Eastern District of North Carolina
Press releases recorded for this federal judicial district.
Rocky Mount Man Sentenced to 10 Years for Federal Firearms ViolationsRead the Press Release
RALEIGH, N.C. – A Rocky Mount man was sentenced to 120 months in prison for stealing ammunition and firearms in Elm City, North Carolina. Cecil Terrance Reams, 48, entered his guilty plea on June 8, 2021.
According to court documents and other information presented in court, Reams, his co-defendant, Brandon Shane Reams, 42, and another male subject, broke into a residence in Elm City, North Carolina, in the early morning hours of August 29, 2018. The Wilson County Sheriff’s Office responded to the scene and determined the group stole three rifles, an undetermined amount of ammunition, and a television from the property. Following the break-in, Cecil and Brandon Reams sold one of the stolen rifles to a convicted felon in Rocky Mount, North Carolina. Officers with the Rocky Mount Police Department recovered the stolen rifle after executing a search warrant at the buyer’s residence pursuant to a separate investigation. At the time of the break-in, Cecil and Brandon Reams were both convicted felons serving active state probation sentences and were required to wear ankle monitors as a condition of their probation. Officers reviewed both subjects’ ankle monitor movements, which showed both men at the Elm City property at the time of the break-in. Reams was arrested on state charges on August 29, 2018 and moved into federal custody on September 24, 2019.
Brandon Reams was sentenced to 60 months in prison on August 4, 2021.
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 James C. Dever III. The Wilson County Sheriff’s Office, the Rocky Mount 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. 5:19-CR-327-D.
Raleigh Investment Advisor’s 40 Year Sentence for Ponzi Scheme and Obstruction Affirmed on AppealRead the Press Release
RALEIGH, N.C. – Stephen Condon Peters, a former Raleigh investment advisor and owner of Visionquest Wealth Management, lost his appeal today in a per curiam opinion issued by the United States Court of Appeals for the Fourth Circuit. The judgment against Peters, which included a 40-year prison sentence, $15,063,624.30 in restitution, and forfeiture of assets, was fully affirmed.
Acting United States Attorney G. Norman Acker, III stated, “For years now, the many victims of former investment advisor Stephen Peters have been holding their breath, waiting for any kind of news about the outcome of his appeal, so that they can move on with their lives. Today I am pleased to report that the appeal is over. There were no dissenting votes. Stephen Peters will serve the 40 years imposed upon him. With this result, this office can now resume its efforts to liquidate assets and return them to victims as quickly as possible.”
Peters was convicted on all charges against him in a week-long trial in 2019. The evidence showed that Peters, in his role as a Registered Investment Advisor, defrauded his numerous clients by steering them into investments in which Peters had a direct financial interest. He then compounded his crimes by attempting to defraud the SEC with false documents and statements. At sentencing, the judge commented that Peters’s crimes were “breathtaking,” but were proven with a “tsunami of evidence.” In issuing its 40-year sentence, the Court also noted that Peters “quadrupled down” on the crime by, among other things, perjuring himself at trial.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement following the issuance of the judgment and opinion by the appellate court. The Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation investigated the case. Special Assistant U.S. Attorney Banumathi Rangarajan represented the United States on the appeal. Assistant United States Attorney William M. Gilmore served as the prosecutor. Assistant U.S. Attorney John Harris represented the United States with respect to forfeiture aspects of 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. 5:17-cr-00411-D-1.
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Garner Man Sentenced to 156 Months for Human TraffickingRead the Press Release
RALEIGH, N.C. – Antoine Lamar Wallace, of Garner, was sentenced today to 156 months in prison for sex trafficking of a minor and aiding and abetting.
According to court records and evidence presented at the trial of co-defendant, Jonathan Lynn Jenkins, Wallace and Jenkins prostituted many women between November 2014 and October 2015, including minors. The victims were young, vulnerable, and often struggling to survive. After luring the victims with promises of food, shelter, and a better life, Wallace and Jenkins manipulated and controlled the victims’ lives, isolating them, abusing them, and keeping all money the victims earned.
Wallace and Jenkins were arrested in January 2016. Jenkins, the ringleader of the two, was convicted of multiple human trafficking charges at a federal trial in February. He was sentenced to three consecutive life sentences.
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 James C. Dever III. The Department of Homeland Security – Homeland Security Investigations, the Raleigh Police Department, the North Carolina State Bureau of Investigation, and the Johnston County Sheriff’s Office investigated the case. Assistant U.S. Attorney Lucy Brown and former Assistant U.S. Attorney Erin Blondel 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. 5:18-CR-451-D.
Former Army Captain Pleads Guilty to Conflict Charge for Assisting His Wife’s Businesses with Army ContractsRead the Press Release
RALEIGH, N.C. – A former Army Captain, previously stationed at Fort Bragg in Fayetteville, and his wife’s company, White Board Solutions, pled guilty to federal charges today before United States Magistrate Judge Robert Numbers, II.
According to court documents, John Raymond Meier, age 33, was serving as a supply officer in the Third Special Forces Group when his wife, Nicole Anderson Meier, age 34, conducted business with the Army. Under the business name, White Board Solutions, an entity formed in the State of Washington under her maiden name, Nicole Meier agreed to provide three weeks of advanced commercial driver’s training for soldiers who transported supplies to support Third Group’s mission. During 2018, White Board Solutions negotiated six purchase agreements with the Army and received approximately $149,970. Under these agreements, White Board Solutions was required to rent the trucks and provide advanced training. White Board Solutions rented the trucks, but it never provided any advanced training. Since an estimated cost of renting the trucks was only $67,124, the Army overpaid White Board Solutions by $82,845.60. Both defendants have agreed to pay that amount in restitution to the Army.
Nicole Meier, on behalf of White Board Solutions, pled guilty to Theft of Government Property. The entity faces a maximum sentence of five years’ probation and a $500,000 fine.
In addition to the truck training contracts, Captain Meier helped his wife sell other items, like ratchet strips, magazines, firing adapters, targets and ink cartridges to the Army. During the plea hearing, the government told the court about several email communications between the couple. On one occasion, Captain Meier forwarded a request he received in his official capacity for M4 magazines to his wife with instructions for her to find the items and how much she could charge the Army. On another occasion, Captain Meier provided his wife with quotes from other vendors to assure she would submit a lower quote and obtain the Army’s business.
Captain Meier pled guilty to performing official acts affecting a personal financial interest. He faces a maximum sentence of five years’ imprisonment and a $250,000 fine.
Christopher Dillard, Special Agent in Charge of the Mid-Atlantic Field Office for the Department of Defense Office of Inspector General, stated that “John Meier abused his position of public trust for personal gain, diverted proceeds meant to support the warfighter, and undermined the very principles he swore to defend as a U.S. Army officer.”
Floyd Martinez, Special Agent in Charge of the Southeast and Caribbean Regional Investigations Office for the US General Services Administration Office of Inspector General stated that, “GSA and its law enforcement partners are committed to protecting the integrity of the government procurement process and will steadfastly pursue fraud schemes that rob the American taxpayers.”
G. Norman Acker, III Acting U.S. Attorney for the Eastern District of North Carolina said, “The Department of Justice is committed to ensuring that all federal employees who abuse their positions of trust are uncovered and fully prosecuted.”
The Department of Defense Office of Inspector General, the US General Services Administration Office of Inspector General and the US Army Criminal Investigation Command 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. 5:21-cr-00276-D-1.
Wilmington Man Receives 84 Months for Drug and Gun OffensesRead the Press Release
WILMINGTON, N.C. – A Wilmington man was sentenced today to 84 months in prison for possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. On August 27, 2020, Terry Dean Haynie, Jr. pled guilty to the charges.
According to court documents and other information presented in court, Haynie, 32, was arrested during a traffic stop on June 24, 2019. Four other passengers, including two minors, were in the vehicle with Haynie at the time. Haynie had a loaded syringe sticking out of his pocket, drug paraphernalia, cash, and a safe key on him at the time of arrest. A search of the vehicle recovered a bookbag belonging to Haynie which contained a safe with a loaded firearm and ammunition, marijuana, THC oil, a digital scale and more than 28 grams of methamphetamine. Haynie later admitted to having sold more than 220 grams of methamphetamine in the months before his arrest.
G. Norman Acker, III, Acting 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 (ATF), the Wilmington Police Department, and the New Hanover County Sheriff’s Office investigated the case and Assistant U.S. Attorney Bryan Stephany and Special Assistant United States Attorney William Van Tright prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its 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.
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-00073-M.
New Bern Methamphetamine Trafficker Receives 10 Years in Federal PrisonRead the Press Release
NEW BERN, N.C. – Jock Bowden, 48, of New Bern, North Carolina, was sentenced to 120 months in prison for Conspiracy to distribute and possess with the intent to distribute 500 grams or more of a mixture of substances that contains methamphetamine, Possession with intent to distribute 50 grams or more of a mixture of substances that contains methamphetamine, and Possession of a Firearm by a Convicted Felon.
According to court documents, evidence presented in court and other documents, on April 20, 2020, the Craven County Sheriff’s Office made a controlled purchase of more than 50 grams of methamphetamine from Bowden at his residence in New Bern. On May 29, 2020, Bowden was arrested. On June 5, 2020, law enforcement received information that Bowden had several firearms at his residence. Law enforcement recovered three handguns and a stolen assault rifle and a large amount of ammunition. Bowden had previously been convicted of a felony and was prohibited from possessing a firearm. During the course of the investigation, law enforcement discovered that Bowden was responsible for distributing approximately one and half kilograms of methamphetamine. The methamphetamine was being shipped from California to the Eastern District of North Carolina for distribution.
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 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 after sentencing by U.S. District Judge Louise W. Flanagan. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Drug Enforcement Administration and the Craven 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. 4:20-cr-00046-FL.
Final Member of Armed Drug Trafficking Organization SentencedRead the Press Release
RALEIGH, N.C. – A Wilson man was sentenced today to 216 months in prison for conspiracy to distribute and possession with intent to distribute 280 grams or more of cocaine base (crack) and 500 grams or more of cocaine, and possession with intent to distribute 28 grams or more of cocaine base (crack) and a quantity of cocaine.
Jerry Andre Melton was the leader of an armed drug trafficking organization that operated in Wilson and Nash Counties, and he was the final member of the organization to be sentenced.
According to court documents, Melton, was named in an Indictment filed on May 13, 2020. On February 25, 2021, Melton entered a plea of guilty.
In June 2018, members of the Wilson Police Department learned that Melton was the leader of a drug trafficking organization that was distributing cocaine and crack cocaine in the Wilson area. Other members of the organization included Demetrius Tyree Allen, Laquan Javon Allen, and Vanderbilt Johnson.
From July 2018 to March 2019, law enforcement conducted multiple controlled purchases of drugs from Melton, Demetrius Allen, Laquan Allen, and Vanderbilt Johnson.
Law enforcement also seized drugs and firearms from members of the Melton drug trafficking organization. On October 29, 2017, the Wilson Police Department responded to a night club after Laquan Allen entered the club and fired shots. Allen was arrested in the parking lot, and agents seized crack cocaine, cocaine, heroin, fentanyl, and a stolen .40 caliber handgun from Allen.
On September 6, 2018, Laquan Allen was arrested at a convenience store in Wilson, North Carolina on an outstanding arrest warrant. He was found in possession of crack cocaine, cocaine, and a stolen .380 caliber handgun.
On January 23, 2019, agents conducted a traffic stop of Melton’s vehicle in Wilson, North Carolina and seized crack cocaine, marijuana, and currency. A search warrant was executed at Melton’s and Demetrius Allen’s residence in Wilson, where agents seized crack cocaine and cocaine.
On June 26, 2019, agents executed a search warrant at Laquan Allen’s apartment on Chase Road in Wilson and seized crack cocaine, digital scales, and a .45 caliber handgun.
From February 2020 through March 2020, the Nash County Sheriff’s Office conducted controlled purchases of crack cocaine and two firearms from Vanderbilt Johnson.
In total, the Melton drug trafficking organization was responsible for distributing more than three kilograms of crack cocaine and more than three kilograms of cocaine.
Below are the results of the other cases in this investigation:
- Laquan Javon Allen, 5:20-CR-234-D-2:
- Convicted of: conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base (crack) and cocaine; possession with intent to distribute 28 grams or more of cocaine base (crack); and possession of a firearm in furtherance of a drug trafficking crime.
- Sentenced to 120 months’ imprisonment.
- Demetrius Tyree Allen, 5:20-CR-234-D-3:
- Convicted of: conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base (crack) and cocaine.
- Sentenced to 70 months’ imprisonment.
- Vanderbilt Johnson, 5:20-cr-00248-FL-1:
- Convicted of: conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base (crack) and cocaine; distribution of a quantity of cocaine base (crack); possession of a firearm in furtherance of a drug trafficking crime.
- Sentenced to 120 months’ imprisonment.
Norman Acker, Acting 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 Wilson Police Department and Nash County Sheriff’s Office investigated the case and Assistant U.S. Attorney Scott A. Lemmon prosecuted the case.
This case is 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.
This effort is also part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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 Nos. 5:20-CR-234-D and 5:20-cr-00248-FL.
- Laquan Javon Allen, 5:20-CR-234-D-2:
Craven County Armed Drug Trafficker Sentenced to More Than 28 YearsRead the Press Release
NEW BERN, N.C. – A Dover man was sentenced today to 340 months in prison for conspiracy to distribute and possession with intent to distribute 50 grams or more of methamphetamine and a quantity of cocaine, and possession with intent to distribute 50 grams or more of methamphetamine and a quantity of heroin.
According to court documents, Terrence Denon Miller, 31, also known as “Wank,” was named in a two-count Indictment filed on October 3, 2018. On August 20, 2020, the Defendant was convicted at trial on both counts.
Beginning in 2014, the Craven County Sheriff’s Office began receiving information regarding the drug trafficking activities of Miller at his residence on Sand Hill Road in Dover.
On August 14, 2014, members of the Craven County Sheriff’s Office executed a search. In the living room, deputies recovered hydrocodone and oxycodone pills, cocaine, electronic scales, drug packaging material, currency, and an empty .45 caliber handgun case.
On August 27, 2014, a second search warrant was executed at the same residence. Deputies seized cocaine and $7,565 in currency.
On September 28, 2016, the Craven County Sheriff’s Office used confidential informants to purchase 27.97 grams of cocaine from Miller at his residence on Harding Avenue in Kinston.
On June 16, 2017, North Carolina Probation and Parole conducted a search of Miller’s residence, and two firearms were seized. Investigators also recovered baggies containing residue that tested positive for illegal drugs.
On June 22, 2017, the Duplin County Sheriff’s Office conducted a traffic stop of Miller’s vehicle as he drove away from a known drug location. Miller consented to a search of the car, but he appeared to be very nervous. In the trunk, deputies found a 9mm handgun in a backpack. Miller admitted that he had purchased and then distributed more than a dozen kilograms of cocaine over the prior year.
In January 2018, the Lenoir County Sheriff’s Office used confidential informants to purchase methamphetamine from two individuals who were supplied by Miller.
On April 6, 2018, North Carolina Probation and Parole conducted a search of Miller’s residence on Sweet Amy Lane in La Grange. In the kitchen, officers located a bag containing 81.88 grams of crystal methamphetamine with a purity of 95% and 4.69 grams of heroin.
Deputies then obtained a search warrant and seized cocaine, marijuana, digital scales, $2,039 in currency, a grinder, and a loaded handgun magazine.
Miller agreed to speak with investigators, and he admitted that he had been distributing kilogram quantities of cocaine and more than a kilogram of methamphetamine.
Norman Acker, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Craven County Sheriff’s Office, Duplin County Sheriff’s Office, Lenoir County Sheriff’s Office, and the Drug Enforcement administration (DEA) investigated the case and Assistant U.S. Attorneys Dena J. King and Scott A. Lemmon prosecuted the case.
This case is 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 No. 4:18-cr-00054-FL-1.
Registered Sex Offender Sentenced for Possessing Child PornographyRead the Press Release
WILMINGTON, N.C. – A Washington, North Carolina man was sentenced to 210 months in prison for possession of child pornography followed by a lifetime of supervised release. On April 8, 2021, Nathanael Thomas Jackson pled guilty to the charges.
According to court documents and other information presented in court, Jackson, 28, possessed over 10,000 images of child pornography. The investigation began in 2018 with a cybertip that Jackson had uploaded two videos depicting sexual abuse of children to an online account. Agents were able to trace the uploads back to Jackson. Using search warrants, agents found Jackson in possession of 10,715 images, including videos, of child sexual abuse and child exploitation. The investigation uncovered that Jackson had used a pseudo identity and email account to coerce and threaten minors to send him explicit images of themselves.
Jackson is a registered sex offender from previous convictions in 2015 for incest in Perquimans County, North Carolina.
G. Norman Acker, III, Acting 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 Federal Bureau of Investigation and the North Carolina State Bureau of Investigation investigated the case, with assistance from the Beaufort County Sheriff’s Office, the Michigan State Police, the National Center for Missing and Exploited Children and the Beaufort County District Attorney’s Office. Assistant U.S. Attorney John Parris prosecuted the case.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
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-00094-M.
Las Vegas Business Owner Sentenced to 12 Years in Federal Prison for Participation in Multi-Million Dollar Fraud Upon the North Carolina MedicaidRead the Press Release
WILMINGTON, N.C. – Timothy Mark Harron, a Las Vegas resident, was sentenced today to 144 months in federal prison and ordered to pay $4,321,590.39 in restitution to the North Carolina Medicaid Program on charges of Conspiracy to Commit Health Care Fraud and Wire Fraud, in violation of Title 18, United States Code, Section 1349; Aggravated Identity Theft, in violation of Title 18, United States Code, Section 1028A; and Conspiracy to Commit Money Laundering, in violation of Title 18, United States Code, Section 1956(h). The court also sentenced Harron to forfeit various assets as a part of his case. Court documents reflect that forfeitable items include up to $13,396,921.64 in cash, a British Aerospace Bae 125-800A Aircraft, a 2017 Aston Martin DB 11 sports car; a 2016 Ford F-150 Super-Crew pickup truck; real property held in the name of Assured Healthcare Systems in Hertford County, North Carolina; as well as various other items of designer jewelry and luxury items seized from the defendant’s penthouse condominium in Las Vegas.
According to court documents, Timothy Mark Harron, 52, of Las Vegas, Nevada, admitted to conspiring with his wife, Latisha Harron, to carry out a massive fraud upon the North Carolina Medicaid Program (“NC Medicaid”) by billing the government for fictitious home health services. Harron admitted to working with his wife to launder the proceeds of the fraud into, among other things, a private jet, luxury jewelry and clothing, and properties in Ahoskie and Rich Square, North Carolina.
According to the charges, Latisha Harron created, and was operating, Agape Healthcare Systems, Inc. (“Agape”) a Medicaid home health provider, in Roanoke Rapids, North Carolina. As charged, to enroll Agape as a Medicaid provider, Latisha Harron fraudulently concealed her prior felony conviction for Identity Theft. In 2012, she moved out of North Carolina to Maryland. Despite that move, Latisha Harron continued to bill NC Medicaid as though Agape was providing home health services to North Carolina recipients.
In May of 2017, Latisha Harron moved to Las Vegas, Nevada to live with Harron, and the two were married in 2018. Together they formed Assured Health Care Systems (“Assured”), a company purportedly operated by Harron, its president. Although Harron publicly portrayed Assured as a successful healthcare company, in reality it was funded entirely by Agape’s fraudulent Medicaid claims. The indictment alleges that the Harrons also registered Assured as a Medicaid provider. In so doing, it is charged that Harron’s own prior felony fraud conviction was concealed from the NC Medicaid on enrollment documents. Harron and his wife worked together to expand the Agape fraud upon NC Medicaid -- fraudulently billing the program for more than $10 million, just in the period between 2017 and 2019.
Harron admitted that he and his wife carried out the fraud by exploiting an eligibility tool that was entrusted only to NC Medicaid providers. Specifically, Harron and his wife searched publicly available sources, such as obituary postings on the internet by North Carolina funeral homes, to locate recently deceased North Carolinians. Harron admitted that the two would then extract from the obituary postings certain personal information for the deceased, including their name, date of birth, and date of death. Then, utilizing the extracted information, the defendants would then query the NC Medicaid eligibility tool to determine whether the deceased individual had a Medicaid Identification Number. If the deceased North Carolinian had a valid Medicaid Identification Number and was otherwise eligible for Medicaid coverage during their life, the defendants would use that individual’s identity to “back-bill” NC Medicaid, through Agape, for up to one year of fictitious home health services that were allegedly rendered prior to the death of the individual. NC Medicaid then disbursed millions to Agape, all of which flowed into accounts controlled by Harron and her husband.
Harron admitted that he and his wife carried out the fraud via the internet from locations around the globe, including their corporate office building in Las Vegas, their penthouse condominium in Las Vegas, a corporate office in North Carolina, and from various hotels and luxury resorts in and outside of the United States.
Harron further pled guilty to conspiring with his wife to launder the proceeds of the Agape fraud, often through Assured’s bank accounts, into various luxury items. These expenses included a $900,000 wire for the purchase of a British Aerospace Bae 125-800A private jet, hundreds of thousands of dollars in Tiffany & Co. and Brioni clothing and jewelry, thousands of dollars on Eastern North Carolina business properties, and thousands of dollars in gym equipment.
On May 18, 2021, Latisha Harron was sentenced to 14 years in federal prison for her role in the fraud.
Acting United States Attorney G. Norman Acker, III stated, “This case is purely about greed and an insatiable desire to live a life of luxury. Stealing millions from Medicaid through lies, the defendant and his wife achieved their life of luxury – at least for a while. But there is a serious price to be paid when you purchase your private jet, resort stays, jewelry, and fine dining on the backs of the poorest and most vulnerable in our society. The defendant and his wife will pay that price by spending more than a decade of their lives in prison. I wish to thank our many state and federal counterparts in Las Vegas and beyond for their work in bringing these partners in crime to justice.”
The Harrons targeted the Medicaid program in North Carolina which the most vulnerable North Carolinians depend on in their time of need.” Said FBI Special Agent in Charge Robert R. Wells. “Our agents and law enforcement partners stand ready to work together to make sure those who attack the most vulnerable pay greatly for their crimes.”
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement after U.S. District Judge Richard E. Myers II announced the sentence. The Federal Bureau of Investigation, the United States Department of Health and Human Services Office of the Inspector General, the Internal Revenue Service Criminal Investigation, and the North Carolina Attorney General’s Office Medicaid Investigations Division, all investigated the case. Assistant U.S. Attorney William M. Gilmore served as the prosecutor. Assistant U.S. Attorney John Harris represented the United States with respect to forfeiture aspects of 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-00005-M.
Bladen County Political Consultant Sentenced to 6 Months in Prison for Theft of Government Property and Social Security FraudRead the Press Release
GREENVILLE, N.C. – A Bladenboro man was sentenced today to 6 months in prison for the theft of government property and Social Security fraud and ordered to pay $8,599.10 in restitution. He pled guilty to the charges on June 21, 2021.
According to court documents, Leslie McCrae Dowless, 65, defrauded the Social Security Administration by concealing his work and income while receiving monthly benefits payments. In February 2013, Dowless applied for Supplemental Security Income (SSI) benefits. In the application, Dowless claimed that he was unable to work due to a disability. Dowless received SSI benefits until July 2018, when he applied for Retirement Insurance Benefits (RIB). In his application for RIB, Dowless stated that he did not expect to work in 2018 and had not worked in the two years preceding his application. Dowless received RIB benefits through November 2018. Dowless was required to report certain events to the Social Security Administration, including changes in his work activity, income, or resources.
Unbeknownst to the Social Security Administration, Dowless worked as a consultant for at least two political campaigns during the 2018 Midterm Elections. From March 2017 to November 2018, Dowless received at least 59 checks totaling $135,365.57 for consulting work. Dowless failed to report his work and income to the Social Security Administration.
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 Terrence W. Boyle. The Social Security Administration Office of Inspector General and the Federal Bureau of Investigation investigated the case and 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. 7:20-CR-53-B0.
Operation False Haven: Convicted Child Rapist Sentenced for Passport Fraud, Civilly Denaturalized and Judicially Ordered Removed from the United StatesRead the Press Release
RALEIGH, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina announced that today in federal court, Mario Sotelo, age 49, a naturalized citizen of the United States born in Mexico, was sentenced by Chief United States District Judge Richard E. Myers II to four months imprisonment following a guilty plea to passport fraud. Moreover, Sotelo was civilly denaturalized as a United States citizen and ordered judicially removed from the United States.
According to court records, on September 5, 2008, Sotelo fraudulently obtained U.S. citizenship by making a false statement under oath regarding his naturalization application. In response to the question “Have you ever committed a crime or offense for which you were not arrested?” he answered “No.”
On August 23, 2018, in the Superior Court of North Carolina in Chatham County, Sotelo was convicted of sixteen felony counts, including incest, first-degree sex offense with a child, indecent liberties with a child, and statutory rape, for crimes committed against multiple victims between 2003 and 2015. Sotelo was sentenced to 23 years in prison. Sotelo was not arrested until after he naturalized, thus immigration officials were unaware of his crimes.
“Ultimately, Sotelo was unable to escape the consequences of his criminal past, and he will now answer for his disturbing predatory behavior,” said ERO’s Atlanta Interim Field Office Director Francisco Madrigal. “Removing violent, criminal non-citizens is a vital part of our mission to make our communities safer.”
“The granting of United States citizenship is one of the most prized and ultimate benefits that the government can grant. The defendant exploited our immigration system and unlawfully secured his naturalization, which undermines both the nation’s security and our lawful immigration system, “ said G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement.
Agents with ICE’s Enforcement and Removal Operations, Homeland Security Investigations, and United States Citizenship and Immigration Services, assigned to the Document Benefit Fraud Task Force, investigated the case as part of Operation False Haven, an ongoing initiative executed in conjunction with the Department of Justice’s Office of Immigration Litigation to aggressively identify and prosecute child molesters and other egregious felons who fraudulently obtained U.S. citizenship.
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-00173-M(1).
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Armed Gang Member Receives 57 Months After Throwing Stolen Gun in Judge’s Parking LotRead the Press Release
WILMINGTON, N.C. – Nahledge Vaughn, 20, of Wilmington, was sentenced to 57 months in prison for Possession of a Firearm by a Convicted Felon.
According to court documents, evidence presented in court and other documents, on December 9, 2020, the Wilmington Police Department was utilizing enhanced patrols because of an increase in gang associated violence. Officers saw Vaughn who was a passenger in a car driven by another validated gang member. The driver did not have a valid license. Law enforcement attempted to stop the car in the area of 5th and Market Streets in Wilmington. Vaughn jumped out of the car and attempted to flee on foot. Vaughn ran by the New Hanover County Courthouse and threw a stolen loaded Glock handgun into the gated Judge’s parking lot. He was arrested shortly after that. Courthouse Security exited the courthouse and searched the parking lot. They retrieved the firearm. The incident was captured on video.
Vaughn had previously been validated as a gang member by the Wilmington Police Department. Vaughn was on probation for possession of a stolen firearm at the time of his arrest in December and prohibited from possessing a gun. Vaughn was convicted of possessing a stolen handgun in July 2020. The New Hanover County Sheriff’s Office, following a search of Vaughn’s bedroom, found a stolen handgun, a 50-round drum for a Glock handgun, a speed loader and a laser attachment for a handgun in February 2020.
This is part of operation “Obviously Your Not Golfer” which is an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
G. Norman Acker, III, Acting 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 Wilmington Police Department, Holly Ridge Police Department, the Bureau of Alcohol, Tobacco and Firearms, the Federal Bureau of Investigation and the 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. 7:21-cr-00046-M-1.
Media Advisory: In-Person Press Conference in Sampson CountyRead the Press Release
WHEN: Monday, August 30, 2021 at 2:00 p.m.
WHERE: Sampson County Sheriff’s Office
112 Fontana Street
Clinton, NC 28328
Re: Clinton Kidnapping Case
The United States Attorney’s Office announces a press conference to discuss the successful prosecution of the 5 defendants involved in the Clinton kidnapping case, that resulted in the resolution of the kidnapping along with a shooting that injured 2 juveniles. This case also led to murder charges in the death of Jimmy Graham.
In addition to Acting United States Attorney G. Norman Acker, III, we anticipate Sampson County Sheriff Jimmy Thornton, Interim Clinton Police Chief Anthony Davis, Resident Agent in Charge (RAC) Shawn Stallo of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and District Attorney Ernie Lee to participate in this event.
Credentialed members of the media are invited to attend. For additional information, and to RSVP your intentions to attend this event, please email Don Connelly at [email protected].
Co-Owner of North Carolina Durable Medical Equipment Company Sentenced to Prison for Role in Defrauding MedicaidRead the Press Release
RALEIGH, N.C. – A Morehead City woman was sentenced today to 30 months in federal prison, followed by three years of supervised release on a charge of Making Material False Statements Relating to Healthcare Matters, in violation of Title 18, United States Code, Section 1035(a)(2). Shelly Phillips Bandy, 41, was also ordered to make restitution of $374,809.92, jointly and severally with her company, A Perfect Fit For You, Inc. (APFFY). Bandy is also liable for a civil judgment of $34,708,945.42 arising from the same conduct.
According to court documents, APFFY was a durable medical equipment provider located in Morehead City, North Carolina. Durable medical equipment includes items such as powered wheelchairs, orthotic braces, diabetic shoes, powered air flotation beds, osteogenesis stimulators, pneumatic compressors, etc. Between March 2015 and November 2016, one or more employees of APFFY submitted fraudulent billings claims to Medicaid for providing durable medical equipment to Medicaid recipients. These fraudulent claims contained the personal identifying information of Medicaid recipients who had never ordered nor received any durable medical equipment from APFFY. In fact, some of the patients had been deceased years before the false claims were even submitted. This scheme resulted in an estimated loss to Medicaid of approximately $10,069,361.35.
After appointment of a receiver, APFFY self-reported suspected fraudulent activity to the North Carolina Medicaid Investigations Division. Thereafter, the company cooperated throughout the investigation.
On December 13, 2017, and based on the conduct described above, the United States and State of North Carolina filed a civil complaint under the federal and state False Claims Acts against APFFY and its owners Margaret Gibson, and Bandy. The federal and North Carolina False Claims Acts mandate that the Governments recover triple the money falsely obtained, plus substantial civil penalties for each false claim submitted. To resolve those claims, the APFFY agreed to pay $20,138,722.70, while Gibson has agreed to pay $4,000,000. As for Bandy, the United States and State of North Carolina obtained a $34,708,945.42 default judgment against her in the civil action. It should be noted that the civil claims against A Perfect Fit for You, Inc. and Gibson are allegations only and were resolved by settlement. There was no judicial determination or admission of liability as to them in the civil case.
In addition to the civil case, APFFY pled guilty to a Criminal Information charging Health Care Fraud, in violation of Title 18, United States Code, Section 1347. On March 2, 2021, the company was sentenced to 5 years’ probation and ordered to pay a $2,000,000 fine in addition to paying $10,069,361.35 in restitution to the North Carolina Medicaid Program on a charge of Healthcare Fraud, in violation of Title 18, United States Code, Section 1347.
On December 29, 2020, Bandy pled guilty to making false statements relating to health care matters in violation of Title 18, United States Code, Section 1035. Bandy admitted to submitting fraudulent claims to Medicaid on behalf of APFFY. Specifically, Bandy admitted that on January 1, 2016, she billed Medicaid for 43 fraudulent claims, totaling $626,773.79. Medicaid subsequently paid $374,809.92 for those claims.
Today, in ordering Bandy to serve 30 months in federal prison, the court noted that as a society, citizens have decided to provide healthcare for the very poorest among us. In doing so, the Court noted that the Medicaid program is a system of trust. “The whole system is built on honesty,” the court stated. “If you break faith with the honor system that we built to care for the least among us, a person who does that needs to know … you will go to a penitentiary.” In stating this, the Court expressly rejected the defendant’s argument for a probationary sentence.
G. Norman Acker, III, Acting United States Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The investigation of this case was conducted by the North Carolina Department of Justice’s Medicaid Investigations Division (MID) and the United States Department of Health and Human Services Office of the Inspector General. Assistant United States Attorney William M. Gilmore is the prosecutor on the criminal case, while Assistant United States Attorney C. Michael Anderson represented the United States in the civil case. Special Deputy Attorneys General F. Edward Kirby, Jr. and Michael M. Berger, who also serve as a Special Assistant United States Attorneys, represented the United States and the State of North Carolina in the civil case.
The MID investigates and prosecutes health care providers that defraud the Medicaid program, patient abuse of Medicaid recipients, patient abuse of any patient in facilities that receive Medicaid funding, and misappropriation of any patients’ private funds in nursing homes that receive Medicaid funding. To report Medicaid fraud or patient abuse in North Carolina, call the MID at 919-881-2320.
The MID receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $6,160,252 for Federal fiscal year (FY) 2020. The remaining 25 percent, totaling $2,053,414 for FY 2020, is funded by the State of North Carolina.
292 Month Sentence Handed Down for Pamlico County Drug TraffickerRead the Press Release
RALEIGH, N.C. – A man from Oriental, North Carolina was sentenced today to over 24 years in prison for the distribution of controlled substances in Pamlico county. On February 24, 2021, Kenneth Franklin Hill, Jr., 47, pled guilty to related to the distribution of methamphetamine, heroin, and cocaine.
According to court documents and other information presented in court, Hill’s prosecution is the result of an investigation, led by this Office in conjunction with local, state, and federal authorities, into several drug traffickers operating in Pamlico and Craven counties. After conducting several controlled purchases of methamphetamine from Hill, authorities arrested him on December 9, 2019. That day, Hill led Pamlico County Sheriff’s Deputies on a high-speed chase, ramming patrol cars and running a school bus full of children off the road. The chase ended before any serious injuries occurred when Deputies fired shots at Hill’s vehicle, disabling it.
In total, investigators attributed over 2,000 grams of cocaine, 1,000 grams of methamphetamine, and 1,200 grams of heroin to Hill – drugs that were distributed into the community from 2016 until his arrest on December 9, 2019. As the Court noted in today’s hearing, a 292-month sentence ensures a message is sent to the citizens of Pamlico County: decades of planting seeds of poison in a community will end in a significant and detrimental harvest.
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 James C. Dever III. Pamlico County Sheriff’s Office, Homeland Security Investigations, and the District Attorney’s Office for the Prosecutorial District 4 assisted with the investigation of 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-85-D.
Wilmington Armed Drug Trafficker Receives 117 Months in Federal PrisonRead the Press Release
RALEIGH, N.C. – Jonathan Marquis Sanders, 29, of Wilmington, was sentenced yesterday to 117 months in prison for Distribution of a Quantity of a Mixture of Heroin and Fentanyl, Possession with Intent to Distribute a Quantity of Heroin, Fentanyl and Cocaine and Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
According to court documents, evidence presented in court and other documents, on August 21, 2020, the Wilmington Police Department made a controlled purchase of 200 bags of a mixture of heroin and fentanyl from Sanders on Davie Avenue in Wilmington. Sanders was on a GPS monitor related to a New Hanover County Court matter at the time of this drug deal. On October 1, 2020, Wilmington Police Narcotics Detectives executed a search warrant at Hearthside Drive in Wilmington. Law enforcement found more than 850 bags of a heroin/fentanyl mixture, a quantity of cocaine, a cutting agent, and a loaded .380 caliber handgun. Sanders used the residence as a stash house. Sanders was on probation for Possession with the Intent to Sell or Deliver Heroin at the time of the search of the residence.
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 Terrence W. Boyle. The Holly Ridge Police Department, the Bureau of Alcohol, Tobacco and Firearms, the Federal Bureau of Investigation and the Wilmington Police Department 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. 7:20-cr-00179-BO-1.
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New Hanover County Gang Member Receives 115 Months for Gun OffenseRead the Press Release
NEW BERN, N.C. – A Wilmington man was sentenced today to 115 months in prison and 3 years of supervised release for possession of a firearm by a convicted felon. On October 17, 2019, Quaneik Kasson Allen pled guilty to the charge.
According to court documents and other information presented in court, Allen, 23, illegally possessed a firearm in connection with an April 21, 2019 shooting incident. Allen, a validated member of the Double I Bloods street gang, was on post-release supervision from a prior state felony conviction for possession of a stolen firearm. The incident – captured on Wilmington Housing Authority surveillance video – took place in the Houston Moore housing complex. Co-defendant, Antonio Spencer (previously sentenced), brutally assaulted a pregnant female who was ultimately able to flee the scene. A short time later, Allen approached Spencer and the two fought. During the struggle, a gun Spencer had in his waistband, dropped to the ground. Allen retrieved the gun and used it to shoot Spencer five times at close range. Spencer was treated and released from the hospital two days later. Responding officers from Wilmington Police Department stopped Allen while leaving the scene and recovered a .38 caliber revolver with five spent shell casings and a .380 caliber handgun.
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. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Wilmington Police Department investigated the case and Assistant U.S. Attorney Bryan Stephany prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its 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.
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-00092-FL.
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Lumberton Gang Member Convicted of Possessing a Firearm as a Convicted FelonRead the Press Release
RALEIGH, N.C. – A federal jury convicted a Lumberton man yesterday on a charge of Possession of a Firearm by a Convicted Felon.
According to court records and evidence presented at trial, an officer with the Lumberton Police department observed a red Nissan Rogue fail to stop at a stop sign. The officer approached the vehicle and contacted the driver and sole occupant of the vehicle, Emanuel Mann Billings. Billings admitted that he ran the stop sign, and the officer took his identification where he learned Billings was a convicted felon. The officer reapproached the vehicle and asked whether Billings possessed anything illegal in the vehicle. Billings admitted that he possessed a firearm in the center console of the vehicle.
During the course of the investigation, law enforcement officers were able to review open-sourced social media that showed Billings had been in possession of the firearm for months. Law enforcement also learned that Billings was associated with the street gang, Folk Nation. Billings had previously been convicted of multiple counts of robbery with a dangerous weapon, possession of a weapon of mass destruction, and assault inflicting physical injury of a detention employee.
Billings faces a minimum penalty of 180 months in prison when sentenced in November of 2021.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge James C. Dever III accepted the verdict. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and Lumberton Police Department are investigating the case and Assistant U.S. Attorneys Chad Rhoades and John Harris are 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.7:19-cr-00190-D.
Charlotte Man Sentenced to 4 ½ Years for Distributing Heroin Following Overdose Death of Ft. Bragg SoldierRead the Press Release
RALEIGH, N.C. – Cory Dean Maieritsch, 33, of Charlotte, was sentenced today to 54 months in prison for distribution of heroin. Maieritsch pled guilty to the single-count Indictment on March 1, 2021.
According to court records and statements made during hearings, on the morning of December 10, 2015, a U.S. Army specialist was discovered deceased in his barracks on Ft. Bragg. Toxicology confirmed overdose by heroin and fentanyl. In the room, investigators recovered 16 empty glassine bags of the type commonly used to package single doses of those substances, with some bags labeled “Crazy Samurai,” and others labeled “Killing Time.” The U.S. Army Criminal Investigatory Laboratory (USACIL) tested residue from the bags, finding that the Crazy Samurai bags contained heroin and that the Killing Time bags contained acetyl fentanyl.
A friend of the deceased identified the defendant Cory Maieritsch as the likely supplier of the drugs. Investigators reviewed the deceased’s cell phone communications and discovered extensive text message conversations about drugs with Maieritsch. Specifically, on December 9, 2015, the deceased requested four bags of heroin just before 9:00 a.m. After some discussion about price and delivery, Maieritsch texted within the hour that he was waiting outside of the barracks. Maieritsch delivered two additional bags during his lunch break from work, following a second request from the deceased. Finally, text messages showed that Maieritsch made a third delivery that evening, following the deceased’s request for eight additional bags. While the discussion over text concerned the purchase of heroin, the USACIL testing showed that some of the bags of purported heroin contained fentanyl, which is significantly more potent. A USACIL latent print examiner identified Maieritsch’s fingerprints on two of the recovered glassine bags.
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 James C. Dever III. The U.S. Army Criminal Investigation Command (CID) and Cumberland County Sheriff’s Office 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. 5:20-cr-00197-D.
Tarboro Man Sentenced for Robbery and Brandishing a FirearmRead the Press Release
NEW BERN, N.C. – A Tarboro man was sentenced on Wednesday to 130 months in prison for robbery and brandishing a firearm during the robbery. On September 2, 2020, Rashawn Demond Lyons pled guilty to the charges.
According to court documents and other information presented in court, Lyons, 26, robbed the Kangaroo Express located on West Raleigh Boulevard in Rocky Mount, North Carolina on October 13, 2019. Lyons approached the store clerk and produced an AR-15 style rifle from under his coat. Lyons then pointed the rifle at the store clerk and demanded currency from the cash register. Lyons fled the store with $300. Officers were able to apprehend Lyons using the store’s video surveillance recordings and civilian tips.
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. The Rocky Mount Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case, with assistance of the Nash County District Attorney’s Office, 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-00030-FL.
Sampson County Man Receives 60 Months in Prison for Gun OffenseRead the Press Release
NEW BERN, N.C. – A Roseboro man was sentenced today to 60 months in prison and 3 years of supervised release for possession of a firearm by a convicted felon. On March 11, 2020, Ramon Eric Best pled guilty to the charge.
According to court documents and other information presented in court, Best, 35, illegally possessed a firearm as a previously convicted felon. On January 7, 2018, Wilson Police Department (WPD) officers responded to a gunshot call and found Best applying pressure to an upper thigh gunshot of a victim who was lying in the road next to Best’s vehicle. Best initially claimed the victim (Best’s friend) was shot by an unknown individual but later admitted that the wound was accidentally self-inflicted. After admitting the truth to the police, Best ultimately gave the gun used in the shooting to the police. The police obtained search warrants, and officers found a 9mm handgun, a stolen .40 caliber handgun, approximately 2 grams of cocaine base (crack), digital scales, and a high-capacity drum magazine in Best’s vehicle.
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. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Wilson Police Department investigated the case and Assistant U.S. Attorney Bryan Stephany prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its 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.
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. 5:18-CR-00401-FL.
Raleigh Man Sentenced for Bank Fraud and Identity TheftRead the Press Release
NEW BERN, N.C. – A Raleigh man was sentenced today to 36 months and 1 day in prison for bank fraud and aggravated identity theft. He was also ordered to pay restitution in the amount of $158,866.00. On September 17, 2020, Oris Eugene Ford pled guilty to the charges.
According to court documents and other information presented in court, from October 2013 to March 2016, Ford, 42, and others executed bank fraud schemes involving the use of stolen identities to open new bank and credit card accounts, or to take over existing accounts, and then make fraudulent purchases or cash withdrawal from those accounts.
The first scheme involved the use of stolen Personally Identifiable Information (PII) to apply for new credit card accounts with Citibank. Credit cards were issued in the names of the actual victims, but with Ford listed as an authorized user. A similar scheme perpetrated against Discover involved account takeover fraud. Ford or unidentified conspirators gained access to existing credit card accounts using stolen PII and passcodes stolen from actual accountholders. Once access was gained, the address and contact information for the accountholder was changed, and Ford’s name was added as an authorized user. Common to both schemes was the submission of requests for the issuance of new or replacement credit cards, which were mailed to Ford. The cards were then used to purchase thousands of dollars of merchandise from Walmart, Best Buy, and other retail stores.
From 2013 to 2016, at least 80 attempted account takeovers resulted in the issuance of 50 fraudulent cards, resulting in financial losses of at least $145,129.02. Eight attempts to open new accounts were identified, three of which were successful, resulting in a loss of at least $10,736.98.
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. The United States Postal Inspection Service and the Raleigh Police Department investigated the case and 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. 18-CR-00169-FL.
Operation False Haven: Convicted Kidnapper and Child Molester Sentenced for Naturalization Fraud and Criminally DenaturalizedRead the Press Release
RALEIGH, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina announced that today, in federal court, Zaw Lin Lay, age 43, a naturalized citizen of the United States, born in Burma, residing in Craven County, was sentenced by United States District Judge Terrence W. Boyle to 7 months imprisonment followed by 1 year of supervised release following a guilty plea to naturalization fraud. Moreover, Lay was criminally denaturalized as a United States citizen.
According to court records, on February 17, 2017, Lay fraudulently obtained U.S. citizenship by making a false statement under oath regarding his naturalization application. In response to the question “Have you ever committed, assisted in committing, or attempted to commit, a crime or offense for which you were not arrested?” he answered “No.”
On July 17, 2018, in the Superior Court of North Carolina in Craven County, Lay was convicted of six counts of indecent liberties with a child and one count of kidnapping. Lay received an aggravated sentence of more than 16 years because the offences were committed over an extended period between October 1, 2016, and February 17, 2017, while Lay was in a position of trust with the victim. Lay was not arrested until after he naturalized, thus immigration officials were unaware of his crimes.
“Lying is never a good thing but lying on an official document about not committing horrific, when you know you did, crimes is a surefire way to get yourself in serious trouble. This defendant is now seeing the consequences of his actions,” said Special Agent in Charge Special Agent in Charge Ronnie Martinez, who oversees Homeland Security Investigations (HSI) operations in North Carolina and South Carolina. “Whether it is protecting the integrity of our immigration system or finding and arresting predators, HSI adeptly handles multiple missions to protect this nation.”
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement. Agents with ICE’s Enforcement and Removal Operations and Homeland Security Investigations, assigned to the Document Benefit Fraud Task Force, investigated the case as part of Operation False Haven, an ongoing initiative purpose-built to aggressively identify and prosecute child molesters and other egregious felons who fraudulently obtained U.S. citizenship.
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-00028-1BO(4).
Man Sentenced for Large Collection of Child PornographyRead the Press Release
NEW BERN, N.C. – A Cary man was sentenced on Wednesday to 100 months in prison followed by 10 years of supervised release for receipt of child pornography. On July 8, 2020, Christopher Mark Wilson pled guilty to the charges.
According to court documents and other information presented in court, Wilson, 66, was found in possession of over one million images and videos of child pornography. The investigation showed that Wilson was a prolific collector, using computers to receive and collect the images and videos over 17 years.
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. The Cary Police Department and Homeland Security Investigations investigated the case, with the assistance of the National Center of Missing and Exploited Children, Ellington Digital Forensics, and the Wake County District Attorney’s Office. Assistant U.S. Attorney John Parris prosecuted the case.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
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-00529-FL.
Greenville Man Sentenced for Drug OffenseRead the Press Release
NEW BERN, N.C. – A Greenville man was sentenced yesterday to 110 months in prison for possessing heroin and fentanyl with intent to distribute. On December 12, 2019, Tobia Mila Moye pled guilty to the charge. Moye was also serving a term of federal supervised release at the time of the new offense.
According to court documents and other information presented in court, Moye, 42, possessed approximately eighty-five grams of a heroin and fentanyl mixture in March 2019. He had just purchased the drugs and had enlisted the help of another person to drive him to the deal. Moye was released from federal prison in July 2017 after serving a 102-month sentence for a cocaine and cocaine base (crack) conspiracy. Moye began serving a term of supervised release in December 2017 and resumed selling drugs within the year, continuing until the time of his arrest.
Moye was also sentenced to 46 months in prison on the revocation of supervised release of which 24 run concurrent with the new charges, for a total of 132 months in prison on the new conduct and revocation combined.
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. The Greenville Regional Drug Task Force investigated the case, and Assistant U.S. Attorney Lucy Brown 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-51-FL.
Lead Defendant in Synthetic Identity Fraud Ring Pleads Guilty to Bank FraudRead the Press Release
RALEIGH, N.C. – A Knightdale man pleaded guilty today to Bank Fraud, a violation of Title 18, United States Code, Section 1344.
Acting United States Attorney G. Norman Acker, III stated, “Following a lengthy period of litigation, and delays brought on by the COVID-19 pandemic, Michael Griffin will finally face justice for his actions. We look forward to the sentencing phase of this case, and an opportunity to seek justice for the victims.”
The indictment charges that defendant Michael Griffin, operating from his business location in Raleigh and home in Knightdale, accepted fees from clients for alleged credit repair services. The indictment alleges 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 charges that various defendants, many of whom were family members, 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 charges various defendants with similar frauds against other banks, including Capital One and Discover.
Today Griffin pleaded guilty to Count 14 of the Second Superseding Indictment, which charged a fraud upon Synchrony Bank using a false identity in the name of M.J. and a social security number and date of birth that did not belong to him.
More than ten other defendants also named in the Second Superseding Indictment already pled guilty to related charges earlier this year. Sentencing in Griffin’s case, as well as these related cases, remains pending. Griffin’s sentencing is tentatively set for the September 20, 2021 term, with the exact date and location to be determined. At sentencing, Griffin faces a statutory maximum penalty of up to 30 years in prison.
G. Norman Acker, III, Acting U.S. 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 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).
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Jacksonville Husband and Wife Plead Guilty to Transporting Illegal Aliens onto Camp Lejeune Marine Base by BoatRead the Press Release
WILMINGTON, N.C. – A Jacksonville husband and wife duo pleaded guilty today to transporting illegal aliens onto Camp Lejeune Marine Base by boat.
According to court documents, Timothy Scott Belcher, 56 and Georgina Belcher 63 orchestrated the transportation of three foreign nationals illegally residing in the United States onto Camp Lejeune Marine Base by circumventing the base gate and transporting them from Jacksonville, NC, to the Wilson Boat dock on base. The three aliens were employed by a drywall company owned by Georgina Belcher, which had a contract with the U.S. Military.
The Belcher’s pleaded guilty to Bringing in and Harboring Certain Aliens and face a possible sentence of not more than five years imprisonment, $250,000 fine, and three years’ supervised release at the time of sentencing, scheduled for the November 16, 2021 term of court.
“The Nation's critical infrastructure provides the essential services that underpin American society. Proactive and coordinated efforts are necessary to strengthen and maintain secure, functioning, and resilient critical infrastructure – including our Military Bases, Airports, and other areas that are vital to public confidence and the Nation's safety,” said G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina who made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the plea. Homeland Security Investigations and the Marine Criminal Investigation Division are investigating the case and Assistant U.S. Attorney Gabriel J. Diaz 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-86-1M and 7:21-CR-86-2M.
Former Owner of S&D Gun Show Sentenced to Federal Prison for Illegal Possession of Firearms and Ammunition by a Convicted FelonRead the Press Release
NEW BERN, N.C. – A Pamlico County man was sentenced on August 24, 2021, to 12 months and one day in prison followed by 3 years of supervised release for possession of firearms and ammunition by a convicted felon. Additionally, he was fined $10,000 and ordered to forfeit all of his firearms and ammunition. On July 11, 2019, Sherwood Watson Caraway pled guilty to the charges.
According to court documents and other information presented in court, Caraway, 62, had previously been convicted in federal court for illegally dealing firearms without a license in 2005. Caraway at that time owned and operated S&D Show Promotions, Inc., a gun and knife show production company that holds events throughout Eastern North Carolina. Despite his conviction, Caraway continued to operate gun shows in the area. Investigation in 2016 and 2017 revealed that Caraway continued to possess multiple firearms in his home in Merritt, North Carolina. On September 2, 2017, detectives with the Pamlico County Sheriff’s Office executed a search warrant on Caraway’s home. They located numerous rifles, shotguns, and handguns, along with thousands of rounds of ammunition. Agents also searched a residence owned by Caraway’s daughter, where they seized another 33 firearms that had previously been kept at Caraway’s house. In total, the Pamlico County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) seized over forty firearms. After pleading guilty to these charges, Caraway sold his interest in the gun shows in 2020.
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. The Pamlico County Sheriff’s Office and ATF investigated the case and Assistant U.S. Attorney Laura S. Howard 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-00032-FL.
Mexican National Who Attempted to Eat Memory Cards Containing Child Pornography Sentenced to 12 YearsRead the Press Release
RALEIGH, N.C. – David Sierra Orozco, 31, a Mexican national and recent resident of Georgia, was sentenced today to 144 months in prison for possessing child pornography. A federal jury found Orozco guilty of the charge on March 23, 2021, following a two-day trial.
According to court records and evidence presented at trial, on July 25, 2017, members of the Harnett County Sheriff’s Office were observing traffic outside of Dunn city limits, when they spotted a Lexus whose registered owner had an expired license. They followed the Lexus, and after observing it twice drift across the center lane, conducted a traffic stop.
The driver identified himself as Orozco and presented a Mexican consular ID but no valid driver’s license. Officers noticed that Orozco appeared extremely nervous—he was sweating profusely despite the air conditioner on high and was shaking uncontrollably. They also noticed tool marks on the car’s instrument panel and that the cover was not flush with the dashboard. Recognizing this as signs of a possible hidden “trap” in the dashboard, officers called for a K-9 deputy. As the traffic stop proceeded, Orozco consented to a search, and the K-9 arrived and alerted to the car. Within a trap in the dashboard, officers found $111,252 in cash, wrapped in blocks within grocery bags.
While being processed into the Harnett County Jail on a charge of driving without a license, Orozco was searched. A folded up $100 bill was removed from his pocket, and as law enforcement unfolded it, several MicroSD memory cards fell out. Orozco lunged for the floor, picked up what appeared to be two memory cards, and put them in his mouth. Officers recovered one chewed half of a memory card from his mouth and three intact cards from the floor.
Law enforcement obtained a search warrant based on possible narcotics trafficking. But upon opening the first MicroSD memory card, they spotted what appeared to be child sexual abuse material, commonly referred to as child pornography. After securing a second search warrant, a full forensic review uncovered over 261 videos and 2 images of child pornography on one MicroSD memory card, another 14 videos on a second memory card, and 5 child pornography thumbnails on the defendant’s smart phone. Most files depicted children under 12 years of age.
Along with the child pornography, the forensic examiner found files linking the devices to Orozco. Two of the memory cards and the cell phone contained photographs that Orozco had taken of himself. The other card contained a photo of a car that an officer confirmed was the same make, model, and color as the Lexus that Orozco had been driving. Forensics further showed that Orozco had taken and sent one of the photos of himself using the same mobile application that had been used to collect the child pornography.
“Those who exploit children over the internet cannot hide behind their computers and phones. As this prosecution demonstrates, we will work tirelessly with both our federal and state law enforcement partners to ensure that these offenders answer for their crimes,” stated G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina.
“Orozco thought he could hide his crimes by swallowing a memory card, but he will find it tougher to swallow the fact that he will now be held accountable for his predatory behavior,” said Special Agent in Charge Special Agent in Charge Ronnie Martinez, who oversees Homeland Security Investigations (HSI) operations in North Carolina and South Carolina. “Protecting our most vulnerable populations from exploitation is one of our most important and impactful missions.”
Acting U.S. Attorney Acker made the announcement after sentencing by U.S. District Judge James C. Dever III. The Harnett County Sheriff’s Office and Department of Homeland Security conducted the investigation. Assistant U.S. Attorney Jake D. Pugh prosecuted the case.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
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-00095-D.
Henderson Man Sentenced to Federal Prison on Firearms OffensesRead the Press Release
WILMINGTON, N.C. – A Henderson man was sentenced to 101 months in prison for possession of a firearm in furtherance of a drug trafficking crime and possession of a firearm by a felon. On May 17, 2021, Kyree Leamon Williams pled guilty to the charges.
According to court documents and other information presented in court, Williams, 28, was being investigated by the Henderson Police Department and the North Carolina State Bureau of Investigation (SBI) for distribution of heroin in Henderson. Law enforcement conducted controlled purchases of heroin laced with fentanyl from Williams on multiple occasions, leading to indictments in the Vance County Superior Court. When officers attempted to serve arrest warrants on Williams, he tried to elude police, leading them on a high-speed chase through Henderson before he stopped the car and ran on foot. After a short foot chase, Williams was apprehended. A subsequent search of his car and a residence yielded additional amounts of heroin, a stolen firearm with an extended magazine, and ammunition. Williams is a convicted felon, having prior convictions for Assault with a Deadly Weapon Inflicting Serious Injury and Possession of a Firearm by a Felon.
G. Norman Acker, III, Acting 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 Henderson Police Department, the North Carolina State Bureau of Investigation, and the District Attorney’s Office for the 11th Prosecutorial District 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. 5:21-CR-131-M.
Group with Ties to Racially Motivated Violent Extremists Including two Former Marines Facing Additional Charge of Targeting Energy FacilitiesRead the Press Release
RALEIGH, N.C. – Today, Paul James Kryscuk, 35, Liam Collins, 21, Jordan Duncan, 26, and Joseph Maurino, 22, were charged via a third superseding indictment obtained in the Eastern District of North Carolina. Collins and Duncan are former Marines assigned previously to Camp Lejeune in Jacksonville, North Carolina. The defendants are charged with conspiracy to damage the property of an energy facility in the United States.
According to the indictment, Collins, Kryscuk, Duncan, and Maurino researched, discussed, and reviewed at length a previous attack on the power grid by an unknown group. The group in that attack used assault-style rifles in an attempt to explode a power substation. Between 2017 and 2020, Kryscuk manufactured firearms while Collins stole military gear, including magazines for assault-style rifles and had them delivered to the other defendants. During that time, Duncan gathered a library of information, some military-owned, regarding firearms, explosives, and nerve toxins and shared that information with Kryscuk and Collins.
The indictment also alleges that the defendants discussed using homemade Thermite, a combination of metal powder and metal oxide which burns at over 4000°F to burn through and destroy power transformers. In mid-2020, Collins asked others to each purchase 50 pounds of Tannerite, a binary explosive containing aluminum powder and oxidizers, and can be used to make Thermite. In October 2020, a handwritten list of approximately one dozen intersections and places in Idaho and surrounding states was discovered in Kryscuk’s possession, including intersections and/or places containing a transformer, substations, or other component of the power grid for the northwest United States. If destroyed, the damage caused could exceed $100,000.
The defendants have also been charged, in previous indictments, with conspiring to manufacture, transport, and sell hard to obtain firearms and firearm parts in a manner that would hide these purchases from the federal government.
The previous indictments allege that Collins and Kryscuk were members of and made multiple posts on the “Iron March” forum, a gathering point for young neo-Nazis to organize and recruit for extremist organizations, until the forum was closed in late 2017. Collins and Kryscuk met through the forum and expanded their group using an encrypted messaging application as an alternate means of communication outside of the forum. Collins and Kryscuk recruited additional members, including Duncan, Hermanson, and Maurino, and conducted training, including a live-fire training in the desert near Boise. From video footage recorded by the members during the training, Kryscuk, Duncan, and others produced a montage video of their training. In the video, the participants are seen firing short barrel rifles and other assault-type rifles, and the end of the propaganda video shows the four participants outfitted in AtomWaffen masks giving the “Heil Hitler” sign, beneath the image of a black sun, a Nazi symbol. The last frame bears the phrase, “Come home white man.” Prior to their arrests, Collins and Duncan had recently relocated from North Carolina and Texas, respectively, to Boise to be near Kryscuk.
If convicted of all counts against them, the defendants face up to 40 years imprisonment.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement. The Naval Criminal Investigative Service, the Federal Bureau of Investigation field offices in Salt Lake City and Charlotte with assistance from field offices in Boston, New York, and Newark, the Boise Police Department, the United States Postal Inspection Service, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, are investigating the case. Assistant U.S. Attorneys from the Eastern District of North Carolina are prosecuting the case for the government with assistance from Assistant United States Attorneys for the District of Idaho, District of New Jersey, Eastern District of New York, the District of Rhode Island and attorneys from the National Security Division.
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-167-M.
Operation Leads to Conviction of 26 Brunswick County Defendants, Including Highest-Ranking Member of Bloods Street Gang in Brunswick CountyRead the Press Release
BOLIVIA, N.C. – Beginning in 2017, the United States Attorney’s Office for the Eastern District of North Carolina partnered with the Brunswick County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) to investigate and prosecute violent Bloods gang members and high-volume drug traffickers operating in the Brunswick County area.
The ensuing investigation, named Operation Hell Swamp, led to the successful investigation, prosecution, and conviction of 26 defendants from the Brunswick County area.
During the investigation, agents seized fentanyl, heroin, crack cocaine, and multiple kilograms of cocaine. Agents also seized more than a dozen firearms.
Some of the defendants are described in detail below.
Nicholas Shamar Griffin described himself as the highest-ranking member of the Bloods street gang in Brunswick County. He was a significant cocaine and crack cocaine trafficker, who was also willing to use violence. While on federal supervised release for a prior federal conviction, Griffin shot a man during a gang-related dispute. Griffin was sentenced to more than 29 years’ imprisonment.
Covia Dzell Smith was a violent, high-level member of the Bloods street gang. The investigation showed that Smith committed several acts of violence, including a shooting. He was charged with drug trafficking offenses, was convicted at trial of all counts. He was sentenced to 25 years’ imprisonment.
Spencer Bryant was found responsible for distributing approximately fourteen kilograms of cocaine base in the Brunswick County area, and he was sentenced to more than 17 years’ imprisonment.
Andreis Jenrette was found in possession of cocaine, crack cocaine, fentanyl, marijuana, and a loaded firearm. He was sentenced to 15 years’ imprisonment.
Deonte Bigelow and Courtnae Wiley were arrested while transporting one kilogram of cocaine, which had a street value of approximately $35,000. In total, Bigelow was found responsible for trafficking approximately 28 kilograms of cocaine. Bigelow was sentenced to 10 years’ imprisonment.
Below is a summary of the results of the cases in this investigation:
- Nicholas Shamar Griffin, 7:18-CR-00174-D-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute a quantity of cocaine and 280 grams or more of cocaine base (crack)
- Sentence: 350 months’ imprisonment
- Covia Dzell Smith, 7:18-cr-00093-D-1:
- Convicted at trial of distribution of cocaine, marijuana
- Sentence: 300 months’ imprisonment
- Freeman Hankins Jr., 7:17-cr-00110-BR-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine and 28 grams or more of cocaine base (crack), and possession of a firearm in furtherance of a drug trafficking crime
- Sentence: 75 months’ imprisonment
- Deontray Tremell Bryant, 7:17-cr-00150-FL-1:
- Pled guilty to possession with intent to distribute a quantity of heroin
- Sentence: 70 months’ imprisonment
- Deonte Xavier Bigelow, 7:17-cr-00165-BR-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute cocaine, and possession with intent to distribute 500 grams or more of cocaine
- Sentence: 120 months’ imprisonment
- Courtnae Shantae Wiley, 7:17-cr-00165-BR-2:
- Pled guilty to possession with intent to distribute 500 grams or more of cocaine
- Sentence: 5 years’ probation
- Delmas C. Gause, 7:18-cr-00005-BR-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base and a quantity of cocaine
- Sentence: 71 months’ imprisonment
- Michael Montray Frink, 7:18-cr-00033-BO-1:
- Pled guilty to possession with intent to distribute a quantity of heroin, possession of a firearm by a felon, and possession of a firearm in furtherance of a drug trafficking crime
- Sentence: 117 months’ imprisonment
- Alex Alterick Hamilton, 7:18-cr-00034-BO-1:
- Pled guilty to distribution of a quantity of cocaine; possession of a firearm in furtherance of a drug trafficking crime
- Sentence: 262 months’ imprisonment
- Ryan Alexander Stewart, 7:18-cr-00040-D-1:
- Pled guilty to possession with intent to distribute 28 grams or more of cocaine base
- Sentence: 60 months’ imprisonment
- Victor Demetrious Watson, 7:18-cr-00035-BO-1:
- Pled guilty to possession with intent to distribute a quantity of heroin; possession of a firearm in furtherance of a drug trafficking crime
- Sentence: 120 months’ imprisonment
- Terrance Leon Washington, 7:18-cr-00039-D-1:
- Pled guilty to distribution of cocaine and cocaine base (crack); possession with intent to distribute a quantity of cocaine
- Sentence: 60 months’ imprisonment
- Wayne Levanughn King, 7:18-cr-00056-BR-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base (crack)
- Sentence: 120 months’ imprisonment
- Rodrick Bryant, 7:18-cr-00081-BO-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base (crack) and a quantity of marijuana
- Sentence: 42 months’ imprisonment
- Zane Alan Williams, 7:18-cr-00146-D-1:
- Pled guilty to distribution of a quantity of cocaine
- Sentence: 120 months’ imprisonment
- Andreis Jenrette, 7:18-cr-00175-BO-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute a quantity of cocaine and 280 grams or more of cocaine base (crack); possession with intent to distribute a quantity of cocaine and a quantity of cocaine base (crack); possession of a firearm in furtherance of a drug trafficking crime
- Sentence: 180 months’ imprisonment
- Hester Griffin, 7:18-cr-00174-D-2:
- Pled guilty to possession with intent to distribute a quantity of cocaine
- Sentence: time served, then six months’ imprisonment for violation of supervised release
- Gregory Orlando Gause, 7:19-cr-00041-FL-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base (crack); distribution of a quantity of cocaine base (crack)
- Sentence: 28 months’ imprisonment
- Spencer Lamont Bryant, 5:19-cr-00113-D-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base; distribution of a quantity of cocaine base
- Sentence: 210 months’ imprisonment
- Bruce James Daniels, Sr.:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base; distribute of a quantity of cocaine base
- Sentence: 39 months’ imprisonment
- Anthony Junior Bell, 7:19-cr-00095-FL-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine and 28 grams or more of cocaine base; possession with intent to distribute 28 grams or more of cocaine base; possession of a firearm by a felon
- Sentence: 66 months’ imprisonment
- Malcolm Jackson, 7:19-cr-00113-BO-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base (crack); possession with intent to distribute a quantity of cocaine base (crack)
- Sentence: 144 months’ imprisonment
- Dev Vontrai Bland, 7:20-CR-00082-D-1:
- Pled guilty to distribution of a quantity of cocaine; possession of a firearm by a convicted felon
- Sentence: 151 months’ imprisonment
- Shawn Deontae Hewett, 7:20-cr-00162-D-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute cocaine and 280 grams or more of cocaine base (crack); possession with intent to distribute a quantity of cocaine and a quantity of cocaine base (crack); possession of a firearm in furtherance of a drug trafficking crime
- Not yet sentenced
- Oneisha Williams, 7:20-cr-00162-D-2:
- Pled guilty to possession with intent to distribute cocaine and cocaine base (crack)
- Not yet sentenced
- Gregory Lee Bellamy, 7:20-cr-00164-D-1:
- Pled guilty to conspiracy to distribute and possess with intent to distribute 100 grams or more of heroin and 500 grams or more of cocaine; distribution of a quantity of heroin, cocaine base (crack); possession with intent to distribute a quantity of cocaine; possession of a firearm in furtherance of a drug trafficking crime; possession of a firearm by a convicted felon
- Not yet sentenced
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement. The Brunswick County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the cases and Assistant U.S. Attorney Scott A. Lemmon prosecuted the cases.
Valuable assistance was also provided by the District Attorney’s office for Brunswick, Columbus, and Bladen counties.
Operation Hell Swamp 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.
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.
A copy of this press release is located on our website. 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 the case numbers listed above.
- Nicholas Shamar Griffin, 7:18-CR-00174-D-1:
Media Advisory In-Person Press ConferenceRead the Press Release
WHEN: Thursday, August 19, 2021 at 1:00 p.m.
WHERE: Brunswick County Sheriff’s Office
70 Stamp Act Drive
Bolivia, NC 28422
Re: Prosecutions of Violent Gang Leaders & Significant Armed Drug Traffickers
The United States Attorney’s Office announces a press conference to discuss the successful prosecution of 26 defendants, including the highest-ranking member of the Bloods street gang in Brunswick County.
This prosecution targeted defendants who trafficked large amounts of cocaine and crack cocaine from Texas to Brunswick County. One defendant was responsible for trafficking almost 28 kilograms of cocaine. The prosecution also led to the seizure of heroin, fentanyl, and more than a dozen firearms.
In addition to Acting United States Attorney G. Norman Acker, III, we anticipate Sheriff John Ingram of Brunswick County; Resident Agent in Charge (RAC) Shawn Stallo of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and District Attorney Jon David to participate in this event.
Credentialed members of the media are invited to attend. For additional information, and to RSVP your intentions to attend this event, please email Don Connelly at [email protected].
Angier, NC Resident Sentenced for Conspiring to Defraud the North Carolina Medicaid SystemRead the Press Release
NEW BERN, N.C. – An Angier, North Carolina man, Ruben Samuel Matos, was sentenced today to 42 months in prison and three years of supervised release for conspiracy to commit health care fraud. On September 18, 2020, Matos pled guilty to the charge. As part of sentencing, Matos was also ordered to pay $1,997,883 in criminal restitution to the North Carolina Fund for Medical Assistance.
According to court documents and other information presented in court, between 2014 and 2017, Matos conspired with multiple individuals and businesses to defraud the North Carolina Medicaid system by submitting over $3.6 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.
Matos initially partnered with Reginald Van Reese, Jr., a Raleigh, NC resident who was previously convicted of conspiracy in a related case. As part of the scheme, Matos and Reese canvassed low-income neighborhoods to identify eligible Medicaid recipients and collect their personal information, including Medicaid identification numbers. The beneficiary information was then sold and supplied to behavioral health business operators for the unlawful purpose of generating fraudulent claims for reimbursement of services that were never rendered.
Matos and Reese worked closely with co-conspirator Antonio Deon Fozard, a Durham, NC resident who controlled multiple behavioral health entities, including Group Service and In Touch of Care. Fozard, Matos, and Reese defrauded the North Carolina Medicaid system by incorporating stolen Medicaid beneficiary and clinician data into false billings for these entities and enlisting “note writers” to fabricate supporting medical documentation for use in the event of an audit.
In furtherance of a similar Medicaid fraud scheme, Matos and Reese later partnered with Luis Angel Lozada, a Clayton, NC resident who owned and operated Cornerstone Family Services Group, a purported behavioral health business in Zebulon, NC. According to the investigation, Cornerstone used stolen Medicaid beneficiary and clinician data to back-bill the Medicaid system and recruited note writers to prepare bogus medical records to substantiate the claims.
Antonio Fozard and Luis Lozada pleaded guilty to health care fraud charges in the U.S. District Court for the Eastern District of North Carolina and are currently awaiting sentencing.
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. The Federal Bureau of Investigation and the North Carolina Medicaid Investigations Division investigated the case. Assistant U.S. 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-307.
Raleigh Felon Sentenced After Pulling a Firearm on Officers During a Drug InvestigationRead the Press Release
NEW BERN, N.C. – Rakim Royster of Raleigh was sentenced today to 57 months in prison for possession of ammunition by a convicted felon. Royster pled guilty to the charge on March 25, 2021.
According to court documents and statements made during hearings, in February 2020, the Raleigh Police Department received tips of drug activity at Royster’s Raleigh home. Law enforcement used a confidential source to make two controlled purchased of cocaine from Royster on February 25 and 28. The next day they obtained and executed a search warrant on Roster’s residence.
On February 29, 2020, prior to executing the search warrant, officers conducted a traffic stop to take Royster into custody. As they approached the car, Royster lifted his right hand from between the seats and pointed a handgun toward the approaching officers. But then he quickly dropped the gun and raised his hands to surrender. From the car’s floorboard, officers seized a Polymer80 9mm handgun with an extended magazine.
Officers then searched Royster’s home, where they found digital scales, baggies, and small amounts of cocaine and marijuana. They also recovered multiple 9mm magazines and bags of both 9mm and 40 caliber ammunition. Royster admitted to selling cocaine and heroin and stated that he carried the firearm for protection.
Even though the handgun Royster possessed was a Polymer80 handgun (sometimes referred to as a “ghost gun”), it was nevertheless a firearm under federal law, including for purposes of sentencing under the Federal Sentencing Guidelines, which led to the significant sentence Royster received.
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. The Raleigh Police Department and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation. Assistant U.S. Attorneys Daniel Smith, Jake D. Pugh, and Laura Howard 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-0320-FL.
Murfreesboro Man Sentenced After Armed Robbery of Conway Convenience StoreRead the Press Release
NEW BERN, N.C. – Eric Laneil Beale of Murfreesboro was sentenced today to 92 months in prison for interference with commerce by robbery and brandishing a firearm in connection with that crime. Beale pled guilty to the charges on March 9, 2021.
According to court documents and statements made during hearings, on January 10, 2019, at around 6:30 p.m., two men holding guns ran into the Park N Shop convenience store in Conway, North Carolina. One man—wearing all black with a black hood pulled over his face—went to an employee who was working behind a deli counter, grabbed her by her shirt, and pushed her to the front counter with the gun against her head. The other man—wearing bright blue pants and a burgundy hooded sweater with the hood down—went behind the front counter and grabbed the money from the cash register. Both men then fled on foot.
Law enforcement began searching the area, and one officer noticed a man, later identified as Beale, crouching behind a parked car. Beale, still crouching as if trying to not be seen, then walked over and got into the driver’s seat of another car that someone had just parked and stepped away from. The officer ordered Beale out of the car and detained him. A pat down uncovered twenty stacked $5 bills in Beale’s front pants pocket, and Beale admitted that he was involved in the robbery.
At the police station, Beale confessed to going into the store and committing the robbery, identifying himself as the man who had collected the money. He directed officers to an abandoned building near a cemetery, where officers recovered a .380 caliber Hi-Point handgun, a plastic bag containing the rest of the stolen money, and the blue pants and burgundy sweater that he had worn during the robbery.
Law enforcement later identified Beale’s accomplice as co-defendant Isaiah Vaughan based on a distinctive tattoo visible on the surveillance video. Vaughan pled guilty to the same charges on June 8, 2021, and is scheduled to be sentenced during the Court’s October 2021 term.
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. The Conway Police Department and Northampton County Sheriff’s Office 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. 2:20-cr-0049-FL.
Fugitive Sex Offender Living Under Alias in Wilmington Sentenced to 52 Months for Failing to RegisterRead the Press Release
RALEIGH, N.C. – A man who was on the run for two years before being apprehended in New Hanover County was sentenced last Thursday to 52 months in prison for Failure to Register as a Sex Offender.
According to court documents, Henry Lewis Sisk, 48, was charged with one count of Failure to Register as a Sex Offender, in violation of 18 U.S.C. § 2250. Sisk pled guilty on May 11, 2021.
In 2008, Sisk was convicted of an offense involving sexual contact with a 5-year-old and his sentence included a lifetime registration requirement. After being released, Sisk moved to Michigan where he initially registered but by late 2017, Sisk had absconded and in January 2018, a warrant issued from Michigan for failure to register. Investigators learned that Sisk traveled to South Carolina in early 2019, where he allegedly had sexual contact with a 4-year-old, according to an April 2019 warrant that remains pending. By June 2019, Sisk had relocated to Wilmington, NC and was living under the alias of Johnny Osborne. In January 2020, Sisk was stopped at a checkpoint in New Hanover County and identified himself as Johnny Osborne but was unable to produce a license and eventually was identified as Sisk by the New Hanover County Sheriff’s Office through fingerprint analysis. Sisk did not, as required, register as a sex offender anywhere in North Carolina.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge W. Earl Britt. The U.S. Marshals Service, Eastern District of North Carolina, Carolinas Regional Fugitive Task Force, and New Hanover County Sherriff’s Office investigated the case and Assistant U.S. Attorney Bryan Stephany prosecuted the case.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
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-00185-BR.
Rocky Mount Man Sentenced to 120 Months for Armed RobberyRead the Press Release
NEW BERN, N.C. – A Rocky Mount man was sentenced today to 120 months in prison for robbing a convenience store at gunpoint. On May 6, 2020, Irvin Fields pled guilty to Count 1 of the Indictment, which charged Interference With Commerce by Robbery, in violation of 18 U.S.C. § 1951.
According to court documents and other information presented in court, Fields, 42, robbed the West Mount Food Mart in Rocky Mount on May 10, 2016. After entering the store, Fields brandished a large revolver and pressed it into the side of the lone store clerk. Fields demanded money and threatened to “pop” the victim clerk. Fields fled with $478 cash from the register. The store clerk called 911 and law enforcement quickly located Fields’ vehicle at a nearby intersection and observed the firearm being thrown from the vehicle. The victim clerk positively identified Fields.
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. The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and Nash County Sheriff’s Office (NCSO) investigated the case and Assistant U.S. Attorneys Charity Wilson and Bryan Stephany prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its 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.
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-00155-FL.
Goldsboro Drug Trafficker Involved in a Shootout in Night Club Parking Lot Sentenced to 118 Months in Federal PrisonRead the Press Release
NEW BERN, N.C. – DiTwan Davis, 26, of Goldsboro North Carolina, was sentenced on August 12, 2021 to 118 months in prison for Possession of a firearm by a Convicted Felon and Conspiracy to Distribute and Possess with the Intent to Distribute a quantity of methamphetamine.
According to court documents, evidence presented in court, and other documents, on May 11, 2019, Goldsboro Police Officers responded to a shooting at Morgan’s Night Club in Goldsboro. Based upon the investigation, Davis discharged a firearm at someone in the parking lot. Davis then attempted to flee the scene by driving away. A Wayne County Sheriff’s Deputy working an off-duty assignment attempted to stop Davis. Davis accelerated the car at the officer who was forced to discharge his weapon at the car. Davis struck the officer and then ran over a person who was leaving the Night Club. This person sustained serious injuries. Davis continued to drive at a high rate of speed and ultimately lost control of the car and wrecked. Law enforcement arrested Davis and recovered the firearm from the car. Davis had previously been convicted of a felony and was prohibited from possessing a firearm.
Law enforcement had been investigating a drug trafficking organization which was involved in distributing methamphetamine in Goldsboro and Duplin County. During June and July 2019, Davis had been present when law enforcement made two controlled purchases of methamphetamine from a residence on Dale Street in Goldsboro. On July 3, 2019, Davis and another person were arrested in the Family Dollar parking lot in Duplin County when they attempted to deliver approximately 4 ounces of methamphetamine. Davis was acting as security for the organization.
The investigation was part of OCDETF Operation Fighting Jellyfish. An Organized Crime Drug Enforcement Task Force (OCDETF) is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets. This OCDETF focuses on a Multi-State Drug Trafficking Organization and Gang Activity associated with Narcotics distribution which has been responsible for acts of violence and the distribution of hundreds of pounds of methamphetamine throughout the United States.
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. The Bureau of Alcohol, Tobacco and Firearms, the Drug Enforcement Administration, the Craven, Duplin, New Hanover, Pamlico and Wayne County Sheriff’s Offices and the Goldsboro Police Department 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-3.
Drug Trafficker Involved in the Importation of Cocaine from Connecticut to New Hanover and Brunswick Counties Sentenced to More Than 10 Years in Federal PrisonRead the Press Release
NEW BERN, N.C. – Marcus Robinson, 45, of Winnabow, North Carolina, was sentenced on August 13, 2021 to 128 months in prison for Conspiracy to Distribute and Possess with the Intent to Distribute 280 grams or more of Crack Cocaine and 500 grams or more of Cocaine and Possess with the Intent to Distribute 280 grams or more of Crack Cocaine and 500 grams or more of Cocaine.
According to court documents, evidence presented in court and other documents, on April 17, 2018, a New Hanover County Sheriff’s Deputy conducted a traffic stop on a car that Robinson was a passenger. Following a K-9 alert on the car for the presence of narcotics, law enforcement found more than 6 ounces of cocaine and 2 ounces of crack cocaine underneath the hood of the car. Law enforcement uncovered that ROBINSON was bringing the drugs from New Haven, Connecticut to New Hanover County. The investigation was able to establish that Robinson had delivered more than a kilogram of cocaine and crack cocaine combined from November 2017 until his arrest in April to Eastern North Carolina.
The investigation was part of OCDETF Operation Angry Penguins. An Organized Crime Drug Enforcement Task Force (OCDETF) is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets. This OCDETF focuses on a Multi-State Drug Trafficking Organization and Gang Activity distributing large amounts of heroin and cocaine into Eastern North Carolina.
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. The Federal Bureau of Investigation, New Hanover County Sheriff’s Office and the Holly Ridge and Wilmington 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. 7:18-cr-00103-FL.
Former Social Services Employee in Harnett County Sentenced for Theft of Government FundsRead the Press Release
RALEIGH, N.C. – A Fayetteville, North Carolina woman, Lakisha Victoria McDougald, was sentenced today to 30 months and three years of supervised release for theft of government funds. McDougald was also ordered to pay $233,913 in restitution to the U.S. Department of Agriculture. On May 11, 2021, McDougald pled guilty to the charge.
According to court documents and other information presented in court, McDougald was employed as an income maintenance caseworker for the Department of Social Services in Harnett County. Between approximately 2014 and 2019, McDougald used state computer networks to unlawfully access the accounts of individuals who were enrolled in the federal Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program. The targeted individuals were no longer eligible to collect benefits. McDougald, however, used her access privileges to cause food stamp EBT cards registered in the names of the beneficiaries to be sent to her home address, added false dependents to increase the monthly benefit allotment, sold the cards to others, and used the cards herself to purchase merchandise. For example, one of McDougald’s clients in Harnett County moved to Florida, disqualifying her from receiving further SNAP benefits from the State of North Carolina. McDougald accessed the client’s account and changed the address on file to her own address, thereby causing multiple EBT cards loaded with government funds to be sent to her. Later, McDougald added three false dependents to the account to drive up the benefit amount and converted the funds for her own use.
McDougald’s unlawful activities resulted in the loss of over $200,000 in government funds.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge W. Earl Britt. The U.S. Department of Agriculture, Office of Inspector General, with the assistance of the Harnett County Sheriff’s Office and the Harnett County Social Services Department investigated the case. Assistant U.S. 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-00524-BR.
Former Ft. Bragg Employees Accused of Receiving BribesRead the Press Release
RALEIGH, N.C. – Three men formerly employed at Ft. Bragg, North Carolina were arrested today on charges of bribery of a government official. Calvin Alfonza Jordan, 64, Edward Wade Crisco, 59, and Stephen Paul Sabato, 50, were charged via indictment with Jordan also charged with money laundering.
According to court documents, from 2011 to 2019, Jordan was a procurement agent assigned to the Operations and Maintenance Division, Directorate of Public Works (DPW), at Fort Bragg, NC, and entrusted to contract for services for DPW. DPW is responsible for design, construction, maintenance, and operation of utility systems on Ft. Bragg. The indictment alleges that Jordan, Crisco, a flooring technician assigned to DPW, and Sabato, a roofing technician assigned to DPW, each accepted payments from companies and individuals in return for increasing the amount of federal contracts with those companies and individuals. In particular, Jordan is alleged to have received thousands of such payments of at least $200 each. Over the 8-year period, payments received for such work orders amounted to a total estimated income to Jordan of $1,080,400. It is alleged that Jordan laundered some of that money by making cash deposits and then, in turn, withdrawing money to make large purchases including a BMW. It is alleged that during that time, Sabato profited at least $200,000, and Crisco profited at least $50,000.
Sabato and Crisco are charged with two counts of receiving bribes and gratuities for steering contracts to vendors and for recommending particular contractors for jobs and by passing their work on inspection without regard to completion workmanship. Jordan is charged with multiple counts of bribery and also faces charges of money laundering. If convicted, Jordan would face up to a maximum term of 30 years’ imprisonment, a $250,000 fine as to each of the counts, and a term of up to three years supervised release following any term of imprisonment. Crisco and Sabato face up to 15 years’ imprisonment, a $250,000 fine as to each count, as well as supervised release following any imprisonment. The indictment also gives notice that the defendants may be subject to substantial forfeiture of the proceeds of these crimes.
“Any allegations of bribery by a government employee are disheartening. In this case, it is alleged these men, tasked with maintaining and contracting to maintain the very spaces in which the members of our military live and work, put their own monetary gain above that task,” said Acting United States Attorney, Norman Acker.
"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. "This indictment demonstrates our resolve, alongside our law enforcement partners, to bring to justice those who subvert the DoD contracting process for their own gain, jeopardizing the combat readiness of our military."
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement. The 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 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-313-M.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty.
Pikeville Man Sentenced to over 12 Years for Two Armed RobberiesRead the Press Release
RALEIGH, N.C. – A Pikeville man was sentenced to 147 months in prison for committing armed robberies in Kenly and Selma, North Carolina. Richard Lavar Carter entered his guilty plea on April 13, 2021.
According to court documents and other information presented in court, Carter and another unidentified subject committed two armed robberies in Johnston County in the early morning hours of October 15, 2019. Around 3:00am, video surveillance footage from a Waffle House in Kenly, North Carolina, showed Carter brandishing a handgun at employees before fleeing the store with money from the register. Just an hour later, video surveillance footage from the New Dixie Mart in Selma, North Carolina, showed Carter and another unidentified male subject brandishing a handgun and an AK-style rifle and robbing the store. During this robbery, Carter assaulted one of the store clerks with his handgun. Investigators were able to identify Carter’s face from the store video. Carter was arrested on state charges on October 18, 2019. Carter was charged federally in April of 2020 and transferred to federal custody in May of 2020.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge W. Earl Britt. The Kenly Police Department, the Selma Police Department, the Johnston County Sheriff’s Office, 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. 5:20-CR-178-BR.
Lumberton Man Convicted of Possessing a Firearm as a Convicted FelonRead the Press Release
RALEIGH, N.C. – A federal jury convicted a Lumberton man yesterday on a charge of Possession of a Firearm by a Convicted Felon.
According to court records and evidence presented at trial, Robeson County Sheriff’s Office responded to a shooting that occurred on December 25, 2019. At the residence, they found an individual suffering from multiple gunshot wounds. Through the course of the investigation, law enforcement developed Michael Lane Breeden, 51, as a suspect in the shooting.
Officers executed a search warrant at the residence of Michael Lane Breeden on January 7, 2020. During the execution of the search warrant, officers recovered a loaded shotgun in Breeden’s bathroom just a few feet from where officers detained him. Breeden had previously been convicted of robbery with a dangerous weapon and assault with a deadly weapon inflicting serious injury.
Breeden faces a maximum penalty of 120 months in prison when sentenced in November of 2021.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after Senior U.S. District Judge W. Earl Britt accepted the verdict. The Bureau of Alcohol, Tobacco, Firearms, and Explosives, Robeson County Sheriff’s Office, and Cumberland County Sheriff’s Office are investigating the case and Assistant U.S. Attorneys Chad Rhoades and John Parris are prosecuting the case.
A copy of this press release is located on our website. 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-00198-BR.
Lumberton Man Pleads Guilty to ID TheftRead the Press Release
WILMINGTON, N.C. – A Lumberton man pleaded guilty today to the possession of another’s identification document with the intent to defraud the United States, in violation of 18 U.S.C. § 1028(a)(4).
According to court documents, Chad Hunt, 43, was working on a drywall contract for the United States Government in Fayetteville, North Carolina. Hunt unlawfully possessed and provided the valid driver’s license of another individual, cleared to work on the site, to one of his workers who had not received clearance to be on the job. Using the false identification, the worker accessed the work site in contravention to the security protocols in place on numerous occasions between June 4 and July 3, 2020.
Hunt pleaded guilty to the possession of the identification document and faces a maximum penalty of 12 months in prison. Sentencing is set to occur in December, 2021.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after United States Magistrate Judge Robert B. Jones accepted the plea. The Federal Bureau of Investigation is investigating the case.
A copy of this press release is located on our website. 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-00235-FL.
Connecticut Man Sentenced to 8 ½ Years for Federal Firearms ViolationRead the Press Release
WILMINGTON, N.C. – A Connecticut man was sentenced to 102 months in prison for possessing a firearm despite being a previously convicted felon. Marquis Lamar McDuffie entered his guilty plea on May 5, 2021.
According to court documents and other information presented in court, officers with the Greenville Police Department attempted to conduct a lawful traffic stop on a vehicle operated by McDuffie on May 3, 2020. McDuffie attempted to flee before exiting his vehicle, throwing a loaded handgun over a fence and into the parking lot area of a nearby motel. The firearm landed by two children who were playing outside but was quickly secured by police officers. A subsequent search of McDuffie’s vehicle yielded quantities of marijuana, MDMA, and crack cocaine. McDuffie was on federal supervised release from Connecticut for a prior firearm conviction.
G. Norman Acker, III, Acting 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 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. 4:20-CR-99-M.
Pembroke Man Sentenced for Fentanyl and Firearm CrimesRead the Press Release
WILMINGTON, N.C. – A Pembroke man was sentenced yesterday to 160 months in prison for possession with intent to distribute fentanyl and possession of a firearm in furtherance of a drug trafficking crime. On May 3, 2021, Patrick Warren Privette pled guilty to the charges.
According to court documents and other information presented in court, on October 15, 2020, officers with the Robeson County Sheriff’s Office executed a search warrant at Patrick Privette’s residence after learning he supplied drugs to an individual which led to an overdose. Inside the defendant’s bedroom, officers located a quantity of fentanyl, and approximately 50 prescription pills. Inside an air vent near the nightstand, officers recovered a Walther .380, model PK380, semi-automatic handgun. Officers arrested Privette and transported him to the Robeson County Sheriff’s Office where he waived his Miranda rights and gave a statement. Privette stated that the drugs found in the house were his and that he had been dealing heroin and fentanyl. He also admitted to possessing the gun and needing it for protection. Privette is also a convicted felon and prohibited from possessing firearms. Another witness confirmed that Privette had been dealing fentanyl for months.
G. Norman Acker, III, Acting 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 and the Robeson County Sheriff’s Office investigated the case and Assistant U.S. Attorney Chad E. 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-00193-M.
Fairmont Man Found Guilty of Four Robberies in Robeson CountyRead the Press Release
NEW BERN, N.C. – A Fairmont man was found guilty today of four counts of Hobbs Act robbery, four counts of Brandishing a Firearm in Furtherance of a Crime of Violence, and one count of Possession of a Firearm by a Convicted Felon.
According to court documents and other information presented in court, Frank Giles McCree, 34, was accused of a series of robberies in Robeson County. During the month of June, 2016, three different Family Dollar stores and one Dollar General store were robbed at gun point. In each of the robberies, the robber wore a Jamaican style beanie, a wig of fake dreadlocks and a dark hooded sweatshirt. The robber would wait until the cash drawer was opened by a clerk and then would brandish a firearm. Using threats to shoot or kill the clerks, the robber would steal the entire drawer from the cash registers and demand the clerks open the safes, from which he would also steal money. During two of the robberies, he also stole the stores phone to make it more difficult for the victims to contact law enforcement.
On June 29, 2016, Frank McCree was the passenger in a car that was pulled over for a traffic violation. The car also matched the description of a car leaving the scene of the first Family Dollar robberies. When law enforcement spoke to the driver and the defendant, law enforcement noticed a dreadlock wig in the glove compartment. McCree and the driver were removed from the car. In the middle of the passenger floorboard, at McCree’s feet, was a loaded, .40 Hi-Point Firearm. Also located in the car was the distinct Jamaican style beanie worn by the robber.
McCree made a phone call from the Robeson County jail to a family member asking them to get in touch with his girlfriend to get rid of something under her bed. When law enforcement went to her home, they found a Family Dollar bag with change in it, in bank rolls consistent with how the Family Dollar would get coins from the bank.
In an interview, McCree admitted possession of the firearm and said he had borrowed it from a friend for protection. McCree will be sentenced during the November 9, 2021 term of court.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge Louise W. Flanagan accepted the verdict. The Bureau of Alcohol, Tobacco and Firearms, Rowland Police Department, Maxton Police Department, Robeson County Sheriff’s Office, and St. Pauls Police Department investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
This case is also part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its 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.
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. 7:17-cr-00134-FL-1
Smithfield Man Sentenced to Three Life Sentences for Human TraffickingRead the Press Release
RALEIGH, N.C. – A Smithfield man was sentenced today to three consecutive life sentences in prison for 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. On March 1, 2021, Jenkins was convicted of those crimes by a jury after a five-day trial. Jenkins was also ordered to pay restitution in an amount of at least $418,361.70.
According to court records and evidence presented at trial, Jonathan Lynn Jenkins, aka “Max,” 48, and his co-conspirator prostituted many women between November 2014 and October 2015, including minors. The victims were young, vulnerable, and often struggling to survive. After luring the victims with promises of food, shelter, and a better life, Jenkins and his co-conspirator manipulated and controlled the victim’s lives, isolating them, withholding food, and keeping all money the victims earned. The defendant beat and choked the victims, sometimes to unconsciousness. He emotionally and psychologically abused them. Among other threats, he claimed to have magical powers that allowed him to hunt down victims and kill them. He sexually assaulted victims and forced them into sexual acts against their will. And he attempted to murder a man who helped one victim escape.
Before imposing the sentence, Judge Dever described Jenkins as “an extraordinarily dangerous human being” and his crimes as a “form of modern-day slavery.”
Jenkins was convicted of second-degree murder in North Carolina state court in 2006, and first-degree murder charges are pending against him in state court in Johnston County, North Carolina.
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 James C. Dever III. The Department of Homeland Security – Homeland Security Investigations, the Raleigh Police Department, the North Carolina State Bureau of Investigation, and the Johnston County Sheriff’s Office investigated the case. Assistant U.S. Attorneys Erin Blondel and Lucy Brown 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. 5:18-CR-451-D.