Western District of Missouri
Press releases recorded for this federal judicial district.
Six Joplin Family Members Among 21 Indicted for Meth ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Joplin, Mo., couple and their four adult sons are among 21 defendants who have been indicted by a federal grand jury for their roles in a conspiracy to distribute large quantities of methamphetamine in Jasper County, Mo.
Gerardo Hernandez Cazares, Sr., 51, his wife, Leticia Cazares, 51, a citizen of Mexico who is a permanent legal resident of the United States and his four sons, Jose DeLeon Cazares, 28, Gerardo Cazares Jr., 29, Eric Eziquel Cazares, 30, and Abraham Cazares, 24, all of Joplin; Casey Murray, 19, Gilbert Roland, 49, David Roland, 32, Charles Jackson Lee III, 29, James Pickel, 55, Michael Fordyce, 52, Michael Ray Hendrix, 33, Jimmy Don Thompson, 22, Nathan Kent Hernandez, 33, Jorge Ercules, 27, a citizen of Honduras, Henry Gonzalez, 31 and Hugo Rodriguez, 41, both citizens of Mexico, all of Joplin; Daniel Nevarez, 27, (Gerardo Cazares’s son in law), of Carl Junction, Mo.; Gabrielle Sharp, 20, of Springfield, Mo.; and Jose Puente, 41, of Commerce, Okla., were charged in a 34-count indictment returned by a federal grand jury in Springfield on July 24, 2013. The indictment replaced a federal criminal complaint that was filed on June 13, 2013.
According to an affidavit filed in support of the original criminal complaint, law enforcement authorities noticed a significant increase in the availability of methamphetamine in the Joplin area beginning in June 2012. A confidential source stated there was a drug-trafficking organization in Joplin that was importing very pure methamphetamine from Mexico into the United States, then transporting it by automobile to Joplin.
The federal indictment alleges that all 21 defendants participated in a conspiracy to distribute methamphetamine from July 16, 2012, to June 14, 2013.
In addition to the conspiracy, Gerardo Cazares, Sr., Gerardo Cazares, Jr., Jose Cazares, Hendrix, Pickel, Ercules and Gonzalez are variously charged in 22 counts related to distributing methamphetamine.
Gerardo Cazares, Sr., Gerardo Cazares, Jr., Jose Cazares, Eric Cazares, Leticia Cazares, Hendrix, Pickel, Sharp, Thompson, Hernandez, Rodriguez and Lee are also variously charged in 11 counts related to using a telephone to facilitate the drug-trafficking conspiracy.
The federal indictment also contains two forfeiture allegations, which would require Pickel to forfeit to the government $1,600 that was seized by law enforcement officers, and would require Roland to forfeit to the government $4,162 that was seized by law enforcement officers.
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 Special Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the FBI, IRS-Criminal Investigation, U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Bureau of Indian Affairs, the Missouri State Highway Patrol, the Kansas Bureau of Investigation, the Jasper County Drug Task Force, the Joplin, Mo., Police Department and the Miami, Okla., Police Department.Joplin Man Pleads Guilty to Disaster Fraud Related to Tornado BenefitsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Joplin, Mo., man pleaded guilty in federal court today to fraudulently receiving federal disaster benefits following the May 22, 2011 tornado.
Andy Eric Brownlee, 31, of Joplin, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in a Dec. 13, 2012, federal indictment.
By pleading guilty today, Brownlee admitted that he knowingly made materially fraudulent statements and representations to FEMA in connection with his application for disaster assistance.
Brownlee completed a FEMA application for disaster assistance on May 26, 2011, claiming that his Joplin residence had been damaged by the tornado. Brownlee received a payment of $2,750. However, Brownlee admitted today that the address he used in his FEMA application was actually the address of the Lazarus Ministries Halfway house, which was not his residence at the time of the tornado. Brownlee previously resided there, but moved out prior to the tornado.
Under federal statutes, Brownlee is subject to a sentence of up to 30 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 Steven M. Mohlhenrich. It was investigated by Homeland Security Investigation – Office of Inspector General, the FBI and the Joplin, Mo., Police Department.
Disaster Fraud Hotline
Anyone with information about disaster fraud related to the Joplin tornado should call the National Center for Disaster Fraud hotline at 866-720-5721, the Joplin Police Department at 417-623-3131, or the FBI’s Joplin office at 417-206-5700.
West Plains Man Pleads Guilty to Distributing K2Read the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a West Plains, Mo., man pleaded guilty in federal court today to distributing synthetic marijuana, commonly referred to as K2, while employed at The Man Cave in Springfield, Mo.
Kent C. Work, 54, of West Plains, 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 two counts of distributing a controlled substance analogue.
Work admitted that, while working at The Man Cave, he sold synthetic marijuana to an undercover Springfield police officer on several occasions.
By pleading guilty to the first count, Work admitted that he sold synthetic marijuana to an undercover officer on April 2, 2013. When the officer asked for “Scarface,” Work walked to the cash register, leaned under the counter, and looked through a box. Work stated they only had “Baby Face” in a green or strawberry color. The undercover officer asked for the strawberry. Work produced a bag of “Baby Face,” which the undercover officer purchased for $35.
The packaging included the words, “100% DEA Approved, Not for Human Consumption.” Work did not ring the transaction through the cash register and did not charge sales tax.
By pleading guilty to the second count, Work admitted that he sold synthetic marijuana to an undercover Springfield police officer on April 10, 2013. The undercover officer asked Work for “Scarface.” Work walked to the cash register and pulled out several packages of synthetic marijuana and said that he had “Baby Face,” “608 Triple Cherry,” “Scarface” and “Reload Plain.” The undercover officer asked to purchase the “Scarface” and the “Reload Plain” and handed Work $50.
The “Scarface” packaging included the words, “100% DEA Approved.” The “Reload Plain” packaging included the words, “Not Meant for Human Consumption, For Display Purposes Only” and “Does not contain any Federally Forbidden Ingredients.” No receipt was issued and the purchase was not taxed.
In addition to the criminal conduct for which he was charged, Work also admitted that he again sold synthetic marijuana to an undercover police officer on April 24 and May 8, 2013. Work was also observed selling these substances to other customers of The Man Cave. Those additional actions are considered relevant conduct and may be considered by the court when determining an appropriate sentence. Work sold a total of 17 grams of synthetic marijuana.
Under federal statutes, Work is subject to a sentence of up to 40 years in federal prison without parole, plus a fine up to $2 million. 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Springfield, Mo., Police Department, the Missouri State Highway Patrol, IRS-Criminal Investigation and the U.S. Postal Inspection Service.Lenexa Man Charged with Child ExploitationRead the Press Release
Human Trafficking Rescue Project
Operation Guardian Angel
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Lenexa, Kan., man was charged in federal court today with attempting to pay for illicit sex with a 12-year-old child after being caught in an undercover sting operation.
Guardian Angel is an undercover law enforcement operation targeting the demand for child sex trafficking in the Kansas City metro area by targeting the customers of child prostitution and prosecuting the alleged violators under the Trafficking Victims Protection Act.
John J. McCarthy, 24, of Lenexa, was charged in a federal criminal complaint filed in the U.S. District Court in Kansas City, Mo. McCarthy, who remains in custody, is expected to appear in court on Thursday, Aug. 1, 2013.
According to an affidavit filed in support of the federal criminal complaint, McCarthy contacted a person whom he believed to be the mother of two children but who was actually an undercover Kansas City police detective. After initially making contact through a social Web site, McCarthy began communicating by e-mail and texting.
McCarthy told the undercover detective that he would love to teach her two daughters how to satisfy a man, the affidavit says, and that a mom watching and joining in with her daughters is a big fantasy of his. Beginning on July 24, 2013, the undercover detective began exchanging numerous text messages with McCarthy over several days and he allegedly asked if he could meet the mother and her daughters. She responded that she would rather meet him first without the girls.
On July 29, 2013, the undercover detective met McCarthy at a public location. She described her daughters as 16 and 12 years old. McCarthy allegedly said that the 12-year-old was the one that he wanted first, and began to describe the sexual acts he intended to do with her. The undercover detective said that she had to get something in return for all of this and he allegedly agreed to pay $50. McCarthy told her that he would like to do this soon, the affidavit says, maybe as soon as the next day.
McCarthy sent the undercover detective a text message the next day, July 30, 2013, according to the affidavit, saying he was free for the night and did not have to work in the evening. They arranged for a time to meet, and at approximately 6:36 p.m., McCarthy called and said that he was in the area. The undercover detective directed him to an apartment. Once McCarthy entered the apartment, he allegedly showed the undercover detective the lubrication that he brought for use with the 12-year-old. McCarthy gave her $60, the affidavit says. She reiterated to McCarthy the sexual acts – including oral and vaginal sex – that he previously said he intended on performing on and with the 12-year-old, to which he allegedly responded affirmatively.
The undercover detective told McCarthy the girl was in the bedroom and that he could enter. As McCarthy opened the door and walked into the bedroom he was placed under arrest by Kansas City police officers.
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 Patrick D. Daly. It was investigated by the Kansas City, Mo., Police Department in conjunction with the Human Trafficking Rescue Project.Medical Center Inmate Pleads Guilty to Assaulting Federal EmployeeRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that an inmate at the U.S. Medical Center for Federal Prisoners Springfield, Mo., has pleaded guilty to assaulting a federal employee.
Willard Begay, 33, pleaded guilty before U.S. Magistrate Judge David P. Rush on Friday, July 26, 2013, to the charge contained in a Nov. 7, 2012, federal indictment.
Begay admitted that the assault occurred while he was meeting with a federal correctional counselor on Oct. 1, 2012. Begay was escorted to the counselor’s office to discuss some issues he had with other inmates as well as Begay’s transfer to another unit. The counselor advised Begay that the best situation would be for him to go to a locked unit where he would be removed from the problems.
At the conclusion of their session, the counselor asked Begay to place his hands behind his back so he could apply hand restraints. Begay placed his hands behind his back, and the counselor started to apply a cuff to Begay’s left wrist. Instantly, Begay turned around and hit the counselor in the face with a closed fist. The counselor fell back about three steps, stunned and dazed from the punch. Begay then grabbed a nearby computer printer and threw the computer printer. The combination of Begay’s closed-fist punch and the throwing of the computer printer caused the counselor to sustain a broken orbital bone, lacerations requiring stitches and bruising. Additional staff members assisted in apprehending Begay and taking the counselor to the medical center’s emergency room.
Under federal statutes, Begay 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 Abram McGull, II. It was investigated by the FBI, the U.S. Medical Center for Federal Prisoners and the Federal Bureau of Prisons.
KC Woman Sentenced for Fraud, Identity TheftRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., woman was sentenced in federal court today for mail fraud and aggravated identity theft in a scheme to fraudulently rent apartments and a business office, lease cars and open bank accounts.
Deshonda Latrice Anderson, 25, of Kansas City, was sentenced by U.S. District Judge Gary A. Fenner to five years and six months in federal prison without parole. The court also ordered Anderson to pay $39,976 in restitution to her victims.
Anderson moved to Kansas City from Texas in February 2012. Between February and June 2012, Anderson used pseudonyms, fake and stolen Social Security numbers, forged paystubs, W-2 and W-3 forms, false employment and residence information, a sham business, bad checks and credit cards to secure for herself a line of credit, bank accounts, apartments, a business office, cars, other goods and cash. Victims of Anderson’s four-month scheme include at least 39 individuals, businesses and financial institutions.
In order to secure a place to live and transportation, Anderson defrauded at least 11 landlords and three car dealerships or leasing agencies. Anderson wrongfully appropriated for her personal use a 2011 Chevrolet Suburban, a 2012 Chevrolet Camaro and a 2012 Audi A4 in just four months. The loss to those victims of Anderson’s scheme totals at least $39,811.
Anderson incorporated Vixen Kandi Company on March 8, 2012. Vixen Kandi Company has no apparent legitimate business operation, production or revenue. Anderson used several worthless forms of payment to rent office space from Regus Management Group. The loss to Regus related to Anderson’s scheme is $669. Anderson also presented to M&I Bank false personal information and fake business information so that the bank would open four accounts for Vixen Kandi Company and treat it as a legitimate account holder. The loss to M&I Bank related to the fraud scheme totals $2,621.
Anderson opened an account at UMB Bank using her infant child’s Social Security number. The bank provided Anderson with starter checks; she conducted worthless deposits into the account and withdrew cash. UMB Bank recognized the fraudulent activity and closed the account two weeks later. Even though the account was closed, Anderson continued to present checks for goods and services drawn on the account. Anderson’s scheme resulted in a loss of $102 to UMB Bank.
Anderson engaged in a similar course of conduct at no fewer than five other banks. At each bank, Anderson used falsified personal information and checks drawn on insufficient funds to open personal accounts. She also used a fraudulent certificate of incorporation in order to open business accounts. Anderson deposited worthless checks into the accounts then withdrew cash or presented checks for payment against those accounts. The loss related to Anderson’s scheme for those banks totals at least $6,523.
This case was prosecuted by Assistant U.S. Attorney Daniel M. Nelson. It was investigated by the Kansas City, Mo., Police Department, the U.S. Postal Inspection Service, and the Social Security Administration – Office of Inspector General.
Springfield Woman Pleads Guilty to $1.3 Million Mail Fraud Related to Distributing K2Read 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 $1.3 million mail fraud conspiracy related to distributing at least 188 kilograms of synthetic marijuana, commonly referred to as K2.
Victoria A. Butchee, also known as Victoria A. Wohlin, 28, of Springfield, waived her right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush to a federal information. As a result, the federal criminal complaint filed against Butchee on June 25, 2013, will be dismissed.
Butchee admitted that she participated in a conspiracy between March 1, 2011, and June 24, 2013, to defraud the Food and Drug Administration and to defraud the public by falsely representing that a number of synthetic cannabinoid products were “incense” or “potpourri” and “not for human consumption.” In reality, Butchee admitted, these substances contained compounds that were intended for human consumption as a drug.
Butchee manufactured and distributed synthetic cannabinoids. Based upon the invoices, ledgers, and product seizures by law enforcement, this conspiracy was responsible for the manufacture and/or distribution of at least 188.14038 kilograms of synthetic cannabinoid products.
Under the terms of the plea agreement, Butchee must forfeit to the government $1,354,034, which represents the total amount of money involved in the conspiracy, $31,580 that was seized by law enforcement officers, and four rifles and a shotgun that were seized by law enforcement officers.
Today’s plea agreement cites a number of transactions in which materials used to manufacture and distribute synthetic cannabinoids were shipped via UPS or FedEx to members of the conspiracy – including controlled substance analogues (synthetic chemical compounds similar to THC, the psychoactive ingredient in marijuana), green leafy substances which served as carrier media, labels that were affixed to packages of “Donkey Punch,” “Jolly Grape Giant,” “South of the Tracks,” “Baby Face,” “Scarface,” “Hillbilly Hay,” and other synthetic cannabinoid products, and foil and plastic packaging bags.
Under federal statutes, Butchee 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Springfield, Mo., Police Department, the Missouri State Highway Patrol, IRS-Criminal Investigation and the U.S. Postal Inspection Service.Republic Man Indicted for Producing Child Porn, Sharing Child Porn over the InternetRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Republic, Mo., man has been indicted by a federal grand jury for producing child pornography and for receiving and distributing child pornography over the Internet.
Dustin E. James, 30, of Republic, was charged in a two-count indictment returned by a federal grand jury in Springfield on Tuesday, July 23, 2013.
The federal indictment alleges that James used a minor, identified as “Jane Doe,” to produce child pornography between July 1, 2012, and April 24, 2013. The indictment also alleges that James received and distributed child pornography over the Internet between Jan. 1, 2011, and April 24, 2013.
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 James J. Kelleher. It was investigated by Homeland Security Investigations and the Republic, 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."Lebanon Sex Offender Indicted for Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Lebanon, Mo., man who is a registered sex offender was indicted by a federal grand jury for receiving child pornography over the Internet.
Wayne Harlan Files, 76, of Lebanon, was charged in an indictment returned by a federal grand jury in Springfield on Tuesday, July 23, 2013.
The federal indictment alleges that Files received child pornography over the Internet between Nov. 1, 2011, and Feb. 1, 2012. Files is a registered sex offender due to a 1993 conviction for forcible sodomy. Under federal statutes, a conviction would therefore result in a mandatory minimum sentence of 15 years in federal prison without parole, up to 40 years in federal prison without parole.
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 Homeland Security Investigations and the Lebanon, 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."Joplin Sex Offender Indicted for Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Joplin, Mo., man who is a registered sex offender has been indicted by a federal grand jury for receiving and distributing child pornography over the Internet.
Donnie Ray Sumner, 43, of Joplin, was charged in an indictment returned by a federal grand jury in Springfield on Tuesday, July 23, 2013.
The federal indictment alleges that Sumner received and distributed child pornography over the Internet between July 1, 2012, and Jan. 21, 2013. The indictment also contains a forfeiture allegation, which would require Sumner to forfeit to the government any property used to commit the alleged offense, including a desktop computer and a laptop computer.
Sumner is a prior sex offender with a 2001 conviction for possessing child pornography. Under federal statutes, a conviction would therefore result in a mandatory minimum sentence of 15 years in federal prison without parole, up to 40 years in federal prison without parole.
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 Homeland Security Investigations 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."Church Youth Leader Pleads Guilty to Sexual Exploitation of ChildrenRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Norwood, Mo., man who volunteered as a church youth leader has pleaded guilty in federal court to two counts of enticing minors for illegal sexual activity.
Brent “Pete” Turley, 22, of Norwood, pleaded guilty before U.S. Magistrate Judge David P. Rush on Tuesday, July 23, 2013, to the charges contained in a July 24, 2012, federal indictment.
Turley pleaded guilty to using the Internet and a cell phone to attempt to entice a child victim to engage in illegal sexual activity. A law enforcement officer was using the child victim’s phone to investigate after the parents contacted authorities. Turley made arrangements with the undercover officer to meet the child victim at a local park, where he was arrested on March 19, 2012.
Turley also pleaded guilty to a separate count of using the Internet and a cell phone to entice a child victim to engage in illegal sexual activity. Turley admitted that he engaged in illicit sexual activity with a 15-year-old victim.
Under federal statutes, Turley 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, 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 James J. Kelleher. It was investigated by the Southwest Missouri Cybercrimes Task Force and the Missouri State Highway Patrol.
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."Branson Restaurant Manager Indicted for Meth, Illegal FirearmsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that the manager of the La Iguana Mexican Restaurant in Branson, Mo., has been indicted by a federal grand jury on charges related to drug trafficking and illegally possessing firearms.
Jose Antonio Garcia-Gonzalez, 39, of Branson, was charged in a two-count indictment returned by a federal grand jury in Springfield on Tuesday, July 23, 2013. Garcia-Gonzalez is the manager of the La Iguana Mexican Restaurant in Branson.
The federal indictment alleges that Garcia-Gonzalez possessed 500 grams or more of methamphetamine on July 16, 2013, with the intent to distribute. The indictment also alleges that Garcia-Gonzalez was an illegal alien in possession of several firearms. Garcia-Gonzalez allegedly possessed a Jennings Jimenez Arms 9mm semi-automatic firearm, a KelTek 9mm semi-automatic firearm, a Springfield Armory 9mm semi-automatic firearm, a Spikes Tactical AR-15 (7.62X39) rifle and ammunition, all of which was seized by law enforcement officers from his residence on July 16, 2013.
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 Randall D. Eggert. It was investigated by the Department of Homeland Security’s Customs and Border Protection Unit, the Drug Enforcement Administration, the Branson, Mo., Police Department and the Missouri Department of Revenue.Three Excelsior Springs Residents Charged with Meth ConspiracyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that an Excelsior Springs, Mo., man who called law enforcement officers to his home is among three residents charged in federal court for their roles in a conspiracy to manufacture methamphetamine.
Glenn Allen DiFalco, 50, Anthony Trurice Grayson, 29, and Clarissa Nelson Cooper, 44, all of Excelsior Springs, were charged in a federal criminal complaint filed in the U.S. District Court in Kansas City, Mo., on Monday, July 22, 2013.
The criminal complaint alleges that DiFalco, Grayson and Cooper participated in a conspiracy to manufacture 50 grams or more of methamphetamine.
According to an affidavit that was filed in support of the federal criminal complaint, Grayson contacted the Ray County Sheriff’s Department on Tuesday, July 16, 2013, and told officers he was being threatened by DiFalco. Grayson, who had fled from his residence, told officers that DiFalco had a gun and that he feared for his life. Officers met Grayson about a half-mile from his residence; he gave them permission to enter his house and arrest DiFalco.
As officers were speaking to Grayson, DiFalco and Cooper approached in a Dodge truck. According to the affidavit, the vehicle abruptly turned and drove away and officers began pursuing them. When DiFalco’s vehicle stopped in a dead-end cul-de-sac, the affidavit says, Cooper fled from the vehicle on foot and was chased by officers, who apprehended and arrested her. DiFalco was also arrested.
Officers searched DiFalco’s truck and found an airsoft gun and drug paraphernalia, including glass smoking pipes, syringes and a substance that was suspected to be crystal methamphetamine. DiFalco’s vehicle was so completely filled with debris and clutter, the affidavit says, that officers couldn’t adequately search it. The significant amount of items in the vehicle impeded law enforcement’s ability to recover and appropriately process the numerous items of drug paraphernalia and what was also suspected to be crystal methamphetamine. Officers therefore had DiFalco’s vehicle towed to a secured lot for further investigation.
When they searched the vehicle the next day, the affidavit says, officers found approximately 79,669, 30mg. pills (2,390 grams) of Cold Buster pseudoephedrine hydrochloride. These pills were contained in 91 one-gallon plastic bags. They found three bags containing a ground yellow powder believed to be ground up pseudoephedrine hydrochloride pills with a total weight of 736 grams. They also found smoking pipes, numerous handwritten recipes for various methods of methamphetamine manufacture, a butane torch, a bottle of iodine solution and several packs of iodine swabs, a laptop computer and three cell phones.
Officers returned to Grayson’s home following the vehicle pursuit, the affidavit says, and observed, in plain view, numerous items of drug paraphernalia commonly used to smoke and manufacture methamphetamine. During a search of Grayson’s residence, officers located coffee filters with iodine and powder residue, a bottle of 100% household lye, small baggies normally used to package drugs, glassware/cookware and Mason jars with residue (which were altered to facilitate methamphetamine manufacture), tubing, written instructions for pseudoephedrine pill conversion, glass smoking pipes, a white crystal-like unknown substance, weighing approximately 215.8 grams (not believed to be a controlled substance but some type of cutting agent), one bag of ground yellow powder, weighing approximately 88.8 grams, believed to be ground-up Cold Buster pseudoephedrine pills and a crystal-like substance in several plastic baggies, weighing approximately 53.2 grams, which field tested positive for the presence of methamphetamine. Officers also located a suspected explosive device, which was later identified as a “booby-trap” device.
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 Catherine Connelly. It was investigated by the Ray County, Mo., Sheriff’s Department, the Missouri State Highway Patrol and the Drug Enforcement Administration.
Joplin Business Owner Who Sold K2 Pleads Guilty to Mail Fraud, Money LaunderingRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the owner of a Joplin, Mo., business pleaded guilty in federal court today to his role in a mail fraud conspiracy and to money laundering related to the sale of K2, the slang term for synthetic cannabinoid products.
Timmy J. Ridgway, 51, of Weir, Kan., waived his right to a federal grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush to the charges contained in a federal information.
According to today’s plea agreement, Ridgway and others distributed synthetic cannabinoids at his business, The Looking Glass, 1860 W. 20th St., Joplin. K2 is a mixture of plant material that has been sprayed or mixed with a synthetic chemical compound similar to THC (tetrahydrocannabinol), the psychoactive ingredient in marijuana. K2 products are often labeled as “incense,” but in reality are intended for human consumption as a drug.
On March 4, 2013, law enforcement officers executed a search warrant at The Looking Glass and seized approximately 615 packages of “Bizarro,” 268 packages of “Orgazmo,”and $7,575 in cash. The same day, approximately $123,512 was seized from two bank accounts.
The labels on these packages of synthetic cannabinoids stated that the contents were “incense” or “potpourri” and “not for human consumption.” However, Ridgway admitted that he distributed K2, which contained a controlled substance analogue, for human consumption.
K2 was delivered to The Looking Glass via United Parcel Service (UPS) and FedEx from distributors and manufacturers in Ohio and California on at least 80 occasions between Dec. 29, 2011, and March 4, 2013. Invoices seized from The Looking Glass recorded the delivery of and payment for 93,931.5 grams of synthetic cannabinoids.
Ridgway admitted that he realized substantial profits from the distribution of synthetic cannabinoids. Between Nov. 8, 2012, and Feb. 5, 2013, he deposited a total of approximately $285,949 in cash proceeds from the sale of synthetic cannabinoids into his bank account.
Under the terms of today’s plea agreement, Ridgway must forfeit to the government a money judgment of $285,949, which represents the proceeds of the mail fraud conspiracy, as well as his business property in Joplin, a residential property in Pittsburg, Kan., and all of the funds that were seized from his business and bank accounts on March 4, 2013.
Under federal statutes, Ridgway is subject to a sentence of up to 30 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Drug Enforcement Administration, IRS-Criminal Investigation, the Kansas Bureau of Investigation, the Missouri State Highway Patrol, the Jasper County Drug Task Force and the Joplin, Mo., Police Department.Jefferson City Man Sentenced for Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Jefferson City, Mo., man was sentenced in federal court today for illegally possessing a firearm.
Michael Lee Miller, 22, of Jefferson City, was sentenced by U.S. Chief District Judge Fernando J. Gaitan on Thursday, July 18, 2013, to three years and one month in federal prison without parole.
On Nov. 29, 2012, Miller pleaded guilty to being a felon in possession of a firearm. Miller admitted that he was in possession of a Smith & Wesson semi-automatic .40-caliber handgun on July 27, 2012.
Jefferson City police officers were conducting patrol in the 1100 block of East McCarty Street – where two recent shootings had occurred and where .40-caliber shell casings were recovered – at approximately 9:17 p.m. on July 27, 2012. The officers saw Miller and two other men standing outside in front of a residence. When the officers got out of their unmarked patrol car, Miller walked away from the officers toward the porch.
When one of the officers told Miller he wanted to speak with him, Miller replied, “You’re not searching me.” Miller turned his back to the officers. One of the officers immediately frisked Miller and found the loaded handgun in his waistband. Miller was placed under arrest.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Miller has prior felony convictions for receiving stolen property, burglary and assault.
This case was prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson City, Mo., Police Department.
Boonville Man Sentenced for Child PornRead the Press Release
Project Safe Childhood
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Boonville, Mo., man has been sentenced in federal court for attempting to distribute child pornography over the Internet.
Paul E. Durham, 34, of Boonville, was sentenced by U.S. Chief District Judge Fernando J. Gaitan on Thursday, July 18, 2013, to seven years in federal prison without parole.
On Feb. 11, 2013, Durham pleaded guilty to attempting to distribute child pornography over the Internet.
In December 2011, a detective with the Mid-Missouri Internet Crimes Task Force used an automated software program to browse and download suspected child pornography files through a peer-to-peer file-sharing network. Durham’s computer was identified as having child pornography available to share online. The file-sharing program on Durham’s computer allowed him to obtain child pornography from other users, and to share child pornography with others over the Internet.
Law enforcement officers executed a search warrant on Feb. 2, 2012, at the home of Durham’s mother, where he resided. They seized a laptop computer and an external hard drive. During an examination of the contents of the computer media, examiners found at least 52 images of child pornography and 17 movies of child pornography. There were images and video depicting prepubescent children engaged in sexual acts with adults. One video depicted a young girl engaged in bestiality. Some of the material depicted children engaged in sadistic or masochistic conduct.
This case was prosecuted by Assistant U.S. Attorney Jim Lynn. It was investigated by the Boone County, Mo., Sheriff’s Department, the Cooper County, Mo., Sheriff’s Department, the FBI and the Mid-Missouri Internet 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."Independence Man Sentenced for Social Security Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Independence, Mo., man was sentenced in federal court today for a scheme to receive Social Security disability payments while running a mortgage brokerage firm that he founded in Blue Springs, Mo.
Charles Daniel Koss, 63, of Independence, was sentenced by U.S. District Judge Brian C. Wimes to seven years in federal prison without parole. The court also ordered Koss to pay $212,987 in restitution to the Social Security Administration and the Department of Treasury.
On Feb. 25, 2013, Koss was found guilty of two counts of theft of government money, one count of Social Security disability fraud, one count of mail fraud and one count of transmitting a false negotiable instrument with the intent to defraud the government.
Evidence introduced during the trial indicated that Koss fraudulently received a total of $212,768 in Social Security disability insurance payments between September 1994 and January 2010. He also fraudulently received a $250 American Recovery and Reinvestment Act payment. During that time, Koss owned and operated Embassy Mortgage in Blue Springs, a company he founded in 1994. Several witnesses during the trial confirmed that Koss worked full-time as a loan officer and ran the business; his wife did paperwork, such as paying bills and processing documents. Embassy Mortgage was involved in approximately 550 closings, nearly all of which were conducted with Koss present.
Koss, who began receiving disability payments in 1987, failed to report any change in his health condition or any income from Embassy Mortgage to the Social Security Administration. In order to qualify for and to keep receiving Social Security disability insurance benefits, a person must be so disabled that they are unable to perform substantial work. Individuals are required to report all work activity to the Social Security Administration. Koss led an active lifestyle that included bowling, golfing, horseshoes, boating, activities at his lake house and frequent visits to Ameristar Casino, where he gambled a total of $260,000 during this time.
On April 15, 2010, Koss received a billing statement from the Social Security Administration requesting repayment of the $212,768 he was overpaid as a result of his unreported work activity. About a month later, he mailed to the Social Security Administration a document entitled “Registered Private Money Order,” a false negotiable instrument purporting to draw on a trust account purportedly held at the United States Treasury. In actuality, the account did not exist and the document was fraudulent.
Koss told federal agents in interviews during the investigation that he has studied redemption theory. Redemption theory involves bogus claims that when the United States government abandoned the gold standard in 1933, it pledged its citizens as collateral so it could borrow money. The movement also asserts that common citizens can gain access to funds in secret accounts using obscure procedures and regulations. According to the theory, the government created a fictitious person (or “straw man”) corresponding to each newborn citizen and each citizen has an alleged secret trust account with the United States Treasury. The theory also claims that through obscure procedures under the Uniform Commercial Code, a citizen can “reclaim” the “straw man” and write negotiable instruments against its accounts. Its adherents sometimes call themselves “sovereign citizens.” The “sovereign citizen” movement is a loosely organized collection of groups and individuals who have adopted anarchist ideology. Its adherents believe that virtually all existing government in the United States is illegitimate and they seek to “restore” an idealized, minimalist government that never actually existed.
Redemption theory and sovereign citizen beliefs are totally without merit and they have no basis in law or fact. Individuals often use these ideas to further various fraudulent schemes.
This case was prosecuted by Special Assistant U.S. Attorney Trey Alford, Assistant U.S. Attorney Daniel M. Nelson and Special Assistant U.S. Attorney Kate Hoey. It was investigated by the Social Security Administration – Office of Inspector General, the Department of the Treasury – Inspector General for Tax Administration and the U.S. Postal Inspection Service.
KC Man Indicted for Child Sex Trafficking, Producing Child PornRead the Press Release
Human Trafficking Rescue Project
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Kansas City, Mo., man has been indicted by a federal grand jury on charges related to child sex trafficking and producing child pornography as part of a scheme that generated more than $200,000 over a three-year period.
Michael Dye, 46, of Kansas City, was charged in a six-count indictment returned under seal by a federal grand jury on Tuesday, July 16, 2013. That indictment was unsealed and made public today upon Dye’s arrest and initial court appearance. Dye remains in federal custody pending a detention hearing on Monday, July 22, 2013.
The federal indictment charges Dye with two separate counts of producing child pornography. Dye allegedly victimized two minors, identified as Child Victim #1 and Child Victim #2, to produce child pornography between June 15, 2005 and Aug. 18, 2008. The indictment also alleges that Dye prostituted Child Victim #2 between June 15, 2005 and Aug. 4, 2007.
Dye is charged with two counts of selling child pornography related to each of the two child victims. Dye is also charged with one count of grooming Child Victim #1 to participate in illegal activity (the production of child pornography).
In a motion filed with the court today, the government seeks to have Dye detained in federal custody without bail. According to the government’s motion, Dye’s actions giving rise to these charges include his active and repeated sexual intercourse with the minor females, his production and sale of child pornography of the two minor females and violent threats against at least one minor female should she ever inform anyone else of these incidents.
Dye allegedly profited extensively from the serial sexual exploitation of at least two minor females. In the course of this investigation, the government developed evidence that Dye used the minor females to produce child pornography for various customers. Dye allegedly exploited the two minor females to one particular individual, who – in exchange for multiple images and videos of child pornography and access to them for sexual favors – paid the two minor females a “weekly allowance” as well as gifts in the form of multiple vehicles, remodeling projects at Dye’s home, various appliances, and other cash payments in a total amount estimated up to $200,000 over a three-year period. In addition, according to the government’s motion, PayPal records show Dye’s account received approximately $8,300, composed of hundreds of transactions from dozens of individuals ranging from $14 to $61. The government will present evidence that these payments were connected to Dye’s use of at least one of the minor victims for online “cam shows” in which the minor victim would expose herself and perform sexual acts on herself for the paying customers, who were watching online.
The government also will present evidence that, during the frequent deposit of these monies into his safety deposit box, Dye told one of the minor victims that if she ever told anyone about this he would have her and her family killed.
Under federal statutes, Dye faces a potential life imprisonment upon conviction of the sex trafficking counts, as well as up to 30 years imprisonment on the production of child pornography counts and up to 20 years imprisonment on the sale of child pornography counts. Each of the two counts for the production of child pornography carries a mandatory minimum sentence of 15 years in federal prison without parole.
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 FBI, the Western Missouri Cyber Crimes Task Force, the Clay County, Mo., Sheriff’s Department, the Platte County, Mo., Sheriff’s Department, the Naval Criminal Investigative Service, the Newport, R.I., Police Department, the Rhode Island State Police, the Winnipeg, Manitoba Police Service in Canada, the Royal Canadian Mounted Police, the Crown’s Attorney’s Office in Canada and the Child Exploitation and Online Protection Centre in the United Kingdom.
KC Man Sentenced to 15 Years for Illegal FirearmRead the Press Release
Project Ceasefire
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 illegally possessing a firearm.
Quardale M. Lewis, 33, of Kansas City, was sentenced by U.S. Chief District Judge Fernando J. Gaitan to 15 years in federal prison without parole. Lewis was sentenced as an armed career offender due to his prior felony convictions.
On March 15, 2013 Lewis pleaded guilty to being a felon in possession of a firearm. Lewis admitted that he was in possession of a Hi-Point .45-caliber pistol on July 25, 2011. Lewis discarded the firearm while fleeing from police officers during a car stop.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Lewis has two prior felony convictions for possession of a controlled substance with the intent to distribute as well as prior felony convictions for burning or exploding, endangerment of a child, assault, unlawful use of a weapon and possession of a controlled substance.
This case was prosecuted by Assistant U.S. Attorney David A. Barnes. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Ceasefire
Project Ceasefire, launched in October 1999, is a cooperative initiative by federal and local law enforcement and the Kansas City Crime Commission that targets for federal prosecution persons who unlawfully use or possess firearms.KC Man Pleads Guilty to Resisting Federal OfficerRead 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 resisting a federal officer after he threatened workers at a local Social Security office and fought with Federal Protective Service (FPS) security officers.
Leonard C. Williams, 46, of Kansas City, pleaded guilty before U.S. District Judge Greg Kays to the charge contained in a Sept. 4, 2012 federal indictment.
Williams entered the Social Security Administration office at 2021 Independence Ave., Kansas City, on Aug. 1, 2012. Williams was upset about a letter he had received and repeatedly told an employee that he would return with a gun. Employees then called for the assistance of the FPS officers.
FPS officers ordered Williams, who was leaving the building, to stop. He ignored the order, and when an officer attempted to handcuff Williams he resisted. Williams shoved the officer and struck him in his struggle to resist detention and leave the office. Officers brought Williams to the ground and he began kicking. An officer sprayed him with pepper spray as he continued kicking, striking several officers. When officers handcuffed Williams, he became compliant. Williams threatened to return and shoot the officers in the back.
During the struggle to detain Williams, one officer sustained a cut above his left eyebrow and a contusion of the abdominal wall. Another officer sustained a laceration on his neck, and another sustained an elbow abrasion.
As a result of Williams’ actions, the Social Security office was shut down for the remainder of the afternoon of Aug. 1, 2012, and was closed the entire next day.
Under federal statutes, Williams 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 Special Assistant U.S. Attorney Kate Hoey. It was investigated by the Federal Protective Service.
Springfield Firm Pleads Guilty to Importing Thousands of Products with Counterfeit Safety Labels, Must Forfeit Lamps Worth $1.8 MillionRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., company pleaded guilty in federal court today to importing thousands of lamps from its manufacturer in China bearing counterfeit safety certification labels.
GuildMaster, Inc., represented in court by company president Stephen Crowder, pleaded guilty before U.S. Magistrate Judge David P. Rush to the felony offense of trafficking in goods with counterfeit marks. GuildMaster is a manufacturer and importer of furniture, lighting, accessories and wall art.
“This prosecution sends the important message that companies importing goods from overseas may not gain a competitive advantage over those that play by the rules, by cutting corners when it comes to safety or intellectual property rights,” Dickinson said.
Under the terms of today’s binding plea agreement, GuildMaster must forfeit to the government 5,585 lamps that were seized by U.S. Customs and Border Protection, valued at approximately $1,831,918. GuildMaster will be placed on a five-year term of probation. U. S. Customs and Border Protection will not impose penalties, but will apply the full amount of the $43,786 in cost bonds previously posted by GuildMaster to defray the government’s expenses in storing the lamps.
In December 2011, U.S. Customs and Border Protection discovered that lamps imported by GuildMaster bore counterfeit UL (Underwriters Laboratories) labels. UL is an independent product safety certification organization accredited for safety testing by the Occupational Safety and Health Administration (OSHA). For lamps meeting UL safety requirements, manufacturers are authorized to affix labels bearing the words “Portable Luminaire” and featuring the UL mark. The use of this “Portable Luminaire” label with the UL mark is the manufacturer’s representation and advertisement to the public that the lamp as a whole was certified by UL as meeting UL’s safety requirements.
Federal agents began to intercept and seize shipments of GuildMaster lamps bearing counterfeit UL labels. Between Jan. 10 and March 21, 2012 agents seized 10 shipments originating from Dongguan, China, bound for GuildMaster in Springfield. They also executed a search and seizure warrant at GuildMaster’s business office and warehouse in Springfield. The 11 seizures contained an approximate total of 5,018 lamps bearing the counterfeit “Portable Luminaire” labels with UL marks. Also, in three seizures a total of approximately 567 lamps were seized that were affixed with genuine but unauthorized “Portable Luminaire” labels bearing the UL Mark, which had been provided by UL to another company for its exclusive use and were not authorized for GuildMaster’s use.
GuildMaster was founded in Springfield in 1982. GuildMaster, which was formerly a client of UL, stopped producing its own lamps in 2005. At that time GuildMaster relocated its warehouse and closed its production facility in Springfield. Since 2005, GuildMaster has purchased lamps manufactured in China and imported them into the United States under the GuildMaster label.
GuildMaster established a Hong Kong-based trading company, Westway Enterprises Pvt. Limited, as a wholly-owned subsidiary in 2001. In May 2011, MeiHao Times Trading Co. Ltd. (located in Shenzhen, China) was established as a wholly-owned subsidiary of Westway to broker sales with Dongguan factories. This was required by Chinese law before GuildMaster could establish a mainland Chinese factory as a subsidiary.
Dongguan Yangming Hardware Crafts Limited was a manufacturer of lamps located in Dongguan City, Guangdong, China. In April 2009 GuildMaster (through Westway) began paying rent on the Dongguan factory. On Nov. 22, 2010 GuildMaster (through Westway) signed a formal three-year lease for the factory. On Oct. 11, 2011 GuildMaster (through Westway and MeiHao Times Trading Co.) purchased Dongguan Yangming Hardware Crafts Limited, including its name and export license, and operated a factory entity at that location.
According to today’s plea agreement, GuildMaster maintains that none of its agents or employees had personal knowledge that they violated U. S. laws by importing the lamps. However, GuildMaster acknowledges that the knowledge and actions of Westway employees and agents are attributed to GuildMaster because Westway was GuildMaster’s wholly-owned subsidiary. GuildMaster also acknowledges that the knowledge and actions of Dongguan employees and agents are attributed to GuildMaster because Dongguan was a wholly-owned subsidiary of MeiHao Times Trading Co. Ltd., which was a wholly-owned subsidiary of Westway.
UL certification was an important issue in the importation of electrical appliances into the United States, and Westway tracked whether each of the vendors from which it purchased lamps and components was UL certified. As of December 2009, Westway personnel knew the Dongguan factory was not UL-certified.
Before the federal seizures, GuildMaster did not inspect lamps coming from China to ascertain the authenticity of the “Portable Luminaire” certification marks placed upon the lamps. GuildMaster acknowledges that had it inspected the lamps it would have seen counterfeit and unauthorized UL marks.
This case is being prosecuted by Assistant U.S. Attorneys Steven M. Mohlhenrich and Cynthia J. Hyde. It was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).KC Man Sentenced to 20 Years for Illegal FirearmsRead the Press Release
Project Ceasefire
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 illegally possessing firearms.
Jason L. Robbins, 33, of Kansas City, was sentenced by U.S. District Judge Greg Kays to 20 years in federal prison without parole.
On Nov. 29, 2012 Robbins was convicted at trial of two counts of being a felon in possession of a firearm and two counts of possessing a stolen firearm. The court today sentenced Robbins to the maximum penalty of 10 years on each count of being a felon in possession of a firearm, and ordered those terms to be served consecutively.
On Aug. 19, 2009, Kansas City police officers were dispatched on a domestic violence disturbance where a party was armed with a firearm. According to court records, Robbins broke into his ex-girlfriend’s home and held a gun to her 9-year-old son’s head. He then took her hostage and threatened to kill her in front of her son. She testified during the trial that Robbins put the gun in her mouth so hard it split her tooth “down the middle.” She also testified that Robbins struck her twice with the gun “in the back of the head, and once on the side.” Robbins placed a gun to her head and forced her to go with him, dragging her out of the home against her will. On the street they encountered a neighbor who attempted to intervene, and Robbins threatened him with the gun as well.
When Robbins saw the police officers approaching he ran and the officers pursued him, apprehending him after a brief foot chase. A police dog located a Hi-Point semi-automatic 9mm pistol along the path where Robbins had fled. The firearm had been reported as stolen from a victim’s home earlier that day.
On May 16, 2010, Kansas City police officers observed a vehicle that they believed to be stolen. As the officers approached the car, Robbins, who had previously been seated in the driver’s seat, began running away from the officers. An officer chased Robbins and saw him pull a black handgun from his waistband and throw it on the sidewalk. Robbins was immediately placed under arrest. The handgun, a Taurus .45-caliber pistol, was loaded with nine live rounds of ammunition.
Investigators later learned that the firearm was stolen in a residential burglary on April 28, 2010, in which numerous firearms were taken.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Robbins has prior felony convictions for non-support, tampering with a motor vehicle and resisting arrest.
This case was prosecuted by Special Assistant U.S. Attorneys Jalilah Otto and Stacey Perkins-Rock and Assistant U.S. Attorney David DeTar Newbert. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Kansas City, Mo., Police Department.
Project Ceasefire
Project Ceasefire, launched in October 1999, is a cooperative initiative by federal and local law enforcement and the Kansas City Crime Commission that targets for federal prosecution persons who unlawfully use or possess firearms.Springfield Man Pleads Guilty to Possessing Child Porn, Faces at least 10 Years in PrisonRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Springfield man with a prior child pornography conviction has pleaded guilty in federal court to possessing child pornography.
Aaron Douglas Wold, 29, of Springfield, pleaded guilty before U.S. Magistrate Judge David P. Rush on Wednesday, July 10, 2013 to the charge contained in an Aug. 29, 2012 federal indictment.
On Aug. 8, 2012, law enforcement officers contacted Wold at his residence to perform a sex offender compliance check. Wold was convicted of possessing child pornography in Dakota County, Minn. on Jan. 23, 2007. He was sentenced in that case to one year and one day of incarceration and five years of probation.
During the compliance check, Wold was questioned and eventually showed officers his laptop computer. Officers seized the computer and conducted a forensic examination, which found numerous images of child pornography on the laptop.
Under federal statutes, Wold is subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. Wold must forfeit the laptop computer 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 Randall D. Eggert. It was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations, the U.S. Marshal’s Service and the Jasper County, Mo., Sheriff’s Department.
Columbia Woman Pleads Guilty to $576,000 Mortgage Fraud, Embezzlement SchemesRead the Press Release
JEFFERSON CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Columbia, Mo., woman pleaded guilty in federal court today to charges of bank fraud and money laundering, which were part of a $576,000 mortgage fraud and embezzlement scheme at the title company where she was employed.
Terri Lynn Johnson, 48, of Columbia, pleaded guilty before U.S. Magistrate Judge Matt J. Whitworth to the charges contained in a Dec. 13, 2012 federal indictment.
Johnson was hired for a clerical position with Guaranty Land Title Company in 2001, and was eventually promoted to become the branch manager of the Fulton, Mo., office after the company was acquired by Landchoice Company, LLC. She remained in that position until her termination on Dec. 4, 2008.
Johnson admitted that she engaged in a $300,000 mortgage fraud scheme while she was employed as the Fulton branch manager. Johnson refinanced the mortgage on her residence twice. As a result of the false and fraudulent information provided by Johnson, two banks approved mortgage loans for $175,000 in 2007 and for $125,000 in 2008. The combination of those two loans clearly exceeded the appraised value of Johnson’s residence, which was used to secure both loans.
Johnson also admitted that she embezzled $276,173 from Landchoice. Johnson diverted income checks from Landchoice into a bank account that had been opened for Guaranty Land Title Company and which her employer didn’t know existed. She also diverted escrow funds which had been obtained by Landchoice for loan closings into that account.
Johnson then wrote checks to herself which she deposited into her personal checking account. Johnson wrote checks totaling approximately $59,465 payable to herself or to cash. Johnson also wrote checks to Johnson Gardens (her personal business) totaling approximately $12,500. Johnson also wrote checks believed to be for her personal use totaling approximately $19,916. In addition, Johnson utilized a debit card issued for the account, which she used to access $184,292 from that account for her personal benefit. The total personal benefit realized by Johnson from this embezzlement scheme is estimated to be approximately $276,173.
Under federal statutes, Johnson is subject to a sentence of up to 40 years in federal prison without parole, plus a fine 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 Lawrence E. Miller. It was investigated by the FBI, IRS-Criminal Investigation, the Fulton, Mo., Police Department, the Missouri State Highway Patrol and the Missouri Department of Insurance.Chillicothe Woman Indicted for Embezzling $4 Million from EmployerRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Chillicothe, Mo., woman has been indicted by a federal grand jury for a wire fraud scheme in which she embezzled nearly $4 million from her employer, Burdg, Dunham & Associates Construction Corp. in Hamilton, Mo.
Donna M. Preszler, 60, of Chillicothe, was charged in a 20-count indictment returned under seal by a federal grand jury on June 20, 2013. That indictment was unsealed and made public today upon Preszler’s arrest and initial court appearance.
Preszler was employed at Burdg, Dunham & Associates (BDA) from 2001 until June 2012, working as an accounting manager since 2004. BDA is a general contractor specializing in retail construction of malls, strip centers, family life centers, and other stand-alone projects. BDA serves customers in all 50 states, Puerto Rico and Canada, primarily building for national retail organizations.
The indictment alleges that Preszler embezzled $3,912,000 in a wire fraud scheme from June 30, 2006 through June 15, 2012. Preszler allegedly used her employer’s accounting software to create payroll data files that contained unauthorized false and fictitious payments to her bank accounts and others.
Preszler allegedly utilized her role as accounting manager to add false and fictitious non-taxable pay, such as expense reimbursements to herself. Over a six-year period, the indictment says, Preszler transferred approximately $3,912,000 in false and fictitious payments to herself and her family.
Preszler also added false and fictitious overtime hours and overtime pay to her weekly payroll, the indictment says. Preszler allegedly initiated approximately $76,000 in unauthorized overtime payments to herself from November 2004 through June 2006, which were subject to BDA withholding income taxes.
Preszler concealed her transfers by password protecting her payroll information, creating false and fictitious expense accounts and otherwise manipulating BDA’s payroll and accounting records.
The federal indictment charges Preszler with six counts of wire fraud and 14 counts of money laundering.
The indictment also contains a forfeiture allegation, which would require Preszler to forfeit to the government any property derived from the proceeds of the alleged violations, including a money judgment of $3,912,000, her residence on a 3.44-acre tract in Chillicothe as well as three other residential properties, two 14kt diamond rings, 10 vehicles (a 2007 Ford Taurus, a 2007 Mazda CX-7, a 2011 Nissan Versa, a 2010 Nissan 370Z, a 2007 Nissan Altima, a 2011 Ford F150, a 2010 Ford F150, a 2010 Ford Escape, a 2012 Ford Explorer and a 2012 Nissan Rogue), three 2011 Yamaha ATVs and several bank accounts and funeral trust accounts. Most of those items have been seized by law enforcement agents.
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 Jess E. Michaelsen. It was investigated by the FBI.Bank Employee Among a Dozen Indicted for Stealing $650,000Read the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a UMB Bank employee along with 11 friends and family members has been indicted by a federal grand jury for embezzling more than $650,000 in a bank fraud conspiracy.
Lisa L. Taylor, 53, Kara L. Williams, 32, Shameeka N. Whitehead, 30, Rodney C. Austin, 48, Johnnie L. Coleman, 51, Roshana A. Franklin, 21, Antonio O. Malone, 25, and Ralph Broadus, 58, all of Kansas City, Mo., William D. Moore, 23, of Grandview, Mo., Stephen A. Combs, 26, and Geoffrey N. King, 29, both of Olathe, Kan., and Lakisha S. Weathers, 28, of Springfield, Mo., were charged in a 44-count indictment that was returned under seal by a federal grand jury in Kansas City, Mo., on June 20, 2013. That indictment was unsealed and made public upon the arrests and initial court appearances of several defendants on Monday, July 8, 2013.
The federal indictment alleges that Taylor, who was employed by UMB Bank from May 2006 until October 2010, used her position to generate 377 fraudulent bank checks totaling $650,659, payable to her co-defendants and others in a fraud scheme that lasted virtually the entire time she worked at the bank.
According to the indictment, Taylor was employed at UMB as a closing account specialist. Taylor’s duties included collecting amounts that were charged off when a customer’s account was closed. Occasionally a closed account would receive a deposit via an automatic deposit or otherwise, after it had been closed. Taylor’s job duties required her to request a bank check to refund any deposit amount in excess of any charged off amount in the closed account. Taylor was required to submit this request for approval of a bank check to a bank officer, who would approve issuance of a bank check for the refund amount which would then be mailed to the customer’s last known address.
Taylor allegedly used her position at the bank to generate fraudulent UMB checks made payable to her friends, family members and others, including her codefendants. She submitted false and fraudulent requests for approval of the bank checks to UMB bank officers, the indictment says. Conspirators allegedly kept a portion of the funds from the UMB bank checks and returned a portion of the funds to Taylor, Williams, Whitehead or others.
Each of the 12 defendants is charged with participating in a bank fraud conspiracy from May 2006 until October 2010. Various defendants are also charged in 43 additional counts of bank fraud related to cashing fraudulent checks.
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 Jess E. Michaelsen. It was investigated by the U.S. Secret Service.Monett Man Pleads Guilty to Child Porn, Identified in German InvestigationRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Monett, Mo., man who was identified in a law enforcement investigation in Germany pleaded guilty in federal court today to receiving child pornography over the Internet.
Donald A. Rise, 57, of Monett, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in a July 24, 2012 federal indictment.
By pleading guilty today, Rise admitted that he downloaded child pornography using various Web sites.
Rise was identified by German authorities who were investigating a Web site operated by a German citizen that was used to distribute child pornography. The German investigation resulted in the seizure of files from the Web site, including child pornography and log files. Information about computers in the United States that had downloaded child pornography from the German Web site was forwarded to the FBI, including a computer identified with Rise.
When officers contacted Rise at his residence, he admitted that he had viewed child pornography on his desktop computer the night before. Rise admitted that he had images of child pornography on his computer. He said the average age of the children depicted in those images was 12 years old and some of the images depict children in obvious distress.
Investigators conducted a forensic review of Rise’s computer and found 1,681 images of child pornography, including numerous images of children from 2 to 10 years old. The images depict children as young as toddlers being sexually assaulted by adult men and other children. Some images depict the children being restrained and gagged while being sexually abused and the children appear to be in distress and crying.
Under federal statutes, Rise 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 Gary K. Milligan. It was investigated by the Southwest Missouri Cyber Crimes Task Force and the FBI.Cabool Man Pleads Guilty to Enticing a Minor for Illicit SexRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Cabool, Mo., man pleaded guilty in federal court today to enticing a 14-year-old girl to engage in illicit sex.
Scott Dwayne Baker, 45, of Cabool, pleaded guilty before U.S. Magistrate Judge David P. Rush to the charge contained in a Feb. 28, 2013 federal indictment.
By pleading guilty today, Baker admitted that he sent a series of sexually suggestive texts, including a sexually graphic photo, to the cell phone of a 14-year-old victim. The victim had received numerous text messages of a sexual nature from Baker. On Feb. 2, 2013 a Missouri State Highway Patrol trooper assumed the victim’s identity and began communicating with Baker via cell phone text messages.
On Feb. 3, 2013 the undercover officer continued a lengthy text message conversation with Baker during the Super Bowl. After sending sexually explicit messages and a pornographic image of himself to the victim’s cell phone, Baker began making arrangements to meet with the victim. Baker believed the victim would skip school and be at home alone on the following day, Feb. 4, 2013. Baker was asked to bring a Dr. Pepper and a candy bar for the child victim.
When he arrived at the victim’s home at about noon, bringing the Dr. Pepper and candy bar, he was arrested by officers of the Missouri State Highway Patrol.
Under federal statutes, Baker 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, 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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Missouri State Highway Patrol, 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."St. Joseph Woman Sentenced for $5 Million Conspiracy to Provide Thousands of Identity Documents to Illegal AliensRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a St. Joseph, Mo., woman was sentenced in federal court today for her role in a more than $5 million conspiracy that utilized the Missouri Department of Revenue license office in St. Joseph to provide more than 3,500 fraudulent identity documents to illegal aliens across the United States.
Deborah J. Flores, 47, was sentenced by U.S. District Judge Gary A. Fenner to three years and four months in federal prison without parole. Flores is also jointly and severally liable for a $5,250,000 money judgment, which represents proceeds from the conspiracy.
On Oct. 18, 2012 Flores pleaded guilty to participating in a conspiracy to transport illegal aliens, to unlawfully produce identification documents, to unlawfully transfer another person’s identification and to commit Social Security fraud from November 2009 to January 2012. Flores also pleaded guilty to aggravated identity theft.
It is estimated that more than 3,500 licenses were issued to illegal aliens by the Department of Revenue license office in St. Joseph. The state licenses could then be used by the illegal aliens to remain unlawfully in the United States, to unlawfully obtain employment and for other unlawful purposes.
The illegal aliens were usually charged between $1,500 and $1,600 for the document sets and the Missouri driver’s and non-driver’s licenses. It is estimated that more than $5,250,000 in gross proceeds was paid by illegal aliens to members of this conspiracy.
In addition to Flores, five co-defendants have been sentenced and 11 co-defendants have pleaded guilty and await sentencing.
Flores’s sister, Sherri E. Gutierrez, 46, of St. Joseph, pleaded guilty on April 10, 2013 to being a leader or manager of the conspiracy and to aggravated identity theft. Flores’s children, Jessica M. Gonzalez, 22, Sara M. Gonzalez, 21, Christina Michelle Gonzalez, 24, and Stephen E. Vanvacter, 25, all of St. Joseph, have also pleaded guilty to their roles in the conspiracy. Gutierrez’s daughter, Shayna R Vanvacter, 26, of St. Joseph, also pleaded guilty to her role in the conspiracy.
Gutierrez admitted that she assisted illegal aliens in obtaining birth certificates and Social Security cards in the names of others. These identity documents were used to obtain either a Missouri driver’s or non-driver’s license at the St. Joseph license office.
Flores, her children, Gutierrez and Shayna Vanvacter all admitted that they accompanied illegal aliens to the St. Joseph license office, under the guise of being translators, in order to assist them with obtaining a Missouri driver’s or non-driver’s license. They also admitted that they instructed and assisted the illegal aliens to practice memorizing the information on the birth certificates and Social Security cards and to practice signing the name on those documents so that the signatures would be similar. They also assisted the illegal aliens to prepare for potential questions from the license office employees. They also assisted the illegal aliens who did not live in Missouri by providing them with a Missouri residential address to use in order to obtain the Missouri driver’s or non-driver’s license.
Melissa L. Scallions, 27, of Hazelwood, Mo., and Jon L. Grippando, 25, of Atkins, Ark., have also pleaded guilty to their roles in the conspiracy. They each admitted that they also accompanied illegal aliens into the St. Joseph license office, under the guise of being translators, in order to assist them with obtaining a Missouri driver’s or non-driver’s license.
Christina Gonzalez was sentenced to 32 months in federal prison without parole and ordered to pay $150,000 in restitution. Jessica Gonzalez was sentenced to three years of probation. Gutierrez, Sara Gonzalez, Stephen and Shayna Vanvacter, Scallions and Grippando await sentencing.
Julio Cesar Llanas-Rodriguez, 38, of San Antonio, Texas, was sentenced to five years and one month in federal prison without parole. Llanas-Rodriguez pleaded guilty to his role in the conspiracy and to aggravated identity theft. Along with co-defendants Martin Alejandro Llanas-Rodriguez,31, and Brenda De La Cruz, 33, also of San Antonio, Texas, his role in the conspiracy was to obtain state-issued birth certificates, usually from the state of Texas, which he purchased from willing individuals. He would also obtain a Social Security card in the name of the individual on the birth certificate, so he would have a matching document set. He mailed the documents to Gutierrez and others.
Brenda De La Cruz and Martin Alejandro Llanas-Rodriguez have each pleaded guilty to their roles in the conspiracy and to aggravated identity theft and await sentencing.
Nelson Dariseo Bautista-Orozco, 27, a citizen of Guatemala who is unlawfully in the United States and resided in Carthage, was sentenced to three years and six months in federal prison without parole.
Ranfe Adaias Hernandez-Flores, also known as “Miguel,” 23, also a citizen of Guatemala who is unlawfully in the United States and resided in Carthage, was sentenced to two years in federal prison without parole.
Elder Enrique Ordonez-Chanas, also known as “Flaco,” 31, a citizen of Guatemala who is unlawfully in the United States and resided in Carthage, pleaded guilty on April 8, 2013 to his role in the conspiracy. The government contends that Ordonez-Chanas is also a leader or manager of the conspiracy. In addition to the conspiracy, Ordonez-Chanas pleaded guilty to one count of aggravated identity theft.
Ordonez-Chanas admitted that he assisted illegal aliens in obtaining birth certificates and Social Security cards in the names of others. Ordonez-Chanas requested document sets (of a specific age range for either a male or a female that corresponded with the illegal alien who was the customer) from co-defendants De la Cruz and Julio and Martin Llanas-Rodriguez. Ordonez-Chanas then mailed the documents sets to Gutierrez and others.
Luis Adalberto Felipe-Lopez, 30, a citizen of Guatemala who was unlawfully in the United States and resided in Mt. Olive, N.C., pleaded guilty to his role in the conspiracy as well as to aggravated identity theft. The government contends that Felipe-Lopez is a leader or manager of the conspiracy. Felipe-Lopez admitted that he transported illegal aliens between St. Joseph and North Carolina. Felipe-Lopez admitted that he assisted illegal aliens in obtaining birth certificates and Social Security cards in the names of others. These identity documents were used to obtain either a Missouri driver’s or non-driver’s license at the St. Joseph license office.
Rafael Hernandez-Ortiz, also known as “Hugo,” 31, a citizen of Mexico who was unlawfully present in the United States and resided in Owatonna, Minn., pleaded guilty to his role in the conspiracy on April 29, 2013. Hernandez-Ortiz admitted that he transported illegal aliens from Minnesota to the St. Joseph license office.
This case is being prosecuted by Assistant U.S. Attorney Jess E. Michaelsen. It was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations, the Buchanan County, Mo., Sheriff’s Department, the St. Joseph, Mo., Police Department, the Platte County, Mo., Sheriff’s Department, the Missouri State Highway Patrol, the Missouri Department of Revenue Investigation Bureau, the Social Security Administration Office of Inspector General, the U.S. Postal Inspection Service and the Department of State’s Diplomatic Security Service.Project SynergyRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that five current and former Kansas City, Mo., residents have been indicted by a federal grand jury for their roles in a $10.5 million conspiracy to distribute synthetic marijuana, commonly referred to as K2, to customers nationwide. They are also charged with smuggling the controlled substance analogue that was used to manufacture K2 into the United States from China, as well as with related charges of mail fraud and money laundering.
“Synthetic drugs are growing increasingly popular among teenagers and young adults, but they are just as dangerous and deadly as the drugs they mimic,” Dickinson said. “We are committed to shutting down these businesses that reap illicit profits without regard for the law or public safety.”
The federal indictment joins other law enforcement operations in 35 states targeting the upper echelon of dangerous designer synthetic drug trafficking organizations. These enforcement actions, part of Project Synergy, included retailers, wholesalers and manufacturers.
Since Project Synergy began in December 2012, more than 75 arrests have been made and nearly $15 million in cash and assets have been seized – including approximately $3.4 million in cash that was seized in the local investigation. Today, law enforcement officers executed over 150 arrest warrants and nearly 375 search warrants in 35 states, 49 cities and five countries.
Derek A. Williams, 31, and Ashli Adkins, 27, both of Laguna Beach, Calif., but formerly of Kansas City, and Jason M. Sparks, 33, Charidy Blankenship, 27 and Daniel R. Williams, 27, all of Kansas City, were charged in a 43-count indictment returned under seal by a federal grand jury in Kansas City on Friday, June 21, 2013. That indictment has been unsealed and made public today following the arrests and initial court appearances of several defendants.
The federal indictment alleges that the defendants, who operated under the business name KC Incense, LLC, participated in a conspiracy to commit mail fraud between March 1, 2011 and Nov. 27, 2012. They allegedly defrauded the Food and Drug Administration and the public by making false representations that Syn Incense products (including “Blond,” “Spearmint,” “Mean Green,” “Orange,” “Fire,” “Ripped,” “Berry Faded,” “Swagg,” “Chill,” “LemonLime,” “Twisted,” “Silver,” “Blowed,” “Suave,” “Smooth,” “Watermelon,” “Vanilla,” “Lite Chocolate,” “Lite Strawberry,” “Lite Cherry,” “Lite Bubble Gum,” “Lite Orange,” and numerous other synthetic cannabinoid products) were incense, potpourri or aromas and not for human consumption. These substances, which were delivered by mail or commercial carrier, were actually synthetic cannabinoids that were intended for human consumption as a drug, according to the indictment.
The federal indictment also alleges that each of the defendants participated in a conspiracy to distribute controlled substances between March 1, 2011 and Nov. 27, 2012. The indictment alleges that they distributed controlled substance analogues.
The federal indictment also alleges that each of the defendants participated in a conspiracy to import controlled substances between March 1, 2011 and Nov. 27, 2012. They allegedly imported controlled substance analogues into the United States from sources in China. These substances were allegedly used to manufacture K2, which was distributed all over the United States. To avoid law enforcement, the indictment says, members of the conspiracy requested the international shipments of the controlled substances to be sent to different addresses in the United States on different dates and that the packages be labeled as “Brightening Agent,” “Optical Brightening Agent” and “Pigments” to decrease the likelihood of interception of the packages by law enforcement.
In addition to the three conspiracy counts, the defendants are charged together in six counts of distributing a controlled substance.
Derek Williams, Adkins, Sparks and Daniel Williams are also charged together in one count of conspiracy to commit money laundering by conducting financial transactions that involved the proceeds of unlawful activity (that is, the conspiracy to distribute controlled substances) with the intent to promote the unlawful activity. The indictment cites a series of wire transfers to various businesses and individuals.
Derek Williams, Adkins and Sparks are also charged together in 29 counts of money laundering. Derek Williams, Adkins and Daniel Williams are also charged together in two counts of money laundering.
Daniel Williams is also charged with one count of money laundering related to conducting a financial transaction in order to avoid federal reporting requirements. Daniel Williams is also charged with one count of money laundering related to conducting a financial transaction with criminally-derived proceeds that was designed to conceal or disguise the nature, location, source, ownership or control of the proceeds.
The federal indictment also contains forfeiture allegations, which would require the defendants to forfeit to the United States any property derived from the proceeds of the alleged criminal activity, including a money judgment of $10,566,306 (constituting the proceeds of the mail fraud conspiracy), the Laguna Beach residence shared by Derek Williams and Adkins and nearly $3.4 million in cash that was seized by law enforcement officers (including nearly $600,000 that was seized from Williams and Adkins during a search of their residence, more than $1.7 million that was seized from their bank accounts and a safety deposit box and $894,160 seized from Sparks’s bank accounts).
Derek Williams and Adkins would also be required to forfeit to the government a 2011 Ford F-150, a 2011 Ford Edge SUV, a 2008 Kawasaki Ninja ZX-10R motorcycle, a Glock 9mm pistol, a Walther .22-caliber pistol, a Mossberg 12-gauge shotgun and a Bushmaster .223-caliber rifle. Sparks would also be required to forfeit to the government a 2010 Chevrolet Tahoe.
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 Catherine Connelly. It was investigated by the U.S. Drug Enforcement Administration.
Synthetic Designer Drugs
Over the past several years, smokable herbal blends marketed as being “legal” and providing a marijuana-like high have become increasingly popular, particularly among teens and young adults, because they are easily available and, in many cases, they are more potent and dangerous than marijuana. These products consist of plant material that has been coated with dangerous psychoactive compounds that mimic THC, the active ingredient in marijuana. These synthetic cannabinoids are sold at a variety of retail outlets, in head shops and over the Internet. Brands such as K2, Head Trip, Spice, Blaze, and Red X Dawn are labeled as incense to mask their intended purpose. However, they have not been approved by the Food and Drug Administration (FDA) for human consumption or for medical use, and there is no oversight of the manufacturing process.
While many of the designer drugs being marketed today are not specifically prohibited in the Controlled Substances Act, the Controlled Substance Analogue Enforcement Act allows these drugs to be treated as controlled substances if they are proven to be chemically and/or pharmacologically similar to a Schedule I or Schedule II controlled substance. This analogue provision specifically exists to combat these new and emerging designer drugs.
Download Grand Jury Indictment
KC Man Sentenced to 24 Years for Meth 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 distribute methamphetamine.
Simon Heredia-Torres, 35, was sentenced by U.S. District Judge Gary A. Fenner to 24 years and four months in federal prison without parole. The court also ordered Heredia-Torres to forfeit to the United States $75,000, which represents the proceeds of his illegal drug trafficking.
On May 14, 2012 Heredia-Torres pleaded guilty to participating in a conspiracy to distribute 500 grams or more of methamphetamine from Feb. 1, 2006 to May 31, 2010.
Heredia-Torres admitted that he made several trips out of state to pick up methamphetamine for distribution in the Kansas City metropolitan area. In July 2007, for example, Heredia-Torres contacted others in the Phoenix, Ariz. area and picked up multiple pounds of methamphetamine. He later returned to Arizona, where he picked up more pounds of methamphetamine to bring back to the Kansas City area. Heredia-Torres admitted that he made these types of trips two to three times a month, and that he usually delivered two to four pounds of methamphetamine to different people in different locations on the return trips.
Heredia-Torres also admitted that he transported pounds of methamphetamine from Kansas City, Kan. He obtained the methamphetamine directly from a source in Kansas City, Kan., who brought it up from Mexico.
This case is being prosecuted by Assistant U.S. Attorney Rudolph R. Rhodes, IV. It was investigated by the Lee’s Summit, Mo., Police Department, the Kansas City, Mo., Police Department, the Independence Mo., Police Department, the U.S. Drug Enforcement Administration, the U.S. Secret Service and the North Kansas City, Mo., Police Department with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives and U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).Former State Lawmaker Pleads Guilty to Social Security FraudRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former state legislator from Sugar Creek, Mo., pleaded guilty in federal court today to receiving Social Security disability payments while serving in the Missouri Legislature.
Raymond E. Salva, 65, of Sugar Creek, pleaded guilty before U.S. District Judge Dean Whipple to the charge of theft of government money.
Salva began working as a Missouri state representative in January 2003 and held that office through December 2010. While he was earning more than $30,000 a year for his work in the legislature, Salva received $58,816 in disability payments to which he was not entitled.
Salva admitted that he intentionally failed to report and concealed his earnings and work activity as a state legislator. Salva admitted today that he deliberately closed his eyes to what would otherwise have been obvious to him. He was not merely negligent, careless or mistaken as to whether he was eligible to receive Social Security disability payments, Salva admitted. Rather, he took deliberate actions to avoid confirming the high probability of wrongdoing in this case.
The Social Security Administration approved Salva’s application for disability insurance benefits in February 2000. Salva claimed he was disabled and unable to work due to a neck injury sustained in a farm accident. In May 2003, approximately five months after Salva began his first term as a state representative, the Social Security Administration conducted a continuing disability review in order to determine whether Salva remained eligible to receive disability payments. As part of that review, Salva completed a form in which he affirmed that he was not able to return to work and that he had not done any work since being disabled.
In October 2003, SSA determined that Salva’s disability was continuing based on a review of his records and the information he provided. In making this determination, SSA relied, in part, on the defendant’s false claim that he had not worked since he became disabled. SSA sent a letter to Salva informing him of this decision and reminding him to report any work activity, regardless of the amount of earnings. SSA continued to pay Salva disability benefits, not knowing that he was working at a substantial gainful activity level.
In December 2004, SSA discovered that earnings had been posted to Salva’s record and sent him a letter asking about his work activity. Salva responded that he had conferred with an SSA representative, who told him that public service would not affect his disability benefits. Salva admitted today that this statement was false and that he did not confer with an SSA representative who told him that working as a legislator was in some way exempted.
On March 16, 2008, the Social Security Administration sent Salva a letter notifying him of the overpayment he accrued from January 2004 through February 2008. The letter stated that Salva received benefit payments that he was not due. The Social Security Administration sent Salva a billing statement on Sept. 4, 2008.
Salva appealed the overpayment decision and testified before an Administrative Law Judge at two administrative hearings. Salva admitted today that a number of his statements during those hearings were false, including claims that he did not receive disability payments in some months. On April 11, 2011 the Administrative Law Judge issued a decision finding Salva at fault in causing the overpayment.
Under the terms of today’s plea agreement, Salva must pay $58,816 in restitution to the Social Security Administration prior to his sentencing hearing. Salva 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 Special Assistant U.S. Attorneys Trey Alford and Kate Hoey. It was investigated by the Social Security Administration Office of Inspector General, Office of Investigations.Springfield Woman Charged with Distributing K2 to Raise Money for Husband's Legal FeesRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Springfield, Mo., woman was charged in federal court today with distributing synthetic marijuana, commonly referred to as K2, in an apparent effort to pay the legal fees of her husband, who is incarcerated for the same offense.
Victoria A. Butchee, also known as Victoria A. Wohlin, 28, of Springfield, was charged in a criminal complaint that was filed in the U.S. District Court in Springfield.
According to an affidavit filed in support of today’s complaint, Butchee ordered chemicals through the mail and made synthetic marijuana in order to pay the legal fees of her husband, Travis E. Butchee, also known as “Donkey,” 37. He has been incarcerated since June 11, 2013 after being indicted by a federal grand jury for participating in a conspiracy to distribute synthetic marijuana.
Victoria Butchee offered to front the product to a confidential informant, the affidavit says. She allegedly told the informant that she expected a projected sales amount of $30,000.
On Monday, June 24, 2013, Victoria Butchee drove to the informant’s location. She removed a large black garbage bag from behind the driver’s seat, the affidavit says, and took the bag inside the location to deliver it to the informant. She was arrested when she left the store. According to the affidavit, the bag contained 10 pounds of synthetic marijuana.
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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Springfield, Mo., Police Department.
Northwest MO Man Indicted for Child Porn, Obscenity after Thousands of Images Found on ComputerRead the Press Release
Project Safe Childhood
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Newtown, Mo., man has been indicted by a federal grand jury for possessing and receiving child pornography over the Internet and for possessing child obscenity.
Nicholas Alex Dickinson, 31, of Newtown, was charged in a three-count indictment returned by a federal grand jury in Kansas City on Tuesday, June 18, 2013.
The federal indictment alleges that Dickinson received child pornography over the Internet on April 23, 2013. Dickinson is also charged with possessing child pornography and with possessing obscene material – such as cartoons or animation of child pornography that were also obtained over the Internet – on May 2, 2013.
According to court documents, law enforcement officers executed a search warrant at Dickinson’s residence on May 2, 2013 based on a peer-to-peer file-sharing investigation. Officers seized a laptop computer, an external hard drive and other computer media during their search. A forensic examination of the computer and computer media determined that Dickinson had saved thousands of images and/or video files of child pornography, in addition to thousands of files relating to child obscenity.
Prior to the execution of the search warrant, officer’s monitored Dickinson’s online activities. According to court documents, Dickinson used the peer-to-peer file sharing program to offer to share child pornography virtually every day in April 2013.
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 Teresa A. Moore. It was investigated by the Kirksville, Mo., Police Department, the Sullivan County, Mo., Sheriff’s 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."KC Man Sentenced to 30 Years for Distributing MethRead 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 distribute methamphetamine.
Frank G. Rendon, 44, of Kansas City, was sentenced by U.S. District Judge Gary A. Fenner to 30 years in federal prison without parole. The court also ordered Rendon to forfeit to the United States $75,000, which represents the proceeds of his illegal drug trafficking.
On May 21, 2012 Rendon pleaded guilty to participating in a conspiracy to distribute 500 grams or more of methamphetamine from Feb. 1, 2006 to May 31, 2010. Rendon admitted that he had an active role in buying and selling methamphetamine with others, including co-defendants Clark L. Vanosdoll, 45, of Lee’s Summit, Mo., and Roxie Boling, 30, of Kansas City, Mo.
Rendon was arrested on Sept. 18, 2007, when Kansas City police officers responded to a call of shots fired at the residence he shared with Boling. Rendon was armed with a shotgun with a pistol grip. Officers executed a search warrant of the residence and seized several plastic bags that contained methamphetamine and a plastic bag that contained marijuana. Officers also found four glass pipes with methamphetamine residue under the couch in the living room, a Western Field .22-caliber rifle, drug paraphernalia (including miscellaneous plastic bags, two electronic digital scales with methamphetamine residue and empty plastic bags with Batman and eight-ball emblems).
Vanosdoll was sentenced on March 29, 2013, to 15 years in federal prison without parole after pleading guilty to his role in the drug-trafficking conspiracy and to being a felon in possession of a firearm. Boling was sentenced on May 3, 2012, to 10 years in federal prison without parole after pleading guilty to her role in the drug-trafficking conspiracy.
This case is being prosecuted by Assistant U.S. Attorney Rudolph R. Rhodes, IV. It was investigated by the Lee’s Summit, Mo., Police Department, the Kansas City, Mo., Police Department, the Independence Mo., Police Department, the U.S. Drug Enforcement Administration, the U.S. Secret Service and the North Kansas City, Mo., Police Department with assistance from the Bureau of Alcohol, Tobacco, Firearms, and Explosives and U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).Sarcoxie Man Sentenced for Illegal Financial Transactions in Scheme to Sell Cooking Oil Stolen from RestaurantsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Sarcoxie, Mo., man has been sentenced in federal court for structuring financial transactions in order to evade federal reporting requirements as part of a scheme to sell stolen cooking oil that was intended for recycling.
Jesse Arnold, 46, of Sarcoxie, was sentenced by U.S. District Judge Dean Whipple on Friday, June 21, 2013 to one year and one day in federal prison without parole. Arnold must also forfeit to the government $207,817 that was seized from his business bank account.
Arnold, who pleaded guilty on Dec. 18, 2012, operated 4 States Grease Company, a collection facility for spent cooking oil, located in Sarcoxie. Spent cooking oil is the byproduct of either vegetable or animal fat oil used by restaurants. The oil can be repurposed for use as biodegradable diesel fuel and animal food products, and therefore has value in the open market. Because of this value, restaurants will contract with companies to sell their spent cooking oil and allow the companies to take it and recycle it.
Arnold directed 4 States from 2009 to November 2011. He admitted that he had reason to believe he was buying spent cooking oil that had been stolen by various drivers. These drivers obtained the stolen cooking oil from businesses in Missouri, Kansas, Oklahoma, and Arkansas. The drivers sold the spent cooking oil to Arnold under circumstances that would have caused a reasonable person to know that it had been stolen. Arnold and 4 States then sold the spent cooking oil to Brooks Grease Service, and had it transported to Brooks’s factory in Tulsa for processing.
During this time, in order to avoid federal reporting requirements that could bring unwanted scrutiny to 4 States, Arnold deliberately and knowingly structured withdrawals from his business checking account. Arnold withdrew some or most of the money in order to purchase the stolen spent cooking oil. Arnold made numerous withdrawals on consecutive days that were individually less than $10,000, but which totaled more than $10,000 when added together.
Under federal law, banks must file a currency transaction report for any financial transaction over $10,000. The crime of structuring occurs when a person, in order to knowingly avoid the financial institution from filing a currency transaction report, breaks up the transaction into smaller components that are less than $10,000.
All of the cash withdrawals from Jan. 1, 2009, to Sept. 30, 2011, were done by checks written to “Cash” and signed by Arnold. Many of the cash withdrawals were done on successive banking days and were for $9,000 for each withdrawal. There were no single cash withdrawals over $10,000. The parties have stipulated that the most readily provable amount that Arnold was responsible for structuring was $243,000.
This case was prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by IRS-Criminal Investigations, the Kansas City, Mo., Police Department, the Missouri State Highway Patrol the Crawford County, Kan., Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.Northwest MO, KC Residents Indicted for Meth, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a mother and son in northwest Missouri and a Kansas City, Mo., man have been indicted by a federal grand jury for their roles in a conspiracy to distribute methamphetamine and for illegally possessing firearms.
Carlos Olivas, also known as “Chuco,” 38, of Kansas City, John B. Carr, also known as “Brandon,” 24, of Galt, Mo., and his mother, Onis R. Eads, also known as Onis Regina Jones, 45, of Humphreys, Mo., were charged in a 15-count indictment returned by a federal grand jury on Thursday, June 20, 2013.
The federal indictment alleges that Olivas, Carr and Eads participated in a conspiracy to distribute methamphetamine from April 2012 to Feb. 11, 2013.
In addition to the conspiracy, Olivas is charged with one count of possessing methamphetamine with the intent to distribute, two counts of possessing firearms in furtherance of a drug-trafficking crime and two counts of being an unlawful user of methamphetamine, cocaine and crack cocaine while in possession of firearms. Olivas was allegedly in possession of a Smith & Wesson .380-caliber semi-automatic pistol, a Springfield Armory .40-caliber semi-automatic pistol, a Taurus 9mm semi-automatic pistol, a Ruger 9mm semi-automatic pistol, a Tanfoglio .22-caliber revolver, a Rohm .38-caliber revolver, and an Iver Johnson .38-caliber revolver on Jan. 25, 2013. Olivas was allegedly in possession of a Gwinn Firearms Bushmaster 5.56mm pistol and a Noble .22-caliber pump-action rifle with no serial number on Sept. 18, 2012. Olivas was allegedly in possession of a .380-caliber pistol in December 2012.
In addition to the conspiracy, Carr is charged with one count of possessing firearms in furtherance of a drug-trafficking crime, one count of possessing firearms after being convicted of a misdemeanor crime of domestic violence and one count of being an unlawful user of methamphetamine while possessing firearms. Carr was allegedly in possession of a Hi-Point Firearms .45-caliber pistol and a Calwestco .22-caliber pistol between Jan. 23 and Feb. 8, 2013. Carr was allegedly in possession of an Izhmash 12-gauge shotgun, a Hi-Point Firearms .45-caliber pistol and a Calwestco .22-caliber pistol on Feb. 8, 2013.
In addition to the conspiracy, Eads is charged with one count of possessing methamphetamine with the intent to distribute, one count of distributing methamphetamine, two counts of being an unlawful user of methamphetamine and marijuana while in possession of firearms and two counts of being a fugitive from justice while in possession of firearms. Eads was allegedly in possession of a Winchester 30-06 caliber rifle on May 31, 2013. Eads was allegedly in possession of a Springfield Armory .40-caliber pistol on Jan. 8, 2013.
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 Rudolph R. Rhodes, IV. It was investigated by the Kansas City, Mo., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Trenton, Mo., Police Department.
Joplin Man Sentenced to 50 Years in Prison for Producing Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Joplin, Mo., man has been sentenced in federal court for producing child pornography.
Jason Dewayne Beshears, 31, of Joplin, was sentenced by U.S. District Judge Dean Whipple on Friday, June 21, 2013 to 50 years in federal prison without parole. The court also ordered Beshears to pay $10,000 in restitution to his victim, and sentenced Beshears to spend the rest of his life on supervised release after completing his prison term.
On Sept. 6, 2012 Beshears pleaded guilty to eight counts of producing child pornography. Beshears admitted that he exploited a minor victim over a one-year period to produce digital videos of child pornography. Beshears is charged with exploiting a minor to produce child pornography on Aug. 28, 2010 and on seven more occasions between May 5 and Aug. 9, 2011.
Joplin police officers were called to Beshears= apartment at about 10 p.m. on Aug. 9, 2011 in response to a complaint that a man found his 4-year-old daughter inside Beshears’s bedroom with the door shut. Beshears was taking pictures of the child. Her father removed her from the room went back to confront Beshears, but when he returned to the room, Beshears was gone. Joplin police officers located Beshears about a block away, attempting to leave in a taxi, and took him into custody. Beshears admitted to officers that he had sexually assaulted the 4-year-old child and had previously filmed this type of activity.
More than 600 images of child pornography were recovered from Beshears’s digital media. Investigators conducted a forensic examination of Beshears= laptop computer and found a large quantity of video files of various forms of sexual abuse being conducted by Beshears on the child victim, as well as numerous images of child erotica. The video files were downloaded to Beshears= laptop from March 2010 to Aug. 9, 2011. Investigators also found more than 20 photos and three videos of sexual abuse being conducted by Beshears on the child victim, which were dated Aug. 9, 2011, on his Panasonic digital camera.
Beshears must forfeit to the government two laptop computers, an Apple iPhone and a digital camera that were used to commit the offenses.
This case was prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Joplin, Mo., Police Department, the Southwest Missouri Cybercrimes 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."Former Ozark Man Sentenced for $1.1 Million Retirement Investment SchemeRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a former Ozark, Mo., man has been sentenced in federal court for a $1.1 million investment fraud scheme that targeted the retirement savings of senior citizens.
Steven Edward Gwin, 68, formerly of Ozark, was sentenced by U.S. District Judge Dean Whipple on Friday, June 21, 2013 to nine years in federal prison without parole. The court also ordered Gwin to pay $1,173,267 in restitution to his victims.
On Aug. 20, 2012 Gwin pleaded guilty to mail fraud and money laundering. Gwin, who spent time in Guatemala and used several aliases and multiple Social Security account numbers, was apprehended in Arizona in April 2012 and has been in federal custody since his arrest.
Gwin admitted that he was engaged in a scheme to defraud investors from Aug. 17, 2005, to March 14, 2007. Gwin solicited and obtained funds from individuals for investment in various retirement ventures. Gwin conducted seminars for senior citizens in both Missouri and Arkansas to promote these investment programs. As a result, many of the investors Gwin solicited were elderly.
Gwin represented to the individual investors that he would invest their retirement funds in secure, interest-earning investments. Gwin directed individual investors to establish Individual Retirement Accounts (IRAs) through Sterling Trust Company, a non-bank trust company in Waco, Texas, which provides custodial services on self-directed IRAs. After investors funded their IRA accounts, Gwin transferred the funds to purchase unsecured notes issued by First Nevada Marketing, Inc., a Missouri corporation operated by Gwin.
Gwin spent a portion of the funds on personal items and left investors with losses on their investments.
This case was prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by the U.S. Postal Inspection Service and IRS-Criminal Investigation.
KC Man Indicted for Distributing KhatRead 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 indicted by a federal grand jury for distributing cathinone, a controlled substance found in graba, a dried form of khat.
Omar Nur, also known as “Juello” or “J’ello,” 29, an American citizen of Somalian nationality, was charged in a four-count indictment returned under seal by a federal grand jury in Kansas City, Mo., on June 18, 2013. That indictment was unsealed and made public today upon Nur’s arrest and initial court appearance.
Khat is green leafy plant grown in East Africa, which when consumed (normally by chewing) produces delusions, hallucinations, or feelings of euphoria. In this form it contains cathinone, a controlled substance. When the khat is dried it is commonly referred to as graba and can still test for the presence of cathinone.
The federal indictment alleges that Nur participated in a conspiracy to distribute khat between March 16, 2011 and April 1, 2013. In addition to the conspiracy, Nur is charged with three counts related to distributing khat.
The indictment also contains a forfeiture allegation, which would require Nur to forfeit to the government any property derived from the proceeds of the alleged offenses, including a money judgment of $50,000, representing income from Nur’s illegal sale and distribution of khat, as well as $20,533 that was seized by law enforcement officers at Nur’s residence.
This case is being prosecuted by Senior Litigation Counsel Gregg R. Coonrod. It was investigated by the FBI and the Kansas City, Mo., Police Department.
Former Jasper County Official Sentenced for Document FraudRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that the former public administrator of Jasper County, Mo., was sentenced in federal court today for document fraud, which was part of a scheme in which she illegally obtained federal benefits for her public wards.
Rita Frances Hunter, 60, of Joplin, Mo., was sentenced by U.S. District Judge Dean Whipple to 12 months and a day in federal prison without parole. The court also ordered Hunter to pay $120,000 in restitution to the Department of Health and Human Services. Hunter must report on Aug. 1, 2013 to begin serving her prison sentence.
“This elected official betrayed the public trust and defrauded the government,” Dickinson said. “The citizens of Jasper County deserve to have honest public servants who fulfill their civic obligations lawfully, and in this case, they deserved better.”
Hunter, who pleaded guilty to document fraud on Nov. 6, 2012, was the elected Public Administrator for Jasper County from Jan. 1, 2005, to Dec. 31, 2008.
Hunter admitted that her scheme involved a total fraud of $70,000 to $120,000. Hunter directed her employees to submit materially false Medicaid applications for wards of the state who were under the custody of the Public Administrator=s office. These applications falsely stated that the wards had assets below the $1,000 threshold to be eligible to receive Medicaid benefits, when in fact, the wards had more than $1,000 in assets.
Hunter specifically pleaded guilty to directing her staff to prepare a fraudulent Medicaid eligibility statement for a ward identified only as T.V. Hunter knew the statement, which was submitted to Missouri Health Net on Aug. 6, 2008, contained false information. The written statement in the document indicated that T.V. had a total bank account balance of $827.27, when in fact, T.V. had funds totaling $6,919. This false statement was made on this document to ensure that T.V. would meet the monetary threshold (no more than $1,000) imposed by Medicaid, and was material to Medicaid’s determination that T.V. was eligible for Medicaid benefits.
Hunter caused this statement to be stamped with her signature verifying that it was true, when in fact it was false. Hunter instructed her employees to fabricate T.V.’s bank statements to ensure T.V. would qualify for Medicaid benefits, when she was, in fact, not eligible.
The court also considered additional criminal conduct in which Hunter engaged in calculating today’s sentence.
This case was prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by the U.S. Department of Health and Human Services, the U.S. Social Security Administration, the FBI, the Missouri State Highway Patrol and the Missouri Department of Social Services Legal Investigation Section.
Monett Man Charged with Armed Bank Robbery; Public's Help Sought to Locate FugitiveRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Monett, Mo., man has been charged in federal court with robbing a Great Southern Bank branch in Springfield at gunpoint.
Joseph K. Meierotto, 49, of Monett, was charged with bank robbery in a criminal complaint that was filed in the U.S. District Court in Springfield on Tuesday, June 18, 2013.
Federal authorities are seeking the public’s assistance in locating Meierotto, a fugitive from justice who has been identified through bank surveillance photos. Although he has been charged in the bank robbery, Meierotto has not been arrested. Anyone with information about his whereabouts is encouraged to contact the FBI at (417) 882-3303. Meierotto should be considered armed and dangerous.
According to an affidavit filed in support of the federal criminal complaint, Meierotto initially entered Great Southern Bank, 507 E. Kearney St., Springfield, at about 5 p.m. on Friday, June 14, 2013, under the pretense of conducting bank business. Meierotto left the bank and allegedly returned a short time later carrying a gun and demanding cash. Meierotto made his getaway in a vehicle which had previously been reported stolen from Barry County, Mo., the affidavit says. That vehicle has since been recovered. However, Meierotto remains at large.
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 Steven M. Mohlhenrich. It was investigated by the FBI.Former Student Sentenced for Computer Hacking at University of Central MissouriRead the Press Release
KANSAS CITY, Mo. -- Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a former student of the University of Central Missouri was sentenced in federal court today for his role in a computer hacking conspiracy.
Joseph A. Camp, 29, of Kansas City, Mo., was sentenced by U.S. District Judge Brian C. Wimes to three years in federal prison without parole. The court also ordered Camp to pay $61,500 in restitution.
Camp has been in state or federal custody since his prior arrest in a New York investigation in December 2009. Federal charges are still pending in the Western District of New York.
On April 12, 2013, Camp pleaded guilty to an unlawful computer hacking scheme at UCM from March 2009 to March 2010. Camp, who had been a student at UCM in the fall semester of 2009, conspired with Daniel J. Fowler, 23, of Kansas City, Mo., a student and community advisor at UCM. Fowler pleaded guilty to his role in the conspiracy on June 22, 2011 and awaits sentencing. In addition to the computer hacking conspiracy, Fowler also pleaded guilty to one count of computer intrusion causing damage (computer hacking).
Camp and Fowler gained unlawful and unauthorized access to the UCM computer network, which allowed them to view and download large databases of faculty, staff, alumni and student information. They were also able to transfer money to their student accounts and attempted to change grades.
Camp and Fowler developed a computer virus, which they used to infect UCM computers B including an attempt to infect the computer used by the university’s president. They used several strategies to infect computers, such as offering to show vacation photographs on a thumb drive that contained the virus. They successfully distracted and misled at least one UCM administrator and were able to use a thumb drive to download their virus onto his UCM computer. They monitored the administrator’s computer activity and captured his username and password. They used their remote access of this administrator’s computer to remotely turn on the webcam to watch and photograph the administrator sitting at his desk in his office and to download his e-mails. They also obtained the username and password of a residence hall director and used that information to exploit the university’s computer system to conduct financial transactions in an attempt to unlawfully credit their student accounts with UCM funds.
Camp and Fowler successfully used the identities of fellow students, along with their university computer network permissions, to gain access to various portions of the computer network to which they would otherwise not have access. This also enabled them to mask their activities and mislead university authorities as to the identities of those conducting the attacks on the computer network.
Camp and Fowler manually installed the virus on several UCM computers in public areas, such as computer labs and the library. Once the virus was successfully installed on a computer, Camp and Fowler could obtain remote access to the computer, capture a user’s keystrokes, download any of the user’s files and remotely turn on the user’s webcam to watch and photograph the user of the infected computer.
Camp also admitted that he and Fowler obtained access to the affidavit used in support of a search warrant on Camp’s room. Camp used the information in that affidavit to make posts on Facebook.com to communicate threats and harass potential witnesses against them.
Camp was arrested when he traveled to New York in December 2009. After learning that Camp had been arrested in New York, Fowler encrypted and destroyed computer evidence that he thought could be used against him.
This case was prosecuted by Assistant U.S. Attorney Matthew P. Wolesky. It was investigated by the University of Central Missouri Police Department and the FBI.Liberty Couple Pleads Guilty to $2.8 Million Embezzlement, Check Kiting Scheme to Fund Gambling, Lavish SpendingRead the Press Release
KANSAS CITY, Mo. -- Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that a Liberty, Mo., husband and wife pleaded guilty in federal court today to a nearly $2.8 million embezzlement and check kiting scheme and with filing a false tax return.
Laura Dejong, 54, and her husband, Craig Dejong, 55, both of Liberty, pleaded guilty before U.S. District Judge Dean Whipple. Laura Dejong pleaded guilty to one count of mail fraud and both of the Dejongs pleaded guilty to one count of filing a false tax return.
Laura Dejong admitted that she embezzled $2,679,227 from her employer, Kansas City Screw Products, Inc., from January 2003 to November 2011. Kansas City Screw Products is a family-owned and -operated metal fabrication business in Kansas City. Laura Dejong, who was employed as a secretary and bookkeeper for approximately 23 years, forged checks drawn on two company bank accounts.
Laura Dejong also engaged in a check kiting scheme between the company’s two banks in order to falsely inflate the company’s bank account balances, thereby increasing the amount of money she could embezzle. Her check kiting began in late June 2011. The total amount of checks written by Laura Dejong to cause the check kite increased from $44,000 in June 2011 to $847,000 in November 2011. The total loss from the check kite to Central Bank was $96,000.
The total combined loss for Kansas City Screw Products and Central Bank was $2,775,227.
According to court documents, significant gambling activity was identified for the Dejongs, well into the millions of dollars, from January 2002 to December 2011. The majority of the Dejongs’ gambling was at slot machines.
Records indicate that the Dejongs took at least eight cruises and spent more than $100,000 on payments for the cruises, vacations and airfare between 2005 and 2011. During the time of the embezzlement scheme, according to court documents, the Dejongs used the stolen money to purchase a 2007 Chevrolet Tahoe, a 2009 Honda Accord, a 1997 Crownline boat (20-foot fiberglass runabout), a 1997 Prestige boat trailer, a 1985 Chevrolet RV/motor-home (now a KC Chiefs party bus), a 2008 Jayco travel trailer, four Ameriprise Brokerage accounts; four Kansas Speedway season tickets (for Passholder seats, parking passes, and track passes), four Kansas City Chiefs Club Level season tickets and parking passes, membership to the Chiefs Wolfpack Club, an exclusive members-only facility, and their residence.
As part of their pleas, the Dejongs signed a stipulation forfeiting their home in Liberty and all of the above-listed property. Once the forfeiture is completed, the victims of the crime will be able to request that the forfeited funds be remitted to them for restitution.
The Dejongs admitted that they filed joint tax returns for tax years 2005-2010 but did not declare any of the embezzled money as income. During this time, Laura Dejong’s gross annual salary at Kansas City Screw Products ranged from $22,752 to $33,333. Craig Dejong was unemployed for four years and listed no income for the two years in which he claimed to be employed as a computer programmer.
As a result of filing false tax returns in those six years, the Dejongs owe the Internal Revenue Service a total of approximately $482,711.
Under federal statutes, Laura Dejong is subject to a sentence of up to 23 years in federal prison without parole, plus a fine up to $500,000 and an order of restitution. Craig Dejong is subject to a sentence of up to three 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 Jane Pansing Brown. It was investigated by the FBI and IRS-Criminal Investigation.Oak Grove Couple Sentenced for $800,000 Tax Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Oak Grove, Mo., husband and wife were sentenced in federal court today for an $800,000 tax fraud scheme and related charges of mail fraud, money laundering and using fictitious financial instruments.
Joshua Simonson, 35, and his wife, Kristen Simonson, 35, of Oak Grove, were sentenced by U.S. District Judge Dean Whipple. Joshua Simonson was sentenced to 12 years and seven months in federal prison without parole. Kristen Simonson was sentenced to five years and 11 months in federal prison without parole. The court also ordered the Simonsons to pay $810,218 in restitution (the government has already seized $129,000 from the Simonsons).
The Simonsons were convicted by a federal jury on Dec. 5, 2012, of all 11 counts contained in a federal indictment.
Evidence introduced during the trial indicated that Joshua and Kristen Simonson participated in a conspiracy to defraud the government by filing fraudulent tax returns. They received more than $800,000 in refunds for taxes they claimed were withheld on interest income they earned. In reality, they had not earned – or paid tax on – any interest income. None of the banks, creditors or lenders that were listed on their submitted Forms 1099-OID actually issued those fictitious documents. The Simonsons calculated those fraudulent Forms 1099-OID according to an arbitrary and capricious formula (they aggregated their debts), which in no way constituted actual interest income.
In addition to the conspiracy, Joshua Simonson was convicted of one count of filing false claims for tax returns and Kristen Simonson was convicted of two counts of filing false claims for tax returns.
The Simonsons recruited a former tax preparer in California to prepare their tax returns for 2006 and 2007. The Simonsons reviewed and signed their fraudulent tax returns. Kristen Simonson mailed her 2006 and 2007 returns to the IRS, for which she was convicted of two counts of mail fraud. Joshua Simonson submitted his 2007 return electronically.
As a result of their fraudulent claims, the Simonsons received three refund checks totaling $810,218. Kristen Simonson received a $582,277 refund check and a $4,215 refund check. Joshua Simonson received a $223,726 refund check.
In an effort to prevent the IRS from seizing the fraudulent refunds, Joshua Simonson tried to conceal the money by moving it among various bank accounts and trusts. As a result, Joshua Simonson was convicted of two counts of money laundering. Joshua Simonson used criminally derived proceeds to purchase a $50,529 sport utility vehicle, for which he was convicted of a third count of money laundering.
The IRS repeatedly called, sent letters and visited the Simonsons, indicating the government’s intention to recover the fraudulent funds. In response, Joshua Simonson mailed a package to the IRS containing two signed, fictitious checks totaling more than $1.3 million. The checks were purportedly drawn on the Federal Reserve Bank of Atlanta, Ga. As a result, Joshua Simonson was convicted of two counts of utilizing fictitious obligations.
This case was prosecuted by Assistant U.S. Attorneys Daniel M. Nelson and Roseann Ketchmark. It was investigated by IRS-Criminal Investigation and the Treasury Inspector General for Tax Administration (TIGTA).
Former Agency Employee, Joplin Men Indicted for Fraud Related to Tornado BenefitsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a former employee of an agency that administered disaster relief funds was among three former Joplin, Mo., residents who were indicted by a federal grand jury for their roles in a wire fraud conspiracy following the May 22, 2011 tornado.
Herlana L. Latham, 31, and Christopher L. Smith, 36, both of Memphis, Tenn., and John L. Williams, 30, of Cairo, Ill., were charged in a three-count indictment returned under seal by a federal grand jury in Springfield on Tuesday, June 11, 2013. The indictment was unsealed and made public following the arrests of Smith and Williams on Friday, June 14, 2013.
According to the federal indictment, Latham was employed by the Economic Security Corporation of Southwest Area in Joplin. The not-for-profit corporation administered a rental assistance program, the Missouri Housing Trust Fund Disaster Relief Program. This program disbursed funds to landlords who rented to clients who had been displaced by natural disasters, including the May 22, 2011 tornado that struck Joplin. It was a part of Latham’s duties to process applications for those funds.
Latham allegedly submitted fraudulent applications for rental assistance for payments to co-conspirators, including Smith and Williams (her boyfriend), who were not the landlords or property managers of Economic Security Corporation clients. Latham verified false landlord information on the application forms, the indictment says, which resulted in the Economic Security Corporation issuing rental assistance checks to the purported landlords.
Williams allegedly assisted Latham by ensuring that the other co-conspirators provided Latham with the proceeds of the fraud. Williams either accompanied co-conspirators when they went to cash their rental assistance checks, and collected the money at that time, the indictment says, or he collected the money at a later time.
The indictment cites a series of fraudulent financial transactions in June and July 2012 that involved five specific checks, ranging from $1,050 to $2,000.
In addition to the conspiracy, all three defendants are charged together in two counts of wire fraud.
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 Steven M. Mohlhenrich. It was investigated by the Missouri State Highway Patrol.
Disaster Fraud Hotline
Anyone with information about disaster fraud related to the Joplin tornado should call the National Center for Disaster Fraud hotline at 866-720-5721, the Joplin Police Department at 417-623-3131, or the FBI’s Joplin office at 417-206-5700.
Branson Man Pleads Guilty to Foreign Labor ViolationsRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Branson, Mo., man pleaded guilty in federal court to harboring aliens and making false statements after arranging employment contracts for dozens of foreign workers at Branson locations in violation of their visas.
Steven Howard Teel, 39, of Branson, waived his right to a grand jury and pleaded guilty before U.S. Magistrate Judge David P. Rush on Thursday, June 13, 2013.
Teel admitted that he arranged for 78 foreign workers to enter the United States in 2009 under the H-2B non-agricultural temporary worker program. These workers were supposed to work in Myrtle Beach, S.C.; however, they were hired by businesses in Branson in violation of their visas and contrary to the applications that were submitted and approved by federal authorities.
According to today’s plea agreement, Teel started a labor leasing business in 2005 with John Voisine, the owner of Santa Cruz Management, in order to recruit foreign workers to enter the United States and place those workers with various businesses as a seasonal labor force. Teel purchased the business from Voisine in January 2009.
In 2007, the plea agreement says, Santa Cruz Management began submitting documents related to the H-2B worker program to have alien workers from other countries enter the United States. Teel caused the submission of forms to the U.S. Department of Labor and U.S. Citizen Immigration Services that contained false information, including the number of workers needed and where the foreign workers would be employed. Those forms stated that foreign workers would be employed as landscape laborers or food and beverage assistants in the Myrtle Beach area. Instead, Teel admitted, the workers were displaced to satisfy employment contract obligations in Branson. At the time H-2B workers entered the United States, no federal approval had been granted as an H-2B employer for the Branson area.
Teel also admitted that he instructed H-2B workers (through labor recruiters located overseas) to intentionally mislead U.S. State Department and U.S. Border Patrol officials. H-2B workers were told, if questioned regarding their destination, to tell U.S. officials that they were going to receive training in Branson prior to being employed in Myrtle Beach.
As a result of illegally harboring the H-2B workers in Branson, Teel received $124,210 in revenue from local employers.
Under federal statutes, Teel 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 Assistant U.S. Attorney Patrick Carney. It was investigated by the Department of Labor, Office of the Inspector General, the Department of State's Diplomatic Security Service and Homeland Security Investigations.
Springfield Man Sentenced to 17 Years for Child PornRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Springfield, Mo., man has been sentenced in federal court for receiving and distributing child pornography over the Internet.
Benjamin Orona, 31, of Springfield, was sentenced by U.S. District Judge Brian C. Wimes on Wednesday, June 12, 2013 to 17 years and six months in federal prison without parole.
On Nov. 6, 2012, Orona pleaded guilty to receiving and distributing child pornography over the Internet.
On June 27, 2011, the Missouri State Highway Patrol ran a routine criminal history check on Orona in connection with his employment at Prime Trucking in Springfield and his commercial driver’s license. This check revealed a felony arrest warrant out of Georgia for sexual exploitation of a minor. Orona was arrested on the outstanding warrant. Officers searched Orona’s hotel room and seized the computers and other items. A forensic review of the items was conducted and investigators discovered images and videos of child pornography. Orona used a peer-to-peer file-sharing program to download child pornography.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by 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."Former Youth Camp Worker Sentenced to 20 Years for Sexual Exploitation of ChildrenRead the Press Release
Project Safe Childhood
SPRINGFIELD, Mo – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a former YMCA camp employee has been sentenced in federal court for sexually exploiting children.
Matthew O’Dell, 29, of Springfield, Mo., was sentenced by U.S. District Judge Brian C. Wimes on Wednesday, June 12, 2013 to 20 years in federal prison without parole. O’Dell, who was formerly employed at YMCA=s Camp Wakonda in Lawrence County, Mo., will spend the rest of his life on supervised release following incarceration.
O’Dell pleaded guilty on May 23, 2012. He admitted that he made a video recording of a 13-year-old minor, identified as “W.L.,” between Jan. 1, 2005, and May 30, 2006. The video, which was recorded at O’Dell’s residence, depicts W.L. engaged in sexually explicit conduct. On Aug. 4, 2009, Springfield police officers executed a search warrant upon a storage facility in which O’Dell had placed his belongings. The officers located a digital video tape containing the video recording of W.L.
Additionally, the court heard testimony concerning multiple individuals allegedly victimized by O’Dell prior to imposing the sentence upon O’Dell.
This case was prosecuted by Assistant U.S. Attorney James J. Kelleher. It was investigated by the Springfield, 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."Additional Charges against Springfield, Kirbyville Men Indicted for K2 ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Tammy Dickinson, United States Attorney for the Western District of Missouri, announced today that a Springfield, Mo., man and two Kirbyville, Mo., men have been indicted by a federal grand jury for their roles in a conspiracy to distribute synthetic marijuana, commonly referred to as K2.
Travis E. Butchee, also known as “Donkey,” 37, of Springfield, and Michael J. Saguto, 42, and Christian L. Turner, 45, both of Kirbyville, were charged in a six-count indictment returned by a federal grand jury in Springfield on Wednesday, June 12, 2013. The indictment replaces a federal criminal complaint that was filed against Butchee and Saguto on May 17, 2013, adding Turner as a co-defendant and additional charges.
Butchee opened The Man Cave, a retail business at 1927 S.Glenstone in Springfield, in February 2013. Butchee and Saguto are the owners of Southern Spice, LLC and Saguto is the owner of Blues Away, a head shop and novelty store in Memphis, Tenn. Turner was employed by Saguto at Blues Away.
The federal indictment alleges that Butchee, Saguto and Turner participated in a mail fraud conspiracy from March 1, 2011 to May 16, 2013. They allegedly devised a scheme to defraud the Food and Drug Administration and to defraud the public in order to profit from false claims that synthetic marijuana products (such as Blazed, Red Eyed, Donkey Punch, Jolly Grape Giant, South of the Tracks, Baby Face, Scarface, Hillbilly Hay and others) – which were mailed or delivered by commercial carriers – were “incense” or “potpourri” and “not for human consumption.” In reality, the indictment says, these substances were synthetic cannabinoids that contained controlled substances and were intended for human consumption as a drug.
The indictment also alleges that Butchee, Saguto and Turner participated in a conspiracy to distribute a controlled substance. They allegedly manufactured and distributed synthetic cannabinoids using ingredients obtained through the mail from China and Thailand.
Butchee and Saguto are also charged with three counts of maintaining a place for the purpose of unlawfully storing and distributing a controlled substance. They allegedly used residences in Kirbyville, Merriam Woods, Mo., and Springfield to store and distribute synthetic marijuana.
Turner is also charged with being a felon in possession of firearms. Turner, having been convicted of a felony, allegedly possessed a Ruger .22-caliber rifle, a Marlin 30-30 caliber rifle, a Rossi .243-caliber rifle with an interchangeable 20-gauge barrel, a Remington 12-gauge shotgun and a Remington .270-caliber rifle.
The indictment also contains a forfeiture allegation, which would require Butchee, Saguto and Turner to forfeit to the government any property obtained from the proceeds of the alleged mail fraud and drug-trafficking conspiracies, including a money judgment of $280,490 as well as $31,580 that was seized by law enforcement officers, a Hummer H2 and several firearms.
According to an affidavit filed in support of the original criminal complaint, Southern Spice manufactured synthetic cannabinoids under various labels, which was distributed to several businesses for resale. Search warrants were executed from January to December 2012 at several businesses – including Doobies (at two Springfield locations), Zak’s Place in Springfield, Beer and Bottle liquor store in Hollister, Mo., and Big E’s in Lebanon, Mo. – at which law enforcement officers seized hundreds of packages of K2 manufactured by Southern Spice, which were being sold by the businesses.
According to the affidavit, a total of $169,859 in checks from various head shops, tattoo parlors and other businesses were deposited into the Southern Spice bank account between April 10 and Nov. 20, 2012. Money was wired by Southern Spice to accounts in Hong Kong and China. An analysis of transactions from this bank account, the affidavit says, also showed purchases of other herbal products that are typically used as the plant ingredient in K2.
The affidavit cites four undercover purchases of K2 from The Man Cave by law enforcement officers in April and May 2013.
On May 16, 2013 law enforcement officers executed search warrants at the residences of Saguto and Butchee, as well as at a Merriam Woods residence owned by Butchee. At Saguto’s residence, officers seized the components of a synthetic cannabinoid manufacturing laboratory and a significant amount of cash contained in an ammo box. At the Merriam Woods residence, officers seized three five-gallon buckets containing a plant substance identified as synthetic cannabinoids as well as packages filled with a substance believed to be synthetic cannabinoids, which were labeled Hillbilly Hay.
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 Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the U.S. Postal Inspection Service, IRS-Criminal Investigation, the Missouri State Highway Patrol, COMET (Combined Ozarks Multi-jurisdictional Enforcement Team) and the Springfield, Mo., Police Department.
Synthetic Designer Drugs
Over the past several years, smokable herbal blends marketed as being “legal” and providing a marijuana-like high have become increasingly popular, particularly among teens and young adults, because they are easily available and, in many cases, they are more potent and dangerous than marijuana. These products consist of plant material that has been coated with dangerous psychoactive compounds that mimic THC, the active ingredient in marijuana. These synthetic cannabinoids are sold at a variety of retail outlets, in head shops and over the Internet. Brands such as K2, Spice, Blaze, and Red X Dawn are labeled as incense to mask their intended purpose. However, they have not been approved by the Food and Drug Administration (FDA) for human consumption or for medical use, and there is no oversight of the manufacturing process.
While many of the designer drugs being marketed today are not specifically prohibited in the Controlled Substances Act, the Controlled Substance Analogue Enforcement Act allows these drugs to be treated as controlled substances if they are proven to be chemically and/or pharmacologically similar to a Schedule I or Schedule II controlled substance. This analogue provision specifically exists to combat these new and emerging designer drugs.