District of New Jersey
Press releases recorded for this federal judicial district.
Virginia Man Convicted at Trial on Gun Trafficking ChargesRead the Press Release
CAMDEN, N.J. – A Locust Grove, Virginia, man was convicted today of conspiring to traffic 35 guns from Virginia into New Jersey, U.S. Attorney Craig Carpenito announced.
Shawn K. Harvey, 52, was convicted of all four counts in an indictment charging him with one count of conspiracy to traffic firearms and three counts of trafficking firearms. He was convicted following a two-week trial before U.S. District Judge Noel L. Hillman in Camden federal court. The jury deliberated for approximately four hours before returning the verdict.
Shawn K. Harvey and his son, Shawn M. Harvey, a/k/a “Munchy,” 28, also of Locust Grove, were originally arrested in August 2016.
According to documents filed in this case and the evidence presented at trial:
Bureau of Alcohol, Tobacco and Firearms (ATF) agents directed and supervised a sting operation using a confidential informant who purchased firearms from the Harveys on multiple occasions at a parking lot in Pennsauken, New Jersey. The operation yielded 35 firearms –including assault-style rifles, revolvers, shotguns and semi-automatic handguns – over the course of 11 separate transactions spanning several weeks. One of the firearms was reported stolen in Virginia and many of the guns were brand new and came with ammunition.
The trafficking and conspiracy charges are each punishable by a maximum potential penalty of five years in prison. Sentencing is scheduled for Aug. 17, 2018. Shawn M. Harvey pleaded guilty prior to trial and awaits sentencing.
U.S. Attorney Carpenito credited ATF special agents, under the direction of Special Agent in Charge John B. Devito, Newark Field Division, with the investigation.The government is represented by Assistant U.S. Attorneys Jacqueline Carle and Sara A. Aliabadi of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel: Megan J. Davies Esq., Cherry Hill, New JerseyNew York Man Admits Violent Multi-State Criminal Rampage Involving Kidnapping, Assault, and ArsonRead the Press Release
NEWARK, N.J. – A Bronx, New York, man today admitted engaging in a violent, multi-state crime spree in which he kidnapped his former girlfriend, assaulted a federal employee, and set fire to a used car dealership, U.S. Attorney Craig Carpenito announced.
Luis Figueroa, 37, pleaded guilty before Senior U.S. District Judge Stanley R. Chesler in Newark federal court to Counts One, Three, Five and Six of an indictment charging him with kidnapping, possession of a firearm by a convicted felon, assaulting an employee of the United States, and arson.
According to documents filed in this case and statements made in court:
On the morning of June 6, 2014, Figueroa – armed with a shotgun – waited outside the Hazleton, Pennsylvania apartment of his former girlfriend, identified as “Victim 1” in the indictment. When Victim 1 emerged from the apartment, Figueroa physically assaulted Victim 1, including striking Victim 1 in the head with the shotgun.
Afterwards, Figueroa led Victim 1 to a red SUV, where he forced Victim 1 into the backseat. Figueroa then drove Victim 1 across state lines to New Jersey, eventually stopping at rest stop area near the Kittatinny Point Visitor’s Center, on federal property. After Figueroa left the red SUV to dispose of the shotgun in a nearby wooded area, Victim 1 climbed into the driver’s seat of the red SUV and drove away to safety.
After returning and discovering both Victim 1 and the red SUV were missing, Figueroa approached a National Park Service employee – identified in the indictment as “Victim 2” – who was blowing leaves. Figueroa led Victim 2 to a nearby storage room, where he slammed Victim 2’s head against a door and threatened to harm Victim 2 further if Victim 2 did not hand over Victim 2’s car keys. Victim 2 complied, and Figueroa fled the scene in Victim 2’s red minivan.
Figueroa drove Victim 2’s red minivan to Paterson, New Jersey, where Figueroa entered a used car dealership operated by a person with whom Figueroa had a business relationship. Figueroa asked an employee for a portable gas canister, which he filled shortly thereafter at a nearby gas station.
Figueroa then returned to the dealership, went to a small office building on the dealership property, and doused the structure with gasoline. After a brief struggle with a dealership employee, Figueroa ignited a match and set the building on fire, engulfing the structure in flames. Figueroa set himself on fire in the process, as well. Figueroa extinguished himself with a nearby garden hose, and then fled the scene in a white SUV.
Law enforcement officers searched for Figueroa and the white SUV, eventually locating it on the George Washington Bridge heading into New York. Figueroa ignored officers’ commands to stop, leading to a high-speed chase in which Figueroa rammed the white SUV into multiple police vehicles. At one point, Figueroa got out of the white SUV and fled on foot. Officers placed Figueroa under arrest shortly thereafter.
According to the terms of the plea agreement, if accepted by the court, Figueroa will receive a term of 26 years in prison. Sentencing is scheduled for July 19, 2018.
U.S. Attorney Carpenito credited special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent in Charge John B. Devito in Newark Field Division, with the investigation leading to today’s plea. He also thanked the Hazelton City Police Department, the Luzerne County, Pennsylvania, District Attorney’s Office, the N.J. State Police, the Warren County Prosecutor’s Office, the Passaic County Prosecutor’s Office, the Bergen County Prosecutor’s Office, the Port Authority of New York and New Jersey Police Department, and the Manhattan District Attorney’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Jamari Buxton of the U.S. Attorney’s Office’s Criminal Division in Newark.
Defense counsel: Michael N. Pedicini Esq., Chatham, New Jersey
Former Jersey City Police Officer Gets 18 Months in Prison for Scheme Involving Off-Duty Work AssignmentsRead the Press Release
NEWARK, N.J. – A former Jersey City police officer was sentenced today to 18 months in prison for fraudulently collecting income for off-duty work he never performed, U.S. Attorney Craig Carpenito announced.
Ehab Abdelaziz, 38, of Clifton, New Jersey, previously pleaded guilty before U.S. District Judge John Michael Vazquez to an information charging him with conspiracy to commit bribery. Judge Vazquez imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Private contractors and utility companies sometimes needed the services of off-duty police officers for certain projects, including work in Jersey City that could obstruct the flow of traffic. Abdelaziz was a Jersey City police officer who was eligible to perform off-duty work.
From December 2015 through June 2016, Abdelaziz engaged in a conspiracy in which he made a total of $11,825 in bribe payments to another Jersey City officer who was authorized to assign off-duty work, in exchange for that officer’s official assistance in submitting phony vouchers to Jersey City indicating that Abdelaziz had completed certain off-duty assignments. As a result, Abdelaziz was compensated for work he never performed.
In addition to the prison term, Judge Vazquez sentenced Abdelaziz to two years of supervised release and ordered him to pay restitution of $33,955 and forfeiture of $22,449.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation.The Jersey City Police Department is cooperating with the investigation.
The government is represented by Assistant U.S. Attorney Vikas Khanna of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Anthony J. Iacullo Esq., Nutley, New Jersey
Newark Non-Profit Director and Political Fundraiser Sentenced to 38 Months in Prison for Wire Fraud and Tax EvasionRead the Press Release
NEWARK, N.J. – The former executive director of a Newark-based childcare and community program and a partner in a political fundraising and consulting company was sentenced today to 38 months in prison for wire fraud and tax evasion, U.S. Attorney Craig Carpenito announced.
Kiburi D. Tucker, 43, of Newark, previously pleaded guilty before Chief U.S. District Judge Jose L. Linares to an information charging him with one count of wire fraud and four counts of tax evasion. Judge Linares imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
As the executive director of The Centre Inc., Tucker embezzled its funds through ATM, debit card and bank withdrawal transactions to fund personal expenditures, including gambling, travel, and furnishing his home. Tucker defrauded The Centre of $332,116 from 2012 through 2015.
In addition, Tucker, who was also receiving an annual salary from his employment at the Passaic Valley Sewerage Commission, filed false personal income tax returns in which he intentionally under-reported both the proceeds that he embezzled from The Centre and income from his partnership in Elite Strategies, a political fundraising and consulting company. Tucker admitted that he was responsible for underreporting $177,040 in income from these sources for the 2015 tax year, resulting in a tax loss of $56,509.
In addition to the prison term, Judge Linares sentenced Tucker to three years of supervised release and ordered him to pay restitution of $133,624 to the IRS and forfeit $334,116.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark; IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; and the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation.
The government is represented by Assistant U.S. Attorneys Jacques S. Pierre and Jihee G. Suh of the Special Prosecutions Division in Newark.
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Defense counsel: Timothy M. Donohue Esq., West Orange, New Jersey and Alfred C. Decotis Esq., Teaneck, New Jersey
Four Women Admit Conspiracy to Distribute Thousands of Oxycodone Pills in Hunterdon County, New JerseyRead the Press Release
TRENTON, N.J. – Four women appeared in federal court this week to admit their respective roles in an oxycodone distribution conspiracy in Flemington, New Jersey, and elsewhere, U.S. Attorney Craig Carpenito announced.
Alicia Balaban, 35, of Wellington, Florida; Marie DeJulia, 42, of Lodi, New Jersey; and Michele Call, 63, and Nelida Rios, 55, both of Flemington, were previously charged by complaint. They entered their guilty pleas – to informations charging them each with one count of conspiracy to distribute and possess with intent to distribute oxycodone – before U.S. District Judge Freda Wolfson in Trenton federal court.
According to the documents filed in the case and statements made in Court:
Balaban, is Call’s daughter and DeJulia’s friend. From April 2016 through December 2017, Balaban, Call, and Rios worked together to secure prescriptions for oxycodone, fill them at pharmacies in Flemington, and then distribute the pills to DeJulia from Call’s and Rios’ Flemington residences for resale. The conspirators distributed thousands of 30 mg oxycodone pills.
Each defendant faces a maximum penalty of 20 years in prison and a fine of up to $1 million or twice the gross gain or loss caused by the offense. Sentencing for Rios and Balaban is scheduled for July 20, 2018, and for Call and DeJulia, July 24, 2018.
U.S. Attorney Carpenito credited special agents of the Drug Enforcement Administration’s New Jersey Division, under the direction of Special Agent in Charge Valerie A. Nickerson in Newark, with the investigation leading to the guilty pleas.
The government is represented by Assistant U.S. Attorney Danielle Alfonzo Walsman, Chief of the U.S. Attorney’s Office Public Protection Unit in Newark.
Defense counsel:
DeJulia: John Azzarello Esq., Morristown, New Jersey
Balaban: Clifford Lazzaro Esq., Elizabeth, New Jersey
Call: Jason LeBoeuf Esq., Newark
Rios: Michael Pedicini Esq., Chatham, New JerseyFifth Defendant in Multi-State Dog Fighting Prosecution Sentenced to Two Years in PrisonRead the Press Release
TRENTON, N.J. – The fifth defendant to plead guilty in a multi-state dog fighting case was sentenced today to 24 months in prison for his role in dog fighting activities that took place in New Jersey and Virginia, U.S. Attorney Craig Carpenito of the District of New Jersey and Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division announced.
Mario Atkinson, 42, of Asbury Park, New Jersey, previously pleaded guilty June 15, 2017, before U.S. District Judge Peter G. Sheridan an information charging him with one count of sponsoring and exhibiting a dog in a dog fight, and one count of unlawful possession of a dog intended to be used for the purpose of dog fighting. Judge Sheridan imposed the sentence today in Trenton federal court.
According to documents in this and other cases and statements made in court:
Atkinson admitted that in 2016, he had fought his dog in a dog fight in Virginia for a $1,000 wager. The investigation revealed that Atkinson’s dog perished after the dog fight while Atkinson was driving home, and that Atkinson placed the dog’s body in a trash receptacle. On June 1, 2016, agents seized 18 pit bull-type dogs from Atkinson. Some of these dogs had scarring and injuries consistent with fighting and were found near dog fighting equipment, including an electric treadmill specially outfitted with side panels and a leash clip to force dogs to run on the treadmill. Agents also found blood splatters in three areas of Atkinson’s basement that tested positive for canine blood.
Four other defendants in this case previously pleaded guilty and were sentenced to a total of 111 months. The court set a trial date of Oct. 8, 2018, for the four remaining defendants in the case.
“Federal and local law enforcement agencies in New Jersey have ramped up their efforts recently to track down animal fighters and bring them to justice,” U.S. Attorney Carpenito said. “We will continue to root out dog fighting in New Jersey and to work with our local and state partners to bring the offenders to justice.”
“Animal cruelty like the conduct in this case has no place in a civilized society,” said Acting Assistant Attorney General Wood. “Today’s sentencing sends a strong message that we are bringing to justice those who engage in illegal dog fighting and that anyone who engages in this conduct does so at the risk of significant jail time.”
“The provisions of the Animal Welfare Act were designed to protect animals from being used in illegal fighting ventures, which often entail other forms of criminal activity involving drugs, firearms and gambling,” Special Agent in Charge Bethanne M. Dinkins for U.S. Department of Agriculture’s Office of Inspector General said “Together with the Department of Justice, animal fighting is an investigative priority for USDA OIG, and we will work with our law enforcement partners to investigate and assist in the criminal prosecution of those who participate in animal fighting ventures.”
In addition to the prison term, Judge Sheridan sentenced Atkinson to three years of supervised release and fined him $1,000.
The case is part of Operation Grand Champion, a coordinated effort across numerous federal judicial districts to combat organized dog fighting. The phrase “Grand Champion” is used by dog fighters to refer to a dog with more than five dog fighting “victories.” To date, 98 dogs have been rescued as part of Operation Grand Champion, and either surrendered or forfeited to the government. The Humane Society of the United States assisted with the care of the dogs seized by federal law enforcement.
The case is being investigated by the U.S. Department of Agriculture – Office of Inspector General, the U.S. Department of Homeland Security – Homeland Security Investigations, and the FBI.
The government is represented by Assistant U.S. Attorney Kathleen O’Leary of the District of New Jersey and Trial Attorney Ethan Eddy of the Justice Department’s Environmental Crimes Section.
Fifth Defendant in Multi-State Dog Fighting Prosecution Sentenced to 24 Months in PrisonRead the Press Release
The fifth defendant to plead guilty in a multi-state dog fighting case was sentenced today in federal court in Trenton, New Jersey, for his role in dog fighting activities that took place in New Jersey and Virginia. Acting Assistant Attorney General Jeffrey H. Wood of the Justice Department’s Environment and Natural Resources Division and U.S. Attorney Craig Carpenito of the District of New Jersey made the announcement.
U.S. District Judge Peter G. Sheridan sentenced Mario Atkinson, 42, of Asbury Park, New Jersey, to serve 24 months in prison to be followed by three years supervised release, and a $1000 fine. Atkinson pleaded guilty on June 15, 2017, to one felony count of sponsoring and exhibiting a dog in a dog fight, and one felony count of unlawful possession of dogs intended to be used for the purpose of dog fighting.
Atkinson admitted that, in 2016, he had fought his dog in a dog fight in Virginia for a $1,000 wager. The investigation revealed that Atkinson’s dog perished after the dog fight while Atkinson was driving home, and that Atkinson placed the dog’s body in a trash receptacle. On June 1, 2016, agents seized 18 pit bull-type dogs from Atkinson. Some of these dogs had scarring and injuries consistent with fighting and were found near dog fighting equipment, including an electric human treadmill specially outfitted with side panels and a leash clip to force dogs to run on the treadmill. Agents also found blood splatters in three areas of Atkinson’s basement that tested positive for canine blood.
Four other defendants in this case previously pleaded guilty and were sentenced to a total of 111 months in prison. Trial for the remaining four defendants in the case is set for October 8, 2018.
“Animal cruelty like the conduct in this case has no place in a civilized society,” said Acting Assistant Attorney General Wood. “Today’s sentencing sends a strong message that we are bringing to justice those who engage in illegal dog fighting and that anyone who engages in this conduct does so at the risk of significant jail time.”
“Federal and local law enforcement agencies in New Jersey have ramped up their efforts recently to track down animal fighters and bring them to justice,” U.S. Attorney Carpenito said. “We will continue to root out dog fighting in New Jersey and to work with our local and state partners to bring the offenders to justice.”
“The provisions of the Animal Welfare Act were designed to protect animals from being used in illegal fighting ventures, which often entail other forms of criminal activity involving drugs, firearms and gambling,” said Special Agent in Charge Bethanne M. Dinkins for U.S. Department of Agriculture’s Office of Inspector General. “Together with the Department of Justice, animal fighting is an investigative priority for USDA OIG, and we will work with our law enforcement partners to investigate and assist in the criminal prosecution of those who participate in animal fighting ventures.”
This case is part of Operation Grand Champion, a coordinated effort across numerous federal judicial districts to combat organized dog fighting. The phrase “Grand Champion” is used by dog fighters to refer to a dog with more than five dog fighting “victories.” To date, 98 dogs have been rescued as part of Operation Grand Champion, and either surrendered or forfeited to the government. The Humane Society of the United States assisted with the care of the dogs seized by federal law enforcement. The government is represented by Trial Attorney Ethan Eddy of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Kathleen O’Leary. The case is being investigated by the U.S. Department of Agriculture – Office of Inspector General, the U.S. Department of Homeland Security – Homeland Security Investigations, and the Federal Bureau of Investigation.
Two New Jersey Men Arraigned in $2 Million Fraudulent Check Scheme Targeting Home Improvement StoresRead the Press Release
NEWARK, N.J. – Two men were arraigned today for their alleged roles in a phony check scheme that stole over $2 million in merchandise from multiple home-improvement stores throughout the country, U.S. Attorney Craig Carpenito announced.
Lessie Dickerson III, 33, of Union, New Jersey, and John Muyeka, 42, of Sayreville, New Jersey, are charged by indictment with one count of conspiracy to commit wire fraud and two counts each of wire fraud. Muyeka is also charged with one count of producing false identification documents.Both defendants were arraigned this afternoon before U.S. District Judge Katharine S. Hayden in Newark federal Court and pleaded not guilty.
According to documents filed in this case and statements made in court:
Starting in December 2013 and continuing through February 2017, several individuals, including Dickerson and Muyeka, conspired to obtain merchandise or store credit from home-improvement stores in locations along the eastern United States, including New Jersey, by purchasing items with fraudulent checks.
Muyeka allegedly produced false driver’s licenses from New Jersey and other states using photographs of his conspirators, along with fictitious names, addresses, and dates of birth. Muyeka provided the fraudulent identification documents to his conspirators.
Dickerson and others entered home-improvement and other retail stores and gathered several high-value items like air conditioners or hardwood flooring. Dickerson and others then typically “purchased” the items either by handing a cashier a fraudulent check with a phony name but authentic account and routing numbers, or by pretending to be an authorized signatory on a store credit account that Dickerson and others had previously opened with a phony check.
During some of the transactions, Dickerson and others allegedly displayed the fake driver’s licenses that had been created by Muyeka, which either duplicated the phony name imprinted on the fraudulent check they presented for payment or matched the name of an authorized signatory on a store credit account that they had previously opened.
In total, Dickerson, Muyeka, and others allegedly stole over $2 million in merchandise from various retailers in New Jersey, New York, Pennsylvania, Delaware, North Carolina, Georgia, Virginia, Connecticut, Massachusetts, South Carolina, and Texas.
Dickerson and Muyeka each face 20 years in prison and a $250,000 fine for the wire fraud charges. Muyeka faces 15 years imprisonment and a $250,000 fine for the producing false identification documents charge.
U.S. Attorney Carpenito credited postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Ruth M. Mendonca, and special agents of the U.S. Attorney’s Office, District of New Jersey, with the investigation. He also thanked the Union Township Police Department, the Holmdel Police Department, the Passaic County Prosecutor's Office, the Totowa Police Department, and the Monroe Township Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S. Attorney’s Office Criminal Division in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.Defense counsel:
Dickerson: Wanda M. Akin Esq., Newark
Muyeka: Ruth M. Liebesman Esq., Paramus, New JerseyPharmacist Sentenced to 27 Months in Prison for Illegally Distributing Oxycodone from Medford, New Jersey ‘Pill Mills’Read the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, pharmacist was sentenced today to 27 months in prison for his role in a long-running conspiracy to illegally distribute and dispense large quantities of oxycodone and other controlled substances from two pharmacies located in Medford, New Jersey, U.S. Attorney Craig Carpenito announced.
David Goldfield, 60, of Medford Lakes, previously pleaded guilty before U.S. District Judge Jerome B. Simandle to Count 1 of an indictment, charging him with conspiracy to illegally distribute and dispense oxycodone and other Schedule II controlled substances, and Counts 10 through 15, which charge him with multiple substantive counts of illegal distribution and dispensing of oxycodone. Judge Simandle imposed the sentence in Camden federal court.
According to documents filed in this case and statements made in court:
Goldfield was employed by Michael Ludwikowski, 46, of Medford, at Olde Medford Pharmacy and Medford Family Pharmacy. Goldfield admitted that from January 2010 through August 2013, he conspired with Ludwikowski to distribute and dispense oxycodone for individuals they knew were obtaining the pain killers for resale or for non-medical use.
Goldfield admitted, based upon his training and experience, as well as the “red flags” he observed, it was obvious that many of the oxycodone prescriptions that Goldfield and Ludwikowski filled were fraudulent. These red flags included prescriptions for oxycodone that appeared to have been “washed” or “bleached.” According to the indictment, this was achieved through a chemical process that removed the original writing for a non-narcotic substance. The customers then rewrote the prescriptions for their drug of choice, including oxycodone.
Other red flags included customers who were believed to be drug addicts, or believed to be selling or abusing the oxycodone; customers seeking oxycodone with residential addresses far from the Medford area, including for example, Camden, New Jersey; the same customer presenting oxycodone prescriptions in numerous different names, including the names of both men and women; and customers presenting oxycodone prescriptions for a 30-day supply multiple times a week.
On occasions that Goldfield had suspicions about the legitimacy of particular prescriptions, Ludwikowski allegedly told Goldfield to fill some of those prescriptions anyway. In addition, Goldfield admitted that he and Ludwikowski stored bottles of oxycodone in a pull-out drawer to which pharmacy employees working at the front counter would have easy access, rather than in a locked safe.
When Ludwikowski became concerned with the high number of oxycodone prescriptions that were being filled, Ludwikowski and Goldfield – in an attempt to evade law enforcement – turned away customers who were bringing in fraudulent prescriptions by telling them that the Drug Enforcement Administration (DEA) had reduced their supply of oxycodone.
In addition to the prison term, Judge Simandle sentenced Goldfield to three years of supervised release and fined him $4,900.Ludwikowski was convicted at trial of six counts in an indictment charging him with illegally distributing and dispensing oxycodone, a Schedule II controlled substance, and maintaining a drug-involved premises. He was sentenced April 12, 2018, to 15 years in prison.
U.S. Attorney Carpenito credited special agents of the FBI’s Newark Field Office, under the direction of Acting Special Agent in Charge Bradley W. Cohen; the Drug Enforcement Administration’s Newark Division, under the direction of Special Agent in Charge Valerie A. Nickerson; the Medford Police Department under the direction of Chief Richard J. Meder; the Moorestown Police Department under the direction of Chief Lee R. Lieber; the Florence Police Department under the direction of Chief John Bunce; and the Lumberton Police Department under the direction of Chief Tony Diloreto, with the investigation leading to today’s sentencing.
The government is represented Senior Litigation Counsel Jason M. Richardson of the U.S. Attorney’s Office in Camden, as well as Assistant U.S. Attorney Sarah Devlin of the Office’s Asset Forfeiture and Money Laundering Unit.Defense counsel: Gilbert J. Scutti Esq., Voorhees, New Jersey
Florida Man Gets 10 Years in Prison for Conspiracy to Distribute More Than 45 Kilograms of Narcotics in New JerseyRead the Press Release
TRENTON, N.J. – A Miami man was sentenced today to 120 months in prison for his role in a conspiracy to distribute over 45 kilograms of narcotics, including heroin, fentanyl, cocaine, and morphine, U.S. Attorney Craig Carpenito announced.
Sauro D. Estevez Figueredo, 50, previously pleaded guilty before U.S. District Judge Peter G. Sheridan to Count One of an indictment charging him with conspiracy to possess with intent to distribute more than one kilogram of heroin, five kilograms or more of cocaine, 400 grams or more of fentanyl, and morphine. Judge Sheridan imposed the sentence today in Trenton federal court.
Figueredo was originally arrested with Edwin Alamo Jr., 23, Emmanuel Gonzalez, 33, both of Bronx, New York, Alberto Mora, 54, of Morriston, Florida, and Porfirio Peralta-Nunez, 39, of Jersey City, New Jersey, in February 2016. All five defendants have since pleaded guilty to their roles in the drug distribution conspiracy.
According to the documents filed in this case and statements made in court:
On Feb. 5, 2016, law enforcement observed a tractor trailer, driven by Figueredo and Mora, parked at an intersection near a store in Clifton, New Jersey. That afternoon, Gonzalez and Alamo drove to the tractor trailer and left with a suitcase given to them by Mora. Later, Peralta-Nunez arrived at the tractor trailer with two empty bags and left shortly afterwards with the bags filled.
Figueredo admitted that he collected narcotics and transported them via tractor trailer to New Jersey. He also admitted that Mora handed out a suitcase with 22 kilograms of heroin and afterwards, another conspirator took two bags containing fentanyl, morphine and heroin from the tractor trailer. He further admitted that there were two additional bags on the tractor trailer – one that contained 10 kilograms of fentanyl and one that contained 10 kilograms of cocaine – that would have been provided to other conspirators if not for law enforcement’s intervention.
In addition to the prison term, Judge Sheridan sentenced Figueredo to five years of supervised release.
The government is represented by Assistant U.S. Attorneys Meredith Williams of the U.S. Attorney’s Office OCDETF/Narcotics Unit and Elaine Lou of the Organized Crime/Gangs Unit in Newark.
U.S. Attorney Carpenito credited special agents with the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson in Newark, with the investigation.
Defense Counsel: Michael D’Alessio Esq., West Orange, New Jersey
FBI Fugitive Admits Involvement in 2002 Bank Fraud ConspiracyRead the Press Release
NEWARK, N.J. – A fugitive wanted by the FBI for almost 15 years admitted today to defrauding a financial institution to obtain hundreds of thousands of dollars for himself, his computer retail business, and his associates, U.S. Attorney Craig Carpenito announced.
Steven Nacim, 49, a/k/a “Fouad,” a Moroccan national, pleaded guilty before U.S. District Judge William J. Martini in Newark federal court to a superseding information charging him with one count of conspiracy to commit bank fraud.
According to documents filed in this case and statements made in court:
In March and April of 2002, Nacim and others owned and operated a business known as Computer 3000, based in East Rutherford, New Jersey, and Casablanca, Morocco. Nacim and his conspirators executed a fraudulent check scheme involving the negotiation of a $289,326 check drawn on insufficient funds, and the wire transfer of the proceeds through multiple accounts controlled by the conspirators. Nacim used the majority of the funds for his own benefit and for the benefit of his computer business.
The conspiracy charge carries a maximum penalty of five years in prison and a fine of $250,000 or twice his gain, or twice the loss sustained by the victim of the offense. Nacim agreed to pay $240,580 in restitution to the victim bank, and to forfeit $240,580. He is scheduled to be sentenced on July 26, 2018, at 10:00 a.m.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Shirley U. Emehelu, Chief of the Asset Recovery Money Laundering Unit.
Defense counsel: Joseph B. Shumofksy Esq., Newark, New Jersey
Essex County, New Jersey, Man Admits Bribing Letter Carriers to Deliver Parcels Containing MarijuanaRead the Press Release
NEWARK, N.J. – A Newark, New Jersey, resident today admitted conspiring to obtain marijuana from California to sell in New Jersey, and paying cash bribes to two U.S. Postal Service (USPS) mail carriers to intercept and deliver parcels to him, U.S. Attorney Craig Carpenito announced.
Glenn Blackstone, 48, pleaded guilty before U.S. District Judge Esther D. Salas in Newark federal court to an information charging him with one count of giving bribes and one count of conspiracy to distribute marijuana. He was released on $100,000 unsecured bond.
According to documents filed in this case and statements made in court:
From October 2014 to September 2017, Blackstone purchased marijuana from a conspirator, who produced the marijuana in California and oversaw shipping it in parcels from California and Nevada. Blackstone then sold the marijuana to others in Newark. Blackstone provided the then-USPS mail carrier, Leonard Gresham, 50, of Rahway, New Jersey, and another then-USPS mail carrier approximately $12,400 in cash payments to deliver the parcels to him. These parcels had fictitious names and addresses on them and were not addressed directly to Blackstone.
On multiple occasions, Blackstone asked the mail carriers to remove the parcels from the normal delivery stream and deliver them instead to him at various locations in Newark. Blackstone paid the letter carriers approximately $50 to $100 in cash for each delivery.On Feb. 13, 2018, Gresham pleaded guilty before Judge Salas to an information charging him with one count of accepting bribes. He is scheduled to be sentenced May 30, 2018.
The drug conspiracy count with which Blackstone is charged is punishable by a mandatory minimum penalty of five years in prison, a maximum of 40 years in prison and a fine of up to $5 million, or twice the gross gain from the offense. The bribery count is punishable by a maximum potential penalty of 15 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for July 24, 2018.
U.S. Attorney Carpenito credited special agents with the USPS-Office of Inspector General, under the direction of Special Agent in Charge Eileen Neff, Northeast Area Field Office, and inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Ruth M. Mendonca, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jihee G. Suh of the U.S. Attorney’s Office Special Prosecutions Division in Newark.
Defense counsel: Ray Hamlin Esq., Newark
California Man Sentenced to 10 Years in Prison for Role in Cross-Country Cocaine and Heroin Trafficking ConspiracyRead the Press Release
TRENTON, N.J. – A Los Angeles man was sentenced today to 120 months in prison for his role in a conspiracy to traffic five kilograms of cocaine and four kilograms of heroin that were hidden inside large pieces of hydraulic machinery, U.S. Attorney Craig Carpenito announced.
Eduardo Barragan Zuninga, 31, previously pleaded guilty before U.S. District Court Judge Peter G. Sheridan to an information charging him with one count of conspiring to distribute heroin and cocaine. Judge Sheridan imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
From March 2015 through March 2016, Zuninga, Fermin Nunez, 46, also of Los Angeles, and others plotted to hide cocaine and heroin, and the proceeds from narcotics transactions, inside large pieces of hydraulic machinery and ship them across the country.
Nunez arranged for the drugs to be shipped from California to the east coast for distribution by Zuninga and others in the New York metropolitan area. Nunez, with Zuninga’s assistance, similarly arranged for the shipment of the distribution proceeds back to California.
Execution of two search warrants at the conclusion of an investigation conducted by the FBI, in cooperation with local law enforcement partners in Los Angeles, resulted in the seizure of approximately five kilograms of cocaine and four kilograms of heroin from a warehouse in Pennsylvania, and over $260,000 in suspected narcotics proceeds from a piece of hydraulic machinery in a California storage facility.
In addition to the prison term, Judge Sheridan sentenced Zuninga to five years of supervised release. Nunez previously pleaded guilty to his role in the conspiracy and awaits sentencing.
U.S. Attorney Carpenito credited special agents with the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, the Los Angeles Interagency Metropolitan Police Apprehension Crime Task Force (L.A. IMPACT) and the Los Angeles Police Department, under the direction of Chief Charlie Beck, with the investigation.
The government is represented by Assistant U.S. Attorney Molly S. Lorber of the U.S. Attorney’s Office Criminal Division in Trenton.
Defense counsel: Lisa Van Hoeck Esq., Assistant Federal Public Defender, Trenton
MS-13 Member Admits Trafficking Drugs to New Jersey from Inside California PrisonRead the Press Release
NEWARK, N.J. – A member of MS-13 today admitted trafficking methamphetamine, heroin, and cocaine to New Jersey from inside a California state prison, U.S. Attorney Craig Carpenito announced.
Luis Calderon, 32, a/k/a “Lagrima,” of Los Angeles, pleaded guilty before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court to an indictment charging him with conspiracy to distribute, and to possess with intent to distribute, methamphetamine, heroin, and cocaine.
According to the documents filed in this case and statements made in court:
Between August 2015 and November 2015, Calderon was incarcerated at the Calipatria State Prison in California. However, Calderon had access to multiple contraband cellular telephones, which he used to communicate with conspirators outside the prison.
Law enforcement officers lawfully-recorded numerous telephone conversations between Calderon and an MS-13 member based in New Jersey, identified in the indictment as “Individual-1.” Among other topics, Calderon and Individual-1 discussed plans to distribute crystal methamphetamine, heroin, and cocaine in the New Jersey area. Calderon and Individual-1 ultimately settled on that plan that involved Calderon and others outside the prison sending a package containing controlled substances to a business center in Edison, New Jersey.
Shortly before the package arrived, Calderon informed Individual-1 by telephone that he was sending Individual-1 a package containing four ounces each of heroin and cocaine. Calderon stated that the package would also likely contain two ounces or more of crystal methamphetamine. Calderon told Individual-1 that the total cost for the heroin, cocaine, and crystal methamphetamine was $9,000, and stated that Individual-1 could keep the proceeds made from selling the drugs once Individual-1 paid Calderon for the shipment. Calderon subsequently gave Individual-1 the names that would appear on the package and the tracking number.
On Nov. 4, 2015, federal agents lawfully intercepted and searched the package. The search revealed approximately 95.5 grams of heroin, 54.7 grams of cocaine, and 52.4 grams of methamphetamine hidden inside a box of Little Debbie Swiss Rolls.
Calderon faces a mandatory minimum sentence of 10 years in prison, a maximum sentence of life in prison, and a $10 million fine. Sentencing is scheduled for June 25, 2018.
U.S. Attorney Carpenito credited special agents of the Department of Homeland Security (DHS), Homeland Security Investigations (HSI), under the direction of Acting Special Agent in Charge Brian Michael, with the investigation. He also thanked Immigration and Customs Enforcement (ICE) Enforcement Removal Operations (ERO), the Calipatria State Prison, the Plainfield Police Department, the Union County Prosecutor’s Office, and the U.S. Attorney’s Office for the Central District of California for their assistance.
The government is represented by Assistant U.S. Attorneys Jamari Buxton of the U.S. Attorney’s Office Criminal Division and James Donnelly, Chief of the U.S. Attorney’s Office Violent Crimes Unit.Defense counsel: Stacy Ann Biancamano Esq., Chatham, New Jersey
Four Men Face Additional Fraud Charges in $1 Million Advance Fee SchemeRead the Press Release
NEWARK, N.J. –Three men from New Jersey and another from Nevada were indicted today on additional charges stemming from their alleged advance-fee scheme that defrauded four victims of over $1 million, U.S. Attorney Craig Carpenito announced.
James Adkins, 65, of Hillside, New Jersey, Jerrid Douglas, 44, of Freehold, New Jersey, Roy Gillar, 45, of Las Vegas, Nevada, and Harold Mignott, 55, of Voorhees, New Jersey, were originally charged by indictment in December 2017 with one count of conspiracy to commit wire fraud and four counts of wire fraud, with Douglas and Gillar also being charged with one count of transacting in criminal proceeds. Today’s superseding indictment adds three counts of wire fraud against Adkins, two counts of wire fraud against Douglas, and one count of wire fraud against Mignott.
All four defendants are currently out on bail and will be arraigned at a later date before U.S. District Court Judge John Michael Vazquez in Newark federal court.
According to the superseding indictment:
From March 2016 through June 2016, Mignott, Adkins, Douglas, and Gillar allegedly agreed to defraud an entity identified in the superseding indictment as “Victim Company A” out of approximately $1 million.
As part of the scheme, the defendants convinced two individuals who ran Victim Company A to enter a joint-venture agreement with the defendants’ New Jersey-based shell company. The defendants falsely represented that their company could acquire and provide Victim Company A with a “standby letter of credit” backed by Mexican gold bonds. A standby letter of credit is a guarantee of payment issued by a bank on behalf of a client that is used should the client fail to fulfill a contractual commitment with a third party.
Victim Company A wanted access to the standby letter of credit so it could purchase raw gold overseas and sell it to gold refineries. As part of the joint-venture agreement, Victim Company A agreed to pay the defendants $1 million for the bank fee associated with the standby letter of credit.
In order to cover up the scheme and acquire Victim Company A’s funds, the defendants made numerous verbal and written misrepresentations, including providing a phony letter from a major international bank saying that it was ready, willing, and able to provide a €1 billion standby letter of credit to the defendants’ shell company.
However, after Victim Company A transmitted $800,000 to the defendants, they failed to provide Victim Company A with a standby letter of credit or anything of value. Instead, the defendants misappropriated Victim Company A’s money for their personal use on items like luxury cars, expensive watches, mortgage payments on their personal residences, and large cash withdrawals.
In addition, Adkins and Mignott allegedly defrauded a farmer from Iowa – identified in the superseding indictment as “Individual Victim 3” — out of $90,000 in 2013. As part of the scheme, Adkins and Mignott induced Individual Victim 3 to enter into a joint-venture agreement with their shell company and told the victim that if he provided them $90,000, they would provide him with a standby letter of credit so he could access financing for his pork business.
In order to persuade Individual Victim 3 to transfer the money, Adkins and Mignott told him that their company was going to complete lucrative oil and gas transactions that would yield significant revenues. However, after Individual Victim 3 transmitted $90,000, Adkins and Mignott did not provide him with money, a standby letter of credit, or anything of value.
Lastly, Adkins and Douglas allegedly defrauded an entity identified in the superseding indictment as “Victim Company B” out of approximately $250,000 in 2015. Adkins and Douglas induced the founder and owner of Victim Company B to enter a joint-venture agreement with their shell company. Adkins and Douglas falsely represented that their company could acquire and provide Victim Company B with a standby letter of credit, which would provide financing for Victim Company B’s biotech business operations.
Victim Company B wanted to obtain the standby letter of credit so it could fund business operations for cancer research as part of its biotech business. As part of the joint-venture agreement, Victim Company B agreed to pay Adkins and Douglas $1 million for the bank fee associated with the standby letter of credit.
However, after Victim Company B transmitted $250,000 of the $1 million to Adkins and Douglas’s shell company, Adkins and Douglas failed to provide Victim Company B with a standby letter of credit or anything of value. Instead, Adkins, Douglas, and others misappropriated the money for their personal use.
The conspiracy to commit wire fraud charge and the wire fraud charges each carry a maximum potential penalty of 20 years in prison and a $250,000 fine. The money laundering charges each carry a maximum potential penalty of 10 years in prison and a $250,000 fine.
U.S. Attorney Craig Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation.
The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S. Attorney’s Office Criminal Division in Newark.
The charges and allegations contained in the superseding indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
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Defense counsel:
Adkins: Kevin Buchan Esq., Holmdel, New Jersey
Douglas: Joseph Corazza Esq., Sparta, New Jersey
Gillar: Thomas Ashley Esq., Newark
Mignott: Eric Breslin Esq., Newark
Union County, New Jersey, Tax Preparers Charged with Tax FraudRead the Press Release
NEWARK – Two Union County, New Jersey, tax preparers were arrested today on charges of filing scores of fraudulent tax returns, U.S. Attorney Craig Carpenito announced.
Samuel Davis Jr., 52, and Kyna Felder-Ruiz, 35, both of Plainfield, New Jersey, were indicted by a federal grand jury on April 11, 2018. Davis is charged with conspiring to aid and abet the filing of more than 70 false tax returns, seven counts of aiding and abetting in the filing of false tax returns, and three counts of filing his own false tax returns. Felder-Ruiz is charged with conspiring to aid and abet the filing of more than 70 false tax returns and four counts of aiding and abetting in the filing of false tax returns. They are scheduled to appear today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to the indictment:
Davis is the owner and operator of Get Organized Tax & Accounting (GOTA), a tax preparation business in Plainfield. He retired as a detective sergeant from the N.J. State Police in 2016 after 28 years. Felder-Ruiz, who worked for the N.J. State Police as a public safety dispatcher for approximately two years and is currently a firefighter for the City of Plainfield, New Jersey, works as a tax preparer at GOTA. For the tax years 2011 to 2016, Davis and Felder-Ruiz prepared false individual income tax returns for various clients. They used a number of fraudulent practices, including falsely claiming deductions and fabricating educational credits in order to obtain refunds for their clients in amounts greater than those to which they were entitled.
For the tax years 2012 through 2014, Davis filed false individual income tax returns by falsely reporting the gross business income to GOTA. By doing so, Davis defrauded the IRS of tens of thousands of dollars in taxes.
The false filing charges with which Davis and Felder-Ruiz are charged each carry a maximum potential penalty of three years in prison and a $100,000 fine or twice the gross pecuniary gain or loss from the fraud. The maximum penalty for the conspiracy offense is five years in prison and a fine of $250,000, or twice the gross loss or gain caused by the offense.
U.S. Attorney Carpenito credited special agents of the IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen with the investigation leading to the indictment.
The government is represented by Assistant U.S. Attorney Shana W. Chen of the Criminal Division in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Defense Counsel:
Davis: Thomas Ashley Esq., Newark
Felder-Ruiz: TBDHonduran National Sentenced to 24 Years in Prison for Kidnapping Woman in Kansas City, Missouri and Raping Her as They Traveled to New JerseyRead the Press Release
CAMDEN, N.J. – A Honduran national was sentenced today to 288 months in prison for kidnapping his former girlfriend in Kansas City, Missouri, and raping her while they traveled to New Jersey, U.S. Attorney Craig Carpenito announced.
José Amaya-Vasquez, 33, previously pleaded guilty before U.S. District Judge Noel L. Hillman to Count One of an indictment, charging him with kidnapping, and Count Two, charging him with engaging in interstate domestic violence. Amaya-Vasquez previously pleaded guilty to Count Four which charged him with illegally re-entering the U.S. after having been deported. Judge Hillman imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Amaya-Vasquez is a citizen of Honduras. On Feb. 14, 2005, he attempted to enter the United States illegally in Texas, at which time the U.S. Customs and Border Protection (CBP) arrested him, gave him a Notice to Appear in Immigration Court and released him from custody. On July 13, 2005, he failed to appear as ordered, at which time an Immigration Judge entered an Order of Removal.
On June 7, 2014, the Kansas City, Missouri, Police Department arrested Amaya-Vasquez and charged him with domestic assault after he threw a comb at the victim and pushed her into a table. The police turned the defendant over to Immigration and Customs Enforcement (ICE), which removed him from the United States on July 4, 2014.
On Sept. 9, 2014, CBP officers arrested Amaya-Vasquez after he illegally entered the United States from Mexico near Eagle Pass, Texas. On Sept. 16, 2014, the defendant pleaded guilty to a count of illegal entry before a U.S. Magistrate Judge for the Western District of Texas and was sentenced to 30 days’ incarceration. On Oct. 22, 2014, ICE again removed the defendant from the United States and he was barred from re-entering the United States for 20 years. He admitted that he illegally re-entered the country in January 2015.
On May 23, 2015, Amaya-Vasquez met the victim in the parking lot of the Burlington Coat factory in Independence, Missouri. Amaya-Vasquez entered the victim’s vehicle, threatened her with a knife, duct-taped the victim and then took her and the victim’s 2-year old child to an abandoned house in Kansas City, where he sexually assaulted the victim at knifepoint.
From May 24, 2015, through May 25, 2015, Amaya-Vasquez took the victim and the child towards New York. He stopped at motels in Englewood, Ohio, and Bellmawr, New Jersey, and continued to rape the victim.
On May 26, 2015, officers from the Bellmawr Police Department, acting on information from the Kansas City Police Department, located the victim in the Bellmawr motel. Amaya-Vasquez escaped from the motel as the officers approached. Later that morning, officers from Bellmawr and Mt. Ephraim, New Jersey, arrested Amaya-Vasquez a short distance from the motel. Amaya-Vasquez has been in custody since his arrest.
In addition to the prison term, Judge Hillman sentenced Amaya to five years of supervised release, ordered him to pay $6,100 in restitution to the victim and ordered him to have no contact with the victim.
U.S. Attorney Carpenito credited special agents of the FBI’s South Jersey Resident Agency, under the direction of Special Agent in Charge Michael Harpster in Philadelphia, special agents of U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO), under Newark Field Office Director John Tsoukaris, and investigators with the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo, with the investigation leading to today’s sentencing. He also thanked the Kansas City Police Department and the Bellmawr Police Department for their assistance.
The government is represented by Senior Litigation Counsel Jason M. Richardson and Assistant U.S. Attorney Gabriel J. Vidoni of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel: Jose Luis Ongay Esq., Camden
Union County, New Jersey, Man Sentenced to 115 Months in Prison for Robbing Four BanksRead the Press Release
NEWARK, N.J. – An Elizabeth, New Jersey, man was sentenced today to 115 months in prison for robbing four banks in January 2017, including a TD Bank in Bergen County, New Jersey, U.S. Attorney Craig Carpenito announced.
Israel Cosme, 36, previously pleaded guilty before U.S. District Judge Esther Salas to an information charging him with four counts of bank robbery. Judge Salas imposed the sentence today in Newark federal court. Cosme was originally arrested Jan. 24, 2017 in connection with two of the bank robberies committed in Maryland.According to documents filed in this case and statements made in court:
Cosme admitted that on Jan. 15, 2017, he robbed a TD Bank in Little Ferry, New Jersey. During the robbery, Cosme verbally demanded money and told a teller that he would shoot her if she didn’t comply.
Cosme also admitted robbing a TD Bank in New York on Jan. 12, 2017; a TD Bank in Essex, Maryland, on Jan. 22, 2017; and a TD Bank in Baltimore, Maryland, on Jan. 23, 2017. During all three of these robberies, Cosme handed tellers a note demanding money and stating that he had a gun.
In addition to the prison term, Judge Salas sentenced Cosme to three years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation. He also thanked the Little Ferry Police Department, under the direction of Chief Ralph Verdi, for its assistance.The government is represented by Assistant U.S. Attorney Jason S. Gould of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: K. Anthony Thomas Esq., Assistant Federal Public Defender, Newark
Three People Charged with Interstate Gun Trafficking Conspiracy Spanning from Virginia to New JerseyRead the Press Release
NEWARK, N.J. – A Virginia woman who is an active-duty member of the U.S. Navy and a New Jersey couple have been charged with conspiring to illegally purchase five semi-automatic handguns bound for New Jersey, U.S. Attorney Craig Carpenito announced today.
Tesora Amanda Cortes Trejorojas, 23, of Norfolk, Virginia; Azia Sinclair, 28, of Newark; and Shyheim Tyson, a/k/a “Shy,” 22, of Newark, are charged by a superseding complaint with one count of conspiring to transport and receive in New Jersey firearms purchased and obtained outside the State of New Jersey. Sinclair had previously been charged by complaint filed in Newark federal court on March 12, 2018, for receiving a firearm, which had been shipped or transported in interstate commerce.
Trejorojas was arrested this morning and will appear this in Norfolk, Virginia, federal court. Sinclair and Tyson will appear on April 26, 2018, before U.S. Magistrate Judge Mark Falk in Newark federal court.
According to documents filed in this case and statements made in court:
In November 2017, Trejorojas and Sinclair allegedly engaged in numerous text messages with each other planning for Trejorojas to purchase firearms in Virginia, which Sinclair and her boyfriend, Tyson, would then transport back to New Jersey.
On Nov. 11, 2017, Sinclair and Tyson drove from New Jersey to Trejorojas’ residence in Norfolk. The three of them then went to a gun store in Norfolk, where Trejorojas purchased five semiautomatic handguns, as well as 200 rounds of ammunition, with cash provided by Sinclair and Tyson. The next day, Sinclair and Tyson drove back to New Jersey with the five handguns and ammunition.
Approximately five hours after Sinclair and Tyson arrived back in New Jersey, an individual was arrested in Orange, New Jersey, after police officers responded to the sound of gunshots. During the arrest, police officers recovered one of the five handguns that Sinclair and Tyson had transported from Virginia to New Jersey.
In March 2018, law enforcement executed a search warrant on Sinclair’s residence in Newark, and found another of the guns that Sinclair and Tyson had transported from Virginia to New Jersey in November 2017.
The conspiracy to deal in firearms without a license carries a maximum potential penalty of five years in prison and a $250,000 fine.
U.S. Attorney Carpenito credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge John B. Devito, Newark Field Division, and Special Agent in Charge Thomas L. Chittum III, Washington Field Division, with the investigation leading to today’s charges. He also thanked the N.J. State Police; the Newark Department of Public Safety: and Naval Criminal Investigative Service (NCIS) in Norfolk for their assistance.
The government is represented by Assistant U.S. Attorney Jonathan W. Romankow of the Violent Crimes Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defense counsel:
Trejorojas: TBD
Sinclair: Linda Foster Esq., Assistant Federal Public Defender
Tyson: TBDNew Jersey Couple Resentenced for Child AbuseRead the Press Release
NEWARK, N.J. – A former U.S. Army major and his wife were sentenced today for their respective roles in abusing their adopted children, who all were less than 4 years old and developmentally delayed, through neglectful and cruel acts, including breaking their bones, denying them medical attention, withholding water and force-feeding them hot sauce, U.S. Attorney Craig Carpenito announced.
Carolyn Jackson, 40, was sentenced to 40 months in prison and her husband, John E. Jackson, 42, formerly a major in the Army at the Picatinny Arsenal Installation in Morris County, New Jersey, was sentenced to three years of probation. Both will get credit for time already served.
Convicted by a jury in July 2015 on multiple counts of child endangerment, Carolyn Jackson had originally received 24 months in prison and John E. Jackson had received probation and 400 hours of community service when they were originally sentenced in December 2015. The government appealed their sentences to the U.S. Court of Appeals for the Third Circuit, which ruled in July 2017 that the District Court had committed several errors in the process of imposing those sentences.
“Obviously, we are disappointed that the court did not agree with the sentences we sought,” U.S. Attorney Carpenito said. “This is a case where the victims were children, horribly abused by the foster parents to whom they were entrusted. A punishment that was severe – but fair – was warranted.”
The Jacksons were each found guilty following a four-month trial before U.S. District Judge Katharine S. Hayden in Newark federal court of one count of conspiracy to endanger the welfare of a child; Carolyn Jackson was found guilty of 11 substantive counts of endangering the welfare of a child and John Jackson was found guilty of nine substantive counts of endangering the welfare of a child. Judge Hayden imposed the sentences today in Newark federal court.
The case falls under federal jurisdiction because the crimes were committed on a military base. John Jackson was discharged from the Army in May 2015.
According to documents filed in this case and the evidence at trial:
From August 2005 until April 23, 2010, Carolyn and John Jackson conspired to engage in a constant course of neglect and cruelty towards three children they fostered and then adopted. The Jacksons told their biological children not to report the physical assaults to others, saying that the punishments and disciplinary techniques were justified, as they were “training” the adopted children how to behave.
After John Jackson was informed by a family friend that the oldest biological child had revealed the abuse in the Jackson household, John Jackson reported the breach to Carolyn Jackson, who retaliated against that biological child by beating the child 30 times with a belt.
As part of the conspiracy, the Jacksons physically assaulted their adopted children with various objects, causing two children to sustain fractured bones (including a fractured spine, fractured skull and fractured upper arms); failed to seek prompt medical attention for their injuries; withheld sufficient nourishment and food from their adopted children; withheld adequate water from two of their children and, at times, prohibited them from drinking water altogether; forced two of the children to consume foods intended to cause them pain and suffering, such as red pepper flakes and hot sauce, and caused one child to ingest excessive sodium or sodium-laden substances while being deprived of water, leading to a life-threatening condition on two separate occasions in two states. The Jacksons even punished one adopted child, who had to resort to sneaking food and drinking from the toilet, by hitting the child, making the child ingest hot sauce, and forcing the child to eat a raw onion like an apple.
None of the children, adoptive and biological, remain in the custody of the defendants.
Judge Hayden also sentenced Carolyn Jackson to three years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation leading to today’s sentencings. He also thanked the U.S. Army Criminal Investigation Command, under the command of Major General David E. Quantock, and the Morris County Prosecutor’s Office, under the direction of Prosecutor Fredric M. Knapp.
The government is represented by Deputy U.S. Attorney Thomas Eicher and Assistant U.S. Attorney John Romano of the U.S. Attorney’s Office in Newark.
Mercer County Man Sentenced to 92 Months in Prison for Cocaine Distribution ConspiracyRead the Press Release
TRENTON, N.J. – A Trenton man was sentenced today to 92 months in prison for his role in a conspiracy to distribute more than a kilogram of cocaine and crack cocaine in the Trenton area, U.S. Attorney Craig Carpenito announced.
Bobby Williams, 38, previously pleaded guilty before U.S. District Judge Michael A. Shipp to Count One of a superseding indictment charging him with conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine and to manufacture, distribute, and possess with intent to distribute 28 grams or more of cocaine base. Judge Shipp imposed the sentence today in Trenton federal court.
According to the documents filed in this case and statements made in court:
From September 2013 through his arrest on Jan. 13, 2016, Williams conspired with co-defendants Khalfini Richardson, William Enmond and Capitol T. Wellons to distribute cocaine and manufacture and distribute crack cocaine primarily from two adjacent residences in Trenton.
At his plea hearing, Williams admitted conspiring to distribute a total of 1.72 kilograms of cocaine and 82.9 grams of crack cocaine.
In addition to the prison term, Judge Shipp sentenced Williams to five years of supervised release.
Enmond entered a guilty plea and was sentenced on July 20, 2017, to 60 months in prison. Richardson and Wellons both pleaded guilty and were sentenced February 21, 2018, to 156 months and 84 months, respectively, in prison.
U.S. Attorney Carpenito credited special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Molly Lorber and Joseph Gribko of the U.S. Attorney’s Office Criminal Division in Trenton.
Defense counsel: John S. Furlong Esq., Ewing, New Jersey
Fort Dix Correctional Officer Charged with Accepting Bribes in Exchange for Delivering Contraband to InmatesRead the Press Release
NEWARK, N.J. – A corrections officer was arrested for allegedly accepting cash bribes in exchange for delivering contraband to inmates at Federal Correctional Institution Fort Dix (FCI Fort Dix), U.S. Attorney Craig Carpenito and Special Agent in Charge Ronald G. Gardella of the U.S. Department of Justice Office of the Inspector General, New York Field Division, announced today.
Paul Anton Wright, 32, of Berlin, New Jersey, was arrested by federal agents this morning and charged by complaint with agreeing to accept and accepting bribes. Wright appeared this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court and was released on $100,000 unsecured bond.
According to the complaint:
In 2015, Wright, a corrections officer at FCI Fort Dix, allegedly smuggled contraband, including K2 synthetic marijuana and suboxone, a Schedule III narcotic used to treat opioid addiction, to inmates inside FCI Fort Dix. Wright received the contraband and cash bribes from two individuals outside of FCI Fort Dix.
For instance, between February and September 2015, Wright received thousands of dollars in cash payments from the relative of an FCI Fort Dix inmate and subsequently delivered contraband, including K2, to the inmate. According to bank records, on Feb. 19, 2015, there was a $2,500 cash withdrawal from the relative’s bank account and a $2,500 deposit into Wright’s bank account the following day. There were also three phone calls between Wright and the relative during this two-day period. On other occasions, the cash payments were deposited into Wright’s bank accounts or used by Wright for cash buy-ins at the Borgata casino in Atlantic City, New Jersey.
In addition, between October and December 2015, Wright received thousands of dollars in cash payments from the relative of an inmate’s girlfriend. Wright met with this relative in Bronx, New York, on multiple occasions, and on each occasion, Wright accepted contraband and cash. He subsequently delivered the contraband to an inmate at FCI Fort Dix.
The bribery count with which Wright is charged carries a maximum potential penalty of 15 years in prison and a $250,000 fine.
The charge and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Justice Office of the Inspector General, New York Field Division, under the direction of Special Agent in Charge Gardella, with the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorney Rahul Agarwal, Deputy Chief of the U.S. Attorney’s Office Criminal Division.
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Defense counsel: Linda Foster Esq., Assistant Federal Public Defender, Newark
Burlington County, New Jersey, Pharmacist Sentenced to 15 Years in Prison for Illegally Distributing Opioids from ‘Pill Mills’Read the Press Release
CAMDEN, N.J. – A Medford, New Jersey, pharmacist was sentenced today to 180 months in prison for illegally distributing and dispensing oxycodone from two pharmacies located in Medford, U.S. Attorney Craig Carpenito announced.
Michael Ludwikowski, 46, the owner of Olde Medford Pharmacy and Medford Family Pharmacy, was previously convicted of six counts in an indictment charging him with illegally distributing and dispensing oxycodone, a Schedule II controlled substance, and maintaining a drug-involved premises. He was convicted following a five-week trial before U.S. District Judge Jerome B. Simandle, who imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
From March 2008 through August 2013, Ludwikowski, the pharmacist-in-charge of Olde Medford Pharmacy, and his employee, David M. Goldfield, 60, of Medford Lakes, New Jersey, knowingly distributed and dispensed oxycodone and other controlled substances to individuals, including addicts, who presented phony prescriptions.Ludwikowski ordered large quantities of oxycodone from a national distributor. The distributor established thresholds for the quantity of controlled substances that it supplied to certain pharmacies. Ludwikowski and his pharmacies received large quantities of 30mg oxycodone pills, even though he knew the painkiller was not going to be used for legitimate medical reasons.
In some instances, the customers presented fraudulent prescriptions for a non-narcotic substance that had been “washed,” or “bleached,” through a chemical process that removed the original writing. The customers then rewrote the prescriptions for their drug of choice, oxycodone. Ludwikowski and Goldfield also ignored concerns raised by an employee who pointed out an obviously altered prescription.
Customers who used the fraudulent prescriptions generally paid in cash and provided gifts to Ludwikowski and Goldfield. In some instances, these customers filled fraudulent prescriptions for oxycodone multiple times a week.
In furtherance of the scheme, Ludwikowski and another pharmacist he employed – referred to in the indictment as “Pharmacist 3” – reached an agreement with a physician –referred to in the indictment as “Doctor 1” – to “steer” Doctor 1’s patients to Ludwikowski’s pharmacies. In a text message from Pharmacist 3 to Ludwikowski on Jan. 11, 2013, Pharmacist 3 wrote: “I talked to [Doctor 1] and he is going to direct all of his patients to us he is the pain doc in Cherry Hill.”
In addition to the prison term, Judge Simandle sentenced Ludwikowski to five years of supervised released, 1,000 hours of community service and ordered him to pay a fine of $12,000.
U.S. Attorney Carpenito credited special agents of the FBI’s Newark Field Office, under the direction of Acting Special Agent in Charge Bradley W. Cohen; the Drug Enforcement Administration’s Newark Division, under the direction of Special Agent in Charge Valerie A. Nickerson; the Medford Police Department under the direction of Chief Richard J. Meder; the Moorestown Police Department under the direction of Chief Lee R. Lieber; the Florence Police Department under the direction of Chief John Bunce; and the Lumberton Police Department under the direction of Chief Tony Diloreto, with the investigation leading to today’s sentencing.
The government is represented Senior Litigation Counsel Jason M. Richardson of the U.S. Attorney’s Office in Camden, as well as Assistant U.S. Attorney Sarah Devlin of the Office’s Asset Forfeiture and Money Laundering Unit.
Defense counsel: Edwin J. Jacobs Jr. Esq., Atlantic City, New Jersey
Two Paterson Police Officers Charged with Conspiring to Violate Civil RightsRead the Press Release
NEWARK, N.J. – Two Passaic County, New Jersey, men were arrested today for allegedly violating the civil rights of two individuals during a motor vehicle stop in Paterson, New Jersey, with one officer also being charged with extortion for personally accepting a firearm in exchange for reducing the charges on an arrestee, U.S. Attorney Craig Carpenito announced.
Jonathan Bustios, 28, and Eudy Ramos, 31, both of Paterson, New Jersey, were arrested by federal agents this morning and charged by complaint with conspiring to deprive individuals of civil rights under color of law. Bustios was also charged with one count of extortion under color of official right. Both defendants are scheduled to appear this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to the complaint:
The investigation uncovered instances in which Bustios and Ramos, both officers of the Paterson Police Department, allegedly stopped motor vehicles, detained the occupants, and searched those vehicles without any justification. On certain occasions, Bustios and Ramos also took cash and other items without justification before releasing the detained occupants.
For example, on Feb. 20, 2018, while on duty, Bustios pulled over a BMW and stopped behind the vehicle, while Ramos stopped his police car in front of the vehicle. Bustios and Ramos exited their police cars and proceeded to search the front and back of the BMW and the trunk. Bustios and Ramos also detained and searched the two occupants of the BMW and put them into the backseat of Ramos’ police car.
After searching the BMW, Bustios left the scene, drove for ten minutes, then stopped his police car and took out a white plastic bag that was filled with cash. Bustios also took out a firearm. He then called Ramos, after which Ramos released the two detained occupants of the BMW and drove to meet Bustios. Bustios passed a portion of the recovered cash to Ramos through the window of Bustios’ police car.
Later that day, Bustios and Ramos turned in the firearm that they had recovered. In the offense report pertaining to the firearm, they told a false story about having recovered the firearm due to a tip by a concerned citizen. In fact, there was no tip by a concerned citizen. They did not report to the Paterson Police Department that they had stopped and searched the BMW, detained and searched its occupants, and taken cash, all without any warrants.
Bustios was also charged with extortion under color of official right for an incident that allegedly occurred on March 14, 2018. Bustios arrested and detained an individual and placed the individual in the backseat of his police car. Bustios then told the individual that Bustios would not charge the individual with resisting arrest and would allow the individual to keep the cash that the individual had on him, in exchange for the individual helping Bustios acquire a firearm. Specifically, Bustios said, “I ain’t gonna charge you with resisting, and I’m letting you keep your money bro.” Bustios then told the individual, “If you don’t wanna make the deal, you don’t have to make the deal.”
The individual ultimately agreed and directed Bustios to the location of a firearm, which Bustios allegedly recovered and kept without turning it over to the Paterson Police Department. According to Paterson Police Department records, as he had promised, Bustios did not charge the individual with resisting arrest. Bustios also submitted an arrest report in which he failed to mention any details about recovering a firearm.
The conspiracy to violate civil rights count with which Bustios and Ramos are charged carries a maximum penalty of 10 years in prison. The extortion under color of official right count with which Bustios is charged carries a maximum penalty of 20 years in prison.
The charges and allegations in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the ongoing investigation leading to today’s arrest. He also thanked the Paterson Police Department, under the direction of Paterson Police Director Jerry Speziale and Police Chief Troy Oswald, as well as the Paterson Police Department Office of Internal Affairs, for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Rahul Agarwal, Deputy Chief of the U.S. Attorney’s Office Criminal Division.
South Carolina Man Charged with Distribution of Child PornographyRead the Press Release
NEWARK, N.J. – A South Carolina man will appear in federal court today on charges of distributing images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
Rashad Russell, 28, was indicted by a federal grand jury on April 6, 2018, on one count of distribution of child pornography. He is scheduled to make his initial appearance today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to documents filed in this case and statements made in court:
Between December 2017 and March 2018, Russell allegedly contacted a law enforcement officer working in an undercover capacity through Facebook messenger stating that he was willing to travel from South Carolina to New Jersey to meet the undercover agent’s purported 8-year-old child for the purpose of engaging in sexual acts with the child. On Jan. 8, 2018, Russell sent two images and one video to the undercover officer, including images of prepubescent children being sexually abused.
The charge of distribution of child pornography carries a mandatory minimum penalty of five years in prison, a maximum potential penalty of 20 years in prison, and a $250,000 fine.U.S. Attorney Carpenito credited special agents with the Department of Homeland Security, Homeland Security Investigations, under the direction of Acting Special Agent in Charge Brian Michael, with the investigation leading to the indictment.
The government is represented by Special Assistant U.S. Attorney Leah Gould of the U.S. Attorney’s Office Public Protection Unit in Newark.
Salem County, New Jersey, Man Indicted for Illegally Selling and Possessing Firearms in South JerseyRead the Press Release
CAMDEN, N.J. – A Salem County, New Jersey, man was indicted by a federal grand jury today for illegally selling firearms without a license and unlawfully possessing firearms after having been previously convicted of a felony, U.S. Attorney Craig Carpenito announced.
Corey Moore, 32, of Salem, New Jersey, was charged by indictment with 12 counts of dealing in firearms without a federal firearms license and 12 counts of possession of firearms by a convicted felon.
According to documents filed in this case and statements made in court:
From July 2016 through December 2016, Moore sold 15 firearms to a confidential informant working with the Bureau of Alcohol, Tobacco, Firearms and Explosives in 12 separate transactions. Moore conducted each sale in a similar manner, texting the informant photographs of various firearms that Moore had for sale and negotiating a price. He made each of the sales at a convenience store in Gloucester County, and sold all but one of the firearms with ammunition.
The counts of unlawfully dealing in firearms without a license each carry a maximum potential penalty of five years in prison and a $250,000 fine. The counts of possession of firearms by a convicted felon each carry a maximum penalty of 10 years in prison and a maximum fine of $250,000.
U.S. Attorney Carpenito credited special agents of the ATF, under the direction of Special Agent in Charge John B. Devito, Newark Field Division; Logan Township Police Department, under the direction of Chief Robert T. Leash, and the Salem County Prosecutor’s Office, under the direction of John T. Lenahan, with the investigation leading to today’s indictment.The government is represented by Assistant U.S. Attorney Diana Vondra Carrig of the U.S. Attorney's Office in Camden.
The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defense counsel: Lisa Lewis Esq., Assistant Federal Public Defender, Camden
Owner of Newark, New Jersey, Automobile Export Business Sentenced to 18 Months in Prison for Filing False Tax Returns and Structuring CrimesRead the Press Release
NEWARK, N.J. – A Newark man was sentenced today to 18 months in prison for filing false tax returns and structuring cash payments to avoid reporting requirements, U.S. Attorney Craig Carpenito announced.
Okoro Ifeanyi, 56, previously pleaded guilty before U.S. District Judge Stanley R. Chesler to a two-count information charging him with filing false tax returns with respect to his 2010 through 2013 personal tax returns and with structuring financial transactions in 2007 and 2008 to avoid reporting requirements. Judge Chesler imposed the sentence today in Newark federal court.
According to the documents filed in this case and statements made in court:
Ifeanyi was the owner and operator of Amiri Mbubu Auto Sales. His primary business was buying used cars in and around New Jersey, often at auto auctions, and exporting the cars to Nigeria.
Ifeanyi admitted to substantially underreporting his income on his 2010, 2011, 2012, and 2013 U.S. individual income tax returns, specifically, failing to report additional taxable income that he earned through his business. According to the information, by failing to report his true income, Ifeanyi avoided paying approximately $461,085 in taxes.
Ifeanyi also admitted to structuring a series of transactions in 2007 and 2008. He made 17 different deposits into his Bank of America account, each less than $10,000, in order to avoid currency reporting requirements.
In addition to the prison term, Judge Chesler sentenced Ifeanyi to three years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, with the investigation leading to today’s sentencing.The government is represented by Assistant U.S. Attorney Justin S. Herring of the U.S. Attorney's Office Economic Crimes Unit in Newark.
Defense counsel: Patrick O’keke Esq., New York
Monmouth County Investment Adviser Admits Investment Fraud Scheme, Aggravated Identity Theft, and Preparing Phony Tax ReturnsRead the Press Release
TRENTON, N.J. – A Farmingdale, New Jersey, man today admitted perpetrating a long-running scheme to defraud investment clients out of millions of dollars, forging an attorney’s signature without authorization in connection with that scheme, and preparing false tax returns for his clients, U.S. Attorney Craig Carpenito announced.
Scott Newsholme, 43, pleaded guilty before U.S. District Judge Anne E. Thompson in Trenton federal court to a three-count information charging him with wire fraud, aggravated identity theft, and preparing fraudulent tax returns.
In September 2017, Newsholme was charged by criminal complaint with mail fraud, wire fraud, and securities fraud, and was released on bail. In October 2017, after law enforcement discovered that Newsholme continued his fraudulent scheme while out on bail, he was charged in an amended criminal complaint with mail fraud, wire fraud, securities fraud, and aggravated identity theft. Newsholme’s bail was revoked and he was detained pending trial.
According to documents filed in this case and statements made in court:
Since 2002, Newsholme owned and operated at least three different financial advisory and tax return preparation businesses. Between 2007 and 2017, Newsholme recommended to multiple clients that they invest their money with him, which he would use on their behalf to invest in various securities and other investments, including bond instruments issued by a private New Jersey country club, a bond investment in a video-game production company, and investments in the production of a movie.
Newsholme also represented to clients that he would invest their money in more traditional securities, including mutual funds, annuities, life insurance policies, college education accounts, money market funds, and an escrow account for the purchase of a house. Newsholme directed his investment clients to write checks to him or one of his companies so that he could execute the investments on their behalf.
However, rather than invest the money as he represented, Newsome cashed or deposited the checks and used the funds for personal expenses, including multiple vehicles, bedroom furniture, debits at casinos, bank transfers to Newsholme’s personal bank accounts, and ATM withdrawals.
Newsholme concealed his scheme by diverting incoming investment funds to pay other clients who had requested to withdraw funds from their investment portfolios. Newsholme also provided his clients phony account statements, security instruments, and other documentation that falsely represented to the clients the status of their investments.
In October 2017, in furtherance of the scheme, Newsholme provided a letter to one of his investment clients from whom he had misappropriated approximately $62,000. The letter, which Newsholme represented had been prepared by an attorney, stated that the client’s funds were held safely in an escrow account established by the attorney. However, as he admitted today, Newsholme fabricated the letter and forged the attorney’s signature without the attorney’s authorization in order to conceal his misappropriation of the funds.
During the scheme, Newsholme misappropriated more than $3.1 million from his investment clients, resulting in net investment losses of more than $1.8 million.
In addition to the wire fraud and aggravated identity theft charges, Newsholme also admitted preparing fraudulent tax returns on behalf of his clients. The fraudulent returns that Newsholme prepared claimed inflated deductions for unreimbursed employee business expenses, charitable donations, and medical expenses to which his clients were not entitled.
The wire fraud charge to which Newsholme pleaded guilty carries a maximum potential penalty of 20 years in prison and a $250,000 fine. The aggravated identity theft charge to which Newsholme pleaded guilty carries a mandatory sentence of two years in prison, which must run consecutive to the sentences on the other two counts. The false tax return charge carries a maximum potential sentence of three years in prison and a $250,000 fine. Sentencing is scheduled for July 19, 2018.
U.S. Attorney Carpenito credited special agents of the FBI, Newark Division, Red Bank Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, with the investigation. He also thanked the SEC’s New York Regional Office, under the direction of Director Mark P. Berger, and the N.J. Bureau of Securities, under the direction of Bureau Chief Christopher Gerold, for their assistance.
The government is represented by Assistant U.S. Attorney J. Brendan Day of the U.S. Attorney’s Office’s Criminal Division in Trenton.
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Defense Counsel: Lisa Van Hoeck, Esq., Assistant Federal Public Defender
Federal Inmate Admits Possessing Hundreds of Images and Videos of Child Sexual Abuse While in PrisonRead the Press Release
CAMDEN, N.J. – A Plain City, Ohio, man today admitted possessing hundreds of images and videos of child sexual abuse while imprisoned at Federal Correctional Institution Fort Dix for a previous offense involving the receipt of child pornography, U.S. Attorney Craig Carpenito announced.
Jordan T. Allen, 31, pleaded guilty before Senior U.S. District Judge Joseph H. Rodriguez in Camden federal court to an information charging him with one count of possession of child pornography.
According to documents filed in this case and statements made in court:
Allen admitted that he possessed a micro SD Card containing 577 images and 340 videos of children being sexually abused, including videos of sadistic and masochistic sexual conduct involving infants and toddlers. In connection with his plea, Allen also admitted that he distributed child pornography to another inmate.
Allen and seven other inmates were arrested in April 2017 and February 2018 following an FBI investigation involving multiple covert recordings and several cooperating inmates. The investigation revealed that Allen and other inmates utilized contraband cellphones, micro SD cards, and access to the internet to obtain, view, and distribute child pornography within the prison. A co-defendant organized and helped facilitate this criminal activity by maintaining cloud accounts that were used as repositories for child pornography.
At sentencing, Allen faces a mandatory minimum term of 10 years in prison and a lifetime of supervised release. Sentencing is scheduled for July 17, 2018.
Charges remain pending against Brian J. McKay, 47, of Brookhaven, Pennsylvania; Christopher D. Roffler, 30, of Virginia Beach, Virginia; Jacob S. Good, 26, of Fredericksburg, Virginia; William H. Noble, 52, of Lowell, Massachusetts; and Charles Wesley Bush, 38, of Knoxville, Tennessee, all of whom were serving sentences for prior child pornography offenses while committing the alleged crimes in this case. The pending charges and allegations are merely accusations, and these defendants are presumed innocent unless and until proven guilty.
Two other inmates – Erik M. Smith, 36, of Iron Mountain, Michigan, and Anthony C. Jeffries, 32, of Orange, Virginia – have since pleaded guilty to informations charging them each with one count of possession of child pornography. Smith’s sentencing is scheduled for May 7, 2018. Jeffries’ sentencing is scheduled for July 10, 2018.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation. He also thanked officials of the Bureau of Prisons at Federal Correctional Institution Fort Dix for their assistance.
The government is represented by Assistant U.S. Attorneys Gabriel J. Vidoni and Alyson M. Oswald of the U.S. Attorney’s Office’s Criminal Division in Camden.
Defense counsel: Justin T. Lougry Esq., Camden
Essex County, New Jersey, Man Sentenced to 18 Years in Prison for Armed Robbery and CarjackingRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was sentenced today to 216 months in prison for robbing a Newark jewelry store and then stealing a car at gunpoint immediately afterwards, U.S. Attorney Craig Carpenito announced.
Orlando Nieves-Velez, 30, of Newark, previously pleaded guilty before U.S. District Judge Claire C. Cecchi to an indictment charging him with one count of Hobbs Act robbery, one count of carjacking, and one count of using a firearm in furtherance of a crime of violence. Judge Cecchi imposed the sentence today in Newark federal court.
According to the documents filed in this case and statements made in court:
On Dec. 1, 2016, Nieves-Velez robbed a jewelry store in Newark while brandishing a firearm. During the robbery, Nieves-Velez pressed a gun to the back of an employee’s neck and threatened to shoot him if the other employees didn’t give him jewelry.
After leaving the store with more than $20,000 in jewelry, Nieves-Velez stepped in front of a 2006 Nissan Altima. Nieves-Velez pointed his gun at the driver and ordered the driver out of the car. Nieves-Velez fired his gun into the air before fleeing in the Altima.
In addition to the prison term, Judge Cecchi sentenced Nieves-Velez to five years of supervised release and ordered him to pay restitution of $95,000.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, the U.S. Marshals Service, under the direction of U.S. Marshal Juan Mattos in Newark, and the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sammi Malek of the U.S. Attorney’s Office Criminal Division in Newark.
Defense Counsel: Kevin Carlucci Esq., Assistant Federal Public Defender, Newark
Camden Man Arraigned on Federal Drug Conspiracy ChargeRead the Press Release
CAMDEN, N.J. - A Camden man was arraigned in federal court today for his alleged role in a drug trafficking ring responsible for selling crack, heroin, and furanyl fentanyl in and around Camden, U.S. Attorney Craig Carpenito announced.
Davon Leak, 19, is charged in a second superseding indictment with one count of conspiracy to distribute 280 grams or more of cocaine base as well as quantities of heroin and furanyl fentanyl. He was arraigned this afternoon before U.S. Magistrate Judge Joel Schneider in Camden federal court and was remanded to the custody of Camden County, where he is being held on other charges. Leak was charged in the federal indictment following the arrests of 10 other members of the drug ring in June 2017.
According to documents filed in this case and statements made in court:
John Gunther, 34, of Blackwood, New Jersey, and Taleaf Gunther, 32, of Camden, obtained bulk supplies of narcotics, prepared and packaged those controlled substances for street level sale, provided crack cocaine, furanyl fentanyl, and heroin to other members for resale to customers, collected drug proceeds, and oversaw the daily sales and operation of the organization. Taleaf Gunther also allegedly possessed a firearm in furtherance of the drug trafficking conspiracy.
Other members of the organization – including William Roland, 36, Daron Suiter, 23, Karim Johnson, 39, Latoya Whealton, 33, and Malcolm McCoy, 27, all of Camden – assisted in the distribution and sale of the drugs. George Williams, 43, of Oaklyn, supplied heroin and furanyl fentanyl to the organization. Leak and Rajai Gaines, 36, of Camden, assisted with the preparation of drugs for resale. Mark Campbell, 28, of Sicklerville, New Jersey, supplied bulk quantities of crack cocaine to members of the organization.
The FBI-led investigation used surveillance, confidential informants, cooperating witnesses, more than 20 controlled drug purchases, record checks, a GPS vehicle tracker, and multiple telephone wiretaps and search warrants to uncover the operations of the drug trafficking organization. The investigation ultimately led to the seizure of over 300 grams of crack cocaine, quantities of furanyl fentanyl and heroin, a firearm, and drug paraphernalia.
The drug conspiracy charge with which Leak is charged carries a mandatory minimum term of 10 years in prison, a maximum potential penalty of life in prison, and a $10 million fine.On March 26, 2018, Johnson and Suiter pleaded guilty to conspiracy to distribute and to possess with intent to distribute 28 grams or more of cocaine base. As part of their pleas, Johnson and Suiter also accepted responsibility for distributing furanyl fentanyl to customers in Camden. Both defendants face a mandatory minimum term of 60 months in prison when they are sentenced on July 10, 2018.
On March 12, 2018, Williams pleaded guilty to conspiracy to distribute and to possess with intent to distribute furanyl fentanyl. His sentencing is scheduled for June 18, 2018.On March 5, 2018, Whealton pleaded guilty to conspiracy to distribute and to possess with intent to distribute 28 grams or more of cocaine base. As part of her plea, Whealton also accepted responsibility for distributing furanyl fentanyl and heroin to customers in Camden. She faces a mandatory minimum term of 60 months in prison at her sentencing on June 11, 2018.
The charges against John Gunther, Taleaf Gunther, Roland, Campbell, McCoy, Leak, and Gaines are still pending and they are presumed innocent unless and until proven guilty.
U.S. Attorney Carpenito credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael Harpster in Philadelphia; the Camden County Police Department, under the direction of Chief J. Scott Thomson; the Camden County Prosecutor’s Office, under the direction of Prosecutor Mary Eva Colalillo; and the N.J. State Police, under the direction of Superintendent Col. Patrick Callahan, with the investigation.
He also thanked the Camden County Sheriff’s Department, the Cherry Hill Police Department, and the U.S. Department of Homeland Security Investigations (HSI) for their assistance.
The government is represented by Assistant U.S. Attorney Gabriel J. Vidoni of the U.S. Attorney’s Office Criminal Division in Camden.
Defense counsel: Teri Lodge Esq., Marlton, New Jersey
Bergen County, New Jersey, Man Sentenced to Three Years in Prison for Violent North Jersey CarjackingRead the Press Release
NEWARK, N.J. – A Waldwick, New Jersey, man was sentenced today to 36 months in prison for carjacking a taxi and striking the victim on the head with a beer bottle, U.S. Attorney Craig Carpenito announced.
Arlyn Jowany Carrasco Cruz, 28, previously pleaded guilty before U.S. District Judge Jose L. Linares to an information charging him with one count of carjacking. Judge Linares imposed the sentence today in Newark federal court.According to documents filed in this case and statements made in court:
In the early morning hours of Dec. 26, 2016, Cruz and at least five others forcibly took a 2008 Dodge Caravan from a taxicab driver. Cruz and the others forced the taxicab driver into the back of the vehicle and took over driving. As they drove toward Waldwick, Cruz struck the victim in the head with a beer bottle before being let out of the cab.
After dropping Cruz off, the others continued driving the cab to New York, and one individual caused further serious bodily injury to the victim by slicing his throat with a knife before leaving him on the side of the New York State Thruway near Woodbury, New York. The taxicab driver survived.
In addition to the prison term, Judge Linares sentenced Cruz to three years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, investigators from the Bergen County Prosecutor’s Office, under the direction of Acting Prosecutor Dennis Calo, and the Ridgewood and Hawthorne Police Departments with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Elaine K. Lou and Karen D. Stringer of the U.S. Attorney’s Office’s Criminal Division in Newark.
Defense counsel: Susan C. Cassell Esq., Ridgewood, New Jersey
Three People Charged with Sex Trafficking of A ChildRead the Press Release
NEWARK, N.J. – Two individuals who allegedly forced a child into commercial sex acts at multiple hotels throughout Middlesex, Bergen, and Essex counties, will appear in court today with one of their customers to face federal sex trafficking charges, U.S. Attorney Craig Carpenito announced.
Richard Ortiz, 22, and Gabriella Colon, 18, both of Bronx, New York, are charged by complaint with two counts of sex trafficking of a child and one count of transporting a minor in interstate commerce for the purpose of prostitution. Aryeh Goodman, 35, of East Brunswick, New Jersey, is charged in a separate complaint with one count of sex trafficking of a child.
All three defendants are scheduled to appear this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court. Ortiz, Colon, and Goodman were originally arrested on related state charges in February 2018.
According to the complaints:
From January 2018 through February 2, 2018 Ortiz and Colon forced a child identified in the complaint as “Victim-1” to engage in commercial sex acts with various individuals at multiple hotels scattered throughout Middlesex, Bergen, and Essex counties.
In January 2018, Colon used her friendship with Victim-1 to convince Victim-1 to visit Colon in New York. After Victim-1 arrived in New York, Victim-1 learned that Colon was prostituting herself to support herself and her boyfriend, Ortiz.
Shortly thereafter, Colon and Ortiz transported Victim-1 to a hotel in New Jersey, where they allegedly took sexually explicit photographs of Victim-1. Colon and Ortiz then posted those images and advertised the sexual services of Victim-1 on Backpage.com.
When customers responded to the online advertisements, Colon or Ortiz would set up “dates” with Victim-1, where they allegedly forced Victim-1 to engage in commercial sex acts with those customers. Colon or Ortiz collected all of the proceeds and purchased a Jaguar, which they then used to transport Victim-1 between New York and New Jersey to engage in additional sex acts.
Goodman, a registered sex offender, was one of the individuals who responded to the advertisements that Colon and Ortiz posted. After Goodman allegedly had sex with Victim-1, Goodman offered to pay for additional time with Victim-1 and later invited Victim-1 to travel to New York to meet him.
The sex trafficking charge carries a mandatory minimum penalty of 10 years in prison and a maximum term of life imprisonment. The conspiracy to transport a minor to engage in prostitution charge is punishable by a maximum potential penalty of life imprisonment. Both charges carry a potential $250,000 fine.The charges and allegations in the complaints are merely accusations, and the defendants are considered innocent unless and until proven guilty.
The government is represented by Assistant U.S. Attorney and the District of New Jersey Human Trafficking Coordinator Meredith Williams of the U.S. Attorney’s Office OCDETF/Narcotics Unit in Newark.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, the Middlesex County Prosecutor’s Office, under the direction of Prosecutor Andrew C. Carey, and the East Brunswick Police Department, under the direction of Chief James Conroy, with the investigation.
New York Man Charged with Kidnapping and Assaulting A Victim in Essex County, New JerseyRead the Press Release
NEWARK, N.J. – A New York man will appear in federal court today to face allegations that he assaulted and kidnapped an individual who had a protection order against him, U.S. Attorney Craig Carpenito announced.
Rudolf Szoradi, 50, is charged by four-count criminal complaint with kidnapping, transporting a stolen vehicle across state lines, interstate domestic violence and interstate violation of a protection order. He is expected to appear this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court. Szoradi was originally arrested in December 2017 and was in state custody.
According to the complaint:
In 2017, a state court issued a protection order requiring Szoradi to stay away from the victim, an individual with whom Szoradi previously had a romantic relationship. In violation of that order, Szoradi took the victim to his relative’s residence in Essex County, New Jersey, in December 2017.
On Dec. 15, 2017, in the basement of that residence, Szoradi allegedly assaulted the victim, including choking, punching, and kicking the victim while the victim was on the ground. Szoradi also attacked the victim with a knife. The victim made numerous attempts to escape, but each time Szoradi allegedly placed himself on top of the victim and continued the assault, accusing the victim of cheating on him and threatening to kill the victim.
Later that day, Szoradi allegedly put the victim into the back seat of a vehicle that belonged to another relative of Szoradi. Using a string of Christmas tree lights, Szoradi allegedly tied up the victim’s arms and feet so that the victim could not escape. Szoradi did not have permission to take the vehicle, and the owner reported it stolen. With the victim restrained in the back seat, Szoradi drove the vehicle toward Florida.
While driving through North Carolina, the victim convinced Szoradi to take the victim to a hospital. Szoradi drove the victim to a hotel in Garner, North Carolina, allegedly to conceal the extent of the victim’s injuries before visiting the hospital.
On Dec. 16, 2017, Szoradi drove the victim to a hospital in Clayton, North Carolina. Surveillance video allegedly shows him drop an object into a trash can near the entrance of the emergency room, where law enforcement later recovered a knife. The victim was treated for serious injuries, including multiple knife punctures and hand lacerations, facial and neck trauma, multiple contusions, and blackened eyes. Szoradi was arrested at the hospital.
The kidnapping charge carries a maximum potential penalty of life in prison. The transportation of a stolen vehicle, interstate domestic violence, and interstate violation of a protective order charges are each punishable by 10 years in prison.
The charges and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation. He also thanked the Newark Police Division and Clayton police departments for their assistance.
The government is represented by Assistant U.S. Attorney Matt Feldman of the U.S. Attorney’s Office Public Protection Unit in Newark.
Essex County, New Jersey, Man Admits Defrauding Customers, Stealing Their Credit Card InformationRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man today admitted failing to deliver goods his business sold to customers, stealing his customers’ credit card information and falsely claiming that purchases on his own account were fraudulent, U.S. Attorney Craig Carpenito announced.
Scott Spina Jr., 20, of Bloomfield, New Jersey, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
Spina was in the business of selling high-end items, including sneakers, to customers that included professional athletes. Spina contracted with parties to provide high-end goods and collected payment for them, but failed to deliver the goods. He also made personal purchases using credit card information provided by his customers and others without their authorization. Spina also contacted his credit card company and falsely claimed that numerous purchases on his account were fraudulent. He admitted he obtained or sought to obtain more than $550,000 in money or goods.
The wire fraud charge carries a maximum penalty of 20 years in prison, and a fine of $250,000, or twice the gross gain to the defendant or twice the gross loss to others, whichever is greater. Sentencing is scheduled for July 23, 2018.
U.S. Attorney Carpenito credited special agents of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Ruth M. Mendonca, with the investigation leading to today’s guilty plea. He also thanked the Salem County Prosecutor’s Office, under the direction of Prosecutor John T. Lenahan; the N.J. State Police, under the direction of Col. Patrick J. Callahan; the East Hanover Police Department, under the direction of Chief Christopher F. Cannizzo; and the West Orange Police Department, under the direction of Chief James P. Abbott, for their assistance with the case.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Defense counsel: Vincent Scoca Esq., Bloomfield, New Jersey
Atlantic County Man Charged with Robbing Marlton BankRead the Press Release
CAMDEN, N.J. – A Brigantine, New Jersey, man appeared in federal court today to face allegations that he robbed a PNC Bank in Marlton, New Jersey, on Dec. 8, 2017, U.S. Attorney Craig Carpenito announced.
Matthew Burney, 43, is charged by complaint with one count of bank robbery. He appeared this afternoon before U.S. Magistrate Judge Joel Schneider in Camden federal court and was detained.
According to the complaint:
On Dec 8, 2017, Burney, while wearing a mask that covered the lower part of his face, allegedly entered the PNC Bank in Marlton and threatened to shoot the occupants if they activated the alarm. He pointed what appeared to be semi-automatic handgun at one of the tellers, threatened to shoot her, and demanded all the money from her teller drawer. The teller gave Burney some cash. Burney then approached a second teller, demanded money from her, and then fled the bank after she gave him more cash. Burney was arrested on Dec. 15, 2017 and has been in state custody since that time.
The bank robbery charge carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.
U.S. Attorney Carpenito credited special agents of the FBI Trenton Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, the Evesham, New Jersey, police department, under the direction of Chief Christopher Chew; the Bristol Township, Pennsylvania, police department, under the direction of Chief Robert Coulton, and the Burlington County Prosecutor’s Office, under the direction of Prosecutor Scott A. Cofina, with the investigation.
The government is represented by Senior Litigation Counsel Norman Gross of the U.S. Attorney’s Office in Camden.
The charge and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defense counsel: Christopher O’Malley Esq., Assistant Federal Public Defender, Trenton
Ocean County, New Jersey, Man Charged with Distributing Images of Child Sexual AbuseRead the Press Release
TRENTON, N.J. – A Toms River, New Jersey, man was arrested this morning on charges that he distributed images of child sexual abuse over a social media application, U.S. Attorney Craig Carpenito announced.
David Nelson, 43, is charged by complaint with one count of distributing child pornography. Nelson appeared this afternoon before U.S. Magistrate Judge Douglas E. Arpert in Trenton federal court and was detained.
According to the complaint:
As a result of an investigation conducted by the FBI Louisville, Kentucky, field office, law enforcement officers arrested an individual after he offered to broadcast the sexual abuse of his daughter over Kik Messenger to an undercover officer. A search of his cell phone revealed chat group communications between that individual and another Kik user operating under the user name “candicesloan1995.”
Law enforcement agents recovered more than two dozen images depicting child sexual abuse that “candicesloan1995” – later revealed to be Nelson – had disseminated over a Kik chat group between Oct. 24, 2017 and Oct. 26, 2017. Nelson allegedly used his personal cell phone to access Kik and disseminate images of child pornography to others over Kik chat groups.
The distribution charge carries a minimum penalty of five years in prison, a maximum potential penalty of 20 years in prison and a $250,000 fine.
U.S. Attorney Carpenito credited FBI special agents of the Franklin Township Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, FBI special agents under the direction of Special Agent in Charge Amy S. Hess in Louisville, and FBI special agents under the direction of Special Agent in Charge David P. Gelios in Detroit, with the investigation. He also thanked the Toms River Police Department, under the direction of Chief of Police Mitchell A. Little, for its assistance.
The government is represented by Assistant U.S. Attorney J. Brendan Day of the U.S. Attorney’s Office Criminal Division in Trenton.
The charge and allegations contained in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
Defense counsel: Andrea D. Bergman, Assistant Federal Public Defender, Trenton
Former Union Official Pleads Guilty to EmbezzlementRead the Press Release
TRENTON, N.J. - A former official for a union headquartered in Edison, New Jersey, today admitted embezzling funds from the union’s employee benefit plan, U.S. Attorney Craig Carpenito announced.
Sergio Acosta, 65, of Utuado, Puerto Rico, formerly of Passaic, New Jersey, pleaded guilty before U.S. District Judge Anne E. Thompson in Trenton federal court to a superseding information charging him with one count of theft, embezzlement and conversion to his own use, or to the use of another, money and funds of an employee welfare benefit fund.According to documents filed in this case and statements made court:
Acosta was the former president and a representative of United Auto Workers Local 2326, as well as a trustee of its health and welfare fund. Lawrence Ackerman, 53, of Old Tappan, New Jersey, allegedly formed Atlantic Business Associates (ABA) and other shell companies in 2001 in order use the Local 2326 welfare fund to provide medical insurance coverage to individuals who were not employees of ABA and therefore ineligible to participate in the union’s welfare fund. These individuals were willing to pay excessive monthly premiums to obtain medical coverage provided by Local 2326 welfare fund because they were unable to get similar coverage elsewhere.
Local 2326 was also obligated to pay contributions for its own staff employees to the welfare fund, which would in turn pay premiums to Blue Cross Blue Shield. However, based on the hundreds of ineligible enrollees that were recruited by Ackerman and permitted to use the Local 2326 fund, Acosta failed to pay premiums for his own staff employees that were still due to the fund from July 2011 through October 2012.
Acosta faces a maximum potential penalty of five years in prison and a $250,000 fine. Restitution will be determined at his sentencing, which is scheduled for Sept. 21, 2018.
Acosta and Ackerman were originally charged by indictment with conspiracy to defraud Horizon Blue Cross Blue Shield and the Local 2326 health and welfare fund with fraudulent health care claims. Those charges against Acosta will be dismissed at sentencing.The charges and allegations against Ackerman are still pending, and he is considered innocent unless and until proven guilty. Ackerman is scheduled for trial on Oct. 22, 2018.
U.S. Attorney Craig Carpenito credited special agents of the U.S. Department of Labor, Office of Inspector General, under the direction of Acting Special Agent in Charge Peter Nozka in New York; and the Office of Employee Benefit Security Act (EBSA), under the direction of Acting Regional Director Thomas Licetti in New York, with the investigation.
The government is represented by Senior Litigation Counsel V. Grady O’Malley and Assistant U.S. Attorney Kelly Graves of the U.S. Attorney’s Office Organized Crime\Gangs Unit.
Defense counsel: Alan Silber Esq., Hackensack, New Jersey.
U.S. Attorney’s Office Reaches Settlement with Gymnastics Center to Ensure Equal Access for Children with DisabilitiesRead the Press Release
NEWARK, N.J. – The U.S. Attorney’s Office today reached an Americans with Disabilities Act (ADA) settlement with a Hammonton-based gymnastics program to ensure equal access for individuals with disabilities in its classes, U.S. Attorney Craig Carpenito announced.
The agreement resolves an ADA complaint filed by parents of a six year-old child with medical disabilities, including one that requires the use of a gastrointestinal feeding tube. The child’s parents alleged that Youth Fitness and Fun LLC d/b/a Flyers’ Team, Flyers’ Academy and Flyers Gymnastics Academy (“Flyers”) refused to make reasonable modifications to its program for the child and then excluded the child because of her disabilities. The child was active in other physically-demanding, age-appropriate sports, and was allowed by her physician to participate in Flyers’ program.
After conducting an investigation, the U.S. Attorney’s Office determined that Flyers excluded the child from its program in violation of the ADA. Flyers cooperated with the investigation and has agreed to develop and amend its policies and practices to comply with the ADA and the Department of Justice’s implementing regulations. Flyers has also agreed to pay $1,000 in damages to the child.
The Justice Department, including the nation’s U.S. Attorneys, plays a critical role in enforcing the ADA. Title III of the ADA prohibits discrimination against individuals with disabilities by businesses that serve the public, including gymnasiums and other places of exercise and recreation. The law requires that these places of public accommodation make reasonable modifications to their policies, practices, and procedures when necessary to avoid discrimination on the basis of disability, unless the entity can show that making the modifications would fundamentally alter the nature of the service, program, or activity.
Individuals who believe they may have been victims of discrimination may file a complaint with the U.S. Attorney’s Office at http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint or call the U.S. Attorney’s Office’s Civil Rights Complaint Hotline at (855) 281-3339.
Additional information about the ADA can be found at www.ada.gov or by calling the Department of Justice’s toll-free information line at 800-514-0301 and 800-514-0383.
This government is represented by Assistant U.S. Attorney David V. Simunovich of the U.S. Attorney’s Office Civil Division.
Three People Charged in Stolen Identity Refund Fraud SchemeRead the Press Release
CAMDEN, N.J. – Three people were arrested today for their alleged roles in an extensive scheme to obtain money through fraudulently obtained refund checks issued by the U.S. Treasury, U.S. Attorney Craig Carpenito announced.
Jorge Gutierrez, 39, of Merchantville, New Jersey; Alberto Sanchez, 34, of Camden; and Roque Bisono, 29, of Maple Shade, New Jersey, were indicted by a grand jury for conspiring to defraud the United States, theft of government funds, and aggravated identity theft. Sanchez was additionally indicted on witness tampering charges, and Bisono was indicted for making false statements to federal law enforcement officials in connection with the investigation. They appeared before U.S. Magistrate Judge Joel Schneider in Camden federal court.
A fourth defendant, Awilda Henriquez, 32, of Camden, remains at large.
According to documents filed in this case and statements made in court:
Stolen Identity Refund Fraud (SIRF) is a common type of fraud committed against the United States government that involves the use of stolen identities to commit tax refund fraud. SIRF schemes generally share a number of hallmarks. Perpetrators obtain personal identifying information, including Social Security numbers and dates of birth, from unwitting individuals, who often reside in the Commonwealth of Puerto Rico. They then complete Form 1040 tax returns using the fraudulently obtained information and falsifying wages earned, taxes withheld, and other data, always ensuring that the fraudulent tax return generates a refund. They direct the U.S. Treasury Department to mail refund checks to locations that the perpetrators control or can access. With the fraudulently obtained refund checks in hand, SIRF perpetrators generate cash proceeds by depositing the checks into bank accounts that they control or cashing the checks at check cashing businesses.
For the 2013 tax year, in excess of 3,300 SIRF tax returns were filed using the names and Social Security numbers of residents of Puerto Rico, where the refunds were directed to be mailed to a small section of Pennsauken, New Jersey. Of the 3,300 returns filed, several refund checks were issued and ultimately cashed at check cashing agencies in New Jersey, Philadelphia, and New York using false and fraudulent identifications, including fake New Jersey driver's licenses, fake Social Security cards, and fake Department of Homeland Security Permanent Resident Identification cards.
Gutierrez, Bisono, Sanchez, and their conspirators allegedly obtained stolen identities of residents of Puerto Rico and used them to file fraudulent income tax returns seeking refunds to which they were not entitled. The conspirators recruited mail carriers from the U.S. Postal Service as part of the scheme to steal the tax refund checks from the mail. The mail carriers were paid for every U.S Treasury check that was stolen. The conspirators paid “check couriers” to cash the tax refund checks in a variety of ways, including at check cashing businesses in and around Camden, New Jersey. The check couriers presented fraudulent identifications at the check cashing businesses matching the names on the tax refund checks in order to cash the checks. In total, the scheme caused $565,091 in losses to the U.S. Treasury.
The counts of conspiracy to steal government funds are punishable by up to five years in prison. The counts of theft of government funds are punishable by a maximum potential penalty of 10 years in prison. The count of false statements is punishable by imprisonment of up to five years. The witness tampering count is punishable by up to 20 years in prison. The count of aggravated identity theft is punishable a statutory mandatory prison sentence of two years that must be served consecutively to any term of imprisonment imposed for the violation of any other count. All the counts are also punishable by a fine of up to $250,000, or twice the gain or loss caused by the offense.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen in Newark and Special Agent in Charge Vicki S. Duane in Philadelphia, and special agents of the U.S. Postal Service Office of Inspector General, with assistance from the U.S. Postal Inspection Service, under the direction of Inspector in Charge Daniel B. Brubaker, Philadelphia Division, with the investigation leading to today’s charges and arrests.
The government is represented by Assistant U.S. Attorneys Jason M. Richardson and Christina O. Hud of the Criminal Division, Camden.
The charges and allegations in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Former Atlantic County Prosecutor’s Office Detective Sentenced to 18 Months in Prison for Mortgage Fraud ConspiracyRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, woman who admitted her role in a more than $200,000 mortgage fraud conspiracy involving a property she purchased in Mays Landing, New Jersey, was sentenced today to 18 months in prison, U.S. Attorney Craig Carpenito announced.
Betsy Borges, 38, of Mays Landing, previously pleaded guilty before U.S. District Judge Jerome B. Simandle to an information charging her with one count of conspiracy to commit bank fraud. Judge Simandle imposed the sentence today in Camden federal court.
Borges was originally charged by complaint in May 2017 with Iraida Fuentes, 35, of Pleasantville, New Jersey.
According to documents filed in this case and statements made in court:
In December 2002, Borges purchased a property in Mays Landing. Despite failing to make mortgage payments to Wachovia and its successor, Wells Fargo, Borges collected rental income from tenants living in the property and concealed that income from the banks. Borges also falsely represented to Wells Fargo, on multiple occasions, that she could not make the mortgage payments for the property.
Borges subsequently arranged with Wells Fargo for Fuentez to purchase the property through a short sale. Not only did Borges and Fuentez conceal their familial relationship from Wells Fargo, they also concealed the fact that Borges and another conspirator provided Fuentez the funds to purchase the property.
On Sept. 20, 2012, Fuentez purchased the property at a price well below its actual value. On Nov. 22, 2016, B&B Properties – a company owned in part by Borges – purchased the property from Fuentez for $25,000. On Feb. 3, 2017, Borges then individually purchased the property from B&B Properties for one dollar.
In addition to the prison term, Judge Simandle sentenced Borges to three years of supervised release and ordered her to pay restitution of $206,405.
Fuentes pleaded guilty on Nov. 6, 2017 and was sentenced Feb. 9, 2018 to two years of probation.
U.S. Attorney Carpenito credited agents of the FBI’s Atlantic City Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Jacqueline M. Carle of the U.S. Attorney’s Office Criminal Division in Camden.Defense counsel: Louis M. Barbone Esq., Atlantic City, New Jersey.
Federal Inmate Admits Possessing Images of Child Sexual Abuse While in PrisonRead the Press Release
CAMDEN, N.J. – An Orange, Virginia, man today admitted possessing videos of child sexual abuse while imprisoned at Federal Correctional Institution Fort Dix for previous offenses involving the possession and distribution of child pornography, U.S. Attorney Craig Carpenito announced.
Anthony C. Jeffries, 32, pleaded guilty before Senior U.S. District Judge Joseph H. Rodriguez in Camden federal court to an information charging him with one count of possession of child pornography.
According to documents filed in this case and statements made in court:
Jeffries admitted that he possessed a micro SD Card containing 40 videos of children being sexually abused, including videos of sadistic and masochistic sexual conduct involving infants and toddlers. In connection with his plea, Jeffries also admitted that he was an organizer of criminal activity in the case and that he distributed child pornography to another inmate which had been obtained from the internet.
Jeffries and seven other inmates were arrested in April 2017 and February 2018 following an FBI investigation involving multiple covert recordings and several cooperating inmates. The investigation revealed that Jeffries and other inmates utilized contraband cellphones, micro SD cards, and access to the internet to obtain, view, and distribute child pornography within the prison. Jeffries organized and helped facilitate this criminal activity by maintaining cloud accounts that were used as repositories for obtaining child pornography.
At sentencing, Jeffries faces a mandatory minimum term of 10 years in prison and a lifetime of supervised release. Sentencing is scheduled for July 10, 2018.
Charges remain pending against Brian J. McKay, 47, of Brookhaven, Pennsylvania; Christopher D. Roffler, 30, of Virginia Beach, Virginia; Jordan T. Allen, 31, of Plain City, Ohio; Jacob S. Good, 26, of Fredericksburg, Virginia; William H. Noble, 52, of Lowell, Massachusetts; and Charles Wesley Bush, 38, of Knoxville, Tennessee, all of whom were serving sentences for prior child pornography offenses while committing the alleged crimes in this case. The pending charges and allegations are merely accusations, and these defendants are presumed innocent unless and until proven guilty.
An eighth inmate, Erik M. Smith, 36, of Iron Mountain, Michigan, has since pleaded guilty to possession of child pornography. His sentencing is scheduled for May 7, 2018.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation. He also thanked officials of the Bureau of Prisons at Federal Correctional Institution Fort Dix for their assistance.
The government is represented by Assistant U.S. Attorneys Gabriel J. Vidoni and Alyson M. Oswald of the U.S. Attorney’s Office’s Criminal Division in Camden.
Defense counsel: Christopher O’Malley Esq., Camden
Atlantic County, New Jersey, Pharmaceutical Representative Admits Health Care Fraud ConspiracyRead the Press Release
CAMDEN, N.J. – A Linwood, New Jersey, woman today admitted using phony claims for medically unnecessary prescriptions to defraud New Jersey state health benefits programs, U.S. Attorney Craig Carpenito and New Jersey Attorney General Gurbir S. Grewal announced.
Tara Lamonaca, 43, pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to an information charging her with conspiracy to commit health care fraud.
According to documents filed in this case and statements made in court:
From January 2015 through April 2016, Lamonaca recruited individuals in New Jersey to obtain very expensive and medically unnecessary compounded medications from an out-of-state pharmacy, identified in the informations as the “Compounding Pharmacy.” Certain compound medications – including pain, scar, antifungal, and libido creams, as well as vitamin combinations – were reimbursed for thousands of dollars for a one-month supply.
The conspirators knew that these medications were covered by an entity referred to in the informations as the “Pharmacy Benefits Administrator.” The Pharmacy Benefits Administrator provided benefit management services for the State Health Benefits Program, which covers qualified state and local government employees, retirees, and eligible dependents, and the School Employees’ Health Benefits Program, which covers qualified local education employees, retirees, and eligible dependents.
Lamonaca and others recruited individuals covered by the Pharmacy Benefits Administrator, including public employees, to fraudulently obtain unnecessary compounded medications from the Compounding Pharmacy. Lamonaca obtained insurance information from those individuals and gave it to another conspirator, who completed the prescriptions and had a doctor sign them without examining the individuals. The prescriptions were faxed to the Compounding Pharmacy, which filled the prescriptions and billed the Pharmacy Benefits Administrator.
The pharmacy then paid one of their conspirators a percentage of each prescription filled and paid by the Pharmacy Benefits Administrator, which was then distributed to Lamonaca and other members of the conspiracy.
According to the information, the Pharmacy Benefits Administrator paid Compounding Pharmacy over $50 million for compounded medications mailed to individuals in New Jersey, including $530,527.01 for prescriptions submitted by Lamonaca and her cohorts. Lamonaca received approximately $89,855.13 for her role in the scheme.
Lamonaca faces a maximum penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. As part of her plea agreement, Lamonaca must forfeit her criminal proceeds and pay restitution in an amount to be determined at sentencing. Sentencing is scheduled for July 19, 2018.
Eighteen other conspirators have pleaded guilty from August through March 2018 and await sentencing.
U.S. Attorney Carpenito credited agents of the FBI’s Atlantic City Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, IRS – Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen in Newark, and the U.S. Department of Labor, Office of Inspector General, under the direction of Acting Special Agent in Charge Peter Nozka in New York, with the investigation leading to the guilty pleas. He also thanked the Pensions and Financial Transactions Section of the Division of Law, within the Attorney General’s Office, under the direction of Attorney General Grewal and Division Chief Eileen Schlindwein Den Bleyker, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorneys Jacqueline M. Carle and R. David Walk, Jr. of the U.S. Attorney’s Office in Camden.
Defense counsel: Barry Gross Esq., Philadelphia
Medical Device Company Employee Admits Accepting Bribes for Securing Contract with His CompanyRead the Press Release
NEWARK, N.J. – A Monroe, New York, man today admitted accepting bribes in exchange for his assistance in securing a contract between a metallurgical technology company (the “technology company”) and his employer, a medical device company in New Jersey (the “medical device company”), U.S. Attorney Craig Carpenito announced.
Daniel Lawrynowicz, 48, pleaded guilty before U.S. District Judge Madeline Cox Arleo in Newark federal court to an information charging him with one count of violating the Federal Travel Act.
According to documents filed in this case and statements made in court:
In 2012, Lawrynowicz was an employee of the medical device company in New Jersey. Eugene Ostrovsky and two other individuals were principals of the technology company. Ostrovsky, along with the other individuals, sought a contract worth $5.5 million with the medical device company. Lawrynowicz could make recommendations to others at the medical device company related to the goods that the technology company sought to supply under the contract.
Ostrovsky and the other individuals made illicit bribe payments to Lawrynowicz in exchange for his assistance in helping the technology company secure the contract with the medical device company. These payments included a cash payment of approximately $75,000 to Lawrynowicz after the contract between the two companies was signed.
The count of violating the Federal Travel Act carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Lawrynowicz must also forfeit $75,000 as part of today’s guilty plea. Sentencing is scheduled for July 23, 2018.
On Feb. 27, 2017, Ostrovsky pleaded guilty to an information charging him with violating the Federal Travel Act for his role in the bribery scheme. He was sentenced March 9, 2018, to six months in prison, six months of home confinement and two years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Bernard J. Cooney of the U.S. Attorney’s Office Health Care and Government Fraud Unit in Newark.
Defense counsel: Peter Till Esq., Springfield, New Jersey
New York Woman Admits Role in Dominican Heroin Trafficking RingRead the Press Release
NEWARK, N.J. – A New York woman today pleaded guilty to her role in a Dominican drug trafficking ring responsible for distributing multi-kilogram quantities of heroin in New Jersey, U.S. Attorney Craig Carpenito announced.
Maria Peterson, a/k/a “Chabela” 47, pleaded guilty before U.S. District Judge Kevin McNulty to an information charging her with one count of conspiracy to distribute more than a kilogram of heroin and one substantive count of distributing more than a kilogram of heroin.
According to the documents filed in this case and statements made in court:
During the course of an investigation into a drug trafficking organization operating in New Jersey, the Dominican Republic, Mexico, and elsewhere, law enforcement learned that Yasmil Minaya, Martin Baez Garcia, Amauri Pimental Hogando, Peterson and others served as local distributors for the organization in New Jersey and New York.
The narcotics, which were usually transported to New Jersey and New York via truck, were received and paid for by the defendants before they were distributed on the street. This drug trafficking organization has been linked to several multiple-kilogram seizures of heroin, including a seizure of approximately two kilograms of heroin in March 2015 in New York, a seizure of approximately four kilograms of heroin in November 2015 in New Jersey, and a seizure of approximately 10 kilograms of heroin in New Jersey in January 2017.
Peterson admitted that on March 25, 2015, she receiving a package of nearly two kilograms of heroin at her New York address, which she gave to Hogando. She also admitted providing money to a conspirator in order to pay for some or all of the four-kilogram heroin shipment that was sent to New Jersey on Nov. 28, 2015.
Both charges in the information are punishable by a mandatory minimum sentence of 10 years in prison, a maximum sentence of life imprisonment, and a $10 million fine. Sentencing is scheduled for July 11, 2018.
Garcia pleaded guilty in February 2018 and awaits sentencing. The charges against Minaya and Hogando are still pending, and they are considered innocent unless and until proven guilty.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies dedicated to identifying and dismantling the most serious drug trafficking, weapons trafficking and money laundering organizations.
U.S. Attorney Carpenito credited special agents and task force officers with the Drug enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson, and officers of the N.J. State Police, Trafficking North Unit, under the direction of Superintendent Col. Patrick Callahan, with the investigation.
The government is represented by Assistant U.S. Attorney Melissa Wangenheim of the U.S. Attorney’s Office Criminal Division in Newark.
Defense Counsel: Scott D. Finckenauer Esq., Fairview, New Jersey
Tax Return Preparer Indicted on Additional Charges Related to Tax Fraud and Refund Theft Schemes Committed While on Pretrial ReleaseRead the Press Release
NEWARK, N.J. - A federal grand jury in Newark has returned a 29-count second superseding indictment adding charges alleging that a former Bergen County, New Jersey, tax return preparer filed false federal income tax returns, stole client refunds, and committed identity theft in connection with refunds stolen from a deceased taxpayer, U.S. Attorney Craig Carpenito announced today.
Wayne Dunich-Kolb, 53, of Montvale, New Jersey, was originally charged by indictment in March 2014 with five counts of aiding and assisting in the filing of false federal income tax returns and four counts of subscribing to false tax returns. In December 2016, Dunich-Kolb was charged by superseding indictment. Today’s second superseding indictment adds five counts of aiding and assisting in the filing of false tax returns, 12 counts of mail fraud, and two counts of aggravated identity theft, all of which were allegedly committed while the defendant was on pretrial release.
Dunich-Kolb was arrested this morning. The initial appearance on the new charges is scheduled for Monday, April 2, 2018, before U.S. Magistrate Judge Steven C. Mannion.
According to the second superseding indictment:
Dunich-Kolb prepared and filed, through the U.S. mail, fraudulent returns through various tax preparation entities, including Dunich-Kolb LLC, Jadran Services Corp., Adriatica Payroll Corp., Adriatica Tax Planning LLC, and Adriatic Tax Planning LLC (collectively, the “tax preparation entities”), which he ran from his former residence in Saddle River and then from his current residence in Montvale. Dunich-Kolb also maintained a U.S. Post Office box in Las Vegas, Nevada, that he used in connection with his tax preparation business.
Dunich-Kolb caused many of his clients to form fictitious partnerships or corporations that existed in name only and had no business purpose other than to falsely reduce the clients’ tax liability. He prepared false and fraudulent business returns for clients’ fictitious businesses by fabricating and inflating business expenses, such as advertising, travel and other miscellaneous expenses, in order to generate fraudulent business and partnership losses, which he then used to substantially reduce taxpayers’ taxable income on their individual federal income tax returns.
Dunich-Kolb falsified clients’ 2007, 2008, 2009, 2010, 2011, 2013, 2014, 2015, and 2016 individual federal income tax returns (original and amended), partnership returns, and corporation returns by fabricating and inflating: (1) business and partnership Schedule K-1 losses; (2) deductions for unreimbursed employee business expenses, including home office, vehicle mileage and fuel expenses; and (3) expenses and cost basis of rental properties, including vehicle mileage and travel expenses for rentals located within or a short distance from the primary residence.
Dunich-Kolb also falsified his own personal federal income tax returns by substantially underreporting income from his tax preparation and accounting business for tax years 2006, 2007, and 2008. For these tax years, Dunich-Kolb received gross income totaling approximately $500,000 to $657,000 per year. Dunich-Kolb falsely claimed income of only $400 for 2006, $526 for 2007, and $489 for 2008.
Dunich-Kolb also stole certain clients’ federal tax refunds, including the refunds of a deceased client, by causing the IRS to mail the refund checks to Dunich-Kolb’s Las Vegas Post Office box, from where they were mail-forwarded to Dunich-Kolb’s residence in Montvale. Dunich-Kolb, without authorization, used the Social Security numbers of the deceased client and another client on IRS forms claiming that the latter client was entitled to the deceased client’s refunds for tax years 2013 and 2014 and causing the IRS to mail the deceased client’s refunds to his Las Vegas Post Office box. Once in receipt of the clients’ tax refund checks that had been mail-forwarded to his residence, Dunich-Kolb deposited the checks into accounts that he controlled and converted the funds to his own personal use.
Each of the aiding and assisting in the filing of false federal income tax returns and subscribing to false tax returns counts carries a maximum potential penalty of three years in prison and a $250,000 fine. Each of the mail fraud counts carries a maximum potential penalty of 20 years in prison and a $250,000 fine. The aggravated identity theft counts each carry a maximum potential penalty of two years in prison that each must run consecutive to the sentence imposed on the underlying mail fraud counts. For committing a felony offense while on pretrial release, the maximum potential penalty is 10 years in prison that must run consecutive to the sentence for the underlying felony offense.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen, postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Ruth M. Mendonca, and the Montvale Police Department, under the direction of Chief Jeremy Abrams, with the investigation leading to today’s charges.
The charges and allegations in the second superseding indictment are merely accusations and the defendant is presumed innocent unless and until proven guilty.
The government is represented by Assistant U.S. Attorney Shirley U. Emehelu, Chief of the Asset Recover Money Laundering Unit.
Defense counsel: Jeffrey G. Garrigan Esq., Summit, New Jersey
Philadelphia-Area Businessman Sentenced to 18 Months in Prison for Bribing Former Philadelphia District Attorney, Tax FraudRead the Press Release
PHILADELPHIA – A Feasterville, Pennsylvania, man was sentenced today to 18 months in prison for bribing former Philadelphia District Attorney Rufus Seth Williams and evading taxes, U.S. Attorney Craig Carpenito announced.
Mohammad N. Ali, 41, previously pleaded guilty before U.S. District Judge Paul S. Diamond to an information charging him with one count of using facilities in interstate and foreign commerce to promote bribery in violation of Pennsylvania law and one count of making and subscribing to a false federal tax return. Judge Diamond imposed the sentence today in Philadelphia federal court.
According to documents filed in this case and statements made in court:
From July 2010 through May 2015, Ali provided a stream of bribes to Williams – which Williams concealed from timely public disclosure – in exchange for Williams performing and agreeing to perform official acts for Ali and to violate Williams’ legal duties as specific opportunities arose.
For example, Ali provided Williams with a $7,000 check, an all-inclusive vacation to Punta Cana, Dominican Republic, worth $6,381, a custom sofa worth $3,212, $2,679 in dinners at high-end Philadelphia restaurants, approximately $2,000 in cash, a $842 Burberry watch, a Louis Vuitton tie worth $205, an iPad worth approximately $300, and a Burberry purse for Williams’ girlfriend.
In exchange, Williams agreed to help Ali with security screenings when Ali returned from foreign travel. For example, on March 15, 2013, Ali met with Williams and a police official and Williams asked the police official to help Ali avoid secondary screening at the airport. That same day, Ali gave Williams a $7,000 check. Williams also repeatedly offered to write an official letter, under his authority as the District Attorney, on Ali’s behalf to pressure and advise another public official to assist Ali with the border encounters.
Ali also sought Williams’ assistance with criminal charges brought by the Philadelphia District Attorney’s Office against Ali’s associate, an individual identified in the information as “Person #1.”
In addition, Ali used his business earnings to pay for over $490,000 in personal expenses, including $112,635 toward the purchase of a dental practice, $15,000 toward the purchase of a Porsche, purchases at clothing stores, meals at high-end restaurants, and domestic and international travel – including $6,300 for airfare and lodging for Williams and Williams’s girlfriend to stay at the Punta Cana resort. Ali fraudulently deducted these personal expenses on corporate income tax returns and did not report this income on his personal tax returns. In all, Ali caused a total tax loss of $163,498.
In addition to the prison term, Judge Diamond sentenced Ali to three years of supervised release, fined him $100,000 and ordered him to pay restitution of $63,498. Ali was immediately remanded to the custody of the Federal Bureau of Prisons to serve his sentence.
Ali testified in June 2017 at Williams’ trial. On the ninth day of that trial, Williams entered a guilty plea to a charge of bribery and admitted that he committed all of the bribery and fraud offenses alleged in a 29-count indictment against him. Williams resigned as District Attorney at that time. He was sentenced to 60 months in prison on Oct. 24, 2017.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Michael Harpster in Philadelphia; special agents of IRS-Criminal Investigation, Philadelphia Office, under the direction of Acting Special Agent in Charge Edward Wirth, and special agents of Homeland Security Investigations (HSI) Philadelphia, under the direction of Special Agent in Charge Marlon V. Miller, with the investigation.
The U.S. Attorney in the Eastern District of Pennsylvania recused his office from the investigation involving the Philadelphia District Attorney’s Office, and the matter was assigned to the U.S. Attorney’s Office for the District of New Jersey. Two prosecutors from the Eastern District of Pennsylvania office were assigned to the case, subject to the supervision of prosecutors in the New Jersey office.
The government is represented by Eric W. Moran, Chief of the Criminal Division for the southern vicinages in the District of New Jersey, and Chief of Appeals Robert A. Zauzmer and Assistant U.S. Attorney Vineet Gauri of the U.S. Attorney’s Office in Philadelphia.
Defense counsel: Mark E. Cedrone Esq., Philadelphia
Newark Man Charged with Armed CarjackingsRead the Press Release
NEWARK, N.J. – A Newark man was charged today with committing two armed carjackings in Newark and North Bergen, New Jersey, U.S. Attorney Craig Carpenito announced.
Nifees Ingram, 32, was charged in two complaints with the carjackings and with using a firearm in furtherance of a crime of violence. He made his initial appearance this afternoon before U.S. Magistrate Judge James B. Clark III in Newark federal court.
According to documents filed in this case and statements made in court:
On March 4, 2018, Ingram contacted the owners of a 2005 Ford Mustang who had advertised the car for sale on Facebook. Ingram lured the sellers to a location in Newark, ostensibly to purchase the car. When the victims arrived at the location to sell the car, Ingram got into the driver’s seat and began to drive away with one of the victims still in the car. After he drove some distance away, Ingram showed the victim a handgun, and ordered the victim to get out of the car. Ingram then drove away in the car, which was later recovered in Newark.
On March 12, 2018, Ingram went to a residence in North Bergen, New Jersey, under the pretense of being a potential buyer for a 2007 Audi Q7 that the victim had posted for sale on Facebook. Ingram lured the victim from the home and asked the victim if he could take the vehicle for a test drive. Once in the car with the victim, Ingram displayed a handgun and refused to let the victim leave the car. Ingram then drove the victim from North Bergen to Newark and forced the victim to leave behind his cell phone and get out of the car. Ingram then fled with the car, which was later recovered in Newark.
The carjacking charges each carry a maximum of 15 years in prison, and the firearms charge carries a statutory mandatory minimum of 5 years in prison, consecutive to any other sentence imposed, and a statutory maximum term of life in prison.
The charge and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Bradley W. Cohen; the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez; the North Bergen Police Department, under the direction of Chief William Dowd, and the Newark Department of Public Safety, under the direction of Anthony Ambrose, with the investigation leading to the charge.
The government is represented by Assistant U.S. Attorney Desiree Grace Latzer of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
Defense counsel: Leticia Olivera Esq., Assistant Federal Public Defender, Newark
Ocean County, New Jersey, Business Owner Sentenced to 21 Months in Prison for Operating Unlicensed Money Transmitting BusinessRead the Press Release
TRENTON, N.J. – An Ocean County, New Jersey, man was sentenced today to 21 months in prison for owning and operating an unlicensed money transmitting business, U.S. Attorney Craig Carpenito announced.
Yisroel Malamud, 54, of Lakewood, New Jersey, previously pleaded guilty before U.S. District Judge Anne E. Thompson to an information charging him with running an unlicensed money transmitting business. Judge Thompson imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
Between January 2010 and May 2013, Malamud maintained a retail storefront in Lakewood under the name “Beepers Plus.” Malamud received money from members of the public, deposited the funds into bank accounts that he maintained in the name of different entities, and then transmitted the money – determined to be more than $6 million – from those bank accounts to third-parties within the United States in accordance with the customers’ instructions, charging the customers a fee for this service.
New Jersey law provides that the operation of an unlicensed money transmission business is punishable as a felony. Federal law requires anyone conducting such a business to register the business with the Secretary of the Treasury. Malamud did not possess and failed to obtain a money transmitting license, nor did he register with the Secretary of the Treasury.
In addition to the prison term, Judge Thompson sentenced Malamud to three years of supervised release. Forfeiture will be determined at a later date.
U.S. Attorney Carpenito credited special agents of the FBI, Red Bank Resident Agency, under the direction of Acting Special Agent in Charge Bradley W. Cohen, with the investigation leading to today’s sentencing.
The government is represented by Eric W. Moran, Chief of the Criminal Division for the southern vicinages in the District of New Jersey.
Defense Counsel: Peter W. Till Esq., Springfield, New Jersey, and Stacy Ann Biancamano Esq., Chatham, New Jersey
New York Man Admits Distributing Synthetic Drug Leading to Overdose DeathRead the Press Release
New Jersey Woman Admits Shipping Designer Drugs from Farmingdale Post Office
NEWARK, N.J. – A New York man and a New Jersey woman today pleaded guilty to their roles in a cross-country conspiracy to distribute dangerous designer drugs over the internet, including a synthetic opioid that is several times more potent than morphine, U.S. Attorney Craig Carpenito announced.
Brian Parker, 34, of Long Island City, New York, and Victoria Koleski, 30, of Farmingdale, New Jersey, pleaded guilty before U.S. District Judge William H. Walls to separate informations charging them each with one count of conspiring to distribute controlled substance analogues, and one count of distributing and possessing with intent to distribute controlled substance analogues.
Controlled substance analogues are designer drugs that have chemical structures and hallucinogenic effects similar to Schedule I controlled substances.
According to documents filed in this case and statements made in court:
Parker admitted that from May 16, 2016 through Aug. 3, 2017, he conspired with others to distribute the controlled substance analogues U-47700, a synthetic opioid several times more potent than morphine, and A-PHP and 3-MEO-PCP, which have chemical structures and hallucinogenic properties similar to A-PVP and PCP, respectively.
Parker manufactured and distributed these drugs and other illegal chemicals through two internet-based companies he controlled, Unbeatablechems and RC Powders. Parker admitted that on May 16, 2016, he distributed U-47700 to a customer in Madison, Wisconsin, which resulted in the death of that individual on May 22, 2016.
Parker used other conspirators, such as Koleski, to send and receive packages for his narcotics distribution business. Those conspirators received raw materials from China or elsewhere through the mail, repackaged and sent them to Parker, who then manufactured those materials into the chemicals that he sold online. Afterwards, Parker transported the finished products back to his conspirators, who then shipped them to Parker's customers.
Koleski admitted that from December 2016 through August 2017, she conspired with Parker to distribute controlled substance analogues. She also admitted that from June 30, 2017 through July 5, 2017, she shipped multiple parcels from a Farmingdale post office that contained controlled substance analogues A-PHP and 3-MEO-PCP.
Both charges in the informations carry a maximum potential penalty of 20 years in prison and a $1 million fine. Sentencing for Parker and Koleski is scheduled for July 2, 2018 and July 3, 2018, respectively.
U.S. Attorney Carpenito credited special agents and task force officers with the Drug Enforcement Administration, under the direction of Special Agent in Charge Valerie A. Nickerson, and postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Ruth M. Mendonca, with the investigation.
The government is represented by Assistant U.S. Attorney Melissa Wangenheim of the U.S. Attorney’s Office Cyber Crimes Unit in Newark.
Defense counsel:
Parker: Candace Hom Esq., Assistant Federal Public Defender, Newark
Koleski: Michael Koribanics Esq., Clifton, New Jersey