Southern District of Ohio
Press releases recorded for this federal judicial district.
Canadian Man Sentenced to 63 Months for Possessing 290 Pounds of CocaineRead the Press Release
COLUMBUS, Ohio – David Ayotte, 46, of Maribel, Canada, was sentenced in U.S. District Court to 63 months in prison and three years of supervised release for possession with intent to distribute more than five kilograms of cocaine.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, announced the filing of the plea documents today.
Law enforcement and other agencies involved in this case include: Homeland Security Investigations, U.S. Drug Enforcement Administration, Federal Aviation Administration, Ohio University Police Department, the Ohio University Airport, Athens County Sheriff’s Office, U.S. Customs and Border Protection Air and Marine Operations, Ohio National Guard Counter Drug Program, Ohio Bureau of Criminal Investigations, U.S. Homeland Security Investigations Attaché Office Montreal, Ohio High Intensity Drug Trafficking Area (HIDTA) Task Force, Royal Canadian Mounted Police, Canada Border Services Agency and Service de Police del la Ville de Montreal.
Ayotte and Sylvain Desjardins, 48, also of Maribel, Canada, pleaded guilty in May 2017 to one count of possession with intent to distribute more than five kilograms of cocaine.
According to the Statement of Facts filed in this case, on March 29, 2017, a U.S. Customs and Border Protection Air and Marine Operations center official in Riverside, Calif. detected an aircraft that departed from the Bahamas and was traveling to Windsor, Ontario, Canada but had diverted to Gordon K. Bush Airport at Ohio University.
The official contacted the Athens County Sheriff’s Office, who, along with agents from HSI, executed a search warrant on the plane upon arrival. While doing so, investigators discovered approximately 132 kilograms or 290 pounds of cocaine.
Desjardins was the pilot and Ayotte was his passenger. The two men intended on flying the cocaine to Canada to then distribute, but discovered that the plane was having mechanical issues.
U.S. Attorney Glassman commended the cooperative investigation of this case by law enforcement, as well as Deputy Criminal Chief Michael J. Hunter, who is representing the United States in this case.
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13 Indicted in Stolen Check SchemeRead the Press Release
COLUMBUS, Ohio – A federal grand jury has charged 13 individuals with conspiracy to commit bank fraud and bank fraud in an 18-count superseding indictment returned here today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service and Monica S. Weyler, Special Agent in Charge, U.S. Postal Service Office of Inspector General, announced the superseding indictment.
The superseding indictment alleges that beginning in September 2016 and continuing until August 2017, the defendants conspired to unlawfully negotiate checks and money orders stolen from the United States mail.
Those charged include:
Name
Age
City of Residence
Za Darrick J. Brooks
24
Columbus
Thomas P. Williams, Jr.
23
Pickerington
Charlee D. Mitchell
26
Dayton
Jordan L. McCorvey
24
Columbus
Neshaun M. T. Walls
22
Columbus
Milahn M. Wright
23
Columbus
Jamicia R. Gordon
22
Columbus
Courtney N. Bruce
23
Columbus
Donte L. Rippey-Young
23
Gahanna
Joshua O. Saunders
24
Columbus
Chevez M. Stanley
26
Columbus
Terry T. Reynolds
20
Columbus
Justin L. Brooks
25
Columbus
At least four of the defendants – Williams, Gordon, Bruce and Rippey-Young – were at one time employed by the United States Postal Service.
According to the superseding indictment, co-conspirators used Postal Service property to illegally access blue collection boxes in the greater metropolitan Columbus area.
Williams, Gordon and Bruce allegedly gave or sold Postal Service property in order to steal the checks and money orders and to aid and abet the other defendants in doing the same. Co-conspirators then allegedly cashed the stolen checks and money orders at ATMs and through bank mobile deposit apps.
Part of the conspiracy also allegedly involved creating counterfeit checks from the stolen checks.
Some of the defendants used social media, including Twitter and Facebook, to solicit individuals with bank accounts to participate in the conspiracy and permit the deposit of stolen checks into their bank accounts in exchange for money.
“It is estimated that the defendants caused a loss of at least $150,000 to financial institutions,” U.S. Attorney Glassman said.
Conspiracy to commit bank fraud and bank fraud are each crimes punishable by up to 30 years in prison.
U.S. Attorney Glassman commended the investigation of this case by the U.S. Postal Inspection Service and Office of Inspector General, and Assistant United States Attorney Jonathan J.C. Grey, who is prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Pharmacy Robbery Defendant Pleads GuiltyRead the Press Release
DAYTON – Eric Lamont Bates, 20, of Indianapolis, pleaded guilty in U.S. District Court yesterday to one count of aiding and abetting the robbery of a pharmacy in Middletown, Ohio and possessing with the intent to distribute morphine and oxycodone.
Bates is one of 11 total defendants in three current federal pharmacy robbery indictments in Dayton. He faces up to 20 years imprisonment for each crime.
Benjamin C. Glassman, U.S. Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division and Middletown Police Chief Rodney Muterspaw announced the plea entered into today before U.S. District Judge Walter H. Rice.
In May, a federal grand jury returned indictments charging individuals with robbing two Middletown pharmacies and stealing prescription drugs including morphine, oxycodone and hydrocodone for the purpose of selling the drugs on the street.
The grand jury charged two Dayton men, Calvin Cavonte Tribble and Savon Anthony Davis, with attempted robbery of a pharmacy in Middletown on April 18, 2017 and robbing the pharmacy on April 19.
In a separate indictment, the grand jury alleged that two Indianapolis men, Bates and Yasar Jamal Burnett, conspired to rob another Middletown pharmacy of morphine and oxycodone on April 29, 2017. Burnett also recently pleaded guilty to the same charges as Bates.
In July, a 10-count superseding indictment added six defendants who also allegedly conspired to rob pharmacies between March and June 2017 in Fairfield, Middletown, Franklin, Hamilton, Westerville, Trotwood, Dayton, Oakwood, Kettering, Beavercreek, Moraine, Vandalia, Union Township and Cincinnati.
It was part of the alleged conspiracy that defendants would approach the pharmacy counter at CVS, Walgreens, Rite Aid and Best Pharmacy locations as if to turn in a prescription to be filled. In actuality, the slip of paper included a note that this was an armed robbery and the pharmacist would be harmed if they did not comply. The note demanded pharmacy employees to fill two bags with a list of controlled substances identified by name, amount and prescription dosage.
Those charged in the superseding indictment include Martez Henderson, Tiwonne Montgomery, Kenneth Evans, Jr., Brandon Freeman, David Harris and Jamar Warren.
In September, Jamie Deandre Williams was charged in a five-count indictment for allegedly robbing CVS pharmacies in Beavercreek, Sidney, Moraine, Cincinnati and Dayton between February and June 2017.
U.S. Attorney Glassman commended the cooperative investigation of this case by the Middletown Police and the FBI, as well as Assistant U.S. Attorneys Amy M. Smith and Brent Tabacchi, who are representing the United States in the case.
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U.S. Attorney, County Prosecutor Announce Attorney Designated as Part of Anti-Violence InitiativeRead the Press Release
Today, United States Attorney General Jeff Sessions announced the reinvigoration of “Project Safe Neighborhoods,” one of the Department’s signature programs to reduce violent crime.
In the Southern District of Ohio, U.S. Attorney Benjamin C. Glassman and Franklin County Prosecutor Ron O’Brien announced a partnership to enhance an anti-violence initiative in Columbus.
The strategy includes a committed focus from federal, state and local law enforcement agencies to work collaboratively to identify those individuals who consistently use firearms to commit crimes, who habitually possess illegal firearms, and who present a clear threat to the safety of the community.
The same initiative was implemented in Cincinnati in February 2016 and has resulted in prosecuting more than 50 habitual offenders with federal gun charges.
“Over the last year and a half, the Southern District of Ohio has been on the cutting edge in developing a comprehensive, proactive approach to reducing violent crime,” said U.S. Attorney Glassman. “The Department’s reinvigoration of Project Safe Neighborhoods should provide us with additional support to strengthen our efforts.”
In Franklin County, Assistant Prosecutor Jason Manning was sworn in today as a federal Special Assistant United States Attorney, in order to increase the capacity for federal gun and violence cases and to further the collaboration between federal and county authorities in effectively prosecuting the most violent offenders.
“I am grateful for the partnership with Franklin County Prosecutor Ron O’Brien,” Glassman said. “Working closely together with our state and local partners is crucial to effective reduction of violent crime in our communities in the Southern District of Ohio.”
Federally, possession of a firearm by a convicted felon can result in a prison sentence of up to 10 years in prison. Offenders who possess a firearm after having been convicted of three violent felonies, moreover, face between 15 years and life in prison.
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Corrections Officer, Inmates Among Those Charged in Drug ConspiracyRead the Press Release
DAYTON – The government unsealed an indictment today in which a federal grand jury has charged seven defendants, including a corrections officer, with conspiracy to distribute methamphetamine.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Ohio Attorney General Mike DeWine, Col. Paul A. Pride, Superintendent, Ohio State Highway Patrol, Gary Mohr, Director, Ohio Department of Rehabilitation and Correction and members of the Warren County Drug Task Force announced the indictment returned last week.
The indictment charges James Barlage, Jr., 31, of Chillicothe, Mario Evans, 40, formerly of Dayton, Edward E. Bellman, 45, formerly of Miamisburg, Moses M. Stevens, 53, formerly of Xenia, Jon Christopher Birt, 50, of Dayton, Jamie L. Naegele, 47, of Brookville and Anthony Scott Blankenship, 32, of Columbus, with conspiracy to distribute methamphetamine.
Barlage and Blankenship are also charged with one count each of possession with intent to distribute methamphetamine.
The indictment alleges that Barlage was employed as a corrections officer at Chillicothe Correctional Institute (CCI) in June and July 2017. At the same time, Evans, Bellman and Stevens were inmates at the prison.
According to the indictment, it was the object of the conspiracy to deliver methamphetamine to CCI for distribution within the prison.
Birt, an alleged methamphetamine distributor for the Dayton area, would obtain the drugs from his suppliers and he and Naegele would arrange for the delivery of the methamphetamine to the prison.
On at least one occasion, Barlage received the drugs from Birt for the purpose of redistributing within CCI.
“The defendants allegedly used at least one unauthorized cell phone within the prison to coordinate payment for the drugs and exchange of the drugs for transportation to CCI,” U.S. Attorney Glassman said. “They also allegedly used Western Union to transfer funds for the drugs.”
The indictment was returned September 28. Birt, Barlage, and Naegle have been arrested and have made their initial appearances. Arrest warrants have been issued for the remaining defendants.
Conspiracy to distribute and possession with the intent to distribute methamphetamine are each crimes punishable by up to 20 years in prison.
U.S. Attorney Glassman commended the investigation of this case by the FBI, Ohio Bureau of Criminal Investigation (BCI), Ohio Department of Rehabilitation and Correction, Ohio State Highway Patrol and Warren County Drug Task Force, as well as Assistant United States Attorneys Dominick S. Gerace and Amy M. Smith, who are prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Cincinnati Man Sentenced to 235 Months for Dealing Deadly Fentanyl Heroin MixRead the Press Release
CINCINNATI – Omar Israel-Griffin, 27, of Cincinnati, also known as Deuce, was sentenced in U.S. District Court to 235 months in prison for dealing fentanyl and heroin that resulted in at least one death.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) and members of the Hamilton County Heroin Drug Task Force announced the sentence handed down yesterday by U.S. District Judge Michael R. Barrett.
According to the Statement of Facts in this case, law enforcement agents began the investigation into a drug overdose death on November 19, 2015, after a man was found dead in his Anderson Township home.
The investigation revealed that Israel-Griffin had been the supplier of a fentanyl and heroin mix and an autopsy confirmed that the drugs sold by Israel-Griffin caused the death.
Israel-Griffin pleaded guilty in April 2017 to one count of distribution of a controlled substance. The defendant then moved to withdraw the plea, which was summarily denied by Judge Barrett. Israel-Griffin was also sentenced to eight years of supervised release.
“Dealers must recognize that they perpetuate tragedy when they distribute narcotics like fentanyl and heroin,” U.S. Attorney Glassman said. “They are playing a direct role in the deaths of others.”
U.S. Attorney Glassman commended the cooperative investigation by the DEA and Hamilton County Heroin Drug Task Force, as well as Assistant United States Attorney Timothy D. Oakley, who is representing the United States in this case.
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Southern District of Ohio to be Awarded $2.9 Million in Grant Funding Focused on Fighting Opioid ScourgeRead the Press Release
WASHINGTON – The Department of Justice announced Friday $58.8 million will be designated to strengthen drug court programs and address the opioid epidemic nationwide. United States Attorney Benjamin C. Glassman announced this includes $2.9 million in grant awards for the Southern District of Ohio.
Specifically, the Supreme Court of Ohio will be awarded $1 million for Data-driven Responses to Prescription Drug Misuse and approximately $700,000 for the Family Drug Court Statewide System Reform Implementation Program.
Approximately $400,000 in Comprehensive Opioid Abuse Program funding each will be awarded to Franklin County and Hamilton County.
The Ohio State Board of Pharmacy will receive approximately $400,000 for the Harold Rogers Prescription Drug Monitoring Program Implementation and Enhancement Projects.
“The opioid-abuse crisis – both across the country and especially in this district – is one of the most significant public-safety and public-health issues of our lifetime,” U.S. Attorney Glassman said. “The Department of Justice recognizes that enforcement alone cannot solve the problem. Prevention and treatment are equally important in making our communities safer, and that is what this funding focuses on.”
In total nationwide, about $24 million in federal grants will be awarded to 50 cities, counties and public health departments to provide financial and technical assistance to state, local and tribal governments to create comprehensive diversion and alternatives to incarceration programs for those impacted by the opioid epidemic.
These funds, awarded under the Office of Justice Programs’ Bureau of Justice Assistance’s Comprehensive Opioid Abuse Program, also included funds from the Harold Rogers Prescription Drug Monitoring Program. This program helps regulatory, law enforcement, and public health agencies address prescription drug and opioid misuse; reduce crime; and save lives.
An additional $3.1 million will be awarded by the National Institute of Justice for research and evaluation on drugs and crime. The research priorities are heroin and other opioids and synthetic drugs.
The Department is also awarding more than $22.2 million to 53 jurisdictions to support the implementation and enhancement of adult drug courts and Veterans Treatment Courts, which serve as “one-stop-shops” to link veterans with services, benefits and program providers.
Specific sites and funds awarded can be found online at: https://go.usa.gov/xRJWE.
The Department is also awarding more than $9.5 million under several Office of Juvenile Justice and Delinquency Prevention grant programs, including the Juvenile Drug Treatment Court Grant Program and the Family Drug Court Statewide System Reform Implementation Program. These programs helps jurisdictions build effective family drug treatment courts.
Specific sites and funds awarded can be found online at: https://go.usa.gov/xRJDf.# # #
Anna Man Pleads Guilty to Creating Pornography from Rape of Infant, Child & 10 TeensRead the Press Release
DAYTON, Ohio – Robert Steven Jones, 29, of Anna, Ohio, pleaded guilty to 11 charges involving the sexual exploitation of minors, including an infant and a seven-year-old girl.
Specifically, he pleaded guilty to eight counts of production of child pornography, two counts of coercion and enticement of a minor and commission of a felony offense involving a minor while being registered as a sex offender.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea entered into today before Senior U.S. District Judge Thomas M. Rose.
According to the Statement of Facts in this case, while living in Illinois in 2013, Jones recorded himself masturbating and committing other sexual acts on and with a seven-month-old infant. The nearly five-minute video also depicts Jones engaging in acts of physical violence with the baby – including slapping, punching, shaking, restraining and suffocating the infant.
In the same week, Jones recorded a second video, this one approximately 10 minutes in length. This video further depicts Jones holding the baby up to the camera while smothering and choking the infant to such an extent that the baby slowly became limp and turned a blueish color, apparently unconscious.
After making comments such as “You want to see a baby pass the f*** out?” Jones then throws the baby.
In June 2014, Jones moved to Ohio, residing in Sidney, Piqua and later Anna.
Jones engaged in prohibited sexual acts on at least two occasions in July 2015 with a seven-year-old female at his residence in Ohio, and produced two videos of the conduct on his cell phone.
In August 2015, law enforcement officers discovered the videos on Jones’s cell phone while executing a search warrant at his home.
Also according to the Statement of Facts, Jones met with and/or communicated with at least nine other victims, aged 13 years to 16 years, for the purpose of engaging in prohibited sexual acts and creating child pornography. This included victims living in other states such as New York and Tennessee.
Jones faces at least 10 years up to life in prison for each coercion and enticement charge. Production of child pornography carries a mandatory minimum sentence of 15 years and a potential maximum sentence of 30 years in prison. Committing a felony offense involving a minor while being required to register as a sex offender carries a mandatory 10-year sentence, to run consecutive to any other sentence.
Jones was arrested on November 4, 2015 by criminal complaint and he has remained in custody since. He was indicted by a federal grand jury in February 2016.
This case resulted from the national FBI investigation “Operation Pacifier” which involved the takedown of a “dark web” site dedicated to child pornography. Using a court-approved Network Investigative Technique to pierce through the anonymity provided by the Tor network, agents uncovered IP addresses and other information that helped locate and identify users. Investigators sent more than 1,000 leads to FBI field offices in every state in the country and thousands more to oversees partners.
As a result of the investigation, at least 350 U.S.-based individuals have been arrested, 25 producers of child pornography have been prosecuted, 51 alleged hands-on abusers have been prosecuted and 55 American children who were subjected to sexual abuse have been successfully identified or rescued.
“This case is another example of law enforcement adapting to technological advances on the dark web in order to find offenders and bring them to justice,” U.S. Attorney Glassman said.
U.S. Attorney Glassman commended the investigation of this case by the FBI, as well as First Assistant United States Attorney Vipal J. Patel and Assistant United States Attorneys Amy M. Smith and Andrew J. Hunt, who are prosecuting the case.
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Prior Sex Offender Sentenced to 200 Months for Distributing Child PornRead the Press Release
DAYTON – Ronald Scott Gibson, 46, of West Manchester, Ohio, was sentenced in U.S. District Court to 200 months in prison for distributing child pornography after having been convicted of a prior related state sex offense.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence handed down today by U.S. District Judge Walter H. Rice.
According to court documents, Gibson’s illegal activity was discovered when the Swiss Federal Criminal Police conducted an investigation to identify those possessing and sharing child pornography through an online file sharing program.
In March 2016, Gibson provided one of the Swiss undercover officers with the password to his shared folder on the network so that the officer could gain access to child pornography.
During the course of the investigation, agents discovered more than 4,000 images and 13 videos of child pornography, including images of adults molesting and sexually abusing prepubescent children.
Investigators also discovered online chat messages in which Gibson said he liked toddlers the most.
Gibson was previously convicted of Gross Sexual Imposition in Preble County Common Pleas Court in 1998 and pleaded guilty in this case in December 2016 to one count of distributing child pornography.
“The images and videos that Gibson shared were created for an international criminal market that is engaged in the business of destroying the lives of children,” U.S. Attorney Glassman said. “Gibson was an active and willing participant in that market, and that serious offense warrants the sentence he received today.”
U.S. Attorney Glassman commended the investigation of this case by the FBI and Assistant United States Attorneys Dominick S. Gerace and Andrew J. Hunt, who are representing the United States in this case.
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5 Middletown Residents Indicted for Million-Dollar Jewelry RobberyRead the Press Release
CINCINNATI – A federal grand jury has charged five Middletown residents with the strong-armed robbery of a diamond/jewelry merchant in Monroeville, Pa. on April 2, 2016.
Amit Patel (also known as Alex Patel), 48, Mimi Chang, 40, Andrea Mullins, 35, Deanna Williams (also known as Dee Dee Williams), 36, and Danny Ray Horne, 37, were each charged in the indictment. Three defendants appeared in federal court this afternoon for initial appearances and two defendants are currently in state custody.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the indictment returned September 6.
The indictment charges the defendants with one count of conspiring, beginning on or about March 30, to commit a Hobbs Act robbery. The Hobbs Act is a federal law prohibiting interference with interstate commerce and violating the law is punishable by up to 20 years in prison.
The FBI began the investigation after the victim filed a police report with the Monroeville Police Department following the robbery.
“The government is seeking forfeiture in this case of more than $1 million, which represents the total amount of proceeds the defendants obtained as a result of the offense,” U.S. Attorney Glassman said.
U.S. Attorney Glassman commended the investigation by the FBI in Cincinnati and Pittsburgh and the Monroeville Police Department, as well as Assistant United States Attorney Timothy D. Oakley, who is prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Reynoldsburg Man Pleads Guilty to Defrauding 44 Clients out of More Than $1.4 MillionRead the Press Release
COLUMBUS, Ohio – Edward I. Campbell, 41, of Reynoldsburg, Ohio, pleaded guilty in U.S. District Court today to charges related to a $1.4 million investment fraud scheme that defrauded at least 44 individuals. Specifically, he pleaded guilty to one count of money laundering and one count of wire fraud.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea entered into today before U.S. District Judge Michael H. Watson.
According to court documents, between July 2011 and June 2013 Campbell operated an investment business known as Rosewood Consulting LLC in Baltimore, Ohio. Campbell told victims their contributions would be invested through Rosewood Consulting into two types of investment programs: historical bonds issued by China and the exchange of Bougainville Kina – currency from the autonomous region of Bougainville, Papua New Guinea – into U.S. dollars.
Campbell represented that he had access to a trading platform in which he could monetize gold-backed bonds issued by China in 1913 for a very high return. Campbell offered to sell the historical bonds to investors for $10,000 to $15,000 each for a promised return on investment of anywhere from $50,000 to upwards of possibly $10 million per bond within 10 to 60 days.
Campbell also offered to exchange the Bougainville Kina, which he allegedly possessed, into U.S. dollars if the investors hired him for a $100,000 fee. The investors were supposed to receive a return of $1.5 million or more within 10 to 120 days.
Campbell told investors that their investments were refundable if the returns were not paid within the provided timeframes. In addition, he told investors that he had prior success with these investment programs, was a former Navy SEAL, once worked in an investment house, had traveled internationally closing deals and he had nearly 600 investors.
The investigation revealed that none of the investors received the returns on their investments that Campbell had promised. Only a few of the 44 investors have been refunded the money they paid for his services and those refunds were paid for with other investors’ funds.
Campbell usually depleted the funds he received from investors shortly after receiving them, by using the funds for personal expenses, including the purchase of two automobiles and expenses at hotels and restaurants.
As part of his plea agreement, Campbell has agreed to pay $1,408,854 in restitution.
Money laundering in this case is punishable by up to 20 years in prison and wire fraud is punishable by up to 10 years in prison.
“A person who creates a web of financial lies will soon be caught up in it. Edward Campbell offered higher rates of return than normal to his clients and unfortunately these were false promises,” said Ryan L. Korner, Special Agent in Charge, IRS, Criminal Investigation, Cincinnati Field Office.
U.S. Attorney Glassman commended the investigation of this case by the IRS and FBI, as well as Assistant United States Attorney Jessica H. Kim, who is representing the United States in this case.
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Defendants Charged with Intent to Distribute 720 Kilos of Cocaine in First of its Kind Case in Southern OhioRead the Press Release
COLUMBUS, Ohio – Four defendants are being transported to Columbus, Ohio today for federal prosecution in the Southern District of Ohio after being charged with conspiracy to possess with intent to distribute approximately 720 kilograms of cocaine. The more than 1,584 pounds of cocaine has an approximate street value of $25 million in total.
The defendants were apprehended in August near the Galapagos Islands, making this the first case in which the Southern District of Ohio is seeking to prosecute defendants captured in international waters.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) and Commandant of the U.S. Coast Guard, Adm. Paul Zukunft, made the announcement.
According to the affidavit filed in support of the criminal complaint in this case, Ecuadorian nationals Hernan Emilio Caldas-Estupinan, Oscar Alipio Chila-Mendez, Carlos Alfredo Escobar-Estupinan and Mexican national Jesus Antonio Ramos-Chirino were detected in a dual engine speed boat on August 18 northwest of the Galapagos Islands in the Pacific Ocean.
The United States Coast Guard cutter James was dispatched to interdict the vessel in international waters and conduct a Right of Visit boarding. The watercraft had no flag flown, no registration documents, no registration number, homeport or name on the hull of the vessel, no identification of a sailing master and no claim of nationality for the vessel.
As part of its interdiction efforts, the James launched a helicopter and two patrol craft to approach the boat. When the defendants detected the helicopter and patrol craft, they began to jettison numerous packages from the vessel while attempting to flee from the helicopter.
The Coast Guard helicopter fired warning shots in an attempt to halt the flight, and when those warning shots went unheeded, the helicopter employed disabling fire. Once the vessel had been disabled, one of the patrol craft launched from the James took control of the vessel.
Coast Guard personnel collected the 25 packages that had been thrown from the boat and discovered that they contained approximately 720 kilograms of cocaine.
The cocaine seized in this case will be included in 50,690 pounds of cocaine and heroin worth more than $679 million from narcotics cases in six federal districts nationwide that is being offloaded by the Coast Guard today in San Diego, Calif. United States Attorney General Jeff Sessions will announce the series of drug removals with the Coast Guard at noon today.
U.S. Attorney Glassman commended the investigation of this case by the DEA and United States Coast Guard, as well as Assistant United States Attorneys David DeVillers and Jonathan Grey, who are prosecuting the case.
A criminal complaint merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Pickaway County Businessman Convicted of Numerous Income Tax Fraud ChargesRead the Press Release
COLUMBUS, Ohio – A United States District Court jury convicted John Anderson Rankin, 54, of Circleville, Ohio, of 17 tax-related charges.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office announced the verdict reached yesterday afternoon following a two-week trial before Chief U.S. District Judge Edmund A. Sargus, Jr.
A federal grand jury indicted Rankin in July 2015 with seven counts of failing to account for and pay over employment taxes to the Internal Revenue Service (IRS), six counts of willfully filing false federal individual income tax returns with the IRS, three counts of willfully filing false federal corporate income tax returns with the IRS and one count of obstructing and impeding the due administration of the IRS.
According to court documents and testimony, Rankin operated a number of Circleville-based businesses, including Connectivity Systems, Inc., a mainframe software company that provides internet protocol development and servicing. Rankin Enterprises, LLC was a shell corporation that included the Circleville Movie House, Screening Room, J.R. Hooks Café and Tootles Pumpkin Inn. Rankin also owned the Tuscan Table, an Italian restaurant in downtown Circleville.
Between June 2008 and April 2011 Rankin, conducting business as Rankin Enterprises and Tuscan Table, failed to account for and pay over to the IRS all federal income and FICA taxes.
Rankin also filed false Amended U.S. Individual Income Tax Returns with the IRS for the 2005, 2006, 2007, 2008 and 2009 income tax years. He claimed a corrected adjusted gross income amount of a negative $1.7 million, when in actuality his corrected adjusted gross income was more than $8.9 million.
In 2010, Rankin filed a false individual income tax return that reported an adjusted gross income of nearly $27,000, when his actual gross income was nearly $1.6 million.
In addition, Rankin filed false U.S. Corporation Income Tax Returns with the IRS for Connectivity Systems Incorporated for the 2008, 2009 and 2010 income tax years. These false forms claimed a fraudulent accelerated Research & Development Credit in the amount of $1.7 million against the corporate taxes due and owing of Connectivity Systems Incorporated.
Lastly, between January 2005 and July 2015 Rankin made false and misleading statements to agents of the IRS and concealed information from agents of the IRS.
“Rankin not only failed to pay his personal taxes, but he also failed to pay the Social Security and Medicare taxes of his employees, cheating his own workers for his personal benefit,” U.S. Attorney Glassman said.
“The conviction of Rankin proves that if you think you can outsmart the IRS, you will fail,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “IRS Criminal Investigation and the U.S. Attorney’s Office make a formidable team when it comes to bringing individuals to justice in tax fraud cases.”
Failing to account for and pay over employment taxes to the IRS carries a maximum penalty of five years in prison and a fine of up to $250,000. Willfully filing a false individual and corporate federal income tax return with the IRS and obstructing and impeding the due administration of the IRS carries a maximum penalty of three years in prison and a fine of up to $250,000.
U.S. Attorney Glassman commended the investigation of this case by IRS-Criminal Investigation, as well as Assistant United States Attorneys Daniel A. Brown and Noah R. Litton, who are representing the United States in this case.
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Former Dublin High School Teacher Pleads Guilty to Making Child Porn via Photos, Videos of Former StudentsRead the Press Release
COLUMBUS, Ohio – Gregory R. Lee, 52, of Columbus, pleaded guilty today in U.S. District Court today to production of child pornography.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Franklin County Prosecutor Ron O’Brien, Westerville Police Chief Joseph Morbitzer, Dublin Police Chief Heinz von Eckartsberg and other members of the FBI’s Child Exploitation Task Force announced the plea entered into before U.S. District Judge Michael H. Watson.
According to the Statement of Facts in this case, the parents of a teenage female contacted Dublin Police in May 2017 after discovering information in the teenager’s personal journal regarding sexual activity with Lee, who had been her high school teacher at Dublin Scioto High School.
While being interviewed by law enforcement, the victim told authorities that she and Lee engaged in oral sex on numerous occasions in Lee’s classroom and in his vehicle. She said Lee also instructed her to create and exchange nude photographs through her phone.
A forensic examination of Lee’s electronic devices uncovered approximately 234 images of the victim, at least 49 of which depicted the minor in various stages of nudity. The victim confirmed that Lee had taken some of the nude pictures of her that were found on his devices.
The forensic examination also revealed nude images of another female that was believed to be a former student of Lee’s. The former student confirmed that she took the photographs with her cell phone when she was 17 years old and sent them to Lee.
Production of child pornography in this case carries a potential term of imprisonment of 15 to 30 years, as well as at least five years of supervised release. The federal plea agreement takes into account Lee’s sexual contact with the victim, for which an indictment is pending in Franklin County Common Pleas Court, and requires Lee to plead guilty to that indictment as well.
U.S. Attorney Glassman commended the investigation of this case by the FBI, Dublin Police and Task Force Officers, as well as Assistant United States Attorney Heather A. Hill and Special Assistant United States Attorney Jennifer M. Rausch, Director, Franklin County Special Victim’s Unit, who are representing the United States in this case.
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Couple Sentenced for More Than $1 Million in Health Care FraudRead the Press Release
COLUMBUS, Ohio – Riyad Altallaa, 52, and Muna Alnoubani, 50, both of Hilliard, were each sentenced in U.S. District Court today for conspiracy to commit health care fraud. Altallaa was sentenced to 48 months in prison and Alnoubani was sentenced to 36 months of probation.
The case was charged in 2016 as part of an unprecedented nationwide sweep led by the Medicare Fraud Strike Force in 36 federal districts, resulting in criminal and civil charges against 300 individuals, including 61 doctors, nurses and other medical professionals, for their alleged participation in health care fraud schemes involving approximately $900 million in false billings.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Lamont Pugh, Special Agent in Charge, Department of Health and Human Services Office of Inspector General (HHS-OIG), Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Ohio Attorney General Mike DeWine and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, announced the sentences handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.
According to court documents, Altallaa and Alnoubani were owners of Columbus Home Health Care Services, LLC. The couple executed a fraud scheme in order to minimize expenses and maximize profits by fabricating aide training records to avoid the time and expense of training and to give the appearance that aides had completed the required training and were prepared to provide home health services to Medicare and Medicaid beneficiaries.
The defendants also had aides and nurses submit blank time sheets and nursing notes that the defendants completed with falsely inflated hours of service.
Finally, they had aides and nurses “split” their shifts on their timesheets and nursing notes to make it appear that services were provided in multiple shifts rather than one shift. Under Medicaid’s reimbursement policy, the initial hour of each shift is reimbursed at a rate that is approximately double the rate of subsequent hours.
The couple used the fraud money to build a luxurious, $1 million home in Hilliard. As part of their plea agreements, they will forfeit that home. Each of the defendants pleaded guilty in June 2016 to one count of conspiracy to commit health care fraud.
U.S. Attorney Glassman commended the investigation of this case by the FBI, HHS-OIG Ohio Attorney General’s Medicaid Fraud Control Unit and IRS Criminal Investigation, as well as Assistant United States Attorney Kenneth Affeldt and Special Assistant United States Attorney Maritsa Flaherty, who are representing the United States in this case.
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Steubenville Man Sentenced to 74 Months for Running Heroin RingRead the Press Release
COLUMBUS, Ohio – David McShan, 39, of Steubenville, Ohio, was sentenced in U.S. District Court to 74 months in prison and eight years of supervised release for his role in running a Steubenville-area heroin-trafficking ring.
McShan and his brother, Frederick A. McShan, 37, were each convicted following a weeklong jury trial in March.
Specifically, Frederick McShan was convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin, 12 counts of possession with intent to distribute heroin and one count of conspiracy to commit money laundering. David McShan was also convicted of one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and one count of possession with intent to distribute heroin.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Jefferson County Prosecutor Jane M. Hanlin and members of the Jefferson County Drug Task Force and the Hancock-Brooke-Weirton Drug Task Force announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus, Jr.
According to court documents and testimony, the McShan brothers helped lead a drug organization that was responsible for street-level heroin sales in Steubenville, Ohio, including in the Market Street apartment public housing area, Weirton, W.Va., Wheeling, W.Va. and Bellaire, Ohio.
A yearlong investigation in this case by local, state and federal law enforcement culminated in the seizure of eight firearms, three vehicles and approximately $110,000 of narcotics proceeds.
Seven co-defendants in this case have pleaded guilty and been sentenced. They include:
Donae F. Grier, 38, of Irving, Texas, who was sentenced to 60 months in prison;
Christopher J. Bishop, 32, of Weirton, W.Va., who was sentenced to 120 months in prison;
Kerris D. Moncrease, 32, of Weirton, W.Va., who was sentenced to 42 months in prison;
Perrier D. Coleman, 21, of Steubenville, Ohio, who was sentenced to 15 months in prison;
Terrence L. Smith, 27, of Steubenville, Ohio, who was sentenced to 87 months in prison;
Michael K. Greathouse, 25, of Steubenville, Ohio, who was sentenced to 100 months in prison and
Erica L. Jury, 37, of Steubenville, Ohio, who was sentenced to time served.
Frederick McShan is scheduled for sentencing on October 12 at 1:30pm.
U.S. Attorney Glassman commended the cooperative efforts of law enforcement, as well as Deputy Criminal Chief Michael Hunter, and Special Assistant United States Attorney Jane M. Hanlin who are prosecuting the case.
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Doctor, Wife Plead Guilty to Running Pill MillRead the Press Release
DAYTON – David Kirkwood, 61, and Beverly Kirkwood, 50, of Dayton, pleaded guilty in U.S. District Court to health care fraud. David Kirkwood also pleaded guilty to one count of unlawful drug trafficking.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ohio Attorney General Mike DeWine, Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services Office of Inspector General (HHS-OIG) Chicago Region and Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA) announced the pleas entered into before U.S. District Judge Water H. Rice.
According to the facts outlined in the plea agreements, David Kirkwood owned and operated Kirkwood Family Practice in Dayton beginning in 1986.
David Kirkwood distributed nearly 4,000 units of Oxycodone outside the scope of medical practice and not for a legitimate medical purpose. All of these units were paid for by Medicare or Medicaid.
The doctor often used the same billing code for his customers regardless of the service performed, and would accept health care insurance payments for examinations that were not medically appropriate or sufficient for the billing codes submitted. Those bills were submitted on behalf of the practice and with the assistance of Beverly Kirkwood.
According to the indictment, David Kirkwood saw up to 100 patients per day, charging $100 per office visit. The government has sought to seize approximately $2.5 million in proceeds from the conspiracy.
“When a doctor distributes Oxycodone without a legitimate medical purpose and outside the scope of medical practice, that’s not just bad practice. It’s unlawful drug trafficking,” U.S. Attorney Glassman said. “In pleading guilty, David Kirkwood admitted that he was distributing opioids and other controlled substances as a drug dealer, not as a doctor.”
“The investigation found that this doctor took advantage of those suffering from addiction in the Dayton area for personal gain,” said Attorney General DeWine. “The pills never should have been prescribed because they served no legitimate medical purpose, and I applaud the work of state, federal, and local authorities to hold him accountable for his actions.”
As part of David Kirkwood’s plea, he has agreed to pay restitution in the amount of nearly $160,000, which represents the loss to Medicare and Medicaid.
Both David and Beverly are scheduled for sentencing before Judge Rice on December 6.
U.S. Attorney Glassman commended the investigation of this case by the Ohio Attorney General’s Medicaid Fraud Control Unit, HHS-OIG and DEA, as well as Special Assistant United States Attorney Maritsa Flaherty and Assistant United States Attorney Timothy Oakley.
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Buckeye Lake Man Sentenced to 24 Years for Receiving, Possessing Child Pornography While on Supervised ReleaseRead the Press Release
COLUMBUS, Ohio – Joshua D. Chapman-Sexton, 31, of Buckeye Lake, Ohio, was sentenced in U.S. District Court to 292 months in prison and a lifetime of supervised release for receiving and possessing child pornography while on supervised release.
Chapman-Sexton was convicted of all counts charged following a four-day trial in February. He had been previously convicted of similar federal charges in 2010 and had been released from prison after serving his sentence.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Westerville Police Chief Joe Morbitzer, Buckeye Lake Police Chief Jimmy Hanzey and members of the FBI’s Child Exploitation Task Force announced the sentence handed down Friday by U.S. District Judge Algenon L. Marbley.
According to court documents and testimony, a thumb drive and PlayStation gaming console taken from Chapman-Sexton's home contained more than 700 images of children engaged in sexual activity and evidence of online searches for child pornography and other sites related to sexual activity with children.
Despite the defendant’s claim that he had been set up and the child pornography was planted on the device when it was stolen on February 28, 2016, forensic evidence revealed that the child pornography had been downloaded continuously from July 2014 until February 27, 2016.
Chapman-Sexton was indicted by a federal grand jury of two counts of receipt of child pornography and one count of possession of child pornography in July 2016.
“Only a few months into his term of supervised release for his possession of child pornography conviction, the defendant began searching for child pornography again,” U.S. Attorney Glassman said. “Some of the files that he accessed and saved to a thumb drive were identical to the videos he had possessed on his computer in 2010. Many others depicted prepubescent boys suffering unimaginable sexual abuse. The circumstances of Chapman-Sexton’s offenses clearly demonstrate the need to protect the public through the significant period of imprisonment received today.”
U.S. Attorney Glassman commended the investigation by the FBI’s Child Exploitation Task Force, as well as Assistant United States Attorneys Heather A. Hill and Jessica W. Knight, who represented the United States in this case.
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Ross County Man on Parole Charged with Attempted Coercion of Minor for Unlawful Sexual Activity, Distributing Child PornRead the Press Release
COLUMBUS, Ohio – John Charles Fortner, 39, of Chillicothe, was arrested yesterday afternoon when he met up with an undercover officer who he believed would connect him to children in order to engage in sexual conduct.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Franklin County Sheriff Dallas Baldwin, Westerville Police Chief Joseph Morbitzer and other members of the FBI’s Child Exploitation Task Force and the Franklin County Internet Crimes Against Children (ICAC) announced the arrest.
Fortner was charged by criminal complaint with attempted coercion or enticement of a minor for unlawful sexual activity, distribution of child pornography and commission of a felony offense involving a minor while required to register as a sex offender.
According to the affidavit attached to the criminal complaint, Fortner responded to an undercover task force officer’s advertisement seeking “open minded” individuals interested in “taboo fetishes.” The officer’s persona was that of a mother with three children, ages 12, eight and five.
Fortner told the persona he had wanted to engage in sexual activities with kids for a while and persisted in asking what sexual activities he could engage in with the children, and suggested that he and the persona meet soon.
Via Kik messenger, Fortner also sent the undercover officer a webpage link to child pornography and a screen shot from a video of a seven-to-nine-year-old female being sexually abused.
Upon asking for further contacts of parents with children open to sexual intercourse, the undercover officer provided Fortner with a second undercover officer’s phone number. Fortner reached out to that second officer and requested to engage in sexual intercourse with the officer’s fictitious 13-year-old daughter.
Fortner was convicted in 2013 and sentenced to prison in Montgomery County, Texas for possession of child pornography. The previous year, he had been convicted and sentenced to prison in Belmont County, Ohio for importuning and unlawful sexual conduct with a minor, for which he is still currently on parole. Commission of a felony offense involving a minor while required to register as a sex offender calls for an additional 10 years in prison consecutive to any other sentence imposed.
Fortner is currently registered as a Tier III sex offender in Ross County.
In this case, due to the prior convictions of the defendant, attempted coercion or enticement of a minor for unlawful sexual activity is a crime punishable by a range of 10 years to life in prison and distribution of child pornography carries a potential sentence of 15 to 40 years in prison.
U.S. Attorney Glassman commended the cooperative investigation by the FBI’s Child Exploitation Task Force and the Franklin County ICAC, as well as Assistant United States Attorney Heather A. Hill, who is representing the United States in this case.
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Monroe County Man Sentenced to 200 Months in Prison for Receiving Child Pornography of ToddlersRead the Press Release
COLUMBUS, Ohio – Brian P. Miller, 38, of Woodsfield, Ohio, was sentenced in U.S. District Court to 200 months in prison and 20 years of supervised release for receiving child pornography.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI) and members of the FBI’s Child Exploitation Task Force announced the sentence handed down yesterday by U.S. District Judge Michael H. Watson.
Miller pleaded guilty in November 2016, at which time he also admitted searching for, downloading and sharing hundreds of child pornography files between October 2014 and March 2016.
When law enforcement conducted a search warrant in March 2016 at Miller’s residence, a forensic examination of his computer revealed a video depicting the sexual abuse of a 12-month-old infant. Several other files that the defendant possessed showed a three-to-four-year-old girl being raped with a metal object.
“These files showed real children suffering real and horrendous abuse, and the defendant’s actions in downloading, viewing, and making the files available to others immeasurably exacerbated the psychological damage they have to endure,” U.S. Attorney Glassman said. “Downloading child pornography is not a victimless crime and will land you in federal prison.”
U.S. Attorney Glassman commended the cooperative investigation by the FBI’s Child Exploitation Task Force, as well as Assistant United States Attorney Heather A. Hill, who is representing the United States in this case.
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MS-13 Case Fugitive ApprehendedRead the Press Release
COLUMBUS, Ohio – U.S. Attorney Benjamin C. Glassman announced that prior fugitive Jose Manuel Romero-Parada, 22, formerly of Indianapolis, Ind. and also known as Russo, was apprehended by the FBI at approximately 11:30am today in New Jersey.
Romero-Parada was one of 15 individuals recently indicted in the Southern District of Ohio for allegedly conspiring to extort and launder money in support of the transnational gang MS-13.
One of the 15 defendants charged, Nelson Alexander Flores, 46, also known as Mula, remains a fugitive.
Glassman commended the efforts of federal law enforcement and encouraged the continued support of the community in sharing information relevant to this case.
Individuals are asked to call the anonymous FBI hotline at 614-849-1765.
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Members of Columbus Clique of MS-13 Arrested and ChargedRead the Press Release
COLUMBUS, Ohio – Thirteen individuals alleged to be members and associates of MS-13 were arrested in Central Ohio and Indiana this morning.
A federal grand jury charged 10 individuals with conspiracy to commit extortion, conspiracy to commit money laundering, and use of a firearm during a crime of violence in an indictment returned here on July 27. Five other individuals were arrested and charged in criminal complaints with federal immigration-related crimes. Two of the 15 remain fugitives.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Rebecca Adducci, Detroit Field Office Director, U.S. Immigration and Customs Enforcement (ICE) Enforcement and Removal Operations, Franklin County Sheriff Dallas Baldwin and Columbus Police Chief Kim Jacobs announced the indictment that was unsealed following the arrests today.
MS-13, formally La Mara Salvatrucha, is a multi-national criminal organization composed primarily of immigrants or descendants of immigrants from El Salvador, Guatemala and Honduras. The organization’s leadership is based in El Salvador, where many of the gang’s high-ranking members are imprisoned.
In 2012, the United States government designated MS-13 as a “transnational criminal organization.” It is the first and only street gang to receive that designation. MS-13 has become one of the largest and most violent criminal organizations in the United States, with more than 10,000 members and associates operating in at least 40 states, including Ohio. In Ohio and elsewhere in the United States, MS-13 is organized into “cliques,” which are smaller groups of MS-13 members and associates acting under the larger mantle of the organization and operating in a specific region, city or part of a city.
- indictment alleges that 10 defendants – members and associates of the Columbus clique of MS-13 – conspired to commit extortion through the use of threatened or actual force, violence or fear to intimidate their victims into paying money to the defendants and their co-conspirators. Many of the proceeds were sent, usually by wire transfer and often through intermediaries, to MS-13 members and associates in El Salvador and elsewhere. The money was then used to promote and facilitate the criminal activities of MS-13 in El Salvador and the United States.
As part of the alleged conspiracy, the defendants and their co-conspirators unlawfully obtained extortion proceeds to be used to, among other things, buy items that MS-13 uses to engage in criminal activity, such as cellular phones, narcotics and weapons; provide financial support and information to MS-13 members, including those incarcerated in El Salvador and the United States, as well as those who have been deported; and aid families of deceased MS-13 members.
The 10 defendants charged in the indictment are:
Name
Also Known As
Age
City
Jose Martin Neftali Aguilar-Rivera
Momia, Pelon
32
Columbus, Ohio/ Indianapolis, Ind.
Pedro Alfonso Osorio-Flores
Smokey
38
Columbus, Ohio
Juan Jose Jiminez-Montufar
Chele Trece
33
Columbus, Ohio
Isaias Alvarado
Cabo
44
Columbus, Ohio
Cruz Alberto-Arbarngas
Cruzito
30
Columbus, Ohio
*Jose Manuel Romero-Parada
Russo
22
Fugitive – Indianapolis, Ind.
Jose Salinas-Enriquez
Martillo
32
Dayton, Ohio
Jorge Cazares
Veneno
37
Columbus, Ohio
Jose Ramiro Aparicio-Olivares
Flaco
42
Columbus, Ohio
*Nelson Alexander Flores
Mula
46
Fugitive – whereabouts unknown
Conspiracy to commit extortion and conspiracy to commit money laundering are each crimes punishable by up to 20 years in prison. Brandishing a firearm in relation to a crime of violence carries a sentence of at least seven years in prison, consecutive to any other sentence imposed in the case.
The five defendants charged with immigration offenses in criminal complaints are:
Name
Also Known As
Age
City
Antonio Galdamez-Figueroa
Pinochio
29
Columbus, Ohio
Juan Pablo Flores-Castro
Duende
29
Columbus, Ohio
Jorge Alberto Landaverde
Grenas
33
Columbus, Ohio
Juan Jose Alvarenga-Alberto
Sailen
27
Columbus, Ohio
Marvin Otero-Serrano
Vaca
31
Columbus, Ohio
Illegally re-entering the United States after having been previously deported is a crime punishable by up to two years in prison.
U.S. Attorney Glassman commended the investigation of this case by the FBI, ICE, Columbus, Police and Franklin County Sheriff’s Office, and the assistance of the Ohio Bureau of Criminal Investigation (BCI) and Homeland Security Investigations (HSI), as well as Assistant United States Attorneys Brian J. Martinez and Jessica H. Kim, who are prosecuting the case.
If you are a victim of the alleged crimes, or have additional information about MS-13, please call the FBI hotline at 614-849-1765. Callers can remain anonymous.
An indictment or criminal complaint merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Grand Jury Charges Family with Money LaunderingRead the Press Release
COLUMBUS, Ohio – A federal grand jury has charged a father, mother and daughter in a 33-count indictment returned here on June 22 that alleges the family members conspired to and actually laundered nearly $3 million.
Parents Mitch G. Stevenson, 53, and Patricia Stevenson, 57, and their daughter Candace G. Stevenson, 30, all of Mason, Ohio, were charged with conspiring to launder money and money laundering.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, announced the indictment that was unsealed yesterday.
The indictment alleges that in 2009 two life-insurance policies were fraudulently purchased insuring another relative for a combined $2.9 million.
The policy applications falsely stated that the relative had never been diagnosed with diabetes, high blood pressure or ulcers, among other conditions, and that the relative had not had any medication in the 12 months before the application was prepared. The defendants reported the person’s weight as 170 pounds, when in actuality the person’s true weight was approximately 375 to 400 pounds.
As part of the application process for the life insurance, a medical examination was required.
“In early February 2009, an unknown individual in Sugar Land, Texas, who met the description in the applications, represented herself as the relative at the examination and was weighed at 176 pounds,” said U.S. Attorney Glassman. “Three weeks earlier, the actual relative was weighed in a Cincinnati emergency room at 387 pounds.”
In early 2011, amendments were made to the owners and beneficiaries of the two policies to name Patricia and Candace Stevenson. One year later, the relative died and West Coast Life Insurance Company issued a $1.5 million check to Patricia Stevenson and a $1.4 million check to Candace Stevenson.
The defendants then engaged in a complex sequence of transactions allegedly designed to conceal and disguise the nature, location, source, ownership or control of the proceeds of the life-insurance fraud.
They also purchased a 2012 Bentley GT Convertible for approximately $247,000 and used approximately $284,000 as a down payment on a land contract on a home in Mason, Ohio. Other transactions included approximately $16,000 to World of Decor and nearly $33,000 to Facet Jewelry.
Money laundering conspiracy is a crime punishable by up to 20 years in prison and money laundering carries a potential maximum sentence of 10 years in prison.
U.S. Attorney Glassman commended the investigation of this case by the IRS Criminal Investigation, and Assistant United States Attorney Peter K. Glenn-Applegate, who is prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Federal Grand Jury Indicts Columbus Man Who Allegedly Cyberstalked Local Law Enforcement OfficerRead the Press Release
COLUMBUS, Ohio – A federal grand jury has charged William E. Young, 54, of Columbus, with one count of cyberstalking in an indictment returned here today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, announced the indictment.
The indictment alleges that Young used the mail and the Internet to attempt to cause substantial emotional distress and evoke fear of serious bodily injury or death.
According to an affidavit filed in support of a criminal complaint in this case, Young was arrested in October 1999 for menacing by stalking a female in Delaware County, Ohio. It is alleged that he has continuously harassed and stalked one of his arresting officers since the time of his arrest and conviction.
The affidavit details that over the course of more than 17 years, Young created four webpages and sent multiple letters claiming the victim is a “pedophile” and “corrupt cop.” Young allegedly mailed letters on numerous occasions to the victim’s wife and family, neighbors, physician, barber, church and church pastor and pastor’s wife, as well as to Ohio Wesleyan College, Delaware City Hall, the Delaware Chamber of Commerce, the Delaware City Mayor, Delaware City Council members, the Delaware Police Department, the Delaware County Sheriff’s Office, the Delaware County Jail, the Arapahoe County Prosecutor’s Office and other local community businesses.
“Letters varied in length from three to 92 pages, and often included court records related to the 1999 conviction and documents related to civil lawsuits that Young filed against the victim and a fellow officer,” U.S. Attorney Glassman said.
In a May 2010 interview with agents of the Ohio Bureau of Criminal Investigation (BCI), Young stated he wanted the victim fired and wanted him to “eat his gun.”
In September 2015, Young allegedly mailed a 62-page letter to the victim’s spouse which stated: “I’ll force his hand if the powers that be make the mistake of coming after me again. Then I’ll take everyone down who had a hand in what was done to me one by one.”
Over the last decade, Young has filed multiple state and federal civil lawsuits against the victim and another arresting officer from Young’s 1999 arrest, and the Delaware Police Department, alleging various claims of corruption and fraud.
Young was arrested by FBI agents on Tuesday and is scheduled to return to court at 11am tomorrow for a detention hearing before U.S. Magistrate Judge Elizabeth Preston-Deavers.
Cyberstalking is a federal crime punishable by up to five years in prison and a fine of up to $250,000.
U.S. Attorney Glassman commended the investigation of this case by the FBI, and Assistant United States Attorney Jessica H. Kim, who is prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Columbus Man Pleads Guilty to Dealing Lethal Heroin Fentanyl MixRead the Press Release
COLUMBUS, Ohio – Richard R. Edwards, 28, of Columbus, pleaded guilty in U.S. District Court to distributing heroin and fentanyl that resulted in the death or serious bodily injury of another.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI), Franklin County Prosecutor Ron O’Brien, Franklin County Sheriff Dallas Baldwin and other members of the Sheriff’s Office’s Heroin Overdose Prevention & Education (HOPE) Task Force announced the plea entered into today before U.S. Magistrate Judge Elizabeth A. Preston-Deavers.
In the statement of facts filed as part of the plea agreement in this case, Edwards admitted that his distribution of heroin and fentanyl led to a non-fatal overdose of a Columbus man in August of 2106, and a fatal overdose of a Columbus woman in December of 2016.
Edwards was arrested in March and has remained in custody since.
Distribution of heroin in this case is punishable by up to 20 years in prison.
“We will continue to work with all of our law enforcement partners through initiatives like the HOPE Task Force to bring the available federal tools and resources to bear on the narcotics traffickers who are causing so many deaths and overdoses in our Southern Ohio communities,” U.S. Attorney Glassman said.
“A fatal dose of fentanyl can fit inside the tip a finger nail, making it the deadliest chemical substance that we have to contend within the law enforcement community,” said Special Agent in Charge Francis. “Today’s guilty plea demonstrates our unrelenting resolve to bring to justice those responsible for distributing this lethal poison in our communities.”
“This is the first case investigated by the Franklin County HOPE Task Force to be adjudicated at the Federal Level since its inception in January of 2016,” said Sheriff Baldwin. “The HOPE Task Force is a Franklin County Sheriff’s Office led initiative which investigates Fatal and Non-Fatal overdose incidents with the combined objectives of incarcerating those responsible for the sale of deadly and dangerous opiates which cause death and/or serious physical harm, and linking survivors of Non-Fatal overdoses with Healthcare, Treatment, and Recovery programs overseen and administrated by Southeast Healthcare Inc.”
“This case is another example of the collaborative effort between all agencies working together in the prosecution of criminals selling drugs on the streets that are killing people,” Prosecutor O’Brien said. “We will continue to stand united against this kind of criminal conduct that continues to destroy lives on a daily basis.”
U.S. Attorney Glassman commended the investigation of this case by HSI and HOPE Task Force officers. Deputy Criminal Chief Michael J. Hunter is representing the United States in this case.
Established in 2016, the Heroin Overdose Prevention & Education Task Force was created as a restructuring of the Franklin County Drug Task Force. Experienced narcotics and homicide detectives working on the HOPE Task Force are treating opiate overdose scenes as crime scenes; investigating the source of the supply that caused the overdose. This case represents the first federal prosecution of a “death-resulting” case in Columbus that stemmed from a joint investigation with the HOPE Task Force.
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Galloway Man Pleads Guilty to Distributing Child Pornography After Recording 12-Year-Old Girl in BathroomRead the Press Release
COLUMBUS, Ohio – Justin M. Nickell, 36, of Galloway, Ohio, pleaded guilty in U.S. District Court to one count of distribution of child pornography.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Westerville Police Chief Joseph Morbitzer, Franklin County Sheriff Dallas Baldwin and other members of the Franklin County Internet Crimes Against Children (ICAC) Task Force announced the plea entered into before U.S. District Chief Judge Edmund A. Sargus, Jr.
According to the Statement of Facts in this case, Nickell communicated with an undercover task force officer posing online as a single mother of three children. The officer advertised that he was looking to chat with “open minded, taboo men” and Nickell responded.
During conversation on the Kik Messenger App, Nickell routinely made comments indicating that he wished to engage in sexual activity with the undercover persona’s three fictitious children. He also told the officer he secretly recorded a 12-year-old girl in his household getting out of the shower and drying off, and would then masturbate to the video afterwards. Nickell sent a screen shot from one of the videos to the officer. Nickell admitted to hiding his phone in a container in the bathroom under some clothing and also to recording her outside of the bathroom by placing his phone under the door.
On more than one occasion, Nickell sent nude photos of the 12-year-old girl to the undercover officer.
Nickell was indicted by a federal grand jury on March 23.
As part of his plea agreement, all parties have recommended a term of incarceration between 150 and 180 months. Chief Judge Sargus will consider that recommendation at a future sentencing hearing.
U.S. Attorney Glassman commended the investigation of this case by the Franklin County ICAC and Assistant United States Attorneys Heather A. Hill and Jessica H. Kim, who are representing the United States in this case.
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Local Businesswoman Sentenced for Role in $70 Million Ponzi SchemeRead the Press Release
DAYTON – Connie Apostelos, also known as Connie Coleman, 51, formerly of Springboro, Ohio, was sentenced in U.S. District Court today to 30 months in prison for charges related to a $70 million Ponzi scheme that defrauded nearly 500 victims.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office; Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI); Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service; James Vanderberg, Special Agent in Charge, U.S. Department of Labor Office of Inspector General; Joe Rivers, Regional Director of the U.S. Department of Labor Employee Benefits Security Administration; and Brian Peters, Enforcement Attorney, Ohio Department of Commerce Division of Securities, announced the sentence handed down today by U.S. District Judge Thomas M. Rose.
Apostelos and her husband, William Apostelos, were indicted in October 2015. According to court documents, beginning in 2009, and continuing for at least five years, the couple and others orchestrated a Ponzi scheme in the Dayton area in which nearly 480 investors lost more than $20 million collectively. They received $70 million in investment funds in total.
Connie Apostelos pleaded guilty to one count of money laundering in April.
Connie Apostelos operated and oversaw multiple companies in the Dayton area, including Coleman Capital, Inc. and Silver Bridle Racing, LLC. These companies were operated through improper use of investor funds to William Apostelos’ companies.
William Apostelos also operated and oversaw multiple purported investment and asset management companies in the Dayton area, including WMA Enterprises, LLC, Midwest Green Resources, LLC and Roan Capital. He falsely reported that he held a degree in mathematics and was a registered securities broker.
The couple recruited investors from 37 states to invest in WMA and Midwest Green, telling the investors that their money would be used for acquiring stocks or securities, purchasing real estate or land, providing loans to business and buying gold and silver.
Rather than investing the money, the couple used it to pay for personal luxuries. According to court documents, the couple was spending $35,000 per month on Connie’s horse racing company and $400 per month on Victoria’s Secret lingerie.
When the defendants became late on interest payments to the victims, they advised that their bank account had been hacked, a bank mistakenly failed to wire payment and/or the deal the victim had invested in was temporarily on hold.
The government has seized two racehorses, vehicles, jewelry, artwork and cash totaling approximately $650,000 from the couple.
William Apostelos pleaded guilty to conspiracy to commit mail and wire fraud and theft or embezzlement from an employee benefit plan and was sentenced in June to 180 months in prison.
Steven Scudder, 62, of Centerville, an attorney who served as trustee of the WMA Trust, pleaded guilty in U.S. District Court in January to wire fraud, admitting that he used his position as an attorney to facilitate the fraudulent investment scheme. He was sentenced in June to 14 months in prison.
“Connie Apostelos used the money of hard working investors to pay for her extravagant personal expenses and is being held accountable for her actions,” said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “Now, approximately 500 investors are in financial peril that could last a lifetime.”
U.S. Attorney Glassman commended the investigation of this case by law enforcement, and Assistant United States Attorney Brent G. Tabacchi, who is prosecuting the case.
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Georgia Man Sentenced for Role in 'Craigslist Car' SchemeRead the Press Release
CINCINNATI – Luis Caseres-Duarte, 26, of Norcross, Ga., was sentenced in U.S. District Court to 21 months in prison for participating in what is known as the “Craigslist car” scheme, a fraud scheme that caused numerous people to send money for cars that were never delivered.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, and West Chester Police Chief Joel Herzog, announced the sentence handed down today by U.S. District Judge Timothy S. Black.
According to court documents, the scheme involved members of a conspiracy (many of whom were overseas) placing ads on Craiglist and other sites to sell vehicles for attractive prices. The cars were listed for sale using a fake name or fake business name from whom buyers were instructed to wire money to a purported “broker.” Caseres-Duarte and others would then use fraudulent identification documents to pose as the broker and withdraw the wired funds. Once funds were withdrawn, the money would be split between members of the conspiracy. No actual vehicles were ever provided for the purchases.
Caseres-Duarte was identified as part of this scheme during a traffic stop near West Chester, Ohio, shortly after he obtained one of the wire payments at a Walmart. Officers discovered more than $2,000 in cash on his person and when given consent to search Casertes-Duarte’s cell phone, observed text messages identifying transactions of more than $20,000.
Investigators then discovered more than $33,000 in cash in hotel rooms used by the defendant in Cincinnati, as well as documentation noting wires for more than $160,000 to individuals in Hungary.
Caseres-Duarte pleaded guilty in March 2017 to one count of conspiracy to commit wire fraud.As part of his sentence, he was also ordered to serve 50 hours of community service, serve three years of supervised release, and pay more than $200,000 in restitution to the buyer victims of the scheme.
A second co-defendant in the case, Javier Martinez-Melo, faced charges for this scheme in both Ohio and Tennessee. Martinez-Melo was sentenced in May 2017 by a federal court in Tennessee and received a total sentence of 57 months.
U.S. Attorney Glassman commended the cooperative investigation by the West Chester Police Department and the FBI, as well as Assistant United States Attorney Timothy S. Mangan, who is representing the United States in this case.
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Former Home Healthcare Nurse Sentenced for Medicaid Fraud in Case that Resulted in Minor's DeathRead the Press Release
DAYTON, Ohio – Mollie Parsons, 47, of Middletown, Ohio, was sentenced in U.S. District Court to 36 months in prison for healthcare fraud related to the death of a severely physically disabled minor.
She was previously sentenced by the state to serve 10 years in prison for her role in the death of her minor patient, and her federal sentence will be served consecutive to her state one. She is also banned from working for any governmental entity in the healthcare field for life.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Lamont Pugh, Special Agent in Charge, Health and Human Services Office of Inspector General (HHS-OIG), announced the sentence handed down today by U.S. District Judge Walter H. Rice.
According to the Statement of Facts in this case, Parsons was employed as a home healthcare nurse for a minor with severe physical impairments from at least 2009 until March 2011. Parsons was paid through Medicaid to provide daily nursing services, including but not limited to, wound care, personal hygiene maintenance and feeding assistance. The child under her care was unable to communicate, completely paralyzed and dependent upon feeding tubes.
Rather than working her eight-hour shift and providing the nursing services, Parsons was frequently absent from the home for extended periods of time. To conceal her neglect, the defendant submitted false claims to Medicaid to receive fraudulent payments for private duty nurse services.
Parsons pleaded guilty in the federal case in January 2016 to two counts of healthcare fraud.
“Parsons’ actions directly undermined the purpose for which Medicaid compensated her – providing medical care to a severely disabled child – as she deprived a child with cerebral palsy of the most basic medical care and comfort,” U.S. Attorney Glassman said. “The state prosecution served as the primary mechanism to address and punish the child victim’s death, but could not address the fraud against Medicaid. This federal prosecution therefore provides accountability for her fraudulent conduct as it relates to Medicaid.”
U.S. Attorney Glassman commended the cooperative investigation by HHS-OIG, as well as Assistant United States Attorney Brent G. Tabacchi and Deputy Criminal Chief Laura I. Clemmens, who are representing the United States in this case.
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Seven Defendants Charged in Two Separate Armed Bank Robbery CasesRead the Press Release
CINCINNATI – A federal grand jury has charged seven defendants in armed bank robbery cases in two separate indictments returned in Cincinnati.
Malcolm Lorenzo Jones, 20, of Cincinnati, remains at large.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, Cincinnati Police Chief Eliot K. Isaac, Colerain Police Chief Mark Denney, Green Township Police Chief James Vetter and Springfield Township Police Chief Robert Browder announced the indictments returned this week.
One indictment alleges that Keila D. Spurling, 26, Miguel Chiles, 27, and Sierra L. Leary, 23, all of Cincinnati, were involved in the armed robbery of Main Source Bank on Cheviot Road in Cincinnati on May 26 and Quincy Chiles, 21, also of Cincinnati, joined the trio in the armed robbery of the Wes Banco Bank on Winton Road in Springfield Township on June 6.
The second indictment, which is a superseding indictment, alleges that Nelson Jones, 25, and Hope Tolbert, 20, both of Cincinnati, were involved in the armed bank robbery of North Side Bank and Trust on Gregory Street in Cincinnati on May 13 and Nelson Jones and Malcolm Lorenzo Jones, 20, also of Cincinnati were involved in the armed bank robbery of Key Bank on Springdale Road in Colerain Township on May 22.
U.S. Attorney Glassman commended the investigation of these cases by the FBI and local police departments, as well as Assistant United States Attorney Anthony Springer who is prosecuting these cases.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
If you have information on the whereabouts of Malcolm Lorenzo Jones, please call FBI at 513-421-4310 and/or Crime Stoppers at 513-352-3040.
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New Albany Man Sentenced to 200 Months in Prison for Role in Cocaine Trafficking ConspiracyRead the Press Release
COLUMBUS, Ohio – Oscar Collado-Rivera, 32, of New Albany, Ohio, was sentenced in U.S. District Court to 200 months in prison for conspiring with others to distribute more than 150 kilograms of cocaine.
A U.S. District Court jury convicted Collado-Rivera in November 2016 after a three-day trial for his role in the conspiracy, which involved at least $4 million in drugs and U.S. currency over a six-month period in 2015.
U.S. Attorney Benjamin C. Glassman of the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, and agencies in a state and local task force announced the sentence handed down today by U.S. District Judge Michael H. Watson.
Evidence presented during the trial established that Collado-Rivera and others were responsible for arranging large shipments of cocaine from Mexico and Texas into the Columbus area.
The jury convicted Collado-Rivera of one count of conspiracy to possess with intent to distribute more than five kilograms of cocaine. Task Force officers arrested Collado-Rivera in December 2015 based on a federal criminal complaint. He has been in custody since his arrest.
Glassman commended Franklin County Sheriff Dallas Baldwin’s Office, the Ohio State Highway Patrol, and the investigators with police departments in Pickerington, Upper Arlington and Westerville who conducted the investigation, as well as Deputy Criminal Chief Michael Hunter and Appellate Chief Mary Beth Young, who represent the United States in prosecuting the case.
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Federal Grand Jury Indicts 16 in Narcotics ConspiracyRead the Press Release
CINCINNATI – A federal grand jury has charged sixteen individuals with charges related to distribution of fentanyl, maintaining drug-involved premises, firearms offenses and money laundering in a 45-count indictment filed here today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Trevor Velinor, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Ohio State Highway Patrol Superintendent Col. Paul A. Pride and Cincinnati Police Chief Eliot K. Isaac announced the indictment.
Those charged include:
Name
Also Known As
Age
City of Residence
*Keysean Dearis Dickey
“Mike”
25
Mason, Ohio
Edmond Christian Hurt
“Eddie”
24
Cincinnati
Rajah Amire Swain
21
Mason, Ohio
Chrisette Camilla Wade
25
Cincinnati
Ari Naiem Hodges
“Big Mike, Fat Mike, Bundles”
23
Cincinnati
Da’Marco Martez Browner II
“Baby D, Kid”
24
Fairfield, Ohio
Dominic Dashawn Davis
26
Cincinnati
Chaz Niko Jones
“Juice, Z”
26
Cincinnati
Christopher Javar Mathews
“Jay, Smash”
29
Cincinnati
Kiarra C. Thomas
27
Cincinnati
Mykeal Dawshawn Parker
24
Cincinnati
Devonte Shaunquinn Walker
23
Cincinnati
*Damyia L. Engram
31
Cincinnati
Thomesha Walker
25
Cincinnati
Shonda Denise Jones
44
Cincinnati
Sherica Lynnae Shields
24
Cincinnati
*Two defendants – Dickey and Engram – are currently fugitives.
The indictment alleges that the drug trafficking organization distributed more than 400 grams of fentanyl from September 2016 until agents executed search and arrest warrants on June 26, 2017.
Each of the defendants is charged with participating in a drug distributing conspiracy through various roles such as leader, supplier of drugs, packager, holder, intermediary, helper, stash house operator and launderer of drug proceeds.
Text messages sent to various defendants’ cell phones revealed communications asking about the quantity and quality of fentanyl. “Customers” allegedly texted the defendants complaining about getting “shorted” and asking for “fronts” on drugs.
For example, on August 13, 2016, Mathews received a text message stating “Chris ur … scale is off. I can take my grand a week else where!”
A message received a month later stated: “bro I cant barely move im so sick but no money yet today. Can I get a little bit on credit?”
Walker received a similar message from a user saying the user was “going out of town” and “just don’t want to be sick.”
Defendants also allegedly received text messages complaining about the quality of the drugs, including messages like “this…getting supppeerr weak btw kinda sucks a lil” and “…that was pure garbage. Did absolutely nothing. Big waste of $70! Pure waste.”
The indictment alleges multiple other conversations between defendants discussing drug transactions, undercover police, surveillance and other dealers selling bad dope and its effect on their business.
“This indictment charges sixteen people in a conspiracy to traffic fentanyl in and around Cincinnati over the last nine months,” said U.S. Attorney Glassman. “Six of the defendants are also charged with laundering thousands of dollars of their drug money by renting dozens of cars, which were in turn used to support the drug-trafficking operation.”
U.S. Attorney Glassman commended the investigation of this case by the DEA, ATF, Ohio State Highway Patrol and Cincinnati Police, as well as Assistant United States Attorney Karl P. Kadon, who is prosecuting the case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Vice President of Local Drywall Company Sentenced for Income Tax FraudRead the Press Release
COLUMBUS, Ohio – The Vice President of Porter Drywall and Black Star Drywall, Inc. was sentenced in U.S. District Court to five years of probation and ordered to pay more than $25,000 in restitution to the IRS for filing a false income tax return.
As a condition of his probation, Robert E. Porter, 53, of Westerville, Ohio, must ensure that Porter Drywall subscribes to proper governmental forms and otherwise complies with all tax, labor and immigration laws with respect to its employees.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS), Criminal Investigation, Cincinnati Field Office, James Vanderberg, Special Agent in Charge, United States Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, Brad Geary, Special Agent in Charge, United States Department of Housing and Urban Development, Office of Inspector General, and Steve Francis, Acting Special Agent in Charge, Homeland Security Investigations, announced the sentence handed down yesterday by U.S. District Judge Michael. H. Watson.
According to court documents, Porter was Vice President of the companies between 2009 and 2013. Porter Drywall contracted to provide drywall installation and drywall supplies to residential and commercial contractors in Central Ohio. As well as being Vice President, Porter was a jobsite supervisor and estimator for Porter Drywall’s private and corporate clients.
Acting on behalf of Porter Drywall, Porter provided estimates for certain projects and assigned Porter Drywall’s employees and/or subcontractors to complete the work. He diverted numerous customer payments to his personal bank account while Porter Drywall incurred all of the costs for the projects – including labor and materials.
Shannon C. Boston, 44, of Sunbury, Ohio, was also charged in relation to this case and pleaded guilty to one count of failing to account for and pay over employment taxes to the IRS. Boston was sentenced on April 20, 2017 to five years of probation and was ordered to pay nearly $93,000 in restitution to the IRS.
While Boston was the Chief Financial Officer of Porter Drywall, Inc. in 2013, she submitted employer’s quarterly income tax returns for the company but failed to pay over their employees’ federal withholdings and Federal Insurance Contributions Act (FICA) – which includes Social Security and Medicare withholdings amounts – for the fourth quarter of 2013, totaling $120,406.
"Tax violations have been erroneously referred to as victimless crimes, but it's the honest law-abiding citizen who is harmed when someone tries to manipulate our nation's tax system," said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
U.S. Attorney Glassman commended the investigation of this case by the IRS, U.S. Department of Labor, U.S. Department of Housing and Urban Development, and Homeland Security Investigations, and Assistant U.S. Attorney Daniel A. Brown, who prosecuted the case.
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U.S. Attorney's Office will Review Evidence from Tensing TrialsRead the Press Release
CINCINNATI – U.S. Attorney Benjamin C. Glassman announced today that in light of the Hamilton County Prosecutor’s decision not to pursue a second retrial of Raymond Tensing, the United States Attorney’s Office will now undertake to acquire and review the evidence from the state court trials in order to assess whether there are possible federal civil rights offenses warranting investigation and potential prosecution.
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Marion Man Sentenced for Conducting Investment Fraud SchemeRead the Press Release
COLUMBUS, Ohio – John Richard Blazer, 71, of Marion, Ohio, was sentenced in U.S. District Court to 33 months in prison for orchestrating multiple investment fraud schemes. Blazer pleaded guilty to wire fraud and money laundering in December 2016.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence handed down today by U.S. District Judge Michael H. Watson.
According to the Statement of Facts in this case, from approximately January 2011 until August 2013, Blazer owned and operated several businesses in central Ohio, including The Ohio Company and The Ohio Company Loan Fund. He was also a partner in The Ohio Heritage Fund.
Blazer recruited investors by promising them that their money would be invested in one of his businesses, or in a real estate fund to purchase and rehabilitate homes in central Ohio, which would then be leased through a Section 8 housing program with the government, or in a gold mining operation in Africa that had the potential to produce significant amounts of gold and diamonds.
Rather than investing the victims’ funds, Blazer used the money to pay for personal expenses and to partially re-pay other victims.
In total, he received at least $1 million from approximately 21 victims.
As part of his sentence, Blazer was also ordered to pay full restitution to the victims.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Assistant United States Attorney Jessica H. Kim, who is representing the United States in this case.
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Three Companies and Their Executives Pay $19.5 Million to Resolve False Claims Act Allegations Pertaining to Rehabilitation Therapy and Hospice ServicesRead the Press Release
Ohio based Foundations Health Solutions Inc. (FHS), Olympia Therapy Inc. (Olympia), and Tridia Hospice Care Inc. (Tridia), and their executives, Brian Colleran (Colleran) and Daniel Parker (Parker), have agreed to pay approximately $19.5 million to resolve allegations pertaining to the submission of false claims for medically unnecessary rehabilitation therapy and hospice services to Medicare, the Department of Justice announced today.
“Clinical decisions should be based on patient needs rather than corporate profits,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “This settlement reflects the Department’s continuing commitment to safeguarding patients and the Medicare system.”
FHS is the corporate successor to Provider Services Inc. (PSI), which provided management services to skilled nursing facilities. In 2010, PSI was merged into BCFL Holdings Inc. (BCFL), which was renamed FHS in 2013. Olympia provided rehabilitation therapy services to patients at the skilled nursing facilities managed by PSI and BCFL. Tridia Hospice Care Inc. provided hospice care services. Colleran and Parker partially controlled or owned PSI, BCFL, FHS, Olympia, and Tridia between 2008 and 2013.
The settlement resolves allegations that, from January 2008 through December 2012, Olympia and PSI/BCFL submitted, or caused the submission of, false claims to Medicare for medically unnecessary rehabilitation therapy services at 18 skilled nursing facilities. The government contended that the therapy services were provided at excessive levels to increase Medicare reimbursement for those services.
The settlement further resolves allegations that, from April 2011 through December 2013, Tridia submitted false claims to Medicare for hospice services provided to patients who were ineligible for the Medicare hospice benefit because Tridia failed to conduct proper certifications or medical examinations. The settlement also resolves allegations that from January 2008 through December 2012, Colleran and Parker solicited and received kickbacks to refer patients from skilled nursing facilities managed by PSI or BCFL to Amber Home Care LLC, a home health care services provider.
“This is one of the largest nursing home operations in Ohio,” said U.S. Attorney Benjamin C. Glassman for the Southern District of Ohio. “It is unacceptable for an entity entrusted to care for our most vulnerable and elderly citizens to make decisions based on profit, not quality of care. Subjecting the elderly to inappropriate levels of therapy can be physically harmful, and failing to properly certify and re-certify hospice patients can have a devastating impact on the patients and their families.”
As part of the settlement, FHS and Colleran have entered into a five-year Corporate Integrity Agreement (CIA) with the HHS Office of Inspector General (HHS-OIG). The CIA is designed to increase the accountability and transparency of FHS and Colleran so that they will avoid or promptly detect future fraud and abuse.
“Medicare providers have a legal and moral obligation to provide only those services that are medically necessary and to ensure that claims seeking payment accurately reflect the services that are actually provided,” said Special Agent in Charge Lamont Pugh III of the U.S. Department of Health & Human Services, Office of Inspector General (HHS-OIG). “The misrepresentation or falsification of those claims not only violates provisions of the False Claims Act but the public’s trust. The OIG will continue to aggressively investigate allegations of potential violations of this nature.”
The settlement resolves allegations filed in two separate lawsuits by Vladimir Trakhter, a former Olympia employee, and Paula Bourne and La’Tasha Goodwin, former Tridia employees, in federal court in Columbus, Ohio. The lawsuits were filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private individuals to sue on behalf of the government for false claims and to share in any recovery. Mr. Trahkter will receive approximately $2.9 million and Ms. Bourne and Ms. Goodwin collectively will receive $740,000.
The settlement is the result of a coordinated effort by the Civil Division’s Commercial Litigation Branch and the U.S. Attorney’s Office for the Southern District of Ohio, with assistance from HHS-OIG, the HHS Office of Counsel to the Inspector General, and the Ohio Medicaid Fraud Control Unit.
These cases are captioned United States ex rel. Trakhter v. Provider Services, Inc., n/k/a BCFL Holdings, Inc., et. al., Case No. 1:11-CV-217, and United States ex rel. Bourne and Goodwin v. Brian Colleran, et. al., Case No. 1:12-CV-935. The claims resolved by the settlement are allegations only, and there has been no determination of liability.
National Health Care Fraud Takedown Includes Two Central Ohio Companies and Owners Charged with False BillingRead the Press Release
COLUMBUS, Ohio – A federal grand jury has returned separate indictments charging two central Ohio health care companies and the people who own them with health care fraud. One company allegedly billed government insurance programs for unnecessary medical procedures and the other is accused of billing government insurance programs for pain and scar creams that recipients said they never requested or wanted.
The two Ohio cases are part of a nationwide health care fraud takedown announced today by Attorney General Jeff Sessions and Department of Health and Human Services (HHS) Secretary Tom Price, M.D.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; Lamont Pugh III, Special Agent in Charge, U.S. Department of Health & Human Services; Office of Inspector General – Chicago Region; the Medicaid Fraud Control Unit in Ohio Attorney General Mike DeWine’s Office; Angela Byers, Special Agent in Charge, Federal Bureau of Investigation Cincinnati; Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA); and Steven W. Schierholt, Executive Director of the Ohio Board of Pharmacy announced the indictments today as part of a nationwide crackdown on fraudulent health care providers.
One indictment alleges that Salim Dahdah who owns and operates the Ohio Institute of Cardiac Care (OICC) in Springfield, and his wife Cindy Dahdah who owns Accubil, a company that handles the billing for OICC, received more than $2 million from Medicare and Medicaid for medically unnecessary nuclear stress tests and medically unnecessary coronary interventions such as pacemaker insertion and stent procedures. The indictment charges them with conspiracy to commit health care fraud and health care fraud, crimes punishable by up to ten years in prison, and health care false statements a crime which carries a maximum sentence of five years in prison.
The grand jury also indicted Darrell Bryant and Gifty Kusi, a husband and wife who own and manage Health & Wellness Pharmacy in Dublin. Kusi and Dr. Jornel Rivera owned and operated Health & Wellness Medical Center, also in Dublin. The indictment alleges that they fraudulently received more than $3 million from the Ohio Department of Medicaid and Medicaid Managed Care Organizations (MCOs) through multiple schemes including billing for compound creams that were not provided or not requested by patients, billing for counseling services that were not provided or billing for group counseling sessions as individual counseling services. The indictment charges all three defendants with conspiracy to commit health care fraud and health care fraud.
“Health care fraud creates victims out of patients, providers, and taxpayers,” U.S. Attorney Glassman said. “It’s a crime that breaks the bonds of trust between doctor and patient, and between government and the people, just for the sake of personal greed.”
“The charges announced today should send a strong message to criminals that theft from vital health care programs will not be tolerated”, said SAC Pugh of HHS Office of Inspector General. “The OIG and our law enforcement partners will continue to be vigilant in our efforts to protect tax payer dollars that are intended to aid our most vulnerable citizens.”
“Both of these cases are egregious,” said Attorney General DeWine. “In the OICC case, the investigation found that patients underwent dangerous and completely unnecessary medical procedures, and in the Health and Wellness Pharmacy case, the investigation found that people who legitimately needed drug treatment and counseling weren’t getting it – even though the company charged for it. In the midst of the opioid epidemic in Ohio, it is critical that healthcare providers are rendering services that are meant to help Ohioans struggling with addiction.”
“Some of the charges described include medically unnecessary procedures performed which could cause patient harm. This is the most egregious form of health care fraud”, said SAC Byers of the FBI, adding that “Health care fraud contributes to rising health care costs for everyone.”
Today’s nationwide enforcement action is the largest ever health care fraud enforcement action by the Medicare Fraud Strike Force, involving 412 charged defendants across 41 federal districts, including 115 doctors, nurses and other licensed medical professionals, for their alleged participation in health care fraud schemes involving approximately $1.3 billion in false billings. Of those charged, over 120 defendants, including doctors, were charged for their roles in prescribing and distributing opioids and other dangerous narcotics. Thirty state Medicaid Fraud Control Units also participated in today’s arrests. In addition, HHS has initiated suspension actions against 295 providers, including doctors, nurses and pharmacists.
U.S. Attorney Glassman commended the investigation of this case by the HHS-OIG, Ohio Attorney General Mike DeWine’s Medicaid Fraud Control Unit and IRS Criminal Investigation, as well as Assistant United States Attorney Kenneth Affeldt and Special Assistant United States Attorney Maritsa Flaherty, who are representing the United States in this case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
Indiana Livestock Broker Charged with Fraud, Money LaunderingRead the Press Release
CINCINNATI– A federal grand jury has charged Brian D. Jones, 38, of Vevay, Indiana with defrauding investors in his livestock brokerage business.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, announced the indictment which was unsealed today.
The indictment alleges that Jones operated a business buying bull calves from dairy farms in Wisconsin and selling them to cattle ranches in Texas and Missouri. He began soliciting investors in 2015, promising sizable returns for the investments.
Rather than invest the funds, the indictment alleges, Jones used the funds for his personal benefit such as gambling at casinos. The indictment also alleges that Jones used the investment funds to pay “returns” back to earlier investors as if the funds had actually generated income through investment in his business. By the end of 2015, the indictment says, Jones had squandered funds from the cattle purchasers and was in debt with his suppliers and purchasers. Investigators are still calculating the number of investors and the amount of money involved in the alleged fraud.
“The indictment alleges that Jones fabricated bank documents to show that he had sizable business deposits that would soon be ‘released’ by the bank,” U.S. Attorney Glassman said. “He also allegedly sent checks to investors including some in the Southern District of Ohio for investment returns, only to have the checks bounce due to insufficient funds in his account.”
Jones faces four counts of wire fraud, each punishable by up to 20 years in prison and a $250,000 fine if he’s convicted. The indictment also charges him with four counts of money laundering. Three are punishable by up to ten years in prison. One money laundering charges carries a potential sentence of 20 years in prison. Two additional counts seek forfeiture of all property and proceeds of any crimes of which Jones is convicted.
FBI agents arrested Jones in southern Indiana today. Jones appeared U.S. Magistrate Judge Stephanie Bowman for an initial appearance and to schedule further court dates.
U.S. Attorney Glassman commended the investigation of this case by the FBI, as well as Assistant United States Attorney Timothy S. Mangan, who is prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
Lockland Company Pleads Guilty to Failing to Report Large Cash Transactions and Trucking Safety ViolationsRead the Press Release
CINCINNATI – Enson Trading LLC, which does business as Eternal Food Service, pleaded guilty in U.S. District Court to failing to file required IRS forms for cash transactions exceeding $10,000, and to violating Federal Motor Carrier Safety regulations.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Ryan L. Korner, Special Agent in Charge, Internal Revenue Service Criminal Investigation, Thomas J. Ullom, Special Agent in Charge, U.S. Department of Transportation Office of Inspector General, and Angela Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI) Cincinnati Field Office, announced the pleas entered today before U.S. District Judge Timothy S. Black.
According to the Statement of Facts in this case, Enson is a Lockland-based wholesale food storage facility and distributor to primarily Asian restaurants in Ohio and nine other states. Many of the company’s customers pay in cash. Between October 2010 and June 2012, the company failed to file a federal Form 8300 for 41 cash transactions totaling $564,202.23. Federal laws and regulations require every person engaged in a nonfinancial trade or business that receives cash in excess of $10,000 to file the form within 15 days of receipt of the cash.
The company also pleaded guilty to conspiracy to continue operation after imposition of an out-of-service order from the Federal Motor Carrier Safety Administration (FMCSA). In June 2010, FMCSA conducted a compliance review of the trucks the company used to distribute its products in Ohio and out of state and issued the company an unsatisfactory safety rating based upon critical violations of several regulations. FMCSA gave the company 60 days to address the violations or they would receive an out-of-service order. Eight days before the company’s trucking operations were to be put out of service, the company registered and incorporated under a different name. The company did that five more times between 2010 and 2014, using the names Heng Hua, National Trucking, Eternal Trading Corporation, Aspiron and FC Logistics.
Terms of the plea agreement call for the company to serve three years of probation, pay a $525,000 fine, and forfeit $215,012.55. Enson Trading, LLC manager Qing Xia Zheng entered the plea on behalf of the company.
U.S. Attorney Glassman commended the investigation of this case by the IRS, the U.S. Department of Transportation Office of Inspector General and the FBI, and District Criminal Chief Kenneth L. Parker, who is representing the United States in this case.
Federal Officials Close Review of Fatal Shooting of John Crawford IIIRead the Press Release
DAYTON, OHIO – The Civil Rights Division of the Justice Department and the U.S. Attorney’s Office for the Southern District of Ohio announced today that they have completed a thorough, independent investigation into the fatal shooting of John Crawford III on August 5, 2014, by Beavercreek Police Officer Sean Williams at the Wal-Mart in Beavercreek, Ohio. This investigation revealed that the evidence is insufficient to prove, beyond a reasonable doubt, that Officer Williams violated federal civil rights laws. Accordingly, the Civil Rights Division of the Justice Department and U.S. Attorney’s Office for the Southern District of Ohio will not pursue federal criminal civil rights charges against Officer Williams.
Justice Department officials have notified Mr. Crawford’s family of this decision.
The investigation was conducted by career investigators and prosecutors, and included a review of voluminous materials, including the investigative reports generated by the Beavercreek Police Department and the Ohio Bureau of Criminal Investigation; forensic evidence reports; the autopsy report; photographs of the crime scene; toxicology reports; and EMS reports. Federal officials collected and carefully analyzed all available footage from Wal-Mart’s in-store video surveillance system using resources at the FBI laboratory in Quantico, Va. Prosecutors also obtained assistance from an independent crime scene reconstruction expert to aid in understanding the exact perspectives held by the officers who confronted Mr. Crawford. In addition, the FBI conducted its own interviews of relevant witnesses, including interviews with personnel at the Beavercreek Police Department who were responsible for training Officer Williams.
In conducting the review, federal authorities were tasked with determining whether Officer Williams violated federal law by willfully using unreasonable force against Mr. Crawford. Under the applicable federal criminal civil rights statute, prosecutors would be required to establish, beyond a reasonable doubt, that a law enforcement officer willfully deprived Mr. Crawford of a constitutional right. To establish willfulness, federal authorities would be required to show that the officer acted with the deliberate and specific intent to do something the law forbids. This is one of the highest standards of intent imposed by law. Mistake, misperception, negligence, necessity, or poor judgment are not sufficient to establish a federal criminal civil rights violation.
Based on a legal analysis of the investigative materials, the Civil Rights Division and the U.S. Attorney have concluded that there is insufficient evidence to establish that Officer Williams acted with the requisite criminal intent necessary to pursue a federal prosecution. To establish that Officer Williams acted willfully, the government would be required both to disprove his stated reason for the shooting – that he was in fear of death or serious bodily injury – and to affirmatively establish that Officer Williams instead acted with the specific intent to violate Mr. Crawford’s rights. The evidence here simply cannot satisfy those burdens. Accordingly, the review into this incident has been closed without prosecution.
The Civil Rights Division, the U.S. Attorney’s Office, and the FBI are committed to investigating allegations of civil rights violations by law enforcement officers and will continue to devote the resources required to ensure that all allegations of serious civil rights violations are fully and completely investigated. The department will aggressively prosecute criminal civil rights violations whenever there is sufficient evidence to do so.
Three Former Employees of Evans Landscaping Plead Guilty to Involvement in Defrauding City, State ‘Small Business’ & ‘Minority Business’ ProgramsRead the Press Release
CINCINNATI – Three former employees of Evans Landscaping pleaded guilty in U.S. District Court to charges related to defrauding the City of Cincinnati and other public entities including universities and numerous school districts through fraudulent small business and minority business contracts.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office, and Ohio Attorney General Mike DeWine announced the pleas entered today before U.S. District Judge Michael R. Barrett.
Maurice Patterson, former CFO of Evans Landscaping, and Michael Moeller, former manager at Evans Landscaping, each pleaded guilty to one count of conspiracy to commit wire fraud. Conspiracy to commit wire fraud is punishable by up to 20 years in prison, up to three years of supervised release, a fine of up to $250,000 and mandatory restitution.
John Dietrich, former CFO of Evans Landscaping, pleaded guilty to one count of misprision of a felony. Misprision of a felony carries a maximum sentence of three years in prison, up to one year of supervised release, a fine of up to $250,000 and mandatory restitution.
Documents filed with their guilty pleas say Patterson and Moeller conspired with others between 2008 and 2014 to create a company, Ergon Site Construction, LLC, to serve as a fraudulent Small Business Enterprise (SBE) and Minority Business Enterprise (MBE) company for the benefit of Evans Landscaping in obtaining public contracts. Dietrich became aware of the conspiracy and scheme to defraud and helped conceal the crime in 2013.
U.S. Attorney Glassman commended the investigation of this case by the FBI’s Southern Ohio Public Corruption Task Force, which includes special agents from the FBI and the Ohio Bureau of Criminal Investigation, as well as Assistant United States Attorney Timothy S. Mangan and Deputy Criminal Chief Emily N. Glatfelter, who are prosecuting the case.
Ross County Man Sentenced to 120 Months in Prison for Dealing Heroin, Illegally Possessing Machine Guns and Other FirearmsRead the Press Release
COLUMBUS, Ohio – Ronald Allen Meadows, 46, of Chillicothe, Ohio was sentenced to 120 months in prison for illegally possessing firearms, including machine guns, and dealing heroin from his house.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Trevor Velinor, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Ross County Sheriff George W. Lavender and the U.S. 23 Pipeline Major Crimes Task Force announced the sentence handed down today by Chief U.S. District Judge Edmund A. Sargus Jr.
Undercover task force officers bought drugs at Meadows’ Wilson Run Road house in 2015 after receiving complaints about drug trafficking taking place there. Agents executed two search warrants at Meadows’ home in 2016, seized 40 firearms including two machine guns, and almost 90 grams of heroin. ATF agents and task force officers arrested Meadows in August 2016 following a grand jury indictment.
Meadows pleaded guilty on March 16, 2017 to three counts of possession of a firearm by a convicted felon, two counts of possession of a machine gun and one count of possession with intent to distribute heroin.
“There’s one less heroin dealer on the streets in Ross County today because people came forward and worked with law enforcement,” U.S. Attorney Glassman said. “The machine guns the agents seized also show that drugs and violence continue to be a deadly duo.” Glassman also commended the investigation by the U.S. 23 Pipeline Major Crimes Task Force and the ATF. Glassman also commended Assistant U.S. Attorney Timothy D. Prichard who represented the United States in this case.
Ohio Man Pleads Guilty to Attempting to Provide Material Support to ISISRead the Press Release
Aaron Travis Daniels, 20, aka Harun Muhammad, aka Abu Yusef, of Columbus, Ohio, pleaded guilty to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, in violation of Title 18, U.S. Code, Section 2339B.
Acting Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney Benjamin C. Glassman of the Southern District of Ohio, Special Agent in Charge Angela L. Byers of the FBI’s Cincinnati Division, and agencies participating in the Southern Ohio Joint Terrorism Task Force (JTTF) made the announcement. The plea was entered before Chief U.S. District Judge Edmund A. Sargus Jr.
“Daniels admitted that he attempted to travel abroad to provide material support to ISIS,” said Acting Assistant Attorney General Boente. “Identifying, thwarting and holding accountable individuals who attempt to provide material support to foreign terrorist organizations is a top priority of the Department of Justice.”
“This case demonstrates how terrorist activities abroad can reach into our local communities,” U.S. Attorney Glassman said. “Our office and agencies in the JTTF will continue to cooperate as we work to protect our national security.”
JTTF agents arrested Daniels on Nov. 7, 2106, as he attempted to leave Columbus with the intent to join ISIS in Libya. A federal grand jury indicted him on Nov. 10, 2016. Daniels has been in custody since his arrest.
Daniels faces a maximum sentence of 20 years in prison. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes. If convicted of any offense, the sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
The Columbus JTTF is made up of officers and agents from the FBI, U.S. Marshals Service, Columbus Division of Police, Franklin County Sheriff’s Office, Ohio State Highway Patrol, The Ohio State University Police Department, the Ohio Investigative Unit, U.S. Immigrations and Customs Enforcement, the John Glenn International Airport Police Department, Westerville Police Department and Columbus Division of Fire.
This case is being prosecuted by Assistant U.S. Attorneys Jessica W. Knight and Jessica Kim, and Special Assistant U.S. Attorney Joseph Gibson of the Southern District of Ohio, and Trial Attorney Michael Dittoe of the National Security Division’s Counterterrorism Section.
Grand Jury Indicts Westerville Man for Threatening CongressmanRead the Press Release
COLUMBUS, Ohio – A federal grand jury has charged E. Stanley Hoff, 68, of Westerville with one count of threatening to assault and murder a United States official, a crime punishable by up to ten years in prison.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and the United States Capitol Police announced the indictment returned today.
The indictment alleges that Hoff threatened to assault and murder U.S Representative Steve Stivers and a member of Stivers’ family.
Hoff was charged by a criminal complaint on June 21, 2017 and arrested. An affidavit filed in support of the complaint alleges that Hoff left a threatening voice mail on Rep. Stivers’ Hilliard office phone. Hoff is being held without bond.
U.S. Attorney Glassman commended the investigation of this case by the U.S. Capitol Police and Assistant United States Attorneys Kevin Kelley and Brian Martinez, who are prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
Columbus Man Pleads Guilty to Attempting to Provide Material Support to ISISRead the Press Release
COLUMBUS, Ohio – Aaron Travis Daniels, 20, aka Harun Muhammad, aka Abu Yusef of Columbus pled guilty in U.S. District Court to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization, in violation of Title 18, United States Code, Section 2339B. Daniels faces a maximum sentence of 20 years in prison.
U.S. Attorney Benjamin C. Glassman of the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, and agencies participating in the Columbus Joint Terrorism Task Force (JTTF) announced the plea entered today before Chief U.S. District Judge Edmund A. Sargus Jr.
JTTF agents arrested Daniels on November 7, 2106, as he attempted to leave Columbus with the intent to join ISIS in Libya. A federal grand jury indicted him on November 10, 2016 Daniels has been in custody since his arrest.
“This case demonstrates how terrorist activities abroad can reach into our local communities,” U.S. Attorney Glassman said. “Our office and agencies in the JTTF will continue to cooperate as we work to protect our national security.”
The Columbus JTTF is made up of officers and agents from the FBI, U.S. Marshals Service, Columbus Division of Police, Franklin County Sheriff’s Office, Ohio State Highway Patrol, The Ohio State University Police Department, the Ohio Investigative Unit, U.S. Immigrations and Customs Enforcement, the John Glenn International Airport Police Department, Westerville Police Department and Columbus Division of Fire.
The case is being prosecuted by Assistant U.S. Attorney Jessica W. Knight, Special Assistant U.S. Attorney Joseph Gibson with Franklin County Prosecutor Ron O’Brien’s Office, and Trial Attorney Michael Dittoe of the National Security Division’s Counterterrorism Section.
84-Month Prison Sentence for Dayton Man Who Jumped Bank Counters, Used Pepper Spray to Steal CashRead the Press Release
DAYTON – Michael Stathas, 33, of Dayton, was sentenced in U.S. District Court today to 84 months in prison for robbing two banks in Montgomery County in December 2016.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence imposed by U.S. District Judge Walter H. Rice.
Stathas pleaded guilty on April 3, 2017 to two counts of robbery. According to the Statement of Facts filed with his plea agreement, Stathas jumped the teller counter at a Fifth Third Bank in Kettering, Ohio on December 23, pepper-sprayed the teller and stole the teller’s station money. On December 29, Stathas vaulted a bank counter at Key Bank in Centerville, Ohio. Once on the other side of the counter, he stole cash from the teller’s station.
Stathas fled the second robbery in his vehicle. Montgomery County Sheriff’s deputies and detectives in marked vehicles attempted to stop him, but rather than complying with their demands, he fled at a high rate of speed, ultimately crashing his car near Moraine, Ohio.
U.S. Attorney Glassman commended the cooperative investigation of this case by the FBI, Montgomery County Sheriff’s Office and the Kettering Police Department, as well as Assistant United States Attorney Brent G. Tabacchi, who represented the United States in this case.
55-Year Sentence Imposed on Columbus Man Convicted of Sex Crimes Against ChildRead the Press Release
COLUMBUS, Ohio – Thomas A. Sweeney, 49, of Columbus was sentenced to serve 45 years in prison for committing sex crimes involving a 14-year old female.
Vipal Patel, First Assistant United States Attorney for the Southern District of Ohio, Steve Francis, Acting Special Agent in Charge, U.S. Department of Homeland Security Investigations (HSI), Franklin County Sheriff Dallas Baldwin and other members of the Franklin County Internet Crimes Against Children (ICAC) Task Force announced the sentence handed down today by U.S. District Judge Michael H. Watson.
After a three-day trial, A U.S. District Court jury convicted Sweeney on January 20, 2017 of sexual exploitation of a minor, attempted coercion and enticement of a minor, receipt of child pornography and committing a sexual offense against as minor as a registered sex offender. Judge Watson sentenced Sweeney to a 45-year prison term on each of the first three crimes and ordered him to serve them concurrently, plus an additional ten years for committing a sexual offense against a minor as a registered sex offender.
According to court documents and trial testimony, Sweeney communicated with his then-14-year-old biological daughter via cellular phone and convinced her to send him photographs of her nude genitalia via text message. He also attempted to convince her to meet with him for purposes of the two engaging in sexual acts.
Sweeney had been convicted in 2004 in Franklin County Common Pleas Court for two counts of rape involving a minor. He was sentenced to two consecutive terms of five years in prison for that conviction.
Sweeney was charged by a criminal complaint in this case on February 11, 2016 and was indicted by a federal grand jury on March 31, 2016 and in a superseding indictment on January 12, 2017.
This case was prosecuted by United States Attorney Benjamin C. Glassman and Assistant United States Attorney Heather A. Hill. It was investigated by Franklin County ICAC Task Force members.
“Sweeney has proven himself to be a true predator,” Patel said. “The most significant outcome of the case is that the public is protected from future crimes by him.”
“The sentence handed down today should send a clear message about the harsh consequences that await child predators," said Steve Francis, special agent in charge of HSI, "This case is yet another example of the extraordinary collaborative efforts among our law enforcement partners with the ICAC, and our resolve to protect the most vulnerable among us."
The Franklin County ICAC Task Force is a multi-agency effort dedicated to the fight against computer facilitated crimes against children. In addition to HSI and the Franklin County Sheriff’s Office, the following agencies are members of the task force: Ohio ICAC, the Ohio Bureau of Criminal Investigation in Attorney General Mike DeWine’s Office, Franklin County Prosecutor Ron O’Brien’s Office, the Delaware and Pickaway county Sheriff’s offices and the police departments in Circleville, Columbus, Grandview, Grove City, Hilliard, The Ohio State University, Upper Arlington and Westerville.
Local Businessman Sentenced to 180 Months in Prison for Orchestrating $70 Million Ponzi SchemeRead the Press Release
DAYTON – William M. Apostelos, 55, formerly of Springboro, Ohio, was sentenced in U.S. District Court to 180 months in prison for defrauding nearly 500 victims in a $70 million Ponzi scheme.
Apostelos pleaded guilty to conspiracy to commit mail and wire fraud and theft or embezzlement from an employee benefit plan in February.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; Ryan L. Korner, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation, Cincinnati Field Office; Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI); Christopher White, Assistant Inspector in Charge, U.S. Postal Inspection Service; James Vanderberg, Special Agent in Charge, U.S. Department of Labor Office of Inspector General; Joe Rivers, Regional Director of the U.S. Department of Labor Employee Benefits Security Administration; and Andrea Seidt, Commissioner, Ohio Department of Commerce Division of Securities, announced the sentence handed down today by U.S. District Judge Thomas M. Rose.
Apostelos and his wife, Connie, also known as Connie Coleman, were indicted in October 2015. According to court documents, beginning in 2009, and continuing for at least five years, the couple and others orchestrated a Ponzi scheme in the Dayton area in which nearly 480 investors lost more than $20 million collectively. Apostelos received $70 million in investment funds in total.
William Apostelos operated and oversaw multiple purported investment and asset management companies in the Dayton area, including WMA Enterprises, LLC, Midwest Green Resources, LLC and Roan Capital. He falsely reported that he held a degree in mathematics and was a registered securities broker.
Connie Apostelos also operated and oversaw multiple companies in the Dayton area, including Coleman Capital, Inc. and Silver Bridle Racing, LLC. These companies were allegedly operated through improper use of investor funds to William Apostelos’ companies.
The couple recruited investors from 37 states to invest in WMA and Midwest Green, telling the investors that their money would be used for acquiring stocks or securities, purchasing real estate or land, providing loans to business and buying gold and silver.
Rather than investing the money, the couple used it to pay for personal luxuries. According to court documents, William Apostelos was spending $35,000 per month on his wife’s horse racing company and $400 per month on Victoria’s Secret lingerie.
When the defendants became late on interest payments to the victims, they advised that their bank account had been hacked, a bank mistakenly failed to wire payment and/or the deal the victim had invested in was temporarily on hold.
The government has seized two racehorses, vehicles, jewelry, artwork and cash totaling approximately $650,000 from the couple.
“This was a massive and devastating fraud – the largest Ponzi scheme ever in Dayton,” U.S. Attorney Glassman said. “Apostelos thoroughly deserves the substantial prison sentence that he received today.”
“In Ponzi schemes the promoter eventually runs out of other people's money and the scheme collapses like a house of cards," said Ryan L. Korner, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “William Apostelos left approximately 500 investors in financial peril and created a recipe for devastation that could last a lifetime.”
“William Apostelos stole approximately $1.9 million from pension funds that American workers were counting on for retirement. We will continue to work with our law enforcement partners to safeguard employee benefit plan assets," said James Vanderberg, Special Agent in Charge, Chicago Region, U.S. Department of Labor, Office of Inspector General.
“Mr. Apostelos falsely reported that he was a registered securities broker,” said Ohio Securities Commissioner Andrea Seidt. “This is why we encourage investors to always check the background of people who try to sell them any kind of investment product. Ohioans can call our Investor Protection Hotline at 877-683-7841 to find out if the person is licensed to sell securities and if the product is properly registered.”
Steven Scudder, 62, of Centerville, an attorney who served as trustee of the WMA Trust, pleaded guilty in U.S. District Court on January 19 to wire fraud, admitting that he used his position as an attorney to facilitate the fraudulent investment scheme. He was sentenced to serve 14 months in prison.
Connie Apostelos pleaded guilty to one count of mail fraud on April 4 and is scheduled for sentencing on August 2 before Judge Rose.
U.S. Attorney Glassman commended the investigation of this case by law enforcement, and Assistant United States Attorney Brent G. Tabacchi and Deputy Criminal Chief Laura Clemmens, who are prosecuting the case, as well as Enforcement Attorney Brian Peters, who represented the Ohio Division of Securities on the case.
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Cincinnati Man Sentenced for Sex Trafficking MinorRead the Press Release
CINCINNATI – Malik D.M. Bell, 24, of Cincinnati, was sentenced in U.S. District Court to 210 months in prison for sex trafficking of children and production of child pornography.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Office and West Chester Township Police Chief Joel Herzog announced the sentence handed down today by U.S. District Judge Timothy S. Black.
Bell was indicted in March 2016 and pleaded guilty to the two counts in February 2017.
According to the Statement of Facts in this case, Bell recruited a 15-year-old female to engage in a commercial sex act. Specifically, he began communicating with the victim through Tagged.com in April 2015. At that time, he made plans with the victim to get together with the intent of prostituting the minor.
Bell drove from Cincinnati to Fort Mitchell, Ky. to pick up the girl and bring her to the Tri-County Inn hotel in West Chester, Ohio. There, Bell engaged in sex acts with the minor and video recorded some of the activity on his cell phone.
Bell took nude and partially nude photos of the victim and created advertisements with them on Backpage.com. Bell arranged for at least two men to have sexual intercourse with the minor at the hotel. He instructed the victim about how much to charge for various amounts of time and sexual acts and the victim provided Bell with the money paid.
“Malik Bell took advantage of a vulnerable juvenile and sexually exploited her for his own financial gain,” U.S. Attorney Glassman said. “Today’s sentence illustrates how egregious his criminal actions were.”
U.S. Attorney Glassman commended the investigation of this case by the FBI and West Chester Township Police, as well as Assistant United States Attorney Kyle J. Healey, who is representing the United States in this case.
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Ohio Man Pleads Guilty to Providing Material Support to TerroristsRead the Press Release
Court records unsealed today reveal that Abdirahman Sheik Mohamud, 25, of Columbus, Ohio, pleaded guilty to all counts alleged against him regarding a terrorist plot.
A federal grand jury charged Mohamud in April 2015 with one count of attempting to provide and providing material support to terrorists, one count of attempting to provide and providing material support to a designated foreign terrorist organization – namely, al-Nusrah Front – and one count of making false statements to the FBI involving international terrorism in an indictment returned in Columbus. Mohamud pleaded guilty before U.S. Magistrate Judge Elizabeth Preston Deavers on Aug. 14, 2015, and the plea was sealed because of an ongoing investigation.
Assistant Attorney General for National Security Dana J. Boente, U.S. Attorney Benjamin C. Glassman for the Southern District of Ohio, Special Agent in Charge Angela L. Byers of the FBI, Prosecutor Ron O’Brief for Franklin County, and the FBI’s Columbus Joint Terrorism Task Force (JTTF), announced the plea unsealed by U.S. District Judge James L. Graham.
“Mohamud admitted to traveling overseas, providing material support to a designated foreign terrorist organization, and receiving training from terrorists. He also admitted to returning to the United States and planning to conduct an attack on American soil. He will now be held accountable for his crimes,” said Acting Assistant Attorney General Boente. “The National Security Division’s highest priority is counterterrorism. We will remain vigilant in our efforts to identify, disrupt, and bring to justice those who provide material support to foreign terrorist organizations and seek to conduct attacks on our homeland.”
“National security is the first priority of this office, and we will use every tool at our disposal to stop those who support foreign terrorist organizations and those who seek to do harm in the United States,” U.S. Attorney Glassman said.
“Each day the Joint Terrorism Task Force and our law enforcement partners are working to keep the community safe from those who wish to disrupt our way of life,” said Special Agent in Charge Byers. "We must continue to remain vigilant against these potential threats.”
“This case illustrates the effectiveness of the local JTTF and the cooperative effort in the Columbus area that exists to combat terrorism,” said Franklin County Prosecutor O’Brien.
According to court documents, Mohamud is a Somali-born naturalized citizen of the U.S. who, in 2014, obtained a U.S. passport and one-way ticket to Greece. During his travel in April 2014, Mohamud did not board his connecting flight to Athens, Greece; rather, during his layover in Istanbul, Turkey, he completed pre-arranged plans to cross the border into Syria. In Syria, Mohamud received training from al-Nusrah Front, a terrorist organization affiliated with al-Qaeda.
According to a statement of facts supporting Mohamud’s guilty plea, while in Syria, Mohamud trained with al-Nusrah Front on fitness, and on the use of weapons and tactics. Mohamud also engaged in a firefight and expressed his desire to die fighting in Syria.
After his brother was killed while fighting for al-Nusrah Front, Mohamud returned to the U.S. According to the statement of facts, after returning to the U.S., Mohamud planned to obtain weapons in order to kill military officers or other government employees or people in uniform. Evidence seized by the FBI indicates that Mohamud researched places in the U.S. to carry out such plans.
Mohamud was originally arrested and indicted in state court and a $1 million bond was set that maintained him in custody. Those state charges were dismissed when the federal prosecution commenced. Mohamud was then transferred into federal custody following the April 2015 indictment and remains in custody.
Providing material support to terrorists and providing material support to a designated foreign terrorist organization are each crimes punishable by up to 15 years in prison. Making false statements involving international terrorism carries a maximum sentence of eight years in prison. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes. The sentencing of the defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
Acting Assistant Attorney General Boente and U.S. Attorney Glassman commended the cooperative investigation of the FBI’s JTTF with numerous local partners. Trial Attorneys Bridget Behling and Lolita Lukose of the National Security Division’s Counterterrorism Section, and Assistant U.S. Attorneys Douglas Squires, Jessica H. Kim and Salvador Dominguez and Special Assistant U.S. Attorney Joseph Gibson of the Southern District of Ohio, are prosecuting the case.