Western District of Missouri
Press releases recorded for this federal judicial district.
Jury Convicts Mexican National of Drug TraffickingRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Mexican national was convicted by a federal trial jury today of his role in a conspiracy to smuggle methamphetamine from Mexico into the Kansas City, Mo., area.
Jose Federico Almeida-Olivas, also known as “Francisco” and “Pancho,” 35, a citizen of Mexico, was found guilty of participating in a conspiracy to distribute methamphetamine and of using a telephone to facilitate the distribution of methamphetamine.
Today’s conviction is the result of a multiple-agency investigation into the activities of a Sinaloa, Mexico-based drug trafficking organization that smuggles large quantities of cocaine and methamphetamine into the United States from Mexico for distribution throughout the United States, including the Kansas City metropolitan area.
Evidence introduced during the trial indicated that Almeida-Olivas was involved in the delivery of 10.5 pounds of methamphetamine to an associate in Kansas City, Mo., in October 2011.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about 1 ½ hours before returning the guilty verdict to U.S. District Judge Dean Whipple, ending a trial that began Monday, Jan. 11, 2016.
Under federal statutes, Almeida-Olivas is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Joseph M. Marquez and Adam Caine. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Jury Convicts KCK Man of Illegal Firearm, MarijuanaRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Kan., man was convicted by a federal trial jury today of illegally possessing a firearm and possessing marijuana for distribution.
Michael Anthony Garrett, 32, of Kansas City, Kan., was found guilty of being a felon in possession of a firearm, possessing marijuana with the intent to distribute and possessing a firearm in furtherance of a drug-trafficking crime.
Evidence introduced during the trial indicated that Garrett was in possession of a loaded Glock .45-caliber pistol on Dec. 28, 2014. An off-duty police officer found Garrett asleep in a Dodge Caravan that was parked at one of the pumps at Grand Slam gas station, 631 Grand, Kansas City, Mo. There was no one else in the vehicle. The officer attempted to wake Garrett up but he would not wake up.
Another officer saw a handgun in the vehicle, lying in plain view on top of a pile of clothes between the seats. There was a holster for the gun observed on the front passenger floor board. Officers also found a mason jar containing 10.3 grams of marijuana in the vehicle. When Garrett eventually woke up, he was arrested.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Garrett has prior felony convictions for aggravated assault of a law enforcement officer and eluding a police officer.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about three hours before returning the guilty verdict to U.S. District Judge Roseann Ketchmark, ending a trial that began Monday, Jan. 11, 2016.
Under federal statutes, Garrett is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of life in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Jeffrey Q. McCarther and Alison Dunning. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Carl Junction Man Pleads Guilty to Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Carl Junction, Mo., man pleaded guilty in federal court today to receiving and distributing child pornography over the Internet.
Steven Ray Cottle, Jr., 35, of Carl Junction, pleaded guilty before U.S. Magistrate Judge David P. Rush to receiving and distributing child pornography over the Internet.
Law enforcement agents were conducting an undercover investigation in December 2013 and identified Cottle’s computer as receiving and distributing child pornography over the Internet through a peer-to-peer file-sharing program. When agents executed a search warrant at his residence on Feb. 13, 2014, Cottle attempted to hide his laptop computer and two thumb drives by placing them above the ceiling tiles in his bedroom before he came downstairs to talk to law enforcement officers. Investigators discovered images and videos of child pornography on the laptop and thumb drives.
Under federal statutes, Cottle is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 20 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the Southwest Missouri Cybercrimes Task Force and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Two Women Indicted in $254,000 Tax Refund SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Texas woman and an Alabama woman were indicted in federal court today for their roles in a conspiracy to claim more than $254,000 in fraudulent tax refunds.
Kalena LaToya Winston, 39, of Killeen, Texas, and Shree C. Furby, 39, of Talladega, Ala., were charged in a 22-count indictment returned by a federal grand jury in Kansas City, Mo.
Today’s indictment alleges that Winston and Furby participated in a conspiracy to file false claims for federal income tax refunds from January 2011 to April 12, 2012. According to the indictment, the tax refund scheme resulted in a criminal tax loss of at least $254,893.
Winston allegedly prepared fraudulent 2010 and 2011 tax returns that included false information in order to increase the taxpayers’ earned income credit. Furby allegedly assisted Winston by filing two false tax returns and allowing Winston to use her address on 11 tax returns in order to receive the refunds.
In addition to the conspiracy, Winston and Furby are charged together in two counts of making fraudulent claims to the IRS in order to receive a tax refund to which the individual was not entitled. Winston is charged in an additional 19 counts of making false claims.
All of the federal tax returns were filed at the Internal Revenue Service Center located in Kansas City, Mo.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation.
Tulsa Physician Pleads Guilty to Producing Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Tulsa, Okla., physician pleaded guilty in federal court today to using a minor to produce child pornography.
Shelby J. Coleman, 38, of Tulsa, pleaded guilty before U.S. Magistrate Judge David P. Rush to the sexual exploitation of a child. Coleman, a medical doctor and partner of Tulsa Women’s Health Center, has been in federal custody since his arrest in September 2013.
By pleading guilty today, Coleman admitted that he communicated with a 16-year-old minor in Laclede County, Mo., identified as John Doe, via cell phone texts. At Coleman’s request, John Doe sent him multiple sexually explicit images of himself.
When John Doe’s father discovered the text messages, he contacted the Missouri State Highway Patrol. A state trooper assumed the identity of John Doe for the purpose of the investigation.
On Sept. 28, 2013, Coleman was apprehended by investigators after he traveled to Springfield, Mo., in order to meet John Doe for a sexual liaison.
Under federal statutes, Coleman is subject to a mandatory minimum sentence of 15 years in federal prison without parole, up to a sentence of 30 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the FBI, the Joplin, Mo., Police Department, the Southwest Missouri Cyber Crimes Task Force and the Missouri State Highway Patrol.
Raytown Man Indicted for Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Raytown, Mo., man was indicted by a federal grand jury today for possessing and distributing child pornography over the Internet.
James Anthony Bee, 48, of Raytown, was charged in a two-count indictment returned by a federal grand jury in Kansas City, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Bee on Monday, Jan. 11, 2016.
Today’s indictment alleges that Bee distributed child pornography over the Internet on Oct. 31, 2015. The indictment also charges Bee with possessing child pornography on Aug. 5, 2015.
According to an affidavit filed in support of the original criminal complaint, a search warrant was executed at Bee’s residence on Aug. 3, 2015, in response to evidence that Bee was part of a large network of individuals accessing, distributing, receiving and possessing child pornography. Law enforcement officers seized numerous computers, computer hard drives and computer peripherals from Bee’s residence.
Due to the volume of items seized from Bee’s residence, the affidavit says, these computers and computer peripherals are still being analyzed by the FBI’s Regional Computer Forensics Laboratory. Preliminary examination results have identified in excess of 1,000 videos and image files of child pornography, including 437 video files and 722 image files.
In November 2015, the affidavit says, law enforcement officers learned that Bee was continuing to access, receive, and distribute child pornography over the Internet with a number of new computer and computing devices he obtained after the search warrant was executed. A detective with the Independence, Mo., Police Department had identified Bee’s new computer as requesting video files of child pornography via a peer-to-peer file-sharing network. Another search warrant was executed at Bee’s residence on Monday, Jan. 11, 2016.
When officers entered Bee’s residence, according to the affidavit, he was immediately combative and refused to respond to any commands issued by the FBI or the Raytown, Mo., police officers. Bee was advised that he would be placed under arrest, and he continued to resist the FBI and police officers. Bee continued to pull his arms away from the officers, the affidavit says, attempted to kick these officers, and screamed and threatened physical harm to the officers. Bee kicked a police officer as he attempted to gain control over Bee and place him under arrest. According to the affidavit, Bee was transported to the Raytown Police Department’s detention facility, and, while there, continued his resistance to officers’ commands and damaged the cell where he was being kept.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Patrick D. Daly. It was investigated by the Kansas City, Mo., Police Department, the FBI, the Independence, Mo., Police Department and the Raytown, Mo., Police Department.
KC Man Sentenced for Armed Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for his role in a conspiracy to commit several armed robberies at restaurants in the metropolitan area.
Jeremy Hunter, also known as “Heat,” 25, of Kansas City, was sentenced by U.S. District Judge Beth Phillips to 10 years in federal prison without parole.
On Sept. 1, 2015, Hunter pleaded guilty to participating in a conspiracy to commit armed robbery, to one count of armed robbery and to one count of using a firearm in a crime of violence. Co-defendants Isiah G. Etienne, 20, and and Mikah M. Labayen, 20, both of Blue Springs, and Renargo L. Martin, 46, of Kansas City, Mo., have also pleaded guilty to their roles in the conspiracy and to related charges.
Hunter, Etienne, Labayen and Martin each admitted that he participated in a conspiracy to rob several fast food restaurants in the Kansas City area in the fall of 2014. Etienne and Labayen were employed at a Chipotle restaurant in Blue Springs. Using their knowledge of procedures commonly used by such establishments, conspirators would wait until the end of a business day, and then rob restaurants by waiting until an employee opened a door to take trash out of the premises. They rushed the door to gain access, and then forced the manager or shift supervisor to give them access to the restaurant’s safe. Conspirators threatened restaurant employees with an assault rifle in order to force their cooperation.
Hunter admitted that he participated in one of the robberies, and loaned his assault rifle to co-conspirators to use in several other robberies in exchange for part of the proceeds. Martin admitted that he drove Hunter to the Blue Springs Chipotle on Nov. 16, 2014. Hunter and Martin were given access to that restaurant’s back door by Labayen, an employee of the restaurant. Armed with his assault rifle, Hunter forced the restaurant employees to the ground as he kicked the door into the manager’s office. Once in the manager’s office, Hunter ordered the supervisor to open the safe and put all the money into a green duffle bag.
Etienne admitted that he robbed a Chipotle restaurant in Lee’s Summit, Mo., on Nov. 3, 2014, taking $1,600; a Burger King restaurant in Independence, Mo., on Nov. 10, 2014, taking $914 and again on Nov. 30, 2014, taking $565; and a Chipotle restaurant in Blue Springs on Nov. 16, 2014, taking $6,800. Following these robberies, Etienne and Labayen were captured after an attempted robbery of a motel.
This case is being prosecuted by Assistant U.S. Attorney Patrick Edwards. It was investigated by the Kansas City, Mo., Police Department, the Lee’s Summit, Mo., Police Department, the Blue Springs, Mo., Police Department and the FBI.
Neosho Man Pleads Guilty to Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Neosho, Mo., man pleaded guilty in federal court today to receiving and distributing child pornography over the Internet.
Larry Don Hilburn, 29, of Neosho, pleaded guilty before U.S. District Judge M. Douglas Harpool to the charge contained in a June 16, 2015, federal indictment.
According to today’s plea agreement, investigators with the Southwest Missouri Cyber Crimes Task Force identified Hilburn’s computer as sharing videos of child pornography through a peer-to-peer file-sharing network. Officers executed a search warrant at Hilburn’s residence and seized his computer, which contained numerous image and video files depicting the sexual abuse of children.
Under the terms of today’s plea agreement, the government will not seek a sentence of more than 10 years in federal prison without parole and Hilburn will not seek a sentence of less than five years in federal prison without parole. Hilburn may also be ordered to pay restitution to his victims. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the FBI and the Southwest Missouri Cyber Crimes Task Force.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Carthage Man Pleads Guilty to Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Carthage, Mo., man pleaded guilty in federal court today to receiving and distributing child pornography over the Internet.
Jerry Batchelor, 51, of Carthage, pleaded guilty before U.S. District Judge M. Douglas Harpool to the charge contained in an April 1, 2015, federal indictment.
By pleading guilty today, Batchelor admitted that he received and distributed child pornography over the Internet between Aug. 10, 2012, and April 4, 2014.
Under federal statutes, Batchelor is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 20 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) and the Southwest Missouri Cybercrimes Task Force.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
KC Business Owner Pleads Guilty to $100,000 Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the owner of a Kansas City, Mo., business pleaded guilty in federal court today to a wire fraud scheme in which he stole $100,000 from a retiree investor.
Gregory T. Evans, 59, of Kansas City, Mo., pleaded guilty before U.S. District Judge Howard F. Sachs to the charge contained in an Aug. 26, 2015, federal indictment.
Evans is co-owner of Regal Homes, LLC. Evans was introduced to the victim in 2012, when he portrayed a desire to help her to assist impoverished neighborhoods by renovating homes for those in need.
By pleading guilty today, Evans admitted that he offered the victim a chance to invest in a securities deal with a bank in Thailand in 2012. Evans claimed that he had personally invested $500,000 with the company, Elna Enterprise for Aguma Investment/Trust, and was involved in the proposed securities deal. The victim investor authorized two $50,000 wire transfers to Regal Homes but she never received any money from the investment.
Evans must forfeit $100,000, which was derived from the proceeds of the offense, to the government.
Under federal statutes, Evans is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Kathleen D. Mahoney. It was investigated by the FBI.
Former Greene County Sheriff's Deputy Charged with Child PornRead the Press Release
jones_complaint.pdf (2.25 MB)SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a former Greene County, Mo., Sheriff’s Deputy has been charged in federal court with possessing child pornography.
Juan Jones, 27, of Springfield, Mo., was charged in a federal criminal complaint filed in the U.S. District Court in Springfield, Mo., on Wednesday, Jan. 6, 2015. Jones remains in federal custody pending a detention hearing on Monday, Jan. 11, 2016.
The federal criminal complaint alleges that Jones was in possession of child pornography between Aug. 21, 2015, and Jan. 6, 2016.
According to an affidavit filed in support of the criminal complaint, law enforcement received a Cyber Tip that had originally been filed with the National Center for Missing and Exploited Children by Dropbox, Inc. Dropbox is a file hosting service and online backup facility that offers cloud storage, file synchronization and client software.
Dropbox had discovered many video and image files that they believed contained child pornography. Investigators determined that Jones was connected to the account responsible for uploading those files to Dropbox. A search warrant was executed for the Dropbox account, which contained 168 video files and approximately 1,500 image files depicting child pornography. Some of the files depict children as young as infants being sexually abused by adult males.
A search warrant was executed on Wednesday, Jan. 6, 2016, at Jones’s residence. While the warrant was being executed, law enforcement officers contacted Jones at his place of employment, the Greene County, Mo., Sheriff’s Department, and he was placed under arrest.
Dickinson cautioned that the charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. The case was investigated solely by the Southwest Missouri Cyber Crimes Task Force and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Houston, MO, Woman Pleads Guilty to Sister's Murder for HireRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Houston, Mo., woman pleaded guilty in federal court today to hiring someone to murder her sister.
Leta Faye Douglas, 52, of Houston, pleaded guilty before U.S. District Judge M. Douglas Harpool to the charge contained in a Feb. 24, 2015, federal indictment.
By pleading guilty today, Douglas admitted that she agreed to pay another person – who was actually an undercover law enforcement officer – $2,000 to murder her sister. Douglas must forfeit the $2,000 that she paid the undercover officer to the government.
According to court documents, Douglas sent a letter to her ex-husband in January 2015, asking for his help. Douglas’s ex-husband, who lives in Nebraska, has been divorced from her for about 18 years and has not maintained contact with her. When he called her in response to receiving the letter, Douglas told him that she wanted her sister killed. Douglas told her ex-husband that her parents were in a home for the elderly and that her sister was in charge of their finances. He believed that Douglas wanted to have access to her parents' financial estate.
Douglas’s ex-husband contacted law enforcement authorities. An undercover employee of the Missouri State Highway Patrol contacted Douglas and made arrangements to meet in the Walmart parking lot in Houston on Feb. 9, 2015. The undercover, who was wearing an audio recording device, approached Douglas’s vehicle and got into the front passenger’s seat. During the initial conversation, she provided the undercover with a photograph of her sister and a hand-drawn map to her sister’s residence.
The entire conversation between Douglas and the undercover was recorded. Douglas told the undercover that her sister’s husband would also be home and that they had two dogs inside the house. She handed him an envelope that contained $2,000.
Douglas was arrested at her residence a few days later.
Under federal statutes, Douglas is subject to a sentence of up to 10 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the FBI, the Missouri State Highway Patrol and the South Central Drug Task Force.
Northland Man Pleads Guilty to Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man pleaded guilty in federal court today to attempting to distribute child pornography over the Internet.
Steven H. Taylor, 25, of Kansas City-North, pleaded guilty before U.S. District Judge Roseann Ketchmark to the charge contained in a Jan. 29, 2013, federal indictment.
According to today’s plea agreement, an undercover federal agent identified Taylor’s computer as sharing images of child pornography over the Internet through a peer-to-peer file-sharing network. The agent downloaded a video file of child pornography from Taylor’s computer.
The agent executed a search warrant at Taylor’s residence and seized his electronic media. According to the plea agreement, investigators identified more than 600 images of child pornography on Taylor’s computers.
Under the terms of today’s plea agreement, Taylor will not seek a sentence of less than six years in federal prison without parole and the government will not seek a sentence of more than 10 years in federal prison without parole. Taylor must pay $5,000 in restitution to one of the victims portrayed in the child pornography collection, or $3,000 if he can pay the latter sum within 30 days of the sentencing date. Taylor must forfeit two desktop computers, which were used to commit the offense, to the government. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the FBI and the Nixa, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Five Southwest MO Residents Indicted for Meth, Illegal FirearmsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that five southwest Missouri residents have been indicted by a federal grand jury, in three separate but related cases, for distributing methamphetamine in Vernon and Bates County, Mo., and for illegally possessing firearms.
USA v. Bogart, et al
Marklee Eugene Bogart, 35, of Nevada, Mo., and Danny Albert Crawford, 35, of El Dorado Springs, Mo., were charged in a six-count indictment returned by a federal grand jury in Springfield, Mo., on Dec. 9, 2015.
The federal indictment alleges that Bogart and Crawford participated in a conspiracy to distribute 50 grams or more of methamphetamine in Vernon County, Mo., from April 29, 2014, to Jan. 22, 2015.
In addition to the conspiracy, the indictment charges Bogart with one count of possessing methamphetamine with the intent to distribute and one count of illegally possessing firearms in furtherance of those drug-trafficking crimes. Bogart allegedly possessed nine rifles, six shotguns and seven handguns.
The indictment also charges Crawford with one count of possessing methamphetamine with the intent to distribute, one count of possessing a firearm in furtherance of those drug-trafficking crimes and one count of being a felon in possession of ammunition. Crawford, who has been convicted of a felony, allegedly possessed a Mountain Arms .22-caliber rifle and 199 rounds of .22-caliber ammunition.
The indictment also contains a forfeiture allegation, which would require Bogart to forfeit to the government any property derived from the proceeds of the alleged offenses, including a total of $50,897 that was seized by law enforcement officers on two separate occasions.
USA v. Grissom, et al
Donald G. Grissom, 60, of Milo, Mo., and Margaret Wyvonne West, 60, of Rockville, Mo., were charged in a five-count indictment returned by a federal grand jury in Springfield, Mo., on Dec. 9, 2015.
The federal indictment alleges that Grissom and West participated in a conspiracy to distribute at least 50 grams of methamphetamine in Bates County, Mo., from Aug. 13 to Dec. 20, 2014.
In addition to the conspiracy, the indictment charges Grissom and West with one count each of possessing methamphetamine with the intent to distribute.
The federal indictment also charges West with one count of distributing methamphetamine and one count of being a felon in possession of firearms. West, who has been convicted of a felony, allegedly possessed a Cobra .380-caliber handgun, a Mossberg .410 shotgun and a Revelation .22-caliber rifle.
The indictment also contains a forfeiture count, which would require West to forfeit to the government any property derived from the proceeds of the alleged offenses, including $10,905 that was seized by law enforcement officers.
USA v. Pryor
James Pryor, 34, of Nevada, Mo., was charged in a two-count indictment returned by a federal grand jury in Springfield, Mo., on Dec. 9, 2015.
The federal indictment alleges that Pryor possessed five grams or more of methamphetamine with the intent to distribute in Vernon County, Mo., on Dec. 1, 2014.
The indictment also alleges that Pryor possessed a firearm in furtherance of that drug-trafficking crime. Pryor allegedly possessed a Super Comanche 45LC/410 handgun.
Dickinson cautioned that the charges contained in these indictments are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
These cases are being prosecuted by Special Assistant U.S. Attorney Jody M. Larison. They were investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Drug Enforcement Administration, the FBI, the Vernon County, Mo., Sheriff’s Department and the Bates County, Mo., Sheriff’s Department.
Springfield Woman Pleads Guilty to Stealing from Jail's Commissary AccountRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., woman pleaded guilty in federal court today to her role in a conspiracy that illegally diverted more than $266,000 from the commissary account at the Greene County Jail.
Terri Ann Moses, 47, of Springfield, pleaded guilty before U.S. District Judge M. Douglas Harpool to participating in a conspiracy to commit bank fraud.
In October 2011, the Greene County Sheriff’s Department discovered numerous unauthorized debits on its commissary account. A review of the commissary account records showed that there were 731 unauthorized transactions from March 2010 to October 2011 with an approximate loss of $266,423. These transactions were conducted by telephone and over the Internet.
Moses and co-defendant Michaela Sheree Ruble, also known as “Boo,” 33, of Springfield, recruited as many as 175 financially distressed persons by offering to pay their bills in exchange for a payment of 50 percent of each individual bill. Ruble and Moses then diverted funds from the jail’s commissary account to pay those bills.
The commissary account was set up to handle monies earned by Greene County Jail inmates as well as expenses incurred transporting and bonding inmates out of jail. When an inmate was released from the Greene County Jail, the inmate was given a check written from the commissary account for any remaining balance held on the inmate’s books at the time of his/her release. The physical check written against the commissary account included the account’s routing and account number. Ruble was housed in the Greene County Jail in 2011, during the time inmates received a physical check.
Moses admitted that she used the jail’s commissary account without authorization to pay her personal bills and conspired with others to pay bills for profit. The loss amount attributable to Moses is $47,372.
Co-defendants Christine Marie Ash, 46, and Tia Lee Marble, 34, both of Springfield, collected money and gave it to Ruble and Moses. Ruble and Moses paid the bills of Ash and Marble in exchange for their participation in the conspiracy.
Ruble, Ash and Marble have also pleaded guilty and have been sentenced. Ruble was sentenced to four years in federal prison without parole. Ash and Marble were each sentenced to a year and a day, and all three co-defendants were ordered to pay restitution. A sentencing hearing for Moses will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Abram McGull, II. It was investigated by the U.S. Secret Service and the Greene County, Mo., Sheriff’s Department.
Former Springfield, Missouri, Man Pleads Guilty to Defacing Islamic Center and Burning the Qur'anRead the Press Release
U.S. Tammy Dickinson of the Western District of Missouri announced that a former Springfield, Missouri, man pleaded guilty in federal court today to violating the civil rights of others by leading a conspiracy to deface The Islamic Center of Springfield with graffiti and burn two copies of the Qur’an.
Adam David Smock, 23, of Edgewater, California, formerly of Springfield, waived his right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush of the Western District of Missouri to a federal information that charges him with participating in a conspiracy to oppress, threaten and intimidate worshippers at the Islamic Center of Springfield in the free exercise and enjoyment of their constitutional right to the free exercise of their religious beliefs.
The Islamic Center of Springfield provides services common to most religious establishments, including regular prayer service, a venue for individuals to pray on their own, community activities and a forum for charitable fund-raising.
Smock admitted that on Jan. 7, 2011, he and two other individuals (one of whom was a 14-year-old minor) spray-painted graffiti on the exterior walls of the Islamic Center of Springfield. The graffiti included explicit and offensive language in addition to such statements as “Bash Back,” “Now is our time!” and “You bash us in Pakistan we bash here.”
Smock also admitted that on April 10, 2011, he and the same two individuals partially burned two copies of the Qur’an, the Muslim holy book, and Smock left the burned Qur’ans directly in front of the main doors to the Islamic Center, approximately 30 feet away from the building, where a co-conspirator also left a computer-printed note that contained the image of a goat’s or ram’s head, and the following text:
“To: Sincere Followers of Allah,
“Today, we show the Muslim Nation that its oppressive religion won't go without a fight, not from soldiers, but from average citizens willing to fight for America – for there are three (sic) burned Qur'ans that lay spread in the driveway. For we grow tired of Anti-Zionism. The Islamification of Europe. Terroristic regimes. And worst of all, the membership of 1.5 billion Muslims that stain the earth. And we vow one thing: Islam will not survive.
“Death to Islam!”
Smock admitted that it was his idea to commit the acts and that he persuaded his co-conspirators to participate, and that he selected the Islamic Center of Springfield for vandalism because of the religious nature of the property in order to threaten and intimidate worshippers so as to hinder and interfere with the worshippers’ enjoyment of their constitutional right to the free exercise of religion.
The total cost of restoration and repair of the damage to the Islamic Center of Springfield, including sandblasting and applying anti-graffiti paint, is $15,662.
Under the terms of today’s plea agreement, a joint recommendation will be made to the court that Smock be incarcerated for 14 days, followed by a five-year term of supervised release; that Smock must pay $10,440 in restitution; and that Smock must perform 40 hours of community service. If the Islamic Center of Springfield, or an Islamic Center located near Smock’s residence, is willing to have him perform his community service on its premises, then that is the location where Smock should perform his community service. Smock will meet with and personally apologize to the leadership of the Islamic Center of Springfield for his crime. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Randall D. Eggert of the Western District of Missouri. It was investigated by the FBI and the Springfield Police Department.
Former Springfield Man Pleads Guilty to Defacing Islamic Center, Burning the Qur'anRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Springfield, Mo., man pleaded guilty in federal court today to violating the civil rights of others by leading a conspiracy to deface The Islamic Center of Springfield with graffiti and burn two copies of the Qur’an.
Adam David Smock, 23, of Edgewater, Calif., formerly of Springfield, waived his right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush to a federal information that charges him with participating in a conspiracy to oppress, threaten, and intimidate worshippers at the Islamic Center of Springfield in the free exercise and enjoyment of their Constitutional right to the free exercise of their religious beliefs.
The Islamic Center of Springfield, 2151 E. Division St., provides services common to most religious establishments, including regular prayer service, a venue for individuals to pray on their own, community activities and a forum for charitable fund-raising.
Smock admitted that on Jan. 7, 2011, he and two other individuals (one of whom was a 14-year-old minor) spray-painted graffiti on the exterior walls of the Islamic Center of Springfield. The graffiti included explicit and offensive language in addition to such statements as “Bash Back,” “Now is our time!” and “You bash us in Pakistan we bash here.”
Smock also admitted that on April 10, 2011, he and the same two individuals partially burned two copies of the Qur’an (the Muslim holy book) and transported the Qur’ans to the Islamic Center of Springfield. Smock left the burned Qur’ans directly in front of the main doors to the Islamic Center, approximately 30 feet away from the building. A co-conspirator left a computer-printed note on the mat in front of the main doors. The note contained the image of a goat’s or ram’s head, and the following text:
“To: Sincere Followers of Allah,
“Today, we show the Muslim Nation that its oppressive religion won't go without a fight, not from soldiers, but from average citizens willing to fight for America – for there are three (sic) burned Qur'ans that lay spread in the driveway. For we grow tired of Anti-Zionism. The Islamification of Europe. Terroristic regimes. And worst of all, the membership of 1.5 billion Muslims that stain the earth. And we vow one thing: Islam will not survive.
“Death to Islam!”
Smock admitted that it was his idea to commit the acts and that he persuaded his co-conspirators to participate. He also admitted that he selected the Islamic Center of Springfield for vandalism because of the religious nature of the property, in order to threaten and intimidate worshippers, so as to hinder and interfere with the worshippers’ enjoyment of their Constitutional right to the free exercise of religion.
The total cost of restoration and repair of the damage to the Islamic Center of Springfield, including sandblasting and applying anti-graffiti paint, is $15,662
Under the terms of today’s plea agreement, a joint recommendation will be made to the court that Smock be incarcerated for 14 days, followed by a five-year term of supervised release; that Smock must pay $10,440 in restitution; and the Smock must perform 40 hours of community service. If the Islamic Center of Springfield, or an Islamic Center located near Smock’s residence, is willing to have him perform his community service on its premises, then that is the location where Smock should perform his community service. Smock will meet with and personally apologize to the leadership of the Islamic Center of Springfield for his crime. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by the FBI and the Springfield, Mo., Police Department.
Blue Springs Man Pleads Guilty to Armed Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Blue Springs, Mo., man pleaded guilty in federal court today to his role in a conspiracy to commit several armed robberies at restaurants in the metropolitan area.
Isiah G. Etienne, 20, of Blue Springs, pleaded guilty before U.S. District Judge Beth Phillips to participating in the robbery conspiracy, to committing robbery and to using a firearm in a crime of violence while aiding and abetting another person.
Co-defendants Jeremy Hunter, also known as “Heat,” 25, and Renargo L. Martin, 46, both of Kansas City, Mo., and Mikah M. Labayen, 20, of Blue Springs, have also pleaded guilty to their roles in the conspiracy and to related charges.
By pleading guilty today, Etienne admitted that he participated in a conspiracy to rob several fast food restaurants in the Kansas City area in the fall of 2014. Etienne and Labayen were employed at a Chipotle restaurant in Blue Springs. Using their knowledge of procedures commonly used by such establishments, conspirators would wait until the end of a business day, and then rob restaurants by waiting until an employee opened a door to take trash out of the premises. They rushed the door to gain access, and then forced the manager or shift supervisor to give them access to the restaurant’s safe. Conspirators threatened restaurant employees with an assault rifle in order to force their cooperation.
Etienne admitted that he robbed a Chipotle restaurant in Lee’s Summit, Mo., on Nov. 3, 2014, taking $1,600; a Burger King restaurant in Independence, Mo., on Nov. 10, 2014, taking $914 and again on Nov. 30, 2014, taking $565; and a Chipotle restaurant in Blue Springs on Nov. 16, 2014, taking $6,800.
Following these robberies, Etienne and Labayen were captured after an attempted robbery of a motel.
Hunter admitted that he participated in one of the robberies, and loaned his assault rifle to co-conspirators to use in several other robberies in exchange for part of the proceeds. Martin admitted that he drove Hunter to the Blue Springs Chipotle on Nov. 16, 2014. Hunter and Martin were given access to that restaurant’s back door by Labayen, an employee of the restaurant. Armed with his assault rifle, Hunter forced the restaurant employees to the ground as he kicked the door into the manager’s office. Once in the manager’s office, Hunter ordered the supervisor to open the safe and put all the money into a green duffle bag.
Under the terms of today’s plea agreement, Etienne is subject to a sentence of 10 years in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Patrick Edwards. It was investigated by the Kansas City, Mo., Police Department, the Lee’s Summit, Mo., Police Department, the Blue Springs, Mo., Police Department and the FBI.
Kentucky Man Sentenced to 20 Years in Prison for Traveling for Illicit Sex with a MinorRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kentucky man was sentenced in federal court today for traveling to Missouri for illicit sex with a 15-year-old girl and to attempting to entice a second child victim for sex.
Marvin D. Herren, 53, of Owensboro, Ken., was sentenced by U.S. Chief District Judge Greg Kays to 20 years in federal prison without parole. The court also sentenced Herren to a lifetime of supervised release following incarceration.
On Aug. 11, 2015, Herren pleaded guilty to traveling with the intent to engage in illicit sex with a minor and to attempting to use the Internet to entice a minor to engage in illegal sexual activity. Herren admitted that he traveled from Kentucky to Missouri in March 2014 to meet a 15-year-old girl (identified in court documents as “Jane Doe”) to engage in illicit sexual conduct.
Herren initially contacted the child victim through social media on March 1, 2014. After a few days of communicating through social media, Herren began asking her questions of a sexual nature and they exchanged nude photos of themselves. On March 6, 2014, Herren sent an instant message to inform her that he was coming to see her in order to engage in illicit sex. Herren drove from Kentucky to Missouri and met Jane Doe and her friend at a restaurant near her high school. He drove them back to the high school, at which time her friend left them. Herren parked near the high school and he and Jane Doe engaged in illicit sexual activity in the back seat of his car.
Herren returned to Kentucky; although he did not see Jane Doe again, he continued for a short time to contact her by instant messaging. Herren discussed her possible pregnancy and told the 15-year-old Jane Doe that they were “now married in God’s eyes.”
Investigators searched Herren’s computer and discovered a search query for runaway laws in Missouri, statutes of limitations on statutory rape in Missouri, a pregnancy calculator and a document containing the ages of consent by state and whether a parent can press charges for such offenses.
In May 2014, during the investigation of the allegations by Jane Doe, an FBI special agent assumed an undercover identity on Facebook of a female named “Jenny.” Although Herren was aware of the federal investigation related to Jane Doe, he began communicating with the undercover agent. The two began a Facebook conversation in which “Jenny” told Herren she was in the ninth grade and also gave her e-mail address. The two began chatting via e-mail frequently. On Jan. 8, 2015, Herren asked “Jenny” how old she was and she stated that she was 14 years old and would turn 15 years old in February. This was the first of several conversations with “Jenny” which were explicitly sexual in nature. Herren sent “Jenny” a video of two adults engaging in sexual intercourse and initiated conversations about visiting “Jenny” and have sex with her. On Jan. 12, 2015, Herren e-mailed a nude photo of himself.
After learning that “Jenny” had argued with her mother and wanted to leave home, Herren told “Jenny” he was going to travel to Kansas City and bring her back to Kentucky with him. Despite previously being investigated for having traveled to Missouri to have sexual intercourse with a minor, Herren made the decision to return to Missouri for the same illicit purposes. This time, however, Herren’s desire was not just to engage in a few-minutes-long sexual encounter in the back seat of his car. Rather, he had the more insidious plan to bring a child back to his home in Kentucky for at least a week-long stay.
Herren made arrangements to meet “Jenny” at a Kansas City, Mo., restaurant. When he arrived at approximately midnight on Jan. 23, 2015, he was placed under arrest.
According to court documents, Herren admitted to federal agents that he received and distributed images of child pornography over the Internet, including images of children as young as two years old. A forensic analysis of Herren’s cell phone and computer was conducted. Herren’s Internet chat room history indicated that he had discussed meeting minor females for sex, had sent nude photos or webcam shots to minors and had told others he had sex with a 13-year-old when he was 22 years old.
This case was prosecuted by Assistant U.S. Attorney David Luna. It was investigated by the St. Joseph, Mo., Police Department and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Accountant Pleads Guilty to $4 Million Embezzlement SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Overland Park, Kan., accountant pleaded guilty in federal court today to an embezzlement scheme in which he stole more than $4 million from his firm’s clients and purchased dozens of luxury vehicles.
Thomas Hauk, 42, of Overland Park, waived his right to a grand jury and pleaded guilty before U.S. District Judge Howard F. Sachs to a 16-count federal information that charges him with five counts of bank fraud, two counts of wire fraud, five counts of counterfeit securities and four counts of money laundering.
Hauk was employed as an accountant at Assured Management Company from approximately 2005 to July 2015. He voluntarily resigned in 2015 to begin employment at a new financial management company, JIM Management, with one of the victims of his fraud scheme. JIM quickly dissolved when the underlying investigation related to Hauk’s embezzlement at Assured Management began to unfold in July 2015.
Between 2006 and July 2015, Hauk engaged in several schemes to defraud four Assured Management clients by embezzling funds from their accounts. The purpose of each scheme was to steal money for Hauk’s own financial use and personal gain to pay living expenses during two marriages and divorces, to send money to a paramour, and to purchase valuable items and motor vehicles, including the purchase of high-dollar vehicles, trailers, jewelry and motorcycles.
For example, Hauk purchased a 2006 Ford GT for $223,249, a 2009 Ferrari for $205,953 and a 2014 Ducati motorcycle for $64,160. Hauk stored the vehicles and motorcycles in three storage units he purchased in Kansas City, Mo., for $163,500.
To date, the total discovered loss to four victims of Hauk’s embezzlement is $4,093,771. A fifth victim, who suffered no financial loss, worked for Assured Management.
While Hauk’s financial fraud scheme began at least in 2006, the amount of money taken by Hauk during the embezzlement accelerated during the last two to three years before the financial fraud scheme was uncovered in July 2015. During that time, Hauk used embezzlement proceeds to make at least 66 complex automobile and motorcycle purchases.
In a separate civil proceeding, the government has seized 33 luxury cars, high-end motorcyles and other vehicles still in Hauk’s possession, which he had purchased for a total of $1,651,146. Hauk bought and traded expensive vehicles on a continuing basis until discovery of his fraud in July 2015. He used proceeds stolen from Assured Management clients, laundering the funds through companies he created, making down payments, paying existing liens, making regular large monthly payments and purchasing vehicles outright. Hauk provided significant false information to qualify for large car loans. Hauk routinely represented himself as a Certified Public Accountant (CPA), which he is not, and falsely represented his legitimate income in excess of $300,000 to $400,000 per year.
During a five-year period, Hauk spent approximately $1,207,639 using three credit cards to purchase such items as:
• $30,500 at Hannoush Jewelry on a 2.5 karat diamond ring,
• $2,400 at Alexander McQueen on a handbag,
• $4,725 at Hannoush Jewelry on a 1887 Carrera bracelet,
• $6,458 at Hannoush Jewelry on a Tag Heuer Carrera watch,
• $4,464 at Hannoush Jewelry on another Carrera 1887 bracelet,
• $8,000 at Custom Wheels related to vehicle accessories,
• $10,123 at Reno’s Powersports related to motorcycles and vehicle accessories,
• $24,555 on insurance related expenses,
• $5,078 at KC Trends related to vehicle accessories,
• $3,107 at B&H Photo Video,
• $3,900 at Sline Motorsports related to vehicle accessories,
• $9,700 on Paypal transactions,
• $8,819 on airline related expenses,
• $6,468 on hotel related expenses,
• $3,792 at Bikesource, and
• $5,436 on Apple products and services.
Hauk perpetrated an “On-the-Books” fraud scheme. The perpetrator of an “On-the-Books” scheme attempts to balance debits and credits in the accounting system to obfuscate transactions and avoid detection. Hauk stole money through a variety of methods and created false accounting entries in Assured Management’s accounting system. Hauk deposited checks from the victims into his business accounts and then wrote checks and cashier’s checks from his companies to his personal accounts and his trust.
Under federal statutes, Hauk is subject to a sentence of up to 30 years in federal prison without parole for each count of bank fraud, 20 years in federal prison for each count of wire fraud, 10 years in federal prison for each count of counterfeit securities and 10 years in federal prison for each count of money laundering. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Jane Pansing Brown; Assistant U.S. Attorneys Curt Bohling and Stacey Perkins Rock are responsible for the civil proceedings. It was investigated by the FBI.
Springfield Man Pleads Guilty to Stealing Mail, Credit Card FraudRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man pleaded guilty in federal court today to possessing stolen mail and to credit card fraud.
Eric David Vancil, 46, of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charges contained in a Dec. 8, 2015, federal indictment.
Vancil admitted that between Oct. 23, 2013, and April 28, 2015, he stole mail from at least 55 individuals in Greene County, Mo., and elsewhere. Law enforcement investigators determined that the mail matter included checks, credit cards, and other personal identification cards and information that belonged to other individuals. Vancil used the stolen mail and information to create or activate credit card accounts that contained personal identification numbers issued to others. Vancil then conducted fraudulent financial transactions using the stolen credit, debit and identification cards to make purchases.
The investigation began when federal agents were notified of numerous break-ins into mail boxes and mail collection receptacles and the theft of mail throughout the Springfield and Joplin, Mo., areas, including several neighborhood delivery collection box units where mail was stolen by prying the rear, locked doors. On Oct. 25, 2013, Vancil was stopped in his Nissan Pathfinder Joplin police officers for a traffic violation. Officers located stolen mail bearing several Springfield addresses, including personal checks. Officers also located a pry bar inside of the vehicle at the time of the stop along with additional stolen mail and IRS tax forms.
On Dec. 24, 2013, another victim reported her mail was stolen and provided two video surveillance photos of a suspect vehicle that matched Vancil’s Nissan Pathfinder. On Feb. 4, 2014, Vancil was stopped by a Springfield police officer in his Nissan Pathfinder. The vehicle contained drugs, numerous burglary tools, stolen checks and several identifications bearing names other than the vehicle occupants.
On Feb. 20, 2014, two checkbooks, keys and multiple credit cards were stolen from a vehicle in Nixa, Mo. The credit card was used at several stores in the Battlefield Mall, including a fraudulent purchase at Foot Locker. When Vancil returned to the store the next day to return the merchandise, store employees called police and delayed Vancil until officers arrived. After a brief foot pursuit, officers detained Vancil, who was carrying checks, credit cards and other items from the theft victim.
On Jan. 27, 2015, a witness reported that a suspect later identified as Vancil drove up to a mailbox and removed mail from the box. On April 28, 2015, a witness reported a suspicious vehicle in Springfield, going from mailbox to mailbox stealing mail. Greene County sheriff’s deputies located the vehicle, the Nissan Pathfinder driven by Vancil. Vancil attempted to flee from officers and drove through some residential yards before being stopped. Deputies recovered approximately 100 pieces of mail from inside the vehicle, in addition to checkbooks, credit cards, applications for financial assistance as well as debit card information and other handwritten personally indefinable information. The recovered mail on this occasion contained addresses for 38 victims.
Among the credit card numbers found in Vancil’s vehicle was one used to make an online reservation for a Springfield motel room.
Under federal statutes, Vancil is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $500,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the U.S. Postal Inspection Service and the Springfield, Mo., Police Department.
Joplin Couple Pleads Guilty to Stealing Mail, Passing Forged ChecksRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that two Joplin, Mo., residents have pleaded guilty in federal court, in separate but related cases, to possessing stolen mail and passing forged checks.
Larissa A. Brady, 32, and her boyfriend, Sheldon Michael Hunt, 32, both of Joplin, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charges contained in Dec. 8, 2015, federal indictments. Brady pleaded guilty today and Hunt pleaded guilty on Tuesday, Dec. 15, 2015.
Brady admitted she had been driving around southwest Missouri between March and June 2015, stealing mail from the mail boxes of businesses and residences to obtain personal information and checks. Brady was gathering information in order to eventually start printing checks but had not progressed to that point. She admitted to cashing the forged checks at various businesses, including Wal-Mart, in order to purchase items that would later be returned to obtain a cash refund. Brady admitted that she had written between $30,000 and $40,000 in stolen checks. Brady also admitted she had gone through approximately 12 check books, each containing 25 checks, which were forged and fraudulently passed at numerous businesses throughout the Joplin area.
Brady was confronted by law enforcement officers at a Joplin Wal-Mart store on June 8, 2015, after she attempted to make an $850 purchase using two different forged checks, which was denied, then returned later the same afternoon to make the same purchase using another forged check. Officers recovered numerous stolen checks, Missouri driver’s licenses, a Social Security card, and other forms of identification belonging to other individuals from Brady’s purse. Officers also searched Brady’s vehicle, where Hunt was waiting for her to return, and recovered numerous checks, credit cards, cash cards, and numerous forms of identification that had been stolen from 66 different individuals in the Joplin area.
Hunt admitted that he was aware Brady was using stolen checks that she would forge and use to make purchases of merchandise so the items could be returned for cash. Hunt admitted that he was involved in stealing mail at various locations in Newton and Jasper Counties, Mo. Hunt had not passed any of the stolen checks, but was well aware of Brady’s actions in passing the checks that he helped steal.
On June 11, 2015, Joplin police officers conducted a traffic stop of Hunt’s vehicle and Hunt was arrested for possession of illegal narcotics. During a search of the vehicle, officers located checkbooks and passports that were in the names of other individuals.
Under federal statutes, Brady and Hunt are each subject to a sentence of up to 15 years in federal prison without parole, plus a fine up to $500,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
These cases are being prosecuted by Assistant U.S. Attorney Patrick Carney. They were investigated by the U.S. Postal Inspection Service and the Joplin, Mo., Police Department.
Six Defendants Plead Guilty to $100 Million Software Piracy SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Seattle, Wash., man has become the sixth defendant convicted in federal court for his role in one of the largest software piracy schemes ever prosecuted by the U.S. Department of Justice.
“An investigation that began in Kansas City, Mo., uncovered one of the largest software piracy schemes ever prosecuted by the U.S. Department of Justice, with tentacles reaching into cities across the United States and overseas,” Dickinson said. “Investigators seized more than $20 million in assets from conspirators who are estimated to have sold in excess of $100 million worth of illicit, unauthorized and counterfeit software products to thousands of online customers.
“Software piracy is a significant economic crime that victimizes not only software developers and manufacturers, but unwitting consumers,” Dickinson said. “Today’s announcement is part of an ongoing investigation. We can’t provide additional information about the investigation at this time, but we expect that more offenders soon will be brought to justice.”
“Pirating software, particularly on this massive scale, damages the American economy, hurts private businesses and harms the unsuspecting buyer,” said acting Special Agent in Charge James Gibbons of HSI Chicago. “These plea agreements mark a historic day for our HSI special agents, and our law enforcement partners, in the fight to stop the theft of intellectual property.”
Rex Yang, 37, of Seattle, waived his right to a grand jury and pleaded guilty before U.S. Chief District Judge Greg Kays on Wednesday, Dec. 16, 2015, to a federal information that charges him with participating in a criminal conspiracy from Jan. 1, 2009, to Dec. 10, 2014.
Yang, who owned and operated Digisoft, LLC., and Premiere Software, Inc., is the sixth and final defendant to plead guilty – in separate, but related, cases – in this stage of an ongoing criminal investigation that originated with a Kansas City, Mo., company. Many of these defendants, and their related entities, had been sued civilly for willful trademark and copyright infringement by Microsoft and other software developers.
The multi-million dollar scheme, with co-conspirators operating overseas in the People’s Republic of China, Singapore and Germany and across the United States, illegally sold millions of dollars of Microsoft Corporation and Adobe Systems, Inc., software product key codes through a charitable organization and several online businesses. (Product key codes are used to obtain full access to unlocked, licensed versions of various copyrighted software programs.) Over 170,000 product activation key codes were distributed by conspirators, and many of these key codes were used and activated numerous times each.
Investigators seized more than $20.6 million in assets, including $10,188,777 seized from bank and investment accounts, 10 luxury automobiles and 27 parcels of real estate with a total market valuation of $9,739,399, through federal forfeitures. Affidavits filed in those forfeiture complaints estimate that conspirators reaped about $30 million in profits from customers who paid more than $100 million for the software.
In the course of this investigation, search warrants have been executed at 13 separate residential and business locations in five different states.
Kansas City, Mo.: USA v. Ross
Casey Lee Ross, 29, of Kansas City, Mo., pleaded guilty on June 11, 2015, to his role in the conspiracy. The investigation began when federal agents in Kansas City, Mo., learned in 2013 that Ross, the owner of Software Slashers, had purchased (and redistributed) tens of thousands of illegitimate and unauthorized Microsoft product key codes and counterfeit product key cards from sources in China.
Ross admitted that he purchased approximately 30,159 product key codes and counterfeit product key cards. Ross purchased these product key codes at prices well below that of the estimated retail price. In many cases, they were distributed on counterfeit card stock intended to make it appear as if they were genuine Microsoft products.
Ross distributed large quantities of these product key codes and counterfeit Microsoft product key cards to co-conspirators in the United States, who in turn sold the product key codes and counterfeit product key cards through their respective Web sites as well as on e-commerce sites such as eBay or Amazon. Ross admitted that he received $1,387,595 from Rex Yang, Jr. of Seattle, Wash.; $1,127,190 from Matthew Lockwood, 38, of Denver, Colo.; $875,630 from Reza Davachi, 41, of Damascus, Md.; and payment for approximately 2,569 unauthorized product key codes from Arunachalam Annamalai, 48, a citizen of India residing in Las Vegas, Nev.
Seattle, Wash.: USA v. Yang
Yang admitted that he possessed approximately 10,205 Microsoft certificates of authenticity. In addition to his purchase from Ross, Yang paid $402,929 to Davachi to acquire various software and software components. Yang also admitted that he sold various software items to Lockwood for $1,574,054.
Denver, Colo.: USA v. Lockwood
Lockwood pleaded guilty on June 11, 2015, to his role in the conspiracy. In addition to his purchases from Ross and Yang, Lockwood (doing business as Discount Mountain, Inc.) paid Davachi $1,243,570 for counterfeit, illicit, and/or unauthorized software and software components.
Lockwood admitted that he obtained approximately 6,165 certificates of authenticity, 4,996 “Lenovo” product key cards and approximately 11,000 unauthorized product key codes.
Baltimore, Md.: USA v. Davachi
Davachi pleaded guilty on Oct. 20, 2015, to his role in the conspiracy. Davachi admitted that, in addition to his purchases from Ross, he paid $672,300 to a counterfeiter within the People’s Republic of China as payment for unauthorized product key codes and counterfeit product key cards.
Federal agents seized approximately 5,040 Microsoft operating system certificates of authenticity – valued at $1.26 million – while executing search warrants at Davachi’s residence and business. Davachi also admitted that he used Project Contact Africa, a charitable organization, as a way of operating his for-profit Rez Candles, Inc. business, which sold a host of items online, including illicit, unauthorized, and counterfeit software. Davachi was aware that the stated purpose of the charity was to “support a medical clinic in Africa for needy families and children” and children suffering from HIV.
Davachi’s role was managing and maintaining the on-line presence of the Project Contact Africa eBay/PayPal charity since January 2004. Over this time, Davachi actively used the Project Contact Africa charity’s eBay/PayPal account to sell unauthorized, illicit, and counterfeit software and software components through eBay, and used the charity’s PayPal account to facilitate payments for these software components.
Davachi managed and maintained the online presence for the Project Contact Africa charity by a person identified in court documents as INDIVIDUAL F, in exchange for a payment to INDIVIDUAL F of approximately $2,000 per month beginning in early 2012. By using the charity’s account to sell his items through the eBay charity store, Davachi saved thousands of dollars per month that he would have otherwise had to pay eBay in the form of various fees. During this time, the Project Contact Africa eBay/PayPal account took in approximately $12
million in revenue, and eBay/PayPal sustained losses of approximately $908,231 due to the waived fees for that were intended to go to this charitable organization.
Customers of the Project Contact Africa eBay charity store were under the impression that “100 percent” of the proceeds of sales were intended to go to the charity when, in fact, Davachi and INDIVIDUAL F agreed that only a portion of the proceeds would go to the charity; the remainder would go to Davachi and Rez Candles, Inc., which, in turn, would use these proceeds to purchase new inventory. Davachi and INDIVIDUAL F intended to repeat this cycle for their benefit. Davachi also admitted that he allowed numerous other individuals, including Ross, to use the Project Contact Africa eBay/PayPal charity store to sell their own items at a significantly reduced amount as compared to other for-profit sales methods on eBay, with the understanding that Ross, and others, would pay back to Davachi a portion of their savings.
Las Vegas, Nev.: USA v. Annamalai
Annamalai pleaded guilty on July 29, 2015, to his role in the software piracy conspiracy. Annamalai is the owner and operator of Vegascart, LLC. Annamalai admitted that he purchased approximately 2,569 Microsoft software product key codes from Ross between March and December 2013. These software key codes are calculated at a loss amount of $250 each, therefore, the relevant loss amount in this matter is estimated at $642,250.
Seattle, Wash.: USA v. Schwartz
Jake Schwartz, 28, of Seattle, Wash., owner of JHS Enterprises, Inc., pleaded guilty on Oct. 27, 2015, to misprision of a felony. Schwartz admitted that he knew about Yang’s involvement in the conspiracy and helped to conceal it. After Digisoft was sued for willful copyright and trademark infringement by Adobe Systems, Schwartz agreed to form a new corporation with Yang, Soft Deals, LLC.
These cases are being prosecuted by Assistant U.S. Attorney Patrick D. Daly; Assistant U.S. Attorney Curt Bohling is responsible for the civil proceedings. They were investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Operation Software Slashers: Six Defendants Plead Guilty to $100 Million Software Piracy SchemeRead the Press Release
U.S. Attorney Tammy Dickinson of the Western District of Missouri announced today that a Seattle man became the sixth defendant convicted in federal court for his role in one of the largest software piracy schemes ever prosecuted by the U.S. Department of Justice.
“An investigation that began in Kansas City, Mo., uncovered one of the largest software piracy schemes ever prosecuted by the U.S. Department of Justice, with tentacles reaching into cities across the United States and overseas,” said U.S. Attorney Dickinson. “Investigators seized more than $20 million in assets from conspirators who are estimated to have sold in excess of $100 million worth of illicit, unauthorized and counterfeit software products to thousands of online customers. Software piracy is a significant economic crime that victimizes not only software developers and manufacturers, but unwitting consumers. Today’s announcement is part of an ongoing investigation. We can’t provide additional information about the investigation at this time, but we expect that more offenders soon will be brought to justice.”
“Pirating software, particularly on this massive scale, damages the American economy, hurts private businesses and harms the unsuspecting buyer,” said acting Special Agent in Charge James Gibbons of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) Chicago. “These plea agreements mark a historic day for our HSI special agents, and our law enforcement partners, in the fight to stop the theft of intellectual property.”
Rex Yang Jr., 37, of Seattle, waived his right to a grand jury and pleaded guilty before Chief U.S. District Judge Greg Kays of the Western District of Missouri on Dec. 16, 2015, to a federal information that charges him with participating in a criminal conspiracy from Jan. 1, 2009, to Dec. 10, 2014.
Yang, who owned and operated Digisoft LLC and Premiere Software Inc., is the sixth and final defendant to plead guilty in separate, but related, cases in this stage of an ongoing criminal investigation that originated with a Kansas City, Missouri, company. Many of these defendants and their related entities had been sued civilly for willful trademark and copyright infringement by Microsoft and other software developers.
The multimillion-dollar scheme, which involved co-conspirators operating overseas in the People’s Republic of China, Singapore and Germany and across the United States, illegally sold millions of dollars of Microsoft Corporation and Adobe Systems Inc. software product key codes through a charitable organization and several online businesses. Product key codes are used to obtain full access to unlocked, licensed versions of various copyrighted software programs. The conspirators distributed more than 170,000 product activation key codes and many of these key codes were each used and activated numerous times.
Investigators seized more than $20.6 million in assets, including $10,188,777 seized from bank and investment accounts, 10 luxury automobiles and 27 parcels of real estate with a total market valuation of $9,739,399, through federal forfeitures. Affidavits filed in those forfeiture complaints estimate that conspirators reaped about $30 million in profits from customers who paid more than $100 million for the software.
Search warrants have been executed at 13 separate residential and business locations in five different states in the course of this investigation.
Kansas City: USA v. Ross
Casey Lee Ross, 29, of Kansas City, pleaded guilty on June 11, 2015, to his role in the conspiracy. The investigation began in 2013, when federal agents in Kansas City learned that Ross, the owner of Software Slashers, had purchased and redistributed tens of thousands of illegitimate and unauthorized Microsoft product key codes and counterfeit product key cards from sources in China.
Ross admitted that he purchased approximately 30,159 product key codes and counterfeit product key cards. Ross purchased these product key codes at prices well below that of the estimated retail price. In many cases, they were distributed on counterfeit card stock intended to make it appear as if they were genuine Microsoft products.
Ross distributed large quantities of these product key codes and counterfeit Microsoft product key cards to co-conspirators in the United States, who in turn sold the product key codes and counterfeit product key cards through their respective websites, as well as on e-commerce sites such as eBay or Amazon. Ross admitted that he received $1,387,595 from Yang; $1,127,190 from Matthew Lockwood, 38, of Denver; $875,630 from Reza Davachi, 41, of Damascus, Maryland; and payment for approximately 2,569 unauthorized product key codes from Arunachalam Annamalai, 48, a citizen of India residing in Las Vegas.
Seattle: USA v. Yang
Yang admitted that he possessed approximately 10,205 Microsoft certificates of authenticity. In addition to his purchase from Ross, Yang paid $402,929 to Davachi to acquire various software and software components. Yang also admitted that he sold various software items to Lockwood for $1,574,054.
Denver: US v. Lockwood
Lockwood pleaded guilty on June 11, 2015, to his role in the conspiracy. In addition to his purchases from Ross and Yang, Lockwood, doing business as Discount Mountain Inc., paid Davachi $1,243,570 for counterfeit, illicit and/or unauthorized software and software components.
Lockwood admitted that he obtained approximately 6,165 certificates of authenticity, 4,996 “Lenovo” product key cards and approximately 11,000 unauthorized product key codes.
Baltimore: US v. Davachi
Davachi pleaded guilty on Oct. 20, 2015, to his role in the conspiracy. Davachi admitted that, in addition to his purchases from Ross, he paid $672,300 to a counterfeiter within the People’s Republic of China as payment for unauthorized product key codes and counterfeit product key cards.
Federal agents seized approximately 5,040 Microsoft operating system certificates of authenticity – valued at $1.26 million – while executing search warrants at Davachi’s residence and business. Davachi also admitted that he used Project Contact Africa, a charitable organization, as a way of operating his for-profit Rez Candles Inc. business, which sold a host of items online, including illicit, unauthorized and counterfeit software. Davachi was aware that the stated purpose of the charity was to “support a medical clinic in Africa for needy families and children” and children suffering from HIV.
Davachi’s role was managing and maintaining the on-line presence of the Project Contact Africa eBay/PayPal charity since January 2004. Over this time, Davachi actively used the Project Contact Africa charity’s eBay/PayPal account to sell unauthorized, illicit and counterfeit software and software components through eBay, and used the charity’s PayPal account to facilitate payments for these software components.
Davachi managed and maintained the online presence for the Project Contact Africa charity by a person identified in court documents as Individual F, in exchange for a payment to Individual F of approximately $2,000 per month beginning in early 2012. By using the charity’s account to sell his items through the eBay charity store, Davachi saved thousands of dollars per month in various fees that he would have otherwise had to pay eBay. During this time, the Project Contact Africa eBay/PayPal account took in approximately $12 million in revenue, and eBay/PayPal sustained losses of approximately $908,231 due to the waived fees.
Customers of the Project Contact Africa eBay charity store were under the impression that “100 percent” of the proceeds of sales were intended to go to the charity when, in fact, Davachi and Individual F agreed that only a portion of the proceeds would go to the charity; the remainder would go to Davachi and Rez Candles Inc., which, in turn, would use these proceeds to purchase new inventory. Davachi and Individual F intended to repeat this cycle for their benefit. Davachi also admitted that he allowed numerous other individuals, including Ross, to use the Project Contact Africa eBay/PayPal charity store to sell their own items at a significantly reduced amount as compared to other for-profit sales methods on eBay, with the understanding that Ross and others, would pay back to Davachi a portion of their savings.
Las Vegas: USA v. Annamalai
Annamalai pleaded guilty on July 29, 2015, to his role in the software piracy conspiracy. Annamalai is the owner and operator of Vegascart LLC. Annamalai admitted that he purchased approximately 2,569 Microsoft software product key codes from Ross between March and December 2013. These software key codes are calculated at a loss amount of $250 each, therefore, the relevant loss amount in this matter is estimated at $642,250.
Seattle: USA v. Schwartz
Jake Schwartz, 28, of Seattle, owner of JHS Enterprises Inc., pleaded guilty on Oct. 27, 2015, to misprision of a felony. Schwartz admitted that he knew about Yang’s involvement in the conspiracy and helped to conceal it. After Digisoft was sued for willful copyright and trademark infringement by Adobe Systems, Schwartz agreed to form Soft Deals LLC, a new corporation, with Yang.
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Assistant U.S. Attorney Patrick D. Daly of the Western District of Missouri is prosecuting these cases and Assistant U.S. Attorney Curt Bohling of the Western District of Missouri is responsible for the civil proceedings. ICE-HSI investigated the cases.
Maryville Woman Sentenced for Murder-for-Hire SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Maryville, Mo., woman was sentenced in federal court today for a murder-for-hire scheme in which she negotiated with an undercover federal agent and, without realizing it, her intended victim.
Kristina M. Swinford, 33, of Maryville, was sentenced by U.S. Chief District Judge Greg Kays to eight years and six months in federal prison without parole.
Swinford, who pleaded guilty on May 20, 2015, admitted that she contacted two individuals to kill the wife of her ex-boyfriend. Her intended victim is identified in court documents as “AM.”
According to court documents, Swinford met three times with an undercover agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives to negotiate the murder-for-hire. Following her third meeting with the ATF agent, Swinford also negotiated via Facebook with another person, without realizing that she was actually communicating with her intended victim, who had created an online profile under another person’s name.
On Aug. 25, 2014, a cooperating source in Taylor County, Iowa, reported to law enforcement authorities about traveling to Maryville and having a discussion with Swinford. Swinford complained about AM and made it clear she wanted AM kidnapped, killed or gone. AM had gone through a brief separation from her husband, according to court documents, and during that time he was involved in a relationship with Swinford. After C.M. broke up with her, both AM and CM reported harassment and stalking behavior by Swinford. AM and her husband had been granted ex parte orders of protection in an effort to keep Swinford from stalking or harassing them.
The cooperating source was instructed to meet with Swinford again and provide her with the contact information of an undercover ATF agent if she still wanted someone to kill AM. The undercover agent contacted Swinford on Aug. 28, 2014, and arranged to meet.
Swinford met with the undercover agent on three separate occasions, each time sitting in a vehicle in a Wal-Mart parking lot in Bethany, Mo., and discussed several scenarios for killing AM. Swinford discussed several ways in which the undercover agent could gain access to AM suggesting that he make it appear that AM was killed in a drug deal gone bad, that AM be kidnapped from her house or kidnapped while she was walking (so there would be no blood at AM’s house). Swinford also discussed several ways in which AM would actually be murdered, suggesting that AM be shot, beaten and shot a couple times then thrown in the river or buried, that she be shot in the face and the chest or maybe both times in the face, or that AM be provided a lethal dose of drugs. Swinford told the undercover agent that she wanted AM to suffer and that AM should be beaten for five to 10 minutes before she was killed.
Swinford agreed to pay $10,000 prior to AM being killed and another $10,000 afterward. She provided the undercover agent with a photo of AM, a map of her house and other information. At the third meeting on Sept. 10, 2014, the undercover agent told Swinford he could pick up AM after she dropped her kids off at school, then kill her and cut off her hands and head and toss them into the river to make it look like Mexican drug dealers. Swinford agreed with this plan and the undercover agent told her to get a hold of him when she got the money.
On Sept. 19, 2014, AM reported to local law enforcement authorities that Swinford had been discussing AM’s murder on Facebook. According to court documents, AM had created a false Facebook account for a real person she knows, who is identified in court documents as WB. AM told authorities she created the account because her husband had blocked his Facebook account so she could not view her husband’s Facebook page.
AM reported that on Sept. 18, 2014, she had logged in to delete the fake account but found a message from Swinford from Aug. 9, 2014, addressed to whom Swinford clearly thought was the real WB. AM used the false Facebook account to engage Swinford in a lengthy conversation. During the conversation, Swinford expressed her dislike for AM. According to AM, further in the conversation, she and Swinford discussed WB (the real person but fake Facebook account) harming her (AM).
AM told police that she was terrified and had no way of knowing if Swinford had spoken to anyone else about having her hurt or murdered. ATF agents had not notified AM or her husband that ATF had been conducting the investigation into Swinford hiring the undercover agent.
This case was prosecuted by Assistant U.S. Attorney Alison Dunning. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Maryville, Mo., Department of Public Safety.
Olathe Man Sentenced for Armed Bank RobberyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Olathe, Kan., man was sentenced in federal court today for the armed robbery of the Bank of Weston.
Marcus Aurellius Moon, 30, of Olathe, was sentenced by U.S. District Judge DeanWhipple to 11 years and three months in federal prison without parole.
On Aug. 11, 2015, Moon pleaded guilty to armed bank robbery and to brandishing a firearm during a crime of violence. Moon admitted that he stole $26,427 from the Bank of Weston,18255 45 Highway, on Oct. 22, 2014.
Moon entered the bank wearing a silver ski mask and carrying a semi-automatic handgun. Moon walked up to a teller and demanded money. The teller complied and another teller behind her, who had been loading currency into an ATM machine, also complied.
The Platte County Sheriff’s Department broadcast to neighboring jurisdictions about the robbery, including a vehicle description and a description of the suspect. Officers with the Atchison, Kan., Police Department set up surveillance around the Amelia Earhart Bridge. They saw Moon driving a vehicle that matched the description given in the broadcast and tried to stop it. However, Moon placed the vehicle in reverse, striking police vehicles and escaping. During Moon’s attempts to flee, an Atchison police officer fired his gun. Moon was not struck and was able to escape. Atchison police pursued the suspect for several blocks until his vehicle got stuck in a residential area and Moon was taken into custody.
Officers found a loaded SCCY 9mm handgun inside the vehicle, along with a silver ski mask and the money taken from the bank.
This case was prosecuted by Assistant U.S. Attorney Bruce Rhoades. It was investigated by the Atchison, Kan., Police Department, the Weston, Mo., Police Department, the Platte County, Mo., Sheriff’s Department, the Kansas Bureau of Investigation and the FBI.
Fourth Defendant Pleads Guilty to Multi-Million Dollar Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a fourth defendant pleaded guilty in federal court today to his role in an elaborate fraud scheme in which conspirators impersonated representatives of Kansas City-based Cerner Corporation to entice dozens of physicians to invest more than $6 million, to sell an MRI to a Dallas area hospital for more than $1 million and to influence the outcome of several court proceedings.
David Hernon, 54, of Fishers, Ind. (formerly of Richardson, Texas), waived his right to a grand jury and pleaded guilty before U.S. Chief District Judge Greg Kays to a federal information that charges him with participating in a conspiracy to commit wire fraud from Aug. 25, 2008, to Feb. 19, 2015.
Hernon is the fourth defendant to plead guilty. David Tayce, 66, of Lucas, Texas, and Richard Bryant, 40, and his wife, Christina Bryant, 40, both of Sachse, Texas, have also pleaded guilty to their roles in the conspiracy.
Co-conspirators created dozens of companies which were designed to impersonate existing credible industry leaders. For each company, co-conspirators created a meticulous infrastructure that became the foundation for their fraud. For example, co-conspirators registered an Internet domain similar to other existing company domains in order to make e-mail accounts appear legitimate, leased virtual office space in the city of the existing company, established telephone numbers in the area code of the existing company and impersonated actual people who worked for the real companies. Co-conspirators then used these fake “employee” identities as well as the identities of fictional employees to communicate with investors, conduct business transactions, and manipulate court proceedings. They provided fabricated documents, agreements, quotes, and invoices that purported to be from the fake and fictional employees.
One of the companies that the co-conspirators impersonated was Cerner Corporation, which is a global supplier of health care information technology solutions, services, devices, and hardware. Cerner, which has more than 14,000 employees globally, is headquartered at 2800 Rockcreek Parkway, North Kansas City, Mo.
Co-conspirators impersonated Cerner to obtain investments, conduct business transactions and manipulate court proceedings. For example:
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Co-conspirators impersonated Cerner in the fraudulent sale of a purported newly developed MRI system to Dallas Medical Center, and then conspired to cover it up by providing false testimony during the litigation of a subsequent lawsuit. Co-conspirators convinced employees of Dallas Medical Center and Prime Health Care (which acquired the hospital during the course of the fraud scheme) that they were working with Cerner. As a result, Dallas Medical Center transmitted two wire payments to the co-conspirators’ bank account totaling $1,061,550.
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Co-conspirators solicited investments from more than 50 physicians totaling over $6 million, from February 2012 to December 2013, based upon false representations of commitments of other customers and investors – including Cerner – along with false financial statements and projections. Co-conspirators showed MRI images that were altered to make the images appear to have been created by an “iHeart” machine when they were not. Co-conspirators showed physicians demonstrations of a Lux Imaging Systems MRI, which was represented to be brand new technology manufactured by Lux Imaging Systems. In reality, it was actually an MRI system put together with used components, which co-conspirators disguised by removing and concealing its original labels, and concealing that Lux Imaging Systems was an entity created and controlled by the co-conspirators.
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Co-conspirators used this fraudulent infrastructure to manipulate the filing and settlement of the involuntary bankruptcy of CMI Holding Company, Inc., in the Northern District of Texas. Co-conspirators impersonated bondholders in filing the bankruptcy, and then continued to impersonate them throughout the negotiation of the settlement of the bankruptcy. Incredibly, the co-conspirators also impersonated an investor, which enabled them to participate in settlement discussions from the other side of the litigation as well. As part of this scheme, they used fabricated documents and communications purporting to be from Cerner to obtain a larger settlement. Co-conspirators also created an entity to receive the funds of the settlement in place of the bondholders, and later conspired to cover it up by providing false testimony in another case.
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Co-conspirators used this fraudulent infrastructure to manipulate the trial of LBDS Holding Company, LLC v. ISOL Technology, Inc., et al., in the Eastern District of Texas, by providing false testimony during the trial about Cerner and causing the admission of fabricated evidence purporting to be documents and agreements with Cerner in the trial.
Co-conspirators used this elaborate infrastructure of business entities, Web site domains, phone numbers, addresses, bank accounts and identities as a shield to prevent others from detecting their fraud, all while the co-conspirators continued to use this scheme repeatedly over several years to mislead new investors, new business partners and new courts.
Under federal statutes, Hernon, Tayce and the Bryants are each subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Matthew P. Wolesky. It was investigated by the FBI.
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Press Conference Statement by U.S. Attorney Tammy DickinsonRead the Press Release
IN THE WAKE OF COUNTLESS HIGH-PROFILE INCIDENTS ACROSS THE COUNTRY THAT HAVE THRUST US INTO A NATIONAL DIALOGUE OVER THE USE OF EXCESSIVE FORCE, OFFICER AND PUBLIC SAFETY AND A FESTERING LACK OF TRUST BETWEEN POLICE DEPARTMENTS AND THE COMMUNITIES THEY SERVE, WE ARE HERE TODAY TO ANNOUNCE AN UNPRECEDENTED MEMORANDUM OF UNDERSTANDING THAT HAS BEEN SIGNED BY EACH ONE OF US.
ALL OF US HERE TODAY ARE COMMITTED TO UPHOLDING THE HIGHEST STANDARDS OF LAW ENFORCEMENT THROUGHOUT THE COMMUNITY. EVERY MEMBER OF THE COMMUNITY EXPECTS AND DESERVES THE PROTECTION OF LAW ENFORCEMENT THAT IS EFFECTIVE, RESPONSIVE, RESPECTFUL AND MOST IMPORTANTLY, CONSTITUTIONAL. EACH DAY, THANKS TO THE TIRELESS DEDICATION OF MEN AND WOMEN WHO WEAR THE BADGE, CITIZENS OF OUR COMMUNITY RECEIVE JUST THAT. BUT WHEN COMMUNITY MEMBERS FEEL THEY ARE NOT RECEIVING THAT KIND OF POLICING, THERE ARE PROFOUND CONSEQUENCES FOR THE WELL-BEING OF OUR COMMUNITIES, FOR THE RULE OF LAW AND FOR THE COUNTLESS LAW ENFORCEMENT OFFICERS WHO STRIVE TO FULFILL THEIR DUTIES WITH PROFESSIONALISM AND INTEGRITY.
WE ARE COOPERATING TO PROACTIVELY ADDRESS ALLEGATIONS OF THE EXCESSIVE USE OF FORCE BY ANY KCPD OFFICER. THIS AGREEMENT MARKS AN EXTRAORDINARY PARTNERSHIP BETWEEN LOCAL AND FEDERAL LAW ENFORCEMENT. AS SOON AS THERE IS A NOTIFICATION OF SUCH AN ALLEGATION, WHETHER THAT COMES FROM A CITIZEN’S COMPLAINT OR FROM WITHIN ONE OF OUR DEPARTMENT’S OWN REVIEW PROCESS, THE MATTER WILL BE IMMEDIATELY REFERRED TO THE FBI TO MAKE AN UNBIASED ASSESSMENT. THIS AGREEMENT CREATES AN INDEPENDENT AND IMPARTIAL REVIEW PROCESS TO ASSESS ALLEGATIONS OF EXCESSIVE FORCE BY KCPD OFFICERS. IT IS OUR INTENTION THAT THIS PROCESS WILL GO A LONG WAY IN MAINTAINING AND STRENTHENING COMMUNITY TRUST.
IN SOME CASES, THE FBI MAY DETERMINE THAT A FEDERAL CIVIL RIGHTS INVESTIGATION IS WARRANTED AND REFER THE MATTER TO MY OFFICE. IN OTHER CASES, THE FBI MAY DETERMINE THAT A STATE CRIMINAL INVESTIGATION IS WARRANTED AND REFER THE MATTER TO THE JACKSON COUNTY PROSECUTOR’S OFFICE, OR THE FBI MAY DETERMINE THAT POLICE OFFICERS ACTED LAWFULLY AND APPROPRIATELY, AND NO FURTHER INVESTIGATION IS WARRANTED.
WHATEVER THE OUTCOME …
… THE PUBLIC CAN REST ASSURED THAT ANY AND ALL ALLEGATIONS OF EXCESSIVE USE OF FORCE BY KCPD OFFICERS ARE BEING FAIRLY INVESTIGATED AND JUSTLY RESOLVED. BY HAVING THIS PROCESS IN PLACE OUR SOLE MOTIVATION IS TO PRESERVE AND BUILD THE TRUST BETWEEN LAW ENFORCEMENT AND THE COMMUNITY.
ALTHOUGH THERE HAS BEEN AN EXCELLENT WORKING RELATIONSHIP AMONG OUR OFFICES, THERE HAS NEVER BEEN A FORMAL MECHANISM IN PLACE TO ENSURE COOPERATION AND CONSISTENCY IN ASSESSING, INVESTIGATING AND PROSECUTING (WHERE APPROPRIATE) ALLEGATIONS OF EXCESSIVE USE OF FORCE BY KCPD OFFICERS.
THE VAST MAJORITY OF POLICE OFFICERS ARE HONEST AND HONORABLE. THEY PUT THEIR LIVES AT RISK ON A DAILY BASIS TO SERVE AND PROTECT THEIR FELLOW CITIZENS. AND THEY ARE OFFENDED, AS WE ALL ARE, BY THE VERY FEW OFFICERS WHO TARNISH THEIR BADGE BY MISCONDUCT.
WE SIGNED THIS AGREEMENT SEVERAL MONTHS AGO BECAUSE WE SHARE A COMMITMENT TO UPHOLDING THE RULE OF LAW AND PROTECTING THE CIVIL RIGHTS OF ALL CITIZENS. WE’RE MAKING THE ANNOUNCEMENT TODAY AT THE PRODDING OF OUR FRIENDS AT THE AD HOC GROUP AGAINST CRIME. DAMON DANIEL, THE EXECUTIVE DIRECTOR OF AD HOC, AND HIS PREDECESSOR ALVIN BROOKS – WHO ARE BOTH HERE TODAY -- WERE AMONG THE COMMUNITY LEADERS WHO GATHERED LAST FRIDAY FOR A DIALOGUE WITH THE FBI AND MYSELF. WHEN WE MENTIONED TO THE GROUP THAT WE HAD THIS MEMORANDUM IN PLACE, DAMON ASKED WHY WE HADN’T PUBLICIZED IT AND SUGGESTED WE SHOULD MAKE A MORE PUBLIC ANNOUNCEMENT.
THANK YOU, DAMON, YOU WERE RIGHT, OF COURSE. SO HERE WE ARE TODAY.
IT SPEAKS VOLUMES ABOUT THE INTEGRITY BOTH OF THE KANSAS CITY MO POLICE DEPARTMENT AND JACKSON COUNTY PROSECUTORS OFFICE THAT CHIEF DARRYL FORTE AND JEAN PETERS BAKER HAVE THE COURAGE TO VOLUNTARILY EMBRACE THIS PROCESS. AND FBI SPECIAL AGENT IN CHARGE ERIC JACKSON FOR SHOULDERING THE ADDITIONAL INVESTIGATIVE WORKLOAD DESPITE RESOURCE CONSTRAINTS. EACH ONE OF THESE OFFICIALS HAS MY RESPECT AND GRATITUDE FOR STEPPING UP TO DEAL FORTHRIGHTLY WITH A PRESSING ISSUE OF PUBLIC CONCERN.
KC Man Convicted of Bank RobberyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Kansas City, Mo., man has been convicted, following a bench trial, of robbing Commerce Bank.
David E. Clark, 36, of Kansas City, was found guilty of bank robbery following a trial on Monday, Dec. 8, 2015, before U.S. District Judge Gary A. Fenner.
Clark was indicted by a federal grand jury for stealing $3,037 from Commerce Bank, 118 W. 47th Street, Kansas City, on July 28, 2014.
Clark was wearing an orange construction-type vest when he entered the bank, walked directly towards a teller station and grabbed a note from his pocket. The teller refused to look at the note and asked Clark if he needed help. Clark told the teller to pull out his drawers. When the teller told him the teller drawers were locked, Clark instructed him to get the keys. The teller returned to his teller station, and Clark told him to “give me 100’s, 50’s and 20’s.” The teller grabbed the requested denominations from his teller drawer and gave the money to Clark, who walked swiftly out of the bank’s front door and then ran up Wyandotte Street.
Another bank employee saw Clark go around the corner and then exit a parking garage in a white truck with a concrete company’s sign on the side. Less than half an hour later, police officers located Clark and arrested him.
According to court documents, the owner of the truck told law enforcement investigators afterward that he had driven the vehicle to a meeting earlier that day and offered a ride to Clark, who had done work as an independent contractor for his company. After his meeting he was supposed to take Clark to another location, but when he returned to the parking lot after his meeting, both Clark and his truck were gone.
Under federal statutes, Clark is subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney D. Michael Green. It was investigated by the FBI and the Kansas City, Mo., Police Department.
Springfield Man Indicted for Stolen Mail, Credit Card FraudRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., man was indicted by a federal grand jury today for possessing stolen mail and for credit card fraud.
Eric David Vancil, 46, of Springfield, was charged in a two-count indictment returned by a federal grand jury in Springfield, Mo.
Today’s indictment alleges that Vancil illegally possessed approximately 200 pieces of stolen mail containing checks and credit cards belonging to approximately 55 different individuals from Oct. 23, 2013, to April 28, 2015.
Vancil is also charged with using his victims’ credit cards and personal identification numbers to conduct financial transactions.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the U.S. Postal Inspection Service and the Springfield, Mo., Police Department.
Neosho Man Indicted for Illegal FirearmsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Neosho, Mo., man was indicted by a federal grand jury today for illegally possessing several firearms, including a machine gun.
Andrew J. Sisco, 30, of Neosho, was charged in a three-count indictment returned by a federal grand jury in Springfield, Mo.
Today’s indictment charges Sisco with being a felon in possession of firearms. Sisco allegedly possessed a Cobray 9mm fully automatic machine gun, a Mossberg 7mm rifle, a Savage Arms 30-06 caliber rifle, a Tanfoglio .22-caliber rifle, a Sig Sauer 9mm handgun, a Hi-Standard 12-gauge shotgun and a Browning Arms Company 30-06 rifle on Aug. 26, 2015.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Sisco has two prior felony convictions for fleeing and eluding law enforcement and felony convictions for driving under the influence (third or subsequent offense), felon in possession of a firearm and aggravated battery.
Sisco is also charged with one count of illegally possessing a machine gun and one count of illegally possessing a silencer.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the Newton County, Mo., Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
KC Man Indicted for Meth Conspiracy, Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was indicted by a federal grand jury for his role in a conspiracy to distribute methamphetamine in Jasper County, Mo., and for illegally possessing a firearm.
Dustin S. Parrish, 29, of Kansas City, was charged in a four-count indictment returned by a federal grand jury in Springfield, Mo.
Today’s indictment alleges that Parrish participated in a conspiracy to distribute 50 grams or more of methamphetamine in Jasper County between May 1 and Oct. 1, 2015. Parrish is also charged with possessing methamphetamine with the intent to distribute.
The federal indictment also charges Parrish with one count of possessing a firearm in furtherance of a drug-trafficking crime and one count of being a felon in possession of a firearm. Parrish allegedly was in possession of a Taurus .40-caliber semi-automatic pistol on Oct. 1, 2015.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Parrish has prior felony convictions for possession of a controlled substance and possession of a precursor drug with the intent to manufacture methamphetamine.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration and the Joplin, Mo., Police Department.
Joplin Couple Indicted for Stolen Mail, Passing a Forged CheckRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced two Joplin, Mo., residents were indicted by a federal grand jury today, in separate but related cases, of possessing stolen mail and passing a forged check.
Larissa A. Brady, 32, and her boyfriend, Sheldon Michael Hunt, 32, both of Joplin, were charged in separate indictments returned by a federal grand jury in Springfield, Mo.
Today’s indictments allege that both Hunt and Brady possessed 66 different pieces of stolen mail containing checks, credit cards, Social Security cards and personal identification cards that had been taken from the mail boxes of 36 different individuals between March 1 and June 8, 2015.
Brady is also charged with passing a forged check at the Wal-Mart store in Joplin on June 8, 2015. Hunt is charged with aiding and abetting her in that criminal activity.
Dickinson cautioned that the charges contained in these indictments are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
These cases are being prosecuted by Assistant U.S. Attorney Patrick Carney. They were investigated by the U.S. Postal Inspection Service and the Joplin, Mo., Police Department.
Former Buffalo Teacher's Aid Indicted for Producing Child PornRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former Buffalo, Mo., elementary school teacher’s assistant was indicted by a federal grand jury today for producing and possessing child pornography.
Dalton Cole Sherman, 19, of Buffalo, was charged in a three-count indictment returned by a federal grand jury in Springfield, Mo. Sherman was a teacher’s assistant at the DA Mallory Elementary School in Buffalo at the time of the offense.
Today’s indictment charges Sherman with two counts of child sexual exploitation. Sherman allegedly used two minors, on two separate occasions on June 11, 2015, to produce child pornography. The minors are identified in the indictment as “Jane Doe” and “John Doe.”
Sherman is also charged with one count of possessing child pornography.
The federal indictment also contains a forfeiture allegation, which would require Sherman to forfeit to the government any property used to commit the alleged offenses, including a Samsung pen camera and a Nook tablet.
Dickinson cautioned that the charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the Dallas County, Mo., Sheriff’s Department, the State Technical Assistance Team and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Conway Man Indicted for Bank RobberyRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Conway, Mo., man was indicted by a federal grand jury today for robbing Central Bank in Conway.
Jody L. Nave, 37, of Conway, was charged in an indictment returned by a federal grand jury in Springfield, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Nave on Nov. 24, 2015.
According to an affidavit filed in support of the original criminal complaint, Nave entered Central Bank, 602 W. Jefferson Ave., at approximately 10:14 a.m. on Nov. 12, 2015. Nave allegedly passed a note to a teller that read, “This is a robbery I have a gun but please don’t make me use it.” (sic) The teller handed over approximately $2,600 from her teller drawer, the affidavit says. Nave allegedly took the cash and left the bank.
Nave was located by law enforcement officers a short time later in Marshfield, Mo.
Dickinson cautioned that the charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Conway, Mo., Police Department and the FBI.
U.S. Attorney's Office Collects over $25.5 Million in Criminal, Civil Actions in 2015Read the Press Release
KANSAS CITY, Mo. – United States Attorney Tammy Dickinson announced today that the Western District of Missouri collected more than $25.5 million in criminal and civil actions in Fiscal Year 2015. Of this amount, more than $8.8 million was collected in criminal actions, more than $6 million was collected in civil actions and more than $10.6 million was collected through the seizure of assets that were forfeited to the government from Oct. 1, 2014, to Sept. 30, 2015.
The Western District of Missouri also worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $4 million in cases pursued jointly with these offices, primarily in civil actions.
“The pursuit of justice involves not only prosecuting criminals, but being diligent to collect the fines levied by the court and restitution payments on behalf of the victims of crime,” Dickinson said. “I am determined that criminals will not profit from their crimes, and that those involved in civil actions pay the government what they owe.”
Attorney General Loretta E. Lynch also announced today that the Justice Department collected a total of $23.1 billion in civil and criminal actions in FY 2015. The total includes all monies collected as a result of Justice Department-led enforcement actions and negotiated civil settlements. It includes more than $16.2 billion in payments made directly to the Justice Department, and more than $6.8 billion in indirect payments made to other federal agencies, states and other designated recipients.
Collections in FY 2015 represent more than seven and a half times the approximately $2.93 billion of the Justice Department’s combined appropriations for the 94 U.S. Attorneys’ offices and the main litigating divisions in that same period.
“The Department of Justice is committed to upholding the rule of law, safeguarding taxpayer resources, and protecting the American people from exploitation and abuse,” said Attorney General Loretta Lynch. “The collections we are announcing today demonstrate not only the strength of that commitment, but also the significant return on public investment that our actions deliver. I want to thank the prosecutors and trial attorneys who made this achievement possible, and to reiterate our dedication to this ongoing work.”
Contraband Cigarette Trafficking
As an example of FY 2015 collections in the Western District of Missouri, TSNE, doing business as Jan’s Smoke Shop, in Bascom, N.Y., paid a total of more than $3.5 million in fine, forfeiture and restitution.
A number of defendants were convicted in a multi-million dollar, multi-state conspiracy to transport hundreds of thousands of cartons of contraband cigarettes from the Kansas City, Mo., area to the state of New York, where they were sold primarily on Indian reservations. Conspirators purchased more than $17 million worth of contraband cigarettes from ATF agents during an undercover operation. Approximately 620,600 cartons of cigarettes – containing 10 packs per carton – were transported to New York without paying the required $4.35 per pack excise tax. The untaxed cigarettes were sold by New York retailers and smoke shops on the reservations in the state of New York. The benefit to those smoke shops was that they did not pay New York state cigarette taxes; thus, they could undercut the prices charged by off-reservation cigarette retailers by over $40 per carton. The total state excise tax lost to the state of New York was more than $8 million, which has been paid in restitution to the state by the perpetrators of the scheme.
Jan’s Smoke Shop is a gas station and convenience store recognized by the Tonawanda Seneca Nation. TSNE paid a fine of $950,000 and restitution of $1,900,080 to the state of New York. TSNE also forfeited $700,650 to the government. As a result of this investigation, Keith Donald Stoldt of Cowlesville, N.Y., who operated the Totem Smoke Shop located on the Tonawanda Seneca Indian Reservation, also forfeited $247,080 to the government in FY 2014. Craig Sheffler of Independence, Mo., owner of Cheap Tobacco Wholesale, forfeited $599,206 to the government. Gholamreza Tadaiyon of Weston, Fla., forfeited $448,189 to the government.
Mercy Health Springfield Communities
Two southwest Missouri health care providers paid $5.5 million to settle allegations that they violated the False Claims Act by engaging in improper financial relationships with referring physicians. The two providers are Mercy Health Springfield Communities (formerly known as St. John’s Health System Inc.), which owns and operates a hospital in Springfield, Mo., and its affiliate, Mercy Clinic Springfield Communities (formerly known as St. John’s Clinic), which operates health care facilities in southwest Missouri.
The settlement resolved allegations that the providers submitted false claims to the Medicare program for services rendered to patients referred by physicians who received bonuses based on a formula that improperly took into account the value of the physicians’ referrals of patients to the clinic. Federal law restricts the financial relationships that hospitals and clinics may have with doctors who refer patients to them.
Joplin Oncologist Dispenses Foreign, Misbranded Drugs
Robert L. Carter, 74, of Carthage, Mo., an oncologist who operated a clinic in Joplin, Mo., paid more than $2.1 million in restitution and asset forfeiture after being convicted of dispensing foreign, misbranded drugs to his cancer patients.
Carter, who forfeited $971,854 to the government in FY2014, previously had paid $971,854 in restitution to Medicare, Tri-Care, Missouri Medicaid, Oklahoma Medicaid and Kansas Medicaid. Carter previously had paid $228,145 of the forfeiture judgment.
Carter was the president and medical practitioner of Robert L. Carter, M.D., in Joplin, from Oct. 23, 1991, to April 2, 2012. As a medical oncologist, Carter provided care and treatment for patients with cancer and blood diseases. The practice purchased prescription drugs, including chemotherapy drugs, which were prescribed by Carter and were administered and dispensed through the practice. Reimbursement for the drugs and their administration was sought from the Medicare and Medicaid programs, Tricare as well as other private health care benefit programs. In April 2010, Carter began ordering prescription cancer drugs from Quality Specialty Products (QSP) in Winnipeg, Manitoba, Canada. QSP sold drugs – which had been obtained from foreign sources and which had not been approved by the U.S. Food and Drug Administration for distribution or use in the United States – to physicians and other health care providers in the United States.
Employee Embezzlement
Donna M. Preszler, 61, formerly of Chillicothe, Mo., paid $420,017 in restitution in FY 2014 to her former employer, Burdg, Dunham & Associates Construction Corp. She and her husband, Terrance W. Preszler, 64, were convicted on charges involving her embezzlement of nearly $4 million from her employer and for the couple jointly filing a false income tax return not claiming the income from the wire fraud scheme.
Donna Preszler was sentenced to five years and 10 months in federal prison without parole. Terrance Preszler was sentenced to three years in federal prison without parole, which is the statutory maximum. The court also ordered the Preszlers to pay $4,049,121 in restitution to Burdg, Dunham & Associates Construction Corp. and $1,236,690 in restitution to the Internal Revenue Service, for a total restitution amount of $5,285,811. The court also ordered the Preszlers to forfeit to the government a money judgment of $3,912,000, two residential lots, two 14kt diamond rings, eight vehicles (a 2007 Ford Taurus, a 2007 Mazda CX-7, a 2011 Nissan Versa, a 2010 Nissan 370Z, a 2010 Ford F150, a 2010 Ford Escape, a 2012 Ford Explorer and a 2012 Nissan Rogue), three 2011 Yamaha ATVs and several bank and funeral trust accounts.
Elected Prosecutor Embezzlement
Richard F. Turner, 39, a Bethany, Mo., attorney paid $193,769 in restitution after stealing more than $540,000 from an elderly client. Turner is the former elected county prosecutor of Harrison County, Mo., and was re-elected to that office a few weeks before his guilty plea.
Turner admitted that from October 12, 2004 to May 29, 2014, he fraudulently attempted to obtain at least $728,147.18, and he did obtain at least $540,803.86, from an elderly client. He spent the money on personal expenses, including paying off his home mortgage, putting in a swimming pool, and spending heavily at retail establishments and restaurants in Bethany, St. Joseph, and Kansas City, Mo., including to support his clothing store, Richard’s / TD Clothiers, in Bethany. Turner further admitted that he failed to pay taxes on the embezzled income, causing additional loss to the state and federal government of at least approximately $154,453.
Consumer Fraud
Dataline Technologies, Inc., a Springfield telemarketing company that sold ink cartridges to customers across the United States over the telephone, paid $398,000 in restitution to hundreds of victims. Dataline, which was owned and operated by Richard Morsovillo, is no longer in business. Dataline pleaded guilty to defrauding its customers by inducing them to purchase ink cartridges through false representations and promises.
Collection Amounts
The Western District of Missouri collected $26,575,724 in criminal and civil actions in FY 2015. Of this amount, $14,823,396 was collected in criminal actions (such as fines and victim restitution), $6,283,214 was collected in civil actions, and $5,469,114 was collected in asset forfeiture actions.
The U.S. Attorneys’ Offices, along with the Justice Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal financial, health, safety, civil rights and environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
KC Man Charged with Producing Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was charged in federal court today with using a two-year-old victim to produce child pornography.
Conner Michael Webb, 27, of Kansas City, was charged in a federal criminal complaint filed in the U.S. District Court in Kansas City, Mo., with one count of producing child pornography.
According to an affidavit filed in support of the complaint, Webb sent a pornographic video of the victim, taken with his cell phone, to the subject of an ongoing federal investigation who was recently arrested in the District of Kansas. That person, identified in court documents as “Subject 1,” allowed federal agents to search his computer and cell phone. Investigators found numerous chat conversations on Subject 1’s cell phone between him and an individual with the username “kinkyconman” and profile name “Kinky PedoBoy,” later identified as Webb.
On Oct. 15, 2015, Webb asked Subject 1 to send him something to “get me in the mood” before he picked up the 2-year-old victim, identified in court documents as “Jane Doe.” Subject 1 sent Webb several images and videos of child pornography on his cell phone. On the afternoon of the same day, Webb sent a pornographic video he had just taken of Jane Doe to Subject 1’s cell phone.
A federal search warrant was executed today to search Webb’s residence, and to seize and search Webb’s computers, phones, and computer media. Webb, who was at home during the search, was transported to FBI headquarters and interviewed. Webb was arrested and remains in federal custody pending a detention hearing.
Dickinson cautioned that the charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Teresa Moore. It was investigated by the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Jury Convicts KCK Man of $1 Million Meth Conspiracy in St. Joseph, Across Four-State RegionRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Kan., man was convicted by a federal trial jury today of his role in a large-scale conspiracy that distributed more than 15 kilograms of methamphetamine in St. Joseph, Mo., and across a four-state region.
Anselmo Salazar, also known as “Crazy Eyes,” 49, of Kansas City, Kan., was found guilty of participating in a conspiracy to distribute methamphetamine from Jan. 1, 2009, to Nov. 12, 2013. Salazar was also found guilty of participating in a money-laundering conspiracy that involved financial transactions of the proceeds of illegal drug-trafficking.
In 2010, the Buchanan County Drug Strike Force and the Drug Enforcement Administration initiated an investigation into a drug-trafficking organization distributing methamphetamine in northwest Missouri, northeast Kansas, southern Iowa and Nebraska.
Salazar is among 24 defendants charged in a Nov. 15, 2013, federal indictment. Salazar, along with co-defendants Carlos Alberto Yanez, 33, of Lee’s Summit, Mo., and Marvin Carl Rogers, 54, of Gladstone, Mo. were the primary sources of supply for methamphetamine for the entire organization. Yanez and Rogers have pleaded guilty and await sentencing.
Yanez and Salazar obtained methamphetamine in up to pound quantities and then delivered the methamphetamine to co-defendant Shannon Martinez (also known as “Big Homie”), 38, of St. Joseph, and another man charged in a separate case. Martinez, in turn, sold the methamphetamine to others to distribute. Martinez has pleaded guilty and awaits sentencing.
On Oct. 11, 2011, Salazar was arrested after a traffic stop in Platte County, Mo. Salazar, who was was driving Yanez’s vehicle, was in possession of 42 one-pound bundles of marijuana, 25 grams of cocaine and 80 grams of methamphetamine. Salazar was on his way to deliver the methamphetamine to St. Joseph for Yanez, and to pick up cash payment for the delivered methamphetamine.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about an hour before returning the guilty verdicts to U.S. Chief District Judge Greg Kays, ending a trial that began Tuesday, Dec. 1, 2015.
Salazar is jointly and severally liable to forfeit to the government a money judgment of $976,800, which was received in exchange for the unlawful distribution of methamphetamine, based on a conservative purchase price of $1,850 an ounce (for 50 percent pure methamphetamine) and the distribution of more than 15 kilograms of methamphetamine by conspirators.
In addition, among the property that must be forfeited to the government by Salazar’s co-defendants are three cars, a pick-up truck, a motorcycle and approximately $116,389 that was seized from several co-defendants by law enforcement officers during the investigation.
Under federal statutes, Salazar is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Bruce Rhoades and Patrick C. Edwards. It was investigated by the Buchanan County Drug Strike Force, the Drug Enforcement Administration, the FBI, the Kansas City, Mo., Police Department, the St. Joseph, Mo., Police Department and the Buchanan County, Mo., Sheriff’s Department.
Jury Convicts KC Man of Drug Trafficking, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was convicted in federal court today for his role in a conspiracy to distribute crack cocaine and for illegally possessing several firearms.
Marcus McIntosh, 59, of Kansas City, was found guilty of the charges contained in an Aug. 26, 2014, federal indictment. McIntosh was found guilty of his role in a conspiracy to distribute crack cocaine between April 1 and Aug. 8, 2014. McIntosh was also found guilty of distributing crack cocaine and being a felon in possession of several firearms.
McIntosh sold crack cocaine to undercover detectives and confidential informants on several occasions between May and August 2014. On Aug. 8, 2014, law enforcement officers executed a search warrant at a residence that McIntosh was using as a “trap house,” a place to store and sell crack cocaine. McIntosh was placed under arrest; an adult woman and a child were also inside the residence.
During their search of the residence, investigators found a safe under the bed in a bedroom that contained approximately 49.6 grams of crack cocaine, approximately 29.2 grams of powder cocaine and $1,820. In another bedroom, investigators found a loaded Ruger .22-caliber handgun on top of an entertainment center, a Remington 12-gauge shotgun located next to the entertainment center and a loaded PW Arms 9mm handgun between the mattresses on the bed.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. McIntosh has two prior federal felony convictions for possessing crack cocaine with the intent to distribute, and prior state felony convictions for carrying a concealed weapon and robbery.
Following the presentation of evidence, the jury in the U.S. District Court in Kansas City, Mo., deliberated for about three and half hours before returning the guilty verdict to U.S. District Judge Stephen R. Bough, ending a trial that began Monday, Nov. 30, 2015.
Two co-defendants, who are brothers, have pleaded guilty to participating in the conspiracy by distributing crack cocaine that was supplied to them by McIntosh. Tyrone Campbell, Jr., 30, of Raytown, was sentenced to eight years in federal prison. Tyronn Campbell, 25, of Kansas City, Mo., was sentenced to three years and 10 months in federal prison without parole.
Under federal statutes, McIntosh is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Brent Venneman and Adam Caine. It was investigated by the Kansas City, Mo., Police Department and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Columbia Man Pleads Guilty to Drug-Trafficking ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Columbia, Mo., man pleaded guilty in federal court today to his role in a conspiracy to distribute crack cocaine and powder cocaine in Boone County, Mo.
Malcolm Desean Redmon, also known as “Harp,” 32, of Columbia, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to participating in a conspiracy to distribute crack cocaine and powder cocaine in Boone County from November 2011 to August 2014. The court granted the defense attorney’s motion and ordered today’s plea agreement to be sealed.
Co-conspirators have admitted to distributing multiple kilograms of crack cocaine and powder cocaine, but the exact amount is disputed by Redmon and will be contested and determined at Redmon’s sentencing hearing.
Redmon is the 11th defendant to plead guilty in this case. Kenneth Scott, Sr., 47, and James Thomas Pittman, 42, both of Fulton, Mo.; Carl Douglass Simon, also known as “Lil Carl,” 28, and Teka Lynn Hayes, 51, both of Columbia; Ryan D. Wright, 39, of Springfield, Mo.; Vershawn Dejuan Edwards, 23, of Jefferson City, Mo.; and Guillermo Ortiz Perez, also known as “Youngster,” 25, a citizen of Mexico with no known address, have pleaded guilty and await sentencing. Rodney Wayne Arnold, also known as “Rodney O.,” 31, of Columbia, pleaded guilty and was sentenced to five years in federal prison without parole. William Alexander Hill, also known as “BJ,” 30, of Columbia, pleaded guilty and was sentenced to four years and five months in federal prison without parole. Courtnie Lea Goins, 26, of Springfield, pleaded guilty and was sentenced to four years of probation.
Under federal statutes, Redmon is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Anthony P. Gonzalez. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, IRS-Criminal Investigation, the Columbia, Mo., Police Department, the Boone County, Mo., Sheriff’s Department, the U.S. Marshal’s Service, MUSTANG (the Mid-Missouri Unified Strike Team and Narcotics Group), the Drug Enforcement Administration and the Boone County, Mo., Prosecuting Attorney’s Office.
Braymer Man Pleads Guilty to $300,000 Cattle FraudRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Braymer, Mo., man pleaded guilty in federal court today to a cattle fraud scheme that the government contends resulted in losses of nearly $300,000 to his victims.
Garland Joseph “Joey” Nelson, 21, of Braymer, waived his right to a grand jury and pleaded guilty before U.S. District Judge Howard F. Sachs to a federal information that charges him with fraud using property mortgaged or pledged to farm credit agencies.
According to the government, Nelson engaged in a three-part fraud scheme that caused a combined loss of at least $293,772.
Loan Fraud: $138,452
By pleading guilty today, Nelson admitted that he engaged in a scheme to sell at least 114 mortgaged head of cattle that were pledged to the Farm Service Agency (FSA), without notifying FSA of the sales, from April 1, 2013, through June 2014. He did not instruct purchasers to address proceeds checks to the FSA as well as to him, and he did not remit the bulk of the sale proceeds to FSA, as was required by the terms of his loans. Instead, Nelson admitted that he kept the funds for his personal use.
Nelson received two livestock operating loans in April 2013 totaling $158,000 for the limited purpose of buying and raising cattle. In violation of the express terms of his loans, and with fraudulent intent, Nelson conducted livestock sales from April 2013 to July 2014 under the name “Joey Nelson” to avoid detection. He conducted other sales in the name of a friend to further obfuscate his involvement. His friend then transferred the proceeds to Nelson.
Nelson ceased making repayments on his FSA loans as of Jan. 12, 2015. His outstanding principal balance is $138,452, plus applicable interest and penalties. Nelson filed for Chapter 7 bankruptcy on June 25, 2015.
Livestock Sales: $124,000
According to the government, Nelson also schemed to remove identification from cattle that was owned by others but placed in his care to graze. The government contends that Nelson removed identification tags from 646 head of cattle that belongs to others, and commingled these cattle with his own and with those owned by his neighbor and landlord, in order to sell livestock undetected. The government will present evidence at Nelson’s sentencing hearing that he sold those cattle for his own benefit, for a total loss to three victims of $124,000.
Insurance Fraud: $31,320
According to the government, Nelson also made false statements to Farm Bureau Insurance for the purpose of collecting insurance proceeds on cattle he had insured. Nelson did not disclose to Farm Bureau Insurance that the FSA had first lien on all of his chattel. From Dec. 15, 2013 through March 30, 2014, according to the government, Nelson made fraudulent statements to Farm Bureau Insurance by falsely indicating his livestock had drowned or been stolen. In fact, he had not lost the livestock in the manners claimed, and he was selling numerous cows and calves to various auction houses. Nelson filed four loss claims to Farm Bureau Insurance, resulting in a loss of $31,320.
Under federal statutes, Nelson is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $1,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Daniel M. Nelson. It was investigated by the U.S. Department of Agriculture, Office of Inspector General.
KC Woman Pleads Guilty to Tax Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., woman pleaded guilty in federal court today to her role in a fraudulent tax return scheme that claimed $433,365 in fraudulent income tax refunds.
Marquita R. Murray, 37, of Kansas City, pleaded guilty before U.S. District Judge Beth Phillips to her role in a conspiracy to defraud the government and to making false claims.
By pleading guilty today, Murray admitted that she participated in a conspiracy to defraud the United States by submitting false claims for income tax refunds from January 2009 to February 2012. The tax refund scheme involved the creation of false and fraudulent W-2 forms that reported fictitious employer information, fictitious income, and fictitious income tax withholdings. Conspirators solicited friends and acquaintances to file their tax returns using false W-2 information. These “taxpayers” had little to no legitimate income and would not otherwise have to file tax returns.
The tax refund scheme involved claims against the United States in the approximate amount of $433,365, and resulted in an actual loss of at least $329,000.
Murray provided tax filers with the false W-2 forms, transported tax filers to legitimate tax preparers to electronically file the fraudulent tax returns and transported tax filers to banks and check cashing businesses to obtain cash from the tax returns. Murray also assisted co-conspirators in electronically filing others’ false returns from their home computers.
Murray is the fourth defendant to plead guilty to charges related to the fraud scheme. Demichael A. Johnson, 37, of Kansas City, Mo., was sentenced to two years in federal prison without parole, to be served consecutively to the seven-year sentence Johnson is currently serving in federal prison for drug trafficking. The court also ordered Johnson to pay $67,281 in restitution to the government. Mika Francis, 40, of Lee’s Summit, Mo., and Lashan Brown, 41, of Kansas City, Mo., have pleaded guilty and await sentencing.
Under federal statutes, Murray is subject to a sentence of up to 15 years in federal prison without parole, plus a fine up to $500,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Senior Litigation Counsel Gregg Coonrod. It was investigated by IRS-Criminal Investigation.
KC Man Pleads Guilty to Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man whose computer had been seized in a separate and unrelated state investigation, pleaded guilty in federal court today to obtaining another computer and attempting to distribute child pornography over the Internet.
Justin K. Eaton, 32, of Kansas City-North, pleaded guilty before U.S. District Judge Roseann Ketchmark to the charge contained in a Dec. 16, 2014, federal indictment. Eaton was taken into federal custody at the conclusion of today’s court hearing.
On Oct. 8, 2012, an FBI agent identified Eaton’s computer as sharing images of child pornography over a peer-to-peer file-sharing network. The agent downloaded three video files and five images of child pornography from Eaton’s computer.
Approximately six months earlier, in February 2012, Eaton had been charged in Clay County, Mo., in an unrelated child pornography case. Eaton’s computer was seized during the state investigation. Eaton bought a new computer shortly thereafter and continued to download child pornography, which resulted in the federal investigation and grand jury indictment.
Eaton was arrested on the state charges on Oct. 12, 2012, and was released on bond. On Oct. 26, 2012, the FBI executed a search warrant at Eaton’s residence and seized electronic media that contained more than 150 images of child pornography. Under the terms of today’s plea agreement, Eaton must forfeit to the government a laptop computer, a computer hard drive and a micro SD card, all of which were used to commit the offense.
Eaton pleaded guilty to two counts of possessing child pornography in the Clay County case on Aug. 17, 2013, and was sentenced to eight years. Eaton spent 120 days in the Sexual Offender Assessment Unit in the Missouri Department of Corrections and was released to probation.
Under federal statutes, Eaton is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 20 years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Gower Man Pleads Guilty to Child PornRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Gower, Mo., man pleaded guilty in federal court today to possessing child pornography and to attempting to receive child pornography over the Internet.
William D. Everett, 45, of Gower, pleaded guilty before U.S. District Judge Stephen R. Bough to two counts of attempting to receive child pornography over the Internet and one count of possessing child pornography. Everett was taken into federal custody at the conclusion of today’s court hearing.
Everett’s computer was identified during an undercover FBI operation in New Orleans, La. Everett attempted to access a covert Web site with descriptions of child pornography and associated download links (which were not able to actually be accessed).
Law enforcement officers executed a search warrant at Everett’s residence and interviewed Everett, who admitted that he used his computer to search for, view and download child pornography. Investigators examined two hard drives; both had child pornography movies and images as well as bestiality and bondage child pornography. Almost all were of prepubescent children, including some toddlers. More than 370 videos and 1,600 images of child pornography were extracted.
Under federal statutes, Everett is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 50 years in federal prison without parole, plus a fine up to $750,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the Gower, Mo., Police Department and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Man with Prior Convictions for Stealing Mail Sentenced Again for Mail TheftRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a man with prior federal convictions for stealing mail was again sentenced in federal court today for stealing mail, following a police chase from a bank where he was attempting to cash a fraudulent check.
Ronald L. Hines, also known as Ronald Hinds, 64, pleaded guilty to stealing mail and was sentenced by U.S. District Judge Beth Phillips to two years and six months in federal prison without parole. Today’s sentence must be served consecutively to a two-year sentence Hines received upon the revocation of his supervised release. The court also ordered Hines to pay $8,504 in restitution.
By pleading guilty today, Hines admitted that he stole outgoing mail from rural mailboxes in the Kansas City metropolitan area in both Missouri and Kansas in June 2014. Hines stole mail from at least two victims in Platte City, Mo., and at least three victims in Shawnee, Kan.
Hines used the stolen mail to write or cash $8,504 in fraudulent checks. Not all of the fraudulent checks were successfully cashed.
On June 28, 2014, Hines attempted to pass a fraudulent check at US Bank in Shawnee, Kan. Hines fled the bank when the police arrived. He led police officer on a car chase that ended when Hines’ car struck a curb and a utility pole. Hines was arrested for forgery and fleeing a law enforcement officer. His vehicle was searched and several items were recovered, including checks stolen from the mail.
Hines was interviewed on the day of his arrest by officers of the Overland Park, Kan., Police Department. He admitted his involvement in the mail theft/bank fraud scheme. Hines also admitted he used his previous criminal connections to access books of blank stolen checks or in some cases he would trade drugs and money for blank books of checks.
Hines has prior federal convictions in the Western District of Missouri for stealing mail and bank fraud in 1997 and again in 2009. Hines was still under supervised release following his five-year sentence for the 2009 convictions when he committed the thefts in this case. Hines also has a prior state conviction for stealing mail in 1977.
This case was prosecuted by Assistant U.S. Attorney Jane Pansing Brown. It was investigated by the U.S. Postal Inspection Service.
KC Man Sentenced for Drug Trafficking, Money LaunderingRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for being the leader of a drug-trafficking conspiracy and for money laundering.
Rudolfo Villareal, also known as “Gordo” and “Rudy,” 41, of Kansas City, Mo., was sentenced by U.S. District Judge Gary A. Fenner to 12 years and seven months in federal prison without parole.
On March 18, 2015, Villareal pleaded guilty to being the leader of a conspiracy that distributed 20 kilograms of cocaine and 8,095 kilograms of marijuana over a five-year period from April 2007 to April 2012. Villareal also pleaded guilty to money laundering.
Six co-defendants in addition to Villareal have pleaded guilty and been sentenced in this case. Donald Morgan, also known as “Rone,” 43, of Kansas City, Mo., was sentenced to 11 years and eight months in federal prison without parole. Derrick K. Vaughn, 47, of Kansas City, Mo., was sentenced to six years in federal prison without parole. Paul Tinoco, Sr., 67, of Kansas City, Mo., was sentenced to 15 years in federal prison without parole. Edward M. Sola, 41, of Kansas City, Mo., was sentenced to 10 years in federal prison without parole. James Comer, 37, of Kansas City, Mo., was sentenced to four years in federal prison without parole. Andrea Mabe, 39, of Kansas City, Mo., was sentenced to one year and one day in federal prison.
This case is being prosecuted by Assistant U.S. Attorney Catherine Connelly. It was investigated by the FBI, the Kansas City, Mo., Police Department, the Drug Enforcement Administration and IRS-Criminal Investigation.
KC Man Pleads Guilty to Bank Robbery, CarjackingRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man who was shot by police officers pleaded guilty in federal court today to bank robbery and to using a firearm in an attempted carjacking.
Steven Marquain Davis, 29, of Kansas City, pleaded guilty before U.S. District Judge Dean Whipple to bank robbery and to using a firearm during a violent crime (carjacking).
By pleading guilty today, Davis admitted that he used a bomb to rob the Commerce Bank at 922 Walnut St., Kansas City, Mo., on Jan. 9, 2015. Davis entered the bank between 4:10 and 4:20 p.m. Davis, holding a remote control device, approached a teller counter and placed a black duffel bag on the counter. The remote control was described as having a red wire wrapped around it, similar in appearance to the remote used on remote control toys. Davis told the teller “gimme everything” and that “it’s” on the side of the building, which the teller believed referred to a bomb because of the remote he was holding. The teller placed $29,689 in the black duffel bag.
After Davis left the bank, he approached a 2012 Suzuki Grand Vitara on Petticoat Lane, mid-block between Main Street and Walnut Avenue. Davis pulled on the door handle and ordered the driver to open the door. When she refused, he pointed a handgun at her and again stated, “Open the door.” He began banging on the window of her vehicle with the handgun and she drove away from the area.
A witness confronted Davis in the street. Davis pointed a handgun at the witness and stated, “What are you looking at?” Davis tried unsuccessfully to get into two other cars in the area before multiple police officers arrived on the scene. Davis pointed a handgun at the officers, who then fired at Davis and wounded him before taking him into custody. Investigators collected $29,690, a remote device and a Smith & Wesson .38-caliber revolver from the scene where Davis was arrested.
FBI agents located a device that appeared to be a bomb in the southwest area of the bank lobby. FBI and Kansas City, Mo., Police Department bomb technicians responded and determined the explosive device posed an imminent threat to public safety. Bomb technicians rendered the device safe.
Under federal statutes, Davis is subject to a mandatory minimum sentence of seven years in federal prison without parole for the firearm conviction, which must be served consecutively to his sentence for bank robbery, up to a sentence of life in federal prison without parole. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Justin G. Davids. It was investigated by the FBI and the Kansas City, Mo., Police Department.
Husband, Wife Sentenced for Drug Trafficking Following Heroin OverdoseRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a St. Louis, Mo., man and a Berkeley, Mo., woman have been sentenced for their roles in a drug-trafficking conspiracy after the man suffered a heroin overdose in a Columbia, Mo., hotel room.
Gustavo Ruvalcaba, 45, of St. Louis, and Jennifer Ann Foust, 30, of Berkeley, who are now married, were sentenced in separate appearances before U.S. District Judge Stephen R. Bough on Wednesday, Nov. 18, 2015. Ruvalcaba was sentenced to 12 years and seven months in federal prison without parole. Foust was sentenced to six years in federal prison without parole.
On May 6, 2015, Ruvalcaba and Foust each were found guilty at trial of participating in a conspiracy to distribute heroin, crack cocaine, powder cocaine and methamphetamine from July 2013 to July 2014. Ruvalcaba was also convicted of four counts of possessing heroin, crack cocaine, powder cocaine and methamphetamine, each with the intent to distribute, on July 14, 2014. Foust was also charged in the possession counts but the jury was unable to reach a verdict; the court declared a mistrial on those counts in regard to Foust.
Columbia police officers were dispatched to a room at the Super 8 Motel in response to a heroin overdose on July 14, 2014. Foust had called 911 for Ruvalcaba, who was lying on the floor and being treated by EMS and fire personnel when officers arrived. Officers executed a search warrant for the hotel room and seized 16.4 grams of black tar heroin, 6.6 grams of crack cocaine, 35.3 grams of powder cocaine, 11.6 grams of pure methamphetamine, drug paraphernalia, seven cell phones and $78,525 divided up into 8 different manila envelopes and numerous piles.
St. Charles, Mo., police officers also had found Ruvalcaba and Foust together in an Embassy Suites hotel room about a year earlier, on July 10, 2013. Foust initially told officers that nobody else was in the hotel room, but they heard noises in the bathroom. Officers noticed drugs and drug paraphernalia scattered in plain view throughout the room and a large bundle of cash. The bathroom door was locked and they continued to hear sounds of plastic being rubbed together, water running and the toilet flushing. Officers believed evidence was being destroyed, so they jimmied open the bathroom door and found Ruvalcaba, who was flushing the contents of plastic bags down the sink and toilet. Ruvalcaba was handcuffed and set in a chair.
When one of the officers turned around to speak to Foust, Ruvalcaba quickly ingested some of the 15.4 grams of methamphetamine that was being weighed on a digital scale found in the bedroom. Ruvalcaba, who had chunks of methamphetamine in his mouth and on his face and t-shirt, began to eat the methamphetamine at a fast pace and refused to spit it out. When asked why he had ingested the methamphetamine, Ruvalcaba stated, “You can’t charge me without any evidence.” Officers seized 9.6 grams of crack cocaine, 5.7 grams of methamphetamine, drug paraphernalia, five cell phones and $11,086 (a large amount recovered from Ruvalcaba’s underwear) from the hotel room.
St. Charles police officers arrested Ruvalcaba and Foust again on Sept. 12, 2013, after their vehicle was pulled over on Interstate 70 for operating without proper registration. A K-9 walked around the vehicle and alerted to several areas of the vehicle, including the trunk. Officers found several syringes in a suitcase in the trunk.
Ruvalcaba and Foust were transported to the police station. While they were waiting in the holdover area, Ruvalcaba, whose right hand was handcuffed to the holding bench, reached with his free left hand to remove his shoe and retrieved a package of methamphetamine. Ruvalcaba threw the package of methamphetamine toward Foust, who pulled it toward her with her foot, placed it in her mouth and swallowed it. Officers ordered Foust to open her mouth and noticed a white residue on her tongue; officers also found methamphetamine on the floor where Foust was sitting.
On Dec. 6, 2013, law enforcement officers conducted surveillance of a residence in St. Charles, Mo., after being notified that two packages suspected of containing narcotics were scheduled to be delivered to the residence. After the packages were delivered, Ruvalcaba and Foust exited the residence, and Ruvalcaba placed a microwave oven into a vehicle driven by Foust. Ruvalcaba and Foust then left the residence together and were followed by officers. As officers attempted to stop the vehicle driven by Foust, she rapidly accelerated and drove onto I-70 at a high rate of speed. As Foust attempted to evade officers, she was seen weaving in and out of traffic for several miles at speeds in excess of 90 miles per hour. During the pursuit, Ruvalcaba had his upper torso out of the vehicle, and was observed throwing several packages containing a white substance, suspected to be methamphetamine, from the vehicle.
After the pursuit, officers searched the residence and recovered 15.1 grams of methamphetamine. A resident of the home told investigators he allowed Ruvalcaba and Foust to ship the packages containing methamphetamine to his house. He estimated that the packages received that day contained two kilograms of methamphetamine, which Ruvalcaba had concealed inside the microwave oven.
According to court documents, investigators interviewed a cooperating source in February 2015, who recognized Ruvalcaba and knew him to supply methamphetamine to a mutual associate. The cooperating source saw Ruvalcaba deliver three pounds of methamphetamine to their mutual associate on two different occasions.
This case was prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Drug Enforcement Administration, the Columbia, Mo., Police Department, the U.S. Postal Inspection Service, the St. Charles City Police Department, the St. Charles County, Mo., Sherriff’s Department and the St. Charles County Regional Drug Task Force.
Federal Inmate Sentenced to 12 Years for AssaultRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an inmate of the U.S. Medical Center for Federal Prisoners in Springfield, Mo., was sentenced in federal court today for assaulting another inmate.
Dean Kinningham, 52, was sentenced by U.S. District Judge M. Douglas Harpool to 12 years and seven months in federal prison without parole, to be served consecutively to his previously imposed sentence.
On June 17, 2015, Kinningham pleaded guilty to assault with the intent to commit murder. Kinningham admitted that he assaulted another inmate, Gary Brown, by stabbing and slashing him with a razor blade on June 4, 2014. Prison officials responded to an emergency call in the prison ward and discovered Brown with multiple lacerations on his face and neck. Kinningham, who had blood on his shirt, was also present. Kinningham stated that “this is all me,” referring to the blood in the hallway and on his clothes. Brown was treated on the scene and transported to a local Springfield hospital for treatment.
Kinningham is currently serving a 262-month sentence for armed pharmacy robbery and brandishing a firearm during a crime of violence for the Eastern District of Tennessee, with a release date of May 17, 2030.
This case was prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by the FBI and the U.S. Bureau of Prisons.
Blue Springs Man Sentenced to 40 Years for Producing Child Porn After Being Caught on Nanny CamRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Blue Springs, Mo., man who was caught sexually assaulting a toddler on a nannycam was sentenced in federal court today for producing child pornography.
Jeffrey Laurence Treta, 47, of Blue Springs, was sentenced by U.S. District Judge Beth Phillips to 40 years in federal prison without parole. The court also sentenced Treta to a term of supervised release for the rest of his life following incarceration.
On Feb. 19, 2015, Treta pleaded guilty to two counts of producing child pornography, two counts of producing child obscenity, one count of possessing child pornography and one count of obstructing justice.
Treta was living with his estranged wife and babysitting a 21-month-old child identified as Jane Doe #1 while his wife was away from the house on Jan. 29, 2013. Treta’s wife had installed a nannycam in the master bedroom, which was triggered whenever anyone entered the room. The nannycam recorded Treta bringing Jane Doe #1 into the bedroom, laying the toddler down on the bed, and using his cell phone to record himself sexually assaulting the child victim while he lay in bed with her.
Treta’s wife and son gave law enforcement investigators a SIM card they had innocently retrieved from Treta’s cell phone on a prior occasion. The SIM card contained a video and images of similar child pornography dated 10 days prior to Treta’s recorded assault of Jane Doe #1. Some of the images of this assault were transferred from Treta’s cell phone to his laptop computer.
Treta’s laptop also contained images of two more victims, about 10 years old, identified as Jane Doe #2 and Jane Doe #3. Those images were Photoshopped to make it appear as though the children were engaged in sexually explicit conduct.
Treta’s laptop contained hundreds of images from child modeling, nudist and other Web sites, many of which constituted child pornography. Many of the images were of prepubescent children (including toddlers) and a few depict sadistic activity. Other images on Treta’s laptop resembled the Photoshopped images of Jane Doe #2 and Jane Doe #3.
Treta destroyed evidence in anticipation of a police investigation of sexual abuse and child pornography. During the few minutes after police officers had been called, but before they arrived at his residence, Treta deleted a large number of items from his laptop, including images and videos.
This case was prosecuted by Assistant U.S. Attorney Teresa Moore. It was investigated by the Blue Springs, Mo., Police Department.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."