house that Steve’s father left him upon his father’s death.

During the fraud scheme, which extended from October 2010 to September 2011, Steve also introduced Bowman to his friend “David.” Bowman never met Steve or David in person. Bowman was sent account numbers and personal identifying information of bank account holders which Bowman used to impersonate the individual victims. Once Bowman had gained access to the individual victim’s accounts, Bowman obtained account balance information, allowing the co-conspirators to link the individual victims’ account to accounts Bowman opened at banks. The co-conspirators then initiated wire transfers from the victim accounts, through Bowman’s accounts, to third party accounts controlled by Steve, David and others.

Over the course of the fraud scheme, Bowman accessed at least 88 individual accounts, resulting in an intended loss totaling $513,942.96. The only actual loss to a bank from the scheme was in the amount of $35,283.70.

Bowman also wired approximately $10,000 of his own money to Steve and David in small increments. He also participated in a scheme to traffic in counterfeit MoneyGram money orders, whereby he purchased a $1 MoneyGram money order at a grocery store, scanned it and emailed the scanned image to David. Bowman then received approximately 100 forged MoneyGram money orders in the mail, all in the amount of $997. At David’s request, Bowman mailed some of those money orders to a co-conspirator. MoneyGram suffered no actual loss from the scheme.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service and Maryland Department of Human Resources - OIG for their work in the investigation. Mr. Rosenstein praised Special Assistant U.S. Attorney Paul K. Nitze, who prosecuted the case.

Businesses that Break Up Cash Transactions to Avoid Paper Trail Face Prosecution

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Amefika Gray, age 39, of Baltimore, today to 30 months in prison followed by two years of supervised release for structuring bank deposits totaling over $2 million over a two year period to avoid bank reporting requirements. Judge Hollander also ordered that Gray forfeit $800,000, a Mercedes Benz vehicle and three residential properties located in Baltimore.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Thomas J. Kelly of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Commissioner Anthony W. Batts of the Baltimore Police Department.

“Federal law requires large currency transactions to be reported in order to deter money laundering, tax evasion and other criminal conduct,” said U.S. Attorney Rod J. Rosenstein. “Businesses that break up their cash deposits to avoid currency reporting requirements face federal criminal prosecution.”

According to his plea, Gray owns Network Auto Group, a car dealership operating at 2631 Gwynns Falls Parkway in Baltimore. Between January 15, 2010 and April 28, 2012, Gray made regular deposits of $10,000 or just under $10,000 into his personal and business bank accounts, including at least 25 instances in which Gray made multiple deposits under $10,000 the same day into the same bank or into different banks. The amount of the structured deposits over this two year period totaled $2,017,205.23. Gray deposited the money in such amounts because he knew that the banks were required to report to the Internal Revenue Service all deposits over $10,000.

The government presented evidence to the court that the cash that Gray structured was the proceeds of drug trafficking activity.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein praised the IRS – Criminal Investigation and Baltimore Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Evan T. Shea, who prosecuted the case.

Five Co-Conspirators Previously Pleaded Guilty

Baltimore, Maryland – Bonnie Kathleen Kreamer, a/k/a Bonnie Meehan, age 47, of Riva, Maryland, pleaded guilty today to conspiring to commit wire fraud in connection with a mortgage fraud scheme which resulted in losses of over $4.8 million.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Special Agent in Charge Brian Murphy of the United States Secret Service Baltimore Field Office; Special Agent in Charge Michael P. Tompkins, Washington Field Office, U.S. Department of Justice Office of the Inspector General; Howard County Police Chief William McMahon; and Howard County State’s Attorney Dario Broccolino.

According to her plea agreement, in 2002, Kreamer’s Maryland license to issue title insurance policies was revoked after she was convicted of theft for fraudulently endorsing checks at a title attorney’s office where she worked. Despite her conviction, from 2007 until January 2010, Kreamer worked at Sanford Title Services LLC located in Columbia, Maryland, and had significant day-to-day responsibility for the operation of Sanford Title. From June 2008 to January 2010, Kreamer and co-conspirators Niesha Williams, Rhonda Scott, Emeka Udeze and Demetrius Peete arranged various aspects of real estate transactions so they could siphon profits out of the transaction for themselves. They used many fraudulent techniques to further the conspiracy, including: short sales in which the property was sold for a higher price than was represented to the lien holder and the seller; sales of properties not owned by the seller at the time of settlement; real estate transactions in which there were multiple sales of the same property at the same time; real estate transactions in which the buyer’s financial status was misrepresented to lenders; transactions in which the seller and/or buyer were shown different settlement statements and the conspirators used the difference between the figures in the two statements to enrich themselves.

In addition, Kreamer admitted that she personally facilitated deals between her co-conspirators, prepared false settlement statements, improperly disbursed funds contrary to the settlement and lender approved disbursements sheets, failed to pay off mortgage loans in accordance with the settlement documents, directed funds to entities created by herself and her co-conspirators, received proceeds of fraudulent transactions, and improperly issued title insurance policies.

Kreamer admitted that the scheme involved at least 30 victims, including lenders, sellers and buyers of real estate, a title insurance company and lien holders. She further agreed that her offense involved sophisticated means and her abuse of a position of trust at Sanford Title. The reasonably foreseeable loss associated with Kreamer’s conduct is at least $4.8 million.

Kreamer faces a maximum penalty of 30 years in prison and a $1 million fine for conspiring to commit wire fraud. U.S. District Judge James K. Bredar scheduled sentencing for January 22, 2014, at 4:30 p.m.

Niesha Williams, age 34, of Fort Washington, Maryland; Rhonda Scott, age 52, of Oxon Hill, Maryland; Emeka Udeze, age 38, of Bowie, Maryland; Demetrius Peete, age 46, of Manassas, Virginia; and Gregory Green, age 49, of Waldorf, Maryland, each previously pleaded guilty to their roles in the fraud and are awaiting sentencing.

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 www.justice.gov/usao/md/Mortgage Fraud/index.html.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein praised the FBI, Department of Justice - OIG, Howard County Police Department, Secret Service and Howard County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Harry M. Gruber and Judson T. Mihok, who are prosecuting the case.

Baltimore, Maryland – A federal grand jury returned an indictment today charging four defendants with conspiring to steal merchandise using stolen personal identifying information of medical patients:

Denise W. Wearing, age 36, of Philadelphia, Pennsylvania; Michelle Jernell Cole, age 27, of Baltimore; Chanell Y. Cole, age 30, of Owings Mills, Maryland; and
Yolana Gail Welch, age 39, of Philadelphia.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office.

Michelle Cole worked at two medical practices located in Laurel, Columbia and Glen Burnie, Maryland. Her sister, Chanell Cole, worked at a doctor’s office in Baltimore. According to the three count indictment, from January 2010 to April 2013, the Cole sisters used their employment to obtain personal identifying information of over 46 patients, which the defendants used to take over and control the victims’ credit accounts at Macy’s and Bloomingdales. The defendants allegedly used the fraudulently accessed accounts to obtain jewelry, clothing, furniture, televisions and other merchandise and had the fraudulently obtained merchandise delivered to their own residences and to residences of friends and family members. They defendants kept the merchandise for their personal use, sold the items for cash, or returned the items in exchange for gift cards and sold gift cards for cash.

The indictment alleges that during the course of the scheme, the defendants defrauded over 100 victims, obtaining over $750,000 of merchandise using the victims’ accounts.

All of the defendants face a maximum sentence of 30 years in prison and a $1 million fine for the conspiracy and bank fraud, and a mandatory minimum of two years in prison for aggravated identity theft to be imposed consecutive to any other sentence. The initial appearances of the defendants are not yet scheduled.

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.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service for its work in the investigation and thanked Macy’s fraud investigators for their assistance. Mr. Rosenstein praised Assistant U.S. Attorney Paul Budlow, who is prosecuting the case.

Baltimore, Maryland – A federal grand jury returned an indictment today charging four defendants with conspiring to steal merchandise using stolen personal identifying information of medical patients:

Denise W. Wearing, age 36, of Philadelphia, Pennsylvania; Michelle Jernell Cole, age 27, of Baltimore; Chanell Y. Cole, age 30, of Owings Mills, Maryland; and
Yolana Gail Welch, age 39, of Philadelphia.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Brian Murphy of the United States Secret Service - Baltimore Field Office.

Michelle Cole worked at two medical practices located in Laurel, Columbia and Glen Burnie, Maryland. Her sister, Chanell Cole, worked at a doctor’s office in Baltimore. According to the three count indictment, from January 2010 to April 2013, the Cole sisters used their employment to obtain personal identifying information of over 46 patients, which the defendants used to take over and control the victims’ credit accounts at Macy’s and Bloomingdales. The defendants allegedly used the fraudulently accessed accounts to obtain jewelry, clothing, furniture, televisions and other merchandise and had the fraudulently obtained merchandise delivered to their own residences and to residences of friends and family members. They defendants kept the merchandise for their personal use, sold the items for cash, or returned the items in exchange for gift cards and sold gift cards for cash.

The indictment alleges that during the course of the scheme, the defendants defrauded over 100 victims, obtaining over $750,000 of merchandise using the victims’ accounts.

All of the defendants face a maximum sentence of 30 years in prison and a $1 million fine for the conspiracy and bank fraud, and a mandatory minimum of two years in prison for aggravated identity theft to be imposed consecutive to any other sentence. The initial appearances of the defendants are not yet scheduled.

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.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service for its work in the investigation and thanked Macy’s fraud investigators for their assistance. Mr. Rosenstein praised Assistant U.S. Attorney Paul Budlow, who is prosecuting the case.

Robbed An Armored Car Employee

Greenbelt, Maryland - U.S. District Judge Roger W. Titus sentenced Alton May, age 49, of Washington, D.C., today to 25 years in prison, followed by five years of supervised release, for the robbery of an armored car employee. Judge Titus enhanced May’s sentence upon finding that he is a career offender based on previous drug and assault convictions.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; Chief Mark A. Magaw of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; and Chief Cathy L. Lanier of the Metropolitan Police Department.

According to May’s plea agreement, on May 3, 2011, he and a co-defendant, both armed with handguns, robbed an armored car employee at a convenience store in Glenarden, Maryland. The employee was at the convenience store to refill the ATM machine located in the store. The employee gave May and his co-defendant the money bag and one of the robbers also stole the employee’s handgun. The robbers fled on foot to an apartment complex behind the store where they got into May’s car and proceeded to his residence. On the way, they took the money from the bag and threw the bag in a dumpster. Once they arrived at May’s residence they located and destroyed a GPS tracking device which was in the money. May and his co-defendant threw the cash, three handguns and two baseball caps used in the robbery onto the roof of the building, then jumped out of the window. The GPS device allowed law enforcement to track the money from the convenience store to the dumpster and to May’s residence, where they recovered the cash, guns and hats from the roof. One of the guns recovered was the one stolen from the armored car employee. Officers also recovered pieces of the broken GPS tracker in May’s apartment and an individual in the area identified May as one of the people he saw jump out of the window of May’s apartment.

May initially fled to New York, but was arrested in Montgomery County on November 7, 2011, when he fled from officers who were attempting to perform a traffic stop on the car May was driving.

United States Attorney Rod J. Rosenstein commended the FBI, ATF, Prince George’s County Police Department, Montgomery County Police Department and Metropolitan Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Deborah A. Johnson and Leah J. Bressack, who prosecuted the case.

Funds Will Hire School Resource Officers and Critical Law Enforcement Positions

Baltimore, Maryland – The U.S. Department of Justice Office of Community Oriented Policing Services (COPS), today announced funding awards for the District of Maryland.

The grantees and amount awarded include:

Baltimore Police Department awarded $1,250,000 to hire 10 officers; Town of Bladensburg awarded $125,000 to hire one officer; Hagerstown Police Department awarded $250,000 to hire two officers; Seat Pleasant Police Department awarded $87,344 to hire one officer.

“In the wake of past tragedies, it's clear that we need to be willing to take all possible steps to ensure that our kids are safe when they go to school,” said Attorney General Eric Holder. “These critical investments represent the Justice Department's latest effort to strengthen key law enforcement capabilities, and to provide communities with the resources they need to protect our young people. Especially in a time of increased challenges and limited budgets, our top priority must always be the safety and well-being of our children.”

“Keeping our children safe from violent crime, drugs and gangs is of critical importance,” said U.S. Attorney Rod J. Rosenstein. “These grants will help provide communities with the resources to improve school safety.”

Overall the COPS Office funded awards to 263 cities and counties, aimed at creating 937 law enforcement positions. More than $125 million will be awarded nationally, including nearly $45 million to fund 356 new school resource officer positions.

“The COPS Office is pleased to assist local law enforcement agencies throughout the country address their most critical public safety issues,” said Joshua Ederheimer, Acting Director of the COPS Office. “Funding from this year’s program will allow many cities and counties to apply new sworn personnel to issues related to violent crime, property crime, and school safety.”

The COPS Hiring Program offers grants to state, local and tribal law enforcement agencies to hire or rehire community policing officers. The program provides the salary and benefits for officer and deputy hires for three years.

Grantees for the 2013 hiring program were selected based on their fiscal needs, local crime rates, and their community policing plans. There was an additional focus this year on agencies requesting assistance in developing school safety programs that would include the hiring of a school resource officer. School resource officer positions funded by the COPS Office are sworn law enforcement positions that work within a school district or facility, interacting directly with school administrators and students.

The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1995, COPS has awarded over $14 billion to advance community policing, including grants awarded to more than 13,000 state, local, and tribal law enforcement agencies to fund the hiring and redeployment of approximately 125,000 officers and provide a variety of knowledge resource products including publications, training, and technical assistance.

For the entire list of grantees and additional information about the 2013 COPS Hiring Program, visit the COPS website at www.cops.usdoj.gov.

Robbery Committed While Defendant Was on Supervised Release for a Previous Bank Robbery

Baltimore, Maryland – U.S. District Judge U.S. District Judge J. Frederick Motz sentenced Ashref Abil Bannaga, age 32, of Gaithersburg, Maryland today to five years in prison, followed by five years of supervised release, for the December 7, 2011, armed bank robbery of the Capitol One Bank in Frederick, Maryland. At the time of the robbery, Bannaga was on federal supervised release after serving a sentence of 70 months for a 2006 Virginia bank robbery.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Captain Thomas J. Ledwell, Chief of the Frederick Police Department.

According to his plea agreement, on December 7, 2011, Bannaga entered the Capitol One Bank located at 1305 W. 7th Street in Frederick, Maryland, with a mask and a hood covering his face. Bannaga, brandishing what appeared to be a firearm, ordered the employees and customers into one general area, then demanded that the branch manager open the safe. When the branch manager could not open the safe, Bannaga, still brandishing the gun, opened a teller drawer, stole approximately $5,995 and left the bank.

A witness walked into the bank as Bannaga was exiting. Bannaga showed the witness his gun and warned the witness not to do anything “stupid.” The witness saw Bannaga get into a black truck and reported the partial front tag, the fact that there were no rear tags, and a plate description to law enforcement, who located the truck in an adjacent parking lot. The rear tag of the truck was hanging on by one screw, as though it had just been reattached.

Investigation revealed that the truck had been rented by Bannaga the day before. Bannaga was employed at the time of the robbery to do construction work at the supermarket located in the same strip mall as the bank. Law enforcement recovered the clothing, mask, hat, and gloves worn by the robber, as well as most of the bank money, and the gun (a replica BB-type gun) on the construction site where Bannaga worked. Bannaga’s DNA was on the mask and the hat used during the robbery.

United States Attorney Rod J. Rosenstein praised the FBI and Frederick Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Rachel M. Yasser, who prosecuted the case.

Criminal Will Only Stop Committing Crimes When He is in Prison

Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Lenny Cain, age 36, of Baltimore, Maryland, late yesterday to 160 months in prison followed by three years of supervised release for conspiracy to distribute and possess with intent to distribute oxycodone, and for possession with intent to distribute oxycodone. Cain previously has been convicted of handgun crimes, cocaine distribution, assault, conspiracy and identity fraud. He was released from federal prison in February 2010 and returned almost immediately to a life of crime, although he was supervised by a federal probation officer under the authority of a federal judge. Cain is expected to have a hearing on the violation of his supervised release before U.S. District Judge Richard D. Bennett, but no date has been set for the hearing.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Nicholas DiGiulio, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; Anne Arundel County Police Chief Kevin Davis; and Howard County Police Chief William McMahon.

“Lenny Cain is the sort of criminal who has demonstrated that he will only stop committing crimes while he is in prison, so we need to keep him there,” said U.S. Attorney Rod J. Rosenstein.

“The sentence that Mr. Cain received today should send a strong message to other individuals engaged in the illicit distribution of prescription drugs,” stated Gary Tuggle, Assistant Special Agent in Charge of the Drug Enforcement Administration, Baltimore District Office. “Individuals like Cain, who engage in the distribution of illicit prescription drugs, are drug dealers; just like the drug dealers you see on the street. This type of illegal conduct will not be tolerated and will be investigated vigorously by our DEA Tactical Diversion Squad, ” stated Tuggle.

According to the testimony at his two week trial, beginning in 2010, Cain and the other leaders of the conspiracy, including Joseph Church, recruited women working in doctors’ offices to assist them in obtaining and verifying fraudulent prescriptions for oxycodone, also known as Oxycontin and Percocet. The leaders also recruited individuals, called “runners,” to fill the fraudulent prescriptions at pharmacies in the Baltimore area. Evidence presented at trial showed that Cain’s fingerprints were on at least 14 fraudulent prescriptions. Cain was also captured on surveillance video at two pharmacies – one where he attempted to get a fraudulent prescription filled in the name of another individual; and another where he followed one of the “runners,” who was attempting to fill a fraudulent prescription, into the pharmacy.

Joseph Church, age 41, of Baltimore, previously pleaded guilty to his role in the conspiracy and was sentenced to 51 months in prison. Co-conspirators Bruce Breland, age 56, and Charles Fell, age 27, both of Baltimore, were sentenced to 27 months and to two years in prison, respectively. Four other defendants have pleaded guilty and were sentenced to between seven and 60 months in prison.

United States Attorney Rod J. Rosenstein praised the DEA, HHS Office of Inspector General and the Anne Arundel and Howard County Police Departments for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Kenneth S. Clark, Clinton J. Fuchs and Mushtaq Gunja, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Harold Michael Nicol, age 53, of Cumberland, Maryland, today to 10 years in prison, followed by lifetime supervised release, for possessing child pornography. Judge Garbis ordered that upon his release from prison, Nicol must register as a sex offender in the place where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). In 1997, Nicol was convicted of a sex offense in the Allegany County Circuit Court.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel Marcus L. Brown, Superintendent of the Maryland State Police; Cumberland Police Chief Charles H. Hinnant; and Allegany County State’s Attorney Michael O. Twigg.

According to the plea agreement, in November 2011, during an undercover internet investigation into a file sharing program, an undercover officer downloaded four files containing images of prepubescent minor engaging in sexually explicit conduct with adults. Additional investigation determined that the files were being made available for download by Nicol from his home computer. A search warrant was subsequently executed at Nicol’s residence in Cumberland. Computers and computer storage media were seized, along with a .270 caliber rifle and a .50 caliber muzzle loader rifle. Because of his previous felony conviction, Nicol is prohibited from possessing firearms. Nicol’s computers and storage media were forensically examined and revealed that Nicol possessed over 400 images of child pornography.

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.

This investigation was part of Operation Predator, a nationwide HSI initiative to protect children from sexual predators, including those who travel overseas for sex with minors, Internet child pornographers, criminal alien sex offenders and child sex traffickers. HSI encourages the public to report suspected child predators and any suspicious activity through its toll-free hotline at 1-866-DHS-2ICE 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 Maryland State Police, Cumberland Police Department and the Allegany County State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Judson T. Mihok, who prosecuted the case.

Greenbelt, Maryland – Nelly Dadson, age 23, of Baltimore, pleaded guilty yesterday to conspiring to commit bank fraud, bank fraud and aggravated identity theft in connection with two bank fraud schemes.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Postal Inspector in Charge Gary R. Barksdale of the U.S. Postal Inspection Service - Washington Division; John Phillips, Acting Assistant Inspector General for Investigations, U.S. Department of the Treasury Office of Inspector General; and Special Agent in Charge Kathy A. Michalko of the United States Secret Service – Washington Field Office.

“Protecting postal customers from mail theft and identity theft is a priority for the Postal Inspection Service,” said Gary R. Barksdale of the U.S. Postal Inspection Service - Washington Division. “This case demonstrates Postal Inspectors' commitment to that mission.”

According to her plea, from June 14, 2010 to March 11, 2013, Dadson and others opened bank accounts in their own names and in the names of shell corporations that they controlled. Dadson and others used counterfeit checks that resembled convenience checks that had been stolen from mailboxes in Montgomery and Prince George’s Counties. The counterfeit checks contained names, addresses and account information that appeared on the convenience checks. Dadson deposited these counterfeit checks into accounts controlled by the conspirators and then withdrew funds from the accounts. Her co-conspirators paid Dadson between $1,000 and $5,000 per check to deposit these checks and withdraw funds.

In addition, between June 14, 2010 and November 13, 2012, Dadson conspired to defraud The Home Depot, Inc. On multiple occasions, a conspirator placed an order by phone with a Home Depot store for flooring in amounts ranging from $2,500 to $8,000, using a stolen credit card number. Within a few days, a conspirator called to cancel the order and supplied the debit card number of a conspirator, including Dadson, requesting that the refund for the order be placed on the conspirator’s debit card. Dadson received 38 credits to her bank accounts totaling approximately $141,159.07, which she then withdrew and provided to a conspirator. Dadson was paid $600-$800 per transaction.

On April 29, 2013, law enforcement executed a search warrant at Dadson’s home and upon entry, saw Dadson attempting to flush several stolen credit cards down a toilet. Dadson admits that she used a victim’s name to make fraudulent transactions on approximately 10 credit cards and numerous gift cards in the victim’s name, purchasing electronics and other expensive items.

The total loss caused by Dadson’s conduct is between $200,000 and $400,000, involving between 10 and 50 victims.

Dadson faces a maximum sentence of 30 years in prison and a $1 million fine for the conspiracy and bank fraud, and a mandatory minimum of two years in prison for aggravated identity theft to be imposed consecutive to any other sentence. Dadson has agreed to pay forfeiture and restitution of at least $251,745.52. U.S. District Judge Paul W. Grimm scheduled her sentencing for December 16, 2013, at 1:00 p.m.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Postal Inspection Service, U.S. Department of Treasury – Office of Inspector General and U.S. Secret Service for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorneys Bryan Foreman and Christen A. Sproule, who are prosecuting the case.

Greenbelt, Maryland - U.S. District Judge Alexander Williams, Jr. sentenced Jerry Lamont Bush, age 35, of Fort Washington, Maryland, today to 12 years in prison, followed by five years of supervised release, for conspiracy to distribute heroin and possession of a firearm by a convicted felon.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Steven L. Gerido of the Bureau of Alcohol, Tobacco, Firearms and Explosives - Baltimore Field Division; and Chief Mark A. Magaw of the Prince George’s County Police Department.

Bush admitted that from August 2008 through January 2009, he sold approximately 180 grams of heroin to individuals in Maryland. He was detained by law enforcement on January 30, 2009, after he was seen selling heroin. On four occasions between July 30 and September 11, 2009, Bush sold a total of 14 grams of heroin to a law enforcement confidential source.

On September 19, 2009, law enforcement patrolling in the vicinity of a nightclub in Temple Hills, Maryland, observed the butt-end of a gun protruding from underneath the driver’s seat of a vehicle that Bush had been seen operating. Members of law enforcement saw Bush approach the vehicle and use a remote key to unlock the car. Bush got into the front passenger seat and another individual got into the driver’s seat. Law enforcement detained Bush and the other individual and searched the car. A loaded .357 caliber revolver was recovered from under the driver’s seat and a .9mm pistol was found in the glove compartment. On October 14, 2009, Bush was arrested by law enforcement as he left his apartment. During a search of Bush following his arrest law enforcement recovered two baggies containing 5.6 grams of heroin from his mouth. A search of Bush’s apartment recovered approximately 55.6 grams of heroin, among other items.

Bush had two previous felony drug convictions and was prohibited from possessing a gun.

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 Arun Rao, Mara Zusman Greenberg and Deborah A. Johnston, who prosecuted this Organized Crime Drug Enforcement Task Force case.

Baltimore, Maryland – Ahmad Qaabid Abdul Rahim, age 37, of College Park, Maryland pleaded guilty today to transportation of stolen property in connecting with a scheme to steal waste vegetable oil.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Chief James W. Johnson of the Baltimore County Police Department.

According to the plea agreement, waste collection businesses contract with local restaurants to collect waste vegetable oil (WVO), which is used to make bio-diesel fuel or processed as an additive for animal feed. Waste collection businesses places recycling containers behind the restaurants with which they have contracts. When the containers are full, the businesses collect the WVO using a vacuum truck.

Rahim admits that from May through October 2010, he and a friend stole WVO from restaurants in Maryland and Virginia and sold it to out-of-state oil companies. Rahim used a flatbed tow truck that he owned, along with a tank and mechanical pump to collect the WVO, which he stored at a warehouse in Baltimore County. At the end of October, Rahim developed a legitimate WVO collection company, which he called “Waste Not, Incorporated.” Rahim purchased a vacuum truck, hired salesmen to assist him, and eventually obtained 650 contracts to collect WVO from restaurants and other eateries. From June through October, 2011, Rahim personally drove the vacuum truck to each location and collected the WVO.

According to his plea agreement, in October 2011, Rahim and a driver that he hired began to use the vacuum truck to steal WVO from restaurants for which Waste Not did not have a collection contract, in addition to collecting the WVO from its legitimate customers. To disguise the thefts, Rahim altered Waste Not’s master contract list and the driver’s manifest to include the restaurant locations from which he was stealing WVO. Rahim took both his legitimate WVO and the stolen WVO to a collection facility located at 1701 Leland Avenue in Middle River, run by Rahim’s friend. Rahim’s friend then sold the WVO to fuel companies in Pennsylvania and elsewhere.

From January 18, 2012 through September 20, 2012, Waste Not received approximately $98,887, for the sale of 94,178 gallons of stolen WVO.
Rahim faces a maximum sentence of 10 years in for transportation of stolen goods. U.S. District Judge J. Frederick Motz has scheduled sentencing for December 3, 2013 at 2:00 p.m.

United States Attorney Rod J. Rosenstein praised the Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Gregory R. Bockin, who is prosecuting the case.

Baltimore, Maryland – U.S. District Judge Marvin J. Garbis sentenced Ida Mae Weathers, a/k/a Ida Mae Snipes, age 49, of Baltimore, today to 259 months in prison, followed by five years of supervised release, for conspiracy, bank fraud and aggravated identity theft in connection with a scheme to steal wallets from women’s purses, remove the cash, credit cards and driver’s licenses and use the credit cards to make purchases at nearby stores. Judge Garbis ordered that Weathers pay restitution of $151,180.50.

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; Colonel Michael Kundrat, Chief of the Maryland Transportation Authority Police; Chief James W. Johnson of the Baltimore County Police Department; and Commissioner Anthony W. Batts of the Baltimore Police Department.

Beginning in May 2007, Weathers led a scheme to defraud financial institutions by stealing credit cards from the wallets and purses of unsuspecting individuals, then using the stolen credit cards to make purchases. Weathers, an experienced pickpocket, would linger in women’s restrooms and steal the wallets from purses hung on the hooks in the stalls. Often, one of the other co-conspirators would create a distraction in an adjacent stall, such as asking for toilet paper, so that the victim would be looking away from her purse. Other conspirators sometimes served as a “lookout” for Weathers. Often Weathers was able to remove cash and credit cards and return the wallet to the victim’s purse without the victim seeing or suspecting the theft.

Weathers used some of the stolen credit cards herself and provided stolen credit cards to other co-conspirators, including Crystal Barner, Maureen Brown Little, Nicole Roles, Sharon Curtis and Nefeteria Jamison. The conspirators took the cards to nearby retail stores and used each card until it began to be declined. The conspirators purchased items for their personal use, as well as gift cards or high end merchandise that Weathers would direct them to buy and would then resell.

During the course of the conspiracy, Weathers and her co-conspirators obtained goods, services and extensions of credit with attempted losses of between $200,000 and $400,000 and actual losses of $151,180.50. More than 50 financial institutions and individuals were victimized by the scheme.
Nicole Roles, age 43, Sharon Curtis, age 32 , Crystal Barner, age 28, Maureen Brown Little, age 39, and Nefeteria Jamison, age 32, all of Baltimore, pleaded guilty to their roles in the scheme and are scheduled to be sentenced on September 27, 2013, October 2, 2013, October 8, 2013, October 9, 2013, and November 25, 2013, respectively.

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. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

United States Attorney Rod J. Rosenstein thanked the U.S. Secret Service, Maryland Transportation Authority Police, Baltimore County Police Department, Baltimore City Police Department, as well as the Maryland State Police, Atlantic City, New Jersey Police Department and the University of Maryland Police for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorney Tamera L. Fine, who is prosecuting the case.

Victims Were Sexually and Physically Assaulted, and Forced to Work as Prostitutes, in Maryland, New York and Elsewhere

Baltimore, Maryland - U.S. District Judge J. Frederick Motz sentenced Jeremy Naughton, a/k/a “Jerms Black,” age 32, of Brooklyn, New York, to 36 years in prison, followed by five years of supervised release, for conspiring to commit sex trafficking, four counts of sex trafficking, six counts of transporting an individual to engage in prostitution and using a gun during the conspiracy to commit sex trafficking.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Chief J. Thomas Manger of the Montgomery County Police Department.

“Jeremy Naughton held young women against their will, and used violence, sexual abuse and threats to compel them to work for him as prostitutes,” said U.S. Attorney Rod J. Rosenstein.

According to evidence presented at the 14 day trial, from January 2009 to the fall of 2010, Naughton and his long-time friend, Charles Anderson, a/k/a “Chuck Corners,” targeted female prostitutes between the ages of 19 and 28 who were working sometimes without a pimp, to force and coerce the women to work for them. They contacted women who posted ads on websites for prostitution services and arranged to meet them in hotel rooms, masquerading as either a prospective client or a generous pimp. Naughton and Anderson then assaulted and threatened the victims with a handgun and/or physical violence to force them to work for them. They stole the women’s cell phones, identification, room keys and personal computers to prevent them from communicating with others, and controlled the victims through physical assault, humiliation, confinement and threats. Naughton transported the women between Maryland, New York and other states to engage in prostitution.

For example, in the summer of 2009, Naughton enticed a woman to come to an apartment in Brooklyn, where he imprisoned her and invited others to sexually abuse her. In September of 2009, Naughton forced open the door of a woman’s hotel room, stole her cell phone and identification, and detained her while demanding that she work for him as a prostitute. In October 2009 in his apartment, Naughton displayed a handgun, struck a woman, choked her and forced her to perform sex. Between October 25 and November 11, 2009, Naughton drove two women from his apartment to Oxon Hill where he demanded that they rent hotel rooms for commercial sex. In December of 2009, Naughton violently assaulted a woman in a hotel in Montgomery County, Maryland. On February 8, 2010, Naughton forced a woman from her hotel room in Silver Spring, Maryland, forced her to stay with him at the Brooklyn apartment and sexually abused her before attempting to prostitute her from a hotel in Long Island, New York. In June 2010, Naughton intimidated another woman by snapping the neck of her dog with his hands. In September of 2010, Naughton entered another victim’s hotel room, demanded that she work for him, stole her cell phone and money, and transported her to his apartment, where he forced her to perform oral sex.

Naughton shared his apartment in Brooklyn with Anderson. According to Anderson’s plea agreement, the victims stayed in the Naughton’s room, where Anderson sometimes overheard Naughton physically assaulting them and forcing them to perform sex acts. In the spring of 2010, Anderson agreed to monitor the victims while Naughton traveled for approximately six hours in search of an additional prostitute in Maryland. Anderson helped Naughton locate victims who had escaped. He also knew that Naughton had a .9mm pistol and a larger sub-machine gun in the apartment, along with corresponding ammunition.

Charles Anderson, a/k/a “Chuck Corners,” a/k/a “Yowzer,” age 26, of Brooklyn, New York, previously pleaded guilty to conspiracy to commit sex trafficking and is scheduled to be sentenced on October 15, 2013 at 9:00 a.m.

The case was investigated by the Maryland Child Exploitation Task Force, with assistance from the Maryland Human Trafficking Task Force, which was formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members of both task forces include federal, state and local law enforcement. The Maryland Human Trafficking Task Force also includes victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit www.justice.gov/usao/md/Human-Trafficking/index.html.

United States Attorney Rod J. Rosenstein commended the FBI’s Baltimore, New York, and Las Vegas, Nevada offices and the Montgomery County Police Department for their work in the investigation and thanked the Montgomery County State’s Attorney’s Office, the Kings County (Brooklyn, NY) District Attorney’s Office, the Department of Homeland Security and the New York City Police Department for their assistance. Mr. Rosenstein thanked Assistant U.S. Attorneys Mark W. Crooks and Paul E. Budlow, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Amjad Israr, age 46, a Pakistani citizen living in Cheshire, Connecticut, today to 15 months in prison, followed by three years of supervised release, after Israr pleaded guilty to conspiring to bribe an immigration official in order to obtain lawful permanent residence (green card) and employment authorization documents.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); District Director Gregory Collett of the U.S. Citizenship and Immigration Services (USCIS) Baltimore District Office; and Chief James W. Johnson of the Baltimore County Police Department.

According to his plea agreement, Israr operated multiple convenience stores in Connecticut, called Krauszer’s. Israr entered the United States in 1994 using another person’s Pakistani passport that he had purchased in Pakistan and has no legal immigration status in the United States.

Beginning in December 2011, Israr began working with a Maryland attorney who told Israr that he knew an immigration official who was willing, in return for payments of money, to provide immigration documents, which would permit Israr to legally live and work in the United States. Unbeknownst to the attorney and Israr, the attorney’s immigration contact was actually an undercover agent posing as a public official.

Israr agreed to pay the attorney approximately $30,000 for the immigration documents, knowing that a substantial portion of the payment would be provided to the purported USCIS official in exchange for the immigration documents. Israr and the attorney met with the undercover agent on August 25, 2011. During the meeting, Israr’s fingerprints and photos were taken by the undercover agent in order to prepare the immigration documents for Israr. On one of the immigration forms later submitted to the undercover agent by the attorney, Israr falsely represented that he was married to a U.S. citizen, and the wife’s name and personal identification information provided on the form were all fake. In January 2012, Israr received a green card issued by the undercover agent, which he used to enter the United States on February 4, April 12 and July 17, 2012.

United States Attorney Rod J. Rosenstein praised HSI Baltimore, USCIS Baltimore District Office and the Baltimore County Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Harry M. Gruber and Gregory R. Bockin, who are prosecuting the case.

Baltimore, Maryland - Jamar Marvin Simmons, a/k/a “Mar,” age 30, of Baltimore, pleaded guilty today to sex trafficking of a minor, in connection with a prostitution business he ran with co-defendant Franklin Roosevelt Coit, a/k/a “Frank,” and “Nitty,” age 34, also of Baltimore. Coit pleaded guilty to the same charge, on August 1, 2013. Simmons was a Baltimore City firefighter at the time of the offense.

The guilty pleas were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Commissioner Anthony W. Batts of the Baltimore Police Department; and Baltimore City State’s Attorney Gregg L. Bernstein.

According to their plea agreements, Simmons and Coit established and operated a brothel in Baltimore City, first at 2218 Madison Avenue and subsequently at a warehouse located at 208 Madison Avenue. Simmons and Coit also rented hotel rooms and another dwelling in Maryland that were also used for prostitution. Simmons and Coit falsely advertised positions online for exotic dancing and an escort service to recruit females, including at least one minor female, from inside and outside the state of Maryland and arranged to transport the women from various locations outside Maryland, including Delaware, Florida, New York, Pennsylvania, Texas, South Dakota, and Virginia to Maryland to engage in prostitution. Many of the women recruited by Simmons and Coit were in financial distress, had no place to live, or were otherwise unusually vulnerable.

Simmons and Coit took sexually explicit photographs of the females they recruited, used a computer to post the photographs on the “escort” section of an online advertising website, and listed telephone numbers on the website where the females could be reached to schedule a “date,” or a commercial sex act. Simmons set the pricing for the commercial sex acts and instructed the females on how to set “dates” over the telephone, and how to avoid detection by law enforcement. Simmons and Coit collected and shared the cash proceeds of the prostitution business and used a firearm and ammunition to protect the prostitution business and its cash proceeds.

Simmons and Coit face a mandatory minimum sentence of 10 years in prison and a maximum of life in prison for sex trafficking of a minor. U.S. District Judge George L. Russell III has scheduled sentencing for Simmons on December 13, 2013 at 2:00 p.m. and for Coit on November 1, 2013 at 10:00 a.m.

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 www.justice.gov/usao/md/Human-Trafficking/index.html.

United States Attorney Rod J. Rosenstein commended the FBI, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Rachel M. Yasser, who is prosecuting the case.

Baltimore, Maryland – A federal grand jury has returned an indictment today charging Vaqar Ahmad Choudry, age 42, of Germantown, Maryland, with distribution of oxycodone and enticement of a minor to engage in sexual activity.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District; and Washington County Sheriff Douglas Mullendore.

According to the indictment and a related criminal complaint, Choudry is a dentist who owns Hagerstown Dental Center, located at 301 East Antietam Street in Hagerstown. The criminal complaint alleges that Choudy provided a cooperating source with an illicit prescription for oxycodone, in exchange for the source’s assistance in arranging a meeting with a fictional minor child at a hotel in Hagerstown.

According to the criminal complaint, in May 2013, the Washington County Narcotics Task Force (WCNTF) received complaints alleging that Choudry was writing prescriptions for pain medication without medical justification. WCNTF officers initiated an investigation and in early September 2013, law enforcement learned that Choudry told a confidential source that he would like to have sex with a prepubescent girl. Choudry asked the source to find him a girl with whom he could have sex. On September 6, 2012, Choudry provided the confidential source with a prescription for 15 percocet pills, in exchange for the source arranging a meeting with a minor female. At the direction of WCNTF agents, the confidential source arranged a meeting with Choudry and a fictional girl at a Hagerstown motel on September 12, 2013. Choudry was arrested when he arrived for the meeting.

Choudry faces a maximum sentence of 20 years in prison for the drug charge, and a mandatory minimum of 10 years and a maximum of life in prison for enticement of a minor. A detention hearing was held earlier today in U.S. District Court in Baltimore before U.S. Magistrate Judge Timothy Sullivan, who ordered the Choudry remain detained. No other court appearance has been scheduled.

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

United States Attorney Rod J. Rosenstein praised DEA, Washington County Sheriff’s Office and Washington County Narcotics Task Force for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Peter J. Martinez, who is prosecuting the case.

Continued to Practice After Her License Was Suspended in 2005

Greenbelt, Maryland – U.S. District Judge Roger W. Titus sentenced Rosemary McDowall, age 59, of Silver Spring, Maryland, today to six months of home detention as part of 18 months probation, for health care fraud. Judge Titus also ordered McDowall to pay restitution of $151,404.73.

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

According to her plea agreement, in 1996, McDowall, a licensed social worker, signed a contract to become a participating provider with Blue Cross Blues Shield of Maryland (BCBS). As a participating provider, McDowall was entitled to accept payment directly from BCBS for services rendered. Under the terms of her contract, McDowall was obligated to notify BCBS if she lost her license to practice as a social worker.

In 2005, McDowall’s license to practice as a social worker was suspended by the Maryland State Board of Social Work Examiners. McDowall failed to report to BCBS that her license to practice was suspended, as was required under her contract, and she continued to see patients and caused claims to be submitted to BCBS. In 2008, still unaware that McDowall’s license had been suspended, BCBS terminated McDowall as a participating provider, but permitted her to continue to be a non-participating provider with BCBS. BCBS participating providers send claims to, and are paid directly by, BCBS. Patients of BCBS non-participating providers must pay the provider directly and the patients are reimbursed by BCBS the allowed amount of their claim. Despite the fact that her license to practice social work had been suspended, McDowall continued to submit claim forms to BCBS for the patients she treated. BCBS reimbursed McDowall’s patients the allowed amount, and McDowall collected her allowed fees from the patient.

In 2010, BCBS learned that McDowall had not been licensed to practice social work since 2005 and stopped paying all claims submitted by McDowall or BCBS members who had seen McDowall for treatment. McDowall admitted that fraudulent claims submitted during the scheme total between $120,000 and $200,000.

United States Attorney Rod J. Rosenstein praised the FBI for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Mara Zusman Greenberg and Kristi N. O’Malley, who prosecuted the case.

Baltimore, Maryland - Michael D. Hayden, Jr., age 41, of Tilghman Island, Maryland, was arrested yesterday on charges of witness tampering and retaliation in connection with an investigation of felony Lacey Act violations related to the illegal harvesting of striped bass from the Chesapeake Bay.

The charges were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Robert G. Dreher, Acting Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division; Regional Special Agent in Charge Honora Gordon of the U.S. Fish and Wildlife Service, Office of Law Enforcement; and Joseph P. Gill, Secretary of the Maryland Department of Natural Resources.

“Stealing striped bass and intimidating witnesses are crimes against our natural resources and against the citizens of Maryland,” said Department of Natural Resources Secretary Joseph P. Gill. “We are grateful for the partnership of law enforcement agencies and we thank our residents for coming forward and providing information to help us protect the public trust.”

According to the affidavit filed in support of the criminal complaint, Hayden is a commercial fisherman, licensed in the state of Maryland and operates commercial fishing vessels on the Chesapeake Bay. During an investigation of the illegal harvesting of striped bass from the Chesapeake Bay, agents of the U.S. Fish and Wildlife Service, Office of Law Enforcement, and the Maryland Natural Resources Police learned that Hayden allegedly attempted to manipulate some witnesses’ testimony while trying to prevent the testimony of others. The criminal complaint alleges that in at least one incident, Hayden threatened to retaliate against a potential witness he believed to be cooperating with investigators.

If convicted, Hayden faces a maximum sentence of 20 years in prison on each of four counts of witness tampering and witness retaliation. Hayden is scheduled to have an initial appearance in U.S. District Court in Baltimore today at 3:00 p.m.

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.

Mr. Rosenstein and Mr. Dreher thanked the Maryland Department of Natural Resources Police and the United States Fish and Wildlife Service for their work in the investigation and the United States Marshals Service for executing the arrest warrant. The case is being jointly prosecuted by the U.S. Attorney’s Office for the District of Maryland and the Environmental Crimes Section of the United States Department of Justice.

“Cautionary Tale for Government Employees Who Work at Home”

Greenbelt, Maryland – Jack Raymond Kimble, Jr., age 40, of Sykesville, Maryland pleaded guilty today to using false documents in a matter of the U.S. government.

The guilty plea was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Michael T. Monroe of the Naval Criminal Investigative Service (NCIS), Washington Field Office.

“Supervisors who are obligated to certify electronic timesheets of subordinates who work outside the office often trust the employees to record the time spent doing their jobs,” said U.S. Attorney Rod J. Rosenstein. “This case is a cautionary tale for government employees who work at home and are trusted to self-report their working hours.”

According to his plea agreement, from 2009 to February 2012, Kimble worked as a civilian employee for the U.S. Navy in the Continuity of Operations Program (COOP) at the Office of Naval Intelligence (ONI) in Suitland, Maryland. Kimble oversaw and directed the ONI COOP and Disaster Recovery Plans. He assisted the ONI director and deputy with planning and implementing new technologies that affected ONI commands.

Kimble regularly did not come in to his office in Suitland on Mondays and Fridays. His supervisors often did not know where Kimble was. They directed Kimble to use the Navy’s web-based time and attendance system to calculate leave balances accurately. Kimble often called or emailed coworkers and told them he would not be at work, but failed to enter that information into the time and attendance system.

In the spring of 2011, the NCIS began investigating Kimble’s work hours and requested documentation of his working hours. In April 2011, Kimble gave false documents to investigators which claimed that: he personally conducted two tests of communication systems when in fact the tests were done by another individual; and falsified the minutes of three meetings reflecting his attendance when in fact he was not present at the meetings.

Matching up the times that Kimble’s whereabouts were unknown, plus reimbursements for government travel when Kimble did not show up when he was supposed to be working off-site, from the beginning of 2009 to February 2012, Kimble was paid $52,822.09 to which he was not entitled.

Kimble faces a maximum sentence of five years in prison and a fine of $250,000. Kimble has agreed to pay restitution of $52,822.09. Chief U.S. District Judge Deborah K. Chasanow scheduled sentencing for January 6, 2014 at 3:00 p.m.

United States Attorney Rod J. Rosenstein praised the NCIS for its work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorney Hollis Raphael Weisman and Special Assistant U.S. Attorney Molly Thebes, who are prosecuting the case.

Greenbelt, Maryland - A federal grand jury has indicted Issa Wasco Koroma, age 61, of Springdale, Maryland; Rodger George Gurdon, age 42, of Waldorf, Maryland; and Daniel Mark Wilkerson, age 39, of Waldorf, Maryland on charges arising from a conspiracy to steal prescription drugs from two federal military hospitals. The indictment was returned yesterday.
The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Robert Craig of the Defense Criminal Investigative Service - Mid Atlantic Field Office; and Special Agent in Charge Antoinette V. Henry of the U.S. Food & Drug Administration, Office of Criminal Investigations.

“Protecting the legitimate pharmaceutical supply chain is an FDA priority,” said SAIC Antoinette V. Henry. “The integrity of the drug supply is safeguarded by protections imposed at every level of a drug's distribution. Once drugs are removed from this closed system, there can be no guarantee that the product is safe, effective or even that it is what it purports to be. This could threaten the health of future patients who rely on these drugs.”

The five count indictment alleges that Koroma and Gurdon were pharmacy technicians at Walter Reed National Military Medical Center and Fort Belvoir Community Hospital, respectively, where they had access to medications stored at the hospitals’ pharmacies. From January to June 2013, Koroma stole Norditropin and Botox from Walter Reed, which he sold to Gurdon. Gurdon also stole Norditropin from Fort Belvoir. Gurdon sold these stolen prescription drugs to Wilkerson.

The indictment seeks forfeiture of at least $1.3 million, the value of drugs stolen from the pharmacies.

The defendants face a maximum sentence of five years in prison for the conspiracy. Koroma also faces a maximum sentence of 10 years in prison on each of four counts of theft of medical products. Wilkerson and Koroma are scheduled for their initial appearance in federal court in Greenbelt on September 20, 2013 at 3:30 p.m. Gurdon’s initial appearance has not been scheduled.

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

United States Attorney Rod J. Rosenstein praised the DCIS and FDA-OCI for their work in the investigation. Mr. Rosenstein thanked Special Assistant United States Attorney Paul Nitze and Assistant United States Attorney Mara Zusman Greenberg, who are prosecuting the case.

Defendants Received $7 Million from USDA for Food Stamps Allegedly Traded for Cash

Baltimore, Maryland - A federal grand jury has indicted nine retail store owners or operators on federal charges of food stamp fraud and wire fraud in connection with schemes to illegally redeem food stamp benefits in exchange for cash. The indictments allege the retailers received almost $7 million in federal payments for transactions in which they did not provide any food, a fraud scheme commonly known as “food stamp trafficking.” Stores allegedly split the proceeds with food stamp recipients. The indictments were returned last week and unsealed today. Federal agents arrested the defendants and executed search warrants at the stores and related locations this morning.

The indictments were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge William G. Squires, Jr. of the U.S. Department of Agriculture Office of Inspector General, Northeast Region; and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.

“Taxpayers fund the food stamp program to put food on the tables of needy recipients, not to put money in the pockets of greedy criminals,” said U.S. Attorney Rod J. Rosenstein. “Food producers and distributors benefit when food stamp funds are used to buy food, and honest storeowners work hard to earn a profit by actually selling food. People who play by the rules deserve to know that criminals who defraud them will be held accountable.”

The Supplemental Nutrition Assistance Program (SNAP), previously known as the Food Stamp Program, is administered by the Food and Nutrition Service (FNS) of the United States Department of Agriculture (USDA), together with state agencies. The program funds low-income individuals to allow them to obtain a more nutritious diet. In Maryland, the program provides eligible individuals with an electronic benefit transfer (EBT) card called the Independence Card, which operates like a debit card. Recipients obtain EBT cards through the state Department of Human Resources, then use the EBT card to purchase approved food items from participating retailers.

Retailers must apply to and be approved by FNS to participate in the program. Authorized retailers use a point-of-sale terminal that checks the EBT card information and deducts the cash value of the purchase from the customer’s SNAP benefit balance. SNAP reimbursements are paid to retailers through electronic funds transfers. Retailers must bill the government only in return for providing approved food items.

The indictments allege that the defendants exchanged EBT benefits for cash, in violation of the food stamp program rules. The indictments allege that the defendants typically paid half the value of the EBT benefits in cash. To avoid detection, the defendants often debited the funds from the card in multiple transactions over a period of hours or days. As a result of unlawful cash transactions, the defendants obtained more than $6,898,000 in EBT deposits for transactions in which the stores did not provide food.

According to the indictments, the defendants listed below owned and/or operated stores in Baltimore that were authorized to accept SNAP. The defendants received instruction regarding the requirements and regulations of the food stamp program, including that only eligible food items could be exchanged for EBT benefits and that a retailer may never exchange EBT benefits for cash or non-food items.

Abdullah Aljaradi, age 51, of Baltimore; Second Obama Express and D&M Deli and Grocery, 901 Harlem Avenue, Suite A and B, respectively. From October 2010 through July 2013, Aljaradi allegedly obtained more than $2 million in payments for food sales that never occurred.

Dae Cho, age 66; and
Hyung Cho, age 40, both of Catonsville; K&S Food Market, 3910 W. Belvedere Avenue. From November 2010 through July 2013, Dae Cho and her son, Hyung Cho, allegedly obtained more than $1.4 million in in payments for food sales that never occurred.

Abdo Mohamed Nagi, age 54, of Baltimore; New York Deli and Grocery 1207 West Baltimore Street. From February 2011 through May 2013, Nagi allegedly obtained more than $1.2 million in payments for food sales that never occurred.

Kim Man Chu, age 38, of Rosedale, Maryland; Long Hing Grocery Store, 1131 Greenmount Avenue. From October 2010 through July 2013, Chu allegedly obtained more than $750,000 in payments for food sales that never occurred.

Amara Cisse, age 50, and
Fanta Keita, age 45, both of Windsor Mill, Maryland; Simbo Food Mart, 2103 West Pratt Street. From November 2010 through May 2013, Cisse, and his wife Keita, allegedly obtained more than $600,000 in payments for food sales that never occurred.

Jung Kim, age 51, of Ellicott City, Maryland; C&C Market, 4752 Park Heights Avenue. From November 2010 through April 2013, Kim allegedly obtained more than $600,000 in payments for food sales that never occurred.

John Cunningham, age 54, of Baltimore; Cunningham’s Amoco, 4419 Park Heights Avenue. From December 2012 through July 2013, Cunningham allegedly obtained more than $348,000 in payments for food sales that never occurred.

The defendants all face a maximum sentence of 20 years in prison for each count of wire fraud. Jung Kim, Dae Cho and Hyung Cho also face a maximum of 20 years in prison for food stamp fraud. Aljaradi, Nagi, Chu, Cisse, Keita and Cunningham face a maximum of five years in prison for food stamp fraud. The defendants are expected to have initial appearances later 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.

United States Attorney Rod J. Rosenstein praised the USDA Office of Inspector General and FBI for their work in the investigation. U.S. Attorney Rosenstein expressed appreciation to Secretary Ted Dallas and the Maryland Department of Human Resources, as well as U.S. Citizenship and Immigration Services - Office of Fraud Detection and National Security for their assistance in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys Kathleen O. Gavin, Peter M. Nothstein, Leo J. Wise and Judson T. Mihok, who are prosecuting these cases.

Greenbelt, Maryland – A federal grand jury indicted three defendants today in connection with a conspiracy to participate in murder in aid of a racketeering enterprise known as the La Mara Salvatrucha, or MS-13:

Jorge Enrique Moreno-Aguilar, aka “Flaco,” and “Castigato,”, age 20, of District Heights, Maryland, Juan Alberto Ortiz-Orellana, aka “Chele” and “Furia,” age 25, of District Heights, Maryland, and
Melvin Marquez-Sanchez, aka “Demente,” age 20, formerly of New York.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division; Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Mark A. Magaw of the Prince George’s County Police Department; Chief J. Thomas Manger of the Montgomery County Police Department; Prince George’s County State’s Attorney Angela D. Alsobrooks; and Montgomery County State’s Attorney John McCarthy.

“Today’s indictment is a significant disruption to the illegal operations of MS-13 in Maryland,” said HSI Special Agent in Charge William Winter. “The members of MS-13 spread violence and fear wherever they exist and prey on innocent people, displaying a shocking disregard for human life. HSI will continue to aggressively work with our local, state and federal law enforcement partners in the state of Maryland to target violent transnational gang members who threaten the safety of our communities.”

“Gang investigators from the Prince George’s County Police Department, Montgomery County Police Department, and the Homeland Security Investigations Gang Unit collaborated to develop the identification of these suspects, which led to their arrest and indictment,” stated Prince George’s County Police Chief Mark Magaw. “Today’s indictment is the result of the highly effective partnership that exists among the gang investigators who continue their relentless attack on gang activity in our region.”

MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Prince George’s County and Montgomery County, Maryland.

The four count indictment alleges that the defendants were members and associates of MS-13. Between January and March 2013 the defendants targeted an individual believed to be affiliated with the rival 18th Street gang. According to the indictment, the defendants obtained photos of the victim, and planned the murder of the victim. Moreno-Aguilar and Ortiz-Orellana possessed a gun to be used for the murder. On March 12, 2013, Moreno-Aguilar and Ortiz-Orellana went to Capital Heights, Maryland, found and shot the victim multiple times, killing him. They fled and disposed of the gun.

All three defendants face a maximum sentence of 10 years in prison for conspiring to commit murder in aid of racketeering. Moreno-Aguilar and Ortiz-Orellana also face a maximum sentence of life in prison for murder in aid of racketeering; murder resulting in the use of a gun; and using a firearm during a crime of violence.

Moreno-Aguilar and Ortiz-Orellana are currently in state custody on related state charges. Marquez-Sanchez is currently in custody of immigration authorities. The defendants are expected to have their initial appearances in federal court in Greenbelt on these federal charges within the next couple weeks.

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 HSI Baltimore, Prince George’s County and Montgomery County Police Departments and Prince George’s and Montgomery Counties State’s Attorney=s Offices for their work in the investigation and proceedings. Mr. Rosenstein thanked Assistant United States Attorney William D. Moomau and Kevin Rosenberg, a Trial Attorney with the Justice Department’s Organized Crime and Gang Section, who are prosecuting this Organized Crime and Drug Enforcement Task Force case.

Baltimore, Maryland - U.S. District Judge J. Frederick Motz sentenced Anthony K. Mastrogiovanni, 30, of Crofton, MD, today to 25 years in prison, followed by lifetime supervised release, for the sexual exploitation of minors to produce child pornography. Judge Motz also ordered that upon his release from prison, Mastrogiovanni 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; Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division; and Postal Inspector in Charge Gary R. Barksdale of the U.S. Postal Inspection Service - Washington Division.

According to filed court documents and proceedings, between 2006 and 2012, Mastrogiovanni was a U.S. Navy reservist who sexually exploited more than 30 male juveniles, ranging from 9 to 16 years of age, in Maryland and Louisiana in order to produce child pornography. During that time period, Mastrogiovanni met and befriended his victims through his involvement in civic organizations or his military affiliation. Mastrogiovanni captured sexually explicit video of the victims on cameras hidden in his residences in Louisiana and Maryland.

Mastrogiovanni has been in federal custody since he was arrested by Inspectors of the United States Postal Inspection Service in Las Vegas, Nevada, on July 19, 2012. A search of his Las Vegas hotel room recovered external hard drives containing over 30,000 images of child pornography, including video of his juvenile victims. That same day, federal agents searched Mastrogiovanni’s apartment in Crofton, MD, where they discovered a hidden video camera and video transmitting equipment as well as digital media containing additional child pornography.

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.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the "resources" tab on the left of the page.

United States Attorney Rod J. Rosenstein commended the U.S. Postal Inspection Service for its work in the investigation and thanked the Air Force Office of Special Investigations, Naval Criminal Investigative Service, and FBI's Maryland Child Exploitation Taskforce for their assistance. Mr. Rosenstein thanked Trial Attorney Keith A. Becker of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney P. Michael Cunningham, who are prosecuting the case.

Greenbelt, Maryland – A federal grand jury indicted William S. Gazafi, age 44, of Lusby, Maryland, yesterday on six counts of sexually exploiting a minor to produce child pornography.

The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; and Brigadier General Kevin J. Jacobsen, Commander Air Force Office of Special Investigations.

According to the indictment and criminal complaint, on August 15, 2013, Gazafi engaged in a chat on a website dedicated to incest discussions with an undercover officer. During the chat, Gazafi discussed his sexual interest in children and advised that he had been drugging and molesting several children, including an infant. During the chat, Gazafi allegedly sent seven images to the undercover officer, three of which were child pornography he claimed he created. The FBI identified Gazafi and he was arrested carrying multiple digital media items. A forensic examination of those items revealed videos and images that Gazafi produced of children engaged in sexually explicit conduct. These images and videos included one child as young as five months old. The images also depict children bound and handcuffed while sleeping. Gazafi is a non-commissioned officer in the U.S. Air Force working at Andrews Air Force Base.

Gazafi faces a minimum mandatory sentence of 15 years in prison and a maximum of 30 years in prison followed by up to lifetime of supervised release. Gafazi was arrested on the criminal complaint on September 3, 2013 and remains detained. Gazafi is expected to have his initial appearance on the indictment in federal court in Greenbelt early next week.

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

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

United States Attorney Rod J. Rosenstein commended the FBI, Air Force Office of Special Investigations, Calvert County Sheriff's Office and Calvert County State's Attorney's Office for their work in the investigation. Mr. Rosenstein thanked Special Assistant U.S. Attorney LisaMarie Freitas of the U.S. Justice Department, Criminal Division, Child Exploitation and Obscenity Section and Assistant U.S. Attorney Thomas Sullivan, who are prosecuting the case.

Greenbelt, Maryland – A federal grand jury has returned five indictments charging the owners of companies with bribing a General Services Administration (GSA) official to obtain contracts to provide painting and other maintenance services at federal facilities. All the indictments were filed under seal and the last one was unsealed yesterday upon the arrest of the defendant.

The individuals charged in the indictments are:

Carl Roberts, age 48, of Clinton, Maryland; Ronald Wilkinson, age 60, of Brandywine, Maryland; Robert W. Hales, a/k/a Bobby Hales, age 52, of Nanjemoy, Maryland; Darold Patterson, age 72, of Deerwood, Maryland; and
Daryl Kitchen, age 59, of Upper Marlboro, Maryland.

The Roberts indictment was returned on July 15, 2013; the Wilkinson and Hales indictments were returned on August 12, 2013; and the Patterson and Kitchen indictments were returned on August 26, 2013.

The indictments were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Inspector General Brian D. Miller, General Services Administration, Office of Inspector General; and Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation.

GSA Inspector General Brian D. Miller said, “We will continue to pursue contractors who line their own pockets by bribing corrupt officials at the expense of the American taxpayers.”

According to the indictments, Roberts owned four general construction and moving companies that he operated out of his residence in Clinton; Wilkinson owned a painting company located in Brandywine; Hales owned and operated two painting companies located in Nanjemoy; Patterson was a co-owner and operator of a general contracting company located in Rockville, Maryland; and Kitchen owned a general contracting company located in Upper Marlboro.

Each indictment alleges that the defendants paid bribes to a building manager who at the time was cooperating with the government, in exchange for the building manager awarding GSA service contracts to the defendants’ companies. GSA building managers were authorized to retain private contractors to complete maintenance projects on behalf of GSA and were further authorized to pay for maintenance projects that cost $3,000 or less using their government issued GSA credit cards. According to the indictments, each of the contracts awarded to the defendants either cost less than $3,000, or were charged by two separate invoices in order to keep the cost under $3,000.

Specifically, the indictments allege that: Roberts paid bribes totaling $1,300 in exchange for six contracts to Roberts’ companies, for which he was paid $8,724; Wilkinson paid bribes totaling $650 in exchange for two contracts, for which Wilkinson was paid $3,075; Hales paid bribes totaling $400 in exchange for two jobs, for which Hales was paid $3,300; that Patterson paid bribes totaling $1,800 in exchange for two contracts for which Patterson was paid $5,635; and that Kitchen paid bribes totaling $950 in exchange for four contracts for which Kitchen was paid $6,522.67.

The defendants face a maximum sentence of 15 years in prison for bribery. Roberts had an initial appearance yesterday. Hales, Wilkinson and Kitchen had initial appearances on September 5, 2013 and Patterson had an initial appearance on September 6, 2013. All of the defendants were released under the supervision of U.S. Pretrial Services.

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

A sixth contractor, Andre Michael Lipford, age 43, of Washington, D.C., previously pleaded guilty to paying $750 in bribes in exchange for two jobs for his company, for which Lipford was paid $6,200. Lipford was sentenced to five months in prison, followed by five months of home detention as part of one year supervised release.

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, demonstrate the Department of Justice’s commitment to helping ensure the integrity of the government procurement process.

United States Attorney Rod J. Rosenstein thanked GSA Office of Inspector General and FBI for their work in the investigation. Mr. Rosenstein praised Assistant U.S. Attorneys Kristi N. O’Malley and Kelly O’Connell Hayes, who are prosecuting the case.

Baltimore, Maryland – U.S. District Judge William D. Quarles, Jr. sentenced Kevin Garcia Fuertes, a/k/a Kerlin Esquivel-Feuntes, age 26, a citizen of Honduras and an illegal alien residing in Annapolis, Maryland, and Richmond, Virginia, late yesterday to 235 months in prison followed by five years of supervised release for conspiring to transport and entice females to travel interstate for prostitution and sex trafficking by force and fraud. Judge Quarles further imposed a special condition that upon the completion of his sentence, Fuertes must cooperate with immigration authorities regarding deportation proceedings.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Chief Michael Pristoop of the Annapolis Police Department; Easton Police Department Chief David A. Spencer; and Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).

“Today's sentencing represents another successful HSI investigation worked jointly with our local law enforcement partners that led to the breakup of a prostitution scheme uncovered in Maryland,” said HSI Baltimore Special Agent in Charge William Winter. “The defendants not only exploited women for personal profit, they also used violence, coercion and intimidation. HSI will continue to use its resources and work closely with other law enforcement agencies to stop these types of criminal enterprises that are operating in our communities.”

According to evidence presented during his two week trial, since at least March 2008 through November 2010, Fuertes and co-defendant German de Jesus Ventura, ran brothels in Annapolis and Easton, Maryland. Ventura, the ringleader, employed Fuertes to advertise and manage the brothels, and the two men shared the cash proceeds of the prostitution business. The defendants recruited and employed prostitutes, many of whom were aliens present in the U.S. unlawfully. Ventura arranged for vans and other vehicles to transport females within Maryland and across state lines to engage in prostitution. Ventura assaulted and threatened to use violence against one prostitute to coerce her continued participation in prostitution; threatened to use violence against competitor pimps; and sought to intimidate others who assisted his prostitutes. Fuertes knew of and financially benefitted from Ventura’s actions.

German de Jesus Ventura, age 35, a citizen of El Salvador and an illegal alien residing in Capitol Heights, Maryland, was also convicted at trial and faces a maximum sentence of five years in prison for the conspiracy count; a mandatory minimum of 15 years in prison to a maximum of life in prison for the sex trafficking count; a maximum of life in prison for possessing a gun in furtherance of sex trafficking; and 10 years in prison each for transporting individuals to engage in prostitution and for enticement. Ventura is scheduled to be sentenced on October 1, 2013 at 1:00 p.m.

Jose Antonio Reyes-Maradiaga, age 30, of Annapolis; and Isidro Jiminez-Sanchez and Wibert Alejandro Herrera-Aranda, both age 34 and from Easton, Maryland, previously pleaded guilty to their participation in the scheme. These defendants advertised Ventura’s brothels, made appointments for the prostitutes and collected money. Reyes also helped to transport the women to the brothel locations, and purchased supplies. Jiminez-Sanchez, a Mexican citizen who entered the United States illegally, was sentenced to a year and day for transporting prostitutes, and upon completion of his sentence, was deported from the U.S. to Mexico. Herrera-Aranda was sentenced to 18 months in prison and Reyes was sentenced to time served. Both were also deported.

This case originated with the Annapolis Police Department and was subsequently investigated by members of the Maryland Human Trafficking Task Force formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit www.justice.gov/usao/md/Human-Trafficking/index.html.

United States Attorney Rod J. Rosenstein praised the Annapolis and Easton Police Departments and HSI Baltimore for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorneys P. Michael Cunningham and Rachel M. Yasser, who prosecuted the case.

Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Henry Ramos- Agustin, age 37, a Guatemalan citizen illegally residing in Cambridge, Maryland, today to 42 months in prison followed by one year of supervised release for conspiring to sell fraudulent identification documents and aggravated identity theft. Judge Bennett sentenced Antonio Abraham Cruz-Cruz, age 28, a Mexican citizen illegally residing in Adelphi, Maryland, yesterday to four years in prison followed by one year of supervised release for the same offenses. Judge Bennett further imposed a special condition that both defendants, upon completion of their sentences, be surrendered to immigration authorities for deportation proceedings.

The sentences were announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge William Winter of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).

“Document fraud poses a threat to national security and puts the security of our communities at risk because it creates a vulnerability that may enable terrorists, criminals and illegal aliens to gain entry to and remain in the United States,” said HSI Baltimore Special Agent in Charge William Winter. “This investigation resulted in the arrest and indictment of a document mill leader and co-conspirator operating out of Maryland. Homeland Security Investigations will move aggressively to investigate and bring to justice those who potentially compromise the integrity of America's legal immigration system.”

According to their pleas and a stipulation at Cruz-Cruz’s sentencing hearing, from October 2011 through March, 2013, Cruz-Cruz manufactured at least 2,000 permanent resident cards, social security cards and driver’s licenses, which he offered for sale, or had Ramos-Agustin and others sell, to individuals illegally present in the United States. These documents were offered for sale through word of mouth and the distribution of business cards which appeared to be offering other services, such as painting or automobile repairs, but were actually used for obtaining customers for the scheme. Orders were generally received by email or text message which included a picture and the biographical information the customer wanted on the cards. Salesmen such as Ramos-Agustin provided the photographs and personal information to Cruz-Cruz, who manufactured the requested fake documents. The completed documents were returned to Ramos-Agustin or other document vendors who then delivered them to the customer and obtained payment.

United States Attorney Rod J. Rosenstein praised HSI Baltimore and HSI Resident Agent in Charge Ocean City for their work in the investigation and thanked the Anne Arundel County Police Department and Baltimore County Police Department for their assistance in the case. Mr. Rosenstein thanked Assistant United States Attorney Tamera L. Fine, who prosecuted the case.

Baltimore, Maryland - U.S. District Judge James K. Bredar sentenced Joevaughn Butler, age 33, of Laurel, Maryland, today to 152 months in prison followed by five years of supervised release for possession with intent to distribute cocaine, heroin and crack cocaine. Judge Bredar enhanced Butler’s sentence upon finding that he is a career offender/ armed career criminal based on three previous drug convictions. Judge Bredar also ordered that Butler forfeit $235,499 in cash and two 9 millimeter handguns recovered during a search of his residence.

The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Stephen E. Vogt of the Federal Bureau of Investigation; Assistant Special Agent in Charge Gary Tuggle of the Drug Enforcement Administration, Baltimore District Office; and Chief Cathy L. Lanier of the Metropolitan Police Department.

According to Butler’s plea agreement, Butler was arrested on September 23, 2011, shortly after leaving an apartment in the Laurel area of Anne Arundel County, Maryland. Butler was wanted on two outstanding arrest warrants issued by Washington, D.C. Superior Court. Butler was searched and law enforcement recovered: 52 ziplock baggies of heroin and a larger plastic bag containing additional heroin; 14 pink ziplock baggies of crack cocaine and a larger plastic bag containing additional crack cocaine; a key to the apartment from which he was observed leaving; and $150 cash.

Later that day, a search warrant was obtained for the apartment and law enforcement recovered: powder cocaine, crack cocaine, and heroin; two 9 millimeter handguns; and $229,679 in cash, all from a closet in the master bathroom. Recovered from the apartment’s living room was $5,670 in cash and an electronic money counter.

United States Attorney Rod J. Rosenstein commended the FBI, DEA and the Metropolitan Police Department for their work in the investigation. Mr. Rosenstein thanked Assistant United States Attorney Brooke Carey, who prosecuted this Organized Crime Drug Enforcement Task Force case.