Eastern District of North Carolina
Press releases recorded for this federal judicial district.
Raleigh Man Involved in Shooting Sentenced to 57 Months in Federal PrisonRead the Press Release
WILMINGTON, N.C. – A Raleigh man was sentenced today to 57 months in prison for knowingly possessing a firearm and ammunition while being a convicted felon. On September 2, 2021, Tevin Darius Young pled guilty to the charge.
According to court documents and other information presented in court, Tevin Darius Young, 31, of Raleigh, was involved in a shooting event on September 29, 2019 in the area of Milburnie Road and Gibney Drive in Raleigh. An investigation of the shooting ultimately led to the search of a residence where officers found Young in possession of a stolen .45 caliber Glock handgun, a 26 round .45 caliber magazine, and various rounds of ammunition.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case with the assistance of the Raleigh Police Department. Assistant U.S. Attorneys Evan Rikhye and William M. Gilmore prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-127-M.
Dark Web Fentanyl Distribution Results in 20-Year SentenceRead the Press Release
WILMINGTON, N.C. – A Washington, North Carolina man was sentenced yesterday to 240 months in prison for the distribution of fentanyl and an associated firearm violation. On June 24, 2021, Dylan Hunter Holcomb pled guilty to charges including conspiring to distribute fentanyl, possessing with intent to distribute fentanyl, and possessing a firearm in furtherance of his drug trafficking crimes.
According to court documents and other information presented in court, Dylan Holcomb, 28, sold counterfeit Xanax and Oxycodone pills across the country on the dark web. Using a high-capacity pill press, Holcomb and others used fentanyl and mixing compounds to mimic the effects of the narcotics. In January 2020, the United States Postal Inspector interceptedseveral suspicious packages coming from the Washington area. Each similarly wrapped package contained blue pills which were made to appear as Oxycodone but contained only fentanyl.
By March 2020, the Beaufort County Sheriff’s Office and the Drug Enforcement Administration discovered the source of these packages—Holcomb’s home in Washington. That month Investigators took Holcomb into custody and seized several bags of fentanyl; over 1,500 counterfeit pills containing fentanyl; a 3D printed firearm and silencer; a high-capacity pill press; several electronics used to access the dark web; and multiple cryptocurrency hardware wallets from Holcomb’s home.
In handing down the 20-year sentence, Chief Judge Richard E. Myers II noted the danger posed by using fentanyl in counterfeit pills and its contribution to the on-going opioid epidemic. After extensive interactions with the State criminal justice system, Holcomb faced the serious consequences associated with these lethal narcotics in the Federal system.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Drug Enforcement Administration, the Beaufort County Sheriff’s Office, the United States Postal Inspection Service, and the North Carolina State Bureau of Investigation investigated the case and Assistant U.S. Attorney J.D. Koesters prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:20-CR-110-M.
Attorney Pleads Guilty to Fraud Conspiracy and Filing False Tax ReturnRead the Press Release
RALEIGH, N.C. – A Durham attorney pleaded guilty today conspiracy to commit multiple fraud schemes and filing a false federal income tax return.
Tiffany Dawn Russell, age 43, was originally indicted in November 2020 for conspiracy to commit bank fraud, bank fraud, access device fraud, and misuse of a social security number. According to the Indictment, Russell and her co-conspirators applied for loans and credit cards with social security numbers that were not issued to them by the Social Security Administration. By doing so, they created new credit profiles or synthetic identities for themselves to open financial accounts and make purchases from retailers without any intention of paying for the items and services obtained. Russell was charged with using a synthetic identity to purchase a BMW and to obtain a credit card which she used to pay for her 2016 butt augmentation surgery.
Co-conspirators Rahne Cooper and Darius Hinton previously pled guilty to committing bank fraud for their illegal use of synthetic identities.
Russell agreed to plead guilty to participating in an extensive, multi-year conspiracy to obtain more than $2.5 million from at least 12 financial institutions and the United States Small Business Administration. According to the government, Russell used a synthetic identity because she had poor credit. Beginning in August 2017, Russell embarked on a new scheme, known as credit washing, to remove legitimate debt accounts from her credit history by falsely claiming she was the victim of identity theft and had not opened those accounts. Once the credit reporting agencies removed those accounts, her credit score improved, enabling her to obtain credit. She and her unnamed co-conspirators continued to make these false claims of identity theft, demanding the credit reporting agencies remove newly opened accounts. As a result, financial institutions relied on these washed credit reports in deciding whether to extend her credit.
Russell also provided fabricated documents when applying for mortgages to purchase three properties, including an oceanfront residence in Nags Head, North Carolina. Russell gave doctored bank statements and inflated pay stubs to make it appear she had substantial liquid assets and the ability to pay the loans.
Finally, between March 30, 2020 and June 29, 2020, Russell and others fraudulently obtained more than $1,000,000 in loans under the CARES Act, which was enacted by Congress to provide emergency financial assistance to millions of Americans suffering from the COVID-19 pandemic. The ten loan applications, including two for her law firm, contained false representations relating to the number of employees, monthly payroll, revenue, and expenses.
Russell used these illegally obtained proceeds to make the down payment on the Nags Head property and purchase the five other properties in North Carolina, Maryland and Alabama. Russell also used these ill-gotten gains to pay outstanding personal debt, unrelated to any business entity.
“This case is about a North Carolina attorney who funded her lavish lifestyle with an array of frauds,” commented U.S. Attorney Michael Easley. “She took advantage of the global pandemic to fraudulently secure over a million dollars in COVID relief funds, a crime that hurts all taxpayers. The case is also another reminder that it is illegal to defraud banks using so-called “Credit Profile Numbers,” “Credit Privacy Numbers,” or “Credit Protection Numbers,” (CPNs) or other tricks. It is a federal crime with the potential to yield years in federal prison. Our office will continue to prioritize economic crimes, particularly crimes against taxpayers and government programs intended for those in need.”
"Tiffany Russell's website says 'she knew at an early age that she had a passion for helping people.' Unfortunately, at some point she lost sight of that noble vision and began to help herself to other people's money, including $1 million from the federal CARES act intended to help business owners. The FBI and our partners will always work to ensure no one misuses the systems in place to help honest people succeed," said Robert R. Wells, FBI Special Agent in Charge.
“There is one word that describes the defendant’s action: Greed,” said Assistant Special Agent in Charge, Brian G. Thomas of IRS-Criminal Investigation’s Charlotte Field Office. “The American tax system is based on a voluntary compliance and the government is designed to provide services to people in need. IRS special agents work diligently to identify, investigate and recommend prosecution on criminals who take advantage of the system. In Ms. Russell’s case, her desire and fraudulent zealous sprees for personal luxuries were obtained by defrauding the system.”
Russell pleaded guilty to Conspiracy to Commit Mail, Wire and Financial Institution Fraud for which she faces a maximum penalty of 30 years in prison and a $1,000,000 fine. She faces an additional three years in prison and $250,000 fine for Filing a False Tax Return. When Russell is sentenced during the 4/18/2022 term of court, the court must impose a mandatory restitution order of $2,041,605 to the victim financial institutions, the Small Business Administration and the Internal Revenue Service. As part of her plea agreement, Russell consented to the forfeiture of an additional $2,019.571 to the United States.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. Magistrate Judge Robert T. Numbers II accepted the plea. The Federal Bureau of Investigation and the Internal Revenue Office are investigating the case and Assistant U.S. Attorney Susan B. Menzer is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00505-D-3.
Raleigh Man Sentenced to 30 Years for Federal Firearms and Drug Trafficking ChargesRead the Press Release
RALEIGH, N.C. – A Raleigh man was sentenced on January 14, 2022 to 360 months in prison for Possession with Intent to Distribute a Quantity of Cocaine, Possession of Firearms by a Convicted Felon, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime. On October 13, 2021, a jury in Raleigh, North Carolina, convicted Keith Lamont Thompson, Jr. of all counts.
According to court records and evidence presented at trial, Keith Lamont Thompson, Jr., 27, possessed two firearms and over two ounces of powder cocaine. On July 6, 2019, officers with the Raleigh Police Department received information that Thompson was in possession of cocaine and multiple firearms at his apartment in Raleigh, North Carolina. When Raleigh Police executed the search warrant, they learned that Thompson had ordered a female subject to hide his guns and drugs in her car. Officers searched the car and recovered 90 grams of cocaine and two firearms, including one that had been reported stolen. Further investigation revealed that Thompson was a convicted felon on active state probation for selling cocaine at the time of the July 6 search.
Thompson was subject to enhanced sentencing penalties as a career offender due to a conviction in 2014 for Robbery with a Dangerous Weapon and Second-Degree Kidnapping, and a conviction in 2018 for Possession with Intent to Sell or Deliver Cocaine.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-223-D-1.
Coastal NC Drug Trafficker Sentenced to 12 YearsRead the Press Release
RALEIGH, N.C. – An Elizabeth City man was sentenced Friday to 144 months in prison for distributing cocaine, cocaine base (crack), and fentanyl. On June 23, 2021, Maurice Dwight Toxey pled guilty to the charges.
According to court documents and other information presented in court, Toxey, 37, was involved in the distribution of narcotics including cocaine, crack, methamphetamine, heroin, and fentanyl in the communities surrounding Elizabeth City and the Outer Banks. Law enforcement was able to conduct controlled purchases of drugs from Toxey, including some deals while Toxey was on state probation. Toxey has previously been convicted of crimes involving the distribution or possession with the intent to sell or deliver controlled substances.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Federal Bureau of Investigation, United States Marshals Service, Currituck County Sheriff’s Office, Pasquotank County Sheriff’s Office, Dare County Narcotics Task Force, Elizabeth City Police Department, and Kitty Hawk Police Department investigated the case and Assistant U.S. Attorney Nick J. Miller prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:21-CR-10-D.
Raleigh Eight Trey Crip Gangster Sentenced to 40 Years in Prison for VICAR and Methamphetamine Distribution ConvictionsRead the Press Release
RALEIGH, N.C. – A Raleigh man was sentenced today to 480 months in prison for conspiracy to distribute and possess with intent to distribute fifty grams or more of methamphetamine; possession with intent to distribute fifty grams or more of methamphetamine and violent crimes in aid of racketeering (VICAR) for conspiring to kill a rival Eight Trey Gangster Crip (ETGC). On May 5, 2021, Deandre Earp pled guilty to all charges.
According to court documents and other information presented in court, Earp, after being tased and assaulted by a rival gang member on Quarry Street in Raleigh in July 2019, attempted to retaliate by planning his murder with other ETGC associates. Earp and another co-defendant then got into a car and were driving to kill the rival gang member when the Raleigh Police Department initiated a traffic stop of a vehicle in which Earp was the passenger. Earp and his co-defendant both had loaded firearms with them in the car and were taken into custody, thereby preventing the potential murder of a rival Crip gang member. Earp’s arrest was based on electronic, physical, and documentary evidence. Earp was also responsible for conspiring to distribute more than 4.5 kilograms of methamphetamine into the Raleigh area.
For approximately two decades, ETGCs have operated in North Carolina, including in the North Carolina prison system. The ETGC, a wholly illegitimate criminal enterprise, has a reputation for a propensity for violence that includes several homicides, aggravated assaults and robberies. Members and associates of ETGC have been involved in numerous violent crimes that have resulted in the loss of life, decrease in quality of life, and damage to societal norms in and around the City of Raleigh. The ETGCs committed acts of violence to maintain membership and discipline, both within the gang and against non-gang members. The ETGCs are recognized as a national criminal street gang originating out of Los Angeles, California.
In his North Carolina leadership position, Earp was the second in command in the ETGC organization and directed members of his gang in selling methamphetamine in Raleigh. Earp was heavily involved in the day-to-day operations of the gang and discussed strategy, policy and decision-making with both the leader of North Carolina and ranking ETGC members in Los Angeles, California. Earp also trained less experienced ETGC members and associates on distribution of narcotics without being detected by law enforcement.
The prosecution of Earp was a part of an Organized Crime and Drug Enforcement Task Force Operation (OCDETF) targeting violent gang members and drug traffickers in Raleigh, North Carolina and Los Angeles, California. This investigation spanned into the Los Angeles, California area where kilogram quantities of illicit drugs were distributed into Raleigh, North Carolina utilizing a complex network of high-ranking ETGC’s from L.A. who have also been indicted in this case.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Raleigh Police Department led the investigation with assistance from the Federal Bureau of Investigation, Raleigh/Wake City-County Bureau of Identification and United States Marshals Service. Assistant U.S. Attorney Kelly L. Sandling prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-00395-D-2.
Knightdale Man Sentenced to 37 Months for Possessing Firearms Not Registered in the National Firearms Registration and Transfer RecordRead the Press Release
RALEIGH, N.C. – A man from Knightdale was sentenced today to 37 months in prison and three years of supervised release. On October 1, 2021, Derek Alan Gower pled guilty to one count of receiving and possessing a firearm having a barrel of less than 16 inches in length which was not registered in the National Firearms Registration and Transfer Record.
According to court documents and other information presented in court, Gower, 41, had been purchasing chemicals and other items that could potentially be used in the manufacturing of explosives. Additionally, Gower researched and purchased items to make homemade suppressors and grenades.
On June 24, 2021, federal agents conducted a search of Gower’s residence in Knightdale which resulted in the seizure of 11 firearms, two of which were unregistered short- barreled assault rifles, grenade and grenade launcher part kits, kits to convert various weapons to be fully automatic, and precursor materials to make explosives.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge James C. Dever III.
The case was investigated by the Federal Bureau of Investigation, Joint Terrorism Task Force in Raleigh, North Carolina, and Assistant U.S. Attorney Gabriel J. Diaz prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:21CR-294-D.
U.S. Attorney Highlights 2021 Human Trafficking Cases to Bring Awareness During Human Trafficking Prevention MonthRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley, in recognition of Human Trafficking Prevention Month, highlights some of the significant Human Trafficking cases his office prosecuted in 2021. Links to press releases with more details on these cases are also provided.
USA v. Jonathan Jenkins and Antoine Wallace (No. 5:18-CR-451-D)
https://www.justice.gov/usao-ednc/pr/garner-man-sentenced-156-months-human-trafficking
https://www.justice.gov/usao-ednc/pr/smithfield-man-sentenced-three-life-sentences-human-trafficking
The investigating agencies in this case were Homeland Security Investigations, Raleigh Police Department, the North Carolina State Bureau of Investigation, and the Johnston County Sheriff’s Office. Antoine Lamar Wallace of Garner was sentenced to 156 months in prison, on September 8, 2021, for sex trafficking a minor and aiding and abetting and his co-defendant, Jonathan Lynn Jenkins, of Smithfield, received three consecutive life sentences, on August 4, 2021, after being found guilty by a jury of conspiracy to commit sex trafficking by force, fraud, or coercion and of a minor; sex trafficking by force, fraud, and coercion; sex trafficking of a minor; using the internet to promote a prostitution business enterprise (ITAR); and possession of a firearm by a convicted felon. Jenkins was also ordered to pay over $1,000,000 in restitution to multiple victims.
USA v. Jesse Marks (No. 7:19-CR-127-D)
https://www.justice.gov/usao-ednc/pr/jacksonville-man-sentenced-30-years-human-trafficking
The investigating agencies in this case were the Naval Criminal Investigative Service, the Onslow County Sheriff’s Office, and the Jacksonville Police Department. Jesse Gabriel Marks of Jacksonville was sentenced to 360 months in prison, on May 7, 2021, for sex trafficking by force, fraud, or coercion and ordered to pay $249,700 in restitution to multiple victims. According to court documents and other information presented in court, Marks, prostituted hundreds of women, including at least one minor, over nearly two decades. He used drugs, including heroin and methamphetamine, to keep them dependent on and prostituting for him. After meeting Marks, many victims either developed addictions or deepened their addictions, ruining their health and, in many cases, their lives. Marks physically and emotionally abused many of the victims. He also gave women drug cocktails without their full knowledge and, once they were unconscious or nearly unconscious, sexually assaulted them. He recorded many of those sexual assaults on video.
USA v. Kevin Rudolph and Marcus Gambrell (No. 5:19-CR-336-FL)
https://www.justice.gov/usao-ednc/pr/raleigh-man-sentenced-17-years-child-pornography-charge-after-sex-trafficking-14-year
The investigating agencies in this case were the Raleigh Police Department and Homeland Security Investigations.
Marcus Antwan Gambrell, 30, of Raleigh, was sentenced to 210 months in prison, on December 21, 2021, for manufacturing child pornography. Gambrell and co-defendant Kevin Rudolph were charged in a four-count superseding indictment on April 7, 2020. The indictment charged both men with sex trafficking of a minor and using the internet to promote prostitution, Gambrell with manufacturing child pornography, and Rudolph with possession of a firearm by a felon. Gambrell pled guilty to the manufacturing charge on January 19, 2021. Rudolph pled not guilty, and he is awaiting trial on May 16, 2022. An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
USA v. Marvarlus Snead and Ashanti McLean (No. 7:19-CR-151-D)
https://www.justice.gov/usao-ednc/pr/four-oaks-man-sentenced-35-years-sex-trafficking-minor
The investigating agencies in this case were the Federal Bureau of Investigation and the New Hanover County Sheriff’s Office. Marvarlus Cortel Snead, of Four Oaks, was sentenced to 420 months in prison and a life term of supervised release, on June 21, 2021, for sex trafficking of a minor and using the internet to promote a prostitution business enterprise (ITAR). On December 17, 2020, Snead was convicted of the charges after a four-day jury trial. Snead was also ordered to pay more than $200,000 in restitution to the minor victim. McLean pleaded guilty to using the internet to promote a prostitution business enterprise (ITAR) and received a concurrent sentence (serving 8 years on her state charges.)
The above cases are a sampling of the investigations this office prosecuted in 2021 and an example of the serious problem Human Trafficking possess in North Carolina.
For anyone who needs the assistance of the National Human Trafficking Hotline they can be reached at 1-888-373-7888; text “BeFree” 233733 or by live chat at humantraffickinghotline.org.
A copy of this press release is located on our website.
Operation False Haven: Former U.S. Army Sergeant and Convicted Child Molester Sentenced for Naturalization Fraud, Judicially Denaturalized and Ordered Removed from the United StatesRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley announced that today in federal court, Edgar Daniel Cruz-Magallanes, age 31, a naturalized citizen of the United States, born in Mexico and residing in Wake County, and former U.S. Army Sergeant, was sentenced by United States District Judge Louise W. Flanagan to one year of probation following a guilty plea to naturalization fraud. Moreover, Cruz-Magallanes was judicially denaturalized as a United States citizen and ordered removed from the United States.
According to court records, on March 19, 2015, Cruz-Magallanes fraudulently obtained U.S. citizenship by making materially false statements under oath regarding his naturalization application. In response to the question “Were you ever involved in any way with any of the following: . . . Forcing, or trying to force, someone to have any kind of sexual contact or relations?” he answered “No.”
On June 10, 2020, in the Superior Court of North Carolina in Wake County, Cruz-Magallanes was convicted of three counts of indecent liberties with a child. Cruz-Magallanes was sentenced to a term of imprisonment of between 16 and 29 months and ordered to register as a sex offender. According to the indictment to which he pled guilty, Cruz-Magallanes committed the offenses between December 20, 2010 and December 18, 2012. The victim was 8 years old. Cruz-Magallanes was not arrested until after he naturalized, thus immigration officials were unaware of his crime before he was approved for naturalization.
“Cruz-Magallanes is another in a growing number of criminals that thought their heinous acts of the past would not catch up to them, and thankfully he was wrong,” said Special Agent In Charge Ronnie Martinez, who oversees Homeland Security Investigations (HSI) operations in North Carolina and South Carolina. “Cases like this not only protect the integrity of our immigration system, but it also allows us to remove known predators from our communities.”
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. Agents with ICE’s Enforcement and Removal Operations and HSI, assigned to the Document Benefit Fraud Task Force, investigated the case as part of Operation False Haven (OFH), an ongoing initiative designed to aggressively identify and prosecute child molesters and other egregious felons who fraudulently obtained U.S. citizenship. Assistant U.S. Attorney Sebastian Kielmanovich prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00368-1FL(3). Previous media coverage on this case is located here: Click here.
NC Pharmacy Operator Pleads Guilty to Conspiracy to Fraudulently Bill Medicare, Medicaid and Private Insurance CompaniesRead the Press Release
WILMINGTON, N.C. – A Pembroke woman pleaded guilty today to Conspiracy to Commit Healthcare Fraud.
According to court documents, Melisha Oxendine West pleaded guilty to Conspiracy to Commit Healthcare fraud. The charge to which West pled guilty alleges that from 2006 through July of 2017, West was employed at Townsend’s Pharmacy, located at 111 S. Main Street in Red Springs, North Carolina. During that time, West conspired with the owner of the pharmacy and others to bill fraudulent claims to Medicare, Medicaid, and private health insurers, such as Blue Cross and Blue Shield of NC. According to the charge, West and others did this by fraudulently reauthorizing previously existing prescriptions from licensed medical providers, and billing health care benefit programs as though those drugs had been dispensed.
West pleaded guilty to a violation of Title 18, United States Code, Section 1349, and faces a statutory maximum of 10 years in prison and a fine amounting to as much as twice the gross gain or loss from the offense. The sentencing before United States District Judge Louise W. Flanagan will not occur earlier than 90 days from today.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after United States Magistrate Judge Robert Jones accepted the plea. The United States Department of Health and Human Services Office of the Inspector General is investigating the case and Assistant U.S. Attorney William M. Gilmore is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:21-cr-00129-FL-1.
Onslow County Drug Trafficker Receives More Than 10 Years in Federal PrisonRead the Press Release
NEW BERN, N.C. – Ernie James, 47, of Onslow County was sentenced yesterday to 123 months in federal prison for conspiracy to possess with the intent to distribute and distribution of 50 grams or more of a mixture or substance containing methamphetamine and possession with the intent to distribute 50 grams or more of a mixture or substance containing methamphetamine.
According to court documents and other evidence and information presented in court, between February 2018 and June 2019, James was involved in the distribution of more than a kilogram of methamphetamine into the Eastern District of North Carolina. James had at least one person picking up methamphetamine for him to distribute. James also paid people who were legitimately working for him with methamphetamine. James’ methamphetamine distribution involved a white supremist organization.
On June 27, 2019, the Bureau of Alcohol, Tobacco and Firearms (ATF) developed information that James and several other people were travelling to Kinston, North Carolina to pick up several ounces of methamphetamine. They received information that the deal would occur at a residence on Dale Street in Goldsboro. Law enforcement conducted a traffic stop on a truck being driven by James following the deal. During the traffic stop, James instructed a passenger to dump several ounces of methamphetamine into a drink cup as law enforcement was approaching the car. Law enforcement was able to recover the cup.
In August 2021, James was in custody at the Pamlico County Jail awaiting his federal sentence. James and at least one other person were involved in the distribution and use of controlled substances in the jail. The controlled substances were being sent into the jail under the guise of legal mail. The ATF, Pamlico County Sheriff Deputies and the Craven County Sheriff’s Office working together uncovered this drug ring.
This is part of operation “Fighting Jelly Fish” which is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Bureau of Alcohol, Tobacco and Firearms, Onslow, Duplin, Craven, Pamlico and Lenoir County Sheriff’s Offices and the Kinston, Holly Ridge and Goldsboro Police Departments investigated the case and Assistant U.S. Attorney Timothy Severo prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:19-cr-00139-FL-7.
Raleigh Drug Trafficker Sentenced to More Than 16 Years in Federal PrisonRead the Press Release
NEW BERN, N.C. – A Raleigh man was sentenced yesterday to 195 months in prison for Distribution of cocaine base (crack). On February 24, 2021, Needham Holder, III pled guilty to the charge.
According to court documents and other information presented in court, Needham Holder, III, 33, distributed in excess of 18 kilograms of cocaine base (crack) in the Raleigh area from November 2017 until his arrest on June 8, 2019. Due to a significant criminal record, Holder qualified for sentencing as a career offender. Holder’s prior convictions include possession with intent to sell or deliver cocaine, assault inflicting serious injury, selling a controlled substance within 1000 feet of a park, and possession of a firearm by a convicted felon.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Raleigh Police Department and The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case and Special Assistant U.S. Attorney John P. Newby, Jr. prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-416-FL.
Northeastern NC Drug Trafficking Organization Leader Sentenced to 25 YearsRead the Press Release
RALEIGH, N.C. – A Bertie County man was sentenced to 300 months in prison for trafficking cocaine, cocaine base, and methamphetamine and conspiring to commit money laundering in northeastern North Carolina. On August 2, 2021, Levar Anthony Leary pled guilty or was convicted of the charges.
According to court documents and other information presented in court, Leary, 41, organized and led a drug trafficking organization from 2016 to early 2021, that was responsible for distributing cocaine, cocaine base (crack), methamphetamine, heroin, and marijuana throughout northeastern North Carolina. Leary and his associates used a hotel, nightclub, and convenience store in Bertie County as locations to distribute narcotics and launder money. Using surveillance and technical investigative tools, agents were able to track and observe Leary travel all over the country, including California, Texas, Florida, and Georgia, in order to obtain large quantities of drugs and return to North Carolina. A number of Leary’s associates have been convicted and sentenced: Johnny Earl Jordan (72 months); Fred Rudolph Robbins, Jr. (90 months); and Alexander Leander Williams, Jr. (132 months). As a result of the investigation, law enforcement has seized numerous vehicles and properties used to conceal the profits of this illegal activity as well as recovered multiple firearms and additional narcotics.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Federal Bureau of Investigation; the Internal Revenue Service Criminal Investigation; and the State Bureau of Investigation investigated the case. They were assisted by the United States Marshals Service; Joseph K. Roberts, Department of Justice Organized Crime Drug Enforcement Task Force Financial Investigations Section; the Bertie County Sheriff’s Office; Chowan County Sheriff’s Office; the Dare County Sheriff’s Office; the Hertford County Sheriff’s Office; the Pasquotank County Sheriff’s Office; the Perquimans County Sheriff’s Office; and the Elizabeth City Police Department. Assistant U.S. Attorney Nick J. Miller prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:21-CR-5-D.
North Carolina Physician Indicted for Adulterating Medical Devices for Reuse on Patients, Fabricating Records, and Other ChargesRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment today charging a Raleigh woman with Adulteration of Medical Devices, Paying Illegal Remunerations, Making and Using Materially False Healthcare Documents, Mail Fraud, and Conspiracy.
According to the Superseding Indictment, between 2014 and 2018, Anita Louise Jackson, 58, billed Medicare more than $46 million for allegedly rendering more than 1,200 incidents of “balloon sinuplasty” services to more than 700 patients. Her practice, Greater Carolina Ear, Nose, and Throat (GCENT), received more than $5.4 Million for the services. During portions of this same time period, Jackson was the top-paid provider of balloon sinuplasty services in the United States, despite the location of her practice outside of a major metropolitan area. Jackson profited substantially from these billings to the Medicare program.
Jackson is charged with Adulteration of Medical Devices, in violation of 21 U.S.C. §§ 331(k), 333(a)(1), 333(a)(2), and 351(a)(2)(A); ten counts of Paying Illegal Remunerations, in violation of 42 U.S.C. § 1320a-7b(b)(2)(B); 3 counts of Making False Statements Relating to Health Care Benefits, in violation of 18 U.S.C. § 1035(a)(2); two counts of Aggravated Identity Theft, in violation of 18 U.S.C. § 102A(a)(1); three counts of Mail Fraud, in violation of 18 U.S.C. § 1341; and Conspiracy, in violation of 18 U.S.C. § 371. If convicted, Jackson faces a maximum term of imprisonment of 20 years for Mail Fraud, 10 years for Paying Illegal Remunerations, and 5 years for Conspiracy and Making False Statements. Aggravated Identity Theft carries a 2-year mandatory prison sentence, consecutive to any other punishment. Jackson also faces fines exceeding $250,000.
The speaking Superseding Indictment is attached in full to this press release.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. The United States Department of Health and Human Services Office of the Inspector General (HHS-OIG), the United States Food and Drug Administration Office of Criminal Investigations (FDA-OCI), and the Department of Defense Office of Inspector General, Defense Criminal Investigative Service are investigating the case and Assistant U.S. Attorney William M. Gilmore is prosecuting the case.
If you feel that you or someone you know may be a victim in this case, you are encouraged to contact HHS-OIG at (336) 542-1494 to make a report.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Greenville Man Sentenced to Prison for Possessing a Handgun and Ammunition as a FelonRead the Press Release
RALEIGH, N.C. – A Greenville man was sentenced today to 52 months in prison for possessing a handgun and ammunition as a convicted felon. On September 21, 2021, James Layquan Smith pled guilty to Possession of a Firearm and Ammunition as a Felon. Smith had previously been convicted of Attempted Second Degree Robbery in Kings County Supreme Court in New York in 2011.
According to court documents and other information presented in court, James Smith, 27, on October 21, 2019, took his girlfriend’s handgun and told her to drive him to a family member’s house. Smith also made his girlfriend’s children ride in the car. While driving, Smith threatened to shoot his girlfriend if they were pulled over by police officers. The girlfriend panicked at an intersection and Smith ran from the car. Pitt County deputies responded quickly and were able to arrest Smith.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Pitt County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney John Parris prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:20-CR-39-BO.
U.S. Attorney’s Office Collects over $36 Million in Civil and Criminal Actions in Fiscal Year 2021Read the Press Release
RALEIGH, N.C. – U.S. Attorney Michael Easley announced today that the Eastern District of North Carolina collected $36,556,528.37 in criminal and civil actions in Fiscal Year 2021. Of this amount, $26,265,414.19 was collected in criminal actions and $10,291,114.18 was collected in civil actions.
Additionally, the Eastern District worked with other U.S. Attorneys Offices and components of the Department of Justice to collect an additional $1,240,138.15 in cases pursued jointly by these offices. Of this amount, $38,938.15 was collected in criminal actions and $1,201,200.00 was collected in civil actions.
In the past fiscal year, the Eastern District of North Carolina has recovered millions of dollars for crime victims. For example, in United States v. Treyton Lee Thomas, over $7.2 million was recovered for victims of the defendant’s criminal conduct. In United States v. Adam Frankel, a case involving the manufacturing of child pornography, over $200,000 was recovered from the defendant.
“We use every legal remedy available to collect victim restitution and criminal fines, and to recover taxpayer dollars lost to waste, fraud, and abuse,” said Mr. Easley. “Today’s announcement is a testament of the dedication and professionalism of our attorneys and staff in furtherance of that important mission, especially those in our Asset Recovery Unit.”
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s office in the Eastern District working with partner agencies and divisions, collected $24,506,586.00 in asset forfeiture actions in FY 2021. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. “The forfeiture of assets that facilitate crimes, or which are the fruits of crime, serves an important law enforcement interest, including depriving criminals of the means and reasons for their criminal activity,” Mr. Easley stated. “The proper use of asset forfeiture can aid in financially disrupting and dismantling criminal organizations and restoring funds to victims of crime. Our office will continue to do that important work.”
U.S. Attorney Easley Announces More Than $1 Million Comprehensive Opioid, Stimulant, and Substance Abuse Site-Based Program GrantRead the Press Release
RALEIGH, N.C. – U.S. Attorney Michael F. Easley, Jr. today announced $1,199,747 in a Department of Justice grant was awarded to the Wake County Sheriff’s Office’s Opioid Abuse Management Program. The grant was awarded by the Department’s Bureau of Justice Assistance.
Though the effects of the current global pandemic have been felt here locally, the community has been fighting another deadly epidemic for many years now. Opioids are devastating lives in North Carolina. Per the North Carolina Injury and Violence Prevention Branch, an estimated 79% of drug overdose deaths involved opioids in 2018; for a total of 1,783 fatalities. In 2019, an average of 6 people died daily from medication in North Carolina, an increase of 120% over the last ten years. As unintentional overdoses continued to rise, The Wake County Sheriff's Office (WCSO) proposed its Opioid Abuse Management Program to protect the public against the emerging threat of overdoses and to reduce the number of opioid related fatalities in Wake County.
By implementing the Opioid Abuse Management Program, WCSO intends to use awarded funds to purchase enough Naloxone to fully supply each division of deputies with the reversal drug, as well as handheld narcotics analyzers. These handheld narcotics analyzers will allow WCSO to reduce the impact of opioids on individuals and communities by enabling deputies to scan for more than 498 suspected controlled substances in a single test. In efforts to combat the horrific opioid dependency problem among residents, the grant will also fund a WCSO detox unit to assist with the effects of withdraw for residents.
In addition to other initiatives, WCSO will also implement a partnership with a behavioral health clinic and treatment provider to expand their comprehensive efforts to respond to, treat, and support those impacted by illicit opioids, stimulants, and other drugs of abuse.
More information about OJP and its components can be found at www.ojp.gov.
U.S. Attorney Easley Announces $1 Million to Prevent School Violence in North CarolinaRead the Press Release
RALEIGH, N.C. – U.S. Attorney Michael F. Easley, Jr. today announced $1,000,000 in a Department of Justice grant to prevent school violence from occurring at schools in North Carolina. The grant was awarded by the Department’s Office of Justice Programs (OJP) to Robeson County Teen Court and Youth Services in Lumberton, North Carolina. The grant is part of the Department of Justice’s STOP School Violence Program.
STOP School Violence, a program of OJP’s Bureau of Justice Assistance, improves school security by providing students and teachers with the tools they need to recognize, respond quickly to and help prevent acts of violence. In addition to STOP School Violence Act funding, OJP’s National Institute of Justice is investing in research on school violence.
The goal of the program is to provide trauma-focused, evidence-based training and consultation to address youth mental health issues, bullying, and victimization across the state. The training and consultation will be provided using the Youth Mental Health First Aid (YMHFA) program to increase awareness of, and early intervention in, student mental health crises. The training will be facilitated online to break down geographic and transportation issues. The knowledge and skills gained will guide new behaviors in an effort to lower the risk of future violence.
“School violence is a serious problem, and we need to do everything we can to protect our children and those who educate them”, said Mr. Easley. “These essential funds will aid attempts to get to the root cause of that violence and improve the mental health of our students.”
More information about Robeson County Teen Court and Youth Services can be found at https://preventyouthviolencenc.org/
More information about OJP and its components can be found at www.ojp.gov.
Raleigh Man Sentenced to 17 ½ Years on Child Pornography Charge After Sex Trafficking 14-Year-Old RunawayRead the Press Release
NEW BERN, N.C. – Marcus Antwan Gambrell, 30, of Raleigh, was sentenced today to 210 months in prison for manufacturing child pornography. Gambrell and co-defendant Kevin Rudolph were charged in a four-count superseding indictment on April 7, 2020. The indictment charged both men with sex trafficking of a minor and using the internet to promote prostitution, Gambrell with manufacturing child pornography, and Rudolph with possession of a firearm by a felon. Gambrell pled guilty to the manufacturing charge on January 19, 2021.
According to court records and statements made during hearings, on December 28, 2018, a detective of the Raleigh Police Department was conducting an online investigation when he came across an advertisement offering a minor for prostitution. Law enforcement identified the minor as a 14-year-old girl who had run away from a temporary home six days earlier. The detective texted the phone number listed on the advertisement to set up a prostitution sting date. He was directed to a room at a Motel 6 in Raleigh, where he located and rescued the victim. In the room, officers located condoms, an iPad, and a bookbag with a firearm. Law enforcement discovered that the hotel was registered to Marcus Gambrell. A review of the iPad revealed photos of the victim that had been used in the prostitution advertisements, as well as additional photos that showed the minor victim’s genitals. In some photos, Gambrell’s hand was visible and identifiable based on tattoos.
The victim explained to officers that after running away—in slippers and with no coat, despite it being late December—she had ended up at the Raleigh Inn in Raleigh. There, on Christmas Day, she had met and socialized with Gambrell and Rudolph. The two men invited her to relocate with them to a nearby Motel 6 the next day. Once at the Motel 6, Gambrell took nude photos of the victim with the iPad. The two men used those photos to post and maintain prostitution advertisements for the victim on the internet. Over the next two days, they took turns supervising the prostitution and updated each other over Facebook Messenger. The victim estimated that Rudolph and Gambrell arranged around 10 to 15 “dates” per day, and they kept all the money. She stated that on one occasion Gambrell had vaginal sex with her, as Rudolph recorded a video with his cell phone. Law enforcement, however, did not recover the video.
Co-defendant Kevin Rudolph pled not guilty on September 14, 2021, to three counts: sex trafficking of a minor, possession of a firearm by a convicted felon, and use of the internet to promote prostitution. Hs trial is currently scheduled to begin May 16, 2022.
Charges against Rudolph are merely accusations. The defendant is presumed innocent until proven guilty in a court of law.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Raleigh Police Department and Homeland Security Investigations (HSI) conducted the investigation. Assistant U.S. Attorney Jake D. Pugh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-0336-FL.
Man Sentenced to Prison for Attempting to Burn Sweepstakes Business in Spring LakeRead the Press Release
WILMINGTON, N.C. – An Autryville man was sentenced yesterday to 30 months in prison, three years of supervised release, and ordered to make restitution on a charge of Malicious Damage to Property Used in Commerce, in violation of Title 18, United States Code, Section 844(i).
According to the indictment and statements at the sentencing hearing, Joshua Ray Powell, 27, of Autryville, and his brother Justin Powell, aiding and abetting each other, attempted to destroy by fire the Skills Gaming Center, located at 14260 NC 210 South, in Spring Lake, North Carolina. Joshua Powell jumped a fence and doused the exterior of the building with gasoline. After making a gasoline trail from the building, he ignited the fire. Despite these efforts, the building was not ultimately destroyed. When confronted later, Joshua Powell admitted to his role in the fire.
The charges against Justin Powell remain pending. An indictment is merely an accusation. A defendant is presumed innocent until proven guilty.
Michael F. Easley, Jr., the United States Attorney for the Eastern District of North Carolina made the announcement. The investigation was conducted by the Internal Revenue Service Criminal Investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant United States Attorney William M. Gilmore represents the United States.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-245-1D(2).
Raleigh Man Sentenced to 85 Months for Setting Fire to Businesses During Downtown RiotsRead the Press Release
NEW BERN, N.C. – Richard Rubalacava was sentenced today in federal court to 85 months in prison for maliciously damaging several downtown businesses by fire. On March 23, 2021, he pled guilty to setting fire to the Dollar General Express store on East Davie Street.
According to court documents and other information presented in court, Rubalacava, age 27, joined the riotous crowds following the May 30, 2020 civil protest over George Floyd’s murder in Minneapolis, Minnesota. Rubalacava was captured on video entering the Dollar General several times, stealing merchandise and setting fire to miscellaneous items. The sprinkler system extinguished the fire, but the damage was extensive. Rubalacava was also ordered to pay restitution to Dollar General in the amount of $354,379.22.
Rubalacava had also been charged with setting a fire inside the Budacai Restaurant on East Martin Street. He further admitted to vandalizing the Red Hat building with other rioters on the same evening.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Raleigh Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorneys Daniel W. Smith and Susan B. Menzer prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-00341-FL.
Lumberton Man Sentenced to 25 Years for Carjacking and Firearm CrimesRead the Press Release
RALEIGH, N.C. – A Lumberton man was sentenced today to 300 months in prison for carjacking and discharging a firearm during and in relation to a crime of violence. He pleaded guilty to the offenses on October 1, 2021.
According to court records and evidence presented in court, Emanuel Lee McPherson, 32, was convicted for carjacking and discharging a firearm during and in relation to a crime of violence. The evidence presented showed that on June 7, 2020, the Lumberton Police Department conducted a traffic stop on a vehicle for a seatbelt violation. Law enforcement contacted the driver and a passenger, Emanuel Lee McPherson, who provided the investigator with a fake name. While investigating the stop, law enforcement learned that McPherson was a convicted felon with active warrants for his arrest.
During the traffic stop, the vehicle suddenly fled the scene at a high rate of speed, and McPherson leaned out of the passenger vehicle, firing multiple rounds from a handgun in the direction of law enforcement. The vehicle traveled through Lumberton at a high rate of speed in excess of 100 mph, nearly colliding with other vehicles. McPherson eventually threw a firearm from the passenger window, and the gun was later recovered by law enforcement. McPherson was apprehended shortly thereafter. The evidence and witness testimony revealed that McPherson held the driver of the vehicle at gunpoint, threatening the driver’s life, if McPherson’s commands were not followed. McPherson has a significant criminal history and has been convicted of multiple felony offenses, including a conviction for indecent liberties with a child.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Lumberton Police Department and the Bureau of Alcohol Tobacco and Firearms investigated the case and Assistant U.S. Attorney Chad Rhoades prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:20-CR-123-BO.
Credit Union Manager Sentenced for EmbezzlementRead the Press Release
NEW BERN, N.C. – A Wake Forest man was sentenced yesterday to 48 months in prison and five years of supervised release for embezzlement from a credit union. On June 24, 2020, Johnnie Earl Harrell, 49, pled guilty to the charges.
According to court documents and other information presented in court, between 2008 and 2019, Harrell served as branch manager of a credit union located in Zebulon, NC. During this period, Harrell exploited his position as branch manager to steal and embezzle at least $631,838.36 in funds belonging to the credit union and its customers. Among Harrell’s victims were retirees who Harrell convinced to rollover existing retirement accounts into annuities. Harrell never purchased the annuities, but instead converted the victims’ funds to personal use. Harrell prepared fraudulent annuity account statements which were periodically presented to victims to preclude detection of the scheme.
Harrell will be ordered to pay restitution in an amount to be determined at a later date.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. Homeland Security Investigations, the North Carolina Department of Insurance Criminal Investigations, and the Zebulon Police Department investigated the case. Assistant U.S. Attorney Toby Lathan prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00152-FL-1.
Raleigh Man Convicted of Being a Felon in Possession of Firearm and AmmunitionRead the Press Release
WILMINGTON, N.C. – A federal jury convicted a Raleigh man Tuesday on charges of being a felon in possession of a firearm and ammunition.
According to court records and evidence presented at trial, Mohamed Magi Abusnena, 24, was indicted on July 21, 2021, for having been previously convicted of a felony and being in possession of a 9 mm, Glock, semi-automatic pistol, and ammunition.
Evidence presented at the trial revealed that on April 19, 2020, patrol officers from the Raleigh Police Department were in the vicinity of Durant Road Elementary School, when officers heard approximately eight-to-twelve-gun shots fired very rapidly. Officers began to canvas the nearby neighborhoods and streets where they believed to have heard the gun shots.
While canvasing the area, officers heard two more-gun shots coming from the main entrance of Abbotts Creek Elementary. Officers observed a vehicle make a rapid U-turn at the entrance of the school and drive away towards Durant Road. Officers caught up with the vehicle as it pulled into the driveway of Abusnena’s residence.
Officers were able to detain Abusnena after an argument. Abusnena was searched incident to arrest and a loaded Glock magazine was located in his right front pocket. Officers located several spent 9mm shell casing inside the vehicle on the front floor-board and rear floorboard. A Glock 19 semiautomatic firearm was found underneath the front passenger floorboard. The firearm was loaded with 9mm ammunition.
In a unanimous decision the jury found Abusnena guilty of being a felon in possession of a firearm and ammunition.
Abusnena faces maximum penalties of ten years imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment, when scheduled for sentencing for the term of court commencing on March 22, 2022.
Michael F. Easley, Jr, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the verdict. The case was investigated by the Federal Bureau of Investigation, Joint Terrorism Task Force, Bureau of Alcohol, Tobacco, and Firearms and the Raleigh Police Department, Assistant U.S. Attorney Lori B. Warlick, and Deputy Criminal Chief Jason Kellhofer prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:20-CR-00301-1M
Fayetteville Home-Health Services Company Agrees to Settle False Claims Act Allegations Related to Death of a VeteranRead the Press Release
Raleigh, N.C. – A home-health services company based in Fayetteville, North Carolina, has agreed to pay $45,486.76 to settle civil False Claims Act allegations related to allegedly fraudulent billings for purported work by a recently convicted felon under their employ.
Professional Family Care Services, Inc. (“PFCS”) provides, among other things, home-health services to patients in southeastern North Carolina, including to veterans of the United States Armed Forces. During 2015 and 2016, PFCS billed the Department of Veterans Affairs (“VA”) for home-health services purportedly provided to W.R., an Army veteran, even though, at that time, W.R. was actually residing with the company’s employee, Certified Nurse Aide Tracey McNeill. The evidence showed that PFCS based its billing for those services on falsified timesheets provided by Ms. McNeill, who failed to provide both the time and quality of care required under the VA program. In some instances, Ms. McNeill submitted blatantly inconsistent timesheets indicating that she was providing services to W.R. and another patient at the exact same times.
After several months living with Ms. McNeill and while purportedly receiving home-health services provided by Ms. McNeill through PFCS, W.R. had to be admitted to the hospital with severe bedsores. Evidence showed that he was extremely malnourished, and he ultimately died within a few days of his admission.
Nevertheless, PFCS submitted fifteen separate claim forms seeking payment from the VA for services purportedly provided by Ms. McNeill to W.R. between October 2015 and December 2016, resulting in payment by the VA of $11,273.92. The federal False Claims Act, however, mandates that the government recover three times the damages caused by the fraud, plus civil penalties for false or fraudulent claims. PFCS agreed to pay $45,486.76 to resolve the claims.
Earlier in 2021, Ms. McNeill was convicted of wire fraud for her misconduct related to W.R., was sentenced to 12 months and 1 day in federal prison, and was ordered to pay over $90,000 in restitution.
“The home-health services provided to the veteran by his supposed care-giver were deplorable,” said United States Attorney Michael F. Easley, Jr. “Our veterans should be honored and respected for their service, not abused for others’ financial gain. The United States will always pursue justice for them, and for the programs in place to help support them. This case, on both the criminal and civil side, embodies that unwavering commitment.”
It should be noted that the civil claims resolved by settlement here are allegations only, and that there has been no judicial determination or admission of liability. PFCS cooperated fully in resolving these claims.
Assistant United States Attorney John E. Harris represented the United States in this civil action. The Department of Veterans Affairs, Office of Inspector General (VA-OIG) assisted in this investigation.
Court documents and information about the criminal case against Ms. McNeill are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-000474-D.
Clayton, NC Resident Sentenced for Conspiring to Defraud the North Carolina Medicaid SystemRead the Press Release
NEW BERN, N.C. – A Clayton, North Carolina man, Luis Angel Lozada, was sentenced today to 70 months in prison and three years of supervised release for conspiracy to commit health care fraud. On September 18, 2020, Lozada pleaded guilty to the charge. As part of sentencing, Lozada was also ordered to pay $1,130,137 in criminal restitution to the North Carolina Fund for Medical Assistance.
According to court documents and other information presented in court, between 2016 and 2020, Lozada conspired with multiple individuals to defraud the North Carolina Medicaid system by submitting over $1 million in false and fraudulent claims for the reimbursement of behavioral health services. Medicaid is a federally funded health care benefit program that helps pay for medical-related services for low-income individuals and their families. In North Carolina, Medicaid is administered by the North Carolina Department of Health and Human Services, Division of Health Benefits.
In March 2016, Lozada formed a behavioral health business in North Carolina known as Cornerstone Family Services Group (“Cornerstone”). Cornerstone was headquartered in Zebulon initially and later opened offices elsewhere in the district. Cornerstone submitted high-volume Medicaid claims for services that were never rendered; the false claims relied on stolen beneficiary and clinician information that was incorporated into the fraudulent billings. Between 2016 and 2017, for example, Lozada partnered with co-conspirators Reginald Van Reese, Jr., and Ruben Samuel Matos to source and integrate the stolen Medicaid beneficiary data into Cornerstone’s billings. The beneficiary information, in turn, was used to back-bill Medicaid for the maximum number of units allowed, notwithstanding the fact that the beneficiary had never been treated by Cornerstone. Another co-conspirator, Humberto Mercado, was recruited to fabricate treatment records and began to do so before the first billings were submitted to Medicaid.
Reese, Matos, and Mercado each pleaded guilty to conspiracy to commit health care fraud in separate related cases. Mercado was sentenced today to 15 months imprisonment, three years of supervised release, and restitution in the amount of $494,688. Reese and Matos were previously sentenced.
Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina, made the announcement after sentencing by United States District Judge Louise W. Flanagan. The Federal Bureau of Investigation and the North Carolina Medicaid Investigations Division investigated the case. Assistant United States Attorney Adam F. Hulbig prosecuted the case for the government.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-340-FL.
Armed Career Criminal Sentenced to 15 Years for Possessing a Firearm on the Outer BanksRead the Press Release
NEW BERN, N.C. – An Elizabeth City man was sentenced today to 180 months in prison as an Armed Career Criminal after being found with a stolen firearm in Kill Devil Hills, NC. On June 8, 2021, Deangelo Maurice Joyner pled guilty to felon in possession of a firearm in connection with the case.
According to court documents and other information presented in court, Joyner, 46, was involved in a hit-and-run accident in Dare County. Deputies from the Dare County Sheriff’s Office with assistance by the Kill Devil Hills Police Department quickly located Joyner driving the truck involved in the accident and conducted a traffic stop on the vehicle. After deputies saw an open container of alcohol and suspected drug paraphernalia on the passenger seat of the truck, Joyner was removed from the vehicle. After a search of his person, deputies located a 9mm handgun with an extended magazine loaded with ammunition in his waistband. The gun had been reported stolen from Currituck County.
Joyner has many prior violent felony convictions, making him an Armed Career Criminal under federal law, including: Robbery by Force, Use of a Firearm in the Commission of a Felony, Robbery, and Robbery with a Dangerous Weapon. He also has prior convictions for Felony Attempted Grand Larceny from the Person, Fleeing or Eluding Arrest with a Motor Vehicle, Reckless Driving, and DUI.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Dare County Sheriff’s Office and the Kill Devil Hills Police Department investigated the case and Assistant U.S. Attorney Robert J. Dodson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:20-CR-00011-FL.
Wake County Man Sentenced to 6 Years in Federal Prison for Possessing Stolen Firearms as a FelonRead the Press Release
RALEIGH, N.C. – A Wake County man was sentenced today to 72 months in prison for possessing several stolen firearms as a felon. On October 4, 2021, Robert Cleveland Barham pled guilty to the charges.
According to court documents and other information presented in court, Barham, 30, possessed fourteen firearms that had been stolen from a self-storage unit in Wendell, North Carolina in January 2019. When he was arrested, Barham admitted to trading several of the firearms for heroin in Henderson, North Carolina. Barham had previously been convicted of felony breaking and entering and possessing a firearm as a felon in 2014. Barham was also convicted of felony breaking and entering, felony larceny and obtaining property by false pretenses in 2018.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Wake County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney John Parris prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00021-D.
Prior Federal Defendant Sentenced to More Than 34 Years After Jury TrialRead the Press Release
RALEIGH, N.C. – A Havelock man was sentenced today to 360 months in prison for conspiracy and distribution-related offenses involving over one kilogram of heroin. On June 30, 2021, Daryl Godette was convicted of all charges following a three-day jury trial.
According to court documents and other information presented in court, Daryl Lee Godette, 36, led a Havelock heroin distribution conspiracy for approximately one year from 2018 to 2019. Godette used a co-conspirator to deliver heroin, which Godette stored in a separate stash house. A search of the stash house revealed over a kilogram of heroin stored throughout, including in a child’s toy. When law enforcement approached Godette, he fled, leading them in a car chase before being apprehended.
At all relevant times, Godette was on federal supervised release for a prior federal drug conviction. He was sentenced to 57 months for the revocation of that supervised release, as well. U.S. District Judge Dever stated this was “extremely serious conduct” involving an “absolutely devastating drug.”
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Havelock Police Department, Carteret County Sheriff’s Office, and Drug Enforcement Administration investigated the case, and Assistant U.S. Attorneys Lucy Brown and John Parris prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:19-CR-82-D.
Bahamian Man Charged in False Claim to United States Citizenship, Passport and Voter FraudRead the Press Release
RALEIGH – Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina announced today that on November 16, 2021, a federal grand jury sitting in the Eastern District of North Carolina returned a sealed, ten-count indictment charging Garbant Piquant with passport fraud, voting by an alien, and falsely claiming to be a United States citizen in order to register to vote.
Garbant Piquant, 53, residing in Garner, was arrested on December 9, 2021 and will be presented before U.S. Magistrate Judge Robert T. Numbers, II today. The case is assigned to U.S. District Judge James C. Dever III.
According to court documents and other information presented in court, on October 6, 2014, Piquant applied for a renewal of his previously issued U.S. passport. The U.S. Department of State’s Diplomatic Security Service (DSS) initiated an investigation into the veracity of the Virginia birth certificate that Piquant had previously used to establish U.S. citizenship. Record checks with the Virginia Office of Vital Statistics indicated that the birth certificate was not on record with the Commonwealth of Virginia and had not been issued. Further investigation by DSS located a birth record for Piquant in the Bahamas, as well as U.S. Immigration records that reveled Piquant’s brother had previously filed a petition for lawful permanent residence on his behalf.
As a result of Piquant falsely claiming to be a U.S. citizen and being previously issued a U.S. passport on November 6, 2018, Piquant cast a ballot in Wake County for the primary election. Additionally, on February 11, 2019, Piquant submitted his fraudulently obtained U.S. passport and voter registration card to the North Carolina Division of Motor Vehicles in order to procure a Real Identification Driver’s License.
From November 2018, through November 2020, Piquant, voted in all Primary and General Elections, claiming that he was a U.S. citizen. Piquant cast ballots in person, early voting, and by using absentee ballots.
If convicted of Counts One or Three, passport fraud, Piquant faces up to ten years in federal prison and fines of up to $250,000 or both. If convicted of Counts Two, Seven or Ten, voting by alien, Piquant faces up to one year in federal prison and fines of up to $100,000 or both. If Piquant is convicted of counts Four, Six, or Nine, false claim of U.S. citizenship, Piquant faces up to three years in federal prison and fines up to $250,00 or both. If convicted of Counts Five or Eight, false statement and claim of U.S. citizenship in order to register to vote, Piquant faces up to five years in federal prison and fines up to $250,000 or both.
This case is being investigated by DSS, Homeland Security Investigations, and the North Carolina, Division of Motor Vehicles, License and Theft Bureau.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-417-01D.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Jury Convicts Former AT&T Employee of Conspiracy, Fraud, and Identity TheftRead the Press Release
NEW BERN, N.C. – A federal jury today convicted Alejandro Garlynn Williams, 40, of conspiracy, access device fraud, and aggravated identity theft, finding him guilty of all counts in the indictment against him.
According to court records and evidence presented at trial, Williams began working as a retail sales consultant at an AT&T store location in Fayetteville, North Carolina in March 2016. In that capacity, Williams’ responsibilities included activating AT&T customer accounts and selling cell phones for those accounts.
In October 2017, Williams was introduced to Anthony Jamison, a resident of Hamlet, North Carolina. Jamison was named as a co-conspirator in the indictment and previously pleaded guilty in this matter. Between October 2017 and January 2018, Williams and Jamison conspired to establish AT&T cellular accounts with the stolen personal identifying information (PII) of unwitting victims in North Carolina and South Carolina for the purpose of obtaining thousands of dollars’ worth of high-end cell phones for resale on the black market.
The evidence at trial established that Jamison would provide Williams with the victim PII, to include Social Security numbers and dates of birth, through text messages and other means. Jamison would then send various recruits into the AT&T store to meet with Williams to act as the “customer” for the surveillance cameras. Thereafter, among other things, Williams would use the stolen victim PII to run hard credit checks, activate lines of service in the victims’ names, and, ultimately, issue cell phones to the “customer” for resale by Jamison. To facilitate the conspiracy, Williams ensured the phones were activated and sold under financing plans that required little or no payment from the “customer” at the point of sale, but which made the victims personally liable for the devices without their knowledge. Many victims only learned of the scheme when they discovered AT&T bills addressed to them in the mail. During one particular transaction, for example, Williams used the stolen personal identifiers of a North Carolina victim to issue nine iPhone devices, valued at over $8,500, on installment plans created using that victim’s name and credit history. In total, the associated losses to AT&T as a result of the scheme, including phones and accessories, was in excess of $85,000.00.
Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina made the announcement after United States District Judge Louise W. Flanagan accepted the verdict. Assistant United States Attorney Adam F. Hulbig prosecuted the case on behalf of the government. The United States Secret Service was assigned to the investigation of the matter and received valuable assistance from AT&T’s asset protection unit.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-00547-FL-2.
Red Springs Man Sentenced to 10 Years for Firearm CrimeRead the Press Release
RALEIGH, N.C. – Jonathan Revels, 57, from Red Springs was sentenced today to 120 months in prison for possessing a firearm as a convicted felon. A federal jury convicted him in April of 2021.
According to court records and evidence presented at trial, on September 4, 2016, members of the Robeson County Sheriff’s Office and the Red Springs Police Department responded to shots fired at Kate Denny Road. During the investigation, officers learned that the defendant, Revels, was involved in the shooting, which resulted in the death of a male victim. Video evidence showed that Revels brought a firearm to the altercation, which was later recovered by law enforcement. Prior to this date, Revels had been previously convicted in federal court and sentenced to over a decade in federal prison.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Robeson County Sheriff’s Office, Red Springs Police Department, State Bureau of Investigation, and the Bureau of Alcohol Tobacco and Firearms investigated the case and Assistant U.S. Attorneys Chad Rhoades and Brandon Boykin prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:20-CR-20-BO.
Justice Department Awards More Than $17.5 Million to Support Project Safe NeighborhoodsRead the Press Release
WASHINGTON – The Department of Justice announced today that it has awarded more than $17.5 million in grants to support the Project Safe Neighborhoods (PSN) Program. Funding will support efforts across the country to address violent crime, including the gun violence that is often at its core. The North Carolina Gang Investigators Association was awarded $191,588 to administer the PSN grant funds in the Eastern District of North Carolina.
The Bureau of Justice Assistance, part of the department’s Office of Justice Programs (OJP), will administer the 88 grant awards, which are being made to designated fiscal agents to support local PSN projects that work in partnership with U.S. Attorneys’ Offices.
“This latest Project Safe Neighborhoods grant is critical to addressing the violent crime threatening cities and towns all across our country,” said Deputy Attorney General Lisa O. Monaco. “Ensuring the safety of all Americans is the highest priority for the Department of Justice, but when it comes to violent crime, there is not a one-size-fits-all solution. We have to work closely with local public safety agencies as well as community organizations to craft individual strategies unique to each community’s needs. Programs like Project Safe Neighborhoods and the funding it provides allow us to do just that.”
“We will continue to work with our Federal, State and local law enforcement partners to identify and strategically prosecute the drivers of violent crime in our communities,” stated United States Attorney Michael F. Easley, Jr. “We will continue to build on existing programs to prepare those who have paid their debt to society to reenter their communities constructively and reduce recidivism within the criminal justice system. We will also work with our communities to educate youth about the consequences of resolving disputes with firearms in addition to offering youth positive interactions with law enforcement and mentorship programs.”
Grant funds will be used to combat violent crime across the Eastern District of North Carolina by enhancing law enforcement partnerships, supporting our community partners, and our research partner who will measure our effectiveness.
“Investing in our communities, supporting victims and building a justice system that both keeps people safe and earns their trust – these are mutually reinforcing goals that stand at the heart of Project Safe Neighborhoods,” said Principal Deputy Assistant Attorney General Amy L. Solomon for OJP. “The Office of Justice Programs is pleased to join with our U.S. Attorneys’ Offices, and with jurisdictions across the country, as we work together to meet the challenges of crime and violence and achieve our shared aspirations of public safety and community trust.”
In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime issued by Deputy Attorney General Monaco, is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
This fall, U.S. Attorney’s Offices across the country have enhanced their violent crime reduction efforts to ensure alignment with the department’s comprehensive violent crime reduction strategy. U.S. Attorneys’ Offices have engaged in outreach to law enforcement and other agencies and organizations serving communities to identify the most significant drivers of violence in their districts. Working together with a broad coalition of stakeholders, the U.S. Attorneys’ Offices are addressing the most pressing violent crime issues in their district to make our neighborhoods safer for all.
PSN programs are led by U.S. Attorneys’ Offices in collaboration with local public safety agencies, community stakeholders and other agencies and organizations that work to reduce violent crime.
For a list of all grantees, please visit: LINK HERE.
Greenville Man Sentenced to 15 Years in Prison for Federal Firearms ChargeRead the Press Release
RALEIGH, N.C. – A Greenville man was sentenced today to 180 months in prison for possessing multiple firearms as a convicted felon in violation of federal law. On September 1, 2021, Errol Rahnell Taheim Baston pled guilty.
According to court documents and other information presented in court, Baston, 37, was found to be in possession of three firearms despite being a convicted felon. On April 19, 2021, the Greenville Police Department’s (GPD) Violent Criminal Apprehension Team (VCAT), Emergency Response Team (ERT), Drone Unit and K-9 Unit, responded to 3816 Sterling Pointe Drive to serve arrest warrants on Baston for Attempted First Degree Murder, Second Degree Kidnapping, Assault by Strangulation and Assault on a Female. Greenville Police received information that Baston held a female subject against her will inside the residence, assaulted her, and attempted to drown and kill her in front of her children. Greenville Police also learned that Baston had access to multiple firearms and was known to randomly discharge his firearms in his backyard.
GPD positioned an armored rescue vehicle (ARV) and public speaker system in front of Baston’s residence. Despite GPD’s multiple attempts to convince Baston to exit the residence, he refused to do so and a standoff ensued. ERT officers observed Baston moving throughout the house and looking through blinds. During the standoff, assets deployed by GPD’s Drone Unit captured Baston standing in his back-patio area attempting to hide an AR-15 style rifle under the fence into the adjacent residence’s patio.
At this point, ERT officers breached the front door and Baston fled on foot from the residence out the back door. Baston ran about 100 yards before a K9 officer detained him and Greenville Police arrested him. The entirety of the response and chase was captured on the drone video.
Following Baston’s arrest, VCAT detectives and officers executed a search warrant on the residence. Inside Baston’s residence, GPD recovered multiple loaded firearms and ammunition, including one 5.56 caliber semi-automatic rifle, one 12-gauge shotgun, one .40 caliber handgun, and over 60 rounds of ammunition. Officers also recovered two spent rifle shell casings in the patio area and clumps of the female subject victim’s hair that was apparently pulled out by Baston during the assault.
On April 21, 2021, agents with the Bureau of Alcohol, Tobacco, and Firearms (ATF) arrested Baston on a federal firearms charges after they applied for and secured a criminal complaint from United States Magistrate Judge Kimberly A. Swank.
Baston was sentenced as an Armed Career Criminal due to three prior felony convictions for violent crimes, including First Degree Robbery – Use of a Dangerous Weapon, First Degree Robbery – Use of a Dangerous Instrument, and Assault with Intent to Cause Serious Physical Injury.
U.S. Attorney Michael F. Easley, Jr. commented: “The United States Department of Justice and the United States Attorney’s Office for the Eastern District of North Carolina are relentlessly pursuing violent offenders and combatting domestic violence. This sentence reflects the shared commitment between our office and our federal and local law enforcement partners to protect our communities from violent crime.”
“Felons and career criminals in possession of firearms are a serious threat to the community and a major concern for law enforcement,” said ATF Special Agent in Charge Vince Pallozzi. “ATF is proud to have been a part of this collaborative effort to bring this violent individual to justice and better the safety in this community.”
Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Greenville Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney Aakash Singh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:21-CR-37-BO.
Former Bureau of Prisons Correctional Officer Sentenced to Federal Prison for BriberyRead the Press Release
WILMINGTON, N.C. – A Cameron man was sentenced to 15 months in prison for Bribery of a Public Official. On July 8, 2021, Casey Covington pled guilty to the charge.
According to court documents and other information presented in court, Covington, 46, was employed by the Federal Bureau of Prisons at the Federal Correctional Institution in Butner, North Carolina (FCI Butner) as a correctional officer when he was bribed by three inmates to smuggle contraband into the prison. Specifically, from 2019 to 2020, the inmates, Christopher Lee Davis, Antonio Demond Byers, and Robert Henry Huitt, used their contacts outside the prison to pay Covington over $31,000. A review of Covington’s financial records revealed the payments which originated from the inmates outside contacts. In exchange, Covington used his position as a correctional officer to smuggle marijuana, cell phones, alcohol and tobacco into FCI Butner and then deliver the contraband to Davis, Byers, and Huitt. In May 2020, authorities at Butner recovered two cell phones and marijuana from the cell shared by Davis and Byers. Later in October 2020, officers recovered a cell phone from inmate Huitt.
On July 21, 2021, Huitt pled guilty to Possession of Contraband in Prison and was sentenced to an additional six months’ imprisonment consecutive to the sentence he is currently serving.
On September 21, 2021, Byers pled guilty to Possession of Contraband in Prison and Aiding and Abetting. Sentencing is pending.
On October 6, 2021, Davis also pled guilty to Possession of Contraband in Prison and Aiding and Abetting. He is also pending sentencing.
Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The U.S. Department of Justice, Office of Inspector General (OIG), and the Federal Bureau of Prisons’ Office of Internal Affairs investigated the case and Assistant United States Attorney Robert J. Dodson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-00085-M.
Former Army Soldier Sentenced to 10 Years in Child Pornography CaseRead the Press Release
RALEIGH, N.C. – A United States Army soldier was sentenced today to 120 months in prison and five years of supervised release for Possession of Child Pornography. On September 30, 2021, Nicolas Antonio McElrath, 24, pled guilty to the charges.
According to court documents and other information presented in court, in September 2020, Army Criminal Investigation Division (CID) officers received a cybertip from the National Center for Missing and Exploited Children (NCMEC). NCMEC flagged a file for potentially containing child pornography that had been uploaded via a social media site and forwarded the information to law enforcement. The user of the particular social media account was tracked back to McElrath.
On November 10, 2020, a search warrant was obtained and executed for McElrath’s digital devices. A cellular device was seized from McElrath’s person and other older cellular devices were seized from his residence. McElrath was interviewed after being advised of his Miranda rights and admitted to being in possession of child pornography. He further admitted having a sexual interest in children.
McElrath’s digital devices were forensically analyzed, and agents found multiple photos and videos that depicted child sexual abuse material. In addition, agents found photos that depicted McElrath sexual abusing a child.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing by U.S. District Judge Terrence W. Boyle. Army CID investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 21-CR-00283-BO.
Woman Sentenced for Aggravated Identity Theft and Mail FraudRead the Press Release
RALEIGH, N.C. – A Winston-Salem woman was sentenced today to 28 months incarceration, two years supervised release and a $7,005.00 in restitution for impersonating the identity of two victims. On August 24, 2021, Melanie Alecia Ruona pled guilty to two counts of a six-count indictment charging her with Aggravated Identity Theft and Mail Fraud.
According to court documents and other information presented in court, Melanie Alecia Ruona, 34, and others perpetrated a scheme to illegally access the North Carolina Division of Motor Vehicles’ computers and steal the identities of the individuals she accessed. By doing this Rouna was responsible for stealing the identity of two victims. Rouna used the identity of one of the victims to open a credit account at a local department store in Greensboro and purchased $4,071.50 in goods. Rouna also applied for unemployment benefits in the identity of the victim for a loss of $2,934 to North Carolina Division of Employment Security.
In October of 2020, the North Carolina Division of Motor Vehicles, License and Theft Bureau in conjunction with the U.S. Secret Service and the U.S. Postal Inspection Service, identified a criminal scheme involving multiple individuals who had assumed the identities of hundreds of victims and then perpetrated various crimes using the victims’ identity.
Rouna is the fourth defendant to be prosecuted in the Eastern District based on similar schemes to illegally access the North Carolina Division of Motor Vehicles computers, that were identified previously.
Michael F. Easley, Jr. U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Task Force comprised of the North Carolina Division of Motor Vehicles, License and Theft Bureau, U.S. Secret Service, and U.S. Postal Inspection Service investigated the case and Assistant U.S. Attorney Gabriel Diaz prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-202-1BO, 5:21-CR-339-1D, 5:21-CR-284-FL, and 5:21-CR-338-1FL.
Rocky Mount Bloods Gang Member Sentenced to 65 Months in Prison for Firearms and Heroin Distribution ChargesRead the Press Release
RALEIGH, N.C. – A Rocky Mount man was sentenced yesterday to 65 months in federal prison for possessing a firearm as a convicted felon and distributing fentanyl, heroin, and cocaine. On September 17, 2021, Cedrick Charles Williams pled guilty to Conspiracy to Distribute and Possess with the Intent to Distribute Heroin, Possession of a Firearm by a Convicted Felon, Possession with the Intent to Distribute a Quantity of Heroin and Cocaine, Distribution of a Quantity of Heroin, Distribution of a Quantity of Heroin and Aiding and Abetting, and two counts of Possession with the Intent to Distribute a Quantity of Heroin and Aiding and Abetting.
According to court documents and other information presented in court, between November 2019 and February 2020, the Nash County Sheriff’s Office, the Rocky Mount Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), investigated the drug trafficking activities of Williams, 33, a validated member of the Bloods street gang.
On November 22, 2019, detectives with the Rocky Mount Police Department observed Williams arriving by car at a house in Rocky Mount known for illegal narcotics sales. After conducting what appeared to be a drug transaction, Williams left the residence. Officers with the Rocky Mount Police Department stopped the vehicle for multiple traffic violations and encountered Williams, who refused to provide identification and became increasingly uncooperative. Officers conducted a probable cause search of the vehicle and recovered $4,891 in cash, and a loaded handgun. Williams was also found to be in possession of over 20 grams of cocaine and 21 individual doses of a mixture of heroin and fentanyl.
Between February 5 and 17, 2020, narcotics investigators with the Nash County Sheriff’s Office utilized a confidential informant to purchase 28 individual doses of heroin from Williams. Law enforcement quickly learned that Williams made frequent trips to Henderson, North Carolina, to obtain narcotics. On February 20, 2020, deputies with the Nash County Sheriff’s office stopped William’s vehicle during one of these trips as he was returning to Rocky Mount from Henderson. Also present in the vehicle were William’s wife and two minor children. Investigators recovered 100 doses of a mixture of heroin and fentanyl from Williams.
The next day, on February 21, 2020, narcotics detectives with the Rocky Mount Police Department stopped Williams and his wife on another trip back from Henderson. Law enforcement recovered 201 doses of a mixture of heroin and fentanyl from Williams.
Prior to November 2019, Williams had prior felony convictions for Conspiracy to Commit Breaking and Entering and Larceny, and Discharging a Firearm into an Occupied Property, and was prohibited from possessing firearms. Williams also had prior convictions for Assault on a Government Official, Assault on a Female, and Assault and Battery.
U.S. Attorney Michal F. Easley, Jr. commented: “The Department of Justice and the United States Attorney’s Office for the Eastern District of North Carolina are aggressively combatting drug traffickers and violent gang members. This sentence reflects the coordinated efforts by dedicated federal and local law enforcement agents to protect our community from those who sell heroin and fentanyl on our streets.”
Nash County Sheriff Keith Stone commented, “The collaboration and partnership combined with the exceptional training and dedication the deputies and investigators displayed in this case and others is what reduces crime and makes our communities safer.”
"Our mission here at the Rocky Mount Police Department is to improve the quality of life in the city of Rocky Mount by building partnerships to reduce crime. We value the continued partnership with our Federal Law Enforcement agencies, who assist us in creating a safe environment for all citizens who reside and visit Rocky Mount, NC. The Rocky Mount Police Department will continue to work closely with Federal, State, and Local law enforcement agencies while providing the highest level of police services to the citizens of Rocky Mount," said Rocky Mount Police Chief Robert Hassell.
Michael F. Easley, Jr., United States Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge W. Earl Britt. The Nash County Sheriff’s Office, the Rocky Mount Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case and Assistant U.S. Attorney Aakash Singh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-468-BR.
Leader in Synthetic Identity Fraud Ring Sentenced to Prison for Bank FraudRead the Press Release
RALEIGH, N.C. – A Knightdale man was sentenced to 100 months in prison, and 5 years of supervised release and ordered to make restitution in the amount of $412,885.17, on a charge of Bank Fraud and Aiding and Abetting, in violation of Title 18, United States Code, Sections 1344 and 2.
United States Attorney Michael F. Easley, Jr. stated, “Defendant Michael Griffin was the leader of an organized scheme to use stolen and synthetic identities to defraud numerous banks. As a part of his scheme, the defendant roped in and used many of his family members and clients, who are now paying the price for their involvement. This case is a cautionary tale to the public: If someone offers to get you an alternate social security number, credit profile number, (‘CPN’) so that you can open credit lines or obtain loans – they are inviting you to participate in a crime. Don’t do it. It could land you in federal prison.”
The indictment charged that defendant Michael Griffin (“Griffin”), operating from his business location in Raleigh and home in Knightdale, accepted fees from clients for alleged credit repair services. The indictment alleged that, in reality, Griffin was creating fictitious credit profiles and fraudulently altering client credit data through the use of fictitious police reports.
The indictment further charged that various defendants, many of whom were family, conspired with Griffin to defraud Synchrony Bank, a Lowe’s credit card provider, by opening credit accounts in the name of fraudulent identities, cashing out the accounts through prepaid card purchases, and then defaulting on the credit accounts. The indictment also charged various defendants with similar frauds against other banks, including Capital One and Discover.
On August 24, 2021, Griffin pled guilty to Count 14 of the Second Superseding Indictment, which charged that the defendant, in cooperation with codefendant Jasper Goodman, defrauded Synchrony Bank on a credit account in the name of Michael Jones. Count 14 further alleged that the defendant and Goodman created the identity using a stolen social security number, and that the two used the fraudulent credit account between February and November of 2018.
Although Griffin pled guilty to only one count, at the sentencing today, Griffin was held accountable under the advisory United States Sentencing Guidelines for intended losses and fraudulent gains of more than $3.4 Million. He was also ordered to make restitution for identifiable losses totaling $412,885.17.
In connection with this case, many of Michael Griffin’s codefendants were sentenced by the court earlier this year. These included Regina Griffin (Griffin’s sister), Sharon Annita Edmond (Griffin’s sister), Creshun Alexandria Griffin (Griffin’s daughter), Katina Griffin Perry (Griffin’s sister), Harvey Griffin (Griffin’s brother), Angela Griffin (Griffin’s wife), Melvin Griffin (Griffin’s brother), Jasmine Mariah Davis (Griffin’s client); Tyrone Edmonds (Griffin’s client), and Shawn Allen Farmer (Griffin’s business associate).
Codefendant Jasper Deonta Goodman will be sentenced for his role in the fraud tomorrow, December 9, 2021. Goodman previously pled guilty to Bank Fraud. The maximum punishment for Bank Fraud, a violation of Title 18, United States Code, Section 1344, is not more than 30 years imprisonment.
Michael F. Easley, Jr., the United States Attorney for the Eastern District of North Carolina made the announcement. The investigation was conducted by the Internal Revenue Service Criminal Investigation with the assistance of the United States Marshals Service and the United States Postal Inspection Service. Assistant United States Attorney William M. Gilmore represented the United States.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-245-1D(2).
Fort Bragg Soldier and Marriage Fraud Beneficiary Sentenced for Visa Fraud, False Statements in Immigration ProceedingsRead the Press Release
RALEIGH, N.C. – A soldier from Fayetteville who engaged in a sham marriage with a United States citizen was sentenced today to time served in prison. On October 20, 2021, Maryam Movsum Hasanova pled guilty to one count of visa fraud. She was also ordered to be promptly deported from the United States and to pay $41,511.06 in restitution to the United States Army.
According to court documents and other information presented in court, Hasanova, 35, a citizen of Azerbaijan, entered the United States as an exchange visitor. Shortly after that status expired in March 2014, Hasanova was introduced to a United States citizen, who was paid approximately $15,000 to marry Hasanova in exchange for her lawful permanent resident card (“green card”). Hasanova and the United States citizen were married in New York in October of 2015.
Thereafter, Hasanova and the United States citizen submitted fraudulent applications to United States Citizenship and Immigration Services (USCIS) requesting Hasanova’s adjustment of status as a lawful permanent resident in the United States. Hasanova and the U.S. citizen were interviewed at the USCIS office in New York, NY. Both attested under oath they were married in good faith. As a result of the interview, USCIS approved the application and granted Hasanova lawful permanent residency. Once Hasanova obtained her green card and joined the U.S. Military, she began collecting U.S. Military Basic Allowance for Housing (BAH) at the married rate.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle.
“Hasanova’s schemes to circumvent the law have failed and now she will face accountability for her actions,” said Special Agent In Charge Ronnie Martinez, who oversees Homeland Security Investigations (HSI) operations in North Carolina and South Carolina. “Protecting the integrity of the nation’s immigration system is of vital importance and HSI prioritizes this mission.”
The case was investigated by Homeland Security Investigations, Federal Bureau of Investigation, Joint Terrorism Task Force, in Fayetteville, NC, and was assisted by US Army Criminal Investigation Division, and the Fraud Detection and National Security unit of USCIS.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:21CR00236-BO.
Former Ft. Bragg Employee Pleads Guilty to BriberyRead the Press Release
WILMINGTON, N.C. – A Sanford man pleaded guilty today for receiving bribes in his role as a flooring technician while employed at Ft. Bragg.
According to court documents, Edward Wade Crisco was a flooring technician assigned to the Operations and Maintenance Division, Directorate of Public Works (DPW) at Fort Bragg, NC. To obtain services, a Ft. Bragg facilities user submits a request for a repair or service of a facility, such as a roof leak, damaged floor, or plumbing issue to the DPW. The request creates a Demand Maintenance Order (DMO) that is forwarded to the appropriate commodity section. The DMO is assigned to a DPW technician that specializes in a certain trade, such as roofing, flooring, plumbing, or carpentry. The DPW technician assesses the issue to determine if they can complete the repair or service themselves within the time allotted, or certifies that because of manpower, needed expertise, or particular equipment needs a contractor should undertake the work. If a contractor is to be used for the work, the technician submits a request for a Contract to the work leader. If the work is estimated to cost under $2,500, the approved Contract is forwarded to a DPW purchasing agent who hires a contractor to complete the work. The technician who requested the Contract would inspect and certify the work upon completion. Once the technician inspected and certified the contractor’s work, the purchasing agent would pay the contractor using a government purchase card.
From 2011 into 2019, Crisco received bribes ranging from $20 to $100 per DMO from various vendors contracting with DPW, Ft. Bragg, to request contracts be assigned to those specific vendors and to approve and sign off favorably on their work once completed.
“Any ‘pay-to-play’ culture encouraged by government employees at Ft. Bragg stops now,” Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, said. “The public is well-served by solid investigative work by law enforcement, combined with our prosecutorial resources, in bringing this to an end.”
"The Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS) is committed to protecting the integrity of the Department of Defense (DoD) procurement system," said Special Agent in Charge Christopher Dillard, DCIS, Mid-Atlantic Field Office. "Today’s guilty plea demonstrates our determination, alongside our law enforcement partners, to bring swift action against those who subvert the DoD contracting process for their own gain, violating the trust of the American taxpayer."
"The defendant made a bad choice to engage in a bribery scheme," said Frank Robey, Special Agent-in-Charge of the U.S. Army Criminal Investigation Division's Major Procurement Fraud Unit. "MPFU, along with our law enforcement partners, will continue to use every available tool to combat and prevent people from exploiting the government contracting system for their personal benefit."
Crisco pleaded guilty to receiving bribes, in violation of 18 U.S.C. § 201. Tentatively set for sentencing in March 2021, Crisco faces a maximum penalty of 180 months in prison. He agreed to forfeit $150,000 proceeds from his crime.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief United States Judge Richard E. Myers II, accepted the plea. Defense Criminal Investigative Service and the U.S. Army Criminal Investigative Division, Major Procurement Fraud Unit, are investigating the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-CR-328-FL.
Rocky Mount Man Arrested for Allegedly Buying and Selling Guns to FelonsRead the Press Release
GREENVILLE, N.C. – A Rocky Mount man was arrested yesterday on charges of selling firearms to felons and making false statements to federally licensed firearms dealers to purchase the firearms.
According to court documents, Kyristepher Wilford, 24, allegedly purchased firearms and then sold the firearms to convicted felons. Wilford also allegedly made false statements on the forms required to purchase the firearms, stating that he was the intended buyer or transferee of the guns when he was actually purchasing the guns for other people. The crimes are alleged to have occurred from February 2019 through June 2020.
Wilford is charged with two counts of selling or otherwise disposing of a firearm knowing and having reasonable cause to believe such a person is prohibited; two counts of knowingly making a materially false statement to a federally licensed firearms dealer while purchasing a firearm; and one count of engaging in the business of dealing firearms without a license. Wilford faces up to 45 years in prison if convicted.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement. The Bureau of Alcohol, Firearms, Tobacco and Explosives and the Rocky Mount Police Department are investigating the case and Assistant U.S. Attorney John Parris is prosecuting the case.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-cr-00126-D.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Fugitive Sex Offender Found in Washington, NC Sentenced for Failing to RegisterRead the Press Release
RALEIGH, N.C. – A New Jersey man who was on the run for almost two years was sentenced today to 37 months in prison for Failure to Register as a Sex Offender.
According to court documents, Gregory Dennis Dayton, 49, was charged with one count of Failure to Register as a Sex Offender, in violation of 18 U.S.C. § 2250. Dayton pled guilty on August 30, 2021.
In 1998, Dayton was convicted of Endangering the Welfare of a Child in New Jersey after impregnating a minor. Dayton’s sentence included a lifetime requirement to register as a sex offender. Dayton has a lengthy criminal history with numerous prior felony convictions, including two prior convictions for Failing to Register as a Sex Offender. Dayton last registered in New Jersey in September 2018 and fled the area sometime after, resulting in a May 2019 arrest warrant. The U.S. Marshals Service (“USMS”) Carolinas Regional Fugitive Task Force (CRFTF) received the case on November 16, 2020 and apprehended Dayton the next day, in Washington, NC, where Dayton was living with a girlfriend and her minor daughter. In open court, the government explained that, while in custody, Dayton admitted that, if released, he could not return to the residence because of the minor daughter. However, due to the COVID-19 pandemic, New Jersey declined to extradite Dayton and, as a result, he was released and went right back to living with his girlfriend and the minor daughter while continuing to ignore his requirement to register as a sex offender. Dayton was arrested on the federal charges in April 2021.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The U.S. Marshals Service, Eastern District of North Carolina, Carolinas Regional Fugitive Task Force investigated the case and Assistant U.S. Attorney Bryan Stephany prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:21-CR-00025-D.
Harell Jamison, Former Substance Abuse Counselor at Ft. Bragg, Arrested for Sexual Contact Without Consent and Sexual Activity by a CustodianRead the Press Release
RALEIGH, N.C. – Harell Jamison, age 47, who was a substance abuse counselor for Substance Use Disorder Clinical Care (SUDCC) at Womack Army Medical Center, was arrested on November 22, 2021, in Raleigh for Sexual Contact without Consent and Sexual Activity by a Custodian pursuant to an indictment by a federal grand jury on November 2, 2021. The indictment alleges that Jamison touched an individual in the genitalia, groin, and inner thigh without her permission on July 14, 2021. This touching occurred on Ft. Bragg Military Reservation and while Jamison was an employee of Womack Army Medical Center, an institution having custody of the individual.
If convicted of the Sexual Contact without Permission count, Jamison faces a maximum imprisonment term of not more than two years, a $250,000 fine, and a term of supervised release following any term of imprisonment. If convicted of the Sexual Activity by a Custodian count, Jamison faces a maximum imprisonment term of not more than 88 months, a $250,000 fine, and a term of supervised release following any term of imprisonment.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, made the announcement. U.S. Army Criminal Investigation Division is investigating the case.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Michael F. Easley, Jr. Sworn in as United States AttorneyRead the Press Release
RALEIGH, N.C. – Michael F. Easley, Jr. has taken the oath of office to become the United States Attorney for the Eastern District of North Carolina. Mr. Easley was nominated by President Joseph R. Biden Jr on September 28, 2021 and confirmed by the United States Senate on November 19, 2021. He took the oath of office from United States District Judge James C. Dever III.
Mr. Easley stated, “It is an honor and a privilege to serve the people of the Eastern District of North Carolina as United States Attorney. I am grateful to President Biden for this opportunity, and I want to thank Senators Richard Burr and Thom Tillis for their strong support through the confirmation process.”
As U.S. Attorney, Mr. Easley is the top-ranking federal law enforcement official in the Eastern District of North Carolina, which includes the 44 eastern most counties of North Carolina. He oversees a staff of 119 employees, including 58 attorneys and 61 non-attorney support personnel. The office is responsible for prosecuting federal crimes in the district, including crimes related to terrorism, public corruption, child exploitation, firearms, and narcotics. The office also defends the United States in civil cases and collects debts owed to the United States.
Mr. Easley was a partner in McGuire Woods LLP prior to his appointment and was a litigator focused on internal investigations and trial court work in state and federal courts. He represented businesses and individuals in complex, high-stakes civil, criminal, and regulatory matters. He has handled matters involving a wide range of topics, including criminal law, environmental, consumer protection, business torts, professional negligence, government contracting, as well as matters involving financial services and securities.
In addition to his practice in the courts, he has advised clients facing inquiries by the United States Department of Justice, North Carolina Ethics Commission, and matters before other governmental regulatory bodies.
Born in Southport, North Carolina, Mr. Easley attended the University of North Carolina where he graduated with honors and distinction in political science. He later received his law degree with honors from the University of North Carolina School of Law. While still in law school, Mr. Easley frequently prosecuted cases on behalf of the District Attorney’s office as an extern in the 10th Judicial District.
In addition to his work at McGuireWoods, Mr. Easley contributed time to various bar and community organizations. He served as a member of the Board of Visitors of the University of North Carolina. He was also a member of the Criminal Justice Section Council and the Integration, Equity & Equal Justice Task Force of the North Carolina Bar Association. Mr. Easley also served as a mentor in the Leadership Council on Legal Diversity’s Success in Law School Mentoring Program.
Wake County Man Convicted of Firearm Offense in Connection with High-Speed Chase and ShootingRead the Press Release
RALEIGH, N.C. – Cedrick Tyler Armstrong, 36, of Zebulon, NC was convicted in federal court yesterday of possession of a firearm by a convicted felon following a two-day jury trial.
On October 12, 2018, an investigator with the Wendell Police Department conducted a traffic stop of a vehicle with two occupants, and Armstrong was the front seat passenger. After a baggie from the glove box field-tested positive for cocaine, police tried to remove the driver and Armstrong from the vehicle. A struggle ensued and the Investigator was able to secure one handcuff to the driver’s left arm before the vehicle fled the stop, dragging the Investigator approximately 25 feet. The Investigator sustained injuries but was able to pursue the vehicle along with other Wendell Police Officers. The vehicle led law enforcement on a high-speed chase through multiple counties reaching speeds in excess of 100 miles. Several minutes into the chase, approximately nine shots were fired from the passenger side of the vehicle at the lead pursuit officer, and the chase was terminated shortly thereafter for public and officer safety. A search of the area where the shots were fired located a spent 9mm shell casing.
Armstrong and the driver avoided law enforcement for several hours but were located later that night at a residence on Beauty Avenue in Raleigh, NC where they were arrested. A subsequent search of the residence found a 9mm handgun with an extended magazine in the reservoir of the toilet. Forensic examination of the gun and a shell casing recovered from the area where the shots were fired confirmed that the gun found at the residence on Beauty Avenue fired that casing. The handcuffs, a handcuff key, drugs, and the vehicle keys were also recovered from the residence on Beauty Avenue where the driver and Armstrong were apprehended. Additionally, Investigators executed a search warrant on the vehicle after it was recovered and found another 9mm round matching the same make and caliber of the ammunition found with the gun at Beauty Avenue and the shell casing recovered from the scene of the shooting. A review of Armstrong’s phone also recovered text messages in which he admitted to shooting at law enforcement. Armstrong faces a sentence of up to ten years in prison. The driver is facing state charges.
Acting United States Attorney, G. Norman Acker, III, made the announcement following the trial held before United States District Judge James C. Dever, III. Wendell Police Department investigated the case with the assistance of the Wake County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), the Raleigh Police Department, the Johnston County Sheriff’s Office, and the Zebulon Police Department. Assistant U.S. Attorneys Dave Fitzgerald and Bryan Stephany prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-CR-00450-D.
North Carolina E-Waste Business Owner Pleads Guilty to Unlawfully Storing Hazardous WasteRead the Press Release
NEW BERN, N.C. – A Greenville man pleaded guilty yesterday to Knowing Storage of Hazardous Waste Without a Permit, in violation of Title 42, United States Code, Section 6928(d)(2)(A).
According to the Criminal Information, and information provided in open court today, Lee Vann Crawford, 51, of Greenville, owned and operated Eastern Electronics Recycling, USA in eastern North Carolina. Eastern Electronics was a company that purported to be engaged in the responsible collection and disposal of e-waste, such as televisions, computer monitors, and other electronic equipment.
Old televisions and computer monitors contain cathode ray tubes (CRTs) which, when improperly maintained and stored, can release toxic levels of lead. Waste containing lead content of five milligrams per liter is considered “hazardous waste.”
As early as 2012, Crawford began collecting and storing large volumes of e-waste, including large amounts of CRTs, at 800 W. Green Street in Robersonville, NC, within Martin County. Much of the waste at this location had been scrapped or otherwise broken down into smaller parts. CRTs had also been shattered, releasing lead. Crawford did not obtain or maintain a permit from the United States Environmental Protection Agency (EPA), or from the State of North Carolina, to store the CRTs at this location. Crawford also did not recycle or otherwise properly dispose of the CRTs.
In June of 2019, the EPA executed a search warrant at Crawford’s storage location found a large quantity of shattered CRTs. Samples of waste were extracted from various locations on the property, yielding findings of hazardous amounts of lead -- 102 to 188 milligrams per liter.
The maximum punishment for Knowing Storage of Hazardous Waste Without a Permit is up to 5 years in prison and a fine of up to $50,000 per day of the violation. The sentencing for the Crawford is scheduled to occur in February of 2022.
“The illegal storage and disposal of Cathode Ray Tube waste (CRT) containing hazardous amounts of Lead contamination needlessly put the lives of the resident of Martin County, NC, and general public at an increased risk to Lead exposure,” said Special Agent in Charge Charles Carfagno of EPA’s Criminal Investigation Division in Atlanta, GA. “Today’s plea agreement related to that illegal activity demonstrates that anyone who intentionally violates the law and puts the public at risk will be held responsible for their actions.”
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement. The investigation was conducted by the United States Environmental Protection Agency Criminal Investigative Division and the North Carolina State Bureau of Investigation. Assistant United States Attorney William M. Gilmore represents the United States.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-245-1D(2).
Armed Nash County Fentanyl and Heroin Trafficker Sentenced to 15 Years in PrisonRead the Press Release
WILMINGTON, N.C. – A Rocky Mount, North Carolina man was sentenced today to 180 months in prison and five years of supervised release for conspiracy to distribute and possession with intent to distribute 1,000 grams or more of heroin and a quantity of fentanyl; possession with intent to distribute a quantity of heroin and fentanyl; and possession of a firearm in furtherance of a drug trafficking crime.
According to court documents, James Otis Davis, Jr., 33, was named in an Indictment filed on December 16, 2020. On September 21, 2021, Davis entered a plea of guilty.
In July 2019, agents learned that the defendant was selling heroin and fentanyl from hotel rooms in Rocky Mount, North Carolina.
On September 16, 2019, agents conducted a controlled purchase of heroin, fentanyl, and cocaine from Davis.
Agents then executed a search warrant at the hotel room where the controlled purchase took place. Davis and his 8-month-old child were present. During the execution of the search warrant, agents seized 33 bindles of heroin and fentanyl, cocaine, a digital scale, currency, and a loaded .380 caliber handgun.
On May 6 and June 4, 2020, agents conducted additional controlled purchases of heroin from Davis. On June 4, 2020, agents executed a search warrant on the hotel room Davis was using, and the agents seized 14.52 grams of heroin, cocaine, and a 9mm handgun.
On July 2, 2020, a traffic stop of Davis’s vehicle was conducted. Davis was found in possession of six bindles of heroin and fentanyl.
Davis admitted that he had trafficked more than a kilogram of heroin over the course of approximately six years.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement. The Nash County Sheriff’s Office investigated the case and Assistant U.S. Attorney Scott A. Lemmon prosecuted the case.
This case is also part of the United States Attorney’s Office’s Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For additional information about this initiative, click here https://www.justice.gov/usao-ednc/tbnc.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case number 5:20-CR-538-M-1.
Raleigh Real Estate Developer Sentenced to Decade in Prison for Real Estate Ponzi Scheme and Firearm Possession ChargesRead the Press Release
RALEIGH, N.C. – A Raleigh man was sentenced today to ten years in prison on charges of Wire Fraud, in violation of Title 18, United States Code, Section 1343, and Possession of a Firearm by a Felon, in violation of Title 18, United States Code, Section 922(g). The defendant was also ordered to serve three years of supervised release and to pay restitution to victims in the total amount of $1,771,382.25.
According to court documents and arguments made in court today, Joshua Matthew Houchins, 36, owner of various Raleigh real estate development companies, carried out a Ponzi scheme upon numerous local real estate investors. Houchins also possessed a rifle and several rounds of ammunition after having been convicted of a felony.
According to the superseding indictment, between 2014 and 2018, Houchins owned and operated Rossshire Development LLC, Greenstone Ventures LLC, and Modern South Development LLC, and used these entities to carry out a fraud upon his real estate development investors. Specifically, Houchins solicited investment monies by telling victims that their money would be “put to work” on a specific property, and further represented that the investments would be secured by deeds of trust filed with the county register of deeds. In fact, Houchins did not put all of the investor funds to work on the property on which the investor was solicited to invest, and instead, regularly used investor funds on other properties, or on personal expenses. Likewise, the investor promissory notes were not secured by a deed of trust as promised. In some instances, Houchins did not even own the property that was the subject of the investment, and, as such, could not truthfully grant a deed of trust to the investor.
The indictment alleges that after Houchins diverted investor money away from the property on which the funds were supposed to be spent, Houchins failed to develop and sell the properties, as he represented he would. Houchins then defaulted on the notes by failing to pay investors their promised returns. The investors were unable to foreclose upon the investment properties because Houchins had not secured the promissory notes with a deed of trust filed, thereby resulting in losses to the investors. Houchins specifically pled guilty to Count Nine, which alleged one instance of the above-described fraud on January 6, 2017. As a part of the plea, Houchins agreed to make restitution to all victims for losses arising from the scheme and related schemes.
According to the second part of the superseding indictment, the grand jury began to investigate Houchins in 2018 concerning the aforementioned offenses. Following the issuance of subpoenas to his attorney and to his various real estate companies, Houchins only produced a small number of documents to the grand jury. Instead, the indictment alleges that Houchins admitted in February 2020 letter that he had “destroyed all of the evidence.”
The superseding indictment also alleges that Houchins, who had recently separated from his wife, began to send her harassing messages. The indictment alleges that Houchins’ wife obtained a Domestic Violence Order of Protection (DVPO) barring Houchins from contacting, threatening, or harassing his wife. While Houchins was already prohibited from possessing a firearm due to his status as a convicted felon, the DVPO further prohibited Houchins from possessing a firearm.
The superseding indictment then alleges that in March of 2020, Houchins communicated to friends of his wife that she had, “run to the police” and that Houchins has “no mercy on a lying rat.” Around one month later, the superseding indictment alleges that Houchins sent threatening communications to friends and family of his wife, including photographs of Houchins wearing a mask and tactical vest.
The superseding indictment then charges that, following his internet searches for “killing your wife over love,” Houchins was arrested. At the time of his arrest, Houchins was in possession of a Ruger AR-15, 4 magazines, a double canister magazine containing 100 rounds of ammunition, two boxes of .223 caliber ammunition, and a tactical vest. Houchins pled guilty to Count Fourteen, which alleged that he possessed the Ruger AR-15 despite being a convicted felon.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement. The Federal Bureau of Investigation and the North Carolina Secretary of State investigated the case. The Wake County Sheriff’s Office, Apex Police Department, and Sanford Police Department also provided assistance. Assistant U.S. Attorney William M. Gilmore served as the prosecutor.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-245-1D(2).
OCDETF Operation “Tiny Toons” Leads to the Successful Prosecutions of Members of the Gangster Disciples Including One of the Largest Heroin/Fentanyl Suppliers in WilmingtonRead the Press Release
WILMINGTON, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina partnered with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Federal Bureau of Investigation Safe Streets Unit (FBI), Wilmington Police Department’s Gang and Narcotics Units, the New Hanover and Brunswick County Sheriff’s Office Gang and Narcotics Units, and the New Hanover County District Attorney’s Office to investigate and prosecute violent Gangster Disciple gang members and a high-volume heroin/fentanyl operation supplying the New Hanover and Brunswick County areas from New York. The ensuing investigation, named Operation Tiny Toons, led to the successful investigation, prosecution, and conviction of 18 defendants.
According to court documents, evidence presented in court, and other information is some of the defendants and information related to this investigation.
Darion “Pluck” Graham, 31, was sentenced on February 16, 2021, to 365 months imprisonment for (1) Conspiracy to Distribute and Possess with Intent to Distribute 1000 grams or more of heroin; (2) two counts of Distribution of a quantity of heroin (aiding and abetting) and (3) Possess with Intent to Distribute of 100 grams or more of heroin (aiding and abetting).
Between October 2015 and May 2017, the Brunswick and New Hanover County Sheriff’s Offices with the Wilmington Police Department made several controlled purchases of more than 90 grams of heroin from Graham and persons working at his direction in various locations in Wilmington, North Carolina. On August 29, 2017, the Wilmington Police Department and the ATF served a search warrant on Graham’s residence on Summertime Lane in Wilmington. Graham was on house arrest at the time of the search for pending North Carolina state charges. Law enforcement found a small quantity of heroin and fentanyl, packaging material for narcotics distribution, and more than $13,000. Graham was detained exiting the bathroom with the toilet running. Law enforcement determined that Graham had managed to flush a large quantity of heroin down the toilet while they were making a forced entry into the residence. From February until May 2019, the Wilmington Police Department and the FBI made several controlled purchases totaling 30 grams of heroin from Graham. On June 28, 2019, the Wilmington Police Department and the FBI served a search warrant on a River Front Place Apartment. The apartment was rented in the name of Kayla Jackson’s mother. Graham and Jackson arrived at the residence and fled upon seeing the police. They were arrested in a wooded area near the apartment. Law enforcement found 761 grams of a heroin/fentanyl mixture and more than $16,000. Jackson had pending heroin charges in state court at the time of her arrest. Qwanelle Ruffin was also staying at the apartment and was arrested on the same day. During the investigation, law enforcement discovered that Graham had more than 10 people distributing heroin and/or fentanyl for him. Graham was supplying and working with members of the Gangster Disciples in Wilmington. Graham’s heroin was coming primarily from New York. Graham was responsible for the distribution of more than 7 kilograms of heroin, more than 750 grams of a heroin/fentanyl mixture, and a quantity of a heroin/methamphetamine mixture. According to law enforcement, Graham was one of the largest heroin/fentanyl suppliers in New Hanover County at the time of his federal indictment.
Kayla “Lady K” Jackson was sentenced on November 9, 2021, to 85 months imprisonment for (1) Conspiracy to Distribute and Possess with Intent to Distribute 100 grams or more of heroin; (2) Possession with Intent to Distribute a quantity of heroin and (3) Possession with Intent to Distribute 100 grams or more of heroin (aiding and abetting). On March 6, 2017, a Wilmington Police Officer stopped Jackson for a traffic violation. The officer asked her to exit the vehicle due to the odor of marijuana. Instead, Jackson fled at a high rate of speed, lost control of her car and crashed into another car. Jackson then fled on foot. Law enforcement found heroin and PCP in the car. Law enforcement received information during the investigation that Jackson drove Graham to deliver heroin including a “golf ball” sized amount of heroin to Qwanelle Ruffin.
Qwanelle “El Patron” Ruffin 28, was sentenced on April 23, 2021, to 132 months in federal prison for: (1) Conspiracy to Distribute and Possess with Intent to Distribute (100) Grams or more of Heroin; (2) Three Counts of Distribution of a Quantity of Heroin and Aiding and Abetting; (3) Seven Counts of Distribution of a Quantity of Heroin; and (4) Possession With Intent to Distribute One Hundred (100) Grams or More of Heroin and Aiding and Abetting. Between November 2018 and June 2019, the Wilmington Police Department, assisted by the FBI, conducted numerous controlled purchases of heroin and a heroin/fentanyl mixture from Ruffin and co-conspirators that he had deliver for him. Ruffin had people delivering for him in part because he was recovering from a gunshot wound. The investigation uncovered that Ruffin had also been packaging and storing heroin for distribution at residences on Spring Street and 13th Street in Wilmington. Ruffin had been robbed of heroin on two occasions but continued to distribute heroin. Ruffin was also arrested for his role in the heroin/fentanyl mixture that was seized on June 28, 2019. According to a civil injunction, Ruffin was a member of the Gangster Disciples.
Maurice “Gotti” Bellamy, 29, was sentenced on April 23, 2021, to 132 months in prison for (1) Conspiracy to Distribute and Possess with Intent to Distribute a Quantity of Heroin and (2) Distribution of a Quantity of Heroin. On June 11, 2019, law enforcement made a controlled purchase of heroin from Bellamy. The investigation uncovered that Bellamy was involved in the distribution of more than 2 kilograms of heroin. According to a civil injunction filed in 2017 against the Folk Nation-720 Gangster Disciples in New Hanover County Superior Court, Bellamy was a member of the Gangster Disciples.
Alphonso “Trick Rick” McClendon, 27, was sentenced on April 23, 2021, to 66 months imprisonment for (1) Conspiracy to Distribute and Possess with the Intent to Distribute 100 grams or more of heroin (2) Distribution of a quantity of heroin and (3) Possession with Intent to Distribute a quantity of heroin. In May 2019, law enforcement made a controlled purchase of a mixture of heroin, fentanyl and methamphetamine from McClendon. On June 26, 2019, the Wilmington Police Department served a search warrant at McClendon’s residence. Law enforcement found 35 grams of a mixture of heroin/fentanyl, paperwork related to the Gangster Disciples, and a Glock magazine. According to law enforcement and the civil injunction, McClendon was a member of the Gangster Disciples.
Corbin Juran was sentenced on February 27, 2020, to 84 months’ imprisonment for (1) Possession of a firearm by a convicted felon, (2) Conspiracy to Possess with the Intent to Distribute a quantity of heroin and (3) Distribution of a quantity of heroin. On May 1, 2019, the Wilmington Police Department responded to a call at a motel. Officers observed Juran and a female walking from the dumpster behind the motel. While speaking with Juran, law enforcement confirmed that he had an active arrest warrant from Onslow County. Juran fled as officers attempted to pat him down for weapons. Officers recovered a .22 revolver that had been in Juran’s waistband and a small quantity of methamphetamine, which he had thrown down. Juran told law enforcement that he was a member of the Folk Nation. On May 24, 2019, the New Hanover County Sheriff’s Office Gang and Narcotics Units received information that Juran was going to pick up heroin from a source of supply at a mini-mart in Wilmington. Law enforcement observed Juran enter the store and exit quickly. Detectives performed a traffic stop on the car, and Juran was found in possession of 500 bags containing a mixture of heroin, fentanyl and acetyl fentanyl. Juran told detectives that he had picked up heroin from this source multiple times over the last couple of months. According to law enforcement, Juran was a member of the Gangster Disciples.
Terrance Fisher was sentenced on August 27, 2020, to 112 months imprisonment for (1) Conspiracy to Distribute and Possess with Intent to Distribute a quantity of heroin; (2) Distribution of a quantity of heroin; and (3) Possession with Intent to Distribute a quantity of heroin. On February 19, 2019, the FBI Safe Street Task Force and the Wilmington Police Department’s Narcotics and Gang Units conducted a controlled purchase of heroin from Fisher in the area of Market Street in Wilmington. On February 20, 2019, the FBI Task Force and Wilmington Police Detectives conducted a search of a room at the Suburban Extended Stay in Wilmington where Fisher had been staying. Law enforcement found a quantity of heroin in the room. Fisher was not present at the time of the search; instead, Fisher was visiting his North Carolina State Probation Officer. Law enforcement arrested Fisher when he left the visit with his probation officer and found heroin that he had given someone to hold for him during the visit. According to law enforcement, Fisher was a member of the Gangster Disciples.
Shamon “Toe” Kinston, 41, was sentenced on August 23, 2019, to 90 months’ imprisonment, for (1) Conspiracy to Distribute and Possess with the Intent to Distribute 100 grams or more of heroin and 500 grams or more of cocaine, (2) Distribution of a quantity of heroin and (3) Possession with the Intent to Distribute a quantity of heroin and a quantity of crack cocaine. On August 20, 2018, the Wilmington Police Department searched Kinston’s residence and found 71 grams of heroin, approximately a half an ounce of crack cocaine, and more than $6,000 in cash. Prior to the search of the residence, Wilmington Police Officers attempted to perform a traffic stop on Kinston. Kinston refused to stop and took police on a high-speed chase. Kinston ultimately wrecked his motorcycle and was arrested. During the investigation, law enforcement learned that the items seized were a part of a kilogram of cocaine and 200 grams of heroin that Kinston had been provided for distribution in New Hanover County.
Miguel Angel Ramos, 31, was sentenced on February 17, 2021, to 156 months imprisonment for distribution of a quantity of fentanyl. The Wilmington Police Department and the FBI Safe Streets Unit made two controlled purchases from Ramos in July 2019. Ramos had prior state convictions for possession with the intent deliver a controlled substance and trafficking in heroin/opium.
Latwon “Birdy Bird” James, 40, was sentenced on December 1, 2020, to a total of 288 months in prison for (1) Conspiracy to Distribute and Possess with Intent to Distribute a quantity of heroin, methamphetamine, fentanyl and 28 grams or more of cocaine base (crack), (2) Distribution of a quantity of heroin and fentanyl, (3) Possession with the Intent to Distribute a quantity of heroin, fentanyl and more than twenty-eight (28) grams of cocaine base (crack). From July 2018 to July 2019, law enforcement made controlled purchases from James on multiple occasions involving heroin, fentanyl, and methamphetamine. In addition, James possessed with the intent to distribute a quantity of heroin, fentanyl and 28 grams or more of cocaine base (crack). James was on federal supervised release at the time that he committed these offenses.
A target of the investigation, Sherrod Crum, was murdered in Greensboro in May 2017.
The New Hanover County District Attorney’s Office filed a civil injunction against members of the Gangster Disciples (17 CVS 4184) in 2017. This court filing contained a great deal of information collected by the Wilmington Police Department Gang Unit.
This is part of operation “Tiny Toons” which is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement. The Bureau of Alcohol, Tobacco and Firearms, Federal Bureau of Investigation Safe Streets Section, the Wilmington Police Department Gang and Narcotics Sections and the Brunswick and New Hanover County Sheriff’s Office investigated the case and Assistant U.S. Attorney Timothy Severo prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 19-CR-00126.