Northern District of Ohio
Press releases recorded for this federal judicial district.
Men from Chardon and Cleveland charged with child pornography crimesRead the Press Release
Two people – one from Chardon, the other from Cleveland – were indicted for unrelated child pornography crimes.
Joshua A. O’Brian, 28, of Chardon, was charged with receiving visual depictions of minors engaged in sexually explicit conduct and transferring obscene materials to minors.
O’Brian knowingly received numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. This took place between March and November 2017. O’Brian also knowingly transferred obscene matter to a minor female in Pennsylvania during the same time period, according to the indictment.
David M. Richards, 61, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct.
Richards in October 2017 knowingly received and distributed numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. On Feb. 21, 2018, Richards possessed an HP Pavilion laptop computer that contained child pornography, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
Both cases are being prosecuted by Assistant U.S. Attorney Carol M. Skutnik. The O’Brian case was investigated by the FBI while the Richards case was investigated by the Department of Homeland Security, Homeland Security Investigations.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum. This case is being prosecuted by Assistant United States Attorney Carol M. Skutnik.
A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Five more people indicted for role in drug conspiracy in which $2.1 million and five firearms were seizedRead the Press Release
Five people were added to a now 39-count indictment for their roles in a conspiracy to distribute at least 220 pounds of marijuana and 345 pills of Oxycodone in Northeast Ohio, law enforcement officials said.
Indicted are Amer Jabir, 37; Ahmad Jabir, 22; Aymen Abdelrahim, 28, and Gerald Knox, 37, all of Cleveland.
Added to the indictment are Jaber Hammouda, 33, of North Olmsted, Amran Jabir, 30, of Chicago; Ahmad Abukhalil, 37, of Lakwood; Mohamed Mansour, 27, of Olmsted Falls, and Alaa Hassan, 23, of Westlake. All nine are charged with conspiracy to possess with intent to distribute least 100 kilograms of marijuana and 345 pills of Oxycodone between 2015 and 2018.
There are additional charges for distribution of marijuana, distribution of Oxycodone, and related charges. Knox is charged with possession of a firearm related to drug trafficking and being a felon in possession of a firearm.
The indictment also seeks to forfeit more than $2.1 million in cash, five firearms, a 2015 Range Rover, a $5,000 casino poker chip and miscellaneous jewelry seized from locations in Cleveland, North Olmsted and Chicago as part of the investigation.
Amer Jabir was the leader of an organization that brought hundreds of pounds of marijuana from grow operations in California to Chicago and then Cleveland. The marijuana was hidden in secret trap compartments in vehicles that were then placed in the back of car haulers, according to court documents.
Some of the pills and marijuana were sold by Aymen Abdhelrahim, from a gas station on West 25th Street where Abdelrahim worked as a clerk, according to court documents.
“This case demonstrates how drugs are moved across the country, from California to a gas station on West 25th Street,” U.S. Attorney Justin Herdman said. “It also exemplifies how drug traffickers use firearms to protect their millions of dollars in drug profits.”
“This group of individuals profited millions of dollars from transporting and selling oxycodone and marijuana in our community,” said FBI Special Agent in Charge Stephen D. Anthony. “They drove fancy cars and utilized an expensive apartment in Chicago to store their illegal narcotics. The FBI applauds the cooperative efforts by all law enforcement agencies involved in this investigation.”
If convicted, the defendants’ sentences will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the Federal Bureau of Investigation, the North Olmsted Police Department, the Westlake Police Department, the Ohio State Highway Patrol, U.S. Customs and Border Protection and the Westshore Enforcement Bureau. It is being handled by Assistant U.S. Attorneys Justin Seabury Gould and Robert F. Corts.
An charge is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Cleveland man indicted twice for firearms crimes; also had crack cocaineRead the Press Release
A Cleveland man was indicted for two separate firearms crimes, as well as one involving drugs, U.S. Attorney Justin E. Herdman said.
Darren M. Monroe, Jr., 30, was indicted on one count of illegal possession of ammunition and by a felon and possession of crack cocaine with intent to distribute. In a separate indictment, he was charged with being illegal possession of a firearm by a felon.
Monroe had five rounds of .22 caliber ammunition and crack cocaine base on November 1, 2016. He also possessed an H&R .22 caliber revolver and ammunition on January 27, 2018, according to the indictments.
Monroe is prohibited from possessing a firearm or ammunition because of three prior felony convictions for drug trafficking, according to the indictments.
The Cleveland Division of Police’s Neighborhood Impact Community Enforcement Unit, the Ohio State Highway Patrol, the RTA Transit Police, the Cuyahoga County Prosecutor’s Office, and ATF participated in the investigations. Both cases are being prosecuted by Assistant U.S. Attorney James P. Lewis.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Ravenna men indicted on firearms and drug chargesRead the Press Release
Two Ravenna men were indicted on firearms and marijuana charges, said U.S. Attorney Justin E. Herdman.
“These indictments demonstrate our commitment to prosecute people who carry firearms when they are not allowed by law to have them,” Herdman said. “We often see drug dealers using firearms as a tool of their trade, which increases the odds of a deadly encounter.”
Damen Winning, 23, was indicted on charges of possessing with intent to distribute marijuana, possessing a firearm in connection drug trafficking and being a felon in possession of a firearm.
Winning on Nov. 16, 2017 possessed marijuana with the intent to distribute the drug. He also possessed firearms in connection to his drug trafficking. Winning possessed a Glock .40 pistol and ammunition, despite a prior conviction in the Portage County Court of Common Pleas for drug trafficking, according to the indictment.
Richard Lester Thomas, 63, is charged possession with intent to distribute marijuana and being a felon in possession of a firearm.
Thomas on Sept. 20, 2017 possessed marijuana with the intent to distribute the drug, and a Ruger .22 rifle and ammunition despite prior convictions for attempted possession of chemicals to manufacture controlled substances and possession of chemicals for the manufacture of drugs in the Portage County Court of Common Pleas, according to the indictment.
The cases are unrelated.
Both cases are being prosecuted by Assistant U.S. Attorney David M. Toepfer. The Winning investigation was conducted by the United States Marshal Service, the Akron Police Department and the Bureau of Alcohol, Tobacco and Firearms. The Thomas investigation was conducted by the Portage County Drug Task Force and the ATF.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
Willoughby Hills man indicted for failing to register as a sex offenderRead the Press Release
A Willoughby Hills man was indicted for failing to register as a sex offender.
Patrick Denning, 57, failed to register, or update a registration, as a sex offender as required under the Sex Offender Registration and Notification Act, after having traveled in interstate commerce, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the United States Marshals Service. The matter is being prosecuted by Assistant U.S. Attorney Danielle K. Angeli.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
University Heights man sentenced to a month of incarceration for stealing Social Security benefitsRead the Press Release
A University Heights man was sentenced to 30 days of incarceration for theft of government money.
Al Plummer, 51, was also ordered to pay $45,121 in restitution. His incarceration is to be followed by six months of home confinement.
Plummer is the co-owner of Gimme Java Coffee in Shaker Heights. Plummer began stealing his grandmother’s Social Security Retirement benefits after she had passed away in July 2013. Plummer did not report his grandmother’s death and continued to withdraw the monthly benefit until he was caught in October 2016, according to court documents.
The case was prosecuted by Special Assistant U.S. Attorney Payum Doroodian following an investigation by Kelly Clark from the Social Security Administration Office of Inspector General.
Two indicted for illegally reentering the U.S. after multiple previous deportationsRead the Press Release
Two people were indicted for illegally reentering the United States.
Bonifacio Lopez-Herrera, 29, of Guatemala, was in the U.S. on Feb. 7, 2018. after having been previously deported twice, according to the indictment.
Jonathan Milla, 41, of Honduras, was found in Fairview Park after having been previously deported from the U.S. three times, according to the indictment.
The cases are being prosecuted by Assistant U.S. Attorney Kathryn G. Andrachik (Milla) and Gene Crawford (Lopez-Herrera) following investigations by the U.S. Customs and Border Protection, Department of Homeland Security.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Akron man indicted for possession with intent to distribute fentanyl, heroin and methamphetamineRead the Press Release
An Akron man was indicted on charges of possession with intent to distribute fentanyl, heroin and methamphetamine, said U.S. Attorney Justin E. Herdman.
Dontez Yeager, 33, possessed more than 50 grams of methamphetamine as well as a mixture of heroin and fentanyl on Jan. 15, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the information was conducted by the Drug Enforcement Agency. The matter is being prosecuted by Assistant U.S. Attorney Jason M. Katz.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Maple Heights man indicted on firearm chargeRead the Press Release
A federal grand jury returned an indictment charging Dwayne B. Sheron, 36, of Maple Heights, for being a felon in possession of a firearm and ammunition.
Sheron possessed a 9 mm firearm after having previously been convicted on three prior occasions of drug trafficking, which makes it illegal for him to have a firearm, according to the indictment.
Assistant United States Attorney Brian S. Deckert is prosecuting the case following an investigation by the Bureau of Alcohol, Tobacco and Firearms and the Cleveland Division of Police.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Cleveland man indicted for selling fentanyl and crack cocaine and using a firearm as part of his drug traffickingRead the Press Release
A Cleveland man was indicted for selling fentanyl and crack cocaine and using a firearm as part of his drug trafficking, said U.S. Attorney Justin E. Herdman.
Steven Riddle, 26, was indicted on one count each of distribution of fentanyl, distribution of crack cocaine, using a firearm in relation to drug trafficking and being a felon in possession of a firearm.
Riddle possessed fentanyl and crack cocaine on Dec. 5, 2017, as well as a FNH 9 mm pistol. Riddle is prohibited from having a firearm because of previous convictions for drug trafficking, attempted drug trafficking, burglary and drug trafficking, according to the indictment.
The investigation was conducted by the ATF, U.S. Marshal Service and Cleveland Division of Police. The case is being prosecuted by Assistant U.S. States Attorneys Kelly Galvin and Scott Zarzycki.
If convicted, the defendants sentences will be determined by the Court after review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Akron man indicted on charges of making threats and witness tamperingRead the Press Release
A federal grand jury returned a two count indictment charging Raynard Clayton, 34, of Akron, with interstate communications of threats and witness tampering, said U.S. Attorney Justin Herdman and FBI Special Agent in Charge Stephen D. Anthony.
Clayton was arrested on a criminal complaint last month. On Feb. 5, he sent a Facebook live post threatening to injure and kill someone identified in charging documents as B.T., with the intent to prevent communication to a law enforcement officer information about commission of a federal offense, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after a review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The matter is being prosecuted by Assistant U.S. Attorney Teresa Riley following an investigation by the FBI.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Akron man indicted for having more than a kilogram of methamphetamineRead the Press Release
An Akron man was indicted for having more than a kilogram of methamphetamine, said U.S. Attorney Justin E. Herdman.
Johnny C. Brown, Jr., 23, was indicted on one count of conspiracy to possess with intent to distribute over 500 grams of methamphetamine and one count of possession with intent to distribute methamphetamine.
Brown possessed approximately 2,465 grams of methamphetamine in January, according to the indictment.
The investigation was conducted by members of the Akron/Summit County HIDTA Initiative, which includes the Drug Enforcement Administration, Akron Police Department, Ohio State Highway Patrol, Summit County Sheriff’s Office, Summit County Drug Unit, Springfield Township Police Department, Copley Township Police Department, New Franklin Township Police Department, Stow Police Department, Barberton Police Department, Tallmadge Police Department, University of Akron Police Department, Reminderville Police Department, Silver Lake Police Department, Cuyahoga Falls Police Department, and Summit County Prosecutor’s Office. The case is being prosecuted by Assistant U.S. States Attorney Teresa Riley.
If convicted, the defendants sentences will be determined by the Court after review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Nine people indicted for ordering fentanyl and carfentanil from China and selling it in Akron and Lorain, as well as firearms and money laundering violationsRead the Press Release
Nine people were indicted in federal court for their roles in a conspiracy to bring large amounts of fentanyl and carfentanil into the United States from China and then sell the drugs in Akron and Lorain, as well as firearms and money laundering violations.
Named in the 17-count indictment are: Donte L. Gibson, 39; Audrey J. Gibson, 34; Dontaysha S. Gibson, 21; Derrick A. Adams II, 22; Lisa A. Richardson, 54, all of Akron; Lori E. Martin, 57, of Barberton; Ajarae C. Hisle, 27, of Lorain; Jamar J. Jackson, 28, of Lorain, and Garrett R. Frantz, 20, of North Canton.
All nine defendants are indicted on charges of conspiracy to possess with intent to distribute more than 400 grams of fentanyl and at least 9.65 grams of carfentanil. This took place between May 2016 and February 2018, according to the indictment.
The indictment also alleges members of the conspiracy illegally used or possessed firearms, body armor and ammunition. The leaders of the conspiracy are also charged with creating companies, and buying automobiles, jewelry, handbags, furs, shoes and other items, as a way to launder their drug profits.
Donte and Audrey Gibson purchased fentanyl and carfentanil from China over the internet, and had the drugs shipped to locations in the Akron-Canton area through the U.S. Postal Service. They directed Richardson to open post office boxes throughout the area, and Richardson directed others to do the same. Audrey Gibson retained control of all the post office box keys, according to the indictment.
Richardson, Frantz and others picked up the packages containing fentanyl and carfentanil at the P.O. boxes and brought the packages to the Gibsons’ home on Popham Street. Donte Gibson cut the drugs with other white powder, turning 70 or 80 grams of pure fentanyl or carfentanil into seven kilograms of saleable product, according to the indictment.
The Gibsons then distributed the drugs to Dontaysha Gibson (who is the daughter of Donte Gibson and stepdaughter to Audrey Gibson), Adams and Jackson for sale in Akron and Lorain, according to the indictment.
The Gibsons used various residences and storage units to store the drugs and cash. They stored the drugs at their home on Popham Street until their young daughter overdosed on fentanyl she found at home, according to the indictment.
Donte Gibson, Audrey Gibson, Dontaysha Gibson, Richardson and Martin (Audrey Gibson’s mother), are also charged with conspiracy to launder money, beginning around November 2015.
Audrey Gibson in 2015 formed JayT AllServices LLC, which purported to be in the business of remodeling, painting homes and cleaning out homes. Donte Gibson later stated that he was an employee of the his wife’s company and that he helps do home improvement work, according to the indictment.
In 2016, Audrey Gibson formed Pound Cake Entertainment LLC, which used the web site IAmPoundCake.com. The web site purported to sell clothing and “one of a kind items” as well as offering access to a members-only Snapchat account featuring Audrey Gibson “being flirty or nasty depending on the day,” according to the indictment.
In 2017, Dontaysha Gibson formed G’s Car Care and Detail LLC, with the stated purpose of the company being car care sales and detailing. Donte Gibson later stated it was his daughter’s company but that he managed it for her, according to the indictment.
The Gibsons opened bank accounts in connection to all three companies, according to the indictment.
Audrey Gibson in 2017 opened a Saks Fifth Avenue Store Card and between April and December 2017 made payments on her card totaling $208,504 by using cash in store in Beachwood. She made purchases from Saks Fifth Avenue totaling $686,850 between July 2016 and February 2018 and paid for them with a combination of cash, credit cards and her Saks card. The purchases included handbags from Burberry, Chanel and Gucci, various Louis Vuitton items, Saint Laurent shoes, as well as cosmetics, fragrances and sunglasses, according to the indictment.
Donte and Audrey Gibson are charged with being felons in possession of ammunition. They were in possession of 41 rounds of ammunition in their home on Popham Street on Feb. 8, despite prior convictions that made it illegal for them to have ammunition. Donte Gibson is also charged will illegally possessing body armor. He was previously convicted in Summit County Common Pleas Court of aggravated assault with a firearms specification and trafficking in heroin. Audrey Gibson was previously convicted in Summit County Common Pleas Court of aggravated robbery and heroin trafficking, according to the indictment.
Dontaysha Gibson and Adams are charged with possession of firearms in furtherance of drug trafficking. They were in possession of a Smith & Wesson 9 mm pistol and Rossi .38 revolver at the apartment they shared on Shadybrook Drive on Feb. 8 as part of their drug trafficking activities, according to the indictment.
Prosecutors are seeking to forfeit more than $280,000 in cash, two firearms and ammunition seized as part of the investigation, as well as the home at 2946 Popham Street in Akron.
“These defendants brought huge quantities of deadly fentanyl and carfentanil into Akron, threatening the lives of so many of our neighbors, friends, and family,” U.S. Attorney Justin Herdman said. “They used firearms and body armor to protect their drug trafficking, and set up fake companies to launder their dirty drug money.”
“This case demonstrates the lengths drug dealers will go to in order to obtain deadly drugs to feed the addiction of their customers,” said FBI Special Agent in Charge Stephen D. Anthony. “This group flaunted their lucrative drug trafficking organization proceeds by purchasing homes, cars and other items in an attempt to hide their cash. The FBI will continue working with our law enforcement partners to help rid our communities of the individuals that bring poison to our streets.”
“The harm inflicted by opioids is matched only by the profit potential for those who sell them,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. "This is an important victory for the citizens of Northern Ohio. These defendants not only fueled the opioid drug problem in Northern Ohio, but they supported addiction in several parts of the country. IRS-CI worked with the U.S. Attorney’s Office and its law enforcement partners to disrupt the flow of money -- the lifeblood that allows these organizations to proliferate. The laundering of illegal drug profits is as important and essential to drug traffickers as the very distribution of their illegal drugs. Without these ill-gotten gains, the traffickers could not finance their organizations.”
“Fentanyl and carfentanil are by far the deadliest illegal drugs that we are up against in the law enforcement community,” said HSI Special Agent in Charge Francis. “As this indictment clearly demonstrates, HSI is fully committed to bringing to justice all of the criminal groups and individuals who distribute this lethal poison in our community”
Akron Police Chief Kenneth Ball said: “I feel a strong sense of relief knowing that a group of criminals that had a major role in the city's battle against drugs, and the companion, devastating effects of addiction, will be held accountable. I am proud of the work of Akron's team and our partners with the Safe Streets Task Force. Gibson and his conspirators have been justly charged, they now need to be justly tried and sentenced.”
This case was investigated by the FBI’s Safe Streets Task Force -- which is comprised of agents and officers from the Federal Bureau of Investigation, Homeland Security Investigations, U.S. Postal Inspection Service, Internal Revenue Service and the Akron Police Department. It is being prosecuted by Assistant U.S. Attorney Mark S. Bennett.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
New Mexico man charged for defrauding investors out of $4.4 millionRead the Press Release
A New Mexico man was charged in federal court for his role in defrauding investors out of at least $4.4 million, said U.S. Attorney Justin E. Herdman and FBI Special Agent in Charge Stephen D. Anthony.
Eugene Turner, 64, of Animas, New Mexico, was charged via criminal information with one count of wire fraud.
Turner and Timothy E. McShane established several companies between 2006 and 2012, including McShane Construct All International LLC, Rancho Hidalgo LLC, Lordsburg Land Development LLC, Hidalgo Alfalfa Company LLC, New Mexico Natural Beef & Pork, LLC, Firewater Hydrogen Fuel LLC, Granite Gap Development LLC and New Horizons West, Inc.
Turner and McShane solicited investments in the companies by giving investors promissory notes and/or founder’s shares in the companies, which where not registered with the Securities and Exchange Commission nor traded on any public stock exchange.
They collateralized investments in the companies with assets, such as land pledges, crop pledges, real property and other items, purportedly belonging to the companies when, in reality, Turner and McShane knew they did not own those assets.
They used personal, social and business relationships of current investors to establish relationships of trust with prospective investors. They made false statements to investors about the progress of the companies. They also misused funds from new investors to make small payments to other investors who complained about lack of return on their investments, according to the information.
Because of Turner and McShane’s scheme to defraud, investors in the companies had a combined out of pocket loss of approximately $4.4 million between 2008 and 2015. Additionally, they did not receive the interest payments the defendants guaranteed or the investment gains the defendants falsely promised during the scheme, according to the information.
McShane, of Stow, has pleaded guilty to his role in the scheme and is scheduled to be sentenced March 6.
“These defendants stole millions of dollars from investors through years of lies, deception and false promises,” Herdman said. “This case serves as a reminder that there is no such thing as a sure thing and people need to exercise caution when deciding how to invest their savings.”
“This defendant, along with his cohort, defrauded numerous investors out of millions of dollars all under a ruse that they would receive financial benefit from their investments,” Anthony said. “Until now, the only people that benefited were the defendant, Eugene Turner, and his partner, Timothy McShane, but their time has come and both will be held accountable for their fraudulent scams.”
This case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Chelsea Rice.
If convicted, the Court will determine the defendant's sentence after a review of factors unique to this case, including the defendant's prior criminal record, if any, the defendant's role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An information is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Four from Toledo area indicted for creating false IDs; prosecutors seek to forfeit $5.4 million in illegal profitsRead the Press Release
A federal grand jury returned four-count indictment charging four people from the Toledo area with production of false identification document, transfer of false identification documents, and possession of document-making implements and authentication features, said U.S Attorney Justin E. Herdman.
Charged in the indictment are: Mark Alex Simon, 34; Sarah Alberts, 34; Aaron Kuns, 33, and Benjamin Stalets, 28. Alberts is from Perrysburg, the others are from Toledo.
The defendants created and transferred documents which appeared to drivers’ licenses and personal identification cards issued by the states of Ohio, Michigan and Utah. This took place between June 2013 and February 2018, according to the indictment.
Prosecutors are seeking to forfeit more than 500 bitcoins with an estimated value of $5.1 million, approximately $8,603 in cash and gold and silver coins and bars with an estimated value of $265,299 that were seized as part of the investigation, according to the indictment.
This case is the result of partnership between the Lucas County Prosecutor’s Office and United States Attorney’s Office. Assistant United States Attorneys Noah P. Hood and Robert W. Kern are prosecuting the case following an investigation by the Ohio Department of Public Safety-Ohio Investigative Unit, United States Secret Service, and Wood County Prosecutor's Office.
If convicted, the defendants’ sentences will be determined by the court after review of factors unique to this case, including the defendants’ prior criminal records, if any, the defendants’ role in the offenses, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Cleveland men indicted for robbing Richmond Heights bankRead the Press Release
Two Cleveland men were indicted for robbing a Richmond Heights bank.
Qaid T. Azeem and Zubali Ikangua Bell were each indicted on one count of bank robbery. They used force, violence and intimidation to take approximately $1,935 from a teller at Dollar Bank, located at 5201 Wilson Mills Road in Richmond Heights on Dec. 6, 2017, according to the indictment.
The Federal Bureau of Investigation conducted the investigation. The case is being prosecuted by Assistant U.S. Attorneys Robert Patton and Ranya Elzein.
If convicted, the Court will determine the defendant's sentence after a review of factors unique to this case, including the defendant's prior criminal record, if any, the defendant's role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
Akron man sentenced to 20 years in prison for having methamphetamine and a firearmRead the Press Release
An Akron man was sentenced to 20 years in federal prison for having a firearm and methamphetamine.
Robert E. Evans, 40, was previously found guilty of one count of being a felon in possession of a firearm and one count of possession with the intent to distribute methamphetamine.
Evans had approximately one ounce of pure crystal methamphetamine in his home last year as well as a Colt .45 caliber pistol, despite two prior felony convictions for drug trafficking which prohibited him from possessing firearms, according to court documents.
“A convicted drug trafficker with a firearm and methamphetamine can only end with tragic results for our community,” U.S. Attorney Justin E. Herdman said. “This prison sentence again demonstrates that targeted enforcement can make Akron and all of our cities in this district safer for everyone.”
“The targeted and cooperative work by ATF and Akron's Gun Violence Reduction Unit is making our city safer,” Akron Police Chief Kenneth Ball said. “The arrest, conviction and sentencing of Robert Evans is a positive example of this. We must protect our communities from those that deal illicit drugs and illegally carry firearms. We are thankful for a sentence that reflects this priority.”
“ATF’s core mission is reducing violent gun crime in our communities,” said ATF Special Agent in Charge Trevor Velinor. “We are committed to working with our partners in the Akron Police Department to follow the gun and remove the most violent criminals from our streets.”
The case was prosecuted by Assistant U.S. Attorney Aaron P. Howell following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Akron Police Department’s Gun Violence Reduction Unit.
Akron man previously convicted of attempted murder with a firearm indicted for having two firearmsRead the Press Release
An Akron man previously convicted of attempted murder with a firearms specification was indicted for illegally having a firearm, said U.S. Attorney Justin E. Herdman.
Gino Hunter, 27, was indicted on two counts of being a felon in possession of a firearm.
Hunter knowingly possessed a 9mm Glock semi-automatic pistol on Oct. 27, 2017 and a loaded 5.7mm Masterpiece Arms pistol on Nov. 27, 2017, according to the indictment.
Hunter was convicted in 2011 in the Summit County Court of Common Pleas of attempted murder with a firearms specification, making it illegal for him to possess a firearm, according to the indictment.
This case was investigated the Akron Police Department’s Gun Violence Reduction Team, the Ohio State Highway Patrol and the Bureau of Alcohol, Tobacco and Firearms. It is being prosecuted by Assistant U.S. Attorney Mark S. Bennett.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Barberton man sentenced to more than 10 years in prison for methamphetamine and firearms crimesRead the Press Release
A Barberton man was sentenced to more than 10 years in prison for methamphetamine trafficking and firearms crimes.
Matthew R. Golech, 38, was sentenced to 123 months in prison after being found guilty of possession with the intent to distribute methamphetamine and using a firearm in furtherance of drug trafficking.
Golech had approximately a 50 grams of methamphetamines in 2016. He also had a Bersa Firestorm .22 caliber pistol which he used in furtherance of drug trafficking, according to court documents.
The case is being prosecuted by Assistant U.S. Attorney Aaron P. Howell following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Three people charged for their roles in conspiracy to recruit poor and homeless people and file fraudulent tax returns on their behalfRead the Press Release
Three people were charged in federal court for their roles in a conspiracy to recruit poor and homeless people to allow them to file fraudulent tax returns on their behalf, said U.S. Attorney Justin E. Herdman and IRS Special Agent in Charge Ryan L. Korner.
Muhammad Hague, 40, of Avon, and Richard A. Warren, 37, of Philadelphia, were each indicted on one count of conspiracy to make false claims.
Maryam Hague, 38, of Shaker Heights, was charged in a criminal information with one count of conspiracy to commit theft of public money and one count of theft of public money.
Maryam Hague operated Hague United Services, a tax preparation business she operated out of her residences in Cleveland and Shaker Heights. Her brother, Muhammad Hague, also operated a tax preparation business, Hague Financial Services, according to court documents.
Muhammad Hague recruited Natasha Johnson to work for Hague Financial in 2010, while both continued working for the Cleveland Water Department, according to the indictment.
In 2011, Maryam Hague recruited her brother to recruit people to provide their personal identification information, so Maryam Hague would prepare and file false tax returns on behalf of claimants. She eventually taught Muhammad Hague how to prepare and file the false tax returns on his own, according to court documents.
From 2011 through 2013, Muhammad Hague, Johnson and others operated Hague Financial, which held itself out as a tax preparation business. Muhammad Hague, Johnson and others sometimes conducted Hague Financial’s business out of the Cleveland Water Department during normal business hours, according to court documents.
Muhammad Hague oversaw the operation of Hague Financial Services. Hague, Johnson and others promoted Hague Financial Services through paper flyers, door-to-door solicitation, and other means. They focused their recruiting efforts on lower-income neighborhoods in Cleveland, including homeless shelters, according to court documents.
Maryam Hague recruited Warren and his wife to recruit people in the Philadelphia area who would provide their personal identification information to Maryam Hague, who would then then prepare and file false income tax returns in the claimants’ names. Maryam Hague agreed to pay a $1,000 “referral fee” for each claimant. Warren and his wife established and maintained business bank accounts for shell companies they established in order to receive their referral fees, which were paid out of claimants’ tax refunds, according to court documents.
The tax returns reported falsified occupations and amounts of income, typically through unverifiable “household help” occupations such as caregiver, lawn care and self-employed. Based on the falsified income, and sometimes based on falsified education expenses or dependents, the tax returns often fraudulently claimed a variety of tax credits, such as the Earned Income Credit, Making Work Pay Credit and American Opportunity Credit, among others, according to court documents.
Maryam Hague and her coconspirators filed approximately 786 false tax returns seeking more than $3.5 million in refunds from the IRS, according to court documents.
Prosecutors are seeking to seize Maryam Hague’s residence in Shaker Heights, according to court documents.
If convicted, the defendants’ sentences will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the Internal Revenue Service – Criminal Investigations. It is being prosecuted by Assistant U.S. Attorney Elliot Morrison.
An indictment or an information is only a charge and is not evidence of guilt. Each defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Three from the Akron area indicted for their roles in a conspiracy in which they forged the signatures of medical professionals to obtain thousands of Oxycodone pills and other drugsRead the Press Release
Three people from the Akron area were indicted in federal court for their roles in a conspiracy in which they forged the signatures of medical professionals to illegally obtain thousands of Oxycodone pills and other drugs, law enforcement officials said.
Dennie Rowland, 46, of Hartville, Candi A. Webb, 34, of Akron, and Richard L. Overdorf, 37, of Akron, were each indicted on one count of conspiracy to possess with intent to distribute controlled substances.
Rowland and Webb worked together in a doctor’s office, where the physician and a nurse practitioner were permitted to prescribe medicine. Rowland and Webb were not, according to the indictment.
Rowland and Webb took the prescription pads from their employers and forged the signatures of the doctor and nurse practitioner. Rowland and Webb wrote the prescriptions in the names of friends, relatives and other acquaintances without their knowledge for Oxycodone, amphetamine salts and Alprazolam, according to the indictment.
Rowland, Webb and Overdorf then presented those prescriptions to be filled at pharmacies in Akron, North Canton and elsewhere. They used the drugs themselves and sold the drugs, according to the indictment.
The conspiracy took place from December 2015 through November 2016, according to the indictment.
“These defendants illegally put thousands of doses of Oxycodone on the streets of Akron and Canton at time when pills, heroin and fentanyl were killing so many people in our community,” U.S. Attorney Justin Herdman said. “We will continue to focus on reducing the supply of opioids, whether that’s prescription painkillers being illegally diverted or fentanyl being illegally shipped to our shores.”
“Rowland and Webb were trusted employees who stole from their employers and flooded the community with highly addictive prescription drugs at a time when the community is struggling with an opioid abuse crisis. The prosecution of all involved in this investigation was imperative in our fight against diverted drugs.”
If convicted, a defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the
characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Drug Enforcement Administration, the Akron Police Department, and the Summit County Sheriff’s Office. The matter is being prosecuted by Assistant U.S. Attorney Jason M. Katz.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Mansfield man charged with stalkingRead the Press Release
A Mansfield man was charged with stalking, said U.S. Attorney Justin E. Herdman.
Gary L. Fisher, 44, used the mail in August 2017, in an attempt to cause emotional distress to the victim, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant United States Attorneys Michael A. Sullivan and Danielle Angeli following an investigation by the United States Marshal’s Service, the Mansfield office of the Federal Bureau of Investigation and the Mansfield Police Department.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Elyria man charged with trafficking fentanyl, cocaine and firearms offensesRead the Press Release
A federal grand jury indicted Clint D. Jackson, 26, of Elyria, on multiple firearms and narcotics offenses, said United States Attorney Justin E. Herdman.
The indictment charges that Jackson, who had previously been convicted of two felonies, possessed three different firearms in January of 2018. The indictment also charges Jackson with seven counts relating to the distribution of fentanyl and cocaine, one count of possessing a firearm in furtherance of a drug trafficking crime, and one count of selling or transferring firearms to a prohibited person.
The case was investigated by the Elyria Police Department and the ATF. Assistant U.S. Attorney James Lewis is prosecuting the case.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Concord Township man indicted for child pornography crimesRead the Press Release
A Concord Township man was indicted for child pornography crimes, said U.S. Attorney Justin E. Herdman.
Ronald B. Goldfarb, 62, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct.
The indictment charges that from on or about January 1, 2017, through on or about April 12, 2017, Goldfarb knowingly received and distributed numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. The indictment also charges that on or about May 4, 2017, Goldfarb possessed a computer tower, external hard drives, and other computer storage devices that contained child pornography.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Carol M. Skutnik following an investigation by Special Agent Charles Sullivan of the FBI’s Youngstown office.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Four from Cleveland indicted for trafficking Oxycodone and hundreds of pounds of marijuana; five firearms and $2.1 million seizedRead the Press Release
Four Cleveland men were named in a 25-count federal indictment that charges they conspired to distribute at least 220 pounds of marijuana and 345 pills of Oxycodone, law enforcement officials said.
Indicted are Amer Jabir, 37; Ahmad Jabir, 22; Aymen Abdelrahim, 28, and Gerald Knox, 37. All four are charged with conspiracy to possess with intent to distribute least 100 kilograms of marijuana and 345 pills of Oxycodone between 2015 and 2018.
There are additional charges for distribution of marijuana, distribution of Oxycodone, and related charges. Knox is charged with possession of a firearm related to drug trafficking and being a felon in possession of a firearm.
The indictment also seeks to forfeit more than $2.1 million in cash, five firearms, a 2015 Range Rover, a $5,000 casino poker chip and miscellaneous jewelry seized from locations in Cleveland, North Olmsted and Chicago as part of the investigation.
Amer Jabir was the leader of an organization that brought hundreds of pounds of marijuana from grow operations in California to Chicago and then Cleveland. The marijuana was hidden in secret trap compartments in vehicles that were then placed in the back of car haulers, according to court documents.
Some of the pills and marijuana were sold by Aymen Abdhelrahim, from a gas station on West 25th Street where Abdelrahim worked as a clerk, according to court documents.
If convicted, the defendants’ sentences will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the Federal Bureau of Investigation, the North Olmsted Police Department, the Westlake Police Department, the Ohio State Highway Patrol, U.S. Customs and Border Protection and the Westshore Enforcement Bureau. It is being handled by Assistant U.S. Attorneys Justin Seabury Gould and Robert F. Corts.
An charge is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Akron man charged with making threatsRead the Press Release
The Federal Bureau of Investigation and the United States Attorney’s Office, Northern District of Ohio, announce the arrest of Raynard Clayton, 34, of Akron.
Clayton was placed into custody by the Adult Parole Authority on Feb. 8, 2018 without incident. Clayton was transferred to federal custody by FBI agents assigned to the FBI Akron Resident Agency on Feb. 12.
Clayton is charged with transmitting in interstate commerce a threat to injure another person and also threatening a person with physical force with the intent to hinder, delay, or prevent communication to a law enforcement officer.
Clayton is alleged to have posted a publicly available Facebook Live video, approximately 21 minutes in length, threatening to assault and kill an individual known to law enforcement. In the video, Clayton, also known as Raynard Dutch, stated “I’ll shoot you point blank range, no mask......Get you and your family wrapped up. AR-15, you know what I mean.” Clayton continues on stating, “…basically what I’m sayin’ to you is keep my name out your mouth fo (before) I take yo (your) life.” Clayton also stated in the video, “The best type of cop is a dead cop.”
A complaint is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Toledo man charged with producing and selling false identification documentsRead the Press Release
A Toledo man was charged in federal court in relation to the production of false identification documents, law enforcement officials said.
Mark A. Simon, 34, was charged with production of false identification documents, transfer of false identification documents and possession of equipment used to produced false identification documents.
Investigators seized 18 gold coins, 215 silver coins, 21 gold and silver bars, $7,000 in cash, numerous computers, hard drives and USB storage devices, latex gloves, photo paper, six modems, a photo printer and approximately $4.7 million in bitcoin taken from approximately 30 wallets stored on a USB thumb drive, and other items.
According to a 31-page affidavit filed in U.S. District Court, investigators were originally contacted by an employee of a pub in Springfield, Ohio, about fake IDs collected at the bar. A Wittenburg University student said he and a friend obtained the fake ID off reddit.com.
Agents identified the purported seller by the reddit username of TedDanzigSr, who posted on a daily basis on subjects related to fake IDs. Agents eventually ordered fake IDs from TedDanzigSr and were asked to pay in bitcoin.
Further investigation revealed prior to posting and advertising his manufacture and sale of false identifications on reddit, username TedDanzigSr sold fake IDs on the dark web marketplace Silk Road. Investigators determined that TedDanzigSr’s true identity was Mark Simon, who lives on Stengel Road in Toledo, according to the affidavit.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the Ohio Department of Public Safety and United States Secret Service, Toledo Resident Agency, with assistance from the FBI, Ohio Bureau of Criminal Investigation, the Toledo Police Department and the Lucas County Prosecutor’s Office. It is being handled by Assistant U.S. Attorneys Noah P. Hood and Robert Kern.
An charge is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Canton man sentenced to nearly 10 years in prison for drug and firearms crimesRead the Press Release
A Canton man was sentenced to nearly 10 years in federal prison for drug and firearms crimes, law enforcement officials said.
Eric L. McReynolds, 47, was sentenced to 117 months in prison by U.S. District Judge Donald C. Nugent. McReynolds was previously found guilty of possession of crack cocaine with intent to distribut and use of firearms in relation to drug trafficking..
McReynolds possessed crack cocaine, several firearms and other items indicative of drug trafficking on September 15, 2016, according to court documents.
This case was prosecuted by Assistant U.S. Attorney Aaron P. Howell following an investigation by the ATF, FBI and Canton Police Department.
Cleveland man sentenced to more than a decade in prison after armed carjacking of a grandmother on Mother's DayRead the Press Release
A Cleveland man was sentenced to more than a decade in prison after an armed carjacking of a Cleveland grandmother last Mother’s Day, law enforcement officials said.
Shairon Motley-Lipscomb, 21, was sentenced to 10 years and four months in federal prison after pleading guilty to carjacking and using a firearm during a crime of violence.
On May 14, 2017 – Mother’s Day – Motley-Lipscomb approached a 67-year-old woman while she stood in her driveway talking on her cell phone to her daughter. The victim had recently returned from church services when Motley-Lipscomb brandished a firearm and stole the victim’s 2008 Buick Enclave, according to court documents.
The victim dropped her cell phone. Her daughter, still on the phone, heard Motley-Lipscomb saying to another: “Yeah, I got the car. Meet me at Mom’s,” according to court documents.
“A grandmother on her way home from church on Mother’s Day was talking to her daughter on the telephone,” U.S. Attorney Justin E. Herdman said. “That is when this defendant pointed a gun at her and stole her car. We remain committed to getting defendants like this off our streets and making our communities safer.”
“There is no place for an individual like this in our community,” stated Trevor Velinor, ATF’s Special Agent in Charge for the Columbus Field Division. “A person who is so willing to violate our laws and societal norms, against a mother on Mothers’ Day no less, needs to be removed from our community so he can do no further harm.”
This case was prosecuted by Assistant U.S. Attorney Brian McDonough following an investigation by the Cleveland Division of Police and the Bureau of Alcohol, Tobacco and Firearms.
Youngstown man sentenced to 14 years in prison for trafficking heroin and cocaineRead the Press Release
A Youngstown man was sentenced to more than 14 years in prison for drug trafficking, said U.S. Attorney Justin E. Herdman and ATF Special Agent in Charge Trevor Velinor.
Michael Williams, 32, was sentenced to 174 months in prison after pleading guilty to possession with intent to distribute heroin, cocaine and crack cocaine.
Williams possessed cocaine, crack cocaine, heroin, tramadol, alprazolam and clonazepam on July 1, 2016, with the intent to sell the drugs, according to court documents.
This case was prosecuted by Assistant U.S. Attorneys David M. Toepfer and Elliot Morrison following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mahoning Valley Law Enforcement Task Force.
Lake County man indicted for importing fentanyl analogues from ChinaRead the Press Release
A Lake County man was indicted for importing 35 grams of a fentanyl analogue from China, said U.S. Attorney Justin E. Herdman.
Karl F. Brewster, 58, of Perry Township, imported approximately 35 grams of methoxyacetyl fentanyl from the People’s Republic of China between March 10 and April 25, 2017, according to the indictment.
"This defendant illegally imported drugs that are killing thousands of our neighbors and relatives," Herdman said. "We will continue to work to reduce the supply of these deadly drugs while partnering with others focused on reducing the demand."
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Justin Seabury Gould following an investigation by U.S. Department of Homeland Security.
An indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Garfield Heights man indicted on carfentanil, fentanyl, heroin and firearms chargesRead the Press Release
A Garfield Heights man was indicted on carfentanil, fentanyl and firearms charges, U.S. Attorney Justin Herdman said.
Tyrone Cammon, 29, was charged in a seven-count indictment with possession with intent to distribute carfentanil, fentanyl, heroin and fentanyl analogues, using a firearm in relation to drug trafficking, and being a felon in possession of a firearm.
“This defendant sold the same drugs that have killed thousands of our friends and relatives and illegally carried a firearm as part of his drug trafficking,” Herdman said.
Cammon possessed fentanyl for distribution on April 9, 2016, as well as a firearm he used in relations to his drug trafficking, according to the indictment.
He possessed heroin and more than 12 grams of methoxyacetylfentanyl, carfentanil and fentanyl pharmacophore for distribution, according to the indictment.
Cammon possessed two Glock .40 caliber pistols and a FNH 5.7x28mm pistol at various times in March 2016, April 2016 and November 2017, despite three previous convictions for drug trafficking, a previous conviction for assault and a previous conviction for attempted tampering with evidence, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Scott Zarzycki and Kelly L. Galvin following an investigation by the Lakewood and Cleveland Police Departments, the Bureau of Alcohol Tobacco and Firearms and the U.S. Marshals.
An indicitment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Cleveland man indicted for firearms crimeRead the Press Release
A federal grand jury charged Khalid Swanson, 43, of Cleveland, with being a felon in possession of a firearm, said U.S. Attorney Justin E. Herdman.
Swanson possessed a Smith & Wesson .380 caliber handgun and ammunition after having been convicted of multiple crimes, including abduction, robbery and trafficking with a firearm.
The case was investigated by the Cleveland Division of Police and the ATF. Assistant U.S. Attorney James Lewis is prosecuting the case.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the Defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Two charged with illegally reentering U.S. after deportationRead the Press Release
Two people were indicted in federal court for illegally reentering the United States, U.S. Attorney Justin E. Herdman said.
Jose Guillermo Uribe Perez, 30, a citizen of Mexico, was found in Austintown in December 2017 after having been previously deported to Mexico, according to the indictment.
Timateo Calel-Herrera, 32, a citizen of Guatemala, was found in Dover on Jan. 22 after having been previously deported three times to Guatemala, according to the indictment.
Assistant United States Attorney Brad J. Beeson is prosecuting the cases following investigations by the Immigration and Customs Enforcement, Department of Homeland Security.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Mansfield woman charged with claiming nearly $800,000 in false tax returnsRead the Press Release
A Mansfield woman was indicted for falsely claiming that she was owed nearly $800,000 in tax refunds, said U.S. Attorney Justin E. Herdman and IRS Special Agent in Charge Ryan L. Korner.
Teresa Flohr, 56, was indicted on two counts of making false claims.
Flohr falsely claimed a refund of $389,966 for tax year 2012 and for $407,649 for tax year 2013, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Robert J. Patton following an investigation by the Internal Revenue Service – Criminal Investigations.
An indictment is only a charge and is not evidence of guilt. The burden of proof is always on the government to prove a defendant guilty beyond a reasonable doubt.
Akron man indicted after firing on three officers, attempting two carjackingsRead the Press Release
An Akron man was indicted in federal court on charges related to shooting at three law enforcement officers as well as attempting to carjack someone and possessing methamphetamine, law enforcement officials said.
Michael P. Johnson, 34, was charged with one count of assault on law enforcement officers with a deadly weapon, two counts of discharging a firearm during a crime of violence, one count of brandishing a firearm during a crime of violence, two counts of attempted carjacking and two counts of possession with intent to distribute methamphetamine.
“This defendant put dozens of people at risk – the officers he fired upon, the innocent people he tried to carjack and the Akron residents simply passing by,” U.S. Attorney Justin E. Herdman said. “This defendant’s violent actions must be answered for, and we are pleased that he is being brought to justice.”
Akron Police Chief Ken Ball said: “This incident is an example of the grave danger that the men and women of the Akron Police Department face every day in service to their community. We are pleased that the defendant will soon be made to answer for his behavior and will face a mandatory minimum of 65 years in prison for actions that could have cost innocent bystanders, and officers, their lives.”
Johnson fired a Smith and Wesson .38-caliber revolver at law enforcement officers engaged in the performance of their official duties on Jan. 2. He also fired a firearm in relation to his drug trafficking activity and possessed at least 50 grams of methamphetamine, according to the indictment.
On the same date, Johnson brandished the .38-caliber revolver while attempting to carjack a 2009 Kia Sportage. He also attempted to carjack a 2002 Toyota Camry, according to the indictment.
Prosecutors are seeking to forfeit the firearm as well as approximately $8,672 in cash seized as part of the investigation.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Aaron Howell and Henry F. DeBaggis following an investigation by the Akron Police Department, the U.S. Marshals and the Drug Enforcement Administration.
An indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Financial advisor from Shaker Heights charged with embezzling $287,000 from clientRead the Press Release
A Shaker Heights man was charged in federal court with defrauding an investor out of more than $287,000, said U.S. Attorney Justin E. Herdman, FBI Special Agent in Charge Stephen D. Anthony and IRS Special Agent in Charge Ryan L. Korner.
James M. Unger, 51, was charged via criminal information with two counts of wire fraud and five counts of filing false tax returns.
Unger worked as a securities broker and investment advisor who provided financial advice to clients. Between 2006 and 2014, Unger devised a scheme to defraud an investor identified in court documents as E.C., according to court documents.
E.C. executed a durable power of attorney in 2007, which gave Unger control of her financial affairs. A few months later, Unger convinced E.C. to invest in a high-risk international casino project based on Unger’s assurances that it was a safe, lucrative investment opportunity. Unger and others provided E.C. with promissory notes guaranteeing a 15 percent annual rate of return, according to court documents.
E.C. invested approximately $407,000 in the project between 2008 and 2009. By 2012, Unger had wired money from E.C.’s bank account, without her knowledge or consent, to another client. He converted her investment to stock in a new company and convinced E.C. to invest an additional $79,985, according to court documents.
In 2014, E.C. told Unger she wanted to liquidate her investment in the casino project. She believed her investment, including earnings, totaled approximately $1.9 million, but her total investment was actually lost, according to court documents.
Unger had actually embezzled funds from E.C.’s bank accounts to enrich himself and pay for his own personal expenses, including pay his daughter’s college expenses, according to court documents.
In total, Unger embezzled approximately $287,464 from E.C. He also failed to claim some of this income on his tax returns between 2011 and 2015, according to court documents.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Robert J. Patton and Alejandro A. Abreu following an investigation by the FBI and IRS – Criminal Investigations.
An information is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Mother and daughter from Beachwood charged with stealing the identities of more than a dozen people and filing false tax returnsRead the Press Release
A mother and daughter from Beachwood were charged in a 29-count federal indictment with stealing the identities of more than a dozen people and filing false tax returns, said U.S. Attorney Justin E. Herdman and IRS Special Agent in Charge Ryan L. Korner.
Aesha Johnson, 40, and Brittany Williams, 23, were each indicted on one count of conspiracy to commit wire fraud, 14 counts of wire fraud and 14 counts of aggravated identity theft.
Williams and Johnson, when she was living in West Virginia, conspired together to use stolen identities to file false tax returns with the IRS, seeking tax refunds. Johnson acquired many of these identities through a previous criminal fraud scheme, according to the indictment.
Johnson and Williams used an address associated with the family on East 142nd Street in Cleveland as the address of record for many of the false tax returns. They often communicated with each other using a code that referred to the victims using numbers 1 through 31, and created and used fictitious email accounts in the names of the victims to communicate with the IRS, according to the indictment
Williams filed the false tax returns online, obtained prepaid debit cards in the names of the identity-theft victims and requested the IRS deposit the refunds onto those cards. Williams then withdraw cash or made purchases with the cards, according to the indictment.
“This pair stole people’s identities then used it to steal from taxpayers,” Herdman said.
“Tax season is almost here and the indictment of Aesha Johnson and Brittany Williams for committing aggravated identity theft is a powerful reminder of what can happen when you decide to steal from honest taxpayers and the IRS,” Korner said. “Filing fraudulent tax returns in the names of other individuals may result in significant harm to those individuals whose identities were stolen, as well as a monetary loss against the U.S. Treasury."
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Chelsea Rice and Matthew Cronin following an investigation by the IRS.
An indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Moreland Hills physicians indicted on charges of performing unnecessary medical tests and procedures, overbilling insurance providers and illegally distributing opioids and other drugsRead the Press Release
A Moreland Hills couple was charged in a 24-count indictment with ordering and performing unnecessary tests and procedures to defraud insurance providers, as well as illegally distributing opioids and other drugs, law enforcement officials said.
Drs. Ashis K. Rakhit, 65, and Jayati Gupta Rakhit, 56, were indicted on one count of conspiracy to commit health care fraud, 11 counts of health care fraud and six counts of false statements relating to health care matters. They are both charged with three counts each of distribution of controlled substances.
The Rakhits, who are married, were both medical doctors who specialized in cardiovascular disease and internal medicine. They both had privileges at St. Vincent Charity Medical Center and operated Ohio Cardiology Associates, Inc., which had locations at 2322 East 22nd Street in Cleveland, 10850 Pearl Road in Strongsville and 6789 Ridge Road in Parma. Ashis Rakhit also practiced at 7211 Broadway Ave. in Cleveland, according to the indictment.
The Rakhits ordered and performed unnecessary medical tests between 2011 and 2018, including but not limited to unnecessary nuclear stress tests, cardiac catheterizations, bone density scans, echocardiograms, EKGs, carotid artery scans, venous ultrasounds of the legs and abdominal ultrasounds, according to the indictment.
They also recorded false symptoms in patient records to justify medically unnecessary tests on patients, including shortness of breath, palpitations, hypertension and abnormalities in breathing, according to the indictment.
The Rakhits billed Medicare, Medicaid and private insurers with inflated codes to reflect a service more costly than that which was actually performed, according to the indictment.
The Rakhits also intentionally distributed and dispensed controlled substances outside the usual course of medical practice. Ashis Rakhit is charged with distributing Percocet and Xanax in 2017, while Jayati Rakhit is charged with distributing Tramadol, according to the indictment.
“This couple violated the trust of their patients, the taxpayers and the community,” U.S. Attorney Justin E. Herdman said. “They performed unnecessary medical tests and billed for services they didn’t actually provide in exchange for prescription medications – all of this at a time when our region is inundated in opioid deaths and addiction.”
“Not only did these physicians put their patients through unnecessary medical procedures so they could line their pockets with extra income, they also prescribed controlled narcotics that were not medically required,” said FBI Special Agent in Charge Stephen D. Anthony. “Given the current opioid epidemic, prescribing unnecessary narcotics only further contributes to this crisis. The FBI will continue to work with our partners to hold accountable those in the medical field who choose to engage in criminal activity.”
“The submission of claims for up-coded, inflated, or medically unnecessary services to Medicare or Medicaid is illegal,” said Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services, Office of Inspector General – Chicago Region. “Providing medically unnecessary procedures and tests is of great concern as it can compromise a patient’s health and safety. The OIG will continue to work with our law enforcement partners to identify these types of improper practices and will take action to protect the health and welfare of patients and taxpayer dollars.”
“I am pleased that my office’s Medicaid Fraud Control Unit was able to assist in the investigation that led to these indictments,” said Ohio Attorney General Mike DeWine. “We will continue to go after those who contribute to our state’s opioid crisis by illegally distributing opiates and defrauding insurers through inflated insurance claims.”
DEA Special Agent in Charge Timothy Plancon said: “The Drug Enforcement Administration has made it a priority to address the dangerous practice of illegally diverting prescription medications. The successful investigation into Ashis Rakhit and Jayati Gupta Rakhit is just one example of DEA's determination to combat the troubling prescription drug abuse problem in this country. These doctors violated the public trust by ordering unnecessary medical procedures and illegally diverting prescription drugs in northern Ohio. The indictments of the Rakhits makes it clear that the DEA, and our partners, will continue to bring those responsible for the illegal distribution of prescription medicines to justice.”
The investigation is ongoing. If you or someone you know may be a victim of these allegations, or if you have information that may be relevant to these allegations, please contact the FBI at 216-583-5328.
If convicted, the defendants’ sentences will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorneys Michael L. Collyer and Chelsea Rice following an investigation by the Federal Bureau of Investigation, U.S. Department of Health and Human Services – Office of Inspector General, Ohio Attorney General’s Medicaid Fraud Control Unit and the Drug Enforcement Administration.
An indictment is only a charge and is not evidence of guilt. The burden of proof is always on the government to prove a defendant guilty beyond a reasonable doubt.
Three arrested as more than 100 pounds of marijuana and $1 million in cash seizedRead the Press Release
The Federal Bureau of Investigation (FBI) and the United States Attorney’s Office, Northern District of Ohio, announce the arrest of Amer Jabir, 37 , with residences in Cleveland, Chicago, and Weelawken, New Jersey; Ahmad Jabir, 23, and Aymen Abdelrahim, 28, both having last known addresses in Cleveland.
On Jan. 23, 2018, at approximately 8 a.m., all three individuals were taken into custody without incident for possession with intent to distribute marijuana, and/or conspiring to distribute marijuana. Ahmad Jabir and Aymen Abdelrahhim are also charged with possession with intent to distribute oxycodone and/or conspired to distribute oxycodone. Subsequent to the arrests, more than 100 pounds of marijuana and more than $1 million in cash were seized at locations in Chicago and North Olmsted.
Amer Jabir is accused of transporting large quantities of marijuana from California to Chicago, distributing a portion of marijuana in Chicago and then transporting the remaining supply to Cleveland and Detroit, where it was distributed to Amer Jabir’s customers. Abdelrahim and Ahmad Jabir operated as dealers and delivery runners for the organization, according to court documents.
Intercepted or recorded conversations via telephone or text messaging indicate numerous pounds of marijuana and hundreds of pills being sold at a time and thousands of dollars being exchanged, according to court documents.
Amber Jabir was arrested in Chicago and will appear in U.S. District Court for the Northern District Court of Illinois today. Abdelrahim and Ahmad Jabir will appear today before U.S. Magistrate Judge David Ruiz in the Northern District of Ohio.
This case has been worked by the Cleveland Division of FBI, North Olmsted Police Department, Westlake Police Department, Ohio State Highway Patrol, U.S. Customs and Border Protection and the Westshore Enforcement Bureau.
A complaint is only a charge and is not evidence of guilt. The defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Any questions regarding this news release can be directed to SA Vicki D Anderson at the Cleveland Office of the FBI, 216-522-1400 or [email protected].
Seventeen firearms and more than a half-million dollars seized as 13 people indicted for trafficking hundreds of pounds of cocaineRead the Press Release
Thirteen people, most from Stark County, were charged in an 80-count federal indictment for bringing hundreds of pounds of cocaine into Northern Ohio and selling it in Massillon, Canton and throughout the region, as well as additional firearms and drug charges, law enforcement officials said.
Law enforcement agents seized 17 firearms, nearly 1,500 rounds of ammunition, approximately $592,579 in cash, more than 13 kilograms of cocaine, more than 22 kilograms of marijuana as well as heroin and crystal methamphetamine as part of the investigation.
Named in the indictment are: Apolinar Meraz-Magana, 55, of Massillon; Ignacio Cuevas-Gutierrez, 33, of Massillon; Jose Luis Martinez-Maldonado, 26, of Canton; Manuel Sarmiento Ibarra, 40, of Canton; Jonathan Quezada, 22, of Sterling; Juan Ramon Mora-Hurtado, 29, of Massillon; Karla Hernandez-Salazar, 30, of Massillon; Juan Benito Caro-Silva, 23, of Massillon; Phillip Blough, 28, of Smithville; Stamontae Sanders, 25, of Canton; Mark Momie, 51, of Canton; Celestino Penalosa, 30, of Orrville, and Dave McClellan. 43, of Massillon.
Salazar, Silva, Sanders, Maldonado, Quezada, Penalosa, Momie, McClellan and Blough conspired to possesses approximately 550 pounds of cocaine from October through November 2017. Salazar and Silva obtained the cocaine and distributed it to Sanders, Maldonado, Quezada, Penalosa, Momie, McClellan and Blough, who in turn sold the cocaine to customers throughout Ohio, according to the indictment.
Blough was charged with possession of a firearm in furtherance of drug trafficking. Salazar, Silva and Quezada were also charged with being aliens in possession of firearms and/or ammunition.
Magana, Gutierrez, Maldonado, Quezada, Hurtado and Ibarra conspired to possess more than 110 pounds of cocaine from April through September 2017. Magana and Gutierrez obtained the cocaine from suppliers and in turn distributed it to Maldonado, Ibarra, Quezada and Hurtado, who sold it to various customers throughout Ohio, according to the indictment.
Magana was also charged with being an alien in possession of firearms and ammunition, possession of a firearm in furtherance of drug trafficking, possession with intent to distribute methamphetamine, possession with intent to distribute marijuana, possession with intent to distribute heroin, and other violations.
“One only needs to look at the firearms, cash and amount of drugs associated with this crew to understand the threat they pose to our community,” said U.S. Attorney Justin E. Herdman. “Getting these defendants off the streets will save lives.”
FBI Special Agent in Charge Stephen D. Anthony said: “This group of individuals brought poison and danger to our neighborhoods. This is yet another example of law enforcement’s collaborative efforts to disrupt and rid violent drug dealing groups from our streets.”
“These arrests are the next phase of a complex investigation that spans multiple agencies and jurisdictions,” stated Trevor Velinor, Special Agent in Charge of ATF’s Columbus Field Division. “The ultimate goal is to make Canton and the surrounding communities safer for everyone, and ATF will continue to work with our partners to that end.”
“The indictment of thirteen people is significant and an indication that cocaine is still a threat to Northern Ohio,” said DEA Special Agent in Charge Timothy Plancon. “Dismantling the activities of a large-scale, gun toting, cocaine organization is a victory for the community and was achieved by significant cooperative efforts of numerous local, state, and federal law enforcement agencies.”
Medway Director Don Hall said: “This was just another outstanding example of law enforcement agencies at all levels collaborating and being able to dismantle a significant drug trafficking organization that had a very strong influence in not only Stark and Wayne Counties but in Northeast Ohio. In one house alone in Wayne County when you seize eight pounds of crystal meth, 22 pounds of cocaine, $100,000 cash and weapons, that puts a dent in what gets distributed down the line to our local cities and villages in Wayne County.”
“It is critical for law enforcement to maintain the local/federal partnership that continues to be very effective in the arrest and prosecution of those that cause so much destruction to our community,” Canton Police Chief Bruce Lawver said.
If convicted, a defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the
characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the FBI, ATF, DEA, Medway Drug Task Force, Canton Police Department, Jackson Township Police Department, Louisville Police Department and Homeland Security Investigations. The matter is being prosecuted by Assistant U.S. Attorney Jason M. Katz.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Cleveland Heights man sentenced to more than three years in prison and ordered to pay nearly $900,000 for tax crimesRead the Press Release
A Cleveland Heights man was sentenced to more than three years in prison for preparing false tax returns and making false statements to law enforcement, said U.S. Attorney Justin E. Herdman and Ryan L. Korner, Special Agent in Charge of the Internal Revenue Service – Criminal Investigation’s Cincinnati office.
Immanuel Roddy, 35, was sentenced to 42 months in prison and ordered to pay $892,902 in restitution to the IRS by U.S. District Judge Donald C. Nugent.
Roddy operated a tax preparation called Roddy Solutions. He referred to himself in advertising materials as “Tax Beast” and obtained tax documents from clients, according to court documents.
Roddy prepared false tax returns for his clients in which he claimed false tax credits or false business expenses, according to court documents.
“With the sentenced handed down today, the self-proclaimed 'Tax Beast' has been tamed,” Korner said. “This sentence is also a reminder that all tax professionals have to respect the law and protect the interests of their clients and the taxpaying public.”
This case is being prosecuted by Assistant U.S. Attorneys Matthew Kall and Elliot Morrison following an investigation by IRS-CI.
U.S. Attorney's Office collected nearly $30 million last yearRead the Press Release
U.S. Attorney Justin E. Herdman announced today that the Northern District of Ohio collected nearly $30 million in fiscal year 2017.
Of this amount, $10.3 was collected in criminal actions, $4.7 was collected in civil actions and $14.5 million was collected in asset forfeitures.
The office’s total overall budget for the fiscal year was approximately $13.8 million.
“In addition to seeking long prison sentences for those who commit violent crimes, trying to stem the flow of opioids into our neighborhoods and other efforts to keep our community safe, the men and women of the U.S. Attorney’s Office brought in more than twice as much as our annual budget,” Herdman said. “This money helps victims of crime, restores public trust, and protects the treasury.”
The Northern District of Ohio worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $3.6 million in cases pursued jointly with these offices.
Overall, the Justice Department collected just over $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2017.
Among the significant collections this year:
U.S. v. Xin Fan: Xin Fan paid $1.2 million last year after pleading guilty to conspiracy to commit wire fraud and honest services wire fraud for defrauding Goodyear Tire & Rubber Company. Fan, Yu and others caused Goodyear to purchase natural rubber from shell companies they incorporated. They also required Goodyear suppliers to use loading companies in which they had a financial interest. Both were sentenced to more than two years in prison.
U.S. v. Joseph Satava: Satava, the manager of credit and collections for insurance giant Medical Mutual, paid $334,000 last year as part of his criminal case. Satava used sophisticated means and vulnerabilities in accounting procedures to embezzle nearly $3 million from his employer over a decade. Satava is serving nearly six years in prison.
U.S. v. Aerojet Rocketdyne Holdings et. al.: Companies paid more than $1 million last year as part of a consent decree to resolve allegations that they violated the Clean Water Act by polluting the Ottawa River. The corporations agreed to pay for a restoration project at a 175-acre property for natural resources and reimbursements for assessment of injuries at the lower portion of the Ottawa River.
U.S. v. Delores Knight et. al: Knight was the owner of Just Like Familee, a home health agency that served Medicare, Medicaid and Veteran’s Affairs patients. The majority of its insurance claims were submitted for skilled nursing services provided by a registered nurse or licensed practical nurse, and for home health aide services, such as cooking, cleaning, hygiene care, and daily living services. Knight submitted millions of dollars in home health care billings to Medicare, Medicaid and the VA for patient visits that were not made and for services based upon falsified patient medical records. Knight used proceeds from the fraudulent scheme to purchase homes in Macedonia and Twinsburg which had a combined appraised value of approximately $800,000. Knight was sentenced to 10 years in prison and her son Isaac Knight was sentenced to seven years in prison after being convicted at trial last year. The jury also returned a verdict of forfeiture against the two homes.
U.S. v. Cannon Design: The Buffalo-based company paid $500,000 of a $12 million penalty to resolve the company’s criminal liability for the conduct of more than a dozen employees, including paying bribes and kickbacks to obtain confidential information related to Veterans Affairs construction projects. Cannon Design also agreed to implement a series of corporate reforms and divest itself from a large project in California as part of the settlement.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.
Canfield physician incarcerated for tax crimesRead the Press Release
A physician from Canfield was sentenced to six months in jail and ordered to pay $105,673 after failing to pay over Social Security, Medicare and employment taxes collected from his employees, said U.S. Attorney Justin E. Herdman and Ryan L. Korner, Acting Special Agent in Charge, Internal Revenue Service Criminal Investigation, Cincinnati Field Office.
Nicholas M. Garritano, 55, previously pleaded guilty to willful failure to pay over taxes.
"This doctor took out the taxes from his employees but kept the money for himself," Herdman said. "He victimized his workers and those who paid their fair share of taxes."
"As the person who controlled the finances on behalf of Dr. N.M. Garritano, Inc., Dr. Garritano was entrusted with the significant responsibility to collect and turn over all IRS withholding taxes," said Korner. "His failure to pay over the withheld taxes not only affected the revenue to the United States government, but more importantly, it affected the employees’ Medicare and Social Security benefits."
During 11 quarters spanning from 2009 through 2012, Garritano was president and sole shareholder of a corporation run by the name “Dr. N.M. Garritano, Inc.,” located in Canfield. Garritano was responsible for the corporation’s business and financial operations. Garritano caused the corporation to pay taxable wages and salaries to its employees, from which federal income and FICA taxes were withheld, according to court documents.
Garritano filed quarterly forms with the Internal Revenue Service on behalf of the corporation relating to the employment taxes. Although the corporation withheld substantial employment taxes from the wages of its employees for each quarter, the defendant failed to pay over the full amount of the withheld taxes to the IRS, according to court documents.
The case is being prosecuted by Assistant U.S. Attorney Matthew B. Kall following an investigation by IRS-CI.
Two Brazilian nationals indicted after being arrested with credit card skimmers, 250 counterfeit credit or bank cards and nearly $140,000 in cashRead the Press Release
Two Brazilian nationals were indicted after police arrested them with two credit card skimmers, more than 250 counterfeit credit or bank cards and nearly $140,000 in cash, law enforcement officials said.
Felipe Trovo Pena, 27, and Antonio Pedro de Oliveira Neto, 26, were charged in a five-count indictment with conspiracy to commit credit card fraud, use of counterfeit credit cards and possession of counterfeit credit cards.
Pena and Neto were arrested on Nov. 12, 2017 after a teller at the Cortland Banks branch in Hubbard called police to alert them to an individual(s) making ATM withdrawals while obscuring the camera in the ATM. The bank had been victimized by fraudulent withdrawals two days earlier, according to court documents.
Pena and Neto were taken into custody and an extensive investigation resulted in the search of a storage unit they had rented on West 61st Street in Cleveland. A search of the unit uncovered approximately $139,480 in cash, the true Brazilian passports of Pena and Neto, 420 cards with magnetic strips, including 253 which were counterfeit credit or bank cards containing customer account data and two skimming devices, among other items, according to court documents.
Pena and Neto, between August and November 2017, covertly installed skimming devices on ATMs to fraudulently capture the magnetic data on credit and debit cards, which they then re-encoded on counterfeit credit and bank cards. They then used the counterfeit cards to obtain cash, according to court documents.
“These defendants stole personal information from people and then used it to steal hundreds of thousands of dollars through counterfeit bank and credit cards,” U.S. Attorney Justin E. Herdman said.
FBI Special Agent in Charge Stephen D. Anthony said: “Individuals engaged in typical day to day credit and debit card transactions unfortunately became financial victims to these fraudsters. Financial fraud is a significant, damaging crime that can occur without your knowledge. The FBI would like to remind people to review their credit card and bank statements on a regular basis and report any suspicious activity to the respective financial institution. The FBI will continue to investigate and hold financial scammers, such as these, responsible for their actions.”
“This case involves suspects traveling around the state of Ohio and placing skimming devices on ATMs and stealing innocent peoples’ personal and financial information,” said Secret Service Special Agent in Charge Jonathan Schuck. “These suspects would then use that information for their financial gain. These types of investigations are complex and the successful prosecution of these suspects are due to the great collaboration of law enforcement agencies working together.
This case is being prosecuted by Assistant U.S. Attorney Jason M. Katz following an investigation by the FBI, U.S. Secret Service, the Hubbard Police Department and the Trumbull County Prosecutor’s Office.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Police Chief of village in Mahoning County indicted on child pornography chargesRead the Press Release
The police chief of a village in Mahoning County was indicted on child pornography charges, law enforcement officials said.
Andrew M. Soloman, 36, was indicted on two counts of receiving and possessing visual depictions of minors engaged in sexually explicit conduct. Soloman is the police chief of Craig Beach Village.
Soloman knowingly received files which contained visual depictions of a real minor engaged in sexually explicit conduct. This took place from Oct. 24 through Dec. 7, 2017. Soloman also possessed on Dec. 7, 2017, an Apple Iphone 7 smartphone which contained child pornography, according to the indictment.
Soloman met the juvenile victim when responding to her residence for calls about harassment and a juvenile runaway. During their interactions, the victim said in Soloman’s cruiser for several hours and talked. He provided her with his work email address, according to court documents.
The two continued to communicate via text and email through 2017. The victim sent Soloman sexually explicit photographs of herself and Soloman responded by sending sexually explicit photographs via his work email account, according to court documents.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case is being prosecuted by Assistant U.S. Attorney Michael A. Sullivan following an investigation by the Federal Bureau of Investigation, the Ohio Bureau of Criminal Investigation, the Mahoning County Sheriff’s Office and the Austintown Police Department.
Cleveland man and former Parma resident charged with embezzling $186,000, using some of the money for cocaineRead the Press Release
A former Parma resident and a Cleveland man were indicted in federal court for their roles in a conspiracy to embezzle more than $186,000, said U.S. Attorney Justin E. Herdman and FBI Special Agent in Charge Stephen D. Anthony.
Lisa M. Pfrenger, 48, of Fairfield Bay, Arkansas, and previously of Parma, and Lorenzo Parker, 46, of Cleveland, were indicted on one count of conspiracy to make, utter and possess counterfeit checks and 14 counts of making, uttering and possessing counterfeit checks.
Pfrenger was the operations manager of Resource Title National Agency, Inc. (RTNA) and had control over the day-to-day operations of the company, including check writing. As a title company licensed by the state of Ohio, RTNA kept an account containing unclaimed funds from its various real estate transactions. The amount of funds in a title company’s unclaimed funds can become significant over time and if these monies remain unclaimed, the title company is required to transfer the unclaimed funds to the Ohio Department of Insurance, according to the indictment.
Pfrenger and Parker devised a scheme to embezzle monies in RTNA’s unclaimed funds account. Pfrenger issued checks in the name of previous customers of RTNA to make it look a legitimate payment of funds from a previous real estate transaction. Pfrenger then gave the checks to Parker, who either endorsed the checks himself or had others endorse the checks, by forging the signature of the payee and depositing the checks, according to the indictment.
Parker then withdrew the monies and used it for his personal use. In return, Parker provided Pfrenger with cocaine, according to the indictment.
Both Pfrenger and Parker knew that they had no legitimate basis to possess the counterfeited checks, nor the unclaimed funds. From January 2013 through October 2015, Pfrenger and Parker made, possessed and deposited approximately 216 counterfeit checks resulting in an approximate loss of $186,718 to RTNA’s unclaimed fund accounts, according to the indictment.
The defendants’ sentence, if any, will be determined by the Court after review of factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The matter is being prosecuted by Assistant U.S. Attorney Mark S. Bennett after an investigation by the Federal Bureau of Investigation.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Two charged with illegally reentering the U.S.Read the Press Release
Two people were indicted in for illegally reentering the United States, law enforcement officials said.
Miguel Marcos-Perez, 31, a citizen of Guatemala, was found in New Philadelphia after having twice previously been deported to Guatamala, most recently in 2012, according to court documents.
Alexis Manueles Mancia, 27, a citizen of Honduras, was found in Mahoning County after having previously been deported to Honduras three times, most recently in 2016, according to court documents.
The cases are being prosecuted by Assistant U.S Attorneys Kathryn G. Andrachik and Brian S. Deckert following investigations by the Immigration and Customs Enforcement, Department of Homeland Security.
If convicted, the defendant’s sentence will be determined by the court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial, in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Mail carrier charged with stealing more than 700 pieces of mailRead the Press Release
A mail carrier from North Olmsted was charged with one count of willful obstruction of the passage of mail, law enforcement officials said.
Alaina Chalkley, 36, took 24 pieces of first-class mail, 17 gift cards, 14 tobacco mailers, 694 pieces of undelivered mail and an envelope containing lottery tickets worth $5. This took place between March and July 2017, according to the criminal information.
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The case is being handled by Assistant U.S. Attorney Danielle K. Angeli following an investigation by the U.S. Postal Service – Office of Inspector General.
An information is only a charge and is not evidence of guilt. Defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Five indicted for firearms violationsRead the Press Release
Five people were indicted for firearms violations, U.S. Attorney Justin E. Herdman said.
Indicted are: Marriece L. Ellis, 25, and Warren J. McCray, Jr., 23, both of Akron; Shauntare Davis, 31, of Warren; Frank Arthur Thompson, III, 45, of Conneaut, and James D. Butler, 55, of Mansfield.
Ellis and McCray were charged with being felons in possession of firearm. They were arrested by Akron police officers investigating a report of shots fired on Oct. 22, 2018. Ellis was found to have a loaded Glock 9mm pistol despite a prior conviction for having a weapon while under disability. McCray was found to have a Wesson Arms .44-caliber pistol despite prior convictions for tampering with evidence and carrying concealed weapons, according to court records.
Davis is charged with being a felon in possession of a firearm. He was arrested by Warren Police Department after officers responded to a call of armed man making threats on Oct. 21, 2017. He was found to have shotgun ammunition despite prior convictions for aggravated robbery and felonious assault, according to court records.
Thompson is charged with being a felon in possession of a firearm. He possessed a Mossberg .22-caliber rifle and 592 rounds of ammunition in August 2017 despite a prior conviction for possession of marijuana with intent to distribute, according to the indictment.
Butler is charged with being a felon in possession of a firearm. Butler, on Aug. 24, 2017, possessed a Walther 9 mm pistol and ammunition despite prior convictions for robbery and burglary, according to the indictment.
Butler was arrested after the owner of Madison Sporting Arms in Mansfield complained Butler stole the firearm from his store and showed a police officer video surveillance that recorded the theft, according to court documents.
These cases are being prosecuted by Assistant U.S. Attorneys David M. Toepfer, Mark S. Bennett and Aaron P. Howell following investigations by the Bureau of Alcohol, Tobacco and Firearms and Akron Police Department (Ellis and McCray), Warren Police Department and Ohio Adult Parole Authority (Davis), North Kingsville Police Department (Thompson) and the Mansfield Police Department (Butler).
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.