Eastern District of North Carolina
Press releases recorded for this federal judicial district.
Crip Gang Member Sentenced to 40 Years in Prison for Trafficking Fentanyl and MethamphetamineRead the Press Release
RALEIGH, N.C. – A Crip Gang member from Winston Salem was sentenced today to 480 months in prison for trafficking fentanyl and methamphetamine in the Raleigh area. On April 25, 2024, Marquis Peterson, age 30, was convicted by a federal jury of three charges including conspiracy to distribute 40 grams or more of fentanyl, possession with the intent to distribute 40 grams or more of fentanyl, and conspiracy and possession with intent to distribute methamphetamine.
According to court documents and other information presented in court, Peterson was identified as a source of supply for fentanyl and methamphetamine with accomplice, Twalondus Simmons (5:23-CR-00023-D-RN-2). Simmons pled guilty for his trafficking role in March of 2024, and was sentenced to 84 months in June. During the investigation, law enforcement conducted a number of controlled purchases of fentanyl and methamphetamine from Peterson.
While in custody and pending trial, Peterson orchestrated the sale and transport of drugs into the Piedmont Regional Jail in Farmville, Virginia and engaged in witness intimidation by trying to coerce his girlfriend to lie to the grand jury. When she told him that she told the truth, he called her a “rat” and told her “you dead.” Peterson, a convicted felon, was accountable for over 9 kilograms of methamphetamine, and 428 grams of fentanyl. His previous conviction was for robbery with a deadly weapon.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Drug Enforcement Administration investigated the case and Assistant U.S. Attorney Kelly L. Sandling and Special Assistant U.S. Attorney Aria Q. Merle prosecuted the case.
The prosecution of Peterson was a part of Organized Crime and Drug Enforcement Task Force Operation (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-00023-D-RN-1.
Social Media Fentanyl Dealer and Blood Gang Member Sentenced to 12 Years in PrisonRead the Press Release
WILMINGTON, N.C. – A Raleigh fentanyl dealer who used social media platforms to advertise his product was sentenced to 144 months in prison, which includes an enhancement for the defendant’s attempts to intimidate government witnesses. On April 25, 2024, Axel Rodriguez a/k/a “Flash,” age 23, pled guilty to conspiracy and trafficking of fentanyl.
“Drug traffickers are increasingly pushing deadly fake pills through social media. They’ve learned they don’t need to stand on street corners when they can reach kids on their smart phones,” said U.S. Attorney Michael Easley. “Counterfeit Oxycontin, Percocet, and Xanax sold on social media are driving addiction and overdose death. It’s time to get the word out and warn kids of the risks.”
According to court documents and other information presented in court, in March 2023, Rodriguez became the subject of a Federal Bureau of Investigation (FBI) and Raleigh Police Department (RPD) investigation after he was identified as selling fentanyl in the Raleigh area using his Instagram account. Rodriguez regularly used his Instagram account to post pictures of the pills he was selling, as well as guns. Rodriguez would advertise that he was able to sell “K packs” of fentanyl pills, which is slang for 1,000 pills. Investigators reviewed Rodriguez’s Instagram account and observed numerous posts of firearms, gang members with firearms, and fentanyl pills for sale.
The investigation revealed Rodriguez was obtaining thousands of pills at a time and then distributing them in the Raleigh area. Between March and May of 2023, investigators conducted multiple controlled purchases of blue pills marked “M-30” from Rodriguez. For example, on March 13, 2023, investigators purchased 25 pills marked “M30.” The confidential informant reported that he observed four firearms in Rodriguez’s vehicle during that transaction. The pills tested positive for the presence of fentanyl.
On one occasion in April 2023, Rodriguez was observed purchasing as many as 8,000 pills from a dealer. That same day, Rodriguez was observed in possession of four firearms in a townhouse he was using to store fentanyl pills. Later that month, Rodriguez was observed in possession of four firearms in a hotel room where he was selling fentanyl pills. In total, Rodriguez is being held accountable for more than 700 grams of fentanyl and 3.6 grams of heroin.
Rodriguez, a validated member of the Bloods, also used his Instagram account to attempt to intimidate an individual Rodriguez suspected of being a government witness. Specifically, while in custody for the instant offense, Rodriguez directed another individual to post a photo of an individual Rodriguez believed to be a witness against him, along with photos of sealed court documents and an image of a rat.
At sentencing, the Government argued Rodriguez’s posts were clear attempts to intimidate a potential witness and asked that his sentence reflect that. The Court agreed and applied an enhancement for attempted obstruction of justice.
“The sentencing of this dangerous individual is an example of our strong working relationship with our federal partners, especially the FBI. The Raleigh Police Department (RPD) will not tolerate the use of social media as a tool for drug trafficking in our city. Using social media to harm our community with fentanyl and heroin will be met with the collective investigative efforts of Federal, state, and local law enforcement. The RPD is grateful to the FBI and U.S. Attorney Michael Easley for our partnership in making our community safe,” said Chief Estella Patterson.
This investigation was part of Organized Crime and Drug Enforcement Task Force Operation (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The FBI and RPD investigated the case and Assistant U.S. Attorney Casey Peaden prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-00295.
Former Federal Inmate Sentenced to Eight Months for Possessing a Weapon and Alcohol in Butner PrisonRead the Press Release
ELIZABETH CITY, N.C. – A former federal inmate previously housed at the Federal Medical Center in Butner, North Carolina (“FMC Butner”) was sentenced to eight months incarceration for possessing a weapon and alcohol inside the federal prison.
“We are prioritizing prison contraband cases for prosecution, and proud of our tight partnership with the Bureau of Prisons on these cases,” said U.S. Attorney Michael Easley. “Taking a hard line on prison contraband - especially drugs, weapons, and cellphones – is vital to the safety of our corrections professionals and other inmates. We won’t stop till our federal facilities are as safe and secure as they can possibly be.”
According to court documents, Gencis Martinez-Rodriguez, 30, an inmate located at FMC Butner at the time of the offense, was found by Federal Bureau of Prisons (“BOP”) staff to be in possession of a homemade sharpened weapon, which Martinez-Rodriguez had attempted to conceal in the waistband of his pants. After conducting a search of his cell, BOP staff also discovered that Martinez-Rodriguez was in possession of an alcoholic liquid. Martinez-Rodriguez was charged by way of a two count indictment for possession of contraband in prison. On June 20, 2024, Martinez-Rodriguez pled guilty to both counts. Martinez-Rodriguez received eight months incarceration on each count to be served concurrently.
Martinez-Rodriguez’s convictions for possession of a weapon and alcohol also make him ineligible to earn time credits under the First Step Act, which allows federal inmates to earn up to 365 days off of their sentence for participating in eligible programming while incarcerated.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. The Federal Bureau of Prisons investigated the case and Special Assistant U.S. Attorney Merrill Ward prosecuted the case.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:24-CR-00041-BO-BM.
Cumberland County Man with Human Trafficking Ties Sentenced to 10 Years on Federal Firearm ChargeRead the Press Release
RALEIGH, N.C. – A Cumberland County man was sentenced today to 120 months for illegal firearm possession. On May 23, 2024, following a four-day trial, a federal jury convicted Markus Odon McCormick, age 39, of possession of a firearm by a felon. Prior to his federal conviction, a state jury found McCormick guilty of human trafficking charges, in a case investigated by the Fayetteville Police Department.
According to court documents and other information presented in court, on December 10, 2020, Cumberland County Sheriff’s Office responded to a 911 call from a woman reporting gunfire and an assault. The first responding deputies found McCormick standing by his vehicle and the victim bleeding from head injuries. The victim was later transported to the hospital. A responding law enforcement officer noticed a firearm in a crawlspace opening of a nearby mobile home. Upon further investigation, narcotics and a 9mm caliber pistol were discovered under the home, which was owned by the victim. Subsequent laboratory testing revealed the presence of McCormick’s DNA on the pistol.
McCormick has prior felony convictions, including federal conspiracy to distribute and possess with intent to distribute more than 50 grams of cocaine base (crack), which prohibited him from possessing a firearm.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. Cumberland County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the case and Assistant U.S. Attorney Julie A. Childress, along with Special Assistant U.S. Attorney Scott Gainer, prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-276-FL-BM.
Raleigh Man Sentenced for Transporting and Possessing Child PornographyRead the Press Release
WILMINGTON, N.C. – A Raleigh man was sentenced to eight years in prison followed by 20 years of supervised release for transporting and possessing child pornography after more than 1,000 images were found on his digital devices.
According to court documents and other information presented in court, Nico Aaron Lowers, 24 was investigated by the Raleigh Police Department and the Department of Homeland Security after receiving a lead from Chesapeake, Virginia. Law enforcement in Virginia received a cybertip from the National Center for Missing and Exploited Children regarding a Google user uploading child pornography. The information in the cybertip led law enforcement to search Lowers’ parents’ residence in Virginia. Finding no contraband on any digital device, Lowers’ parents mentioned their adult son had recently moved to Raleigh.
Officers from the Raleigh Police Department and agents from Homeland Security located Lowers in Raleigh and asked him about the investigation that had taken place in Virginia. Lowers denied having any knowledge of child pornography and consented to a search of his cellular device. Within the deleted files in his cell phone, law enforcement found multiple child pornography videos depicting the rape and torture of an infant. Based upon that finding, law enforcement executed a search warrant at his Raleigh residence and seized other digital devices.
Once all his digital devices were forensically examined, law enforcement found over 1,000 images and 36 videos that depicted child sexual abuse material. Lowers admitted to downloading child sexual abuse material and admitted to bringing a flash drive that contained child sexual abuse material to North Carolina from Virginia. Lowers’ collection of images and videos included very young children, infants, and toddlers, as well as images depicting sadistic and masochistic conduct.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing was concluded. Chief U.S. District Judge Richard E. Myers II presided over the sentencing. The Raleigh Police Department and the Department of Homeland Security investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-178-M.
Media Advisory - News ConferenceRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley, will hold a press conference today to provide an update on an investigation into drug trafficking in Eastern North Carolina. The update will include an announcement of the sentence of Michael Kenneth Cox, a former Wayne County Sheriff’s deputy who pled guilty to drug trafficking conspiracy and mail and wire fraud.
WHERE: U.S. Attorney’s Office – 150 Fayetteville Street, Suite 2100
WHEN: Wednesday, September 25 at 3:00 p.m.
Media: please arrive by 2:30 for set up.
Former Wayne County Sheriff’s Deputy Sentenced to More than Six Years for Drug Trafficking Conspiracy and Role in Procurement Fraud ConspiracyRead the Press Release
WILMINGTON, N.C. – Michael Kenneth Cox, age 49, was sentenced to 74 months followed by three years of supervised release, for his role in a drug trafficking conspiracy and a procurement mail and wire fraud conspiracy. On March 24, 2024, Cox, who was employed by the Wayne County Sheriff’s Office (WCSO) from 1996 until he retired as the head of the drug unit in 2018, pled guilty to one count of conspiracy to distribute and possess with intent to distribute quantities of cocaine, methamphetamine, oxycodone, and marijuana. Cox also pled guilty to one count of conspiracy to commit wire and mail fraud with his co-defendant Christopher Worth in connection with contracts his business received from WCSO. On July 24, 2024, Worth also pled guilty to one count of conspiracy to commit wire and mail fraud. Worth is scheduled to be sentenced next month. Worth joined the Wayne County Sheriff’s Office (WCSO) in 1993 and most recently served as the Major of Enforcement where he was responsible for overseeing support services and the WCSO drug unit. Worth retired from this position in 2023.
The criminal activity of Cox and Worth were uncovered as part of a larger operation investigating the trafficking of methamphetamine and other drugs in Onslow, Craven and Wayne Counties that began in 2020. To date, 41 defendants, including Cox and Worth, have been convicted. Most recently, a federal jury convicted Tamarcus Ellis on three charges of trafficking methamphetamine. The operation has also netted the seizure of 36 firearms, 16 kilograms of methamphetamine, four kilograms of heroin, ¾ of a kilogram cocaine and 450 grams fentanyl – enough for more than 225,000 potentially lethal doses.
“What started as an investigation of drug trafficking in Eastern North Carolina, led us to public corruption in law enforcement. Michael Cox and his co-defendant both took the sacred oath to uphold the law and protect the public,” said U.S. Attorney Michael Easley. “The majority of our law enforcement officers abide their promise, but these two chose a different path. Instead, they entered into a conspiracy to profit from upfitting law enforcement vehicles and Cox joined a drug trafficking conspiracy with the criminals he was supposed to investigate.”
According to court documents and other information presented in Court, while Cox was a sheriff’s deputy, he helped two drug traffickers operating in Wayne County evade charges. Cox accomplished this by, among other things, providing protection under the ruse that they were confidential informants. This allowed Cox to provide them with sensitive law enforcement information and shield them from investigations. As a result of these efforts, the Goldsboro Police Department began to view one of the drug traffickers as “untouchable” due to his relationship with Cox. In exchange, Cox used the drug traffickers to supply him with Percocet and Oxycodone that he provided to other people.
For example, in 2017, Cox observed one of his protected drug traffickers making a purchase from the target of a Drug Enforcement Administration (DEA) investigation. Rather than arrest the trafficker, he seized the drugs and reimbursed him $2,000 for the sale and gave him another $200 as a “Confidential Informant fee,” claiming it had been a planned, controlled purchase.
Cox’s support of the drug traffickers went beyond his purchase of Percocet and Oxycodone. He arranged a cocaine transaction between the two protected drug traffickers when one of them was low on supply. One trafficker indicated that Cox approached him about conducting a home invasion of a location that was thought to contain a large amount of drug proceeds. Just ten days later, a violent home invasion occurred there.
“Tonight, Michael Kenneth Cox will have a different view of prison bars. He will be looking out from the inside of a federal cell for the next six years. Law enforcement officers are entrusted with an incredible responsibility to serve our communities and ensure justice. Anyone who tarnishes their badge for their own profit will be held accountable,” said FBI Special Agent in Charge, Robert M. DeWitt. “The FBI will root out public corruption and defend the vast majority of hard-working officers who carry out their duties honestly and honorably.”
Even after his retirement from the Wayne County Sheriff’s Office, Cox continued his efforts to protect the drug traffickers. In 2019, a confidential informant working for the Wayne County Sheriff’s Office was shot, called 911, and informed the 911 operator that he had been shot by one of Cox’s protected drug traffickers. Cox found out about the shooting and contacted investigators that same night to provide an alibi for his protected drug trafficker. Cox then assisted the drug trafficker with obtaining a defense attorney. During a subsequent federal investigation of the shooting, Cox lied about his contacts with the protected drug trafficker following the shooting. In 2021, one of the protected drug traffickers was the target of a federal wiretap investigation. After finding a GPS device on his car, he called Cox and referenced his recent trips to Cox’s home for Oxycodone deliveries. Cox immediately contacted former colleagues within the Wayne County Sheriff’s Office to ask about the tracking device and then informed the protected drug dealer that it belonged to the ATF. After learning about the federal investigation, the protected drug dealer and his conspirators took steps to thwart the investigation.
This investigation was an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief United States District Judge Richard E. Myers II. The FBI and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) are investigating the case and Assistant U.S. Attorneys Dennis Duffy and Nick Hartigan are prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-260.
Jury Convicts Former Marine in Sextortion Scheme Targeting Minors, Faces up to Life in PrisonRead the Press Release
WILMINGTON, N.C. – A federal jury convicted a former Marine stationed at Cherry Point Air Station on five counts of production of child pornography, four counts of online exploitation of a minor, one count of possession of child pornography including a victim under 12, and two counts of extortion. Anthony Joseph Fritzinger, age 25, faces up to life in prison when sentenced.
“Criminals like Fritzinger actively target kids on social media to coerce them into sending explicit images, which they then use to intimidate, control, and extort their victims. This former Marine now faces up to life in prison for his scheme,” said U.S. Attorney Michael Easley. “We cracked this case because one victim had the courage to come forward, which led other brave victims to share their stories. This case is a warning to predators and wakeup call for parents. Closely monitor your kids’ social media accounts and talk to them about the dangers of strangers online who may pretend to be a friend.”
According to court records and evidence presented at trial, Fritzinger tried to extort an eighteen-year-old online to send him naked pictures by threatening to distribute naked pictures she had sent him when she was a minor. Her family contacted their local police, who referred the case to Naval Criminal Investigative Service (NCIS). NCIS discovered Fritzinger’s extensive online activities stalking, soliciting, and extorting minors to obtain sexual images and videos of them.
Fritzinger used teen “dating” websites like Spotafriend and mylol.com to identify and contact potential victims, sometimes posing as a teenage girl. Then he began online “relationships” with victims, including on Snapchat and Instagram, in which he encouraged children to send him sexually explicit images and videos. Fritzinger taught his victims to engage in a dominant/submissive relationship in which he exerted total control over them and required them to perform sadistic, sexual punishments. He manipulated and coerced victims to continue sending images, including falsely claiming to be dying and exploiting their immaturity and personal histories. Then he extorted several victims, threatening to expose their images to their friends and family if they did not send more.
Evidence recovered in the case from Fritzinger’s cell phone, laptop, social media accounts, and Dropbox account including hundreds of screenshots of apparent minors’ social media profiles, hundreds of sexually explicit chat messages enticing minors to produce child pornography, hundreds of images and videos of the victims, and other images and videos of child pornography, including depicting victims under 12 years old.
“Anthony Fritzinger deserves to be held accountable for the predatory crimes he has committed against children, who are the most vulnerable members of our society. Such behavior has no place in our communities,” said Special Agent in Charge Kelly Parrish of the NCIS Carolinas Field Office. “This conviction demonstrates the unwavering commitment of NCIS, our investigative partners and the U.S. Attorney’s Office to conducting thorough investigations and working aggressively to bring to justice those who threaten the safety of our communities.”
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the verdict. The NCIS are investigating the case and Assistant U.S. Attorneys Erin Blondel and Jake Pugh are prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.4:20-CR-00081.
Mexican National Trafficking Counterfeit Fentanyl Pills Sentenced to 12 YearsRead the Press Release
NEW BERN, N.C. – Christian Ricardo Arce-Cazares, a 36-year-old resident of Las Vegas, Nevada, illegally present in the United States has been sentenced to 150 months in prison, followed by five years of supervised release for conspiracy to possess with intent to distribute and aiding and abetting the distribution of methamphetamine and fentanyl in the Nash County area. Arce-Cazares pled guilty on November 8, 2022.
“Drug traffickers make a mistake when they cross North Carolina state lines,” said U.S. Attorney Michael Easley. “This trio brought thousands of fentanyl pills to Rocky Mount, tried to flee from deputies, and ditched their ride in a Battleboro field. International traffickers should take note of this dozen year prison sentence. Nash County is a great place for business, but not your business.”
According to the court documents and other information presented in court, in May of 2021 the Drug Enforcement Administration (DEA) received information from a confidential source that a large shipment of narcotics was to be delivered to the Eastern District of North Carolina organized by a Mexican drug trafficker. On June 10, 2021, an undercover officer spoke to the courier and coordinated a meeting at a gas station in Nashville, North Carolina. At that meeting DEA learned that the defendant was the driver of a black vehicle with Nevada license plates. In addition, law enforcement learned that the defendant was accompanied by two additional individuals who were driving a second car with the narcotics hidden inside that vehicle. During the meeting, the defendant stated that the drugs were in a hidden compartment, that they needed a place to remove the drugs, and that they wanted to count the money prior to the exchange.
A second meeting was held at a Walmart store in the Rocky Mount area after which law enforcement attempted to conduct a traffic stop of the second vehicle, a gray SUV. The gray SUV initially stopped. The driver was identified as co-defendant, Yvoanny Osmeo Barrientos-Ochoa. Shortly after exiting the SUV, co-defendant Barrientos returned to the SUV and fled. Law enforcement initiated a pursuit but lost sight of the vehicle, which was later located unoccupied in a field in Battleboro, North Carolina.
With the assistance of a K-9, law enforcement ultimately located 7,718 grams of crystal methamphetamine inside the vehicle and in a wooded area next to the grey SUV. A search of the vehicle also yielded 5,000 counterfeit fentanyl pills which weighed 438.10 grams. Thereafter, law enforcement located all three individuals hiding in a hotel and arrested all three individuals.
The defendant was found to be responsible for possession with intent to distribute 438.10 gram of fentanyl and 7,718 grams of crystal methamphetamine.
“Nash County Sheriff's Office is grateful for the strong relationships we have with our federal partners,” said Nash County Sheriff Keith Stone. “This case proves how our partnerships effectively remove dangerous criminals from harming our communities. Teamwork is the only way we will make a difference combating gangs, guns, and drugs in Nash County. I appreciate the hard work and dedication that the Nash County Sheriff's Office and our partners demonstrate every day.”
The prosecution of Arce-Cazares and Barrientos-Ochoa was a part of Organized Crime and Drug Enforcement Task Force Operation (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Judge Louise W. Flanagan. The Drug Enforcement Administration, Department of Homeland Security, and the Nash County Sheriff’s Office investigated the case and Assistant U.S. Attorney Jennifer C. Nucci prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case number 5:22-cr-00175-FL.
Federal Jury Convicts Wayne County Methamphetamine TraffickerRead the Press Release
NEW BERN, N.C. – A federal jury convicted a Goldsboro man on three charges of trafficking methamphetamine. Tamarcus Shaquan Ellis, age 34, faces up to life in prison when sentenced in December.
According to court records and evidence presented at trial, agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) were investigating Ellis as part of an operation targeting crystal methamphetamine dealers operating in Goldsboro and Jacksonville in early 2021. By late March 2021, the ATF had arrested a number of high-level methamphetamine traffickers and began targeting Ellis’ drug trafficking organization.
Over the course of multiple months in the Spring of 2021, investigators used a confidential source to make controlled purchases of methamphetamine from Ellis’ organization. Due to the number of takedowns of other methamphetamine traffickers in February and March of 2021, Ellis went to great lengths to avoid direct involvement in the drug transactions. In addition to counter-surveilling buy locations for law enforcement presence, Ellis also made last minute changes to the buy location in order to limit the risk of detection. Ellis also used low-level underlings in his organization to deliver the drugs while he monitored the drug deal from nearby. The underlings testified at trial that Ellis supplied them with drugs for the delivery to the confidential source.
Ellis was convicted of a conspiracy to distribute and posses with the intent to distribute fifty (50) grams or more of methamphetamine and two counts of distributing five (5) grams of or more of methamphetamine.
This investigation was an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge Louise W. Flanagan accepted the verdict. The ATF and ATF Task Force Officers from the Goldsboro Police Department and the Jacksonville Police Department investigated the case and Assistant U.S. Attorneys Nick Hartigan and Dennis Duffy prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:21-CR-273-FL.
Armed Jacksonville Drug Trafficker Sentenced to 15 Years in Prison After 15 Citizen Complaints Lead to InvestigationRead the Press Release
NEW BERN, N.C. – A Jacksonville man was sentenced to 180 months in prison for trafficking fentanyl while armed with firearms. On May 6, 2024, Daquan Wainwright, age 26, pled guilty to the charges.
According to court documents and other information presented in court, the Onslow County Sheriff’s Office, Jacksonville Police Department, and the Drug Enforcement Administration (DEA) began investigating Wainwright for drug trafficking after receiving approximately 15 community complaints regarding his sale of drugs in Onslow County.
On March 1, 2022, Wainwright led law enforcement on a high-speed car chase traveling at speeds of more than 120 miles per hour before eventually getting stuck in a ditch. Wainwright was driving the car and two of the passengers were minor children. All occupants were able to exit the car safely before it was engulfed in flames. Law enforcement was also able to recover 681 grams of marijuana from the car before the fire took over.
During the investigation, law enforcement developed confidential informants who provided information related to Wainwright’s drug trafficking and eventually conducted a controlled purchase of two ounces of fentanyl from Wainwright.
On September 29, 2022, Onslow County Sheriff’s Office deputies responded to a domestic dispute call on Eider Loop Road in Jacksonville. Wainwright and his co-defendant, London Kebe, lived at the house. Kebe opened the door, and deputies immediately noticed the odor of marijuana. Deputies also discovered Kebe had an active arrest warrant and attempted to take her into custody. At this point, Wainwright had driven by the house several times. As Kebe was taken into custody, she claimed that there were children in the house. As a safety precaution, law enforcement cleared the house. There were no children present, but there were a variety of illegal items ultimately seized, including a pitcher of over two kilograms of fentanyl, 40 pounds of marijuana, drug paraphernalia, a loaded Highpoint handgun, a loaded AR-15 rifle, a stolen 9mm handgun, a rifle with an obliterated serial number, another 9mm loaded handgun, and several rounds of ammunition. They also seized nearly $15,000 in cash.
Wainwright was eventually taken into custody on scene. He attempted to destroy his phone as he was being handcuffed. The phone was forensically analyzed and contained pictures and other evidence of drug trafficking and firearm possession. After he was in custody, Wainwright continued to direct others to collect debts owed to him for drugs and provide the payment to his mother.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Onslow County Sheriff’s Office, Jacksonville Police Department, and the DEA investigated the case and Assistant U.S. Attorney Tyler Lemons prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-CR-00135-D-001.
Cary Man Sentenced to More than 8 Years in Prison for Receiving Child PornographyRead the Press Release
WILMINGTON, N.C. – A Cary man was sentenced today to 97 months imprisonment followed by five years of supervised release for receipt of child pornography. Derrick Alexander Swick, age 29, pled guilty on August 8, 2023, after law enforcement was alerted in April 2021 by Dropbox that one of their users was uploading child pornography to its platform. Swick was also ordered to pay $20,000 in restitution.
According to court documents and other information presented in court, Swick was investigated by the Cary Police Department and the Department of Homeland Security (HSI). The investigation was initiated after Dropbox notified the National Center for Missing and Exploited Children about a user, later identified as Swick, uploading child pornography to its platform. Subsequent search warrants led law enforcement to uncover child pornography in both Swick’s Dropbox and Google accounts.
Based on the search warrant results, law enforcement executed a search warrant at Swick’s residence in Cary. Swick was present when the search warrant was executed and initially denied having ever accessed child pornography. When confronted with the search warrant results of his Dropbox and Google account, Swick acknowledged there would be child pornography on his digital devices. Two digital devices were seized and forensically analyzed and found to contain child pornography. In total, Swick possessed over 939 images and 76 videos that depicted child pornography. He additionally had approximately 4200 images that depicted child erotica or were difficult to ascertain the age of the individual. Swick’s collection of photos and videos included very young children, infants, and toddlers, as well as images depicting sadistic and masochistic conduct.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after the sentencing was concluded. U.S. District Judge Louise W. Flanagan presided over the sentencing. The Cary Police Department and HSI investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-103-FL.
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Secret North Carolina Fentanyl Lab Gets Armed Trafficker 27 YearsRead the Press Release
WILMINGTON, N.C. – Quavion Maurice Pickett, a/k/a “Q,” a 30-year-old resident of Rock Hill, South Carolina has been sentenced to 324 months in federal prison followed by five years of supervised release, and a forfeiture of over $72,000, for trafficking fentanyl pills in the Fayetteville area which he manufactured in a makeshift lab in a laundry room. Pickett pled guilty on April 24, 2024.
“Counterfeit pills made with deadly fentanyl in filthy makeshift labs are turning up everywhere. This trafficker was caught with three kilos of fentanyl, a high-capacity pill press, cash, and tens of thousands of counterfeit oxycodone pills,” said U.S. Attorney Michael Easley. “These pills are made with zero quality-control, with narcotics being mixed in plastic bins and store-bought blenders by reckless, money-hungry narcotics dealers who care only about money and care nothing for human life. Never, ever, take a pill bought on the street or online that isn’t prescribed by a real doctor. You are gambling with your life.”
“The Fayetteville Police Department continues to work collaboratively with our local, state, and federal law enforcement partners, we continue to aggressively combat narcotic trafficking affecting our community,” said Kemberle Braden, Fayetteville Chief of Police.
According to the court documents and other information presented in court, in April 2022, officers with the Fayetteville Police Department became aware of the drug distribution activities of Pickett through information provided by a confidential informant. Ultimately, law enforcement conducted surveillance on Pickett’s residence in Fayetteville and observed what appeared to be drug transactions conducted by Pickett on multiple occasions. Law enforcement searched a residence where Pickett was living. While executing the search warrant, law enforcement discovered a counterfeit pill making operation in the laundry room of the residence complete with a pill press, large plastic tote containers covered in light blue powder residue, multiple digital scales, multiple knotted plastic baggies containing pressed tablets, plastic baggies, a blender covered in powder residue, various full and empty bags containing different colored cutting agents, a money counter covered in powder residue, various metal hand tools, a funnel, pill press die molds, loose blue tablets, and a baggie containing yellow, white, and blue tablets.
In Pickett’s bedroom law enforcement located and seized baggies containing 157 pressed pills, over $70,000 in cash in a shoe box, a loaded .45 caliber handgun, and a jar and baggie containing an unspecified amount of marijuana. Additionally, officers recovered an additional $1,760 in cash on Pickett. The amount of fentanyl seized from the residence totaled 3.1 kilos of fentanyl. The fentanyl pills seized had pressed markings of “A215,” designed to appear to be oxycodone hydrochloride 30 milligram pills.
Following his arrest by state officials, investigators received reliable information that he had purchased the pill press used in this operation about eight months prior to his arrest and was responsible for purchasing multiple kilograms of fentanyl used for making these pills.
Pickett was subsequently indicted by the Eastern District of North Carolina after which federal arrest warrants were issued for Pickett’s arrest. Law enforcement arrested Pickett on October 26, 2022, in South Carolina where he was residing at the time. During the arrest law enforcement located and seized a duffle bag with 11 baggies containing a total of 19,016 pressed fentanyl pills inside, as well as two baggies of fentanyl powder weighing approximately 294.85 grams, a sifter, a grinding bowl, three plastic containers with powder residue, and drug packaging materials. A digital scale, marijuana, two cellphones, and $5,525 in cash were also seized.
Between September 30, 2021, until October 26, 2022, Pickett was found to be responsible for possession with intent to distribute 8,706.98 grams of fentanyl and 10.50 grams of marijuana. Pickett also maintained a premises for the purpose of manufacturing and distributing a controlled substance, as well as possessing a firearm in furtherance of his drug trafficking activities. Furthermore, based upon Pickett’s imprinting the pills with specific numbers associated with prescription pills for distribution, as well as text messages seized from Pickett’s cellphone the Court found that Pickett knowingly misrepresented a substance containing fentanyl as something other than fentanyl.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Chief District Judge Richard E. Myers II. The Fayetteville Police Department and the Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Jennifer C. Nucci prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case number 5:22-CR-00259-M-RJ.
Wilmington Crips Gang Member Who Fired a Sawed-Off Rifle Near a School Sentenced to 15 Years in PrisonRead the Press Release
RALEIGH, N.C. – A Wilmington man was sentenced to 180 months in prison for possession of a firearm by a convicted felon after he fired a sawed-off rifle at another person near a school then led officers on a high-speed chase. On May 22, 2024, Jahmez Tavaughn Jackson pled guilty to the charge.
“This Crip gang member was a one-man crime spree, firing shorts towards a Wilmington charter school and leading police on a high-speed chase topping 118 mile per hour,” said U.S. Attorney Michael Easley. “The new Bipartisan Safer Communities Act is built for cases just like this and got this felon 15 years in federal prison. We’re using the new law to prosecute violent gangs and shooters across North Carolina, especially those endangering our kids. Our law enforcement efforts help ensure kids can start the school year ready to hit the books, not dodge bullets.”
According to court documents and other information presented in court, Jackson, 24, fired a 9mm sawed-off rifle multiple times at another individual. The shooting occurred during the day on February 22, 2023, at the intersection of 6th Street and Campbell Street in Wilmington, just over 200 feet away from the Roger Bacon Douglas Academy, a K-5 charter school, where children were present. No one was injured during the shooting, though a vehicle parked at the school was struck by one of the bullets. Four additional shell casings were found on scene. Officers located Jackson driving a vehicle in Pender County shortly thereafter and attempted a traffic stop. Jackson fled from law enforcement officers at high rates of speed—as fast as 118 mph—and tossed the gun out of the car window. Eventually, Jackson lost control and crashed the vehicle into a median. A search of the vehicle yielded marijuana and oxycodone along with drug paraphernalia. Jackson’s phone contained evidence of his involvement in the drug trade along with photos in which he posed with firearms, including the sawed-off rifle used in the shooting. Jackson has been convicted of several felony offenses in the past, including assault with a deadly weapon inflicting serious injury, felon in possession of a firearm, attempted first degree burglary and attempted second degree kidnapping. He was on state probation and wearing an ankle monitor at the time of the federal offense.
“I am glad to see that the man responsible for these dangerous crimes will be heading to prison for a very long time. There is no place for gun violence in the City of Wilmington. The WPD is doing our part to combat that day-in and day-out. We are thankful that no one was struck by the gunfire that was fired so close to one of our local schools. As a felon, the man convicted in this case should have never had a firearm in his possession. Through his involvement with narcotics and violent gun crimes, he has clearly shown that he is not ready to be out on the streets. I want to thank our women and men for their hard work on this case. Our officers and detectives work long hours to help provide our community with a safe place to live and work. We also appreciate our partner law enforcement agencies and U.S. Attorney Michael Easley who helped us ensure a strong conviction,” said Chief Donny Williams.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge James C. Dever III. The Wilmington Police Department investigated the case with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New Hanover County Sheriff’s Office, and the Pender County Sheriff’s Office. Special Assistant U.S. Attorney William Van Trigt and Assistant United States Attorney Sarah E. Nokes prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:23-CR-112-D-RN.
Federal Jury Convicts Dunn Man on Drug Trafficking and Firearm ChargesRead the Press Release
ELIZABETH CITY, N.C. – A federal jury convicted a Harnett County man on drug trafficking and firearm charges after he led police on a high-speed chase and then abandoned his still running vehicle. Demarkee Rayheem Midgette, age 28, was convicted of possession with intent to distribute 40 grams or more of fentanyl, 50 grams or more of methamphetamine and cocaine, possession of a firearm by a felon and possession of a firearm in furtherance of a drug trafficking crime. Midgette faces up to life in prison when sentenced.
“This armed drug trafficker fled from police in a high-speed chase at great risk to the public and his juvenile passenger,” said U.S. Attorney Michael Easley. “Guns, drugs, and kids don’t mix. The potential sentence this drug trafficker faces is evidence of that.”
“I want to commend the officers of the Fuquay-Varina Police Department for their vigilance and professionalism in handling this incident, demonstrating exceptional police work from start to finish. I also extend my gratitude to the Federal Bureau of Investigation and the United States Attorney's Office for their outstanding partnership in this case. Our successful collaboration sends a strong message that criminal activity will not be tolerated,” said Chief Tim Smith of the Fuquay-Varina Police Department.
According to court records and evidence presented at trial, a Fuquay Varina Police officer noticed a car that appeared to be missing a headlight traveling on US-401. The officer followed the vehicle for a period of time and smelled the odor of marijuana coming from the vehicle. At that time, the officer initiated his emergency lights and siren, however the vehicle failed to pull over. Instead, the vehicle continued to travel at high speeds, running a stop sign and leaving its lane multiple times. As the vehicle reached a subdivision, it slowed down and the driver and passenger fled the vehicle on foot while leaving the vehicle running. The driver was observed to be wearing a red jacket and black shorts and the officer continued his pursuit on foot and notified other responding officers of the driver’s location. The driver, later identified as Midgette, was arrested. Another juvenile male, identified as the passenger, approached officers, and volunteered that the vehicle belonged to his uncle.
A search of the vehicle found marijuana, cocaine, fentanyl, methamphetamine, mushrooms, drug paraphernalia, and two guns, including a Taurus 1911 and a Glock Model 17, 9 mm pistol. The Glock was later determined to be stolen. Ammunition matching the Taurus 1911 was found in the passenger’s pocket. Midgette was found with cocaine and nearly $1,000 in cash in his jacket. Midgette has prior convictions for assault with a deadly weapon, possession of a firearm by a felon and drug possession.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge Terrence W. Boyle accepted the verdict. The Fuquay Varina Police Department and the Federal Bureau of Investigation are investigating the case and Assistant U.S. Attorneys Jaren Kelly and Kimberly Dixon are prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:24-CR-00079-BO-KS.
Owner of North Carolina High Performance Car Business Pleads Guilty to Employment Tax CrimeRead the Press Release
WILMINGTON, N.C. – North Carolina businessman George William Taylor Jr. of Wilmington pled guilty today to not paying more than $2 million in employment taxes and not filing employment tax returns.
“The vast majority of working Americans pay their fair share in taxes, supporting our nation’s infrastructure, education, and national security. But for years this businessman took millions from employees’ paychecks, supposedly for taxes, and spent it to pad his business and personal expenses,” said U.S. Attorney Michael Easley. “Tax cheating like this undermines faith in our system and can’t be tolerated in honest business. Hardworking taxpayers won’t stand for it, and neither will the IRS.”
According to court documents and statements made in court, Taylor, owned and operated National Speed, a high-performance automotive services business. As the chairman and president of National Speed, Taylor was responsible for withholding Social Security, Medicare, and income taxes from employees’ wages and paying those taxes to the IRS. From 2014 through 2021, Taylor withheld the taxes, but did not pay those withholdings over to the IRS, nor did he file the necessary employment tax returns. During the same period, he also did not pay the employer’s share of those taxes to the IRS.
In total, Taylor caused a tax loss to the IRS of $2,272,072.
“Employment tax evasion results in the loss of tax revenue to the United States government and can cause financial hardship to employees in the form of lost or delayed social security or Medicare benefits,” said Special Agent in Charge Donald “Trey” Eakins, Charlotte Field Office, Internal Revenue Service Criminal Investigation (IRS-CI). “Failure to pay over withheld taxes is a serious offense. Business owners have a responsibility to withhold income taxes for their employees and then remit those taxes to the IRS. CI special agents will pursue anyone who collects these taxes and uses the funds for their own personal gain.”
Taylor is scheduled to be sentenced on November 19, 2024, and faces a maximum penalty of 5 years in prison. He also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Michael Easley, of the Eastern District of North Carolina made the announcement.
IRS Criminal Investigation is investigating the case.
Trial Attorney Brian Flanagan of the Tax Division and Assistant U.S. Attorney Ethan Ontjes of the Eastern District of North Carolina are prosecuting the case.
Investment Fraud Disrupted by Seizure of $5 Million in CryptocurrencyRead the Press Release
RALEIGH, N.C. – The United States Attorney for the Eastern District of North Carolina announced the seizure of nearly $5 million worth of Tether, a cryptocurrency pegged to the U.S. dollar. These seized funds were traced to cryptocurrency addresses allegedly associated with the laundering of criminally derived proceeds stolen from victims of cryptocurrency investment scams, commonly known as “pig butchering.”
“Americans are losing their life’s savings to investment frauds as funds are being rapidly transferred to cryptocurrency accounts overseas,” said U.S. Attorney Michael Easley. “In this case one victim lost his entire individual retirement account to a scam. We are clawing back every dollar we can, even when criminals are located abroad. We are determined to seize their illegal proceeds and return money to the victims.
According to court filings, criminal actors approached and recruited victims through the guise of a romantic relationship to develop their trust. Once the relationship was established, the scammer would claim to have a technique to quickly make large profits trading cryptocurrency and introduce their victim to a fictitious cryptocurrency trading platform that bore a similar name and appearance to a legitimate cryptocurrency trading platform. These fake investment platforms display a fictitious investment portfolio with abnormally large investment returns, which is designed to induce the victim to invest more. When the victims do attempt to withdraw funds, they are unable to do so and are often met with various excuses, including being told that they must pay a “tax” or “penalties” to release their funds, which is just a technique for the scammers to elicit even more money out of their victims.
Once the victims’ funds have been transferred to a cryptocurrency wallet under the scammers’ control, the funds are quickly moved through many other wallets to obfuscate the nature, source, control, and ownership of those fraud proceeds. In this case, agents, and analysts from the Federal Bureau of Investigation (FBI) were able to trace those victim funds into and through various cryptocurrency wallets allegedly used in furtherance of the fraud and money laundering scheme, some of which still contained large amounts of funds subject to seizure and forfeiture.
“As criminal actors continue to evolve in the world of cyber-enabled fraud, the FBI and its law enforcement partners must also evolve,” said FBI Charlotte Special Agent in Charge Robert M. DeWitt. “This cryptocurrency seizure serves as an example of the FBI adapting to the changing criminal landscape and fighting for victims of cyber-enabled fraud schemes.”
The Department would like to acknowledge Tether for its assistance in effectuating the transfer of these assets.
If you are a victim of a cryptocurrency scam, or other scam involving the use of the Internet, please file a report with the IC3 at ic3.gov and with the FTC at www.reportfraud.ftc.gov.
Related court documents and information from the seizure warrant are on PACER by searching for Case No.5:24-MJ-1976.
Fayetteville Armed Drug Trafficker and Blood Gang Leader Sentenced to 30 YearsRead the Press Release
RALEIGH, N.C. – A Fayetteville Blood gang member who led a drug trafficking organization that distributed thousands of pounds of high-grade marijuana was sentenced to 360 months in prison for drug trafficking and firearm charges. On May 24, 2023, Terrence Michael Pittman, age 29, pled guilty to conspiracy to distribute more than one thousand kilograms of marijuana, possession of marijuana with intent to distribute, and possession of a firearm by a convicted felon.
“The FPD continues to work collaboratively with our local, state, and federal law enforcement partners, we continue to aggressively combat Fayetteville's gun violence and narcotic trafficking,” said Fayetteville Police Chief Kemberle Braden.
According to court documents and other information presented in court, in 2019, the Fayetteville Police Department began investigating Pittman after receiving information that he was trafficking significant amounts of marijuana out of a Fayetteville residence. One witness told police that Pittman was receiving as much as a hundred pounds of marijuana at a time. In surveilling Pittman’s residence, law enforcement observed individuals delivering large duffel bags believed to contain bulk marijuana to the house. Traffic stops of individuals associated with this drug trafficking organization yielded the seizure of over $165,000 from an individual seen leaving Pittman’s house in October 2019, and the seizure of 141 pounds of marijuana out of a vehicle on the way to Pittman’s house in November 2019. Witnesses who had been at the house when the duffel bags were delivered told law enforcement that the duffel bags contained bulk marijuana. Multiple witnesses also identified Pittman as the leader of a United Nation Blood gang subset.
Investigators received a warrant to conduct a wiretap on Pittman’s phones for three months in 2020 and learned that he was operating three stash houses used to store and distribute drugs in Fayetteville. In intercepted phone calls, Pittman was heard arranging to purchase hundreds of thousands of dollars’ worth of marijuana at a time from suppliers with connections to Charlotte, Washington, D.C., New York, and California. Pittman was also overheard bragging that he made “a band” ($1000) on every “bag” (pound) of marijuana that he sold, further stating that he sold five hundred pounds per week. On November 12, 2020, investigators conducted searches at all three stash houses in Fayetteville and Pittman’s primary residence in Clayton and seized nearly $100,000 in cash, approximately $300,000 worth of gold and diamond jewelry, more than 90 pounds of marijuana and six firearms, including four 9mm handguns, a 7.62 caliber rifle with a large capacity magazine, and a 7.62 caliber pistol.
Several other members of Pittman’s drug trafficking organization have been convicted, including Rahein Saekwan Little (5:22-CR-00138-D-RJ-2); Candace Cherelle Spencer (5:22-CR-00138-D-RJ-3); Maurice Manuel Charity (5:22-CR-00138-D-RJ-4); Jennifer Talbert (5:22-CR-00169-D), Donovan McCrimmon (5:22-CR-00151-D), and Shiiquan Anderson (5:21-CR-171-D).
This investigation was an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Fayetteville Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Cumberland County Sheriff’s Office investigated the case and Assistant U.S. Attorney Caroline Webb prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-cr-00138-D-1.
Possession of Contraband Nets Inmate an Additional 18 MonthsRead the Press Release
NEW BERN, N.C. – A federal inmate pled guilty to possessing Buprenorphine (also referred to as Suboxone) in the Federal Correctional Institution I in Butner, North Carolina “FCI Butner I,” and was sentenced to 18 months in prison for the charge. The 18-month term of imprisonment is in addition to, and consecutive to, his current term of imprisonment.
According to court documents and other information presented in court, Juan Martir, 57, an inmate housed at FCI Butner I at the time of the offense, was found in possession of 45 individually wrapped strips of Buprenorphine, a schedule III-controlled substance, in his cell. On the date in question, a Unit Officer noticed that Martir’s cell door was covered, in violation of institution rules. When he went to investigate, he found Martir at the desk with the strips of Buprenorphine covered up with a hat. Possession of illicit substances in prison is strictly prohibited, and creates a dangerous security risk to inmates, staff, and the institution.
Martir’s conviction for possession of contraband Buprenorphine also makes him ineligible to earn time credits under the First Step Act, which allows federal inmates to earn up to 365 days off of their sentence for participating in eligible programming while incarcerated.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. The Federal Bureau of Prisons investigated the case and Special Assistant U.S. Attorney Mallory Brooks Storus prosecuted the case.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-00122-M-KS.
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Over 20 Defendants Sentenced to Prison in Multi-Million Dollar National COVID-19 Fraud SchemeRead the Press Release
RALEIGH, N.C. – Two additional defendants were sentenced this week in a national COVID-19 fraud, including, Toni A. Smith, who was sentenced to 15 months in prison; and Dontae Antonio Murphy, who was sentenced to 12 months in prison. Collectively, these Defendants were also ordered to pay several hundred thousand dollars in restitution to the Small Business Administration, which included interest and processing fees, for fraudulently obtaining Paycheck Protection Act (“PPP”) COVID-19 loans.
Murphy, 40, of Charlotte, and Smith, 46, of New Jersey, had both obtained a fraudulent PPPs loan on behalf of their purported janitorial and cleaning services companies. As of today, 22 defendants have now been sentenced to prison for their role in the scheme. To date, an additional nine defendants have pled guilty to this scheme in the Eastern District of North Carolina and are awaiting sentencing.
“This is the latest in a series of defendants involved in a national conspiracy to steal taxpayer money meant to be a lifeline to our nation’s most vulnerable businesses during a global pandemic,” said U.S. Attorney Michael Easley. “Even though the pandemic is behind us, we are working closely with our partners at the IRS to identify, investigate and prosecute cases of fraud to put cheats behind bars and recover taxpayer money.”
According to the filed charges and information summarized in court, Smith and Murphy had conspired with Edward Whitaker, Schunda Coleman, and others to obtain fraudulent PPP loans. Whitaker and Coleman pled guilty on January 19, 2023 for their role in operating a nation-wide scheme to help people across the country commit millions of dollars of PPP fraud from their home in Texas.
Whitaker and Coleman created fraudulent supporting documents and applications for each PPP loan in exchange for 25% of the total loan proceeds. The fraudulent applications grossly inflated the number of employees and wages being paid prior to the COVID-19 pandemic by backdating fraudulent IRS forms. Following the disbursement of the PPP loans, Whitaker gave each defendant, via text messages subsequently obtained by law enforcement, detailed instructions as to how to make it appear that the PPP loans were being paid out to employees. In reality, most or all of the money was transferred back to the defendants. The fraudulent payroll records were then submitted to the Small Business Administration (SBA) to obtain 100% loan forgiveness.
“The Paycheck Protection Program was designed to help small businesses facing financial difficulties during the COVID-19 pandemic,” said Donald “Trey” Eakins, Internal Revenue Service
(IRS) Criminal Investigation Special Agent in Charge in the Charlotte Field Office. “Through our partnership with the U.S. Attorney’s Office and our federal law enforcement partners, IRS Criminal Investigation Special Agents will continue to aggressively pursue individuals who try to exploit federal relief programs for their personal gain.”
Defendants that have been sentenced so far include:
- Albert Eugene Miller, Jr. [Case No. 5-22-CR-00290-D]
- Jonathan Fleming [Case No. 5-22-CR-00337-D]
- Nekita Hooks [Case No. 5-23-CR-00025-D]
- Shakeerah Kaneisha Yvette Vinson [Case No. 5-23-CR-00027-D]
- Denise Coit Alston [Case No. 5-23-CR-00077-D]
- Terron Cortez Parker [Case No. 5-23-CR-00081-D]
- Monica Faye Barnes [Case No. 5:23-CR-00094-D]
- Dontrell Barnes [Case No. 5-23-CR-00094-D]
- Kami D. Woodard [Case No. 5-23-CR-00095-D]
- Isaac Lamont Dawson [Case No. 5:23-CR-0097-D]
- Irene Edwards [Case No. 5-23-CR-00098-D]
- Jackson Ndoyo [Case No. 5-23-CR-00118-D]
- Lenille Woodard [Case No. 5-23-CR-00138-D]
- Natosia Jerome Jenkins [Case No. 5:23-CR-00167-D]
- Teresa Ann McRae [Case No. 5:23-CR-00313-D]
- Delvin Dashavone Felder [Case No. 5:23-CR-00198]
- Shun Lamont Gibbs [Case No. 5:23-CR-00346-D]
- Karim Aziz Razzak [Case No. 5:23-CR-00324]
- Anthony S. Whitaker [Case No. 5:23-CR-00311-D]
- Darian Casteele Tyler [Case No. 5:23-CR-00338-D]
Defendants awaiting sentencing include:
- Quentin Jackson [Case No. 5-23-CR-180-D]
- Edward Whitaker [Case No. 5-22-CR-00257-D]
- Schunda Coleman [Case No. 5-22-CR-00257-D]
- Ayyub Abdur Rasheed [Case No. 5:23-CR-00314-D]
- Ronald L. Jones [Case No. 5:23-CR-00339-D]
- Everett M. McBride [Case No. 5:24-CR-00036-D]
- Hanif Abdul-Hakim [Case No. 5:24-CR-00109-D]
- James Elton Watson Case No. 5:23-CR-00323-D]
- Shara Monique Wells [Case No. 5:23-CR-00323-D]
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was designed to provide emergency financial assistance to the millions of Americans who were economically suffering from the COVID-19 pandemic. The CARES Act and additional appropriations authorized up to $649 billion in forgivable loans to small businesses through the Paycheck Protection Program (PPP). Financial institutions issued the PPP loans, which were guaranteed by the SBA.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after U.S. District Judge James C. Dever III announced the sentences. Internal Revenue Service Criminal Investigation (IRS-CI) is leading the investigation, and Assistant U.S. Attorney David G. Beraka is prosecuting the cases.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case numbers 5:24-CR-00072 and 5:23-CR-00312-D.
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Maxton Man Sentenced to 20 Years on Firearms and Drug ConvictionsRead the Press Release
RALEIGH, N.C. – A Robeson County man was sentenced to 240 months in prison for distributing cocaine, possessing with the intent to distribute five grams or more of methamphetamine, and possession of a firearm by a felon. On April 9, 2024, Lloyd Kinston Locklear, age 34, pled guilty to the charges.
According to court documents and other information presented in court, Locklear sold 3.7 grams of cocaine to a confidential informant on January 26, 2022. Robeson County Sheriff’s Deputies were able to obtain a search warrant for Locklear’s residence after that controlled sale and executed the search warrant on January 27, 2022. Locklear fled from the scene in a vehicle when police arrived, and unsuccessfully attempted to jump a ditch. He exited the vehicle and was apprehended near a bookbag that contained five grams of cocaine, 19.75 grams of Ice (99% pure methamphetamine), <1 gram of methamphetamine, 42.62 grams of heroin, eight hydrocodone pills, 50 oxycodone pills, nine amphetamine pills, 16 diazepam pills, 18 alprazolam pills, 45 grams of marijuana, and digital scales. Locklear also had $241 dollars on his person. A search of a car at his residence found a .22 caliber handgun and a .32 caliber revolver in the trunk of a car. Locklear admitted the firearms were his and admitted to selling narcotics. Locklear was charged by the state and was released on bond.
On November 2, 2022, Maxton Police Department Officers arrested Locklear on an outstanding state warrant for possession of a firearm by a felon and found him with 29.94 grams of Ice (98% pure methamphetamine) and $664. Locklear admitted the methamphetamine was his and stated that he used to sell cocaine. He was again charged by the state and released on bond. On December 21, 2022, a federal grand jury returned an indictment against Locklear charging him with distribution of cocaine (January 26, 2022), possession with the intent to distribute methamphetamine (January 27, 2022), possession of a firearm by a convicted felon (January 27, 2022), and possession with the intent to distribute methamphetamine (November 2, 2022).
On January 20, 2023, Robeson County Sheriff’s Deputies observed a vehicle traveling on I-95 failing to maintain its lane. Officers stopped the vehicle on suspicion of DUI and encountered Locklear, a rear passenger in the vehicle. Deputies requested Locklear step out of the vehicle which he did, but he quickly began to resist the deputy’s attempt to arrest him on the federal warrant. Locklear was handcuffed with his hands in front of him and failed to comply with commands. The deputy pulled out his taser and Locklear lunged towards him striking the deputy in the chest and arms knocking the taser out of the deputy’s hands and his body worn camera off his chest. The deputy recovered his taser and then tried unsuccessfully to taser Locklear, who was aggressively walking toward the deputy stating, “come on bruh.” The deputy grabbed Locklear by the handcuffs, but Locklear pulled away walking to the front of the vehicle. Locklear then thrust his arms forward stating, “get back, get back” and the deputy saw what he believed to be a firearm in Locklear’s handcuffed hands. The deputy drew his weapon and fired at Locklear but did not strike him. Locklear then walked to the rear of the deputy’s patrol vehicle and laid down in surrender. Deputies searched the area and located a stolen .45 caliber handgun in the grassy shoulder of I-95 approximately 50 feet behind the stopped vehicle.
Between January 2022 and his federal arrest in January 2023, Locklear was out on bond for state charges of burglary, conspiracy to commit robbery with a dangerous weapon, robbery with a dangerous weapon, and first-degree murder stemming from an incident that occurred on June 3, 2020. Locklear was also on bond for state charges of breaking and entering, larceny after breaking and entering, and conspiracy to breaking and entering or larceny stemming from an incident that occurred on April 26, 2021. All state charges Locklear faces are from Robeson County, and all are still pending.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. Robeson County Sheriff’s Office, Maxton Police Department and ATF investigated the case and Assistant U.S. Attorney Phil Aubart prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-CR-141-BO-BM.
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Armed Lumberton Fentanyl Trafficker Sentenced to over 12 Years in PrisonRead the Press Release
RALEIGH, N.C. – An armed Lumberton fentanyl trafficker was sentenced today to 150 months in prison. On May 22, 2024, Charlton Townsend, age 29, pled guilty to one count of conspiracy with intent to distribute 40 grams or more of fentanyl and a quantity of cocaine and one count of possession of a firearm in furtherance of a drug trafficking crime.
According to court documents and other information presented in court, in February 2022, the Fairmont Police Department (FPD) and the Robeson County Sheriff’s Office received multiple complaints about Townsend selling drugs from his residence in Fairmont. As a result, the FPD utilized a confidential informant to make a controlled purchase of fentanyl from Townsend.
On March 7, 2022, law enforcement executed a search warrant on Townsend’s residence. Townsend, who was present at the time, was verbally combative with officers and had to be secured in a patrol vehicle. Prior to being secured, officers found a loaded 9mm semiautomatic gun on the ground next to Townsend. The search of the home resulted in the seizure of cocaine base (crack), cocaine, fentanyl, a sawed-off shotgun, a stolen .223/.556 AR-style pistol, a .40 caliber semi-automatic firearm and more than $6000 in cash. Townsend was arrested on the same day as the search.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Fairmont Police Department, the Robeson County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Special Assistant U.S. Attorney Scott Gainer prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:23-CR-000690D-RN.
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U.S. Attorney Easley Provides Update to Ongoing Albemarle Region Violent Crime StrategyRead the Press Release
EDENTON, N.C. – Today, U.S. Attorney Michael Easley, along with federal and local law enforcement, provided an update regarding ongoing and coordinated efforts to address violent crime in the Albemarle Region of Northeastern North Carolina. The Violent Crime Action Plan (VCAP) is a collaboration of the U.S. Attorney’s Office with the Edenton and Elizabeth City Police Departments, the Sheriff’s Offices in Bertie, Chowan, Perquimans, Pasquotank, Camden, Currituck, Washington, Gates and Dare Counties, North Carolina Alcohol Law Enforcement, North Carolina State Bureau of Investigation, the United States Marshals Service (USMS), the Federal Bureau of Investigation (FBI), Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the District Attorney for the region. A primary objective of the VCAP is to investigate and prosecute individuals contributing significantly to crime in the Albemarle Region (Elizabeth City, Edenton, and surrounding areas).
Since the VCAP was launched in January, 21 individuals have been indicted. Just in the past week, law enforcement led a coordinated operation to indict and arrest eleven individuals. According to court documents, the following eight individuals were arrested on federal charges as part of the recent enforcement effort:
- Robert Hall, age 42, kidnapping and possession of a firearm by a felon (Perquimans County)
- Miguel Williams, age 34, possession of a firearm by a felon; possession with intent to distribute cocaine and possession of a firearm in furtherance of a drug trafficking crime (Elizabeth City)
- Stanford Dantzler*, age 23, possession of a firearm by a felon (Elizabeth City)
- Anthony McCoy*, age 25, possession of a firearm by a felon and possession of machine gun (Elizabeth City)
- Rashawn Baum*, age 28, possession of a firearm by a felon and possession with intent to distribute fentanyl (Elizabeth City)
- Tysheem Commander*, age 31, possession of a firearm by a felon (Elizabeth City)
- Jamari Ishman*, age 24, possession of a firearm by a felon (Edenton)
- Al Ortiz, age 48, possession with intent to distribute fentanyl (Elizabeth City)
*indicates that defendant is a member of the Blood Gang
Since the beginning of the year, a team of prosecutors, analysts, and investigators have collaborated to identify, charge, and arrest, individuals contributing to violent crime in Northeastern North Carolina leading to 21 individuals, including five who have pled guilty, facing 34 charges and 26 guns seized, including five fully automatic machine guns. In addition, over 240 grams of fentanyl have been seized – enough for 120,000 potentially deadly doses.
“In January of this year, I joined local law enforcement leaders in the Albemarle Region to discuss ways to work together to curb violent crime,” said U.S. Attorney Michael Easley. “Since that initial launch of VCAP, we have brought charges against 21 individuals that we believe are contributing significantly to violence in the region. Those involved in violent crime should take note – our work will continue, and you will be next.”
“The gang and drug violence plaguing our communities is a problem too large for any law enforcement agency to tackle alone. These arrests are an outstanding example of what local, state, and federal partners can accomplish when we operate as a force-multiplier in the fight against violent crime,” said Robert M. DeWitt, the FBI Special Agent in Charge in North Carolina.
“We are proud partners on the team that is working hard to curtail violent crime in eastern North Carolina, and we are bringing all of our available resources to bear,” said Cardell T. Morant, Special Agent in Charge of HSI Charlotte that covers North and South Carolina. “These results of our efforts are encouraging, and we look forward to even greater success in our efforts to protect our communities.”
“Locating, apprehending, and prosecuting the worst of the worst is a focus ATF shares with our law enforcement partners,” said ATF Special Agent in Charge Bennie Mims. “As part of the Violent Crime Action Plan, ATF and our local, state and federal counterparts are combining our efforts and resources to disrupt drug trafficking networks, recover firearms from prohibited individuals, and make our communities safer.”
“These indictments are the result of tireless investigative work and are a prime example of the benefits of our partnership with the U.S. Attorney's Office and local law enforcement,” said Interim Chief George Robinson. “The Edenton Police Department looks forward to continuing to work with our partners across the Albemarle region as we strive to improve overall quality of life and make Edenton one of the safest towns in North Carolina.”
“I want to personally thank our U.S. Attorney Michael Easley of the North Carolina Eastern District and all the local, state, and federal agencies for partnering to rid our communities of some of our most violent offenders. These efforts will provide our citizens the reassurance that we will not tolerate the senseless acts of violence that plague so many of our communities. We want everyone to have a safe place to live, work, and play,” said Elizabeth City Interim Chief of Police James E. Avens, Jr. “Working Together Works!”
“Thank you to the U S Attorney's Office for their hard work along with the many investigators and officers from these jurisdictions,” said Dare County Sheriff Doug Doughtie. “This is truly a team effort, and it takes that commitment from the judicial side as well as their law enforcement counterparts to make it work. Hopefully, this will send a strong message to those individuals who continue to commit violent crimes and to those others who think they can, that their days may be numbered until their time is up!”
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty.
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Chowan County Jail Escapee Sentenced to Nine Years on Federal Firearms ChargesRead the Press Release
RALEIGH, N.C. – An Albemarle man, who escaped from a Chowan County Jail, was sentenced to 108 months in prison for possession of a firearm by a convicted felon after he was apprehended two days after his escape with a loaded .40 caliber firearm. On April 16, 2024, Russell Heath, age 48, pled guilty to the charge.
According to court documents and other information presented in court, Heath escaped from the Chowan County Jail in the evening hours of October 19, 2022. He escaped by placing a correctional officer in a headlock and holding a shank to his neck while threatening to kill him if another correctional officer did not place his cell phone in a trash can. After the officers complied with his orders, Heath locked them in a jail cell and fled after changing into street clothes. On October 21, 2022, Currituck County Sheriff’s Deputies responded to a citizen call in Moyock (approximately 50 miles away) regarding a suspicious man, later identified as Heath, who was seen on residential video cameras. Deputies encountered Heath walking in the area and attempted to apprehend him. Heath began backing away and then struggled with deputies. They fell into a ditch where Heath was ultimately tased as he was grabbing towards his waistband. After tasing Heath a second time, Deputies noticed a loaded .40 caliber firearm on the ground near Heath. Deputies were able to safely take Heath into custody at that point. Heath provided a false name and date of birth to deputies.
Heath has a lengthy criminal history that includes a 2009 conviction for second-degree kidnapping, and a 2023 conviction for three counts of breaking and entering. Heath has pled guilty to two counts of second-degree kidnapping and one count of felony escape from a local jail in connection with his escape in October 2022.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. Currituck County Sheriff’s Office and ATF investigated the case and Assistant U.S. Attorney Phil Aubart prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:23-CR-6-BO-RN.
Media Advisory – Press ConferenceRead the Press Release
EDENTON, N.C. – United States Attorney Michael Easley, along with representatives from local, state, and federal law enforcement will hold a press conference on Tuesday to provide an update on the Albemarle Region Violent Crime Action Plan (VCAP). The update will include information on recent arrests and seizures.
WHERE: Edenton Town Chambers – 504 South Broad Street, Edenton
WHEN: Tuesday, August 20 at 1:00 p.m.
Media please arrive at the Police Department by 12:30 p.m. for set up.
For logistical information in advance of the media availability, please contact the Public Information Office at the U.S. Attorney’s Office. No case specific information is available until the press conference.
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Fort Liberty Soldier Charged with Unlawful Firearms Trafficking and Lying About His Involvement in Insurrectionist GroupsRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment on Aug. 14, charging Kai Liam Nix, also known as Kai Brazelton, 20, with unlawful firearms trafficking, including the sale of two stolen firearms. Nix was also charged with making a false statement to the government. Nix is an active-duty U.S. Army soldier, stationed at Fort Liberty in Fayetteville, North Carolina. He was arrested on Aug. 15 and made his initial appearance in court today.
According to the court documents, Nix made a false statement on his Security Clearance Application Standard Form (SF) 86 when he claimed he had never been a member of a group dedicated to the use of violence or force to overthrow the U.S. Government.
Nix was also charged with one count of dealing in firearms without a license and two counts of selling a stolen firearm. If convicted, he faces a maximum penalty of 30 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Michael Easley for the Eastern District of North Carolina, Executive Assistant Director Robert Wells of the FBI’s National Security Branch and Special Agent in Charge Bennie Mims of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) made the announcement.
The FBI, ATF and U.S. Army Criminal Investigations Department are investigating the case.
The U.S. Attorney’s Office for the Eastern District of North Carolina and the National Security Division’s Counterterrorism Section are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Carteret County Man Sentenced to 30 Years for Producing Child PornographyRead the Press Release
RALEIGH, N.C. – A Carteret County man was sentenced today to 360 months in prison followed by a lifetime of supervised release for production of child pornography, including videos in which the defendant is sexually abusing a minor. The investigation ultimately found a collection of more than 1,000 images of child pornography in the possession of the defendant. The Court ordered $56,000 in restitution for the victim. Lester David Gillberg, 33, pled guilty in March of 2023.
According to court documents and other information presented in court, the Carteret County Sheriff’s Office (CCSO) and the Department of Homeland Security launched an investigation into Gillberg in June 2022 for child exploitation offenses following a cybertip that the CCSO received from the National Center for Missing and Exploited Children. Dropbox had reported one of its users had uploaded images depicting the sexual abuse of children. The IP address used to upload the images came back to the residence in which Gillberg was living. When investigators visited Gillberg’s residence, Gillberg initially denied knowing anything about child pornography then changed his story and told investigators he received child pornography in a chat group and that he uploaded the files to his Dropbox account so he could report it to the authorities. Gillberg said he forgot to make a police report.
During the 2022 investigation, one of Gillberg’s family members told investigators that Gillberg had been investigated for child pornography in Kansas a few years prior. Gillberg was arrested on state warrants and digital devices were seized for analysis. Investigators confirmed that in 2019 law enforcement in Kansas investigated Gillberg after Dropbox reported one of its users had uploaded child pornography. The email used for the uploads was linked to Gillberg. Gillberg claimed he recently discovered his phone had been stolen months ago.
In October 2022, a family member reported to law enforcement they found a computer and cell phone they believed belonged to Gillberg that contained child pornography. Law enforcement obtained a search warrant to examine the devices. The phone turned out to be the phone Gillberg had reported stolen in the 2019 Kansas investigation. When the media files on the phone were examined law enforcement found evidence Gillberg had been taking images of videos of him sexually assaulting a child with whom he had contact. The investigation showed Gillberg had distributed the images he produced of the child and had conversations with others online about the sexual abuse of children. Investigators found that Gillberg had a collection of over 1,000 images depicting the sexual abuse of children.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing was concluded. U.S. District Judge James C. Dever III presided over the sentencing. The Carteret County Sheriff’s Office, the Department of Homeland Security and the N.C. State Bureau of Investigation investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:23-CR-43-D
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Federal Jury Convicts High-Level Operative in Craven County Drug Trafficking OrganizationRead the Press Release
RALEIGH, N.C. – A federal jury convicted Lucio Camargo Garcia, an armed New Bern drug trafficker and leader in a drug trafficking organization (DTO) responsible for moving kilogram quantities of methamphetamine and fentanyl in and around the Craven County area. Garcia, age 45, was convicted on one count of conspiracy, six counts of drug distribution and possession with intent to distribute, and one count of possessing a firearm in furtherance of a drug trafficking crime. Garcia faces between 15 years and life imprisonment at sentencing, which is scheduled for later this year.
“We are partnering with local law enforcement across Eastern North Carolina to dismantle the drug trafficking networks fueling the fentanyl crisis,” said U.S. Attorney Michael Easley. “Our Task Force approach brings federal tools alongside local intelligence to prioritize kilogram-level traffickers like Lucio Camagro Garcia and other members of the Medina-Beltran Organization.”
“This investigation, and Garcia's conviction, along with the prosecutions of his co-conspirators has substantially disrupted the flow of methamphetamine and fentanyl coming into our area from the southwestern border. We appreciate the work of the U.S Attorney's Office, and the Craven County Sheriff's Office will continue to partner with Task Force members to identify, arrest, and prosecute major drug traffickers,” stated Craven County Sheriff Chip Hughes.
According to court records and evidence presented at trial, in 2021, the Drug Enforcement Administration (DEA), Homeland Security Investigations (HSI), the Craven County Sheriff’s Office, the New Bern Police Department, the State Bureau of Investigation, and other state and local agencies launched an investigation into a large-scale DTO responsible for acquiring kilogram quantities of methamphetamine and fentanyl from the southwest border and distributing them in and around Craven County. Through the use of confidential sources, surveillance, and controlled purchases, Garcia was identified as a methamphetamine and fentanyl distributor responsible for distributing ounce-level quantities to other dealers, and smaller quantities to drug users.
From January to October 2022, law enforcement conducted multiple controlled purchases of methamphetamine and fentanyl from Garcia. On October 31, 2022, search warrants were executed at residences associated with the DTO, including Garcia’s residence. Law enforcement seized approximately one kilogram of methamphetamine, 900 grams of fentanyl (powder and pill form), and a loaded firearm from Garcia’s residence. Most of the drugs were found in a secret compartment in the ceiling of Garcia’s bedroom closet.
Multiple other individuals associated with the DTO, including its leader, Ivan Leonardo Medina-Beltran (4:22-cr-00075-D-1), and one other high-level operative have been indicted. Medina-Beltran pled guilty and was sentenced to 35 years in prison in 2023. Xavier Garza (4:22-cr-00075-D-3) pled guilty to drug trafficking and firearm charges on May 16, 2023. Sentencing is pending in his case.
This investigation was an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after U.S. District Judge James C. Dever III accepted the verdict. The DEA, HSI, U.S. Postal Inspection Service, the North Carolina State Bureau of Investigation, the Craven County Sheriff’s Office, and the New Bern Police Department, are investigating the case and Assistant U.S. Attorneys Katherine Englander and Caroline Webb are prosecuting the case.
A copy of this press release is located on our website. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:22-CR-00075-D-RJ-2.
Nashville Couple Pleads Guilty to COVID Fraud SchemeRead the Press Release
RALEIGH, N.C. – Joe Lewis Jefferson, 49, of Nashville, North Carolina, pled guilty for executing a scheme to defraud a program designed to help struggling North Carolinians stay in their homes during the COVID-19 pandemic. He faces up to 31 years in prison. On March 27, 2024, Jefferson’s wife, Danyael Davis Jefferson, pled guilty to conspiracy to commit mail fraud for her role in the scheme.
According to information presented in court, Jefferson recruited others to falsely pose as landlords for properties located in Eastern North Carolina. In the names of these nominee landlords, Jefferson prepared and submitted fraudulent North Carolina Housing Opportunities and Prevention of Evictions (NC HOPE) loan applications for emergency rental assistance. When the applications were approved, NC HOPE mailed checks to addresses controlled by Jefferson. Jefferson traveled with the nominee landlords to area banks to negotiate the checks and split the proceeds. Jefferson and his co-conspirators were responsible for the submission of at least 44 fraudulent applications for rental assistance, resulting in the disbursement of approximately $279,000.
The NC HOPE Program administered federal COVID-19 relief funds and provided emergency rental assistance to North Carolina renters who faced eviction and homelessness during the pandemic. The Program allowed renters to submit an online application to apply for rental assistance. If approved, the Program paid the tenant’s rent, in checks sent directly to the landlord, for up to 15 months of overdue or future rent payments.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after United States Magistrate Judge Robert T. Numbers, II accepted the plea. Sentencing will occur before United States District Judge James C. Dever, II, later this year. The investigation is being conducted by IRS-Criminal Investigation and the U.S. Postal Inspection Service. Assistant U.S. Attorney Toby Lathan is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-cr-00493.
Justice Department Secures Agreement with North Carolina Department of Adult Correction to Expand Religious Opportunities in State PrisonsRead the Press Release
The Justice Department announced today that it has secured an agreement with the North Carolina Department of Adult Correction (NCDAC) expanding opportunities for group religious practice throughout the state prison system and allowing access to kosher-for-Passover meals and Seders. The agreement resolves the Justice Department’s investigation of NCDAC pursuant to the Religious Land Use and Institutionalized Persons Act (RLUIPA).
“The Constitution and federal law guarantee all Americans the freedom to practice their religion, including people who are incarcerated in jails and prisons,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This agreement will protect the religious practices of incarcerated people across North Carolina by allowing members of minority faiths to gather, worship and study. Whether at home with their families, in houses of worship, or behind bars, every person should be able to celebrate religious holidays and gather with their communities of faith.”
“Federal law guarantees all Americans the right to freely exercise their religion, and institutionalized persons have the right to practice their faith and worship together,” said U.S. Attorney Sandra J. Hairston for the Middle District of North Carolina. “We are committed to protecting this fundamental right and are grateful to the North Carolina Department of Adult Correction for its willingness to work with us and revise its policies to protect the religious rights of individuals in its custody.”
“The settlement agreement reaffirms that all individuals in custody retain the right to practice their religion fully and openly during their incarceration,” said U.S. Attorney Dena J. King for the Western District of North Carolina. “It is our duty to ensure that incarcerated persons are afforded the same religious rights, freedoms and protections as any other citizen. My office is committed to enforcing these rights and ensuring that they are upheld within all correctional facilities in North Carolina.”
“Our Constitution protects the religious liberty of all people to exercise their faith,” said U.S. Attorney Michael Easley for the Eastern District of North Carolina. “In America, that means even those who are incarcerated can continue to worship and pray. NCDAC’s new policies ensure that believers can maintain their faith and religious practices, even after they enter the jailhouse door.”
Under the agreement, NCDAC has adopted a policy that reduces the minimum number of people for group worship to two and no longer requires the presence of a faith helper for religious gathering. Under the prior policy, NCDAC had minimum participant and faith helper requirements for congregate religious practices by “minority faith groups” that often prevented these groups from gathering for worship, celebration and study. Minority faith groups were defined as non-Christian faiths, including adherents of Islam or Judaism.
In addition, when the department began the investigation, NCDAC did not provide certified kosher-for-Passover food to incarcerated people who wished to observe the Passover holiday. The agreement requires that NCDAC provide certified kosher-for-Passover meals every year for the eight days of Passover. In addition, NCDAC will provide the opportunity for people who observe Passover to participate in two Seder ritual observances, which will include a Seder plate of ceremonial foods.
For additional information about the Civil Rights Division and the Special Litigation Section please visit www.justice.gov/crt/special-litigation-section. The Justice Department issued a report on the 20th Anniversary of RLUIPA in 2020 and a statement and on the Institutionalized Persons Provisions of RLUIPA in 2017. Those interested in finding out more about RLUIPA can visit www.justice.gov/crt/religious-land-use-and-institutionalized-persons-act-0.
U.S. Attorney to Participate in Raleigh National Night Out EventsRead the Press Release
RALEIGH, N.C. – U.S. Attorney Michael Easley, along with Acting Associate Attorney General Benjamin C. Mizer; Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Benny Mims; and U.S. Marshal for the Eastern District of North Carolina Glenn McNeill, Jr. will join Raleigh Police Chief Estella Patterson, community organizers, neighbors, and law enforcement partners to participate in the 41st Annual National Night Out. National Night Out began in 1984 through a grant from the Department of Justice Bureau of Justice Assistance, with the goal of building relationships with and between communities and law enforcement. In North Carolina, 133 cities are participating this year in National Night Out.
WHERE: *Subject to change due to inclement weather*
- Maple Temple Church - 304 Dacian Road
- Tarboro Road Community Center - 121 North Tarboro Street
- The Village at Washington Terrace - 1951 Booker Drive
WHEN: Visits will begin at the Maple Temple Church location at 5:30 pm and continue through 7:30 pm
A full list of the Raleigh National Night Out locations is located here.
For logistical information related to the U.S. Attorney’s visits, please contact Katie Holcomb at [email protected].
Machinegun Gets Edenton Crip Gang Member Eight Years in PrisonRead the Press Release
NEW BERN, N.C. – An Edenton man was sentenced today to 100 months in federal prison for possession of a firearm by a felon. On February 13, 2024, Karon Antwan McDonald pled guilty to the charge.
“This case is yet another example of the dangers our members face and the important work they perform in keeping North Carolina safe,” said Commander of the State Highway Patrol, Col. Freddy L. Johnson, Jr. “We are honored to work alongside our valued partners at the Department of Justice as these cases go through the criminal justice system and are confident in their continued commitment to hold dangerous criminals accountable for their actions.”
According to court documents and other information presented in court, McDonald, 34, was driving a vehicle in Plymouth when State Highway Patrol conducted a traffic stop. McDonald was removed from the vehicle and then struggled briefly with Troopers as he tried to run away. He was tased and detained. A search of his vehicle revealed a stolen Glock .357 caliber handgun under the driver’s seat. The Glock was equipped with a machinegun conversion device, commonly known as a Glock switch, that converted the semi-automatic firearm into one capable of firing fully automatic. McDonald is a validated member of the Crips gang and has been previously convicted of two assaults with a deadly weapon with intent to kill in state court. He has also been involved in numerous other instances of violence.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The State Highway Patrol and FBI investigated the case and Assistant U.S. Attorney Phil Aubart prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:23-CR-8-FL.
Fayetteville Crip Gangster Sentenced to Prison for Illegal Firearm PossessionRead the Press Release
RALEIGH, N.C. – A Fayetteville Crip gang member was sentenced to 77 months in prison for possession of a firearm by a felon after being found with several guns. On November 29, 2023, Demarco McLucas, age 22, pled guilty to the charge.
According to court documents and other information presented in court, on February 22, 2023, detectives with the Fayetteville Police Department (FPD) located McLucas at a Fayetteville residence to serve an outstanding warrant. When they arrived, they found McLucas in the residence and a subsequent search of the property resulted in the seizure of a stolen, loaded, .40 caliber handgun with a high-capacity magazine, two other loaded, high-capacity magazines, additional ammunition, marijuana, cocaine, and drug packaging material. They also found photos and videos of McLucas holding several guns, including an AR-15 style rifle with a high-capacity magazine and other firearms with suspected machine gun conversion devices. A handgun in his possession was linked by NIBIN testing to shell casings found at several shooting crime scenes in the Fayetteville area.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Fayetteville Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case and Assistant U.S. Attorneys Bryan Stephany and Jermaine Sellers prosecuted the case.
The conviction is a result of the ongoing Violent Crime Action Plan (VCAP) initiative which is a collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement, and interagency coordination and intelligence-led policing.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-206-BO-RJ-1.
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U.S. Attorney’s Office Partners with Area Nonprofit to Raise Awareness About Human TraffickingRead the Press Release
RALEIGH, N.C. – United States Attorney Michael Easley is partnering with the local chapter of A21 to host a training to raise awareness and provide tools on how to recognize and combat human trafficking. The training is being held on July 30, a day proclaimed by the United Nations General Assembly to be “World Day Against Trafficking in Persons.” The event is open to the public and will include how to recognize indicators of human trafficking (both labor and sex). The program will also highlight a new campaign to promote the U.S. Human Trafficking Hotline encouraging citizens to report suspected labor trafficking featured on signs at the airport.
“We are prioritizing human trafficking prosecution like never before. Our new task forces bring law enforcement and service providers to the table for the dual mission of locking up traffickers and rescuing victims. Survivors across North Carolina can have faith that we will help them find resources and have their backs. But we can’t do it alone,” said U.S. Attorney Michael Easley. “This training gives the public the tools to identify and report the signs of human trafficking. Together we are building a community that is safer and more free, one survivor at a time.”
“Labor trafficking remains a profound challenge, necessitating continuous education and community engagement,” said Robin Seitz, Chief Marketing Officer of A21. “Through initiatives like A21's Can You See Me? campaign, we can visually communicate the signs of trafficking to the public, empowering individuals to recognize and report suspicious activities. This partnership underscores the importance of collective action in safeguarding vulnerable individuals and communities. We are resolute in our commitment to drive meaningful change and ensure that North Carolina becomes a safer place for all. We commend the U.S. Attorney's Office for their leadership and look forward to continuing our collaborative efforts in the fight against human trafficking.”
Event Details:
When: Tuesday, July 30 from 9:30 a.m. to noon
Where: Hope Community Church – Raleigh Campus – 321 Buck Jones Road in Raleigh
Individuals who wish to participate in the training, can register online.
Media interested covering the event can contact [email protected].
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“Ghostface Gangster” Sentenced to 30 Years for Supplying Meth to a Raleigh-based DTO Run by a Leader of the Pagan Motorcycle GangRead the Press Release
WILMINGTON, N.C. – A Georgia Ghostface Gangster member was sentenced today to 360 months in prison for supplying a Raleigh-based drug trafficking organization (DTO) led by a national leader of the Pagan Motorcycle Club with methamphetamine. On November 29, 2023, Ted Cannon, aka “Bam,” pled guilty to one charge of conspiracy to distribute and possession with intent to distribute 500 grams or more of a mixture and substance containing methamphetamine. Cannon is one of 20 defendants convicted in this operation, which also led to a 75-year sentence for the DTO’s leader.
“This case highlights our comprehensive approach to dismantle the entire drug trafficking networks pumping dangerous narcotics into our communities,” said U.S. Attorney Michael Easley. “This operation put 20 criminals behind bars for their role supplying drugs across Raleigh and the East Coast.”
“ATF has a long history of confronting violent criminal groups and working with our law enforcement partners to disrupt their illegal activities,” said ATF Special Agent in Charge Bennie Mims. “We are proud to be part of a collaborative effort to identify, arrest, and prosecute the most dangerous drug and firearm traffickers and stop their threats to our communities.”
According to court documents and other information presented in court, Cannon, age 49, was identified as a source of supply for methamphetamine, cocaine, MDMA, other drugs and firearms for Christopher Baker. Baker was convicted by a federal jury in 2022 for drug trafficking, firearm and money laundering charges for his role in leading a DTO supplying methamphetamine in Raleigh and along the East Coast. In July of 2021, after a federal wire uncovered plans by Cannon to sell firearms to Baker, a search of Cannon’s residence led to the seizure of 13 firearms, including several high-caliber rifles, various ammunition, methamphetamine, and drug paraphernalia. On November 3, 2021, Cannon was arrested on a state probation violation in Georgia. During his arrest, he was found in possession of about 800 grams of crystal methamphetamine.
The prosecution of Cannon was a part of Organized Crime and Drug Enforcement Task Force Operation (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Raleigh Police Department led the investigation with assistance from the Federal Bureau of Investigation, Raleigh/Wake City-County Bureau of Identification and United States Marshals Service. Assistant U.S. Attorney Kelly L. Sandling prosecuted the case.
Other agencies involved in the investigation include the N.C. Highway Patrol, the Virginia State Police (VSP), the Dekalb County Police Department (GA), the Barrow County Sheriff’s Office (GA), the Georgia State Patrol (GSP), the Gwinnett County Police Department (GA), the Cleveland County Sheriff’s Department (NC), the S.C. Highway Patrol, the Craven County Sheriff’s Office (NC), the Lexington County Sheriff’s Department (SC) and the Reidsville Police Department (NC).
A copy of this press release is located on our website. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-00434-M.
Fayetteville Felon with Rifles, Drugs, and Cash Sentenced to Six YearsRead the Press Release
RALEIGH, N.C. – A Fayetteville man was sentenced to 80 months in prison for possessing multiple firearms, as well as several high-capacity rifle magazines. On December 13, 2023, Jon Alan Davis, age 40, pled guilty to the charges.
According to court documents and other information presented in court, on June 5, 2022, officers from the Cumberland County Sheriff’s Office (CCSO) responded to call at a Fayetteville residence. When they arrived, they found Davis in the residence and a subsequent search of the property resulted in the seizure of a 12-gauge caliber shotgun, two 7.62 caliber rifles, 10 large capacity rifle magazines, two ballistic vests, more than $30,000 in cash, more than 50 pounds of marijuana, 551 grams of hashish, 92 THC vape pens, and 516 THC edibles. On July 19, 2023, members of the CCSO Special Response Team (SRT) attempted to serve a federal warrant for Davis’ arrest at his residence. During the operation, various drug paraphernalia items were found in plain sight, including another pound of marijuana and more than $16,000 in cash.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The CCSO and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the case, and Assistant U.S. Attorney Julie Childress prosecuted the case.
The conviction is a result of the ongoing Violent Crime Action Plan (VCAP) initiative which is collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement and interagency coordination and intelligence-led policing.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-0028-M.
Defendants with Ties to White Supremacy Sentenced in Connection with Plot to Destroy Energy FacilitiesRead the Press Release
Three men were sentenced today for various conspiracy and firearms offenses in connection with a racially-motivated scheme to destroy an energy facility.
Paul James Kryscuk, 38, of Boise, Idaho, was sentenced today to six years and six months in prison for conspiracy to destroy an energy facility. Liam Collins, 25, of Johnston, Rhode Island, was sentenced today to 10 years in prison for aiding and abetting the interstate transportation of unregistered firearms. Justin Wade Hermanson, 25, of Swansboro, North Carolina, was sentenced today to one year and nine months in prison for conspiracy to manufacture firearms and ship interstate.
“As part a self-described ‘modern day SS,’ these defendants conspired, prepared, and trained to attack America’s power grid in order to advance their violent white supremacist ideology,” said Attorney General Merrick B. Garland. “These sentences reflect both the depravity of their plot and the Justice Department’s commitment to holding accountable those who seek to use violence to undermine our democracy.”
According to court documents and other information presented in court, Kryscuk, Collins, and Hermanson researched, discussed and reviewed at length a previous attack on the power grid by an unknown group. The group depicted in the attack used assault-style rifles in an attempt to explode a power substation. Between 2017 and 2020, Kryscuk manufactured firearms while Collins stole military gear, including magazines for assault-style rifles, and had them delivered to the other defendants. During that time, co-defendant Jordan Duncan gathered a library of information – some military-owned – regarding firearms, explosives, and nerve toxins and shared that information with Kryscuk and Collins. In October 2020, a handwritten list of approximately one dozen intersections and places in Idaho and surrounding states was discovered in Kryscuk’s possession, including intersections and places containing a transformer, substation, or other component of the power grid for the northwest United States.
Previously filed charges alleged that Collins and Kryscuk were members of and made multiple posts on the “Iron March” forum, a gathering point for young neo-Nazis to organize and recruit for extremist organizations, until the forum was closed in late 2017. Collins and Kryscuk met through the forum and expanded their group using an encrypted messaging application as an alternate means of communication outside of the forum. Collins and Kryscuk recruited additional members, including Duncan, Hermanson, and co-defendant Joseph Maurino, and conducted training, including a live-fire training in the desert near Boise, Idaho. From video footage recorded by the members during the training, Kryscuk, Duncan and others produced a montage video of their training. In the video, the participants are seen firing short barrel rifles and other assault-type rifles, and the end of the propaganda video shows the four participants outfitted in Atomwaffen masks giving the “Heil Hitler” sign, beneath the image of a black sun, a Nazi symbol. The last frame bears the phrase, “Come home white man.” Prior to their arrests, Collins and Duncan had relocated to Idaho from North Carolina and Texas, respectively, to be near Kryscuk.
The FBI, Naval Criminal Investigative Service, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case.
Trial Attorney John Cella of the National Security Division's Counterterrorism Section and Assistant U.S. Attorneys Barbara Kocher and Gabriel Diaz for the Eastern District of North Carolina are prosecuting the case, with assistance from Assistant United States Attorneys for the District of Idaho, District of New Jersey, Eastern District of New York, and the District of Rhode Island.
Army Officer Sentenced for Theft of Government Property and Ordered to Pay Half a Million DollarsRead the Press Release
RALEIGH, N.C. – Chief Warrant Officer Three (CW3) Christopher Hammond, 38, was sentenced to 36 months for his role in a scheme that resulted in the theft of government property netted him at least $2 million in proceeds. Hammond was also ordered to pay restitution in the amount of $250,000 and forfeit $250,000. Hammond pled guilty to six charges, including theft of government property, wire fraud, money laundering, mail fraud and transportation of stolen goods. He was convicted by a jury on an additional count of money laundering and aiding and abetting.
“We will not tolerate military members stealing from our armed services to line their own pockets,” said U.S. Attorney Michael Easley. “Hammond stole and then sold military scopes, weapons parts, tools, night vision goggles and ATVs meant to support our troops in the fight for freedom. Through his scheme, he had hoped to retire in style. Instead, he will be spending the next three years in prison.”
According to court documents and other information presented in court, CW3 Hammond used his position to requisition government property intended for his unit at then Ft. Bragg, now called Ft. Liberty. The property was never logged into inventory at the base but was instead sold by Hammond to various individuals. In a two-year period, CW3 Hammond received at least $1.8 million in wire transfers and other payments related to the sales, which he deposited into bank accounts controlled by him and his wife. A search warrant executed at Hammond’s home resulted in the seizure of at least 98 firearms, at least 90 military-issued spotting scopes, hundreds of other military-issued firearm accessories and items including night vision goggles and electronic equipment, and more than $100,000 in cash.
The investigation traced about 200 items sold by CW3 Hammond or held in his home as having been issued to Hammond’s military unit. The fraud was uncovered when a supplier noticed that items procured under a government contract were being sent in for warranty repairs by a private individual. Hammond’s wife, Major Heather Hammond, was also charged by the government, but was ultimately acquitted by a jury.
“This sentencing is a result of a joint investigation and Army CID’s commitment to protect the government, the Army, and most importantly, the taxpayer, from those whose actions can erode the trust and confidence in our military and warfighting capability," said Keith K. Kelly, Special Agent-in-Charge, Army Criminal Investigation Division, Fraud Field Office. “Army CID and our law enforcement partners remain committed to hold accountable those who attempt to defraud the government."
“This sentencing sends a stark warning to those who put greed above their sworn duty," stated Special Agent in Charge Christopher Dillard, Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS), Mid-Atlantic Field Office. "DCIS and its investigative partners will continue to hold those accountable who abuse their official positions for personal gain and compromise the military's integrity."
"Everyday service men and women make sacrifices for our country. It is appalling Christopher Hammond stole property his fellow soldiers needed to stay safe to line his own pockets. The FBI is thankful his criminal abuse of power and betrayal didn't go unpunished," said Robert M. DeWitt, Special Agent in Charge of the FBI in North Carolina.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. Defense Criminal Investigative Services (DCIS), Department of Army Criminal Investigation Division (CID), and the Federal Bureau of Investigation (FBI) investigated the case and Assistant U.S. Attorney Barbara Kocher and Logan Liles prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-00106-BO.
U.S. Attorney Easley Announces Ongoing Wilmington-Area Violent Crime StrategyRead the Press Release
RALEIGH, N.C. – Today, U.S. Attorney Michael Easley, along with federal and local law enforcement, provided an update regarding ongoing and coordinated efforts to address violent crime in Wilmington and surrounding areas. The Violent Crime Action Plan (VCAP) is a collaboration of the U.S. Attorney’s Office with the Wilmington Police Department (WPD), the New Hanover County Sheriff’s Office, the New Hanover County District Attorney’s Office, the United States Marshals Service (USMS), the Federal Bureau of Investigation (FBI), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). A primary objective of the VCAP is to investigate and prosecute individuals contributing significantly to crime in the city of Wilmington and surrounding areas.
As part of this effort, law enforcement most recently led a coordinated apprehension operation in June to identify and arrest defendants who were wanted for various outstanding charges, including violent offenses and drug offenses. According to court documents, the following nine individuals, all from the Wilmington area, were arrested on federal charges as part of the recent enforcement effort:
- Steven Ray Berg III, 29, distribution of cocaine.
- Kevon Lamante Bracey, 26, possession with intent to distribute cocaine and cocaine base (crack), possession of a machinegun in furtherance of a drug trafficking crime, possession of a machinegun and possession of a firearm by a felon.
- Treyquan Deonte Corbett, 25, conspiracy to distribute fentanyl, distribution of heroin, methamphetamine, and fentanyl, and possession with intent to distribute fentanyl.
- Robert James Dick, 24, possession of firearm by a felon, possession of a machinegun.
- Kevin Emmanuel Freeman, 29, conspiracy to distribute fentanyl and heroin, distribution of fentanyl, and aiding and abetting.
- Rashawn Herbert Hines, 29, conspiracy to distribute fentanyl and heroin, distribution of fentanyl, and aiding and abetting.
- Tyke’eke Monte Hines, 25, conspiracy to distribute fentanyl, distribution of heroin.
- William Rashiem Lane, 35, possession of firearm by a felon.
- Andre Session, 29, federal supervised release violation.
Since the beginning of last year, a team of prosecutors, analysts, and investigators have collaborated to identify, charge, and arrest, individuals contributing to violent crime in Wilmington and surrounding areas, leading to 37 federal indictments and 41 guns seized, including five fully-automatic machineguns and six privately made firearms commonly known as “Ghost Guns.” In addition, over 40 grams of fentanyl have been seized – enough for 20,000 potentially fatal doses. In the cases that have already been resolved, defendants collectively face over 1,700 months in custody.
“We are working around the clock to identify and prosecute anyone driving gun violence and narcotics trafficking in the Wilmington area,” said U.S. Attorney Michael Easley. “Our VCAP partnership makes public safety in Southeastern North Carolina a top priority and brings federal resources to the fight. In the heat of summer, when violence tends to spike, we want the public to know that we’re working relentlessly to keep violent crime on the decline. This partnership has already taken dozens of guns off the streets, including five fully-automatic machine guns. Any felon caught with a gun this summer faces the very real threat of federal prosecution. This team is laser focused on driving down gun violence and drug trafficking in this region.”
“I am extremely proud of the dedication and hard work that our officers and detectives have put into assisting with this joint operation. Illegal narcotics in the hands of criminals is a dangerous problem that we will continue to combat on the front lines. I am thankful for the strong partnerships we have with our local, state, and federal law enforcement agencies. Our department will diligently work to pursue and prosecute those responsible for illegal activities to foster a safer environment for our citizens to live and work,” said Wilmington Police Chief Donny Williams.
“Our federal and state partnerships are demonstrating exceptional effectiveness in catching criminals who know no jurisdictional lines,” said New Hanover County Sheriff Ed McMahon. “Our collaborative effort enhances public safety across the state. By leveraging the unique strengths and resources of both federal and state agencies, we are able to streamline operations, share critical information, and execute coordinated strategies that lead to successful apprehensions.”
“These arrests demonstrate the strong partnership between state and federal authorities and are yet another step towards making Wilmington a safer community,” said New Hanover County District Attorney Ben David. “My office appreciates the collaboration with the law enforcement and prosecutorial partners and will continue to seek maximum sentences in any venue for individuals who are committing offenses involving firearms and fentanyl.”
“The United States Marshals Service, through its long standing federal, state, and local partnerships ensures that violent fugitives are continuously pursued, discretely located, and safely arrested,” said U.S. Marshal Glenn McNeill for the Eastern District of North Carolina. “The Wilmington VCAP is yet another example of those efforts.”
“The FBI is committed to identifying, arresting, and working with our partners at the U.S. Attorney's Office to prosecute violent criminal street gang members and drug traffickers. It doesn't matter whether it's gang violence in a major metropolitan area or fentanyl sales in a rural neighborhood, neither has a place in our communities. The FBI's Safe Streets Task Force works every day to rid our communities of these destructive illegal activities," said Robert M. DeWitt, the FBI Special Agent in Charge in North Carolina.
“Collaboration is an important part of any plan aimed at addressing violent crime,” said ATF Special Agent in Charge Bennie Mims. “ATF is proud to be a part of the Violent Crime Action Plan and we remain committed to working with our local, state, and federal partners to protect our communities.”
An indictment/criminal complaint is merely an accusation. The defendants are presumed innocent until proven guilty.
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Media Advisory – Press Conference: U.S. Attorney to Provide Update on Wilmington Violent Crime Strategy, Including Recent Indictments and SeizuresRead the Press Release
WILMINGTON, N.C. – United States Attorney Michael Easley, along with representatives from the Wilmington Police Department, the New Hanover County District Attorney’s Office, the New Hanover County Sheriff’s Office, the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives will hold a press conference on Monday to provide an update on the Wilmington Violent Crime Action Plan (VCAP). The update will include information on recent arrests and seizures.
WHERE: Wilmington Police Department – Blue Room – 615 Bess Street, Wilmington, NC 28401
WHEN: Monday, July 15 at 11:00 a.m.
Media please arrive at the Police Department by 10:30 a.m. for set up.
For logistical information in advance of the media availability, please contact Brandon Shope at the Wilmington Police Department or the Public Information Office at the U.S. Attorney’s Office. No case specific information is available until the press conference.
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Armed Rocky Mount Narcotics Trafficker Who Fired Shots Sentenced to 50 YearsRead the Press Release
RALEIGH, N.C. – A Rocky Mount cocaine dealer was sentenced to 600 months in federal prison for conspiracy to distribute cocaine and possession of a firearm by a felon. On April 11, 2024, Andre Donnell Downey, age 37, pled guilty to the charges.
“This high-volume drug dealer, who previously served a federal sentence for trafficking cocaine, quickly returned to a life of crime following his release from prison,” said U.S. Attorney Michael Easley. “When arrested again, this time facing drug distribution and illegal gun charges, he sought to continue his criminal activities, including threatening the use of violence towards many individuals. His plan was foiled and now he’s facing the next five decades behind bars.”
“We appreciate our partnerships with the U.S. Attorney's Office and our federal partners as we continue to make Rocky Mount one of the safest places to live,” said Rocky Mount Police Chief Robert Hassell. “The outcome of Andre Donnell Downey's repeated offenses and disregard for the law goes to show drugs, guns, and violent crimes will not be tolerated.”
“The threat repeat offenders pose to our communities is serious,” said ATF Special Agent in Charge Bennie Mims. “ATF and our law enforcement partners remain committed to fighting back against violent crime and removing those individuals who continuously disregard the laws and the safety of the public.”
According to court documents and other information presented in court, in 2021, Downey was identified by investigators as a high-volume cocaine supplier to lower-level dealers in the Rocky Mount area. During the investigation, law enforcement officers observed Downey’s operation of multiple stash houses which he used to distribute cocaine. In December 2021, a search of one house uncovered cocaine, marijuana, and other drug paraphernalia along with nearly $3,000 cash on Downey’s person. By the spring of 2022, investigators began receiving information indicating that Downey had resumed selling drugs out of a stash house on Buena Vista Drive in Rocky Mount. On July 22, 2022, Rocky Mount Police Officers responded to an emergency call at a local convenience store. Downey was seen on the convenience store’s surveillance camera discharging a firearm through the front door of the store at an individual in the parking lot. Officers later collected a 9mm handgun from Downey that matched 9mm shell casings recovered from the scene of the shooting.
Through traffic stops, search warrants, and interviews of individuals who were supplied by Downey, investigators were able to establish that he was responsible for distributing over 60,000 grams of cocaine and 765 grams of crack from 2021 until Downey’s federal arrest in September 2023. After Downey’s federal arrest, he made more than 600 calls from jail within his first month of being in custody. A review of the calls by the Alcohol, Tobacco, Firearms and Explosives (ATF) task force officers found that Downey was discussing the restart of his drug activity following his release and managing his drug trafficking organization’s continued drug sales while in custody. The calls also revealed that Downey was orchestrating the use of violence against other drug traffickers that owed him money.
Downey has a 2009 federal conviction for conspiracy to distribute and possess with intent to distribute 50 grams or more of cocaine base (crack). He served a 70-month sentence for that crime as well as an additional nine months for violating his supervised release.
The prosecution of Downey was a part of the Organized Crime and Drug Enforcement Task Force Operation (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Rocky Mount Police Department, ATF, and the Nash County Sheriff’s Office investigated the case and Assistant U.S. Attorney Caroline Webb prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-00116-D-1.
Raleigh Man Charged with Defrauding COVID Relief Program for over $1 MillionRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment yesterday charging a Raleigh man with defrauding the Paycheck Protection Program (PPP) for over $1 million. The indictment was unsealed today.
“We are devoting more resources than ever to prosecuting white collar fraud, especially on taxpayer-funded relief programs meant to serve the needy,” said U.S. Attorney Michael Easley. “Fairness in federally funded programs is fundamental to public trust and the rule of law.”
According to the indictment, Wilson Alfredo Olivera Borda, 44, received nine PPP loans in the names of five separate businesses—The Insurance Centers.Com Inc., The Insurance Centers LLC, Realty Vestors LLC, US-Kaizen LLC, and Ecobuild LLC—by allegedly falsely claiming on PPP applications that each business had substantial employees and operations. The indictment alleges that Olivera bolstered these fraudulent misrepresentations by submitting fabricated tax returns to PPP lenders.
The indictment also alleges that Olivera made additional false statements to obtain forgiveness on the loans and that all nine loans were fully forgiven and paid off by the U.S. Small Business Administration.
Olivera is charged with nine counts of wire fraud involving disaster-related benefits. If convicted, he faces a maximum of 30 years in prison.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. The Federal Bureau of Investigation is investigating the case and Assistant U.S. Attorney Chris Cogburn is prosecuting the case.
The Fraud Section leads the Criminal Division's prosecution of fraud schemes that exploit the Paycheck Protection Program (PPP). Since the inception of the CARES Act, the Fraud Section has prosecuted over 150 defendants in more than 95 criminal cases and has seized over $75 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at Justice.gov/OPA/pr/justice-department-takes-action-against-covid-19-fraud.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Crabtree Mall Carjacker Who Crashed City Truck Sentenced to 20 YearsRead the Press Release
RALEIGH, N.C. – A Garner man was sentenced today to 240 months in prison for robbery of a Raleigh Walmart store and the carjacking of a woman at Crabtree Valley Mall. On April 8, 2024, Thomas Kyle Cauther pleaded guilty to both charges.
“This defendant was a one-man crime spree threatening a store clerk, crashing a city truck, and dragging a woman across a shopping center parking lot in a carjacking,” said U.S. Attorney Michael Easley. “Cauther’s spree caused unspeakable trauma to victims and wrecked a city street sweeper. Today it is Cauther whose been swept off the streets – for the next 20 years. Hopefully today’s sentence brings some peace or closure to the victims and community We are partnering with the City of Raleigh to ensure brazen threats to public safety, like Cauther are put on a fast track to federal prison.
According to court documents and other information presented in court, on May 11, 2023, Cauther, age 31, used a tool to smash a glass display case in the electronics section of the Walmart store on Fayetteville Road in Raleigh. Cauther retrieved two iPhones from the smashed display. When confronted by a Walmart employee, Cauther displayed a knife and threatened to harm her. Cauther then rode a bicycle out of the Walmart with the stolen iPhones in hand.
After leaving the Walmart, Cauther traveled to the area of Ramsgate Street and Lineberry Drive in Raleigh, where he stole a City of Raleigh truck with a trailer and street sweeper attached. Cauther eventually wrecked the truck and trailer in the parking deck area of Crabtree Valley Mall.
Once the City of Raleigh truck was disabled, Cauther approached a woman who was sitting in a vehicle in the Crabtree Valley Mall parking lot. He opened her car door and removed her from the vehicle. Cauther then got into the vehicle and began to drive away while the carjacking victim was still entangled in the vehicle, causing her to be drug by the vehicle as Cauther drove away. Raleigh Police engaged in a pursuit of the carjacked vehicle. Eventually, the vehicle was remotely disabled by OnStar system operators and Cauther was apprehended. The carjacking victim was hospitalized after sustaining multiple broken bones.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Raleigh Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney Sarah E. Nokes prosecuted the case.
The conviction is a result of the ongoing Violent Crime Action Plan (VCAP) initiative which is collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement, and interagency coordination and intelligence-led policing.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:24-CR-23.
Repeat Raleigh Drug Trafficker Sentenced to over 17 YearsRead the Press Release
RALEIGH, N.C. – Jeremiah Williams, a 40-year-old resident of Raleigh, has been sentenced to 174 months in federal prison for trafficking cocaine in the Raleigh area. Williams also received a consecutive sentence of 36 months for a supervised release violation for a total sentence of 210 months in federal prison.
“The distribution of cocaine and other dangerous drugs has no place in our community. The Raleigh Police Department (RPD) is committed to ensuring that the flow of these dangerous substances is stopped through intentionality and a deliberate focus on prolific drug dealers. In this case, a habitual offender was taken off the streets and can no longer harm our neighborhoods. Once again, we are grateful for the strong partnership with the U.S. Attorney’s Office of the Eastern District of NC and U.S. Attorney Easley’s commitment to public safety,” said Raleigh Police Chief Estella Patterson.
According to court documents and information presented in court, in March 2021, RPD received a tip from a confidential informant (CI) that “Dirty,” later identified as Jeremiah Williams, was selling crack cocaine. On March 31, 2021, the CI contacted Williams by phone to purchase crack cocaine and met him at a fast-food restaurant in Raleigh, North Carolina, where the sale was captured on audio and video. On April 6, 2021, the CI contacted Williams again, and they agreed to meet at an apartment complex in Raleigh for another drug deal, which was also recorded.
After selling crack cocaine to the CI, law enforcement attempted to arrest Williams. He tried to flee but was apprehended. While running, he threw a bag of crack cocaine to the ground. A search incident to the arrest of Williams led to the seizure of 26.8 grams of cocaine, 4.78 grams of crack cocaine, 17.7 grams of marijuana, cash, and a digital scale. Following his arrest, Williams admitted to officers that he was at the apartment complex to sell drugs and confessed to selling drugs for the past few weeks. He also admitted to possessing the drugs recovered during his arrest.
Further investigation revealed that Williams was previously convicted in federal court for Possession with Intent to Distribute a Quantity of Cocaine Base (“crack”) and a Quantity of Marijuana, as well as Possession of a Firearm in Furtherance of Drug Trafficking. Williams had been released from federal prison for approximately six months when he sold crack cocaine to the CI mentioned above. Moreover, the investigation uncovered Williams’s criminal history dating back to 2001, which includes several prior felony and misdemeanor convictions, multiple convictions for drug trafficking, and at least two prior convictions for assaulting a female. Williams was found to be responsible for the possession and distribution of 5.67 grams of crack cocaine, 26.8 grams of powder cocaine, and 22.4 grams of marijuana.
While Williams was detained pending the resolution of his case, when one of his family members passed away. The court granted Williams a furlough to attend the funeral. Upon Williams’ return to the Albemarle District Jail, it was discovered that Williams had swallowed a bag of marijuana, which had to be surgically removed from his throat.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by Judge Louise W. Flanagan. The Raleigh Police Department investigated the case and Assistant U.S. Attorney Jennifer C. Nucci prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case number 5:21-CR-00336-FL.
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Major Raleigh Heroin Trafficker Who Intimidated Witnesses Sentenced to 40 Years in Federal PrisonRead the Press Release
Raleigh, N.C. – Ahmad Rashad McClain, a/k/a “Wop,” a longtime resident of Raleigh, was sentenced to 480 months in prison for trafficking heroin after attempting to intimidate witnesses. On June 8, 2022, Ahmad Rashad McClain pled guilty to two counts of drug trafficking.
“Tampering with witnesses and attempted intimidation is a sure-fire way to extend your stay in federal prison,” said U.S. Attorney Michael Easley. “Heroin traffickers like McClain drive addiction in our city and will do anything to dodge accountability. We are turbocharging our partnership with the Raleigh Police Department to get these dangerous narcotics – and those who supply them – off the streets.”
According to court documents and other information presented in court, McClain, age 47, was determined by Raleigh Police Department (RPD) in late 2021 to be a major distributor of heroin in the Raleigh area. This was determined by physical and electronic surveillance, the use of confidential informants, and statements from witnesses.
On June 8, 2022, a traffic stop was made on a vehicle driven by McClain, who was later transported to his residence where a search warrant was executed. McClain was found to be in possession of heroin mixed with protonitazene and marijuana, various drug paraphernalia, and over $15,000 in cash.
As part of the investigation, witnesses provided RPD with information demonstrating that McClain was accountable for distributing over 24,000 grams of heroin over a two-year period.
The Government argued for and received an enhanced sentence because McClain was found to be intimidating witnesses before sentencing.
In five calls recorded between March 1 and March 29, McClain directed an associate to contact two confidential informants expected to provide evidence at his sentencing hearing.
Although McClain and the associate used code, it was clear from the calls that McClain was directing him to approach, or have someone else approach, the witnesses to ensure they did not testify, discussing during the calls that the Government could not tie drug weight to him without their testimony. In one call, McClain directed the associate to “…shut them arcade games off.” In another, McClain said, “Yeah, without they testimony, they… can’t do s#!@…” The associate confirmed, “You ain’t got to worry about seeing them anyway…” In many of the calls, the associate confirmed that he or one of his “boys” had made contact with the witnesses.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Judge James C. Dever III. The Raleigh Police Department and the Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Casey L. Peaden prosecuted the case.
This investigation was part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-cr-00042-BO-RJ.
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Durham Man Sentenced to Seven Years for Role in Mortgage and COVID-19 Pandemic Fund Frauds Exceeds $2.9 MillionRead the Press Release
RALEIGH, N.C. – A Durham man was sentenced to 84 months in prison for fraudulently obtaining over $1,300,000 in mortgages and over $1,600,000 in fraudulent Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) proceeds. On April 13, 2023, Reynold Eugene Mullen pled guilty to the charges.
“This white-collar fraud on American taxpayers is stunning. We live in a generous nation that lends a hand to those in need,” said U.S. Attorney Michael Easley. "When defendants like Mullen take advantage of that generosity – to buy beach houses and plastic surgery – we will fight for every penny to be returned to the public purse.”
“Mullen not only used washed credit reports and fabricated bank statements to obtain mortgages; he also took advantage of aid programs intended to provide critical relief for hardworking members of our communities impacted by the COVID-19 outbreak by fraudulently obtaining pandemic program loans,” said Internal Revenue Service Criminal Investigation (IRS CI) Assistant Special Agent in Charge Brian Thomas, Charlotte Field Office. “IRS CI, along with our law enforcement partners remain vigilant in identifying, investigating, and recommending those individuals for prosecution who willfully seek to defraud the United States Treasury and blatantly disregard the victims of their schemes.”
According to court documents and other information presented in court, between 2019 and 2021, Reynold Eugene Mullen, 48, and his girlfriend, Tiffany Dawn Russell, used “washed” credit reports and fabricated bank statements to obtain four mortgages totaling $1,374,000, for the purchase of properties in Miami, Florida, Rocky Mount, North Carolina, and Nags Head, North Carolina.
Between March 2020 and July 2021, Mullen and Russell also submitted fraudulent EIDL and PPP applications on behalf on entities that were either owned entirely, or in part, by them. On these applications, Mullen and Russell provided false monthly payroll amounts and misrepresented the entities’ number of employees. Mullen and Russell also submitted fraudulent tax returns as part of these applications. As a result of these frauds, Mullen and Russell obtained more than $1,600,000. Mullen and Russell used the fraud proceeds to purchase six properties and pay for Mullen’s plastic surgery.
On May 25, 2022, Russell (5:20-cr-00505-D-3) was sentenced to 63 months in prison and five years of supervised release for her role in this scheme.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Internal Revenue Service, Criminal Investigations, and the Federal Bureau of Investigation investigated the case and Special Assistant U.S. Attorney Lisa K. Labresh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:23-CR-33-D.
Jury Convicts Wilmington Career Offender Who Ditched Loaded Glock in the Bushes After Evading Law EnforcementRead the Press Release
WILMINGTON, N.C. – U.S. Attorney Michael F. Easley, Jr. announced today that a federal jury convicted Wilmington career offender Desmond Antonio Hines, aka “Head,” of illegally possessing a gun as a felon after law enforcement recovered a loaded Glock handgun with an extended magazine that Hines tossed in azalea bushes before he could be arrested on a pending federal drug indictment. Hines has previous convictions for drug trafficking and assault, including a prior federal drug conviction. Hines, age 35, is considered a career offender and is facing up to 15 years in prison for this charge when sentenced later this year. At that time, he will also be sentenced for a drug charge he pled guilty to last year, a crime punishable with up to 30 years in prison.
“Azaleas have long held special significance to the City of Wilmington. Today they held the key to solving a crime – the critical trial evidence that took an armed felon off the streets,” said U.S. Attorney Michael Easley. “I personally tried this case because this defendant, who went by the alias ‘Head,’ made crime his life’s work. When detectives with the Wilmington Police Department went to arrest him on federal drug charges, he evaded law enforcement, ditched a loaded Glock in a patch of bright pink azaleas, and drove away. Thanks to concerned citizens, advanced forensics, and the dedication of the Wilmington Police Department and ATF, there is one less gun on our streets.”
According to court records and evidence presented at trial, Wilmington Police stopped Hines for traffic violations November 7, 2020. Upon approaching the car, the officer noticed an odor of marijuana and asked Hines to step out of the car to conduct a search. A blunt and some marijuana were found in the car, and during the search of Hines, the officer felt what he believed to be a metal object between the defendant’s legs. While the officer attempted to secure handcuffs, Hines tried to flee but was tackled by the officer. A subsequent search of Hines conducted at the police station uncovered a bag containing 10 oxycodone pills and about 17 grams of crack cocaine.
On March 31, 2022, Detectives attempted to arrest Hines on federal charges related to the November 7 incident. Officers surveilled him driving a new Chrysler minivan. At one point during surveillance, officers lost sight of Hines after he made a series of evasive maneuvers. After officers located Hines and placed him into custody, 911 dispatch reported a call from area residents who saw a man meeting Hines’ description and driving a minivan stop the vehicle, walk to a patch of azalea bushes, and toss something into the bushes before driving off. Upon pulling back the bushes, witnesses saw a firearm. Police responded to the scene, which was approximately ½ mile from where Hines was arrested and recovered a semi-automatic Glock 27 Gen 4 .40 caliber handgun with an extended magazine containing 20 live rounds of ammunition. Ten of those rounds were a distinctive, red-tipped round known as Hornady Critical Defense. When executing a search warrant at the Defendant’s residence, detectives found a box of the same ammunition, with ten rounds missing. Later, testing of the firearm confirmed that Hines’ DNA was present.
“As is evident with this case, this man was a dangerous threat to public safety. Our agency will continue to relentlessly pursue criminals who decide to possess and distribute illegal narcotics within our city limits. Additionally, we will ensure that felons are held accountable for their actions when they decide to possess weapons illegally. The work our officers and detectives have put into this case is yet another example of our continued commitment to combatting drugs and gun violence in the City of Wilmington,” said Wilmington Police Chief Donny Williams.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the verdict. The Wilmington Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives are investigating the case and U.S. Attorney Michael Easley and Assistant U.S. Attorney Erin Blondel are prosecuting the case.
The conviction is a result of the ongoing Violent Crime Action Plan (VCAP) initiative which is a collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement, and interagency coordination and intelligence-led policing.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.7:22-cr-36-M.
U.S. Attorney Announces Six Charged in Raleigh Kidnapping and Robbery Conspiracy as part of Federal Violent Crime StrategyRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment, filed on Friday, June 21, 2024, charging six Raleigh men with kidnapping, robbery, use of a firearm during a violent crime and conspiracy. Some of the individuals were also charged with separate gun and drug offenses.
“Two years ago, we launched a new multi-agency partnership to drive down violent crime in Raleigh,” said U.S. Attorney Michael Easley. “Today’s announcement shows the next phase of our strategy: a proactive focus on federal charges for violent offenders. We want Raleigh citizens to know our partners are working around the clock to keep our city safe.”
“This is another example of how collaborative relationships between the RPD and our Federal partners facilitated through the Violent Crime Action Plan (VCAP) reduce the drivers of violence by focusing on prolific offenders and the criminal activity they propagate. Violence that wreaks havoc on our community will not be tolerated. I thank U.S. Attorney Michael Easley, the Department of Justice, and our multi-agency partners for their continued support in combating violent crime in Raleigh. This case reinforces our unwavering commitment to the safety of our residents and the relentless pursuit of justice for crime victims,” said Raleigh Police Chief Estella Patterson.
According to the indictment, Mario Scott, also known as "Homicide" or "Homi," age 21, Tyferia Shakur Sherrod, also known as "2 Wop" or "Wop," age 23, Donta Lamont Bush Jr., "Gonzo" or "Zo," age 24, Hasheem Langston, also known as "Tek," age 23, Quest Jaquan Davis, also known as "Tek," age 29, and Deivon Jalil Spidle, also known as "BDay," age 22, conspired to kidnap and rob an adult victim.
Conspirators allegedly attached a GPS tracking device to the victim’s car in order to track and target him prior to the crimes. On the night of January 15, 2024, conspirators allegedly confronted the victim and held him at gunpoint, stealing jewelry and cash from his person. Conspirators then allegedly forced the victim into a vehicle and drove him to other locations in Wendell and Knightdale as they attempted to force the victim to get family members to give the kidnappers more money. During the course of the kidnapping, conspirators allegedly tied the victim’s hands and feet with duct tape and put a trash bag over his head. Some of the conspirators also allegedly used the victim’s apartment access information to break into his home and steal additional items. Eventually, when the victim’s family members did not provide additional money, the indictment alleges the victim was told he would be killed. The victim fought one of the conspirators and was able to escape a moving vehicle. One of the conspirators allegedly shot the victim as he escaped.
Mario Scott, Tyferia Shakur Sherrod, Donta Lamont Bush, Jr., Hasheem Langston, Quest Jaquan Davis, and Deivon Jalil Spidle are charged with conspiracy to commit kidnapping, kidnapping and aiding and abetting, conspiracy to commit Hobbs Act robbery, Hobbs Act robbery and aiding and abetting, and use and discharge of a firearm during a crime of violence and aiding and abetting. If convicted as charged, each faces a mandatory minimum of ten years’ imprisonment and a maximum possible term of life imprisonment.
Additionally, Davis is charged with possession with intent to distribute cocaine, and possession of a firearm in furtherance of a drug trafficking crime. If convicted as charged, he faces a mandatory minimum of fifteen years’ imprisonment and a maximum possible term of life imprisonment. Respectively, Spidle is charged with possession of a firearm by a convicted felon. If convicted as charged, he faces a mandatory minimum of ten years’ imprisonment and a maximum possible term of life imprisonment.
On July 12, 2022, U.S. Attorney Easley announced a new federal violent crime strategy in partnership with the RPD, FBI, ATF, USMS, and Wake County DAs Office to prioritize cases against the most significant drivers of violence in the City of Raleigh. This indictment is a result of the ongoing Violent Crime Action Plan (VCAP) initiative which is collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement, interagency coordination, and intelligence-led policing. Since inception, there have been 63 cases indicted on federal charges.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement. The Federal Bureau of Investigation and Raleigh Police Department are investigating the case and Assistant U.S. Attorneys Sarah E. Nokes and Charles E. Loeser are prosecuting the case.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty.
Wilmington Blood Gang Member Sentenced to 10 Years After Ditching a Stolen, Loaded Gun on a Daycare PlaygroundRead the Press Release
WILMINGTON, N.C. – A Wilmington man was sentenced to 120 months in federal prison for possession of a stolen, loaded firearm, which was apprehended after he dropped it in the playground of a daycare when he was fleeing from police. On February 21, 2024, Shaquille Gregg, age 29, pled guilty to the charge. The sentence imposed is the statutory maximum for this crime.
“This Blood gang member received the maximum time behind bars after ditching a stolen gun on a daycare playground while he ran to dodge arrest,” said U.S. Attorney Michael Easley. “Officers should be commended for their work apprehending the defendant, and their quick action finding the gun before a toddler could. This case came from our Violent Crime Action Plan (VCAP) partnership with local law enforcement to stop armed Wilmington-based gang members in their tracks.”
According to court documents and other information presented in court, on January 26, 2022, an officer with the Wilmington Police Department conducted a traffic stop on a vehicle in which Gregg was the passenger. Once the vehicle stopped, Gregg fled from the vehicle on foot. After a brief foot chase, officers were able to apprehend Gregg. Officers retraced the path of Gregg’s flight from law enforcement and located a stolen Smith and Wesson pistol in the fenced in playground area of a daycare. Subsequent testing revealed the presence of Gregg’s DNA on the firearm.
In 2014, Gregg, a member of the Double-II Bloods, shot a man in the face and back after he questioned his gang affiliation. When officers arrested Gregg for the shooting, they located him at his residence asleep with his girlfriend’s 2-year-old daughter and a loaded, 9mm pistol under his pillow. In 2015, Gregg was convicted of assault with a deadly weapon with intent to kill inflicting serious injury and possession of a firearm by a convicted felon for this conduct in New Hanover County Superior Court and was sentenced to 75 – 102 months in prison.
Gregg also has prior convictions for possession with intent to sell and deliver heroin, carrying a concealed gun, and two federal convictions for distribution of a quantity of heroin. Gregg has been validated as a member of the Bloods street gang by the North Carolina Department of Corrections.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The FBI’s Coastal Carolina Safe Street’s Gang Task Force, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Wilmington Police Department, and the New Hanover County Sheriff’s Office investigated the case and Special Assistant United States Attorney William Van Trigt prosecuted the case. Van Trigt is a prosecutor with the New Hanover County District Attorney’s Office assigned to the United States Attorney’s Office to prosecute federal violent crimes and other criminal matters. This has been made possible by a grant funded by New Hanover County.
The conviction is a result of the ongoing VCAP initiative which is collaborative effort with local, state, and federal law enforcement agencies, working with the community, to identify and address the most significant drivers of violent crime. VCAP involves focused and strategic enforcement, and interagency coordination and intelligence-led policing.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-cr-00123BO-001.
Nashville Man Convicted by Federal Jury After Being Stopped with A Loaded Gun in His Car After Evading Barricades for Local FestivalRead the Press Release
WILMINGTON, N.C. – A federal jury convicted John Joseph Simmons, II, age 34, from Nashville yesterday on charges of being a convicted felon in possession of a firearm on May 13, 2023, after he was stopped for evading barricades set up for the annual Blooming Festival in Nashville with a loaded gun in his car.
“Nashville’s annual Blooming Festival typically draws families enjoying food, music, and springtime fun. But in the last several years, the festival has sometimes drawn reckless actors with guns,” said U.S. Attorney Michael Easley. “We are proud to partner with the Nashville Police Department in its stepped-up efforts to keep the community safe. This verdict is a clear warning to keep illegal guns away from Eastern North Carolina festivals this summer. This former felon dodged a police barricade with a loaded gun in the car. He now faces a lengthy federal prison sentence.”
According to court records and evidence presented at trial Simmons illegally possessed a firearm when he drove past a police barricade on West Washington Street in downtown Nashville on the evening of Saturday, May 13, 2023. West Washington Street was closed at the time due to ongoing festivities at the Blooming Festival, Nashville’s annual festival. Simmons, who had previously been convicted of robbery with a dangerous weapon and second-degree kidnapping in Edgecombe County was not allowed to possess a firearm. When officers stopped Simmons for driving around the barrier, they spotted a Taurus G3C 9mm handgun laying on the front passenger seat within reach of Simmons. An officer asked Simmons if he was a convicted felon and he responded by looking directly at the firearm and then stating, “that’s not mine, it’s my girlfriend’s gun,” acknowledging that he was aware the gun was in the car. The firearm was loaded with 12 rounds including one in the chamber and the firearm’s safety was not engaged. Simmons still faces charges in Nash County for DUI related to his stop.
Caleb Shockley, the Head of Investigations for the Nashville Police stated “This is a prime example of how the Nashville Police Department is and continues to collaboratively work with Federal Task Force Officers and the United States Attorney’s Office in order to secure justice for violent felons who possess firearms. This is a proactive approach to address the recent uptick in violence that Nashville has experienced, particularly firearm-related incidents at the Blooming Festival.”
Simmons faces a maximum penalty of 15 years in prison when sentenced on a future date.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the verdict. The Nashville Police Department and Homeland Security Investigations
investigated the case and Assistant U.S. Attorney Julie Childress and Phil Aubart are prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No.5:24-CR-114-M-BM.
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