Eastern District of North Carolina
Press releases recorded for this federal judicial district.
Man Convicted of Conspiracy to Commit Marriage Fraud and Making a False Statement in an Immigration MatterRead the Press Release
ELIZABETH CITY – United States Attorney Robert J. Higdon, Jr. announced that, EDWARD KUMI ANGUAH, of Fayetteville, North Carolina, was convicted in federal court following a two-day trial before Chief United States District Judge Terrence W. Boyle. ANGUAH was convicted of conspiracy to commit marriage fraud, and making a false statement in an immigration matter.
The jury heard evidence that ANGUAH, a Sergeant in the U.S. Army conspired with foreign nationals to engage in fraudulent marriages with U.S. Army soldiers. By marrying the soldiers, the foreign nationals sought legal status in the United States to which they were not entitled. Additionally, ANGUAH filed a false statement with United States Citizenship and Immigration Services on behalf of one of the foreign nationals.
ANGUAH faces a maximum sentence of 10 years imprisonment.
Homeland Security Investigations, the Army Criminal Investigation Division at Fort Bragg, and the Hoke County Sheriff’s Office conducted this enforcement operation. Assistant United States Attorney Gabriel Diaz represented the government.
Columbus County Woman Sentenced to 45 Months Imprisonment for Stealing from Her Elderly In-LawsRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that today United States District Judge James C. Dever III sentenced ELIZABETH WILLIAMSON, age 55, of Evergreen, NC, to 21 months imprisonment for bank fraud and 24 months imprisonment for aggravated identity theft, to run consecutively for a total of 45 months. Judge Dever also ordered WILLIAMSON to pay $95,691.95 in restitution to the victims and to forfeit $30,320.30 to the United States.
On June 17, 2019, WILLIAMSON pled guilty to one count of bank fraud and one count of aggravated identity theft. According to the investigation, between 2015 and 2017, WILLIAMSON stole her elderly in-laws’ life savings for her own benefit. To assist in carrying out her scheme, WILLIAMSON submitted a Power of Attorney to BB&T for use on the their bank accounts, stole their checkbooks, wrote checks listing herself as payee, and forged their signatures on the checks. WILLIAMSON also used their bank account information to pay her bills and shop online. WILLIAMSON submitted a fraudulent change of address form to the United States Post Office redirecting all of her in-laws’ mail from their home to her home. On at least five occasions, WILLIAMSON stole checks mailed to her in-laws and deposited them into her own State Employees’ Credit Union account. The investigation also determined that, as the money dwindled, WILLIAMSON stopped refilling her in-laws’ medication. In issuing its sentence, the Court noted WILLIAMSON stole the victims’ “peace of mind” and “systematically deceived them.” After serving her sentence, WILLIAMSON will be placed on supervised release for five years.
For more information about DOJ’s efforts to prevent and combat elder abuse, please visit the Elder Justice Website at https://www.justice.gov/elderjustice. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. You can also contact the Victim Connect Hotline between 9am-6pm, Monday through Friday, at: 1- 855-4VICTIM (1-855-4842846), or contact the Elder Justice Coordinator at the U.S. Attorney’s Office for the Eastern District of North Carolina at (919) 856-4530.
The U.S. Postal Inspection Service conducted investigation of this case. Special Assistant United States Attorney Tamika Moses prosecuted the case for the government.
Alien Indicted on Illegal Reentry ChargeRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging ANGEL EVARISTO IBARRA-RIVERA, age 30, of Mexico, with Illegal Reentry of a Deported Alien subsequent to a Felony Conviction.
Therefore, if convicted, IBARRA-RIVERA, previously deported five times and found in Wake County, would face a maximum imprisonment term of 10 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictment is merely an accusation. The defendant is presumed innocent unless and until proven guilty in a court of law.
ICE’s Enforcement and Removal Operations and Homeland Security Investigations are investigating the case.
Two Florida Brothers Sentenced to Prison for Identity Theft and Credit Card Scam at BelkRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, GUSTAVO TEIXEIRA MENDES DE ALMEIDA (GUSTAVO ALMEIDA), 35, of Coral Springs, Florida, and HENRIQUE TEIXEIRA MENDES DE ALMEIDA (HENRIQUE ALMEIDA), 30, of Coral Springs, Florida, were both sentenced to 30 months imprisonment and 3 years of supervised release on charges of Conspiracy to Commit Access Device Fraud and Aggravated Identity Theft. Additionally, the court ordered restitution for $54,806 payable to Belk and forfeiture of the proceeds of the offense.
United States Attorney Robert J. Higdon stated, “Credit card fraud and identity theft crimes can place an enormous mental strain upon victims. Often times, victims are left trying to convince merchants, law enforcement and reporting agencies that they were not responsible for the offenses. These crimes also drive up costs for all law-abiding citizens. This office will continue to bring to justice those who seek to commit crimes using the identities of others.”
The investigation showed that in December of 2018, security personnel for Belk Department Sores became aware of a scheme whereby two men would enter one of various Belk store locations in North and South Carolina and purchase gift cards in $300 increments using credit card numbers associated with foreign banks. The men presented identification in the form of passports from Brazil and Portugal. The men would then travel to other Belk locations and use the previously acquired gift cards to purchase large quantities of merchandise. Among other items, the purchased merchandise frequently consisted of computer gaming equipment or NEST cameras. On or about December 10, 2018, Belk security personnel in Charlotte issued a “be on the lookout” alert with respect to the two men due to the suspicious activity.
On December 18, 2018, the two men were seen by Belk security personnel at the Belk store at the Independence Mall in Wilmington, North Carolina, purchasing $300 Belk gift cards and several NEST products. The Belk representatives at Independence Mall contacted fellow Belk security personnel at Belk’s store located near Wrightsville Beach (Belk Mayfaire) and advised them that the two suspects were in the Wilmington market.
Belk security personnel then observed one of the two suspects over Belk Mayfaire’s closed circuit television. The individual was in possession of a shopping cart filled with NEST products on the store’s second floor. A Belk store manager spoke to the individual during the checkout process. At that time, the suspect stated that he was planning to sell the merchandise in Brazil due to the large markup on the items. After the transaction, the suspect exited the building, but was monitored by Belk security personnel, who had already contacted the Wilmington Police Department.
Outside of the store, Belk security personnel caught up to and stopped the two suspects, both of whom matched the photographs of the subjects under investigation from prior video surveillance. Shortly thereafter, officers with the Wilmington Police Department arrived and questioned the men, which turned out to be HENRIQUE ALMEIDA and GUSTAVO ALMEIDA. Both men were found to be in possession of counterfeit identification cards. Additionally, a search of the vehicle driven by the brothers revealed large quantities of merchandise and receipts pertaining to known prior purchases by the two men. Officers also found evidence that the men had been shipping the stolen equipment to their home in Coral Springs Florida. A search in Florida resulted in the recovery $17,000 in currency, several suspected counterfeit passports, and numerous items previously purchased at Belk stores in North Carolina.
The ALMEIDA brothers were indicted in December of 2018, and both pled guilty on September 9, 2019.
This case was investigated by the United States Secret Service, Wilmington Police Department and the Kure Beach Police Department. Assistant United States Attorney William M. Gilmore represents the United States.
Fayetteville Men Sentenced More Than 10 Years for Drug Distribution and Firearm OffensesRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that United States District Judge James C. Dever, III, sentenced JOSHUA AARON DAVIS, 40, of Fayetteville, NC, yesterday. Judge Dever sentenced co-defendant CORNELIUS THOMAS on October 9, 2019. THOMAS was sentenced to 132 months imprisonment and five years of supervised release. DAVIS was sentenced to 181 months of imprisonment and 5 years of supervised release.
On February 15, 2019, THOMAS pled guilty to conspiracy to distribute and possess with intent to distribute one hundred grams or more of heroin, five kilograms or more of cocaine, and twenty-eight grams or more of cocaine base (crack), and possession with intent to distribute one hundred grams or more of heroin, a quantity of marijuana, a quantity of cocaine, and twenty-eight grams or more of cocaine base (crack).
On August 19, 2019, DAVIS pled guilty to conspiracy to distribute and possess with intent to distribute one hundred (100) grams or more of heroin, fifty grams or more of methamphetamine, twenty-eight grams or more of cocaine base (crack), and a quantity of cocaine; possession with intent to distribute a quantity of heroin, marijuana, cocaine, methamphetamine, and twenty-eight grams or more of cocaine base (crack); and possession of a firearm in furtherance of a drug trafficking crime.
In June 2017, law enforcement began an investigation into JOSHUA DAVIS’s drug distribution activity in the Fayetteville area. Through the investigation, law enforcement identified some of DAVIS’s sources of supply, to include CORNELIUS THOMAS. In an investigation spanning over a year, law enforcement conducted numerous purchases of illegal controlled substances from both THOMAS and DAVIS.
In October 2018, THOMAS and DAVIS were both arrested federally, and search warrants of their residences were executed. Both men had significant quantities of a variety of controlled substances at their residences. In addition, DAVIS also possessed a firearm located in close proximity to evidence of controlled substance distribution.
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.
The Federal Bureau of Investigation and Fayetteville Police Department investigated this case. Assistant United States Attorney Lucy Brown prosecuted this case for the government.
3 from Harnett County Sentenced on Firearms ChargesRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that yesterday in federal court, United States District Judge James C. Dever III sentenced JESSICA PATE, 26, of Dunn, North Carolina to 18 months imprisonment, followed by 2 years of supervised release.
PATE was named in a Superseding Indictment filed on March 13, 2019 charging her with Possession of a Firearm with an Obliterated Serial Number. On June 17, 2019, PATE pled guilty to that charge. The Superseding Indictment also charged CODIE EVAN KOERNER, 26, of Erwin, North Carolina and JEFFREY CLEO WILLIAMS, 28, of Coats, North Carolina, with Possession of Firearm by a Felon. On May 2, 2019, KOERNER and WILLIAMS pled guilty to Possession of Firearm by a Felon. On August 6, 2019, WILLIAMS was sentenced to 96 months imprisonment followed by 3 years supervised release. On September 9, 2019, KOERNER was sentenced to 120 months imprisonment followed by 3 years supervised release.
According to the investigation, on July 5, 2018, KOERNER, WILLIAMS, PATE, and a fourth person conspired to break into a residence in Harnett County where they stole seven firearms as well as additional personal property. Later that same evening the Dunn Police Department responded to a report involving an individual, later determined to be KOERNER, pointing a firearm and threatening a person at a hotel. The victim spoke with officers, and stated that PATE and the victim were arguing when KOERNER pointed a gun at her and ordered her to leave. During the course of the Dunn Police Department’s investigation, officers located in KOERNER’s vehicle an AR-15 rifle, two .22 caliber rifles, a 12-gauge shotgun, and a .22 caliber handgun that were stolen during the earlier residential burglary. In a hotel room, officers also recovered a 9mm gun with an obliterated serial number in PATE’s bag along with other personal property from the residence. Inside WILLIAMS’ bag, officers recovered a .22 caliber handgun. Agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives learned through the course of their investigation that after the residential burglary, the defendants traded one of the stolen firearms for the 9mm handgun that officers recovered from PATE’s bag. Both KOERNER and WILLIAMS were convicted felons. KOERNER’s felony convictions included state convictions for Possession of Firearm by a Felon, Felony Breaking and Entering, and Possession of a Stolen Firearm. WILLIAMS’ felony convictions included state convictions for Possession of a Stolen Motor Vehicle and Possession with Intent to Manufacture, Sell, or Deliver Methamphetamine.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
That effort has been implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For more information about this initiative click here: https://www.justice.gov/usao-ednc/tbnc.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives, Harnett County Sheriff’s Office, and Dunn Police Department conducted the investigation in this matter. Assistant United States Attorney Tom Crosby represented the government.
Fayetteville Men Sentenced for Drug Distribution and Firearm OffensesRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that JOSHUA AARON DAVIS, 40, of Fayetteville, NC, was sentenced by United States District Judge James C. Dever, III. Co-defendant CORNELIUS THOMAS was sentenced by Judge Dever on October 9, 2019. THOMAS was sentenced to 132 months imprisonment and five years of supervised release. DAVIS was sentenced to 240 months of imprisonment and 5 years of supervised release.
On February 15, 2019, THOMAS pled guilty to conspiracy to distribute and possess with intent to distribute one hundred grams or more of heroin, five kilograms or more of cocaine, and twenty-eight grams or more of cocaine base (crack), and possession with intent to distribute one hundred grams or more of heroin, a quantity of marijuana, a quantity of cocaine, and twenty-eight grams or more of cocaine base (crack).
On August 19, 2019, DAVIS pled guilty to conspiracy to distribute and possess with intent to distribute one hundred (100) grams or more of heroin, fifty grams or more of methamphetamine, twenty-eight grams or more of cocaine base (crack), and a quantity of cocaine; possession with intent to distribute a quantity of heroin, marijuana, cocaine, methamphetamine, and twenty-eight grams or more of cocaine base (crack); and possession of a firearm in furtherance of a drug trafficking crime.
In June 2017, law enforcement began an investigation into JOSHUA DAVIS’s drug distribution activity in the Fayetteville area. Through the investigation, law enforcement identified some of DAVIS’s sources of supply, to include CORNELIUS THOMAS. In an investigation spanning over a year, law enforcement conducted numerous purchases of illegal controlled substances from both THOMAS and DAVIS.
In October 2018, THOMAS and DAVIS were both arrested federally, and search warrants of their residences were executed. Both men had significant quantities of a variety of controlled substances at their residences. In addition, DAVIS also possessed a firearm located in close proximity to evidence of controlled substance distribution.
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.
The Federal Bureau of Investigation and Fayetteville Police Department investigated this case. Assistant United States Attorney Lucy Brown prosecuted this case for the government.
Fayetteville Man Sentenced for Firearms OffenseRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge Louise W. Flanagan sentenced JAMES VINCENT BOYD, 50, of Fayetteville to 100 months imprisonment, followed by three years of supervised release.
BOYD was named in an Indictment filed on November 15, 2018, charging him with four counts of felon in possession of a firearm and ammunition and three counts of possession of an unregistered silencer. On March 18, 2018, Boyd pled guilty to one count of felon in possession of a firearm.
According to the investigation, BOYD, a two-time previous federal felon, possessed and sold five firearms, some equipped with unregistered silencers, over the course of a months-long investigation in the Fayetteville area. In October 2018, a search warrant was executed at BOYD’s residence, where additional firearms, ammunition, and unregistered silencers were located.
The Federal Bureau of Investigation and Fayetteville Police Department conducted the investigation in this matter. Assistant United States Attorney Lucy Brown represented the government.
Virginia Salesman Sentenced for Evading over $1 Million in Federal Income TaxesRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge Louise W. Flanagan sentenced GREGORY OVERTON POWELL, age 62, of Hampton, Virginia to 40 months imprisonment, followed by three years of supervised release. The Court also ordered POWELL to pay restitution to the Internal Revenue Service (IRS) in the amount of $1,405,954.
POWELL was named in a Criminal Information filed on December 4, 2018 charging him with willfully evading his federal income tax obligations for approximately 13 years. On February 25, 2019, POWELL pled guilty to the charge.
According to the charging instrument, statements made in court, and other public information, POWELL worked as a timeshare salesman between 2006 and 2016, during which his average annual salary was approximately $300,000. Despite his significant earnings and ability to pay, POWELL systematically and willfully failed to file his tax returns on a timely basis and made minimal, if any, payments towards his tax liabilities. For tax years 2006 through 2016 alone, POWELL’s tax liabilities exceeded $1.4 million, including penalties and interest. The IRS attempted to collect the taxes due and owing by various means. For example, IRS collection officials agreed to allow POWELL to enter into an installment agreement on two separate occasions provided he adjust his tax withholdings. In each instance, POWELL agreed to do so, but then reneged on the terms by falsely representing to his employer that he was exempt from tax, thereby preventing any withholdings from his salary.
During the offense period, POWELL took other steps to evade payment of his tax debts. Among other things, POWELL provided a false collection information statement to the IRS in which he failed to report his ownership of a 34-foot speedboat. POWELL also directed his wife to purchase and hold title to real property as a nominee to obstruct IRS collection efforts. Additionally, POWELL convinced an individual to take nominal title of a residence that POWELL owned in Newport News, Virginia.
IRS-Criminal Investigation conducted the investigation in this matter. Assistant United States Attorney Adam F. Hulbig represented the government.
Fayetteville Man Sentenced to More than 6 Years for Gun OffenseRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court yesterday, Chief United States District Judge Terrence W. Boyle sentenced DAIQONE MICHAEL HOFMAN, 25, of Fayetteville, North Carolina, to 75 months’ imprisonment, followed by a 3 year term of supervised released.
On March 21, 2019, HOFFMAN was named in a one-count Indictment in which he was charged with Felon in Possession of a Firearm. On July 29, 2019, MALLOY pled guilty to the Indictment.
On August 27, 2018, HOFFMAN was in the passenger seat of a vehicle that was stopped at a red light at the intersection of Morgantown Road and Skibo Road in Fayetteville, NC. HOFFMAN exited the vehicle with a gun in hand and approached a vehicle that was also stopped in the adjacent lane. HOFFMAN fired two shots at the victim vehicle before fleeing on foot. One shot hit the driver of the other vehicle, while the other shot struck the frame of the victim’s vehicle. Officers with the Fayetteville Police Department responded and quickly apprehended HOFFMAN after a brief pursuit.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
That effort has been implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For more information about this initiative click here: https://www.justice.gov/usao-ednc/tbnc.
The Fayetteville Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation in this matter. Assistant United States Attorney Bryan M. Stephany prosecuted the case for the government.
Fayetteville Man Sentenced for Narcotics and Firearms ViolationsRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Chief United States District Judge Terrence W. Boyle sentenced BERNARD HARVEY FERGUSON, 33, of Fayetteville, North Carolina to 100 months imprisonment, followed by 5 years of supervised release.
FERGUSON was named in a two-count Criminal Information filed on July 15, 2019 charging him with possession with intent to distribute 100 kilograms or more of marijuana, 280 grams or more of cocaine base (Crack), and 500 grams or more of cocaine (Count One), and possession of firearms in furtherance of a drug trafficking crime (Count Two). On August 8, 2019, FERGUSON pled guilty to those charges.
On March 12, 2018, investigators with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) were notified by the Texas Highway Patrol of a large drug trafficking organization that was delivering marijuana to an address on Milford Road in Fayetteville, and began investigating that residence. A vehicle parked outside of the residence was identified as being registered to FERGUSON. FERGUSON was also identified as having the public utility services for the residence registered in his name.
The same day, investigators made contact with FERGUSON at the Milford Road residence and executed a search warrant of the residence. During the search, investigators located in the kitchen: a plastic bag containing approximately 32.9 grams of cocaine base; baking soda; three digital scales; a stolen .40 caliber Glock handgun which was loaded with a high-capacity magazine; a locked briefcase which contained several large bags of cocaine; seven bags of cocaine base; a gallon-sized bag of marijuana; a box for a Smith and Wesson .40 caliber handgun; a handgun holster; and, more marijuana.
In the dining room, investigators found a storage container holding twenty gallon-sized bags of marijuana.
In the garage, investigators located nine large bales of marijuana wrapped in cellophane, each weighing between 48 to 67 pounds.
In the master bedroom, investigators discovered a stolen .40 caliber Smith and Wesson handgun, 4 gallon sized storage bags of marijuana, and approximately one ounce of cocaine. In a second bedroom, investigators recovered another loaded .40 caliber Smith and Wesson handgun and a backpack with three semi-automatic handguns (one of which was reported stolen) as well as magazines and ammunition. The Drug Enforcement Agency laboratory determined the drugs seized to be 735 grams of cocaine, 307 grams of cocaine base (crack), and 193 kilograms of marijuana.
FERGUSON admitted to investigators that the house was his and claimed ownership of the marijuana, cocaine, cocaine base (crack), and all of the seized firearms. FERGUSON stated that the large bales of marijuana were going to be broken down into 1-pound increments and sold. FERGUSON additionally stated that he purchased the cocaine in powder form and had a friend convert a portion of it to crack cocaine at the residence.
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.
The Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), Drug Enforcement Administration (DEA) and the Fayetteville Police Department investigated this case. Assistant United States Attorney Scott Lemmon represented the government.
Maxton Man Sentenced for Possession with Intent to Distribute CocaineRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Chief United States District Judge Terrence W. Boyle sentenced BENDA RAY LOCKLEAR, 46, of Maxton, North Carolina to 84 months imprisonment, followed by 5 years of supervised release.
LOCKLEAR was named in a Criminal Information filed on July 25, 2019 charging him with possession with intent to distribute 5 kilograms or more of a mixture and substance containing a detectable amount of cocaine. On August 26, 2019, LOCKLEAR pled guilty to the charge.
In March 2018, investigators with the Drug Enforcement Administration and the Robeson County Sheriff’s Office in Lumberton, North Carolina, began investigating the suspected drug trafficking activities of a defendant in Robeson County. The investigation established that individual was working with LOCKLEAR to bring approximately 16 kilograms of cocaine to Robeson County.
Investigators determined, on March 21, 2018, that several of the kilograms of cocaine had been sold, and that LOCKLEAR was in possession of several thousand dollars of drug sale proceeds at his residence. Additionally, it was determined that LOCKLEAR still possessed eight of the kilograms of cocaine.
On March 22, 2018, investigators conducted a traffic stop of a vehicle being driven by LOCKLEAR, and then searched his residence. Agents recovered a vehicle battery that had been hollowed out, as well as heat-sealed bags. Investigators then searched another residence, and found $193,960. Finally, a search of a residence in Maxton, North Carolina resulted in the seizure of eight kilograms of cocaine.
Subsequently, LOCKLEAR admitted to investigators that on March 20, 2018, he had received four hollowed out batteries containing 16 a total of kilograms of cocaine.
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.
The Drug Enforcement Administration (DEA) and the Robeson County Sheriff’s Office investigated this case. Assistant United States Attorney Scott Lemmon represented the government.
Leader and Courier of Multi-Kilogram Heroin Trafficking Organization SentencedRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that TERRENCE CORNEILUS CLYBURN, 45, of Clarkton, NC, and TARA FINIS SIMMONS, 48, of Raleigh, NC, were sentenced yesterday by United States District Judge Louise W. Flanagan. CLYBURN was sentenced to 147 months imprisonment and 5 years of supervised release. SIMMONS was sentenced to 28 months of imprisonment and 5 years of supervised release.
On October 19, 2018, CLYBURN pled guilty to conspiracy to distribute and possess with intent to distribute one kilogram or more of a mixture and substance containing a detectable amount of heroin and a quantity of marijuana, Schedule I controlled substances; possession with intent to distribute one hundred (100) grams or more of a mixture and substance containing a detectable amount of heroin, and aiding and abetting; and, possession with intent to distribute one hundred (100) grams or more of a mixture and substance containing a detectable amount of heroin and a quantity of marijuana, and aiding and abetting.
On April 8, 2019, SIMMONS pled guilty to conspiracy to distribute and possess with intent to distribute one hundred (100) grams or more of heroin.
In March 2016, an investigation was initiated by the Tar River Regional Drug Task Force (TRRDTF), led by the Nash County Sheriff’s Office, into a drug trafficking organization (DTO) headed by TERRENCE CLYBURN, which was operating out of Scotland Neck, Tarboro, and Nash County, North Carolina. Law enforcement received information that members of the DTO had made several trips to Paterson, New Jersey, to acquire large quantities of heroin for distribution in Nash, Edgecombe, and Halifax Counties.
On March 13, 2017, as DTO members, Herbert Cherry and Tony Reams, returned from a trip to Paterson, New Jersey, an officer observed a vehicle driven by Cherry speeding and weaving between traffic lanes in Halifax County. A canine was utilized to conduct an exterior narcotics sniff of the vehicle, which resulted in an alert on the vehicle’s trunk. A search of the vehicle resulted in the seizure of 694 bricks of heroin (approximately 470 grams of heroin) which were packaged in 34,722 bindles and hidden in a false-bottom suitcase and a laundry bag located in the trunk.
On August 16, 2017, the North Carolina State Highway Patrol conducted a traffic stop of another vehicle operated by the DTO, which was occupied by TARA SIMMONS and Charles Lee Wright. The vehicle was stopped for a speeding violation in Halifax County. Investigators detected the odor of marijuana emanating from the vehicle and determined that SIMMONS was the driver of the vehicle. A canine was utilized to scan the vehicle, which alerted to the rear of the vehicle. Located near the spare tire in the rear of the vehicle, investigators recovered 13 grams of marijuana and approximately 102 bricks of heroin. Each “brick” contained 50 “bindles,” or dosage units, of heroin. The drugs seized totaled 110 grams of heroin.
The investigation revealed that from approximately 2012 to 2017, the DTO trafficked approximately 14.4 kilograms of heroin.
All defendants charged in this investigation have now been convicted:
- Terrence Corneilus Clyburn
- Tyshawn Rayvon Reams
- Tony Ray Reams
- Herbert Lamont Cherry
- Charles Lee Wright
- Tara Finis Simmons
- Patrick Direece Holiday
- Mario Marelle Scott
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.
The Nash County Sheriff’s office, Edgecombe Sheriff’s Office, the Halifax County Sheriff’s Office, the Bladen County Sheriff’s Office, the Wake County Sheriff’s Office, the Spring Hope Police Department, and the Tarboro Police Department investigated this case. Assistant United States Attorney Scott Lemmon prosecuted this case for the government.
Greenville Man Sentenced to Prison for Drug and Gun OffensesRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Chief United States District Judge Terrence W. Boyle sentenced DEMETRIUS AUSHELLE SUGGS, 39, of Greenville, NC to a total of 102 months imprisonment, followed by 5 years of supervised release.
SUGGS was named in an Indictment filed on April 10, 2019, charging him with possession with intent to distribute a quantity of cocaine, possession of a firearm in furtherance of a drug trafficking crime; and possession of a firearm and ammunition by a felon. On August 22, 2019, SUGGS pled guilty to those charges.
According to the investigation, officers with the Greenville Police Department encountered SUGGS in his vehicle parked on the side of the road. As the officers were speaking with SUGGS, they observed a bag containing marijuana on the floorboard of the vehicle. When the officers attempted to detain SUGGS, he fled on foot. After a brief chase, SUGGS was detained and searched. A search of SUGGS and his vehicle led to the discovery of two bags containing 4.32 grams of cocaine and a loaded TEC-9 handgun with a high capacity magazine. At the time of his arrest, SUGGS had previously been convicted of several drug-related felonies in North Carolina.
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.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Greenville Police Department conducted the investigation. Assistant United States Attorney John Parris represented the government.
Wilmington Source of Methamphetamine Receives 21 Years in Federal PrisonRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge James C. Dever III sentenced Aaron ROBICHAUX, 36, of New Hanover County North Carolina, to 252 months imprisonment, followed by 5 years of supervised release.
On April 15, 2019, ROBICHAUX pled guilty to conspiracy to distribute and possess with the intent to distribute five-hundred (500) grams or more of methamphetamine, possession with intent to distribute a quantity of methamphetamine and cocaine and aiding and abetting another, and possession of a firearm by a convicted felon.
On April 11, 2018, the Federal Bureau of Investigations made a controlled purchase of a quantity of crystal methamphetamine from Anthony Capps, Jr. who had been supplied the methamphetamine by ROBICHAUX in Wilmington, North Carolina.
On April 19, 2018, the FBI again made a controlled purchase from Capps of approximately 2 ounces of crystal methamphetamine that had been supplied by ROBICHAUX.
On June 21, 2018, the New Hanover County Sheriff’s Narcotics Section served a search warrant at ROBICHAUX’S residence in Wilmington. Law enforcement found an ounce of cocaine, approximately an ounce of methamphetamine, a loaded 9mm handgun, a loaded .380 caliber handgun and more than $27,000 in United States Currency.
Law enforcement found an additional ounce of methamphetamine and more than $1,000 on ROBICHAUX after he was placed under arrest. Meghan Kunz, who also resided at the residence, was arrested at a later time.
According to law enforcement and information obtained from the investigation, between the summer of 2017 and April 2018, ROBICHAUX distributed approximately a pound and a half of methamphetamine in Eastern North Carolina. On at least one occasion, ROBICHAUX had Kunz transport methamphetamine concealed on her person.
Kunz and Capps have previously been sentenced in Federal Court. Kunz received a 60 month prison sentence and four years supervised release and Capps received a 72 month prison sentence and 5 years supervised release.
This case is part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. 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.
This case is part of a Drug Enforcement Administration (DEA) lead OCDETF operation “Fall of the House of Usher” and required extensive investigation. An Organized Crime Drug Enforcement Task Force (OCDETF) investigation such as this focuses on National and International distribution of methamphetamine and firearms associated with this organization into southeastern North Carolina.
The Drug Enforcement Administration, Federal Bureau of Investigations, Bureau of Alcohol Tobacco and Firearms, the Duplin County Sheriff’s Office, the New Hanover County Sheriff’s Office, the Sampson County Sheriff’s Office, the North Carolina State Bureau of Investigation and the Wilmington Police Department conducted this investigation. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the government.
Hubert Man Sentenced to More Than 15 Years Imprisonment on Child Pornography ChargesRead the Press Release
RALEIGH — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge James C. Dever, III, sentenced JAMES ROBERT BONNETTE, 39, of Hubert, NC to 188 months’ imprisonment, followed by a lifetime term of supervised release. BONNETTE pled guilty on July 22, 2019 to one count of receipt of child pornography.
A 2017 investigation into a file sharing network identified BONNETTE’s IP address as advertising known child pornography files and files were directly downloaded from BONNETTE’s IP address. An administrative subpoena identified BONNETTE’s residence and a search warrant was obtained. On October 27, 2017, investigators executed the search warrant and multiple devices were seized.
BONNETTE agreed to speak with investigators and, during the interview, admitted to downloading and storing child pornography. A forensic review of the seized devices uncovered two hard drives containing thousands of images and videos of child pornography.
This case is 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 initiative, go to www.projectsafechildhood.gov.
The Federal Bureau of Investigation’s Child Exploitation Task Force investigated this case. Assistant United States Attorneys Melissa Belle Kessler and Bryan M. Stephany represented the government.
New Charges Filed Against Wake Forest Investment Adviser Including Securities Fraud, Money Laundering and Wire Fraud and Wire FraudRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that a federal grand jury has returned an Indictment charging ANTHONY WAYNE MARCH, 48, of Wake Forest, North Carolina, with one count of Securities Fraud; three counts of Wire Fraud; one count of Bankruptcy Fraud; one count of Obstruction of Bankruptcy Case; three counts of False Oaths; and four counts of Money Laundering.
The Indictment alleges that the defendant, ANTHONY WAYNE MARCH (“MARCH”), operated the non-profit 501(c)(3) entity Asset Trader, located in Rolesville, NC, from in or between 2012 to 2015. Asset Trader was a purported non-profit tax-exempt company formerly known as CGA Exchange or The CGA Exchange, Inc. (herein “Asset Trader”). MARCH represented that Asset Trader offered educational services to professionals and taxpayers in the area of exit planning. Asset Trader’s stated educational mission allowed it to obtain classification as a 28 U.S.C. § 501(c)(3) tax-exempt non-profit organization.
Asset Trader used its §501(c)(3) tax-exempt status to solicit tax-deductible donations in exchange for charitable gift annuities (“CGAs”) and to recruit referral sources to obtain assets from potential donors. Through Asset Trader, MARCH and his co-conspirators engaged and executed what is commonly known as a “Ponzi” scheme to defraud investors by inducing them to invest with Asset Trader.
During the course of the scheme, MARCH solicited at least 22 victims to invest over $8,100,000 in charitable gift annuities and other products offered by Asset Trader. MARCH and Asset Trader sold these securities to victims as retirement or exit planning vehicles classified as donations to MARCH’S § 501(c)(3) tax-exempt non-profit organization. MARCH did not utilize any of the victim’s money for charitable purposes, rather, he spent the money on “Ponzi” payments, his own lavish lifestyle, and expenses of the scheme.
MARCH faces the following penalties on the charged offenses: For Securities Fraud, not more than 20 years imprisonment; for Wire Fraud, not more than 20 years imprisonment on each count; for Bankruptcy Fraud, not more than 5 years imprisonment for each count; for False Bankruptcy Declaration, not more than 5 years imprisonment; for Obstruction of Bankruptcy and Concealing Records, not more than 5 years imprisonment; for False Oaths, not more than 5 years; for Money Laundering, not more than 10 years. MARCH also faces over a $1 Million in fines, as well as further forfeiture of property.
An Indictment is an allegation of a crime. The defendant is presumed under the law to be innocent until proven guilty.
The Internal Revenue Service Criminal Investigation Division (IRS-CI), and the North Carolina Secretary of State, Securities Division conducted the investigation in this matter. The Office of the U.S. Bankruptcy Administrator for the Eastern District of North Carolina provided substantial assistance. Assistant United States Attorney Ethan Ontjes, Special Assistant United States Attorney Brian Behr, and Special Assistant United States Attorney Kevin Harrington represent the United States.
Market Logistics, Inc. Executives and Employees Sentenced for Their Roles in a Scheme to Defraud BB&T BankRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that yesterday in federal court, MICHAEL G. CALE, 60, of Simpsonville, South Carolina, MICHAEL J. LANDRY, 56, of Simpsonville, South Carolina, MICHAEL R. BRIGEVICH, 60, of Traveler’s Rest, South Carolina, and EDWIN PENA, 61, of Fort Pierce, Florida, were sentenced for their involvement in a scheme to defraud Branch Bank and Trust Company out of more than $5,000,000.00. United States District Judge Timothy M. Cain sentenced CALE to 42 months imprisonment. LANDRY was sentenced to 30 months imprisonment. BRIGEVICH and PENA each received a time-served sentence followed by 5 years of supervised release.
The defendants were executives and employees of Market Logistics, Inc. (MLI), a Greenville, South Carolina-based corporation involved in the arbitrage business. MLI was owned by CALE, who served as the Chief Executive Officer. LANDRY served as the Vice President of Sales, BRIGEVICH served as the Chief Financial Officer, and PENA served as the Accounts Payable Manager.
The evidence at sentencing established that MLI entered into a lending relationship with BB&T. The loan was structured as an asset-backed revolving line of credit, with MLI’s accounts receivable serving as collateral for the loan. Pursuant to the loan agreement, BB&T would loan MLI a maximum amount equal to 85% of MLI’s eligible accounts receivable. MLI was required to prepare and submit reports to BB&T reflecting the accounts receivable balance that qualified as collateral under the loan agreement.
The Defendants concocted and participated in a scheme and artifice to defraud whereby they falsified their accounts receivable balances to increase the amount of funds available through the line of credit. They employed several nefarious accounting methods, including a “lapping scheme,” whereby invoices for sales transactions were listed as accounts receivable and not paid, when in fact they had already been paid. The defendants then misapplied the payments to older invoices. The defendants also created fraudulent sales invoices for sales that never occurred, and listed those false sales as accounts receivable. When the fraud was discovered in August of 2015, MLI’s reported accounts receivable balance was $7.8 million, when in fact only ten invoices totaling approximately $436,324.69 were actually outstanding.
BB&T’s loss exceeded $5 million dollars. Prior to sentencing, the defendants made payments to BB&T totaling $1,412,000. They were ordered to pay restitution for the remaining loss amount of $3,610,260.57.
The Federal Bureau of Investigation conducted the investigation of this case. Assistant United States Attorney Toby W. Lathan represented the United States.
Five Aliens Indicted on Illegal Reentry Charges and Illegal and Unlawful Alien in Possession of a FirearmRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging FELIX ANTONIO JUAREZ-ANTUNEZ, age 35, of Honduras, LIDIO GOMEZ-GOMEZ, age 49, of Mexico, EDUARDO AGUILAR-ARELLANO, age 35, of Mexico, and JOSE CENTENO-ANGEL, age 31, of Mexico with Illegal Reentry of a Deported Alien.
Additionally, the grand jury returned an indictment charging JOSE GABRIEL VALLEJO-HERNANDEZ, age 51, of Mexico, with illegal and unlawful alien in possession of a firearm.
If convicted of illegal reentry of a deported alien, JUAREZ-ANTUNEZ, previously deported twice and found in Wake County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of illegal reentry subsequent to a felony conviction (death by motor vehicle), GOMEZ-GOMEZ, previously deported twice and found in Sampson County, would face maximum penalties of ten years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
AGUILAR-ARELLANO, previously deported and found in Johnston County, is alleged to have been previously removed subsequent to an aggravated felony conviction (second degree rape) and CENTENO-ANGEL, previously deported and found in Wake County, is alleged to have been previously removed subsequent to an aggravated felony conviction (accessory after the fact to kidnapping). Therefore, if convicted, he would face a maximum imprisonment term of 20 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of illegal and unlawful alien in possession of a firearm, VALLEJO-HERNANDEZ, found in Columbus County, would face maximum penalties of 10 years imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement and Removal Operations and Homeland Security Investigations.
Department of Justice Announces the Probationary Re-Admission of Robeson County Sheriff’s Office into the Equitable Sharing Program Upon Completion of Today’s Asset Forfeiture TrainingRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. and the Department of Justice’s Criminal Division Money Laundering and Asset Recovery Section (MLARS) announce the probationary re-admission of the Robeson County Sheriff’s Office (RCSO) into the Department of Justice and Department of the Treasury’s Equitable Sharing Programs (Program). This probationary re-admission is pursuant to a Memorandum of Agreement (MOA) and the special conditions described therein. A copy of the MOA can be found
here .Today, MLARS and the United States Attorney’s Office for the Eastern District of North Carolina (USAO-EDNC) conducted mandatory training for personnel from the RCSO, Robeson County Board of Commissioners, and Robeson County Finance Office on asset forfeiture and equitable sharing. The MOA requires that this initial training be completed before the RCSO could participate in law enforcement activities where seizures for federal forfeiture are expected. With this requirement now satisfied, the Departments of Justice and Treasury have agreed to process sharing requests going forward subject to the requirements of the MOA.
The RCSO was deemed ineligible for participation in the Program following the federal criminal prosecutions by the USAO-EDNC of several members of the RCSO as part of the Organized Crime and Drug Enforcement Task Force Operation “Tarnished Badge,” and the RCSO’s failure to comply with Program policies and regulations. Recently, under the new leadership of Sheriff Burnis Wilkins, the RCSO made a request for readmission into the Program after years of ineligibility.
The Departments of Justice and Treasury believe that renewed collaboration and cooperation between the RCSO and federal law enforcement will strengthen law enforcement efforts to deter and punish criminal activity in Robeson County and the surrounding communities. Accordingly, a MOA was established for the purpose of:
- Setting forth the requirements and responsibilities of the RCSO, the Robeson County Board of Commissioners and the Finance Office for the probationary re-admission of the RCSO into the Program;
- Setting forth the requirements and responsibilities of the RCSO for participation with federal authorities in federal investigations that may lead to the seizure and forfeiture of assets;
- Providing effective management for the RCSO probationary re-admission and participation in the Program;
- Promoting public confidence in the integrity of law enforcement; and,
- Protecting the Program against fraud, waste and abuse.
The MOA was entered into by the following agencies:
- U.S. Attorney’s Office for the Eastern District of North Carolina
- U.S. Department of Justice – Criminal Division’s Money Laundering and Asset Recovery Section (MLARS)
- Federal Bureau of Investigation
- Drug Enforcement Administration
- Bureau of Alcohol, Tobacco, Firearms and Explosives
- Department of the Treasury – Executive Office for Asset Forfeiture (TEOAF)
- Department of Homeland Security, Homeland Security Investigations
- County of Robeson, North Carolina
- Robeson County Sheriff’s Office
- Robeson County Board of Commissioners
- Robeson County Finance Office
The RCSO’s participation with federal authorities and with the Program will be for a probationary period of five years from the effective date of the MOA, and subject to the additional terms and conditions specified in the MOA.
For more information about the Department of Justice’s Equitable Sharing Program, see /media/1044326/dl?inline.
Former Operator of Illegal Booter Services is Sentenced for Conspiracy to Commit Computer Damage and AbuseRead the Press Release
WASHINGTON – An Orland Park, Illinois, resident was sentenced yesterday to 13 months in prison, followed by three years of supervised release on one count of conspiracy to cause damage to internet-connected computers for his role in owning, administering and supporting illegal booter services that launched millions of illegal denial of service, or DDoS, attacks against victim computer systems in the United States and elsewhere.
Chief U.S. District Judge Terrence W. Boyle sentenced Sergiy P. Usatyuk, 21, in the U.S. District Court for the Eastern District of North Carolina. Usatyuk also was ordered to forfeit $542,925 in proceeds from the scheme, as well as dozens of servers and other computer equipment that facilitated the scheme and/or constitutes its proceeds.
According to the criminal information, Usatyuk combined with a co-conspirator to develop, control and operate a number of booter services and booter-related websites from around August 2015 through November 2017 that launched millions of DDoS attacks that disrupted the internet connections of targeted victim computers, rendered targeted websites slow or inaccessible, and interrupted normal business operations. The illegal services included ExoStress.in, (“ExoStresser”), QuezStresser.com, Betabooter.com (“Betabooter”), Databooter.com, Instabooter.com, Polystress.com and Zstress.net.
“The defendant made hundreds of thousands of dollars by launching countless indiscriminate cyber-attacks that victimized various segments of American society,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “The Criminal Division and our law enforcement partners will remain vigilant in protecting the American public from these types of sophisticated, far-reaching threats.”
“DDoS-for-hire services pose a malicious threat to the citizens of our district, as well as districts across the country, by impeding critical access to the internet and jeopardizing safety and security in the process,” said U.S. Attorney Robert J. Higdon Jr. for the Eastern District of North Carolina. “The operation and use of these services to disrupt the operations of our businesses and other institutions cannot be tolerated. Anyone who weaponizes web traffic in this manner will be vigorously pursued and prosecuted by my office.”
“This sentence demonstrates the FBI’s continuous commitment to unmasking malicious actors behind these type of egregious cyberattacks,” said Special Agent in Charge John Strong of the FBI’s North Carolina Field Office. “By calling out those criminals who hide behind their computer and launch attacks, the FBI is sending a strong message that we will work tirelessly with our law enforcement partners to investigate and hold all criminals accountable, no matter what weapon they use to terrorize others.”
“Booters” or “Stressers” are a class of publicly-available, web-based services that allow cybercriminals to launch distributed DDoS attacks that overwhelm a target computer system with unrequested traffic and, in turn, “boot” or “drop” the victim from the internet for a relatively small fee or no fee at all. To launch a DDoS attack using a booter, a cybercriminal often needs only a web browser and an online payment tool to subscribe to a provider, provide instructions for attacking a victim computer system, and deliver payment.
The DDoS attacks launched by the booters also harmed computer systems that were not directly targeted. For example, according to the criminal information, in November 2016, a Betabooter subscriber launched a series of DDoS attacks against a school district in the Pittsburgh, Pennsylvania, area that not only disrupted the school district’s computer systems, but affected the computer systems of 17 organizations that shared the same computer infrastructure, including other school districts, the county government, the county’s career and technology centers, and a Catholic Diocese in the area.
During the period of the conspiracy, Usatyuk and a co-conspirator gained in excess of $550,000 from charging subscriber fees to paying customers of their booter services and selling advertising space to other booter operators.
Over the past five years, booter and stresser services have grown as an increasingly prevalent class of DDoS attack tools. Booter-based DDoS attack tools offer a low barrier to entry for users looking to engage in cybercrime.
For additional information on booter and stresser services and the harm that they cause, please visit: https://www.ic3.gov/media/2017/171017-2.aspx.
The FBI’s Charlotte Field Office, Raleigh Resident Agency conducted the investigation. Additional assistance was provide by the FBI’s Chicago and Miami Field Offices, as well as the Defense Criminal Investigative Service.
Trial Attorney Aarash Haghighat of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and Assistant U.S. Attorneys Adam Hulbig and Matthew Fesak of the Eastern District of North Carolina are prosecuting the case.
Former Operator of Illegal Booter Services Sentenced for Conspiracy to Commit Computer Damage and AbuseRead the Press Release
An Orland Park, Illinois, resident was sentenced yesterday to 13 months in prison, followed by three years of supervised release on one count of conspiracy to cause damage to internet-connected computers for his role in owning, administering and supporting illegal booter services that launched millions of illegal denial of service, or DDoS, attacks against victim computer systems in the United States and elsewhere.
Chief U.S. District Judge Terrence W. Boyle sentenced Sergiy P. Usatyuk, 21, in the U.S. District Court for the Eastern District of North Carolina. Usatyuk also was ordered to forfeit $542,925 in proceeds from the scheme, as well as dozens of servers and other computer equipment that facilitated the scheme and/or constitutes its proceeds.
According to the criminal information, Usatyuk combined with a co-conspirator to develop, control and operate a number of booter services and booter-related websites from around August 2015 through November 2017 that launched millions of DDoS attacks that disrupted the internet connections of targeted victim computers, rendered targeted websites slow or inaccessible, and interrupted normal business operations. The illegal services included ExoStress.in, (“ExoStresser”), QuezStresser.com, Betabooter.com (“Betabooter”), Databooter.com, Instabooter.com, Polystress.com and Zstress.net.
“The defendant made hundreds of thousands of dollars by launching countless indiscriminate cyber-attacks that victimized various segments of American society,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “The Criminal Division and our law enforcement partners will remain vigilant in protecting the American public from these types of sophisticated, far-reaching threats.”
“DDoS-for-hire services pose a malicious threat to the citizens of our district, as well as districts across the country, by impeding critical access to the internet and jeopardizing safety and security in the process,” said U.S. Attorney Robert J. Higdon Jr. for the Eastern District of North Carolina. “The operation and use of these services to disrupt the operations of our businesses and other institutions cannot be tolerated. Anyone who weaponizes web traffic in this manner will be vigorously pursued and prosecuted by my office.”
“This sentence demonstrates the FBI’s continuous commitment to unmasking malicious actors behind these type of egregious cyberattacks,” said Special Agent in Charge John Strong of the FBI’s North Carolina Field Office. “By calling out those criminals who hide behind their computer and launch attacks, the FBI is sending a strong message that we will work tirelessly with our law enforcement partners to investigate and hold all criminals accountable, no matter what weapon they use to terrorize others.”
“Booters” or “Stressers” are a class of publicly available, web-based services that allow cybercriminals to launch distributed DDoS attacks that overwhelm a target computer system with unrequested traffic and, in turn, “boot” or “drop” the victim from the internet for a relatively small fee or no fee at all. To launch a DDoS attack using a booter, a cybercriminal often needs only a web browser and an online payment tool to subscribe to a provider, provide instructions for attacking a victim computer system, and deliver payment.
The DDoS attacks launched by the booters also harmed computer systems that were not directly targeted. For example, according to the criminal information, in November 2016, a Betabooter subscriber launched a series of DDoS attacks against a school district in the Pittsburgh, Pennsylvania, area that not only disrupted the school district’s computer systems, but affected the computer systems of 17 organizations that shared the same computer infrastructure, including other school districts, the county government, the county’s career and technology centers, and a Catholic Diocese in the area.
During the period of the conspiracy, Usatyuk and a co-conspirator gained in excess of $550,000 from charging subscriber fees to paying customers of their booter services and selling advertising space to other booter operators.
Over the past five years, booter and stresser services have grown as an increasingly prevalent class of DDoS attack tools. Booter-based DDoS attack tools offer a low barrier to entry for users looking to engage in cybercrime.
For additional information on booter and stresser services and the harm that they cause, please visit: https://www.ic3.gov/media/2017/171017-2.aspx.
The FBI’s Charlotte Field Office, Raleigh Resident Agency conducted the investigation. Additional assistance was provided by the FBI’s Chicago and Miami Field Offices, as well as the Defense Criminal Investigative Service.
Trial Attorney Aarash Haghighat of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and Assistant U.S. Attorneys Adam Hulbig and Matthew Fesak of the Eastern District of North Carolina are prosecuting the case.
Federal Court Hands Down Life Sentence in Armed Bank Robbery CaseRead the Press Release
RALEIGH – Robert J. Higdon, Jr., the United States Attorney for the Eastern District of North Carolina, announces that Chief United States District Judge Terrence W. Boyle, sentenced DAQUAN MADRID PRIDGEN, 27, of Whiteville, North Carolina, to life imprisonment plus an additional ten years imprisonment, JERAMIE ROSS VAUGHN, a/k/a “Vido,” 30, of Parkton, North Carolina, to 180 months’ imprisonment, followed by 5 years of supervised release, and RASHAD DEVONTE YOUNG, a/k/a “Rep,” 28, of Whiteville, North Carolina, to 180 months’ imprisonment, followed by 5 years of supervised release. All three defendants were ordered to pay $40,302 in restitution.
On May 30, 2019, following a jury trial, PRIDGEN was convicted of Armed Bank Robbery and Aiding and Abetting and Discharging a Firearm During a Crime of Violence. On April 18, 2018, VAUGHN and YOUNG pled guilty to those offenses. A fourth man, DEMETRIS SEAN ROBINSON, a/k/a “Bo Bo,” was also convicted of the same offenses following a jury trial on May 1, 2019. He is awaiting sentencing now scheduled for November 27, 2019.
Mr. Higdon commented: “In sentencing these defendants today, the Court recognized that these defendants ‘went to terror of the community,’ staged a ‘surprise attack on the police’, ‘used occupied school busses as a shield to attack law enforcement and then claimed sanctuary from return fire.’ In other words, these offenders jeopardized the safety and security of law enforcement and of members of the community in an incredibly dangerous and premeditated attack. And we are gratified by the Court’s sentences as these terms of imprisonment remove dangerous offenders from the community permanently. We are proud to stand with law enforcement who heroically faced these criminals down.”
The evidence presented at the trials showed that sometime in late 2017, the four men began planning to rob a bank and gathered high-quality masks to wear during the robbery, and several firearms, including a rifle, shotgun, and two handguns. They also purchased a vehicle as a getaway car. On January 23, 2018, the four men travelled to Lumberton and cased banks before deciding to rob the PNC Bank. ROBINSON, PRIDGEN, and YOUNG each brandished firearms and ordered the tellers to hand over money. A bank employee was also ordered to the bank vault where additional money was taken. In all, the four men fled the bank with over $40,000 in cash.
Officers of the Lumberton Police Department (LPD) quickly caught up with the robbers and a two-county, high speed, chase ensued. Other law enforcement officers from the Robeson County Sheriff’s Office (RCSO) and the Columbus County Sheriff’s Office (CCSO) also joined the chase. The defendants drove through residential areas and drove at speeds in excess of 90 miles per hour. At various points in the chase, ROBINSON fired at officers both while the getaway vehicle was in motion and while the vehicle was stopped several times. Several law enforcement vehicles were struck but there were no injuries to law enforcement officers. The chase ended when ROBINSON, PRIDGEN, and VAUGHN abandoned the vehicle on the side of the road in Columbus County and fled on foot into the woods. YOUNG ran on foot when the vehicle stopped at an earlier time. All four were eventually apprehended and charged.
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. Since 2017, the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
This case is also part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. 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 violence crime rate, drug trafficking, and crimes against law enforcement.
The Federal Bureau of Investigation, the North Carolina State Bureau of Investigation, the Lumberton Police Department, the Robeson County Sheriff’s Office, and the Columbus County Sheriff’s Office investigated this case. Assistant United States Attorneys Erin C. Blondel and Robert J. Dodson prosecuted the case for the government.
Fuquay-Varina Man Sentenced to 10 Years for Distributing FentanylRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that United States District Judge James C. Dever III sentenced MIKKEL MCKINNIE, 31, of Fuquay-Varina, North Carolina to 120 months imprisonment, followed by 3 years of supervised release.
MICKINNIE was named in an Second Superseding Indictment filed on July 10, 2019. On August 5, 2019, MCKINNIE pled guilty to the distribution of fentanyl.
Investigation into this case began on December 1, 2016, when the Fuquay-Varina Police Department responded to a reported overdose at a Fuquay-Varina residence. Inside the residence, police officers and other first responders found an unconscious victim in a restroom. Emergency medical personnel (EMS) were unable to revive the victim and he was subsequently pronounced dead. On the floor near the victim’s body, investigators found a metal spoon containing white residue and used hypodermic needles. The white residue from the spoon was tested and found to be fentanyl. Residue from the needles was also tested and found to contain fentanyl and heroin.
An investigation into the source of the drugs that killed the victim established that, in the days preceding his death, MCKINNIE sold a substance referred to as “China White” to the victim and others. This substance was found to contain fentanyl, a powerful synthetic opioid approximately 50 times more potent than heroin. MCKINNIE knew that the China White was extremely dangerous and even warned his customers of its potency.
The Fuquay-Varina Police Department investigated this case. Assistant United States Attorney Toby Lathan and Ethan Ontjes represented the government.
Attorney General Announces Launch of Project GuardianRead the Press Release
RALEIGH – Today, Attorney General William P. Barr announced the launch of Project Guardian, a new initiative designed to reduce gun violence and enforce federal firearms laws across the country. Specifically, Project Guardian focuses on investigating, prosecuting, and preventing gun crimes.
Reducing gun violence and enforcing federal firearms laws have always been among the Department’s highest priorities. In order to develop a new and robust effort to promote and ensure public safety, the Department reviewed and adapted some of the successes of past strategies to curb gun violence. Project Guardian draws on the Department’s earlier achievements, such as the “Triggerlock” program, and it serves as a complementary effort to the success of Project Safe Neighborhoods (PSN). In addition, the initiative emphasizes the importance of using all modern technologies available to law enforcement to promote gun crime intelligence.
“Gun crime remains a pervasive problem in too many communities across America. Today, the Department of Justice is redoubling its commitment to tackling this issue through the launch of Project Guardian,” said Attorney General William P. Barr. “Building on the success of past programs like Triggerlock, Project Guardian will strengthen our efforts to reduce gun violence by allowing the federal government and our state and local partners to better target offenders who use guns in crimes and those who try to buy guns illegally.”
U.S. Attorney Robert J. Higdon, Jr. stated, “For the last two years federal state and local law enforcement have been engaged in a focused, unified and effective effort to target and remove violent criminals, drug traffickers and illegal gang activity all across the Eastern District of North Carolina through our Take Back North Carolina Initiative. Today the Justice Department has launched Project Guardian which will complement and further strengthen our efforts and provide us with better targeting capability for offenders who use guns in crimes and those who seek to obtain guns illegally. In the Eastern District we stand shoulder - to- shoulder with Attorney General Barr in using every available tool, resource and technique to ensure we target the right offenders and make the people of this District safer.”
“ATF has a long history of strong partnerships in the law enforcement community,” said Acting Director Regina Lombardo. “Make no mistake, the women and men of ATF remain steadfast to our core mission of getting crime guns off of our streets. ATF and U.S. Attorneys nationwide will leverage these partnerships even further through enhanced community outreach initiatives and coordination with local, state, and tribal law enforcement and prosecutors to cut the pipeline of crime guns from those violent individuals who seek to terrorize our communities. Project Guardian will enhance ATF’s Crime Gun Intelligence, to include identifying, investigating and prosecuting those involved in the straw purchases of firearms, lying on federal firearms transaction forms, and those subject to the mental health prohibition of possessing firearms.”
Project Guardian’s implementation is based on five principles:
- Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
- Enforcing the Background Check System. United States Attorneys, in consultation with the Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in their district, will create new, or review existing, guidelines for intake and prosecution of federal cases involving false statements (including lie-and-try, lie-and-buy, and straw purchasers) made during the acquisition or attempted acquisition of firearms from Federal Firearms Licensees.
Particular emphasis is placed on individuals convicted of violent felonies or misdemeanor crimes of domestic violence, individuals subject to protective orders, and individuals who are fugitives where the underlying offense is a felony or misdemeanor crime of domestic violence; individuals suspected of involvement in criminal organizations or of providing firearms to criminal organizations; and individuals involved in repeat denials.
- Improved Information Sharing. On a regular basis, and as often as practicable given current technical limitations, ATF will provide to state law enforcement fusion centers a report listing individuals for whom the National Instant Criminal Background Check System (NICS) has issued denials, including the basis for the denial, so that state and local law enforcement can take appropriate steps under their laws.
- Coordinated Response to Mental Health Denials. Each United States Attorney will ensure that whenever there is federal case information regarding individuals who are prohibited from possessing a firearm under the mental health prohibition, such information continues to be entered timely and accurately into the United States Attorneys’ Offices’ case-management system for prompt submission to NICS. ATF should engage in additional outreach to state and local law enforcement on how to use this denial information to better assure public safety.
Additionally, United States Attorneys will consult with relevant district stakeholders to assess feasibility of adopting disruption of early engagement programs to address mental-health-prohibited individuals who attempt to acquire a firearm. United States Attorneys should consider, when appropriate, recommending court-ordered mental health treatment for any sentences issued to individuals prohibited based on mental health.
- Crime Gun Intelligence Coordination. Federal, state, local, and tribal prosecutors and law enforcement will work together to ensure effective use of the ATF’s Crime Gun Intelligence Centers (CGICs), and all related resources, to maximize the use of modern intelligence tools and technology. These tools can greatly enhance the speed and effectiveness in identifying trigger-pullers and finding their guns, but the success depends in large part on state, local, and tribal law enforcement partners sharing ballistic evidence and firearm recovery data with the ATF.
Federal law enforcement represents only about 15% of all law enforcement resources nationwide. Therefore, partnerships with state, local, and tribal law enforcement and the communities they serve are critical to addressing gun crime. The Department recognizes that sharing information with our state, local, and tribal law enforcement partners at every level will enhance public safety, and provide a greater depth of resources available to address gun crime on a national level.
For more information on Project Guardian, see the Attorney General’s memorandum at: https://www.justice.gov/ag/project-guardian-memo-2019/download.
- Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
Wilmington Doctor and Medical Practice Settle Civil Fraud Claims for More Than $244,000Read the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced today that Dr. Damien Brezinski and his practice group, Wilmington Health, agreed to pay more than $244,000 to settle civil claims under the False Claims Act for improper payments made under the Medicare and Tricare programs.
According to documents filed with the Court, this investigation began with a self-disclosure from New Hanover Regional Medical Center in Wilmington, North Carolina. The hospital reported that an internal audit uncovered potentially false claims for cardiac stenting procedures that Dr. Brezinski performed in that facility. The United States’ independent investigation confirmed that, from 2010 to 2014, Dr. Brezinski repeatedly inserted arterial stents for patients whose medical records did not demonstrate a need for the procedures. Dr. Brezinski and his practice group, Wilmington Health, then billed those procedures to Medicare and Tricare, in violation of program requirements and the False Claims Act.
In addition to the resolution with Dr. Brezinski and Wilmington Health, New Hanover Regional Medical Center has separately agreed to repay nearly $900,000 in facility fees it received related to the allegedly false claims.
“The United States takes healthcare fraud very seriously,” said U.S. Attorney Higdon. “Nowhere is that more true than when doctors knowingly perform medical procedures that their patients do not need. The United States will continue to vigorously pursue penalties and damages against health care providers who falsely certify the accuracy of claims they bill to Medicare and Tricare, and in the process risk the health and wellbeing of those under their care.”
The federal False Claims Act allows the United States to recover triple the money falsely obtained, plus substantial penalties for each false claim submitted. The government can also recoup investigative costs.
It should be noted that the claims resolved by settlement here are allegations only, and that there has been no judicial determination or admission of liability.
The United States Department of Health and Human Services Office of the Inspector General and the Defense Criminal Investigative Service conducted the investigation of this case. Assistant United States Attorneys Michael Anderson and Neal Fowler represented the United States.
Four Aliens Indicted on Illegal Reentry ChargesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging ANDRES CANDELA-CRUZ, age 39, of Mexico, DARWIN MIGUEL GODOY-CARCAMO, age 30, of Honduras, MELQUIADES HERNANDEZCASTRO, age 38, of Mexico and EDWIN LOPEZ-MEDRANO, age 46, of Honduras with Illegal Reentry of a Deported Alien.
If convicted of illegal reentry of a deported alien, CANDELA-CRUZ, previously deported four times and found in Wake County, GODOY-CARCAMO, previously deported two times and found in Wake County, and HERNANDEZCASTRO, previously deported and found in Cumberland County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
LOPEZ-MEDRANO, previously deported twice and found in New Hanover County, is alleged to have been previously removed subsequent to an aggravated felony conviction (aggravated assault). Therefore, if convicted, he would face a maximum imprisonment term of 20 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement and Removal Operations and Homeland Security Investigations.
Fayetteville Man Sentenced to Fifteen Years for Drug and Gun OffensesRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge James C. Dever III sentenced MARQUIS BERNARD MALLOY, 29, of Fayetteville, North Carolina, to 180 months’ imprisonment, followed by a 3 year term of supervised released.
On July 11, 2018, MALLOY was named in a three-count Indictment in which he was charged with: Possession with Intent to Distribute a Quantity of Heroin and a Quantity of Cocaine, Possession of a Firearm in Furtherance of a Drug Trafficking Crime, and Felon in Possession of a Firearm. On February 5, 2019, MALLOY pled guilty to all three Counts.
On March 28, 2018, Cumberland County Probation Officers conducted a search of MALLOY’S residence in Fayetteville, NC, due to prior failed drug screenings and new criminal conduct. During the search, officers found a Beretta 9mm pistol, a box of 9mm ammunition, 3 grams of cocaine, 2 grams of heroin, drug paraphernalia (including a cutting agent, digital scale, and packaging material), and approximately $1,200 in cash. The firearm and cocaine were in close proximity to each other.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
That effort has been implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For more information about this initiative click here: https://www.justice.gov/usao-ednc/tbnc.
The Cumberland County Probation Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation in this matter. Assistant United States Attorney and Bryan M. Stephany prosecuted the case for the government.
U.S. Attorney's Office Partners with New Hanover County Senior Resource Center and Wake County Meals on Wheels to Empower Older VeteransRead the Press Release
The U.S. Attorney’s Office for the Eastern District of North Carolina promotes the Department of Justice’s (DOJ) Elder Justice Initiative (EJI) throughout the New Hanover and Wake County areas. On November 1, 2019, the Eastern District partnered with New Hanover County Senior Resource Center and Wake County Meals on Wheels to initiate outreach to approximately 1,750 seniors to provide facts about Older Veteran elder abuse.
Below are some facts shared with the community about elder abuse of older Veterans:
- Older Veterans may be at risk for elder abuse
- Almost 10 million Veterans are 65 or older. National studies find that older adults are victims of elder abuse annually.
- Family members and caretakers may encourage or force older Veterans to take drugs or drink excessively to make them “easier” to care for or exploit financially.
- Veterans who have poor relationships with their families may not receive adequate care by these family members.
- Veterans who receive Veteran benefits such as VA pension, VA Compensation per VBA, or Aid and Attendance can be at risk for financial abuse.
- Warning Signs by Type of Abuse
- Physical Abuse
- Bruises, black eyes, welts, lacerations, or rope marks
- Broken eyeglasses
- Medication overdose or under-utilization of prescribed drugs
- A sudden change in behavior
- Psychological Abuse
- Being emotionally upset, agitated, withdrawn, non-communicative, or non-responsive
- Unusual behavior such as sucking, biting, or rocking
- The caregiver’s refusal to allow visitors to an older Veteran alone
- Apologizing excessively
- Sexual Abuse
- Bruises around the breast or genital area
- Unexplained venereal disease or genital infections
- Showing fear or becoming withdrawn when around a specific person
- Neglect and Abandonment
- Dehydration, malnutrition, untreated bed sores, and poor personal hygiene
- Unattended or untreated health problems
- Unsanitary, unclean, or unsafe living conditions
- The desertion of an older Veteran at a shopping center or other public location
- Financial Abuse
- Unexplained changes in bank accounts or banking practices
- Abrupt changes in a will or other financial documents
- Unexplained disappearance of funds or valuable possessions
- Sudden unexplained transfer of assets
- Physical Abuse
Report Financial Abuse or Fraud of an Older Veteran
- To report the misuse of a Veteran’s VA benefits, call 1-800-488-8244 or email [email protected]
- You may also contact the Veterans Benefits Administration at 1-800-827-1000 or VA Fiduciary Hub at 1-888-407-0144
- For assistance concerning VA Extended Care & Home Care fraud, email [email protected]
The mission of the Elder Justice Initiative is to support and coordinate DOJ’s enforcement and programmatic efforts to prevent and combat elder abuse, neglect, financial exploitation and scams that target our nation’s seniors by promoting justice for older adults; helping older victims and their families; enhancing state and local efforts through training and resources; and supporting research to improve elder abuse policy and practice.
For more information about DOJ’s efforts to prevent and combat elder abuse, please visit the Elder Justice Website at https://www.justice.gov/elderjustice. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. You can also contact the Victim Connect Hotline between 9am-6pm, Monday through Friday, at: 1- 855-4VICTIM (1-855-4842846), or contact the Elder Justice Coordinator at the U.S. Attorney’s Office for the Eastern District of North Carolina at (919) 856-4530.
- Older Veterans may be at risk for elder abuse
Department of Justice Awards More Than $165 Million in Public Safety Funding to the State of North CarolinaRead the Press Release
RALEIGH, NC – The Department of Justice today announced awards of more than $165 million to support public safety efforts in the state of North Carolina. The funding from the Office of Community Oriented Policing Services (COPS), Office of Justice Programs (OJP), and Office on Violence Against Women (OVW) will support violent crime reduction, opioid/substance abuse reduction efforts, school safety, victim services, transitional housing for domestic violence victims, law enforcement activities, justice mental health, and juvenile justice.
“The Department of Justice is very pleased to provide these critical public safety resources not only to local law enforcement agencies throughout North Carolina, but also to state-level agencies for the benefit of all North Carolinians,” said Director Phil Keith. “This funding will secure schools and protect kids from crime and violence across the state, and help to combat the scourge of deadly drugs running rampant in our communities.”
“Helping to protect North Carolinians—and all Americans—is job number one for the Department of Justice and the Office of Justice Programs,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “I’m proud to make these resources available to the brave crime-fighters, compassionate service providers and dedicated criminal and juvenile justice professionals who work so hard, day in and day out, to safeguard the communities of this great state.”
COPS Office Director Phil Keith made the announcement in Raleigh on Friday morning along with Governor Roy Cooper, U.S. Attorney for the Eastern District of North Carolina Robert J. Higdon, Jr., U.S. Attorney for the Middle District of North Carolina Matthew G.T. Martin, and North Carolina State Bureau of Investigation (SBI) Director Bob Schurmeier. The North Carolina Department of Public Safety received approximately $2.9 million from the COPS Office for investigating illicit activities related to heroin distribution and methamphetamine trafficking, and the North Carolina Department of Public Instruction (DPI) was the only state-level agency to receive funding to improve school security through the 2019 COPS School Violence Prevention Program. Additional school safety funding was provided to both the North Carolina SBI and DPI through OJP’s Bureau of Justice Assistance for behavioral threat assessments and the enhancement of the North Carolina State School Safety Center.
“North Carolina law enforcement will be better able to keep our communities safe and stop drug traffickers with this vital funding,” said Governor Roy Cooper. “Federal support for local expertise is the right way to fight the opioid epidemic and to protect our schools. These grants will go a long way in making sure North Carolinians live in safe communities.”
“Supporting law enforcement at every level and all across the State of North Carolina goes to the heart of the mission of the U.S. Department of Justice,” said Mr. Higdon. And these grants provide much needed resources and funding to law enforcement agencies as they work to protect our communities from violence, drug trafficking and any others who threaten our safety and security.”
“The grants announced today by the U.S. Department of Justice represent a significant investment in support of law enforcement and public safety in North Carolina,” said U.S. Attorney Matt Martin. “We are particularly pleased that grants in the Middle District will support school safety programs, the fight against opioid addiction, and the coordinated efforts under way to reduce gun violence from Durham to Winston-Salem and Rockingham County to Cabarrus County. These are critical priorities of all three U.S. Attorneys; to borrow an apt adage: we are putting our money where our mouth is.”
“These grants will allow SBI agents across North Carolina to more effectively partner with our police departments and sheriff’s offices to continue the fight against the opioid epidemic,” said SBI Director Bob Schurmeier. “Families in our state have suffered enormous pain and loss and we grieve with them. We will use these resources to go after the cartels, traffickers and dealers and bring them to justice. We are grateful to the COPS Office and the US Department of Justice for their support of North Carolina and the State Bureau of Investigation.”
A full list of COPS awards is available online at https://cops.usdoj.gov/grants. OJP awards, organized under specific grant programs, are available online at https://ojp.gov/funding/Explore/OJPAwardData.htm. For OVW awards, visit https://www.justice.gov/ovw/awards.
About the Office of Community Oriented Policing Services:
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
About the Office of Justice Programs:
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
About the Office on Violence Against Women:
The Office on Violence Against Women provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities across the country that are developing programs, policies and practices aimed at ending domestic violence, dating violence, sexual assault and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.
Bladen County Resident Sentenced for Conspiring to Launder over $1.2 Million in Criminal ProceedsRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, United States District Judge James C. Dever III sentenced MURRAY MCNEILL TODD, age 47, of Bladenboro, North Carolina to 87 months imprisonment, followed by three years of supervised release. The Court also ordered TODD to pay restitution totaling $517,379.
TODD was named in a Criminal Information filed on March 5, 2019 charging him with conspiracy to commit money laundering. On April 8, 2019, TODD pled guilty to that charge.
“This case is an example of the predators targeting senior citizens all across the country and here in the Eastern District of North Carolina.” Mr. Higdon said. Todd preyed upon our older citizens and stole more than a million dollars of the victims savings, their retirement, their future. Prosecuting those who defraud our senior citizens is a top priority for the U.S. Justice Department and for federal prosecutors here in the Eastern District,” said Higdon.
According to the charging instrument, statements made in court, and other public information, TODD conspired with one or more Africa-based scammers over a multi-year period to launder over $1.2 million in criminal proceeds. The proceeds originated from various Internet-enabled fraud schemes, including elder fraud, stolen identity tax refund fraud, and payroll diversion. For example, one elder fraud victim became acquainted with an individual who purported to be a U.S. soldier stationed abroad. The individual later requested financial assistance and fraudulently induced the victim into wiring funds to TODD. Investigators also identified a significant number of payroll checks that were diverted from employers across the country—particularly, hospital organizations—into TODD’s accounts or accounts under his control. The diversion typically resulted from the compromise of the victim’s network through phishing and computer intrusion techniques. Additionally, investigators observed an extensive pattern of unlawful deposit activity associated with intercepted federal and state tax refunds.
TODD used a variety of means and methods to receive and transfer criminal proceeds in furtherance of the conspiracy. Among other things, TODD conducted transfers to international recipients in Nigeria and elsewhere through his own accounts and those connected to a wider network of “money mules.” TODD also arranged the purchase of prepaid debit cards that were loaded with criminal funds. The funds, in turn, were wired overseas.
The FBI’s offices in Raleigh, North Carolina and Lexington, Kentucky conducted the investigation in this matter. Assistant United States Attorney Adam F. Hulbig represented the government.
Department of Justice to Announce $165 million in Grant Funding to Agencies Within the State of North CarolinaRead the Press Release
RALEIGH, NC – Department of Justice officials, North Carolina Governor Roy Cooper and State Bureau of Investigation Director Bob Schurmeier will announce Department of Justice grants awarded to state, local and tribal law enforcement agencies.
WHAT: Announcement of $165 million in Department of Justice grants to the State of North Carolina to support violent crime reduction, opioid/substance abuse reduction efforts, school safety, victim services, transitional housing for domestic violence victims, law enforcement activities, justice mental health, and juvenile justice.
WHO: US Attorney for the Eastern District of North Carolina Robert J. Higdon, Jr.
Governor Roy Cooper
US Attorney for the Middle District of North Carolina Matthew G.T. Martin
NC State Bureau of Investigation Director Bob Schurmeier
Department of Justice COPS Office Director Keith
WHEN:Friday, November 1, 2019
11:00 a.m. EDT
WHERE: Office of the United States Attorney for the Eastern District
150 Fayetteville Street
Suite 2100
Raleigh, North Carolina 27601OPEN PRESS
MEDIA CHECK-IN: Media representatives should check in with Don Connelly no later than 10:45 a.m.
Duplin County Source of Methamphetamine Receives 15 Years in Federal PrisonRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court, Chief United States District Judge Terrence W. Boyle sentenced WILLIam USHER, 33, of Duplin County North Carolina, to 180 months imprisonment, followed by 5 years of supervised release.
On March 21, 2019, USHER pled guilty to conspiracy to distribute and possess with the intent to distribute five-hundred (500) grams or more of methamphetamine, possession with intent to distribute fifty (50) grams or more of methamphetamine, possession of a firearm in furtherance of a drug trafficking crime and possession with intent to distribute a quantity of methamphetamine.
According to the investigation, on July 11, 2017, Duplin County Narcotic Detectives served a search warrant on USHER’S residence in Duplin County. Law enforcement found more than one-hundred twenty-five (125) grams of methamphetamine, $13,000 and twenty-one (21) firearms. USHER had previously sent a family member to Georgia to pick up to two (2) kilograms of methamphetamine for distribution.
On November 7, 2017, Duplin County Detectives conducted a controlled purchase of an ounce of methamphetamine from USHER at his residence. Following his arrest, detectives served a search warrant at the residence and found and additional ounce of methamphetamine and a loaded .25 caliber handgun.
On February 6, 2018, Duplin County Detectives conducted a traffic stop on a car driven by USHER and a passenger as they returned to USHER’S residence from picking up methamphetamine. Detectives found a quantity of methamphetamine laying on the ground near the car.
According to law enforcement and information obtained during the investigation, between July 2017 and February 2018, USHER was responsible for the importation and distribution of approximately 5 kilograms of methamphetamine. USHER’S sources of supply included a violent large-scale methamphetamine organization.
This case is part of an extensive Organized Crime Drug Enforcement Task Force (OCDETF) operation “Fall of the House of Usher” led by the Drug Enforcement Administration (DEA). This is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). This investigation is focused on national and international distribution of methamphetamine and firearms associated with this organization into southeastern North Carolina.
This case is also part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. 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.
The Drug Enforcement Administration, Bureau of Alcohol Tobacco and Firearms, Duplin County Sheriff’s Office, New Hanover County Sheriff’s Office, Sampson County Sheriff’s Office, North Carolina State Bureau of Investigation and Wilmington Police Department conducted this investigation. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the government.
Ambulance Company Manager and Biller Plead Guilty to $4.7 Million Fraud upon Medicare and Humana, Inc., and to Aggravated Identity TheftRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, PAMELA DEWITT BABB, 49, of Mt. Olive, and DAVON TERRELL HENDERSON, 32, of Greenville, NC, pleaded guilty to a Criminal Information charging BABB and HENDERSON with Conspiracy to Commit Health Care Fraud, and Aggravated Identity Theft.
United States Attorney Robert J. Higdon stated, “This fraud was huge in term of scope and impact. The defendants, and those working with them, went to great lengths to steal millions of dollars - stealing from the taxpayers of the country. My office and the investigative agencies with which we partner take these crimes, very seriously; it is a matter of principle and priority for us as we represent the people of the Eastern District.”
The Criminal Information to which BABB and HENDERSON pleaded guilty charges that in January of 2014, HENDERSON, BABB, and others entered into a scheme to defraud Humana, Inc.’s Medicare Advantage program by billing for fictitious ambulance services using the names and identifiers of Humana customers, referred to in the charges as the Humana Beneficiaries. The fraud was carried out in the name of the ambulance company HENDERSON owned at the time, known as Med 1 Inter-facility Care, LLC (Med-1). To carry out the fraud, a participant in the scheme acquired personally identifying information (PII) for certain Humana beneficiaries. HENDERSON and BABB paid participants for obtaining the identifying information of Humana Beneficiaries.
Using stolen Humana Beneficiary identifying information, HENDERSON and BABB caused Humana’s Medicare Advantage plan to be “back-billed” for various ambulance services in 2013, even though Med-1 was not operational for most of 2013. Thereafter, HENDERSON and BABB caused Humana to be billed for further fictitious ambulance services, continuing the fraud through June of 2016.
During the course of the fraud, Humana initially issued paper checks to Med-1 for the fictitious services. Rather than depositing the checks, HENDERSON and BABB caused the checks to be converted to cash using a check cashing business. HENDERSON and BABB then split the cash proceeds from the fraud. Later, BABB established an electronic billing and payment channel between Med-1 and Humana. Although BABB established this billing and payment channel in the name of Med-1, the routing number given to Humana for the purposes of payment for ambulance services belonged to a wheelchair company owned by HENDERSON, known as H&H Transport Services LLC (H&H). In other words, payments from Humana for services allegedly rendered by Med-1 were deposited into an H&H bank account. After Humana made an electronic deposit into the H&H bank account for fictitious ambulance services, HENDERSON and BABB split the proceeds by wiring approximately half of the proceeds into a bank account belonging to BABB.
In total, between 2014 and April of 2016, HENDERSON and BABB caused Humana to be billed for $6.1 Million in fraudulent ambulance services. Of this amount, Humana paid $4.7 Million, which was split between HENDERSON and BABB.
The maximum punishment for Health Care Fraud is up to 10 years in federal prison and up to $250,000 in fines. The maximum punishment for Aggravated Identity Theft (18 U.S.C. § 1028A) is not less than, nor more than 2 years in prison consecutive to any other term of imprisonment imposed, as well as up to a $250,000 in fines. The defendants will also be subject to an order of restitution and forfeiture of assets.
The United States Department of Health and Human Services Office of the Inspector General and the Internal Revenue Service Criminal Investigation conducted the investigation of this case. Assistant United States Attorney William M. Gilmore represents the United States.
Raleigh Gang Leaders Convicted of Rico Charges and Gang Related MurdersRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that DEMETRICE R. DEVINE, a/k/a “Respect,” 37, of Garner, NC, and BRANDON JOWAN MANGUM, a/k/a “B-Easy,” 31, of Knightdale, NC, were found guilty by a jury sitting in Raleigh today, for Conspiracy to Participate in a Pattern of Racketeering (RICO conspiracy), 2-counts of Murder in Aid of Racketeering, 2-counts of Murder with a Firearm During and in Relation to a crime of Violence, Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances, and Conspiracy to Commit Witness Tampering.
Evidence presented at trial and other public documents established that DEMETRICE R. DEVINE was the leader of the Gangsta Killer Bloods (GKB), and then created Black Mob Gangstas (BMG) and the Donald Gee Family (DGF) organization. The BMG/DGF are sets of the “Bloods” gang whose members committed various crimes in the city of Raleigh and especially in the area of Haywood Street. BRANDON JOWAN MANGUM was another high-ranking member of BMG/DGF. BMG/DGF members committed acts of violence to maintain membership and discipline, both within the gang and against non-gang members. Members committed acts of violence, including murder, attempted murder, and assaults, in order to maintain their positions within the gang and to be promoted within the leadership structure of the gang.
BMG/DGF, including its leadership, members and associates, constituted an “enterprise” as defined by Title 18, United States Code, Section 1961(4), that is, a group of individuals’ associated-in-fact. The enterprise constituted an ongoing organization, whose members functioned as a continuing unit for a common purpose of achieving the objectives of the enterprise. The enterprise was engaged in, and its activities affected, interstate and foreign commerce. The purpose of the BMG/DGF enterprise included the following:
a. Preserving and protecting the power, territory, reputation, respect, and profits of the enterprise through the use of intimidation, violence, threats of violence, assaults, murder and attempted murder;
b. Promoting and enhancing the enterprise and its members’ and associates’ activities, including, but not limited to, murders, attempted murders, robberies, drug distribution and other criminal activities;
c. Keeping the community and rivals in fear of the enterprise and its members and associates through violence and threats of violence;
d. Providing financial support and information to gang members, including those incarcerated in the United States;
e. Providing assistance to other gang members who committed crimes for and on behalf of the gang; and,
f. Hindering, obstructing, and preventing law enforcement officers from identifying, apprehending, and successfully prosecuting and punishing members of the enterprise.
BMG/DGF also held gang meetings to communicate gang information, to recruit members, issue punishment and collect gang dues from each BMG/DGF member for the benefit of the BMG/DGF organization. A portion of the dues were saved and utilized locally in what was referred to as a “community rent box” (CRB) while another portion was sent up the chain of command to gang leadership in Virginia and New York. BMG/DGF members were permitted to earn their money for dues through various methods, including, but not limited to, robberies, fraud schemes, and drug distribution. The monies were used locally for loans to gang members, for drug purchases, for firearm purchases, for gifts, and cellular telephones for high-ranking members who were in jail. DEVINE ordered that individuals selling narcotics in and around Haywood Street who were not BMG/DGF members were also required to pay gang dues in order to continue their drug sales in territory controlled by BMG/DGF. Individuals who did not pay gang dues risked being robbed, assaulted, or murdered.
In his leadership position DEVINE directed members of his gang to shoot a 16 year old rival gang member, Adarius Fowler, who died from gunshot wounds. He also ordered a gang member to shoot a person who provided information to law enforcement regarding the murder of Fowler. While this person was recovering from those gunshot injuries in the hospital, DEVINE ordered that the person be killed. DEVINE presided over a “beat-in” gang initiation of a BMG/DGF gang member and personally assaulted another gang member whose loyalty he questioned. DEVINE conspired with other gang members to silence and threaten gang members that had been provided subpoenas to testify in a federal proceeding.
MANGUM along with other gang members conspired to shoot a 18 year old rival gang member, Rodriguez Burrell, because he refused to pay money to BMG/DGF. Burrell was shot multiple times in the presence of his father and died of his wounds.
DEVINE and MANGUM both sold drugs on behalf of BMG/ DGF. Specifically, the jury found DEVINE guilty of conspiracy to distribute and possession with the intent to distribute more than 280 grams of cocaine base (crack), more than 500 grams of cocaine, and a quantity of marijuana. DEVINE frequently provided drugs to lower ranking gang members for further distribution into the community. The jury found MANGUM guilty of conspiracy to distribute and possession with the intent to distribute a quantity of cocaine and marijuana.
At sentencing, DEVINE and MANGUM face a maximum term of imprisonment of life and a term of supervised release following any term of imprisonment.
Mr. Higdon commented: “The United States Justice Department and the United States Attorney’s Office are aggressively pursuing violent drug traffickers and this case targeted the worst of the worst. These men pose a serious danger to the people of Eastern North Carolina and with this conviction we have removed this danger from our community. This case is part of our effort to “Take Back North Carolina” from the drug traffickers and violent criminals.”
“The level of law enforcement cooperation to put these violent defendants behind bars where they belong was incredible. We have dismantled the criminal enterprise they ran which threatened and terrorized the citizens of Raleigh. This case is yet another example of law enforcement partners working together to effectively hold criminals accountable. To anyone who tries to fill the criminal void left by these convictions, you should know, we’ll come after you next," said John Strong, the Special Agent in Charge of the FBI in North Carolina.
The prosecution of DEVINE and MANGUM was a part of an Organized Crime and Drug Enforcement Task Force Operation (OCDETF) targeting violent gang members and drug traffickers in Raleigh, North Carolina.
The Federal Bureau of Investigation and the Raleigh Police Department led the investigation with assistance from the North Carolina Department of Public Safety, Wake County Sheriff’s Office, Raleigh/ Wake City-County Bureau of Identification, United States Marshal’s Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the North Carolina Office of the Chief Medical Examiner. Assistant United States Attorneys Dena King and Scott Lemmon prosecuted this case with Christina Taylor with the U.S. Department of Justice Criminal Division’s Organized Crime and Gang Section.
North Carolina Gang Leaders Convicted of RICO ChargesRead the Press Release
Two North Carolina men were found guilty today for conspiracy to participate in a pattern of racketeering (RICO), two counts of murder in aid of racketeering, two counts of murder with a firearm during and in relation to a crime of violence, conspiracy to distribute and possess with the intent to distribute controlled substances and conspiracy to commit witness tampering.
Evidence presented at trial and other public documents established that Demetrice R. Devine, aka “Respect,” 37, of Garner, North Carolina, was the leader of the Black Mob Gangsters (BMG) and founder of the Donald Gee Family organization (DGF). The BMG/DGF are sets of the “Bloods” gang whose members committed various crimes in the city of Raleigh, North Carolina, and especially in the area of Haywood Street. Brandon Jowan Mangum, aka “B-Easy,” 31, of Knightdale, North Carolina, was another high-ranking member of the BMG/DGF. The BMG/DGF members committed acts of violence to maintain membership and discipline, both within the gang and against non-gang members. Members committed acts of violence, including murder, attempted murder and assaults in order to promote within the leadership structure of the gang.
BMG/DGF, including its leadership, members and associates, constituted an “enterprise” that constituted an ongoing organization, whose members functioned as a continuing unit for a common purpose of achieving the objectives of the enterprise. The enterprise was engaged in, and its activities affected, interstate and foreign commerce. The purpose of the BMG/DGF enterprise included the following:
- Preserving and protecting the power, territory, reputation, respect and profits of the enterprise through the use of intimidation, violence, threats of violence, assaults, murder and attempted murder;
- Promoting and enhancing the enterprise and its members’ and associates’ activities, including, but not limited to, murders, attempted murders, robberies, drug distribution and other criminal activities;
- Keeping the community and rivals in fear of the enterprise and its members and associates through violence and threats of violence;
- Providing financial support and information to gang members, including those incarcerated in the United States;
- Providing assistance to other gang members who committed crimes for and on behalf of the gang;
- Hindering, obstructing, and preventing law enforcement officers from identifying, apprehending, and successfully prosecuting and punishing members of the enterprise.
BMG/DGF also held gang meetings to communicate gang information, to recruit members, issue punishment and collect gang dues from each BMG/DGF member for the benefit of the BMG/DGF organization. A portion of the dues were saved and utilized locally in what was referred to as a “community rent box” (CRB) while another portion was sent up the chain of command to gang leadership. BMG/DGF members were permitted to earn their money for dues through various methods, including, but not limited to, robberies, fraud schemes, and drug distribution. The monies were used locally for loans to gang members, drug purchases to maintain drug houses, firearm purchases for gifts and cellular telephones for high-ranking members who were in jail. Individuals selling narcotics in and around Haywood Street who were not BMG/DGF members were also required to pay gang dues in order to continue their drug sales in territory controlled by BMG/DGF. Individuals who did not pay gang dues risked being robbed, assaulted or murdered.
In his leadership position, Devine directed members of his gang to shoot a rival gang member, Adarius Fowler, who died from gunshot wounds. He also ordered a gang member to shoot a person who provided information to law enforcement regarding the murder of Fowler. Devine presided over a “beat-in” gang initiation of a BMG/DGF gang member and personally assaulted another gang member whose loyalty he questioned. Devine conspired with other gang members to initiate and silence another individual believed to be cooperating with law enforcement.
Mangum along with other gang members conspired to shoot a rival gang member, Rodriguez Burrell, because he refused to pay money to BMG/DCF. Burrell was shot multiple times in the presence of his father and died of his wounds.
Devine and Mangum both sold drugs on behalf of BMG/ DGF. Specifically, the jury found Devine guilty of conspiracy to distribute and possession with the intent to distribute more than 280 grams of cocaine base (crack), more than 500 grams of cocaine and a quantity of marijuana. Devine frequently provided drugs to lower ranking gang members for further distribution into the community. The jury found Mangum guilty of conspiracy to distribute and possession with the intent to distribute a quantity of cocaine and marijuana.
Sentencing is scheduled for February 2020, before U.S. District Judge James C. Dever III.
The FBI and The Raleigh Police Department conducted the investigation. Trial Attorney Marty Woelfle of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorneys Dena King and Scott Lemmon prosecuted the case.
- Preserving and protecting the power, territory, reputation, respect and profits of the enterprise through the use of intimidation, violence, threats of violence, assaults, murder and attempted murder;
Alien Indicted on Illegal and Unlawful Alien in Possession of a FirearmRead the Press Release
WILMINGTON – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Wilmington has returned an indictment charging TELESFORO RENZAURES-JACOME, age 32, of Mexico, with illegal and unlawful alien in possession of a firearm.
If convicted RENZAURES-JACOME, found in Lenoir County, would face maximum penalties of ten years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
Homeland Security Investigations is investigating this case.
Prior Federal Fraud Convict Arrested on New Charges of Bank Fraud, Wire Fraud, and Aggravated Identity TheftRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that last Thursday in federal court, CHARLES GILBERT MURPHY, 63, of Apex, NC, was charged in a 26-count federal indictment alleging various acts of Bank Fraud, Wire Fraud, Making False Statements on a Loan, Making False Statements to the FBI, Aggravated Identity Theft, and Subscribing to False Tax Returns. He was arrested by the FBI today in Raleigh.
The Indictment alleges that MURPHY, both directly and through the use of various entities and individuals, engaged in a number of frauds and schemes to cause individuals and businesses to part with their money.
The Indictment alleges that MURPHY was subject to collection efforts by the United States Government arising from a prior federal conviction for Wire Fraud in June of 1999 in this same district. As such, the Indictment alleges that MURPHY caused family members to open bank accounts for him in the name of various companies he controlled, referred to in the Indictment as the “Murphy Entities.” These entities were Toxic Solutions LLC (“Toxic Solutions”), Biological Marine Remediation LLC (“Bio-Remediation”), Bio Marine Remediation LLC (“Bio-Marine”), Bio Separation Systems, LLC (“Bio-Separation”), On-Site Solutions LLC (“On-Site Solutions”), and On-Site Technologies LLC (“On-Site Technologies”).
The Indictment alleges that MURPHY used the bank accounts in the name of the Murphy Entities to conduct his personal business. In particular, the Indictment alleges that in an effort to obtain loan proceeds from banks and lenders, Murphy created and caused to be created various false documents which were given to bank and lender underwriters and agents in support of loans. Such false documents included false bank statements for Toxic Solutions, false tax returns for Toxic Solutions, and false statements regarding revenue.
In addition to his attempts to obtain lender monies using false documents, the Indictment alleges that MURPHY also used the Murphy Entities to obtain money from individuals and entities under false and fraudulent pretenses. According to the Indictment, MURPHY represented that the Murphy Entities performed environmental cleanup activities, such as water remediation. MURPHY purported to offer to various entrepreneurial victims the opportunity to purchase exclusive rights to perform environmental cleanup services in a given geographic area. MURPHY also purported to sell the equipment necessary to perform the cleanup services. In furtherance of the scheme, MURPHY frequently presented false documents to the entrepreneurs to make it appear that funds had been allocated for services to be performed in the geographic area where the victims had purchased the exclusive rights. In reality, the documents justifying the exclusive rights purchase were falsified, and MURPHY took the money without providing all of the equipment purchased.
The Indictment asserts that after MURPHY conducted the scheme in the name of one of the Murphy Entities, he shifted the scheme to one of the other Murphy Entities to perpetuate the fraud. MURPHY also began to use some of the Murphy Entities for the purposes of obtaining merchant cash advances from commercial lenders. In doing so, MURPHY misrepresented, among other things, the revenues of his company, and the fact that he had obtained other merchant cash advances.
In addition to the foregoing schemes upon lenders and individuals, the Indictment also alleges that MURPHY conducted a fraud upon banks by presenting and causing to be presented to the banks numerous false and fraudulent checks.
In July of 2018, the Federal Bureau of Investigation interviewed MURPHY concerning the foregoing schemes. After being warned that lying to the FBI was a federal offense, the Indictment charges that MURPHY nevertheless made numerous materially false and fraudulent statements during the interview.
Lastly, the Indictment alleges that in the midst of carrying out the aforementioned frauds, MURPHY was also filing false tax returns. The Indictment alleges that despite receiving substantial sums of cash from the Murphy entities, MURPHY never included this information on his tax returns.
If found guilty, the maximum punishment for Bank Fraud and Making False Statements on a Loan is up to 30 years in prison. The maximum punishment for Wire Fraud is up to 20 years in prison. The maximum punishment for Making False Statements to the FBI is up to 5 years in prison. The maximum punishment for Subscribing to False Tax Returns is up to 3 years in prison. The maximum punishment for Aggravated Identity Theft is not less than, nor more than 2 years in prison consecutive to any other term of imprisonment imposed.
The Government continues to investigate all losses associated with the frauds alleged in the Indictment. If you feel that you may have been a victim of any of these offenses, and have not already reported losses to the Government, please contact the FBI or the US Attorney’s Office.
An Indictment is an allegation of a crime. The defendant is presumed under the law to be innocent until proven guilty.
The Federal Bureau of Investigation, the Internal Revenue Service - Criminal Investigation and the North Carolina Department of the Secretary of State investigated this case. Assistant United States Attorney William M. Gilmore represents the United States.
Department of Justice Awards More Than $85.3 Million in Grants to Address School ViolenceRead the Press Release
North Carolina Agencies and Schools Awarded More than 5 Million in Funding
WASHINGTON – Today, the Department of Justice announced it has awarded more than $85.3 million to bolster school security—including funding to educate and train students and faculty—and support first responders who arrive on the scene of a school shooting or other violent incident.
“These federal resources will help to prevent school violence and give our students the support they need to learn, grow, and thrive,’ said Attorney General William P. Barr. “By training faculty, students and first responders, and by improving school security measures, we can make schools and their communities safer.”
“Preventing violence in our schools is critical to the safety and security of all of our communities,” said Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina. “These funds authorized by the Department of Justice will be used to better prepare school faculty, students and law enforcement to prevent, detect, and respond to security threats.”
The grants award more than $5 million in funding to prevent violence in schools in North Carolina. President Trump signed the STOP School Violence Act into law in March 2018, authorizing grants that are designed to improve threat assessments, train students and faculty to provide tips and leads, and prepare law enforcement officers and emergency professionals to respond to school shootings and other violent incidents. The grant programs are managed by OJP’s Bureau of Justice Assistance and the Justice Department’s Office of Community Oriented Policing Services.
The Bureau of Justice Assistance, within the Department’s Office of Justice Programs, and the Office of Community Oriented Policing Services manage the programs and administer the grants, which include funds to:
- Develop school threat assessment teams and pursue technological solutions to improve reporting of suspicious activity in and around schools;
- Implement or improve school safety measures, including coordination with law enforcement, as well as the use of metal detectors, locks, lighting and other deterrent measures;
- Train law enforcement to help deter student violence against others and themselves;
- Improve notification to first responders through implementation of technology that expedites emergency notifications;
- Develop and operate anonymous reporting systems to encourage safe reporting of potential school threats;
- Train school officials to intervene when mentally ill individuals threaten school safety; and
- Provide training and technical assistance to schools and other awardees in helping implement these programs.
For more details about these individual award programs, as well as listings of individual 2019 awardees, visit https://go.usa.gov/xVJuV
About the Office of Justice Programs:
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal justice system. More information about OJP and its components can be found at www.ojp.gov.
About the Office of Community Oriented Policing Services:
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
Fayetteville Man Sentenced to 18 Years After Shooting and Paralyzing Robbery VictimRead the Press Release
RALEIGH — United States Attorney Robert J. Higdon, Jr., announced that today in federal court, United States District Judge James C. Dever, III, sentenced Ricky Fitzgerald Artis, 49, of Fayetteville to 216 months’ imprisonment, followed by 5 years of supervised release. ARTIS and co-defendant Clifton Currie were named in a three-count Indictment on October 18, 2018, charging both men with attempted interference with commerce by robbery and brandishing and discharging a firearm in furtherance of a crime of violence, and ARTIS alone with possession of a firearm by a felon.
ARTIS pled guilty to the charges of robbery and brandishing and discharging on July 31, 2019. His sentencing followed that of his codefendant. Currie, who pled guilty to charges of robbery and brandishing a firearm, received a sentence of 144 months’ imprisonment and 5 years of supervised release on July 24, 2019.
According to the information presented to the Court, on July 31, 2018, RICKY ARTIS and Clifton Currie attempted to rob a man who they knew to be dealing drugs out of a hotel in Fayetteville, North Carolina. A man with a pistol, later identified as ARTIS, entered the hotel room, yelled “Where is it,” and then fired two rounds into the victim’s chest. The victim admitted to police that ARTIS stole a bag of crack cocaine from a table before fleeing from the room. Currie served as lookout, but peered into the room, as confirmed by hallway surveillance video showing both men. The victim sustained multiple gunshot wounds and as a result is now paralyzed from the waist down. Both ARTIS and Currie subsequently confessed to their roles in the robbery.
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. Since 2017, the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
That effort has been implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The Fayetteville Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation in this case. Assistant United States Attorney Jake D. Pugh represented the government.
Clayton Man Sentenced to 10 Years for Possession of a Firearm in Furtherance of a Drug Trafficking CrimeRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Chief United States District Judge Terrence W. Boyle sentenced CHRISTOPHER EDWARD REAVES, 35, of Clayton, North Carolina to 120 months imprisonment, followed by 5 years of supervised release.
REAVES was named in a Criminal Information filed on May 16, 2019 charging him with two-counts of Possession of a Firearm in Furtherance of a Drug Trafficking Crime. On July 11, 2019, REAVES pled guilty to the charges.
On January 6, 2019, deputies with the Johnston County Sheriff’s Office (JCSO) responded to a suspicious vehicle call at a home in Clayton. Upon arrival, deputies observed REAVES asleep inside the vehicle. Deputies had to shake REAVES to wake him up and observed narcotics in plain view. A search of the vehicle resulted in the seizure of 1 gram of cocaine, 0.22 gram of heroin (11 dosage units), 14.9 grams of Suboxone, drug paraphernalia, and a .25 caliber handgun. Subsequent to REAVES’ arrest, he provided an unprotected statement acknowledging that he was a drug addict. Deputies attempted to question REAVES about the firearm; however, he had fallen asleep.
On February 24, 2019, officers with the Clayton Police Department responded to a report that REAVES was passed out behind the wheel of a truck with the brakes depressed. Law enforcement officials learned REAVES was also wanted by the JCSO. As officers opened the driver’s door to get REAVES out of the vehicle, a concealed 9mm handgun fell to the floor. The firearm was secured, and REAVES was taken into custody without incident. Thereafter, a search of his vehicle resulted in the seizure of 84.1 grams of marijuana, 12.2 grams of Suboxone, drug paraphernalia, and $1,084 in U.S. currency.
In summation, REAVES is accountable for possession of two firearms in connection with his drug trafficking crimes. Specifically, he possessed with intent to sell a total of 84.1 grams of marijuana, 0.22 gram of heroin, 27.1 grams of Suboxone, and 1 gram of cocaine. On July 18, 2019, the defendant submitted a written statement accepting responsibility for his involvement in these crimes.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Johnston County Sheriff’s Office and the Clayton Police Department investigated this case. Assistant United States Attorney Daniel W. Smith represented the government.
Wilmington Woman Pleads Guilty to Aiding and Abetting False Statements in Connection with a Conspiracy to Commit Marriage FraudRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr., announced that today in federal court, MARLILYN GODSHALL, age 61, of Wilmington, North Carolina, pleaded guilty to aiding and abetting fraudulent statements. Additionally, United States Magistrate Judge Robert B. Jones, Jr. sentenced GODSHALL to 12 months of probation.
Homeland Security Investigations (HSI) initiated an inquiry into GODSHALL based on a fraudulent marriage between her daughter, Melissa Godshall, a United States citizen, and Levan Lomtatidze, a citizen of the Republic of Georgia. A lead suggested that Melissa Godshall was married to Lomtatidze but also shared an address with her real boyfriend, Robert Kennerley.
During the course of this investigation, HSI agents discovered that Melissa Godshall and Kennerley were panhandling for money on the side of the road in Granville County, North Carolina, when Tojiddin Rahimov, a naturalized United States citizen from Tajikistan, approached them and asked Melissa Godshall if she would be willing to marry a foreign-born national for money. Melissa Godshall agreed to engage in the marriage to Lomtatidze in exchange for $12,000, housing, and a vehicle. Lomtatidze and Melissa Godshall got married in Granville County, North Carolina. Kennerley and another individual witnessed the marriage ceremony.
HSI agents confirmed that Lomtatidze, Melissa Godshall and Kennerley entered into a rental agreement for a house located in Raleigh, North Carolina. Lomtatidze, as part of the payment for the sham marriage, paid for the rent. Thereafter, Godshall and Lomtatidze submitted fraudulent applications to United States Citizenship and Immigration Services (USCIS) requesting Lomtatidze’s adjustment of status as a lawful permanent resident (green card holder) in the United States. Lomtatidze and Melissa Godshall were interviewed at the USCIS office in Durham, North Carolina. Both attested under oath they were married in good faith. Because of the interview, USCIS approved the request and Lomtatidze was granted “conditional” resident status in the United States.
On September 18, 2017, GODSHALL prepared a statement in support of Lomtatizde’s application for “unconditional” permanent residence. GODSHALL purported the marriage to be legitimate while knowing the marriage was entered into for the purpose of evading the application of immigration laws.
Later, Lomtatidze and Melissa Godshall submitted to USCIS the application requesting Lomtatidze’s removal of conditions on his resident status, including GODSHALL’s statement in support of the petition, attesting Lomtatidze and Melissa Godshall were still married in good faith.
On August 27, 2019, Lomtatidze was sentenced for conspiracy to commit marriage fraud by United States District Judge Louise W. Flanagan. He was also ordered deported from the United States. On the same date, Melissa Godshall was sentenced to four months in the custody of the United States Bureau of Prisons, consecutive to any other term of imprisonment.
On June 19, 2019 and July 11, 2019, Kennerely and Rahimov pleaded guilty to conspiracy to commit marriage fraud. They are presently awaiting sentencing.
The Document and Benefit Fraud Task Force (DBFTF) in the Eastern District of North Carolina led by Homeland Security Investigations and the USCIS’s Fraud Detection and National Security investigated the case.
Medicaid Biller Pleads Guilty to Health Care FraudRead the Press Release
NEW BERN – The United States Attorney’s Office for the Eastern District of North Carolina announced that today in federal court, PAMELA GRACE FAULKNER, 58, of Greensboro, North Carolina, pled guilty to Conspiracy to Commit Health Fraud.
According to the Criminal Information to which FAULKNER pled guilty, FAULKNER conspired with Renee Christine Borunda to commit Medicaid fraud. FAULKNER was the sole officer of Skeen Services, Inc. which was a company that offered behavioral health services to Medicaid recipients. Borunda submitted claims to Medicaid on behalf of Skeen. In 2013 and 2014, Borunda submitted fraudulent electronic claims that falsely represented that Skeen had provided services to approximately 200 different Medicaid recipients who lived in Beaufort, Greene, Guilford, Lenoir, Mecklenburg, Pitt, and Wilson Counties, when in fact these services were never rendered. FAULKNER was aware that Borunda was submitting fraudulent claims. In fact, on numerous occasions, FAULKNER provided Borunda with the names of Skeen clients for whom FAULKNER wanted Borunda to submit false claims. FAULKNER and Borunda had agreed to split the monies received for these claims. Medicaid paid Skeen approximately $213,927 for the fraudulent claims. FAULKNER paid Borunda approximately $144,000 from Skeen’s account.
Borunda previously pled guilty to Conspiracy to Commit Health Fraud and Aggravated Identity Theft for her involvement with the health care fraud involving Skeen, as well as fraud involving another company, and the theft of a therapist’s provider number. On November 7, 2018, Borunda was sentenced to 37 months in federal prison followed by 3 years of supervised release.
United States Attorney Higdon commented: “Medicaid fraud jeopardizes the program that is designed to help serve the most vulnerable members in our society, diverts taxpayers dollars, and increases the cost of healthcare. The USAO-EDNC is committed to aggressively seeking out, charging, and bringing to justice those who compromise the integrity of this program for their own financial gain.”
“This individual wasted taxpayer money that should have gone to people who need health care,” said Attorney General Josh Stein. “My office will protect taxpayers and hold health care providers and practices accountable when they commit fraud.”
Agents of the North Carolina State Bureau of Investigation (“SBI”) assigned to the Medicaid Investigations Division of the North Carolina Attorney General’s Office (“MID”), Financial Investigators with the MID, and agents with the Internal Revenue Service - Criminal Investigation Division conducted the investigation in this matter. Assistance was provided by the Office of Compliance and Program Integrity of the North Carolina Division of Health Benefits, EastPointe, Sandhills Center, and Trillium Health Resources. The investigation and prosecution of this matter was handled in a partnership between the United States Attorney’s Office for the Eastern District of North Carolina and the Medicaid Investigations Division of the North Carolina Attorney General’s Office. Assistant United States Attorney John Parris and Special Assistant United States Attorney Mike Heavner represented the United States.
Four Aliens Indicted on Illegal Reentry Charges, False Attestation, Fraud and Misuse of Visas, Permits, and Other Documents, False Representation of Social Security Number and Aggravated Identity TheftRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging EDWIN MONROY-ABASOLO, age 30, of Mexico, JOSE QUISTIAN-LUPES, age 34, of Mexico, and OSCAR GEOVANI OLIVERA-HERNANDEZ, age 26, of Honduras with Illegal Reentry of a Deported Alien.
Additionally, the grand jury returned an indictment charging JOSE JUAN PEREZ-CAMPOZANO, age 47, of Mexico, with false attestation, fraud and misuse of visas, permits, and other documents, false representation of a social security number, and aggravated identity theft.
If convicted of illegal reentry of a deported alien, MONROY-ABASOLO, previously deported and found in Wake County, and QUISTIAN-LUPES, previously deported and found in Wake County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
OLIVERA-HERNANDEZ, previously deported twice and found in Wake County, is alleged to have been previously removed subsequent to an aggravated felony conviction (3 counts of indecent liberties with a child). Therefore, if convicted, he would face a maximum imprisonment term of 20 years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of false attestation, fraud and misuse of visas, permits, and other documents, false representation of a social security number, and aggravated identity theft, PEREZ-CAMPOZANO, found in Sampson County, would face maximum penalties of 27 years imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement and Removal Operations and Homeland Security Investigations.
Daniel Oliver-Perez Pleads Guilty to Assaulting Ice OfficersRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, DANIEL OLIVER-PEREZ, 20, of Greenville, North Carolina pled guilty to a two-count criminal information charging him with assaulting, resisting, or impeding certain officers and employees of the Department of Homeland Security, Immigration and Customs Enforcement (ICE) while they were attempting to execute an administrative arrest warrant against an individual known to the OLIVER-PEREZ (hereinafter “known person” or “KP”).
United States Attorney Higdon commented, “Law enforcement officers – including ICE agents – all across the country perform a vital service to each of us as they enforce our criminal, civil and administrative laws. They must be allowed to do these jobs without interference and without the risk of harm. Federal prosecutors in this District stand ready to support our law enforcement partners at every level and will prosecute those who place their security and safety at risk.”
“ICE Deportation Officers conduct arrests according to federal law, as enacted by Congress. They are sworn law enforcement officers who carry out our nation’s immigration laws in support of public safety and the integrity of our immigration system. Impeding ICE Officers in the performance of their duties is dangerous and will not be tolerated, and ICE will continue to aggressively pursue criminal charges against such individuals,” said John Tsoukaris, Interim Director, Atlanta Field Office. “I would like to thank our partners in the US Attorney’s Office for the Eastern District of North Carolina for supporting our officers and the critically important work they do on behalf of this great nation.”
“Homeland Security Investigations (HSI) conducted the investigation that led to the federal charges against Mr. Oliver-Perez. It’s unacceptable for individuals to assault or obstruct federal law enforcement officers while they are enforcing our nation’s laws,” said Ronnie Martinez, Special Agent in Charge of HSI Charlotte.
On November 23, 2018, OLIVER-PEREZ accompanied the KP to the Department of Homeland Security - Citizenship and Immigration Services Application Support Center (ASC) in Morrisville, North Carolina. Once the KP and OLIVER-PEREZ joined a waiting line an ICE officer identified himself as an immigration officer and told KP he needed to come with the officer. The defendant then grabbed the KP by the jacket to preclude the ICE officers from detaining/arresting the KP.
The ICE Officer and another officer attempted to pull the OLIVER-PEREZ away from the KP while another officer attempted to arrest the KP. Due to the struggling of both the defendant and the KP, both they and the officers fell to the floor. An officer was able to handcuff the KP and two officers then began to remove the KP from the waiting area through the back door.
As the KP was being escorted out, the OLIVER-PEREZ again tried to get ahold of the KP. The Officer grabbed the defendant around the waist to prevent the defendant’s interference with the safe removal of the KP. OLIVER-PEREZ grabbed the Officer by the neck in a chokehold grip. The Officer instructed the defendant to let him go. After several seconds, the Officer was able to release himself from the defendant’s grip. During the altercation, the Officer sustained a cut on his hand and had difficulty breathing during the chokehold.
OLIVER-PEREZ then followed the officers who had removed the KP from the waiting area and had taken him to the ICE transport van. The assigned driver of the van was another ICE Officer who was sitting in the driver’s seat. The defendant gained access to the inside of van and hit this Officer on the head and chest area with his right hand while grabbing the steering wheel with his left hand. The Officer was able to turn his body, lean back, and kick OLIVER-PEREZ away from him. During the scuffle, the door to the van became unhinged and the Officer had to exit the vehicle in order to close it. The Officer was able to get back into the vehicle and shut the doors.
OLIVER-PEREZ then approached the first Officer who had now exited the ASC building. The defendant again attempted to physically confront the Officer and while doing so ripped the Officer’s shirt.
Fugitive Returned from Colombia to Face Drug ChargesRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that BERNAVE MILLAN-RASCON, 41, of Mexico, was extradited to the United States from Colombia, South America to face charges of Conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine and Possess with the intent to distribute five kilograms or more of cocaine. A federal
indictment charging MILLAN-RASCON was returned on October 18, 2018.According to publicly filed
documents in federal court, it is alleged that MILLAN-RASCON and others have been involved in the international trafficking of cocaine from Mexico into various parts of the United States, including locations in the Eastern District of North Carolina. Specifically, it is alleged that, from Mexico, MILLAN-RASCON had been directing the smuggling of kilogram quantities of cocaine into the United States using hidden areas of trucks.According to publicly filed documents, in December 2016, members of the Raleigh District Office (DO) High Intensity Drug Trafficking Area (HIDTA) Group conducted an investigation resulting in the seizure of approximately 16 kilograms of cocaine, approximately $140,000 United States currency and two firearms. Information provided by the DEA Dallas Field Division and DEA Houston Field Division, led the Raleigh DO HIDTA Group to begin a communication intercept investigation, as authorized by a federal district judge.
Based upon the investigation, it is alleged in publicly filed documents that in December 2016, MILLAN-RASCON arranged with Carlos Miranda Lopez for the delivery of cocaine to the Eastern North Carolina – specifically, to the residence of Malcolm Hird. Law enforcement observed a flatbed trailer delivered to Hird’s residence and continued surveillance on the trailer. Law enforcement secured the area and obtained federal search warrants for the trailer, Hird’s residence, and Lopez’ residence. The subsequent searches resulted in the recovery of approximately 16 kilograms of cocaine on Hird’s premises including 5 kilograms of cocaine still secreted in the axle of the trailer. A search of Lopez’ residence resulted in the seizure of approximately $140,000 in currency and two firearms, an SKS 7.62 rifle, and .45 caliber Springfield 1911 semi-automatic handgun.
Lopez pled guilty on March 20, 2017 to conspiracy to distribute and possess with intent to distribute cocaine and Possession of a firearm in furtherance of a drug trafficking crime and sentenced on September 7, 2017 to 120 months of imprisonment.
Hird pled guilty on March 20, 2017 to conspiracy to distribute and possess with intent to distribute cocaine and sentenced on September 7, 2017 to 120 months of imprisonment.
The charges and allegations contained in the indictment, and associated publicly filed documents, are merely accusations. MILLAN-RASCON is presumed innocent unless and until proven guilty in a court of law.
This prosecution is part of an extensive investigation by the United States Attorney’s Office’s Organized Crime Drug Enforcement Task Force (OCDETF). 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.
The Drug Enforcement Administration investigated this case and the United States Marshal’s Service assisted with the extradition. The Justice Department’s Office of International Affairs of the Department’s Criminal Division provided significant support in securing the defendant’s extradition from Colombia. Assistant United States Attorney Scott Lemmon is prosecuting this case on behalf of the United States.
Goldsboro Man Convicted for Distribution of Fentanyl and HeroinRead the Press Release
RALEIGH – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that DONTE TERRILL KORNEGAY, A/K/A “BOSTON,” was found guilty by a jury sitting in New Bern on Friday, October 4, 2019, for Conspiracy to Distribute Heroin and Fentanyl, and Distribution of Fentanyl.
The case involved the overdose death by fentanyl of a twenty-one year old victim in Sneads Ferry, North Carolina. Trial testimony and text messages and phone toll records recovered from witnesses’ cell phones established that on the night of April 6, 2016, the victim purchased fentanyl from a coconspirator, at the direction of KORNEGAY. In addition, the trial testimony revealed that prior to that night, KORNEGAY had been distributing heroin in the Sneads Ferry area since 2015.
At sentencing, which is scheduled for the February, 2020 term of court, kornegay faces a maximum term of imprisonment of 20 years on each count, a $1,000,000 fine, and a term of supervised release following any term of imprisonment.
Mr. Higdon commented: “The United States Justice Department and the United States Attorney’s Office are aggressively pursuing distributors of heroin and fentanyl. These drugs pose a serious danger to the people of Eastern North Carolina and we intend to remove that danger as part of our effort to “Take Back North Carolina” from the drug traffickers and violent criminals.”
The Onslow County Sheriff’s Office, with assistance from the Drug Enforcement Administration’s Wilmington Resident Office, conducted the investigation in this matter. Assistant United States Attorneys Ethan Ontjes and Toby Lathan represented the government.
Wilson Man Indicted on Ammunition ChargeRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging JOHN DAVID JONES, age 37, of Wilson, with possession of ammunition as a convicted felon.
As alleged in open court during JONES’ detention hearing on October 9, 2019, on January 14, 2019 North Carolina State Highway Patrol Trooper Daniel Harrell conducted a traffic stop on a vehicle JONES was driving. The defendant fled during the initial stop, firing several rounds into the windshield of Trooper Harrell’s vehicle, striking Trooper Harrell in the face. JONES then fled the scene. Investigators recovered shell casings from the scene of the shooting, and the defendant’s DNA was found on a recovered shell casing.
At the detention hearing it was determined that JONES would remain in custody until the disposition of the charges against him. If convicted, JONES would face a maximum of 10 years imprisonment, a $250,000 fine, and a term of up to three years supervised release following any term of imprisonment.
The charges and allegations contained in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
This case is part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. 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 more information about this initiative, CLICK HERE .
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), United States Marshals Service, North Carolina State Highway Patrol, North Carolina State Bureau of Investigation, Wilson County Sheriff’s Office, Nash County Sheriff’s Office, and Greenville Police Department investigated this matter. Assistant United States Attorney Chad E. Rhoades is prosecuting the case for the government.
Wilmington Gang Members Receives 11 Years in Federal PrisonRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge Louise W. Flanagan sentenced JAQUARIES WASHINGTON, 20, of Wilmington North Carolina to 132 months imprisonment, followed by 3 years of supervised release.
WASHINGTON was named in an indictment filed on February 13, 2019 charging him with possession with the intent to distribute a quantity of heroin. On June 20, 2019, WASHINGTON pled guilty to the indictment.
According to the investigation, on November 27, 2018, the New Hanover County Sheriff’s Office Vice Unit ordered a quantity heroin from WASHINGTON to be delivered to a hotel room in Wilmington. Upon arriving to the hotel room, WASHINGTON was arrested for possession of heroin. After WASHINGTON’s arrest, law enforcement searched the car in which WASHINGTON arrived and found a juvenile in the backseat and a loaded pistol on the floorboard.
According to law enforcement, WASHINGTON was a validated gang member. WASHINGTON was prohibited from associating with other gang members of his set because of a North Carolina State Civil Gang Injunction at the time of his arrest.
This case is part of an FBI-led Organized Crime Drug Enforcement Task Force (OCDETF) operation named “Dodge Ball.” This operation is focused on members of the Nine Trey sect of the United Blood Nation, a violent gang in Wilmington, North Carolina involved in the distribution of heroin, possession of firearms and associated violence. This is a joint investigation by the FBI Safe Streets Task Force (Gang Unit), Bureau of Alcohol, Tobacco, Firearms and Explosives, Wilmington Police Department, and New Hanover Sheriff’s Office. The FBI Safe Streets Task Force and ATF utilize resources from federal, state, and local law enforcement in order to efficiently and effectively target and combat criminal gangs and drug trafficking organizations operating in coastal southern North Carolina. A key component of federal task force’s success involves the use of task force officers from local law enforcement who have direct knowledge of the criminal gang activity in their areas.
This case is also part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. 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.
The Federal Bureau of Investigation Safe Streets Task Force, Bureau of Alcohol, Tobacco, Firearms and Explosives, New Hanover County Sheriff’s Office, Wilmington Police Department, and North Carolina State Bureau of Investigation investigated this case. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the government.
North Carolina Licensed Attorney Sentenced for Harboring AlienRead the Press Release
NEW BERN – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that SARAH JANE BRINSON, age 34, of Clinton, North Carolina, was sentenced yesterday by United States District Judge Louise W. Flanagan to three months in the custody of the Bureau of Prisons followed by three years of supervised release, for the crime of harboring an alien.
On June 4, 2019, BRINSON pleaded guilty to a criminal information charging that she encouraged and induced an alien to reside in the United States, knowing and in reckless disregard of the fact that such residence in the United States was in violation of the law. Pursuant to the terms of the plea agreement leading to BRINSON’s guilty plea, BRINSON surrendered her law license to the North Carolina State Bar and forfeited $5,000.
According to Court records, Homeland Security Investigations initiated an inquiry into BRINSON, a licensed attorney and notary public in North Carolina, based upon her representation of an alien in North Carolina state court. The representation included appearing before a North Carolina district court judge to enter a prayer for judgment continued on behalf of an alien while knowing the alien was assuming the identity of a United States citizen. In the meantime, BRINSON represented the same alien in immigration proceedings under the alien’s real name without disclosing the alien’s use of another name. Further, BRINSON notarized the alien’s signature under the assumed name in connection with North Carolina state court proceedings, while knowing that was not the alien’s true name.
Additionally, the investigation revealed that from December 2011 to August 31, 2014, BRINSON hired an illegal alien to work at her law firm knowing the employee was unlawfully present in the United States.
United States Attorney Higdon commented, “Misconduct by a member of the Bar – and officer of the Court – is particularly troubling and poses a grave threat to the administration of our civil and criminal justice systems. The prosecution of this defendant, an attorney, is critical if we are to maintain the integrity of our legal system. And, here, the prosecution itself, even more than the actual sentence, sends a message throughout the legal system that we expect lawyers to be honest and reliable or face the consequences of their misconduct.”
“This attorney had no regard for our nation’s laws. She blatantly hired and harbored at least one alien illegally present in the United States and knowingly represented an alien in state court proceedings who was using a United States citizen's identity,” said Ronnie Martinez, Special Agent in Charge of HSI Charlotte. “HSI’s investigative work through the Document and Benefit Fraud Task Force ensured this attorney can no longer practice law in North Carolina.”
The Document Benefit Fraud Task Force (DBFTF) in the Eastern District of North Carolina investigated this case. The DBFTF is led by Homeland Security Investigations, in partnership with United States Citizenship and Immigration Services and various other federal, state and local law enforcement agencies. More Here.