District Not Recorded
The source did not name an office we could identify. These records remain unassigned rather than guessed.
Resident of York, Maine Pleads Guilty to Investment Fraud Scheme and Failing to File Federal Tax ReturnsRead the Press Release
CONCORD, N.H. - William Bischoff, 76, of York, Maine, has pleaded guilty to participating in an investment fraud scheme and failing to file federal income tax returns, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, from 2009 through September 2017, Bischoff defrauded more than two dozen clients of his financial advisory business by falsely promising to invest their money in real estate, structured legal settlements, high yield notes, and a start-up recycling business. He further guaranteed returns that far exceeded market norms. Bischoff sent many solicitations to the victims of the fraud scheme by e-mail.
In total, Bischoff stole more than $4.2 million from the defrauded investors. To conceal that conduct, Bischoff used money he received from some victim investors to make payments to other victim investors. He also provided monthly account statements to the victim investors that falsely represented the balance of their (fictitious) investment accounts.
Bischoff also admitted in court documents that he failed to file individual federal tax returns for the four-year period from 2011 to 2015, which resulted in a $568,845 tax revenue loss to the U.S. Treasury.
Bischoff pleaded guilty to one count of wire fraud and one count of willfully failing to file federal tax returns. He will be sentenced on June 20th, 2018.
“Mr. Bischoff manipulated and misled his victims, depriving them of millions of hard-earned dollars,” said U.S. Attorney Murray. “The U.S. Attorney’s Office is committed to working closely with our law enforcement partners to identify those who commit such schemes and to seek justice for the victims of white collar crimes.”
“Mr. Bischoff is finally taking responsibility for defrauding his clients out of millions of dollars. Through a web of lies and deceit, Mr. Bischoff betrayed their trust and used their money to line his own pockets and prop up his failed investments,” said Harold H. Shaw, Special Agent in Charge, FBI Boston Division. “The FBI will continue to work with our law enforcement partners to do everything we can to hold accountable those who take advantage of unwitting victims for their own personal gain.”
The Deputy Director of the New Hampshire Bureau of Securities Regulation, Jeffrey Spill, said, "The Bureau was pleased to do its part in this coordinated investigation. When the fraud was uncovered, the agencies acted quickly to shut the scheme down which prevented further losses."
“Mr. Bischoff’s investment scheme has destroyed the financial security of his unwitting victims. Rather than act in the interest of his clients, he acted only in his own,” said Special Agent in Charge Joel P. Garland of IRS Criminal Investigation in Boston. “We are proud to collaborate on joint cases of this magnitude, which defraud investors of millions in savings and the IRS of significant tax revenue.”
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service, Criminal Investigation Division, and the New Hampshire Bureau of Securities Regulation. Assistant United States Attorneys William Morse and Robert Kinsella prosecuted the case.
###
Muksedur Rahman, Md. Rafiqul Islam and David Trung Quoc Phan Sentenced for Mail Fraud, Fraud in Foreign Labor Contracting, and Visa FraudRead the Press Release
SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendants Muksedur Rahman, Mohammad Rafiqul Islam, and David Trung Quoc Phan were sentenced today by designated Senior District Court Judge John C. Coughenour from the Western District of Washington, on two counts of Mail Fraud, three counts of Fraud in Foreign Labor Contracting, and one count of Visa Fraud.
Defendant Muksedur Rahman was sentenced to 48 months in prison, three years of supervised release after incarceration, and restitution to the victims in the amount of $188,426.00. Defendant Mohammad Rafiqul Islam was sentenced to 18 months in prison, three years of supervised release after incarceration, and restitution to the victims in the amount of $188,426.00. Defendant David Trung Quoc Phan was sentenced to 8 months in prison, and two years of supervised release after incarceration.
The defendants defrauded Bangladeshi men by promising them good-paying jobs in the United States, as well as ‘Green Cards’. The victims paid over $15,000.00 each, but when they arrived in Saipan in April of 2016, they were not given work as promised. Defendant Mohammad Rafiqul Islam and unindicted co-conspirators in Bangladesh recruited the men, collected large fees from them, and deposited them into the bank accounts of defendants’ family members in Bangladesh. Defendant Muksedur Rahman coordinated the recruitment and employment of the victims from Saipan. A necessary part of the scheme required the purported employer, Defendant David Trung Quoc Phan, to mail fraudulent applications to United States Citizenship and Immigration Services in order to obtain CNMI-only work authorization permits. The victims were also ‘coached’ to lie to U.S. Embassy personnel in Dhaka during their visa interviews; the Defendants told the victims not to admit they had paid any fees for their jobs, upon pain of losing all the money they had already paid.
United States Attorney Shawn N. Anderson released the following statement: “The CNMI has been plagued by illegal recruitment scams for more than 20 years. They are difficult and expensive cases to investigate and prosecute because of the need for qualified interpreters, and because many of the transactions occur overseas, diplomatic channels must be used to obtain that evidence.”
“In this case, the victims sold virtually everything they owned, and borrowed large sums of money in order to raise the money to pay the defendants. They and their families in Bangladesh have suffered substantial financial hardship caused by the defendants’ actions. Such crimes also impact the economy of the CNMI, in that every CW-1 permit approved for a sham employer for a non-existent job represents one less nurse at the Commonwealth Health Center, one less power plant operator for the Commonwealth Utilities Commission, or one less worker for the CNMI economy. The United States Attorney’s Office will continue to pursue these cases at every opportunity.”
Part of the evidence in the case consisted of official bank records obtained from the Government of Bangladesh pursuant to a mutual legal assistance letter request (MLAT) prepared by the U.S. Department of Justice’s Office of International Affairs (OIA). The case against Defendant Rahman and his co-defendants is the first NMI District case in which foreign evidence has been obtained through the MLAT process.
Special Agents and Task Force Officers from the Department of Homeland Security, Homeland Security Investigations (HSI) conducted the investigation. Assistant United States Attorneys James Benedetto and Eric O’Malley prosecuted the case.
Immigration Attorney Sentenced to More Than Six Years in Prison for Fraud Scheme and Identity Theft in Relation to Visa ApplicationsRead the Press Release
An Indianapolis, Indiana immigration attorney was sentenced today to 75 months in prison for defrauding the U.S. Citizenship and Immigration Services (USCIS) and more than 250 of his clients by filing fraudulent visa applications and reaping approximately $750,000 in illegitimate fees. Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and Special Agent in Charge James M. Gibbons of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) in Chicago made the announcement.
Joel Paul, 45, of Fishers, Indiana, was sentenced by U.S. District Judge Jane E. Magnus-Stinson of the Southern District of Indiana. In addition to the prison sentence, Judge Magnus-Stinson sentenced Paul to serve three years of supervised release, and ordered that he pay up to $750,000 in restitution to his victims. In November 2017, Paul pleaded guilty to one count each of mail fraud, immigration document fraud, and aggravated identity theft in connection with a scheme to submit fraudulent U-visa applications.
“Immigration fraud undermines not only the public’s faith in our institutions and the legal profession, it also jeopardizes public safety and compromises national security,” said Acting Assistant Attorney General Cronan. “Attorneys who commit such egregious fraud on our legal system and their own clients will be held accountable.”
“Immigration fraud presents a serious threat to the national security of our country,” said Special Agent in Charge Gibbons. “Illegal schemes like this not only undermine the integrity of our nation’s legal immigration system, but they create potential security vulnerabilities while also cheating deserving immigrants of benefits they rightfully deserve.”
As part of his plea agreement, Paul admitted that from 2013 to 2017, he submitted more than 250 false Applications for Advance Permission to Enter as a Nonimmigrant on behalf of his clients and without their knowledge. Those applications falsely asserted that Paul’s clients had been victims of a crime and had provided substantial assistance to law enforcement in investigating the crime. With approximately 200 of the false applications, Paul submitted unauthorized copies of a certification he had obtained from the U.S. Attorney’s Office (USAO) for the Southern District of Indiana in 2013, using the certification without the USAO’s knowledge to falsely claim that the applicant had provided substantial assistance in a criminal prosecution. In total, Paul charged his clients approximately $3,000 per application.
HSI investigated the case with the assistance of USCIS Fraud Detection and National Security Directorate. Trial Attorneys Molly Gaston, Peter M. Nothstein and Amanda Vaughn of the Criminal Division’s Public Integrity Section prosecuted the case.
Former Nurse Assistant Charged with Civil Rights Offense for Striking Resident of the Memphis Veterans Affairs Medical CenterRead the Press Release
The Justice Department today announced that a federal grand jury returned an indictment charging Adrian Wiggins, 53, a former Nurse Assistant at the Veterans Affairs Medical Center in Memphis, Tennessee, with a civil rights offense. The indictment alleges that, on Jan. 8, 2017, Wiggins repeatedly struck an individual identified by the initials W.B., a resident of the Memphis Veterans Affairs Medical Center, and caused bodily injury as a result.
The charge provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the advisory U.S. Sentencing Guidelines and other statutory factors.
This case was investigated by the Federal Bureau of Investigation Memphis Field Office, and is being prosecuted by Assistant U.S. Attorneys David Pritchard and Reagan Taylor of the Western District of Tennessee and Trial Attorney Rachel Kincaid of the Justice Department’s Civil Rights Division.
An indictment is a formal accusation of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty.
Department of Justice Announces Launch of National FOIA PortalRead the Press Release
Today the Department of Justice launched its new redesign of FOIA.gov and the first iteration of the National FOIA Portal, a government-wide FOIA request portal that allows the public to submit a Freedom of Information Act (FOIA) request to any agency from a single place.
The FOIA Improvement Act of 2016 directed the Office of Management and Budget and the Department of Justice to build a “consolidated online request portal that allows a member of the public to submit a request for records . . . to any agency from a single website.” The new portal was developed with a user-centric focus relying heavily on both public and agency feedback throughout the entire process.
“The Department is very proud of its unique role in advancing government wide FOIA administration and we are excited to provide this new resource to the public which will allow citizens to be even better informed about their government and the FOIA,” said Melanie Ann Pustay, Director of the Office of Information Policy. “With over one hundred agencies subject to the FOIA and hundreds of thousands of requests made each year, we designed the National FOIA Portal to improve FOIA for both agencies and the public. This is just the first iteration of the Portal and we welcome feedback from users as we continue to build on this effort. ”
The new National FOIA portal provides customized forms for each agency to help requesters understand and submit requests more easily. The site will also provide insight into the FOIA process including what to do before submitting a FOIA request, how to submit a request, and what happens after submitting a request. The site also centralizes and provides a wealth of agency specific resources that are helpful to requesters, such as a description of each agency and links to their FOIA website, FOIA Reference Guide, FOIA regulations, and the FOIA Library.
“The National FOIA portal exemplifies our efforts to consolidate common services with the scalability and security available in a modern cloud-based platform and allows us to rapidly deliver capabilities to improve the user experience”, said Joseph Klimavicz, Department of Justice Chief Information Officer. “The Department is committed to continuously improving and modernizing the way citizens interact with our services.”
The launch of the National FOIA portal was made possible with the support of the Office of Management and Budget and by efforts led by the Department of Justice’s Office of Information Policy and Chief Information Office in partnership with the General Services Administration’s (GSA) 18F team.
“18F is proud to have worked with DOJ on researching, designing, and building the new National FOIA portal,” said GSA’s 18F Acting Executive Director Rebecca Piazza. “They’ve been excellent partners in ensuring this valuable tool meets the needs of agency FOIA offices and the public.”
Anita A. Cruz Sentenced to Prison in Ice Trafficking CaseRead the Press Release
SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant ANITA A. CRUZ, age 60, from Yigo, was sentenced yesterday in District Court, to 30 months imprisonment for Distribution of Methamphetamine Hydrochloride, in violation of 21 U.S.C. §§ 841(a)(1) and (b)(1)(C). The Court also ordered CRUZ to pay a mandatory $100 assessment fee, serve three years of supervised release after her term of imprisonment and complete 50 hours of community service. In addition, defendants convicted of a federal drug offense may no longer qualify for certain federal benefits.
On May 15, 2017, CRUZ entered a guilty plea to distribution of methamphetamine hydrochloride. The investigation revealed that CRUZ distributed over seven (7) grams of methamphetamine with a purity level of over 97%. Guam Police Department Neighborhood Patrol Division had conducted a traffic stop in May 31, 2013 and discovered methamphetamine on the passenger and in the vehicle. The Violent Street Crimes Task Force, also known as the Bureau of Alcohol, Tobacco, Firearms and Explosives Task Force (ATF Task Force) conducted further investigation which led to the Defendant who was distributing methamphetamine.
Judge Ramona V. Manglona ruled that the sentence of 30 months imprisonment was fair and reasonable and noted the harm drugs cause to our islands. The Court urged Defendant, who the court described as in her “golden plus” years, to take advantage of intensive drug treatment while in prison, to assist her in overcoming her serious drug addiction, in hopes that she may return some day to Guam and become a productive member of society.
ATF Task Force conducted the investigation and credit is also given to the Guam Police Department who initiated the traffic stop. The sentencing was handled by Belinda Alcantara, an Assistant United States Attorney for the District of Guam.
Working Group Shares Best Practices for Spectator Sports Safety and SecurityRead the Press Release
Members of the International Sports Events Working GroupOn March 6, 2018, INTERPOL Washington—the U.S. National Central Bureau—hosted a one-day working group meeting to prepare for the April 2018 course, Risk Management Challenges for Major Sporting Events: A Global Perspective. The official training course will be hosted by INTERPOL Project STADIA at the INTERPOL Secretariat General (IPSG) in Lyon, France.
The Risk Management Challenges for Major Sporting Events: A Global Perspective course trains senior law enforcement and incident management team leaders involved in the decision-making process to prepare for and respond to large-scale incidents during major national and international sporting events. The course, a scenario-based practicum, designed by international subject matter experts, uses a systematic process to analyze and prioritize risks posed by a crisis, crowd management, crowd violence, and terrorism, and to develop effective risk treatments.
During Tuesday’s preparatory class, representatives from the University of Mississippi, National Center for Spectator Sports Safety and Security (NCS4) and INTERPOL IPSG brought together instructor-observers to conduct an intensive review of the course syllabus and modules. Participants were selected based on their respective backgrounds in specialized fields or their experience in conducting and leading law enforcement-related training in an international environment. The participants served as students for the instructor team and provided feedback and recommendations to strengthen the course.
San Diego FBI Paralegal Specialist Pleads Guilty to Theft of Nearly $160,000 in Government FundsRead the Press Release
A paralegal specialist for the San Diego Division of the FBI pleaded guilty today to embezzling nearly $160,000 in government funds, announced Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and Special Agent in Charge James K. Cheng of the Department of Justice Office of the Inspector General’s Los Angeles Field Division.
Lynn M. Morris, 51, of San Diego, California, pleaded guilty to one count of embezzlement of government property. Morris will be sentenced on June 4 before U.S. District Court Judge Larry Alan Burns of the Southern District of California.
According to admissions made in connection with her guilty plea, between July 2014 and November 2016, Morris embezzled approximately $159,821.90 that belonged to the United States and converted the funds for her own personal use. The funds were held in an account owned by the FBI San Diego Division’s Asset Forfeiture Unit (AFU). From 2014 to 2016, Morris was a paralegal specialist and the designated coordinator for the AFU. Morris admitted that to convert government funds to her own use, she used her knowledge and position within the FBI to withdraw cash from the AFU’s account and deposited portions of the stolen proceeds into her personal checking account.
The Department of Justice Office of the Inspector General investigated the case. Trial Attorneys Marco A. Palmieri and Jessica C. Harvey of the Criminal Division’s Public Integrity Section are prosecuting the case.
Justice Department Files Preemption Lawsuit Against the State of California to Stop Interference with Federal Immigration AuthoritiesRead the Press Release
In a speech to the California Peace Officers' Association’s Legislative Day, Attorney General Jeff Sessions today announced that the Justice Department has filed a legal action against the State of California, Governor of California Jerry Brown, and Attorney General of California Xavier Becerra, seeking both declaratory and injunctive relief based upon the enactment and implementation of certain provisions of three California laws—Assembly Bill 450 (AB 450); Senate Bill 54 (SB 54); and Assembly Bill 103 (AB 103)—which intentionally obstruct and discriminate against the enforcement of federal immigration law. The complaint contends that the laws in question are preempted by federal law and impermissibly target the Federal Government, and therefore violate the Supremacy Clause of the United States Constitution. As a result, the Justice Department is seeking to permanently enjoin these state statutes, which are contrary to federal law and interfere with federal immigration authorities’ ability to carry out their lawful duties. In addition, the Justice Department is continuing to review other related California enactments.
The complaint, accompanying motion for a preliminary injunction, and declarations from Department of Homeland Security and Department of State officials—filed last evening in the Eastern District of California—spell out in detail the extent to which each of these laws have interfered, and will continue to interfere, with federal law enforcement efforts.
AB 450 prohibits private employers from voluntarily cooperating with federal immigration officials—including officials conducting worksite enforcement efforts and other enforcement operations. It also requires that private employers notify employees in advance of a potential worksite enforcement inspection—despite clear federal law that has been on the books for approximately three decades that has no such requirements. An April 22, 2017, report on AB 450 compiled by the California State Assembly’s Committee on Judiciary states that the law is designed to frustrate “an expected increase in federal immigration enforcement actions.” California has demonstrated its intent to enforce this law: on Jan. 18, 2018, California Attorney General Becerra issued a warning to employers in the state that his office would “prosecute those who violate [AB 450] by voluntarily cooperating with Immigration and Customs Enforcement (ICE) efforts.” Additionally, failure to comply with AB 450 could result in a fine for the business owner ranging from $2,000-$10,000. California employers are thus caught between what many may feel is a civic duty to cooperate with the enforcement of federal law, and a state government that penalizes such lawful cooperation.
SB 54 restricts state and local law enforcement officials from providing information to federal immigration authorities about the release date of removable criminal aliens who are in their custody. These criminal aliens are subject to removal from the United States under federal immigration law, and SB 54 interferes with federal immigration authorities’ ability to carry out their responsibilities under federal law. SB 54 also violates 8 USC 1373, a law enacted by Congress, which promotes information sharing related to immigration enforcement. The state law also prohibits the actual transfer of criminal aliens to federal custody, which creates a dangerous operating environment for ICE agents executing arrests in non-custodial settings. In a declaration provided to the Court, ICE Deputy Director Thomas Homan states that these “at-large arrests. . .unquestionably involve a greater possibility of the use of force or violence by the target . . . and have greater access to weapons, exposing officers, the public, and the alien to greater risk of harm.”
Remarkably, with this law California attempts to shield from federal law enforcement removable criminal aliens who have committed crimes in the state of California and across the country. In doing so, California is releasing onto its streets those removable criminal aliens who have already shown a willingness to engage in criminal activity—as evidenced by their state or local detention for violating state law—and who therefore are most likely to commit crimes in the future.
AB 103 imposes a state-run inspection and review scheme of the federal detention of aliens held in facilities pursuant to federal contracts. This includes review of immigration processes and the circumstances in which aliens were apprehended, and also requires access to privileged federal records that are under ICE’s control. With this law, California is trying to regulate federal immigration detention, which it cannot do under the Constitution. California does not impose such an inspection and review scheme on other similar detention facilities that do not house civil immigration detainees—in other words, this is a special review regime that applies only to facilities that house civil immigration detainees. This different treatment shows that California is seeking to regulate the federal government, which is not permitted under well-established Supreme Court precedent.
“The Department of Justice and the Trump Administration are going to fight these unjust, unfair, and unconstitutional policies that have been imposed on you,” Attorney General Jeff Sessions today told law enforcement officers attending the California Peace Officers Association’s 26th Annual Law Enforcement Legislative Day, referencing AB 450, SB 54, and AB 103. “We are fighting to make your jobs safer and to help you reduce crime in America. And I believe that we are going to win.”
“Our duty at the Department of Homeland Security is to enforce and uphold the nation’s security laws as passed by the U.S. Congress and signed by the President,” said Secretary Kirstjen M. Nielsen for the Department of Homeland Security. “California has chosen to purposefully contradict the will and responsibility of the Congress to protect our homeland. I appreciate the efforts of Attorney General Jeff Sessions and the Department of Justice to uphold the rule of law and protect American communities.”
Department of Justice Enters into Conditional Settlement Agreement to Produce Fast and Furious Documents to House Committee on Oversight and Government ReformRead the Press Release
Today, the Department of Justice entered into a conditional settlement agreement with the House Committee on Oversight and Government Reform and will begin to produce additional documents related to Operation Fast and Furious. The conditional settlement agreement, filed in federal court in Washington D.C., would end six years of litigation arising out of the previous administration’s refusal to produce documents requested by the Committee.
In announcing the settlement, Attorney General Sessions said:
“The Department of Justice under my watch is committed to transparency and the rule of law. This settlement agreement is an important step to make sure that the public finally receives all the facts related to Operation Fast and Furious.”Justice Department Files Lawsuit Against Ozaukee County, Wisconsin, for Religious DiscriminationRead the Press Release
The Justice Department today announced the filing of a lawsuit against Ozaukee County, Wisconsin, alleging that the County discriminated against Ms. Barnell Williams, a former nursing assistant at the Lasata Care Center, on the basis of religion, in violation of Title VII of the Civil Rights Act of 1964. Lasata Care Center is a County-owned nursing home.
According to the complaint, filed in the U.S. District Court for the Eastern District of Wisconsin, Lasata discriminated against Ms. Williams by failing to accommodate her religious beliefs when she sought an exemption to Lasata’s requirement of a flu vaccine. The complaint alleges that Lasata’s policy at the time required a flu vaccine but provided a religious exemption for employees who could produce a written statement from their clergy leader supporting the request. Ms. Williams requested a religious exemption from the flu shot requirement because of her sincerely held religious belief that Bible-based scriptures prohibited flu shots. Ms. Williams could not provide the requested clergy letter, however, because she did not belong to a church or an organized religion. When Lasata denied Ms. Williams’ request for a religious exemption, she submitted to the flu shot, despite her religious objections, because she was told that her refusal would result in her termination.
The suit alleges that Lasata’s policy permitting only employees who could obtain a letter from a clergy member to receive a religious accommodation violated Title VII. The policy on its face denied religious accommodations to employees, like Ms. Williams, who do not belong to churches with clergy leaders. The United States’ complaint also alleges that Lasata unlawfully denied Williams a reasonable accommodation of her religious objection to the flu shot by denying her a request for an exemption without the requisite showing that doing so would cause an undue hardship. Through this lawsuit, the United States is seeking compensatory damages for Ms. Williams, in addition to injunctive and other appropriate relief.
“When employees’ religious principles conflict with work rules, they should not have to choose between practicing their religion and keeping their jobs if a reasonable accommodation can be made without undue hardship to the employer,” said Acting Assistant Attorney General John Gore for the Civil Rights Division. “Employers should take care not to craft policies that disfavor individuals because of their sincerely held religious beliefs or practices in violation of Title VII.”
The Chicago District Office of the Equal Employment Opportunity Commission (EEOC) investigated and attempted to resolve Williams’ charge of discrimination before referring it to the Department of Justice for litigation. More information about the EEOC is available on its website at www.eeoc.gov.
Title VII is a federal statute that prohibits employment discrimination on the basis of race, color, national origin, sex and religion. The enforcement of Title VII is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt/.
Ultra Electronics Abandons Its Proposed Acquisition of Sparton Corp. After Department of Justice Expresses ConcernsRead the Press Release
The Department of Justice announced today that Ultra Electronics Holdings plc and Sparton Corporation have abandoned their merger, originally valued at more than $234 million. The transaction threatened to permanently combine the only two qualified suppliers of sonobuoys to the U.S. Navy. Sonobuoys are used in support of multiple underwater missions for detection, classification, and localization of adversary submarines during peacetime and combat operations. Ultra Electronics and Sparton Corporation have in recent years supplied this critical equipment to the U.S. Navy through their joint venture, ERAPSCO.
Ultra Electronics Holdings Inc. is a British company headquartered in London, England, that is comprised of 19 separate businesses. Ultra Electronics’ core markets are in North America and the United Kingdom. In 2016, Ultra reported annual worldwide revenues of £785.8 million. Ultra Electronics provides a wide range of products to the defense, aerospace, security, transport and energy industries.
Sparton Corporation is a publicly-held company incorporated in Ohio and headquartered in Schaumberg, Illinois; it reported $397.6 million in net sales for the fiscal year 2017. Sparton primarily designs and builds electromechanical devices for medical, military, aerospace and industrial applications. Sparton currently has thirteen manufacturing locations and engineering design centers worldwide.
Justice Department Settles Pregnancy Discrimination Lawsuit Against the University of BaltimoreRead the Press Release
The Justice Department today announced it has entered into a settlement agreement with the University of Baltimore (University) to resolve allegations that the University discriminated against a female employee, based upon her pregnancy, in violation of Title VII of the Civil Rights Act of 1964.
According to the Department’s complaint, the University discriminated against former employee Sarah Dechowitz on the basis of her sex (pregnancy) by first firing her and then refusing to re-hire her for a similar position. The complaint alleged that shortly after she informed management that she was pregnant, a high-level University official involved in the decisions about Ms. Dechowitz’s employment made comments indicating that her pregnancy was a motivating factor in the University’s decision to terminate her employment by eliminating her position. Approximately one week after the University notified Ms. Dechowitz that her position was being eliminated, the University advertised for a similar, newly created position. According to the complaint, the University’s decision not to re-hire Ms. Dechowitz for the similar position was because of or motivated by her pregnancy.
“The Justice Department is committed to fighting pregnancy discrimination under Title VII,” said Acting Assistant Attorney General John Gore for the Civil Rights Division. “I am pleased with the University of Baltimore’s cooperation in ensuring its compliance with the law.”
Under the terms of the settlement agreement, the University has agreed to pay $115,000 in back pay and compensatory damages to Ms. Dechowitz. In addition, the University has agreed to review and revise, if necessary, its anti-discrimination policies and procedures to ensure that it protects its employees from discrimination on the basis of sex, including pregnancy, and unlawful retaliation. The University also agreed to provide training to both new and current employees on its anti-discrimination policies and procedures.
Ms. Dechowitz initially filed a charge of sex discrimination with the Equal Employment Opportunity Commission’s Baltimore, Maryland Field Office, which investigated the matter, determined there was reasonable cause to believe discrimination had occurred, and referred the matter to the Justice Department.
Title VII is a federal statute that prohibits employment discrimination on the basis of sex (including pregnancy), race, color, national origin and religion. Title VII also prohibits retaliation against an employee who opposes an unlawful employment practice, makes a charge of discrimination or participates in an investigation, proceeding or hearing under the Civil Rights Act.
The United States is represented in this case by Civil Rights Division attorney Richard Sexton.
Additional information about Title VII and other federal employment laws is available on the website of the Employment Litigation Section of the Civil Rights Division at http://www.justice.gov/crt/ and https://www.justice.gov/crt/employment-litigation-section.
Justice Department Resolves Discrimination Claim Against Bolingbrook, Illinois, Meat Processing PlantRead the Press Release
The Justice Department today announced it has signed a settlement agreement with West Liberty Foods L.L.C., an Iowa-based meat processing business that operates a plant in Bolingbrook, Illinois, to resolve the Department’s investigation into whether the company discriminated against work-authorized immigrants when verifying their employment authorization, in violation of the Immigration and Nationality Act (INA).
The Department’s investigation revealed that West Liberty Foods routinely asked non-U.S. citizens hired at its Bolingbrook location to present specific documents, such as permanent resident cards or Employment Authorization Documents, to establish their work authority but did not make similar requests of U.S. citizens. The anti-discrimination provision of the INA prohibits employers from subjecting employees to more or different documentary demands based on employees’ citizenship, immigration status, or national origin.
Under the settlement, West Liberty Foods will pay a civil penalty of $52,100 to the United States, ensure that its human resources staff participate in department-provided training, post notices informing workers about their rights under the INA’s anti-discrimination provision, and be subject to departmental monitoring for two years.
“When verifying an employee’s work authorization, employers must ensure that they do not impose unlawful barriers based on citizenship status,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “We commend West Liberty Foods for its cooperation with the Department’s investigation, and look forward to working with the company to implement this agreement.”
The Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email [email protected]; or visit IER’s English and Spanish websites.
Applicants or employees who believe they were subjected to different documentary requirements based on their citizenship, immigration status or national origin, or discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee, should contact IER’s worker hotline for assistance.
Department of Justice’s Antitrust Division Announces New Roundtable Series on Competition and DeregulationRead the Press Release
The Department of Justice’s Antitrust Division will hold a series of three public roundtable discussions to explore the relationship between competition and regulation, and its implications for antitrust enforcement policy. The first roundtable will occur on Wednesday, March 14, 2018 in the Great Hall of the Robert F. Kennedy Department of Justice Building, 950 Pennsylvania Avenue, NW, Washington, D.C. from 10:00 a.m. to 1:00 p.m. EST. The tentative agenda of the first roundtable can be found below.
The series of roundtable discussions will help the Department pursue effective and appropriate competition policy and identify related regulatory burdens on the American economy. The first roundtable will examine exemptions and immunities from the antitrust laws, and their impact on the free market and consumers. It will also include a discussion of the appropriate role of the state action doctrine in light of the broader federal policy favoring competition in interstate commerce.
“Our nation’s antitrust laws contribute to a well-functioning free market economy, and appropriate enforcement minimizes the need for burdensome regulatory intervention in the free markets,” said Assistant Attorney General Makan Delrahim. “Broad, bipartisan agreement for over half a century recognizes that the unrestrained interaction of competitive forces yields the best allocation of economic resources, the lowest prices, the highest quality, and the most innovation. I look forward to a robust exchange of ideas on these important topics.”
The roundtables will provide a forum for industry participants, academics, think tanks, and other interested parties to discuss the economic and legal analyses of competition and deregulation. The Antitrust Division plans to invite panelists from a variety of organizations, including American Antitrust Institute, American Bar Association Section of Antitrust Law, American Enterprise Institute, Association of Corporate Counsel, Business Roundtable, Cato Institute, Consumers Union, Federalist Society, Heritage Foundation, National Association of Attorneys General, Open Markets Institute, Public Knowledge, and the U.S. Chamber of Commerce.
The Department of Justice welcomes comments in advance of each of the roundtables. The Department will accept public comments (not to exceed 20 pages) regarding the first roundtable until March 13, 2018. Interested parties may submit comments to: [email protected]. Submitted comments will be made publicly available on the Department of Justice website.
The second roundtable, which will focus on antitrust consent decrees, will be held on April 26, 2018. The third roundtable will be held on May 31, 2018, and will assess the consumer costs of anticompetitive regulations. Agendas for upcoming roundtables will be posted on the Department of Justice website, along with instructions for submitting public comments for those roundtables.
The roundtables will be open to the public. Individuals wishing to attend must register for each roundtable on the Department’s website, at http://www.justice.gov/atr/CompReg/.
Reasonable accommodations for people with disabilities are available upon request. Requests should be submitted via email to Jeremy Edwards in the Office of Public Affairs at [email protected] or by calling 202-307-2016. Requests should be made in advance. Please include a detailed description of the accommodation needed and provide contact information.
Conference on Mobilizing Law Enforcement to Defeat ISIS ConcludesRead the Press Release
On February 28, 2018, the International Conference on Mobilizing Law Enforcement Efforts to the Defeat Islamic State of Iraq and Syria or Islamic State of Iraq and al-Sham (ISIS) concluded in Washington, D.C. The two-day conference, co-sponsored by the U.S. Department of State, INTERPOL, and the International Institute for Justice and the Rule of Law (IIJ), brought together justice and law enforcement officials and their diplomatic counterparts, responsible for addressing counterterrorism issues from approximately 90 countries and organizations. According to the State Department, the conference would “build on our existing strategy and lay the foundation for the next phase in our effort as we work to confront the evolving ISIS threat.” INTERPOL Washington—the U.S. National Central Bureau—was instrumental in facilitating this event and is leading the sharing of information on Foreign Terrorist Fighters (FTFs) through INTERPOL’s Notice and Diffusion systems.
The first day of the conference featured a speech by the Department of State Coordinator for Counterterrorism, Ambassador Nathan A. Sales, during which he shared an overview of what the United States has been doing to counter ISIS using law enforcement and other civilian capabilities. He announced Secretary of State Rex Tillerson’s decision to give terrorist designations to seven ISIS-affiliated groups and two ISIS-affiliated leaders. Sales called for prosecuting FTFs, collecting and using battlefield evidence, updating laws to more effectively target the threat, implementing tougher border screening and more robust information-sharing within governments and among them, and designating and sanctioning ISIS affiliates and financiers to cut off the flow of money. Read his full remarks here.
Conference breakout sessions addressed subjects such as: Evidence Collection and Prosecutions, Institutional Reform, De-Radicalization and Reintegration, Legal Frameworks, Information Sharing, Tracking Foreign Terrorist Fighters Financial Data, and Preventing Homegrown Terrorism. The conference also sought to identify actions designed to help countries to disrupt potential attacks and to strengthen unity of purpose among the participants.
Ambassador Sales ended of the conference by hosting a teleconference with reporters during which he recapped highlights of the conference and answered questions. A transcript of the teleconference is here.
Former Captain Pleads Guilty to Aiding and Abetting Assault on a DetaineeRead the Press Release
The Justice Department today announced that Mark Frederick, a former Captain of the Iberia Parish Sheriff’s Office (IPSO), pleaded guilty to aiding and abetting an assault on a pre-trial detainee at the Iberia Parish Jail (IPJ).
According to the charges and other information presented in Court, Mark Frederick was a Captain at IPSO and served as the Assistant Warden at the IPJ. On Sept. 27, 2011, E.M., a pre-trial detainee, resisted deputies at the IPJ. E.M. was restrained and removed from the scene. Frederick and other senior IPSO staff agreed to retaliate against E.M. by taking him to the chapel, a place that was not covered by the jail’s video surveillance system, and assaulting him.
Frederick, along with the other senior IPSO staff, went to the chapel with the unlawful intent to beat E.M. in retaliation for E.M.’s previous altercation with jail deputies. Inside the chapel, officers assaulted E.M. while he was handcuffed, compliant, and not posing a threat to anyone. One officer took a baton, placed it between E.M.’s legs and in a sharp motion, raised the baton into E.M.’s testicles hard enough to knock E.M. off of his feet and to inflict pain. Frederick recognized that he had a duty to intervene and stop the unjustified use of force on inmate E.M. Nevertheless, Frederick willfully chose not to intervene to stop the beating, despite having the opportunity to do so.
"Individuals incarcerated in jails have the right to be free from unjustified assaults by corrections officers," said Acting Assistant Attorney General John Gore of the Civil Rights Division. “We will continue to vigorously prosecute officers who abuse their authority and violate their oath of office and federal law by assaulting inmates in their custody.”
Mark Frederick, 47, of St. Martinville, Louisiana, will be sentenced by U.S. District Court Judge Donald Walter at a later date.
This case was investigated by the Lafayette Resident Agency of the Federal Bureau of Investigation, and was prosecuted by Trial Attorney Tona Boyd of the Civil Rights Division and Assistant United States Attorney Mary Mudrick of the Western District of Louisiana.
Justice Department Files Federal Lawsuit Against WiFi Alliance to Enforce Employment Rights of United States Army Reserve OfficerRead the Press Release
The Civil Rights Division and the United States Attorney’s Office for the Western District of Texas jointly announced today the filing of a complaint in federal district court against WiFi Alliance, a non-profit organization headquartered in Austin. The complaint alleges that WiFi Alliance violated the employment rights of Lieutenant Colonel (LTC) Charles O’Donnell, an Army Reservist, under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA).
According to the complaint, O’Donnell’s military service was a motivating factor in WiFi Alliance’s decision to terminate his employment in 2016. WiFi Alliance implemented a reduction in force that resulted in its laying off O’Donnell concurrent with his military duty supporting West Point Admissions at the United States Military Academy. O’Donnell, a program manager, was selected for termination despite positive performance evaluations, seniority, and unique job responsibilities as compared to employees who were not laid off. O’Donnell served more than 22 years in the Armed Forces, and was a program manager with WiFi Alliance for three years before he was terminated. He was notified of his termination less than a month after he returned from military service.
“Through this lawsuit, the Department of Justice reaffirms its commitment to protecting the employment rights of the members of our Armed Forces,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The men and women of our armed services expect and are entitled to the peace of mind of knowing that their civilian employment will not be jeopardized because they serve our country.”
“Members of our armed forces make many sacrifices, including spending months or years away from their jobs and families,” said U.S. Attorney John F. Bash of the Western District of Texas. “When our service members are away from their homes, jobs, and families in the service of our country, they are entitled to retain their civilian employment and to the protections of federal law that prevent them from being subject to discrimination based upon their military obligations. We are filing suit today, as representatives of Lieutenant Colonel O’Donnell, a member of the United States Army Reserve, to ensure that he does not lose his rights while he was protecting ours.”
The lawsuit filed by the United States seeks damages equal to the amount of LTC O’Donnell’s lost wages and benefits. It also seeks an order requiring WiFi Alliance’s compliance with all provisions of USERRA.
LTC O’Donnell initially filed a complaint with the Department of Labor’s Veterans’ Employment and Training Service (VETS), which investigated this matter and attempted to reach a resolution between the parties. After resolution failed, VETS referred the complaint to the Justice Department’s Civil Rights Division, Employment Litigation Section. This lawsuit followed as a collaborative initiative between the Civil Rights Division and the U.S. Attorney’s Office for the Western District of Texas.
Congress enacted USERRA to reduce employment disadvantages faced by non-career service members; to provide prompt reemployment for returning service members; to minimize disruption to the lives of those performing military service, their employers and others; and to prohibit discrimination and retaliation against those who serve in the uniformed services.
The Justice Department’s Civil Rights Division has given high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.usdoj.gov/crt/emp and www.servicemembers.gov, as well as on the Labor Department’s website at www.dol.gov/vets/programs/userra/main.htm.
Attorney General Sessions Takes Further Action to Combat Opioid Crisis - Directs the DEA to Evaluate Aggregate Production QuotasRead the Press Release
Today Attorney General Jeff Sessions issued a memo for the Acting Administrator of the Drug Enforcement Administration directing the DEA to evaluate and consider whether or not to amend its regulations governing the aggregate production quota where appropriate as expeditiously as practicable, including through a potential interim final rule. This is in response to studies indicating that the United States is an outlier in the number of opioid prescriptions issued each year.
In making the announcement, Attorney General Sessions said:
“Our nation is in the grips of the deadliest drug epidemic in our history. In accordance with President Donald J. Trump’s declaration of a Public Health Emergency and his directive to his Administration to address drug addiction and opioid abuse, the Department of Justice has helped lead the fight against this devastating crisis. I appreciate the efforts of the great men and women of the Drug Enforcement Administration (DEA), who are making significant strides in combatting this threat.”
View the memo here.Texas Man Sentenced to 10 Years in Prison for Hate Crime Assault Based on Victim’s Sexual OrientationRead the Press Release
Chancler Encalade, 20, was sentenced yesterday to 10 years in prison for assaulting a man because of the victim’s sexual orientation, announced the Justice Department’s Civil Rights Division, the U.S. Attorney’s Office of the Eastern District of Texas, and U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives’ Dallas Division.
According to the plea agreement, Encalade admitted he, Nigel Garrett, and another co-defendant, used Grindr, a social media dating platform for gay men, to arrange to meet the victim at the victim’s home. Upon entering the victim’s home, the defendants restrained the victim with tape, physically assaulted the victim, and made derogatory statements to the victim for being gay. The defendants brandished a firearm during the home invasion, and they stole the victim’s property, including his motor vehicle.
A federal grand jury previously returned an eighteen-count superseding indictment that included charges for hate crimes, kidnappings, carjackings, and the use of firearms to commit violent crimes. The indictment also charged the defendants with conspiring to cause bodily injury because of the victims’ sexual orientation during four home invasions in Plano, Frisco, and Aubrey, Texas, from Jan. 17 to Feb. 7, 2017. Garrett, their other co-defendant, and Encalade subsequently pleaded guilty to hate crime charges from this indictment. Garrett was recently sentenced to 15 years in prison.
“The defendant targeted his victim with violence because of his sexual orientation, and used the internet to facilitate this crime,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Civil Rights Division will continue to vigorously prosecute hate crimes such as this one.”
“The defendant not only broke in, but he did it specifically to intimidate individuals because of their sexual orientation,” said U.S. Attorney Joseph D. Brown for the Eastern District of Texas. “This is the kind of case where federal and local law enforcement should come together, and that happened effectively here.”
The investigation is being conducted by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Plano Police Department, and the Frisco Police Department. The case is being prosecuted by Assistant U.S. Attorney Tracey Batson of the U.S. Attorney’s Office for the Eastern District of Texas and Trial Attorney Saeed Mody of the Civil Rights Division.
Justice Department Statement on Claims of NIJ Certification of Ballistic BackpacksRead the Press Release
Please attribute the following statement to Justice Department spokesman Devin O'Malley:
"The National Institute of Justice—the research, development, and evaluation agency of the Department of Justice—has never tested nor certified ballistic items, such as backpacks, blankets, or briefcases, other than body armor for law enforcement. Marketing that claims NIJ testing or certification for such products is false."
Background:
In recent days, multiple media outlets have repeated misleading statements made by companies about "NIJ certification" of their ballistic backpack products.
Additional Background:
The only ballistic-resistant product that NIJ certifies is law enforcement body armor that meet the requirements of NIJ’s Compliance Testing Program (CTP), which are then listed on NIJ’s Compliant Products List. Testing body armor involves a technically rigorous test campaign that must be carried out by one of four laboratories that are accredited by the National Voluntary Laboratory Accreditation Program and approved by NIJ to participate in the CTP. The protocols and procedures are described in the current NIJ performance standard NIJ Standard 0101.06, Ballistic Resistance of Body Armor. In addition, NIJ offers many informational resources on law enforcement body armor at policearmor.org.
Justice Department Launches Initiative to Fight Sexual Harassment in the WorkplaceRead the Press Release
The Justice Department’s Civil Rights Division today announced a second initiative to combat sexual harassment; the effort announced today—the Sexual Harassment in the Workplace Initiative (SHWI)—focuses on workplace sexual harassment in the public sector.
The Justice Department’s Civil Rights Division enforces Title VII of the Civil Rights Act of 1964 against state and local government employers. The law prohibits discrimination in employment on the basis of race, color, national origin, sex, and religion. Sexual harassment is among the conduct prohibited by the law because it is a form of sex discrimination.
The Justice Department will also announce its first enforcement action brought under the SHWI. The Justice Department will file a lawsuit against the City of Houston, alleging that the Houston Fire Department (HFD) discriminated against two female firefighters on the basis of sex in violation of Title VII when it allowed them to be subjected to sexual harassment in the workplace.
As part of the Initiative, the Justice Department will continue to bring sex discrimination claims against state and local government employers with a renewed emphasis on sexual harassment charges. The Department will also work to develop effective remedial measures that can be used to hold public sector employers accountable where Title VII violations have been found, including identifying changes to existing employer practices and policies that will result in safe work environments.
Through the Initiative, the Department will also conduct outreach to state and local government employers that centers around five critical areas: (1) creating trusted and safe avenues for employees to report sexual harassment; (2) ensuring management support for anti-discrimination policies and practices; (3) implementing accountability measures to ensure the timely and effective resolution of sexual harassment complaints; (4) adopting comprehensive anti-sexual harassment policies and procedures that include regular, tailored, and interactive training for employees; and (5) providing safeguards against retaliation for persons who report sexual harassment and for employees who support them.
“All Americans are entitled to work with dignity in a place that is free of sexual harassment,” said Acting Assistant Attorney General John Gore for the Civil Rights Division, in announcing the Initiative. “Through enforcement actions, effective remedial measures, and outreach, the Justice Department—under Attorney General Jeff Sessions’ leadership—will fight to eliminate sexual harassment among public sector employers.”
The creation of this Initiative reflects the Department of Justice’s commitment to the aggressive enforcement of the nation’s anti-discrimination laws and an expansion of the Civil Rights Division’s efforts to eradicate sexual harassment under the leadership of Attorney General Jeff Sessions.
In October 2017, the Justice Department announced the Civil Rights Division’s first initiative to combat sexual harassment, the Sexual Harassment in Housing Initiative. In 2017, the Justice Department recovered more than $1 million in damages for victims of harassment in housing. Many instances of sexual harassment in housing continue to go unreported. The Justice Department’s investigations frequently uncover sexual harassment that has been ongoing for years or decades and identify numerous victims who never reported the conduct to federal authorities.
Additional information about the Civil Rights Division, its enforcement of Title VII and other civil rights laws it enforces is available on its Web sites at http://www.justice.gov/crt/ and http://www.justice.gov/crt/emp.
Justice Department Files Lawsuit Against City of Houston for Sex Discrimination and RetaliationRead the Press Release
The Justice Department has filed a lawsuit against the City of Houston, alleging that the Houston Fire Department (HFD) discriminated against two female firefighters on the basis of sex in violation of Title VII of the Civil Rights Act of 1964, announced Acting Assistant Attorney General John Gore of the Civil Rights Division and U.S. Attorney Ryan K. Patrick. Title VII is a federal statute that prohibits employment discrimination on the basis of sex, race, color, national origin and religion.
The lawsuit, filed in the Southern District of Texas, alleges that Jane Draycott and Paula Keyes were subjected to a hostile work environment based on sex when they were employed as firefighters at HFD’s Station 54. According to the complaint, HFD’s hostile work environment included males urinating on the walls, floors and sinks of the women’s bathroom and dormitory, disconnecting the cold water to scald the women while they were showering, and deactivating the female dormitory’s announcement speakers so the women could not respond to emergency calls. The complaint further alleges that the conduct culminated in death threats and vulgar slurs written on the walls of their work and living spaces at Station 54 and on their personal possessions. This conduct continued despite at least nine complaints made to management, according to the allegations.
The lawsuit further alleges that HFD retaliated against Draycott in response to her complaints by permitting her co-workers to publicly disparage her in an attempt to prevent her from returning to work at Station 54 and that she was forced into early retirement because of her intolerable working conditions.
Other female firefighters who had previously worked at Station 54 allegedly made similar complaints to HFD about sex-based discrimination prior to Draycott and Keyes working there. According to the complaint, HFD did not take meaningful steps to stop the discrimination.
Through this lawsuit, the United States seeks to require HFD to develop and implement policies that would prevent sex discrimination and retaliation. The United States also seeks monetary relief for Draycott and Keyes to compensate them for the damages they sustained as a result of the alleged discrimination.
“Far too often, women are targeted and harassed in the workplace because of their sex,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “Employees have the right to work in an environment that is free from sex discrimination and retaliation. The Civil Rights Division—under the newly created Sexual Harassment in the Workplace Initiative—will continue to work vigorously to protect employees from these workplace abuses.”
“No employee should be subjected to a hostile work environment based on their sex,” said U.S. Attorney Ryan K. Patrick. “We will aggressively protect employees who are victims of sex discrimination and retaliation and pursue employers who violate the law.”
Draycott and Keyes each filed charges of discrimination with the Equal Employment Opportunity Commission (EEOC). The EEOC’s Houston Office investigated the charges and made reasonable cause findings. After unsuccessful conciliation efforts, the EEOC referred the charges to the Justice Department.
The Civil Rights Division’s Employment Litigation Section brought the case in collaboration with the U.S. Attorneys’ Office for the Southern District of Texas.
This lawsuit is the first of a new initiative announced by the Department of Justice today, the Sexual Harassment in the Workplace Initiative, which is aimed at combatting sexual harassment and sex-based harassment in the public sector workplace. It is the second initiative created under the leadership of Attorney General Jeff Sessions to combat sexual harassment; the first initiative, the Sexual Harassment in Housing Initiative, was announced in October 2017 to fight sexual harassment in housing.
More information about Title VII and other federal employment laws is available on the Civil Rights Division’s website at www.justice.gov/crt.
Deloitte & Touche Agrees to Pay $149.5 Million to Settle Claims Arising from Its Audits of Failed Mortgage Lender Taylor, Bean & WhitakerRead the Press Release
The Justice Department announced today that Deloitte & Touche LLP has agreed to pay the United States $149.5 million to resolve potential False Claims Act liability arising from Deloitte’s role as the independent outside auditor of Taylor, Bean & Whitaker Mortgage Corp. (TBW), a failed originator of mortgage loans insured by the Federal Housing Administration (FHA) in the Department of Housing and Urban Development (HUD).
“With taxpayer dollars at stake, auditors must take their obligations seriously when auditing companies that participate in government programs,” said Acting Assistant Attorney General Chad A. Readler for the Justice Department’s Civil Division. “When auditors fail to exercise their professional judgment, and make false statements that allow bad actors to remain in government programs and submit false claims to the government, there will be consequences.”
Under HUD’s Direct Endorsement Lender program, TBW was authorized to originate and underwrite mortgage loans insured by the FHA. When a borrower defaults on an FHA-insured loan underwritten and endorsed by a Direct Endorsement Lender such as TBW, the holder of the loan can submit a claim to the United States to recoup losses resulting from the default. To maintain its status as a Direct Endorsement Lender, a lender is required to submit to HUD annual audit reports on its financial statements and related reports on its internal controls and its compliance with certain HUD requirements.
Deloitte served as TBW’s independent outside auditor, and issued audit reports for TBW’s fiscal years 2002 through 2008. The United States alleged that during that time period TBW had been engaged in a long-running fraudulent scheme involving, among other things, the purported sale of fictitious or double-pledged mortgage loans, and as a result, TBW’s financial statements failed to reflect its severe financial distress. The United States alleged that Deloitte’s audits knowingly deviated from applicable auditing standards and therefore failed to detect TBW’s fraudulent conduct and materially false and misleading financial statements. The United States alleged that Deloitte’s audit failures extended to the specific financial arrangements through which TBW carried out its fraudulent conduct. By failing to detect TBW’s misconduct, Deloitte’s audit reports allegedly enabled TBW to continue originating FHA-insured mortgage loans until TBW collapsed and declared bankruptcy in 2009.
A number of TBW officials were criminally convicted in connection with the conduct at issue.
“HUD relies on auditors to ensure the soundness of participants in HUD programs. When CPA firms and auditors fail to detect fraud, waste or abuse the consequences are significant to federal programs, and, ultimately, to the American taxpayer and must be addressed,” said Helen M. Albert, Acting HUD Inspector General.
The claims settled by this agreement are allegations only, and there has been no determination of liability.
The settlement was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, HUD and HUD’s Office of Inspector General.
Tyson Poultry Fined $2 Million for Violating the Clean Water ActRead the Press Release
Tyson Poultry Inc. was sentenced in federal court in Springfield, Missouri, to pay a $2 million criminal fine, serve two years of probation, and pay $500,000 to directly remedy harm caused when it violated the Clean Water Act, the Justice Department announced. The charges stemmed from discharges at Tyson’s slaughter and processing facility in Monett, Missouri that led to a major fish kill event.
Tyson Poultry, the nation’s largest chicken producer, is headquartered in Springdale, Arkansas, and is a subsidiary of Tyson Foods Inc. According to court records, Tyson Poultry’s conviction arose out of a spill at its feed mill in Aurora, Missouri, where it mixed ingredients to produce chicken feed. One ingredient was a liquid food supplement called “Alimet,” which is a very strong acid with a pH of less than one. In May 2014, the tank used to store Alimet at the Aurora feed mill sprang a leak. Tyson had the spilled substance transported to its Monett plant where the Alimet was then discharged into the sewers and flowed into the City of Monett municipal waste water treatment plant. The Alimet killed bacteria used to reduce ammonia in discharges from the treatment plant. As a result, more ammonia was released from the plant into Clear Creek, and approximately 108,000 fish were killed.
Under the terms of the plea agreement, Tyson Poultry also agreed to retain an independent, third-party auditor to examine environmental compliance at Tyson Poultry facilities across the country; conduct specialized environmental training at all of its poultry processing plants, hatcheries, feed mills, rendering plants, and waste water treatment plants; and implement improved policies and procedures to address the circumstances that gave rise to these violations.
“Good corporate practices are vital to protecting public health and our nation’s natural resources,” said Acting Assistant Attorney General Jeffrey H. Wood for the Environment & Natural Resources Division. “When corporate misconduct disregards human safety or the environment in violation of federal laws, the Department of Justice and EPA stand ready to pursue all necessary legal relief, including criminal penalties, to ensure that these acts do not go unpunished. We hope that the outcome of this case will be a lesson for all companies that deal with dangerous wastes.”
“Today’s sentence not only remedies the harm Tyson Poultry caused locally, but puts safeguards in place to prevent similar occurrences at Tyson Poultry facilities across the country,” said U.S. Attorney Timothy A. Garrison for the Western District of Missouri. “Tyson’s $2.5 million fine and restitution payment reflects the seriousness of this offense and our commitment to protect Missouri’s natural resources.”
“Today’s sentencing not only holds Tyson Poultry accountable for their illegal actions, it includes important requirements for the company to improve compliance with the law to prevent future violations,” said Assistant Administrator Susan Bodine for EPA’s Office of Enforcement and Compliance Assurance. “This case exemplifies EPA’s commitment to protect clean water by pursuing the most egregious violations.”
Acting Assistant Attorney General Wood and Acting U.S. Attorney Larson thanked the U.S. Environmental Protection Agency’s Criminal Investigation Division for its work in this investigation. The case was prosecuted by Senior Counsel Kris Dighe of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division and Assistant U.S. Attorneys Patrick Carney and Casey Clark of the United States Attorney’s Office for the Western District of Missouri.
Tampa Man Pleads Guilty to Hate Crime for Threatening to Burn Down a Home Being Purchased by Muslim FamilyRead the Press Release
The Justice Department today announced that David H. Howard, 59, of Tampa, Florida, pleaded guilty in the U.S. District Court for the Middle District of Florida, Tampa Division, to one count of threatening, intimidating, and interfering with a Muslim family’s enjoyment of their housing rights, in violation of Title 42 U.S.C. § 3631. Howard intimidated and interfered with the victims, who sought to purchase a home in the Davis Islands neighborhood of Tampa, Florida, by threatening to burn down the home, simply because it was being purchased by a Muslim family.
According to court documents, on Nov. 3, 2016, a Muslim man, identified as K.A., and his wife were conducting the final walk-through of a home they had placed under contract. As K.A. arrived for the final walk-through, the defendant approached K.A. and the seller identified as H.D., and the accompanying realtors, and yelled, “This sale will not take place!” Howard threatened to burn the house down, and told K.A., “You are not welcome here!” K.A. and his wife hurried away from the house and cancelled the closing of the home purchase that was scheduled to take place the next day. In the days that followed, Howard retold his version of the incident to neighbors, making insulting remarks about Muslims.
“The Department of Justice will not tolerate illegal threats or acts of intimidation against any individual because of their religious beliefs,” said Acting Assistant Attorney John Gore of the Civil Rights Division. “The Civil Rights Division will continue to work tirelessly to prosecute hate crime offenders.”
“Individuals and families should have the right to live wherever they choose, without intimidation or fear,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “Crimes perpetrated against people because of their race, ethnicity, color, or religious beliefs simply cannot be tolerated. And, we will prosecute those who commit these crimes to the fullest extent possible.”
“Hate motivated crimes are not only an attack on the victim, but are meant to threaten and intimidate an entire community," said FBI Tampa Division Special Agent in Charge Eric W. Sporre. “Reporting these types of crimes along with cooperation of the community is critical to ensuring a successful outcome in cases like this.”
A sentencing date has not yet been set. Howard faces a maximum punishment of 10 years in prison, up to three years of supervised release, and a fine up to $250,000.
This case was investigated by the FBI. It was prosecuted by Assistant U.S. Attorney Josephine W. Thomas of the Middle District of Florida and Trial Attorney William E. Nolan of the Civil Rights Division’s Criminal Section.
Justice Department to File Statement of Interest in Opioid CaseRead the Press Release
The Department of Justice today announced it will be filing a Statement of Interest in a multi-district action regarding hundreds of lawsuits against opioid manufacturers and distributors.
The plaintiffs include numerous cities, municipalities, and medical institutions that have borne the costs of the prescription opioid crisis. The plaintiffs seek to recover the costs associated with providing treatment and public safety measures relating to the opioid epidemic from those who allegedly used false, deceptive, or unfair marketing practices for prescription opioid drugs.
The Justice Department will primarily argue that the federal government—through various federal health programs and law enforcement efforts—has borne substantial costs from the opioid epidemic and seeks reimbursement.
In announcing the plan to file the Statement of Interest, Attorney General Jeff Sessions provided the following statement:
“Opioid abuse is driving the deadliest drug crisis in American history. It has cost this nation hundreds of thousands of precious lives. It has strained our public health and law enforcement resources and bankrupted countless families across this country. President Trump and this administration have made ending this unprecedented crisis a priority, and the Department of Justice is committed to using every lawful tool at our disposal to turn the tide. We will seek to hold accountable those whose illegality has cost us billions of taxpayer dollars.”Justice Department Reaches Agreement with Jackson County Florida School District on School DesegregationRead the Press Release
The Department of Justice on Friday, Feb. 23, reached an agreement with the Jackson County School Board in Florida that paves the way for the district to complete desegregation and achieve full unitary status. The agreement, which was approved by the U.S. District Court for the Northern District of Florida on Friday, addresses all remaining issues in the school desegregation case and, when fully implemented, will lead to the closure of that case.
The agreement declares that the district has achieved partial unitary status in the areas of student assignment (between schools); transportation; extracurricular activities; and facilities. The agreement retains judicial supervision over the areas of recruitment, hiring and promotion; and within-school segregation related to student discipline.
The agreement puts the district on a path to full unitary status by early 2020 provided it takes steps including: formalizing and implementing a plan to attract a diverse pool of applicants for faculty, administrator, and staff vacancies; revising the District’s code of conduct to ensure fairness and consistency in the handling of student disciplinary offenses; and providing district staff with additional tools to address student misbehavior and promote positive behavior.
The court will retain jurisdiction over the agreement during its implementation, and the Justice Department will monitor the district’s compliance.
“We are pleased with the work the district has done to comply with many of its desegregation obligations,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “We look forward to working with the district to ensure fair and equal treatment for all its students in the remaining areas and bringing this case to a successful close.”
Promoting school desegregation and enforcing Title IV of the Civil Rights Act of 1964 is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division is available on its website at www.justice.gov/crt.
Attorney General Sessions Announces New Prescription Interdiction & Litigation Task ForceRead the Press Release
Attorney General Jeff Sessions today announced the creation of a new effort, the Department of Justice Prescription Interdiction & Litigation (PIL) Task Force, to fight the prescription opioid crisis. The PIL Task Force will aggressively deploy and coordinate all available criminal and civil law enforcement tools to reverse the tide of opioid overdoses in the United States, with a particular focus on opioid manufacturers and distributors.
“Over the past year, the Department has vigorously fought the prescription opioid crisis, and we are determined to continue making progress. Today, we are opening a new front in the war on the opioid crisis by bringing all of our anti-opioid efforts under one banner,” said Attorney General Sessions. “We have no time to waste. Every day, 180 Americans die from drug overdoses. This epidemic actually lowered American life expectancy in 2015 and 2016 for the first time in decades, with drug overdose now the leading cause of death for Americans under age 50. These are not acceptable trends and this new task force will make us more effective in reversing them and saving Americans from the scourge of opioid addiction.”
The PIL Task Force will include senior officials from the offices of the Attorney General, the Deputy Attorney General, and the Associate Attorney General, as well as senior officials from the Executive Office for U.S. Attorneys, the Civil Division, the Criminal Division, and the Drug Enforcement Administration. The Task Force will coordinate the Department’s many efforts and tools to combat the opioid epidemic.
The PIL Task Force will combat the opioid crisis at every level of the distribution system. At the manufacturer level, the PIL Task Force will use all available criminal and civil remedies available under federal law to hold opioid manufacturers accountable for unlawful practices. The PIL Task Force will build on and strengthen existing Department of Justice initiatives to ensure that opioid manufacturers are marketing their products truthfully and in accordance with Food and Drug Administration rules.
The Attorney General has also directed the PIL Task Force to examine existing state and local government lawsuits against opioid manufacturers to determine what assistance, if any, federal law can provide in those lawsuits. The federal government has borne substantial costs from the opioid crisis, and it must be compensated by any party whose illegal activity contributed to those costs.
The Department will also use all criminal and civil tools at its disposal to hold distributors such as pharmacies, pain management clinics, drug testing facilities, and individual physicians accountable for unlawful actions.
The PIL Task Force will use criminal and civil actions to ensure that distributors and pharmacies are obeying Drug Enforcement Administration rules designed to prevent diversion and improper prescribing. It will use the False Claims Act and other tools to crack down on pain-management clinics, drug testing facilities, and physicians that make opioid prescriptions.
The PIL Task Force will use the criminal and civil tools available under the Controlled Substances Act against doctors, pharmacies, and others that break the law. The PIL Task Force will build upon and expand the efforts of the existing Opioid Fraud and Abuse Detection Unit. Created in August 2017, the Unit uses sophisticated data analysis to identify and prosecute individuals who are contributing to the opioid epidemic, including pill-mill schemes and pharmacies that unlawfully divert or dispense prescription opioids for illegitimate purposes.
The PIL Task Force will also work closely with the Department of Health and Human Services to investigate and hold accountable any parties who engage in illegal activity surrounding prescription opioids. The Attorney General has directed the PIL Task Force to establish immediately a working group to: (1) improve coordination and data sharing across the federal government to better identify violations of law and patterns of fraud related to the opioid epidemic; (2) evaluate possible changes to the regulatory regime governing opioid distribution; and (3) recommend changes in laws.
This new Task Force will build on a number of new initiatives begun by Attorney General Sessions over the past year that will help us end the drug crisis, including the following:- In July, the Attorney General announced charges against more than 120 defendants, including doctors, for crimes related to prescribing or distributing opioids and other dangerous narcotics.
- One week later, the Attorney General announced the seizure of AlphaBay, the largest criminal marketplace on the Internet. This site hosted some 220,000 drug listings – including more than 100 vendors advertising fentanyl – and was responsible for countless synthetic opioid overdoses, including the tragic death of a 13-year old in Utah.
- In August, the Attorney General created the Opioid Fraud and Abuse Detection Unit, a new data analytics program to help find evidence of overprescribing and opioid-related health care fraud.
- The Attorney General then assigned 12 experienced Assistant United States Attorneys to opioid “hot-spots” to focus solely on investigating and prosecuting opioid-related health care fraud. By November they had begun issuing indictments.
- In October, the Department announced the first-ever indictments of Chinese nationals and their North American-based traffickers and distributers for separate conspiracies to distribute fentanyl and other opioids in the United States.
- Also in October, the DEA announced the establishment of six new enforcement teams focused on combatting the flow of heroin and illicit fentanyl into the U.S. These enforcement teams are based in communities facing some of the most significant challenges with heroin and fentanyl.
- In 2017, the DEA held two of its National Prescription Drug Takeback Days, when people can dispose of unnecessary and potentially dangerous drugs with no questions asked. In total, DEA took a record 956 tons of drugs out of American communities.
- In January 2018, the Department announced a new resource to target traffickers who sell drugs online called J-CODE: Joint Criminal Opioid Darknet Enforcement team. The J-CODE team will coordinate efforts across the FBI’s offices all around the world – bringing together DEA, our Safe Streets Task Forces, drug trafficking task forces, Health Care Fraud Special Agents, and other assets – effectively doubling the FBI’s investment into fighting against online drug trafficking.
- Also in January 2018, the DEA announced a 45-day surge of Special Agents, Diversion Investigators, and Intelligence Research Specialists to focus on pharmacies and prescribers who are dispensing unusual or disproportionate amounts of drugs.
- On February 7, 2018, the DEA placed all fentanyl analogues not already regulated by the Controlled Substances Act into Schedule I – the category for substances with no currently accepted medical use – for at least two years. This makes it harder for people to acquire illicit fentanyl and easier for law enforcement to investigate and prosecute drug traffickers.
- The Department anticipates filing a statement of interest in the coming days in a multi-district action regarding hundreds of lawsuits against opioid manufacturers and distributors.
Tank Vessel Operator and Master Convicted for Oil and Garbage OffensesRead the Press Release
Sea World Management & Trading, Inc. and Edmon Fajardo were convicted today for maintaining false and incomplete records relating to the discharge of oil and garbage from an oil tanker that was operating off the coast of Texas, announced Acting Assistant Attorney General Jeffrey H. Wood and United States Attorney Ryan K. Patrick for the Southern District of Texas. The defendants were also sentenced today by the court.
Sea World Management & Trading, Inc. and Fajardo pleaded guilty to two felony violations of the Act to Prevent Pollution from Ships, 33 U.S.C. § 1908(a), for failing to accurately maintain the Sea Faith’s Oil Record Book and Garbage Record Book. Under the terms of the plea agreement, the company will pay a total fine of $2.25 million and serve a 3-year term of probation during which all vessels operated by the company and calling on U.S. ports will be required to implement a robust Environmental Compliance Plan. Fajardo was sentenced to six months incarceration to be followed by two years supervised release and a $2,000 fine.
Sea World Management & Trading, Inc. is a tank vessel operating company, and Fajardo is the master of the tank vessel Sea Faith. Both admitted that oil cargo residues and machinery space bilge water were illegally dumped from the Sea Faith directly into the ocean while the vessel was transiting to Corpus Christi, TX, without the use of required pollution prevention equipment. They also admitted that these discharges were not recorded in the vessel’s Oil Record Book as required. Specifically, on five different occasions between March 10, 2017, and March 18, 2017, Fajardo ordered crew members to illegally discharge oily waste from various locations of the vessel’s cargo/deck spaces. These oily waste discharges bypassed the use of the vessel’s required oil discharge monitoring equipment and were done while the vessel was in the Caribbean Sea and the Gulf of Mexico.
Sea World Management & Trading, Inc. and Fajardo further admitted that on March 10, 2017, and March 15, 2017, Fajardo ordered crew members to throw plastics, empty steel drums, oily rags, batteries, and empty paint cans directly overboard into the ocean. None of these garbage discharges were recorded as required in the vessel’s Garbage Record Book.
The cases were investigated by the U.S. Coast Guard Sector Corpus Christi, U.S. Coast Guard Investigative Service, and Environmental Protection Agency-Criminal Investigation Division. The cases were prosecuted by Trial Attorney Stephen Da Ponte of the Environmental Crimes Section of the Department of Justice, and Assistant U.S. Attorney-In-Charge Julie K. Hampton of the U.S. Attorney's Office for the Southern District of Texas.
Justice Department Sues to Shut Down Maricopa County Arizona Tax Return PreparerRead the Press Release
The United States has asked a federal court in Phoenix, Arizona, to permanently bar Alfred George Decker and his business Accountable Business Services Inc. (ABS), located in Gilbert, Arizona, from preparing federal income tax returns for others, the Justice Department announced today. The complaint alleges that the defendants unlawfully understate their customers’ income tax liabilities and overstate their customers’ refunds.
According to that complaint, Decker and ABS have continually and repeatedly prepared returns that claimed deductions to which their customers were not entitled, ignored basic principles of tax law by claiming personal expenses as business deductions, ignored limitations on certain types of deductions by identifying the expense incorrectly on the return, and manipulated different entities’ tax returns to try to hide or eliminate income and zero-out customers’ tax liabilities. As alleged in the complaint, Decker engages in this conduct despite the fact that he has previously pleaded guilty to fraudulently preparing an income tax return in Arizona State Court.
The IRS has a list of steps on their website that you can take now in anticipation of filing your 2017 federal income tax return and ten tips for choosing a tax preparer. Return preparer fraud was one of the IRS’s Dirty Dozen Tax Scams for 2017 and taxpayers seeking a return preparer should remain vigilant. The IRS has some information on their website about selecting a return preparer and has launched a free directory of federal tax preparers.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Department of Justice Announces Mary Daly as Opioid CoordinatorRead the Press Release
The Department of Justice today announced Mary Daly will serve as the Director of Opioid Enforcement and Prevention Efforts in the Office of the Deputy Attorney General, a new position created on December 20, 2017.
“In the midst of the deadliest drug crisis in American history, we need to prosecute drug crimes aggressively and use our resources wisely,” Attorney General Sessions said. “That’s why today I am happy to announce that Mary Daly will help the Department of Justice coordinate our anti-opioid efforts. Mary is a talented and experienced prosecutor and she will help us act as effectively as possible in this time of crisis. I am confident in her leadership and I want to welcome her to Main Justice.”
Ms. Daly previously served as an Assistant U.S. Attorney in the Eastern District of New York and the Eastern District of Virginia, where she supervised the Narcotics unit and was the opioid coordinator. Over her 13-year career as a federal prosecutor, Ms. Daly focused on the prosecution of transnational drug trafficking organizations.
In her role as Director of Opioid Enforcement and Prevention Efforts, Ms. Daly will be responsible for assisting the Attorney General, Deputy Attorney General, and Department components in formulating and implementing Department initiatives, policies, grants, and programs relating to opioids, and coordinating these efforts with law enforcement.Leader of Guatemalan Drug Trafficking Organization Sentenced to Life in PrisonRead the Press Release
Earlier today, Eliu Elixander Lorenzana-Cordon, 46, previously residing in La Reforma, Guatemala, was sentenced to life in prison following a trial in March 2016, where he was found guilty of conspiring to illegally import into the United States and distribute multi-ton quantities of cocaine.
Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division and Special Agent in Charge Raymond P. Donovan of the Drug Enforcement Administration’s (DEA) Special Operations Division made the announcement.
The sentence was issued by U.S. District Judge Colleen Kollar-Kotelly of the U.S. District Court for the District of Columbia.
“Lorenzana-Cordon was a leader of a major international drug trafficking organization with close ties to the Sinaloa Cartel, one of the most violent and sophisticated transnational criminal organizations operating in the world today,” said Acting Assistant Attorney General Cronan. “In that capacity, Lorenzana-Cordon was responsible for receiving and distributing tons of cocaine destined for the United States, where it would be sold on our streets, causing untold harm to our communities and the lives of our citizens. This sentence sends an unmistakable message that the Department will continue to relentlessly pursue and prosecute international drug traffickers who endeavor to send drugs to the United States, wherever they may be.”
“Global criminal networks operate every day through drug trafficking and violence to assault the rule of law in the United States and around the world,” said Special Agent in Charge Donovan. “DEA and our foreign counterparts have worked tirelessly to ensure that Lorenzana-Cordon would spend a significant portion of his life in a U.S. prison cell for his crimes against our great country.”
The defendant was convicted on one count of conspiring to unlawfully distribute cocaine for illegal importation into the United States. As proven at trial, the defendant along with his brother, co-defendant Waldemar Lorenzana-Cordon, established himself as a leader of an international drug trafficking organization with close ties to the Sinaloa Cartel. Between 1996 and 2009, the defendant and his co-conspirators received, stored and distributed multi-ton quantities of cocaine from Colombia at their properties in Zacapa, Guatemala, for importation into Mexico and then ultimately into the United States. The cocaine delivered to the defendant’s properties during the course of the conspiracy arrived via extensive and varying means, including the use of go-fast boats, non-commercial light aircraft, and vehicles with hidden compartments. The defendant and his associates also used firearms during their criminal activity, and relied on threats of violence to promote their drug trafficking objectives.
On April 27, 2010, the Department of Treasury’s Office of Foreign Asset Control designated the defendant and his brother, Waldemar Lorenzana-Cordon, as Specially Designated Narcotics Traffickers pursuant to the Foreign Narcotics Kingpin Designation Act due to their significant roles in international narcotics trafficking and their ties to the Sinaloa Cartel.
The DEA’s 959/Bilateral Investigations Unit and Guatemala City Country Office led the investigation, which was supported by the Organized Crime Drug Enforcement Task Force program, the Criminal Division’s Office of International Affairs, the Chicago Police Department and the governments of El Salvador and Panama provided support and assistance. Finally, and in particular, the Justice Department wishes to convey its gratitude to the government of Guatemala for its steadfast commitment, collaboration and assistance in the investigation, extradition and prosecution of this case.
Trial Attorneys Michael Lang, Stephen Sola and Emily Cohen of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case.
Justice Department Obtains over $2 Million for Servicemembers Who Terminated Their Motor Vehicle Leases with BMW Financial ServicesRead the Press Release
The Justice Department today announced that BMW Financial Services, N.A. (BMW FS) has agreed to pay over $2 million to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by failing to refund a type of up-front lease payment to 492 servicemembers who lawfully terminated their motor vehicle leases early. This is the first case brought by the Department involving a motor vehicle lessor’s failure to refund lease amounts to servicemembers who exercised their SCRA rights to terminate their leases.
The SCRA provides servicemembers with protections that permit them to terminate motor vehicle leases early without penalty after entering military service or receiving qualifying military orders for a permanent change of station or to deploy. When servicemembers lawfully terminate motor vehicle leases, the SCRA requires that they be refunded all lease amounts paid in advance.
BMW FS is a New Jersey-based auto financing company that provides auto leasing for customers of BMW, MINI, and Rolls-Royce. Individuals who lease vehicles from BMW FS, including servicemembers, often contribute an up-front monetary amount at lease signing, in the form of a cash payment, credit for a trade-in vehicle, or rebates or other credits. A portion of this up-front amount can be applied to the first month of the lease and certain up-front costs such as licensing and registration fees. The remainder, which is called the capitalized cost reduction (CCR) amount, operates to reduce the monthly payment the lessee must make over the term of the lease.
The Department received complaints from two servicemembers who were denied refunds of pre-paid CCR amounts by BMW FS. In October 2014, Kristi Steck, then a Senior Master Sergeant (SMSgt) in the U.S. Air Force stationed at Andrews Air Force Base in Maryland, leased a vehicle from BMW FS. Through the trade in of her previous car and a dealer rebate, she paid BMW FS an up-front CCR amount of approximately $4,000. SMSgt Steck made regular monthly lease payments for the next ten months. After receiving orders from the Air Force ordering her to relocate to Japan, SMSgt Steck terminated her lease. BMW FS refused to refund any of the $4,000 she paid when entering into the lease.
Similarly, in February 2015, Technical Sergeant (TSgt) A. Menard, who was also stationed at Andrews Air Force Base, leased a vehicle from BMW FS. TSgt Menard, through a trade in and rebate, paid an up-front CCR amount of approximately $5,000. After making regular monthly lease payments for seven months, TSgt Menard received orders from the Air Force to deploy to Afghanistan. BMW FS refused to refund Tsgt Menard any part of the $5,000 he had paid at the lease signing.
After learning about SMSgt Steck’s and TSgt Menard’s stories, the Department launched an investigation, which was handled jointly by the Department’s Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey. The Department’s investigation revealed that BMW FS had failed to refund any portion of the pre-paid CCR amounts to 492 servicemembers who had lawfully terminated their auto leases.
“We ask a great deal of those who serve our nation, including asking them to drop their affairs to deploy or serve in a new location, sometimes at a moment’s notice,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “Our men and women in uniform should be able to devote their entire energy to their service and defense of our nation, and the Justice Department is committed to protecting these rights when their obligations to the American people force them to change their plans.”
“The men and women who serve in the armed forces have made enormous sacrifices while selflessly protecting our nation from danger,” said U.S. Attorney Craig Carpenito. “We must honor their sacrifice by ensuring that their rights are protected when duty calls for their relocation or deployment overseas. Through this agreement, we are pleased that hundreds of service members will be compensated for the damages they suffered when they were not refunded pre-paid car lease payments after they were deployed.”
The agreement resolves a suit filed today by the United States in the United States District Court for the District of New Jersey. It covers all leases terminated by servicemembers since August 24, 2011.
The agreement requires BMW FS to refund to each servicemember portions of the pre-paid CCR amount based on how many days were remaining in the lease. In addition, BMW FS will pay indirect damages to each servicemember of three times the refund or $500, whichever is larger. The agreement requires BMW FS to deposit $2,165,518.84 into an escrow account to compensate the 492 servicemembers whose rights were violated under the SCRA. BMW FS also must pay $60,788 to the United States Treasury.
The agreement also requires BMW FS to revise its policies and procedures to ensure that servicemembers who terminate their auto leases early receive a full refund of all eligible pre-paid CCR amounts.
The Department’s enforcement of the SCRA is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section and U.S. Attorney’s Offices throughout the country. The SCRA provides protections for servicemembers in areas such as evictions, rental agreements, security deposits, pre-paid rent, civil judicial proceedings, installment contracts, credit card interest rates, mortgage interest rates, mortgage foreclosures, automobile leases, life insurance, health insurance and income tax payments. For more information about the Department’s SCRA enforcement, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under the SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at http://legalassistance.law.af.mil/content/locator.php.
Individuals who believe their civil rights have been violated may also file a complaint with the U.S. Attorney’s Office for the District of New Jersey at: http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint or may call the U.S. Attorney’s Office’s Civil Rights Complaint Hotline at (855) 281-3339.
Justice Department Coordinates Nationwide Elder Fraud Sweep of More Than 250 DefendantsRead the Press Release
WASHINGTON – Attorney General Jeff Sessions and law enforcement partners announced today the largest coordinated sweep of elder fraud cases in history. The cases involve more than two hundred and fifty defendants from around the globe who victimized more than a million Americans, most of whom were elderly. The cases include criminal, civil, and forfeiture actions across more than 50 federal districts. Of the defendants, 200 were charged criminally. In each case, offenders engaged in financial schemes that targeted or largely affected seniors. In total, the charged elder fraud schemes caused losses of more than half a billion dollars. The Department coordinated its announcement with the FTC and state Attorneys General, who independently filed numerous cases targeting elder frauds within the sweep period.
Attorney General Sessions was joined in the announcement by FBI Acting Deputy Director David Bowdich; Chief Postal Inspector Guy Cottrell; FTC Acting Chairman Maureen Ohlhausen; and Kansas Attorney General and President of the National Association of Attorneys General Derek Schmidt.
“The Justice Department and its partners are taking unprecedented, coordinated action to protect elderly Americans from financial threats, both foreign and domestic,” said Attorney General Sessions. “Today’s actions send a clear message: we will hold perpetrators of elder fraud schemes accountable wherever they are. When criminals steal the hard-earned life savings of older Americans, we will respond with all the tools at the Department’s disposal – criminal prosecutions to punish offenders, civil injunctions to shut the schemes down, and asset forfeiture to take back ill-gotten gains. Today is only the beginning. I have directed Department prosecutors to coordinate with both domestic law enforcement partners and foreign counterparts to stop these criminals from exploiting our seniors.”
The actions charged a variety of fraud schemes, ranging from mass mailing, telemarketing and investment frauds to individual incidences of identity theft and theft by guardians. A number of cases involved transnational criminal organizations that defrauded hundreds of thousands of elderly victims, while others involved a single relative or fiduciary who took advantage of an individual victim. The schemes charged in these cases caused losses to more than a million victims.
“Winners. That’s what so many of the people who received these solicitations in the mail thought they were. But they’re not. They are victims of scams that Postal Inspectors have seen and investigated for decades. In fact, some of the same operators we encountered 20 years ago are back. But so are we. Yesterday, Postal Inspectors around the country executed search warrants on 14 locations that some of these same operators used to run their scams. We’re letting the American public know – and especially our vulnerable older Americans – that Postal Inspectors are working hard to protect them and ensure their confidence in the U.S. Mail,” said Chief Postal Inspector Cottrell.
“Over the last year, the FBI has initiated more than 200 financial crimes cases involving elderly victims who were devastated financially, emotionally, mentally and physically. Picking up the pieces of these fraud schemes can be equally as traumatizing for the caregivers of these elderly victims,” said Acting Deputy Director Bowdich. “The FBI reminds seniors and their caregivers to be vigilant. If any person believes they are the victim of, or have knowledge of fraud involving an elderly person, regardless of the loss amount, they should report it to the FBI.”
U.S. Attorney Shawn N. Anderson, Districts of Guam and the NMI, announced local outreach efforts to facilitate effective prosecutions that involve federal crimes against the elderly. The U.S. Attorney’s Office recently met with the Department of Public Health (DPHSS), Division of Senior Citizens and the Guam Coalition Against Sexual Assault & Family Violence, as part of an ongoing collaborative effort to raise awareness about the Department of Justice’s efforts.
Actions against mass-mailing fraud industry
As part of the initiative, the Department’s Consumer Protection Branch, working with the U.S. Attorney’s Office for the Eastern District of New York and others, brought numerous cases this past week in a coordinated strike against more than 43 mass-mailing fraud operators, including criminal charges against six individuals. In addition, law enforcement agents executed 14 premises search warrants from Las Vegas to south Florida, served numerous asset seizure warrants, and coordinated with the Vancouver Police in Canada, who executed over 20 warrants, including search warrants on business premises.
“The defendants targeted elderly and vulnerable consumers both in the United States and abroad, using U.S. addresses and the U.S. mails to try to legitimize their fraudulent schemes,” said U.S. Attorney for the Eastern District of New York Richard P. Donoghue. “They sold false promises of life-changing prizes that never came true. We will pursue the perpetrators of these mail schemes wherever they are located, and hold them accountable.”
These recently filed cases particularly targeted transnational criminal actors who collectively defrauded at least a million victims out of hundreds of millions of dollars. Indeed, just one of the schemes prosecuted criminally by the Consumer Protection Branch operated from 14 foreign countries to cost American victims more than $30 million. Click here for map showing a transnational, single fraud scheme.
Mass-mailing fraud inflicts hundreds of millions of dollars in losses to elderly U.S. victims each year. Department prosecutors and U.S. Postal Inspectors have taken a comprehensive approach to combatting this fraud, disrupting and prosecuting individuals who manage the schemes, artists who draft the fraudulent solicitations, list brokers who supply victim lists, and individuals who collect victim payments. Click here for fact-sheet on mass-mailing fraud sweep and cases.
Actions against other elder fraud schemes
Prosecutors across the country from the Criminal Division’s Fraud Section, the Consumer Protection Branch and the U.S. Attorney’s Offices have heeded the call to focus resources on elder fraud cases. Over 50 U.S. Attorney’s Offices and Department Components filed elder fraud cases in the last year. Some examples of the elder financial exploitation prosecuted by the Department include:
- “Lottery phone scams,” in which callers convince seniors that a large fee or taxes must be paid before one can receive lottery winnings;
- “Grandparent scams,” which convince seniors that their grandchildren have been arrested and need bail money;
- “Romance scams,” which lull victims to believe that their online paramour needs funds for a U.S. visit or some other purpose;
- “IRS imposter schemes,” which defraud victims by posing as IRS agents and claiming that victims owe back taxes;
- “Guardianship schemes,” which siphon seniors’ financial resources into the bank accounts of deceitful relatives or guardians.
Many of these cases illustrate how an elderly American can lose his or her life savings to a duplicitous relative, guardian, or stranger who gains the victim’s trust. The devastating effects these cases have on victims and their families, both financially and psychologically, make prosecuting elder fraud a key Department priority.
Public education
The Department has partnered with Senior Corps, a national service program administered by the federal agency the Corporation for National and Community Service, to educate seniors and prevent further victimization. The Senior Corps program engages more than 245,000 older adults in intensive service each year, who in turn, serve more than 840,000 additional seniors, including 332,000 veterans.
Using its vast network operating in more than 30,000 locations, Senior Corps volunteers will communicate about elder fraud to potential victims across the country and will use their skills, knowledge and experience to educate their peers and caregivers about the most prolific types of schemes and how to avoid them.
Coordination with state officials
Kansas Attorney General Schmidt highlighted the cases filed by state Attorneys General targeting elder frauds within in the sweep period, and he emphasized efforts at the state level to combat elder abuse and protect seniors from fraud and exploitation. He encouraged all of the state Attorneys General to devote enforcement and public education resources to preventing financial exploitation of senior citizens.
Coordination with foreign law enforcementExceptional assistance from foreign law enforcement partners amplified the effectiveness of the Department’s initiative. The sweep announced today benefited greatly from the work of the International Mass-Marketing Fraud Working Group (IMMFWG), a network of civil and criminal law enforcement agencies from Australia, Belgium, Canada, Europol, the Netherlands, Nigeria, Norway, Spain, the United Kingdom and the United States. The IMMFWG is co-chaired by the U.S. Department of Justice and FTC, and law enforcement in the United Kingdom, and serves as a model for international cooperation against specific threats that endanger the financial well-being of each member country’s residents. Attorney General Sessions expressed gratitude for the outstanding efforts of the working group, including law enforcement action taken as part of the sweep by the Vancouver Police Department in Canada to halt mass mailing schemes that defrauded hundreds of thousands of elderly victims worldwide.
Elder fraud complaintsElder fraud complaints may be filed with the FTC at ReportFraud.ftc.gov or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime, which can be reached at www.ovc.gov.
Justice Department Coordinates Nationwide Elder Fraud Sweep of More Than 250 DefendantsRead the Press Release
Attorney General Jeff Sessions and law enforcement partners announced today the largest coordinated sweep of elder fraud cases in history. The cases involve more than two hundred and fifty defendants from around the globe who victimized more than a million Americans, most of whom were elderly. The cases include criminal, civil, and forfeiture actions across more than 50 federal districts. Of the defendants, 200 were charged criminally. In each case, offenders engaged in financial schemes that targeted or largely affected seniors. In total, the charged elder fraud schemes caused losses of more than half a billion dollars. The Department coordinated its announcement with the FTC and state Attorneys General, who independently filed numerous cases targeting elder frauds within the sweep period.
Attorney General Sessions was joined in the announcement by FBI Acting Deputy Director David Bowdich; Chief Postal Inspector Guy Cottrell; FTC Acting Chairman Maureen Ohlhausen; and Kansas Attorney General and President of the National Association of Attorneys General Derek Schmidt.
“The Justice Department and its partners are taking unprecedented, coordinated action to protect elderly Americans from financial threats, both foreign and domestic,” said Attorney General Sessions. “Today’s actions send a clear message: we will hold perpetrators of elder fraud schemes accountable wherever they are. When criminals steal the hard-earned life savings of older Americans, we will respond with all the tools at the Department’s disposal – criminal prosecutions to punish offenders, civil injunctions to shut the schemes down, and asset forfeiture to take back ill-gotten gains. Today is only the beginning. I have directed Department prosecutors to coordinate with both domestic law enforcement partners and foreign counterparts to stop these criminals from exploiting our seniors.”
The actions charged a variety of fraud schemes, ranging from mass mailing, telemarketing and investment frauds to individual incidences of identity theft and theft by guardians. A number of cases involved transnational criminal organizations that defrauded hundreds of thousands of elderly victims, while others involved a single relative or fiduciary who took advantage of an individual victim. The schemes charged in these cases caused losses to more than a million victims.
"Winners. That’s what so many of the people who received these solicitations in the mail thought they were. But they’re not. They are victims of scams that Postal Inspectors have seen and investigated for decades. In fact, some of the same operators we encountered 20 years ago are back. But so are we. Yesterday, Postal Inspectors around the country executed search warrants on 12 locations that some of these same operators used to run their scams. We’re letting the American public know – and especially our vulnerable older Americans – that Postal Inspectors are working hard to protect them and ensure their confidence in the U.S. Mail,” said Chief Postal Inspector Cottrell.
“Over the last year, the FBI has initiated more than 200 financial crimes cases involving elderly victims who were devastated financially, emotionally, mentally and physically. Picking up the pieces of these fraud schemes can be equally as traumatizing for the caregivers of these elderly victims,” said Acting Deputy Director Bowdich. “The FBI reminds seniors and their caregivers to be vigilant. If any person believes they are the victim of, or have knowledge of fraud involving an elderly person, regardless of the loss amount, they should report it to the FBI.”
Actions against mass-mailing fraud industry
As part of the initiative, the Department’s Consumer Protection Branch, working with the U.S. Attorney’s Office for the Eastern District of New York and others, brought numerous cases this past week in a coordinated strike against more than 43 mass-mailing fraud operators, including criminal charges against six individuals. In addition, law enforcement agents executed 14 premises search warrants from Las Vegas to south Florida, served numerous asset seizure warrants, and coordinated with the Vancouver Police in Canada, who executed over 20 warrants, including search warrants on business premises.
“The defendants targeted elderly and vulnerable consumers both in the United States and abroad, using U.S. addresses and the U.S. mails to try to legitimize their fraudulent schemes,” said U.S. Attorney for the Eastern District of New York Richard P. Donoghue. “They sold false promises of life-changing prizes that never came true. We will pursue the perpetrators of these mail schemes wherever they are located, and hold them accountable.”
These recently filed cases particularly targeted transnational criminal actors who collectively defrauded at least a million victims out of hundreds of millions of dollars. Indeed, just one of the schemes prosecuted criminally by the Consumer Protection Branch operated from 14 foreign countries to cost American victims more than $30 million. Click here for map showing a transnational, single fraud scheme.
Mass-mailing fraud inflicts hundreds of millions of dollars in losses to elderly U.S. victims each year. Department prosecutors and U.S. Postal Inspectors have taken a comprehensive approach to combatting this fraud, disrupting and prosecuting individuals who manage the schemes, artists who draft the fraudulent solicitations, list brokers who supply victim lists, and individuals who collect victim payments. Click here for fact-sheet with cases on mass-mailing fraud.
Actions against other elder fraud schemes
Prosecutors across the country from the Criminal Division’s Fraud Section, the Consumer Protection Branch and the U.S. Attorney’s Offices have heeded the call to focus resources on elder fraud cases. Over 50 U.S. Attorney’s Offices and Department Components filed elder fraud cases in the last year. A list of Elder Fraud cases is provided on this interactive map.Some examples of the elder financial exploitation prosecuted by the Department include:
- “Lottery phone scams,” in which callers convince seniors that a large fee or taxes must be paid before one can receive lottery winnings;
- “Grandparent scams,” which convince seniors that their grandchildren have been arrested and need bail money;
- “Romance scams,” which lull victims to believe that their online paramour needs funds for a U.S. visit or some other purpose;
- “IRS imposter schemes,” which defraud victims by posing as IRS agents and claiming that victims owe back taxes;
- “Guardianship schemes,” which siphon seniors’ financial resources into the bank accounts of deceitful relatives or guardians.
Many of these cases illustrate how an elderly American can lose his or her life savings to a duplicitous relative, guardian, or stranger who gains the victim’s trust. The devastating effects these cases have on victims and their families, both financially and psychologically, make prosecuting elder fraud a key Department priority.
Public education
The Department has partnered with Senior Corps, a national service program administered by the federal agency the Corporation for National and Community Service, to educate seniors and prevent further victimization. The Senior Corps program engages more than 245,000 older adults in intensive service each year, who in turn, serve more than 840,000 additional seniors, including 332,000 veterans.
Using its vast network operating in more than 30,000 locations, Senior Corps volunteers will communicate about elder fraud to potential victims across the country and will use their skills, knowledge and experience to educate their peers and caregivers about the most prolific types of schemes and how to avoid them. Click here for information on Senior Corps’ efforts to reduce elder fraud.
Coordination with state officials
Kansas Attorney General Schmidt highlighted the cases filed by state Attorneys General targeting elder frauds within in the sweep period, and he emphasized efforts at the state level to combat elder abuse and protect seniors from fraud and exploitation. He encouraged all of the state Attorneys General to devote enforcement and public education resources to preventing financial exploitation of senior citizens.
Coordination with foreign law enforcement
Exceptional assistance from foreign law enforcement partners amplified the effectiveness of the Department’s initiative. The sweep announced today benefited greatly from the work of the International Mass-Marketing Fraud Working Group (IMMFWG), a network of civil and criminal law enforcement agencies from Australia, Belgium, Canada, Europol, the Netherlands, Nigeria, Norway, Spain, the United Kingdom and the United States. The IMMFWG is co-chaired by the U.S. Department of Justice and FTC, and law enforcement in the United Kingdom, and serves as a model for international cooperation against specific threats that endanger the financial well-being of each member country’s residents. Attorney General Sessions expressed gratitude for the outstanding efforts of the working group, including law enforcement action taken as part of the sweep by the Vancouver Police Department in Canada to halt mass mailing schemes that defrauded hundreds of thousands of elderly victims worldwide.
Elder fraud complaints
Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime, which can be reached at www.ovc.gov.Denaturalization Sought Against Five Child Sexual Abusers in California, Maryland, North Carolina, and TexasRead the Press Release
WASHINGTON – The Department of Justice today filed denaturalization lawsuits against five individuals who, according to the Department’s complaints, unlawfully procured their United States citizenship by concealing their sexual abuse of minor victims during the naturalization process.
The civil complaints were filed in federal court in the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas (two cases).
“Those who wish to become American citizens ought to respect our laws and seek citizenship lawfully and honestly,” said Attorney General Jeff Sessions. “Anyone who lies, misleads, or omits critical information in an attempt to evade the requirements for naturalization undermines the credibility of our nation’s generous lawful immigration system. This Justice Department will continue to seek out fraudsters and bring them to justice by obtaining orders revoking their naturalized citizenship.”
The cases were referred to the Department of Justice by the Department of Homeland Security’s U.S. Immigration and Customs Enforcement (ICE) and U.S. Customs and Border Protection (CBP) with investigative support from U.S. Citizenship and Immigration Services.
“ICE is committed to collaborating with our sister agencies within DHS to target individuals who conceal illicit activities in order to obtain U.S. citizenship,” said ICE Deputy Director Thomas D. Homan. “When special agents identify a child predator, exploiting the most innocent among us, and other criminals who have defrauded the U.S. immigration system for naturalization benefits, then ICE will move to have their citizenship revoked.”
Under the Immigration and Nationality Act, the citizenship of a naturalized U.S. citizen may be revoked, and his or her certificate of naturalization canceled, if such naturalization was illegally procured or procured by concealment of a material fact or by willful misrepresentation.
The five defendants committed crimes of sexual abuse of minor victims prior to naturalizing. As the civil complaints allege, such crimes rendered the defendants ineligible for citizenship at the time they naturalized. By willfully concealing child sexual abuse crimes, the defendants also independently rendered themselves subject to denaturalization.
A description of each of the five cases and the allegations of the United States follows:
Ricardo De Leon
Ricardo De Leon, 32, a native of Mexico, naturalized on July 23, 2010. Before De Leon naturalized as a U.S. citizen, he sexually assaulted a child under the age of 12. In July 2015, after he had naturalized, De Leon was indicted, and in March 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2009. He was ordered to ten years of community supervision and required to register as a sex offender. He has been residing in Edinburg, Texas. United States of America v. Ricardo De Leon (S.D. Tex.).
Christian Oribello Eguilos
Christian Oribello Eguilos, 40, a native of the Philippines, naturalized on Nov. 6, 2013. For several years before filing his naturalization application and throughout the naturalization process, Eguilos repeatedly committed forcible lewd acts upon a child under the age of 14. In September 2015, he pleaded nolo contendere in California state court to four counts of Forcible Lewd Act Upon a Child. Eguilos was sentenced to 40 years in prison and ordered to register as a sex offender. He is incarcerated in Ione, California. United States of America v. Christian Oribello Eguilos (E.D. Cal.).
Carlos Noe Gallegos
Carlos Noe Gallegos, 41, a native of Mexico, naturalized on March 10, 2010. Before Gallegos naturalized as a U.S. citizen, he sexually assaulted a seven-year-old child. In November 2016, after he had naturalized, Gallegos was indicted, and in April 2017 he pleaded guilty in Texas state court to committing aggravated sexual assault of a child in 2007. He was ordered to six years of community supervision and required to register as a sex offender. He has been residing in Alamo, Texas. United States of America v. Carlos Noe Gallegos (S.D. Tex.).
Alwin Farouk Gariba
Alwin Farouk Gariba, 51, a native of Guyana, naturalized on Feb. 29, 2000. After he applied to naturalize but while he was in the naturalization process, Gariba repeatedly sexually abused a ten-year-old child. In July 2000, only months after he had naturalized, Gariba pleaded guilty in North Carolina state court to three counts of Taking Indecent Liberties with Children. He was placed on 60 months’ probation and ordered to register as a sex offender. He has been residing in Greensboro, North Carolina. United States of America v. Alwin Farouk Gariba (M.D.N.C.).
Moises Javier Lopez
Moises Javier Lopez, 42, a native of the Republic of Colombia, naturalized on March 22, 2013. Before filing his naturalization application and throughout the naturalization process, Lopez sexually abused a minor child. In August 2013, he pleaded guilty in Maryland state court to Sexual Abuse of a Minor. He was sentenced to 25 years’ confinement, all but four suspended. He has been residing in Gaithersburg, Maryland. United States of America v. Moises Javier Lopez (D. Md.).
These cases were investigated by ICE, CBP, and the Civil Division’s Office of Immigration Litigation, District Court Section (OIL-DCS). These cases are being prosecuted by OIL-DCS and its National Security and Affirmative Litigation Unit (NS/A Unit) with support from the U.S. Attorney’s Offices for the Eastern District of California, the District of Maryland, the Middle District of North Carolina, and the Southern District of Texas.
The claims made in the complaints are allegations only, and there have been no determinations of liability.
Virginia Man Indicted for Hate Crime and Threatening Employees of the Arab American InstituteRead the Press Release
The Justice Department today charged William Patrick Syring, 60, from Arlington, Virginia, to four counts of threatening employees of the Arab American Institute (AAI) because of their race and national origin, three counts of threatening AAI employees because of their efforts to encourage Arab Americans to participate in political and civic life in the United States, and seven counts of transmitting threats to AAI employees in interstate commerce. A summons was issued for Syring to appear in federal court in Washington, D.C. AAI is a Washington D.C. based private non-profit organization whose purpose is to encourage the direct participation of Arab Americans in political and civic life in the United States.
Each charge of threatening AAI employees because of their race and national origin and because of their advocacy on behalf of AAI provides for a sentence of no greater than one year in prison, one year of supervised release, and a fine of up to $100,000. Each charge of transmitting a threat in interstate commerce provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of up to $250,000.
According to court documents, Syring previously pleaded guilty to threatening AAI employees through e-mails and voicemails sent in 2006. Syring was sentenced on July 11, 2008 to 12 months of imprisonment followed by three years of post-release supervision, 100 hours of community service, and was ordered to pay a $10,000 fine.
Following termination of his supervised release, Syring resumed communications with AAI employees, sending AAI employees over 350 e-mails from March 2012 to January 2018. Several of the e-mails Syring sent to AAI employees during this time period contained true threats using language similar to that which formed the basis of his prior conviction.
This case was investigated by the Federal Bureau of Investigation and is being prosecuted by Civil Rights Division Senior Legal Counsel Mark Blumberg and Trial Attorney Nick Reddick.
An indictment is a formal accusation of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless and until proven guilty.
Justice Department Announces Plans to Advance Forensic ScienceRead the Press Release
Deputy Attorney General Rod J. Rosenstein announced new Department of Justice policies to advance forensic science at the American Academy of Forensic Sciences 70th Annual Scientific Meeting in Seattle, Washington today. The new guidance implements additional quality assurance measures based on science-informed practices, enhances forensic capacity and efficiency, and increases coordination and collaboration between the Department and state, local, and federal partners.
“President Trump ordered the Department of Justice to reduce crime, and Attorney General Jeff Sessions has made it the Department’s top priority to achieve that goal,” said Deputy Attorney General Rod Rosenstein. “Forensic science, used appropriately, will help us accomplish our mission. The policies that I am announcing today will advance the Justice Department’s commitment to reliable science that helps us to find and report the truth.”
Announcements today include:- Release of Department of Justice approved Uniform Language for Testimony and Reports for use by Department forensic examiners to provide testimonial consistency and quality assurance;
- Initiation of Department-wide testimony monitoring practices to ensure testimonial consistency and accountability by Department forensic examiners;
- To increase transparency, Department forensic laboratories supporting criminal investigations and prosecutions will begin publicly posting current quality management system documents and summaries of internal validation studies online;
- Leading federal efforts to advance forensic science, the Department announced the re-chartering of the Council of Federal Forensic Laboratory Directors, which will begin meeting again this May. All executive branch agencies with forensic laboratories and digital analysis entities are invited and encouraged to join.
View full remarks here.View the “Department of Justice Approved Uniform Language for Testimony and Reports for the Forensic Latent Print Discipline” here.
View the “Department of Justice Testimony Monitoring Framework” here.
View the Memo here.Former Sergeant Pleads Guilty to Assault of DetaineeRead the Press Release
David Prejean, a former Sergeant in the K-9 Unit of the Iberia Parish Sheriff’s Office (IPSO), pleaded guilty today to assaulting a pre-trial detainee at the Iberia Parish Jail (IPJ) by commanding his K-9 to bite the detainee, and by striking the detainee, all without justification, announced Acting Assistant Attorney General John Gore of the Civil Rights Division and U.S. Attorney Alexander C. Van Hook for the Western District of Louisiana.
According to the charges and other information presented in Court, Prejean was a K-9 Sergeant on the IMPACT Unit, a specialized unit at IPSO. On Dec. 6, 2012, Prejean was called to the Iberia Parish Jail to assist with a shakedown. During the course of the shakedown, an inmate—M.R.—turned to look at Prejean after being told not to, at which point Prejean threw M.R. to the ground and then commanded his dog to bite M.R. Prejean also struck M.R. several times. Despite the fact that M.R. had complied with Prejean’s commands and did not pose a threat to anyone on the rec yard, Prejean allowed the dog to bite M.R. for several seconds before pulling him off of M.R. Prejean’s unlawful use of force resulted in injury to M.R. Following the assault, Prejean wrote a false report designed to cover up his unjustified use of force.
“Every person in the United States, including those who are incarcerated, is protected by the U.S. Constitution,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “When the officers we expect to uphold the rights enshrined in the Constitution willfully violate them, the Justice Department will aggressively prosecute those officers and uphold the rule of law.”
“Law enforcement officers respond to dangerous situations and put their lives at risk every day to serve and protect the public,” said U.S. Attorney Alexander C. Van Hook. “For this sacrifice they have our thanks and respect. Officers also have a moral and legal obligation to protect the civil rights of those in their custody. Those officers who willfully abuse prisoners in their care and violate their rights will be held accountable.”
David Prejean, 38, of Lafayette, Louisiana, will be sentenced by U.S. District Court Judge Dee D. Drell, on May 18 in Alexandria, Louisiana.
This case was investigated by the Lafayette Resident Agency of the Federal Bureau of Investigation, and was prosecuted by Trial Attorney Tona Boyd of the Civil Rights Division and Assistant United States Attorney Mary Mudrick of the Western District of Louisiana.
Former Arkansas State Judge Sentenced to Prison for Dismissing Cases in Exchange for Personal Benefits and Tampering with a WitnessRead the Press Release
A former Arkansas state judge was sentenced to five years in prison for perpetrating a seven-year-long fraud and bribery scheme in which he dismissed pending cases in exchange for personal benefits, including sexually related conduct, and then bribed a witness in an attempt to obstruct an official investigation into the scheme. Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division made the announcement.
O. Joseph Boeckmann, 71, of Wynne, Arkansas, was sentenced by U.S. District Judge Kristine G. Baker of the Eastern District of Arkansas. Judge Baker also ordered the defendant to to serve three years of supervised release following his prison sentence and pay a fine of $50,000, to account for the financial harm he caused through his fraud scheme.
According to admissions in his plea agreement, from 2009 to 2015, Boeckmann corruptly used his official position as a district judge for the First Judicial Circuit of Arkansas to dismiss traffic citations and misdemeanor criminal charges for young men in exchange for acts that he claimed were “community service,” but which actually benefited Boeckmann himself. Boeckmann took official action to order these individuals to perform “community service” and used his access to these individuals during their purported “community service” to take photographs of them in compromising positions. In other cases, Boeckmann dismissed pending charges against defendants in exchange for sexually related conduct.
Boeckmann, who pleaded guilty to wire fraud and witness tampering in October 2017, admitted that the corrupt use of his office defrauded the State of Arkansas and its citizens of their right to Boeckmann’s honest services and also defrauded various cities and counties in Arkansas, as well as the State of Arkansas and the Arkansas courts, of money and property that they should have received as fines or fees from the individuals whose cases were fraudulently dismissed.
Boeckmann also admitted that during his scheme, he instructed various individuals not to tell anyone about their “community service” sentences. Then, after Boeckmann learned he was under investigation, he tampered with at least one witness in an attempt to keep his scheme secret. Specifically, in the fall of 2015, Boeckmann learned of a witness who had provided information to the Arkansas Judicial Discipline and Disability Commission (JDDC) regarding Boeckmann’s practice of imposing personally beneficial “community service” sentences. Boeckmann directed another individual to pay the witness to write a letter recanting the information the witness gave to the JDDC. According to his own admissions, Boeckmann did this in order to prevent that witness from providing truthful information about Boeckmann to law enforcement and to influence, delay and prevent that witness’s testimony in an official proceeding.
The FBI investigated this case with assistance of the Arkansas State Police and the JDDC. Trial Attorneys Peter Halpern, Jonathan Kravis and Simon Cataldo of the Criminal Division’s Public Integrity Section prosecuted the case, with assistance from Special Prosecutor Jack McQuary of the State of Arkansas Office of the Prosecutor Coordinator.
Deputy Attorney General Rosenstein Highlights Ongoing and Intensive Work to Solve 2001 Murder of Federal Prosecutor Tom WalesRead the Press Release
Deputy Attorney General Rod Rosenstein joined U.S. Attorney Annette L. Hayes, Seattle Mayor Jenny A. Durkan, the Wales family, the National Association of Former United States Attorneys Foundation, and other law enforcement partners in Seattle today to bring continued and deserved attention to the Department of Justice investigation into the 2001 murder of Assistant U.S. Attorney Thomas C. Wales.
The Department of Justice remains committed to a reward of up to one million dollars for information leading to the arrest and conviction of those responsible. In addition to and separate from the Department’s reward, the National Association of Former United States Attorneys Foundation President Mike McKay announced that his organization is offering up to a $525,000 reward to the same individuals as the Justice Department for information leading to the Department’s prosecution of those responsible for Wales’ murder. Wales worked as a federal prosecutor in the Western District of Washington for 18 years before he was shot and killed in his home the evening of Oct. 11, 2001.
“Any attack on a law enforcement officer is an attack on our entire justice system,” Deputy Attorney General Rosenstein said. “The Wales family has shown incredible strength, courage, and devotion. As Deputy Attorney General, I intend to see that we leave no stone unturned in the search for the killer who murdered Tom Wales. We will continue to pursue this case for as long as it takes to achieve justice. The killer will be held accountable.”
“The murder of Tom Wales more than 16 years ago remains an affront to the rule of law and a devastating loss to all who knew Tom and the community he so loyally served,” said U.S. Attorney Annette L. Hayes. “I am deeply grateful to the National Association of Former United States Attorneys and their foundation for establishing a separate reward in this case. As the Department of Justice has made clear time and again — we will never rest until justice is done in this case.”
A task force led by the Federal Bureau of Investigation and Seattle Police Department continues to work actively and intensively. The investigative team has been able to successfully investigate thousands leads and continues to devote resources to focused investigative avenues. In just the last 12 months, the investigative team has served nearly 50 new subpoenas and has pursued hundreds of investigative actions.
Investigators believe that there are people who have information and hope that the significant reward provides an additional incentive for coming forward. The task force asks the public to help partner in its efforts for justice, and closure for the Wales family.
“The FBI remains committed to bringing closure for the Wales family,” said FBI Special Agent in Charge Jay S. Tabb, Jr., of the FBI’s Seattle Field Division. “We continue to offer a reward of up to $1 million for information that helps us resolve this investigation. We know that there are people with pertinent knowledge and we are pleading with you to come forward to the FBI. Please help us solve this case for the Wales family.”
“We haven’t forgotten about Tom Wales, and are leaving no stone unturned in this investigation,” said Seattle Police Chief Carmen Best. “We will continue to work in collaboration with our federal partners to bring the individual responsible for his brutal murder to justice.”
“Local prosecutors will continue our partnership with federal investigators on this case, said Dan Satterberg, King County Prosecuting Attorney. “We are determined to solve this terrible crime.”
The Seattle Prosecutor Murder (SEPROM) Task Force is a joint effort by the FBI, the Seattle Police Department, the Department of Justice, and the King County Prosecuting Attorney’s Office. It includes agents, detectives, analysts, two Department of Justice prosecutors, a King County prosecutor, and FBI personnel assisting across the nation to cover far-ranging leads.
Anyone with information is encouraged to contact the FBI and can do so confidentially by phone at (206) 622-0460 or by e-mail at [email protected]. People can also send anonymous tips to the FBI at 1110 Third Avenue, Seattle, WA, 98101.
The complete library of information, including multi-media materials for download and use, the FBI Seeking Information poster, details about the tip lines, and more can be found at https://www.fbi.gov/wanted/seeking-info/thomas-crane-wales.Justice Department Settles National Origin Discrimination Claim Against New York RestaurantRead the Press Release
The Justice Department today announced it has reached a settlement with Food Love 125 Inc., d/b/a Ichiba Ramen, a New York City restaurant, to resolve the Department’s investigation into whether the restaurant violated the Immigration and Nationality Act’s (INA) anti-discrimination provision.
A worker’s complaint initiated the Justice Department’s investigation, which revealed that Ichiba Ramen’s former chef discriminated against a job applicant when it refused to hire him as a server because he is not Korean or Japanese. The investigation also revealed that prior chefs had not placed such limitations on the restaurant’s hiring of servers. The INA’s anti-discrimination provision prohibits employers with four to 14 employees from discriminating against individuals because of their national origin.
Under the settlement agreement, Ichiba Ramen will pay a civil penalty, undergo training on the INA’s anti-discrimination provision, and post notices informing workers about their rights under the INA. The restaurant also paid $1,760 in back pay to compensate the affected applicant.
“Today’s settlement should serve as a reminder to small employers that hiring discrimination based on national origin violates the INA’s anti-discrimination provision, and the Justice Department is committed to holding employers accountable for such violations,” said Acting Assistant Attorney General John Gore of the Civil Rights Division.
The Division’s Immigrant and Employee Rights Section (IER), formerly known as the Office of Special Counsel for Immigration-Related Unfair Employment Practices, is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation and intimidation. Title VII of the Civil Rights Act of 1964, as amended, prohibits national origin discrimination by employers that employ 15 or more workers.
For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email [email protected]; or visit IER’s English and Spanish websites.
Applicants or employees who believe they were subjected to retaliation; different documentary requirements based on their citizenship, immigration status or national origin; or discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee, should contact IER’s worker hotline for assistance.
Justice Department Reaches Settlement with Atlantis Events, Inc., to Resolve ADA ViolationsRead the Press Release
Today the Justice Department reached a settlement agreement with Atlantis Events, Inc., (Atlantis), a cruise and resort vacation company with offices in West Hollywood, California, to ensure that individuals who are deaf or hard of hearing are provided effective communication when travelling with the company.
The settlement agreement resolves complaints under the Americans with Disabilities Act (ADA) in which individuals who are deaf alleged that Atlantis failed to provide them with effective communication on a cruise. Atlantis cooperated with the Department throughout the investigation.
Under the agreement, Atlantis will ensure that interpreters, transcription services, written exchanges, assistive listening devices, captioning, or other auxiliary aids and services are provided to individuals with hearing disabilities free of charge when necessary for effective communication, and it will designate an ADA liaison on all of its cruises to respond to disability-related requests from passengers. In addition, Atlantis will pay a civil penalty of $10,000 to the United States and $9,000 in damages to the complainants.
“The ADA guarantees people with disabilities equal access to public accommodations, including communications access,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “People with disabilities who are deaf or hard of hearing must be given the opportunity to fully participate on cruises and at resorts, and enjoy the services and activities a vacation company offers.”
“Individuals with disabilities, including those who are deaf or hard of hearing, have a right under federal law to the equal enjoyment of the services that travel companies provide to the public,” said U.S. Attorney Nicola T. Hanna for the Central District of California. “Atlantis is to be complimented for acknowledging its obligations under the Americans with Disabilities Act, and agreeing to implement policies and practices to ensure equal access and effective communication.”
People interested in finding out more about the ADA or this settlement agreement can call the toll-free ADA Information Line at 800-514-0301 or 800-514-0383 (TDD), or access the ADA website at http://www.ada.gov.
Justice Department Reaches Agreement with Arizona Election Officials to Protect the Rights of Military and Overseas Voters in Arizona Special ElectionRead the Press Release
The Justice Department today announced that the United States District Court for the District of Arizona has approved an agreement between the Department and the state of Arizona to help ensure that military service members, their family members, and U.S. citizens living overseas have an opportunity to participate fully in the upcoming Feb. 27, 2018, special primary election and April 24, 2018, special general election to fill a vacancy in the state’s 8th Congressional District. The agreement is necessary to ensure compliance with the Uniformed and Overseas Citizens Absentee Voting Act (UOCAVA).
The agreement provides additional time for state election officials to receive and count absentee ballots from eligible UOCAVA voters, in order to ensure that such voters will have sufficient time to receive and submit their absentee ballots for the Feb. 27, 2018 special primary election. Under the agreement, UOCAVA ballots sent back by mail will be accepted for an additional 10 days–until March 9, 2018–so long as they are executed and sent by Feb. 27, 2018 and otherwise valid. The agreement also requires that election officials take measures to notify UOCAVA voters of this extension and notify them of their options of returning their marked ballots by electronic upload or fax, or express mail at no expense to the voter. The agreement also provides additional steps, if needed, to protect UOCAVA voters for the April 24, 2018 special general election.
“This agreement reflects this Department’s deep commitment to protecting the right to vote for members of our armed forces, their families, and overseas citizens, and ensuring that these voters are afforded a meaningful opportunity to vote in all federal elections, including special vacancy elections,” said Acting Assistant Attorney General John Gore for the Civil Rights Division. “I commend Arizona, the Secretary of State’s office, and other state officials, who worked collaboratively with the Department to achieve our shared goal of providing UOCAVA voters a full and fair opportunity to participate in the state’s upcoming special election, and all future special federal elections.”
UOCAVA requires states to allow uniformed service voters, serving both overseas and within the United States, and their families, and U.S. citizens residing overseas to register to vote and to vote absentee for all elections for federal office. States are required to transmit absentee ballots to these voters, by mail or electronically at the voter’s option, no later than 45 days before each federal election, including special elections to fill vacancies for federal office.
Arizona law mandates a truncated election schedule for holding special elections to fill a vacancy for U.S. Representative, which prevented election officials from sending final ballots to UOCAVA voters by the 45th day before the Feb. 27, 2018 special primary election. Under the terms of the agreement, Arizona will also provide reports to the Department of the notice provided to affected voters, receipt of ballots for the special primary election, and transmission of ballots for the special general election. The state is also required to take the actions necessary to ensure that UOCAVA voters have a fair and reasonable opportunity to participate in future federal special elections.
More information about UOCAVA and other federal voting laws is available on the Department of Justice website at https://www.justice.gov/crt/uniformed-and-overseas-citizens-absentee-voting-act. Please report any complaints to the Civil Rights Division at 1-800-253-3931.
El Departamento de Justicia Resuelve una Denuncia Relacionada con la Nacionalidad de Origen contra un Restaurante en Nueva YorkRead the Press Release
WASHINGTON, D.C. – El Departamento de Justicia anunció hoy que ha llegado a un acuerdo con Food Love 125 Inc., conocido comercialmente como Ichiba Ramen, un restaurante en Nueva York. El Acuerdo resuelve la investigación liderada por el Departamento para determinar si el restaurante vulneró la disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés).
La investigación del Departamento de Justicia se inició como respuesta a una denuncia presentada por un trabajador, que puso de manifiesto que el chef antiguo de Ichiba Ramen discriminó a un postulante de trabajo al negarse a contratarlo como camarero por no ser coreano o japonés. Asimismo, la investigación reveló que los chefs anteriores no habían impuesto tales limitaciones a la contratación de camareros para el restaurante. La disposición antidiscriminatoria de la INA prohíbe que empleadores con entre 4 y 14 empleados discriminen a individuos por motivos de su nacionalidad de origen.
Conforme el acuerdo, Ichiba Ramen pagará sanciones civiles, participará en una capacitación sobre la disposición antidiscriminatoria de la INA y publicará notificaciones para informar a los trabajadores acerca de sus derechos. El restaurante también pagó $1.760 en pagos retroactivos para compensar al postulante afectado.
«El acuerdo que hoy celebramos debe servir como recordatorio a los empleadores pequeños que la discriminación en la contratación vulnera la disposición antidiscriminatoria de la INA y que el Departamento de Justicia está comprometido a obligar a los empleadores a rendir cuentas ante tales vulneraciones», declaró el Fiscal General Adjunto en funciones, John Gore, de la División de Derechos Civiles.
La Sección de Derechos de Inmigrantes y Empleados (IER, por sus siglas en inglés), que anteriormente se conocía como la Oficina del Consejero Especial para Prácticas Injustas en el Empleo Relacionadas a Inmigración, que pertenece a la División, es responsable de aplicar la disposición antidiscriminatoria de la INA. Entre otras cosas, esta ley prohíbe la discriminación por motivos de estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; la discriminación en el proceso de verificación de la elegibilidad para trabajar; las represalias y la intimidación. El Título VII de la ley de Derechos Civiles de 1964, en su forma enmendada, prohíbe la discriminación por parte de empleadores que emplean a 15 empleados o más por motivos de la nacionalidad de origen de los mismos.
Para más información sobre protecciones contra la discriminación en el empleo en virtud de las leyes migratorias, llame a la línea directa de la IER para trabajadores al 1‑800‑255-7688 (1‑800-237-2515, TTY para personas con discapacidades auditivas); llame a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); matricúlese para un seminario en línea gratuito; mande un correo electrónico a [email protected] o visite la página web de la IER en inglés o español.
Aquellos postulantes o empleados que creen haber sido sometidos a otros requisitos documentales por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen, o a la discriminación por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión deben llamar a la línea directa de la IER para trabajadores para pedir ayuda.
Attorney General Sessions Announces New Cybersecurity Task ForceRead the Press Release
Attorney General Jeff Sessions has ordered the creation of the Justice Department’s Cyber-Digital Task Force, which will canvass the many ways that the Department is combatting the global cyber threat, and will also identify how federal law enforcement can more effectively accomplish its mission in this vital and evolving area.
“The Internet has given us amazing new tools that help us work, communicate, and participate in our economy, but these tools can also be exploited by criminals, terrorists, and enemy governments,” Attorney General Sessions said. “At the Department of Justice, we take these threats seriously. That is why today I am ordering the creation of a Cyber-Digital Task Force to advise me on the most effective ways that this Department can confront these threats and keep the American people safe.”
The Task Force will be chaired by a senior Department official appointed by the Deputy Attorney General and will consist of representatives from the Department’s Criminal Division, the National Security Division, the United States Attorney’s Office community, the Office of Legal Policy, the Office of Privacy and Civil Liberties, the Office of the Chief Information Officer, the ATF, FBI, DEA, and the U.S. Marshals Service. The Deputy Attorney General may invite representatives from other Department of Justice components and from other federal agencies to participate in the Task Force. He may also establish subcommittees to focus the Task Force’s efforts.
The Task Force will be responsible for issuing a report to the Attorney General by the end of June.
The Attorney General has asked the Task Force to prioritize its study of efforts to interfere with our elections; efforts to interfere with our critical infrastructure; the use of the Internet to spread violent ideologies and to recruit followers; the mass theft of corporate, governmental, and private information; the use of technology to avoid or frustrate law enforcement; and the mass exploitation of computers and other digital devices to attack American citizens and businesses. The scope of the Task Force’s report is not limited to these categories.
Grand Jury Indicts Thirteen Russian Individuals and Three Russian Companies for Scheme to Interfere in the United States Political SystemRead the Press Release
The Department of Justice announced that a grand jury in the District of Columbia today returned an indictment presented by the Special Counsel’s Office. The indictment charges thirteen Russian nationals and three Russian companies for committing federal crimes while seeking to interfere in the United States political system, including the 2016 Presidential election. The defendants allegedly conducted what they called “information warfare against the United States,” with the stated goal of “spread[ing] distrust towards the candidates and the political system in general.”
“This indictment serves as a reminder that people are not always who they appear to be on the Internet,” said Deputy Attorney General Rod J. Rosenstein. “The indictment alleges that the Russian conspirators want to promote discord in the United States and undermine public confidence in democracy. We must not allow them to succeed. The Department of Justice will continue to work cooperatively with other law enforcement and intelligence agencies, and with the Congress, to defend our nation against similar current and future schemes. I want to thank the federal agents and prosecutors working on this case for their exceptional service. And we received exceptional cooperation from private sector companies like Facebook, Oath, PayPal, and Twitter.”
According to the allegations in the indictment, twelve of the individual defendants worked at various times for Internet Research Agency LLC, a Russian company based in St. Petersburg, Russia. The other individual defendant, Yevgeniy Viktorovich Prigozhin, funded the conspiracy through companies known as Concord Management and Consulting LLC, Concord Catering, and many subsidiaries and affiliates. The conspiracy was part of a larger operation called “Project Lakhta.” Project Lakhta included multiple components, some involving domestic audiences within the Russian Federation and others targeting foreign audiences in multiple countries.
Internet Research Agency allegedly operated through Russian shell companies. It employed hundreds of persons for its online operations, ranging from creators of fictitious personas to technical and administrative support, with an annual budget of millions of dollars. Internet Research Agency was a structured organization headed by a management group and arranged in departments, including graphics, search-engine optimization, information technology, and finance departments. In 2014, the agency established a “translator project” to focus on the U.S. population. In July 2016, more than 80 employees were assigned to the translator project.
Two of the defendants allegedly traveled to the United States in 2014 to collect intelligence for their American political influence operations.
To hide the Russian origin of their activities, the defendants allegedly purchased space on computer servers located within the United States in order to set up a virtual private network. The defendants allegedly used that infrastructure to establish hundreds of accounts on social media networks such as Facebook, Instagram, and Twitter, making it appear that the accounts were controlled by persons within the United States. They used stolen or fictitious American identities, fraudulent bank accounts, and false identification documents. The defendants posed as politically and socially active Americans, advocating for and against particular political candidates. They established social media pages and groups to communicate with unwitting Americans. They also purchased political advertisements on social media.
The Russians also recruited and paid real Americans to engage in political activities, promote political campaigns, and stage political rallies. The defendants and their co-conspirators pretended to be grassroots activists. According to the indictment, the Americans did not know that they were communicating with Russians.
After the election, the defendants allegedly staged rallies to support the President-elect while simultaneously staging rallies to protest his election. For example, the defendants organized one rally to support the President-elect and another rally to oppose him—both in New York, on the same day.
On September 13, 2017, soon after the news media reported that the Special Counsel’s Office was investigating evidence that Russian operatives had used social media to interfere in the 2016 election, one defendant allegedly wrote, “We had a slight crisis here at work: the FBI busted our activity.... So, I got preoccupied with covering tracks together with my colleagues.”
The indictment includes eight criminal counts. Count One alleges a criminal conspiracy to defraud the United States, by all of the defendants. The defendants allegedly conspired to defraud the United States by impairing the lawful functions of the Federal Election Commission, the U.S. Department of Justice, and the U.S. Department of State in administering federal requirements for disclosure of foreign involvement in certain domestic activities.
Count Two charges conspiracy to commit wire fraud and bank fraud by Internet Research Agency and two individual defendants.
Counts Three through Eight charge aggravated identity theft by Internet Research Agency and four individuals.
There is no allegation in the indictment that any American was a knowing participant in the alleged unlawful activity. There is no allegation in the indictment that the charged conduct altered the outcome of the 2016 election.
Everyone charged with a crime is presumed innocent unless proven guilty in court. At trial, prosecutors must introduce credible evidence that is sufficient to prove each defendant guilty beyond a reasonable doubt, to the unanimous satisfaction of a jury of twelve citizens.
The Special Counsel's investigation is ongoing. There will be no comments from the Special Counsel at this time.Department of Justice Takes Action in Response to Broward County School ShootingRead the Press Release
Attorney General Jeff Sessions offered his condolences and support for the people of Broward County, Florida yesterday. He also ordered the Department of Justice to assist the victims of the tragic shooting at Marjory Stoneman Douglas High School as well as the state and local agencies that are leading the investigation.
The Attorney General offered the following statement:
“It is now clear that the warning signs were there and tips to the FBI were missed. We see the tragic consequences of those failures.
“The FBI in conjunction with our state and local partners must act flawlessly to prevent all attacks. This is imperative, and we must do better. I have ordered the Deputy Attorney General to conduct an immediate review of our process here at the Department of Justice and FBI to ensure that we reach the highest level of prompt and effective response to indications of potential violence that come to us. This includes more than just an error review but also a review of how we respond. This will include possible consultation with family members, mental health officials, school officials, and local law enforcement.
“We will make this a top priority. It has never been more important to encourage every person in every community to spot the warning signs and alert law enforcement. Do not assume someone else will step up--all of us must be vigilant. Our children's lives depend on it.”
***
Following are some of the resources already deployed by the Department and available to assist with the state and local response:- The FBI has approximately 250 personnel working on this matter, including personnel in Miami and at FBI headquarters in Washington, D.C.
- The FBI’s Evidence Response Team is assisting in evidence collection and analysis and providing technical assistance with phone and social media investigation.
- The ATF dispatched 17 special agents from the Miami Field Division to assist at the scene, and these agents continue to support the Broward County Sheriff’s Office in follow-up investigation.
- 14 ATF agents from ATF’s West Palm Beach and Fort Pierce Field Offices were on stand-by to assist during the scene response, and are now supporting the follow-up investigation.
- ATF completed an urgent trace of a recovered firearm through its National Tracing Center.
- ATF assisted in ballistics analysis through its National Integrated Ballistics Information Network, conducted witness interviews, and canvassed area federal firearms licensees for information that may assist the investigation.
- Numerous components of the Department have made their victim-witness coordinators available for victim and witness assistance as needed.
- The U.S. Marshals Service has deployed eight personnel—four from the Florida/Caribbean Fugitive Task Force and four from the Southern District of Florida office. Additional personnel were staged and remain ready to respond if needed.
- U.S. Attorney Benjamin Greenberg remains in contact with the state prosecutor and Broward County Sheriff’s Office leadership and has made all federal resources available as needed.
- Three Assistant U.S. Attorneys are currently assisting with the investigation, and one is staffing the FBI Command Post.
- Through the Antiterrorism and Emergency Assistance Program, the Office for Victims of Crime has funding available to support victim-assistance activities, such as crisis intervention and grief trauma counseling, and to reimburse victims for certain expenses related to the shooting.
- The Office for Victims of Crime and the Bureau of Justice Assistance stand ready to assist the state and local authorities.
This list should not be considered exhaustive. The Department of Justice will continue to do whatever it can to help the people of Florida at this difficult time.Attorney General Sessions' Statement on Immigration ReformRead the Press Release
Attorney General Sessions' statement on immigration reform:
“President Trump put forth reasonable, fair, and effective policy pillars for immigration reform that serves the national interest and would close loopholes in law and court decisions that frustrate the ability of the men and women of the Departments of Justice and Homeland Security to do the jobs that Congress and the American people expect them to do. President Trump’s proposal would go a long way toward solving those problems by: (1) enhancing border security, including a wall and the elimination of legal loopholes that facilitate illegal immigration; (2) ending the illogical visa lottery system; (3) ending extended family chain migration; and, (4) solving the DACA problem. Nearly all of the proposals advanced in the Senate this week failed to address these issues.
“One proposal in particular would have eviscerated the authority of the Department of Homeland Security to arrest, detain, and remove the vast majority of illegal aliens in the country by limiting enforcement through mandated “prioritization” to criminal aliens, national security threats and—perhaps most surprisingly—future illegal immigrants. It failed to secure the border and left in place loopholes in our laws that allow the near unfettered entry of unaccompanied minors and family units. These loopholes create inexplicable and reckless incentives for new illegal immigration and perpetuate the catastrophic “catch and release” policy that has facilitated the presence of hundreds of thousands of illegal aliens in the United States. It also failed to close loopholes that make it difficult to remove criminal aliens, did nothing to combat sanctuary jurisdictions, failed to end unchecked extended family chain migration, and failed to address the outdated and dangerous visa lottery program.
“From a law enforcement perspective, these failures undermine the work of our Department of Justice prosecutors and investigators.
“We can work together to pass meaningful legislation. H.R. 4670, the Securing America’s Future Act, which has been sponsored in the House of Representatives by House Judiciary Committee Chairman Bob Goodlatte, is a reasonable and fair bill that closes loopholes, establishes good policies, fulfills the President’s four pillars, and advances America’s legitimate national interest.”