Western District of New York
Press releases recorded for this federal judicial district.
Rochester Doctor Pleads Guilty to Illegally Distributing Controlled SubstancesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Dr. Clifford Jacobson, M.D., 67, of Rochester, NY, pleaded guilty to illegally distributing a controlled substance, before U.S. District Judge Charles J. Siragusa. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that Dr. Jacobson was a practicing psychiatrist. From 2014 to 2017, he sold prescriptions for Schedule IV controlled substances, including clonazepam (commonly known by its brand name Xanax), to undercover agents and patients who had no medical necessity for the drug but who sought to use it recreationally. The defendant charged his patients $120 for each illegal prescription.
The plea is the result of an investigation by Special Agents of the Drug Enforcement Administration, acting under the direction of James J. Hunt, New York Field Division, and investigators of the Medicaid Fraud Control Unit, acting under the direction of New York State Attorney General Eric Schneiderman.
Sentencing is scheduled for January 23, 2018, at 9:15 a.m. before Judge Siragusa.
Jury Convicts Rochester Man of Sex Trafficking Minors and AdultsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr., announced today that a federal jury convicted Stephen Jones, 30, of Rochester, NY, of conspiring to recruit underage girls to commit commercial sex acts, and sex trafficking of minors and adults by force, fraud or coercion. The charges carry a mandatory minimum penalty of 15 years in prison and a maximum of life.
Assistant U.S. Attorneys Melissa M. Marangola and Craig R. Gestring, who together handled the trial of the case, stated that between 2011 and June 2014, the defendant conspired with others, including Kasandra Weeks and Christian Nartey, to target and manipulate seven minor victims and two adult victims, many of whom were at-risk and vulnerable, to engage in prostitution activities. While some victims were located through social media accounts, Jones went to the Department of Social Services or women shelters and waited until girls appearing young in age came outside. Victims were promised quick money and drugs, and on other occasions, threatened with violence.
Jones and his co-conspirators posted daily advertisements using fake photos for the victims on backpage.com. One advertisement read: “ITS KRISTEN AND ASHLEY!! Ur 2 favorite young GODDESS up all day READY2play!! :-) CALL NOW!! Victims were taken from the Rochester area to Buffalo, Syracuse, Albany, Utica, and New Jersey in order to engage in prostitution activities and avoid detection by law enforcement. To keep control over the victims, Jones and the others kept the money victims earned from prostitution activities, as many as 10 clients a day, and limited the victims’ communications with family and friends.
With his conviction, Jones joins Kasandra Weeks and Christian Nartey, who were previously convicted, as they await sentencing for their involvement in this sex trafficking ring.
The verdict is the culmination of an investigation on the part of the Federal Bureau of Investigation Child Exploitation Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen; Immigration and Customs Enforcement, Homeland Security Investigations, of under the direction of Special Agent-in-Charge Kevin Kelly; and the Rochester Police Department, under the direction of Chief Michael Ciminelli.Sentencing for Jones is scheduled for December 5, 2017, at 3:00 p.m., before U.S. District Judge David G. Larimer who presided over the trial of the case.
Former 5linx Owners Facing Additional Charges in 37-Count Superseding IndictmentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a 37-count superseding indictment charging former 5LINX owners Craig Jerabeck, 56, of Rochester, NY; Jeb Tyler, 44, of Penfield, NY; and Jason Guck, 42, of Victor, NY, with 29 counts of wire fraud and one count of conspiracy to commit wire fraud, each count punishable by up to 20 years in prison and a fine of $250,000. The superseding indictment also contains six counts of money laundering and one count of conspiracy to commit money laundering, each count punishable by up to 10 years in prison and a fine of $250,000.
Assistant U.S. Attorneys Craig R. Gestring and Richard A. Resnick, who are handling the prosecution, stated that according to the superseding indictment and a previously filed indictment, the defendants, in 2001, started 5LINX Enterprise, Inc. (5LINX), a multi-level marketing company headquartered in Rochester. 5LINX offered utility and telecommunications services, health insurance, nutritional supplements, and business services using independent representatives to sell products and services, and to recruit additional representatives. Jerabeck was President and Chief Executive Officer, Guck was Vice President and Secretary, and Tyler was Vice President of 5LINX.
In June 2006 and July 2006, the defendants sold 5LINX stock for $5,500,000 to three investment companies, Trillium Lakefront Partners III, L.P.; Trillium Lakefront Partners III, NY L.P.; and Shalam Investment Co., L.L.C. (collectively known as "the Investors"). From 2009 to 2014, during the time that the Investors owned a substantial stake in 5LINX, the defendants caused 5LINX, without the knowledge or approval of the Investors, fraudulently to pay approximately $13,235,582 to the defendants. Specifically, the defendants created fictitious independent representatives and caused them to be paid more than $11,700,000 by making it appear that the representatives had provided services to 5LINX. The money paid to the fictitious representatives eventually was transferred into the defendants’ bank accounts or onto debit cards for the defendants’ personal use.
Further, the defendants fraudulently caused a vendor, for whom 5LINX was selling and distributing products, to pay the defendants directly approximately $2,300,000 that 5LINX should have received.
The approximately $13,235,582 fraudulently paid to the defendants caused false financial statements and reports regarding the financial condition of 5LINX to be prepared. The Investors relied on those statements and reports when making financial decisions affecting the company. One such decision occurred in January 2014. The Investors agreed to sell their ownership stake in 5LINX back to 5LINX. As part of the sale price, the Investors agreed to receive three promissory notes totaling $10,000,000, rather than requiring the full sale price in cash. If the Investors known about the diverted funds, then they would have sold their ownership stake for more money and taken the full sale price in cash rather than accept promissory notes, which turned out to be worthless.
Prior to receiving the fraudulent obtained funds, the defendants transferred the funds through various fictitious companies and entities in order to conceal their ownership of the funds. The superseding indictment alleges that those transfers constituted money laundering.
The defendants no longer own the company.
The superseding indictment is the culmination of an investigation by Special Agents of the Federal Bureau of Investigations, under the direction of Special Agent-in-Charge Adam S. Cohen.
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.
Federal Jury Convicts Rochester Man in Firebombing CaseRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Taj R. Williams, 32, of Rochester, NY, was convicted after a jury trial of arson and unlawful possession of Molotov cocktails. The charges carry a mandatory minimum penalty of five years in prison, a maximum of 20 years, a fine of $250,000, or both.
Assistant U.S. Attorney Douglas E. Gregory, who handled the prosecution of the case, stated that on January 18, 2015, Williams used a tire iron to shatter the front glass door of the Chili Express Mini Mart located at 989 Chili Avenue in Rochester. The defendant then removed three Molotov cocktails from a bag, each of which he lit and threw inside the store. All of the devices exploded, causing extensive fire damage to the interior structure and its merchandise.
The guilty verdict is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli; the Rochester Fire Department, under the direction of Chief John Schieber; 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 December 11, 2017, at 11:00 a.m. before U.S. District Judge Elizabeth A. Wolford who presided over the trial of the case.
Buffalo Man Sentenced for Production of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Robert Pritchett, 21, of Buffalo, NY, who was convicted of production of child pornography, was sentenced to 30 years in prison and lifetime supervised release by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that in October of 2015, Robert Pritchett, utilizing the name “Jess Allen,” began communicating with Victim 1, a 17-year-old female from New Jersey, via text messages and chat messages over the internet. The defendant convinced her to travel to New York to live with him. Pritchett misrepresented his identity and made fraudulent promises regarding where she would live upon her arrival. On November 6, 2015, after picking up Victim 1 at the bus station, the two engaged in sexual activities, and then traveled to a motel in Tonawanda, NY. While at the motel, Pritchett had Victim 1 engage in prostitution services and engaged in additional sexual activities with Victim 1. During the sexual activity, the defendant used Victim 1’s Apple iPhone to record some of the activity.Pritchett also engaged in online sexual communications and/or sexual contact with three other minor females. In June of 2014, using Kik, the defendant sent sexually explicit photographs by a 14-year-old female (Victim 2) from Buffalo. This then lead to communications with a 15-year-old female friend of Victim 2, also from Buffalo (Victim 3). Victim 3 went with the defendant to the Galleria Mall on July 3, 2014, in an effort to get the defendant to delete the pictures he had of Victim 2. While at the mall, Pritchett engaged in repeated sexual acts with Victim 3 inside a movie theater and near a loading dock of a department store.
Between November 2013 and March 2014, the defendant communicated with a 15-year-old female from East Aurora (Victim 4), using ooVoo, a video and instant messaging chat application. During those communications, Victim 4 engaged in sexually explicit conduct while video chatting with the defendant. During the video chat, Pritchett created two screen shots that depicted Victim 4 engaged in sexually explicit conduct, and saved those screen shots to his cellular telephone.
The sentencing is the culmination of an investigation by Special Agents of the Federal Bureau of Investigation, under the direction of Adam S. Cohen, Special Agent-in-Charge, along with Detectives from the Cheektowaga Police Department, under the direction of Chief David Zack.
Buffalo Man Pleads Guilty to Social Security FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr., announced today that Ari Elias Baum, 32, of Buffalo, N.Y., pleaded guilty to making a false statement to the Social Security Administration (SSA) concerning his eligibility to receive disability benefits before Senior U.S. District Judge William M. Skretny. The charge carries a maximum penalty of five years in prison and a fine of up to $250,000.
Assistant U.S. Attorney Jonathan P. Cantil, who is handling the case, stated that in 2010, the defendant’s Social Security benefits were discontinued after it was determined Baum was outside the United States for a period exceeding 30 consecutive days. In December 2010 and again in March 2013, Baum was advised of his obligation to report to the SSA if he was outside the United States for 30 or more consecutive days.
According to border crossing records, the defendant was outside of the country continuously from March 22, 2013, until August 13, 2013. When contacted by the SSA on December 19, 2013, Baum failed to mention this to the agency. Baum left the United States again on January 1, 2014, and did not return until May 13, 2014.
The defendant traveled to multiple countries including Morocco, Turkey, Egypt, the United Arab Emirates, and France. Baum’s absence from the United States resulted in an overpayment of Social Security benefits exceeding $6,400.
The plea is the result of an investigation on the part of the United States Social Security Administration, Office of the Inspector General, under the direction of Special Agent-in-Charge John Grasso and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.
Sentencing is scheduled for November 15, 2017 at 2:30 p.m. before Judge Skretny.
Texas Man Pleads Guilty to Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Mark Ramos, 31, of San Antonio, Texas, pleaded guilty to conspiracy to possess with intent to distribute, and distribution of, more than 500 grams of cocaine before U.S. District Judge Lawrence J. Vilardo. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a fine of $5,000,000.
Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that between May 2016 and June 1, 2016, the defendant conspired with co-defendants Jabriel Crews, Charles Gonzalez, and others, to take delivery of cocaine sent through the U.S. mail, and to distribute it in the Buffalo area.
On June 1, 2016, Ramos drove a rented vehicle to the parking lot of a retail store in Cheektowaga, NY, and parked next to a car driven by Charles Gonzalez. After a brief meeting in Gonzalez’s vehicle, Gonzalez removed a package containing cocaine from the trunk and gave it to the defendant, who then placed in the trunk of his vehicle. Upon executing a search warrant on the vehicle, officers recovered two bricks of cocaine inside of a U.S. postal parcel addressed to Charles Gonzalez.
Charles Gonzalez was charged and convicted in state court. Federal charges are pending against Jabriel Crews. 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 plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Erie County Sheriff’s Department, under the direction of Timothy Howard.
Sentencing is scheduled for January 5, 2018, before Judge Vilardo.
Rochester Woman Sentenced for Stealing VA BenefitsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Lisa Benincasa, 54, of Rochester, NY, who was convicted of theft of government monies, was sentenced by U.S. Magistrate Judge Marian W. Payson to 75 days in prison followed by four months at a residential reentry center. The defendant was also ordered to pay restitution of $6,472.
Assistant U.S. Attorney John J. Field, who handled the case, stated that Benincasa stole Veterans Affairs benefits belonging to a deceased individual. The defendant lived with, and provided care to, the VA beneficiary while the beneficiary was still alive. After the beneficiary died, instead of notifying the VA of her death, Benincasa kept and forged the monthly VA benefit checks. In total, the defendant stole approximately $6,472 in benefits over a two-year period.
The sentencing is the result of an investigation by the United States Department of Veterans Affairs, Office of Inspector General, Criminal Investigations Division, under the direction of Donna L. Neves.
Lockport Man Charged with Heroin DeathRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned and indictment charging Pablo Lugo III, 22, of Lockport, NY, with distribution of fentanyl causing death. The charge carries a mandatory minimum penalty of 20 years in prison and a maximum of life.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that according to the indictment, on March 28, 2015, the defendant provided heroin to a 22-year-old female victim, which resulted in her death.
Acting U.S. Attorney Kennedy noted that, “[e]arlier this week, Attorney General Sessions stated that, ‘The first and most important job of any government is to protect the safety and the rights of its citizens. The first civil right is to be alive.’" Kennedy continued, “[s]adly, the consumption of opioids is robbing many individuals of that first and most important civil right—the right to live—at an alarming rate. Today’s indictment is a reminder that this Office will continue to do all that it can to protect the lives and rights of all of our citizens, including those that struggle with addiction.”
DEA Special Agent-in-Charge James Hunt stated, “This arrest sends a warning to both the drug dealer and drug users. Drug traffickers are reminded that enhanced charging penalties apply if an overdose death results from their illegal drug sales. And users are forewarned that today’s heroin harbors highly potent opioids that can cause instantaneous death.”
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder and is being held pending a detention hearing.
The indictment is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the Niagara County Drug Enforcement Task Force, under the direction of Sheriff James Voutour; and the Lockport Police Department, under the direction of Chief Michael Niethe.
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.
Southern Tier Man Charged with Methamphetamine PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Gary Hannold, 42, of Bemus Point, NY, was arrested and charged by criminal complaint with possession with intent to distribute 50 grams or more of methamphetamine. The charge carries a mandatory minimum penalty of 10 years in prison and a maximum of life.
Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that in the early morning hours on August 11, 2017, the defendant was pulled over by deputies with the Chautauqua County Sheriff's Office while riding his motorcycle in the Village of Sherman.
According to the complaint, as Hannold got off the motorcycle, he removed his helmet, and then took off a camouflage back pack that he was wearing and threw the pack back into the high weeds adjacent to the motorcycle. As a deputy attempted to retrieve the back pack, the defendant attempted to grab the pack back. Inside the back pack, the deputy found a quantity of suspected crystal methamphetamine packaged in several plastic baggies, was well as marijuana, a clear vile containing cocaine, 10 packets of Suboxone, a digital scale, a bag with unused small plastic bags, U.S. Currency, two cell phones, a New York State motorcycle license plate and numerous other items.
The defendant made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder and is being detained.
The complaint is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; and the Chautauqua County Sheriff’s Department, under the direction of Joseph Gerace.
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.
Rochester Man Pleads Guilty to Illegal Firearm PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jeuane Harvey, 30, of Rochester, NY, pleaded guilty to being a felon-in-possession of a firearm and ammunition, before U.S. District Judge David G. Larimer. The charges carry a maximum penalty of 10 years in prison, a fine of $250,000, or both.
Assistant U.S. Attorney Charles E. Moynihan, who is handling the case, stated that on September 9, 2016, Rochester Police Department officers were on patrol in the area of the David F. Gantt Community Center located on North Street in Rochester. Officers saw that the defendant, who was standing with two other people, was holding a rifle with a curved magazine, which appeared to be high capacity. Harvey ran as officers attempted to confront him. After briefly losing sight of the defendant, officers found him and took Harvey into custody. The defendant did not have the rifle in his possession; however, officers searched the surrounding area and found the rifle laying on the ground near the playground. An ammunition magazine with a 30 round capacity, loaded with 17 rounds, was attached to the rifle. In 2008, Harvey was convicted of Criminal Possession of a Weapon in the Second Degree and Criminal Possession of a Weapon in the Third Degree, both felony level offenses. As a result of those convictions, Harvey is legally prohibited from possessing a firearm or ammunition.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli, 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 November 28, 2017, at 3:00 p.m. before Judge Larimer.
Canadian Man Pleads Guilty to Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that John Lambert, 65, of Canada, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, 500 grams or more of cocaine before Chief U.S. District Judge Frank P. Geraci, Jr. the charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a fine of $5,000,000.
Assistant U.S. Attorney Patricia Astorga, who is handling the case, stated that in 2013, co-defendant Harvey Peake recruited Lambert to assist in the transporting of illegal narcotics for distribution. On October 3, 2016, Peake and Lambert traveled to the Seneca Buffalo Creek Casino in downtown Buffalo to hand off 10 kilograms of cocaine. The two men met briefly with a third individual in the casino and then walked towards the parking garage where Peake’s vehicle was parked. Lambert got into the driver’s seat and tapped the brake lights to signal their location to the third individual. Peake then opened the trunk of and removed a suitcase. The third individual pulled up next to the vehicle and Peake attempted to give the suitcase to the individual. Peake and Lambert were then arrested. Law enforcement officers seized the suitcase, which contained approximately 10 kilograms of cocaine.
Charges are pending against Harvey Peake. 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 plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.Sentencing is scheduled for December 14, 2017 before Judge Geraci.
Albion Man Pleads Guilty to Receipt of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Christopher Ridder, 46, of Albion, NY, pleaded guilty to receipt of child pornography, before U.S. District Judge Lawrence J. Vilardo. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Stephanie Lamarque, who is handling the case, stated that in January 2017, the defendant was found in possession of over 600 images of child pornography, some depicting prepubescent minors and some depicting sadistic or masochistic conduct.
The complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen and the Medina Police Department, under the direction of Chief Chad Kenward.
Sentencing is scheduled for January 8, 2018, at 2:00 p.m. before Judge Vilardo.
Orlean Man Charged with Bank FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Joseph Stevens, 53, of Olean, NY, was arrested and charged by criminal complaint with bank fraud. The charge carries a maximum penalty of 30 years in prison and a $1,000,000.
Assistant U.S. Attorney Trini E. Ross, who is handling the case, stated that according to the complaint, in August 2012, the defendant, a Certified Public Accountant (CPA), was hired by a business owner to handle all of the bookkeeping responsibilities for his business. Responsibilities included paying vendors, employee payroll, and personal and business tax return preparation. In order to perform the accounting duties, Stevens was given access to the business’ banking account information, which included the routing and account numbers for the business owner’s two business accounts at a Five Star Bank branch in Warsaw, NY.
Beginning in early 2016, the defendant began to notify the business owner that the business was not doing well financially. For instance, a $30,000.00 line of credit at Five Star Bank was maxed out without authorization. When questioned about the line of credit, Stevens told the business owner that the business was not generating enough revenue. Also, sometime in 2016, the business owner received a letter from the Internal Revenue Service stating that his 2015 taxes had not been paid. When the business owner questioned the defendant, Stevens again stated that the business was not generating enough revenue.
In September 2016, the business owner realized that monthly statements for the Five Star Bank accounts were no longer being received at the business owner’s office. On March 24, 2017, the business owner went to the bank branch to review the business accounts activity. The business owner discovered two recent checks, both made payable to "Joseph Stevens," with the business owner’s forged signature. The business owner informed the bank of the issue, and requested copies of all records related to the business accounts.
On April 4, 2017, the business owner received a telephone call from Five Star Bank and was told that someone was in the branch attempting to negotiate a $5,000.00 check drawn against the business owner's account. The business owner advised the bank that the $5,000.00 check was not authorized and to freeze the account. While still on the telephone with a bank representative, the business owner received a telephone call from the defendant stating that the business accounts were frozen.
According to the complaint, between September 2013, and April 2017, Stevens made approximately $470,000.00 in unauthorized withdrawals from the business owner’s accounts.
The defendant made an initial appearance before U.S. Magistrate Judge Jeremiah J. McCarthy and is being detained.
The criminal complaint is the result of an investigation by the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office, and the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston 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.
Buffalo Man Pleads Guilty in Heroin Trafficking ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy announced today that Orlando Rios, 45, a/k/a Fifo, of Buffalo, NY, pleaded guilty to conspiracy to possess with intent to distribute, and distribution of one kilogram or more of heroin before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a mandatory minimum penalty of 10 years and a maximum of 40 years in prison, and a $5,000,000 fine.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that between March 2014, and June 2015, the defendant conspired with Daniel Molina-Rios, Jose Andujar, Luis Montanez, and others, as part of a wide-scale drug trafficking organization that distributed heroin on the West Side of Buffalo. Rios headed the organization and supervised several street-level dealers who used a series of cellular telephones to conduct daily sales with customers seeking to buy heroin or illegal use.
During the conspiracy, the defendant made at least six trips to the New York City area to obtain large quantities of heroin from a source of supply, purchasing at least 300 grams of heroin on each trip. In addition, during the time period of the conspiracy, the Buffalo Police Department and New York State Police conducted 66 undercover heroin purchases from individuals subordinate to the defendant in the organization.
The defendant also maintained a premise, located at 42 Potomac Avenue in Buffalo, for the purpose of distributing heroin. During the execution of a search warrant at that residence on June 18, 2015, law enforcement officers recovered a digital scale, glassine bags, rubber bands, one Cricket cellular telephone, one black Verizon phone, $4,510.00 in cash, and a Colt .380 pistol loaded with live automatic rounds in the magazine.
A total of 14 defendants have been indicted in connection with this case, and Rios is the ninth to be convicted. Charges are pending against the remaining defendants. 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 plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause and Lieutenant Kevin Reyes, CNET West Commander; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Sentencing is scheduled for December 14, 2017, at 11:00 a.m. before Judge Geraci.
Romanian Man Pleads Guilty to His Role in Fraud SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Giovani Hornea, 20, of Romania, pleaded guilty to conspiracy to commit bank fraud before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 30 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Marie P. Grisanti, who is handling the case, stated that between October 4, 2015, and November 14, 2015, the defendant conspired with co-defendant Nicolae Sarbu and others to execute a scheme to defraud Bank of America.
The defendants used skimming devices and cameras on seven occasions at automated teller machines (ATM’s) in the Buffalo and Rochester areas as well as in the State of Pennsylvania. Bank account information and personal identification numbers (PIN’s) were recorded without the true account holder’s knowledge or authorization and then used to make unauthorized withdrawals of cash from the various ATM’s. A skimmer is a device used to unlawfully record bank account information from a customer’s debit card when the card is inserted into an ATM.
Nicolae Sarbu has been convicted and is awaiting sentencing.
The total loss suffered by Bank of America as a result of this fraudulent activity was $156,266.30.
The plea is the result of an investigation by immigration and Customs Enforcement, Homeland security investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for December 20, 2017, before Judge Arcara.
Buffalo Man Arrested on Fentanyl ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Luis Matias, of Buffalo, 27, was arrested and charged by criminal complaint with conspiracy to possess with intent to distribute; and to distribute, butyryl fentanyl, and possession with intent to distribute, and distribution of, butyryl fentanyl. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Timothy C. Lynch, who is handling the case, stated that according to the complaint, in July 2017, law enforcement officers developed information that the defendant was distributing large quantities of heroin in the Buffalo area. During the investigation, a confidential source and undercover officers were used to conduct controlled heroin purchases from Matias.
The criminal complaint is the culmination of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police, under the direction of Major Edward Kennedy; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
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.
Three Men Plead Guilty in Connection to Methamphetamine ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that three defendants pleaded guilty before Chief U.S. District Judge Frank P. Geraci. Jr. for their roles in a methamphetamine conspiracy:
• Scott Kennedy, 40, of Beaver Dams, NY, pleaded guilty to conspiracy to manufacture, possess with intent to distribute, and to distribute, 500 grams or more of a mixture or substance containing methamphetamine. The defendant a faces a minimum penalty of 20 years in prison, a maximum of life and a $20,000,000 fine.
• Jared Mendez, 32, of Bradford, NY, pleaded guilty theft of anhydrous ammonia with knowledge it will be used to manufacture methamphetamine and faces eight years in prison and a $250,000 fine.
• Terry Champion, 48, of Bradford, NY, pleaded guilty to possession of a listed chemical with knowledge it will be used to manufacture a controlled substance. The defendant faces up to 10 years in prison and a $250,000 fine.Assistant U.S. Attorney Katelyn M. Hartford, who is handling the case, stated that between June 2012, and May 4, 2016, Scott Kennedy conspired with others, including Jared Mendez and Terry Champion, to manufacture and distribute methamphetamine. Kennedy distributed large amounts of methamphetamine with and to people throughout the area of Schuyler, Chemung, and Steuben Counties in New York. During this time, the defendant personally manufactured large amounts of methamphetamine at his home at 44 Campground Road in the Town of Catlin and on the property maintained by his sister Wendy Kennedy at 2200 County Route 19 in the Town of Dix.
During this time, Kennedy also received the assistance of numerous co-conspirators who provided him with supplies with the intent that he would use those supplies to manufacture methamphetamine. Between July 2015 and October 2015, Jared Mendez stole anhydrous ammonia and sold it to Kennedy.
Between January 2016, and May 4, 2016, Terry Champion obtained quantities of pseudoephedrine and sold it to Scott Kennedy. In addition, on January 22, 2016, Champion possessed approximately 182 pseudoephedrine pills for the purpose of manufacturing methamphetamine. On that date, the defendant was pulled over while driving on South Valley Road in Steuben County. During a search of the vehicle, officers located the pseudoephedrine pills.
Charges are pending against Wendy Kennedy and another co-defendant Quinton Harrison. 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 pleas are the result of an investigation by the New York State Police, Special Investigations Unit, Rochester; the New York State Police, CNET Southern Tier, under the direction of Major Richard Allen; the Schuyler County Sheriff’s Department, under the direction of William Yessman; and the Schuyler County District Attorney’s Office, under the direction of Joseph Fazzary.
Scott Kennedy is scheduled to be sentenced on November 20, 2017; Terry Champion on November 30, 2017; and Jared Mendez on December 1, 2017, all before Judge Geraci.
Seneca Falls Man Pleads Guilty to Filing False Tax ReturnsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that James LaRock, II, 42, Seneca Falls, NY, pleaded guilty to filing a false tax return before the U.S. District Judge Charles J. Siragusa. The charge carries a maximum penalty of three years in prison and a fine of $250,000.
Assistant U.S. Attorney Tiffany H. Lee, who is handling the case, stated that for the tax years 2010-2013, the defendant, who is self-employed in the logging and firewood business, filed false personal income tax returns. Among other things, LaRock understated his gross receipts and omitted the cost of goods. In total, the defendant omitted approximately $280,470.72 in taxable income, resulting in a tax loss of $107,749 to the Internal Revenue Service.
The criminal complaint was the culmination of an investigation on the part of the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office.
Sentencing is scheduled for December 7, 2017, at 10:00 a.m. before Judge Siragusa.
Rochester Man Sentenced to 25 Years for Drug TraffickingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Edward Mighty, 40, of Rochester, NY, was sentenced to 25 years in prison by Chief U.S. District Judge Frank P. Geraci, Jr. Mighty was convicted of conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine and 280 grams or more of crack cocaine, and possession of firearms in furtherance of a drug trafficking crime,
Mighty was arrested in February 2015 along with Seymour Brown, Andre Taylor a/k/a Stamma, Ricardo Bailey a/k/a Diji, Robert Wilson a/k/a Bose, and Kenneth Harper a/k/a Frenchy a/k/a Pudge, Desmond Bice a/k/a Dez, and Christopher Samuels a/k/a Cutty, all of Rochester. In addition, Winifredo Gonzales, of Brooklyn, NY, was charged by criminal complaint on February 11, 2015, with conspiracy to possess with intent to distribute five kilograms or more of cocaine and possession of firearms in furtherance of a drug trafficking crime.
Assistant U.S. Attorney Robert A. Marangola, who handled the case, stated that Mighty was one of the leaders of a Rochester-based drug trafficking organization. The defendant obtained kilogram quantities cocaine from Winifredo Gonzales in Brooklyn that were transported to Rochester. The powder cocaine was processed, re-packaged, and distributed in various quantities of both powder and crack cocaine through multiple sellers in the greater Rochester area. Mighty had several members of his drug trafficking organization utilize their cell phones to conduct the drug business. These individuals include Andre Taylor, Seymour Brown, and Ricardo Bailey. The defendant’s organization supplied numerous upper and mid-level cocaine distributors, including Robert Wilson and Wilson’s partner Kenneth Harper. Wilson further supplied, among other individuals, Desmond Bice. Christopher Samuels worked with Bice in further distributing the cocaine.
On February 10, 2015, law enforcement monitored a vehicle utilized by the organization to transport kilograms of cocaine from Brooklyn to Rochester. Shortly before 2:30 pm, surveillance officers observed the vehicle arrive at 126 New Jersey Avenue in Brooklyn and depart about 15 minutes later. As agents executed a search warrant and arrested Gonzales at 126 New Jersey Avenue, other agents monitored the vehicle as it traveled to Rochester. Inside the Brooklyn residence, law enforcement officers found 17 kilograms of cocaine in a hydraulic secret compartment behind a wall with two handguns, including an UZI 9mm pistol. Agents also seized approximately $70,000 in U.S. currency wrapped in black tape and plastic wrap from a safe.
The vehicle was monitored as it traveled from Brooklyn to 54 Strong Street in Rochester, the center of the Rochester drug distribution activities. The trap car arrived at 54 Strong Street shortly after 10:00 pm. A few minutes later, officers executed search warrants on 54 Strong Street, the trap car, and 319 Alphonso Street. At 54 Strong Street, Mighty was taken into custody along with Bailey, who was the driver of the trap car in which officers later found one kilogram of cocaine in a hydraulic compartment behind the front center vent. Andre Taylor fled on foot running through the snow-covered backyards, and was taken into custody in the vicinity of 93 Tyler Street, a short distance away. Inside 54 Strong Street, a Glock .40 caliber semi-automatic handgun loaded with 11 rounds of live ammunition, 13 rounds of live .357 caliber ammunition, Western Union receipts, multiple cell phones, drug distribution paraphernalia, and $3,941 in U.S. currency were seized.
Brown was arrested at his residence at 319 Alphonso Drive in Rochester. During the search of that location, officers seized multiple cell phones, a loaded .357 caliber handgun, and $3,147 in U.S. currency. In total, over 17 kilograms of cocaine, $145,000 in U.S. currency, 15 handguns, and 16 pounds of marijuana were seized.
All defendants charged have been convicted.Today’s sentencing is the culmination of a joint federal and state wiretap investigation on the part of the Organized Crime Drug Enforcement Task Force, the Rochester Police Department, under the direction of Chief Michael Ciminelli, the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in- Charge Ashan Benedict, New York Field Division, and the Monroe County District Attorney's Office, under the direction of Sandra Doorley.
Rochester Man Pleads Guilty to Illegal Firearms PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Darien Bordeaux, 33, of Rochester, NY, pleaded guilty to being a felon in possession of a firearm and ammunition before U.S. District Judge Elizabeth A. Wolford. The charges carry a maximum prison sentence of 10 years, a fine of $250,000, or both.
Assistant U.S. Attorney Charles E. Moynihan, who is handling the case, stated that on October 22, 2016, Rochester Police Department officers were on patrol in the area of Curlew Street when they stopped a Dodge Grand Caravan because the registration had expired. The defendant was riding in the front passenger seat. The driver and co-defendant, Kalib Gladney, gave a false name when asked by officers. Bordeaux and Gladney were asked to get out of the van and officers searched it. Inside a jacket found on the floor, between the front passenger and driver seats, officers discovered a loaded Arminius Futche-Industre revolver with a defaced serial number. The defendant’s identification card was also found with the revolver. Bordeaux was previously convicted in 2004 of Robbery in the First Degree and is legally prohibited from possessing a firearm and ammunition.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief Michael Ciminelli 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 December 4, 2017, at 1:30 p.m. before Judge Wolford.
Rochester Man Pleads Guilty to Gun Charge in the Furtherance of Drug TraffickingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that David Triplett a/k/a Stuffy, 34, of Rochester, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to possession of a firearm in furtherance of a drug trafficking crime. The charge carries a mandatory minimum penalty of five years in prison, a maximum of life, a fine of $250,000 or both.
Assistant U.S. Attorney Robert Marangola, who is handling the case, stated that Triplett was arrested following the execution of a search warrant at his residence at 3 Athens Street in Rochester. During the search, law enforcement officers found over 380 envelopes containing heroin, 150 bags of cocaine, fentanyl, seven cell phones, and a .32 caliber revolver, as well as drug distribution paraphernalia, including digital scales, baggies, and chemicals for mixing drugs.
The plea is the result of an investigation by the Rochester Police Department under the direction of Chief Michael Ciminelli 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 December 4, 2017, at 3:30 p.m. before the Judge Wolford.
Realtor Pleads Guilty to Violating Lead-Based Paint Disclosure RulesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Maureen S. Walck, 72 of Lockport, NY, pleaded guilty to failure to provide lead paint hazard warning notice, before U.S. Magistrate Judge Jeremiah J. McCarthy. The charge carries a maximum sentence of one year in prison and a fine of $100,000.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that the defendant, a real estate broker with RealtyUSA, executed a contract on January 15, 2014, with the owner of a residence in Lockport, which gave the defendant the exclusive right to sell the residence. The residence was built in approximately 1900, and the owner was aware that lead-based paint hazards were present. The owner informed Walck of the hazards and showed a copy of the lead-based paint inspection reports to the defendant.
On January 25, 2014, a prospective buyer made an offer to purchase the residence. As part of the sales contract, a lead-based paint rider and disclosure form was included. Walck indicated that records pertaining to lead-based paint and/or lead-based paint hazards at the residence were provided to the prospective buyer. After an inspection of the residence, and after reviewing the lead-based paint records, the prospective buyer cancelled the sales contract.
On February 6, 2014, a second prospective buyer made an offer to purchase the residence. As part of the sales contract, another lead-based paint rider was included. However, unlike the rider with the first prospective buyers, Walck indicated that the seller had no knowledge of lead-based paint and/or lead-based paint hazards at the residence and that there were no records pertaining to lead-based paint and/or lead-based paint hazards for the residence. The second prospective buyers purchased the residence and closed on the residence on April 11, 2014. In September 2015, the new owners learned that their child was diagnosed with lead poisoning.
The plea is the result of an investigation on the part of Special Agents of the U.S. Environmental Protection Agency, Criminal Investigation Division, under the direction of Special Agent-In-Charge Tyler Amon, and Special Agents of the U.S. Department of Veterans Affairs, Office of Inspector General, Criminal Investigations Division, under the direction of Special Agent-in-Charge Donna L. Neves.
Sentencing is scheduled for December 11, 2017, at 10 a.m. before Magistrate Judge McCarthy.Buffalo Man Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Juan Oliverias-Arbelo, 28, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin, was sentenced to 24 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Meghan A. Tokash, who handled the case, stated that between July 2014, and September 28, 2015, the defendant became active in a heroin distribution organization. On 12 occasions, Oliverias-Arbelo sold heroin to undercover officers. In total, the undercover officers 51 bags of heroin. On each occasion, the undercover officer and Oliverias-Arbelo would make contact by telephone to arrange a controlled purchase of heroin. The defendant utilized a phone provided to him by the organization. Oliverias-Arbelo was intercepted by law enforcement utilizing a phone to sell heroin to other individuals as well, during this time period.
The 10 defendants charged in this case were street-level distributors or “runners” in a heroin distribution organization operated by Daniel Molina-Rios who was arrested in June 2015 along with Orlando Rios, Luis Montanez and Jose Andujar. The organization acquired heroin from the New York City area for distribution in Buffalo but also had an alternate heroin source locally. A total of 14 defendants have been indicted in connection with this case, eight have been convicted. Charges are pending against the remaining defendants. 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 by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the New York State Police Community Narcotics Enforcement Team (CNET), under the direction of Major David Krause and Lieutenant Kevin Reyes, CNET West Commander; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Buffalo Man Pleads Guilty to Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jose Dejesus, 35, of Buffalo, NY, pleaded guilty to possession with intent to distribute heroin and being a felon in possession of ammunition before U.S. District Judge Richard J. Arcara. The charges carry a maximum penalty of 30 years in prison and a $250,000 fine.
Assistant U.S. Attorney Paul C. Parisi, who handled the case, stated that on November 10, 2016, Buffalo Police officers executed a search warrant at 224 Virginia Street. After entering the residence, officers found the defendant in the rear bedroom. Officers recovered 16 envelopes containing heroin, 17 pieces of paper containing cocaine, and a plastic bag of marijuana. Officers also found a digital scale and packaging materials in the rear bedroom as well as a 12-gauge shotgun and ammunition. Dejesus was convicted in state court of a felony in 2003 and is prohibited from legally possessing ammunition.
The plea is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Daniel Derenda 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 December 14, 2017 before Judge Arcara.
Nurse Practioner Sentenced on Drug ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Brandon Coburn, 34, of West Seneca, NY, who was convicted of conspiracy to possess with intent to distribute and to distribute fentanyl, was sentenced to 108 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that between July 2013 and May 2015, Coburn, a licensed nurse practitioner who was legally authorized to prescribe controlled substances, provided fraudulent fentanyl, oxycodone, oxymorphone, and amphetamine prescriptions to nine co-defendants. Those prescriptions were not used for legitimate medical purposes and instead were filled by the co-defendants and sold on the street in the Buffalo area. Coburn issued a total of 253 prescriptions without any legitimate medical purpose.
To date, eight of the 10 people charged in this case have been convicted. 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 sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division.
Webster Man Sentenced on Methamphetamine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. James P. Kennedy, Jr. announced today that Brian Donaldson, 50, of Webster, NY, who was convicted of conspiracy to possess with intent to distribute five grams or more of methamphetamine, was sentenced to 51 months in prison by U.S. District Court Judge William M. Skretny.
Assistant U.S. Attorney Michael J. Adler, who handled the case, stated that the Drug Enforcement Administration received a tip regarding the drug trafficking activities of the defendant and his co-defendant Pablo Ulloa. On October 27, 2016, Hamburg Police conducted surveillance at a local motel where the defendants were staying. At approximately 9:15 p.m., Donaldson left the motel and was subsequently pulled over in a traffic stop by Hamburg officers. A search of the vehicle recovered a small quantity of methamphetamine, and a lock box, which contained a much larger quantity of methamphetamine.
A search was then conducted of the motel room where Donaldson and Ulloa were staying. During that search, officers recovered more containers of methamphetamine, several cellular telephones, drug packaging materials, a scale and pipes.
Pablo Ulloa has also been convicted, and he is scheduled to be sentenced November 1, 2017.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division and the Hamburg Police Department, under the direction of Chief Gregory Wickett.
Queens Man Sentenced for Stealing from the GovnermentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Charles Novak, 29, of Queens, NY, who was convicted of theft of government money, was sentenced to 12 months in prison by U.S. District Judge Elizabeth Wolford.
Assistant U.S. Attorney Kyle Rossi, who handled the case, stated that Novak conspired with others to cash multiple, forged U.S. Postal money orders in the Rochester and Syracuse, NY areas in 2016. The money orders had been altered and fraudulently raised in value from $1.51 to $1,000 each. During the scheme, Novak and others stole more than $48,000 from the United States Postal Service.
The defendant was identified when he presented a forged money order to a clerk at the Jefferson Road Post Office in Henrietta, NY. When a Postal Inspector approached Novak, he fled from the scene. During the ensuing chase, the defendant dropped a cell phone, which Postal Inspectors recovered and searched. The phone was logged on to the defendant’s Facebook account and Postal Inspectors retrieved his name and photograph. Novak was taken into custody in New York City in August 2016.
The sentencing is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski of the Boston Division; and the Monroe County Sheriff’s Office, under the direction of Patrick O’Flynn.
Olean Man Pleads Guilty to Heroin and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.–Acting U.S. Attorney James P. Kennedy, Jr. announced today that Giovanni Salmonson, 26, of Olean, NY, pleaded guilty to possession with intent to distribute heroin, and being a felon in possession of a firearm before U.S. District Judge Richard J. Arcara. The charges carry a maximum penalty of 30 years in prison and a $2,000,000 or both.
Assistant U.S. Attorney Patricia Astorga, who is handling the case, stated that on January 1, 2015, Olean Police responded to a trespassing complaint near the 200 block of North 1st Street. Upon arrival, an officer defendant near 225 North 1st Street and asked Salmonson to step out of the roadway and up onto the curb. The defendant took off running. While he was running away, the officer noticed that Salmonson was wearing a black Nike backpack/drawstring bag. A foot chase ensued and the defendant entered a backyard at 121 North 2nd Street after throwing the black Nike bag over a fence into another yard. An officer ordered Salmonson to the ground, and the defendant complied. After retrieving the bag, officers recovered a .22 caliber revolver from inside. Subsequently, officers also recovered 14 bags of heroin, six suboxone pills and $851 dollars in United States currency.
The plea is the culmination of an investigation on the part of the Olean Police Department, under the direction of Chief Jeff Rowley; 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 December 11, 2017, before Judge Arcara.Niagara Falls Man Pleads Guilty to Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that James Smith, 25, of Niagara Falls, NY, pleaded guilty to being a felon-in-possession of a firearm before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that on February 25, 2016, New York State Parole Officers and others conducted a search at Smith’s residence on Orleans Avenue in Niagara Falls. The defendant was under the supervision of New York State Parole following a July 2010 federal conviction and an August 2014 Niagara County Conviction.
As officers entered, Smith attempted to go into the basement. The defendant was stopped and the basement was searched. Officers recovered a Colt, .32 caliber, semi-automatic handgun with a magazine loaded with two rounds of ammunition. As a result of his previous convictions, Smith is prohibited from legally possessing a firearm.
The plea is the result of an investigation by 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 New York State Parole.
Sentencing is scheduled for December 13, 2017, at 1:00 p.m. before Judge Arcara.
Buffalo Man Pleads Guilty to Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jose Feliciano-Miranda, 36, of Buffalo, NY, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to: conspiracy to possess with intent to distribute, and to distribute, heroin and cocaine: and possession of firearm in furtherance of drug trafficking crime. The charges carry a minimum penalty of 10 years in prison, a maximum of life, and a $5,000,000 fine.
Assistant U.S. Attorney Wei Xiang, who is handling the case, stated that between April 2015, and April 2016, co-defendant Manuel Freire coordinated the receipt, and subsequent distribution, of wholesale quantities of heroin and cocaine in Buffalo from sources in Puerto Rico and elsewhere. Feliciano-Miranda assisted Freire in both receiving and distributing the drugs.
On April 24, 2015, federal law enforcement officers intercepted a parcel that was mailed from Puerto Rico and destined for a residence on Hudson Street in Buffalo. A half a kilogram of cocaine was hidden in speakers contained in the parcel. Two other co-conspirators, who, at Freire’s direction, went to retrieve the parcel were arrested.
On May 7, 2015, federal law enforcement officers intercepted a parcel that was mailed from Puerto Rico and destined for a residence on Manhattan Avenue in Buffalo. Once again, cocaine (one kilogram) was hidden in speakers in the parcel. However, Manuel Freire noticed what he believed to be police surveillance and the package was not retrieved.
In early 2016, Feliciano-Miranda and Freire began selling heroin out of 247 Niagara Street in Buffalo. A search warrant was executed on April 1, 2016, and officers recovered a kilogram of heroin that Freire had stored there. Another search warrant was executed at a residence on Byrd Way, which led to the recovery of a loaded firearm.
Manuel Freire has been convicted and is awaiting sentencing.
The plea is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Daniel Derenda; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the Erie County Sheriff’s Office, under the direction of Timothy Howard; the Federal Bureau of Investigation Safe Streets Task Force, under the direction of Special Agent-in-Charge Adam S. Cohen; and the United States Postal Inspection Service, under the direction of Boston Division Inspector-in-Charge Shelly A. Binkowski.
Sentencing is scheduled for December 12, 2017, before Judge Wolford.
Bronx Man Sentenced on Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Christian O. Dalmau, 31, of Bronx, NY, who was convicted of possession of a firearm by an unlawful user of a controlled substance, was sentenced by U.S. District Judge Richard J. Arcara to 120 months in prison.
Assistant U.S. Attorney Wei Xiang, who handled the case, stated that on the night of January 5, 2014, Dalmau was the sole passenger in a GMC Yukon vehicle that was being driven by another individual when the Yukon was stopped by Buffalo Police officers near Bailey and Cloverdale Avenues. The Yukon contained a hydraulic hidden compartment or “trap” in its cargo area. Inside the trap was a Taurus, 9mm semi-automatic handgun loaded with 13 rounds of ammunition.
Also inside the trap in the Yukon were three foil packets that each contained eight oxycodone pills, pills, which were consistent in appearance with other oxycodone pills Dalmau left in the backseat of the Buffalo Police car in which he had been placed. Dalmau admitted to being addicted to the pills.
The traffic stop occurred less than 20 minutes after the shooting murder of Dustin Ortiz-Maldonado on Newfield Street. After a sentencing hearing, Judge Arcara declined to find whether Dalmau used the firearm in the commission of the murder, that is, to find whether Dalmau was the shooter. The Court, however, did find by a preponderance of the evidence that Dalmau possessed the firearm in connection with the murder. Therefore, the Court sentenced Dalmau in accordance with the homicide guidelines.
The sentencing is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division: the Buffalo Police Department, under the direction Chief Daniel Derenda: and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Niagara Falls Man Pleads Guilty to Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that James Smith, 25, of Niagara Falls, NY, pleaded guilty to being a felon-in-possession of a firearm before U.S. District Judge Richard J. Arcara. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that on February 25, 2016, New York State Parole Officers and others conducted a search at Smith’s residence on Orleans Avenue in Niagara Falls. The defendant was under the supervision of New York State Parole following a July 2010 federal conviction and an August 2014 Niagara County Conviction.
As officers entered, Smith attempted to go into the basement. The defendant was stopped and the basement was searched. Officers recovered a Colt, .32 caliber, semi-automatic handgun with a magazine loaded with two rounds of ammunition. As a result of his previous convictions, Smith is prohibited from legally possessing a firearm.
The plea is the result of an investigation by 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 New York State Parole.
Sentencing is scheduled for December 13, 2017, at 1:00 p.m. before Judge Arcara.
Buffalo Man Sentenced on Heroin ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y. — Acting U. S. Attorney James P. Kennedy, Jr. announced today that Dellsean Hamilton, 28, of Buffalo, NY, who was convicted of conspiracy to possess with intent to distribute, and distribution of, heroin and fentanyl and being a felon in possession of a firearm, was sentenced to 100 months in prison and six years supervised release by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Timothy C. Lynch, who handled the case, stated that between March 2015, and February 29, 2016, the defendant conspired with Brittney Ridgeway and others to sell heroin and fentanyl. During the course of the conspiracy, Hamilton and Ridgeway regularly sold heroin, fentanyl, and butyryl fentanyl in the Buffalo and Cheektowaga areas. On March 25, 2015, Cheektowaga Police conducted a traffic stop of a vehicle occupied by Ridgeway, the defendant and a juvenile and recovered $2,315 in cash. Ridgeway was found with 141 envelopes containing nearly four grams of fentanyl.
On July 15, 2015, the Erie County Sheriff’s Narcotics Unit executed warrants at two residences linked to Hamilton. At 16 Dash Street, deputies seized drug paraphernalia, including wax envelopes commonly used to package heroin. At 75 Edison Street, they seized approximately 2,000 wax envelopes containing approximately 50 grams of heroin, additional envelopes containing more than a gram of a mixture of heroin, fentanyl, and butyryl fentanyl, three firearms, and a digital scale.
Hamilton was arrested on state charges and while on bail, the defendant and Ridgeway continued their narcotics trafficking activities. On December 11, 18 and 23, 2015, Hamilton sold butyryl fentanyl to a confidential source working with the Drug Enforcement Administration and the Cheektowaga Police Department. This resulted in a federal search warrant and arrest warrant. On January 11, 2016, the defendant was arrested and found in possession of a large amount of cash and baggies containing approximately a gram of fentanyl. Inside of Hamilton’s vehicle, which was occupied by Ridgeway, officers seized approximately $5,000 in cash. During a subsequent search of Hamilton’s residence at 1150 East Lovejoy in Buffalo, officers seized a semi-automatic pistol and ammunition.
While incarcerated on the federal charges, Hamilton continued his drug trafficking activities with Ridgeway. Specifically, during a recorded jail call between the two, Hamilton instructed Ridgeway not to consent to the search of a residence again. Ridgeway then continued trafficking heroin as Hamilton had done prior to his incarceration. On February 4 and 11, 2016, Ridgeway sold butryrl fentanyl and fentanyl, respectively, to a confidential source working with DEA and the Cheektowaga Police Department.
Brittney Ridgeway was convicted and sentenced to time served (approximately 16 months) in prison.
Today’s sentencing is the culmination of an investigation by the Cheektowaga Police Department, under the direction of Chief David Zack; the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard; and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.
Two California Men Indicted on Cocaine ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a three-count indictment charging Armando Ernesto Abarca, 21, of Modesto, California, and Raul Everado Ledesma Abarca, 34, of San Diego, California with conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine, possession with intent to distribute five kilograms or more of cocaine, and maintaining a drug-involved premises. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the indictment, between September 2014, and September 2016, the defendants conspired with others to possess and distribute cocaine. The defendants are also accused of renting a storage unit in Amherst, NY to store the cocaine.
The defendants were arraigned before U.S. Magistrate Judge Michael J. Roemer and are being held.
The indictment is the culmination 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.
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.
Former Postal Carrier Sentenced for Bribery, Drug Distribution and Delay of MailRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-305BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Briana Fugate, 27, of Cheektowaga, N.Y., who was convicted of bribery, distribution of marijuana, and delay of mail, was sentenced to 12 months by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Wei Xiang, who handled the case, stated that Fugate accepted bribes to help deliver what she believed to be drug shipments from the west coast, and that, as she learned to recognize drug parcels, she opened some and sold their contents herself. Fugate was a mail carrier for the United States Postal Service and had worked out of the Central Park Station Post Office in the City of Buffalo. The defendant was arrested following an undercover operation in 2015, when she distributed a pound of stolen marijuana out of her mail truck, while working her postal route. After law enforcement agents arrested Fugate, they discovered over 1,500 pieces of mail in her car that had not been delivered. Fugate was on probation for a state larceny conviction during this conduct.
The sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the United States Postal Inspection Service, under the direction of Inspector-in-Charge Shelly Binkowski; the United States Postal Service, Office of the Inspector General, under the direction of Special Agent-in-Charge Monica Weyler, Eastern Area Field Office, Philadelphia, PA; and Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Jamestown Man Sentenced on Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Taylor Larson, 32, of Jamestown, NY, who was convicted of possession with intent to distribute 500 grams or more of cocaine, was sentenced to 120 months in prison by U.S. District Judge Lawrence J. Vilardo.Assistant U.S. Attorney Joel L. Violanti, who handled the case, stated that on May 19, 2015, the Jamestown Police Department and the Drug Enforcement Administration (DEA) executed a search warrant, which authorized the search of defendant’s residence on Keller Road in Ashville, NY and his 2005 gray Saab sedan and Jeep Liberty. During the search of the residence, officers found approximately 21 grams of cocaine in an upstairs bedroom, along with a roll of camouflage tape, baggies, and a scale. An additional 36 grams of cocaine was found inside the Saab, and approximately 286 grams of cocaine was found inside the Jeep.
Subsequently, officers searched a vacant apartment located immediately behind the defendant’s residence and recovered an additional 300 grams of cocaine. The cocaine was wrapped in the same camouflage duct tape that was found earlier in the defendant’s residence. Combined, over 500 grams of cocaine was seized from the defendant’s residence, Saab, Jeep, and back vacant apartment.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Jamestown Police Department, under the direction of Chief Harry Snellings.
Canadian Man Pleads Guilty to Marijuana ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jean Luc Gaudreau, 39, of Ottawa, Canada, pleaded guilty before U.S. District Judge Richard J. Arcara to importing more than 100 kilograms of marijuana into the United States.Assistant U.S. Attorneys Paul Bonanno and Patricia Astorga, who are handling the case, stated that on February 1, 2006, the defendant imported approximately 498 pounds of marijuana into the United States from Canada at the Lewiston Bridge Port-of-Entry. During primary inspection, Gaudreau, a Canadian citizen and truck driver for a Canadian freight company, gave a Customs and Border Protection officer a manifest listing four shipments. During a secondary inspection, CBP officers performed a gamma ray scan of the defendant’s truck, which revealed a fifth shipment in the truck that was not listed on the manifest. The fifth shipment comprised 14 cardboard boxes filled with vacuum-sealed bags of marijuana.
The plea is the result of an investigation by Customs and Border Protection, under the direction of Rose Brophy, Director of Field Operations, and Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
Sentencing is scheduled for January 19, 2018, before Judge Arcara.
Buffalo Woman Pleads Guilty to StructuringRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jessica Lopez, 28, of Buffalo,, NY, pleaded guilty to structuring before Senior U.S. District Judge William M. Skretny. The charge carries a maximum penalty of five years prison.Assistant U.S. Attorney Joel L. Violanti, who is handling the case, stated that between July 2012, and January 18, 2013, the defendant, who was working as a teller at Bank of America, knowingly structured bank deposits for co-defendant Steven Bennett in an attempt to avoid the bank’s transaction reporting requirements for cash deposits exceeding $10,000. Specifically, Bennett, or his associates, would provide the proceeds from their unlawful sales of controlled substance to the defendant who, in turn, would make cash deposits into bank accounts related to Bennett. The total amount of cash deposits structured by the defendant amounted to approximately $85,300.
Steven Bennett has been convicted and is awaiting sentencing.
The plea is the result of an investigation by the Drug Enforcement Agency, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent in Charge, New York Field Office.
Sentencing is scheduled for December 13, 2017, at 11:00 a.m. before Judge Skretny.
Buffalo Men Plead Guilty to Conspiring to Commit Bank FraudRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Michael Rosier, 23, and Cody Kross-Rosier, 23, both of Buffalo, NY, pleaded guilty to conspiracy to commit bank fraud and bank fraud before U.S. District Judge Richard J. Arcara. The charges carry a maximum penalty of 30 years in prison and a $1,000,000 fine.
According to Assistant U.S. Attorney MaryEllen Kresse, who is handling the case, between January and March 2014, Rosier and Kross-Rosier conspired with others to defraud and fraudulently obtain money and funds from federally insured financial institutions. As part of the scheme, the defendants used existing bank accounts and opened new accounts at six financial institutions in order to obtain and attempt to obtain money, services and merchandise totaling over $120,000. Rosier and Kross-Rosier floated checks between the accounts in an effort to prevent the financial institutions from discovering that there were insufficient funds to cover checks deposited into and written on the accounts.
The plea is the culmination of an investigation by the United States Secret Service, under the direction of Special Agent-in-Charge Lewis Robinson.
Sentencing is scheduled for November 13, 2017, before Judge Arcara.
Buffalo Man Sentenced on Cocaine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Michael Early, 32, of Buffalo, NY, who was convicted of possession with intent to distribute cocaine, was sentenced to 72 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Joel L. Violanti, who handled the case, stated that on September 27, 2013, the Drug Enforcement Agency and Buffalo Police Department executed search warrant at 66 Connelly Avenue in Buffalo. During the search, officers found crack cocaine and $6,495 in cash.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda.
Rochester Man Arrested for Selling Counterfeit CoinsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Timothy Meacham, 32, of Rochester, NY, was arrested and charged by criminal complaint with fraudulently selling counterfeit coins. The charge carries a maximum penalty of 15 years prison and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that according to the complaint, in May 2017, Meacham posted an ad on Craigslist advertising the sale of two genuine United States gold collector coins. The defendant used a false name and concealed his phone number in the ad in order to hide his identity. The victim, a Pennsylvania man, contacted Meacham and traveled to Rochester on May 15, 2017, at which time he purchased the counterfeit coins for $5,000.00 cash.
As part of the fraud, Meacham falsely represented that the coins were authentic and had been passed to Meacham from his deceased grandfather. The defendant also falsely represented that he needed to sell the coins in order to pay for funeral expenses related the unexpected death of a family member. Upon his return to Pennsylvania, the victim discovered that the coins were counterfeit and contacted the United States Secret Service in Rochester.
The defendant made an initial appearance today before U.S. Magistrate Judge Marian W. Payson and was released on conditions.
The criminal complaint is the result of an investigation by the United States Secret Service, under the direction of Special Agent-in-Charge Lewis Robinson.
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.
Niagara Falls Man Arrested on Gun ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051
BUFFALO, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Antonio Carr, 24, of Niagara Falls, NY, was arrested and charged by criminal complaint with being a felon in possession of a firearm. The charge carries a maximum penalty of 10 years prison and a $250,000 fine.Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that according to the complaint, on July 28, 2017, Niagara County Probation Officers performed a home visit for a woman living at 1224 Niagara Avenue, Upper Apartment, in Niagara Falls. As they entered the residence, officers observed the defendant, the probationer's boyfriend, in the bedroom of the apartment. Carr attempted to leave the apartment, telling officers he needed to go and get his children who were in the lower apartment. An officer accompanied the defendant, who was holding a blue jacket in his hand, to the lower apartment. Carr knocked on the door and handed the blue jacket to the occupant of the lower apartment. The officer witnessed the occupant of the lower apartment take the blue jacket down a hallway and place it on a staircase. When the officer asked the occupant of the lower apartment for the blue jacket, they denied having it. The occupant eventually turned it over. The officer discovered a .380 caliber pistol in the right inside pocket of the jacket.
Carr has a previous felony conviction in Niagara County Court and is legally prohibited from possessing a firearm.
The defendant made an initial appearance today before U.S. Magistrate Judge Jeremiah J. McCarthy and is being held pending a detention hearing on August 22, 2017, at 2:00 p.m.
The criminal complaint is the result of an investigation by the Niagara County Probation Office, under the direction of Director John Cicchetti; the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto; and the Bureau of Alcohol, Tobacco. Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, 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.
Oklahoma Man Sentenced in Connection to A Fraud SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Donnie Heilig, 48, of Oklahoma City, OK, who was convicted of conspiracy to commit wire fraud, was sentenced to eight months home detention and three years probation by U.S. District Judge Richard J. Arcara. The defendant was also ordered to pay $147,004 in restitution.
Assistant U.S. Attorney Marie P. Grisanti, who is handling the case, stated that Heilig and co-defendant Ann Nichols utilized a business entity known as CED Computer Services (CED) fraudulently to obtain loans for clients in the form of equipment “leases.” Another co-defendant, Wilfredo Sanio, operated a business in Georgia known as SCF Funding, which acted as a broker and brought clients to CED Computer Services.
Heilig and Nichols falsely advised lease finance companies that CED was selling new equipment to clients and prepared fraudulent invoices for new equipment when, in fact, no equipment or inferior equipment was actually being provided. Upon receipt of the funding from the finance companies, defendant Nichols gave a commission to Heilig, herself, and Sanio, from the lease proceeds and sent the majority of the remaining proceeds to the client.
Ann Nichols and Wilfredo Sanio have been convicted of wire fraud and are awaiting sentencing.
Today’s sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen.
Cheektowaga Man Pleads Guilty to Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y. – Acting U.S. Attorney James P. Kennedy, Jr. announced today that Raymond Crum, 63, of Cheektowaga, NY, pleaded guilty to possession and receipt of child pornography before U.S. District Judge Lawrence J. Vilardo. The charges carry a mandatory minimum penalty of five years in prison, a maximum of 20 years and a $250,000 fine.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that the defendant victimized three underage females, a 12-year-old and two 15-year-olds, that he met online. Crum also communicated with the victims via text and telephone. The defendant and the victims engaged in sexually explicit communications and entered into a dominant/submissive relationship in which Crum was the dominant figure. During their communications, the victims sent the defendant sexually explicit images. Crum was aware that the victim were minors at the time he received the images.
On August 5, 2015, a search warrant was executed at the defendant’s residence in Buffalo. Officers seized two computers and a tablet. A forensic examination revealed child pornographic images and videos of the three minor victims and contained communications between the defendant and the victims. In total, Crum possessed approximately 97 images and 34 videos of child pornography.
The plea is the result of an investigation by Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in- Charge Kevin Kelly and the Buffalo Police Department, under the direction of Commissioner Daniel Derenda. Assistance was also provided by the Bardstown, Kentucky Police Department.
Sentencing is scheduled for December 6, 2017, at 10:00 a.m. before Judge Vilardo.
3rd “Fast Cash Tax” Employee Pleads Guilty to Conspiring to Defraud IRSRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Ashley Walker, 33, of Rochester, NY, pleaded guilty to conspiring to defraud the Internal Revenue Service, before U.S. District Judge Elizabeth A. Wolford. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that Jason Jimenez owned an income tax return preparation business known as Fast Cash Tax. Jimenez hired Walker and trained her to prepare false tax returns. From January 2012 to April 2014, when Walker withdrew from the conspiracy, Walker and other employees of Fast Cash Tax prepared false tax returns on behalf of numerous clients. The tax returns were falsified to increase the amount of the Earned Income Tax Credit claimed, which yielded larger refunds for the clients than they were entitled to receive. During the period of Walker’s participation, the conspiracy netted approximately $95,180 in fraudulently obtained refunds. Jason Jimenez has been convicted and is awaiting sentencing.
The plea is the result of an investigation by Special Agents with the Internal Revenue Service, under the direction of Special Agent-in-Charge James D. Robnett.
Sentencing is scheduled for December 11, 2017, at 2:00 p.m. before Judge Wolford.
Buffalo Man Sentenced in Connection with Drug Trafficking Ring Linked to A Mexican Drug CartelRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.-Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jose Manuel Lua Guizar, 27, of California, pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, five kilograms or more or cocaine, and money laundering conspiracy before U.S. District Judge Elizabeth A. Wolford. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life and a $10,000,000 fine. In addition, co-defendant Bryant Hudson, 37, of Tonawanda, NY, who was convicted of structuring transactions, was sentenced to 33 months in prison by Judge Wolford.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between February 2014, and April 2015, the defendant obtained multiple kilograms of cocaine to distribute in cities including Buffalo, and Chicago, IL. Guizar received Fed-Ex packages, which typically contained two kilograms of cocaine. The packages were addressed to his name or the name of a co-conspirator. The defendant would then sell the cocaine to local area drug traffickers.
In August 2014, the defendant was detained in the Minneapolis Airport with a co-defendant on their way to Chicago after the two had been in Buffalo just days prior. During this detention, a drug ledger was seized along with over $12,000 in U.S. currency, which were the proceeds of drug sales. Most of the drug proceeds were sent back to California by structured deposits under the $10,000 reporting requirement in Bank of America accounts. The defendant made over 40 structured deposits (mostly amounts of $9,900) in Buffalo alone. Guizar traveled, sometimes with co-defendant Hudson, to various Bank of America branches to make these deposits. Surveillance footage shows the defendant making such deposits. Hudson assisted in the depositing of drug proceeds in accounts at Bank of America branches in the Buffalo area in order to move the proceeds from Buffalo to California and avoid detection.
Guizar and his co-conspirators accounted for over $1,000,000 in structured deposits in Buffalo, and over $10,000,000 in structured deposits nationwide during this timeframe. A ledger for structured deposits was recovered from a stash house in California. This ledger listed deposits made into various accounts. In that stash house, law enforcement recovered Fed-Ex packaging materials, 21 kilograms of cocaine, and three kilograms of heroin. Law enforcement also recovered multiple kilograms of cocaine and heroin from packages that were supposed to be shipped to co-conspirators of the defendant.
A total of nine defendants have been indicted in this sophisticated drug trafficking organization with ties to a Mexican drug cartel operating out of the Los Angeles, California area. The organization shipped drugs to various states including New York, New Jersey, Illinois, Colorado, and Ohio. To date, two defendants have been convicted. Charges are pending against the remaining defendants. 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 and sentencing are the culmination 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.Guizar’s sentencing is scheduled for December 12, 2017, at 10:00 a.m. before Judge Wolford.
Canadian Man Sentenced in Connection with Trafficking More Than $130,000,000.00 Worth of Cocaine and Other Illegal DrugsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051BUFFALO, N.Y.—Acting U.S. Attorney James P. Kennedy, Jr. announced today that Harinder Dhaliwal, 47, of Brampton, Ontario, Canada, who was convicted of conspiracy to export from the United States five kilograms or more of cocaine, was sentenced to 240 months in prison by Senior U.S. District Judge William M. Skretny.
Assistant U.S. Attorney Timothy C. Lynch, who handling the case, stated that between 2006 and May 2011, Dhaliwal conspired with others to smuggle cocaine into Canada from the United States and marijuana and ecstasy into the United States from Canada via several international bridges including those in the Buffalo-Niagara region. As part of his plea agreement, Dhaliwal admitted to being part of an international conspiracy that trafficked more than 3,000 kilograms of cocaine, most of it through the Western District of New York, worth an estimated $120,000,000.00.
Through the course of the investigation, United States law enforcement officers recovered a combined 230 kilograms of cocaine. Of that amount, 123 kilograms of cocaine, which represents the largest seizure arising from a single investigation in the District’s history, were obtained through two separate seizures occurring at the Lewiston-Queenston Bridge and in Geneva, NY. The remaining 107 kilograms were seized in California. In addition, law enforcement officers seized approximately 690,000 ecstasy pills during the course of the investigation with an estimated street value of $12,000,000.00.
Also charged in the conspiracy and convicted were Ravinder Arora, Michael Bagri, Parminder Sidhu, Alvin Randhawa, Gursharan Singh, and Huy Hoang Nguyen.
The defendants utilized tractor-trailers that contained false compartments within the floor of tractor-trailers. Dhaliwal and others purchased steel tubing, kick plates and other supplies to fabricate the false compartments in several tractor-trailers. In addition to cocaine, the tractor-trailers were used to transport ecstasy and hundreds of pounds of marijuana into the United States from Canada. Drug ledgers seized during the investigation detailed approximately a dozen smuggling trips, during late 2009 to September 2010, involving approximately 1,617 kilograms of cocaine being transported from the United States, through the Western District of New York, into Canada.
“The rigorous efforts of our law enforcement partners both here in the United States and Canada shut down this dangerous pipeline of drug activity that flowed from California to Buffalo and across the border,” said Acting U.S. Attorney Kennedy. “Those efforts kept literally thousands of kilograms of cocaine and more than half a million ecstasy pills off the streets in both our community and elsewhere.”
“Today’s sentencing is a significant development in a years-long investigation that resulted in significant seizures of narcotics, weapons and arrests in the U.S. and Canada,” said ICE-HSI Special Agent-in-Charge Kevin Kelly. “Transnational investigations like this one help ensure that our shared border with our Canadian partners remains transparent to law enforcement and simultaneously a hindrance to criminal groups.”
Today’s sentencing is the result of an investigation by Special Agents of Immigration and Customs Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; Officers from the United States Customs and Border Protection, under the direction of Rose Brophy, Director of Field Operations; the Peel Regional Police Department, under the direction of Chief Jennifer Evans; the Canada Border Services Agency, under the direction of Rick Comerford, Regional Director General, Southern Ontario Region; and the Toronto Police, under the direction of Chief William Blair.
Irondequoit Man Pleads Guilty to Failing to Pay TaxesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y. - Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Cannizzo, 54 of Irondequoit, NY, pleaded guilty to willfully failing to pay a tax before U.S. District Charles J. Siragusa. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that the defendant owned and operated Cannizzo Contacting Corporation, an electrical contracting business. Cannizzo and his business served as an in-house electrical contractor for the company. The Company agreed to pay Cannizzo and his business a wage of approximately $40 per hour for each employee, including defendant. Cannizzo made money from this arrangement by paying his employees less than $40 per hour for their work, in addition to the $40 per hour that defendant earned from his work there.
The defendant's business earned significant income from his arrangement with the Company, and was required to make estimated payroll tax payments. Cannizzo contracted with Paychex to handle the weekly payroll processing, including payments of payroll taxes. In 2002, Paychex stopped paying Cannizzo Contracting Corporation’s business payroll taxes, but continued to process the payroll, informed defendant of the estimated payroll tax payments owed, and provided him with copies of Employer’s Quarterly Federal Tax Returns – Form 941—for each quarter from 2007 forward. The defendant however failed to make the estimated payroll tax payments on behalf of his business. Cannizzo failed to pay a total of $135,360.62 to the Internal Revenue Service.The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent in Charge, New York Field Office.
Sentencing is scheduled for December 11, 2017, at 9:15 a.m. before Judge Siragusa.
Employee of “Fast Cash Tax” Pleads Guilty to Conspiring to Defraud the IRSRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX: (716) 551-3051ROCHESTER, N.Y.- Acting U.S. Attorney James P. Kennedy, Jr. announced today that Jessica Rosario, 36, of Rochester, NY, pleaded guilty to conspiring to defraud the Internal Revenue Service, before U.S. District Judge Elizabeth A. Wolford. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that Rosario was an employee of an income tax return preparation business known as Fast Cash Tax, which was owned and operated by Jason Jiminez.
Between January 2012 and February 2015, Jiminez conspired with other employees of Fast Cash Tax, including Rosario, to prepare false tax returns on behalf of numerous clients. The returns were falsified to increase the amount of the Earned Income Tax Credit claimed, which yielded larger refunds for the clients than they were entitled to receive. In total, the conspiracy netted approximately $105,000 in fraudulently obtained refunds.
The plea is the result of an investigation by Special Agents with the Internal Revenue Service, under the direction of Special Agent-in-Charge James D. Robnett.
Sentencing is scheduled for December 8, 2017, at 10:00 a.m., before Judge Wolford.