Northern District of Ohio
Press releases recorded for this federal judicial district.
Former City of Cleveland Employee Sentenced to Prison for ExtortionRead the Press Release
A former City of Cleveland employee was sentenced to six months in prison followed by six months of house arrest for attempting to extort bribes from three companies in connection with his employment as a contract compliance officer, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland office.
Lejon C. Woods, age 29, of Cleveland, previously pleaded guilty to three counts of extortion under color of official right.
“Today’s sentence sends a message that there will be continuing consequences for those who seek use their public job as a way to enrich themselves,” Dettelbach said.
“Public corruption at any level is a breach of the public’s trust," Anthony said. "The FBI thanks the City of Cleveland, Division of Police - Intelligence Unit and the three area businesses that were solicited by Woods for their cooperation in bringing this matter to justice”
Woods, while acting in his capacity as a contract compliance officer with the City of Cleveland, solicited bribes from representatives of three local businesses, one of which was a nonprofit business, in connection with fines which were going to be imposed for non-compliance of contract requirements, according to court records.
The conduct took place from May 18, 2010, through August 5, 2010, according to the indictment.
When City of Cleveland funds are used to pay for any part of a construction or rehabilitation project, the company involved in the project is subject to City of Cleveland, Office of Contract Compliance regulations relating to the hiring of certain percentages of minority business enterprises, disadvantaged business enterprises and city resident workers, according to the indictment.
Woods told representatives of the three companies that in exchange for a cash payment, he would alter records with the City of Cleveland to reflect compliance. Woods obtained or attempted to obtain cash payments of $2,800, $3,000 and $1,200 from the respective companies, according to the indictment.
The indictment is a result of an investigation conducted by the Federal Bureau of Investigation with assistance from the Cleveland Division of Police, Intelligence Unit. This case is being prosecuted by Assistant United States Attorney Henry F. DeBaggis.
Former County Worker and School Board Member Sentenced to Four Years in Prison for Accepting BribesRead the Press Release
Former Cuyahoga County employee and Maple Heights school board member Santina “Sandy” Klimkowski was sentenced to four years in prison today for her role in the Cuyahoga County corruption scandal, federal law enforcement officials announced today.
Klimkowski, 61, of Maple Heights, previously pleaded guilty to after previously pleading Hobbs Act conspiracy, bribery, conspiracy to commit mail fraud, making false statements, tax charges and other crimes.
Klimkowski participated in a scheme with then-Cuyahoga County Auditor Frank Russo in which contracts for commercial appraisal work went to a company that paid bribes to Russo, a portion of which went to Klimkowski. She also got cash and home repairs in exchange for using her position on the school board to steer construction contracts to contractors who paid bribes to her, according to court documents.
She was also ordered to pay $270,302 in restitution. That money will go to Cuyahoga County ($154,000), Maple Heights City Schools ($83,414) and the Internal Revenue Service ($32,888).
“Klimkowski is yet another individual uncovered in a lengthy public corruption investigation that was portraying herself as a public servant through her employment while defrauding the citizens of our community,” said Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office. “The FBI and its partners will continue to root out public corruption, bringing the individuals involved to justice, as demonstrated with more than 60 convictions in this investigation.”
More than 60 people – including two judges, the county auditor and a former county commissioner -- have been convicted in the federal investigation into corruption in Cuyahoga County. Cuyahoga County is the largest county in Ohio and includes Cleveland.
The case was prosecuted by Assistant United States Attorneys Nancy L. Kelley and Antoinette T. Bacon following an investigation by the FBI and IRS – Criminal Investigation.
Toledo Man Sentenced to Eight Years in Prison for Fraud, Identity TheftRead the Press Release
A Toledo man was sentenced to more than eight years in prison for an identity theft scheme in which he defrauded banks out of $62,000, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Jermain R. Stevenson, age 23, pleaded guilty earlier this year to wire fraud and aggravated identity theft.
He admitted to using the Internet to gain personal information from people, including their names, Social Security numbers and credit card numbers, which he then used to defraud banks that issued credit cards. He used the information he obtained to purchase approximately $62,000 in goods and services from 2010 through 2012, according to court documents.
During his sentencing hearing, evidence was presented that demonstrated that Stevenson continued to access computers from prison and directed others to illegally transfer money from Western Union, Liberty Reserve and other services in order to continue the fraudulent scheme.
The investigating agency in this case is the Federal Bureau of Investigation. The case is being handled by Assistant United States Attorney Joseph R. Wilson.
Salem Pair Faces Drug and Money Laundering ChargesRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, today announced that a federal grand jury sitting in Cleveland, Ohio, returned a six-count indictment charging Charles S. Wilson, Jr., age 40, and Sandra R. Wilson, age 42, both of Salem, Ohio, with conspiracy; cultivation and distribution of marijuana; possession with the intent to distribute and distribution of marijuana; maintaining a residence for the purpose of distributing marijuana; conspiracy to launder money and money laundering.
The indictment charges that beginning at least as early as June 2013, and continuing through September 2013, the Wilsons conspired with each other and diverse others to manufacture (cultivate) and possess with intent to distribute marijuana. As part of the conspiracy, the Wilsons cultivated more than 100 marijuana plants which they knowingly and intentionally possessed with the intent to distribute. The indictment further charges that the Wilsons maintained a residence in Salem, Ohio, for the purpose of cultivating and distributing the marijuana.
The Wilsons are also charged with conspiracy to launder monetary instruments, and one count of engaging in a financial transaction using proceeds of marijuana trafficking.
If convicted, the defendants’ sentences will be determined by the Court after review of factors unique to this case, including each of the defendant’s prior criminal record, if any, each of the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentences 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 matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment in 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 Northeast Ohio Indicted for Identity-Theft Scheme That Defrauded Six States Out of $361,000Read the Press Release
Four people from Northeast Ohio were indicted for operating an identity-theft scheme which they used to defraud six states out of more than $361,000 in unemployment benefits, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Darnell Nash, age 29, of Cleveland Heights, Kennard Berts, age 20, of Cleveland Heights, Dwayne Buchannan, Jr., age 22, of Cleveland, and Justin Davis, age 26, of Cleveland Heights, are named in the 33-count indictment. The charges include conspiracy to commit mail and wire fraud, mail fraud, wire fraud, aggravated identity theft and money laundering.
“These defendants took advantage of people looking for help, then defrauded funds that were designed to assist those out of work and facing hard times,” Dettelbach said.
The indictment alleges that the defendants executed a “fictitious employer” scheme from about March 2012 to January 2013.
Nash, Berts, Buchanan and Davis prepared and distributed flyers in low-income areas that appeared to be from the “Full Circle Fund” which purportedly provided assistance vouchers for rent, food, furniture, clothing and cash to individuals. Individuals distributing the flyers were instructed by Nash to distribute the flyers in downtown areas and avoid neighborhoods, according to the indictment.
The flyers directed people to call a toll-free number. Callers to the Full Circle Fund were required to provide their names, dates of birth and Social Security numbers, according to the indictment.
Nash and others then submitted false paperwork to states’ unemployment-insurance offices in which the defendants registered 10 companies that did not actually exist and reported non-existent earnings for fictitious employees, according to the indictment.
The defendants then submitted false claims for unemployment-insurance benefits of the purported employees in California, Ohio, North Carolina, Texas, Indiana and Kansas. In doing so, the defendants used actual individuals’ personal identifying information that the defendants had obtained through misrepresentations, according to the indictment.
Unemployment insurance benefits cards for the fictitious employees were then mailed to at least five different addresses in Ohio. The debit cards were collected at maintained at Nash’s residence in Cleveland Heights. The defendants then used the debit cards at various ATMs to withdraw the money, according to the indictment.
Approximately $361,341 in fraudulent unemployment benefits were paid as a result of this scheme, according to the indictment.
Nash deposited more than $200,000 in cash into two personal bank accounts in 2012, representing proceeds from the scheme. He also purchased a 2008 Land Rover for $35,000 using money from the scheme, according to the indictment.
The case is being prosecuted by Assistant United States Attorneys, Robert W. Kern, M. Kendra Klump, and James Morford following an investigation by the Department of Labor’s Office of the Inspector General, the United States Secret Service, the United States Postal Inspector, and the Social Security Administration’s Office of Inspector General. Cleveland Heights Police Department also assisted the investigation.
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 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 Pair Accused of Defrauding Social Security AdministrationRead the Press Release
A federal indictment was filed today charging Lester K. Benson and Cheryl L. Benson, both age 53, of Cleveland, with one count of embezzling government funds, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The indictment charges the defendants with misrepresenting information to the Social Security Administration and thereby obtaining approximately $44,605.60 in disability benefits to which neither was entitled.
The indictment follows an investigation conducted by the Social Security Administration’s Office of the Inspector General, and the case is being prosecuted by Assistant United States Attorney M. Kendra Klump.
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 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.
More Than 30 People Charged with Heroin Trafficking, Many Affiliated with Lakeshore Boyz GangRead the Press Release
Criminal charges were filed against 32 people for their roles in a ring that sold heroin on the Northeast Side of Cleveland and in Euclid, law enforcement officials announced today.
The indictments and arrests were announced by Cuyahoga County Prosecutor Timothy McGinty, United States Attorney Steven M. Dettelbach, Cleveland Mayor Frank G. Jackson, Euclid Mayor Bill Cervenik, FBI Assistant Special Agent in Charge Todd Wickerham and Cleveland Police Chief Michael McGrath.
The following people are indicted in federal court: Derek A. Warner, 20, of Cleveland; Willie James Lavel Dunning, 29, of Cleveland and Nassor M. Williams, 28, of East Cleveland. All three men are charged with multiple counts of distribution of heroin. Warner and Dunning are also charged with being felons in possession of firearms.
The following people are indicted in Cuyahoga County Common Pleas Court: Timothy B. Bennett, 23, of Euclid; Frederick Brown, 30, of Euclid; Calvin Burks, 25, of Cleveland; Kevin Carswell, 26, of Cleveland; George D. Chambliss, 22, of Euclid; William George, Jr., 25, of Euclid; Cassius D. Foster, 28, of Cleveland; Monte Glenn, 29, of Cleveland; Curtis Harris IV, 21, of Euclid; Derek Dion Jackson, 19, of Euclid; Edward M. Jewell, Jr., 22, of Cleveland; Chas D. Johnson, 25, of Euclid; Davaunte M. Livest, 20, of Cleveland; Gino D. Martin, 25, of Cleveland; Brandon D. McBee, 23, of Cleveland; Sir Kimberly McGraw, 36, of Cleveland; Ramel K. McHaney, 28, of Cleveland; Montel Spencer, 28, of Cleveland; Luke O. Stewart, 20, of Cleveland; Mose D. Stewart, 25, of Warren; Maurice Thornton, 22, of Euclid; Louis R. Tinker, 30, of Cleveland; Michael D. Walker, 27, of Cleveland; Antonio Welch, 31, of Cleveland; Byron R. White, 31, of Cleveland; Ronald A. White, Jr., 24, of Shaker Heights; Maurice A. Wilson, 25, of Cleveland; Perez D. Worley, 22, of Cleveland and Julius L. Wright, 29, of East Cleveland.
Some of those indicted and still at large are affiliated with the Lakeshore Boyz street gang. Anyone with information about their whereabouts is encouraged to call the FBI at 216.522.1400.
According to law enforcement officials, the 29 defendants who were indicted on state charges belonged to a loosely aligned group of retail-level heroin and cocaine dealers who operated mostly on Cleveland’s far Northeast Side and in the city of Euclid.
The sales targeted in the state’s indictments took place between February and August of this year. Many of the sales took place within 1,000 feet of a school, an additional violation that elevates each offense one felony level and will add to the severity of any sentences.
In addition to the trafficking, defendant Brandon McBee, aka “Slim,” was indicted for felonious assault. On August 13, during an undercover heroin buy in Cleveland that was to culminate with McBee’s arrest, he attempted to flee and rammed his car into a police vehicle. McBee’s vehicle was badly damaged and he required EMS treatment.
“These are the retailers of death and destruction to neighborhoods and families,” McGinty said. “Everyone will be better off with them in prison.”
“The arrests of the 32 individuals is testament to our commitment to the residents of our communities to get drug dealers off of our streets. Along with our law enforcement partners and the community we will continue to do our best to stop drug traffickers from selling their poison in our neighborhoods,” McGrath said.
“The heroin sales that have taken place throughout our communities will not be tolerated,” Cervenik said. “We have heard the calls from our residents who have asked us to get rid of the drug dealers. Today, I'm happy to say that they won't be on our streets; instead, they'll be spending time in our jails.”
“These arrests are a fine example of how the FBI and our law enforcement partners will aggressively pursue and bring to justice those individuals who place our community at risk,” Wickerham said.
“This case is a demonstration of law enforcement working together to improve neighborhoods in Northeast Ohio,” Dettelbach said.
The cases are the result of a yearlong investigation by the Northern Ohio Law Enforcement Task Force, which is jointly led by the FBI and Cleveland Division of Police and includes investigators from the FBI, Cuyahoga Metropolitan Housing Authority, Drug Enforcement Administration, Internal Revenue Service, Immigration and Customs Enforcement, Cleveland Division of Police, Cleveland Heights Police Department, Cuyahoga County Sheriff’s Office, Euclid Police Department, Regional Transit Authority Police Department, Strongsville Police Department, Westlake Police Department and Shaker Heights Police Department.
The federal cases are being prosecuted by Assistant United States Attorneys Adam Hollinsgworth and Edward Feran, while the state cases are being prosecuted by Assistant Cuyahoga County Prosecutor Deb Naiman.
An indictment is only a charge and not evidence of guilt. A defendant is entitled to a fair trial at which time it will be the government’s burden to prove guilt beyond a reasonable doubt.
Aurora Man Sentenced to Nearly Five Years in Prison for FraudRead the Press Release
An Aurora man was sentenced to nearly five years in prison and ordered to pay more than $600,000 for defrauding his Beachwood-based employer and its investment clients, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, Stephen D. Anthony, Special Agent in Charge of the Cleveland office of the Federal Bureau of Investigation, and Kathy A. Enstrom, Special Agent in Charges, IRS Criminal Investigation, Cincinnati Field Office.
Andrew J. Franz, age 41, previously pleaded guilty to three counts of mail fraud, one count of securities fraud, one count of investment adviser fraud and five counts of income tax evasion.
“This defendant betrayed the trust of his employer and his clients,” Dettelbach said. “He lined his pockets with the money that people worked a lifetime to save.”
Anthony said: “Andrew Franz enriched himself with hundreds of thousands of ill-gotten dollars by creating and carrying out various fraudulent schemes. The FBI will continue to work with our law enforcement partners to bring to justice those that steal the hard-earned money of others.”
"Law abiding citizens expect the government to hold accountable those who use deceit and fraud to line their pockets with money, especially when that money represents stolen federal taxes and embezzled funds," Enstrom said. "As we often see, the victims are not only the taxpayers, but also the individuals and entities who suffer the financial harm."
U.S. District Judge Christopher Boyko sentence Franz to 57 months in federal prison. He also ordered Franz to pay $357,068 in restitution to his victims and $245,352 in back taxes to the IRS.
The first three counts of the information charge that Franz, through his employment and association with the Ruby Corporation (Ruby), a Beachwood investment company, defrauded Ruby and at least 10 of its clients by misappropriating customer funds for his own personal use and benefit.
Franz submitted quarterly fee requests to mutual fund and annuity companies for payment of investment advisory fees for Ruby’s clients’ investment accounts. Franz then caused these companies to issue checks by mail to Ruby, which checks Franz intercepted and deposited into bank accounts he maintained and controlled, and which funds he used for his own personal use and benefit, according to the information.
Franz submitted some fee requests that were for amounts not due and payable to Ruby, and some fee requests that were for amounts greater than were due and payable to Ruby. Franz also caused mutual fund and annuity companies to send some of these fraudulently obtained fee payments through the mail to his own residence, according to the information.
On some occasions, Franz deposited the funds obtained by his fraudulent fee requests into the accounts of Ruby in an attempt to conceal his fraudulent activity. Franz also contacted a mutual fund company by telephone and, misrepresenting himself as the owner of a trust, caused the mutual fund company to mail payments to Franz’s personal residence. Franz then deposited these checks into bank accounts he maintained and controlled, according to the information.
The information specifically lists three checks, drawn on the accounts of various clients of Ruby, that the Integrity Life Insurance Company sent to Franz’s personal residence between July 20, 2010 and September 7, 2010 as payment for false and fraudulent fee requests that Franz submitted.
Count 4 charges Franz with securities fraud in using and employing manipulative and deceptive devices and contrivances in connection with the purchase and sale of securities by employing devices, schemes, and artifices to defraud, and by engaging in practices which operated as a fraud on investors.
Count 5 charges Franz with investment adviser Fraud in aiding and abetting an investment adviser, namely, Ruby Corporation, in employing a scheme to defraud a client or prospective client, and engaging in a practice which operated as a fraud and deceit upon a client, through the use of the mail and instrumentalities of interstate commerce.
Counts 6 through 8 charge that Franz committed income tax evasion for calendar years 2007, 2008, 2009 by filing false and fraudulent tax returns. Counts 9 and 10 charge Franz with Income Tax Evasion for calendar years 2010 and 2011 by failing to make an income tax return as required by law, and by conducting his business affairs and personal expenditures in a manner designed to conceal his receipt and disposition of income and assets from the Internal Revenue Service. The total amount of additional tax due and owing by Franz for the tax evasion charged in Counts 6 through 10 is $245,352, according to the information.
The case is being prosecuted by Assistant U.S. Attorney Christian H. Stickan and Trial Attorney Scott M. Watson, following investigation by agents of the FBI, Cleveland Office and IRS-Criminal Investigations, Cleveland Office, with assistance of the United States Securities and Exchange Commission, Chicago, Illinois.
Diebold Inc. to Pay $25 Million Criminal Penalty to Resolve Foreign Corrupt Practices Act InvestigationRead the Press Release
Diebold Inc., the North Canton-based provider of integrated self-service delivery and security systems, including automated teller machines (ATMs), has agreed to pay a $25.2 million penalty to resolve allegations that it violated the Foreign Corrupt Practices Act (FCPA) by bribing government officials in China and Indonesia and falsifying records in Russia in order to obtain and retain contracts to provide ATMs to state-owned and private banks in those countries.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Steven M. Dettelbach of the Northern District of Ohio made the announcement.
The department today filed in U.S. District Court for the Northern District of Ohio a criminal information and a deferred prosecution agreement. The two-count information charges Diebold with conspiring to violate the FCPA’s anti-bribery and books and records provisions and violating the FCPA’s books and records provisions.
“In China, Indonesia and Russia, Diebold chose to pay bribes for business and falsify documents to cover its tracks,” said Acting Assistant Attorney General Raman. “Through its corrupt business practices, Diebold undermined the sense of fair play that is critical for the rule of law to prevail. Today’s action – which holds Diebold accountable for its criminal conduct, while also recognizing its cooperation and voluntary disclosure to the government of its conduct – underscores that fighting global corruption is and will remain a mainstay of the Criminal Division’s mission.”
“Companies that pay bribes to public officials, whether those officials are in Cleveland, in Ohio or overseas, violate the law,” said U.S. Attorney Dettelbach. “Corporate earnings cannot be placed above the rule of law, and today’s penalties – nearly $50 million in all – send the message again, loud and clear, that such conduct is unacceptable. We hope that Diebold will use this opportunity, including the internal controls and compliance monitor required by today’s agreement, to turn the page to a newer and more ethical corporate culture.”
According to court documents, Diebold paid bribes and falsified documents in connection with the sale of ATMs to bank customers in China, Indonesia, and Russia. With respect to China and Indonesia, the court documents allege that from 2005 to 2010, in order to secure and retain business with bank customers, including state-owned and -controlled banks, Diebold repeatedly provided things of value, including payments, gifts, and non-business travel for employees of the banks, totaling approximately $1.75 million. Diebold attempted to disguise the payments and benefits through various means, including by making payments through third parties designated by the banks and by inaccurately recording leisure trips for bank employees as “training.” The court documents also allege that from 2005 to 2009, Diebold created and entered into false contracts with a distributor in Russia for services that the distributor was not performing. The distributor, in turn, used the money that Diebold paid to it, in part, to pay bribes to employees of Diebold’s privately-owned bank customers in Russia in order to obtain and retain ATM-related contracts with those customers.
In addition to the monetary penalty, Diebold agreed to implement rigorous internal controls, cooperate fully with the department, and retain a compliance monitor for at least 18 months. The department agreed to defer prosecution for three years and, if Diebold abides by the terms of the deferred prosecution agreement, the department will dismiss the criminal information when the agreement’s term expires. The agreement acknowledges Diebold’s voluntary disclosure and extensive internal investigation and cooperation.
In a related matter, Diebold reached a settlement with the SEC and agreed to pay approximately $22.97 million in disgorgement and prejudgment interest. The SEC settlement was filed today.
The case is being prosecuted by Trial Attorney Daniel S. Kahn of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Justin J. Roberts of the Northern District of Ohio. The case was investigated by the FBI’s Cleveland Field Office. The department acknowledges and expresses its appreciation for the assistance provided by the SEC’s Division of Enforcement.
Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Youngstown Woman Charged Wtih Assaulting U.S. MarshalRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, today announced that a federal grand jury returned a one-count indictment charging Rochelle Johnson, age 41, of Youngstown, Ohio, with assaulting, resisting, opposing, impeding and interfering with a Deputy U.S. Marshal while engaged in official duty.
The indictment charges that on or about October 2, 2013, Johnson assaulted a Deputy U.S. Marshal while he was engaged in official duty.
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 and the Northern Ohio Violent Fugitive Task Force. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment in 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.
Stow Man Charged for $744,000 Scheme to Defraud His EmployerRead the Press Release
A criminal information was filed charging a Stow man with 10 counts related to a $744,000 scheme in which he ordered equipment at his company but then resold it for personal profit, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Thomas A. Steiger, age 45, faces six counts of wire fraud and four counts of interstate transportation of property obtained by fraud.
Steiger worked as the facility manager of the truck repair and cleaning departments at Voith Industrial Services’ plant in Walton Hills. The company had a contract with Ford Motor Company to provide parts and repair services for industrial equipment at Ford’s stamping plant in Walton Hills, according to the information.
From January 2011 through January 2013, Steiger equipment that neither Voith nor Ford needed, including infrared cameras, oscilloscopes, particle counters, earth-ground testers and Fluke meters. He then resold it to third parties, primarily an individual in San Diego, according to the information.
Steiger caused Voith to pay for the equipment but had it delivered to himself personally. He then shipped the equipment via UPS and had the payments from third-party purchasers wired to his personal bank account, according to the information.
He also had Voith purchase and pay for items that Steiger ordered for his personal use, including a laptop computer, a chainsaw, rock salt, a snow thrower and other items, according to the information.
Overall, Steiger caused Voith to make purchases totaling $744,109 for equipment the company never received, was sold by Steiger for his personal profit or was kept for his personal use, according to the information.
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. The sentence will not exceed the statutory maximum and in most cases will be less than the maximum.
This case is being handled by Assistant United States Attorney James V. Moroney following an investigation by the Federal Bureau of Investigation.
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.
Man Charged with Assaulting A Federal OfficerRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, announced that a grand jury returned a one-count indictment charging Dominic A. Times, age 29, with assault on a federal officer.
The indictment alleges that Times assaulted a correctional officer at the Elkton, Ohio, Federal Correctional Institution on January, 13, 2013.
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.
The case is being prosecuted by Assistant U.S. Attorney Lauren Bell, following an investigation by agents of 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.
Former Administrator of Union's Benefits Plan Charged with EmbezzlementRead the Press Release
The former administrator of a group of International Brotherhood of Electrical Workers (IBEW) Local 38 employee benefit plans was charged in a one-count information with embezzling approximately $32,000 from the company that administered the plans, United States Attorney Steven M. Dettelbach said.
John Dietz, age 56, of Twinsburg, Ohio, was employed as Administrator of the IBEW Local 38 Fringe Benefit Funds, Inc. (the “Funds, Inc.”), located in Valley View, Ohio. The Funds, Inc. administers three benefit plans for members of IBEW Local 38: the IBEW Local 38 Health & Welfare Plan, the IBEW Local 38 401(k) Retirement Plan, and the IBEW Local 38 Pension Fund.
The information alleges that from approximately February 21, 2009, through August 5, 2011, Dietz embezzled monies from the Funds, Inc. through various devices, including: (a) paying for personal expenses through charges to the Funds, Inc.’s two credit cards; (b) receiving expense reimbursement checks for personal expenses; and (c) issuing himself mileage reimbursement checks for personal automobile travel.
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 United States Attorney John M. Siegel following investigation by the Department of Labor’s Employee Benefits Security Administration and Office of Inspector General – Office of Investigations.
An information is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Drug and Firearms Charged Filed on Salineville ManRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, today announced that a federal grand jury sitting in Cleveland, Ohio, returned a two-count indictment charging Anthony Cunningham, age 56, of Salineville, Ohio, with maintaining a drug-involved premises and being a felon in possession of a firearm and ammunition.
Count 1 of the indictment charges that on or about June 2013, through July 2013, Cunningham maintained a place on State Route 39 in Salineville, Ohio, for the purpose of distributing heroin and cocaine.
Count 2 of the indictment charges that on or about August 2, 2013, Cunningham possessed an American Derringer, model 1, .40 Derringer and Federal .40 caliber ammunition, after he had been previously convicted of Bank Robbery in the U.S. District Court for the Northern District of Ohio, and of Felonious Assault with a Firearm Specification in the Stark County, Ohio, Court of Common Pleas.
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 Bureau of Alcohol, Tobacco, Firearms and Explosives and the Columbiana County Task Force. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
An indictment in 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.
Ohio Man Charged with Discharging Well Drilling Waste into Chagrin River TributaryRead the Press Release
A two-count criminal information was filed charging an Ohio man with discharging well drilling waste into Beecher Brook, a tributary of the Chagrin River, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
James L. Hidey, 45, of Dover, Ohio, in 2008 worked for Great Plains Exploration, an oil and gas well drilling company based in Northeast Ohio. On two separate occasions in 2008, Hidey directed the discharge of brine into a stormwater sewer after the completion of gas wells in Mayfield Heights and Highland Heights. The brine flowed from the stormwater sewers into Beecher Brook and eventually into the Chargrin River, according to the information.
Brine is water with a high quantity of salt dissolved into it and is used during the drilling phase of the well installation. It must be handled and disposed of properly because of the toxicity of brine.
“Clean, fresh water is one of our greatest resource in Northern Ohio,” Dettelbach said. “We must and will continue to aggressively investigate and prosecute cases in which people pollute Ohio’s streams, rivers and lakes.”
“Dumping toxic substances like brine into sewers and rivers can be extremely harmful to the environment and a real threat to Ohio families,” said Ohio Attorney General Mike DeWine. “We will continue to work with our task force partners to enforce environmental protection laws and hold violators accountable.”
“Our natural resources must be protected,” said Randall K. Ashe, Special Agent in Charge of U.S. EPA's criminal enforcement program in Ohio. “We will continue to investigate and refer for prosecution anyone who commits crimes against the environment.”
This case is being prosecuted by Special Assistant United States Attorney Brad J. Beeson, following an investigation by the U.S. EPA Criminal Investigation Division, the Ohio Bureau of Criminal Identification and Investigation, and the Ohio Environmental Protection Agency, all members of the Northeast Ohio Environmental Crimes Task Force.
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.
North Canton Man Charged with Embezzling $219,000Read the Press Release
A criminal information was filed charing a North Canton man with embezzling $219,000, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Joshua L. Haddad, age 29, is accused of embezzling approximately $219,900 from First Merit Corporation from April 2010 through September 2012. Haddad did this while he was employed as a teller at the bank’s Country Fair Branch, 4105 Tuscarawas Street West, in Canton, Ohio, which is a bank whose deposits were insured by the Federal Deposit Insurance Corporation, according to the information.
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 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.
This case is being prosecuted by Assistant U.S. Attorney Margaret A. Sweeney, following investigation by the Federal Bureau of Investigation.
The Justice Department Awards $6.8 Million to Northern Ohio for Crime Enforcement and PreventionRead the Press Release
The U.S. Department of Justice gave more than $6.8 million to fight crime in Northern Ohio this month, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Today, in conjunction with the U.S. Department of Justice Office of Community Oriented Policing Services (COPS), Dettelbach announced funding awards for the Northern District of Ohio, to be used to hire additional police officers and school resource officers.
The grantees, the additional officers to be hired and the grant amount, which includes salary and benefits for officers to three years, are as follows:
Akron, 10 officers, $1.25 million.
Austintown, 2 officers, $250,000.
Canton, 7 officers. $851,949.
Cleveland, 10 officers. $1.25 million.
Cuyahoga Metropolitan Housing Authority, 4 officers, $499,000.
Lima, 1 officer, $125,000.
Mansfield, 4 officers, $849,844.
Toledo, 10 officers, $1.25 million.
Warren, 2 officers, $250,000.
Additionally, the Northern Ohio Violent Crime Consortium was awarded $500,000, which will be used for data analysts and improved technology. NOVCC is made up of the eight largest departments in Northern Ohio – Akron, Canton, Cleveland, Elyria, Lorain, Mansfield, Toledo and Youngstown – and are engaged in intelligence-led policing efforts.
Earlier this month, the Department also awarded $1 million to fund crime prevention and enforcement efforts in the Mt. Pleasant neighborhood on Cleveland’s southeast side. The money will be used over three years to pay for crime prevention programs, training for felons returning for prison, as well as the continuation V-GRIP gun suppression initiative, in which federal agents work with Cleveland police to arrest people who illegally possess firearms.
“Today, the Justice Department is proud to support the brave and innovative men and women fighting and preventing crime in Northern Ohio,” Dettelbach said. “For people listening to those who would indiscriminately shrink or simply shut down the federal government, today’s grants, which support cops on the street and crucial crime prevention, is a reminder of the valuable role the federal government plays.”
“In the wake of past tragedies, it's clear that we need to be willing to take all possible steps to ensure that our kids are safe when they go to school,” said Attorney General Eric Holder. “These critical investments represent the Justice Department's latest effort to strengthen key law enforcement capabilities, and to provide communities with the resources they need to protect our young people. Especially in a time of increased challenges and limited budgets, our top priority must always be the safety and well-being of our children.”
Overall the COPS Office funded awards to 263 cities and counties, aimed at creating 937 law enforcement positions. More than $125 million will be awarded nationally, including nearly $45 million to fund 356 new school resource officer positions.
The COPS Hiring Program offers grants to state, local and tribal law enforcement agencies to hire or rehire community policing officers. The program provides the salary and benefits for officer and deputy hires for three years.
Grantees for the 2013 hiring program were selected based on their fiscal needs, local crime rates, and their community policing plans. There was an additional focus this year on agencies requesting assistance in developing school safety programs that would include the hiring of a school resource officer. School resource officer positions funded by the COPS Office are sworn law enforcement positions that work within a school district or facility, interacting directly with school administrators and students.
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1995, COPS has awarded over $14 billion to advance community policing, including grants awarded to more than 13,000 state, local, and tribal law enforcement agencies to fund the hiring and redeployment of approximately 125,000 officers and provide a variety of knowledge resource products including publications, training, and technical assistance.
For the entire list of grantees and additional information about the 2013 COPS Hiring Program, visit the COPS website at www.cops.usdoj.gov.
Two Indicted for Operating $700,000 "Payday Loan" Tax SchemeRead the Press Release
The managers of two Instant Tax Service offices in Toledo were indicted on several charges related to a $700,000 “payday loan” tax-refund scheme, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
“These defendants preyed upon clients who were in some cases desperate and in other cases not financially experienced,” Dettelbach said. “We will continue to work with the IRS to prosecute those who would abuse tax laws.”
IRS Criminal Investigation Special Agent in Charge Kathy A. Enstrom said: “Individuals who commit refund fraud and identity theft of this magnitude and with this degree of trickery, dishonesty and deceit, deserve to be punished to the fullest extent of the law. Be assured that IRS Criminal Investigation, together with our partners at the U.S. Attorney's Office, will hold those who engage in similar behavior fully accountable."
Adonay Mehreteab, age 27, of Fort Wayne, Indiana and Miranda Parr, age 32, of Heath, Ohio, are charged with conspiracy, wire fraud and making false, fictitious, or fraudulent claims to the Internal Revenue Service for tax year 2011. Parr faces an additional charge of aggravated identity theft.
Mehreteab owned and operated two Instant Tax Service franchise offices, one on Monroe Street and the other on Airport Highway. Mehreteab and Parr managed the offices, according to the indictment.
Mehreteab and Parr prepared and submitted tax returns claiming refund amounts in excess of what the taxpayers were entitled to. Mehreteab and Parr’s conspiracy resulted in at least 114 false, fictitious and fraudulent claims to be filed, causing a total refund of $700,974 and a loss to the government of $265,510, according to the indictment.As part of the conspiracy, Corporate ITS advertised “$1,000 holiday loans” to potential clients at the end of 2011. While ITS advertised $1,000 loans, most were in the range of $50 to $100, according to the indictment.
Mehreteab required clients applying for an ITS loan to provide information including their name, Social Security number, address, paystub, names of dependants and their Social Security numbers. Mehreteab indicated the loan would be a partial advance on their estimated 2011 tax return, according to the indictment.
Mehreteab, Parr, and others both known and unknown to the Grand Jury, then used personal and employment information of the loan clients to file 2011 individual income tax returns of behalf of loan clients, sometimes without their knowledge or authorization, according to the indictment.
Sometimes Mehreteab and Parr prepared correct returns when the client was present but later added false items to the return, such as false wages or incorrect dependants, to increase the refund amount. They also added false credits and deductions without verification and, in some instances, without authorization, according to the indictment.
ITS also charged exorbitant fees, typically $500 to $1,000, which were deducted from the clients’ refunds without disclosing to the taxpayer clients the fee amount prior to the return being filed, according to the indictment.
If convicted, the defendants’ sentence will be determined by the Court after reviewing factors unique to this case, including the defendants’ prior criminal record, if any, the defendants’ 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 investigating agency in this case is the Internal Revenue Service Criminal Investigation, Toledo, Ohio. The case is being handled by Assistant United States Attorney Joseph R. Wilson.
An indictment is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Toledo Man Charged Wtih Failing to Register as Sex OffenderRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, today announced an information was filed against Keith A. Prather, age 25, of Toledo. The charge relates to the failure to register as a sex offender under the Sexual Offender Registration and Notification Act.
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 investigating agency in this case is the United States Marshals Service, Toledo, Ohio. The case is being handled by Assistant United States Attorney Alissa M. Sterling
An information is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Medina Man Sentenced to 14 Years in Prison for Child Pornography CrimesRead the Press Release
A Medina man was sentenced to 14 years in prison for crimes related to child pornography, law enforcement officials said today.
Richard J. Miezin, 48, was previously found guilty of receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct, as well as making false statements and representations to the Federal Bureau of Investigation during their investigation.
Miezin knowingly distributed, by computer, numerous computer files, which contained visual depictions of real minors engaged in sexually explicit conduct from April 27, 2010, through February 25, 2011, according to court documents.
“This sentence should send a message to those who would victimize children,” said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
“Victims of child pornography are repeatedly harmed when images of their abuse are distributed over the Internet,” said Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland Office. “Individuals like Richard Miezin, who choose to engage in such despicable behavior, will be brought to justice.”
“Protecting our children from this type of exploitation is one of my highest priorities,” said Medina County Sheriff Tom Miller. “I remain committed to combating those who would seek to victimize the most innocent among us.”
This case is the result of was a joint effort of the Medina County Sheriff’s Office and the Akron Office of the FBI’s Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorney Carol M. Skutnik.
Targeting child predators is a priority of this newly established task force with the Medina County Sheriff and FBI. This task force will utilize all available investigative, technical and community resources to protect the children in our communities.
Two Executives at North Canton Company Indicted for Conspiracy to Violate Campaign Finance Laws, Obstruct JusticeRead the Press Release
A federal indictment was unsealed today charging two executives at a North Canton company with conspiring to violate campaign finance laws, conspiring to obstruct justice and committing other related crimes, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland Office.
Benjamin Suarez, 72, of Canton, and Michael Giorgio, 61, of Cuyahoga Falls, are both named in the eight-count indictment. They are charged with one count of conspiracy to violate campaign finance laws, two counts of violation of campaign finance laws, two counts of making false statements, one count of conspiracy to obstruct justice and one count of obstruction of justice. Suarez also faces an additional count of witness tampering. The indictment is based on allegations that Suarez, Giorgio and others funneled almost $200,000 in conduit contributions to campaigns in the 2012 election.
“This office, working with the FBI, has always and will continue to ensure that all who participate in our political process follow the rules and obey the law,” Dettelbach said. He also praised the investigation of the FBI in the case.
“Benjamin Suarez and Michael Giorgio engaged in behavior that blatantly ignored and directly circumvented clearly established campaign financing laws,” Anthony said. “The FBI is committed to fully investigate any such intentional violations of these laws, which exist to help ensure fair, honest, and transparent elections.”
Suarez is the founder and owner of a company identified in the indictment as Company A. Giorgio was Company A’s chief financial officer.According to the indictment, Suarez agreed to raise $100,000 for an Ohio candidate for the United States Senate and $100,000 for an Ohio candidate for the United States House. Suarez and Giorgio then recruited individuals who worked for or were otherwise associated with Company A to serve as conduit contributors; that is, to make contributions in their own names and those of their spouses, according to the indictment.
Giorgio, acting at Suarez’s direction, informed potential conduit contributors that the amount of their and their spouse’s contributions would be fully reimbursed by Company A, according to the indictment.
Suarez and Giorgio then directly and indirectly caused Company A to reimburse the conduit contributors, disguising the payments first as salary and then as profit sharing. Suarez and Giorgio caused the payments, including those of spouses, to be “grossed up” to cover payroll and other taxes, so the full amount of the contribution would be reimbursed, according to the indictment.
Suarez and Giorgio disguised and concealed the amount and source of the campaign contributions and identity of Company A as a contributor so that the public would be less likely to know the nature and extent of the support Company A and Suarez were providing the 2012 House campaign and 2012 Senate campaign, according to the indictment.
The indictment details 18 contributions, all made in March 2011, to a 2012 House campaign. It also details 20 contributions, all but one made in May 2011, to a 2012 Senate campaign.
Suarez and Giorgio are also accused of conspiring to obstruct justice from March 2011through this month. They allegedly did this by failing to turn over documents, records and evidence subject to federal Grand Jury subpoenas. They also caused Company A’s controller to create and distribute documents entitled “Advance on Profit Sharing” for all but one Company A employee or contractor who has been reimbursed for campaign contributions. Those documents were intended to create false the impression that the reimbursement payments that Company A previously made to the conduit contributors were actually “advances” that all along were meant to be repaid to Company A by the employees and contractors. They did this after newspaper reports detailed the suspicious contribution, according to the indictment.
According to the indictment, Suarez also sought to influence, delay and prevent witness testimony before a federal Grand Jury.
This case is the result of an investigation by the Federal Bureau of Investigation – Canton Field Office. It is being prosecuted by Assistant United States Attorneys Carole S. Rendon and Rebecca Lutzko.
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.
The investigation is ongoing.
Two Chicago Men Indicted on Heroin ChargesRead the Press Release
An indictment was filed charging Marcellus C. Lee, age 33, and Gregory A. Collins, aka “D.D.”, age 36, both of Chicago, with one count of conspiracy to distribute a kilogram of heroin and with one count of possession with intent to distribute heroin, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The indictment results from an investigation conducted by the Northern Ohio Law Enforcement Task Force (NOLETF), in Cleveland, Ohio. The NOLETF is a long standing multi-agency task force comprised of investigators from the Federal Bureau of Investigation, Cuyahoga Metropolitan Housing Authority, Drug Enforcement Administration, Internal Revenue Service, Immigration and Customs Enforcement, Cleveland Division of Police, Cleveland Heights Police Department, Cuyahoga County Sheriff’s Office, Euclid Police Department, Regional Transit Authority Police Department, Strongsville Police Department, Westlake Police Department and Shaker Heights Police Department. The NOLETF is also one of the initial Ohio High Intensity Drug Trafficking Area (HIDTA) initiatives. The HIDTA Program supports and helps coordinate numerous Ohio drug task forces in their efforts to eliminate or reduce drug-trafficking in Ohio. The case is being prosecuted by Assistant United States Attorney Christian H. Stickan.
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 Brook Park Men Plead Guilty to $2 Million Food Stamp FraudRead the Press Release
Two Brook Park men pleaded guilty today to defrauding the Supplemental Nutrition Assistance Program (formerly the Food Stamp Program) out $2 million from four Cleveland stores where they accepted food stamps for ineligible items such as beer and cigarettes, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Saed (Sam) Wahdan, 41, and his brother, Maher (Mario) Wahdan, 42, each pleaded guilty one count of conspiracy to commit food stamp fraud, one count of food stamp fraud and two counts of unlawful redemption of food stamps. Maher Wahdan also pleaded guilty to an additional count of theft of public funds.
“The food stamp program has provided nutritious food to thousands of hungry families over the years,” Dettelbach said. “We will continue to work to recover money stolen from the program and eradicate waste, fraud and abuse of government programs.”
The Wahdans are scheduled to be sentenced on April 24, 2014.
Nidal Jaber, 45, also of Brook Park, was also indicted for his role in the conspiracy. His charges are pending.
Between January 2008 and March 2012, the Wahdans and others conspired to commit more than $2 million in food-stamp fraud through four of their businesses: One Stop Beverage, 5105 Franklin Blvd.; Bridge Deli and Beverage, 4700 Bridge Ave.; Franklin Beverage and Deli, 4719 Franklin Blvd., and Scott Food Mart, 951 Linn Drive.
The Wahdans owned and operated all four stores but put them in the names of other people to conceal the fact that Saed Wahdan had a prior conviction for food stamp trafficking and Maher Wahdan had a prior conviction for impersonating an officer – both of which precluded their participation in the food stamp program, according to court documents.
The defendants used their businesses to exchange customer food stamps for cash and other unauthorized items, including beer and cigarettes. They also purchased food stamp cards from customers and used them at other grocery locations to purchase inventory for their stores and for their personal use, according to court documents.
The indictment seeks to forfeit property derived from the proceeds of the criminal conduct of the Wahdans, including the following Cleveland properties: 9604 Dennison Ave.; 3353 West 44th Street; 3374 West 130th Street; 1452 West 75th Street and 951 Linn Drive.
This case is being prosecuted by Assistant U.S. Attorneys Christos N. Georgalis, Vasile Katsaros and James Morford following an investigation by the U.S. Department of Agriculture, Office of Inspector General-Investigations and Department of Homeland Security, Homeland Security Investigations.
Lorain Man Sentenced to More Than Six Years in Prison for FirearmsRead the Press Release
A Lorain man was sentenced to more than six years in prison after previously pleading guilty to being a felon in possession of firearms, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Jose Romero, age 32, was found to have 40 pistols, rifles and revolvers earlier this year despite having a 2005 conviction in Lorain County for domestic violence, according to court documents.
“This office places a high priority on keeping firearms out of the hands of those who are forbidden by law from obtaining them,” Dettelbach said. “Whether it is a person using a gun to commit a violent crime, a felon illegally obtaining a firearm or a straw purchaser trying to circumvent the law, we will aggressively pursue those who would violate our nation’s firearms laws.”
U.S. District Judge James Gwin sentenced Romero to 80 months in prison on Sept. 20.
Romero told a confidential informant that he was interested in purchasing large numbers of firearms in an effort to influence their availability in Lorain, according to court documents.
The information indicated that Romero stores many of his firearms inside a safe inside his grandmother’s residence on Charleston Avenue in Lorain. Law enforcement officers subsequently searched Romero’s home on East 31st Street and the Charleston Avenue home on Feb. 26, 2013, according to court documents.
Investigators found firearms, marijuana and cocaine at the East 31st Street residence and a safe with 28 firearms at the Charleston Avenue residence, as well as marijuana, according to the court documents.
This case is being handled by Assistant United States Attorney Robert F. Corts following an investigation by the Lorain Police Department, the Drug Enforcement Administration, Lorain County Drug Task Force and Bureau of Alcohol, Tobacco, Firearms and Explosives.
Avon Lake Woman Pleads Guilty to Human Trafficking and Drug ChargesRead the Press Release
An Avon Lake woman pleaded guilty today to human trafficking and drug trafficking crimes after forcing four women, including two teens, to have sex for money, law enforcement officials said.
Ashley Onysko, 23, pleaded guilty to conspiracy to engage in sex trafficking and drug trafficking. She is scheduled to be sentenced Jan. 14, 2014
“This woman helped force teens to have sex for money,” said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio. “These activities happen all around us and it’s the responsibility of the community and law enforcement to work together to end these crimes.”
“The defendants in this case used narcotics to gain control over their victims and forced them to engage in sex acts while lining their own pockets with money,” said Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland office. “The FBI and our law enforcement partners will utilize all necessary resources to bring to justice those that victimize our youth.”
“This is an example of local police and federal law enforcement working together to make our community safer,” said Elyria Police Chief Duane Whitely.
Onysko’s co-defendant, Jeremy Mack, 37, of Elyria, is awaiting trial.
Between December 2012 and April 9, 2013, Mack and Onysko conspired together to provide heroin to four victims with drugs, including heroin and cocaine and then, after the victims incurred drug debts, used force, threats of force, fraud and coercion to compel them to engage in commercial sex acts.
They did this, in part, by posting photographs the victims on backpage.com on a user account that Mack and Onysko created on Dec. 25, 2012, according to the indictment.
At various times, Mack told and caused others to tell the victims that they needed to engage in commercial sex acts to repay the drug debts. The victims did, after which she turned over all proceeds to Mack and/or Onysko, according to the indictment.
This case is being prosecuted by Assistant United States Attorneys Bridget M. Brennan and Carole Skutnik following an investigation by the FBI and Elyria Police Department.
Justice Department Awards Cleveland $1 Million Grant for Crime Prevention and EnforcementRead the Press Release
The United States Department of Justice awarded the City of Cleveland a $1 million grant aimed at improving the Mount Pleasant neighborhood by expanding crime prevention programs, continuing targeted enforcement efforts and increasing programs for people returning to the neighborhood from prison, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The city was informed this week that it is a recipient of a $1 million Byrne Criminal Justice Innovation Program. The money will be disbursed over three years. Cleveland is one of only five cities to receive a full $1 million grant.
“This grant recognizes that improving public safety is about the people living in our neighborhoods and is a result of our longstanding, comprehensive approach and strong partnerships. It will support Cleveland Police and our law enforcement partners as they target violent crime, but it will also support a wrap-around approach for residents so that they have opportunities to choose a better life,” said Cleveland Mayor Frank G. Jackson. “I want to thank the Department of Justice for the grant and their continued partnership.”
“This money will allow us to expand a decade-long partnership between law enforcement, community leaders and social-service providers,” Dettelbach said. “These programs allow us to work together to prevent crime and to help those returning home from prison, instead of simply trying to arrest our way out of the crime problem.”
“Community engagement is a crucial part of the solution,” said Michael L. Walker, executive director of the Partnership for a Safer Cleveland. “Making arrests in and of itself will not prevent violent crime. We’re trying to work with community organizations to develop solutions the community can take ownership of.”
The grant will target the Mount Pleasant neighborhood on Cleveland’s southeast side, running along Kinsman Avenue between Lee Road and East 93rd Street.
Among the programs earmarked for funding through the grant:
* The continuation of the VGRIP gun suppression efforts, in which Cleveland police and federal agents work together to crack down on gun violence, often leading to federal prosecution of felons illegally in possession of firearms.
* The expansion of Stand Together Against Neighborhood Crime Everyday (STANCE), which will work with Mount Pleasant residents and community stakeholders to design and implement comprehensive prevention and reentry efforts, such as Operation Night Light (police and community leaders make surprise visits to parolees, training for those returning from prison) and Operation Focus (counseling, assessments, call-ins, coaching and service delivery).
* A Fugitive Safe Surrender in 2014, in which law enforcement and clergy work together to establish a safe location for non-violent fugitives wanted for low-level felonies to turn themselves in.
* Creating a comprehensive approach to restoring order to crime hot spots in the neighborhood, including improved street lighting, dispersing loiterers, performing code inspections, cleaning up vacant lots and razing abandoned buildings. This component also includes continuing to train police officers to connect youth who witness violence to mental health services within 48 hours.
* Case Western Reserve University’s Begun Center for Violence Prevention will collect, analyze and evaluate data to ensure that activities are supported by evidence of need and to track results. Data will be gathered by Cleveland police, Cleveland Schools, the Office of Building and Housing, Juvenile Court, adult and juvenile parole and other partner agencies.
The grant is the result of a partnership between more than 30 agencies, including the City of Cleveland, the Cleveland Municipal School District, the Cuyahoga Metropolitan Housing Authority, Partnership for Safer Cleveland, Sisters of Charity Health System, Third Federal Foundation, Mt. Pleasant NOW, St. Luke’s Foundation, Mt. Pleasant Community Zone, Cleveland Police, Cleveland Community Relations Board, the U.S. Attorney’s Office, the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshal, Greater Cleveland RTA, Cuyahoga County Prosecutor’s Office, Cuyahoga County Sheriff’s Office, Cuyahoga County Department of Justice Affairs, Cuyahoga County Juvenile Court, Ohio Department of Rehabilitation and Correction, Ohio Department of Youth Services, National Council of Jewish Women, College Now Greater Cleveland, Adcom Communications, Community Assessment and Treatment Services, Ohio Adult Parole Authority, and many others.
Cleveland Man Sentenced to Four Years in Prison for Mortgage Fraud, Other CrimesRead the Press Release
A former paid cooperator for a federal law enforcement agency was sentenced to more than four years in prison today for a variety of crimes related to a mortgage-fraud scheme, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the FBI’s Cleveland office.
Paul R. Tomko, age 40, of Cleveland, pleaded guilty in March to one count of conspiracy to commit wire fraud and wire fraud, two counts of wire fraud, one count of student loan fraud and one count of concealment.
U.S. District Judge Christopher Boyko sentenced Tomko to 52 months in prison and ordered him to pay $327,044 in restitution.
“Paul Tomko has been sentenced, yet again, for being a fraudster to the tune of hundreds of thousands of dollars,” Anthony said. “The FBI hopes he has finally learned his lesson.”
Tomko pleaded guilty in 2009 to charges related to a mortgage fraud scheme and was sentenced to three years probation in the United States District Court for the Northern District of Ohio, in Case No.1:09CR29, according to court documents.
In 2007, Tomko had signed a paid cooperation agreement with a federal law enforcement agency wherein Tomko was to take full responsibility and make full disclosure of his own mortgage fraud-related violations and assist that agency in other mortgage fraud investigations. Tomko was paid approximately $19,500 in 2007 and $7,500 in 2008 by that agency under their agreement. Tomko concealed this income from the Probation Department and also falsely stated that the law enforcement agency had approved Tomko operating a mortgage business (The Mortgage House) from his residence, according to court documents.
Tomko, through his company, OKMOT (“Tomko” backwards) Real Estate Company, recruited his housekeeper to apply for fraudulent mortgage loans for four properties between 2006 through 2007. Tomko falsely inflated the income and assets of his housekeeper in order for her to qualify for these loans, according to court documents.
Once the loans closed, Tomko fraudulently received approximately $100,000 of the proceeds by filing mechanics liens for work not performed and directing funds to himself and/or companies he owned and controlled, as well as to others not charged in this conspiracy, according to court documents.
Tomko concealed income he received as a cooperator from a federal law enforcement agency, in order to fraudulently obtain student aid and grants from the United States Department of Education, according to court documents.
The case is being prosecuted by Assistant U.S. Attorneys Christian H. Stickan and Christos M. Georgalis, following investigation by agents of the FBI, Cleveland Office and The Office of the Inspector General for the United States Department of Education.
Sixty People Indicted for Heroin TraffickingRead the Press Release
Sixty people were indicted in federal court for their roles in a conspiracy to bring heroin from Chicago and Atlanta and sell it throughout Greater Cleveland, law enforcement officials announced today.
An additional 32 people were indicted in Cuyahoga County Common Pleas Court on related state charges.
The indictments were announced today by Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, Timothy McGinty, Cuyahoga County Prosecutor, Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland office and Cleveland Police Chief Michael McGrath.The 203-count federal indictment describes a conspiracy took place from at least September 2011 through this month.
Keith Ricks, Brandy M. Bates and Dammarkro S. Nolan obtained heroin from suppliers in Atlanta and transported the drugs to Cleveland by mail or car. Ricks, Maurice Golston, Dionte Thompson and Leamon Shephard also pooled their money to obtain heroin from Atlanta, according to the indictment.
Ricks then distributed the heroin to other traffickers in Cleveland, including Shephard, Golston, Marcus Blue, Maceo Moore, Gregory Hamilton and Robert Belk, according to the indictment.
Shephard also took the heroin he obtained from Ricks and other suppliers and distributed to other dealers. Moore also obtained the heroin and distributed it to other dealers, including Jamez Jamel Webb II, Rolando J. Reed and Terrance Fletcher, according to the indictment.
Ricks, Moore, Shephard, Blue, Golston, Nolan and others also planned and committed burglaries and robberies from other drug dealers, customers and each other. This was done to fund their drug trafficking, to obtain heroin and other drugs and to collect drug debts, according to the indictment.
The men then sold the stolen heroin at discounted prices or used the stolen money to obtain heroin. They identified potential victims through a variety of ways, including targeting those who appeared to have expensive jewelry or cars or by using women to gather information about potential victims and report back to them. They sometimes used firearms or zip ties to restrain victims, according to the indictment.
The conspirators conducted counter-surveillance on law enforcement, including posting sentries to serve as lookouts. They also shared information about drug traffickers who had been arrested and obtained court documents regarding the details of traffickers’ court dates as a way to warn co-conspirators not to do business with other traffickers who had been arrested, according to the indictment.
Jovan Fussell and others also obtained large quantities of heroin from suppliers in Chicago and transported the drugs to Cleveland, where it was distributed to heroin dealers including Kenneth E. Harris, Gregory Hamilton, David E. McCall, Jr. Pierre A. Campbell and others.
Harris then redistributed the heroin to other individuals, including Frederick L. Darling, Gregory T. Savage, Jr., Terrance L. Fletcher and other dealers. Darling then supplied heroin to several other people for redistribution, including Eugene Miller, Thomas C. McCully and others.
“These defendants used firearms and violence to fund an operation that brought heroin, and the death it causes, from across the country into Greater Cleveland,” Dettelbach said. “Far from some of these defendants’ glamorous view of themselves, the suffering they caused unmasks them for what they are – greedy heroin dealers who cared about little besides money.”
Anthony said: “These individuals represent the worst of the worst, putting everyday citizens in danger by engaging in countless violent acts while lining their pockets with ill-gotten drug money. This wide-ranging investigation is another example of the comprehensive strategy by local, state and federal law enforcement to target, dismantle and eliminate the most significant criminal enterprises in our region.”
“Cuyahoga County is on track this year to set record-breaking numbers for heroin deaths,” McGrath said. “Lives will be saves as a result of the hard work by the Northeast Ohio Law Enforcement Task Force. These arrests are a testament to the great results achieved when law enforcement agencies work together for the common goal of making our streets safe and drug free. Through our cooperative partnership we will continue to seek out those groups and individuals that push poison into our neighborhoods.”
McGinty said: “Let today's raids and indictments-- and the trials and convictions to come -- be a message to those who want to capitalize on addiction: There’s a prison cell already built, the floor is painted, the stainless steel toilet is installed – and it’s waiting for you.”
Those facing federal charges are as follows: Carl Akins, 37, of Cleveland; Darnell Alexander, 29, of Brooklyn; Brandy Bates, 30, of Cleveland Heights; Beneditto Belfiore, 23, of South Euclid; Robert Belk, 27, of Cleveland; Stevenson Black, 47, of Cleveland; Dominique Blair, 28, of Euclid; Latrice Blevins, 39, of Cleveland; Marcus Blue, 30, of Euclid; Michael Buchanan, 48, of Cleveland; Pierre Campbell, 29, of Cleveland; Frederick Darling, 57, of Cleveland; Jacob Derrickson, 25, of Euclid; Leamon Eddie, 46, of Cleveland; Dana Ervin; 51, of Cleveland; Corey Etheridge, 22, of Shaker Heights; Antwon Evans, 30, of University Heights; Frederick Ferrell, 61, of Cleveland Heights; Terrance Fletcher, 40, of Cleveland; Robert Lee Fowlkes, 31, of Cleveland; Jovan Fussell, 33, of Euclid; Maurice Golston, 32, of Cleveland; Jermaine Grayson, 25, of Cleveland; Lachelle Hall, 30, of Euclid; Gregory Hamilton, 37, of Cleveland; Kenneth Harris, 45, of Cleveland; Ryland Harris, 53, of Cleveland; David Harsley, 32, of Cleveland; Erian Harwell, 24, of Cleveland; Carlton Higdon, 44, of Cleveland; Dominique Ivory, 25, of Euclid; Douglas Johnson, 58, of Cleveland; Luther Johnson, 55, of Cleveland; Michael Jones, 50, of Cleveland; Andrew Lovings, 59, of Cleveland; Devonta Maxwell, 30, of Euclid; Dave McCall, 37, of Cleveland; Thomas McCully, 53, of Cleveland; Lamar Middleton, 25, of Cleveland; Eugene Miller, 51, of Cleveland; Sandra Miller, 33, of Painesville; Maceo Moore, 37, of Euclid; Vince Morgan, 22, of North Olmsted; Ed Nix, 48, of Euclid; Dammarkro Nolan, 39, of Painesville; Brenda Norman, 58, of Cleveland; Vernon Norman, 77, of Euclid; Antwone Nowden, 31, of Cleveland; Ivan Percy, 38, of Cleveland; Eric Powell, 38, of Cleveland; Rolando Reed, 23, of Cleveland; Keith Ricks, 31, of Cleveland; Gregory Savage, 53, of Cleveland; Kevin Scott, 47, of Cleveland; Leamon Shephard, 25, of Cleveland; Dionte Thompson, 25, of Cleveland; Jamez Webb, 21, of Cleveland; Jamal Williams, 34, of Cleveland; Shaun Williams, 30, of Cleveland, and Raymundo Wren, 31, of Cleveland.
This case is being prosecuted by Assistant U.S. Attorneys Matthew W. Shepherd, Daniel J. Riedl and Matthew B. Kall following a multi-year investigation by the Northern Ohio Law Enforcement Task Force (NOLETF).
The NOLETF is a long standing multi-agency task force comprised of investigators from the Federal Bureau of Investigation, Cuyahoga Metropolitan Housing Authority, Drug Enforcement Administration, Internal Revenue Service, U.S. Coast Guard Investigative Service, Cleveland Division of Police, Cleveland Heights Police Department, Cuyahoga County Sheriff’s Office, Euclid Police Department, Regional Transit Authority Police Department, Westlake Police Department and Shaker Heights Police Department. The NOLETF is also one of the initial Ohio High Intensity Drug Trafficking Area (HIDTA) initiatives. HIDTA supports and helps coordinate numerous Ohio drug task forces in their efforts to eliminate or reduce drug trafficking in Ohio.
The investigation was assisted by the Hotel Interdiction Team, another HIDTA initiative comprised of members of the FBI, Cuyahoga County Sheriff’s Office, Homeland Security Investigations and police departments from Broadview Heights, Brooklyn, Brook Park and Independence.
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.
Youngstown Man Faces Heroin Distribution ChargeRead the Press Release
A Youngstown man was indicted today on charges of possession with intent to distribute heroin, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
On Aug. 17, 2013, Santos R. Rivera, age 47, possessed more than 100 grams of heroin, which amount is indicative of heroin trafficking, 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 sentences 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 and the Ohio Highway State Patrol. The matter is being prosecuted by Assistant United States Attorney David M. Toepfer.
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 Woman Sentenced to 16 Months in Prison for Theft of $41,000 in Government BenefitsRead the Press Release
A Cleveland woman was sentenced to 16 months in prison for the theft of more than $41,000 in government benefits, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
India N. Parker, 37, will serve her federal sentence after serving a sentence in state prison related to offenses against a human corpse, tampering with evidence and criminal mischief.
Parker pleaded guilty earlier this year in U.S. District Court to two counts of theft of government property and five counts of making false statements.
Parker’s five-year-old daughter died in late 2006. Parker left the child’s remains to decay before putting the body in a trash bag and then in a garbage can in her front yard. A garbage truck then picked up and disposed of the child’s body. The body was never found, according to court documents.
After the child’s death, Parker lied about her daughter’s whereabouts to friends, family and investigators. While she disposed of the body, Parker stole and converted to her own use $40,236 in Social Security payments made to her daughter and $1,393 in food stamp benefits, according to court documents.
She also made false statements to agency representatives by stating that her daughter had been living with her when, in fact, Parker knew that her daughter was deceased during the relevant time frames, according to court documents.
The case was prosecuted by Assistant U.S. Attorney Phillip J. Tripi, following investigation by agents of the Social Security Administration Office of Inspector General.
Two Akron Men Indicted on Methamphetamine ChargesRead the Press Release
Two Akron men were indicted on charges of possession with intent to distribute more than two kilograms of methamphetamine, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Robert E. Long, age 34, and Demarcus Golden, age 23, were also indicted on charges of use of the mail in interstate commerce to transport the drugs from Washington to Ohio via the United States Postal Service.
The defendants, while in another state, mailed an Express Mail box to themselves to an address in the Akron, Ohio area which contained approximately 10,196 pills of methamphetamine.
The indictment resulted from an investigation conducted by the United States Postal Inspectors from Cleveland and Tacoma, Washington, the Department of Homeland Security, the Cleveland Police Department and Akron Police Department. The case is being prosecuted by Assistant United States Attorney Teresa Dirksen.
If convicted, their sentence will be determined by the Court after review of factors unique to this case, including prior criminal records, if any, their role in the offenses and the unique 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.Three Men Indicted for Conspiracy to Mail 3,000 Pills of Oxycodone from California to OhioRead the Press Release
Three men were indicted for their roles in a conspiracy to distribute nearly 3,000 pills of Oxycodone, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Indicted are: Myron D. Black, age 44, of Mansfield, Ohio; Chauncey L. Ransom, age 49, of Inglewood, California, and Victor A. Hageman, age 45, of Euclid, Ohio.
“Prescription pill abuse is a major problem in Ohio,” Dettelbach said. “Whether it is a doctor selling prescriptions or people using the mail to ship pills across the country, we are committed to stopping the flow of illegal drugs.”
Ransom obtained a total of 2,989 pills (30 mg each) of Oxycodone, a Schedule II controlled substance, in California and mailed them to Black, Hageman and other in Ohio via the United States Postal Service Express Mail, according to the indictment.
Ransom often packaged the pills in video movie disc covers, plastic bubble mailing envelopes and other packaging to conceal the contents, according to the indictment.
Black and Hageman made arrangements with other individuals to receive the package from Ransom in return for money, usually $200, according to the indictment.
The conspiracy took place between at least August 2012 through April 2013, with Ransom mailing packages to addresses in Lakewood, Seven Hills, Akron and Mansfield containing shipments of between 200 and 600 pills, according to the indictment.
The indictment results from an investigation conducted by the United States Postal Inspection Service, in Cleveland, with the assistance of Metro-Richland County (Ohio) Enforcement Unit, and the Akron, Police Department, as well as the United States Postal Inspection Service, in Los Angeles, and the Los Angeles Police Department. The case is being prosecuted by Assistant United States Attorney Christian H. Stickan.
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.
Salem Pharmacist Charged with Health Care FraudRead the Press Release
A one-count criminal information was filed charging a Salem, Ohio, pharmacist with health care fraud, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Bruce E. Franken, 52, was excluded in 2003 from participating in all federal health care programs, including Medicare and Medicaid, for a minimum of 10 years as a result of his felony conviction, according to the information.
“This defendant was specifically barred from billing programs such as Medicaid because of his criminal past,” Dettelbach said. “Our office will continue to stamp out waste, fraud and abuse of all federal programs, particularly those that affect our health care system.”
From May 14, 2009, through July 14, 2011, Franken worked as a pharmacist at J.H. Lease Pharmacy, 229 North Ellsworth Avenue, Salem, Ohio. He filled prescriptions for Medicaid recipients even though he knew he was excluded from participation in all federal health care programs.
As a result of Franken’s unauthorized and fraudulent claims, Medicaid was billed and subsequently paid these prescriptions that Franken was prohibited from providing in the amount of $301,550, according to the information.
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, the defendants’ roles in the offense and the characteristics of the violation. The sentence will not exceed the statutory maximum and in most cases will be less than the maximum.
This case is being handled by Assistant U.S. Attorney Chelsea Rice and Special Assistant U.S. Attorney Constance Nearhood following an investigation by the U.S. Department of Health and Human Services, Office of Inspector General.
An information is only a charge and is not evidence of guilty. The defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Director of Cleveland Non-Profit Sentenced to A Year in Prison for Tax ViolationsRead the Press Release
The director of a Cleveland non-profit organization was sentenced today to a year in prison and ordered to pay more than $237,000 in restitution for withholding taxes from employees but not paying them over to the government, said Steven M. Dettelbach, the United States Attorney for the Northern District of Ohio.
Edward G. Kramer, 62, pleaded guilty to a 10-count criminal information in U.S. District Court in June. In addition to not paying over taxes withheld from employees, Kramer admitted that he also evaded his personal income tax obligations when he falsified his income tax returns for two years and did not file a file return in two other years, according to court documents.
“Today’s sentence is a reminder that we all have an obligation to truthfully report our income and pay taxes,” Dettelbach said. “It is especially incumbent on those who work in our legal system to follow the law themselves.”
Kramer was director and chief counsel of Housing Advocates, Inc., a non-profit organization in Cleveland that received federal funding from the U.S. Department of Housing and Urban Development. Kramer also maintained a private law practice and owned a property leasing business called Remark, according to the information.
Kramer underreported his income for calendar years 2007 (underreported by $79,262) and 2008 (underreported by $101,571), the understatement consisting of unreported payments from Housing Advocates accounts for his benefit as well as unreported income from his private law practice, according to the information.
Kramer also failed to file income tax returns for 2009 and 2010, despite the fact that he had taxable income of approximately $149,884 in 2009 and $270,687 in 2010, according to the information.
Collectively, Kramer sought to avoid paying taxes on approximately $500,000 in income between 2007 and 2010, according to the information.
Kramer was responsible for collecting, accounting for and paying over quarterly to the Internal Revenue Service income and FICA taxes on behalf of Housing Advocates, Inc. The organization deducted and collected the required taxes from the wages of its employees but Kramer willfully failed to pay over the taxes, according to the information.
The taxes collected but not paid over from January 2009 until September 2010 total nearly $80,000, according to the information.
This case is being prosecuted by Assistant U.S. Attorney Justin J. Roberts following an investigation by the Internal Revenue Service – Criminal Investigations and the Department of Housing and Urban Development – Office of Inspector General.
Former Lorain County Corrections Officer Pleads GuiltyRead the Press Release
A former Lorain County corrections officer pleaded guilty today to one count of deprivation of rights under color of law, said Jocelyn Samuels, Acting Assistant Attorney General for the Civil Rights Division, Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, and Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation’s Cleveland Office.
Marlon Taylor, 47, of Vermilion, was working as a corrections officer in Lorain County Jail on July 29, 2012, when he assaulted an inmate by striking him repeatedly, according to court documents.
These actions caused bodily injury to the inmate and deprived the inmate of the right to be free from cruel and unusual punishment, according to court documents.
“The vast majority of law enforcement officials do a great job,” Dettelbach said. “When someone abuses the power and privileges of their office, however, they can and will be held accountable.”
“We in the Civil Rights Division are committed to working with our partners in the U.S. Attorney’s Office and the FBI to identify, and where appropriate, prosecute instances of law enforcement abuse,” said Acting Assitant Attorney General Samuels.
“The acknowledgment of excessive force exhibited by a fellow officer in law enforcement is disconcerting,” Anthony said. “The public should be reminded that the vast majority of those serving within the criminal justice system do so with honor and integrity. Any allegation of abuse or excessive force involving law enforcement officers takes on a particular sense of urgency and will continue to be a priority for the FBI.”
Taylor is scheduled to be sentenced on Dec. 19.
This investigation has been conducted by the FBI’s Cleveland Office. Assistant U.S. Attorneys Antoinette T. Bacon and Lauren Bell and Trial Attorney Betsy Biffl will prosecute the case.
New Special Agent in Charge to Lead IRS Criminal Investigation, Cincinnati Field OfficeRead the Press Release
Kathy A. Enstrom has assumed the position of Special Agent in Charge of the Internal Revenue Service, Criminal Investigation (IRS-CI), Cincinnati Field Office, a position to which she was appointed by the Chief, Criminal Investigation, Richard Weber, in August 2013.
An 18-year veteran of IRS-CI, Ms. Enstrom began her career in 1995 with IRS-CI in as a student Special Agent in Cedar Rapids, Iowa. Ms. Enstrom was promoted to Special Agent in 1996 and transferred to Chicago, Illinois. During her field assignments, Ms. Enstrom worked various income tax, money laundering and Bank Secrecy Act investigations. Specifically, she was assigned to the Chicago High Intensity Financial Crimes Area Task Force.
Immediately prior to her assignment in Cincinnati, Ms. Enstrom served as a Supervisory Special Agent in Milwaukee, Wisconsin where she supervised agents and support staff in the Green Bay and Milwaukee offices. In 2010, Ms. Enstrom was selected for the Deputy Attaché position in Ottawa, Canada. While in Canada, Ms. Enstrom assisted Special Agents in retrieving information from Canadian authorities, businesses and individuals and developing financial investigations with International connections.
In 2011, Ms. Enstrom was selected as a participant in an IRS pilot program called the Accelerated Senior Leadership Program. This program is designed to accelerate the development and advancement of leaders with the ability, engagement and aspirations to become a Senior Leader or Executive within IRS-CI. As part of this program, Ms. Enstrom was detailed to Refund Crimes in Headquarters as a Senior Analyst. While in Refund Crimes, Ms. Enstrom was the National Return Preparer Program Coordinator, established the IRS-CI Identity Theft Clearinghouse and assisted in the development of the Identity Theft Disclosure Waiver Program. In May 2012, Ms. Enstrom was assigned to the Los Angeles Field Office as the Assistant Special Agent in Charge where she oversaw six groups in the Los Angeles and San Bernardino area.
Ms. Enstrom is a native of Marion, Iowa. She graduated from Mount Mercy University in Cedar Rapids, Iowa in 1996 with a Bachelor’s degree in Accounting and Business Administration. Ms. Enstrom completed her MBA in 2008 at Cardinal Stritch University located in Milwaukee, Wisconsin. Ms. Enstrom is married to Jim Enstrom.
IRS-CI Cincinnati Field Office covers the entire State of Ohio, and includes Posts of Duty in Cincinnati, Dayton, Columbus, Cleveland, Independence, Akron/Canton, and Toledo.
Kathy Enstrom, Special Agent in Charge, IRS, Criminal Investigation, stated, “As forensic accountants, IRS-CI Special Agents are known for their ability to 'follow the money'”. I am committed to making a difference and my office will use all of its resources in order to aggressively investigate individuals and businesses who commit income tax fraud, as well as, those who conspire to conceal their criminal activities.”
Ms. Enstrom is responsible for planning, directing, and evaluating activities of IRS-CI employees in the Cincinnati Field Office. The mission of IRS-CI is to serve the American public by investigating potential criminal violations of the Internal Revenue Code and related financial crimes in a manner that fosters confidence in the tax system and compliance with the law. IRS-CI’s top law enforcement priorities are outlined in the CI Compliance Strategy which is designed to promote tax compliance. IRS-CI’s Program Strategy is comprised of three independent programs: Legal Source Tax Crimes; Illegal Source Financial Crimes; and Narcotics Related Financial Crimes. IRS-CI must investigate and assist in the prosecution of those significant financial investigations that will generate the maximum deterrent effect, enhance voluntary compliance, and promote public confidence in the tax system.
Mansfield Man Found Guilty of Role in $1.3 Million Mortgage FraudRead the Press Release
A Mansfield man was found guilty of more than two dozen charges in connection with a mortgage fraud scheme which caused approximately $1.3 million in losses to Geauga Savings Bank, J.P. Morgan Chase Bank, Washington Mutual Bank, Interbaby Funding, LLC, and Suntrust Mortgage, Inc, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
David R. Sharrock, age 71, pleaded no contest to 26 counts, including conspiracy, bank fraud, wire fraud, bankruptcy fraud and making false statements.
His daughter, Rhonda J. McElroy, 51, of Bellville, Ohio, also was found guilty for her role in the conspiracy.
Defendants Ronald L Kightlinger, 51, of Crestline, Ohio, and Richard W. Balliett, 45, of Bucyrus, Ohio, previously pleaded guilty to crimes related to their roles.
Sharrock, Balliett, and McElroy sold homes in the cities of Mansfield, Marion, Galion, Plymouth, Shelby, and Bucyrus, Ohio. The sellers made fraudulent misrepresentations to the mortgage lenders by providing undisclosed down payment assistance to the buyers and by submitting fictitious purchase agreements and verifications of deposits. As a result, the sellers signed false settlement statements at closing, according to court documents.
Kightlinger acted as a straw buyer in purchasing a commercial building from David R. Sharrock in Mansfield, according to court documents.
This case is being prosecuted by Assistant United States Attorneys Vasile C. Katsaros and M. Kendra Klump, following an investigation by the Federal Bureau of Investigation.
Former Toledo Teacher Sentenced to Six Year in Prison for Child Pornography CrimeRead the Press Release
A Toledo man was sentenced today to more than six years in prison for receipt of child pornography, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Bruce Omlor, age 50, was sentenced to 75 months in prison after pleading guilty earlier this year to one count each of receipt of child pornography. The conduct occurred between June 2009 and April 2012, according to court documents.
“This sentence should send a warning to those that would become involved with child pornography,” Dettelbach said.
“Today’s sentencing emphasizes the serious consequences that await those who are engaged in any way with child pornography,” said William Hayes, acting special agent in charge of HSI Detroit, which covers Michigan and Ohio. “This case was particularly troubling because of Mr. Omlor’s position of public trust as an educator. HSI will continue to work closely with its law enforcement partners to protect our children and ensure that online predators feel the full weight of the law.”
The investigating agency in this case is the United States Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Cleveland. The case is being prosecuted by Assistant United States Attorney Gene Crawford.
Bowling Green Man Ordered to Pay $14,000 in RestitutionRead the Press Release
A Bowling Green man was ordered to pay more than $14,000 in restitution and sentenced to three years of supervised release after previously pleading guilty to illegally converting funds from the Department of Veterans Affairs, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Mickael C. Jones, age 36, illegally converted the money between May 2009 and December 2010, according to court documents.
Jones’ aunt died in May 2009. She had been receiving monthly VA surviving-spouse pension benefits. Not knowing of her death, the VA continued to make monthly direct deposits into her bank account, and Jones withdrew the money for his for his own use, according to the court documents.
The investigating agency in this case is the Department of Veterans Affairs, Office of Inspector General. The case is being handled by Assistant United States Attorney Thomas A. Karol.
Strongsville Company to Pay $330,000 for Fish-Kill Case; Money Will Be Used to Restock Rocky RiverRead the Press Release
A Strongsville company and the company owner’s wife were ordered to pay more than $330,000 for their roles in the dumping of a drum of liquid cyanide into a storm drain that flowed into the Rocky River, resulting in the death of more than 30,000 fish, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Kennedy Mint, Inc. was ordered to make a community service payment of $300,000 to the Cleveland Metroparks. In addition, the Court ordered Kennedy Mint to pay restitution in the amount of $30,893. The company previously pleaded guilty to violating of the Clean Water Act.
Teresina Montorsi, 74, was sentenced to one year of probation and ordered to pay a fine of $5,000. She previously pleaded guilty to obstruction of justice.
“Clean, fresh water is Ohio’s greatest natural resource,” Dettelbach said. “We are satisfied that we were able to determine who put the cyanide into the river and killed tens of thousands of fish. The restitution from this case will be used to restock the river with fish, so that people can again enjoy the natural beauty of the Rocky River.”
“America’s waterways must be protected from illegal dumping of industrial waste,” said Randall K. Ashe, Special Agent in Charge of U.S. EPA’s criminal enforcement program in Ohio. “The deliberate discharge of cyanide into a stream that runs through Rocky River Metropark is unconscionable, carrying severe consequences for wildlife and human health. Today’s sentencing shows that those who skirt environmental laws to save the costs of safe and legal disposal will be held accountable.”
“We are pleased that the river will be restocked with fish,” Ohio Attorney General Mike DeWine said. “This case demonstrates the devastating consequences that a single dumping can have on the environment. We will continue to work with our Task Force partners to investigate and prosecute violations of environmental protection laws and those who attempt to cover up such violations.”
Company owner Renato Montorsi was indicted last year, but those charges were dismissed after he was found to be incompetent to stand trial.
Renato and Teresina Montorsi are married and live in Grafton, Ohio, according to public records.
Kennedy Mint will pay restitution of $30,893 -- $1 for every fish killed by the illegal discharge. The money will be paid to the Ohio Department of Natural Resources and used to restock the river with steelhead trout under the terms of the plea agreement.Kennedy Mint will also pay $300,000 as part of community service. The $300,000 will be paid to the Cleveland Metroparks.
Renato Montorsi owned and operated Kennedy Mint, which is located in Strongsville. Kennedy Mint specializes in collectible coins, but previously conducted metal plating and printing operations. The East Branch of the Rocky River is near the Kennedy Mint facility and storm water from that location’s parking lot flows into the East Branch of the Rocky River, according to court documents.
On April 16, 2012, Montorsi, with assistance from an employee, put two drums into a dumpster outside Kennedy Mint. On April 17, the waste hauling company declined to dispose of the contents of the dumpster because of the two drums inside, according to court documents.
On April 18, Montorsi moved the drums from the dumpster and placed them next to the storm drain in the Kennedy Mint parking lot, according to court documents.
Later that day, Montorsi used a hammer and sharp metal tool to punch a hole near the bottom of a drum that included a poison label featuring a skull and cross bones. After punching the hole, liquid cyanide in the drum was discharged into the storm drain and eventually the East Branch of the Rocky River, according to court documents.
Around April 22, the Ohio Department of Natural Resources received reports of dead fish in the East Branch of the Rocky River. Nearly every fish was dead downstream for the next three miles, according to the court documents.
The Ohio DNR counted approximately 30,893 dead fish in that three-mile stretch of the river, due to the discharge of cyanide, according to court documents.
On April 25, personnel from the Ohio Environmental Protection Agency asked to enter the Kennedy Mint facility to look for the drums, which they did not locate. After they left, Renato Montorsi, with help from Teresina Montorsi, moved two drums from Kennedy Mint to their residence so they would not be discovered if investigators returned, according to court documents.
On June 22, Teresina Montorsi gave permission to U.S. EPA agents and Ohio EPA investigators to search their home without a warrant, at which point the agents found the punctured drum and another drum that contained cyanide, according to court documents.
This case is being prosecuted by Special Assistant U.S Attorney Brad J. Beeson following an investigation by the following agencies: United States Environmental Protection Agency, Criminal Investigation Division; Ohio Bureau of Criminal Identification and Investigation; the Northeast Ohio Regional Sewer District; the Ohio Environmental Protection Agency, Office of Special Investigations; the Ohio Department of Natural Resources, Division of Wildlife, and the Cleveland Metroparks Rangers, all members of the Northeast Ohio Environmental Crimes Task Force.
Ohio Man Pleads Guilty to Violating Clean Water Act by Discharing Waste into Mahoning RiverRead the Press Release
An Ohio man pleaded guilty today to one count of violating the Clean Water Act, said Steven M. Dettelbach, the United States Attorney for the Northern District of Ohio.
Michael L. Guesman, 34, of Cortland, Ohio, admitted to illegally discharging brine and oil-based drilling mud into a stormwater drain on numerous occasions. The drain flowed into an unnamed tributary of the Mahoning River and ultimately into the Mahoning River, according to court documents.
“Clean, fresh water is our greatest resource in Northern Ohio,” Dettelbach said. “We will aggressively investigate and prosecute cases in which people pollute Ohio’s streams, rivers and lakes.”
“Opening a valve and dumping brine and oil-based drilling mud into a river is inexcusable,” Ohio Attorney General Mike DeWine said. “We each have a role in keeping the state’s waters safe for all Ohioans and actions like this will not be tolerated.”
“The defendant admits that he dumped toxic, oil-based drilling mud into the Ohio River watershed. It saved time and money, but it also seriously threatened environment, wildlife and human health” said Randall Ashe, Special Agent in Charge of EPA’s criminal enforcement program in Ohio. “Today’s plea should help protect the Mahoning and other rivers by deterring those who would turn America’s waterways into chemical dumping grounds.”
According to documents filed with the court related to the case:
Guesman was an employee of Hardrock Excavating LLC. The Hardrock facility was located in Youngstown, Ohio. The facility is within one mile of the Mahoning River.
Hardrock provided services to the oil and gas industry in Ohio and Pennsylvania, including the storage, treatment, and disposal of waste liquids generated from oil and gas well drilling operations. Prior to treatment or disposal these liquids were stored in tanks located at the facility. Each tank has an approximate capacity of 20,000 gallons.
Some of the waste liquids accepted by Hardrock included brine, flowback, and oil-based drilling mud. Brine is water with a high quantity of salt dissolved in it, flowback is the liquid left over as part of hydrofracturing ("fracking"), and oil-based drilling mud is a semi-solid slurry that contains petroleum products.
Starting on or about December 12, 2012, at the direction of the owner of Hardrock, Benedict W. Lupo, Guesman emptied some of the waste liquid being stored at the facility into a nearby stormwater drain. Lupo further directed that Guesman conduct this activity only after no one else was at the facility and after dark.
Over the next two months, on numerous occasions, at the direction of Lupo, Guesman emptied some of the waste liquid being stored at the facility into the nearby stormwater drain using a hose.
On or about January 31, 2013, was the last time Guesman emptied some of the waste liquid being stored at the facility into the nearby stormwater drain. The waste liquid emptied that night included a mixture of brine and oil-based drilling mud, according to court documents.
In total, Guesman emptied tanks at the direction of Mr. Lupo on approximately 24 different nights.
A sample of the discharge on the night of January 31, 2013, was obtained and analyzed. Analysis of the sample, which was black in color, showed the presence of several hazardous pollutants, including benzene and toluene.The stormwater drain, into which the waste liquids had been discharged, flowed into an unnamed tributary of the Mahoning River, which is a waterway of the United States.
Federal charges against Lupo and Hardrock remain pending. Both were indicted earlier this year on one count of violating the Clean Water Act.
Guesman is scheduled to be sentenced on November 15, 2013.
The statutory maximum for violating the Clean Water Act is for individuals is three years in prison, one year of supervised release and a fine of $50,000 per day of violation or $250,000, whichever is larger. For corporations, the statutory maximum is five years of probation and a fine of $50,000 per day of violation or $500,000, whichever is larger.
This case is being prosecuted by Special Assistant U.S. Attorney Brad Beeson following an investigation by the Ohio EPA, Ohio Department of Natural Resources, U.S. EPA, the Ohio Bureau of Criminal Investigation, the Youngstown Department of Public Works and the Youngstown Fire Department.
Parma Man Charged with CounterfeitingRead the Press Release
Counterfeiting charges were filed against a Parma man, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
A grand jury returned a two-count indictment charging Joshua A. McKnight, 25, with conspiracy to possess and pass counterfeit obligations of the United States and possessing counterfeit obligations of the United States.
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 case is being prosecuted by Assistant United States Attorneys Margaret A. Sweeney and Edward F. Feran, following an investigation by the United States Secret Service and the Ohio State Highway Patrol.
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 Philadelphia Man Charged with Child Pornography CrimesRead the Press Release
Brian Meck, 25, of New Philadelphia, Ohio, was charged with production of child pornography, receipt and distribution of visual depictions of real minors engaged in sexually explicit conduct, and possession of child pornography, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
The indictment charges that between the dates of August 31, 2011 and September 30, 2011, Meck produced visual depictions of a minor engaged in sexually explicit conduct, using materials that were mailed, shipped, or transported in or affecting interstate or foreign commerce.
During that same date range, Meck received and distributed in interstate and foreign commerce, numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. In addition, on or about August 2, 2013, Meck possessed an Apple laptop computer that contained child pornography, which had been shipped and transported, or was produced using materials that had been shipped and transported, in interstate and foreign commerce by any means including by computer, according to the indictment.
If convicted, the sentence in this case will be determined by the court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique 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 Northern District of Ohio Assistant United States Attorney Carol M. Skutnik. The case was investigated by the Federal Bureau of Investigation, Canton Resident Agency.
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.
Euclid Man Charged with Child Pornography CrimesRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, announced today that Joseph D. Weiss, 44, of Euclid, Ohio, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct.
The indictment charges that from on or about March 4, 2013, through on or about March 15, 2013, Weiss knowingly received and distributed, by computer, numerous computer files, which contained visual depictions of real minors engaged in sexually explicit conduct. On March 22, 2013, images of child pornography were also found on his external hard drive.
If convicted, the sentence in this case will be determined by the Court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique 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. The case was investigated by the Ohio Internet Crimes Against Children Task Force and the Euclid 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.
Cleveland Man Charged with Robbing Shaker Heights BanksRead the Press Release
A Cleveland man was indicted on charges related to the robbery of a Shaker Heights bank, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Charles D. Moore, 28, was indicted on one count of armed bank bobbery. This charge arises from the July 9, 2013, bank robbery of the PNC Bank at 20711 Chagrin Boulevard. in Shaker Heights, Ohio, when Moore held the bank manager at gunpoint and stole approximately $46,000 from the bank's tellers, 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 case is being prosecuted by Assistant United States Attorneys Margaret A. Sweeney following an investigation by the Cleveland and Pittsburgh Field Offices of the Federal Bureau of Investigation and the Shaker Heights 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.
Cleveland Man Charged with Child Pornography CrimesRead the Press Release
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, announced today that Steven L. Lantz, 30, of Cleveland, was charged with receiving, distributing and possessing visual depictions of minors engaged in sexually explicit conduct.
The indictment charges that from on or about June 30, 2012, through on or about October 15, 2012, Lantz knowingly received and distributed, by computer, numerous computer files, which contained visual depictions of real minors engaged in sexually explicit conduct. On October 31, 2012, images of child pornography were also found on his Toshiba laptop computer.
If convicted, the sentence in this case will be determined by the Court after consideration of the Federal Sentencing Guidelines which depend upon a number of factors unique to each case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the unique 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. The case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement.
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 Woman Convicted of Tax CrimesRead the Press Release
An Akron woman was convicted of tax crimes for failing to report more than $200,000 in income, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Kelly Prigmore, 43, was found guilty following a trial on two counts of making and subscribing false federal income tax returns for the years 2006 and 2007.
Sentencing is scheduled for Dec. 12.
Prigmore worked as a self-employed home health care provider for a client who paid her for live-in 24 hour services. Prigmore filed joint personal income tax returns on which she omitted approximately $209,601 of her home health care service income, according to court documents.
For 2006, she reported total income of $8,600 and omitted additional income of approximately $96,806. For 2007, she reported total income of $8,990 and omitted additional income of approximately $112,795, according to court documents.
This case is being prosecuted by Special Assistant United States Attorney Perry D. Mastrocola and Assistant United States Attorney John Siegel, following an investigation by the Internal Revenue Service, Criminal Investigation, Akron, Ohio.
Nurse Sentenced to 12 Years in Prison for Murder-For-Hire PlotRead the Press Release
A Cleveland-area nurse was sentenced to 12 years in prison today for his role in a murder-for-hire plot and related crimes, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio.
Andrew Martin, age 23, of Bristolville, pleaded guilty earlier this year to use of an interstate commerce facility in the commission of murder-for-hire, conspiracy to commit wire fraud and obtaining individually identifiable health information.
“This sentence underscores the seriousness of this defendant’s conduct,” Dettelbach said. “He sought to have a woman killed over a home in Lakewood. The community is fortunate that law enforcement was vigilant and stopped this plot.”
“Working with Lakewood police and fire and our other law enforcement partners, an individual was brought to justice who attempted to prey on an elderly person, both financially and physically,” said Lance Kimmell, Group Supervisor for the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Cleveland office.
U.S. District Judge Christopher Boykok also ordered Martin to pay more than $83,000 in restitution.
Martin worked as a registered nurse at a local hospital. He and another person (identified as D.S., who worked in the business of residential property repair and rehabilitation) conspired to take ownership and control of the house at 17225 Clifton Boulevard in Lakewood, which was owned by a person identified as G.W. who was a patient at the hospital where Martin worked, according to court documents.
This would be done, in part, by Martin accessing G.W.’s medical records. He passed that information on to D.S., who fraudulently maintained he had a personal relationship with G.W., which caused the homeowner to transfer ownership of the Clifton property prior to the G.W.’s death, according to court records.
On Nov. 21, 2011, Martin and D.S. caused a fraudulent quitclaim deed to be filed with the Cuyahoga County Recorder, which transferred ownership to D.S. D.S. had fraudulently represented to others that he had a personal relationship with G.W. based on medical records accessed by Martin, according to court documents.
A woman identified as J.C. was the sister of G.W. and the administrator of his estate. On Nov. 21, 2011, Martin and D.S. met J.C. at the property, where they maintained D.S. was the rightful owner, according to court documents.
In February 2012, Martin prepared D.S. for a deposition relating to the transfer of the Clifton property by providing D.S. with personal information about G.W. that Martin learned from accessing his medical records at the hospital, according to court documents.
On November 5, 2012, Martin used a telephone in connection with his intention that J.C. be murdered in exchange for the promise of $10,000, according to court documents.
Martin solicited a patient at the hospital to kill J.C. because “she has been trying to mess up my life” and then followed up with telephone calls which related to the solicitation. Martin wanted the patient to “put four in her head and make it look like a robbery,” according to court documents.
This case is being prosecuted by Assistant United States Attorneys Henry F. DeBaggis and Kelly L. Galvin following an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Maple Heights Police Department and Lakewood Police and Fire Departments.
Two Canton Men Charged for Role in Large Marijuana Shipment Destined for ClevelandRead the Press Release
Two Canton men were charged in U.S. District Court with conspiracy to possess with intent to distribute marijuana following the seizure of a semi tractor-trailer loaded with about 1,700 pounds of marijuana destined for Cleveland, law enforcement officials said.
Charged are Ray Sanchez, 46, and Andy Fagan, 29, both of Canton.
According to an affidavit filed in the case:
Sanchez contacted a counterpart in Texas this month and arranged for a large amount of marijuana to be shipped to Ohio. The next day, Fagan sent $20,000 by Federal Express to the Texas connection, which law enforcement officers suspected related to the shipment of marijuana from Texas to Cleveland.
Sanchez then indicated the marijuana would arrive on Aug. 15.On the morning of Aug. 15, law enforcement officials learned that the shipment of marijuana was intercepted by Homeland Security Investigations agents when the semi crossed the border at Laredo, Texas. The semi contained 1,718 pounds of marijuana hidden in recycling equipment and addressed to Fagan in Ohio.
Sanchez and Fagan were subsequently arrested.
The case is being investigated by a High Intensity Drug Trafficking Agency Task Force comprised of members of the Cleveland Division of Police, Independence Police Department, Broadview Heights Police Department, Brooklyn Police Department, Brook Park Police Department, Cuyahoga County Sheriff’s Office, Federal Bureau of Investigation and Homeland Security Investigations. The Northern Ohio Law Enforcement Task Force also assisted. The case is being prosecuted by Assistant United States Attorney Vasile Katsaros.
A charge is not evidence of guilty. A person is considered innocent until proven guilty and it is the government’s burden to prove guilty beyond a reasonable doubt.
The investigation is ongoing.
Ohio Man Fined $8,000, Forfeits IvoryRead the Press Release
An Ohio man was fined $8,000 and ordered perform community service after previously pleading guilty to falsely labeling a package containing wildlife items, said Steven M. Dettelbach, United States Attorney for the Northern District of Ohio
Mark St. John, 53, of Northwood, Ohio, falsely labeled an elephant ivory shipment destined for an overseas buyer on June 1, 2011, according to court documents.
He also forfeited his collection of more than 700 pieces of ivory as part of the plea, according to court documents.
The investigating agency in this case is the United State Fish & Wildlife Service, Delaware, Ohio. The case is being handled by Assistant United States Attorney Gene Crawford.