Western District of New York
Press releases recorded for this federal judicial district.
Former Jamestown Resident Charged with Receipt and Distribution of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Travis Sanders, 32, of North Richland Hills, Texas, formerly of Jamestown, NY, was arrested and charged by criminal complaint with receipt and distribution of child pornography. The charges carry a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Special Assistant U.S. Attorney Jeremy V. Murray, who is handling the case, stated that according to the complaint, Homeland Security Investigations received a report from the Royal Canadian Mounted Police National Child Exploitation Center that an individual was communicating with a person with the username “Damion Forsberg” on Skype. The report indicated that “Forsberg” regularly shared pornography that sometimes included children in the content, and was believed to reside in Buffalo, NY or Florida. Subsequent investigation determined that “Forsberg” was actually the defendant, who resided at the time in Jamestown.
Law enforcement officers seized Sanders’ laptop and cellular telephone. A forensic examination of the defendant's laptop computer revealed images and videos of minors engaged in sexually explicit conduct. The preliminary examination of the phone did not immediately reveal visual depictions of minors engaged in sexually explicit conduct but did reveal social networking applications with the alias “Damion Forsberg.” Officers also discovered that the defendant was chatting with a self-proclaimed minor female in 7th grade, from whom he requested her Snapchat account.
Members of the public who have specific information related to this case are urged to contact the HSI Buffalo Office at 716-464-6070. HSI victim-witness specialists will be available to assist any parent or guardian should they need victim-related resources. If any members of the public have general questions or concerns regarding sexual abuse of children or would like guidance on how to discuss this issue with children, please call the Child Advocacy Program at 716-338-9844.
The defendant was arrested in Texas and made an initial appearance in the Northern District of Texas. Sanders is being detained and will be returned to the Western District of New York at a later date.
The complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Two Elmira Opioid Dealers Sentenced for Their Roles in A Drug Trafficking RingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Edward Barrett, 27, of Elmira, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of a fentanyl analogue, was sentenced to serve 90 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr. In addition, Judge Geraci sentenced Dusty Pemberton, 24, also of Elmira, to serve 70 months in prison for his convicted on a charge of conspiracy to possess with intent to distribute, and to distribute, 10 grams or more of a fentanyl analogue.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that both defendants were part of a large-scale opioid manufacturing and trafficking organization that operated in the Southern Tier of New York between 2015 and May 2017. As members of the organization, Barrett and Pemberton were street-level dealers of blue pills containing furanyl fentanyl in the Elmira area. The blue pills were manufactured by the leaders of the organization – Robert Ian Thatcher and Maximillian Sams – and made to look like legitimate 30 milligram Percocet pills.
Barrett and Pemberton each admitted to selling pills to various customers, including both a 21 year-old female and a 25 year-old male, respectively, who ultimately died of drug overdoses.
To date, 16 members and associates of the opioid manufacturing and trafficking operation have been convicted of federal narcotics offenses. Three defendants have been sentenced; Thatcher was sentenced to serve 23 years in federal prison; Thatcher’s girlfriend, Amber Bates, who was convicted of money laundering conspiracy, was sentenced to five years probation to include six months of home detention; and Isaiah McLaurin, who was convicted of witness tampering after threatening an individual working with the Drug Enforcement Administration on Facebook, was sentenced to serve 57 months in federal prison.
As U.S. Attorney Kennedy has previously stated, “That the members of this organization sought to profit by pushing poison on addicts, is reprehensible. In my view, however, what is even more insidious about their behavior was their effort to press this poison into counterfeit pills, thereby given their customers a false sense of security that there was some quality and dosage control associated with their manufacture.”
Today’s sentencing is the result of an investigation by the Drug Enforcement Administration, Rochester Resident Office and Scranton PA Resident Office, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the New York State Police, Community Narcotics Enforcement Team Southern Tier, under the direction of Major Mary Clark and Lieutenant Kevin P. Sucher; the Elmira Police Department, under the direction of Chief Joseph Kane; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Pennsylvania State Police, under the direction of Acting Commissioner Lieutenant Colonel Robert Evanchick; the Chemung County Sheriff’s Office, under the direction of Christopher J. Moss; the Iredell, NC County Sheriff’s Office, under the direction of Darren E. Campbell; and Customs and Border Protection Air and Marine Unit, under the direction of Director Brian Manaher. Additional assistance was provided by the Northeast Regional Laboratory.# # # #
Madison County Man Pleads Guilty to Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Steven Hathaway, 42, of De Ruyter, NY, pleaded guilty to attempted receipt of child pornography before U.S. District Judge Charles J. Siragusa. The charge carries a minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that the defendant engaged in online communications with an individual he believed to be a 12 year old girl. Over the course of several weeks, Hathaway engaged in sexually explicit conversations during which he asked for nude photographs and requested that the child meet in person to engage in sexual activity. At one point, the defendant purchased an iPhone for the child, which he placed in a location near the child’s home, so that the two could communicate and the child could send him photographs. Unbeknownst to Hathaway, the child was actually an undercover New York State Police Investigator.
On March 23, 2018, the defendant arranged to meet the child and was arrested by members of the New York State Police and Homeland Security Investigations.
The plea is the result of an investigation by the New York State Police, under the direction of Major Eric Laughton, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for May 20, 2019, before Judge Siragusa.
Man Who Used Free Wi-Fi at Rochester Laundromat to Download Child Porn Is Going to PrisonRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Joseph A. Heath, Jr., 46, of Rochester, NY, who was convicted of receipt of child pornography, was sentenced to serve 16 years in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Melissa Marangola, who prosecuted the case, stated the defendant used the Wi-Fi at a laundromat on Monroe Avenue in Rochester to download child pornography. On February 4, 2018, investigators encountered Heath at the laundromat and seized a laptop computer, which contained approximately 80 videos containing child pornography.
The defendant has a prior conviction for the sexual abuse of a 6-year-old girl.
The sentencing is the culmination of an investigation by Federal Bureau of Investigation, Child Exploitation Task Force, under the direction of Special Agent-in-Charge Gary Loeffert.
Gates Man Who Attempted to Lure A Teenager for Sex Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Dillon T. Boyington, 35, of Gates, NY, pleaded guilty, before U.S. District Judge Elizabeth A. Wolford, to attempted online enticement of a minor. The charge carries a minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that the defendant utilized a social media application in an attempt to meet a 14 year-old child for sex. As he traveled to meet such child on October 24, 2018, Boyington was intercepted by members of the New York State Police. Upon his arrest, the defendant was found to be in possession of condoms and candy, which he intended to give to the child.The plea is the result of an investigation by the New York State Police, under the direction of Major Eric Laughton, and the Rochester Office of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
Sentencing is scheduled for May 15, 2019, before Judge Wolford.
CVS Employee Accused of Stealing Hundreds of Thousands of Dollars Worth of Diabetic Test StripsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Antonio Rivera, 35, of Williamsville, NY, was arrested and charged by complaint with theft of pre-retail medical products; trafficking in stolen pre-retail medical products; conspiracy to sell and distribute stolen pre-retail medical products; and wire fraud. The charges carry a maximum sentence of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Melissa Marangola, who is handling the case, stated that according to the complaint, since February 2007, the defendant was employed as a Senior Assistant Purchasing Associate for CVS Pharmacy. This position required Rivera to order a variety of retail products sold by CVS, including diabetic test strips.
In July, 2018, CVS's internal systems red flagged the purchasing of diabetic test strips at the Humboldt CVS location in Rochester, NY. A package located in the store’s shipping area did not have a CVS label, included Rivera’s return address, and came from a company with which CVS does not do business. A subsequent internal investigation by CVS determined that Rivera routinely purchased diabetic test strips in excessive amounts, well over the need for the Humboldt location. The audit could not account for 20,203 boxes purchased by Rivera, for a total financial loss of approximately $2,535,307.62.
The complaint states that the defendant ordered the excessive amounts of diabetic test strips and then intercepted the shipments once they arrived. He then sold the stolen product to third party purchasers identified as National Medical Management and HMF Distributing Inc. A forensic accounting of Rivera’s bank accounts identified payments for the fraudulently obtained diabetic test strips were deposited into the defendant’s bank accounts.
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge Marian W. Payson and was released.
The complaint is the result of an investigation by the Rochester Office of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the New York State Department of Financial Services, under the direction of Superintendent Maria T. Vullo.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Snyder Dentist Convicted by A Jury of Tax Charges Is Going to PrisonRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Charles Weber, 63, of Snyder, NY, who was convicted following a jury trial of making and subscribing a false tax return, was sentenced to serve 30 months in prison by U.S. District Judge Richard J. Arcara. Weber was also ordered to pay restitution totaling $190,547 to the Internal Revenue Service.
Assistant U.S. Attorneys MaryEllen Kresse and Stephanie Lamarque, who handled the prosecution of the case, stated that, prior to 2009, the defendant was a dentist operating a private dental practice in Williamsville, NY. In April 2009, Weber filed tax returns for the 2006 and 2007 tax years falsely stating that he was not a United States citizen and had not been present in the United States at any time during 2006 or 2007. Weber also falsely stated that his only taxable income in 2006 and 2007 came from dividends.
The defendant was born in the United States, lived in Snyder and worked in Williamsville, and knew that he was a United States citizen and that he had been living and working in the United States in 2006 and 2007. Weber also knew that in 2006 and 2007, in addition to his income from dividends, his gross receipts from his dental business had been in excess of $297,000 for 2006 and in excess of $283,000 for 2007.
Today’s sentencing is the result of an investigation by Special Agents with the Internal Revenue Service, Criminal Investigation, under the direction of Acting Special Agent-in-Charge Jonathan D. Larsen, New York Field Office.
Head of Deadly Elmira Opioid Trafficking Organization Sentenced to 23 Years in PrisonRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Robert Ian Thatcher, 31, of Elmira, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, U-47700 and 100 grams or more of furanyl fentanyl, was sentenced to serve 23 years in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that the defendant, along with co-conspirator Maximillian Sams, ran a large-scale opioid manufacturing and trafficking organization in the Southern Tier of New York and northern Pennsylvania between 2015 and May 2017. As part of the conspiracy, Thatcher and Sams imported bulk quantities of furanyl fentanyl and U-47700 from overseas suppliers China. They ordered the furanyl fentanyl and U-47700 on what is known as “the dark web,” and used different people and addresses in New York and Pennsylvania to receive the shipments. The defendant and Sams purchased equipment and materials – including pill presses/mechanical tableting machines, microcrystalline cellulose, lactose magnesium stearate, and powdered food coloring – which they used to manufacture tens of thousands blue pills containing furanyl fentanyl and U-47700. The pills were made to look like legitimate 30 milligram Percocet pills.
At least two individuals – a 21 year old female, and a 25 male – died after ingesting the blue pills containing furanyl fentanyl and U-47700. In addition, at least one individual – identified as J.M. – overdosed on more than one occasion after using the blue pills manufactured, but survived after being treated by first responders with Narcan.
Thatcher and Sams used residences at 604 South Lehigh Avenue in Sayre, Pennsylvania, and 665 Sawdey Road in Catlin, NY, to manufacture and process the pills for distribution. During the execution of a search warrant at the Sayre location on May 16, 2017, law enforcement agents recovered, among other things, 244 blue pills containing furanyl fentanyl, four long guns and ammunition. In addition, during the execution of a search warrant at the Catlin location on May 18, 2017, law enforcement agents recovered, among other things, materials used by the defendant and Sams to manufacture the pills for distribution. During the conspiracy, Thatcher also possessed several firearms at the Pennsylvania location and his residence in Elmira.
After manufacturing the pills, the defendant and Sams would distribute them in large quantities to other co-conspirators – including Anthony Prettyman, Jesus Rivera, Terrance Washington, and Dwayne Banks, a/k/a Fizzle, a/k/a Fizz, who would then distribute the pills to various street-level customers in the Elmira area. Pills were also supplied to an individual in the Charlotte, North Carolina area. As part of the conspiracy, Sams used co-conspirator Anthony Prettyman to transport 5,330 blue pills containing furanyl fentanyl from Elmira to North Carolina in October 2016. On October 25, 2016, in North Carolina, deputies with the Iredell County (NC) Sheriff’s Office conducted a traffic stop of the vehicle in which Prettyman was traveling. During a subsequent search, the deputies recovered and seized a paint can with a false bottom containing the 5,330 blue pills from inside Prettyman’s vehicle.In early 2017, Thatcher arranged for a package of furanyl fentanyl, that he ordered over the dark web, to be sent to co-conspirator Carlito Rios, Jr. On March 13, 2017, Customs and Border Protection officers at the John F. Kennedy International Airport Mail Branch in Queens, NY, examined a United States Postal Service package addressed to co-conspirator Rios at 1015 Oak Street in Elmira. The sender was listed as an entity in China. Upon inspection, the package was found to contain approximately 249 grams of furanyl fentanyl. The defendant and Sams intended to use the seized furanyl fentanyl to manufacture and distribute additional quantities of the blue pills.
“That the members of this organization sought to profit by pushing poison on those struggling with adiction, is reprehensible,” stated U.S. Attorney Kennedy. “In my view, however, what is even more insidious about their behavior was their efforts to press this poison into counterfeit pills, thereby given their customers a false sense of security that there was some quality and dosage control associated with their manufacture.”
To date, 13 members and associates of the defendant’s opioid manufacturing and trafficking operation have been convicted of federal narcotics offenses. Each of those defendants is awaiting sentencing. Among them, Thatcher’s girlfriend, Amber Bates, who was convicted of money laundering conspiracy and sentenced to five years probation to include six months home detention. In addition, an Elmira resident, Isaiah McLaurin, was convicted in September 2017 of witness tampering, after he made threats on Facebook against an individual working with the Drug Enforcement Administration during the investigation. Chief Judge Geraci sentenced McLaurin to 57 months in federal prison.
The sentencing is the result of an investigation by the Drug Enforcement Administration, Rochester Resident Office and Scranton PA Resident Office, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the New York State Police, Community Narcotics Enforcement Team Southern Tier, under the direction of Major Mary Clark and Lieutenant Kevin P. Sucher; the Elmira Police Department, under the direction of Chief Joseph Kane; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Pennsylvania State Police, under the direction of Acting Commissioner Lieutenant Colonel Robert Evanchick; the Chemung County Sheriff’s Office, under the direction of Christopher J. Moss; the Iredell, NC County Sheriff’s Office, under the direction of Darren E. Campbell, and Customs and Border Protection Air and Marine Unit, under the direction of Director Brian Manaher. Additional assistance was provided by the Northeast Regional Laboratory.
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Florida Man Sentenced in Cocaine CaseRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Josue Vega, 37, of Kissimmee, Florida, who was convicted of possession of cocaine with intent to distribute, was sentenced to serve 18 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Katelyn Hartford, who is handling the case, stated that on June 2, 2017, and June 15, 2017, the defendant sold 93 grams of cocaine in Rochester. Subsequently, on August 2, 2017, Vega was observed obtaining 31 grams of cocaine with the intent to distribute it to others.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
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Buffalo Business Owner Pleads to Tax Fraud Charge and Harboring an Illegal AlienRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.- U.S. Attorney James P. Kennedy, Jr. announced today that Todd Cameron, 47, of Buffalo, NY, pleaded guilty to filing a false tax return and transporting and harboring an illegal alien, before U.S. District Judge Richard J. Arcara. The charges carry a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Stephanie Lamarque, who is handling the case, stated that between June 2012 and December 2015, Cameron operated the Buffalo Remodeling & Construction Co. of W.N.Y. and Buffalo Roofing Co. For the tax years 2013-2015, the defendant failed accurately to report income generated from his businesses to the Internal Revenue Service.
In addition, between July 2015 and December 2015, Cameron transported and harbored six illegal aliens for the purpose of commercial advantage and private financial gain. The defendant paid for the illegal aliens to be transported from the State of Maryland here to the Western District of New York to work for his roofing business. Cameron then paid to house the illegal aliens, first at a local hotel, and then at a house owned by a business of the defendant.
The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Jonathan D. Larsen, Acting Special Agent- in-Charge, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for May 13, 2019, at 12:30 p.m. before Judge Arcara.
Opioid Overdoses to Be Treated as Crime ScenesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr., together with Erie County District Attorney John J. Flynn, Central Police Services (CPS) Commissioner James Janciewicz, and Daniel Rinaldo, from the New York New Jersey High Intensity Drug Trafficking Area (HIDTA), announced today a first-of-its-kind initiative which is being implemented across Erie County to enhance law enforcement’s response to opioid overdoses. The initiative calls for state and local law enforcement officers who respond to an overdose in Erie County to input certain information into their on-board computers and to follow certain protocols for the processing of overdose scenes.
“While we may not be able to prosecute our way out of this epidemic, that does not mean that prosecution has no role in our fight” stated U.S. Attorney Kennedy. “While prevention and treatment efforts are critical to success in driving down overdose death rates, prosecution also plays an important role. Treatment represents the appropriate way to deal with those addicted to these poisons. Prosecution represents the appropriate way to deal with those drug dealers addicted to the profits generated by their spewing this poison into our community.”
The U.S. Attorney’s Office is partnering with the Erie County District Attorney’s Office, the New York-New Jersey High Intensity Drug Trafficking Areas (HIDTA), Central Police Services, and the Erie County Chiefs Association, to implement these new protocols help to ensure that those who are selling these potentially deadly opioids receive justice and those who are addicted receive treatment.
Under the initiative, when law enforcement officers arrive at what they believe to be an opioid overdose, certain information will be collected and imputed into a law enforcement database and standardized protocols regarding the processing of the overdose scene and the collection of evidence will be followed. In addition, the information will also be entered into ODMAP, a real time, national GPS mapping system which tracks overdoses, overdose deaths, and Narcan use nationwide.
U.S. Attorney Kennedy further stated, “By standardizing the way these overdose scenes are processed, we enhance our ability to prosecute those who peddle this poison. At the same time, by simply tracking the location of non-fatal overdoses, we enhance the ability of treatment providers to reach those who are in the greatest need. It is this simultaneous enhancement of both our law enforcement function—prosecuting drug dealers—and the treatment function—helping addicts—which constitutes a highly effective one, two punch in our effort to combat this deadly epidemic.”
“By establishing consistent protocols for all law enforcement, we will be able to preserve critical evidence in overdose death investigations in order to prosecute these opiate dealers,” said Erie County District Attorney John J. Flynn. “I want to thank U.S. Attorney Kennedy for bringing our partners in law enforcement together on this initiative. By streamlining our efforts, we will be better equipped to identify the drug dealers, and hopefully bring an end to this deadly epidemic.”
“This initiative represents the perfect partnership between law enforcement and public health,” stated Daniel Rinaldo, Drug Intelligence Officer with the New York-New Jersey High Intensity Drug Trafficking Areas (HIDTA). “Working together to implement these protocols, gather the evidence, and interview witnesses will enable us to prepare the strongest case possible for prosecution.”
To date, the U.S. Attorney’s Office has prosecuted 16 defendants for distributing heroin and/or fentanyl which caused the death of or seriously bodily injury to 23 victims. The Erie County District Attorney’s Office has also prosecuted one defendant for manslaughter in connection with an opioid related death.
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Husband and Wife Sentenced in Scheme to Defraud the United StatesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Bin “Ben” Wen, 46, and Peng “Jessica” Zhang, 45, both formerly of Horseheads, NY, who were convicted of conspiracy to commit wire fraud and conspiracy to defraud the United States respectively, were sentenced by U.S. District Judge Elizabeth A. Wolford. Wen was sentenced to serve 33 months in prison while Zhang was sentenced to five years of probation, to include six months of home detention. The defendants were also ordered to pay $5,500,000 in restitution.
Assistant U.S. Attorneys Tiffany H. Lee and Grace M. Carducci, who handled the case, stated that between June 2010, and December 2015, the defendants participated in a scheme to defraud departments and agencies of the United States of federal research funds that were awarded to companies controlled by the defendants. The government entities defrauded by the defendants included: the National Science Foundation (NSF); the United States Department of Energy (DOE); and the United States Department of Agriculture (USDA).
In December, 2003, Zhang incorporated United Environment & Energy, L.L.C. (UEE) in Horseheads, NY. Meanwhile, Wen incorporated Advanced Technologies and Materials, L.L.C. (ATM), in December, 2007, also in Horseheads. UEE submitted approximately 13 applications to NSF totaling over $2,600,000, 10 applications to the DOE totaling more than $5,000,000 and four applications to the USDA totaling approximately $650,000. The defendant received, through their companies, approximately $8,400,000 in awards from the NSF, the DOE, and the USDA.
Wen and Zhang submitted false and fraudulent information in Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) applications by:• fabricating letters of support and investment;
• providing false information in research grant proposals and reports regarding business entities, business employees, business/research facilities, matching funds and investments; and
• providing falsified reports and emails regarding how federal research funds were expended.A substantial amount of the fraudulently obtained money went toward the personal use and benefit of the defendants.
“By diverting monies that were intended to promote innovation and technology in small businesses, the defendants, through their frauds, not only swindled taxpayers but stifled economic and scientific development,” stated U.S. Attorney Kennedy. “One of the core responsibilities of my Office is to ensure that those receiving federal funds are entitled to those funds and that such funds are spent in accordance with the purpose for which they were given. Where, as here, they are not, prosecution will follow.”
Allison Lerner, NSF’s Inspector General said, “It is imperative that federal award recipients be truthful in their grant submissions and that they use grant money appropriately. Through their repeated falsification of key personnel, investments, budget figures, and other information in proposals and reports, defendants fraudulently obtained millions of taxpayer dollars intended to advance new technologies. I commend the U.S. Attorney’s Office and our investigative partners for their strong support in this effort to protect the integrity of the SBIR/STTR programs.”
Teri L. Donaldson, Department of Energy Inspector General said: “These sentencings serve as a reminder that fraud in the SBIR Program will not be tolerated. The Office of Inspector General remains committed to ensuring the integrity of our programs by holding accountable those who attempt to hide behind sophisticated schemes aimed at diverting Federal research funds. We appreciate the efforts of the DOJ in pursuing this matter and will continue to work aggressively with our investigative partners to bring to justice those who seek to defraud government programs.”
IRS-Criminal Investigation NY Field Office Acting Special Agent-in-Charge Jonathan D. Larsen said, “Today’s sentencing emphasizes the fact that in addition to our tax mission, we are also an essential part of the larger law enforcement community. The detailed analysis of the extremely complex flow of money in this case demonstrated how the defendants laundered the fraudulent grant proceeds they received and led to the seizure of over $6 million in assets that will be forfeited.”
“The sentencing in this investigation of fraudulent grant practices demonstrates that those who seek to do business with the Federal government will be held responsible for maintaining the highest level of integrity,” said Douglas Shoemaker, Regional Special Agent-In-Charge, U.S. Department of Transportation Office of Inspector General (DOT-OIG). “The Department has made accountability a top priority and working with our law enforcement and prosecutorial partners, we will continue our vigorous efforts in preventing, detecting and prosecuting grant fraud.”
Today’s sentencings are the result of a joint investigation by Special Agents with the National Science Foundation, Office of Inspector General, under the direction of Inspector General Allison Lerner; the Department of Energy, Office of Inspector General, under the direction of Inspector General Teri L. Donaldson; the Internal Revenue Service, Criminal Investigations, under the direction of Acting Special Agent-in-Charge Jonathan D. Larsen, New York Field Office; and the Department of Transportation, Office of Inspector General, under the direction of Special Agent-in-Charge Douglas Shoemaker.
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Buffalo Man Sentenced for Distributing Fentanyl Which Resulted in DeathRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Carlique DeBerry, 40, of Buffalo, NY, who was convicted of distribution of fentanyl causing death, was sentenced to serve 20 years in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorneys Brendan T. Cullinane and Wei Xiang, who handled the case, stated that on February 25, 2016, the defendant traveled to Hamburg, NY, shortly after 9:00 p.m. to the home of a repeat drug customer identified as R.G. DeBerry sold a quantity of “heroin” to R.G. then left. Shortly after midnight, R.G.'s mother found R.G. slumped over deceased in a chair.
Law enforcement officers who responded to the residence seized R.G.'s cell phone. The next morning, the defendant sent a text message to R.G. stating, "Call me wen u get this bro." A police officer pretending to be R.G. responded, leading to the following exchange with the defendant:
“R.G.”: Yo my mins are about used. What's up? That was some good (expletive) last night
Defendant: K Just checkn on u thts all
“R.G.”: That was some heavy stuff wtf was up w thay
Defendant: Its pure thats whats up wit it broDeberry then arranged to sell another bundle of the “heroin” for $100.
An autopsy determined that R.G.’s cause of death was acute fentanyl intoxication.
Today’s sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division, and the Hamburg Police Department, under the direction of Chief Gregory Wickett.
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State Assemblyman, Lobbyist, Indicted on Bribery ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a six count indictment charging New York State Assemblyman Joseph A. Errigo, 79, of Conesus, NY, and Lobbyist Robert Scott Gaddy, 48, of Albany, NY, with conspiracy, receiving a bribe concerning programs receiving federal funds, honest services wire fraud, and using a facility in interstate commerce to carry on and facilitate unlawful activity. Defendant Gaddy is also charged with agreeing to pay a bribe concerning programs receiving federal funds and offering and paying a bribe concerning programs receiving federal funds. The charges carry a maximum possible sentence of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that according to the indictment and a previously filed complaint, Gaddy, a lobbyist registered with the State of New York, owns and operates the lobbying firm Excelsior Advocates, LLC. At various times, Excelsior Advocates maintained lobbying contracts with the Rochester Genesee Regional Transportation Authority, and the Rochester City School District.
During an investigation into allegations of fraud and corruption involving a large re-development project in the City of Rochester, the FBI identified potential corrupt acts by Gaddy and various public officials. As a result, Special Agents began an investigation into the relationship between Gaddy and Assemblyman Errigo.
Working with an individual known to the FBI, Special Agents arranged for that individual to approach Gaddy about paying a bribe to Member A, a member other than Errigo, in order to introduce certain legislation.
On September 4, 2017, the individual met with Gaddy who and stated that he represented a wealthy client who wanted to stop the proposed development in Monroe County and was willing to pay $15,000 in order to do so. The defendant responded, “Yeah . . . yeah, no problem.” Over the next few weeks, the individual met with Gaddy to discuss and plan the bribery scheme, including the roles of Assemblyman Joseph Errigo and Member A.
On February 9, 2018, Gaddy arranged for a meeting between the individual and Errigo at Errigo’s Pittsford, NY office. During that meeting, the individual gave $1,500 cash to Errigo and $2,500 to Gaddy. On March 16, 2018, the individual gave Errigo another $2,000.
On March 27, 2018, Errigo introduced a bill consisting of the proposed legislation, which was assigned bill number A10227. The individual paid Gaddy another $2,000. On April 13, 2018, the individual paid Errigo another $2,000.
The individual paid Errigo and Gaddy a total of $10,500 to obtain the introduction of proposed legislation in the New York State Assembly, and begin the process of obtaining passage of a State law.
Errigo and Gaddy used cellular telephones and the internet to carry out their bribery activities.
Gaddy was arraigned this afternoon before U.S. Magistrate Judge Marian W. Payson and was released on conditions. Assemblyman Errigo will be arraigned on February 5, 2019, at 9:00 a.m. before Judge Payson.
“Citizens deserve to have representatives who act in the public’s interest, not for their own personal financial gain,” stated U.S. Attorney Kennedy. “Today’s indictment represents one way to continue to remind those who seek to undertake legislative acts in exchange for the payment of bribes and in hopes of personal financial gain of what laws that exist for the public interest provide.”
“Bribery crimes are fueled by greed and power,” said Gary Loeffert, Special Agent-in-Charge of the FBI's Buffalo Office. “When a person or group can simply buy legislation from a public official, it corrupts our system of government, and the community and constituents pay the price.”
The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Silver Springs Man Going to Prison for over 16 Years Following Conviction on Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051Buffalo, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Ronald Caryl, 26, of Silver Springs, NY, who was convicted of conspiracy to produce child pornography, was sentenced to serve 200 months in prison and 20 years supervised release by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorneys Aaron J. Mango and Stephanie O. Lamarque, who handled the case, stated that on February 14, 2017, the defendant began communicating on MeetMe.com, a social networking service, with a 23-year-old woman in Nashville, Tennessee. During the conversation, the two began to discuss Caryl providing the woman with $300 to have sex with her. The woman wrote, “just $300 and u do what u want to me.” The defendant replied, “do you have a young girl who could join I’ll pay more...you into young girls”? The woman responded, “as long as they r 18 and older,” to which Caryl replied, “Ya I meant younger I’ll pay 6000.” The woman replied, “I can’t put things in her mouth she gets sick she’s disabled.” The defendant went on to say, “show me your daughter,” and then the woman allegedly sent a picture to the defendant. Caryl continued to press the woman to send naked pictures of her one-year-old daughter.
The victim’s mother was prosecuted by the United States Attorney’s Office in the Middle District of Tennessee. She has pleaded guilty and is awaiting sentencing in federal court in Tennessee.
A MeetMe.com staff member identified the possible endangerment of a minor and illegal content and notified the National Center for Missing and Exploited Children (NCMEC) who in turn notified the Federal Bureau of Investigation.
“The depravity of the conduct by both the defendant and the disabled infant’s mother is unthinkable,” stated U.S. Attorney Kennedy. “Child predators, such as the defendant, belong in cages so they cannot continue to victimize children. Parents, such as the victim’s mother, who fail to wrap their arms around their children in order to protect them in the face of such predators, deserve to have those arms handcuffed behind their back.”
The sentencing is the result of an investigation by the Federal Bureau of investigation, under the direction of Special Agent-in-Charge Gary Loeffert. Additional assistance was also provided by the Wyoming County Sheriff’s Office, under the direction of Sheriff Gregory J. Rudolph, the Cheektowaga Police Department, under the direction of Chief David J. Zack, and the Niagara County Sheriff’s Office, under the direction of Sheriff James R. Voutour.
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Rochester Man Pleads Guilty to Selling MethRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that Scott Schafer, 39, of Rochester, New York, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to possession with intent to distribute, and distribution of, methamphetamine. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine, or both.
Assistant U.S. Attorney Charles E. Moynihan, who is handling the prosecution of the case, stated that in the early morning hours of March 8, 2018, members of the Rochester Police Department arrested Schafer for possessing methamphetamine. The investigation began when officers saw a vehicle illegally parked on a side street off of Monroe Avenue. The vehicle was blocking part of the road, as well as a driveway and the bicycle lane. When law enforcement went to issue traffic tickets, they found Schafer in the bathroom of a nearby restaurant, where they learned Schafer had abruptly retreated when law enforcement approached the location.
Officers found Schafer, who was shaking and appeared nervous, with multiple bags of methamphetamine on him when he was searched. They also found more methamphetamine in the garbage can in the bathroom where the defendant had been when he was first confronted by law enforcement.
On April 10, 2018, officers again arrested Schafer, this time at a gas station on South Clinton Avenue in Rochester. When officers approached the car to check on the welfare of the occupants, Schafer was in the front passenger seat and the driver was holding a small clear plastic baggie containing several small, white rocks. Officers believed this substance was methamphetamine, which was confirmed by subsequent testing.
The plea is the culmination of an investigation by the Rochester Police Department, under the direction of Chief Mark Simmons, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
Sentencing is scheduled for May 10, 2019, at 3:30 p.m. before Judge Wolford.# # # #
Buffalo Man Going to Prison for Selling CocaineRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Charles E. Woods, 41, of Buffalo, NY, who was convicted of possession with intent to distribute 28 grams or more of crack cocaine, was sentenced to 85 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Patricia Astorga, who handled the case, stated that between October 19, 2017, and January 17, 2018, the defendant distribute crack cocaine and cocaine to an individual working with the Drug Enforcement Administration.
On January 17, 2018, law enforcement officers executed a search warrant at the Woods’ residence in Buffalo. Officers seized a quantity of cocaine, $9,860 in drug proceeds, and a digital scale.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
# # # #Three Arrested in Jamestown Meth RingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Mark R. Maio, 34, Brittany L. Dellahoy, 28, both of East Randolph, NY, and Brandon Smith, 32, were arrested and charged by criminal complaint with conspiracy to possess with intent to distribute, and to distribute, methamphetamine and cocaine, and maintaining a drug involved premises. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Joel L. Violanti, who is handling the case, stated that according to the complaint, since March 2018, the Jamestown Police Department Narcotics Unit has been investigating defendants Maio and Smith for distributing methamphetamine in and around the City of Jamestown, NY. During the course of the investigation, the narcotics unit conducted controlled purchases of narcotics from defendant Maio. Maio and Smith have been arrested by Jamestown Police on multiple occasions for violations of New York State Penal Law relating to the sale and possession of methamphetamine.
On January 24, 2019, the Southern Tier Regional Drug Task Force executed a state search warrant at the Main Street residence of defendants Maio and Dellahoy. During the search, Maio and defendant Smith were present in the residence. As officers executed the search, Smith attempted to leave but was detained. Officers searched Smith and recovered quantities of crystal methamphetamine and marijuana. Maio and Dellahoy were also searched. Officers recovered crack cocaine and a large amount of cash from Maio.
During the search of the residence, officers recovered more marijuana and crystal methamphetamine, as well as a digital scale, and other drug packaging and paraphernalia.
The defendants made an initial appearance this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder and are being held pending a detention hearing on February 1, 2019.
The complaint is the result of an investigation by the Jamestown Police Department, under the direction of Chief Harry Snellings; the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb; and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Greece Man Pleads Guilty to Being A Felon in PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Nicholas Coia, 31, of Greece, NY, pleaded guilty before U.S. District Judge Charles J. Siragusa to being felon in possession of a firearm. The charge carries a maximum penalty of 10 years in prison, and a $250,000 fine.
Assistant U.S. Attorney Cassie Kocher, who is handling the case, stated that the defendant admitted to possessing a shotgun and ammunition on March 28, 2018, in the area of 11 St. Pierre Drive in the Town of Greece. Coia was prohibited from legally possessing the shotgun and ammunition because of a prior felony conviction for Driving While Intoxicated.
The plea is the result of an investigation by the Greece Police Department, under the direction of Chief Patrick D. Phelan, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
The case was brought by the U.S. Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Sentencing is scheduled for May 2, 2019, at 9:15 a.m. before Judge Siragusa.
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Former Rochester Residents Going to Prison for Defrauding Manufacturing CompanyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Kana Chanel Hill and Aaron James Dempsey, formerly of Rochester, NY, who were convicted of wire fraud, were sentenced by U.S. District Judge Charles J. Siragusa. Hill and Dempsey were sentenced to 35 and 41 months respectively. The defendants were also ordered to pay $275,000 in restitution to their victim, Nordon, Inc.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that between 2014 and 2017, Hill and Dempsey worked at Nordon, Inc., a plastic manufacturing company located in Rochester. Hill, who was employed as a payroll specialist, executed a scheme with Dempsey in which Hill manually triggered Nordon to issue inflated and fraudulent paychecks to Hill, Dempsey, and others. Hill also used the personal identifying information of former Nordon employees to cause Nordon to issue paychecks in the names of those employees, without their knowledge or consent, to bank accounts owned by Hill and Dempsey.
The fraud was discovered when a former employee received a W-2 form from the IRS containing a discrepancy in the employee’s pay. This triggered an internal audit by Nordon and subsequent investigation.
The sentence is the result of an investigation by the Federal Bureau of Investigation, Rochester Office, under the direction of Special Agent-in-Charge Gary Loeffert.
# # # #Buffalo Man Indicted on Charges He Committed A Bomb Hoax and Contempt of CourtRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging James Timpanaro, 54, of Buffalo, NY, with causing a pipe bomb hoax and contempt of court order. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Joel L. Violanti, who is handling the case, stated that according to the indictment, on October 27, 2018, the defendant placed a device, which appeared to be pipe bomb, outside the United States Postal Service building located at 2061 South Park Avenue in Buffalo. Timpanaro was subsequently arrested and charged by criminal complaint.
On November 2, 2018, the defendant made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder who ordered Timpanaro to complete an inpatient psychiatric and alcohol evaluation at the Buffalo VA Medical Center. Between January 26 and January 27, 2019, the defendant failed to comply with Judge Schroeder’s order to abide by all rules and directives of the inpatient treatment program, when he left the facility. Timpanaro was quickly apprehended by the U.S. Marshal Fugitive Task Force.
The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; the U.S. Marshal Service, under the direction of Marshal Charles Salina; and the U.S. Probation Department, under the director of Chief Probation Officer Anthony SanGiacomo.
Timpanaro was arraigned this afternoon before Judge Schroder and was detained pending trial.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Orchard Park Pain Doctor Pleads Guilty to Using Patient Names Fraudulently to Obtain Controlled SubstancesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Dr. Paul Biddle, 54, of Amherst, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to identity theft and possession of unlawful hydromorphone HCL. The charges carry a maximum penalty of five years in prison.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that Biddle was an anesthesiologist and pain management doctor who also operated a medical marijuana practice. Between February 9, 2015 and October 16, 2017, the defendant was prescribing controlled substances for two deceased patients. Biddle knew the patients were deceased and used their names and dates of birth knowingly and without lawful authority to obtain controlled substances for himself.
After the death of one of the patients, Biddle wrote 10 prescriptions using the deceased patient’s name and date of birth between November 21, 2016 and October 16, 2017. All of these prescriptions were filled by a pharmacy in Tampa, FL, and shipped directly to the defendant’s home or office. After the death of the second patient, the defendant wrote 23 prescriptions using that deceased patient’s name and date of birth between February 9, 2015 and August 7, 2017. All of these prescriptions were also filled by a pharmacy in Tampa, FL, and shipped directly to the defendant’s home or office. Biddle was obtaining these prescriptions and using them himself.
The plea is the result of an investigation by Special Agents of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Federal Bureau of Investigation, Western New York Healthcare Fraud Task Force, under the direction of Special Agent-in-Charge Gary Loeffert; the New York State Department of Financial Services, under the direction of Maria T. Vullo, Superintendent of Financial Services; Department of Health and Human Services, Office of Inspector General, Office of Investigations, under the direction of Special Agent-in-Charge Scott Lampert; and the Amherst Police Department, under the direction of Chief John Askey.
Sentencing is scheduled for May 9, 2019, at 11:00 a.m. before Judge Wolford.
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Armed Drug Trafficker SentencedRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Phillip Taylor, 28, of Rochester, NY, who was convicted of possession with intent to distribute cocaine and possession of a firearm and ammunition by a convicted felon, was sentenced to 188 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that Taylor, a two-time convicted felon, was arrested following a police investigation which took Rochester Police officers to 173 Anderson Avenue to investigate a report of a person dropping a handgun in the parking lot of the business located there. When officers arrived, they saw a person, later identified as Taylor, get into the driver’s seat of a blue Ford Escape and drive off after officers went to speak with him about the reported handgun. The defendant drove his car in the direction of one of the responding officers, coming within inches before driving away. Taylor also struck a brick structure with his vehicle as he exited the parking lot and continued traveling westbound on Anderson Avenue as officers pursued him. Officers followed Taylor in police cars onto College Avenue where the defendant struck a tree. Undeterred, Taylor continued to flee on foot with officers in pursuit. During the chase, officers could see the defendant holding the right side of his pants while making several attempts to remove something from his pants pocket. Taylor was taken into custody in the area of 100 College Avenue. Officers searched the defendant and recovered a loaded .380 caliber semiautomatic handgun in his pocket, $704 in cash, and 12 vials containing cocaine.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Mark Simmons, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
Amherst Man Pleads Guilty to Threatening A Local PhysicianRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Gary Drago, 58, of Amherst, NY, pleaded guilty to witness tampering and failure to file an income tax return before U.S. District Judge Lawrence J. Vilardo. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Joel L. Violanti, who is handling the case, stated that on May 19, 2017, the Federal Bureau of Investigation received information from an individual (Victim) regarding threats, theft, and extortionate acts that the defendant made against the Victim and the Victim’s business, a medical practice. The Victim also advised the FBI that he had a meeting with the Amherst Police Department regarding these crimes the very next day. The FBI advised the Victim to meet with the Amherst Police Department. The Victim was going to meet with the Amherst Police and the FBI to tell them about how Drago previously extorted money from the Victim’s business by using threats of physical harm and threats to ruin the Victim’s reputation.
However, an employee of the Victim overheard the conversation with the FBI, and notified the defendant. Drago then arrived at the Victim’s place of business, and told the Victim’s patients that the Victim was done seeing patients that day. Drago then then physically took the Victim from his place of business and placed the Victim in his car. Once in the car, the defendant threatened the Victim with a pistol, and slapped the Victim, telling the Victim that he heard the Victim was talking with law enforcement. Drago continued to ask the Victim who he spoke to from law enforcement, and what the Victim told them. The Victim told the defendant that he spoke to the FBI and was going to meet with the Amherst Police the next day. While continuing to threaten the Victim, the defendant told the Victim to call the FBI and tell them that everything was okay, which the Victim did. Drago then let the Victim go home.
Later that same night, the defendant repeatedly called the Victim and left messages on his voice mail threatening the Victim, and reminding the Victim not to cooperate with the FBI, or go to the meeting with the Amherst Police the next day.
Between 2013 and May 20, 2017, the defendant worked at medical business located in Williamsville, NY. During that time, Drago entered into a contract for employment with the Victim/owner and was paid a salary through the payroll. However, the defendant eventually started taking additional money from the business in the form of cash, without providing any employment service in return. When confronted by the Victim about the money, Drago would threaten force or physical harm. Specifically, the defendant took a total of $129,792 without rendering employment services. When confronted by the Victim, Drago would berate and threaten physical harm or damage to the Victim’s reputation. As a result, the Victim was fearful, and was prevented from stopping the defendant from taking the unearned money.
In addition, during the course of his employment with the Victim, Drago received recordable income. Some of this income was derived from the defendant’s threats to the Victim, and was paid by the Victim to the defendant as extortion money. The defendant received this income through payroll check payments from the victim’s business, as well as cash payments from the Victim. However, Drago failed to file federal income tax returns. For the tax years 2013 through 2016, the defendant received $294,043 in income, resulting in a loss to the Internal Revenue service of $19,007.
The plea is the result of an investigation by the Federal Bureau of Investigation Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert; the Internal Revenue Service, Criminal Investigation Division, under the direction of Acting Special Agent-in-Charge Jonathan D. Larsen, New York Field Office; the Lancaster Police Department, under the direction of Chief Gerald Gill; the Amherst Police Department, under the direction of Chief John Askey; the New York State Police, under the direction of Major Edward Kennedy; the Erie County Sheriff’s Office, under the direction of Timothy Howard; and the Erie County District Attorney’s Office, under the direction of John Flynn.
Sentencing is scheduled for June 29, 2019, before Judge Vilardo.
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Tonawanda Man Who Led Police on A Foot Chase Arrested on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Anthony Schmidt, 20, of Tonawanda, NY, was arrested and charged by criminal complaint with possession with the intent to distribute marijuana, attempted possession with intent to distribute cocaine, and possession of a firearm in furtherance of narcotics trafficking. The charges carry a maximum penalty of 20 years in prison, and a $1,000,000 fine.
Assistant U.S. Attorney Jeremiah E. Lenihan, who is handling the case, stated that according to the complaint, on November 16, 2018, Tonawanda police officers responded to a domestic disturbance at 652 Woodstock Avenue in Tonawanda. While on scene, officers received information that a male suspect, later identified as the defendant, had a gun. As officers began speaking with Schmidt, he took off running, leading officers on a chase. He was taken into custody as he attempted to jump a neighboring fence. The defendant resisted arrested. Officers recovered a loaded 9mm handgun in his front waist area.
Officers also recovered a backpack Schmidt was wearing which contained quantities of marijuana and suspected cocaine, and paraphernalia used for the processing and packaging of narcotics.
The defendant appeared before U.S. Magistrate Judge Michael J. Roemer today for a detention hearing and was released on electronic monitoring.
The complaint is the culmination of an investigation led by the Tonawanda Police Department, under the direction of Chief Jerome Uschold, III, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Pittsford Man Pleads Guilty for His Role in Multi-Million Mortgage Fraud SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Kevin Morgan, 42, of Pittsford, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to conspiracy to commit bank fraud, which carries a maximum penalty of five years in prison and a fine of $250,000.
Assistant U.S. Attorneys John D. Fabian and Douglas A.C. Penrose, who are handling the case, stated that between March 2011 and June 2017, the defendant, along with co-defendants Todd Morgan, Frank Giacobbe, Patrick Ogiony, and others, conspired to defraud financial institutions, including UBS Securities LLC, Arbor Commercial Mortgage LLC, and Berkadia Commercial Mortgage, LLC.
Kevin Morgan was employed as a Vice President at Morgan Management, LLC, a real estate management company that managed more than 100 multi-family properties. Todd Morgan also was employed by Morgan Management as a Project Manager. Kevin and Todd Morgan worked with Frank Giacobbe, who owned and operated Aurora Capital Advisors, LLC, a mortgage brokerage company, and Patrick Ogiony, an Aurora employee, to secure financing for properties managed by Morgan Management or certain principals of Morgan Management.
Kevin Morgan and his co-defendants provided false information to financial institutions and government sponsored enterprises that overstated incomes of properties managed by Morgan Management or certain principals of Morgan Management. This resulted in the financial institutions issuing loans for larger amounts than the financial institutions would have authorized had they been provided with truthful information.
The defendants misled the financial institutions regarding the occupancy of properties. For example, Kevin Morgan: conspired to provide false rent rolls to lenders and appraisers on a variety of dates, overstating either the number of renters in a property and/or the rent paid by occupants; conspired to provide false and inflated income statements for the properties; and worked with others to deceive inspectors into believing that unoccupied apartments were, in fact, occupied.
In one such instance, Kevin Morgan and his co-defendants provided false information to Berkadia Commercial Mortgage, LLC, in connection with Rochester Village Apartments at Park Place, a multi-family residential community owned by certain Morgan Management principals. The false information included inflated income derived from storage unit rentals, inflated reports of rental income, and reporting apartment units as occupied before certificates of occupancy were obtained for those units.
In addition, Kevin Morgan and his co-defendants made misrepresentations to conceal from the lending financial institutions that Morgan Management used a portion of the loan proceeds for purposes other than that disclosed in the loan application. Loan funding was used to maintain or improve other properties managed by Morgan Management, and to satisfy debts associated with other properties managed by Morgan Management. For example, the defendants included a fictitious $2.5 million debt in a loan application purportedly owed to a Morgan Management controlled entity and created a fabricated payoff letter for that debt to increase the amount of the loan in connection with a property known as Autumn Ridge.
“History has shown us the havoc that can be wrought when fraud takes place in the mortgage industry,” noted U.S. Attorney Kennedy. “This investigation, and today’s plea, protect that industry from fraud and those who invest in securities which are backed by mortgages.”
“From day one, our investigation has focused on protecting the residential and commercial financing industry,” said Gary Loeffert, Special Agent-in-Charge of the FBI’s Buffalo Division. “With Kevin Morgan's plea today, we have advanced our efforts to safeguard the tens of thousands of investors who own mortgage-backed securities.”
Robert Manchak, Acting Special Agent in Charge for the Northeast Region of the Federal Housing Finance Agency, Office of Inspector General, said, “The financing of multifamily loans is a significant segment of Fannie Mae’s and Freddie Mac’s portfolio. As our commitment to this case demonstrates, FHFA-OIG will work with our partners in law enforcement to investigate and hold accountable those who subject the entities regulated by FHFA to fraud, waste, or abuse.”
Charges are pending against defendants Frank Giacobbe, Patrick Ogiony, and Todd Morgan. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the Federal Housing Finance Agency, Office of Inspector General, under the direction of Acting Special Agent-in-Charge Robert Manchak, Northeast Region.
Sentencing will be scheduled at a later date before Judge Wolford.
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Pharmaceutical Sales Rep Pleads Guilty to Defrauding Insurance Companies Out of Millions of DollarsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Scott Trapp, 50, of Clarence, NY, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to conspiracy to commit health care fraud. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Maura K. O’Donnell, who is handling the case, stated that the defendant began working as a pharmaceutical sales representative for various pharmaceutical companies in 1996. In 2014, Trapp began marketing “compounded medications,” such as pain patches, pain creams, and scar creams. “Compounded medications” are medications created when a licensed pharmacist, a licensed physician, or a person working under the supervision of a licensed pharmacist, combines, mixes, or alters ingredients of a drug to create a medication tailored to the needs of an individual patient.
The compounded medications marketed by the defendant, and his associates, were not tailored to the needs of individual patients. Instead, the medications were tailored to contain ingredients that carried high reimbursement rates from health insurers. Formulations of the medications were modified at times to permit reimbursement from health insurance companies and/or to maximize reimbursement rates. For example, a one month supply of one of the compounded pain creams marketed by Trapp carried a reimbursement rate of $22,000.
Unlike typical pharmaceutical sales representatives who market prescription drugs to physicians, the defendant, and his associates, identified patients whose health insurance covered the medications, and convinced the patients to agree to receive the medications.
In furtherance of the conspiracy, Trapp asked a friend, who was a physician, to sign blank, 12 month prescriptions for compounded medications, in the names of the defendant and his wife. Trapp then duplicated the prescriptions and substituted names of different patients for his own name, allowing for additional prescriptions for compounded medications to be filled without the physician knowledge.
Trapp also recruited, supervised, and compensated others to market the compounded pharmaceuticals. One of those individuals then recruited others to be part of the marketing scheme. The defendant received commission payments of approximately 20% of the reimbursement rate of each prescription he personally marketed which was approved and filled. Trapp also received commission payments of approximately 5% of each prescription marketed and filled by those he supervised, and by the individuals working for those people he supervised.
In total, between 2014 and December 2016, the health care benefit programs provided by Blue Cross Blue Shield (BCBS), the Verizon Medical Expense Plan for New York and New England Associates, National Grid USA, and Sunovion Pharma, paid approximately $5,821,331, for compounded prescriptions fraudulently filled, resulting in losses of: $7,352 to BCBS; $3,601,179 to the Verizon Medical Expense Plan for New York and New England Associates; $1,992,354 to National Grid USA; and $220,445 to Sunovion Pharma.
Today’s plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the U.S. Department of Labor, Office of Inspector General, Office of Investigations – Labor Racketeering and Fraud, under the direction of Michael C. Mikulka, Special Agent-in-Charge, New York Region; the U.S. Food and Drug Administration, Office of Criminal Investigations, under the direction of Jeffrey Ebersole, Special Agent-in-Charge New York Field Office; the New York State Financial Services Department, under the direction of Superintendent Maria T. Vullo; and the Defense Criminal Investigative Service, under the direction of Special Agent-in-Charge Leigh-Alistar Barzey.
Sentencing is scheduled for May 1, 2019, at 9:00 a.m. before Judge Vilardo.
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Kingsmen Member Sentenced for RICO ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Jason Williams, 44, of Kenmore, NY, who was convicted of RICO conspiracy, was sentenced to serve 48 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorneys Joseph M. Tripi and Brendan T. Cullinane, who handled the case, stated that the defendant, a/k/a Toop, was a member of the North Tonawanda Chapter and the West Side of Buffalo Chapter of the Kingsmen Motorcycle Club (KMC) between 2009 and 2016. Williams served in various capacities, including as the Vice President of the North Tonawanda Chapter.
KMC members and associates used marijuana, cocaine, methamphetamine, and other controlled substances at the North Tonawanda and West Side of Buffalo KMC Chapter Clubhouses. At times, Williams obtained and supplied quantities of marijuana and cocaine to KMC members, and used and distributed cocaine and marijuana. The defendant used telephones and Facebook messaging to arrange drug transactions. KMC members also possessed, maintained, and sold firearms.
Williams is one of 20 KMC members and associates charged and convicted in this case. Williams is the fifth defendant to be sentenced.
The sentencing is the culmination of an investigation led by the Federal Bureau of Investigation’s Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert. Assisting in the investigation: the FBI Knoxville, TN, and Jacksonville, FL Field Offices; Immigration and Customs Enforcement, Homeland Security Investigations; the Erie County Sheriff’s Office; the Buffalo Police Department; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the New York State Police; the Olean Police Department; the Lancaster Police Department; the Amherst Police Department; the City of North Tonawanda Police Department; the Niagara Frontier Transportation Authority Police; the Cattaraugus County Sheriff’s Department; and the Hamburg Police Department.
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Former Local Doctor, Nurse, and Three Others Charged with Illegally Distributing Controlled SubstancesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.--U.S. Attorney James P. Kennedy, Jr. announced today that five defendants were charged by criminal complaint with conspiracy to possess with intent to distribute, and distribution of, oxycodone, hydrocodone, amphetamine, and buprenorphine, all Schedule II controlled substances, and carisoprodol, alprazolam, phentermine, tramadol, and zolpidem tartrate, all Schedule IV controlled substances. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Named in the complaint are:
• Dr. James T. Keefe, 38, of Florida;
• Benjamin Rivera, 40, of Buffalo, NY;
• Laura Ricotta, 27, of Williamsville, NY;
• Takeya Rainey, 43, of Buffalo, NY;
• Phousavath Luangrath, 29, of Buffalo, NY.Assistant U.S. Attorneys Timothy C. Lynch and Joshua Violanti, who are handling the case, stated that according to the complaint, Dr. Keefe is a New York State licensed physician who was previously employed as a contracted physician at the Erie County Medical Center (ECMC), Mercy Hospital of Buffalo, and the Monsignor Carr Institute. In February 2018, the Drug Enforcement Administration began investigating the drug diversion and fraudulent prescription activities of Keefe. On March 6, 2018, after previously being questioned by DEA investigators regarding the issuance of fraudulent prescriptions, Dr. Keefe voluntarily surrendered his DEA Registration, preventing him from continuing to issue any prescriptions for controlled substances.
During the investigation, Dr. Keefe admitted to law enforcement officers to being active user of cocaine, Adderall, and prescription opiates, and to writing false prescriptions to some “friends,” and sharing the prescriptions.
While employed at ECMC, and even after he was terminated, Dr. Keefe issued controlled substance prescriptions to four coworkers, all medical professionals, including co-defendant Phousavath Luangrath, a nurse at ECMC. Luangrath is Dr. Keefe’s ex-girlfriend. Records show that Dr. Keefe issued Luangrath 10 prescriptions of Adderall, a Schedule II controlled substance, between February 2, 2017, and December 21, 2017, totaling 420 dosage units. Of the 10 prescriptions, three were issued after Dr. Keefe was terminated from ECMC.
Records also show that between April 20, 2015, and February 20, 2018, Dr. Keefe issued defendant Ricotta 15 prescriptions for Schedule II controlled substances, including dextroamphetarnine, oxycodone-acetaminophen, hydrocodone-acetaminophen, and carisoprodol, a Schedule IV controlled substance, totaling 535 dosage units. The prescriptions were issued in her name or the names of her relatives. In addition, Dr. Keefe wrote seven prescriptions for Ricotta’s boyfriend, Benjamin Rivera, for Schedule II controlled substances, including dextroamphetamine, oxycodone-acetaminophen, hydrocodone-acetaminophen, and carisoprodol, a Schedule IV controlled substance, from December 17, 2017, through February 17, 2018, totaling 290 dosage units.
Defendant Takeya Rainey was issued 14 prescriptions by Dr. Keefe for dextroamphetamine and oxycodone, both Schedule II controlled substances, as carisoprodol and alprazolam, both Schedule IV controlled substances, from between September 18, 2017, and February 15, 2018, totaling 1,380 dosage units.According to the complaint, Dr. Keefe issued 178 fraudulent prescriptions, totaling 9,718 dosage units.
“For the second time this week, a medical professional with an addiction problem has found himself on the wrong side of the law,” stated U.S. Attorney Kennedy. “Where, as here, a physician ignores his Hippocratic Oath to ‘do no harm,’ but instead sells out his medical license for personal or financial gain, my Office will do all that we can to see that strong consequences follow.”
DEA Special Agent-in-Charge Ray Donovan stated, “This sentence sends a message that there is no place in medicine for doctors to prescribe medications for no medical purpose. Opioid addiction is the leading cause of overdoses nationwide and law enforcement is doubling down on rogue doctors as well as drug trafficking organizations to stop the opioid flow on our streets.”
Dr. Keefe made an initial appearance this afternoon before U.S. Magistrate Judge Michael J. Roemer and was released on conditions. Defendants Rivera, Ricotta, Rainey, and Luangrath made an initial appearance on December 19, 2018. Defendants Rainey, Ricotta, and Luangrath were released, defendant Rivera was detained.
The complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan.
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Federal Jury Convicts Two Defendants of Narcotics Conspiracy Tied to the El Chapo Mexican Drug CartelRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
BUFFALO, N.Y.--U.S. Attorney James P. Kennedy, Jr. announced today that following an eight week trial, a federal jury has convicted Herman E. Aguirre, a/k/a 007, a/k/a Lucky, a/k/a Primo, a/k/a Freddy, of Brea, California, and Troy R. Gillon, of Lockport, NY, of narcotics conspiracy. Defendant Aguirre was also convicted of operating a continuing criminal enterprise and money laundering conspiracy. The charges carry a maximum penalty of life in prison.
Assistant U.S. Attorneys Meghan A. Tokash and Michael P. Felicetta, who handled the prosecution of the case, stated that Aguirre was the leader, and Gillon a member, of a transnational drug trafficking organization that utilized contacts and a source of supply whose territory included Mexico, Arizona, California, and elsewhere. The source of supply was the Sinaloa Cartel, led by Joaquín “El Chapo” Guzmán and Ismael “El Mayo” Zambada.
The local organization trafficked thousands of kilograms of illegal narcotics, including heroin, fentanyl, and cocaine throughout the United States, including Lockport, Niagara Falls, and Buffalo, via the mail, individual vehicles outfitted with “trap” compartments, and on pallets loaded on tractor trailers. Members of the organization created fictitious “front” companies to launder drug proceeds including Triton Foods, Inc., Kamora Investment Enterprises, Inc. and Fresh Choice Produce, all of which were incorporated in the State of California. Another fictitious company, Corral Seafoods, LLC, registered in the State of New York, was allegedly located in Cheektowaga, NY, but proved to be completely fake.
Using these companies, the defendants disguised kilogram quantities of heroin, fentanyl, and cocaine on pallets described on inventory and other documents as containing “Sea Cucumbers.” Evidence presented by the Government at trial showed that sea cucumbers are commonly found in Southeast Asia and Europe but rarely, if ever, in Western New York State. The pallets bearing the illegal narcotics were secreted in containers sealed with foam or spray insulation to avoid detection by law enforcement.
Members of the organization also utilized numerous bank accounts at local Bank of America branches to deposit illegal drug proceeds. Local members of the drug trafficking organization deposited over $19,000,000 of illegal drug proceeds into these fake seafood accounts, while California conspirators created false invoices to make it look like Western New Yorkers were buying sea cucumbers at astounding rates and quantities. The Western New York Asset Protection Manager of Wegman’s Food Markets, Inc. testified at the trial that none of its 13 Western New York stores have ever carried sea cucumbers because there is no demand for the product in Buffalo and the surrounding areas.
During the course of the investigation, law enforcement officers seized over $5,000,000 worth of illegal narcotics, including:
• 52.5 kilograms of cocaine;
• 17.5 kilograms of heroin; and
• 8.5 kilograms of fentanyl
Using standard dosage amounts, the seized drugs potentially represented over 1,500,000 “hits” of cocaine, and 2,700,000 “hits” of heroin and considering that two milligrams of fentanyl can be a lethal dose, enough fentanyl potentially to kill over four million people. Further evidence presented by the Government at trial revealed that after a December 2014 meeting in Buffalo, defendant Aguirre shipped 10 kilograms of fentanyl to Buffalo and defendant Gillon took possession of the 10 kilograms. Gillon sold two kilograms of the fentanyl before residents of the Lockport area started overdosing on the drug shortly after New Year’s Day, 2015. A DEA representative testified that Gillon told police that he returned the remaining eight kilograms to a co-conspirator in early March 2015 because, “People are dying off this (expletive).” The co-conspirator moved the remaining fentanyl, along with two kilograms of cocaine, and 22 kilograms of heroin, to a house on Folger Street in the City of Buffalo. On March 23, 2015, Buffalo Police seized 32 kilograms of drugs from the Folger Street location—including Gillon’s eight kilograms of fentanyl.
The investigation further determined that between June 2013 and September 2015, members of the organization additionally distributed over 5,000 pounds of cocaine, heroin, fentanyl and marijuana in the Western New York area. Approximately $20,000,000 was sent from Western New York banks to California in a two year period of time.
“This transnational drug organization and these defendants were responsible for introducing the scourge of lethal fentanyl into our community, resulting in the loss of lives,” stated U.S. Attorney Kennedy. “However, as a result of this verdict and previous convictions of multiple co-defendants, the organization and the pipeline have been effectively shut down.”
“Throughout this trial, it clearly demonstrates to the public that traffickers are reaping millions of dollars off overdoses, addiction and death,” stated DEA Special Agent in Charge Ray Donovan. “DEA’s seizures and enforcement efforts in Buffalo denied the Sinaloa Cartel revenue of $2.5 million but more importantly, put 17 members in jail and took nearly three million doses of heroin, fentanyl and cocaine off the streets. I commend our law enforcement partners and the prosecutors at the U.S. Attorney’s Office Western District of New York for their diligent efforts in this investigation.”
“IRS Criminal Investigation uses financial investigative expertise to pursue those individuals who engage in illegal activities as seen in the significant drug organization on trial in this case,” said James D. Robnett, IRS Special Agent-in-Charge of the New York Field Office. “Money laundering constitutes a serious threat to our communities and to the integrity of our financial system; today’s verdict is an example of how merging the unique skills of each agency makes a formidable team as we prosecute the offenders.”
Aguirre and Gillon were indicted along with 15 others including:
• Jose Ruben Gil, a/k/a Unc, a/k/a Ruben Gil Campos, a/k/a Mayor of Mexico, was convicted and is awaiting sentencing;
• Sonia Hernandez, was convicted and is awaiting sentencing;
• Margaret Banuelos, a/k/a Lisa, was convicted and is awaiting sentencing;
• Darryl J. Williams, a/k/a D, was convicted and is awaiting sentencing;
• Trent Adair Hamilton, was convicted and is awaiting sentencing;
• Michael Paul Mitchell, was convicted and is awaiting sentencing;
• Demetrius Yarborough, a/k/a Tu, was convicted and is awaiting sentencing;
• Rashawn Crule, a/k/a Black, a/k/a Shawn, was convicted and is awaiting sentencing;
• Maulana Lucas, a/k/a Big Daddy, a/k/a Shabazz, was convicted and is awaiting sentencing;
• Shirley Grigsby, was convicted and is awaiting sentencing;
• Ralik Hamilton; was convicted and is awaiting sentencing;
• Dion Cheatham, was convicted and is awaiting sentencing; and
• Joseph Thompson, a/k/a Jo-Jo, a/k/a Skools, a/k/a Skoolboy, convicted and sentenced.
Charges are pending against defendants Martha Aguirre and Juan Alfaro. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The trial verdict is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special-Agent-in Charge Kevin Kelly; the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett; the Niagara County Drug Task Force, under the direction of Sheriff James Voutour; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; the Lockport Police Department, under the direction of Acting Chief Steven Preisch; the Montebello, California Police Department, the Nebraska State Patrol, and the DEA, Los Angeles.
Defendant Aguirre is scheduled to be sentenced on June 12, 2019, Gillon on June 14, 2019, both before U.S. District Judge Lawrence J. Vilardo, who presided over the trial of the case.
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Daycare Owner Sentenced for Stealing Government FundsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Tariq Butt, 42, of Buffalo, NY, who was convicted of theft of government funds, was sentenced to serve 12 months in prison by U.S. District Judge Lawrence J. Vilardo. The defendant was also ordered to pay restitution totaling $305,000 to the Department of Health and Human Services.
Assistant U.S. Attorney Maura K. O’Donnell, who handled the case, stated that in February 2015, the defendant and his wife, Halima Mohammed, opened Twinkle Stars Day Care Center, and in July 2015, the couple opened Candyland Daycare, both located in the City of Buffalo.Between January 2016 and September 2016, the defendant submitted hundreds of false and fraudulent claims to Erie County seeking reimbursement for daycare services supposedly provided by Twinkle Stars and Candyland to children eligible for Child Care and Development Block Grant funds from the U.S. Department of Health and Human Services. The defendant knew that the children listed on the claims did not actually attend Twinkle Stars on the dates and times claimed, making the daycare ineligible for reimbursement. In total, between January 2016 and September 2016, Erie County paid Twinkle Stars and Candyland approximately $305,000 for daycare services, which were never rendered.
Halima Mohamed was previously convicted and sentenced to five months in prison and three years supervised release, to include five months home detention.
Today’s plea is the result of an investigation by the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent-in-Charge Scott Lampert, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
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Rochester Man Sentenced to Eight Years in Prison for Robbing A Dunkin' DonutsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Ramon Crespo, 32, of Rochester, NY, who was convicted of robbery and possession and brandishing a firearm in furtherance of a crime of violence, was sentenced to serve 96 months in prison by U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Cassie Kocher, who handled the case, stated that on March 15, 2018, the defendant robbed the Dunkin’ Donuts located at 277 East Ridge Road in Rochester. During the robbery, Crespo waved a firearm at store employees and stole approximately $200 in cash. After investigators with the Rochester Police Department conducted their investigation, the defendant was arrested on March 22, 2018, following a traffic stop. Upon searching the vehicle, officers located a loaded .40 caliber Glock model 27 semi-automatic handgun.
The case was brought by the U.S. Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Mark Simmons, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
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German National Sentenced for International Arms TraffickingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that Karl Kleber, 64, of Lisbon, Portugal, who was convicted of smuggling goods into the United States, in connection with the importation into the United States of Chinese-manufactured, 75 round capacity, AK-47 rifle drum magazines, was sentenced to time served by U.S. District Judge Charles J. Siragusa. The defendant will also forfeit $345,600.
Assistant U.S. Attorney Charles E. Moynihan, who handled the case, stated that the defendant worked with co-defendant Gary Hyde to import into the United States over 5,000 Chinese-manufactured, 75 round capacity AK-47 rifle drum magazines from between in or about March of 2008 until October of 2008. Further, Kleber and Hyde negotiated a deal with a Chinese firearms manufacturer to make the magazines, while representing that they were manufactured in Bulgaria. Between January and March of 2008, the defendant offered them for sale to American Tactical Imports, Inc. in Rochester, while knowing that the magazines could not be imported into the United States because they were manufactured in China. The magazines were then sold to American Tactical Imports, Inc.
Gary Hyde was previously convicted and sentenced.
The sentencing is the culmination of an investigation on the part of Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
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Rochester Man Sentenced on Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy Jr. announced today that Michael Krepp, 58, of Rochester, NY, who was convicted of possession of child pornography, was sentenced to serve 135 months in prison and 15 years supervised release by U.S. District Judge Charles J. Sirgusa.
Assistant U.S. Attorney John J. Field, who handled the case, stated that between September 9, 2017, and January 22, 2018, an FBI Special Agent, working undercover, discovered multiple files containing videos and images of child pornography. Some of the videos and images depicted prepubescent children in sexual situations. Investigators determined that the IP address connected to the files resolved to one utilized by the defendant. Digital media recovered from Krepp in February 2018 contained child pornography.
The defendant was previously convicted of Rape 3rd in State Court and is a registered sex offender.
Today’s sentencing is the result of an investigation by the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert.# # # #
Hamburg Man Charged with Illegally Importing Heroin and CocaineRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Torin Finver, 54, of Hamburg, NY, was arrested and charged by criminal complaint with importation of a controlled substance. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Patricia Astorga, who is handling the case, stated that according to the complaint, on Wednesday, November 21, 2018, U.S. Customs and Border Protection Officers intercepted a padded mailer addressed to the defendant’s Hamburg residence. A CBP K-9 alerted officers to the package. The parcel was from Germany and a check of law enforcement databases revealed that the sender information was fictitious. The parcel contained three grams of a white powdery substance, which field tested positive for cocaine.
On December 10, 2018, during review of incoming mail in Rochester, NY, Postal Inspectors located a parcel, again addressed to Finver’s Hamburg residence. A K-9 sniff of the parcel resulted in a positive alert. On December 12, 2018, a search warrant was executed on the parcel. The parcel contained three small envelopes with a brown rock-like substance, which field tested positive for heroin.
On December 12 and December 15, 2018, two more similar parcels addressed to the defendant were located, one in Rochester, and one in Hamburg. A search warrant was executed on one of the parcels, which was found to contain suspected cocaine. The second parcel is in the custody of law enforcement.
On December 17, 2018, a controlled delivery was conducted at Finver’s residence. Law enforcement officers replaced the cocaine that was seized from the first parcel and replaced with sham. An officer knocked on the door and the defendant answered. Finver took the parcel into the residence. Officers then executed a federal search warrant of Finver’s residence. The defendant was subsequently taken into custody.
The defendant made an initial appearance before U.S Magistrate Judge Michael J. Roemer and was released on conditions.
The criminal complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the U.S. Postal Inspection Service, under the direction of Boston Division Inspector-in-Charge Joseph W. Cronin.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Brooklyn Man Sentenced for Scaming Lowe's Out of Millions of Dollars and Failing to File Income Tax ReturnsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Kenneth Cassidy, 52, of Brooklyn, NY, who was convicted of conspiracy to commit wire fraud and willful failure to file an income tax return, was sentenced to serve 60 months in prison by Senior U.S. District Judge William M. Skretny. The defendant was also ordered to pay restitution totaling $2,649,169.17.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that between June 12, 2012, and December 20, 2016, the defendant opened approximately 173 fraudulent Lowe's Accounts Receivable (LAR) accounts throughout the United States using counterfeit checks. Once an account was opened, Cassidy made fraudulent purchases of goods at Lowe’s until the funds were depleted or Lowe’s closed the account. Of the 173 accounts, four were opened at stores in the Western District of New York and purchases were made at stores throughout the Buffalo and Rochester areas. In total, the defendant and others used the fraudulent accounts to make approximately $2,652,391.17 in purchases from Lowe’s.
Additionally, for the tax years 2012 to 2015, Cassidy received gross income in excess of $10,000 from criminal activity, but willfully failed to file federal income tax returns for those years.
“The substantial fraud perpetrated by defendant was tantamount to him stealing over $2.5 million,” stated U.S. Attorney Kennedy. “Today’s sentence should serve as a reminder to any thief that if you steal lots of money then you should expect to spend lots of time in jail.”
“IRS Criminal Investigation is committed to aggressively pursuing those taxpayers who willfully fail to file their tax returns and report income,” said IRS-Criminal Investigation Special Agent-in-Charge James D. Robnett, “and no exception is granted for income derived from illegal activity.”
Today’s sentencing is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of James Robnett, Special Agent-in- Charge, New York Field Office; the New York State Police, Special Investigations Unit, under the direction of Major Gregory S. Thomas; the U.S. Marshals Service, under the direction of Marshal Charles Salina; and Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
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Armed Drug Trafficker Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that William Cooke, 22, of Rochester, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to possession with intent to distribute fentanyl and possession of a firearm in furtherance of a drug trafficking crime. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and a fine of $1,000,000.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that Cooke was arrested after Rochester police officers stopped a car, in which Cooke was riding, in the area of Scrantom Street and Conkey Avenue. As officers stopped the car, the defendant jumped from the rear passenger seat and fled, causing officers to chase after him. During the chase, officers could see a black object in Cooke’s hand as he pulled his hand half way from his jacket pocket. Officers only lost sight of Cooke for a brief period of time during the chase as he rounded the corner of a house on Clifford Avenue.
After apprehending the defendant, officers found a loaded defaced semiautomatic pistol on the ground in the area where officers momentarily lost sight of Cooke. Officers arrested Cooke and placed him in a room at the Clinton Section police offices. While the defendant was in the room, officers could see him through the use of a video camera surveillance system climb onto a table in the room. Officers quickly confronted Cooke, who was already sitting back down when they entered the room. However, officers could see blue bags protruding from the ceiling and electrical junction above the table where Cooke was standing moments before. Officers removed a total of 27 baggies of suspected heroin. Subsequent testing determined the substance was fentanyl and acetyl-fentanyl.
The case was brought by the U.S. Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief Mark Simmons, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
Sentencing is scheduled for March 11, 2019, at 2:00 p.m. before Judge Geraci.
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Six Additional Defendants Indicted in Cocaine Conspiracy Stretching from El Paso, Texas to BuffaloRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a second superseding indictment charging six additional defendants with conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine. Daniel Sterling, a/k/a Pancho, a/k/a Jose, Martin Lopez, Ivan Rene Rios Bustillos, Adrian Grier, Shamar Davi, a/k/a Fatboy, and Gabrielle McGrady. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.
Previously indicted were Eduardo Enrique Valdez, Edgar Pavia, Adrian Goudelock, a/k/a AD, a/k/a Ace, a/k/a Ace Boogs, Eric Young, Lance Parker, and Jai Hunter.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the second superseding indictment and previously filed indictment and complaints, an investigation began following the seizure of approximately 10 kilograms of cocaine and $259,960 in U.S. currency. On October 3, 2017, defendants Valdez, Pavia, and Goudelock met in Cleveland, OH, prior to the shipment of a bulk quantity of cocaine from El Paso, Texas, to Buffalo, NY. On October 19, 2017, Homeland Security Investigations Special Agents conducted a controlled delivery of 10 sham bricks of cocaine in Pembroke, NY, which resulted in the federal arrest of defendant Valdez.
In July 2018, investigators intercepted wire and electronic communications between defendants Pavia and Goudelock through court-authorized wiretaps. Intercepted calls and messages revealed that a bulk shipment of cocaine was to be imminently delivered to Goudelock in the Buffalo area. Goudelock was also expected to provide bulk drug proceeds. In a conversation on July 25, 2018, Pavia informed Goudelock that he would be receiving 17 kilograms of cocaine.
That same day, law enforcement officers seized approximately 17 kilograms of cocaine from defendant Lance Parker during the execution of a search warrant. Law enforcement officers also searched a tractor trailer, driven by defendant Young, located on Slade Avenue in West Seneca, NY and recovered 52 shrink-wrapped and taped bundles of currency, predominantly in $10,000 bundles. In total, $519,580 in U.S. currency was seized from a bag. Officers also located a hidden compartment in the rear wall of the sleeper area of the tractor cab and recovered three plastic wrapped packages of bulk US currency totaling over $145,000.
In September 2018, investigators intercepted another series of wire and electronic communications between defendants Pavia and Goudelock discussing the shipment of another 20 kilograms of cocaine, which led to their arrests.
On December 5 and 6, 2018, investigators intercepted a series of wire and electronic communications between defendants Sterling and Lopez discussing plans for an exchange of bulk quantity cocaine in Louisville, KY. Lopez was observed operating a truck pulling a horse trailer, Rios-Bustillos was observed operating a pick-up truck with Mexican license plates, and Sterling was observed operating another pickup truck. After law enforcement observed Sterling and Lopez meet, the defendants were arrested. Simultaneously, Rios-Bustillos, who was parked nearby in his own truck not far from the meeting spot, left the scene on foot. Ultimately, Rios-Bustillos obtained a ride from two individuals, to whom he admitted that he had just delivered cocaine and that law enforcement was looking for him. After those individuals contacted the police, Rios-Bustillos was taken into custody.
During a search of Lopez’s horse trailer, officers recovered 20 kilograms of cocaine in a hidden compartment, as well as over $600,000 from a duffle bag in Sterling’s truck, and more than $100,000 from Sterling’s residence.
The second superseding indictment is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the New York State Police, under the direction of Major Edward Kennedy; the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard; and Customs and Border Protection, Air and Marine Unit, under the direction of Brian Manaher, Director, Marine Operations. Additional assistance was provided by the New York National Guard.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Rochester Man Pleads Guilty to Gun and Drug Charges, Forfeits over $230,000 of Drug ProceedsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Ramon Perdomo, 38, of Greece, NY, pleaded guilty to possession with intent to distribute 28 grams or more of crack cocaine, and being a felon in possession of a firearm and ammunition, before Chief U.S. District Judge Frank P. Geraci, Jr. The charges carry a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Katelyn Hartford, who is handling the case, stated that law enforcement officers executed a search warrant at the defendant’s residence at 164 Sheraton Drive in the Town of Greece on April 20, 2018. During the search, officers found approximately 80 grams of crack cocaine, 42 grams of powder cocaine, and $238,237 United States currency, which consisted of proceeds from the defendant’s cocaine drug sales. Officers also found a 9mm semi-automatic pistol and bullets in a closet located off the kitchen, as well as evidence of drug dealing and packaging throughout the house. At the time of his arrest, Perdomo was on probation for a prior felony conviction.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Ray Donovan, Special Agent-in-Charge; the Monroe County Sheriff’s Office and the Monroe County Heroin Task Force, under the direction of Sheriff Todd Baxter; the Rochester Police Department, under the direction of Chief Mark Simmons; the Gates Police Department, under the direction of Chief James VanBrederode; and the Monroe County DA’s Office, under the direction of District Attorney Sandra Doorley.
Sentencing is scheduled for March 11, 2019, at 12:00 p.m. noon before Chief Judge Geraci.
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Niagara Falls Man Arrested on Multiple Charges, Including Possession of an Explosive DeviceRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Richards, 28, of Niagara Falls, NY, was arrested and charged by criminal complaint with possession with intent to distribute 100 grams or more of heroin; possession of firearms in furtherance of drug trafficking; maintaining a drug-involved premises; and making and possessing an unlawful destructive device. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and fine of up to $5,000,000.
Assistant U.S. Attorneys Timothy C. Lynch and Brendan T. Cullinane, who are handling the case, stated that according to the complaint, an investigation by the FBI’s Joint Terrorism Task Force revealed that defendant was a significant narcotics trafficker who also manufactured improvised explosive devices. Through the investigation, agents learned that Richards obtains heroin and other narcotics from suppliers which he redistributed in the Niagara Falls area.
On December 14, 2018, law enforcement officers executed a search warrant at the defendant’s residence on Packard Court in Niagara Falls. Officers recovered amounts of suspected heroin, marijuana, and cocaine, approximately 10 firearms, various rounds of ammunition, drug trafficking paraphernalia, and an improvised explosive device. Officers also recovered various items used in the manufacturing of explosive devices.
The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and is detained.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division, the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto, and the Niagara County Sheriff's Department, under the direction of Sheriff James Voutour.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Former Bank of America Employee Pleads Guilty for His Role in Drug Conspiracy Linked to A Mexican Drug CartelRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Presiliano Garcia, 33, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to misprision of a felony. The charges carries a maximum penalty of three years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated between 2012 and March, 2016, the defendant, a personal banker at Bank of America, opened approximately 36 bank accounts that were utilized by co-defendants Jose Manuel Lua-Guizar, Gerardo Ballardo, Enrique Munoz, Max Riestra, Bryant Hudson, and others, to structure deposits to funnel money from places around the United States, including Buffalo, to accounts based in California. A total of $8,359,223, composed of approximately 1,092 cash-in deposits, mostly structured between $8,000 and $9,990 and made in 15 different states, were funneled into these accounts opened by Garcia.
Approximately 205 suspect customers were identified by Bank of America as potentially linked to the defendant. Many of the suspect customers had similar naming conventions or even the same name with slight variations in spelling, last name orientation, date of birth, social security number, or domicile. Garcia knew that a structuring felony was being committed by these individuals but did not file any suspicious activity reports relating to these transactions or notify federal law enforcement of the structuring activity in order to conceal the activities of the co-defendants.
Garcia is one of seven defendants allegedly involved in an illegal narcotics operation stretching from Sinaloa, Mexico to Western New York. Law enforcement officers began investigating a sophisticated drug trafficking organization with ties to a Mexican drug cartel operating out of Los Angeles, California area in 2014. The organization shipped drug packages to various states including New York, New Jersey, Illinois, and Colorado.
To date, five of the seven defendants have been convicted in this case. Defendants Max Riestra and Gerardo Ballardo are scheduled to go to trial on January 22, 2019. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s plea is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Raymond P. Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special Agent in Charge Kevin Kelly; and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent- in-Charge, New York Field Office. Additional assistance was provided by ICE-HSI in Los Angeles, California and Bank of America.
Sentencing is scheduled for April 3, 2019, before Judge Wolford.
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Five Defendants Plead Guilty in Connection with Cocaine and Heroin Ring in BuffaloRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that five defendants pleaded guilty before U.S. District Judge Elizabeth A. Wolford in connection with a cocaine and heroin trafficking ring on the West Side of Buffalo. Entering guilty pleas:
• Defendants Gonzalo Velazquez Cabrera and Orlando Lanzo-Manso both pleaded guilty to discharge of a firearm in furtherance of drug trafficking. Cabrera also pleaded guilty to conspiracy to possess with intent to distribute 500 grams or more of cocaine. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
• Raul Ortiz and Josue Diaz Rodriguez pleaded guilty to possession with intent to distribute heroin, which carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
• Eunhe Choi pleaded guilty to possession of marijuana, which carries a maximum penalty of one year in prison and a $100,000 fine.Assistant U.S. Attorney Seth T. Molisani, who is handling the case, stated that between March 2015 and December 2015, defendant Gonzalo Velazquez Cabrera was the leader and conspired with Orlando Lanzo-Manso, Raul Ortiz, and Josue Diaz Rodriguez, to sell cocaine in Buffalo, mainly on the west side. Velazquez Cabrera purchased and distributed approximately 125 grams of cocaine every week, beginning in the summer of 2015 and continuing until December of 2015. The defendant obtained, stored, and distributed cocaine at his residence on West Delavan Avenue in Buffalo. The defendant supplied co-defendants Lanzo-Manso, Diaz Rodriguez, and Raul Ortiz with cocaine so they could conduct street-level narcotics sales. The defendant also personally engaged in the daily sale of varying quantities of cocaine both at his residence and on the streets.
In August of 2015, Velazquez Cabrera became embroiled in a feud with a rival drug dealer who also operated on the west side of Buffalo. Following verbal arguments that centered on the defendant’s encroachment into the drug dealing territory of his rival, Velazquez Cabrera escalated the conflict to violence. On August 27, 2015, the defendant, accompanied in his vehicle by co-defendant Lanzo-Manso, pulled up alongside a vehicle occupied by the rival drug dealer at which time Lanzo-Manso fired the gun at the rival drug dealer. The rival drug dealer fired back. Velazquez Cabrera and the rival drug dealer sped off in their vehicles. In a text message exchange that followed between the defendant and the rival drug dealer, Velazquez Cabrera declared the rival drug dealer was a dead man.
Defendant Choi was the girlfriend of Velazquez Cabrera and resided with him on West Delavan Avenue in Buffalo. Choi knew that Velazquez Cabrera was engaged in trafficking narcotics. She also possessed marijuana.
Today’s plea is the culmination of an investigation by the Federal Bureau of Investigation, Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert.
Josue Diaz Rodriguez is scheduled to be sentenced on March 29, 2019; Eunhe Choi on April 4, 2019, Orlando Lanzo-Manso and Raul Ortiz on April 5, 2019, and sentencing for Gonzalo Velazquez Cabrera will be scheduled at a later date.
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United States Sues Freight Companies for Systematic Overcharging of ShipmentsRead the Press Release
The United States has filed a complaint in the Western District of New York against YRC Freight Inc., (YRC); Roadway Express Inc. (Roadway); and Yellow Transportation Inc. (Yellow), alleging that these companies systematically overcharged the government for freight carrier services and made false statements to the government that hid their misconduct, the Justice Department announced today.
The United States filed this lawsuit in U.S. District Court in Buffalo, New York. The United States alleges that, for more than seven years, the defendants defrauded the Department of Defense by millions of dollars for shipments that were actually lighter, and thus cheaper, than the weights for which the defendants charged the government. The United States further alleges that the defendants knowingly made or used false statements concealing their overcharging practices to the Department of Defense.
“Those who do business with the government must do so fairly and honestly,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Knowingly overcharging the government is an affront to American taxpayers, and the Department of Justice will seek to ensure that those who engage in such misconduct are held accountable.”
Specifically, the United States’ lawsuit alleges that the defendants reweighed thousands of shipments and suppressed the results whenever they indicated that a shipment was actually lighter than its original estimated weight. Thus, instead of charging the Department of Defense for shipments based on the correct weight, the defendants knowingly billed the government (and their other customers) based on weights that they knew to be inflated. The defendants also allegedly made false statements to induce the Department of Defense to use them as freight carriers and further knowingly made or used false statements to improperly avoid their obligations to correct inflated invoices and return overpayments.
“When a federal agency, such as the Department of Defense, enters into a service contract with a private corporation or company, the expectation is that the agreement will be administered in good faith,” stated U.S. Attorney James P. Kennedy Jr. for the Western District of New York. “In this case, YRC did not legally fulfill its agreed upon obligations to the Defense Department, choosing instead to line its pockets with tax payer’s dollars. Such actions are fraudulent and illegal. This case should serve as a warning to any organization that enters into a contract with the federal government—if you try to rip us off, be prepared to pay a heavy price.”
“This complaint is the result of a successful investigation to identify those who seek to profit by defrauding the Defense Department," stated Leigh-Alistair Barzey, Special Agent-in-Charge, Defense Criminal Investigative Service (DCIS), Northeast Field Office. "DCIS will continue to investigate procurement fraud allegations, along with its law enforcement partners, in order to protect U.S. military members and the American tax payer."
The original lawsuit in this case was filed by James Hannum under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the United States for false claims and share in any recovery. The act permits the government to intervene in such lawsuits, as it has done here. Those who violate the act are subject to treble damages and civil penalties.
This matter was investigated by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of New York, the Defense Criminal Investigative Service, and the United States Army Criminal Investigation Division Command.
The case is captioned United States ex rel. Hannum v. YRC Freight, Inc.; Roadway Express, Inc.; and Yellow Transportation, Inc., Civil Action No. 08-0811(A) (W.D.N.Y.).
The claims asserted in the United States’ complaint are allegations only and there has been no determination of liability.
United States Sues Freight Companies for Systematic Overcharging of ShipmentsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – The United States has filed a complaint in the Western District of New York against YRC Freight Inc., (YRC); Roadway Express Inc. (Roadway); and Yellow Transportation Inc. (Yellow), alleging that these companies systematically overcharged the government for freight carrier services and made false statements to the government that hid their misconduct, the Justice Department announced today.
The United States filed this lawsuit in U.S. District Court in Buffalo, New York. The United States alleges that, for more than seven years, the defendants defrauded the Department of Defense by millions of dollars for shipments that were actually lighter, and thus cheaper, than the weights for which the defendants charged the government. The United States further alleges that the defendants knowingly made or used false statements concealing their overcharging practices to the Department of Defense.
“When a federal agency, such as the Department of Defense, enters into a service contract with a private corporation or company, the expectation is that the agreement will be administered in good faith,” stated U.S. Attorney James P. Kennedy Jr. for the Western District of New York. “In this case, YRC did not legally fulfill it’s agreed upon obligations to the Defense Department, choosing instead to line its pockets with taxpayer’s dollars. Such actions are fraudulent and illegal. This case should serve as a warning to any organization that enters into a contract with the federal government—if you try to rip us off, be prepared to pay a heavy price.”
“Those who do business with the government must do so fairly and honestly,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Knowingly overcharging the government is an affront to American taxpayers, and the Department of Justice will seek to ensure that those who engage in such misconduct are held accountable.”
“This complaint is the result of a successful investigation to identify those who seek to profit by defrauding the Defense Department," stated Leigh-Alistair Barzey, Special Agent-in-Charge, Defense Criminal Investigative Service (DCIS), Northeast Field Office. "DCIS will continue to investigate procurement fraud allegations, along with its law enforcement partners, in order to protect U.S. military members and the American tax payer."
Specifically, the United States’ lawsuit alleges that the defendants reweighed thousands of shipments and suppressed the results whenever they indicated that a shipment was actually lighter than its original estimated weight. Thus, instead of charging the Department of Defense for shipments based on the correct weight, the defendants knowingly billed the government (and their other customers) based on weights that they knew to be inflated. The defendants also allegedly made false statements to induce the Department of Defense to use them as freight carriers and further knowingly made or used false statements to improperly avoid their obligations to correct inflated invoices and return overpayments.
The original lawsuit in this case was filed by James Hannum under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the United States for false claims and share in any recovery. The act permits the government to intervene in such lawsuits, as it has done here. Those who violate the act are subject to treble damages and civil penalties.
This matter was investigated by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of New York, the Defense Criminal Investigative Service, and the United States Army Criminal Investigation Division Command.
The case is captioned United States ex rel. Hannum v. YRC Freight, Inc.; Roadway Express, Inc.; and Yellow Transportation, Inc., Civil Action No. 08-0811(A) (W.D.N.Y.).
The claims asserted in the United States’ complaint are allegations only and there has been no determination of liability.
# # # #Rochester Man Convicted Following A Jury Trial of Possessing A Shotgun and Ammunition SentencedRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Quincey Frye, 27, of Rochester, NY, who was convicted following a jury trial of being a felon in possession of a shotgun and ammunition, was sentenced to 40 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Charles E. Moynihan, who handled the prosecution of the case, stated that on March 26, 2016, members from the New York State Department of Corrections and Community Supervision apprehended Frye at 270 Weyl Street in Rochester, after he absconded from parole supervision in early February. While looking for the defendant inside the residence, officers found a shotgun with an ammunition carrying case attached. The ammunition carrier contained four live shotgun shells. Officers found Frye hiding in the attic and arrested him. Evidence presented during the trial showed that after officers took Frye to booking at the Monroe County Jail, he placed a telephone call to his girlfriend. During that telephone call, which was recorded, the defendant accused his girlfriend of telling law enforcement officers about the shotgun and then said he wanted it returned.
At the time, Frye was under the supervision of the New York State Department of Corrections and Community Supervision following a 2012 conviction and serving a prison sentence for Attempted Burglary in the Second Degree.
The prosecution was brought by the United States Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Today’s sentencing is the result of an investigation by New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci; the Rochester Police Department, under the direction of Chief Mark Simmons; and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
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Former Local State Senator Sentenced on Public Corruption Conviction Involving Incident with A Staff MemberRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that former New York State Senator Marc Panepinto, 53, of Buffalo, NY, who was convicted of promise of employment, compensation, or other benefit for political activity, was sentenced to serve two months in prison and one year supervised release by U.S. Magistrate Judge Michael J. Roemer.
Assistant U.S. Attorney Paul E. Bonanno, who handled the case, stated that the defendant served as the New York State Senator for the 60th Senate District between January 1, 2015, and December 31, 2016. In that position, Panepinto employed a young woman as a staff member in his district office.
On January 7, 2016, the defendant and the staff member traveled together to New York City to attend a fundraiser for Panepinto. Following the event, the staff member took possession of the donations from the fundraiser. Later that evening, the defendant suggested that he and the staff member go to her hotel room to count the donations together.
While in the staff member’s hotel room, Panepinto made a series of unwanted, verbal, and physical sexual advances which were rebuffed by the staff member. The defendant eventually complied with the staff member’s request that he leave, although he did return to the staffer member’s hotel room during the early morning hours in an unsuccessful attempt to get back into her hotel room. The following morning, Panepinto and the staff member returned to Buffalo together. However, the two did not discuss the events that took place the night before.
Upset by what occurred in her hotel room, the staff member subsequently resigned from her position in Panepinto’s district office. Following her resignation, the New York State Senate conducted an investigation into what had occurred, and, as a result of the investigation, referred the matter to the New York State Joint Commission on Public Ethics (JCOPE) for further investigation.
The defendant was concerned that the JCOPE investigation would jeopardize his 2016 campaign for re-election. As a result, Panepinto directed a senior staff member to meet with the staff member and offer her money and/or new employment if she refused to participate in the JCOPE investigation. It was suggested that the new employment would be political in nature and funded in whole or in part by an Act of Congress. The meeting took place on March 7, 2016, at which time the staff member did not accept or refuse the offer. On March 9, 2016, the senior staff member contacted the staff member to arrange a follow-up meeting but the staff member did not agree to a follow-up meeting. Subsequently, on March 15, 2016, Panepinto announced that he would not be seeking re-election to the New York State Senate.
“The defendant essentially sought to purchase this young woman’s silence,” stated U.S. Attorney Kennedy. “In so doing, he placed his own interests above those of his staff and his constituents; he sought to use his position to benefit himself above all others. His abuse of power cost him his office and bought him a federal criminal conviction.”
“Panepinto's admitted criminal misconduct -- behavior that he engaged in while he served in public office -- is not acceptable,” said FBI Special Agent-in-Charge Gary Loeffert. “Today's sentencing highlights the importance of rooting out acts of public corruption in our community.”
Today’s sentencing is the result of an investigation by the Buffalo Division of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the New York State Joint Commission on Public Ethics, under the direction of Executive Director Seth H. Agata.
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Canadian Man Charged with Leading Police on A High Speed Chase and Assaulting an OfficerRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Feng Chen, 23, of Ontario, Canada, was arrested and charged by criminal complaint with assaulting a federal officer by means of a dangerous weapon, evading a checkpoint operated by a Federal law enforcement agency in a motor vehicle in excess of the legal speed limit, and with eluding inspection by immigration officials. The charges carry a maximum penalty of 25 years in prison and a $250,000 fine.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that on December 10, 2018, at approximately 2:30 p.m., the defendant was attempting to enter the United States at the Lewiston Bridge Port of Entry. Chen turned over his passport when it was requested by a Customs and Border Protection officer. However, when the officer asked the defendant for his citizenship and destination, he did not answer the questions, and then sped through the inspection checkpoint.
The officer called out “port runner” over the radio, and a CBP officer began pursuing Chen’s vehicle, in a marked unit, with emergency lights and sirens activated. During the course of the chase, the defendant was weaving in and out of traffic at an unsafe speed. The pursuit continued on to Grand Island, where a New York State Police unit, with activated emergency lights, entered the roadway in front of Chen’s vehicle in an attempt to stop it. Rather than stop, the defendant struck the rear of the New York State Police vehicle at a high rate of speed, and the came to a stop.
Following the collision, Chen failed to comply with a CBP officer’s commands. As the officer attempted to remove the defendant from his vehicle, Chen struck and punched the CBP officer with his fist, near the officer’s left eye, resulting in an abrasion on the side of officer’s face. The defendant was then transported to Mt. Saint Mary’s Hospital in Lewiston, NY.
Based on immigration record checks, the defendant has no valid immigration status in the United States and is present illegally in the United States in violation of the Immigration and Nationality Act.
“Border security is essential to our very existence as a Nation,” stated U.S. Attorney Kennedy. “We, together with our state and local partners, remain vigilant and committed to protecting our citizens and upholding the rule of law not only within our country but also at its borders.”
“Our officers and state partners did an excellent job ensuring this port runner was apprehended. If you attempt to enter the U.S without inspection we will pursue and apprehend you,” said CBP Buffalo Field Office Director ose Brophy. “Border security is paramount to our country's safety and it starts with ensuring everyone is properly inspected at the border. I’d like to thank the New York State Police for assisting our officers in the apprehension of the subject.”
The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and is being held pending a detention hearing scheduled for December 18, 2018, at 12:00 p.m.
The complaint is the result of investigation by Homeland Security investigations, under the direction of Special Agent-in-Charge Kevin Kelly; U.S. Customs and Border Protection, under the direction of Director of Field Operations Rose Brophy; and the New York State Police, under the direction of Major Edward Kennedy.
The fact that a defendant has been charged with a crime is merely an accusation, and the defendants are presumed innocent until and unless proven guilty.
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Bailey Boys Associate Member Sentenced to 20 Years in Federal Prison for MurderRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Raymel Weeden, 25, of Buffalo, NY, who was convicted of discharge of a firearm causing death, was sentenced to serve 20 years in prison by Senior U.S. District Judge William M. Skretny. The sentence will be served consecutive to a 10 year state sentence the defendant is currently serving for Robbery in the First Degree.
Assistant U.S. Attorneys Michael P. Felicetta and Joseph M. Tripi, who handled the case, stated that on February 9, 2012, the defendant, a Bailey Boys Gang associate, along with Bailey Boys Gang member Rayshod Washington, attempted to rob Fred Rozier of drugs and money. During the course of the attempted robbery, when Fred Rozier resisted the robbery attempt, Weeden shot and killed Rozier.
The Bailey Boys Gang is a violent criminal gang which operates in an area of the City of Buffalo bounded by Winspear Avenue, the Kensington Expressway, Eggert Road and Main Street.
Rayshod Washington was previously convicted and sentenced to serve 144 months in prison.Today’s sentencing is the result of an ongoing investigation on the part of the U.S. Attorney’s Office in close cooperation with the Erie County District Attorney’s Office, under the direction of District Attorney John Flynn; the Buffalo Police Department, under direction of Police Commissioner Byron Lockwood; the Federal Bureau of Investigation’s Safe Streets Task Force, under the Direction of Special Agent-in-Charge Gary Loeffert; the Erie County Sheriff’s Office, under the direction of Sheriff Timothy B. Howard; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Raymond P. Donovan, New York Field Division; and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Ashan Benedict, New York Field Division.
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Dunkirk Man Sentenced for Selling Illegal Controlled SubstancesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051Buffalo, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Anthony Dloniak, 40, of Dunkirk, NY, who was convicted of possession with intent to distribute U-47700, was sentenced to serve 78 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Brendan T. Cullinane, who handled the case, stated that beginning in May of 2017, law enforcement officers began recovering packages addressed to the defendant from China and the Netherlands, all of which contained either U-47700 or MDMA, both of which are Schedule I controlled substances. On September 7, 2017, officers executed a search warrant at the Dloniak’s residence and recovered controlled substances and items used in the distribution of controlled substances, including: a quantity of U-47700; scales; a vacuum sealing system; packaging materials; a ledger; a book entitled “How to Manufacture Methamphetamine;” and, $12,650 in U.S. currency.
The sentencing is the culmination of an investigation on the part of Immigrations and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the U.S. Food and Drug Administration, Office of Criminal Investigations, New York Field Office, under the direction of Special Agent-in-Charge Jeffrey Ebersole.
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California Man Sentenced on Drug Charge Involving over 200lbs of CocaineRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Armando Ernesto Abarca, 22, of Modesto, California, who was convicted of conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine, was sentenced to 168 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that between September 2014 and September 2016, the defendant conspired with others to possess and distribute cocaine. Specifically, Abarca utilized a storage unit in Amherst, NY to store 43 kilograms of cocaine. The defendant also distributed approximately 50 kilograms of cocaine in Columbus, OH, during the course of the conspiracy.
Charges remain pending against co-defendant Raul Everado Ledesma Abarca. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The sentencing is the result of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; Immigration and Custom Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; and the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office. Additional assistance was provided by ICE-HSI in Los Angeles, California.
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