Western District of North Carolina

CHARLOTTE, N.C. – U.S. District Judge Robert J. Conrad Jr. sentenced Andrivia Wells, 54, of Charlotte, today to 70 months in prison for tax fraud, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Wells, who also goes by the names Tina Smith, Tina Harris, Andrivia Smith, and Andrivia Harris, was also ordered to serve one year under court supervision and to pay $3,373,595 as restitution.

Mona Passmore, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division (IRS-CI), Charlotte Field Office, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s sentencing hearing, beginning in at least 2011 and continuing through June 2019, Wells owned and operated Rush Tax Service, a return preparation business with multiple locations in Charlotte. Between 2013 and 2017, Wells prepared, or caused to be prepared, more than 6,000 tax returns that falsely claimed more than $3 million in refunds. Wells and Rush Tax Service received over $1.2 million in fees from her clients. The tax preparation fees were taken directly from the clients’ tax refunds and in many cases the clients were unaware of how much they were being charged, which was frequently more than $500.

Court records also show that Wells prepared income tax returns for clients for 2013 through 2018 that claimed false filing statuses, false American Opportunity and education credits, and false fuel tax credits, among others, in order to inflate refunds paid by the IRS. In addition to filing fraudulent income tax returns for her clients, Wells falsified her own income tax returns by underreporting the fees she earned in her tax preparation business for tax years 2014, 2015, 2016, and 2017, and in 2018, she failed to file any tax return with the IRS.  In addition, her 2012 through 2017 tax returns also falsely claimed American Opportunity credits and fuel tax credits, and the incorrect filing status. 

On May 17, 2017, after being notified she was the subject of a criminal investigation and after being served a summons for records of Rush Tax Service, a fire was intentionally set at Rush Tax Service’s Beatties Ford Road location.  The fire destroyed client files, financial records, and computer hardware. Subsequently, a grand jury subpoena was served on Rush Tax Service for records. It was at a February 2019 grand jury appearance that the government was first alerted to the May 2017 fire. After the indictment was returned on June 20, 2019, Wells was arrested and detained. On June 30, 2019, a second fire was intentionally set destroying Rush Tax Service documents that were responsive to the grand jury subpoena. At today’s sentencing, the Court found that Wells obstructed the administration of justice with respect to the investigation and prosecution of the offense and stated that this was “one fire too many.” As a result, the Court also found that Wells did not accept responsibility for her crimes.

In announcing today’s sentence, Judge Conrad said Wells “showed a profound disrespect for the law” and that “the tax structure breaks down when taxpayers and tax preparers” file false tax returns.

Wells pleaded guilty to aiding and assisting in the filing of false tax returns and filing a false tax return.

Acting U.S. Attorney Stetzer commended IRS-CI for their investigation of the case. Assistant U.S. Attorney Caryn Finley with the U.S. Attorney’s Office in Charlotte prosecuted the case.

CHARLOTTE, N.C. – Joseph A. DiBruno, Jr., 52, of Gastonia, N.C., was indicted by a federal grand jury on bank fraud charges, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. The indictment was unsealed this morning following DiBruno’s arrest and initial appearance before U.S. Magistrate Judge David C. Keesler.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to the indictment, in 2008, DiBruno was sentenced to 262 months in prison after pleading guilty in the Western District of North Carolina to conspiracy to defraud the United States, money laundering conspiracy, and concealment of assets. On April 8, 2020, DiBruno was approved by the federal Bureau of Prisons for placement on home confinement due to the COVID-19 pandemic. The indictment alleges that after his release to home confinement in May 2020, DiBruno obtained or attempted to obtain loans from at least two financial institutions, based on fraudulent statements and false information he submitted on loan applications. For example, on one loan application DiBruno falsely claimed that he had been employed as Director of Data Analytics by a company listed as M.R.S., that he earned an average monthly salary of up to $8,000, and that had he had lived at the residential address listed on the application for over four years, all of which information was untrue. The indictment also alleges that between May 2020 and June 2021, DiBruno submitted at least five fraudulent loan applications to two financial institutions seeking funds totaling over $120,000.

DiBruno is charged with five counts of making false statements to a credit union. Each count carries a penalty of 30 years in prison and a $1million fine.

The details contained in the indictment are allegations.  The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

The FBI and USPIS led the investigation. Assistant U.S. Attorney Caryn Finley of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

CHARLOTTE, N.C. – U.S. District Judge Max O. Cogburn, Jr. sentenced Solomon Davon Gilliam, 37, of Charlotte today to 108 months in prison for robbing a store owner at gunpoint, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  Judge Cogburn also ordered Gilliam to serve two years of supervised release after he is released from prison.

Richard R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s sentencing hearing, on June 30, 2018, at approximately 2:00 p.m., Gilliam entered Tobacco 2022, a retail store located at 2020 Beatties Ford Road in Charlotte. The store owner, M.D., and Gilliam were alone inside the store at the time. Soon after entering, Gilliam approached M.D. and struck him in the back of the head, causing M.D. to fall down. While holding a pistol in his hand, Gilliam ordered M.D. to hand over his wallet. The victim complied and Gilliam took $500 from the victim’s wallet along with the victim’s phone. Gilliam then threatened to kill M.D. if M.D. did not open the store’s register. The victim opened the register and Gilliam took approximately $2,800 in cash. After ordering the victim to stand in the corner, Gilliam fled the store on foot. Gilliam was later arrested by law enforcement in South Carolina.

In July 2020, Gilliam pleaded guilty to robbery of a business affecting interstate commerce, or Hobbs Act robbery. He is currently in custody and will be transferred to the custody of the Federal Bureau of Prisons upon designation of a federal facility. 

The investigation was handled by the FBI and CMPD.  Assistant U.S. Attorney William Bozin, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.   

 

CHARLOTTE, N.C. – A federal grand jury in Charlotte has indicted a Virginia man for allegedly orchestrating an investment scheme that defrauded victims of more than $740,000, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. 

Reginald DeMatteis, Special Agent in Charge of the United States Secret Service, Charlotte Field Office, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to allegations contained in the indictment, from 2009 to October 2021, Michael Mandel Baldwin, 52, of Alexandria, Virginia, was the Chief Executive Officer of the Miracle Mansion, LLC (Miracle Mansion). The indictment alleges that over the course of the scheme, Baldwin made numerous fraudulent representations to victim-investors about the purpose, legitimacy, and success of Miracle Mansion, and solicited investments from a Charlotte-area church and its members, and other individuals and entities located throughout the United States, including in Virginia, Arkansas, Florida, and Georgia.

As part of the fraudulent investment scheme, Baldwin allegedly created and distributed promotional materials to potential investors that described Miracle Mansion as “a one-of-a-kind entertainment complex that [would] reshape the face of family entertainment in the Washington Metropolitan region,” with a mission “to provide a high-quality performing arts experience that promotes family-focused inspiration, entertainment and enrichment anchored by a Biblical worldview.” Baldwin also held in-person and virtual meetings with potential investors, during which he falsely claimed the investors’ money would be used to develop Miracle Mansion, including to purchase the land on which Miracle Mansion would be located. As alleged in the indictment, Baldwin also falsely represented to potential investors that The Kennedy Center and high-level executives at Hobby Lobby and Chick-Fil-A had endorsed and supported Miracle Mansion. The indictment further alleges that Baldwin described to investors several investment opportunities, including “GroundSwell 73,” which was described as “73 acres = 7,300 people, investing $73 per month, for 73 months.”

The indictment also alleges that, contrary to Baldwin’s representations to investors, rather than using the victims’ money to further Miracle Mansion’s purpose, Baldwin spent hundreds of thousands of dollars on his personal lifestyle, including to pay for personal expenses, travel, and meals at restaurants, and to make credit card payments and cash withdrawals. He also allegedly used a portion of the victims’ money to pay others involved in Miracle Mansion, and to make Ponzi style payments to other investors.

Baldwin is charged with wire fraud, which carries a maximum prison term of 20 years and a $250,000 fine, and securities fraud, which carries a maximum prison term of 20 years and a $5 million fine.

The details contained in the indictment are allegations.  The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

The U.S. Secret Service led the investigation. Assistant U.S. Attorney Caryn Finley of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

 

 

 

 

CHARLOTTE, N.C. – A federal jury in Charlotte has convicted Michael Moore, 39, a Liberian national residing in the Philadelphia area, for his involvement in an online romance scam that targeted older adults, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. U.S. District Judge Robert J. Conrad Jr. presided over the two-day trial which ended late yesterday.

​Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Charlotte, and Barry Chastain, Port Director of the U.S. Customs and Border Protection (CBP) Area in Charlotte join Acting U.S. Attorney Stetzer in making today’s announcement. 

According to court documents, trial evidence, and witness testimony, beginning in January 2016, Moore and others engaged in a fraudulent scheme to defraud unsuspecting victims, many of whom were in or near retirement, by perpetrating an online romance scam. Trial evidence established that Moore and his co-conspirators generally targeted victims through Facebook, senior dating websites, and other social media platforms, convincing them through online communications that they were romantically interested in them. The fraudsters, who often said they were overseas for work, would then start asking for money, often falsely telling the victims the money was for plane tickets or to otherwise facilitate their travel to visit the victim. After the victim initially sent money as requested, Moore and his fellow fraudsters would tell additional lies about additional fees or costs that purportedly has to be paid to facilitate the visit from the person who purported to be in love with the victim. Evidence at trial showed that Moore and his fellow fraudsters would continue to solicit money from victims till they had no more money left. 

Trial evidence showed that Moore served the fraud scheme as the “money man” or “bag man” purchasing one way tickets and flying around the country to meet unsuspecting victims and pick up cash from them in multiple cities. Moore was caught trying to fly out of Charlotte with $75,000 in cash, which he had taken from one of the victims. Evidence at trial also showed Moore taking pictures and making videos bragging with piles of cash taken from victims. 

The evidence also showed that victims were repeatedly directed to deposit money into accounts held in the names of third parties. In total, Moore and his co-conspirators stole over $1.5 million from at least 30 victims through this fraud scheme. 

The evidence at trial further established that Moore lied to CBP officers and ICE-HSI agents when he was questioned at Charlotte Douglas International Airport after being caught attempting to carry  $75,000 in cash through airport security. Instead of telling law enforcement the truth – that he had received the cash from a victim the previous day – he told them a story about receiving the money from a Liberian government official to buy used cars. Later, Moore made similar false statements and representations on a federal form in an attempt to have the $75,000 returned to him. 

The jury convicted Moore of wire fraud, which carries a maximum prison term of 20 years and a $250,000 fine, and two counts of making a false statement to an agency of the United States, which carries a maximum prison term of five years and a $250,000 fine.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked CBP and HSI for handling the investigation.

Assistant U.S. Attorneys Maria Vento and Daniel Ryan, of the U.S. Attorney’s Office in Charlotte, are in charge of the prosecution.

* * *

The U.S. Attorney’s Office Elder Justice Initiative aims to combat elder financial exploitation by expanding efforts to investigate and prosecute financial scams that target seniors; educate older adults on how to identify scams and avoid becoming victims of financial fraud; and promote greater coordination with law enforcement partners. For more information please visit: https://www.justice.gov/usao-wdnc/elder-justice-initiative

Examples of financial scams targeting seniors are:

• Lottery phone scams – in which the callers convince seniors that a large fee or taxes must be paid before they can receive lottery winnings.
• Grandparent scams – which convince seniors that their grandchildren are in trouble and need money to make rent, repair a car, or even money for bail.
• Romance scams – which lull victims to believe that their online paramour needs funds for a U.S. visit or some other purpose.
• IRS imposter scams – which defraud victims by posing as IRS agents and claiming that victims owe back taxes.
• Sham business opportunities – which convince victims to invest in lucrative business opportunities or investments.

 

To avoid falling victim to a financial scam:

• Don’t share personal information with anyone you don’t know.
• Don’t pay a fee for a prize or lottery winning.
• Don’t click on pop-up ads or messages.
• Delete phishing emails and ignore harassing phone calls.
• Don’t send gift cards, checks, money orders, wire money, or give your bank account information to a stranger.
• Don’t fall for a high-pressure sales pitch or a lucrative business deal.
• If a scammer approaches you, take the time to talk to a friend or family member.
• Keep in mind that if you send money once, you’ll be a target for life.
• Remember, it’s not rude to say, “NO.”
• A good rule of thumb is, if it’s too good to be true, it’s likely a scam.

 

If you have been contacted by a scammer or believe you have fallen victim to a scam, please contact the Justice Department’s Elder Fraud Hotline at 1-833-Fraud-11 (1-833-372-8311). The National Elder Fraud hotline was created for the public to report fraud against individuals who are age 60 or older. The hotline is open seven days a week. For more information about the hotline, please visit https://stopelderfraud.ovc.ojp.gov/.
                                                     

CHARLOTTE, N.C. – Richard Allen Clark, 55, of Lenoir, N.C., was sentenced to 48 months in prison today for embezzling more than $1 million from his former employer, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, U.S. District Judge Kenneth D. Bell also ordered Clark to serve three years of supervised release, and to pay $980,000 as restitution to his victims and $194,750 to the IRS.

Mona Passmore, Acting Special Agent in Charge of the IRS, Criminal Investigation Division, Charlotte Field Office (IRS-CI), and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and statements made in court, from 2013 to 2019, Clark was employed as an office manager for two family-owned businesses in Lenoir, and was responsible for, among other things, handling the companies’ bookkeeping and financial records, making payments to vendors and the IRS, and reconciling the companies’ bank accounts. Clark used his position and his access to the companies’ financial records and bank accounts to embezzle more than $1 million from his employers. Court records show that Clark stole money from a company bank account the owner had directed Clark to close. Instead of closing the account, Clark used it to steal from his employer, by instructing customers to make payments to that account.

Clark also admitted that he laundered the funds he embezzled from his employer by withdrawing customer funds from the company’s bank account through multiple fraudulent checks payable to himself, which he deposited into personal bank accounts. Clark then used the stolen funds to pay for his personal lifestyle, including to make payments for his home mortgage, to make auto loan payments for an F-150 truck and other vehicles, to install a home theater system, and to pay for travelling and shopping expenses, among other things.

Clark also filed a fraudulent U.S. income tax return for tax year 2018 by deliberately failing to claim the additional income he stole from his employers. 

 

At today’s sentencing hearing, representatives of the victim company spoke in Court about the detrimental impact of Clark’s fraud on their company, and the personal and financial hardship they sustained as a result of the defendant’s criminal conduct.

On June 3, 2021, Clark pleaded guilty to mail fraud, money laundering, and making a false statement on his tax return. He will be ordered to report to the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer commended IRS-CI and USPIS for their investigation of the case and thanked the Caldwell County Sheriff’s office for their invaluable assistances.

Assistant U.S. Attorney Michael Savage of the U.S. Attorney’s Office in Charlotte prosecuted the case.

CHARLOTTE, N.C. – Today, U.S. District Judge Kenneth D. Bell sentenced Frank Darrell Cromwell, 25, of Boone, N.C., to 25 years in prison for producing child pornography, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  Cromwell was also ordered to pay special assessments in the amount of $55,100, to serve a lifetime of supervised release, and to register as a sex offender after he is released from prison.

Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Andy LeBeau of the Boone Police Department, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to court records and today’s hearing, between December 2018 and February 2019, Cromwell used Snapchat to convince multiple minor victims that Cromwell was a female, and to communicate with the minors. During the relevant time period, Cromwell induced and sometimes coerced the minor victims to engage in sexually explicit conduct and to send explicit images and videos to Cromwell.

“Technology misused by predators like Cromwell can impact the safety and well-being of children everywhere,” said Acting U.S. Attorney Stetzer. “It is important – now more than ever – to have conversations with children about the dangers that lurk on the internet, and remind them that things, and people, online are not always what they seem. I want to thank our law enforcement partners for their investigation of this case, and all they do to help us protect children.”

“Cases like this should put predators on notice that they cannot use the internet to hide from justice, because we will use all of our resources to find you and hold you accountable,” said Special Agent In Charge Martinez. “HSI along with its partners will continue to combat this heinous crime, but we need everyone to be vigilant and monitor what our children do online as well as who they interact with.”

In making today’s announcement, Acting U.S. Attorney Stetzer commended HSI and the Boone Police Department for their investigation the case and thanked the North Carolina State Bureau of Investigation for their invaluable assistance.

Assistant U.S. Attorneys Cortney Randall and Stephanie Spaugh prosecuted the case.

The case was were 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 the Criminal Division’s Child Exploitation and Obscenity Section (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 www.projectsafechildhood.gov.

                                                          

CHARLOTTE, N.C. – A federal jury has convicted Trevon Darnell Hopkins, 27, of Charlotte, of possession of a firearm by a felon, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. U.S. District Judge Robert J. Conrad Jr. presided over the trial which ended yesterday.

Acting U.S. Attorney Stetzer is joined in making today’s announcement by Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD).

According to filed court documents, trial evidence, and witness testimony, on June 23, 2018, CMPD officers observed Hopkins driving a vehicle that had been reported as stolen. When law enforcement attempted to execute a traffic stop of the vehicle, Hopkins refused to comply and sped away. The defendant then proceeded to drive recklessly, including onto oncoming traffic and on the sidewalk. Hopkins eventually lost control of the vehicle and crashed into a tree. CMPD officers arrested Hopkins at the scene. As trial evidence established, law enforcement located two firearms in the stolen vehicle. Hopkins is prohibited from possessing firearms due to multiple prior felony convictions. Also, at the time of his arrest, Hopkins was on post-release supervision with the State of North Carolina.

Hopkins is currently in federal custody. The charge of possession of a firearm by a convicted felon carries a maximum prison sentence of 10 years. A sentencing date for Hopkins has not been set.

In making today’s announcement Acting U.S. Attorney Stetzer thanked ATF and CMPD for their investigation of the case. 

Assistant U.S. Attorneys David Kelly and Stephanie Spaugh of the U.S. Attorney’s Office in Charlotte are prosecuting the case.

CHARLOTTE, N.C. – Dr. James W. Heroman, 43, formerly of Charlotte, appeared before U.S. Magistrate Judge David S. Cayer on Monday, October 4, 2021, and pleaded guilty to receiving and delivering a misbranded medication, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

Derrick L. Jackson, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General for the region including North Carolina, and Justin C. Fielder, Special Agent in Charge of the Food and Drug Administration, Office of Criminal Investigations (FDA-OCI), Miami Field Office, join Acting U.S. Attorney Stetzer in making today’s announcement.

Dr. Heroman is an ophthalmologist and the former owner of a now-closed ophthalmology clinic, Carolina Retina and Vitreous Consultants (CRVC). According to plea documents filed with the court, as early as September 2013, Dr. Heroman caused CRVC to order and receive an unapproved, foreign and cheaper drug which he used to treat patients with macular degeneration, instead of using Lucentis®, the medication approved by the Food and Drug Administration (FDA) for the treatment of the condition in the United States. As Dr. Heroman admitted in court yesterday, he purchased the foreign, unapproved medication because it cost less than the name brand Lucentis®. At the same time, Dr. Heroman caused CRVC to bill Medicare for the non-covered and non-reimbursable unapproved medication as if it were FDA-approved and kept the difference in price as profit.

In addition to pleading guilty to the criminal charge, Dr. Heroman and CRVC have also agreed to pay $450,000 to resolve the United States’ allegations that they violated the False Claims Act, when they knowingly submitted or caused to be submitted false claims for payment to Medicare related to the administration of unapproved medications. The claims resolved by the civil settlement are allegations only and there has been no determination of liability.

In making today’s announcement, Acting U.S. Attorney Stetzer said, “Dr. Heroman sought to increase his profit margins by using an unauthorized medication, potentially putting the health of his patients at risk. Together with our law enforcement counterparts, we will investigate and prosecute physicians who choose to fill up their pockets at the expense of their patients.”

“Physicians who provide non-FDA approved drugs to their patients unnecessarily place those in their care at risk,” said Special Agent in Charge Jackson. “Working with our law enforcement partners, our oversight agency will investigate such fraud schemes that threaten the health of patients and the integrity of federal health care programs.”

“U.S. patients rely on FDA oversight to ensure that the drugs and medical devices they use are safe and effective. Rogue health care professionals who obtain foreign unapproved medical products, and dispense and administer those products to their patients, put the health of those patients at significant risk,” said Special Agent in Charge Fielder. “We will continue to pursue and bring to justice those who choose to put the public’s health at such risk.”

A sentencing date for Dr. Heroman has not been set. The charge of receiving and delivering a misbranded medication carries a maximum penalty of a year in prison and a $1,000 fine.

In making today’s announcement, Acting U.S. Attorney Stetzer commended HHS-OIG and and FDA-OCI for their investigation of the case.

Assistant U.S. Attorney Michael Savage is prosecuting the criminal case. Assistant U.S. Attorney Katherine Armstrong is in charge of the civil proceedings.

 

CHARLOTTE, N.C. – Hudson Hamrick, 31, of Charlotte, appeared before U.S. Magistrate Judge David S. Cayer today and pleaded guilty to wire fraud, for executing a return scheme that defrauded Amazon of at least $290,000, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to plea documents and today’s hearing, from 2016 to 2020, Hamrick executed the return scheme by ordering expensive items through Amazon, such as electronics, guitars, tools, computers and other high-end consumer products, and then obtaining fraudulent refunds from the company by returning items that were significantly cheaper or broken. Hamrick also admitted to defrauding Amazon by obtaining replacement products for items he falsely claimed to have been lost or damaged, and then keeping the new items or reselling them online. Court documents show that Hamrick engaged in more than 300 fraudulent transactions that resulted in losses to the company of more than $290,000.

A sentencing date for Hamrick has not been set.  The wire fraud charge carries a maximum prison sentence of 20 years and a $250,000 fine.

In making today’s announcement, Acting U.S. Attorney Stetzer commended the FBI for their investigation of the case, and thanked Amazon for their cooperation in the investigation.

Assistant U.S. Attorney Maria Vento, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.

 

CHARLOTTE, N.C. – A federal indictment was unsealed in court today, charging two men and a woman for their involvement in a mail theft and bank fraud scheme, in which more than $2 million in stolen business checks were deposited into straw bank accounts, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS) which oversees Charlotte, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join Acting U.S. Attorney Stetzer in making today’s announcement.

According to allegations in the indictment, beginning in November 2020, Terrell Devon Freeman, 34, Joshua MacDavid Monteith, 31, and Yanalise Simone Hodge, 22, all of Charlotte, engaged in a bank fraud scheme involving stolen mail. As alleged in the indictment, the defendants and their co-conspirators stole business checks and other mail from U.S. Postal Service collection boxes and business mailboxes in Charlotte and elsewhere, and cashed the stolen checks using fraudulent identifications and straw bank accounts before the victim banks detected the fraud. The indictment alleges that the defendants and their co-conspirators executed the fraud scheme in North Carolina, South Carolina, Georgia and Virginia and defrauded at least seven financial institutions. The indictment further alleges that the total face value of the business checks stolen in the scheme was over $2 million.

The federal indictment was unsealed today, following Freeman’s arrest and scheduled court appearance in U.S. District Court in Atlanta, Georgia. Monteith and Hodge appeared before U.S. Magistrate Judge David S. Cayer last week, following their arrest by law enforcement in Charlotte.

The defendants are each charged with one count of bank fraud conspiracy and multiple individual counts of bank fraud, which carry a maximum penalty of 30 years in prison and a $1 million fine. Freeman and Hodge are also charged with aggravated identity theft, which carries a potential two-year prison sentence, consecutive to any other term imposed. 

The charges contained in the indictment are allegations.  The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement Acting U.S. Attorney Stetzer thanked USPIS and CMPD for their investigation of the case.

Assistant U.S. Attorney William T. Bozin, of the U.S. Attorney’s Office in Charlotte, is in charge of the prosecution.

CHARLOTTE, N.C. – Joel Michael Cliett, 45, of Taylorsville, N.C., was sentenced to 30 months in prison followed by three years of supervised release, for mailing a threatening communication, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. 

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS) join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s sentencing hearing, on August 21, 2020, Cliett sent a threatening communication via U.S. Mail to a state judge in Gaston County. In the letter, Cliett claimed he was wrongly convicted of a crime, and threatened to kill the state judge, the judge’s family, the District Attorney, and the 12 jurors who convicted him of the crime. Cliett further stated in the letter that, “With enough C-4 I can kill all of you through the mail.” Cliett also boasted in the letter that “There is nothing you can do to me.” Cliett sent the threatening letter while he was incarcerated at the Alexander Correctional Institution in Taylorsville, N.C.

Cliett pleaded guilty on May 13, 2021, to mailing a threatening communication. He is currently in federal custody. The sentence of imprisonment was ordered to run consecutive to the North Carolina state sentence he is currently serving associated with his prior state convictions.

The FBI and USPIS investigated the case. Assistant U.S. Attorney Mark Odulio, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

CHARLOTTE, N.C. – U.S. District Judge Frank D. Whitney sentenced Ricky Lewis Bush, 21, of Charlotte, to 78 months in prison late yesterday, for carjacking and gun charges, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  Judge Whitney also ordered Bush to serve three years under court supervision after completing his prison term and to pay restitution to the victim of the carjacking.

Acting U.S. Attorney Stetzer is joined in making today’s announcement by Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD).

According to filed court documents and the sentencing hearing, on the night of January 13, 2021, Ricky Lewis Bush and his co-defendant, Jontez Xavier McLeod, carjacked at gunpoint a female victim identified in court documents as C.K. Court records show that C.K. was exiting her vehicle which was parked at the parking lot of an apartment complex in Charlotte, when Bush and McLeod approached the victim. Bush pointed a firearm at the victim, and the two men grabbed the victim and pulled her from her vehicle. Bush and McLeod then got into the victim’s car and fled the scene, leaving the victim in the parking lot.

According to court documents, CMPD officers located the victim’s car. McLeod was driving the vehicle and Bush was in the front passenger seat. When officers attempted to stop the vehicle, the defendants sped off in an attempt to evade the police. CMPD officers pulled over the vehicle and arrested Bush and McLeod. Over the course of the investigation, CMPD officers recovered several videos from Bush’s cell phone, taken shortly before and after the carjacking. In one of the videos, Bush is holding the same firearm used in the carjacking. 

On November 12, 2020, Bush pleaded guilty to carjacking and brandishing a firearm during and in relation to a crime of violence. He is currently in federal custody. Upon designation of a federal facility, he will be transferred to the custody of the federal Bureau of Prisons.  

McLeod has also pleaded guilty for his role in the case and will be sentenced at a later date.

The ATF and CMPD investigated the case. Assistant U.S. Attorney Taylor G. Stout, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.

CHARLOTTE, N.C. – Today, U.S. District Judge Max O. Cogburn Jr. ordered Malik Eli Davis, 41, of Charlotte, to serve 15 years in prison and three years of supervised release for drug and gun charges, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  

Acting U.S. Attorney Stetzer is joined in making today’s announcement by Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD).

According to filed court documents and information at today’s sentencing hearing, in June 2019, CMPD officers learned that Davis was dealing cocaine from motel room in Charlotte. On June 29, 2019, law enforcement executed a search warrant at the motel room and Davis’s vehicle. Law enforcement recovered from the room cocaine, various material that indicated Davis was manufacturing crack cocaine, other drug paraphernalia, more than $2,800 in cash, and a loaded firearm. Court records show that law enforcement found in Davis’s vehicle a semi-automatic pistol loaded with a high capacity magazine and over $1,600 in cash.

Davis pleaded guilty on November 12, 2020, to possession with intent to distribute cocaine and possession of a firearm by a felon. Under the United States Sentencing Guidelines, Davis qualified for a sentencing enhancement due to his prior criminal convictions and was sentenced as an armed career criminal.

Davis is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon the designation of a federal facility. 

The investigation was handled by the ATF and CMPD.  The case was prosecuted by Assistant United States Attorney Christopher Hess of the U.S. Attorney’s Office in Charlotte.

CHARLOTTE, N.C. – Dyral Keith Shankle, 34, of Wadesboro, N.C., was sentenced to 78 months in prison today, followed by two years of supervised release, for a firearms offense, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

According to information contained in filed court documents and today’s sentencing hearing, on January 22, 2020, at approximately 11:00 p.m., Shankle drove his vehicle to a Wadesboro hospital emergency room. When Shankle arrived at the hospital, he got out of his vehicle and ran into the hospital holding a gun in his hand. Court records show that when the hospital security officer asked Shankle to hand over his gun, Shankle refused and claimed that “people were coming after him.” The security officer was eventually able to take the firearm, which was loaded with a high capacity magazine, after Shankle moved his finger off the trigger. Shankle was subsequently treated by hospital staff for a gunshot wound. Over the course of the investigation, law enforcement recovered two additional firearms that belonged to Shankle, ecstasy pills, marijuana and more than $10,000 in cash.  

In October 2020, Shankle pleaded guilty to possession of a firearm by a felon. He is currently in federal custody. Upon designation of a federal facility, he will be transferred to the custody of the federal Bureau of Prisons.  

In making today’s announcement, Acting U.S. Attorney Stetzer commended the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Wadesboro Police Department, and the Monroe Police Department for their investigation of the case. Acting U.S. Attorney Stetzer also thanked Anson County District Attorney Reece Saunders for his office’s coordination and assistance throughout the case.

Special Assistant U.S. Attorney Stephanie Spaugh, of the U.S. Attorney’s Office in Charlotte prosecuted the case.

 

CHARLOTTE, N.C. – A federal jury in Charlotte has convicted Sampson Pearson, 44, of Charlotte, of wire and tax fraud for defrauding his clients of more than half a million dollars, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. U.S. District Judge Max O. Cogburn Jr. presided over the three-day trial which ended late yesterday.

Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS), which oversees Charlotte, and Mona Passmore, and Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents, trial evidence, and witness testimony, from 2004 to 2016, Pearson was a representative for a financial services firm identified in court documents as Company A. In that capacity, Pearson offered and sold life insurance products and annuities as an independent contractor for Company A in Charlotte. As trial evidence established, Pearson used his position to defraud at least 10 victims and Company A of more than $570,000 through a fraudulent loan and disbursement scheme. Pearson executed the scheme by submitting falsified loan applications and requests for disbursements in the victims’ names without their knowledge and approval. Company A authorized the loans and disbursements based on the fraudulent documents submitted by Pearson. Pearson also directed Company A to deposit the fraudulently-obtained funds into an account controlled by the defendant. Pearson used the funds to pay for personal expenses and to fund his lifestyle. Evidence at trial showed that more than half of all the money the defendant had deposited into his bank account between 2011 and 2016 was money he stole from his victims. Evidence also established that Pearson made Ponzi-type payments to some of his victims to further perpetuate his fraud.

The government’s evidence further established that Pearson committed tax fraud for tax years 2013 through 2016, by filing fraudulent tax returns with the IRS that did not reflect the additional personal income.

The jury convicted Pearson of tax fraud, wire fraud and aggravated identity theft for using clients’ personally identifiable information (PII) to commit the wire fraud.

The wire fraud charge carries a maximum prison term of 20 years and a $250,000 fine. The statutory maximum penalty for filing a false tax return is three years in prison and a $100,000 fine. The aggravated identity theft charge carries a mandatory two-year sentence consecutive to any other prison term imposed. A sentencing date for Pearson has not been set. 

In making today’s announcement Acting U.S. Attorney Stetzer thanked USPIS and IRS-CI for their investigation of the case. 

Assistant U.S. Attorneys Maria Vento and Graham Billings of the U.S. Attorney’s Office in Charlotte are prosecuting the case.

 

CHARLOTTE, N.C. – A Georgia man is facing federal charges for an illegal kickback scheme that has defrauded the North Carolina Medicaid program of more than $4 million, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Specifically, a criminal bill of information charges Glenn Pair, 35, formerly of North Carolina now residing in Georgia, with conspiracy to commit Medicaid fraud and money laundering.

“The Medicaid program provides medical services to qualified North Carolinians in need of assistance. It’s not a piggy bank for cheats and fraudsters,” said Acting U.S. Attorney Stetzer. “The U.S. Attorney’s Office will hold accountable those who engage in get-rich-schemes that exploit government programs and deprive important resources from those in real need.”

“North Carolina’s Medicaid program is meant to help the most vulnerable people in our community. Anyone who thinks they can manipulate the system should know the FBI will work tirelessly to make sure they pay dearly,” said FBI Special Agent in Charge Robert R. Wells.

“IRS Criminal Investigation is committed to unraveling complex financial transactions and money laundering schemes where individuals attempt to conceal the true source of their money. Individuals who engage in this type of financial fraud should know they will not go undetected and will be held accountable,” said Acting Special Agent in Charge Mona Passmore for the Charlotte Field Office of Internal Revenue Service Criminal Division.

As alleged in the charging document, Pair was a partner and operator of Everlasting Vitality, LLC (EV) and Do-It-4-The Hood Corporation (D4H). From January 2016 through November 2018, Pair and his co-conspirators paid individuals to recruit at-risk youths, in particular children who were Medicaid eligible, for EV’s or D4H’s after-school and youth mentoring programs. Once enrolled, children were required to submit urine specimens for drug testing. Pair and his co-conspirators allegedly conspired with certain laboratories to perform the drug testing of the enrolled children’s urine specimens submitted and received kickbacks once the laboratories were reimbursed by the North Carolina Medicaid.

            Pair and his conspirators also allegedly conspired to defraud North Carolina Medicaid by providing client information used by certain laboratories to file other fraudulent reimbursement claims. For example, on some occasions, Pair and his co-conspirators obtained personal identifying information (PII) of D4H clients, such as names, addresses, dates of birth, and Medicaid beneficiary numbers, which the laboratories used to submit drug testing claims to the North Carolina Medicaid that were fraudulent because, among other reasons, the drug tests were not medically necessary, or the urine specimens were not of the Medicaid beneficiaries under whose names they were submitted. Once the laboratories were reimbursed by North Carolina Medicaid, they paid companies under the control of Pair and others a percentage of the Medicaid reimbursements.

As the bill of information alleges, the drug testing laboratories involved in the scheme submitted over $16 million in fraudulent claims to Medicaid and received $4 million in reimbursements, of which they paid more than $1.5 million in illegal kickbacks to Pair and his co-conspirators.

Pair is the second defendant charged in the scheme. Pair’s co-conspirator, Markuetric Stringfellow, was sentenced in February 2021 to 78 months in prison and was ordered pay $5,278,550 in restitution for his role in the conspiracy.

In making today’s announcement Acting U.S. Attorney Stetzer thanked the FBI, IRS-Criminal Investigations and the North Carolina Medicaid Investigations Division for their investigation of the case.

Assistant U.S. Attorney Michael E. Savage, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.

A bill of information is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

* * *

The Department of Justice announced today criminal charges against 138 defendants for their alleged participation in various healthcare fraud schemes that resulted in approximately $1.4 billion in alleged losses. Nationwide, the charges target approximately $1.1 billion in fraud committed using telemedicine, $29 million in COVID-19 health care fraud, $133 million connected to substance abuse treatment facilities, or “sober homes,” and $160 million connected to other health care fraud and illegal opioid distribution schemes across the country.

“This nationwide enforcement action demonstrates that the Criminal Division is at the forefront of the fight against health care fraud and opioid abuse by prosecuting those who have exploited health care benefit programs and their patients for personal gain,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “The charges announced today send a clear deterrent message and should leave no doubt about the department’s ongoing commitment to ensuring the safety of patients and the integrity of health care benefit programs, even amid a continued pandemic.”

The Justice Department’s press release regarding the nationwide enforcement action can be viewed at: https://www.justice.gov/opa/pr/national-health-care-fraud-enforcement-action-results-charges-involving-over-14-billion.

 

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that Travis Shaqwann Fair, 31, of Asheville, has pleaded guilty to illegal possession of a firearm.Fair’s trial was scheduled to begin today before Chief U.S. District Judge Martin Reidinger. Just prior to jury selection, Fair elected instead to enter a guilty plea which was accepted by Judge Reidinger.

Fair’s girlfriend and co-defendant, Kourtney Nichelle Shivers, 29, of Asheville, has already pleaded guilty to making a false statement in connection with the acquisition of a firearm.

According to filed plea documents and today’s court hearing, on June 10, 2019, Fair visited a licensed firearms dealer in Asheville. Fair, who has a prior criminal conviction and is prohibiting from purchasing or possessing firearms, consulted with a store employee about purchasing a “cheap” firearm. The store employee showed Fair several firearms, including a 9mm firearm. Fair left the store shortly thereafter. According to court documents, a short while later, Shivers entered the same store and purchased the same firearm Fair had recently examined. As she previously admitted in court, over the course of the transaction, Shivers falsely certified on the required forms that she was the actual buyer of the firearm, when, in reality, she was a straw purchaser who bought the handgun at Fair’s request and for his use. Court records show that Fair provided Shivers with the funds to purchase the firearm, which she agreed to do, even though Shivers was aware that Fair was prohibited from possessing a firearm. Shivers later transferred the firearm to Fair.

Fair is currently in federal custody. The charge to which Fair has pleaded guilty carries a maximum penalty of ten years in prison. The statutory maximum penalty for Shivers’ offense is five years in prison.  Both defendants are awating sentencing.

* * *

Charges are also pending against three other individuals on charges related to the straw purchase of firearms.

In July 2021, a federal grand jury indicted Margaret Amanda Garmon, 36, of Charlotte, in connection with the straw purchase of a firearm from a federally licensed dealer of firearms. The indictment alleges that Garmon purchased the firearm for her co-defendant, Caleb Tharon Jefferson, 32, also Charlotte. The same indictment also charges Jefferson with possession of a firearm by a felon.

On August 17, 2021, Nyema Nakuay Cropper, 30, of Charlotte, was charged for allegedly straw purchasing a firearm from a licensed firearms dealer, falsely certifying on federal forms that Cropper was the actual buyer of the firearm, a statement she allegedly knew to be false.

“Straw purchasing firearms is a violation of our federal gun laws,” said Acting U.S. Attorney Stetzer. “We must stop the flow of illegal guns in our communities, and that includes prosecuting straw purchasers who knowingly buy firearms for individuals prohibited from possessing them in the first place.”

“Purchasing a firearm for someone prohibited from possessing a firearm is illegal and can be a serious threat to public safety,” said ATF Special Agent in Charge Vince Pallozzi. “Straw purchases put firearms in the wrong hands. ATF, along with our law enforcement partners, is committed to preventing illegal firearms purchases and holding those who endanger our communities accountable.” 

In making today’s announcement, Acting U.S. Attorney Stetzer commended the ATF for their investigative efforts into straw firearms buyers, and thanked the Asheville Police Department for their invaluable assistance in Fair and Shivers’ case.

The charges against Garmon, Jefferson, and Cropper are allegations. The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.

The U.S. Attorney’s Office in Asheville is in charge of Fair and Shivers’ prosecution.

                                                                                                       

ASHEVILLE, N.C. – A federal jury in Asheville convicted Shane McKinley Swimmer, 21, of Cherokee, N.C., of second degree murder late yesterday, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Chief U.S. District Judge Martin Reidinger presided over the three-day trial. 

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Josh Taylor of the Cherokee Indian Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents, trial evidence, and witness testimony, on November 10, 2018, Swimmer and his uncle, Charles Ray “Chino” West, were at his uncle’s residence on Rocky Knob Trail in Swain County, which is within the boundaries of the Eastern Band of Cherokee Indians reservation. Trial evidence established that shortly before 7:00 p.m., Swimmer attacked his uncle with a baseball bat, striking the victim in the head at least nine times. The victim died as a result of his injuries. Following the attack, Swimmer went to another family member’s house nearby and announced that the victim was dead before calling 911. Officers with the Cherokee Indian Police Department arrested Swimmer shortly thereafter.

Swimmer remains in federal custody.  The second degree murder charge carries a statutory maximum penalty of life in prison. A sentencing date for Swimmer has not been set.

In making today’s announcement Acting U.S. Attorney Stetzer thanked the FBI and the Cherokee Indian Police Department for their investigation of the case. 

The case is being prosecuted by Assistant U.S. Attorney John Pritchard and Special Assistant U.S. Attorney (SAUSA) Alexis Solheim of the U.S. Attorney’s Office in Asheville. Ms. Solheim is a state prosecutor with the office of the 30th Prosecutorial District and was assigned by District Attorney Ashley Welch to serve as SAUSA with the U.S. Attorney’s Office in Asheville. Ms. Solheim is duly sworn in both state and federal courts. The SAUSA position is a reflection of the partnership between the office of the 30th Prosecutorial District and the United States Attorney’s Office. The SAUSA position helps ensure the effective and vigorous prosecution of federal court cases that impact the counties within the 30th Prosecutorial District. 

CHARLOTTE, N.C. – Today, Chief U.S. District Judge Martin Reidinger sentenced Lillian Elaine Brady, 53, Cherokee, N.C., to 10 years in prison and five years of supervised release for trafficking methamphetamine, fentanyl and other narcotics, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Asheville Post of Duty, and Chief Joshua Taylor of the Cherokee Indian Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.

According to court records and today’s sentencing hearing, in April 2020, law enforcement learned that Brady was a major supply source of methamphetamine and other narcotics in and around Cherokee. Over the course of the investigation, law enforcement executed a search warrant at Brady’s residence, seizing methamphetamine, fentanyl, heroin, oxycodone, morphine, and marijuana, drug paraphernalia, $3,725 in cash, a loaded firearm, and ammunition. On February 17, 2021, Brady pleaded guilty to possession with intent to distribute controlled substances.

* * *

In a separate case, Judge Redinger sentenced Brandy Michelle Fohmann, 32, of Arden, N.C., to seven years in prison today, followed by four years of supervised release for trafficking fentanyl in Henderson and Buncombe Counties. Court records in this case show that, between April and July 2020, Fohmann sold fentanyl on multiple occasions, including to an undercover law enforcement officer. On July 14, 2020, law enforcement seized from Fohmann’s residence and vehicles fentanyl, two loaded firearms, drug paraphernalia and more than $4,900 in drug proceeds. According to filed plea documents, Fohmann admitted to selling fentanyl daily and engaging in 10 to 15 drug transactions per day.  On April 21, 2021, Fohmann pleaded guilty to distribution of fentanyl, and possession with intent to distribute fentanyl.

In announcing Fohmann’s sentence, Acting U.S. Attorney Stetzer thanked the DEA in Asheville, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the North Carolina State Bureau of Investigation, the Henderson County Sheriff’s Office, and the Hendersonville Police Department for their investigation of the case. Assistant U.S. Attorney Thomas Kent, of the U.S. Attorney’s Office in Asheville, prosecuted both cases.

# # #

CHARLOTTE, N.C. – Michael Guzman, 43, of Denver, N.C., was sentenced today to 54 months in prison and two years of supervised release for defrauding his former employer of more than $4 million, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. U.S. District Judge Kenneth D. Bell also ordered Guzman to pay $4.1 million in restitution.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to court records, plea documents and today’s sentencing hearing, from June 2019 to May 2020, Guzman executed a scheme to defraud his employer, identified in court documents as Company A, of more than $4 million, by improperly auctioning off Company A’s assets and funneling the proceeds through shell companies he formed. Company A is a large equipment rental company headquartered in Fort Mill, S.C., that rents out on-road and off-road machinery for construction and other purposes. Guzman worked for Company A as a Fleet Operations Manager, and was responsible for, among other things, the disposal of aged equipment, also known as assets.

Court records show that, during the relevant time period, Guzman arranged for approximately 398 assets of Company A to be auctioned off through an online auction house that buys and sells used heavy construction equipment. To perpetuate the fraud, Guzman represented to the auction house that the assets were owned by Guzman’s shell companies, when in fact the majority of the assets were still owned by Company A. In his capacity as a Fleet Operations Manager, Guzman was able to hide the scheme from Company A by manipulating internal company records.

According to filed court documents, Guzman arranged for the proceeds of the sales to be sent to a bank account under his control and used the money to buy a condominium in South Carolina, a plot of land in New York, an RV vehicle, a boat, and multiple cars and trucks.

On May 20, 2021, Guzman pleaded guilty to wire fraud and money laundering. He will be ordered to report to the federal Bureau of Prisons upon to begin serving his sentence designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the FBI for their investigation.

Assistant U.S. Attorney Maria Vento, of the U.S. Attorney’s Office in Charlotte prosecuted the case.

ASHEVILLE, N.C. – Chief U. S. District Judge Martin Reidinger handed down a lengthy sentence today to a Hendersonville, N.C., man convicted of trafficking cocaine, fentanyl, prescription pills and other narcotics in and around Henderson County, announced Acting U.S. Attorney William T. Stetzer.  

On December 9, 2020, Eric Charles Butler, 57, pleaded guilty to two counts of possession with intent to distribute narcotics, for which he was charged separately by federal criminal indictments. Today, Judge Reidinger ordered Butler to serve 17 years in prison for each count of conviction, to be served concurrently, and to remain under court supervision for six years upon completion of the prison term. As a result of Butler’s multiple prior drug convictions, the Court sentenced him as a career offender.   

Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Asheville Post of Duty, Sheriff Lowell S. Griffin of the Henderson County Sheriff’s Office (HCSO), and Chief Blair Myhand of the Hendersonville Police Department (HPD) join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and court records, on August 10, 2019, a Henderson County Sheriff’s Office deputy conducted a traffic stop after determining Butler was driving a vehicle with a revoked registration. Over the course of the traffic stop, Butler attempted to flee the scene on foot. Butler was apprehended shortly thereafter by two HCSO deputies, one of whom was deputy Ryan Hendrix. Deputy Hendrix was killed in the line of duty on September 10, 2020. Court records show that the deputies recovered from Butler’s person narcotics, including MDMA, methamphetamine, cocaine, and morphine, as well as digital scales and other drug paraphernalia, and over $6,800 in cash from his vehicle. Butler was charged with state drug charges and was released on bond.

On February 16, 2020, while Butler was on pretrial release on state offenses, an officer with the Hendersonville Police Department attempted to stop the vehicle Butler was driving for a traffic violation. Butler did not comply and sped away, in an attempt to evade the police. A vehicle pursuit followed and, when Butler’s vehicle became stuck on the road, Butler attempted to flee on foot through the nearby woods. Police officers ultimately located Butler and he was arrested. Over the course of the investigation into that incident, law enforcement recovered methamphetamine, Xanax, oxycodone, cocaine and fentanyl, which Butler possessed with the intent to distribute. Butler was charged with state charges for Trafficking in Meth and Fleeing to Elude Arrest in a Motor vehicle.

In May 2020, while Butler was still on pre-trial release on the aforementioned state offenses, law enforcement learned that Butler was continuing to traffic narcotics. On May 12, 2020, law enforcement located Butler driving a vehicle with a suspended license. When the officers attempted to stop Butler’s vehicle, Butler sped off and once again attempted to evade law enforcement. Butler was ultimately apprehended following a vehicle pursuit during which Butler drove recklessly through a busy residential area. Law enforcement were able to intercept Butler’s vehicle and he was ultimately apprehended. Over the course of the investigation, law enforcement recovered nearly half a kilogram of powdered cocaine, fentanyl, oxycodone pills, crack cocaine, and other drug paraphernalia.

Butler is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer commended the Henderson County Sheriff’s Office, the Hendersonville Police Department, and the DEA in Asheville for their investigation of this case.

Assistant U.S. Attorney Tom Kent, of the U.S. Attorney’s Office in Asheville, prosecuted the case.  

CHARLOTTE, N.C. – Raymond Baucom, 39, of Charlotte, was sentenced today to 25 years in prison for receipt of child pornography, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  U.S. District Judge Max O. Cogburn Jr. also ordered Baucom to serve a lifetime of supervised release and to register as a sex offender after he is released from prison.

Chief Johnny Jennings of the Charlotte Mecklenburg Police Department joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to court documents and information introduced at the sentencing hearing, law enforcement became aware that, between December 2017 and October 2018, an individual later identified as Baucom was using the internet to download child pornography. During a search of Baucom’s residence in Charlotte, law enforcement retrieved Baucom’s cell phone. A forensic analysis of the cell phone revealed that Baucom possessed 58 videos and 950 images of child pornography, some of which depicted the sadistic and masochistic sexual abuse of prepubescent minors. Court records also show that some of the images and videos contained identified victims of 40 different known series of child pornography. 

In 2002, Baucom was convicted in Mecklenburg County of Indecent Liberties with a Child and was sentenced to a probationary term, which was later revoked for failing to register as a sex offender.

Baucom pleaded guilty to receipt of child pornography on September 16, 2020. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. 

CMPD investigated the case. Assistant U.S. Attorney Alfredo De La Rosa of the U.S. Attorney’s Office in Charlotte 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 the Criminal Division’s Child Exploitation and Obscenity Section (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 www.projectsafechildhood.gov.

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that a multi-agency investigation into methamphetamine trafficking and illegal firearm possession in Western North Carolina has led to federal drug and gun charges filed against 25 individuals.

On Sunday, August 15, 2021, teams of federal, state and local law enforcement arrested 19 of those charged. Two additional defendants currently in state custody will be transferred to federal custody to face their charges. Four defendants have not been arrested yet.

In making today’s announcement, Acting U.S. Attorney Stetzer commended the Drug Enforcement Administration (DEA) in Asheville, the Bureau of Alcohol, Tobacco Firearms and Explosives (ATF), the North Carolina State Bureau of Investigation, the Haywood County Sheriff’s Office, the Swain County Sheriff’s Office, the Jackson County Sheriff’s Office, the Buncombe County Sheriff’s Office, the Waynesville Police Department, the Maggie Valley Police Department, and the Canton Police Department for their investigative efforts which led to the federal charges and arrests. Acting U.S. Attorney Stetzer also thanked the U.S. Marshals Service, the Bureau of Indian Affairs, the North Carolina Department of Public Safety Division of Community Corrections, the McDowell County Sheriff’s Office, the Henderson County Sheriff’s Office, the Madison County Sheriff’s Office, the Rutherford County Sheriff’s Office, and the Asheville Police Department for their invaluable assistance in effectuating the arrests.

The criminal indictments, which were returned by a grand jury on August 3, 2021, and were unsealed today in federal court, are the result of a coordinated yearlong joint law enforcement investigation into drug trafficking activity and illegal firearm possession in and around Buncombe, Jackson, and Haywood Counties. Over the course of the investigation, which began in April 2020 and wrapped up in May 2021, law enforcement seized methamphetamine, more than a dozen illegally possessed firearms, various types of ammunition, and more than $12,000 in drug proceeds.

The first criminal indictment charges 23 defendants with conspiracy to distribute and to possess with intent to distribute methamphetamine. Of those charged, some face additional drug and/or firearms offenses (see chart below for list of federal charges for each defendant and maximum statutory penalties). The 23 individuals named in the indictment are:

• Rebecca Lynn Barker, 49, of Clyde, N.C. (arrested)
• Robert Allan Burnette, 59, of Canton, N.C. (arrested)
• Angela Vance Carver, 47, of Canton, N.C. (arrested)
• Derek Michael Cluff, 23, of Waynesville, N.C. (arrested)
• Marcus Brandon Cobaugh, 29, of Canton, N.C. (arrested)
• Lindsay Nicole Cobb, 27, of Burke County, N.C. (not arrested yet)
• David Hunter Creson, 26, of Waynesville, N.C. (arrested)
• William Joseph Craig, 43, of Candler, N.C. (arrested)
• Arthur Shane Douville, 31, of Waynesville, N.C. (arrested)
• Jaime Gamez, 38, of Canton, N.C. (arrested)
• Justin Caroll Gibson, 28, of McDowell County, N.C. (arrested)
• Jane Ivison Gill, 43, of Blythewood, S.C. (arrested)
• Sarah Jane Gill, 22, of Blythewood, S.C. (arrested)
• Roberto Illerma Ibarra, 39, of Norcross, Georgia (not arrested yet)
• Elizabeth Gabrielle Mann, 28, of Canton, N.C. (arrested)
• Jose Andres Martinez, 25, of Waynesville, N.C. (in state custody)
• Keith Allen McMahan, 37, of Waynesville, N.C. (not arrested yet)
• Nicholas Ray Miller, 33, of Canton, N.C. (arrested)
• Ryan Warren Muster, 27, of Sylva, N.C. (in state custody)
• Kelly Woodrow Ross, 60, of Waynesville, N.C. (arrested)
• Richard Anthony Swanger, 48, of Clyde, N.C. (arrested)
• Christy Helen Trull, 33, of Canton, N.C. (arrested)
• Michael Kevin Vanlandingham, 61, of Canton, N.C. (arrested)

A second criminal indictment resulting from the investigation charges Joseph Daniel Perry, 30, of Candler, N.C. with two counts of distribution of methamphetamine. Perry has not been arrested yet. Daniel Guadalupe Martinez, 23, of Waynesville, N.C. is also charged separately with possession of an unregistered firearm and two counts of possession of a firearm by a convicted felon via a third indictment. Martinez was arrested on Sunday.

The defendants apprehended during the round up remain in federal custody, following their initial court appearance today in Asheville before U.S. Magistrate Judge W. Carleton Metcalf.

The charges contained in the indictments are allegations.  The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. 

Assistant U.S. Attorney Thomas Kent of the U.S. Attorney’s Office in Asheville is leading the prosecution.

This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts, and dismantles criminal organizations using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

 

Case No. 1:21-cr-70

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

1) REBECCA LYNN BARKER

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

24

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

25

Possession of Firearms in Furtherance of a Drug Trafficking Crime

Mandatory minimum of 5 years imprisonment (consecutive to the sentence on a drug count); maximum fine of $250,000; and maximum of 5 years of supervised release

2) ROBERT ALLAN BURNETTE        a/k/a “Mater”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

5

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

6

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

7

Possession of a Firearm in Furtherance of a Drug Trafficking Crime

Mandatory minimum of 5 years imprisonment (consecutive to the sentence on a drug count); maximum fine of $250,000; and maximum of 5 years of supervised release

3) ANGELA VANCE CARVER

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

5

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

 

27

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

4) DEREK MICHAEL CLUFF

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

17

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

5) MARCUS BRANDON COBAUGH

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

31

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

6) LINDSAY NICOLE COBB            a/k/a “Lou”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

32

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

7) DAVID HUNTER CRESON

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

26

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

8) WILLIAM JOSEPH CRAIG           a/k/a “Joey”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 15 years imprisonment; maximum of Life imprisonment; maximum fine of $20,000,000; and at least 10 years of supervised release

 

DEFENDANT

COUNTY

CHARGE

STATUTORY PENALTIES

 

5

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 15 years imprisonment; maximum of Life imprisonment; maximum fine of $20,000,000; and at least 10 years of supervised release

 

8

Distribution of a Controlled Substance

Maximum of 30 years imprisonment; maximum fine of $2,000,000; and at least 6 years of supervised release

 

13

Distribution of a Controlled Substance

Maximum of 30 years imprisonment; maximum fine of $2,000,000; and at least 6 years of supervised release

 

14

Distribution of a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

 

15

Distribution of a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

 

16

Distribution of a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

 

27

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

 

38

Possession with Intent to Distribute a Controlled Substance

Maximum of 30 years imprisonment; maximum fine of $2,000,000; and at least 6 years of supervised release

9) ARTHUR SHANE DOUVILLE

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

28

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

10) JAIME GAMEZ

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

 

2

Possession with Intent to Distribute a Controlled Substance

Maximum of 30 years imprisonment; maximum fine of $2,000,000; and at least 6 years of supervised release

 

12

Possession with Intent to Distribute a Controlled Substance

Maximum of 30 years imprisonment; maximum fine of $2,000,000; and at least 6 years of supervised release

 

18

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $8,000,000; and at least 8 years of supervised release

11) JUSTIN CAROL GIBSON            a/k/a “Baby Face”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

9

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

10

Possession of Firearms in Furtherance of a Drug Trafficking Crime

Mandatory minimum of 5 years imprisonment (consecutive to the sentence on a drug count); maximum fine of $250,000; and maximum of 5 years of supervised release

 

11

Being a Felon in Possession of Firearms and Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

12) JANE IVISON GILL

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

22

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

 

24

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

13) SARAH JANE GILL

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

26

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

14) ROBERTO ILLERMA IBARRA      a/k/a “Chico”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

28

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

15) ELIZABETH GABRIELLE MANN   a/k/a “Gabby”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

31

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

16) JOSE ANDRES MARTINEZ         a/k/a “Andy”

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 15 years imprisonment; maximum of Life imprisonment; maximum fine of $20,000,000; and at least 10 years of supervised release

 

30

Being a Felon in Possession of a Firearm and Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

 

32

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 15 years imprisonment; maximum of Life imprisonment; maximum fine of $20,000,000; and at least 10 years of supervised release

 

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

 

33

Possession of a Firearm in Furtherance of a Drug Trafficking Crime

Mandatory minimum of 5 years imprisonment (consecutive to the sentence on a drug count); maximum fine of $250,000; and maximum of 5 years of supervised release

 

34

Being a Felon in Possession of a Firearm and Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

17) KEITH ALLEN McMAHAN

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

28

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

18) NICHOLAS RAY MILLER

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

32

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

35

Being a Felon in Possession of a Firearm and Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

 

36

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

37

Being a Felon in Possession of Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

19) RYAN WARREN MUSTER

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

 

4

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

29

Distribution of a Controlled Substance

Maximum of 20 years imprisonment; maximum fine of $1,000,000; and at least 3 years of supervised release

20) KELLY WOODROW ROSS

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Maximum of 20 years imprisonment; maximum fine of $1,000,000; and at least 3 years of supervised release

 

3

Possession with Intent to Distribute a Controlled Substance

Maximum of 20 years imprisonment; maximum fine of $1,000,000; and at least 3 years of supervised release

21) RICHARD ANTHONY SWANGER

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

19

Possession with Intent to Distribute a Controlled Substance

Maximum of 20 years imprisonment; maximum fine of $1,000,000; and at least 3 years of supervised release

 

20

Possession of Firearms in Furtherance of a Drug Trafficking Crime

Mandatory minimum of 5 years imprisonment (consecutive to the sentence on a drug count); maximum fine of $250,000; and maximum of 5 years of supervised release

 

23

Possession with Intent to Distribute a Controlled Substance

Maximum of 20 years imprisonment; maximum fine of $1,000,000; and at least 3 years of supervised release

22) CHRISTY HELEN TRULL

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

 

27

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

32

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 10 years imprisonment; maximum of Life imprisonment; maximum fine of $10,000,000; and at least 5 years of supervised release

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

23) MICHAEL KEVIN VANLANDINGHAM

1

Conspiracy to Distribute and to Possess with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

21

Possession with Intent to Distribute a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

Case No. 1:21-cr-71

 

 

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

DANIEL GUADALUPE MARTINEZ

1

Being a Felon in Possession of a Firearm

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

 

2

Being a Felon in Possession of Firearms and Ammunition

Maximum of 10 years imprisonment; maximum fine of $250,000; and maximum of 3 years of supervised release

 

3

Possession of an Unregistered Firearm

Maximum of 10 years imprisonment; maximum fine of $10,000; and maximum of 3 years of supervised release

 

Case No. 1:21-cr-72

 

DEFENDANT

COUNT

CHARGE

STATUTORY PENALTIES

JOSEPH DANIEL PERRY

1

Distribution of a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

2

Distribution of a Controlled Substance

Mandatory minimum of 5 years imprisonment; maximum of 40 years imprisonment; maximum fine of $5,000,000; and at least 4 years of supervised release

 

 

 

ASHEVILLE, N.C. – Chief U.S. District Judge Martin Reidinger sentenced today Jason Michael Miles, 37, of Forest City, N.C., to 132 months in prison for receipt of child pornography, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Miles was ordered to serve a lifetime of supervised release and to register as sex offender after his incarceration.

Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in North Carolina, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to admissions contained in plea documents and today’s sentencing hearing, on February 24, 2018, New Zealand investigators became aware that an individual later identified as Miles was utilizing the username “PURSEANON” to post pictures of children to a foreign image website. Court records show that Miles had posted approximately 15 photos albums containing images of young girls secretly taken in public places. One of the albums, titled “GIRL AT CVS,” contained information that helped investigators determine the images were taken a CVS store located in Morganton, N.C.

According to court documents, on February 25, 2018, New Zealand investigators began undercover communications with Miles, during which Miles expressed his interest in children and distributed files containing depictions of the sexual abuse of children to the undercover investigator. After law enforcement determined Miles’ identity, the investigation was transferred to the HSI office in Hendersonville, N.C. On May 31, 2018, HSI agents executed a search warrant at Miles’ residence in Rutherford County. During the execution of the search warrant, law enforcement seized multiple electronic devices. An analysis of the seized devices revealed that Miles had an extensive library of child pornography that contained more than 7,193 images and videos depicting the sexual abuse of children, including infants and toddlers.

Court records show that while Miles was serving in the U.S. Air Force, he was convicted of two counts of Indecent Liberties With a Child Under Age 16 and was sentenced to four years in prison. As a result of that conviction, Miles was also ordered to register as sex offender for a period of 30 years.

Miles pleaded guilty to receipt of child pornography on February 24, 2021. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. 

In making today’s announcement, Acting U.S. Attorney Stetzer commended HSI for their investigation of the case.

Special Assistant U.S. Attorney (SAUSA) Alexis Solheim, with the U.S. Attorney’s Office in Asheville, prosecuted the case. Ms. Solheim is a state prosecutor with the office of the 43rd Prosecutorial District and was assigned by District Attorney Ashley Welch to serve as a SAUSA with the U.S. Attorney’s Office in Asheville. Ms. Solheim is duly sworn in both state and federal courts. The SAUSA position is a reflection of the partnership between the office of the 43rd Prosecutorial District and the United States Attorney’s Office. 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice, aimed at combating the growing online sexual exploitation of children.  By combining resources, federal, state and local agencies are better able to locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue those victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that Mitchell Glenn Bell, 45, of Monticello, Kentucky, was sentenced to 226 months in prison and five years of supervised release, for possession with intent to distribute methamphetamine. Chief U.S. District Judge Martin Reidinger presided over the hearing.

Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Asheville Post of Duty, and Sheriff Chip Hall of the Jackson County Sheriff’s Office, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to information in filed court documents and today’s sentencing hearing, on November 7, 2018, a deputy with the Jackson County Sheriff’s Office attempted to conduct a traffic stop of the motorcycle Bell was riding following a traffic violation. Court records show that after Bell pulled over to the side of the road and the deputy exited his vehicle to approach the motorcycle, Bell sped away. Law enforcement located the abandoned motorcycle shortly thereafter and began to search for Bell in the nearby woods. The defendant was located and placed under arrest. At that time, deputies also recovered from the woods Bell’s backpack, which contained more than five kilograms of methamphetamine, digital scales, other drug paraphernalia, ammunition, over $11,500 in cash, and multiple fake driver’s licenses.

On January 11, 2021, Bell pleaded guilty to possession with intent to distribute methamphetamine. He is currently in federal custody and will be transferred to custody of the federal Bureau of Prisons upon designation of a federal facility. 

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the DEA and the Jackson County Sheriff’s office for their investigation.

Assistant U.S. Attorney John Pritchard, of the U.S. Attorney’s Office in Asheville, prosecuted the case.

 

CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that James Edward Massey, 27, of Charlotte, was sentenced to 10 years in prison and three years of supervised release by U.S. District Judge Kenneth D. Bell, for the robbery of a Circle K convenience store.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD), join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and statements made in court, on August 24, 2020, at approximately 4:04 a.m., Massey approached the Circle K convenience store located at 4801 Central Avenue, in Charlotte. Inside the Circle K were a store employee and a vendor making a delivery. Court records show that the store employee saw Massey standing outside and unlocked the front door, thinking that Massey was a customer. Massey entered the store brandishing a semi-automatic handgun, pointed the firearm at the store employee and ordered him to hand over cash from the register. Massey threatened to shoot the employee and the vendor if the employee did not comply. The employee handed Massey approximately $70 from the register and Massey fled the scene on foot.

On August 27, 2020, CMPD’s Armed Robbery Unit received two Crime Stopper tips identifying Massey as the suspect in the Circle K robbery. Following an investigation, law enforcement arrested Massey in connection with robbery of the convenience store.

On April 16, 2021, Massey pleaded guilty to conspiracy to commit Hobbs Act Robbery and Hobbs Act Robbery.

Massey is currently in custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. 

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the FBI and CMPD for handling the investigation. Assistant U.S. Attorney Christopher Hess, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

 

 

CHARLOTTE, N.C. – U.S. District Judge Robert J. Conrad Jr. sentenced to prison today Deonte Marques Curry, 27, and Trevon Gregory Ricks, 26, both of Charlotte, for the attempted armed robbery of Mr. C’s Original Soul Food restaurant, during which a victim sustained multiple gunshot injuries, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Judge Conrad ordered Curry to serve 10 years in prison and three years of supervised release. Ricks was sentenced to five years in prison, followed by two years of supervised release. 

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD), join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s sentencing hearing, on March 5, 2020, at approximately 12:00 p.m., Curry and Ricks attempted to rob Mr. C’s Original Soul Food restaurant, located at 3726 North Tryon Street, in Charlotte. Court records show that Ricks and Curry entered the restaurant through a rear access door, and ordered an employee working in the kitchen area to get on the ground. The employee complied and the two robbers headed toward the front of the restaurant. Upon entering the front area, Curry pointed a loaded 9mm pistol equipped with an extended magazine at the restaurant owner and demanded his wallet. While the owner put his hands up, another individual, identified in court documents as M.C., tackled Curry in an attempt to disrupt the robbery. A struggle ensued and Curry fired his pistol several times, striking M.C. in the chest, stomach, left arm and right hand. Ricks fled the scene, while the restaurant owner continued to struggle with Curry, until CMPD police officers arrived and arrested Curry at the scene. Ricks was apprehended nearby shortly thereafter.

In September 2020, both Curry and Ricks pleaded guilty to conspiracy to commit Hobbs Act Robbery and attempted Hobbs Act Robbery and aiding and abetting. They are currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the FBI and CMPD for their investigation of the case.

Assistant U.S. Attorney Christopher Hess, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.

 

CHARLOTTE, N.C. – Today, U.S. District Judge Robert J. Conrad, Jr., handed down prison sentences of up to 25 years to three cocaine traffickers, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina

Judge Conrad sentenced the defendants as follows:

• Anthony Tommy Foster, 45, of Mokena, Illinois, was sentenced to 25 years in prison, followed by 10 years of supervised release. A federal jury convicted Foster in December 2020, of conspiracy to distribute and to possess with intent to distribute cocaine and possession with intent to distribute cocaine and aiding and abetting. As a result of Foster’s prior federal drug trafficking and other state convictions, the Court sentenced him as a career offender.
   
• Reynaldo Padilla, 48, of Chicago, Illinois, was sentenced to 15 years in prison, followed by 10 years of supervised release. Padilla pleaded guilty to drug trafficking conspiracy and possession with intent to distribute cocaine. Padilla also received an enhanced sentence due to a prior federal drug trafficking conviction.

• Alejandro Miguel Padilla, 35, of Chicago, Illinois, was sentenced to 24 months in prison, followed by two years of supervised release. He pleaded guilty to drug trafficking conspiracy and possession with intent to distribute cocaine.

According to filed court documents, trial evidence and statements made in court, the defendants were involved in a cocaine trafficking conspiracy operating in and around Gaston County. Court records show that on June 29, 2020, Reynaldo Padilla and Alejandro Padilla met with Foster in Belmont, N.C., after arranging the purchase of 20 kilograms of cocaine. According to court records, at that meeting, Foster handed Reynaldo Padilla a duffel bag that contained $500,000 in cash and Alejandro Padilla drove with Reynaldo Padilla to exchange the money for the drugs. According to trial evidence, the defendants intended to make future purchases of 100 to 200 kilograms of cocaine, per transaction.

All three defendants have been in federal custody since June 2020.  They will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked Ronnie Martinez, Special Agent in Charge of ICE’s Homeland Security Investigations (HSI) in North Carolina; Chief Chad Hawkins of the Belmont Police Department; Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department (CMPD); Chief Joseph D. Ramey of the Gaston County Police Department; Chief Travis Brittain of the City of Gastonia Police Department; Chief Don Roper of the Mt. Holly Police Department; and Michael Eiss of the Waxhaw Police Department for their respective agencies’ investigative efforts and coordination in this case.

Assistant U.S. Attorney Steven R. Kaufman, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.           

CHARLOTTE, N.C. – On Thursday, August 5, 2021, U.S. District Robert J. Conrad, Jr. sentenced Kane Kileal Lamont Moore, 26, of Charlotte, to 96 months in prison, followed by three years of supervised release, on felon in possession of a firearm charges, announced Acting U.S. Attorney William T. Stetzer.

Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and the sentencing hearing, between May and June 2019, Moore sold two firearms to undercover ATF agents and was involved in the sale or attempted sale of additional firearms. Court records show that Moore was previously convicted of Breaking and Entering, Common Law Robbery, and Attempted Common Law Robbery, and he is prohibited from possessing firearms. On July 24, 2020, Moore pleaded guilty to two counts of possession of a firearm by a felon.

Moore is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the ATF and CMPD for their investigation of the case.

Assistant U.S. Attorney David Kelly of the U.S. Attorney’s Office in Charlotte prosecuted the case.

 

CHARLOTTE, N.C. – Kamlesh Gopal Pardasani, 50, formerly of Waxhaw, N.C., was sentenced today to 33 months in prison for orchestrating an $845,000 investment scheme, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, U.S. District Judge Robert J. Conrad also ordered Pardasani to serve three years of supervised release and to pay $880,000 in restitution.  

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s court proceedings, from August 2016 to June 2017, Pardasani executed a scheme to defraud at least seven victims of at least $845,000, by inducing the victims to invest in his company, FreightGuru.com LLC (FreightGuru). Court documents show that Pardasani induced his victims to invest their money by falsely representing that he would use the investors’ money to fund a specific shipment of goods, and that, once the shipment cleared, the victims’ return rate on their initial investment would be between 15% and 20%. Pardasani further lied to victims by falsely assuring them that their funds were secure and safe, when in fact he used the victims’ money to fund his lifestyle, pay off personal creditors, and to engage in high-risk securities trading in his personal trading account. After failing to invest the victims’ funds as promised, Pardasani continued to make additional false and fraudulent representations to lull victims and provided excuses for failing to return the victims’ money. 

Pardasani was arrested in January 2020, at the Philadelphia International Airport upon entering the United States from India. In July 2020, Pardasani pleaded guilty to wire fraud.

The FBI’s Charlotte Field Office led the investigation. Assistant U.S. Attorney Caryn Finley of the U.S. Attorney’s Office in Charlotte prosecuted the case.

CHARLOTTE, N.C. – Eleven members of a methamphetamine trafficking ring have been ordered to serve prison sentences ranging from 36 months to 210 months for federal drug conspiracy charges, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

According to filed court documents and court proceedings, from 2018 to April 2019, the co-defendants were involved in a drug conspiracy that trafficked and distributed methamphetamine in Catawba, Lincoln, Caldwell, and Alexander Counties and elsewhere in Western North Carolina. Over the course of the multi-agency investigation, law enforcement seized at least 23 firearms, and more than $250,000 in drug proceeds.

The 11 defendants, each of whom previously pleaded guilty conspiracy to distribute and to possess with intent to distribute methamphetamine, were sentenced by U.S. District Judge Kenneth D. Bell on Wednesday, August 4, and Thursday, August 5, 2021, as follows: 

• Kimberly Deann Bumgarner, 56, of Claremont, N.C., was sentenced to 60 months in prison and two years of supervised release. In addition to the conspiracy charge, Bumgarner also pleaded guilty to possession with intent to distribute methamphetamine.
• Ruth Marie Dugger, 38, of Claremont, N.C., was sentenced to 132 months in prison and five years of supervised release. Duggar also pleaded guilty to possession with intent to distribute methamphetamine.
• Aaron Douglas Goodson, 30, of Maiden, N.C., was sentenced to 210 months in prison and five years of supervised release. Goodson also pleaded guilty to possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime.
• Tiffany Christmas Hirani, 34, of Monroe, Georgia, was sentenced to 210 months in prison and five years of supervised release.
• Priscilla Chapman Lambert, 34, of Hickory, N.C., was sentenced to 151 months in prison and five years of supervised release.
• Brian Duane Martz, 42, was sentenced to 191 months in prison and five
  years of supervised release.
• Lowell Thomas Messer, 44, of Newton, N.C., was sentenced to 120 months in prison and five years of supervised release. Messer also pleaded guilty to two counts of possession with intent to distribute methamphetamine.
• Jason Keith Reichard, 39, of Newton, N.C., was sentenced to 36 months in prison and three years of supervised release.
• Cynthia Roxanne Shook, 35, of Catawba, N.C., was sentenced to 60 months in prison and two years of supervised release. Shook also pleaded guilty to possession with intent to distribute methamphetamine.

• Thomas Dewayne Simmons, Jr., 35, of Snellville, Georgia, was sentenced to 150 months in prison and five years of supervised release. Simmons also pleaded guilty to possession with intent to distribute methamphetamine.

• Samantha Jean Taylor, 26, of Newton, N.C., was sentenced to 120 months in prison and five years of supervised release.

Three other members of the conspiracy have pleaded guilty for their participation in the drug conspiracy. James Kristoffer Cantley, Jonathan Corey Daniel, and Michael James Notheisen, have pleaded guilty to conspiracy to distribute and to possess with intent to distribute methamphetamine and distribution and possession with intent to distribute methamphetamine. Cantley and Notheisen have also each pleaded guilty to possession of a firearm in furtherance of a drug trafficking crime. A sentencing date for Cantley, Daniel and Notheisen has not been set.

In making today’s announcement Acting U.S. Attorney Stetzer thanked the following agencies for their investigative efforts: the DEA in Charlotte, Asheville, and Atlanta; the North Carolina State Bureau of Investigation; the North Carolina State Highway Patrol; the Catawba County Sheriff’s Office; the Newton Police Department; the Conover Police Department; the Maiden Police Department; the Hickory Police Department; the Longview Police Department; the Caldwell County Sheriff’s Office; the Granite Falls Police Department; the Lincoln County Sheriff’s Office; the Cleveland County Sheriff’s Office; the Huntersville Police Department; the Cornelius Police Department; the Mint Hill Police Department; the Pineville Police Department; the Charlotte Mecklenburg Police Department; the Monroe Police Department; the Taylorsville Police Department; the Gaston County Police Department; the Georgia Highway Patrol; the Franklin County Sheriff’s Office in Georgia; the Georgia Bureau of Investigation; the Georgia Department of Corrections; the Clayton County Sheriff’s Office in Georgia; and the Commerce Police Department in Georgia.

Assistant U.S. Attorney Christopher Hess, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.                                                      

 

CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that Maurice Rakestraw, 31, of Charlotte, was sentenced to 264 months in prison for carjacking and related firearms offenses. In addition to the prison term imposed, U.S. District Judge Robert J. Conrad Jr. also ordered Rakestraw to serve five years under court supervision upon his release.

Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, and Chief Johnny Jennings of the Charlotte Mecklenburg Police Department (CMPD) join Acting U.S. Attorney Stetzer in making today’s announcement.

According to court documents and evidence presented at Rakestraw’s sentencing hearing, on December 5, 2019, Rakestraw was a passenger in a vehicle that was stopped by CMPD officers. Over the course of the traffic stop, Rakestraw fled from the scene on foot until he encountered his carjacking victims in a parking lot of an apartment complex. Court documents show that Rakestraw approached the two adult victims, pointed a firearm at one of them and threatened to kill him if he did not give Rakestraw his car. Rakestraw sped off in the stolen vehicle with the victims’ baby still secured in the car seat. Approximately six minutes later, Rakestraw crashed the stolen vehicle into a trailer being pulled by a truck and flipped the vehicle onto its roof.  According to evidence presented at the sentencing hearing, Rakestraw crawled out of the car and ran away from the crash scene, leaving the baby in the overturned vehicle. The occupants of the truck were able to pry the vehicle’s door open and remove the baby from the car seat.

According to court documents, CMPD officers encountered Rakestraw shortly thereafter, walking along a sidewalk. An officer attempted to take Rakestraw into custody but Rakestraw fled into nearby woods. Rakestraw was apprehended after he was located in the schoolyard of Merry Oaks International Elementary. Officers also located Rakestraw’s firearm nearby in the woods. Over the course of the investigation, law enforcement determined that Rakestraw had stolen the firearm during a domestic violence assault two days prior.

In November 2020, Rakestraw pleaded guilty to carjacking, possession and brandishing of a firearm in furtherance of a crime of violence, possession of a firearm by a felon, and stealing a firearm. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

Assistant United States Attorneys David Kelly and Erik Lindahl handled the prosecution.

* * *

Earlier this week, in an unrelated armed carjacking case, Judge Conrad ordered Kshune Jackson, 23, and Blaine Cook, 23, both of Charlotte, to serve 125 months in prison each, for taking a car at gunpoint from two victims in Charlotte on January 16, 2020. At the time of this federal offense, Jackson and Cook were both on state post-release supervision after having served prison sentences for armed robbery. Acting U.S. Attorney Stetzer thanked Homeland Security Investigations and CMPD for their investigation of this case, which was prosecuted by Assistant U.S. Attorney David Kelly.

CHARLOTTE, N.C. – A Catawba County man who robbed two Hickory-area businesses at gunpoint in March 2020 was sentenced on Wednesday, August 4, 2021, to 162 months in prison, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Lester Deontae Lackey, 30, of Newton, N.C., was also ordered to serve three years under court supervision after he is released from prison. The Honorable Kenneth D. Bell presided over the sentencing hearing.

Vincent C. Pallozzi, Special Agent in Charge of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Charlotte Field Division, Sheriff Alan C. Jones, of the Caldwell County Sheriff’s Office, and Chief Thurman Whisnant of the Hickory Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents, and statements made in court, on March 21, 2020, at 11:55 p.m., Lackey robbed a Speedway Store located 1835 Hwy 70 SE in Hickory, N.C. Upon entering the store, Lackey pointed a rifle at a store clerk and demanded money. The store clerk complied and handed Lackey $300 in cash and Lackey fled the scene. Court records show that two days later, on March 23, 2020, at approximately 1:50 p.m., Lackey entered a CVS Pharmacy located at 2259 12th Avenue, in Hickory. As with the previous robbery, upon entering the pharmacy Lackey pointed a rifle at the store’s shift manager and another employee and demanded money. The shift manager handed Lackey approximately $252 in cash and Lackey fled the scene. At the time of the robbery, there were multiple customers inside the pharmacy who managed to flee to the rear of the store.

According to court records, law enforcement quicky identified Lackey’s getaway vehicle and a Hickory police officer located Lackey who was still in the Hickory area. Law enforcement attempted to stop Lackey’s vehicle but Lackey proceeded to attempt to evade the police. A pursuit by multiple law enforcement agencies ensued which lasted approximately 30 minutes. During the pursuit, Lackey traveled into Caldwell County and back into the Long View area of Catawba County. Law enforcement arrested Lackey after his vehicle collided with a power pole and Lackey attempted to flee on foot.

On December 4, 2020, Lackey pleaded guilty to Hobbs Act robbery, which is the robbery of a business engaged in interstate commerce, and possession of a firearm in furtherance of the robbery. 

Lackey is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In announcing the sentence, Acting U.S. Attorney Stetzer thanked the ATF, the Caldwell County Sheriff's Office, the Hickory Police Department and the North Carolina Highway Patrol for their investigation of the case.

Assistant U.S. Attorney Christopher Hess handled the prosecution.   

CHARLOTTE, N.C. – Joseph E. Stasney, a/k/a Buddy Stasney, 59, of Denver, N.C., appeared before U.S. District Judge Kenneth D. Bell today and pleaded guilty to wire fraud, for executing a fraudulent auto loan scheme to obtain in excess of $250,000 from a financial institution, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. 

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation, Charlotte Office and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed plea documents and today’s court hearing, Stasney was the owner of Buddy Stasney Buick GMC, Inc., (later named Buddy Stasney Automotive, Inc.), a used car dealership located in Lincolnton, N.C. Between February and December 2015, Stasney engaged in an auto loan scheme in which he fraudulently obtained money from a financial institution by submitting falsified loan applications on behalf of his victim-customers. As he admitted in court today, Stasney executed the loan scheme in a number of ways. After negotiating the sale of vehicles with prospective customers, Stasney fraudulently submitted loan applications on behalf of the customers that contained misrepresentations regarding the current status and terms of the transactions and loans, or submitted loan applications on behalf of customers who were not aware a loan application had been submitted in their name. In some instances, customers were falsely told their loan had not been processed when in fact it had. In other instances, Stasney defrauded customers who were refinancing loans by falsely telling them that the proceeds of their new loans had been used to pay off their existing loans, when, in fact, Stasney never paid off the customers’ prior auto loans and the victims remained obligated for those loans.

According to court documents, once the fraudulent loan proceeds were deposited into the car dealership’s bank account, Stasney diverted the funds and used a portion to pay for expenses unrelated to his business. Stasney admitted to defrauding the financial institution of more than $250,000, as a result of the fraudulent scheme.

Stasney was released on bond following his guilty plea. The maximum statutory penalty for the wire fraud charge is 20 years in prison and a $250,000 fine. 

In making today’s announcement, Acting U.S. Attorney Stetzer commended the FBI and USPIS for leading the investigation, and thanked the North Carolina Department of Motor Vehicles for their invaluable assistance.

Assistant U.S. Attorneys Caryn Finley and Graham Billings, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case. 

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced that John Paul Cook, 57, of Alexander, N.C. appeared before U.S. Magistrate Judge W. Carleton Metcalf on Monday, July 19, 2021, and pleaded guilty to defrauding the U.S. Department of Veterans Affairs (the VA) by receiving nearly $1 million in veteran benefits based on fraudulent claims of service-connected disabilities. 

Kim Lampkins, Special Agent in Charge of the Mid-Atlantic Field Office, Washington, D.C., of the U.S. Department of Veterans Affairs, Office of Inspector General (VA-OIG), joins Acting U.S. Attorney Stetzer in making today’s announcement.

According to the criminal indictment, filed plea documents and admissions made in court, Cook enlisted in the United States Army (the Army) in November 1985. Court documents show that six months later Cook sustained an accidental injury while on duty. Following the incident, Cook complained that as a result of the accident and injuries he sustained, a preexisting eye condition had worsened. In 1987, following a medical evaluation, Cook was discharged, placed on the retired list, and began receiving VA disability-based compensation at a rate of 60%. Over the next 30 years, Cook’s disability-based compensation increased, following Cook’s repeated false claims of increased visual impairment and unemployability due to “severe visual deficit.” As Cook admitted in court, in 2005, based on his claims of severe visual impairment, the VA declared Cook legally blind and he began receiving disability-based compensation at the maximum rate. Cook also began to receive additional benefits, including Special Monthly Compensation (an extra monetary allowance paid to a qualifying veteran due to the severity of his disability), Specially Adapted Housing (a grant that goes toward paying for adaptations in a new home), and Special Housing Adaptation (a grant that goes toward remodeling an existing home). 

According to court records, Cook’s monthly VA disability payments in 1987 were $1,411 per month. With the incremental increases in his disability rating, as well as cost-of-living adjustments and his Special Monthly Compensation, these payments steadily increased over the years. By 2016, the monthly payment had risen to $3,990.  In total, from 1987 through 2017, Cook received approximately $978,138 in VA disability payments due to his claimed blindness, to which he was not lawfully entitled. 

According to admissions reflected in plea documents, contrary to Cook’s filed claims with the VA for additional disability claims and his complaints of increased visual impairment, Cook repeatedly passed vision screening tests to renew or obtain a driver’s license in North and South Carolina. Furthermore, during the relevant time period, court documents show that Cook purchased and registered over 30 different motor vehicles which Cook routinely drove, including on long-distance trips and to perform errands. Court records further show that, from 2010 to 2016, during a time period that Cook was receiving maximum VA disability benefits for his visual impairment, Cook was actively involved with the Boy Scouts of America (BSA), including serving as a Den Leader and a Cubmaster. Among the courses the defendant completed with the BSA were courses qualifying him to be a range officer for BB guns and for archery. He was also certified for land navigation, which involves reading maps and using a compass. 

The charge of stealing from the VA carries a maximum penalty of 10 years in prison and a $250,000 fine. A sentencing date for Cook has not been set.

In making today’s announcement Acting U.S. Attorney Stetzer thanked the VA-OIG for their investigation of the case. 

Assistant U.S. Attorney Richard Edwards of the U.S. Attorney’s Office in Asheville is in charge of the prosecution.

 

A federal jury convicted two men Wednesday for their roles in a $4.5 million telemarketing scheme that defrauded victims in the United States from a call center in Costa Rica.  

According to court documents and evidence presented at trial, Manuel Chavez, 30, of Miami, Florida, and Mark Oman, 36, of Long Beach, Washington, participated in a fraudulent telemarketing scheme in which co-conspirators, who falsely posed as U.S. government officials, contacted victims in the United States to tell them that that they had won a substantial “sweepstakes” prize. After convincing victims, many of whom were elderly, that they stood to receive a significant financial reward, the co-conspirators told victims that they needed to make a series of up-front payments before collecting their supposed prize, purportedly for items such as taxes, customs duties and other fees. Co-conspirators used a variety of means to conceal their true identities, including Voice over Internet Protocol technology, which made it appear as though they were calling from Washington, D.C., and other locations in the United States. Chavez helped to transmit victims’ payments from the United States to Costa Rica, while Oman worked at the fraudulent call center soliciting victims and also collected victim funds in Costa Rica, according to the evidence presented at trial. Chavez, Oman, and their co-conspirators stole approximately $4.5 million from victims, the evidence showed. 

Chavez and Oman were each convicted of one count of conspiracy to commit mail and wire fraud, six counts of wire fraud, one count of conspiracy to commit international money laundering and six counts of international money laundering. Sentencing has not yet been set by U.S. District Court Judge Max O. Cogburn Jr. of the Western District of North Carolina, who presided over the trial. Each defendant faces a maximum penalty of 20 years in prison per count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney William T. Stetzer of the U.S. Attorney’s Office for the Western District of North Carolina; Inspector in Charge Tommy Coke of the U.S. Postal Inspection Service’s (USPIS) Atlanta Division; Special Agent in Charge Bryant Jackson of the IRS Criminal Investigation’s (IRS-CI) Cincinnati Field Office; and Special Agent in Charge Robert Wells of the FBI’s Charlotte Field Office made the announcement.

The USPIS, IRS-CI, and FBI investigated the case.

Trial Attorneys Della Sentilles and Joshua DeBold of the Criminal Division’s Fraud Section are prosecuting the case.

If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 7 days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.

CHARLOTTE, N.C. – A federal jury in Charlotte returned a guilty verdict late yesterday against Ron McQuay Garland, 38, of Charlotte, for his role in a string of armed robberies and attempted armed robberies, and related firearms offenses, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. U.S. District Judge Kenneth D. Bell presided over the three-day trial.

Acting U.S. Attorney Stetzer is joined in making today’s announcement by Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department.

According to filed court documents, witness testimony and evidence presented at trial, on August 19, 2019, Garland, robbed at gunpoint a Zaxby’s fast food restaurant, located at 8905 Albemarle Road in Charlotte. Garland entered the restaurant while brandishing a black semiautomatic pistol at the employees. Garland ordered an employee to open the cash register and took approximately $1,000 in cash. Garland subsequently fled the scene with a co-defendant.  According to trial evidence, on September 21, 2019, Garland robbed a Family Dollar store located at 4130 Rozzelles Ferry Road, in Charlotte. As witnesses testified, Garland entered the store and brandished a handgun at a store employee. Garland then forced the employee to open the register and Garland stole approximately more than $1,000 before fleeing.

According to court documents and trial evidence, Garland also attempted to rob two other Charlotte area businesses. On August 21, 2019, Garland attempted to rob an Arby’s fast food restaurant, located at 2501 Little Rock Road in Charlotte. Garland entered the restaurant, pointed a handgun at the employees and demanded money from the cash register. Garland was unable to open the register but took an employee’s cell phone before fleeing the scene with a co-defendant. On February 11, 2020, Garland also attempted to rob a Jack-in-the-Box restaurant, located at 10121 North Tryon Street in Charlotte. Garland pointed a firearm at an employee who was taking out the trash and attempted to enter the restaurant, first through the back door and then through the front door but was ultimately unsuccessful. Garland stole a wallet from a customer in the parking lot after eventually abandoning the attempted robbery. Garland fled the scene with a co-defendant and was apprehended early the next morning by the FBI and CMPD.   

The jury convicted Garland of two counts of robbery of a business affecting interstate commerce, or “Hobbs Act” Robbery, and two counts of attempted Hobbs Act Robbery, for which the maximum prison term is 20 years per count; two counts of possession of a firearm during and in relation to a crime of violence, which carry a maximum penalty of life in prison, per count; and one count of felon in possession of a firearm which carries a maximum penalty of 10 years in prison. A sentencing date has not been set.

Garland’s co-defendant, Chan Tate, previously pleaded guilty to aiding and abetting three counts of Hobbs Act or attempted Hobbs Act Robbery and is currently awaiting sentencing.

The investigation was handled by the FBI’s Violent Crimes Task Force and CMPD. 

Assistant U.S. Attorneys William Bozin and Taylor Stout of the of the U.S. Attorney’s Office in Charlotte are in charge of the prosecution.

 

CHARLOTTE, N.C. – James Wesley Safrit, 33, of Newport, N.C. was sentenced today by U.S. District Judge Frank D. Whitney to 120 months in prison for the online enticement of a minor, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.  Judge Whitney also ordered Safrit to register as a sex offender and to serve 25 years under court supervision after he is released from prison.

Acting U.S. Attorney Stetzer is joined in making today’s announcement by Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division.

According to court documents and today’s court proceedings, between January 9 and January 21, 2020, Safrit used MeetMe, a social networking application, to engage in multiple communications with an FBI undercover employee posing as a minor. Court records show that, during these communications, Safrit discussed his interest in engaging in sexual contact with the minor and made arrangements to meet the minor. Law enforcement arrested Safrit in Matthews, N.C., when he arrived at the agreed-upon location to meet with the person Safrit thought was a 14-year-old boy, for the purpose of engaging in sexual activities. Safrit pleaded guilty on June 19, 2020, to enticement of a minor using a means and facility of interstate commerce.

In imposing today’s sentence, Judge Whitney noted that “this type of criminal conduct is unacceptable and will be punished severely.”

Safit is currently in federal custody and he will be transferred to custody of the Federal Bureau of Prisons upon designation of a federal facility. 

The investigation was led by the FBI. Assistant U.S. Attorney Mark T. Odulio, of the U.S. Attorney’s Office in Charlotte 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 the Criminal Division’s Child Exploitation and Obscenity Section (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 www.projectsafechildhood.gov.

CHARLOTTE, N.C. B Mayuresh Suresh Iyer, 26, of Matthews, N.C. was sentenced today to 14 years in prison for distributing child pornography on Discord, a popular messaging platform, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the sentenced imposed, U.S. District Judge Frank D. Whitney also ordered Iyer to pay a $35,000 special assessment, serve 25 years of supervised release, pay restitution to the victims of his offense, and to register as a sex offender after he is released from prison.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.

According to court documents and information introduced at the sentencing hearing, in October 2019, law enforcement received information that an individual later identified as Iyer was using his Discord user account to distribute child pornography. Discord is a popular free application that allows users to communicate with each other via voice and video calls and text messaging, and to share media files through private chats or communities referred to as “servers.”

Law enforcement executed a search warrant at Iyer’s residence and seized multiple electronic devices, including two external hard drives. A forensic analysis of those devices revealed that Iyer possessed an extensive collection of child pornography, including over 800 videos and approximately 14,147 images of children engaging in sexually explicit conduct. Some of the child pornography in Iyer’s possession depicted prepubescent minors being abused through sadistic, masochistic and other violent conduct. In September 2020, Iyer pleaded guilty to distributing and attempting to distribute child pornography.

Acting U.S. Attorney Stetzer thanked the FBI and CMPD for their investigation of this case. Assistant U.S. Attorney Mark T. Odulio of the U.S. Attorney’s Office in Charlotte was in charge of the prosecution.

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice, aimed at combating the growing online sexual exploitation of children. By combining resources, federal, state and local agencies are better able to locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue those victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov

CHARLOTTE, N.C. – Lisa Buza Hill, 41, of Belmont, N.C., appeared before U.S. Magistrate Judge David S. Cayer today and pleaded guilty to wire fraud and making false statements for embezzling more than $570,000 from two companies that employed her, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. Hill was previously convicted of stealing more than $800,000 from a third company where she was employed. 

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI) in Charlotte, and Chief Johnny Jennings, of the Charlotte-Mecklenburg Police Department (CMPD), are joining Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and court proceedings, in 2012, Hill, also known as Lisa Rollins-Hill, was convicted of federal wire fraud after she admitted to stealing more than $800,000 from her then-employer, a motorcycle company headquartered in Kings Mountain, N.C. At the time, Hill was ordered to serve a five-month probationary term, three years of supervised release and to pay $807,506.39 in restitution to the victim company.

In July 2020, the U.S. Attorney’s Office filed new charges against Hill, for embezzling funds from a Charlotte-based company where Hill worked as a Controller. According to court documents filed in this case, from September 2019 to February 2020, and while still paying restitution for the 2012 embezzlement scheme, Hill misused her access to her employer’s financial system, including her authority to issue company checks, and defrauded the company by fraudulently issuing herself approximately 15 company checks totaling over $22,000. During this time, Hill also made false statements to the U.S. Attorney’s Office’s attempts to collect court-ordered restitution owed by Hill in connection with her 2012 conviction.

In June 2021, while Hill’s criminal charges for the fraudulent check scheme were still pending, a federal bill of information was also filed against Hill, charging her with embezzling more than $550,000 from her latest employer, a development company located in Rock Hill, S.C., identified in court documents as Company A. According to court documents, from May 2020 to January 2021, Hill was employed by Company A as the Chief Financial Officer (CFO). As the CFO, Hill had access to the company’s bank accounts, and her duties included the ability to make payments on behalf of the company. As court documents show, Hill misused her position and access to the company’s financial records to make unauthorized payments to herself, including to make transfers from Company A’s accounts to pay for Hill’s personal expenses. In total, Hill transferred more than $550,000 in authorized funds from Company A for her personal benefit. As Hill admitted in court today, Hill used the embezzled funds to make payments for a BMW vehicle, to pay for a trip to Disney World, to make mortgage payments and to settle misuse of funds allegations from previous employers.

Hill is in federal custody. A sentencing date has not been set.

The FBI and CMPD conducted the investigations into Hill. Assistant U.S. Attorney Jenny G. Sugar of the U.S. Attorney’s Office in Charlotte is in charge of Hill’s prosecution.

 

ASHEVILLE, N.C. – Siva K. Durbesula, 29, of India, who was convicted by a jury of abusive sexual contact aboard an airplane, was sentenced to two years in prison late yesterday. In addition to the prison term imposed, Chief U.S. District Judge Martin Reidinger ordered Durbesula to serve 10 years of supervised release and to pay a $5,000 assessment. 

Acting U.S. Attorney William T. Stetzer and M. Rhett DeHeart, Acting U.S. Attorney for the District of South Carolina, are joined by Robert R. Wells, Special Agent in Charge for the FBI in Charlotte, in making today’s announcement.

According to filed court documents, witness testimony, and evidence presented at trial, on June 23, 2019, Durbesula was a passenger aboard a flight from Chicago O’Hare to Myrtle Beach, S.C. Over the course of the flight, Durbesula sexually assaulted a 22-year-old female who was seated next to him. As the victim testified at trial, Durbesula pulled her toward him and groped her repeatedly midflight. Court records show that after the flight crew moved Durbesula away from the victim, Durbesula asked to return to his previous seat so he could speak to the victim again.

During trial, prosecutors also presented the testimony of a second victim, who testified that on March 21, 2019 – approximately three months prior to the assault on the airplane – Durbesula pinned her into the corner on a New York City subway train and groped her.  The victim was able to video record Durbesula’s exiting the train, which assisted the New York Police Department to identify Durbesula and charge him. Those charges were still pending when Durbesula sexually assaulted the victim on the airplane that resulted in federal charges.

The case was originally indicted in the District of South Carolina and was later transferred to the Western District of North Carolina. In announcing today’s sentence, Judge Reidinger handed Durbesula the statutory maximum prison term for the offense, noting that the defendant’s repeated sexual misconduct over a short period of time required the maximum statutory punishment to promote respect for the law.

Durbesula is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorneys Stetzer and DeHeart commended the FBI and the Horry County Police Department for their investigation of the case, and thanked Homeland Security Investigations (HSI) for their invaluable assistance.

Assistant U.S. Attorneys Don Gast, of the U.S. Attorney’s Office for the Western District of North Carolina in Asheville, and Derek A. Shoemake, of the U.S. Attorney’s Office for the District of South Carolina in Florence, prosecuted the case.

CHARLOTTE, N.C. – Western District of North Carolina Acting U.S. Attorney William T. Stetzer and Montana Acting U.S. Attorney Leif M. Johnson announced today that Wilburn Jonathan Wilson, 26, of Hickory, N.C. was sentenced to 132 months in prison and five years of supervised release on federal drug and gun charges. U.S. District Judge Kenneth D. Bell presided over the hearing.

According to filed court documents and today’s sentencing hearing, in 2016, Wilson was convicted in North Carolina of possession of a stolen firearm. As a result of that conviction, Wilson is prohibited from possessing firearms or ammunition. According to court records, in March 2020, law enforcement learned that Wilson was selling firearms illegally in and around Catawba County. Court records show that, between March and July 2020, Wilson sold 26 illegal firearms, including rifles, shotguns and handguns, and hundreds of rounds of ammunition. During the same time period, Wilson also possessed and distributed methamphetamine in the Hickory area.

According to court records, in April 2020, law enforcement in Montana conducted a traffic stop of the vehicle Wilson was driving for excessive speeding. Law enforcement executed a search warrant and seized from Wilson’s vehicle narcotics, a semi-automatic rifle with a full 30 round magazine, and two 12-gauge shotgun shells. Subsequently, Wilson was charged by the U.S. Attorney’s Office for the District of Montana with federal firearm violations.

In November 2020, Wilson pleaded guilty to possession of a firearm by a felon and distribution and possession with intent to distribute methamphetamine in connection with his federal case in the Western District of North Carolina. In March 2021, Wilson pleaded guilty to possession of a firearm by a prohibited person, after the federal case pending against Wilson in Montana was transferred to the Western District of North Carolina.  

Wilson is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement, Acting U.S. Attorney Stetzer thanked the U.S. Attorney’s Office for the District of Montana for its continued coordination and assistance in this case, and commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the North Carolina State Bureau of Investigation, the Montana Highway Patrol, the Catawba County Sheriff’s Office, the Stillwater County Sheriff’s Office in Montana, the Hickory Police Department, and the Long View Police Department for their investigation of the case.

Assistant U.S. Attorney Christopher Hess of the U.S. Attorney’s Office in Charlotte was in charge of Wilson’s prosecution in North Carolina. Wilson’s case in Montana was handled by Assistant U.S. Attorney Brendan P. McCarthy of the U.S. Attorney’s Office in Billings.

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced that six individuals have been indicted on federal charges as a result of federal and local law enforcement efforts to reduce gun violence in Asheville.

Led by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) in partnership with the Asheville Police Department, the local initiative aimed at identifying repeat offenders who illegally possess firearms and/or engage in the distribution of narcotics in the Asheville area.

As a result of this proactive investigation the following six individuals have been charged as follows:

• Andre Ravon Payton, 34, of Asheville, is charged with illegal possession of a firearm and ammunition by a convicted felon, possession of a firearm by an unlawful user of a controlled substance, possession with intent to distribute fentanyl, crack cocaine, and marijuana, and possession of a firearm in furtherance of a drug trafficking crime.
• Daton Tahvian Dapre Alen-Long, 21, of Asheville, is charged with illegal possession of a firearm and 18 rounds of ammunition by a convicted felon, possession with intent to distribute fentanyl, and possession of a firearm in furtherance of a drug trafficking crime.
• Kalon Jamar Logan, 24, of Swannanoa, N.C. is charged with illegal possession of a firearm and 25 rounds of ammunition by a convicted felon.
• Jacob Keith Hall, 31, of Asheville, is charged with illegal possession of a firearm and 25 rounds of ammunition by a convicted felon.
• Juve Markie Lequan McAlpin, 20, of Asheville, is charged with illegal possession of a firearm and 15 rounds of ammunition by a convicted felon.
• Akeem Kwaman McDay, 30, of Asheville, is charged with illegal possession of a firearm and 58 rounds of ammunition by a convicted felon.
   

The charges contained in the indictments are allegations. The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement Acting U.S. Attorney Stetzer commended the ATF and the Asheville Police Department for their joint investigation that led to the charges and thanked the North Carolina Department of Public Safety for their invaluable assistance.

Assistant U.S. Attorney John Pritchard of the U.S. Attorney’s Office in Asheville is in charge of the prosecution for the government.

These cases are being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime.  Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them.  As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

 

ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced that Johnny Jermaine Davis, 37, of Kennesaw, Georgia, who is charged with robbing two Asheville area banks, was arrested by the FBI today in Georgia.

Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Chief David Zack of the Asheville Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.

According to the filed criminal complaint, on February 25, 2021, at approximately 3:02 p.m., an individual later identified as Davis entered a BB&T bank branch located at 1653 Hendersonville Road in Asheville and approached the teller area. The charging document alleges that Davis pulled a handgun, pointed it at a bank teller, yelled “Don’t move,” and then jumped behind the counter. Davis then allegedly ordered three bank employees to lie down on the ground, as he began taking cash from the bank’s drawers. Davis allegedly proceeded to flee the scene with $8,950 in cash.

According to allegations in court documents, on May 20, 2021, at approximately 4:46 p.m., Davis entered the Wells Fargo bank branch located at 800 Merrimon Avenue, in Asheville. As with the previous robbery, Davis allegedly approached the teller counter, pointed a firearm at a bank teller, jumped over the counter and ordered the bank employees to lie down on the ground. Allegedly, Davis then emptied the bank’s cash drawers and fled the scene with $831 in cash.

The criminal complaint charges Davis with bank robbery, which carries a maximum penalty of 20 years in prison and a $250,000 fine.

The charges contained in the criminal complaint are allegations, and the defendant is innocent until proven guilty beyond reasonable doubt in a court of law.

In making today’s announcement, Acting U.S. Attorney Stetzer commended the FBI and the Asheville Police Department for their investigation of the case, and thanked the Hendersonville Police Department, the Acworth Police Department and the Rome Police Department in Georgia for their invaluable assistance.

Assistant United States Attorney, Don Gast, of the U.S. Attorney’s Office in Asheville is prosecuting the case.

 

CHARLOTTE, N.C. – A federal jury convicted Chukwudi Michael Okwara, 40, of Charlotte, for his involvement in a Business Email Compromise (BEC) scheme that defrauded at least six companies of approximately $2 million. William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina, announced today that Okwara had been convicted at trial of 27 counts of money laundering, false statements to banks, and aggravated identity theft.

A business email compromise scheme, or BEC, is a sophisticated scam, often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or “spoofing” legitimate business email accounts through social engineering or computer intrusion techniques, to cause employees of the victim company (or other individuals involved in legitimate business transactions) to transfer funds to accounts controlled by scammers.

According to trial evidence, witness testimony and documents filed with the court, beginning in November 2018, Okwara, who also goes by “Collins Bird” and “Larry Eugene Coleman,” used fake documents to open multiple money mule bank accounts. Money mule bank accounts are accounts used by fraudsters as a pass-through means of moving fraudulently obtained funds. As trial evidence established, Okwara used the money mule accounts to receive and launder the proceeds of BEC scams perpetrated on at least six victim companies totaling $2 million. According to evidence presented at trial, the money mule accounts opened by Okwara were initially funded with relatively small deposits. Victims of the BEC schemes located throughout the United States were then tricked by scammers to wire large amounts of funds into these accounts. Within days of receipt of the fraudulent wires, Okwara used false and stolen identities and conducted financial transactions with the fraudulently obtained proceeds in order to conceal their origins, including to make large cash withdrawals, purchase official checks, and send wires to other bank accounts under his control. 

Okwara’s money laundering convictions carry a maximum sentence of 20 years and a $500,000 fine per count; the five counts of conducting financial transactions with illegal proceeds carry a maximum prison sentence of 10 years and a $250,000 fine per count; the two counts of submitting false documents to banks carry a maximum prison term of 30 years and a $1,000,000 fine per count; and the two counts of aggravated identity theft carry a mandatory minimum sentence of two years in prison, per count, to be served consecutively to any other sentence imposed.

Okwara is currently in federal custody. A sentencing date has not been set.

In making today’s announcement, Acting U.S. Attorney Stetzer commended the investigating efforts of the U.S. Postal Inspection Service and the Charlotte-Mecklenburg Police Department.

Assistant United States Attorneys Matthew Warren and Mark T. Odulio, of the U.S. Attorney’s Office in Charlotte, are prosecuting the case.

CHARLOTTE, N.C. – Richard Allen Clark, 55, of Lenoir, N.C., appeared before U.S. Magistrate Judge David C. Keesler today and pleaded guilty to federal charges for embezzling more than $1 million from his former employer, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. 

Mona Passmore, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to plea documents and statements made in court, from 2013 to 2019, Clark was employed as an office manager for two family owned businesses in Lenoir, and was responsible for, among other things, handling the companies’ bookkeeping and financial records, making payments to vendors and the IRS, and reconciling the companies’ bank accounts. According to court documents, Clark used his position and his access to the companies’ financial records and bank accounts to embezzle more than $1 million from his employers, and used the United States mail to carry out his scheme. According to the indictment, Clark stole money from a company bank account the owner had directed Clark to close. Instead of closing the account, Clark used it to steal from his employer, by instructing customers to make payments to that account.

Clark also admitted that he laundered the funds he embezzled from his employer by withdrawing customer funds from the company’s bank account through multiple fraudulent checks payable to himself, which he deposited into multiple personal bank accounts.  Court records show that Clark then used the stolen funds to pay for his personal lifestyle, including to make payments for his home mortgage, to make auto loan payments for an F-150 truck and other vehicles, to install a home theater system, and to pay for travelling and shopping expenses, among other things.

Finally, Clark pled guilty to filing a false U.S. income tax return for tax year 2018 by deliberately failing to claim the additional income he stole from his employers.  According to the filed Indictment, Clark falsely declared only his legitimate W-2 income on his 2014 through 2018 U.S. Joint Income Tax Returns, resulting in approximately $195,000 in lost taxes to the United States.

Clark pleaded guilty to one count of mail fraud, which carries a maximum prison term of 30 years in prison and a $1 million fine; one count of money laundering, which carries a maximum penalty of 20 years in prison and a $500,000 fine; and one count of making a false statement on his tax return, which carries a maximum term of three years in prison and a $100,000 fine per count.

In making today’s announcement Acting U.S. Attorney Stetzer thanked IRS-CI, the USPIS, and the Caldwell County Sheriff’s office for their investigation which led to the charges.

Assistant U.S. Attorney Michael Savage of the U.S. Attorney’s Office in Charlotte is prosecuting the case.

CHARLOTTE, N.C. – Jasmine Johnnae Clifton, 24, of Charlotte, appeared before U.S. Magistrate Judge David C. Keesler today and pleaded guilty to wire fraud for fraudulently obtaining a COVID-19 loan for almost $150,000 from the U.S. Small Business Administration (SBA), announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.

Mona Passmore, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to filed court documents and today’s plea hearing, Clifton engaged in a scheme to defraud the SBA by obtaining an Economic Injury Disaster Loan (EIDL) based on false information. Court records show that Clifton created Jazzy Jas LLC, an online retail clothing sales business, in April 2019.  On July 24, 2020, Clifton submitted a fraudulent loan application to the SBA for Jazzy Jas, despite the fact the company had been dissolved by Clifton several months prior. As a result of the fraudulent application, which included false information about revenues and a fraudulent tax document, Clifton obtained $149,900 in disaster relief funds that were intended to be provided to an existing business harmed by the COVID-19 pandemic. On or about August 14, 2020, the EIDL funds were deposited directly into Clifton’s bank account. Clifton used the government funds to make purchases at multiple diamond stores and at numerous retail stores, including at Nordstrom, Ikea, Neiman Marcus, Rooms To Go, Louis Vuitton, Best Buy and other retail shopping outlets. 

Clifton remained on bond following today’s guilty plea. The charge of wire fraud carries a maximum prison term of 20 years and a $500,000 fine. A sentencing date has not been set.

The CARES Act is a federal law enacted March 29, 2020, and it is designed to provide emergency financial assistance to millions of Americans suffering the economic effects caused by the COVID-19 pandemic. The CARES Act established several new temporary programs and provided for the expansion of others, including the EIDL program, which is an SBA program that provides low-interest financing to small businesses, renters, and homeowners in regions affected by declared disasters.

In making today’s announcement Acting U.S. Attorney Stetzer thanked IRS-CI and USPIS for their investigation which led to the charges.

Assistant U.S. Attorney William Bozin, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.

The Department of Justice and the U.S. Attorney’s Office for the Western District of North Carolina remain vigilant in detecting, investigating, and prosecuting wrongdoing related to the COVID-19 pandemic. If you think you are a victim of coronavirus fraud or have information pertaining to fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or submit a complaint online using the NCDF Web Complaint Form. Members of the public in the Western District of North Carolina are also encouraged to call 704-344-6222 to reach their local Coronavirus Fraud Coordinator.

ASHEVILLE, N.C. – Shannon White, 44, of Bryson City, N.C. was sentenced to 21 years in prison late yesterday for distribution of a controlled substance resulting in death, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Chief U.S. District Judge Martin Reidinger ordered White to serve three under court supervision after she is released from prison.

Sheriff Curtis A. Cochran of the Swain County Sheriff’s Office and Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Asheville Post of Duty, join Acting U.S. Attorney Stetzer in making today’s announcement.

According to evidence presented at Shannon’s trial, witness testimony and documents filed in the case, White, who is an enrolled member of the Eastern Band of Cherokee Indians and resident of the Cherokee Indian Reservation, was involved in the distribution of narcotics in an around Jackson and Swain Counties. Trial evidence established that on January 27, 2019, a victim, identified in court documents as J.F., ordered heroin from White. White agreed to supply the heroin to J.F. and supplied him with a substance that White believed to be heroin, but turned out to be fentanyl. According to trial testimony, J.F.’s use of the fentanyl resulted in J.F.’s overdose death. According to trial evidence, White continued to sell narcotics even after she became aware of the J.F.’s death, and falsely accused two other individuals of committing the crime. 

"White peddled fentanyl, a highly toxic drug that resulted in a fatal overdose, and brazenly continued to distribute the lethal opioid even after she learned of the victim’s death,” said Acting U.S. Attorney Stetzer. “White’s 21-year sentence imposed by the Court reflects the severity of her conduct and the detrimental role drug dealers play in spreading deadly substances that plague communities and cause tragic deaths. The U.S. Attorney’s Office will continue to work closely with our law enforcement and community partners to combat the opioid epidemic."

“The death involved in this investigation underscores the seriousness of our country’s dependence on prescription opioids,” said the Special Agent in Charge Murphy. “In this case, the victim’s life was cut short, after consuming what turned out to be a deadly dose of fentanyl. Consequently, White will spend well-deserved time in federal prison. DEA and our law enforcement partners will continue to expend our time, energy and resources in an effort to stem the tide against the opioid epidemic.”

“The death involved in this investigation underscores the seriousness of our country’s dependence on prescription opioids,” said the Special Agent in Charge Murphy. “In this case, the victim’s life was cut short, after consuming what turned out to be a deadly dose of fentanyl. Consequently, White will spend well-deserved time in federal prison. DEA and our law enforcement partners will continue to expend our time, energy and resources in an effort to stem the tide against the opioid epidemic.”

“The Swain County Sheriff’s Office is pleased to be a part of this investigation to bring this person to justice. We hope this brings some closure to the family of the victim in this case. We will continue to fight the drug problem in Swain County and will aggressively pursue anyone who sells or gives drugs to anyone that causes their death,” said Sheriff Cochran.

White is currently in custody. She will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.

In making today’s announcement Acting U.S. Attorney Stetzer commended the Swain County Sheriff’s Office and the DEA in Asheville for their investigation of this case and thanked the FBI and the Cherokee Indian Police Department for their invaluable assistance.

Assistant U.S. Attorney Thomas Kent, of the U.S. Attorney’s Office in Asheville, prosecuted the case.

CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that five individuals have been sentenced to date on drug and gun charges as a result of proactive investigations led by federal and local law enforcement in Union County.

The Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Federal Bureau of Investigation (FBI), and the Drug Enforcement Administration (DEA) partnered with the Union County Sheriff’s Office and the Monroe Police Department in joint investigations to identify drug and gun offenders operating in and around Union County. The investigative teams engaged in undercover operations including controlled buys of narcotics and illegal firearms. Over the course of the investigations, law enforcement also seized methamphetamine, crack cocaine, fentanyl, and 56 firearms.

Of the 13 defendants charged in connection with these investigations, five have been sentenced to date as follows:

• Princeton Patterson, 33, of Wadesboro, N.C., was sentenced today to 188 months in prison and four years of supervised release. Patterson pleaded guilty to distribution and possession with intent to distribute cocaine and methamphetamine, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a felon. (Docket No. 3:20-cr-221)
• Markiel Tyson, 29, of Pageland, South Carolina, was sentenced today to 120 months in prison and four years of supervised release, after pleading guilty to distribution and possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. (3:20-cr-221)
• Cameron Jamal McManus, 29, also of Pageland, was ordered today to serve 120 months in prison followed by four years of supervised release. He pleaded guilty to possession with intent to distribute crack cocaine and possession of a firearm in furtherance of a drug trafficking crime. (3:20-cr-221)
• On May 13, 2021, Rico Lorodge Brown, 32, of Monroe, N.C., was sentenced to 180 months in prison and four years of supervised release, after pleading guilty to possession of a firearm by a felon. (3:20-cr-223)
• Alvin Thomas, Jr., 41, of Charlotte, was sentenced on May 13, 2021, to 120 months in prison and four years of supervised release. He pleaded guilty to distribution and possession with intent to distribute crack cocaine. (3:20-cr-278)
   
  The following defendants have pleaded guilty and are currently awaiting sentencing.
   

• Santuron Cureton, 39, of Lancaster, South Carolina, has pleaded guilty to possession of a firearm by a felon, distribution and possession with intent to distribute crack cocaine, and possession of a firearm in furtherance of a drug trafficking crime. (3:20-cr-216)
• Jamorris Demonte Sanders, 21, of Chester, South Carolina, has pleaded guilty to distribution and possession with intent to distribute crack cocaine, dealing firearms without a license, and distribution and possession with intent to distribute fentanyl. (3:20-cr-218)
• Timonth Antonio Flanagan, 35, of Lancaster, has pleaded guilty to crack cocaine trafficking conspiracy and distribution and possession with intent to distribute crack cocaine. (3:20-cr-218)
• Chareo Demarcus Johnson, 21, of Lancaster, has pleaded guilty to possession of a firearm by a felon and distribution and possession with intent to distribute methamphetamine. (3:21-cr-66)
• Diante Ramon Brown, 22, of Rock Hill, South Carolina, has pleaded guilty to distribution and possession with intent to distribute fentanyl, possession of a firearm in furtherance of a drug trafficking crime, and distribution and possession with intent to distribute crack cocaine. (3:20-cr-222)
• Elliott Carmel Fincher, 32, of Marshville, N.C., has pleaded guilty to possession of a firearm by a felon. (3:20-cr-217)
• Larry Eddie Crowder Jr., 32, of Waxhaw, N.C., has pleaded guilty to distribution and possession with intent to distribute crack cocaine. (3:20-cr-219)
• Bridget Cherie Chambers, 32, of Monroe, has pleaded guilty to distribution and possession with intent to distribute methamphetamine. (3:20-cr-27).

In making today's announcement Acting U.S. Attorney Stetzer commended the ATF, FBI, DEA, the Union County Sheriff's Office and the Monroe Police Department for their investigative efforts.

The prosecution for the government was handled by Assistant U.S. Attorney David Kelly and Special Assistant U.S. Attorney (SAUSA) Stephanie Spaugh. Ms. Spaugh is a state prosecutor with the office of the 26th Prosecutorial District and was assigned by District Attorney Spencer Merriweather to serve as a SAUSA with the U.S. Attorney’s Office in Charlotte.  Ms. Spaugh is duly sworn in both state and federal courts.  The SAUSA position is a reflection of the partnership between the office of the 26th Prosecutorial District and the United States Attorney’s Office.