Northern District of Oklahoma
Press releases recorded for this federal judicial district.
Tulsa Man Sent to Prison for Evading Taxes on $5 Million IncomeRead the Press Release
A Tulsa man, who attempted to prevent the Internal Revenue Service (IRS) from collecting more than $200,000 in taxes, penalties and interest he owed for 2005, and didn’t file tax returns for the years 2006 through 2012, despite earning commissions totaling nearly $5 million during these years, was sentenced in federal court in Tulsa, Oklahoma, today by U.S. District Court Judge Gregory Frizzell to 24 months in prison, announced U.S. Attorney Trent Shores and Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
John D. Petrig, 49, of Tulsa, pleaded guilty on February 5, 2019, to one count of tax evasion. From 2000 to 2012, Petrig worked for a company as an independent contractor installing ATM machines inside casinos. The company paid him commissions based on the number of transactions that were executed at the ATMs. In 2012, Petrig filed his 2005 tax return with the IRS, reporting a tax due of just over $110,000. In fact, Petrig owed taxes, penalties and interest of more than $217,000 and took steps to evade payment of those funds. When the IRS sent a levy to his employer, Choice ATM Enterprises, directing his commission payments be sent to the IRS to pay his 2005 tax debt, Petrig instructed Choice to pay his future commission payments to a nominee entity, and thereby prevent those funds from being used to satisfy his tax debt. According to court documents, Petrig earned commissions totaling nearly $5 million for the years 2006 through 2012, but did not file tax returns for any of those years.
“Petrig tried to beat the system and lost. Over a seven year period, he earned a commission income of almost $5 million and failed to pay the nearly $1 million owed in income taxes. When the United States attempted to collect those back taxes, he directed his commission payments to be sent to fictitious corporations,” said U.S. Attorney Trent Shores. “This egregious behavior warrants the sentence Judge Frizzell handed down today in federal court. Tax evaders beware, your criminal conduct will be brought to light, investigated, and prosecuted by the Department of Justice.”
“Evading the payment of taxes constitutes serious criminal activity,” stated Principal Deputy Assistant Attorney General Zuckerman. “In partnership with the United States Attorney’s Office and IRS-Criminal Investigation, the Tax Division is committed to holding tax evaders accountable for such criminal activity and seeking prison sentences for such crimes.”
U.S. Attorney Shores also commended the efforts of the justice team, “I appreciate the detailed examination of evidence by special agents from IRS-Criminal Investigation and the prosecutorial work of Special Assistant U.S. Attorney and Assistant Chief Andrew Kameros of the Tax Division and Assistant U.S. Attorneys Victor Régal and Charles McLoughlin.”
In addition to prison, Petrig was ordered to pay restitution to the IRS in the amount of $974,350.48 and to serve three years of supervised release after completion of his sentence.
The Department of Treasury, Internal Revenue Service-Criminal Investigation investigated the case. Special Assistant U.S. Attorney/ Assistant Chief Andrew J. Kameros of the Tax Division and Assistant U.S. Attorneys Charles M. McLoughlin and Victor A.S. Régal prosecuted the case.
ATM Installer Sent to Prison for Tax EvasionRead the Press Release
A Tulsa man, who attempted to prevent the Internal Revenue Service (IRS) from collecting more than $200,000 in taxes, penalties and interest he owed for 2005, and didn’t file tax returns for the years 2006 through 2012, despite earning commissions totaling nearly $5 million during these years, was sentenced in federal court in Tulsa, Oklahoma, today by U.S. District Court Judge Gregory Frizzell to 24 months in prison, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Trent Shores.
John D. Petrig, 49, of Tulsa, pleaded guilty on Feb. 5, 2019, to one count of tax evasion. From 2000 to 2012, Petrig worked for a company as an independent contractor installing ATM machines inside casinos. The company paid him commissions based on the number of transactions that were executed at the ATMs. In 2012, Petrig filed his 2005 tax return with the IRS, reporting a tax due of just over $110,000. In fact, Petrig owed taxes, penalties and interest of more than $217,000 and took steps to evade payment of those funds. When the IRS sent a levy to his employer, Choice ATM Enterprises, directing his commission payments be sent to the IRS to pay his 2005 tax debt, Petrig instructed Choice to pay his future commission payments to a nominee entity, and thereby prevent those funds from being used to satisfy his tax debt. According to court documents, Petrig earned commissions totaling nearly $5 million for the years 2006 through 2012, but did not file tax returns for any of those years.
“Evading the payment of taxes constitutes serious criminal activity,” stated Principal Deputy Assistant Attorney General Zuckerman. “In partnership with the United States Attorney’s Office and IRS-Criminal Investigation, the Tax Division is committed to holding tax evaders accountable for such criminal activity and seeking prison sentences for such crimes.”
“Petrig tried to beat the system and lost. Over a seven year period, he earned a commission income of almost $5 million and failed to pay the nearly $1 million owed in income taxes. When the United States attempted to collect those back taxes, he directed his commission payments to be sent to fictitious corporations,” said U.S. Attorney Trent Shores. “This egregious behavior warrants the sentence Judge Frizzell handed down today in federal court. Tax evaders beware, your criminal conduct will be brought to light, investigated, and prosecuted by the Department of Justice.”
In addition to prison, Petrig was ordered to pay restitution to the IRS in the amount of $974,350.48 and to serve three years of supervised release after completion of his sentence.
The Department of Treasury, Internal Revenue Service-Criminal Investigation investigated the case. Special Assistant U.S. Attorney/ Assistant Chief Andrew J. Kameros of the Tax Division and Assistant U.S. Attorneys Charles M. McLoughlin and Victor S. Régal prosecuted the case.
United States Attorney Shores Announces the Hiring of Two New Assistant United States AttorneysRead the Press Release
United States Attorney Trent Shores announced today the appointment of Kristin Harrington as an Assistant U.S. Attorney in the Civil Division and Scott Proctor as an Assistant U.S. Attorney in the Criminal Division for the Northern District of Oklahoma. They are scheduled to be sworn in Friday, June 7, at 10:00 a.m., at the United States District Courthouse by Chief United States District Judge John E. Dowdell.
“Kristin and Scott are valuable additions to our justice team here in the Northern District of Oklahoma. Kristin brings extensive experience, knowledge, and passion to the fight against opioids as part of our affirmative civil enforcement unit. Scott - with his service as an officer in the U.S. Navy and education at Harvard - brings a unique blend of mission readiness and legal aptitude to our Indian Country team,” said U.S. Attorney Shores. “We are lucky to have selfless civil servants like Kristin and Scott on our team. They will make a positive impact on our community and help further our mission at the Department of Justice.”
As an Assistant U.S. Attorney for the Affirmative Civil Enforcement unit, Ms. Harrington will prosecute civil actions on behalf of the United States of America to recover damages for fraud and other offenses and impose civil penalties for violations of the federal health, safety and economic welfare laws. One of her primary focuses will be combating the opioid crisis in northeastern Oklahoma. Previously, Ms. Harrington served as an Assistant U.S. Attorney for the Eastern District of Oklahoma. While there, she also served as the Opioid Coordinator, a position responsible for community outreach to address the opioid crisis and prosecution of cases involving opioids, including heroin, fentanyl and other controlled substances. Ms. Harrington has also served at the Oklahoma Attorney General’s Office, prosecuting white collar crime and healthcare matters, and as an Assistant District Attorney for the Tulsa County District Attorney’s Office. Ms. Harrington received her undergraduate degree at DePauw University and her J.D. from the University of Tulsa College of Law.
As a Criminal Division Assistant U.S. Attorney, Mr. Proctor will represent the United States of America in the prosecution of criminal cases in Indian Country. Mr. Proctor joined the office from the Attorney General’s Honors Program, where he was selected as “Indian Country Fellow.” Previously, he clerked for U.S. Circuit Judge Jeffrey Sutton at the United States Court of Appeals for the Sixth Circuit in Columbus, Ohio. He has also worked as an intern at the Justice Department’s National Security Division, Counterterrorism Section, the U.S. Attorney’s Office for the District of Massachusetts, and on Capitol Hill for U.S. Senator Tom Cotton. Mr. Proctor has further served in the United States Navy and Navy Reserve for ten years, attaining the rank of Lieutenant Commander. Mr. Proctor received his undergraduate degree from Yale University and his J.D. from Harvard University where he graduated magna cum laude. While at Harvard, he served as executive editor of the Harvard Law Review.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the June 2019 Federal Grand Jury A.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Jonathan Michael Baker. Coercion and Enticement of a Minor; Distribution of Child Pornography; Attempted Receipt of Child Pornography. Baker, 40, of Salem, West Virginia, is charged with using social media to entice an individual that he believed was under the age of 18 to engage in sexual activity. He is further charged with knowingly distributing a visual depiction of a minor engaged in sexually explicit conduct, and he is charged with knowingly attempting to receive visual depictions of a minor engaged in sexually explicit conduct. The Bristow Police Department is the investigative agency.
Steven Ronald Belcher and Alisa Maria Belcher. Felon in Possession of a Firearm; Transportation of a Stolen Firearm; Pledging a Stolen Firearm as a Security for a Loan. Steven Belcher, 30, of Princeton, West Virginia, is charged with being a felon in possession of a stolen Springfield Armory 9 x 19 caliber pistol. Alisa Belcher, 30, of Princeton, West Virginia is charged with aiding and abetting Steven Belcher in the crime. The two are also charged with aiding and abetting one another when they transported the stolen firearm across state lines from West Virginia to Oklahoma. Finally, Alisa Belcher is charged with pledging as security for a loan the stolen firearm at a pawnshop. Steven Belcher is charged with aiding and abetting Alisa Belcher when she pawned the firearm. The Mayes County Sheriff’s Office and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Berry Allen Leerdam-Superseding Indictment. Felon in Possession of Firearms. Leerdam, 58, of St. Thomas, U.S. Virgin Islands, is charged with being a felon in possession of a Taurus .357 magnum caliber pistol frame and a Taurus .9 mm semiautomatic pistol frame. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Department of Homeland Security, Transportation Security Administration’s Federal Air Marshals are the investigative agencies.
Jana Renee Parrish. Attempted Bank Robbery. Parrish, 42, residence unknown, is charged with using force, violence and intimidation while attempting to rob a Bank of America in Tulsa. The FBI and Tulsa Police Department are the investigative agencies.
Ricardo Perez-Rocha. Drug Conspiracy. Perez-Rocha, 42, of Bakersfield, California, is charged with conspiring with others to possess with intent to distribute and to distribute 500 grams or more of methamphetamine. The Drug Enforcement Administration is the investigative agency.
Agustin Nieto Regalado. Attempted Coercion and Enticement of a Minor; Possession of False Lawful Permanent Resident Card. Regalado, 46, of Tulsa, also known as Marcos Diaz, is charged with using social media to knowingly attempt to persuade, induce, and entice a minor to engage in sexual activity. He is also charged with knowingly possessing a fraudulent permanent resident card. The Tulsa Police Department and U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Viviano Rodriguez-Escalante. Unlawful Reentry of Removed Alien. Rodriguez-Escalante, 33, of Tulsa, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Oct. 27, 2017, at Laredo, Texas. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Dustin Wayne Thompson. Felon in Possession of a Firearm and Ammunition. Thompson, 26, of Tulsa, is charged with being a felon in possession of a Glock .45 caliber handgun and associated ammunition. Upon investigation, police allegedly found a switch affixed to the handgun that allowed the weapon to fire in fully automatic mode. The Tulsa Police Department is the investigative agency.
Ira Lee Wilkins. Felon in Possession of a Firearm and Ammunition. Wilkins, 38, of Tulsa, is charged with being a felon in possession of a Highpoint C9 .9 mm pistol and associated ammunition. The Tulsa Police Department is the investigative agency.
Man Pleads Guilty to Assaulting and Attempting to Kill Federal Agents in Delaware CountyRead the Press Release
A man who fired his weapon at FBI agents attempting to arrest him in Delaware County, in October 2018, pleaded guilty Wednesday to assaulting federal officers, announced U.S. Attorney Trent Shores.
Brian Kirk Marshall, 50, of Pattonsburg, Missouri, pleaded guilty in U.S. District Court to assaulting federal officers, obstruction of justice by attempting to kill witnesses, and carrying, using and discharging a firearm during and in relation to a crime of violence. U.S. District Judge Claire V. Eagan accepted Marshall’s plea and set sentencing for Aug. 27, 2019.
“The patience, professionalism, and excellence of the FBI Special Weapons and Tactics Team were on full display in the arrest of Brian Marshall, a self-described “cop killer.” Marshall was a fugitive from justice hiding in rural northeastern Oklahoma. For more than 40 minutes, an FBI negotiator tried to talk Marshall into surrendering peacefully. Instead, Marshall opened fire on the FBI agents. Marshall was ultimately taken into custody,” said U.S. Attorney Shores. “Today’s change of plea is a culmination of months of diligent work by FBI special agents and federal prosecutors. When criminals shoot at law enforcement, they can expect to receive the full weight of a federal prosecution.”
During the plea hearing, Marshall admitted to firing shots at FBI agents after the FBI SWAT Team had appropriately identified themselves and attempted to call all occupants safely out of the residence. The FBI returned fire in accordance with protocol, resulting in Marshall surrendering to authorities. In total, Marshall admitted to firing eight rounds at FBI agents. At the time of the incident, the FBI was attempting to execute a search warrant for Marshall’s Delaware County residence; as well as an arrest warrant for interstate communication of threats Marshall allegedly made, in which he threatened to kill police officers.
Marshall remains in the custody of the U.S. Marshals Service while awaiting sentencing.
The FBI is the investigative agency. Assistant U.S. Attorney Robert T. Raley is prosecuting the case. AUSA Raley is the National Security Anti-Terrorism (ATAC) Prosecutor for the U.S. Attorney’s Office in the Northern District of Oklahoma.
Former Bank Loan Officer Sentenced for Defrauding Vinita BankRead the Press Release
A former bank loan officer was sentenced to federal prison Tuesday for defrauding Oklahoma State Bank, in Vinita, of more than $175,000, announced U.S. Attorney Trent Shores.
U.S. District Judge Gregory K. Frizzell sentenced Charles Lee Enyart, 47, of Vinita, to four months in prison for two counts of embezzlement and willful misapplication by a bank officer. Following his term in prison, he will be placed on five years of supervised release. Additionally, the Court ordered the defendant to make restitution in the amount on $180, 221.17. Of that amount, a forfeiture money judgement of $171,089.16 was previously ordered by the Court, and the additional $9,132.01 was ordered for prejudgment interest.
“Charles Enyart violated the confidence placed in him by the Vinita community. He exploited his position of trust along with his personal and business relationships at Oklahoma State Bank to fraudulently take more than $175,000,” said U.S. Attorney Shores. “Our team of federal prosecutors were able to recover the funds originally lost plus interest. I’m proud of their work to bring to justice this white collar criminal.”
In December 2018, Enyart pleaded guilty to embezzling funds at the bank from November 2016 to December 2017. On Nov. 28, 2016, Enyart received $99,000 based on a false loan application to purchase cattle that he submitted under another individual’s name. Later, from September to December 2017, Enyart made multiple cash withdrawals and purchased cashier’s checks, using proceeds from a separate construction loan. Enyart withdrew the money under false pretenses, stating the money was to be used for the benefit of the individual who had applied for the loan. In both instances, he admitted to knowing the loans were insured by the Federal Deposit Insurance Corporation (FDIC) and that he used the money for his own personal benefit.
Enyart was permitted to voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI and Craig County District Attorney’s Office conducted the investigation. Assistant U.S. Attorney Joseph F. Wilson prosecuted the case.
U.S. Attorney Thanks Trump Administration for Swift Action and Cautions Public to be Aware of Disaster Fraud in Wake of Flooding and Severe WeatherRead the Press Release
“On Saturday, President Trump declared a disaster in three Oklahoma counties affected by severe weather and flooding. The announcement is followed by today’s visit from Vice President Pence, who will view damage affecting Oklahoma residents. I am grateful for the Administration’s concern and swift action taken to address recovery efforts that many Oklahomans face in the coming months,” said U.S. Attorney Trent Shores. “Oklahomans are known for persevering through adversity and uniting to help one another in the aftermath of natural disasters. That being said, I also want to caution the public about unscrupulous individuals and organizations who would use these tragic events to take advantage of those impacted. Be wary of potential price gouging, individuals posing as contractors and repairmen, and potential fraudulent online donation sites that seek to steal your money, account numbers, and personal identifying information. If you are victimized by a scam or encounter suspicious activity, I strongly encourage you to report the suspicious criminal behavior to law enforcement as well as authorities at the Justice Department’s National Center for Disaster Fraud at 1-866-720-5721. Through the NCDF, and in conjunction with our law enforcement partners, we are working to keep Oklahomans from becoming victims of these schemes.”
Potential examples of illegal activity include: Impersonation of federal law enforcement officials; Identity theft; fraudulent submission of claims to insurance companies and the federal government; fraudulent activity related to solicitations for donations and charitable giving; fraudulent activity related to individuals and organizations promising high investment returns from profits from recovery and cleanup efforts; price gouging; contractor Fraud; debris removal fraud; theft, looting, and other violent crime.
In 2005, the Department of Justice along with various law enforcement and regulatory agencies partnered to form the National Center for Disaster Fraud (NCDF). The agency was formed to further the detection, prevention, investigation and prosecution of disaster fraud. Federal prosecutors charged more than 1,300 disaster fraud cases relating to Hurricane Katrina alone, and since 2005, the NCDF has received over 95,000 disaster fraud complaints. Learn more about NCDF and available resources here.
You may also find resources at the following websites: https://www.fema.gov/disaster-fraud and http://www.oag.ok.gov/consumer-protection
South Carolina Doctor Will Pay $92,506.30 for Allegedly Engaging in an Illegal Kickback SchemeRead the Press Release
A South Carolina doctor has agreed to pay the government $92,506.30 for allegedly accepting illegal kickback payments from OK Compounding, L.L.C., announced U.S. Attorney Trent Shores.
The U.S. Attorney’s Office entered into a settlement agreement with Jerry Back, 62, a medical doctor, in an effort to recoup the costs to the U.S. government resulting from the illegal kickbacks.
This is the eighth kickback settlement since January in the Northern District of Oklahoma. The civil settlements arose from an investigation into numerous health care providers writing prescriptions for pain creams compounded and sold by OK Compounding.
“It is no secret that my office remains focused on protecting the integrity of our federal health care system by holding accountable unscrupulous doctors who have allegedly cheated insurance programs,” said U.S. Attorney Shores. “We will use all tools at our disposal, including civil and criminal remedies, to halt illegal and corrupt practices by medical professionals.”
"This settlement highlights the commitment of the Defense Criminal Investigative Service (DCIS) and its law enforcement partners to protect the integrity of the Department of Defense health care program known as TRICARE," said DCIS Special Agent in Charge Michael C. Mentavlos. "DCIS will aggressively investigate those health care providers that attempt to defraud the DoD, in order to preserve American taxpayer dollars intended to care for our warfighters, their family members, and our military retirees."
Beginning in 2013, Dr. Back prescribed these pain creams for his patients, facilitating the sale and distribution of the creams. As compensation for his services, OK Compounding paid Dr. Back what was characterized by the parties as “medical director fees” based upon an hourly rate. However, the payments Dr. Back received from the company were, in actuality, “kickbacks.” Because Dr. Back’s patients were insured with TRICARE, a Department of Defense federal health care program for veterans, the kickbacks were in violation of the False Claims Act. It is illegal to pay or receive “kickbacks” in conjunction with federal health care insurance.
Prohibitions against kickbacks are crucial to insure that financial motives do not undermine the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs.
The settlement resolves allegations that Dr. Back had an illegal financial relationship with OK Compounding, concerning pain creams from February through May of 2013.
Affirmative Civil Enforcement (ACE) refers to filing civil lawsuits on behalf of the United States. The purpose of these civil actions is to recover government money lost to fraud or other misconduct or to impose penalties for violations of Federal health, safety, civil rights or environmental laws.
To report fraud and abuse against the Federal government in the Northern District of Oklahoma, please contact the U.S. Attorney’s Office at 918-382-2700 and speak to a member of the ACE Unit.
Information for fraud against TRICARE can be reported at https://health.mil/Military-Health-Topics/Access-Cost-Quality-and-Safety/Quality-And-Safety-of-Healthcare/Program-Integrity/Fraud-and-Abuse-Report-Submission-Form.
This matter was handled by Assistant U.S. Attorney Marianne Hardcastle, and is the product of a collaborative investigation by the Defense Criminal Investigative Service, Department of Labor – Office of Inspector General (OIG), IRS – Criminal Investigation Division, U.S. Postal Service – OIG, FBI, Department of Veterans Affairs - OIG and the Department of Health and Human Services - OIG.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Man Sentenced for Violent Kidnapping and Firearms OffensesRead the Press Release
U.S. Attorney Trent Shores announced that a 62-year-old man who kidnapped and used a handgun to threaten a woman was sentenced Tuesday in U.S. District Court. At the time of the crime, the man was subject to a domestic abuse restraining order and gained access to the Broken Arrow woman’s home by cutting a hole through an exterior wall.
On July 25, 2018, a jury found Randy Alan Hamett, of Choctaw, guilty of Kidnapping, Possessing and Receiving Stolen Firearm and Ammunition, and Possession of Firearms and Ammunition While Subject to a Domestic Violence Protective Order.
Today, U.S. District Judge Claire V. Eagan ordered Hamett to 240 months in prison for kidnapping and 120 months in prison for the two firearms charges. The sentences will run concurrently. Hamett will also be required to serve five years of supervised release following completion of his prison term.
“When arrested, Hamett had in his pocket a murder preparation list that included the words: taser, rope, zip ties, machete, and shovel. If not for the quick thinking of the female victim, this would have been a homicide case. Her courageous actions enabled law enforcement to rescue her and arrest Hamett. Unfortunately, Hamett had already threatened, kidnapped, zip tied, tased, and sexually assaulted the female victim,” said US Attorney Shores. “The advisory sentencing guideline range called for a sentence of life imprisonment and federal prosecutors advocated for a sentence of life imprisonment. That was the right thing to do given Hamett’s egregious acts and lack of remorse, and we would recommend life again.”
Previously, a jury determined that, in April 2017, Hamett cut a hole in an outside wall of the victim’s house to avoid detection by the alarm system. When the victim arrived home from work, Hamett tased her and pointed a revolver at her. After zip-tying her wrists and duct taping her ankles, Hamett threatened to kill himself, the victim, and anyone who tried to help her. Hamett forced the victim into a car, stole from her a pistol she had purchased after obtaining a protective order against him, then kidnapped her. Hamett also sexually assaulted her.
Convinced that Hamett was going to kill her, the victim made every effort to prolong the trip and endear herself to Hamett. As part of her attempt to accomplish that, the victim convinced Hamett they should get back together and remarry in Arkansas, where they were originally married. Hamett eventually allowed the victim to text her parents and her boyfriend so they would not become suspicious concerning her whereabouts. Based on the nature of the text, the victim’s parents became worried that she was in danger and contacted the Broken Arrow Police Department. Through a concerted investigation by the Broken Arrow and Siloam Springs Police Departments, officers were able to locate Hamett and the victim at a hotel in Siloam Springs, Arkansas, where they determined Hamett was holding the victim against her will and arrested Hamett for violation of a protective order. Hamett was in possession of a firearm and ammunition, along with Taser cartridges, at the time of his arrest.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Broken Arrow Police Department, the Siloam Springs Police Department, and the Rogers State University Police conducted the investigation. Assistant U.S. Attorneys Jeffrey A. Gallant and Ryan M. Roberts prosecuted the case.
Twenty-Nine Indicted for Large Scale Heroin Trafficking Operations Originating from MexicoRead the Press Release
Twenty-nine members and coconspirators of a drug trafficking organization with ties to Mexico’s New Generation Cartel have been indicted for their alleged roles in a continuing criminal enterprise, conspiring to possess and distribute heroin, money laundering and other related charges.
The charges were announced Tuesday at a press conference in Tulsa by U.S. Attorney Trent Shores for the Northern District of Oklahoma; Resident Agent in Charge David King of the Drug Enforcement Administration’s Tulsa Office; Resident Agent in Charge Robert Melton of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations’ Tulsa Office; Senior Deputy Oklahoma Attorney General Joy Thorpe; and Deputy Chief Dennis Larsen of the Tulsa Police Department.
“Operation Smack Dragon targeted a transnational heroin distribution organization based out of Mexico and operating in Tulsa. With this Indictment, we hope to disrupt and dismantle this organization’s operations in Tulsa and elsewhere,” said U.S. Attorney Shores. “The 29 defendants charged today are only a start to our multi-state and multi-agency takedown. The investigation continues thanks to the tireless and dedicated efforts of the men and women of law enforcement.”
The indictment alleges that the Giovanni Drug Trafficking Organization began a heroin distribution network run out of Mexico, with operations led from Tulsa, as early as November 2017. The alleged organization imported, processed, and distributed approximately two kilograms of heroin per week throughout the Northern District of Oklahoma and elsewhere, using multiple levels of distribution to get the drug into the hands of users. The United States Attorney’s Office notes that an indictment is merely an accusation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. This criminal indictment was returned by a federal grand jury on May 9, 2019, and was unsealed on May 14.
According to the Indictment, the alleged transnational criminal organization’s hierarchy had clearly defined roles, as leaders from Mexico supplied heroin to the Tulsa “cell heads.” These “cell heads” were originally from Mexico but lived in Tulsa. Stille Giovanni Gutierrez Vivanco, allegedly directed, from Mexico, the overall drug trafficking operations in Tulsa by delegating responsibilities for the import and distribution of the heroin and for the movement of the proceeds from heroin sales. According to the Indictment, the criminal organization smuggled heroin into the United States and transported the drug to storage locations in Tulsa where they prepared it for distribution throughout the United States. After preparing the heroin, the coconspirators would repackage it for distribution to mid-level distributers, who would then redistribute it to street-level dealers until it eventually found its way into the hands of customers.
The indictment alleges that a select group of redistributors were the only group that would contact the “cell heads” in Tulsa directly. The “cell heads” in Tulsa included a person responsible for driving drugs up from Mexico, a person responsible for distributing drugs to the top level of distributors, and a person in charge of getting the organization’s money funneled back to Mexico. The conspirators allegedly laundered the proceeds from heroin sales using money remitter businesses in Tulsa. As part of the money laundering operations, the defendants utilized nominee names to transmit funds through wire transfers from Oklahoma and elsewhere to Mexico. A “nominee name” is used to hide the true recipient of the money.
According to the Indictment, Stille Giovanni Guiterrez Vivanco, 34, is alleged to have led this international drug trafficking organization. “Cell heads” included Jose Garcia, 36, of Tulsa, and Edson Garcia-Velasquez, 25, of Tulsa. Norman Fabian Huerta Avalos, 36, served in various capacities, including coordinating assignments for other organization members and serving as dispatch.
The Drug Enforcement Administration and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations led the investigation in partnership with the U.S. Department of Treasury, Internal Revenue Service- Criminal Investigation; the Oklahoma State Attorney General’s Office; and Tulsa Police Department. Assistant U.S. Attorney Joel-lyn McCormick is prosecuting this case. AUSA McCormick is the Lead Attorney for the Organized Crime Drug Enforcement Task Force Unit for the Northern District of Oklahoma.
U.S. Attorney Recognizes the Sacrifice of Law Enforcement Officers during National Police WeekRead the Press Release
U.S. Attorney Trent Shores recognizes the service, courage and sacrifice made by federal, state, local, and tribal law enforcement officers on the occasion of National Police Week, which is being observed Sunday, May 12 to Saturday, May 18, 2019.
As part of the observance, U.S. Attorney Shores is honored to speak at the Law Enforcement Memorial Service, scheduled for May 14, at 11 am, in Chandler Park. The Fraternal Order of Police Lodge 188 and Tulsa County Sheriff’s Office host the annual event to honor and remember the legacy of fallen officers.
In October 1962, Congress enacted a joint resolution, which the President signed, declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
“During Police Week, our nation celebrates the contributions of police officers from around the country. We recognize their sacrifice, loyalty, and commitment to fighting for that which is right. Police officers are the peacekeepers and protectors of our community,” said U.S. Attorney Shores. “Police officers, investigators, detectives, and agents put on their uniform and go out to face danger without question or expectation of thanks. For that and for all they do, law enforcement have my sincerest thanks and appreciation.”
According to statistics reported to the FBI, 106 law enforcement officers were killed in line-of-duty incidents in 2018. In Oklahoma, former Comanche County Drug Task Force investigator Timothy Dale Cole died as a result of gunshot wounds sustained in 2007 when assisting the Oklahoma Bureau of Narcotics serve a warrant in Lawton. His resulting spinal cord injury rendered him paraplegic, and he passed away due to complications on Aug. 4, 2018. Timothy Cole is survived by his wife, three children, and eight grandchildren.
Comprehensive data tables about these incidents and brief narratives describing the fatal attacks are included in the sections of Law Enforcement Officers Killed and Assaulted, 2018 https://ucr.fbi.gov/leoka/2018/ released this week by the FBI.
The names of all 106 fallen officers nationwide will be formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 31st Annual Candlelight Vigil on the evening of May 13, 2019. No tickets are required and everyone is welcome. For additional information, please call 202-737-3400.
The Candlelight Vigil is one of many commemorative events taking place in the nation’s capital during National Police Week 2019.
For more information about other National Police Week events, please visit www.policeweek.org.
Former Bank Officer Sentenced for Bank Fraud SchemeRead the Press Release
A Tulsa man was sentenced to federal prison Thursday as the result of a bank fraud scheme that cost his former employer, Firstar Bank of Tulsa, nearly $700,000.
Chief United States District Judge John E. Dowdell sentenced Blake Brian Ferguson, 37, of Broken Arrow, to 31 months in prison on three counts of bank fraud and one count of engaging in an unlawful monetary transaction to be followed by five years of supervised release on the bank fraud charges and three years of supervised release on the monetary transaction charge. All sentences run concurrently. The court further ordered Ferguson to pay $144,160 in restitution to the bank and individual victims affected by the fraudulent scheme.
“The integrity of the banking system is essential to the economic well-being of our community,” said U.S. Attorney Shores. “In this instance, a senior bank officer betrayed the trust and confidence placed in him by the bank, his staff, and customers. Mr. Ferguson’s sentence sends a signal to the marketplace that fraud will not be tolerated inside our financial institutions.”
In imposing sentence, the Court noted that Ferguson had manipulated customer lines of credit in order to obtain funds in the amount of $697,060 to support his gambling habit. At his plea hearing in 2017, Ferguson had admitted that, as an officer at the bank, he increased customer lines of credit to take funds from the loans for his own benefit, mostly to pay gambling debts. The bank was unaware of the fraudulent purpose underlying the loan transactions. Ferguson’s scheme lasted from January 2013 to September 2015.
Ferguson was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prison facility in June 2019.
The FBI, Internal Revenue Service-Criminal Investigation, and the Federal Deposit Insurance Corporation /Office of Inspector General, investigated the case. Assistant U.S. Attorney Kevin C. Leitch prosecuted the case.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
TULSA, Okla. – United States Attorney Trent Shores announced today the results of the May 2019 Federal Grand Jury.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Brandon Michael Browning. Felon in Possession of a Firearm and Ammunition; Possession of Methamphetamine With Intent to Distribute; Possession of a Firearm in Furtherance of a Drug Trafficking Crime. Browning, 35, of Claremore, is charged with being a felon in possession of a Rohm .22 caliber revolver and associated ammunition. He is further charged with possessing methamphetamine with intent to distribute and with possessing a firearm in furtherance of a drug trafficking crime. The Claremore Police Department, Rogers County Sheriff’s Office, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration are the investigative agencies.
Isidro Campos, Jose Antonio Ramirez-Lopez, Emilio Torres. Drug Conspiracy; Interstate Travel in Aid of Racketeering. Campos, 26, of Bell Gardens, California; Ramirez-Lopez, 22, of Phoenix, Arizona; and Torres, 30, of Huntington Park, California are charged with conspiring to distribute 500 grams of methamphetamine. Campos and Torres are further charged with traveling across state lines, from California to Oklahoma, to promote, manage, establish and carry on their alleged methamphetamine conspiracy. The Oklahoma Highway Patrol and Drug Enforcement Administration are the investigative agencies.
Sebastian Cobelo. Possession of Methamphetamine With Intent to Distribute (2 Counts); Possession of a Firearm in Furtherance of a Drug Trafficking Crime (2 Counts). Cobelo, 43, of Broken Arrow, is charged with possessing with intent to distribute 500 grams or more of methamphetamine and possession with intent to distribute 50 grams or more of methamphetamine. He is further charged with possessing a firearm in furtherance of a drug trafficking crime. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Robert Sean Thomas Davis. Attempted Coercion and Enticement of a Minor. Thomas, 26, of Owasso, is charged with using a cell phone and social media apps to knowingly attempt to entice a minor to meet and engage in sexual activity. The FBI and Tulsa Police Department are the investigative agencies.
Harold Dewey Delonia, III, Whitney Nichole Parker. Felon in Possession of Firearm; Felon in Possession of Firearm and Ammunition (2 Counts); Transfer of Firearm to Prohibited Person. Delonia, 24, of Okmulgee, is charged with being a felon in possession of a Taurus 9 mm Luger pistol, a Glock .40 S&W caliber pistol, a Ruger 9mm Luger pistol and associated ammunition. Parker, 28, of Tulsa, is charged with transfer of a firearm to a prohibited person. On Nov. 10, 2018, Parker allegedly transferred the Taurus 9 mm Luger pistol to Delonia knowing he was a felon. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency.
Raytjuan Laquai Edwards. Felon in Possession of Firearm and Ammunition; Possession of a Firearm and Ammunition While Subject to a Domestic Violence Protective Order; Obstruction of Justice by Tampering with A Witness. Edwards, 39, of Tulsa, is charged with being a felon in possession of a Forjas Taurus .357 Magnum and various ammunition. Edwards was previously convicted five times on gun and drug distribution charges. Edwards is further charged with possessing a firearm while subject to a domestic violence protective order. A protective order was issued on Nov. 5, 2018, restraining Edwards from harassing, stalking and threatening an intimate partner and the partner’s child or from engaging in any conduct that would place the two in reasonable fear of bodily injury. Finally, Edwards is charged with obstructing justice by tampering with a witness. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Kevin Ryan Evraets. Sale of a Firearm to a Prohibited Person; Dealing Firearms Without a License. Evraets, 33, of Broken Arrow, is charged with knowingly selling a Ruger .40 caliber pistol to an individual who was a convicted felon. He is further charged with dealing firearms without a license from July to December 2018 in the Northern District of Oklahoma. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Raymond Mark Hamilton. Felon in Possession of a Firearm. Hamilton, 62, of Tulsa, is charged with being a felon in possessing a Smith and Wesson semi-automatic pistol and associated ammunition. Hamilton has 10 previous felony convictions. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Braden Kial Johnson. Bank Fraud. Johnson, 23, of Bixby, is charged with executing a scheme to fraudulently obtain money from RCB Bank from Dec. 7, 2018 to Feb. 9, 2019. Johnson was a treasurer for a Claremore youth sports association where he allegedly drafted unauthorized checks from the association’s bank account, making the checks payable to himself then forging the signature of the former treasurer. He would then cash the checks. As part of the scheme, Johnson allegedly forged approximately 18 checks and fraudulently obtained at least $22,368.50. The Claremore Police Department and FBI are the investigative agencies.
Nabrai Lyntrel Lyons. Drug Conspiracy; Attempted Possession of Fentanyl with Intent to Distribute; Possession of Fentanyl with Intent to Distribute; Importation of a Controlled Substance - Fentanyl; Possession of Firearm in Furtherance of Drug Trafficking Crimes; Smuggling Goods into the United States. Lyons, 24, of Tulsa, is charged with conspiring with others to distribute and to possess with intent to distribute fentanyl; knowingly attempting to possess with intent to distribute fentanyl; knowingly possessing with intent to distribute fentanyl; importing a controlled substance into the United States not pursuant to Attorney General regulations; and receiving merchandise she knew to have been smuggled into the United States. Finally, Lyons is charged with possessing a Taurus 9 mm caliber pistol in furtherance of drug trafficking crimes. The Oklahoma Bureau of Narcotics, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and Tulsa County Sheriff’s Office are the investigative agencies.
Timothy Dwayne Parker. Attempted Coercion and Enticement of a Minor. Parker, 53, of Sapulpa, is charged with using his cell phone to knowingly attempt to entice a minor to engage in sexual activity. The Sapulpa and Bristow Police Departments are the investigative agencies.
Kevin Glenn Petty. Theft of Government Property; Aggravated identity Theft. Petty, 54, of Sand Springs was charged with theft of government property and fraudulently using another individual’s identity in pursuit of his crime. Petty allegedly filed fraudulent 2016 income tax returns under the name of taxpayer Woodson J. Nightwalker. The $3,800 tax refund amount was deposited into a Green Dot card account, which funded a Green Dot pre-paid debit account. Petty allegedly filed five additional fraudulent returns, which were intercepted by the IRS. The six false returns filed by Petty sought a total of $12, 303 in fraudulent refunds. The case was investigated by special agents of IRS-Criminal Investigation and the U.S. Postal Inspector.
James Thomas Saunders, Jr. Possession of Methamphetamine with Intent to Distribute; Possession of Firearms in Furtherance of a Drug Traffkicking Crime; Felon in Possession of Firearms and Ammunition. Saunders, 29, of Tulsa, is charged with possessing with intent to distribute methamphetamine, with possessing firearms to further his methamphetamine distribution, and being a felon in possession of a Lorcin 9 mm, 9x19mm caliber semi-automatic pistol, a Mossberg 12 gauge shotgun and various ammunition. Saunders had eight previous felony convictions. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Canado Lopez Smith. Felon in Possession of Firearm and Ammunition, Possession of Marijuana with Intent to Distribute, Possession of a Firearm in Furtherance of a Drug Trafficking Crime. Smith, 46, of Tulsa, is charged with being a felon in possession of a Phoenix Arms .22 long rifle caliber semi-automatic pistol and associated ammunition. He is further charged with possession with intent to distribute marijuana and possession of a firearm to further his drug trafficking crime. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Lance Thomas Weaver. Possession of Methamphetamine with Intent to Distribute. Weaver, 46, of Pryor, is charged with possessing with intent to distribute 50 grams or more of methamphetamine. The Delaware County Sheriff’s Office is the investigative agency.
Federal Prosecutor Recognized with the Outstanding Safety and Security AwardRead the Press Release
United States Attorney Trent Shores announced today that Assistant U.S. Attorney Ryan Roberts was awarded the Outstanding Safety and Security Award for his dedication to prosecuting violent crime in Oklahoma.
The award was part of the Public Service Recognition Awards for 2019, hosted by the Oklahoma Federal Executive Board. Roberts was one of six final nominees for the award from across the State of Oklahoma.
“Assistant U.S. Attorney Ryan Roberts is a talented and dedicated federal prosecutor,' said U.S. Attorney Shores. "He approaches his job as a public servant with great humility and selflessness. This recognition was well-deserved and hard-earned. The U.S. Attorney’s Office is lucky to have him on our team.”
In 2018, Roberts charged 77 federal criminal defendants with crimes involving guns and violence. His tenacity and leadership in the courtroom led to 39 guilty pleas and multiple convictions during two contested jury trials in 2018. The remainder of defendants have pleaded guilty in 2019 or their cases are continuing in federal court.
“This award reflects the commitment of an entire team of professionals,” said Assistant U.S. Attorney Ryan Roberts. “I was honored today to represent the hard work from police officers, agents, and the staff here at the U.S. Attorney’s Office. It is truly a team effort that led to these convictions.”
Roberts’ numerous prosecutions directly contributed the Justice Department’s violent crime reduction initiative, Project Safe Neighborhoods, which was reinvigorated in October 2017. The initiative focuses on reducing gun crime and prosecuting violent offenders, often with multiple felony convictions. To support the initiative, the United States Attorney’s Office for the Northern District of Oklahoma increased its prosecutions by more than 200 per cent, when compared to 2017, and focused on strengthening partnerships with local, state, tribal and federal law enforcement partners. This corresponded with a drop in murder and other violent crime in Tulsa. Violent crime in east Tulsa decreased significantly. Aggravated assaults decreased by 25 per cent, robberies by 12 per cent, and rapes by 30 per cent. Moreover, Tulsa’s violent crime statistics in 2018 reflected four-year lows throughout Tulsa in homicides, aggravated assaults, robberies, commercial and residential burglaries, and larcenies.
Project Safe Neighborhoods is the nationwide federal initiative to disrupt gun violence strategically and comprehensively, using all available enforcement and prosecutive tools. The initiative involves a partnership of federal, state, and local authorities, uniting their efforts and leveraging existing and new resources. The U.S. Attorney’s Office and its partners tailor their efforts to meet their own district’s unique needs, helping ensure the safety of communities in the Northern District of Oklahoma.
FBI Wanted Fugitive Apprehended in TulsaRead the Press Release
United States Attorney Trent Shores today announced the apprehension of a fugitive on the FBI’s Wanted List who was charged in a 2014 federal indictment for alleged drug and gang conspiracy.
The Tulsa Police Department’s Special Investigations Division arrested Rodney Roy Parker, 47, on Monday in Tulsa. Parker was a fugitive for nearly five years.
Law enforcement originally issued an arrest warrant for Parker on Aug. 13, 2014. He was wanted on federal charges related to the FBI and Tulsa Police Department’s drug investigations titled “Operation Battlefield” and “Battlefield Aftermath”. The resulting indictment alleged that the Hoover Crips distributed $10 million worth of cocaine from Mexican cartels, murdered at least one witness, and had a vast network of co-conspirators.
“Justice never sleeps. Neither does the Tulsa Police Department nor the FBI. Rodney Parker learned that firsthand. You can try to run, but we will find you,” said U.S. Attorney Shores. “The tenacity of Detective Jesse McNeal, the Tulsa Police Department’s Special Investigation Division, and the FBI’s Tulsa Resident Office are to be commended. Thanks to their diligence, Parker will now answer for his alleged crimes in a court of law.”
“We could not be more proud of Detective McNeal,” said Tulsa Police Chief Chuck Jordan. “We are glad that this final arrest will bring Battlefield to its conclusion. We appreciate the collaboration with our federal partners that resulted in over 50 arrests in this significant drug case.”
Acting Special Agent in Charge, Melissa Godbold, FBI Oklahoma City Division stated, "The arrest of Rodney Parker is a testament to our law enforcement partnerships and the countless hours dedicated to bringing Mr. Parker to justice. The FBI is extremely proud to be a part of the investigative work that resulted in removing another dangerous criminal from the streets of Tulsa."
Parker is charged in the indictment with conspiracy to possess with intent to distribute, distribution and to manufacture 280 grams of “crack” cocaine, intent to distribute 5 kilograms or more of cocaine, and intent to distribute 100 kilograms or more of marijuana. Parker is also charged with multiple counts of using a communication facility in the commission of a drug trafficking felony.
Parker is currently in the custody of the U.S. Marshals Service. He faces a potential maximum sentence of life imprisonment. He is scheduled to be arraigned in federal court Tuesday at 2 pm.
“Operation Battlefield” and “Battlefield Aftermath” were large-scale law enforcement operations that started in 2011 targeting “crack” cocaine distribution locations in Tulsa. The FBI, Tulsa Police Department, Broken Arrow Police Department, Drug Enforcement Administration, and Bureau of Alcohol Tobacco, Firearms and Explosives conducted the investigations, which spanned four states and culminated in 2014 with 51 individuals indicted for drug conspiracy. Assistant U.S. Attorney Robert T. Raley is prosecuting the case.
Tulsa Armed Robber Sentenced to Federal PrisonRead the Press Release
A man who was shot by store employees while robbing a Tulsa liquor store was sentenced Friday to 22 years in federal prison, announced U.S. Attorney Trent Shores.
U.S. District Judge Gregory K. Frizzell further sentenced Tyrone Lee, 37, of Tulsa, to 5 years supervised release following his term of imprisonment.
“Violent criminals like Tyrone Lee are a threat to the lives of every Oklahoman. This robbery could have ended in tragedy, but it ended with justice,” said U.S. Attorney Shores. “We are pleased the court handed down a sentence of 22 years in federal prison. Chalk this up as another success story for Project Safe Neighborhoods, as another ‘Alpha criminal’ was removed from our Tulsa streets.”
In January, Lee pleaded guilty to the Feb. 22, 2018, robbery of Forest Acres Liquor. During the robbery, Lee threatened the store employees with a loaded sawed off shotgun. The two employees shot and injured Lee while the robbery was in progress, but he managed to escape. Tulsa police officers arrested Lee after he was admitted to a hospital for his injuries. Lee pleaded guilty to all four counts of the Indictment, which included the use and discharge of a firearm during and in relation to a crime of violence, possession of an unregistered firearm and felon in possession of a firearm.
Lee will remain in the custody of the U.S. Marshals Service until transfer to a U.S. Bureau of Prisons facility.
This case is the result of a joint investigation by the Tulsa Police Department, FBI and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Dennis Fries prosecuted the case.
Project Safe Neighborhoods is the nationwide federal initiative to disrupt gun violence strategically and comprehensively, using all available enforcement and prosecutive tools. The initiative involves a partnership of federal, state, and local authorities, uniting their efforts and leveraging existing and new resources. The U.S. Attorney’s Office and its partners tailor their efforts to meet their own district’s unique needs, helping ensure the safety of communities in the Northern District of Oklahoma.
Tulsa Child Predator Sentenced to 15 Years in PrisonRead the Press Release
A 71-year-old Tulsa man was sentenced today in U.S. District Court for convincing an adolescent to send him sexually explicit pictures using a cell phone, announced U.S. Attorney Trent Shores.
U.S. District Judge Claire V. Eagan sentenced James Wesley Barnes to 15 years in prison for possession of child pornography. Following completion of his prison term, Barnes will serve seven years on supervised release during which time he will have to comply with numerous requirements designed to restrict his access to children.
“James Barnes’ perverse and deviant crimes are deserving of every day of his 15-year prison sentence. The physical, mental and emotional harm inflicted on this young victim may have lifetime repercussions,” said U.S. Attorney Shores. “It is inspiring to see that, in the face of fear and uncertainty, this child victim spoke out about the abuses perpetrated against her. Because of one child’s courage and resiliency, this vile predator is going to federal prison for a long time.”
At his plea hearing on Jan. 30, 2019, Barnes admitted that from March to June 2018, he possessed sexually explicit pictures of an eleven-year-old girl that she sent at his request. According to court documents, Barnes was previously convicted in Tulsa County District Court for second-degree rape of a minor under 16 years of age.
Barnes remains in the custody of the U.S. Marshals Service until transfer to a U.S. Bureau of Prison’s facility.
The Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Shannon Cozzoni prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Man Sentenced to 40 Years in Prison for Shooting Tulsa Police OfficerRead the Press Release
The man who shot and wounded Tulsa Police Sgt. Mike Parsons during a traffic stop in July has been ordered to federal prison today, announced U.S. Attorney Trent Shores.
U.S. District Judge Claire V. Eagan sentenced Chatman to 40 years in prison for his crimes.
In January, a jury found John Terry Chatman, Jr., 35, guilty of three federal counts for his actions at a local Quik Trip on July 3, 2018. The counts included being a felon in possession of a firearm and ammunition, obstruction of justice by attempting to kill a witness, and carrying, using and discharging a firearm during and in relation to a crime of violence.
“If you shoot a police officer, then you will go to prison for a long time. Plain and simple. John Chatman learned that lesson today,” said U.S. Attorney Shores. “In addition to the officers, Chatman also endangered the lives of innocent civilians when he pulled the trigger of his gun in the middle of a busy QuikTrip parking lot on the day before Independence Day. This prosecution should serve as a deterrent to anyone who would think about shooting at a police officer. They put their lives on the line every day to protect ours. I’m thankful for the brave men and women of the Tulsa Police Department.”
On July 3, Tulsa police officers discovered Chatman driving a mini-van with a license plate that was registered to a different vehicle. Officers explained the traffic violation and asked for identification. Chatman repeatedly refused to identify himself and questioned the officers’ jurisdiction. Chatman escalated the situation by refusing to exit the vehicle and demanding to speak to a supervisor.
Police body cameras show officers directing Chatman to exit the vehicle and repeatedly explaining the traffic and obstruction violations to him. Eventually, Tulsa Police Sergeant Mike Parsons arrived on scene and explained to Chatman that he was obstructing an investigation.
The video further showed that Sgt. Parsons again ordered the man to leave the vehicle, explaining to Chatman he would use PepperBalls to make him exit the vehicle. As the sergeant deployed his PepperBall gun into the vehicle, Chatman shot him with a handgun from within the mini-van, striking Sgt. Parsons. An officer returned fire, and Chatman was eventually arrested. The prosecution showed that the sergeant’s injuries could have been far more severe, potentially shattering his femur or hitting an artery, if a challenge coin in his pocket had not deflected the bullet.
A .32 caliber revolver was recovered from the scene with four spent cartridge casings in the firearm, and two live rounds. As a felon, Chatman was not allowed to possess firearms under federal law.
Chatman remains in the custody of the U.S. Marshals Service until transfer to a U.S. Bureau of Prisons facility.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tulsa Police Department investigated the case. U.S. Attorney Trent Shores and Assistant U.S. Attorneys Allen Litchfield and Mark Morgan prosecuted the case.
Illegal Alien Sentenced to Prison for Making False Statements to the Transportation Security AdministrationRead the Press Release
A 33-year-old Mexican national, unlawfully in the United States, has been sentenced to prison for making false statements to a federal agency and for using a false social security number, announced U.S. Attorney Trent Shores
Today, U.S. District Court Judge Gregory K. Frizzell sentenced Juan Manuel Mata-Cruz, of Tulsa, to 5 months in federal prison to be followed by 1 year supervised release. After his release from prison, he will face deportation proceedings.
“Illegal aliens attempting to illegally access our critical infrastructure with fake green cards is disconcerting. Cases like this have my full attention. This defendant put at risk the safety and security of passengers, airport employees and aircrews,” said U.S. Attorney Trent Shores. “The defendant’s attempt to obtain an Airport Security Badge using a counterfeited green card and Social Security Card was quickly uncovered. Credit goes to the men and women of the the Department of Homeland Security’s Homeland Security Investigations, Federal Air Marshals Service, the Social Security Administration/Office of Inspector General, and the Tulsa Airport Security Office. They should be commended for upholding federal security laws and procedures which ensure the safety of those traveling and working in U.S. airports. This was quality work by dedicated civil servants.”
On November 9, 2018, Mata-Cruz knowingly made false statements on Tulsa International Airport (“TIA”) paperwork when applying for a security identification badge that would have allowed him unrestricted access to the TIA aircraft operating area. Mata-Cruz was required to obtain the badge as part of his recently obtained position as a restaurant worker at the airport. On the TIA badge application, Mata-Cruz claimed to be a U.S. citizen and used a fraudulent social security number. Individuals who apply to work in U.S. airports are required to fill out federal background check paperwork that asks specific questions about legal status and previous convictions. Convicted felons and illegal aliens are among those prohibited from working in an airport.
Mata-Cruz has been in custody since his November 9, 2018 arrest and will remain in custody of the U.S. Marshal pending transfer to a U.S. Bureau of Prisons facility.
This case resulted from a joint investigation performed by Department of Homeland Security’s Homeland Security Investigations (HSI), Federal Air Marshal Service, (“FAMS”), the Social Security Administration/Office of Inspector General (SSA-OIG) and the Tulsa Airport Security Office. Assistant United States Attorney Charles M. McLoughlin prosecuted the case.
Mayes County Couple Arrested in a Joint Law Enforcement Operation for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Trent Shores announced the arrests of a Mayes County man and woman who were wanted in connection to a methamphetamine drug conspiracy. The two were taken into custody during a joint law enforcement operation early this morning at their residence in Chouteau.
Arrest warrants had been issued for Gary Scott Moreland, 54, and Rebecca Jane Nichols, 40, both of Chouteau, after a grand jury indicted the two for drug conspiracy this month.
Also named in the indictment were Wesley Joseph Griffin, 39, of Pryor, and Aaron John Culkins, 42, of Tulsa. The indictment alleged that the co-conspirators possessed with intent to distribute 500 grams or more of methamphetamine in the Northern District of Oklahoma from August 2017 to April 2019.
“Our partnerships extend to all areas of northeastern Oklahoma. I’m proud to work with Mayes County officials to bust this alleged methamphetamine distribution operation,” said U.S. Attorney Shores. “Methamphetamine overdoses are one of the leading causes of drug-related deaths in Oklahoma. And so drug dealers better believe that we are looking to dismantle their operations and hold them accountable.”
The Drug Enforcement Administration, Tulsa Police Department, Oklahoma Highway Patrol, Mayes County Sheriff’s Office and Pryor Police Department conducted the investigation and arrests. The Broken Arrow Police Department, Oklahoma Bureau of Narcotics, Tulsa County Sheriff’s Office and Oklahoma National Guard Counter Drug Task Force also assisted in the investigation. Assistant U.S. Attorney Christopher J. Nassar is prosecuting the case.
An Indictment is a formal statement of charges or alleged violations of law. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Encourages Participation in Drug Enforcement Administration’s National Prescription Drug Take Back DayRead the Press Release
U.S. Attorney Trent Shores encourages the public to take part in the DEA’s 17th semi-annual National Prescription Drug Take Back Day, April 27, 10 a.m. to 2 p.m., at 14 collection sites throughout the Northern District of Oklahoma. The event is an effort to rid homes of unused and expired opioids and other medicines, where they are vulnerable to misuse, theft or abuse by family members and friends.
“Prescription drug abuse can devastate families and communities. The fact of the matter is that unsecured and unused medications pose a danger. Research shows that addiction often begins with easily accessible medications,” said U.S. Attorney Shores. “I encourage Oklahomans to safely dispose of their unused medications at a DEA Take Back location on April 27.”
“Twice a year, the DEA invites you to dispose of unwanted and unused prescription drugs at locations across the United States,” said Clyde E. Shelley, Jr., Special Agent in Charge of the Drug Enforcement Administration Dallas Division. “Please join us in our continued mission to diffuse the curiosity of drugs. It’s the right choice to make and will give people peace of mind that these prescription drugs are destroyed in an environmentally safe manner.”
In October 2018, Oklahomans living in the 11 counties comprising the Northern District of Oklahoma (Tulsa, Pawnee, Osage, Creek, Washington, Nowata, Rogers, Craig, Mayes, Ottawa, and Delaware Counties) turned over 864.492 pounds of expired, unused, and unwanted prescription drugs. Throughout the United States, 457 tons (900,000 pounds) of prescription drugs were turned in at almost 6,000 sites operated by the DEA and more than 4,800 of its state and local law enforcement partners.
Overall, in its 16 previous Take Back events, DEA and its partners have taken in over 11 million pounds—more than 5,400 tons—of pills. The disposal service is free and anonymous, no questions asked. (The DEA cannot accept liquids, needles, or sharps, only pills or patches.)
Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from the home medicine cabinet. According to the Centers for Disease Control and Prevention, 91 Americans die each day from an opioid overdose. Some painkiller abusers move on to heroin: Four out of five new heroin users started with painkillers.
Flushing medications down the toilet or throwing them in the trash pose potential safety and health hazards. This initiative addresses the public safety and public health issues that surround medications languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
Collection sites in the Northern District of Oklahoma are:
- Miami Police Department: 129 5th Ave Northwest, Miami
- Miami Nation Tribal Police: 3410 P Street Northwest, Miami
- Robert Whitebird Cultural Center: 905 Whitebird St., Quapaw
- Walmart: 4901 S. Main S. Mill, Pryor
- Walmart: 1002 W. Taft Ave., Sapulpa
- Newson6: 303 N. Boston Ave., Tulsa
- Crime Stoppers Office: 4107 S. Yale, Tulsa
- Patrick Henry Elementary: 3820 E 41st St., Tulsa
-The Met Recycling Center: 3495 S. Sheridan, Tulsa
- Reasors: 7114 S. Sheridan Rd., Tulsa
- Walgreens: 1150 Garnett Rd., Tulsa
- Walgreens: 2323 W. Edison St., Tulsa
- Eastern Shawnee Police Department: 10250 S. 695 R., Wyandotte
- Bear Skin Health Center: 14 S. Main, Wyandotte
For more information or to locate a collection site near you, go the DEA Prescription Drug Take Back Day web site at https://takebackday.dea.gov/#collection-locator where you can search by zip code, city, or state.
Methamphetamine Dealer Sentenced to 30 Years in PrisonRead the Press Release
A Tulsa man has been sentenced today in U.S. District Court for dealing methamphetamine, brandishing a loaded gun at investigators and counterfeiting money, announced U.S. Attorney Trent Shores.
U.S. District Judge Gregory K. Frizzell sentenced Shaun Cruz Conine, 46, to 30 years in federal prison for his crimes. Conine previously pleaded guilty on Jan. 17, 2019, admitting to possessing with intent to distribute more than 50 grams of methamphetamine and other controlled substances, brandishing a firearm at officers and counterfeiting U.S. currency with intent to pass it off as genuine.
“Since taking the oath as United States Attorney, ensuring public safety has been my most urgent and paramount priority. I want for every citizen in northern Oklahoma to have a safe neighborhood with safe streets. The centerpiece of our enforcement efforts is Project Safe Neighborhoods, an initiative that promotes partnerships,” said U.S. Attorney Shores. “Conine, a drug dealing and gun wielding Alpha criminal, is experiencing firsthand the results of our PSN partnerships. Federal and tribal law enforcement agencies worked seamlessly, side-by-side to investigate and arrest Conine. This was truly a team effort between investigators and my federal prosecutors. Conine’s 30-year sentence in federal prison is not only appropriate, it is just. Tulsans are safer with Shaun Conine behind bars.”
Conine was arrested on September 19, 2018, after he ran a stop sign and fled from Muscogee (Creek) Nation Lighthorse officers who were attempting to question him in reference to a death that occurred at the River Spirit Casino. During the investigation, Conine was identified as last being seen with the individual and is known to have supplied her with drugs.
As Conine fled, he brandished a loaded revolver at the pursuing investigators. He eventually crashed and rolled his vehicle. Inside the vehicle, investigators discovered multiple drugs including methamphetamine, fentanyl and pills; syringes; digital weight scales; glass pipes; and multiple firearms including a shotgun, two rifles and a revolver. Investigators also found credit cards, passports, social security cards and Oklahoma identification cards bearing different names as well as counterfeit currency and multiple electronic devices that were used for counterfeiting.
Conine remains in the custody of the U.S. Marshals Service until transfer to a U.S. Bureau of Prisons facility.
The Muscogee (Creek) Nation Lighthorse Tribal Police Department, Secret Service, FBI and Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney and Tribal Liaison Shannon Cozzoni and Assistant U.S. Attorney Scott Proctor prosecuted the case.
17 Year Fugitive Sentenced to Federal PrisonRead the Press Release
After 17 years on the run, a former Tulsa resident was sentenced to federal prison for violating the terms of his supervised release stemming from a 1999 bank fraud conviction, announced U.S. Attorney Trent Shores.
Senior U.S. District Judge Terence Kern sentenced Steven John McGuire, 54, of Henderson, Nevada, to six months imprisonment in the U.S. Bureau of Prisons followed by 18 months supervised release with the condition that he serve six months in home detention with electronic monitoring.
On Oct. 27, 1999, McGuire was sentenced for the crime of bank fraud. The defendant, who at the time did not have a previous criminal record, was sentenced to six months of home detention with electronic monitoring to be followed by three years of supervised release. He was also ordered to pay restitution to the bank in the amount of $19,747.79. In 2002, authorities discovered that he violated the terms of his supervised release by committing bank fraud again. McGuire fled Oklahoma knowing that he would face a potential prison sentence. United States Probation Officers found McGuire’s residence abandoned, his leased vehicle returned to the dealership, and his telephone accounts disconnected. From July 2002 until his arrest in February 2019, McGuire remained a fugitive.
“Steven McGuire is a con artist. He has not changed. He has a lengthy history of avoiding responsibility as evidenced by his continued fraudulent financial activity after his initial conviction, living as a fugitive under an assumed identity, and most recently, fleeing and violently resisting police officers who were about to discover there was a warrant for his arrest,” said U.S. Attorney Trent Shores. “Justice may have been delayed for 17 years, but today justice has been served.”
During his time as a fugitive, McGuire lived under an assumed identity near Henderson, Nevada. After a routine stop for a traffic violation in February 2019, the Henderson Police Department eventually learned of the warrant for McGuire’s arrest. When McGuire provided identification to the officer during the stop, the officer discovered the identification was false. McGuire then ran from the officer, and after a lengthy foot pursuit and violent struggle, McGuire was taken into custody. The officer later found other fraudulent identification in the car. It wasn’t until McGuire was fingerprinted that his true identity became known.
In 1998, McGuire’s initial crime consisted of depositing a $25,000 temporary check into his business bank account drawn on a different bank account in McKinney, Texas, that in reality only had a balance of $100. On May 14, 1998, the victim bank credited McGuire’s account with the $25,000. This inflated the balance in that account, allowing McGuire to withdraw cash and write checks totaling $22,747.79 prior to the return of the unfunded check. This illegal practice is also known as check kiting. Later on May 28, 1998, McGuire received a legitimate check from a customer for approximately $34,000. Instead of depositing those funds into his account at the victim bank to cover his inflated balance there, McGuire opened yet another bank account at a third bank, and purchased a $33,000 Certificate of Deposit, also known as a CD, to secure a $35,000 line there. He was sentenced on Oct. 27, 1999 for the crime.
On Dec. 16, 1999, the conditions of McGuire’s supervised release were modified to reflect improper conduct on his part. McGuire’s business partner discovered that McGuire had used the working capital that he had supplied to McGuire to pay restitution for his crime instead of paying the expenses of the business. This left the business with a $9,000 debt. The business partner withdrew from the partnership. McGuire then began soliciting investors in violation of the Special Financial Conditions of his Supervised Release.
In 2002, a Petition to Revoke Supervised Release was filed alleging McGuire had committed the same type of bank fraud that had resulted in his conviction in 1999. McGuire had deposited a fraudulent check in his business account at Tulsa Case Federal Employees Credit Union, thereby inflating the balance. McGuire then used funds from the inflated balance to get the bank to issue two unfunded cashier’s checks in the amount of $6,000 and $9,893 so he could pay suppliers to his business.
McGuire remains in the custody of the U.S. Marshals pending transfer to a U.S. Bureau of Prisons facility.
The U.S. Marshal Service of the Northern District of Oklahoma and the District of Nevada, U.S. Probation Office and the Henderson Nevada Police Department conducted the investigation, and Assistant U.S. Attorney Charles McLoughlin prosecuted the case.
Man Pleads Guilty to Transporting Marijuana for Large Scale Illegal Drug OperationRead the Press Release
A California man pleaded guilty Friday in U.S. District Court to interstate travel in aid of a racketeering enterprise for his role in transporting marijuana for Tong Moua Vang, announced U.S. Attorney Trent Shores.
At his hearing, David Mason Leslie, Jr., 54, of Cucamonga, California, admitted that in July 2018, he aided in the transport of marijuana for Tong Vang, of Tulsa. Leslie stated that he rented a car and trailer to transport marijuana from California to Tulsa for distribution to areas outside of Oklahoma. Leslie was arrested near Omaha, Nebraska, July 30, 2018, after law enforcement discovered 200 pounds of marijuana in the trailer.
“Crime doesn’t pay. Leslie made a costly decision simply for what he thought was easy money. He got caught up in the wrong game and now may pay the price by being sentenced to federal prison for taking part in this marijuana operation,” said U.S. Attorney Shores.
The transport of the drug was part of a marijuana distribution operation led by Kong Meng Vang, who pleaded guilty in August 2018 to drug conspiracy, money laundering and possession with intent to distribute 100 kilograms or more of marijuana. Tong Vang was later named to the drug conspiracy in a superseding indictment. Tong Vang purchased marijuana in California then recruited and paid others to transport it outside of state. Leslie originally hauled cars for Kong Meng Vang, and was later recruited by Tong Vang to transport the marijuana.
U.S. District Chief Judge John E. Dowdell accepted his plea and set sentencing for July 11, 2019. Leslie remains in custody while awaiting sentencing. At that time, he faces a potential maximum sentence of five years imprisonment and a $250,000 fine.
The Drug Enforcement Administration and IRS-Criminal Investigation are the investigative agencies. Assistant U.S. Attorney’s Joseph F. Wilson and Richard M. Cella are prosecuting the case
Tax Prosecutions Announced as the Income Tax Filing Deadline LoomsRead the Press Release
As the filing deadline for income taxes quickly approaches, United States Attorney Trent Shores announced that charges have been filed against four individuals for tax crimes.
“Tax Day is nearly upon us and millions of honest Americans will meet their tax obligations as required. However, there are those who will seek to cheat the system, and they must be held accountable. Those who file false returns, embezzle payroll taxes, commit identity theft to receive fraudulent refunds or fail to file tax returns at all can expect to be investigated and prosecuted."
During this tax season, the following individuals have been charged with fraudulent tax practices:
On April 3, 2019, Earenest J. Grayson Jr., 45, of Tulsa, Oklahoma, was indicted for 10 counts of failing to account for or pay over to the Internal Revenue Service (IRS) payroll taxes withheld from wages paid to employees of his business, Zealcon Corporation (Zealcon), during the years 2014, 2015, and 2016. Grayson was also indicted for three counts of failing to file corporate income tax returns for Zealcon for the years 2013, 2014 and 2015, and failing to file his own personal income tax returns for the years 2013, 2014 and 2015. The case was investigated by special agents of IRS-Criminal Investigation. Assistant Chief Andrew Kameros of the Tax Division is prosecuting the case, in coordination with Assistant United States Attorneys Charles M. McLoughlin and Victor A.S. Régal,
On April 4, 2019, Gina Lisa Preble, 59, of Bartlesville, was charged by Criminal Information with bank fraud and subscribing to a false tax return. Preble was employed as a clerk at TransWood Carriers Incorporated from 2011 until her termination in 2017. In an effort to disguise her intent to steal funds, Preble allegedly created fraudulent “draft checks” which she mixed in with legitimate business expense “draft checks” and provided to a supervisor for signature. Preble deposited draft checks totaling $394,058.20 into her personal checking account, and used the funds for her own personal gain. Additionally in 2016, Preble signed and submitted a false tax return, omitting the stolen funds as income. The case was investigated by special agents of IRS-Criminal Investigation and the FBI. Assistant U.S. Attorneys Charles M. McLoughlin and Catherine J. Depew are prosecuting the case.
On April 5, 2019, Kevin Glenn Petty, 54, of Sand Springs was charged by Criminal Complaint with Theft of Government Property. Petty allegedly filed fraudulent 2016 income tax returns under the name of taxpayer Woodson J. Nightwalker. The $3,800 tax refund amount was deposited into a Green Dot card account, which funded a Green Dot pre-paid debit account. Petty filed five additional fraudulent returns, which were intercepted by the IRS. The six false returns filed by Petty sought a total of $12, 303 in fraudulent refunds. The case was investigated by special agents of IRS-Criminal Investigation and the U.S. Postal Inspector. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case.
On April 10, 2019, Jennifer Leann McCormick 44, of Nowata, was charged by Misdemeanor Criminal Information with failure to file a tax return for 2013. The case was investigated by special agents of IRS-Criminal Investigation. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case.
A Criminal Information or Criminal Complaint is a set of allegations that, if a case were to proceed to trial, the government would need to prove beyond a reasonable doubt. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt. Defendants are presumed innocent until proven guilty in a court of law.
U.S. Attorney and ATF Target Those who “Lie-And-Try” to Purchase FirearmsRead the Press Release
TULSA, Okla. – United States Attorney Trent Shores announced that five “lie and try” defendants have pleaded guilty to violations of federal firearms laws that stemmed from “lie and try” charges filed in February. The charges were announced by U.S. Attorney Shores and law enforcement officials from the Bureau of Alcohol Tobacco Firearms and Explosives, U.S. Marshals Service, Tulsa Police Department, Tulsa County Sheriff’s Office and Delaware County Sheriff’s Office during a February press conference.
“All too often, illegally purchased guns are then used to commit violent crimes. From domestic violence to mass shootings, time and again we see that criminals committing these heinous acts should never have had a gun in the first place because they are a “prohibited person” under federal law. Our “lie-and-try” prosecutions seek to stop the firearms from ever making it into the hands of those prohibited persons,” said U.S. Attorney Shores. “The ATF has been and continues to be a great partner to hold accountable those who lie on federal forms and try to purchase a gun. The ATF’s efforts to stop “lie and try” purchases in Tulsa will help prevent violent gun crimes in our community. Every gun related crime or tragedy prevented through “lie and try” prosecutions is a victory for all of us.”
“Prior to stepping foot in a gun store, potential purchasers with eligibility concerns have access to a variety of information, reference materials and Q&A at www.atf.gov or by contacting their local ATF Office,” stated Dallas Division ATF Special Agent in Charge Jeffrey C. Boshek II. “The ATF Form 4473 questions are designed to identify prohibited persons and prevent the illegal transfer and possession of firearms. “Lie-And-Try”, or lying on the form about facts relevant to the transfer of a firearm is a felony, period.”
The following defendants were charged with making false statements in connection the attempted acquisition of a firearm and other firearm offenses: Glenville L. Albright, 50, of Pawhuska; Anthony Dale Brannon, 59, of Grove; Rufus Hicks, Jr., 39, of Tulsa, Christopher Manzanares, 28, of Broken Arrow; and Bradley Wikel, 31, of Jay.
Four of the men lied on the ATF Form 4473, answering no, when asked if they were convicted felons. The fifth man, Manzanares, lied when answering that he was not subject to a restraining order.
As a result of the ATF investigation, the men pleaded guilty to making false statements in connection with the attempted acquisition of a firearm or to other related federal firearms violations, including felon in possession of a firearm and possession of a firearm and ammunition while subject to a domestic violence restraining order.
The ATF Form 4473, specifically questions potential purchasers about their criminal history, for example, if they’ve been convicted of a felony, domestic abuse, and/or illegal drug use. The maximum penalty for making a false statement during the purchase of a firearm is 10 years in prison.
Additionally, Federal Firearms Licensees (FFLs), who sell or transfer a firearm to a prohibited person, allow a straw purchaser to buy a gun for someone else, or fail to keep proper records of who they sell firearms to, also face criminal prosecution.
All men have pleaded guilty this month to the following firearms violations:
- Albright: Felon in Possession of a Firearm
- Brannon: Felon in Possession of a Firearm
- Hicks: False Statement in Connection With the Attempted Acquisition of a Firearm
- Wikel: False Statement in Connection With the Attempted Acquisition of a Firearm
- Manzanares: Possession of a Firearm and Ammunition While Subject to a Domestic Violence Restraining Order
The ATF and the Broken Arrow Police Department are the investigative agencies. Assistant U.S. Attorneys Richard M. Cella, Eric O. Johnston, and Christopher J. Nassar and Victor A.S. Régal prosecuted the cases.
Tulsa Man Indicted for Threatening to “…kill a bunch of people downtown” Makes Initial AppearanceRead the Press Release
TULSA, Okla. – A man, who allegedly made threats via Facebook Messenger to “shoot and kill a bunch of people downtown…” made his initial appearance in U.S. District Court today, announced U.S. Attorney Trent Shores. The threats were made by Hill and investigated by law enforcement in August 2018.
In March 2019, a federal grand jury indicted Jared Lorenzo Hill, 35, of Tulsa, for Interstate Communication of a Threat. The indictment was unsealed today.
“Using social media to threaten a mass shooting is not exercising free speech, it’s committing a federal crime. I am thankful that citizens who saw the defendant’s alleged threats immediately brought them to the attention of law enforcement authorities who acted swiftly and decisively,” said U.S. Attorney Shores. “I encourage all citizens to take seriously and report threats of violence, including those posted on social media. If you see something, say something. You might very well be saving lives.”
If convicted, Hill faces a maximum penalty of five years in prison and a $250,000 fine.
The FBI and Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Robert T. Raley is prosecuting the case. AUSA Raley is the National Security Anti-Terrorism (ATAC) Prosecutor for the U.S. Attorney’s Office in the Northern District of Oklahoma.
The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Orthopedic Surgeon Sentenced for Opioid Prescription ConspiraciesRead the Press Release
An orthopedic surgeon, who formerly practiced in Claremore, was sentenced today in U.S. District Court for leading multiple conspiracies to write fraudulent opioid prescriptions from October 2015 to October 2017, announced U.S. Attorney Trent Shores.
U.S. District Judge John E. Dowdell sentenced Dr. Jeremy David Thomas, 43, of Owasso, to five months imprisonment followed by eight months of home confinement for his role in five separate pill sharing conspiracy cases. Thomas was also ordered to pay a $5,000 fine and to three years supervised release.
“Dr. Thomas was a drug dealer like any other whose business it was to peddle opioids and addiction in our community. But unlike a typical drug dealer, he also performed surgeries on patients. Moreover, he was under the influence during those surgeries,” said U.S. Attorney Shores. “Opioid addiction destroys lives. Not only of the addict, but of those around them. This case showcases the destructive power of opioids.”
“Dr. Thomas’ patients trusted and relied on him for their medical needs” said Drug Enforcement Administration (DEA) Dallas Division Special Agent in Charge Clyde E. Shelley, Jr. “However, Dr. Thomas used his patients for his own opioid use and put patients’ lives in danger. We will continue to combat the opioid crisis to cease this kind of practice.”
Thomas’ pleaded guilty Nov. 26, 2018, to writing fraudulent prescriptions for the opioid hydrocodone to multiple co-conspirators who were his patients. His accomplices then filled the prescriptions at area pharmacies and delivered some or all of the hydrocodone tablets to Thomas. As a result of their illegal pill sharing activity, Thomas and his co-conspirators diverted more than 13,740 doses of the drug during a two year period, mainly for the physician’s illegal personal use.
Rogers County District Attorney Matt Ballard, whose investigators were crucial to the case said, “This is an excellent example of the type of cooperative effort needed to battle this deadly epidemic. This case shows the dangers of opioid abuse and addiction which cut through all socioeconomic statuses and have a negative domino effect in our communities.”
US Attorney Shores also noted the collaborative law enforcement effort involved with this case, “This case was successfully prosecuted thanks to a collaborative effort with Rogers County District Attorney Matt Ballard and his team. The investigators from the Rogers County District Attorney’s Office along with the Drug Enforcement Administration and Oklahoma Bureau of Narcotics and Dangerous Drugs are all to be commended for their work in bringing Dr. Thomas to Justice.”
Also implicated in the drug conspiracies were Jeffrey Lee Koger, 48, of Claremore; Joseph Marcus Jones, 36, of Claremore; Toni Dawn Martin, 49, of Owasso; Shawn Del Martin, 50, of Owasso; and Chad Lee Choat, 46, of Claremore.
Opioid addiction has plagued families and taken lives. Painkillers are involved in more than 80% of the prescription drug-related overdose deaths in Oklahoma, and hundreds of Oklahomans die each year due to these overdoses. Due to staggering cost of addiction and this month’s DEA National Prescription Drug Take Back Day, April 27, U.S. Attorney Shores has created a Public Service Announcement reminding families to protect their loved ones by safely disposing of prescription drugs and to seek help if you or a loved one is struggling with addiction. You can find the Public Service Announcement here.
The Rogers County District Attorney’s Office, the Drug Enforcement Administration, and the Oklahoma Bureau of Narcotics and Dangerous Drugs conducted the investigation. Assistant U.S. Attorney Joel-lyn McCormick prosecuted the case. AUSA McCormick is the Lead Attorney for the Organized Crime Drug Enforcement Task Force Unit for the Northern District of Oklahoma.
This investigation and resulting conviction are part of the Department of Justice and Department of Health and Human Services’ 2018 National Healthcare Fraud and Opioid Takedown initiative, the largest ever healthcare fraud enforcement action. The U.S. Attorney’s Office will continue to prosecute medical professionals who break the law and contribute to opioid addiction.
To find help and resources to fight opioid addiction, visit the following site: https://findtreatment.samhsa.gov
Two Tulsa Doctors Settle with the U.S. Government for Allegedly Engaging in Illegal Kickback SchemesRead the Press Release
TULSA, Okla. – Two more Tulsa doctors have entered into settlement agreements with the U.S. Attorney’s Office for allegedly accepting illegal kickback payments from OK Compounding, LLC, announced U.S. Attorney Trent Shores.
Lam Nguyen, 47, a licensed doctor of osteopathic medicine, agreed to pay the government $124,139.98 for allegedly accepting illegal kickback payments from OK Compounding. In a separate settlement, Hugo Salguero, 44, a licensed medical doctor specializing in pain medicine, agreed to pay the government $228,301.76 for allegedly accepting illegal kickback payments from OK Compounding.
These civil settlements resulted from an investigation into numerous health care providers writing prescriptions for pain creams compounded and sold by OK Compounding in return for payments.
“Medical professionals in northern Oklahoma should know by now that my office is focused on stopping the exploitation of federal health care programs,” said U.S. Attorney Trent Shores. “We will hold accountable corrupt physicians and recoup the monies they stole from critical programs intended to support the elderly and those who have served our nation.”
"These settlements highlight the Defense Criminal Investigative Service (DCIS) and its law enforcement partners' commitment to aggressively investigate health care providers who defraud the Department of Defense (DoD) health care program known as TRICARE, to preserve American taxpayer dollars intended to care for our warfighters, their family members and military retirees," said DCIS Special Agent in Charge Michael C. Mentavlos.
Beginning in 2013, Dr. Nguyen and Dr. Salguero prescribed pain creams for their patients, facilitating the sale and distribution of the creams. As compensation for their services, OK Compounding paid the doctors based upon an hourly rate. However, the payments the two physicians received from the company were, in actuality, kickbacks. Because some of the patients were insured by Medicare, Tricare, and the Veterans Health Administration, the kickbacks were in violation of the False Claims Act.
It is illegal to pay or receive kickbacks in conjunction with federal health care insurance. Prohibitions against kickbacks are crucial to insure that financial motives do not undermine the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs.
These settlements resolve allegations that Dr. Nguyen and Dr. Salguero had illegal financial relationships with OK Compounding concerning pain creams in 2013.
Since January 2019, seven medical professionals have settled for allegedly receiving kickback payments from the company.
To report fraud and abuse against the Federal government in the Northern District of Oklahoma, please contact the U.S. Attorney’s Office at 918-382-2700 and speak to a member of the Affirmative Civil Enforcement (ACE) Unit. The ACE Unit is responsible for filing civil lawsuits on behalf of the United States, to recover government money lost to fraud or other misconduct or to impose penalties for violations of Federal health, safety, civil rights or environmental laws.
Information regarding health care fraud to Medicare can also be reported to the Department of Health and Human Services, Office of Inspector General, at https://oig.hhs.gov/fraud/reportfraud/index.asp. Information for fraud against Tricare can be reported at https://health.mil/Military-Health-Topics/Access-Cost-Quality-and-Safety/Quality-And-Safety-of-Healthcare/Program-Integrity/Fraud-and-Abuse-Report-Submission-Form.
These matters were handled by Assistant U.S. Attorney Marianne Hardcastle, and are the product of a collaborative investigation by the Defense Criminal Investigative Service; Department of Labor–Office of Inspector General (OIG); IRS–Criminal Investigation; U.S. Postal Service–OIG; FBI, Department of Veterans Affairs–OIG and the Department of Health and Human Services–OIG.
The claims resolved by the settlements are allegations only; there has been no determination of liability.
CANCELLED DUE TO INCLEMENT WEATHER-- U.S. Attorney Trent Shores and Tulsa County District Attorney Steve Kunzweiler to Host “A Community Day of HopeRead the Press Release
a_community_day_of_hope_flyer.pdf
a_community_day_of_hope_featured_speakers_and_description.pdfTULSA, Okla. – In observance of National Crime Victims’ Rights Week, April 7-13, 2019, the United States Attorney’s Office for the Northern District of Oklahoma and the Office of the Tulsa County District Attorney are hosting “A Community Day of Hope”, April 13, from 9 a.m. to 1 p.m. This free community event will be held at OSU Tulsa- 700 Greenwood Avenue, Tulsa, Oklahoma.
“Victims of crime deserve justice. This Department works every day to help them recover and to find, prosecute, and convict those who have done them harm,” said Attorney General William P. Barr. “During this National Crime Victims’ Rights Week, we pause to remember the millions of Americans who have been victims of crime and we thank public servants who have served them in especially heroic ways. This week the men and women of the Department recommit ourselves once again to ensuring that crime victims continue to have a voice in our legal system, to securing justice for them, and to preventing other Americans from suffering what they have endured."
“The ‘Community Day of Hope’ is an opportunity to educate our community about crime victim resources. I have always found this event to be inspiring, as crime victims come forward to tell their stories of strength and resiliency. Their courage to publicly share their stories empowers others to come forward,” said U.S. Attorney Shores. “Victims and their families cannot go through these life changing tragedies alone. I am committed to ensuring victims are given a voice in the courtroom and have access to the resources they need to obtain help and healing.”
Speakers at this year’s event in the Northern District of Oklahoma are U.S. Attorney Trent Shores, Oklahoma Attorney General Mike Hunter, Tulsa County District Attorney Steve Kunzweiler, Tulsa County Sheriff Vic Regalado and Tulsa Police Chief Chuck Jordan. The event will held in conjunction with the Tulsa Health Departments’ one mile ENDUI Walk in remembrance of loved ones lost to DUI-related crashes, which starts at 10 a.m. The Oklahoma Blood Institute will also have a mobile unit available on site to collect blood donations which will be used to help fellow Oklahomans.
Community members attending the event will also hear from crime victims and their families; Melissa Blanton, Chief, Victim Services Unit, Oklahoma Attorney General’s Office; One Fire Cherokee Nation Victim Services Director Nikki Baker-Limor; and Muscogee (Creek) Nation Family Violence Prevention Program Director Shawn Partridge.
Each year in April, the Department of Justice and United States Attorneys’ offices observe National Crime Victims’ Rights Week nationwide by taking time to honor victims of crime and those who advocate on their behalf. In addition, the Justice Department and U.S. Attorneys’ offices organize events to honor the victims and advocates, as well as bring awareness to services available to victims of crime. This year’s observance takes place April 7-13, with the theme: Honoring Our Past. Creating Hope for the Future.
The U.S. Department of Justice will host the Office for Victims of Crime’s annual National Crime Victims’ Service Awards Ceremony in Washington, D.C. on April 12, 2019, to honor outstanding individuals and programs that serve victims of crime.
The Department of Justice’s Office for Victims of Crime, within the Office of Justice Programs, leads communities across the country in observing National Crime Victims’ Rights Week each year. President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week in 1981 to bring greater sensitivity to the needs and rights of victims of crime.
The Department of Justice’s Office for Victims of Crime, within the Office of Justice Programs, leads communities across the country in observing National Crime Victims’ Rights Week each year. President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week in 1981 to bring greater sensitivity to the needs and rights of victims of crime.
The Office of Justice Programs provides innovative leadership to federal, state, local and tribal justice systems, by disseminating state-of-the art knowledge and practices across America, and providing grants for the implementation of these crime-fighting strategies. Because most of the responsibility for crime control and prevention falls to law enforcement officers in states, cities, and neighborhoods, the federal government can be effective in these areas only to the extent that it can enter into partnerships with these officers. More information about the Office of Justice Programs and its components can be found at www.ojp.gov. More information about Crime Victim’s Rights Week can be found at https://ovc.ncjrs.gov/ncvrw/. You may also contact the U.S. Attorney’s Victim Witness Program at (918) 382-2700.
Owner of Tulsa Software Company Indicted on Tax ChargesRead the Press Release
The owner of a computer software development company, who failed to pay over payroll taxes withheld from his employees’ wages and failed to file individual and corporate income tax returns, was indicted by a grand jury in Tulsa, Oklahoma, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Trent Shores. An indictment merely alleges that a crime has been committed, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
“Earenest Grayson is an alleged dishonest employer who cheated both his employees and the United States government. As tax day approaches, I hope his story will dissuade other business owners from trying to cheat the system. Millions of honest small businesses pay their fair share of taxes to finance government operations. Unfortunately, Mr. Grayson’s choice not to do so has subjected him to criminal prosecution,” stated U.S. Attorney Shores.
Earenest J. Grayson Jr., of Tulsa, Oklahoma, was indicted for 10 counts of failing to account for or pay over to the Internal Revenue Service (IRS) payroll taxes withheld from wages paid to employees of his business, Zealcon Corporation (Zealcon), during the years 2014, 2015, and 2016. Grayson was also indicted for three counts of failing to file corporate income tax returns for Zealcon for the years 2013, 2014 and 2015, and failing to file his own income tax returns for the years 2013, 2014 and 2015.
According to the allegations in the indictment, as Zealcon’s owner, Grayson was responsible for reporting and paying over payroll taxes withheld from the wages paid to his employees. The indictment alleges that Grayson knew of this obligation and intentionally failed to account for or pay over to the IRS more than $300,000 in taxes that had been withheld from employee wages from January 2014 through June 2016. The indictment further charges that for the years 2013-2015, Grayson did not file corporate income tax returns on behalf of Zealcon or individual income tax returns for himself, despite being legally required to do so.
If convicted, Grayson faces a maximum sentence of five years in prison for each count of failure to account for and pay over payroll taxes and one year in prison for each count of failure to file a tax return. He also faces a period of supervised release, restitution, and monetary penalties.
The case was investigated by special agents of IRS-Criminal Investigation. Assistant Chief Andrew Kameros of the Tax Division is prosecuting the case, in coordination with Assistant United States Attorneys Charles M. McLoughlin and Victor A.S. Régal,
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Owner of Tulsa Software Company Indicted on Tax ChargesRead the Press Release
The owner of a computer software development company, who failed to pay over payroll taxes withheld from his employees’ wages and failed to file individual and corporate income tax returns, was indicted by a grand jury in Tulsa, Oklahoma, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney R. Trent Shores.
Earenest J. Grayson Jr., of Tulsa, Oklahoma, was indicted for 10 counts of failing to account for or pay over to the Internal Revenue Service (IRS) payroll taxes withheld from wages paid to employees of his business, Zealcon Corporation (Zealcon), during the years 2014, 2015, and 2016. Grayson was also indicted for three counts of failing to file corporate income tax returns for Zealcon for the years 2013, 2014 and 2015, and failing to file his own income tax returns for the years 2013, 2014 and 2015.
According to the allegations in the indictment, as Zealcon’s owner, Grayson was responsible for reporting and paying over payroll taxes withheld from the wages paid to his employees. The indictment alleges that Grayson knew of this obligation and intentionally failed to account for or pay over to the IRS more than $300,000 in taxes that had been withheld from employee wages from January 2014 through June 2016. The indictment further charges that for the years 2013-2015, Grayson did not file corporate income tax returns on behalf of Zealcon or individual income tax returns for himself, despite being legally required to do so.
If convicted, Grayson faces a maximum sentence of five years in prison for each count of failure to account for and pay over payroll taxes and one year in prison for each count of failure to file a tax return. He also faces a period of supervised release, restitution, and monetary penalties.
The case was investigated by special agents of IRS-Criminal Investigation. Assistant Chief Andrew Kameros of the Tax Division is prosecuting the case.
An indictment merely alleges that a crime has been committed, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Former Lieutenant in the Mayes County Sheriff’s Office Pleads Guilty to Stealing Drug EvidenceRead the Press Release
A former Mayes County Sheriff’s Office lieutenant pleaded guilty today to stealing methamphetamine that had officially been seized as evidence during multiple investigations, announced U.S. Attorney Trent Shores.
Brett Alan Mull, 48, of Pryor, was convicted of tampering with or destruction of evidence and acquiring controlled, dangerous substances by misrepresentation, fraud, forgery or deception. U.S. District Chief Judge Gregory K. Frizzell accepted the plea. During his hearing, Mull admitted to removing evidence envelopes containing methamphetamine before it was booked into the property room during his time as supervisor of the narcotics unit. In the plea agreement, he further admitted to stealing the drug to support his methamphetamine addiction.
“Law enforcement officers should inspire trust and confidence in the communities they serve and protect,” said U.S. Attorney Shores. “Former Mayes County Deputy Brett Mull violated that trust when he abused his position to obtain and use methamphetamine that had been collected as evidence during drug investigations. Now he will face the consequences of his choices.”
Mull was originally charged in a Criminal Complaint filed in U.S. District Court on Oct. 11, 2018. According to the complaint, investigators discovered Oklahoma State Bureau of Investigation evidence submittal envelopes during a search of his residence, on July 3, 2018. The envelopes appeared to have previously contained methamphetamine seized during Mayes County law enforcement operations. The complaint alleges that Mull admitted to officers that he had removed the evidence from the Criminal Investigations Unit, which he supervised, for his own personal use.
Mull remains on release pending his sentencing, scheduled for July 3, 2019.
The FBI conducted the investigation. Assistant U.S. Attorney Ryan M. Roberts prosecuted the case
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the April 2019 Federal Grand Jury.
The following individuals have been charged with violations of United States law in an indictment returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Josue Abraham Alvarez-Marroquin. Reentry of Removed Alien. Alvarez-Marroquin, 30, of Tulsa, is charged with having returned to the United States unlawfully after being deported on Nov. 12, 2013, near Dallas, Texas. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) is the investigative agency.
Earenest Grayson, Jr. Failure to Account for and Pay Over Payroll Taxes; Failure to File Corporate Income Tax Returns; Failure to File Individual Income Tax Returns. Grayson, Jr., 45, of Tulsa, is charged with 10 counts of failing to account for or pay over to the Internal Revenue Service (IRS) payroll taxes withheld from wages paid to employees of his business, Zealcon Corporation (Zealcon), during the years 2014, 2015, and 2016. He allegedly failed to pay more than $300,000 in payroll taxes. Grayson was also indicted for three counts of failing to file corporate income tax returns for Zealcon for the years 2013, 2014 and 2015, and failing to file his own income tax returns for the years 2013, 2014 and 2015. The U.S. Department of Treasury, Internal Revenue Service/Criminal Investigation is the investigative agency.
Gabriel Wenseslado Guerra-Gaytan. Reentry of Removed Alien. Guerra-Gaytan, 27, of Tulsa, is charged with having returned to the United States unlawfully after being deported on Aug. 15, 2016, at or near Laredo, Texas. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) is the investigative agency.
Jose Eduardo Gutierrez-Sanchez. Reentry of Removed Alien. Gutierrez-Sanchez, 27, of Tulsa, is charged with having returned to the United States unlawfully after being deported on Aug. 9, 2012, at or near Brownsville, Texas. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) is the investigative agency.
John Michael McIntosh. Obstruct, Delay and Affect Commerce by Robbery; Carry, Use and Brandish a Firearm During and in Relation to a Crime of Violence. McIntosh, 21, of Tulsa, is charged with both obstructing, delaying and affecting commerce by robbery and carrying, using and brandishing a firearm during a crime of violence. The charges are related to five separate robberies of Sand Springs and Tulsa businesses in February 2019. McIntosh is alleged to have robbed a Kentucky Fried Chicken and a QuickTrip located in Sand Springs, as well as a QuickTrip, Waters Liquor Store and Liquor Mart located in Tulsa. The FBI and Sand Springs and Tulsa Police Departments are the investigative agencies.
Gilberto Melendez-Rodriguez. Reentry of Removed Alien. Melendez-Rodriguez, 41, of Tulsa, is charged with having returned to the United States unlawfully after being deported on March 28, 2011, at or near Laredo, Texas. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) is the investigative agency.
Julian Trujillo Morales and Victor Ybarra Robles, Jr. Drug Conspiracy; Possession of Methamphetamine with Intent to Distribute; Possession of Cocaine. Morales, 29, and Robles, 53, both of Dallas, Texas, are charged with conspiring to distribute and to possessing with intent to distribute 500 grams or more of a substance containing a detectable amount of methamphetamine and with possessing with intent to distribute 500 grams or more of methamphetamine. Robles is further charged with knowingly and intentionally possessing cocaine. The charges resulted from a traffic stop in Pryor. The Pryor Police Department and Drug Enforcement Administration are the investigative agencies.
Jesus Parra-Lopez. Reentry of Removed Alien. Parra-Lopez, 41, is charged with having returned to the United States unlawfully after being deported on July, 19 2016, at Del Rio, Texas. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) is the investigative agency.
Eric Eugene Royer. Felon in Possession of Firearm. Royer, 43, of Seligman, Missouri, is charged with being a felon in possession of a Smith & Wesson, .38 special caliber revolver and five rounds of associated ammunition. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Nowata County Sheriff’s Office and Nowata Police Department are the investigative agencies.
Feliciano Villarruel-Cabre. Reentry of Removed Alien; Aggravated Identity Theft; Failure to Register as a Sex Offender. Villarruel-Cabre, 44, of Tulsa, is charged with having returned to the United States unlawfully after being deported on Sept. 11, 2007, at Hidalgo, Texas. He is also charged with aggravated identity theft. Villarruell-Cabre knowingly possessed, without lawful authority, the identification of another person. Finally, he is charged with failure to register as a sex offender. The U.S. Department of Homeland Security, Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI); Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO), and the U.S. Marshals Service are the investigative agencies.
Texas Track Coach Pleads Guilty to Assaulting a Minor during College Visit to TulsaRead the Press Release
A Killeen, Texas, private track coach and retired U.S. Army sergeant first class pleaded guilty Tuesday to transporting a minor with intent to engage in criminal sexual activity during a college visit in June 2017, announced U.S. Attorney Trent Shores.
In his plea agreement, Kerry Sloan, 56, of Harker Heights, Texas, admitted that when he drove the victim from Killeen to Tulsa for meetings with college coaches, he intended to engage in sexual activity with the victim without her consent at a Tulsa hotel. He also admitted that he ultimately did sexually assault the victim. After a 911 call was made on the return trip, the vehicle the two were traveling in was stopped by Pittsburg County Sheriff’s deputies, who were able to rescue the victim. During the ensuing investigation, victims dating back to 1990 came forward to report similar incidents involving Sloan.
“Kerry Sloan was a wolf in sheep’s clothing. He portrayed himself to parents and children as a trustworthy and caring mentor when in reality he was a danger to young girls,” said U.S. Attorney Shores. “During the course of this prosecution, even more victims than we were originally aware of came forward, claiming to have been groomed and assaulted by Mr. Sloan. His days of preying on unsuspecting families and their daughters are over. Federal prison is his next stop.”
U.S. District Judge Claire V. Eagan accepted the plea and scheduled Sloan’s sentencing for June 26, 2019. At that time, he faces a possible minimum penalty of 10 years in prison and a maximum penalty of life in prison; he further faces a maximum fine of $250,000. Sloan was permitted to remain on bond pending the sentencing hearing. While on bond, he will be heavily monitored by the U.S. Probation Office.
The Pittsburg County Sheriff’s Office, Killeen and Tulsa Police Departments and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. U.S. Attorney Christopher J. Nassar prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Jury Convicts Tulsa Man of Multiple Armed RobberiesRead the Press Release
A Tulsa man has been convicted of obstructing commerce by robbery; carrying, using and brandishing a firearm during a crime of violence; and Hobbs Act conspiracy, announced U.S. Attorney Trent Shores. Following the two day trial, the jury deliberated nearly three hours before convicting Melvin Louis Bailey, 26, of the crimes.
“A jury found Melvin Louis Bailey guilty late Tuesday on seven counts pertaining to the armed robberies of a Tulsa Walgreens. He robbed the same store four times at gun point, repeatedly instilling fear in store employees and endangering their lives,” said U.S. Attorney Shores. “I appreciate the jury’s service this week. Bailey is off the streets and can no longer wreak havoc in our community.”
The jury held Bailey accountable for four separate armed robberies of the Walgreens from April 2015 to January 2018. During the robberies, Bailey brandished a shotgun or hand gun to intimidate employees. In January 2018, he also conspired with a juvenile to rob the Walgreens. As part of the conspiracy, Bailey provided a mask and firearm to the juvenile, and the two discussed strategy to commit the crime. Afterward, he and his co-conspirator met at Bailey’s apartment and divided the stolen money.
U.S. District Chief Judge Gregory K. Frizzell presided over the trial. After the conviction, he remanded Bailey into the custody of the U.S. Marshals Service pending his sentencing hearing, set for July 2, 2019. At that time, Bailey faces a possible maximum sentence of life in prison.
The Tulsa Police Department and FBI conducted the investigation. Assistant U.S. Attorneys Dennis Fries and Ryan Roberts prosecuted the case.
U.S. Attorney’s Office and Justice Department Close Religious Land Use Investigation of the City of Pryor Creek Following Zoning Code RevisionsRead the Press Release
U.S. Attorney Trent Shores announced today that due to recent amendments made to the City of Pryor Creek’s zoning code, the Justice Department will close its investigation into whether the city violated the Religious Land Use and Institutionalized Person’s Act of 2000 (RLUIPA) when it rejected Cornerstone Truth of God’s efforts to obtain a special use permit to operate a church there. RLUIPA is a civil rights law that protects against religious discrimination.
The Pryor Creek City Council published the ordinance on March 25. The Justice Department will officially close the investigation in 30 days, when the zoning ordinance takes effect.
“Religious institutions of all faiths should be free from discriminatory zoning actions and ordinances that restrict their ability to expand or establish places of worship. I will work to ensure that is the case in northeastern Oklahoma,” said U.S. Attorney Shores. “In this instance, I appreciate Pryor Creek’s cooperation and willingness to find workable solutions that ensured the protection of the religious rights of the Cornerstone Truth of God Church. When city leaders were made aware that they had violated RLUIPA, they accommodated the church and examined what changes needed to be made to their zoning laws.”
In July 2017, the U.S. Attorney’s Office for the Northern District of Oklahoma, in partnership with the Department of Justice, opened an investigation into Pryor Creek’s zoning laws and whether the city discriminated against the Cornerstone Truth of God Church’s efforts to obtain a special use permit. The investigation centered on how zoning laws treated religious areas of assembly differently compared to secular areas of assembly. Religious groups in America have the constitutional right to use land for religious exercise, free from discriminatory restrictions, and to be treated on equal terms with secular groups.
Shortly after the investigation was opened, the City granted a special use permit to the church. The City also began revising its zoning code so that it treated secular and religious areas of assembly the same. On March 19, the City Council approved revisions to its zoning code, which put secular and religious areas of assembly on equal footing.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. Last year, the Justice Department announced its Place to Worship Initiative, which focusses on RLUIPA’s provisions that protect the rights of religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the U.S. Attorney’s Office for the Northern District of Oklahoma at (918) 382-2700 and ask for Civil Division Assistant U.S. Attorney Marianne Hardcastle. You can also contact the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or on the complaint portal on the Place to Worship Initiative website.
U.S. Attorney Shores Appointed Co-Chair of Presidential Task Force on Protecting Native American Children in the Indian Health Service SystemRead the Press Release
President Donald J. Trump today appointed Trent Shores, United States Attorney for the Northern District of Oklahoma, as a co-chair of a Presidential Task Force formed to address the institutional and systemic breakdown that failed to prevent a predatory pediatrician from sexually assaulting Native American children for years while employed by the Indian Health Service. U.S. Attorney Shores will partner with Joseph Grogan, Assistant to the President for Domestic Policy, to lead the Task Force.
The President announced the formation of a Presidential Task Force on Protecting Native American children in the Indian Health Service System today to examine any systemic problems that may have failed to prevent this doctor’s actions and led to any failures of the Indian Health Service to protect Native American Children. The Task Force will develop recommended policies, protocols, and best practices to protect Native American children and prevent such abuse from ever happening again.
“I appreciate the confidence placed in me by President Trump to help lead this Task Force. We have the opportunity to do good work for a righteous cause. Protecting Native American children who enter the Indian Health Service system is a common sense mission. It’s also one which this Task Force will approach with a great sense of purpose and urgency. I’m thankful for President Trump’s focus on this issue and commitment to finding solutions to prevent these atrocities from happening again. This is about doing the right thing.”
Cherokee Nation Principal Chief Bill John Baker voiced his support for the appointment, “Trent Shores, the United States Attorney for the Northern District of Oklahoma, has a history of working to protect Indian children in Oklahoma and I have confidence in his ability to make safety recommendations as part of this new designated task force.”
Chickasaw Nation Governor Bill Anoatubby stated, “It is heartbreaking and unconscionable that an IHS pediatrician was allowed to prey upon Indian children. We commend and support the Administration and the Department of Justice for initiating this important review of IHS practices so that all proper measures are taken to ensure the protection and safety of all children.”
The Task Force will be comprised of subject-matter experts from several United States Government agencies, and co-chaired by Assistant to the President for Domestic Policy Joseph Grogan and U.S. Attorney Shores, a citizen of the Choctaw Nation. In addition to U.S. Attorney Shores, the Task Force will include two other Oklahomans, Shannon Bears Cozzoni and Bo Leach. Ms. Cozzoni is an Assistant United States Attorney and Tribal Liaison in the Northern District of Oklahoma where she regularly works with tribes to address justice-related issues. Ms. Cozzoni previously served as the First Assistant Attorney General at the Muscogee (Creek) Nation and brings a wealth of experience to the Task Force. Bo Leach is the Assistant Special Agent in Charge of the Oklahoma City Division of the Bureau of Indian Affairs Office of Justice Services. ASAC Leach is a skilled criminal investigator with vast experience in law enforcement Indian Country, including investigating child sexual abuse. He is also a member of the Choctaw Nation.
The Task Force will draw on the expertise of other Federal employees and resources and seek perspective and input from tribal leaders and Native American voices. However, the work of the Task Force will not interfere with: (1) the criminal investigation of one particular pediatrician; (2) a review underway at the Department of Health and Human Services (HHS), including a review by the Department’s Inspector General, which HHS Secretary Azar ordered earlier this year; or (3) a review conducted by an outside, independent contractor retained by the Indian health system.
Members of the Presidential Task Force on Protecting Native American Children in the Indian Health Service System:
Joseph Grogan, Assistant to the President for Domestic Policy, Co-Chair
United States Attorney Trent Shores, Co-Chair
Bo Leach, Assistant Special Agent in Charge, Bureau of Indian Affairs, Office of Justice Services
Stephanie Knapp, MSW, LCSW, Child/Adolescent Forensic Interviewer, Federal Bureau of Investigation’s Office for Victims Assistance, Child Victim Services Unit
Shannon Bears Cozzoni, Tribal Liaison and Assistant United States Attorney, United States Attorney’s Office for the Northern District of Oklahoma
Caitlin A. Hall, MD, FAAP, Clinical Director/Pediatrician, Dzilth-na-o-dith-hle Health Center, Indian Health Service
Farnoosh Faezi-Marian, Program Examiner, Office of Management and Budget
Justice Department Awards $5.7 M to Support Native American Crime Victims in Seven StatesRead the Press Release
TULSA, Okla. – U.S. Attorney Trent Shores and The Office of Justice Programs’ Office for Victims of Crimes announced this week that two northeastern Oklahoma tribes were awarded more than $1.28 million to support crime victims.
The two tribes in the Northern District of Oklahoma that received funding are the Eastern Shawnee Tribe of Oklahoma and Wyandotte Nation.
The Eastern Shawnee Tribe of Oklahoma received $704, 949 to hire a crime victim advocate and to develop a cultural outreach program for those affected by violence. The funding will also help improve transportation for crime victims and provide emergency shelter services and counseling services.
The Wyandotte Nation of Oklahoma was awarded $579,596 to expand services to victims of domestic violence, elder abuse, sexual assault, dating violence and human trafficking by hiring a victim advocate. The award will also fund transportation to reach survivors in remote areas and provide legal and mental health services to those impacted by crime.
Nationwide, the Office for Victims of Crime (OVC) awarded more than $5.7 million to support crime victims in Native American communities in seven states: Alaska, California, Colorado, Minnesota, Oklahoma, Washington and Wisconsin. The group of 10 awards is the second in a series of grants being made by OVC to American Indian and Alaska Native communities. OVC has now awarded more than $9 million of up to $100 million to support tribal victim service programs.
The awards—17 in total so far—will fund critical crime victim services, such as counseling, transitional housing, emergency services and transportation. The grants are supported by the Crime Victims Fund, a repository of federal criminal fines, fees and special assessments. The fund includes zero tax dollars.
“American Indian and Alaska Native communities face extensive public safety challenges, but through creative approaches that combine traditional methods with innovative solutions, they are demonstrating their determination to meet the needs of victims in their communities,” said Principal Deputy Assistant Attorney General Matt M. Dummermuth. “These grants, part of historic levels of funding awarded by the Department of Justice to American Indian and Alaska Native communities, will provide significant resources to bring critical services to those who suffer the effects of crime and violence.”
“From domestic violence to sexual assaults, the sad fact is that Native Americans are overrepresented as victims of violent crime, particularly women and children. The Justice Department is committed to changing this alarming statistic. We must give voice to victims of violent crime in Indian Country, especially those who are murdered or missing,” said Trent Shores, U.S. Attorney for the Northern District of Oklahoma and Chairman of the Attorney General’s Advisory Subcommittee on Native American Issues. “The more than $5.7 million in grant funding reflects the Justice Department’s strong commitment to partnering with Native American communities to identify key services needed to support victims of violent crime. In my district, the Eastern Shawnee Tribe of Oklahoma and Wyandotte Nation have been selected to receive more than $1.28 million in grants. It is important to facilitate the creation of victim advocate positions in tribal communities. Victim advocates are key to providing resources and support to victims who have suffered unspeakable crimes.”
According to the Bureau of Justice Statistics, American Indians and Alaska Natives experience violent crime at rates far greater than the general population.
The following eight tribes also received grant awards this week. Nearly 170 tribes are eligible to receive this funding this spring to help their communities support crime victims over the next three years:
• The Chickasaw Nation (Oklahoma) was awarded $628,737 to improve victim services by hiring additional staff and enhancing training, while also providing much-needed transportation for crime victims.
• Red Cliff Band of Lake Superior Chippewa (Wisconsin) received $671,543 to enhance current victim services by providing transitional housing, transportation and security to victims, particularly those affected by the drug epidemic. The funds will also enable the tribe to hire victim advocacy staff for child abuse victims and expand office space to house Indian Child Welfare staff plus a victim interview room.
• The Leech Lake Band of Ojibwe (Minnesota) was awarded $719,962 to hire victim services staff who specialize in serving children, youth and families affected by crime. The funding will also provide transportation and emergency services for crime victims, and expand community outreach and awareness.
• Nenana Native Association (Alaska) received $251,912 to increase the capacity of its existing victim services program by hiring a victim services coordinator and to improve training for the staff. Funds will also support travel for victims to access necessary services locally and in Fairbanks.
• The Kalispel Indian Community of the Kalispel Reservation (Washington) was awarded $679,259 to expand the tribe’s victim assistance program to serve human trafficking victims, and develop a strategic plan to improve services to victims. The funding will also support the hiring of a victim advocate, as well as travel and training costs for staff.
• Skokomish Indian Tribe (Washington) was awarded $446,234 to expand its elder abuse program by hiring a victim advocate to focus on adult protective services. The funds will also support staff training, provide essential transportation and help purchase project-related supplies.
• Southern Indian Health Council, Inc. (California) was awarded $720,000 to improve services for child abuse victims by providing intervention, support and education. The funding will enable the tribe to hire a social worker and other staff, improve transportation for victims and cover the costs of training and program supplies.
• Southern Ute Indian Tribe (Colorado) received $391,425 to enhance staff training and improve forensic interviews with child abuse victims, while also offering trauma-informed clinical therapeutic services for crime victims. In addition, the funding will provide essential supplies and new equipment for forensic medical services.
“American Indian and Alaska Native crime victims continue to face challenges in accessing vital services and resources needed to help survivors address their trauma and navigate a complex system,” said OVC Director Darlene Hutchinson. “The Justice Department has made it a priority to partner with tribes to help victims and their families rebuild their lives in the aftermath of violence.”
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Matt M. Dummermuth, provides federal leadership, grants and resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal justice system. More information about OJP and its components can be found at www.ojp.gov
U.S. Attorney’s Office Continues to Recoup Costs Incurred from Illegal KickbacksRead the Press Release
Two more doctors in northeastern Oklahoma have entered into settlement agreements with the U.S. Attorney’s Office for allegedly accepting illegal kickback payments from OK Compounding, LLC, announced U.S. Attorney Trent Shores. These civil settlements resulted from an investigation into numerous health care providers writing prescriptions for pain creams compounded and sold by OK Compounding in return for payments.
“These greedy medical professionals are a major disappointment. Patients expect doctors to uphold strict ethical standards and place patient care above their own financial motives,” said U.S. Attorney Shores. “My office will use every tool at our disposal to remind corrupt physicians that the health of their patients is not for sale and that government health care programs are not free to plunder.”
In one recent settlement, Dr. Mary Johnson, 44, a podiatrist practicing in Claremore, agreed to pay the government more than $76,000 for allegedly accepting illegal kickback payments from OK Compounding in 2013.
In a separate settlement, Dr. Jeff Halsell, 50, a doctor of osteopathic medicine practicing in Tulsa, agreed to pay the government more than $52,000 for allegedly accepting illegal kickback payments from the pharmacy from January to July of 2013.
The settlement agreements resolve allegations that Johnson and Halsell had illegal financial relationships with OK Compounding, concerning pain creams.
Compounding prescriptions is a practice in which a pharmacist or physician combines, mixes or alters ingredients of a drug or multiple drugs to create a medication that is tailored to the specific needs of a patient. These medications are prescribed when standard Food and Drug Administration (FDA) approved drugs are unsuitable for the patient. They are also more expensive and reimbursed at a far higher rate by federal and private insurance companies.
Compounded drugs are not to be mixed or marketed in bulk. OK Compounding provided physicians with pre-printed prescription pads that listed compounding formula choices. Participating physicians would allegedly check a box with their preferred selection and then fax it directly to the associated pharmacies, rather than writing a prescription tailored to the patient who could then take it to a pharmacy of their choice.
Johnson and Halsell, prescribed these pain creams for their patients, and in so doing, facilitated the sale and distribution of pain creams by OK Compounding. As compensation for their services, the pharmacy paid Johnson and Halsell what was characterized by the parties as medical director fees based upon an hourly rate. However, the payments the doctors received from OK Compounding were, in actuality, “kickbacks” and in violation of the False Claims Act, 31 U.S.C. §3729 et seq, due to the fact that some patients were insured by the Medicare and TRICARE federal health care programs.
Medicare is a federal government health insurance generally reserved for people who qualify due to age or disability. TRICARE is the health care program of the United States Department of Defense Military Health System for military service members and retirees. It is illegal to pay or receive “kickbacks” in conjunction with federal healthcare insurance.
Prohibitions against kickbacks are crucial to ensure that financial motives do not undermine the integrity of the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs against health care providers.
This matter was handled by Assistant U.S. Attorney Marianne Hardcastle with the Affirmative Civil Enforcement unit and is the product of the collaborative investigative efforts of the Defense Criminal Investigative Service, Department of Labor–Office of Inspector General (OIG), IRS–Criminal Investigation, U.S. Postal Service–OIG, FBI, Department of Veterans Affairs–OIG and the Department of Health and Human Services–OIG.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
21 Vehicles to be Auctioned as Result of Major Marijuana ProsecutionRead the Press Release
Twenty-one high-performance vehicles will be sold in an online auction that resulted from one of the largest federal marijuana prosecutions in Tulsa, announced U.S. Attorney Trent Shores.
The inventory includes drag, drift and track cars, high end street vehicles and a Toyota Tundra SRS. Many are highly modified vehicles to include 2JZE GTE motors, twin turbo engines, nitrous equipped, Stroud parachutes and 200-1800 HP engines. Fourteen are Japanese Domestic Market cars.
On Aug. 31, 2018, Kong Meng Vang, 35, of Tulsa, pleaded guilty to drug conspiracy, possession with intent to distribute 100 kilograms or more of marijuana and money laundering. The defendant admitted to transporting 1,500 pounds of marijuana from California to sell in the Tulsa area. The marijuana was valued at $5 million. As part of the plea agreement, the United States and Vang agreed to the forfeiture of 21 of the defendant’s vehicles along with seven residences, firearms and ammunition.
“Vang profited by fueling the addiction of others. He sold, literally, tons of marijuana in northeastern Oklahoma. With his illegal drug profits, he purchased and modified race cars, some of which looked like they were straight off the set of The Fast and The Furious. But here’s the deal: Drug dealers don’t get to keep the luxury items they purchased with illicit drug proceeds,” said U.S. Attorney Shores. “These cars are being auctioned starting today, and the money will go to help state and local law enforcement in their drug enforcement efforts.”
The U.S. Marshals Service along with Apple Towing are selling the high-performance cars at an on-line auction starting March 18 at 10 am CST and closing April 1 at 10 am CST. To view auction details and all vehicles, go to the U.S. Marshals Service’s authorized auctioneer Apple Towing’s website here. Each car will have a link labeled “specification sheet” which will provide a detailed list of equipment on each car.
As advertised, many of these vehicles are for Off Road/Track use only and cannot be titled, registered or operated on U.S. roadways.
Interested buyers can preview the cars in person on March 29, from 9 am- 5 pm CST, at Race Communications: 805 Jet Drive, Midwest City, Oklahoma.
Below is a highlight of some of the unique cars that can be purchased:
2009 Nissan GT-R https:(spec sheet)
1997 Lexus SC300 (spec sheet
1991 Acura NSX (spec sheet)
1972 Datsun 240Z, Pro-Street/2L (spec sheet)
1993 Toyota Supra Pro-Street/Strip (spec sheet)
1999 Nissan Skyline GTR R34 (spec sheet)
2000 Mitsubishi Lancer EVO VI Tommi Makinen GSR (spec sheet)
This case resulted from a joint investigation conducted by the Tulsa Police Department; Drug Enforcement Administration; U.S. Department of Treasury, IRS-Criminal Investigation; and U.S. Marshals Service. Assistant U.S. Attorney Joseph F. Wilson prosecuted the case as part of the U.S. Attorney’s Organized Crime and Drug Enforcement Task Force. Assistant U.S. Attorney Catherine J. Depew handled the forfeiture of assets.
Northern District of Oklahoma Takes Part in Largest-Ever Nationwide Elder Fraud SweepRead the Press Release
Attorney General William P. Barr and U.S. Attorney Trent Shores today announced the largest coordinated sweep of elder fraud cases in history, surpassing last year’s nationwide sweep. The cases during this sweep involved more than 260 defendants from around the globe who victimized more than two million Americans, most of them elderly.
The Northern District of Oklahoma was actively involved during the sweep. In February, a federal grand jury indicted Charles D. Parnell, 36; Rodney A. Mosley, 39; and Brittany Mayall, 30, for conspiracy to steal mail, theft of mail, and possession of stolen mail from the Mounds Post Office. The stolen items were used to fraudulently create identities of local senior citizens and to defraud those citizens of more than $5,000.
“Crimes against the elderly target some of the most vulnerable people in our society,” Attorney General William P. Barr said. “But thanks to the hard work of our agents and prosecutors, as well as our state and local partners, the Department of Justice is protecting our seniors from fraud. The Trump administration has placed a renewed focus on prosecuting those who prey on the elderly, and the results of today’s sweep make that clear. Today we are announcing the largest single law enforcement action against elder fraud in American history. This year’s sweep involves 13 percent more criminal defendants, 28 percent more in losses, and twice the number of fraud victims as last year’s sweep. I want to thank the Department’s Consumer Protection Branch, which led this effort, together with the Department’s Criminal Division, the more than 50 U.S. Attorneys’ offices, and the state and local partners who helped to make these results possible. Together, we are bringing justice and peace of mind to America's seniors.”
“Criminals steal more than an estimated $3 billion from senior citizens every year. Those who target the elderly will receive the attention of our law enforcement officials in northeastern Oklahoma. We will work with our senior citizens to empower them with knowledge and awareness so that they can defend themselves,” said U.S. Attorney Trent Shores. “Fake prizes, health care, tech support, IRS imposters, and grandkids scams are just a few of the schemes used to target seniors and deprive them of their hard earned savings.”
The Department of Justice took action in every federal district, through the filing of criminal or civil cases or through consumer education efforts. In each case, offenders allegedly engaged in financial schemes that targeted or largely affected seniors. In total, the charged elder fraud schemes caused alleged losses of millions of more dollars than last year, putting the total alleged losses at this year’s sweep at over three fourths of one billion dollars.
The charges are merely allegations, and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. The Justice Department has likewise conducted hundreds of trainings and outreach sessions across the country since the passage of the Act.
The U.S. Attorney’s Office in the Northern District of Oklahoma participates in the Justice Department’s Elder Justice Initiative, which supports and coordinates the enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s seniors. Assistant U.S. Attorney Joseph Wilson is the district’s Elder Abuse Coordinator. He is responsible for leading federal law enforcement elder justice investigations and community outreach programs. Since October, Assistant U.S. Attorneys and Victim Witness Specialists have held four outreach events attended by more than 200 seniors and healthcare specialists. For more information about the Elder Justice Initiative and available resources, click here.
A fact-sheet with technical-support fraud case information can be found here.
A fact-sheet with cases on mass mailing fraud can be found here.
A fact-sheet with examples of a few elder fraud cases involving extradition in which the Office of International Affairs played a substantial role can be found here.
Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime, which can be reached at www.ovc.gov.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the March 2019 Federal Grand Jury.
The following individuals have been charged with violations of United States law in an indictment returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Glenville L. Albright. False Statement in Connection With the Attempted Acquisition of a Firearm; Felon in Possession of a Firearm. Albright, 50, of Pawhuska, is charged with making a false statement on the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Form 4473 in an effort to redeem a Winchester, Ranger Model 120, 12 gauge shotgun that he had previously pawned. Albright lied on the form about his criminal record. He is further charged with being a felon in possession of a firearm. The Bureau of Alcohol, Tobacco, and Firearms is the investigative agency.
Marissa Leigh Andrews and Danica Rae Pulley. Drug Conspiracy; Possession With Intent to Distribute Ecstasy. Andrews, 20, and Pulley, 25, both of Fort Dodge, Iowa, are charged with conspiring to sell ecstasy and intent to distribute ecstasy. The Pryor Police Department and Drug Enforcement Administration are the investigative agencies.
Anthony Dale Brannon. False Statement in Connection With the Attempted Acquisition of Firearms; Felon in Possession of a Firearm. Brannon, 59, of Grove, is charged with making a false statement on the ATF Form 4473 in an effort to purchase a Remington 12 gauge shotgun and a Browning 20 gauge shotgun. Brannon lied on the form about his criminal record. He is further charged with being a felon in possession of firearms. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency.
Matthew F. Donovan. Felon in Possession of a Firearm. Donovan, 34, of Eucha, is charged with being a felon in possession of a Model Heritage Rough rider, .22 LR caliber revolver. The Delaware County Sheriff’s Office and Bureau of Alcohol, Tobacco, Firearms and Explosive are the investigative agencies.
John Wayne Engel. Possession of Heroin With Intent to Distribute; Possession of a Firearm in Furtherance of a Drug Trafficking Crime; Felon in Possession of a Firearm and Ammunition. Engel, 32, is charged with possession with intent to distribute heroin and possessing a firearm and ammunition to carry out his drug trafficking crimes. He is further charged with being a felon in possession of a HS Produkt, Model XD40, .40 S&W semi-automatic pistol and 38 rounds of associated ammunition. The Tulsa Police Department, Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Joshua Christopher Harrison. Theft by Employee of Gaming Establishment of Indian Lands in Excess of $1000. Harrison, 22, of Broken Arrow, is charged with embezzling more than $1,000 from the Muscogee (Creek) Nation River Spirit Casino, a gaming establishment. The FBI, Muscogee (Creek) Nation Attorney General Investigator and the Office of Public Gaming are the investigative agencies.
Rufus Hicks, Jr. False Statement in Connection With An Attempted Acquisition of a Firearm. Hicks, 39, of Tulsa, is charged with making a false statement on the ATF Form 4473 in an effort to purchase a Taurus, Model 605 Protector Ply, .357 MAG caliber revolver. Hicks lied on the form about his criminal record. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency.
Cesar Lara, Jr., Angel Ricardo Gonzalez, and Juandedios Gonzalez, Jr. Drug Conspiracy. Lara, 23, Angel Ricardo Gonzalez, 31,and Juandedios Gonzalez Jr., 44, all of El Paso, Texas, are charged with knowingly conspiring to possess and distribute cocaine. The Drug Enforcement Administration and Oklahoma Highway Patrol are the investigative agencies.
David Mason Leslie, Jr. Drug Conspiracy; Interstate and Foreign Travel and Transportation in Aid of Racketeering Enterprises. Leslie Jr., 54, of Cucamonga, California, is charged with conspiring to possess and distribute 100 kilograms or more of a mixture containing a detectable amount of marijuana. As part of the conspiracy, the co-conspirators allegedly purchased and transported shipments of marijuana from California to the Northern District of Oklahoma. Leslie and his co-conspirators allegedly distributed the drug in the northeastern Oklahoma and elsewhere, including Minneapolis, Minnesota. Leslie is further charged with traveling in interstate commerce with the intent to facilitate and manage the drug distribution business enterprise. The Drug Enforcement Administration and IRS-Criminal Investigation are the investigative agencies.
Christopher P. Manzanares. False Statement in Connection With the Attempted Acquisition of a Firearm; Possession of a Firearm and Ammunition While Subject to a Domestic Violence Restraining Order. Manzanares, 28, of Broken Arrow, is charged with making a false statement on the ATF Form 4473 in an effort to purchase a SCCY CPX-1, 9 mm pistol. Manzanares lied on the form about being subject to a restraining order. He is further charged with possessing a Davis Industries, Model D-32, .32 caliber derringer while subject to a domestic violence restraining order. The Broken Arrow Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Jason William Near, Kevin Michael Wright, and Stephanie Marie Elfman. Drug Conspiracy; Possession of Marijuana with Intent to Distribute. Near, 39, of Lakewood, New York, Wright, 46, of Jamestown, New York, and Elfman, 31, of Jamestown, New York, are charged with conspiring to distribute and to possess with intent to distribute 50 kilograms or more of marijuana. The Miami Police Department, Oklahoma Highway Patrol and Drug Enforcement Administration are the investigative agencies.
Feliciano Villarruel-Cabre. Reentry of Removed Alien. Villarruel-Cabre, 44, of Tulsa, is charged with having returned to the United States unlawfully after being deported on July 11, 2007, from Hidalgo, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Bradley Ryan Wikel. False Statement in Connection With the Attempted Acquisition of a Firearm; Felon in Possession of a Firearm. Wikel, 31, of Jay, is charged with making a false statement on the ATF Form 4473 in an effort to purchase a Remington .30-06 caliber bolt-action rifle. Brannon lied on the form about his criminal record. He is further charged with being a felon in possession of a firearm. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency.
Evan Jamon Woodard. Felon in Possession of Firearm and Ammunition; Possession of a Firearm in Furtherance of Drug Trafficking Crimes; Possession of Cocaine With Intent to Distribute (2 counts); Possession of Marijuana With Intent to Distribute (2 counts); Possession of Heroin With Intent to Distribute. Woodard, 34, is charged with being a felon in possession of a Kahr Arms, Model CM 9, 9 mm pistol and ammunition and for possession of a firearm in furtherance of drug trafficking crimes. Additional he is charged with multiple counts of possession of cocaine with intent to distribute, possession of marijuana with intent to distribute and possession of heroin with intent to distribute. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Federal Officials Close the Investigation into the Death of Terence CrutcherRead the Press Release
The Justice Department announced today that there is insufficient evidence to pursue federal criminal civil rights charges against the Tulsa Police Department (TPD) officer involved in the fatal shooting of Terence Crutcher. Officials from the Department’s Civil Rights Division and the U.S. Attorney’s Office for the Northern District of Oklahoma met today with Mr. Crutcher’s family and their representatives to inform them of this decision. Mr. Crutcher was shot and killed during a confrontation with former TPD Officer Betty Shelby after he abandoned his vehicle in the middle of the roadway.
Following the shooting, a team of some of the department’s most experienced civil rights prosecutors and FBI agents conducted a comprehensive, independent review of the events surrounding the events of Sept. 16, 2016. Federal authorities examined all of the material and evidence in the State case generated by the TPD, the Oklahoma State Bureau of Investigation (OSBI), and the Tulsa District Attorney’s Office (DAO), including witness statements, audio and video recordings, dispatch records, crime scene evidence, ballistics evidence, and medical reports. Following Officer Shelby’s acquittal in State court, the Department reviewed additional evidence presented during the trial and the trial transcripts. The FBI also enhanced video footage of the shooting in an effort to increase the Department’s ability to analyze the circumstances of the shooting.
The federal review sought to determine whether Shelby violated federal law by willfully using unreasonable force against Crutcher. Under the applicable federal criminal civil rights statute, prosecutors must establish, beyond a reasonable doubt, that a law enforcement officer willfully deprived an individual of a Constitutional right. To establish willfulness, federal authorities must 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 or poor judgment are not sufficient to establish a federal criminal civil rights violation.
After a careful and thorough review into the facts surrounding the shooting, federal investigators determined that there is insufficient evidence to prove beyond a reasonable doubt a violation of the federal statute. The evidence, when viewed as whole, is insufficient to establish beyond a reasonable doubt that Officer Shelby’s use of force was “objectively unreasonable” under the Supreme Court’s definition, nor is the evidence sufficient to rebut her assertion that she fired in self-defense with the mistaken belief that Mr. Crutcher reached into his vehicle in order to retrieve a weapon. The evidence is also insufficient to establish that Officer Shelby acted with the specific intent to break the law.
Accordingly, the investigation into this incident has been closed. This decision is limited strictly to the Department’s inability to meet the high legal standard required to prosecute the case under the federal civil rights statute; it does not reflect an assessment of any other aspect of the shooting.
“The Department of Justice devoted significant resources to this investigation to ensure that a thorough review was undertaken. Attorneys from both the Civil Rights Division and the U.S. Attorney's Office worked closely with the FBI to examine the evidence and review applicable law,” said U.S. Attorney Shores. “Any allegation of law enforcement misconduct and willful deprivation of civil rights is taken seriously. However, the evidence in this case did not support pursuing criminal prosecution. Moving forward, I hope that citizens and law enforcement will continue to work together to better our community.”
The Justice Department is committed to investigating allegations of excessive force 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 aggressively prosecutes criminal civil rights violations whenever there is sufficient evidence to do so.
Methamphetamine and Heroin Dealer Sentenced to More Than 17 Years in PrisonRead the Press Release
A Tulsa man has been sentenced to federal prison for 15 separate charges, including distribution of heroin and methamphetamine, announced U.S. Attorney Trent Shores. A jury found Darowe Junior Jones, 39, of Tulsa, guilty on Oct. 24, 2018.
Today, U.S. District Judge Claire V. Eagan sentenced Jones to 211 months in prison followed by five years of supervised release.
“Methamphetamine and heroin have exacted too much damage on Oklahoma families. Darowe Jones is an “alpha criminal” who peddled addiction for profit in our Tulsa community,” said U.S. Attorney Trent Shores. “Through the combined efforts of the TPD, FBI and ATF during Operation Alpha, his drug ring has been dismantled. A 17-year federal prison sentence delivers accountability and consequences to Darowe Jones for his involvement in the illegal drug trade. It should also promote deterrence for anyone thinking about stepping into his shoes.”
Jones was arrested on April 17, 2018, on an outstanding felony arrest warrant as part of Operation Alpha, an initiative targeting Tulsa’s most dangerous criminals. Jones was a high volume drug dealer who sold methamphetamine, black-tar heroin, cocaine, ecstasy, marijuana, and Xanax. He conspired with his partners to receive drugs through the mail at various addresses in Tulsa and Broken Arrow, which he later distributed in the Tulsa area. The evidence further showed that Jones sent tens of thousands of dollars in cash over a two-year period to his out-of-state sources of supply to purchase the narcotics.
After his arrest, Jones continued his drug operations by calling his accomplices from jail and directing them to hide evidence, including drug proceeds.
Jones will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Jones was arrested as part of Operation Alpha, a Project Safe Neighborhoods’ initiative. Operation Alpha utilized crime mapping technology to target areas with high rates of crime and focused on the area surrounding 21st Street and Garnett Road in Tulsa. Phase one operations took place from mid-April through mid-June 2018 and resulted in 174 felony arrests and seizure of 106 firearms.
The Tulsa Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI and United States Marshals Service conducted the investigation. Assistant U.S. Attorneys Thomas E. Duncombe, Dennis A. Fries, and Joel-lyn A. McCormick prosecuted the case.
Broken Arrow Woman Sentenced for Defrauding Victims of More than $2.6 MillionRead the Press Release
A Broken Arrow woman was sentenced to federal prison Tuesday for a wire fraud scheme involving the embezzlement of more than $2.6 million from an Inola business and to signing a false tax return, announced U.S. Attorney Trent Shores.
U.S. District Judge John E. Dowdell sentenced Cristyne Denise Gilleland, 42, to 30 months in federal prison to be followed by 3 years of supervised release. He further ordered Gilleland to forfeit substantial assets, including a yacht, a Grand Lake condominium, financial account proceeds, vehicles and a $2.7 million forfeiture money judgment. She is also required to forfeit an additional $100,000. All of the forfeited proceeds will provide restitution for the victims.
“Cristyne Gilleland’s pervasive and brazen embezzlement of millions of dollars was driven by greed. Over a seven year period, she violated her position of trust at a small business using sophisticated methods to conceal her scheme,” said U.S. Attorney Trent Shores. “The irreparable harm inflicted upon small businesses by greedy fraudsters will not go unpunished.”
In handing down the sentence, the court noted there was no excuse for Gilleland’s outrageous criminal conduct and the egregious abuse of trust toward her employer Tommy Thompson and his company.
At her plea hearing, held Sept. 11, 2018, Gilleland, admitted to embezzling money from TJT Enterprises, LLC, and its owner, Tommy Thompson, from 2010 to 2017 by wire transfers, writing checks, and paying credit card charges, all for her personal benefit. As an employee of the company who was responsible for accounting and financial management, she used a variety of methods to conceal her embezzlement, including establishing a business that she used to further her scheme.
The charges specifically focused on a fraudulent $577,500 wire transfer made by the defendant from TJT Enterprises to a business she created for the purpose of embezzling funds, and on a 2015 tax return in which she failed to report $477,199 in income to the IRS.
Gilleland was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prison’s Facility.
The Federal Bureau of Investigation and the Department of Treasury, Internal Revenue Service—Criminal Investigation Division investigated the case. Assistant U.S. Attorney Catherine J. Depew prosecuted the case.
North Carolina Marketer Agrees to Pay $414,108.08 for Allegedly Engaging in Illegal Kickback Scheme with OK CompoundingRead the Press Release
David Tsui and Wellcare Consulting, LLC, a North Carolina marketing company, have agreed to pay the government $414,108.08 for allegedly accepting illegal kickback payments from OK Compounding, LLC, announced U.S. Attorney Trent Shores.
The U.S. Attorney’s Office in the Northern District of Oklahoma entered into a settlement agreement this week with Tsui, of Chapel Hill, North Carolina, and Wellcare, in an effort to recoup the costs to the U.S. government resulting from the illegal kickbacks. This civil settlement resulted from an investigation into OK Compounding, a pharmacy previously located in Skiatook, Oklahoma.
The United States alleged OK Compounding paid substantial kickbacks to various third-party “marketers” in exchange for those marketers arranging for the referral of prescriptions for compounded drugs to the pharmacy. The kickbacks consisted of a share of the revenue that the referrals generated for OK Compounding. These arrangements violated the Anti-Kickback Statute, 42 U.S.C. § 1320a-7b(b).
“I won’t allow corrupt health care professionals to exploit the federal health care system for their fraudulent, personal enrichment. My Affirmative Civil Enforcement team is prioritizing health care fraud cases,” said U.S. Attorney Trent Shores. “Federal health care dollars are to be used in accordance with the law. Dollar by dollar, corrupt defendant by corrupt defendant, we will get back the illegally obtained funds.”
Through these schemes, Tsui and Wellcare knowingly caused false claims to be presented to the Tricare and Medicare programs for the purpose of defrauding these federal programs. Because federal healthcare programs were involved, the kickbacks were also in violation of the False Claims Act.
It is illegal to pay or receive “kickbacks” in conjunction with federal healthcare insurance. Laws against kickbacks are crucial to ensure that financial motives do not undermine the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs.
Affirmative Civil Enforcement (ACE) refers to filing civil lawsuits on behalf of the United States. The purpose of these civil actions is to recover government money lost to fraud or other misconduct or to impose penalties for violations of Federal health, safety, civil rights or environmental laws.
To report fraud and abuse against the Federal government in the Northern District of Oklahoma, please contact the U.S. Attorney’s Office at 918-382-2700 and speak to a member of the ACE Unit.
Information regarding health care fraud to Medicare can also be reported to the Department of Health and Human Services, Office of Inspector General, at https://oig.hhs.gov/fraud/report-fraud/index.asp. Information for fraud against Tricare can be reported at https://health.mil/Military-Health-Topics/Access-Cost-Quality-and-Safety/Quality-And-Safety-of-Healthcare/Program-Integrity/Fraud-and-Abuse-Report-Submission-Form.
This matter was handled by Assistant U.S. Attorney Marianne Hardcastle and is the product of a collaborative investigation by the Defense Criminal Investigative Service, Department of Labor–Office of Inspector General (OIG), IRS–Criminal Investigation, U.S. Postal Service–OIG, FBI, Department of Veterans Affairs–OIG and the Department of Health and Human Services–OIG.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Claremore Man Sentenced to 30 Years in Prison for Sexually Exploiting a ChildRead the Press Release
A 25-year-old Claremore man has been ordered to federal prison following his conviction of one count of sexual exploitation of a child, announced U.S. Attorney Trent Shores. Zachary Newberry pleaded guilty Nov. 20, 2018.
Today, U.S. District Judge John E. Dowdell, sentenced Newberry to 30 years in prison. Newberry will serve 10 years on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
“Project Safe Childhood prosecutions are in full effect here in northeastern Oklahoma thanks to the partnership between TPD’s Cyber Crimes Unit and federal prosecutors. If you prey on children, we will find you, prosecute you and hold you accountable for your actions against the most vulnerable members of our community,” said U.S. Attorney Trent Shores. “Tulsa’s cyber detectives do excellent work to hunt down and identify child predators lurking about the internet. Our federal prosecutors then bring them to justice in a court of law.”
On July 30, the Tulsa Police Department received Newberry’s phone in an anonymous package, which was accompanied by a note stating the phone contained child pornography. Detectives from the police department’s Cyber Crimes Unit forensically examined the phone and discovered that it had been used to film a single video of child pornography. Other information recovered from the phone led detectives to Newberry, who eventually confessed to filming himself sexually abusing the adolescent victim.
Newberry has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Tulsa Police Department investigated the crime. Assistant U.S. Attorney Christopher J. Nassar prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Tulsa Man Convicted for Child Pornography, Enticing Minors and Trying to Hide His CrimesRead the Press Release
TULSA, Okla. – A 28-year-old Tulsa man pleaded guilty Friday in U.S. District Court to distribution of child pornography, enticing a minor and tampering with a witness and evidence, announced U.S. Attorney Trent Shores.
In his plea agreement, Levi William Welker admitted that in February 2016 he shared child pornography using a bit torrent file sharing network. Investigators initially discovered 68 images on a torrent file which was traced to Welker’s IP address. During a search, investigators located more than 6,200 image and video files of child pornography.
Welker also admitted that he later used multiple social media apps and communications devices to manipulate and lure two minor children to engage in sexual activity with him. Welker pretended to be 16 years old and provided the victims with cell phones in order to secretly communicate. When one of the children’s parents became suspicious, they reported Welker to the Tulsa Police Department. After the investigation commenced, police discovered that Welker messaged one of the victim’s social media accounts, asking her to lie to police and destroy evidence. He also destroyed other digital evidence in an effort to thwart the investigation.
“Levi Welker criminally exploited the trusting nature of children to fulfill his perverse sexual gratifications. He groomed and manipulated young victims using nearly a dozen different phone apps to share sexually explicit photographs,” said U.S. Attorney Shores. “Welker attempted to hide his crimes by remotely deleting evidence from his phone. Thanks to the watchful eye of concerned parents and the dedicated work of law enforcement, Welker’s heinous acts were revealed.”
U.S. District Judge Claire V. Eagan accepted Welker’s guilty plea and set sentencing for May 30, 2019. At that time, he faces a stipulated sentencing range of 200 to 240 months imprisonment and a maximum fine of $250,000. Welker remains in custody while awaiting sentencing.
The FBI and Tulsa Police Department investigated these crimes. Assistant U.S. Attorney Christopher J. Nassar is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
18 Members and Associates of White Supremacist Gang Indicted for Racketeering and Drug DistributionRead the Press Release
Eighteen members and associates of a white supremacist gang, the Universal Aryan Brotherhood, have been charged for their alleged roles in conspiring in a racketeering enterprise, kidnapping, and drug conspiracy.
The charges were announced at a press conference today in Tulsa by U.S. Attorney Trent Shores for the Northern District of Oklahoma, Special Agent in Charge Tamera Cantu of IRS-Criminal Investigation’s Dallas Field Office, and Assistant Special Agent in Charge James M. Wright of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Dallas Field Office.
The indictment alleges the Universal Aryan Brotherhood (UAB) to be a racketeering enterprise which committed acts of murder, kidnapping, the trafficking of methamphetamine and firearms, money laundering, assault, and robbery throughout the State of Oklahoma. According to the indictment, the UAB is a “whites only” prison-based gang with members operating inside and outside of state prisons throughout Oklahoma.
“The Universal Aryan Brotherhood operated a lucrative criminal organization from within Oklahoma’s prison walls using contraband cell phones,” said U.S. Attorney Trent Shores. “The tools of their trade were hate, fear, affliction, and violence. This RICO prosecution seeks to dismantle their criminal operation. Justice is coming.”
“Sending someone to prison should protect the public from danger,” said Assistant Attorney General Beth Williams of the Department of Justice’s Office of Legal Policy. “But as this indictment illustrates, the danger to the public from contraband cell phones in prisons is real. The Department is committed to working with our state and local partners, including state and local prisons, to thwart the use of contraband cell phones in prisons.”
Key players allegedly involved in UAB operations, include six inmates imprisoned in the Oklahoma State Penitentiary at McAlester—Mathew D. Abrego, 33; Christopher K. Baldwin, 39; Jeremy C. Anderson, 31; Johnny R. Jameson, 36; Robert W. Zeidler, 45; and James C. Taylor, 52. The men are alleged to have used contraband cell phones to communicate and further their enterprise. UAB conspirators also used social media and “kites” to carry out their operations.
As part of their operations, UAB members and associates are alleged to have participated in a significant and widespread methamphetamine distribution scheme directed by incarcerated UAB leaders using the cell phones. The United States alleges members laundered hundreds of thousands of dollars in illegal drug proceeds for the benefit of the UAB enterprise, using cash transfers, stored value cards, PayPal, and Walmart money transfers. Investigators from the IRS Criminal Investigation (IRS-CI) helped trace the money trail.
“IRS Criminal Investigation is committed to using our financial expertise to unravel complex money laundering transactions and shed light on the profits of criminal organizations,” said Tamera Cantu, IRS-CI special agent in charge of the Dallas Field Office. “Criminal organizations such as these need money to achieve their objectives. This joint effort demonstrates our resolve to investigate financial offenses that fuel their unspeakable crimes.”
“This indictment following an extensive federal investigation accuses 18 UAB members of nine murders, car-jackings, kidnappings and other very serious charges,” said Katrina W. Berger, special agent in charge of HSI Dallas. “Homeland Security Investigations is committed to combatting these violent criminal organizations within our communities.”
The indictment alleges that nine individuals were murdered as part of the UAB’s racketeering operations, often upon the orders of the Main Council, the highest governing body of the UAB. Several victims include inmate Donald Jones who was stabbed to death in 2005 at the Oklahoma State Reformatory in retaliation against African American inmates, and Blake Ford and James Mask who were both murdered allegedly on orders from the UAB.
On May 31, 2011, Sufeng He, a 24- year-old student attending the University of Tulsa, was shot and killed during an attempted carjacking committed by a UAB member running from Tulsa police officers. Jason Harris was later murdered in Tulsa by UAB members during a kidnapping and robbery in 2017.
According to court documents, multiple kidnappings were also ordered in an effort to leverage and expand the UAB’s power and operations throughout Oklahoma. Members and associates of the enterprise used kidnapping as a way to enforce discipline, recoup drugs and other debts, and to ensure the individuals were not cooperating with law enforcement.
Four suspects were apprehended Monday and Tuesday in Tulsa, while seven others have been transferred from Oklahoma Department of Corrections at McAlester. The remainder have been arrested or are in the custody of Department of Corrections or Federal Bureau of Prisons facilities.
The UAB was established in 1993 within the Oklahoma Department of Corrections and modeled itself after the principles and ideology of the Aryan Brotherhood, a California-based prison gang that formed in the 1960s.
HSI and IRS-CI led the investigation with assistance from the Tulsa County Sheriff’s Office, the Oklahoma Department of Corrections, the Tulsa and Enid Police Departments, the Oklahoma Bureau of Narcotics (OBN), the U.S. Marshals Service, and the Bureau of Alcohol, Tobacco and Firearms (ATF). Assistant U.S. Attorney Dennis A. Fries is prosecuting this case.
An indictment is merely an accusation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. This indictment, returned by a federal grand jury on Dec. 7, 2018, was unsealed on Feb. 20, 2019.