Eastern District of Missouri
Press releases recorded for this federal judicial district.
Two Area Men Sentenced on Federal Charges Including the Assault of A Federal OfficerRead the Press Release
St. Louis, MO – FREDERICK CRAYTON, St. Louis City, was sentenced this morning to 168 months in prison. He pled guilty in July to federal gun and assault charges involving the April 18, 2013, assault of a federal officer. His brother, DWAYNE CRAYTON, also pled guilty in July to charges of selling crack cocaine to an undercover officer and was sentenced today to 32 months in prison. Both defendants appeared before United States District Judge Audrey G. Fleissig in St. Louis.
According to court documents, on April 15, 2013, Dwayne Crayton sold crack cocaine to an undercover agent. Three days later on April 18, 2013, his brother and Frederick and James Jones arranged to sell three firearms to an ATF undercover agent and two confidential informants. During a struggle involving several firearms, Frederick Crayton assaulted the undercover agent in an attempt to rob the agent of the money that was to be used to buy the three firearms.
Co-defendant James Edward Jones, also of St. Louis City, pled guilty to related charges and awaits sentencing in December.
This case was investigated by the Bureau of Alcohol, Tobacco and Firearms. Assistant United States Attorney Tom Mehan is handling the case for the U.S. Attorney's Office.
St. Charles County Man Indicted on Federal Child Enticement ChargesRead the Press Release
St. Louis, MO – MICHAEL ENGLER was charged for allegedly soliciting sex from a minor on Craigslist. But that minor was an undercover officer working with the FBI’s Crimes Against Children Task Force.
According to a federal criminal complaint filed October 17th, when an undercover officer posing as an 18-year-old posted a “male looking for a male” ad on Craigslist, Engler responded. When the undercover officer told Engler he was "14," Engler still wanted to meet the child. According to court documents, when the "14-year-old" expressed hesitation, Engler told him he knew about boys experimenting and told him he was in a Boy Scouts "venturing program" for kids aged 14 – 20. On October 15, Engler agreed to meet with the officer posing as the 14-year-old boy saying he would teach him about oral sex. Engler was arrested on October 16 when he showed up at the designated meeting spot behind an ice rink at Brentwood.
Engler, St. Charles, MO, was indicted by a federal grand jury today on one felony count of attempting to persuade, induce, entice and coerce a minor to engage in sexual activity.
If convicted, this charge carries a penalty range of ten years to life in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the St. Louis County Police Department in conjunction with the Federal Bureau of Investigation, the United States Secret Service and the St. Charles County Cybercrime Unit. Assistant United States Attorney Jennifer Winfield is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Florissant Woman Pleads Guilty to Tax and Fraud ChargesRead the Press Release
St. Louis, MO – EVELYN SILAS, Florissant, MO, pled guilty to 13 counts of tax and fraud charges. Silas appeared before United States District Judge Catherine Perry. Sentencing has been set for January 14, 2014.
According to court documents, Silas prepared twenty tax returns for friends and members of her family during the 2009, 2010 and 2011 tax years while employed full-time at the St. Louis Office of the Equal Employment Opportunity Commission (EEOC). Silas added phony information about educational expenses and business income and losses to obtain tax credits for those taxpayers. In all, Silas caused more than $90,000 in tax loss. Silas kept a large percentage of the refunds generated by the fraudulent returns for herself
Each count carries a maximum penalty of three years imprisonment and a $100,000 fine or both. The government will also seek restitution of all tax losses. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The case was investigated by IRS Criminal Investigation with assistance from the EEOC Office of the Inspector General. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney's Office.
Boeing Procurement Officer and Three Contractors Indicted on Federal Bribery and Fraud ChargesRead the Press Release
St. Louis, MO – Former Boeing Procurement Officer Deon Anderson and three Boeing sub-contractors were indicted on multiple counts of mail and wire fraud in connection with a bribery/kickback scheme involving Boeing military aircraft parts. They appeared this morning in federal court in St. Louis to answer an indictment returned October 2, 2013.
Boeing Company Defense Space and Security Division is a defense contractor providing military-style aircraft to the United States Department of Defense and the United States armed services with offices and procurement operations located in St. Louis. Deon Anderson was a Procurement Officer for Boeing, residing in the St. Louis area.
J. L. Manufacturing of Everett, Washington, is an aerospace job machine shop specializing in hard metals, with the capability of producing small to medium sized complex parts of ferrous and non-ferrous materials, and was a sub-contractor to Boeing on numerous United States government contracts. Jeffrey Lavelle, owner and operator of J. L. Manufacturing, directed the day-to-day operations of the company, and oversaw all financial aspects of the company.Inland Empire and Associates, Inc., Las Vegas, Nevada, is engaged in consulting to defense aircraft manufacturers and parts suppliers, including consulting for J. L. Manufacturing. Robert Diaz, Jr. was the owner and operator of Inland Empire, and personally consulted to J. L. Manufacturing and Jeffrey Lavelle relative to numerous Boeing sub-contracts.
Globe Dynamics International, Inc., Santa Ana, California is a leader in producing small to large, close tolerance precision machined parts and the assembly of complex components. Globe Dynamics was a sub-contractor to Boeing on numerous United States government contracts. William Boozer, owner and operator of Globe Dynamics, directed the day-to-day operations of the company, including the submission of contract bids.
According to the indictment beginning in May 2011 and continuing through April 2013,
Deon Anderson provided J.L. Manufacturing, through Lavelle and Diaz, non-public competitor bid information and historical price information in connection with one and more Boeing military aircraft part purchase order requests for quotes. Lavelle used that information in preparing and submitting bids on behalf of J.L. Manufacturing to Boeing for approximately nine different Boeing requests for quotes relative to those various purchase orders. Of the nine, J.L. Manufacturing was awarded seven purchase orders to supply United States military aircraft parts to Boeing totaling in excess of $2,000,000. The indictment states that in exchange for that information, they made cash payments to Anderson in St. Louis and in California.Additionally, according to the indictment, between November 2009 and February 2013, Boozer requested Anderson provide him with non-public competitor bid information and historical price information in connection with Boeing military aircraft part purchase order requests for quotes. They communicated by telephone and e-mail between California and St. Louis in code on a regular basis. Boozer frequently requesting “Isle 5," a coded reference to a “price check on aisle 5," understood by Anderson to be a request for historical price information and competitor bid information. Anderson gave the information to Boozer to be used in preparing and submitting bids on behalf of Globe Dynamics in response to approximately sixteen different Boeing requests for quotes relative to those various purchase orders, in exchange for cash payments. Of the sixteen bids, Globe Dynamics was awarded seven purchase orders to supply United States military aircraft parts to Boeing totaling in excess of $1,500,000.
- DEON ANDERSON, St. Louis, MO
- JEFFREY LAVELLE, Mukilteo, WA
- ROBERT DIAZ, JR., Alta Loma, CA
- WILLIAM P. BOOZER, Hacienda Heights, CA
If convicted, each count of mail and wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by Defense Criminal Investigative Service, Federal Bureau of Investigation, NASA-Office of Inspector General, Air Force Office of Special Investigations, Navy Criminal Investigative Service and Internal Revenue Service-Criminal Investigations. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Washington, Missouri, Man Sentenced for Role in 2011 Murder ConspiracyRead the Press Release
St. Louis, MO – SCOTT ALAN COMPTON, of Washington, MO, was sentenced to five years imprisonment for his actions that resulted in the April 22, 2011, death of Jamie Benson of Houston, TX. In February, Compton pleaded guilty to one count of conspiracy to possess with the intent to distribute over 500 grams of cocaine. Compton was sentenced October 9 by United States District Court Judge Audrey G. Fleissig
According to court documents, in early April 2011, Compton, along with co-defendants Lodgy Jackson and Andreus O’Bryant, among others, joined in a conspiracy that included robbing and murdering victim Benson within the City of St. Louis after luring Mr. Benson from Houston to St. Louis. Compton was recruited by O’Bryant to act as an individual interested in purchasing over 500 grams of cocaine from Mr. Benson for an inflated price. Compton played that role. In doing so, Compton, along with O’Bryant and Jackson, convinced Mr. Benson that a drug transaction was going to occur when, in reality, O’Bryant, Jackson and others intended to rob Mr. Benson of the cocaine and murder him.In the early morning hours of April 22, 2011, Jackson shot and murdered Benson inside O’Bryant’s vehicle that was parked in a St. Louis alley. Jackson and others abandoned Benson's body in the alley where it was later discovered by the St. Louis Metropolitan Police Department. O’Bryant, Jackson and others undertook significant efforts to cover-up the conspiracy and destroy evidence of the crime -- but were ultimately unsuccessful.
O’Bryant and Jackson have previously pleaded guilty for their crimes and await sentencing. Each faces a term of imprisonment of up to life. In determining the actual sentences, a judge is required to consider the United States Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the St. Louis Metropolitan Police Department; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the United States Marshals Service; the Franklin County Sheriff's Department and the St. Charles County Police Department.Owner of Loan Modification Company Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – DEREK DOHERTY was sentenced to 15 months in prison and ordered to pay $98,835 restitution involving a scheme to defraud clients by taking advance fees for loan audits that he never performed.
According to court documents, between April and August 2010, Doherty created Home Safe Financial, a mortgage loan modification and audit company operating first in St. Louis, then Overland Park, Kansas, before merging with California-based Financial Hope for America in August 2010. Doherty advertised to potential clients a paid loan audit accompanied by a free loan modification. He represented that he and his company would review client's mortgage loans and determine whether the mortgages complied with the provisions of various federal housing and lending statutes and regulations, for a fee of $3000. He mailed contracts and accepted payments from clients, while representing that he had the ability to perform a loan audit and that a loan audit would be completed. However Doherty never completed any of the loan audits and, in fact, never purchased the necessary software to perform them.
Doherty, Temecula, CA, formally of St. Louis, pled guilty in May to one felony count of mail fraud. He appeared today for sentencing before United States District Judge E. Richard Webber.
This case was investigated by the Postal Inspection Service and the Federal Bureau of Investigation. Assistant United States Attorney Dianna Collins handled the case for the U.S. Attorney’s Office.Local Woman Pleads Guilty to Sex Trafficking ConspiracyRead the Press Release
St. Louis, MO – CARLA MATHEWS pled guilty to a charge involving the sex trafficking of two area women by force and intimidation on Thursday, October 10, before United States District Judge Henry Autrey.
According to court documents, between January 2010 and December 2011, Carla Mathews recruited and maintained women, physically assaulted them and forced them to engage in prostitution in the St. Louis metropolitan area. Mathews took the women to various hotels and kept the money for herself. She confiscated their food-stamp identification (EBT) cards to control them and deprive them of food and drink as a method of control and provided the drug MDMA and clothing in preparation for the commercial sex dates she arranged for them.
Mathews, St. Louis, pled guilty Thursday, October 10 to conspiracy to commit sex trafficking by force, fraud or coercion before United States District Judge Henry Autrey. Sentencing has been set for January 6, 2014.
Carla Mathews now faces 10 years to life in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
Mathews brother and co-defendant pled guilty to the same charges in March and was sentenced in July to 10 years in prison.
This case was investigated by the Federal Bureau of Investigation, the U.S. Department of Agriculture-Office of Investigations and the Breckenridge Hills Police Department. Assistant United States Attorney Noelle Collins is handling the case for the U.S. Attorney's Office.
Local Doctor Indicted on Federal Drug ChargesRead the Press Release
St. Louis, MO – DR. HARRY OSAGHAEMORGAN, Richmond Heights, MO, was indicted October 9 by a federal grand jury on five felony counts of causing, or attempted to cause, the dispensing of Schedule II and IV controlled substance drugs outside the normal practice of medicine. The drugs involved were large quantities of oxycodone, morphine, oxymorphone, Xanax and Valium.
According to the indictment, between January and May 2012, Dr. Osaghaemorgan was the sole physician for Doctor’s Medical Center, a pain management clinic located at 2015 Smizer Station Road, Valley Park, MO. The Medical Center employed several office managers and staff that were paid $10 for every patient they were able to solicit via telephone to schedule an appointment to see Dr. Osaghaemorgan. The indictment states that Dr. Osaghaemorgan wrote prescriptions with little or no medical examination and for no legitimate medical purpose. Patient’s office visits were paid for in cash and insurance was not accepted. During the four-months that Doctor’s Medical Center was in operation, Dr. Osaghaemorgan wrote approximately 1300 controlled substance prescriptions generating approximately $195,481 cash revenue. Also during that period, out of the clinic’s 538 patients, only 10 had Missouri addresses. The remaining 528 reported residences in 19 other states with 246 listed in Kentucky. Further, the indictment alleges that 104 patients reported identical addresses.
If convicted, each count of the indictment carries a maximum penalty of 20 years in prison and/or a fine up to $1 million. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Diversion Unit of the Drug Enforcement Administration. Assistant United States Attorney John T Davis is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Former Ladue Financial Advisor Sentenced on Federal Fraud ChargesRead the Press Release
St. Louis, MO – GREG J. CAMPBELL was sentenced to 38 months in prison, restitution in the amount of $1,851,956 and ordered the forfeiture of his home in Ladue. He earlier pled guilty to diverting over $1.8 million from client retirement accounts to finance his luxury home, cars and lifestyle. He was sentenced October 9 by United States District Judge Audrey G. Fleissig.
According to court documents, from June 2006 until October 2011, Campbell was employed as a financial advisor at Merrill Lynch. Campbell managed clients' Loan Management Accounts (LMAs), which were lines of credit collateralized by securities. Beginning in September 2007 and continuing until the end of his employment in October 2011, Campbell fraudulently diverted more than $1.4 million from LMAs to his own personal accounts and the accounts of others and for his own personal use. He used the money for a down payment on a personal residence, mortgage payments, lease payments on luxury vehicles and living expenses.
In November 2011, Campbell began working as a Senior Wealth Manager for Four Seasons Wealth Management (Four Seasons) in Clayton. Four Seasons was a company that offered securities and advisory services to clients through LPL Financial, LLC, a securities broker-dealer (LPL). Campbell was employed at Four Seasons until October 2012 and managed clients' individual retirement accounts (IRAs). Between November 2011 and October 2012, Campbell diverted funds from his clients' IRAs to his own personal accounts. Campbell took various steps to conceal his fraud. He changed the mailing addresses on clients' accounts, without their knowledge, to an address to which he had access so that clients would not receive account statements. In at least one instance, Campbell falsely stated on distribution documents that he was the client's grandson, when he was not related to the client. During his tenure at Four Seasons, Campbell fraudulently diverted more than $360,000 from client accounts. Campbell used fraudulently diverted funds to pay for personal expenses, including renovations to his personal residence, mortgage payments, vehicle lease payments and living expenses.
Campbell, Ladue, MO, pled guilty last June to two felony counts of wire fraud.
This case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Reginald Harris is handling the case for the U.S. Attorney's Office.
Associate of Former Moberly Correctional Center Inmate Sentenced on Federal Conspiracy ChargesRead the Press Release
St. Louis, MO –ANTHONY JOHNSON and his two associates referred to themselves as the "Hilton" family. Between July 2009 and March 2011, Johnson engaged in a conspiracy to steal identification information of unsuspecting victims, open new credit accounts using the stolen identities and use the fraudulent credit accounts to deposit money into the accounts of inmates at the Moberly Correctional Center (MCC). According to court documents, once they obtained credit accounts they wire transferred money into the accounts of inmates, which was then sent to Johnson's co-defendants and other people outside of MCC.
Co-defendant Timothy Moore, Memphis, TN, was sentenced October 16 to 37 months in prison for conspiracy to commit identity theft.
Anthony Johnson, was sentenced in May to 60 months in prison and ordered to pay restitution in excess of $80,000. Co-defendant Cedric Walton, Memphis, TN, was sentenced in August to 18 months in prison. All defendants were sentenced by United States District Judge Henry Autrey.
This case was investigated by the Postal Inspection Service, the Federal Bureau of Investigation, the Moberly, Missouri Police Department and the Missouri Department of Corrections. Assistant United States Attorney Reginald Harris handled the case for the U.S. Attorney's Office.
St. Charles Woman Pleads Guilty to Fraud ChargesRead the Press Release
St. Louis, MO – DANIELA SPIRIDON pled guilty to a real estate scheme related to the purchase or sale of properties.
According to court documents, Spiridon was affiliated with several businesses from an office in Chesterfield, Missouri, which included A & AD Investments, LLC; CDRS ESC Investments; Sentrix Loan Production Office and others. As part of the scheme, Spiridon fraudulently offered to assist buyers in the purchases of properties that were acquired by lenders through foreclosure and held in inventory, known as Real Estate Owned (REO) properties. She offered to broker purchases or arrange for financing related to the purchase or sale of the REO properties. She had potential buyers place deposits on the properties, which she was to put into an escrow account, but she actually put the monies in a non-escrow account in one of her own companies. She often used buyers’ funds for personal expenses and to reimburse other buyers who demanded their funds be returned rather than to secure real property or financing.Spiridon, St. Charles, MO, pled guilty to six felony counts of wire fraud before United States District Judge John A. Ross. Sentencing has been set for January 9, 2014.
Each count of wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Restitution is mandatory.
Additionally, with her plea, Spiridon has agreed to the forfeiture of money and property derived from the illegal activity.
This case was investigated by the Federal Bureau of Investigation, Postal Inspection Service and Federal Housing Finance Agency-Office of Inspector General. Assistant United States Attorney Rob Livergood is handling the case for the U.S. Attorney's Office.Former Vice President of Alberici Constructors Pleads Guilty to FraudRead the Press Release
St. Louis, MO – Clone Jefferson Oliver pled guilty to participating in a scheme to defraud Alberici Constructors, Inc. by inflating invoices.
CLONE JEFFERSON OLIVER, Apollo Beach FL, former vice-president of construction at St. Louis-based Alberici, pled guilty to six counts of mail fraud, wire fraud and money laundering. United States District Judge Catherine D. Perry has set his sentencing has been set for December 19, 2013.According to court documents, Oliver was the project manager for Alberici on a project to build a water treatment plant in Arlington County, Virginia. Work on the project began in September 2006 and the cost of the project was $238,000,000. Oliver and Kenneth Marc Simmons, a subcontractor on the project, participated in a scheme to defraud Alberici through the preparation and submission of inflated invoices and false change orders for materials provided to the project by Simmons' business, Industrial and Municipal Supply (IMS). When IMS received payment on the bad invoices, Simmons kept a share and then forwarded money in the nature of kickbacks to Oliver. Simmons made many of the payments to a corporation formed by Oliver called Advanced Construction Solutions which had the same initials (ACS) as another supplier to the Arlington project, American Construction Services. The court document refers to Oliver's company as the "fake ACS" while the latter company is referred to as the “real ACS.” Oliver admitted that, in the scheme to overpay IMS, Alberici was overbilled in the amount of $4.8 million from 2006 through 2011.
The real ACS provided welding services to the project. At Oliver's direction the owner of the real ACS billed Alberici for piping actually supplied by IMS in a situation where the real ACS provided only welding services on that piping. IMS invoiced the real ACS for that piping, through inflated invoices of approximately $2,000,000. The real ACS included those billings in the invoices it submitted to Alberici for payment.“IRS Criminal Investigation’s role becomes even more important in kickback schemes due to the complex financial transactions involving fictitious entities and false documents,” said Sybil Smith, Special Agent in Charge of IRS Criminal Investigation. “Those individuals who engage in this type of financial fraud should know they will not go undetected and will be held accountable.”
Each count of mail and wire fraud carries a maximum prison term of 20 years in prison and/or fines to $250,000. Oliver is charged in two additional counts of money laundering with each count carrying a maximum prison term of 10 years and/or a fine up to $250,000. If convicted, each defendant would be subject to an order of restitution in favor of Alberici.Oliver will be liable to pay Alberici the full $6.8 million in restitution. He agreed that property and assets he acquired with the stolen money would be forfeited as part of that restitution. This includes two houses in Florida (one in Apollo Beach and one in Zephyrhills), a diamond ring with platinum mounting, a 2010 Mercedes Benz vehicle, a 2007 Sea Ray boat, two SeaDoo Bombardier water craft and several bank accounts.
Co-defendant KENNETH MARC SIMMONS, La Grange GA, pled guilty earlier this month to two felony counts of mail fraud and two felony counts of wire fraud before Judge Perry. His sentencing is scheduled for December 18, 2013.
This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service Criminal Investigation. Assistant United States Attorneys James E. Crowe, Jr., Anthony Franks and Richard Finneran are handling the case for the U.S. Attorney’s Office.
Wright City Man Convicted of Federal Drug Distribution ChargesRead the Press Release
St. Louis, MO – JAMES L. MILLINER, Wright City, Missouri, was convicted late Tuesday of conspiracy to distribute over 280 grams of crack cocaine. The two-day trial was held before United States District Judge Rodney Sippel.
According to testimony presented at trial, Milliner and his co-defendants sold large amounts of crack cocaine at an open air market in Wright City, Missouri, from 2007 through 2012. Milliner is set for sentencing December 20, 2013.
The following seven co-defendants have pled guilty to related charges and have been sentenced to prison terms ranging from probation to 136 months in prison.
- Charles E. McRoberts, Wentzville, Missouri
- Dante M. Brandt, Wright City, Missouri
- Porsheia I. Barnes, Moscow Mills, Missouri
- Christopher D. Adams, Wright City, Missouri
- Antwaun M. Nunn, Wright City, Missouri
- Cipriano M. Garcia, Moscow Mills, Missouri
- James E. Simpson, Wright City, Missouri
Two more await sentencing:
- Michael B. Rogers, Wright City, Missouri
- Halesha C. Bradshaw, Wright City, Missouri
The charge of conspiracy to distribute over 280 grams of crack cocaine carries a penalty range of 10 years to life in prison and/or fines up to $4 million. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was jointly investigated by the Warren County Sheriff’s Department, the East Central Drug Task Force, Lincoln County Sheriff’s Department, the Troy Police Department and the Drug Enforcement Administration. Assistant United States Attorney Jeannette Graviss is handling the case for the U.S. Attorney’s Office.Local Woman Pleads Guilty to Fraud ChargesRead the Press Release
St. Louis, MO – THERESA MOORE admitted that she employed various aliases and claimed to be with law enforcement and the legal profession to induce victims to pay her money by convincing them that she could assist them with various legal matters. Moore contacted her victims by telephone and made false representations about non-existent legal matters.
According to court documents, in July 2009, Moore met an elderly widower through a telephone dating service. Soon after making the acquaintance, Moore, and her associates, using various aliases, began contacting him by telephone to inform him he was a victim of identity theft. Moore intentionally deceived him into believing that he was entitled to restitution and that he had to pay money up front in order to collect the restitution payment. At other times, Moore intentionally deceived him into believing that he would be receiving money as part of a legal settlement, but that he had to pay money up front in order to collect the settlement. In reliance on Moore's false representations, over the course of about three years, the man made numerous payments to Moore. The Government believes the man paid Moore in excess of $60,000.
In May 2011, Moore and one of her associates contacted victim J.N. by telephone and told J.N. that there were several warrants out for the arrest of J.N.'s adult daughter, P.N., who had developmental learning disabilities. Moore stated to J.N. that Moore had paid fines on behalf of P.N. and needed to be reimbursed, when in fact, Moore was not aware of any such arrest warrants and had made no such payments. Moore enlisted an associate who posed as a police detective in order to lend credibility to her scheme. The Government believes J.N. paid Moore in excess of $20,000 as a result of the fraud scheme.
Theresa Moore, St. Louis, Missouri, pled guilty to four felony counts of wire fraud before United States District Judge John A. Ross. Sentencing has been set for January 9, 2014.
Each count of wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the United States Postal Inspection Service, the Hazelwood Police Department, the Clayton Police Department, The St. Louis County Police Department and the Missouri Attorney General’s Office. Assistant United States Attorney Reginald Harris is handling the case for the U.S. Attorney’s Office.
Local Man Pleads Guilty to Wire Fraud ChargesRead the Press Release
St. Louis, MO – SEAN HOLLAND pled guilty to a wire fraud scheme whereby he embezzled money from a condominium association for which he served as bookkeeper.
According to the plea agreement, Holland worked as a bookkeeper for Maryland House Condominium in St. Louis between 2008 and 2010. He made unauthorized electronic transfers of funds to his personal bank account and concealed the transfers from the management of the association. The government contends that more than $70,000 was diverted in this way.
Sean Holland, St. Louis, Missouri, appeared before U.S. District Judge Catherine D. Perry who set sentencing for December 19, 2013.
Holland faces up to 20 years imprisonment, a fine of $250,000 or both. Restitution for the benefit of the association is also mandatory.
The case was investigated by the St. Louis Metropolitan Police Department, the U.S. Secret Service and the St. Louis Circuit Attorney’s Office. Assistant United States Attorney Tom Albus handled the case for the U.S. Attorney’s Office.
Local Man Pleads Guilty to Federal Child Pornography ChargesRead the Press Release
St. Louis, MO – MICHAEL FLOERCHINGER pled guilty late Thursday afternoon to possession of child pornography, after three days of trial before United States District Judge Henry Autrey.
Floerchinger, St. Louis, MO, pled guilty to one felony count of possession of child pornography. Judge Autrey set sentencing for December 9, 2013.
Possession of child pornography carries a maximum penalty of 10 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Special Investigations Unit of St Louis County Police Department, the Regional Computer Crime Education and Enforcement Group (RCCEEG) and Investigator Donya Jackson of the U.S. Attorney’s Office. Assistant United States Attorney’s Matthew Drake and Erin Granger are handling the case for the U.S. Attorney’s Office.
Georgia Contractor Pleads Guilty to Fraud Against Alberici Constructors, Inc.Read the Press Release
St. Louis, MO –KENNETH MARC SIMMONS, who ran a business which supplied materials to an Alberici Constructors, Inc. project in Arlington, Virginia, pled guilty to participating in a scheme to defraud Alberici by inflating invoices.
Kenneth Marc Simmons, La Grange GA, pled guilty to two felony counts of mail fraud and two felony counts of wire fraud before United States District Judge Catherine D. Perry. Sentencing is scheduled for December 18, 2013.
According to court documents, Clone Jefferson Oliver was the project manager for Alberici on a project to build a water treatment plant in Arlington County, Virginia. Work on the project began in September 2006 and the cost of the project was $238,000,000. Simmons and Oliver participated in a scheme to defraud Alberici through the preparation and submission of inflated invoices and false change orders for materials provided to the project by Simmons' business, Industrial and Municipal Supply (IMS). When IMS received payment on the bad invoices, Simmons kept a share and then forwarded money in the nature of kickbacks to Oliver. Simmons made many of the payments to a corporation formed by Oliver called Advanced Construction Solutions, which had the same initials (ACS) as another supplier to the Arlington project, American Construction Services. The indictment refers to Oliver's company as the "fake ACS" while the latter company is referred to as the “real ACS.” Simmons admitted that, in the scheme, Alberici was overbilled in the amount of $4.8 million from 2006 through 2011.
Co-defendant Clone Jefferson Oliver, Apollo Beach FL, former vice-president of St. Louis-based Alberici Constructors, Inc., was indicted in June on seven counts of mail fraud, wire fraud and money laundering, and awaits trial.
Each count of mail and wire fraud with each carries a maximum prison term of 20 years in prison and/or fines to $250,000. Oliver is charged in two additional counts of money laundering with each count carrying a maximum prison term of 10 years and/or a fine up to $250,000. If convicted, each defendant would be subject to an order of restitution in favor of Alberici.Simmons will be liable to pay restitution to Alberici in the amount of $4.8 million. Simmons told the court that, as part of his agreement with the Government, he would agree to the forfeiture of $1.1 million from an investment account in addition to $143,000 from other accounts. The parties advised the court that Simmons also forfeited assets prior to the guilty plea, including $200,000 from a property in Dadeville, AL, $23,000 from the sale of two motorcycles and $47,000 from the sale of a boat and a boat slip. The money generated by these forfeitures will be paid over to Alberici as part of the restitution. Simmons agreed that he will be liable to pay restitution of that part of the $4.8 million loss remaining after these forfeiture payments.
This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service-Criminal Investigation. Assistant United States Attorneys James E. Crowe, Jr., Anthony Franks and Richard Finneran are handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Defendant Oliver is presumed to be innocent unless and until proven guilty.
I-55 Bandit Charged with One Count of Bank RobberyRead the Press Release
St. Louis, MO – ANDREW MABERRY, who the FBI referred to as the I-55 Bandit, was charged with the July 2, 2013, robbery of the Commerce Bank in Jefferson County, Missouri.
Maberry, O’Fallon, IL, was indicted by a federal grand jury on one felony count of bank robbery. The federal investigation is continuing.
If convicted, this charge carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case is being investigated by the Federal Bureau of Investigation with assistance from multiple law enforcement agencies from several states. Assistant United States Attorney Tom Mehan is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Area Agencies Will Share $1 Million Grant to Combat Human TraffickingRead the Press Release
St. Louis, MO – The Saint Louis County Police Department and St. Charles County Sheriff’s Department will share the proceeds of a $1 million U.S. Department of Justice grant with three local social service providers to serve victims and enhance the prosecution of human trafficking crimes in the Eastern District of Missouri. These two law enforcement agencies are members of the U.S Attorney’s Office Human Trafficking Task Force in the Eastern District of Missouri. The Task Force also includes local civilian social service partners, known as the RESTeam (Rescue Service Team).
The Saint Louis-based International Institute, Legal Services of Eastern Missouri and the YWCA Sexual Assault Center are the three RESTeam members who joined forces with the Saint Louis County Police Department and St. Charles County Sheriff’s Department to apply for this competitive award, which was sponsored by the DOJ Office of Victims of Crime and the Bureau of Justice Assistance. The funds will be distributed over two years.
The 2013 grant, which is called the Enhanced Collaborative Model to Combat Human Trafficking, was established in 2010 and was awarded this year to only six applicant groups across the United States. This year is the first time that recipients from the Eastern District of Missouri have been chosen to receive the grant.“With these funds, we will be able to serve up to 150 victims of human trafficking, whether they are victims of sex or labor trafficking and whether they are U.S. citizens or foreign-born. We look forward to collaborating with our law enforcement partners to more effectively serve victims of these crimes and support prosecution of the traffickers,” said Suzanne LeLaurin, Senior Vice-President for Individuals and Families,International Institute of St. Louis.
“The St. Louis County Police Department along with the St. Charles County Sheriff's Department have been battling the issues of human trafficking in the St. Louis County/ St. Charles County area for several years and have been successful in rescuing adult and child victims of trafficking,” said Sergeant Adam Kavanaugh, Deputy Commander Missouri Internet Crimes Against Children Task Force. Kavanaugh added that these funds will be used to add local police personnel and more training for local law enforcement to better identify the indicators of human trafficking in our area.
Lieutenant Chris Mateja of the St. Charles County Sheriff's Department said, “The St. Louis County Police Department and St. Charles County Sheriff's Department will work closely with our federal partners to insure that traffickers do not find a safe haven in the Eastern District of Missouri.”
Chairman of the Board of the Paideia Academy/Employee of St. Louis City Treasurer's Office Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – FRED W. ROBINSON was sentenced to 24 months in prison on multiple fraud charges involving his submission of false time sheets in the Treasurer’s Office and his diversion of federal and state education funds from the Paideia Academy Charter School. The Judge also ordered restitution of $419,333.
Robinson was the Chairman of the Board of Trustees for Paideia Academy, a Missouri charter school for kindergarten through eighth grade. He maintained an office in the school’s administration building and was involved in the day-to-day management and administration of the school. Paideia was tuition free and funded by federal and Missouri education funds intended for legitimate school operations.
According to testimony presented at trial, during 2009 and 2010, Robinson diverted approximately $242,333 of Paideia Academy funds for the purchase, construction, renovation and rehabilitation of a building at 4028 West Florissant Avenue in St. Louis for the purpose of developing and operating a Little People’s Academy day care center to be operated by Robinson and an associate through Paige C. Investments, LLC, in which Robinson had an ownership and financial interest. Robinson failed to disclose his ownership and financial interest in the proposed day care center to the Paideia Academy Board of Trustees. Robinson’s partner in the proposed day care center was a friend and associate of Robinson who worked as a bartender at a lounge frequented by Robinson, and who had no background, experience or training in early childhood education or the operations of a day care center.
Additionally, during each year from 2006 through 2010, as an employee of the Treasurer’s Office for the City of St. Louis, Robinson submitted false weekly time sheets falsely certifying work hours and was paid approximately $35,360 each year in salary based upon those false time sheets.
Robinson, St. Louis, Missouri, was convicted in March of one count of wire fraud and seven felony counts of federal program theft after a seven-day trial before United States District Judge Audrey G. Fleissig.
Other defendants that have been charged as part of the investigation are Dannielle Benson and Frank Habeebullah, both of whom plead guilty late last year.
This case was investigated by the Federal Bureau of Investigation and the United States Department of Education-Inspector General’s Office. Assistant United States Attorney Hal Goldsmith handled the case for the U.S. Attorney’s Office.Local Man Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – LARRY BRADSHAW was sentenced to 18 months in prison and ordered to pay $89,245 in restitution for his scheme to defraud a local elderly lady by obtaining a reverse mortgage on her home, then using the money for himself, including the purchase of a car and illegal drugs.
According to court documents, in July 2008, Bradshaw met a lady and expressed a need for a temporary residence. She agreed to allow him to live with her and during that time, Bradshaw befriended her and gained her confidence. He told her he was acting in her best interest, instead, he used his ability to access her banking accounts and funds to support his own lifestyle without her knowledge or consent. Bradshaw set up a durable power of attorney and used it to obtain a reverse mortgage on the lady’s residence. He represented to Frontier Mortgage that he intended to use the proceeds from the reverse mortgage for her living expenses and home rehabilitation. Instead, he used the money for himself, including the purchase of an automobile and illegal drugs, totaling over $70,000. Additionally, Bradshaw began receiving federal disability in 2007 and was required to fill out forms verifying his continued disability and financial status. In December 2008, he falsified the verification form by failing to report that he received funds from the victim’s reverse mortgage.
Larry Bradshaw, St. Louis City, pled guilty in May to one felony count of wire fraud and one felony count of theft of government money. He appeared today for sentencing before United States District Judge Rodney W. Sippel.
This case was investigated by the Federal Housing Finance Agency-Office of Inspector General, U.S. Postal Inspection Service, HUD-Office of Inspector General and the Social Security Administration-Office of Inspector General. Assistant United States Attorney Dianna Collins handled the case for the U.S. Attorney's Office.Kirkwood Woman Sentenced on Tax Fraud ChargesRead the Press Release
St. Louis, MO – NANCY CICERO was sentenced to 33 months in prison on multiple fraud charges for filing false tax returns, claiming over $3 million in refunds, for four years beginning in 2005.
According to testimony presented at trial, tax on certain bonds must be paid as interest accrues. Debt issuers such as banks, creditors and lenders provide a yearly form to their bond holders called a 1099-Original Issue Discount (OID). The form shows the OID income, as well as the federal income tax that was withheld on the OID income. To report tax liability on the interest earned, the bond holders submit the OID form to the IRS, along with income tax returns. According to testimony presented at trial, Cicero claimed false income tax refunds by submitting income tax returns to which she attached false and fictitious 1099-OID forms for the taxable years 2005-2008. On her 1040s for those years, Cicero claimed a refund amount based upon the false federal income tax withholdings that were reported on her false 1099-OIDs. In total, Cicero represented that financial institutions withheld over $3 million in taxes on her 1099-OID forms, thus claiming a refund of over $3 million."Today's sentence demonstrates our unwavering commitment to protecting the interests of law-abiding taxpayers," said Sybil Smith, Special Agent in Charge of IRS Criminal Investigation. "We will continue to investigate the criminals who engage in such brazen and fraudulent conduct, ensuring that the only citizens who receive tax refunds are those who are entitled to them."
Cicero, Kirkwood, MO, was convicted in May of four felony counts of filing false claims with the IRS. She appeared today for sentencing before United States District Judge John A. Ross.this case was investigated by Internal Revenue Service Criminal Investigation. Assistant United States Attorneys Dianna Collins and Reginald Harris prosecuted the case for the U.S. Attorney’s Office.
Twenty-Five Area People Arrested on Federal Drug and Weapons ChargesRead the Press Release
St. Louis, MO –Twenty-five area people have been arrested on three indictments involving federal drug and weapons charges involving the distribution and manufacture of large amounts of methamphetamine in the Eastern District of Missouri, from October 2010 to September 2013. Several of the individuals indicted are members of the Saddle Tramps Motorcycle Club, including Arvil B. Matthews, the President of the Club.
"This case is another example of some of the problems with House Bill No. 436. If it were the law today, criminal defendants in this case would have the right to sue the law enforcement officers who investigated the case, and the law enforcement officers would be defendants in both civil and criminal lawsuits. I can't believe this is what the legislature intended," said U.S. Attorney Richard Callahan.
Individuals indicted:
- JORGE LOPEZ, Corinth, TX
- MELVIN J. SCHERRER, Bonne Terre, MO
- ALAN D. ADLER, Bonne Terre, MO
- BRENT T. BOUREN, St. Louis, MO
- HOWARD R. PYATT, a/k/a “Bud,” Bonne Terre, MO
- ARVIL B. MATTHEWS, Imperial, MO
- MARK E. ABNEY, Bonne Terre, MO
- AMBER D. SCISM, Farmington, MO
- TERRI L. FOX, St. Louis, MO
- GUILLERMO NAVARRO, a/k/a “Willie,” St. Louis, MO
- JERRY L. ADDISON, St. Louis, MO
- JERAMI A. WESTENBERGER, Arnold, MO
- RAY ALLEN DAVIS, JR., Union, MO
- JAMES A. MITCHELL, St. Louis area
- PATRICK A. TATE, St. Louis, MO
- JIMMIE D. JOHNSON, St. Clair, MO
- DONALD J. MAGUIRE, St. Louis, MO
- THEODORE S. HEEGE, St. Louis, MO
- NORMA J. EGAN, St. Louis, MO
- DONNA L. MOSS, St. Louis, MO
- SHEILA C. HEEGE, St. Louis, MO
- DANIELLE R. BECKER, Park Hills, MO
- HALEY L. MEIER, St. Louis, MO
- HEATHER N. MARTIN, St. Louis, MO
- AMY G. HORRELL, Bonne Terre, MO
If convicted, the drug charges carry penalty ranges of 10 years to life in prison and firearms charges carry up to 10 years in prison. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case is a joint operation of the Federal Bureau of Investigation, the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, St. Charles and Jefferson County Sheriff’s Offices, the St. Louis Metropolitan Police Department and multiple local law enforcement agencies. Assistant United States Attorney Jeannette Graviss is handling the case for the Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.Former St. Louis Parks Division Deputy Commissioner and Chief of Park Rangers Plead Guilty to Fraud ChargesRead the Press Release
St. Louis, MO – JOSEPH VACCA, Former Deputy Commissioner of the St. Louis Parks Division, and THOMAS STRITZEL, Former Chief of the St. Louis Park Rangers, pled guilty to charges that they defrauded the City of St. Louis of approximately one-half million dollars by submitting false invoices for materials and services supplied to the Parks Division. Both defendants appeared before United States District Judge Jackson in St. Louis.
According to court documents, from January 1, 2005, to December 31, 2012, Vacca and Stritzel embezzled funds of the City of St. Louis based upon the submission of sham and false invoices which included false charges of approximately $464,722. They used the funds for their own personal use, including lease payments on personal vehicles, fuel costs, the payment of personal credit card charges and other personal living expenses unrelated to the legitimate operations of the St. Louis Parks Division.
Vacca and Stritzel set up a sham company called Dynamic Management and then funneled city funds received through the submission of false and sham invoices to Dynamic Management’s bank account. Vacca and Stritzel then used those fraudulently obtained funds for their own personal use, including leasing personal vehicles, payment of fuel costs and the payment of personal credit card charges.
These charges carry a penalty range of twenty (20) years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Sentencings have been set for December 12, 2013.
This case was investigated by the Federal Bureau of Investigation and the St. Louis Metropolitan Police Department. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney's Office.Local Priest Sentenced on Federal Child Pornography ChargesRead the Press Release
St. Louis, MO – FATHER WILLIAM F. VATTEROTT of St. Louis, MO, was sentenced to 37 months in prison for possession of child pornography between June 2010 and June 2011.
Father Vatterott pled guilty to one felony count of possession of child pornography. He was sentenced before Senior United States District Judge E. Richard Webber.
This case was investigated by the Missouri Internet Crimes Against Children Task Force, Regional Computer Crimes Education and Enforcement Group (RCCEEG) and by Investigator Donya Jackson for the U.S. Attorney’s Office. Assistant United States Attorney Rob Livergood handled the case for the U.S. Attorney's Office.
Former Vice-President of Sanborn Map Company, Inc. Pleads Guilty to Illegally Using an Unapproved Foreign Subcontractor on A Government ContractRead the Press Release
St. Louis, MO – Sanborn Map Company Inc. is a photogrammetric mapping and geographic information system services company headquartered in Colorado Springs, Colorado. Sanborn operated a regional office in Chesterfield, Missouri, until December, 2011.
ROBERT A. WILLIAMS was employed as a Senior Vice President and General Manager at Sanborn from 2000 until he was laid off in 2011.
In June 2007,Williams submitted a proposal to the United States Army Corps of Engineers, St. Louis Division, for an indefinite delivery/indefinite quantity contract to furnish all labor, supplies, materials, plant, equipment and personnel necessary to provide photogrammetric mapping and aerial photography for the Corps.
According to statements made in court during the plea, in September 2007, Williams participated in cost negotiations for the contract, and one of the provisions was that the Corps must pre-approve Sanborn's use of all subcontractors. Williams agreed to that provision, and the Corps of Engineers awarded the contract to Sanborn. Later that month, the Corps issued a "Request for Proposal" for digital orthophoto production. Williams submitted Sanborn's cost proposal and all cost and pricing data reflected that work would be completed by Sanborn and not subcontractors.
During May 2008, Williams arranged for Spatial Data Consultants Inc., a geospatial data production company located in High Point, North Carolina, to funnel triangulation and digital orthophoto production to Eastdawn Corporation, an unapproved foreign subcontractor located in China. Eastdawn Corporation was able to complete the orthophoto production at a rate much lower than the negotiated contract rate.
In September 2009, Williams presented to the Corps a claim for final payment on the contract, and certified that all of the contract requirements were met. The Corps paid Sanborn for the work completed not knowing it was completed by an unapproved foreign subcontractor.
Williams, who resides in Austin, Texas, pled guilty to one misdemeanor count of theft of Government money before United States Magistrate Judge Shirley Mensah. Sentencing has been set for November 25, 2013.
This case was investigated by the United States Army Criminal Investigation Division Procurement Fraud Division and the Defense Criminal Investigative Service. Assistant United States Attorney Jennifer Roy is handling the case for the U.S. Attorney's Office.
Local Man Pleads Guilty to Faking Military Service and Conducting Phony Raffle to Aid VeteransRead the Press Release
St. Louis, MO – MATTHEW BUCKINGHAM posted an advertisement on Craigslist, in January 2013, indicating he was involved with a veterans charity identified as "Veterans Aid From All Foreign Wars." The advertisement indicated the charity was designed to "help wounded warriors" and "sell raffle tickets [to aid] war veterans." Through the advertisement, Buckingham solicited individuals to help him promote his charitable events and he provided a contact number.
According to court documents, in his advertisement he stated that he planned to hold a raffle on July 4, 2013. Tickets would cost $5 each and he identified raffle awards of "First Prize: $3,000; Second Prize: $2,000; and Third Prize: $1,000" Through the advertisement, Buckingham solicited individuals to help him promote his charitable events and he provided a contact number. Subsequently, a number of female individuals in the St. Louis area inquired and responded.
Buckingham arranged to meet the individuals who responded at various restaurants and bars in the St. Louis area and introduced himself as "Tyler Matthews." He had individuals complete employment applications or other documents indicating their desire to aid and assist him in his charitable activities. Matthews/Buckingham showed applicants a binder with various documents that purportedly indicated he was affiliated with the military and other documents that appeared to legitimize his charitable activities. Commonly, during conversations with prospective applicants, he claimed to be employed by various agencies or Departments of the United States, including that he served in the military in Afghanistan and Iraq; he was a Marine and had been injured during the war; he worked as a military officer and a sniper; since his return to the United States from overseas, he worked with the Department of Homeland Security and the United States Coast Guard; and, he presently worked in north St. Louis in various positions including "undercover" work infiltrating gangs and otherwise combating crime.He told them they would earn $10 per hour, or half the amount of money they collected from ticket sales. In January and February 2013, he recruited approximately five to ten associates to assist him in selling "raffle" tickets at various bar locations in the St. louis area. At the end of each evening, associates gave Matthews/Buckingham the proceeds from the sales which he used to pay various expenses such as gas for transportation to the various restaurants and bar locations; paraphernalia for the individuals; and "fees" or earnings that he paid the associates who assisted him. No money remained after covering the various costs.
Ultimately, Buckingham did not hold a raffle on July 4, 2013 and he distributed no money from the ticket sales to wounded or homeless soldiers, veterans, or other military personnel. The defendant was not, and has never been, employed by the Department of Defense or the Department of Homeland Security. Similarly, he never served in the United States military or the United States Coast Guard. He never held a position that permitted him the authority to conduct criminal investigations or arrest individuals. As such, his previously detailed representations that he was an agent or employee of a Department or Agency of the United States were false and the defendant knew they were false.
"For more than two hundred years, brave Americans have heeded the call to serve their country. We honor them for their loyal and dedicated service. It disheartens me that this individual falsely represented himself as war veteran and a current member of the Coast Guard and Department of Homeland Security in order to garner support for his raffle scheme. I applaud the efforts of the Coast Guard Investigative Service and the Department of Justice in bringing this case to fruition. I also appreciate KMOV-TV for bringing this case to our attention," said Rear Admiral Kevin Cook, Eighth Coast Guard District Commander.
Buckingham, St. Louis County, pled guilty to one felony count of impersonating a federal agent before United States District Judge Henry Autrey. Sentencing has been set for November 25, 2013.
This charge carries a maximum penalty of three years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Coast Guard Investigative Service and the Missouri Attorney General’s Office. Assistant United States Attorney Matthew Drake is handling the case for the U.S. Attorney’s Office.
St. Louis Man Sentenced for Drug Distribution and Firearms PossessionRead the Press Release
St. Louis, MO – STANLEY "OUTLAW" CARTER of St. Louis City was sentenced to 20 years imprisonment on one felony count of brandishing a firearm in furtherance of a drug trafficking crime and a second felony count of discharging a firearm in furtherance of a drug trafficking crime. The sentence imposed today by United States District Court Judge Henry E. Autrey must be served consecutively to the not-yet-completed sentence achieved by the St. Louis Circuit Attorney’s Office after Carter shot and wounded an individual in the spring of 2008.
Carter pleaded guilty to two separate federal crimes in April 2013. First, on March 26, 2008, Carter and his co-defendant Antonio “Lips” Shaw and another accomplice, Richard “Repeat” Bobbitt, entered a City of St. Louis residence with guns drawn. The residence was occupied at the time by a 10-year old girl, a teenage boy and the children's mother. Carter and his two accomplices stole a significant amount of marijuana that they located in the residence's lower level.
Second, on May 10, 2008, Carter utilized an AR-15 assault-style rifle to execute two individuals associated with a rival group. The two men were inside a vehicle when Carter approached and opened fire from point-blank range. The shooting occurred at the area commonly referred to as "the Circle" located near 1199 Riverview Boulevard within the City of St. Louis. The first victim, Adolph Ellison, was pronounced dead at the scene. The second victim, Donald Mack, died shortly after. Immediately following the shooting, Carter and his two accomplices, again being Shaw and Bobbitt, fled the scene and undertook efforts to conceal evidence related to the crime.
Carter's co-defendant, Antonio Shaw, was previously sentenced to over 31 years imprisonment on one felony count of conspiracy to possess with the intent to distribute marijuana and cocaine base (crack) and a second felony count of brandishing a firearm in furtherance of a drug trafficking crime on April 30, 2013. Shaw was convicted by a jury after a six-day trial.
Carter’s sentencing brings to a close the federal investigation into violent criminal activity within the City of St. Louis committed by members of a group commonly referred to as the “Dip Set.” The investigation was initiated in 2009 and conducted by the St. Louis Metropolitan Police Department, St. Louis County Police Department, United States Bureau of Alcohol, Tobacco, Firearms and Explosives and the United States Marshals Service, with the cooperation and support of the St. Louis Circuit Attorney’s Office.
Local Venture Capitalist Pleads Guilty to Tax ChargesRead the Press Release
St. Louis, MO – BURTON DOUGLAS MORRISS pled guilty to tax evasion charges associated with his evasion of taxes on millions of dollars of income he earned between 2006 and 2009. According to his plea agreement, the tax liability Morriss attempted to evade in 2007 was $2,888,483. The total tax due and owing by Morriss for all tax years is $5,559,386.
According to court documents, Morriss was a venture capitalist living in St. Louis County. Morriss admitted that, through his work, he was versed in tax laws. As a venture capitalist, he would discuss tax consequences of buying and selling investments to sophisticated investors. Moreover, he had been dealing with advisers and lawyers regarding his personal taxes for many years before 2006.
For the tax year 2007, which is the tax evasion count to which he pleaded guilty, Morriss earned substantial income from his venture capital activities. In order to reduce his tax liability for that year, he claimed $18,160,613 in losses associated with a number of entities, including Morriss Holdings, MIC Aircraft, Tech Aircraft and MIC Real Estate. These entities were established as single member limited liability companies for Morriss' mother. Additionally, Mrs. Morriss had already claimed these passive losses for her own benefit in previous years. In addition to these 2007 tax losses, Morriss admitted to evading millions more in taxes on income from his venture capital companies in subsequent tax years.
Morriss did not timely file tax returns for 2006, 2007, 2008 and 2009. On June 27,2011, Morriss filed the delinquent 2007 tax return that is the subject of the guilty plea, along with delinquent 2008 and 2009 tax returns.
Sybil A. Smith, the Special Agent in Charge of IRS-Criminal Investigation, stated, "To build faith in our nation's tax system, honest taxpayers need to be reassured that everyone is paying their fair share. IRS Criminal Investigation, together with the Department of Justice, will diligently investigate and prosecute those who knowingly violate our tax system for their own enrichment."
Morriss, Creve Coeur, MO, pled guilty to one felony count of tax evasion before United States District Judge Rodney Sippel. Sentencing has been set for November 22, 2013.
This charge carries a maximum penalty of five years in prison and/or fines up to $100,000. Restitution is mandatory. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
Morriss' plea comes shortly after a judgment of permanent injunction was ordered against him in the case of Securities and Exchange Commission v. Burton Douglas Morriss in the Eastern District of Missouri. On August 13, 2013, United States District Judge Carol E. Jackson ordered that Morriss, among other things, is prohibited from acting as an officer or director of certain companies issuing securities. The SEC matter was filed in 2012 in the wake of the collapse of the Acartha Group, LLC and other venture capital companies run by Morriss. The SEC complaint alleged that Morriss had fraudulently transferred millions of investor dollars to himself for personal use. In addition to the director/officer bar, the SEC will ask the Court to order disgorgement of ill-gotten gains and civil penalties at a future date.
In addition to the SEC, this case was investigated by Internal Revenue Service Criminal Investigation, the Federal Bureau of Investigation and the United States Postal Inspection Service. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.
Local Venture Capitalist Pleads Guilty to Tax ChargesRead the Press Release
St. Louis, MO – BURTON DOUGLAS MORRISS pled guilty to tax evasion charges associated with his evasion of taxes on millions of dollars of income he earned between 2006 and 2009. According to his plea agreement, the tax liability Morriss attempted to evade in 2007 was $2,888,483. The total tax due and owing by Morriss for all tax years is $5,559,386.
According to court documents, Morriss was a venture capitalist living in St. Louis County. Morriss admitted that, through his work, he was versed in tax laws. As a venture capitalist, he would discuss tax consequences of buying and selling investments to sophisticated investors. Moreover, he had been dealing with advisers and lawyers regarding his personal taxes for many years before 2006.
For the tax year 2007, which is the tax evasion count to which he pleaded guilty, Morriss earned substantial income from his venture capital activities. In order to reduce his tax liability for that year, he claimed $18,160,613 in losses associated with a number of entities, including Morriss Holdings, MIC Aircraft, Tech Aircraft and MIC Real Estate. These entities were established as single member limited liability companies for Morriss' mother. Additionally, Mrs. Morriss had already claimed these passive losses for her own benefit in previous years. In addition to these 2007 tax losses, Morriss admitted to evading millions more in taxes on income from his venture capital companies in subsequent tax years.
Morriss did not timely file tax returns for 2006, 2007, 2008 and 2009. On June 27,2011, Morriss filed the delinquent 2007 tax return that is the subject of the guilty plea, along with delinquent 2008 and 2009 tax returns.
Sybil A. Smith, the Special Agent in Charge of IRS-Criminal Investigation, stated, "To build faith in our nation's tax system, honest taxpayers need to be reassured that everyone is paying their fair share. IRS Criminal Investigation, together with the Department of Justice, will diligently investigate and prosecute those who knowingly violate our tax system for their own enrichment."
Morriss, Creve Coeur, MO, pled guilty to one felony count of tax evasion before United States District Judge Rodney Sippel. Sentencing has been set for November 22, 2013.
This charge carries a maximum penalty of five years in prison and/or fines up to $100,000. Restitution is mandatory. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
Morriss' plea comes shortly after a judgment of permanent injunction was ordered against him in the case of Securities and Exchange Commission v. Burton Douglas Morriss in the Eastern District of Missouri. On August 13, 2013, United States District Judge Carol E. Jackson ordered that Morriss, among other things, is prohibited from acting as an officer or director of certain companies issuing securities. The SEC matter was filed in 2012 in the wake of the collapse of the Acartha Group, LLC and other venture capital companies run by Morriss. The SEC complaint alleged that Morriss had fraudulently transferred millions of investor dollars to himself for personal use. In addition to the director/officer bar, the SEC will ask the Court to order disgorgement of ill-gotten gains and civil penalties at a future date.
In addition to the SEC, this case was investigated by Internal Revenue Service Criminal Investigation, the Federal Bureau of Investigation and the United States Postal Inspection Service. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.
Florida Man Pleads Guilty to Charges in Connection with Stolen Identity Tax Fraud SchemeRead the Press Release
St. Louis, MO –DWAYNE DENARD JOHNSON, Wesley Chapel, Florida, pled guilty to two counts of aggravated identity theft for his role in a stolen identity tax fraud scheme lead by his wife Tania Henderson from their home in suburban Tampa. Johnson is the fifth person involved in the scheme charged and convicted in the Eastern District of Missouri.
According to the plea agreement, Johnson admitted to helping his wife and others use the identities and social security numbers of hundreds of people to file phony tax returns and collect the refunds generated by those returns. In all, the scheme has been found to have involved more than 400 stolen identities and generated more than $1.8 million dollars in refunds, about half of which was intercepted by the IRS before coming under the control of the fraudsters.
Johnson now faces a minimum of two years imprisonment and a maximum of four years imprisonment. Additionally, restitution is mandatory. Sentencing has been set for November 26, 2013.
His wife, Tania Henderson, of Wesley Chapel, Florida, was sentenced in July to 144 months in prison for her role in leading a stolen identity tax fraud scheme during 2012.
This case was investigated by the Internal Revenue Service-Criminal Investigation. Assistant United States Attorney Tom Albus handled the case for the U.S. Attorney’s Office.
Final Defendant in National Prearranged Services, Inc. Case Convicted on 18 Counts of FraudRead the Press Release
St. Louis, MO – DAVID R. WULF was convicted today after a thirteen-day trial before United States District Judge Jean C. Hamilton for his role in one of the largest frauds ever prosecuted in the Eastern District of Missouri. Wulf was convicted on 18 counts, including bank fraud, wire fraud, wire fraud affecting a financial institution and conspiracy to commit those crimes.
Wulf was appointed in the 1980's to serve as the independent investment advisor to the preneed funeral trusts established pursuant to Missouri statutes by National Prearranged Services, Inc. (“NPS”). As the trusts’ advisor, Wulf was responsible for protecting, investing and managing the trusts’ assets, which included more than $150 million paid by customers who were told their funds would be kept safe until the time of need. The government’s evidence at trial, however, established that Wulf continually authorized the use of trust funds to pay unrelated debts of companies affiliated with NPS, to enrich his co-defendants and ultimately to perpetuate a massive Ponzi scheme that spanned more than a dozen states and affected thousands of individual customers.
According to court documents and testimony presented at trial, beginning as early as 1992 and continuing until 2008, NPS sold prearranged funeral contracts in several states, including Missouri, Illinois and Ohio. During that time, insurance companies affiliated with NPS issued life insurance policies related to those prearranged funeral contracts. As part of the contracts, the total price for funeral services and merchandise for an individual was agreed upon, and that price would remain constant regardless of when the funeral services and merchandise would be needed. Customers entering into prearranged funeral contracts would usually pay a single sum of money up-front to NPS either directly or through a funeral home that was also a party to the contract. NPS represented to individual customers, funeral homes and state regulators that funds paid by customers under the prearranged funeral contracts would be kept in a secure trust or insurance policy as required under state law.
Court documents disclose, however, that NPS made use of funds paid by customers in ways that were inconsistent both with its prior and continuing representations and with the applicable state laws and regulations. Instead, NPS operated as a fraudulent Ponzi-like scheme, where customer funds were neither kept safe in bank trusts or insurance policies, but instead were utilized for unauthorized purposes and the personal enrichment of NPS’ officers and others. In turn, new business became the source of funding for funerals that prior customers had previously paid for in advance. Victims of the scheme include individual customers, funeral homes and state insurance guarantee associations across the country.
Each count of bank fraud, conspiracy and wire fraud affecting a financial institution carries a maximum penalty of 30 years imprisonment. The wire fraud counts each carry a maximum penalty of 20 years. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Wulf’s sentencing has been set for November 7, 2013.
Wulf's co-defendants James Douglas Cassity, Brent Douglas Cassity, Howard Wittner, Randall Sutton and Sharon Nekol Province each pled guilty to charges against them earlier this year and likewise await sentencing in November.
This case was investigated by the Internal Revenue Service-Criminal Investigation, the Federal Bureau of Investigation and the Postal Inspection Service. Assistant United States Attorneys Steven Muchnick, Charles Birmingham and Richard Finneran prosecuted the case for the U.S. Attorney’s Office.
Woman Found Guilty of Use and Possession of Counterfeit Credit CardsRead the Press Release
St. Louis, MO – LISA D. PAIGE, Alexandria, Virginiawas found guilty today, following a two-day jury trial, of one felony count of Using a Counterfeit Device (Count I) and one felony count of Possession of 15 or More Counterfeit Access Devices (Count II), for her role in a credit card skimming operation in which she and two accomplices traveled from Baltimore, Maryland, to Missouri for the purpose of using counterfeit credit cards to buy cigarettes. The trial was held at the United States Courthouse in Cape Girardeau in front of District Judge Carol E. Jackson. The case began when a credit card number of a Michigan resident was used in Perryville, Missouri.
The sentencing date for Lisa D. Paige has not yet been determined.
his case was investigated by the Perryville, Missouri, Police Department and the United States Secret Service. Assistant United States Attorney H. Morley Swingle handled the prosecution for the Government.
Two Local Business Men Indicted on Federal Fraud ChargesRead the Press Release
St. Louis, MO –ROBERT PALMER and MARK DRIVER were the owners and operators of Princeton Partnership, LLC which operated out of an office in the Hill area of St. Louis, Missouri. They are charged with allegedly defrauding numerous elderly Princeton customers, in an approximate amount of $3,000,000, beginning July 2004 and continuing through February 2010.
According to the indictment, Princeton was an insurance brokerage business purportedly involved in the sale of life insurance products. Princeton was initially located at 12231 Manchester Road, St. Louis, and then operated at 1928 Marconi Street (also known as 5149 Daggett Avenue), St. Louis. Palmer and Driver both ran the day-to-day operations of Princeton, solicited customers, marketed the company's services and had financial oversight of the company with authorization over the company's two operating bank accounts. Palmer and Driver solicited Princeton customers with the false promises that they would invest the customers' funds in suitable investments, including but not limited to real estate, stocks and life insurance annuities.
During 2004 Palmer solicited several members of a family who had received funds upon the death of their aunt with the false representation that Princeton would place those funds in a real estate investment for the benefit of those customers. Based upon his false representations, the family members transferred some or all of those funds to Princeton.
In 2005 Palmer solicited funds from an elderly individual and her family with the false representation that they would place those funds in a real estate investment for her benefit. Based on those representations, the family transferred her funds to Princeton.
During 2006 through 2010 Palmer solicited investment funds from two elderly sisters with the false representations that Princeton would make suitable investments with those funds. The sisters transferred their funds and control of their stock holdings to Princeton and, later Palmer and Driver sold and liquidated the stocks and persuaded one of the sisters to liquidate a life insurance policy as well, and transferred the funds to Princeton.
During 2007 through 2009 Driver solicited investment funds from an elderly woman who transferred her funds, as well as control of her stock holdings to Princeton.
In 2006, an elderly woman was solicited by Driver to invest her personally-held funds in a series of life insurance annuities through Princeton. Princeton used her funds to purchase four (4) life insurance annuities. As a further part of the scheme, during in or about 2008 and 2009, at Driver’s direction she liquidated three (3) of her life insurance annuities and provided those funds to Princeton based upon the false representations of the funds would be placed in suitable investments for her benefit.
All of the funds transferred to Palmer, Driver and Princeton by the victims were used by Palmer and Driver for their own personal expenses and the general operating expenses of Princeton. Palmer and Driver also engaged in Ponzi-type transactions where they used some funds provided by new customers to pay old customers who falsely believed they were receiving the returns on their purported investments.
Finally, the indictment alleges that in all cases Palmer and Driver obtained approximately $3,000,000 from Princeton customers based upon their false representations which they used for their own personal expenses and for the expenses of their company Princeton.
Palmer, Kansas City, MO, and Driver, St. Louis, MO, were each indicted by a federal grand jury on two felony counts of mail fraud and two felony counts of wire fraud.
If convicted, each count of mail and wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
This case was investigated by the Federal Bureau of Investigation and the Postal Inspection Service. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney's Office.Former Manager of Local Title Company Pleads Guilty to Federal Fraud ChargesRead the Press Release
St. Louis, MO – ELIZABETH GLOSEMEYER, St. Louis County, pled guilty to raiding the company’s escrow account to fund operations during the time she was the manager of Lenders Guarantee Title Company of St. Louis.
According to court documents, the escrow account consisted of clients’ money and was to be used only for clients’ real estate transactions. Glosemeyer doctored financial records to cover up her raiding of the escrow account from Lenders’ underwriters. In the summer of 2012, an audit uncovered Glosemeyer’s scheme and Lenders went out of business soon thereafter. Due to the deficit in the escrow account Glosemeyer created, at least one transaction in excess of $200,000 had to be closed with the underwriters’ funds. She appeared before United States District Judge Rodney W. Sippel. Sentencing has been set for November 15, 2013.
Each count of wire fraud carries a maximum term of imprisonment of 20 years, a $250,000 fine or both. Restitution is also mandatory. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the U.S. Postal Inspection Service and the Federal Bureau of Investigation. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.Former Finance Director of the Flood Team LLC Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – RUTH JACKSON was sentenced to 34 months in prison for embezzling over $50,000 by diverting checks and funds payable to The Flood Team, LLC. She was also ordered to pay restitution of $50,000.
The Flood Team LLC provides remediation and restoration services related to water damage. In August 2011, Ruth Jackson was hired as Director of Finance for the business. In that capacity, Jackson had responsibility for a variety of matters relating to the books, records and finances of The Flood Team LLC. Jackson's responsibilities included paying bills, preparing deposits and managing various bank accounts.
According to court documents, Jackson secretly kept an old corporate account open and hidden from the owner of the business. Between November 2011 and late April 2012, Jackson embezzled over $50,000 by diverting checks and funds payable to The Flood Team LLC into the secret account, then wrote checks to herself which she cashed at various locations in the area.
Jackson, St. Louis, MO, pled guilty in January to one felony count of bank fraud. She appeared today for sentencing before United States District Judge John Ross.
The case was investigated by the United States Postal Inspection Service and the Sunset Hills Police Department. Assistant United States Attorney John Bodenhausen handled the case for the U.S. Attorney's Office.Bucket List Bandit Sentenced to 135 Months in PrisonRead the Press Release
Erie, PA – A former resident of Pensacola, Florida, has been sentenced in federal court to
135 months in prison and ordered to make restitution to the banks involved on his conviction of
bank robbery, United States Attorney David J. Hickton announced today.Chief United States District Judge Sean M. McLaughlin imposed the sentence on Michael
Eugene Brewster.According to information presented to the court, between June 21, 2012 and September 10,
2012, Brewster robbed eleven banks across the nation. In the course of the bank robbery spree
Brewster used a similar method of operation and entered each bank, without being disguised, wore
similar clothes, carried a dark leather notebook, presented demand notes containing similar
threatening language to each of the victim tellers and left the scene driving a 2009 black SUV,
which Brewster had stolen in Pensacola, Florida.In his last bank robbery in Erie, Pennsylvania, on September 10, 2012, Brewster entered the Huntington National Bank, located at 2185 West 12th Street and presented a demand note, claiming that he had a gun and that the teller had one minute to comply. Brewster then claimed to the teller that he had cancer and did not care what happened. Brewster obtained bank proceeds and fled the area in a black SUV. Bank surveillance images and from area surveillance cameras clearly depicted Brewster and the vehicle he used.
Comparing the Erie Huntington Bank surveillance photographs with those from the ten other bank
robberies that had occurred throughout the United States confirmed that each robbery had been
committed by the same person. On September 12, 2012, the FBI received a tip that the bank robber
depicted in the surveillance photographs was Brewster. A review of Brewster's Florida driver's
license confirmed Brewster's identity as the bank robber. In addition, evidence disclosed that an
arrest warrant had been issued for Brewster alleging that he had stolen a black Chevy Captiva SUV
in Pensacola, Florida, on June 11, 2012. Once Brewster's identity had been established in the Erie,
Pennsylvania robbery, the FBI and law enforcement partners in the jurisdictions of the other ten
bank robberies confirmed his identity in those cases as well.Brewster entered the Chase Bank at 5250 Wadsworth Boulevard in Arvada, Colorado, on
June 21, 2012, the Chase Bank at 1484 South Milton Road in Flagstaff, Arizona, on June 27, 2012;
and the Ireland Bank at 486 Yellowstone Avenue in Pocatello, Idaho, on July 6, 2012, and obtained
federally insured funds after presented a threatening note demanding money. In Roy, Utah, on July
6, 2012, Brewster entered the Wells Fargo Bank located at 5603 South 1900 West, and obtained
money after presenting a threatening demand note claiming that he had only four months to live.
In Winston-Salem, North Carolina, on July 20, 1012, Brewster entered a Bank of America at 1209
Silas Creek Parkway and presented a threatening demand note indicating that he had nothing to lose
and threatening to come back after the teller if any silent alarm was activated. Brewster obtained
no money from the Wells Fargo Bank. Then, at the Regions Bank at 360 West State Road 436 in
Altamonte Springs, Florida, on July 27, 2012, the BB&T bank at 2120 Gunbarrel Road in
Chattanooga, Tennessee, on August 3, 2012; the PNC bank at 2217 West Market Street in
Bloomington, Illinois, on August 17, 2012; the Lamdmark Bank at 202 North Stadium Boulevard in
Colombia, Missouri, on August 29, 2012; and the Lindell Bank at 4521 Highway K in O'Fallon,
Missouri, on August 30, 2012, Brewster obtained money after presenting threatening demand notes,
including a claim that he was armed with a gun.On September 13, 2012, a police officer with the Roland Police Department in Roland,
Oklahoma, conducted a traffic stop of a black, 2009 Chevy Captiva vehicle and identified Brewster
as the driver and sole occupant. A fake Utah license plate had been affixed to the vehicle. A
computer check of Brewster's name revealed Brewster's outstanding arrest warrant in Pensacola,
Florida, for allegedly stealing the Chevy Captiva vehicle. Brewster was then taken into custody and
was found to be in possession of money from the Erie, Pennsylvania, Huntington bank robbery.
Among other items located in the Captiva vehicle was a handgun, money from the Erie,
Pennsylvania Huntington Bank robbery, the clothing worn by Brewster in the bank robberies as
depicted in the surveillance photographs and the leather notebook carried by Brewster into the
banks he robbed. Brewster was then arrested on the Erie, Pennsylvania, arrest warrant and he was
returned to the Western District of Pennsylvania to face federal prosecution.Prior to imposing sentence, Judge McLaughlin commented on the fact that Brewster's claim
of a terminal disease was untrue and stated that, "The impetus for the crimes was simply greed, not
grief."Assistant United States Attorney Marshall J. Piccinini prosecuted this case on behalf of the
government.U.S. Attorney Hickton commended the Federal Bureau of Investigation in each of the
jurisdictions, the Erie Bureau of Police, the Arvada Police Department, the Flagstaff Police
Department, the Pocatello Police Department, the Roy City Police Department, the Winston-Salem
Police Department, the Altamonte Springs Police Department, the Chattanooga Police Department,
the Bloomington Police Department, the Columbia Police Department, the O'Fallon Police
Department and the Roland Police Department for the investigations leading to the successful
prosecution of Brewster.Bucket List Bandit Sentenced to 135 Months in PrisonRead the Press Release
Erie, PA – A former resident of Pensacola, Florida, has been sentenced in federal court to
135 months in prison and ordered to make restitution to the banks involved on his conviction of
bank robbery, United States Attorney David J. Hickton announced today.Chief United States District Judge Sean M. McLaughlin imposed the sentence on Michael
Eugene Brewster.According to information presented to the court, between June 21, 2012 and September 10,
2012, Brewster robbed eleven banks across the nation. In the course of the bank robbery spree
Brewster used a similar method of operation and entered each bank, without being disguised, wore
similar clothes, carried a dark leather notebook, presented demand notes containing similar
threatening language to each of the victim tellers and left the scene driving a 2009 black SUV,
which Brewster had stolen in Pensacola, Florida.In his last bank robbery in Erie, Pennsylvania, on September 10, 2012, Brewster entered the Huntington National Bank, located at 2185 West 12th Street and presented a demand note, claiming that he had a gun and that the teller had one minute to comply. Brewster then claimed to the teller that he had cancer and did not care what happened. Brewster obtained bank proceeds and fled the area in a black SUV. Bank surveillance images and from area surveillance cameras clearly depicted Brewster and the vehicle he used.
Comparing the Erie Huntington Bank surveillance photographs with those from the ten other bank
robberies that had occurred throughout the United States confirmed that each robbery had been
committed by the same person. On September 12, 2012, the FBI received a tip that the bank robber
depicted in the surveillance photographs was Brewster. A review of Brewster's Florida driver's
license confirmed Brewster's identity as the bank robber. In addition, evidence disclosed that an
arrest warrant had been issued for Brewster alleging that he had stolen a black Chevy Captiva SUV
in Pensacola, Florida, on June 11, 2012. Once Brewster's identity had been established in the Erie,
Pennsylvania robbery, the FBI and law enforcement partners in the jurisdictions of the other ten
bank robberies confirmed his identity in those cases as well.Brewster entered the Chase Bank at 5250 Wadsworth Boulevard in Arvada, Colorado, on
June 21, 2012, the Chase Bank at 1484 South Milton Road in Flagstaff, Arizona, on June 27, 2012;
and the Ireland Bank at 486 Yellowstone Avenue in Pocatello, Idaho, on July 6, 2012, and obtained
federally insured funds after presented a threatening note demanding money. In Roy, Utah, on July
6, 2012, Brewster entered the Wells Fargo Bank located at 5603 South 1900 West, and obtained
money after presenting a threatening demand note claiming that he had only four months to live.
In Winston-Salem, North Carolina, on July 20, 1012, Brewster entered a Bank of America at 1209
Silas Creek Parkway and presented a threatening demand note indicating that he had nothing to lose
and threatening to come back after the teller if any silent alarm was activated. Brewster obtained
no money from the Wells Fargo Bank. Then, at the Regions Bank at 360 West State Road 436 in
Altamonte Springs, Florida, on July 27, 2012, the BB&T bank at 2120 Gunbarrel Road in
Chattanooga, Tennessee, on August 3, 2012; the PNC bank at 2217 West Market Street in
Bloomington, Illinois, on August 17, 2012; the Lamdmark Bank at 202 North Stadium Boulevard in
Colombia, Missouri, on August 29, 2012; and the Lindell Bank at 4521 Highway K in O'Fallon,
Missouri, on August 30, 2012, Brewster obtained money after presenting threatening demand notes,
including a claim that he was armed with a gun.On September 13, 2012, a police officer with the Roland Police Department in Roland,
Oklahoma, conducted a traffic stop of a black, 2009 Chevy Captiva vehicle and identified Brewster
as the driver and sole occupant. A fake Utah license plate had been affixed to the vehicle. A
computer check of Brewster's name revealed Brewster's outstanding arrest warrant in Pensacola,
Florida, for allegedly stealing the Chevy Captiva vehicle. Brewster was then taken into custody and
was found to be in possession of money from the Erie, Pennsylvania, Huntington bank robbery.
Among other items located in the Captiva vehicle was a handgun, money from the Erie,
Pennsylvania Huntington Bank robbery, the clothing worn by Brewster in the bank robberies as
depicted in the surveillance photographs and the leather notebook carried by Brewster into the
banks he robbed. Brewster was then arrested on the Erie, Pennsylvania, arrest warrant and he was
returned to the Western District of Pennsylvania to face federal prosecution.Prior to imposing sentence, Judge McLaughlin commented on the fact that Brewster's claim
of a terminal disease was untrue and stated that, "The impetus for the crimes was simply greed, not
grief."Assistant United States Attorney Marshall J. Piccinini prosecuted this case on behalf of the
government.U.S. Attorney Hickton commended the Federal Bureau of Investigation in each of the
jurisdictions, the Erie Bureau of Police, the Arvada Police Department, the Flagstaff Police
Department, the Pocatello Police Department, the Roy City Police Department, the Winston-Salem
Police Department, the Altamonte Springs Police Department, the Chattanooga Police Department,
the Bloomington Police Department, the Columbia Police Department, the O'Fallon Police
Department and the Roland Police Department for the investigations leading to the successful
prosecution of Brewster.Middletown, Missouri, Bank Manager Sentenced on Embezzlement ChargesRead the Press Release
St. Louis, MO – CANDIDA S. LEHNEN was sentenced to 15 months in federal prison for embezzling more than $90,000 from the American Bank of Missouri while working as a bank branch manager. In addition to the prison sentence, she was ordered to pay more than $90,000 in restitution. Following her term of imprisonment, Lehnen will be required to serve five years of supervised release.
According to court documents, between 2010 and November 2012, Lehnen stole funds by fraudulently processing checks and including false information on transaction forms to reduce the likelihood of her scheme being detected by the bank’s financial controls. Other parts of her embezzlement scheme included using altered debit tickets to obtain funds and closing the account of a deceased account holder and withdrawing the funds. Lehnen typically targeted accounts that she believed had a history of inactivity.
Lehnen, Middletown, MO, pled guilty in May to one felony count of embezzlement by a bank officer. She appeared today in St. Louis for sentencing before Senior United States District Judge E. Richard Webber.
This case was investigated by the Missouri State Highway Patrol. Assistant United States Attorney John Bodenhausen is handled the case for the U.S. Attorney’s Office.St. Charles Man Pleads Guilty to Federal Drug and Weapons ChargesRead the Press Release
St. Louis, MO –EHRICK PREIS admitted with his plea in court documents that on six occasions, between December 2012 and March 2013, he distributed at total of 858 units of LSD to undercover law enforcement personnel in exchange for more than $6,000 in St. Charles County. During the transactions, Preis made statements indicating he knew the substance was intended for human consumption, including statements that the substance was "LSA, 2CI and LSD," a "beefed up version of LSD." A subsequent search of Preis’s residence following the sixth drug purchase revealed two improvised explosive devices (IEDs), pipe bomb type devices/destructive devices, which he admitted creating.
Preis, St. Charles, MO, pled guilty before United States District Judge Carol E. Jackson to one felony count of distribution of a controlled substance and one felony count of possession of an unregistered destructive device. Sentencing has been set for November 14, 2013.
The drug charge carries a maximum penalty of 20 years in prison and/or fines up to $250,000; the weapons charge carries a maximum of ten years prison and/or fines up to $10,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the St. Louis County Multi-Jurisdictional Drug Task Force, the Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Michael Reilly is handling the case for the U.S. Attorney's Office.Franklin County Man Sentenced on Federal Child Pornography ChargesRead the Press Release
St. Louis, MO – DARRELL PECK was sentenced to ten years in prison for his possession of child pornography in February 2010 in Franklin County.
Peck, Sullivan, MO, pled guilty February 25th to two felony counts of possession of child pornography. He appeared today for sentencing before Senior United States District Judge E. Richard Webber.
This case was investigated by the Federal Bureau of Investigation and the Franklin County Sheriff’s Office. Assistant United States Attorney Reginald Harris handled the case for the U.S. Attorney’s Office.St. Louis Man Sentenced on Fraud ChargesRead the Press Release
St. Louis, MO – JAY DUNLAP of St. Louis County was sentenced to 60 months in prison for orchestrating two real estate fraud schemes. After a jury trial in April, Dunlap was convicted of bank fraud and wire fraud in connection with the financing of two residential properties between 2005 and 2009. At that time, Dunlap was the owner of A-Team Mortgage company and fraudulently used straw buyers to obtain mortgages, the proceeds of which he controlled. In addition to his prison term, Dunlap was ordered to pay more than $350,000 in restitution to the victims of his offense.
Dunlap was convicted in April of three felony counts of wire fraud, one felony count of bank fraud and one felony count of mail fraud after a four-day trial. He appeared today for sentencing before United States District Judge E. Richard Webber.
The case was investigated by the U.S. Postal Inspection Service and the Federal Housing Finance Agency Office of Inspector General. Assistant United States Attorneys Tom Albus and Dianna Collins handled the case for the U.S. Attorney's Office.
Florida Woman Sentenced for Running Stolen Identity Tax Fraud SchemeRead the Press Release
St. Louis, MO – TANIA HENDERSON of Wesley Chapel, Florida, was sentenced to 144 months in prison for her role in leading a stolen identity tax fraud scheme during 2012. In addition to the term of imprisonment, Henderson was ordered to repay the IRS $835,883 in restitution. She appeared in federal court in St. Louis before United States District Judge Carol E. Jackson.
According to Henderson's plea agreement and other court documents, Henderson stole the identities of more than 400 individuals, many of whom were deceased, and filed fraudulent tax returns using their names and social security account numbers. Henderson pled guilty on April 29, 2013, to one count of theft of government funds and four counts of aggravated identity theft.
Between August and November 2012, Henderson filed 236 fraudulent tax returns from her home in Florida. Using a network of family and friends, she would collect refund checks or prepaid debit cards for the refund amounts and liquidate the proceeds of her scheme. Three of this network, Betty Kirkendoll, Patrina Taylor and Jason Bibbs, have already been prosecuted and sentenced."Stealing identities and filing false tax returns is a serious crime that hurts innocent taxpayers. Today's sentence should serve as a strong warning to those who are considering similar conduct," said Sybil Smith, Special Agent in Charge of IRS-Criminal Investigation.
Although Henderson filed tax returns calling for more than $1.8 million dollars, the IRS was able to intercept nearly $1,000,000 in refunds before they came into Henderson's control.
Henderson’s husband, Dwayne Denard Johnson, also of Wesley Chapel, Florida, has been indicted for theft of government funds and aggravated identity theft and awaits trial in the Eastern District of Missouri. As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Mr. Johnson is presumed to be innocent unless and until proven guilty.
This case was investigated by Internal Revenue Service- Criminal Investigation. Assistant United States Attorney Tom Albus handled the case for the U.S. Attorney’s Office.St. Louis Man Sentenced to 10 Years on Carjacking and Weapons ChargesRead the Press Release
St. Louis, MO – Leon Jackson was sentenced to 120 months in prison involving the October 2010 armed carjacking in the City of St. Louis.
According to the facts filed with the court, on October 22, 2010, an individual was parked in front on his business in the 4100 block of Lee, in the City of St. Louis. He was sitting in his Dodge Durango when Jackson approached, pointed a semi-automatic weapon at him, demanded the keys to the vehicle or he would be killed. The victim and Jackson began to struggle over the firearm, and the victim eventually gave him the keys to the vehicle. While Jackson was driving away from the scene, the victim pulled his own firearm and shot at Jackson. During the struggle the victim sustained cuts above his eye and on the hand. A short time later Jackson was arrested in the Durango and was later identified by the victim as the individual who stole his vehicle.
LEON JACKSON, St. Louis, MO, pled guilty in April to one felony count of carjacking and one felony count of possession of a firearm in furtherance of crime of violence. He appeared today for sentencing before United States District Judge Rodney W. Sippel.
This case was investigated by the St. Louis Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Tom Mehan handled the case for the U.S. Attorney’s Office.
Owner of Local Tax Preparation Franchise Pleads Guilty to Tax Conspiracy ChargesRead the Press Release
St. Louis, MO – Jimi Clark, owner of a Mo' Money Tax franchise, admitted to falsely claiming educational tax credits on 47 returns. The American Opportunity Credit (AO Credit) allows certain taxpayers with educational expenses to take a refundable credit on their income taxes. He had been scheduled to proceed to trial this morning.
Jimi Clark admitted to overseeing the preparation of tax returns at his franchise, addressed specific questions about returns as they arose and generally supervised all preparers working in his franchise, including his co-defendants, Justin Buford, Leslie Chaney, Ray Reed and Mary Taylor.
The defendants were trained on educational tax credits, including the American Opportunity Credit (AO Credit). Clark abused the AO Credit program at the Mo' Money franchise during the 2009 filing season to attract and keep clients. The office filed at least 47 returns with false and inflated AO Credit line items. On the vast majority of the line items on which AO Credits were claimed on the false returns, Clark and his preparers claimed exactly $3,765 in qualified education expenses. Out of 494 tax returns prepared for the 2009 tax year at Clark’s franchise, more than half, 288 returns, claimed AO credits. On each of the 47 returns, the taxpayers did not incur the educational expenses claimed and were, therefore, not entitled to the AO credits. Defendants Chaney, Reed and Buford went so far as to false claim educational expenses on their personal 2009 returns. The tax loss to the United States on just the 47 returns listed in the indictment exceeds $50,000. The tax loss for all 288 returns on which educational credits were claimed for the office in 2009 exceeds $300,000.
JIMI CLARK, Memphis, Tennessee, pleaded guilty to conspiracy to commit tax fraud and aiding and abetting the preparation of false tax returns. His sentencing is scheduled for November 19, 2013. Clark appeared before U.S. District Judge Audrey Fleissig.
Co-defendants JUSTIN BUFORD, Memphis, Tennessee; LESLIE CHANEY, St. Louis; MARY TAYLOR, Memphis, Tennessee; and RAY REED, St. Louis, previously pled guilty to related charges and await sentencing.
These charges carry maximum penalties up to five year in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges. Restitution to the United States is also mandatory.This case was investigated by Internal Revenue Service-Criminal Investigation. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.
Kinloch, Missouri Fire Protection District Chief Pleads Guilty to Federal Fraud ChargesRead the Press Release
St. Louis, MO – The Fire Chief for the Kinloch Fire Protection District, Darran Kelley, pled guilty to charges involving his unauthorized use of more than $140,000 of District funds from January 2007 to January 11, 2013. He also pled guilty to making a false statement relative to his receipt of Social Security disability payments, which resulted in overpayments to him of approximately $120,000. Kelley has been the District Fire Chief since 2002.
According to court documents, the Kinloch Fire Protection District maintained a District banking account for the receipt and disbursement of District funds. From January 2007 through January 2013, the District received approximately $160,361 in tax revenues from St. Louis County, Missouri. The City of Kinloch also distributed city funds to the District’s bank account for payroll and operations of the District. It was a part of Kelley’s scheme that on one or more occasions he made unauthorized cash withdrawals from the District’s bank account for his own personal use, including for the purchase of various personal items and for gambling at several casinos in the St. Louis area, that were unrelated to the legitimate operations of the District. It was a further part of Kelley’s scheme that on one or more occasions he made unauthorized transfers of funds from the District’s bank account to pay for charges on his own personal Mastercard credit card, which were unrelated to the legitimate operations of the District.
In June 2010, the Federal Emergency Management Agency (FEMA) awarded the District a grant of $237,500 to cover 95% of the $250,000 total cost of a fire engine, based upon an application submitted by Kelley. The City of Kinloch also distributed $15,000 of city funds to the District to cover the District's responsibility to pay 5% of the cost of the fire engine. Some of these funds were later used by Kelley to purchase personal items and for gambling at several casinos. During April 2011, it was widely reported by the St. Louis area media that the District was unable to pay the insurance premium due on the newly purchased fire engine. The premium then due was reported to be approximately $2,322. Numerous private citizens saw the media reports and made donations to the District to pay for the insurance premium, which donations totaled well in excess of the premium then due. Kelley paid the insurer $2,322, and the remaining donated funds were retained in the District's bank account and later used by Kelley to purchase personal items and for gambling at several area casinos. While Kelley engaged in the unauthorized use of District funds, there were substantial outstanding bills from AmerenUE for electric service, American Water for water service, to AT&T for telephone and communications services and to North Central County Fire Alarm System for dispatch services, radios and pagers. Many of these bills went unpaid as a result of his alleged criminal conduct and some of the necessary services were reduced or cut off due to non-payment.
Beginning on August 15, 2000, Kelley began receiving monthly disability benefit payments through the Social Security Administration pursuant to his application for benefits relative to a personal medical condition. Following his initial application, and in order for the Social Security Administration to determine his continued eligibility for disability benefits, he was required to immediately report any work and income, and to periodically verify his continued disability and report any work on Continuing Disability Review Reports. Kelley failed to truthfully report his work for the Kinloch Fire Protection District, and his income from that work to the Social Security Administration. On July 26, 2011, Kelley made a false statement on his Continuing Disability Review Report by stating that he had not worked since April 1, 2006, the date of his last medical disability decision, when in fact, he had been working as the paid Chief of the Kinloch Fire Protection District during that period of time. Kelley was paid a salary of approximately $640 every two weeks until December, 2011.
DARRAN KELLEY, Ferguson, MO, pled guilty to three felony counts of wire fraud, one felony count of federal program theft and one felony count of making false statements, before United States District Judge Catherine D. Perry. Sentencing has been set for October 16, 2013.
Each count of wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000; federal program theft carries a maximum of 10 years prison and/or fines up to $250,000; and false statement carries a maximum of five years prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Federal Bureau of Investigation, the St. Louis County Police Department and Social Security Administration-Office of Inspector General. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney's Office.Local Real Estate Business Owner Indicted on Fraud ChargesRead the Press Release
St. Louis, MO - RICHARD SADDLER owned Omicron Capital LLC, a company in the business of assisting customers in refinancing commercial and real estate loans.
According to the indictment, between January 1, 2010 and March 31, 2012, Saddler accepted roughly $250,000 from at least five customers and said that the money would be used for down payments or appraisals. Instead, Saddler actually used the money to pay the mortgage on his home, which was in danger of foreclosure, as well as airline tickets, meals and other personal expenses.
Saddler, St. Louis County, was indicted by a federal grand jury on three felony counts of wire fraud.
If convicted, wire fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Hal Goldsmith is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Local Physician, Clinic and Nurse Practitioner Indicted on Health Care Fraud ChargesRead the Press Release
St. Louis, MO – DR. MEL LUCAS, PATTERSON MEDICAL CLINIC, INC. and nurse practitioner, ROBYN LEVY, were indicted on multiple health care fraud related charges for their alleged false billing for services never rendered and false statements in patients’ medical records.
According to the indictment, from June 2008 to June 2011, the Patterson Medical Clinic Inc. and osteopath Mel E. Lucas billed Medicare, Tricare and private insurers for more X-rays than were actually taken. The clinic had X-ray equipment in-house. The indictment also alleges that from 2008 to 2011, the clinic and Dr. Lucas billed for Lucas' services on 573 occasions when he was actually out of town or in Cabo San Lucas, Mexico.
The indictment states that insurers were also billed for Lucas' services on Fridays, when he did not come into the clinic. Instead the patients were seen by medical assistants, who took their vital signs and drew their blood or gave them an injection. Lucas reviewed the records when he returned and billed insurers as if he had actually examined the patients.
Finally, the indictment alleges that Patterson, Lucas and nurse practitioner Robyn Levy also billed insurers for an FDA-approved drug when Lucas had actually bought a non-approved version in Canada for hundreds of dollars less. The patients were not told they were receiving a drug that was not FDA-approved.
Lucas, Florissant, MO; and Patterson Medical Clinic, Inc. were indicted by a federal grand jury on eight felony counts of health care fraud and seven felony counts of false statements related to health service. Levy was indicted on two felony counts of health care fraud and three felony counts of false statements related to health service.
If convicted, each count of health care fraud carries a maximum penalty of ten years in prison and/or fines up to $250,000 and each count of making false statements carries a maximum of five years in prison and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.Additionally, upon a finding of guilt, the defendants will be subject to forfeiture, which will require them to forfeit to the government all money derived from their illegal activity.
This case was investigated by the Department of Health and Human Services-Office of Inspector General and the FBI. Assistant United States Attorney Dorothy McMurtry is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Local Couple Indicted on Charges of Selling Stolen MerchandiseRead the Press Release
St. Louis, MO – CHRISTIAN OUNANIAN and GINA VOGEL were indicted on charges of selling merchandise stolen from Walgreens and CVS drug stores.
According to the indictment, Ounanian owned Xtra Wholesale in St. Louis City. Between 2007 and September 2012, Ounanian and Vogel hired people to steal over the counter drugs and other items from Walgreens and CVS stores. The shoplifters were paid for the items and Ounanian and Vogel conspired to resell the items.
Ounanian and Vogel, both of St. Louis City, were each indicted by a federal grand jury on one felony count of conspiracy to transmit stolen goods and one felony count of interstate transportation of stolen goods. They are expected to appear in federal court later this week.
If convicted, conspiracy to transmit stolen goods carries a maximum penalty of five years in prison and/or fines up to $250,000. Interstate transportation of stolen goods carries a maximum of 10 years in prison and/or fines up to $250,000. In determining the actual sentences, a Judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by Federal Bureau of Investigation. Assistant United States Attorney Anthony Franks is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Local Man Sentenced to 10 Years on Sex Trafficking ChargesRead the Press Release
St. Louis, MO – St. Louis, MO - Carl Mathews was sentenced to 120 months in prison on charges involving the sex trafficking of two area women by force and intimidation.
According to statements made in court during his plea, between 2010 and October 2012, Carl Mathews conspired with others to force the two women to engage in prostitution in the St. Louis metropolitan area. The defendant arranged for one of the women to work in a local hotel. One of the women was told that she needed to help support the household by applying for state and federally-regulated food-stamp benefits and by having sex for money. Their food-stamp identification (EBT) cards were kept from them to deprive them of food and drink as a method of control, and they were sometimes provided the drug MDMA and clothing in preparation for the commercial sex dates.
CARL MATHEWS, Breckenridge Hills, MO, pled guilty in March to one felony count of conspiracy to commit sex trafficking by force, fraud or coercion, and appeared today for sentencing before United States District Judge Henry Autrey.Co-defendant Carla Mathews, also of Breckenridge Hills, is facing trial on one felony count of conspiracy to commit sex trafficking by force, fraud or coercion, and two felony counts of sex trafficking by force, fraud or coercion.
This case was investigated by the Federal Bureau of Investigation, the U.S. Department of Agriculture Office of Investigations and the Breckenridge Hills Police Department. Assistant United States Attorney Noelle Collins is handling the case for the U.S. Attorney's Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Defendant Carla Mathews is presumed to be innocent unless and until proven guilty.