District of Oregon
Press releases recorded for this federal judicial district.
Belgian National Faces Federal Charges for Illegally Procuring Critical U.S. Technology for End Users in China and RussiaRead the Press Release
PORTLAND, Ore.—A federal indictment was unsealed Tuesday in the District of Oregon charging a Belgian national in connection with the export of sensitive, military-grade technology from the United States to end users in the People’s Republic of China.
Hans Maria De Geetere, 61, of Knokke-Heist, Belgium, has been charged with one count of obtaining goods intended for China in violation of the Export Control Reform Act (ECRA) and four counts of making false statements.
“Export control laws and regulations serve an important role in protecting our national security. This case demonstrates our commitment to holding individuals accountable wherever they reside,” said Natalie Wight, U.S. Attorney for the District of Oregon. “We urge anyone with information about violations of export control laws to contact OEE and the FBI immediately.”
“The Office of Export Enforcement (OEE) is focused on aggressive enforcement of violations of U.S. export controls. Today’s indictment of De Geetere for seeking to export controlled items with military and aerospace applications to China demonstrates OEE’s commitment to focusing our investigative efforts on transactions of the highest national security significance,” said John D. Masters, Special Agent in Charge, Office of Export Enforcement, San Jose Field Office, Bureau of Industry and Security, US Department of Commerce.
“According to this indictment, Hans De Geetere was breaking laws and risking national security to benefit himself, the People’s Republic of China and the Russian Federation,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “This investigation was a well-coordinated effort between the FBI and our federal and international partners, and it demonstrates how far we will go to prevent the illegal transfer of military-use technology to our adversaries.”
According to court documents, between April 2021 and August 2023, De Geetere, who owned and operated a Belgium-based supply chain management and procurement services company called Knokke Heist Support Corporation Management (KHSCM), attempted to illegally procure for export to China controlled accelerometers valued at more than $930,000.
On or about April 9, 2021, a company in the United States shipped approximately $13,249 worth of accelerometers to a German reseller to fulfill an order for KHSCM. On or about April 14, 2021, U.S. Customs and Border Protection (CBP) and the Department of Commerce, Bureau of Industry and Security (BIS), Office of Export Enforcement detained the shipment for inspection to confirm its end user and avoid potential diversion and improper military use.
OEE contacted the German reseller to request that its customer, KHSCM, complete a required BIS form identifying its end user for the accelerometers and how the devices would be used. On or about April 15, 2021, De Geetere is alleged to have completed the form and in it falsely claim the accelerometers were for use by Agentschap Wegen en Verkeer, a government agency in the Flemish region of Belgium. Later, on a phone call with an OEE special agent and in an email to the agent written by De Geetere falsely claiming to be a Flemish export control official, De Geetere again falsely stated the accelerometers were for use in Belgium when, in truth, he intended to divert the items to China.
Accelerometers are electronic devices that measure the vibration, tilt, and acceleration of structures in industrial, aerospace, and military systems. In aerospace and military applications, accelerometers play a critical role in structural testing and monitoring, impact survival tests, flight control systems, weapons and craft navigation systems, active vibration dampening, stabilization, and other systems. The export of these accelerometers to certain countries, including China and Russia, is restricted under U.S. law.
In a separate indictment unsealed Tuesday in the Eastern District of Texas, De Geetere and a co-defendant are alleged to have conspired with one another to illegally smuggle from the United States export-controlled field programmable gate array circuits to Russia and short-wave infrared surveillance cameras to China.
De Geetere was arrested Tuesday in Belgium by Belgian authorities.
Obtaining goods in violation of ECRA and making false statements in connection with or during an export enforcement investigation are each punishable by up to 20 years in federal prison and a $1 million fine, per count of conviction.
This case was investigated by OEE with assistance from the FBI and Homeland Security Investigations (HSI). It is being prosecuted by Greg Nyhus, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Today’s actions were coordinated through the Disruptive Technology Strike Force, an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation-states. Under the leadership of the Assistant Attorney General for National Security and the Assistant Secretary of Commerce for Export Enforcement, the Strike Force leverages tools and authorities across the U.S. Government to enhance the criminal and administrative enforcement of export control laws.
23-cr-374-de_geetere-indictment_unsealed.pdfBelgian National Charged with Crimes Related to Scheme to Illegally Procure Critical U.S. Technology for End Users in China and RussiaRead the Press Release
In two separate indictments unsealed yesterday, Hans Maria De Geetere, 61, of Knokke-Heist, Belgium, is charged with crimes related to a years-long scheme to unlawfully export sensitive, military-grade technology from the United States to end users located in the People’s Republic of China (PRC) and the Russian Federation.
Concurrent with the unsealing, authorities in Belgium, in coordination with the FBI’s Legal Attaché Office in Brussels, Belgium, executed search warrants and arrested De Geetere and others for questioning on Dec. 5 in connection with a Belgian investigation into De Geetere’s global illicit procurement scheme.
In addition, the Commerce Department’s Bureau of Industry and Security (BIS) and the Treasury Department’s Office of Foreign Assets Control (OFAC) added De Geetere and his companies, Knokke-Heist Support Management Corporation and European Trading Technology BV, to the BIS Entity List and the OFAC Specially Designated and Blocked Person (SDN) List for acquiring and illicitly diverting U.S.-origin electronic components used in missiles, unmanned aerial vehicles, electronic warfare receivers, and military radar on behalf of parties in the PRC and Russia.
“As alleged, Hans Maria De Geetere orchestrated multiple smuggling schemes to unlawfully re-export advanced U.S. technologies to China and Russia,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department is committed to working with partners, including through our leadership of the Disruptive Technology Strike Force, to hold accountable those who violate U.S. export control laws, and place personal profit over the security of the United States and our allies. We are grateful to the Belgian authorities for their coordination with U.S. law enforcement as they work to hold the defendant accountable under Belgian law.”
“Hans De Geetere allegedly acquired and illicitly diverted U.S.-origin electronic components to China and Russia that can be used in missiles, drones, and military radar,” said Assistant Secretary for Export Enforcement Matthew S. Axelrod. “These coordinated actions, which include the unsealing of federal indictments against De Geetere, his arrest abroad, and additions to our Entity List, demonstrate our commitment to cutting off the flow of critical U.S. electronics to the PRC and Russia.”
“These indictments of Hans Maria De Geetere highlight years of deceit and deception for the benefit of the governments of the People’s Republic of China and the Russian Federation,” said Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch. “These charges demonstrate the commitment of the FBI and our partners to coordinate and make the world safer, together, by preventing the illegal transfer of military-use technology to our adversaries.”
U.S. v. De Geetere et al., Eastern District of Texas
According to court documents in the Eastern District of Texas, between March 2016 and February 2018, De Geetere and co-defendant Eddy Johan Coopmans, 62, of Ponte Verda, Florida, conspired to illegally smuggle from the United States export-controlled field programmable gate array (FGPA) circuits to Russia and short-wave infrared surveillance (SWIR) cameras to the PRC. As alleged, the defendants wired partial payments totaling over $1.2 million in an attempt to acquire these items. Coopsmans pleaded guilty to the conspiracy on Oct. 5, 2022, and is pending sentencing.
“As alleged, Mr. De Geetere conspired with others to violate U.S. export controls and illegally smuggle sensitive American-made technologies to Russia and the PRC,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “This indictment should be an example that the Eastern District of Texas will aggressively pursue and prosecute those — no matter where they are in the world — who seek to avoid U.S. export laws to supply Russia and the PRC with microelectronics that can be used for nefarious purposes.”
U.S. v. De Geetere, District of Oregon
Separately, according to court documents in the District of Oregon, between April 2021 and August 2023, De Geetere attempted to illegally procure for export to the PRC controlled accelerometers valued at more than $930,000. Accelerometers are electronic devices that measure the vibration, tilt and acceleration of motion of a structure and are often used in aerospace and military systems. During an investigation into De Geetere’s activities, he falsely told a BIS agent that the accelerometers were intended for export to Belgium, whereas in truth, he sought to obtain them for end users in the PRC.
“Export control laws and regulations serve an important role in protecting our national security and this case demonstrates our commitment to holding individuals accountable wherever they reside,” said U.S. Attorney Natalie Wight for the District of Oregon. “We urge anyone with information about violations of export control laws to contact OEE and the FBI immediately.”
In the Eastern District of Texas, De Geetere is charged with one count of conspiring to smuggle goods and one count of conspiring to launder funds. He is further charged with three counts of making false statements and one count of smuggling goods in the District of Oregon. If convicted, he faces a maximum statutory penalty of five years in prison for conspiracy to smuggle goods and for each count of making false statements, 10 years in prison for smuggling of goods, and 20 years in prison for conspiracy to launder funds.
The case in the Eastern District of Texas was investigated by Homeland Security Investigations (HSI) Dallas and the FBI’s Dallas Field Office, with assistance from BIS’s Office of Export Enforcement (OEE), Department of Defense Criminal Investigative Services (DCIS), the Internal Revenue Service–Criminal Investigation (IRS-CI), and the United States Postal Inspection Service. Assistant U.S. Attorneys for the Eastern District of Texas are prosecuting the case with assistance from Trial Attorney Derek Shugert of the National Security Division’s Counterintelligence and Export Control Section (CES).
The case in the District of Oregon was investigated by OEE, with assistance from the FBI Portland Field Office and HSI Oregon. Assistant U.S. Attorney Greg Nyhus for the District of Oregon is prosecuting the case, with assistance from CES Trial Attorney Derek Shugert.
These actions were coordinated through the Disruptive Technology Strike Force, an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains, and prevent critical technology from being acquired by authoritarian regimes and hostile nation-states. Under the leadership of the Assistant Attorney General for National Security and the Assistant Secretary of Commerce for Export Enforcement, the Strike Force leverages tools and authorities across the U.S. Government to enhance the criminal and administrative enforcement of export control laws.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
De Geetere Texas Indictment De Geetere Oregon Indictment Belgian Federal Prosecutor’s Office Press ReleaseSalem Man Sentenced to Federal Prison for Illegally Transferring a Machine GunRead the Press Release
PORTLAND, Ore.—A Salem, Oregon man previously convicted at trial was sentenced to federal prison Monday for illegally transferring a machine gun.
Daniel Matthew Kittson, 61, was sentenced to 27 months in federal prison and three years’ supervised release.
According to court documents, in December 2019, a special agent from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) learned that Kittson was attempting to sell a Russian PPSh-41, a machine gun capable of firing approximately 900 rounds per minute. Investigators learned that he had prior felony convictions for attempted murder, first degree manslaughter, and felon in possession of a weapon, making it illegal for him to possess any type of firearm.
In early January 2020, investigators communicated with Kittson on two separate occasions to arrange a controlled purchase of the machine gun and, on January 10, 2020, completed the transaction. Following their purchase, investigators tested the firearm and confirmed that it was indeed a functional machine gun.
On March 9, 2021, a federal grand jury in Portland returned a two-count indictment charging Kittson with illegally possessing and transferring a machine gun and illegally possessing a firearm as a convicted felon.
On May 28, 2021, Kittson was arrested without incident by the U.S. Marshals Service and was released following his first appearance in federal court. In June 2022, Kittson absconded his pretrial supervision. Three months later, on September 27, 2022, he was located and arrested in Crook County, Oregon in possession of a firearm and small quantities of methamphetamine and heroin.
On August 24, 2023, a jury found Kittson guilty of illegally transferring a machinegun.
This case was investigated by ATF. It was prosecuted by Leah Bolstad and Nicole Bockelman, Assistant U.S. Attorneys for the District of Oregon.
Medford Area Drug Trafficking Investigations Result in Three Federal Prison SentencesRead the Press Release
MEDFORD, Ore.—The U.S. Attorney’s Office for the District of Oregon announced today that three federal prison sentences have been imposed this week in separate criminal cases following multi-agency drug trafficking investigations in and around Medford.
James Michael Cody Whelchel, 41, of Carson, California, was sentenced Monday to 130 months in federal prison and five years’ supervised release. Earl Richard Shamblin III, 41, of Medford, was also sentenced Monday to 45 months in federal prison and three years’ supervised release.
Terril Jacob Boss, 43, of Reno, Nevada, was sentenced today to 120 months in federal prison and five years’ supervised release.
U.S. v. Whelchel
According to court documents, in July 2021, local law enforcement officers received information that Whelchel, a known drug trafficker with a lengthy criminal history, was dealing drugs in the Medford area. Further investigation revealed that Whelchel was running his local drug trafficking operation from an area motel. After observing multiple individuals come and go from his motel room, investigators arrested Whelchel. At the time of his arrest, Whelchel possessed three cell phones, several syringes, and approximately $3,600 in cash.
Investigators located two 9mm pistols, a digital scale, and small quantities of methamphetamine, fentanyl, heroin, and unidentified pills in Whelchel’s vehicle. A search of his motel room returned more than two and a half pounds of methamphetamine, approximately one pound of powdered fentanyl, a smaller quantity of heroin, more than $51,000 in cash, and two firearms.
On September 2, 2021, a federal grand jury in Medford returned a three-count indictment charging Whelchel with possessing with intent to distribute methamphetamine, heroin, and fentanyl. On August 14, 2023, he pleaded guilty to possessing with intent to distribute methamphetamine.
U.S. v. Shamblin
Between November 11, 2019, and January 19, 2021, law enforcement conducted multiple controlled purchases of heroin from Shamblin, a known Jackson County, Oregon drug trafficker. On February 17, 2021, investigators arrested Shamblin and found digital scales, drug packaging material, records of drug transactions, and more than $4,000 in cash in his RV and on his person. The next day, on February 18, 2021, investigators obtained a recorded jail call on which Shamblin coordinated with other individuals to move and conceal a large sum of cash (later seized by law enforcement) and bury heroin in the backyard of his then residence.
On February 26, 2021, Shamblin was charged by federal criminal complaint with unlawfully possessing and distributing heroin. Later, on March 3, 2022, a federal grand jury in Medford returned a five-count indictment charging him with distributing heroin. On September 7, 2023, Shamblin pleaded guilty to one count of distributing heroin.
U.S. v. Boss
On July 21, 2020, area law enforcement obtained information that Boss, who was in possession of methamphetamine and a firearm, was located in a fast-food parking lot in White City, Oregon. A responding deputy approached Boss and told him he was being detained as part of a drug trafficking investigation. After initially denying he was armed, Boss told the deputy he had a weapon, but refused to say where it was located. Boss then began to reach for his waistband and a struggle to detain him ensued. After repeatedly ordering Boss not to reach for his waistband, Boss grabbed a firearm he possessed and was shot twice by the responding deputies. He was immediately taken to an area hospital, treated, and then booked in the Jackson County Jail.
Three days later, on July 24, 2020, investigators executed search warrants on Boss’s truck and motorcycle. They located and seized quantities of heroin and methamphetamine in his truck and a large zipper bag with heroin and methamphetamine concealed in the gas tank of his motorcycle. They also found digital scales and drug packaging materials. Later the same day, Boss was charged by federal criminal complaint with possessing with intent to distribute controlled substances, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime.
On April 15, 2021, a federal grand jury in Medford indicted Boss on the same charges and, on July 5, 2023, he pleaded guilty to possessing with intent to distribute methamphetamine.
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All three cases were investigated by the Medford Area Drug and Gang Enforcement Team (MADGE). Local MADGE member agencies were assisted by the Bureau of Alcohol, Tobacco, Firearms and Explosive (ATF), Homeland Security Investigations (HSI), and Oregon State Police. Whelchel was prosecuted by Judith R. Harper, Assistant U.S. Attorney for the District of Oregon. Shamblin and Boss were prosecuted by Marco A. Boccato, Assistant U.S. Attorney for the District of Oregon.
MADGE is a gang and narcotics enforcement team comprised of local, state, and federal investigators that work together to dismantle drug trafficking and other criminal organizations operating in and around Jackson County, Oregon. MADGE member agencies include the Medford Police Department, Jackson County Sheriff and District Attorney’s Offices, Jackson County Community Corrections, HSI, and FBI.
Eagle Point Woman Sentenced to 13 Years in Federal Prison for Taking Sexually Explicit Photos of a Child and Distributing Them OnlineRead the Press Release
MEDFORD, Ore.—An Eagle Point, Oregon woman was sentenced to 13 years in federal prison today for taking sexually explicit photos of an 8-year-old child and sending them to multiple individuals she met online.
Kayla Dee Lester, 31, was sentenced to 156 months in federal prison and 20 years’ supervised release.
According to court documents, in 2020, Lester took sexually explicit photos of an 8-year-old child and distributed them to multiple individuals online using Whisper, a social media application that allows users to post and share photo and video messages anonymously. When interviewed by police, Lester admitted to using Whisper and other social media applications to meet people and solicit child pornography. She further admitted to sending the images she took of the 8-year-old child to others in hopes they would send her child pornography in return.
On September 17, 2020, a federal grand jury in Medford returned a three-count indictment charging Lester with using a minor to produce visual depictions of sexually explicit conduct and distributing and possessing child pornography. On May 10, 2023, Lester pleaded guilty to distributing child pornography.
On July 6, 2023, while awaiting sentencing, Lester was arrested for possessing an internet-connected cell phone in violation of her release conditions. Her cell phone was found to contain nude images of herself and other adults who she was chatting with online as well as chats between Lester and others wherein she described sexually abusing her 8-year-old victim. A forensic search later conducted on her phone revealed 44 videos of child pornography. On July 10, 2023, Lester’s pretrial release was revoked.
This case was investigated by Homeland Security Investigations (HSI) with assistance from the Jackson County Sheriff’s Office and the Southern Oregon High-Tech Crimes Task Force. It was prosecuted by Judith R. Harper, Assistant U.S. Attorney for the District of Oregon.
Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org.
Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, they re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Created in January 2007, the Southern Oregon High-Tech Crimes Task Force provides cybercrime investigations and digital evidence forensic analysis for federal, state, and local law enforcement agencies in Southern Oregon. Member agencies include the Medford Police Department, Oregon State Police, the Jackson County Sheriff and District Attorney’s Offices, and HSI.
Area Man Charged in Federal Court for Overdose Death of Portland 15-Year-OldRead the Press Release
PORTLAND, Ore.—A local man is facing federal charges today for distributing counterfeit Oxycodone pills containing fentanyl that caused the overdose death of a Portland teenager.
Nasir Overton, 20, a resident of Portland, has been charged by criminal complaint with one count each of conspiring to distribute and possess with intent to distribute fentanyl, resulting in death, and distributing and possessing with intent to distribute fentanyl, resulting in death.
According to court documents, on September 20, 2023, a detective from the Portland Police Bureau (PPB) responded to a local hospital after receiving a report of a 15-year-old who had fatally overdosed on fentanyl. The detective learned that the day prior, the teenager had ingested a single counterfeit Oxycodone pill containing fentanyl and overdosed. The teenager was pronounced dead four days later. Further investigation revealed that the teen received the fatal pill from a friend who had purchased two pills from Overton, who went by the alias “Noni.”
Overton was arrested Thursday without incident in Portland and made his first appearance in federal court today before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
If convicted, Overton faces a maximum sentence of life in federal prison.
This case was investigated by Homeland Security Investigations (HSI), PPB, and the Oregon-Idaho High Intensity Drug Trafficking Area (HIDTA) Interdiction Task Force (HIT). It is being prosecuted by Scott M. Kerin, Assistant U.S. Attorney for the District of Oregon.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Man Sentenced to Federal Prison for Assaulting Girlfriend on the Warm Springs Indian ReservationRead the Press Release
PORTLAND, Ore.—A Warm Springs, Oregon man was sentenced to federal prison today for assaulting his girlfriend and leaving her lying injured in the driveway of her home on the Warm Springs Indian Reservation.
Maron Brent Graybael, Jr., 38, was sentenced to 40 months in federal prison and three years’ supervised release.
According to court documents, on May 16, 2023, Graybael Jr. became angry at his girlfriend, grabbed her by her hair, and punched her more than ten times with a closed fist in her abdomen. After the woman fell to the ground, Graybael Jr. kicked her, grabbed her by her hair again, and slammed her head into the ground multiple times. He then left the woman, seriously injured, lying in her driveway, and walked away. After several minutes, the woman called 911 to report her own assault and injuries. Police responded and she was transported to a local hospital.
On June 1, 2023, Graybael Jr. was charged by criminal complaint with assault resulting in serious bodily injury. One week later, on June 7, 2023, a federal grand jury in Portland indicted him on the same charge. On August 31, 2023, Graybael was convicted at trial.
This case was investigated by the FBI and the Warm Springs Tribal Police Department. It was prosecuted by Pamela Paaso and Suzanne Miles, Assistant U.S. Attorneys for the District of Oregon.
Domestic violence is a serious crime that can include both physical and emotional abuse, and it is frequently hidden from public view. Many survivors suffer in silence, afraid to seek help or not knowing where to turn. The traumatic effects of domestic violence also extend beyond the abused person, impacting family members, friends, and communities.
If you or someone you know are in immediate danger, please call 911.
If you need assistance or know someone who needs help, please contact the National Domestic Violence Hotline at 1-800-799-SAFE (7233). Many communities throughout the country have also created support networks to assist survivors in the process of recovery.
The StrongHearts Native Helpline offers culturally specific support and advocacy for American Indian and Alaska Native survivors of domestic violence. Please call 1-844-762-8483 or visit www.strongheartshelpline.org for more information.
Beaverton Drug Trafficker Sentenced to 13 Years in Federal PrisonRead the Press Release
PORTLAND, Ore.—A Beaverton, Oregon drug trafficker with a lengthy criminal history was sentenced to 13 years in federal prison Wednesday after he was caught possessing a large quantity of drugs and several firearms.
Roderick Larkins, 54, was sentenced to 156 months in federal prison and three years’ supervised release.
According to court documents, in late May 2021, the Beaverton Police Department obtained information that Larkins was supplying fentanyl and other drugs to area drug dealers and possessed large quantities of drugs and several firearms in his Beaverton apartment. On May 23, 2021, investigators obtained and executed a search on Larkins apartment. They located and seized more than two pounds each of fentanyl pills and methamphetamine; smaller quantities of heroin, cocaine, and cocaine hydrochloride; a semiautomatic pistol, and two short-barreled assault rifles. Larkins, who was arrested without incident during the search, had tens of thousands of dollars stuffed into his pants pockets.
On July 20, 2021, a federal grand jury in Portland returned an eight-count indictment charging Larkins with possessing with intent to distribute fentanyl and methamphetamine, possessing a firearm in furtherance of a drug trafficking crime, and illegally possessing a firearm as a convicted felon. Later, on August 8, 2023, the charges of distributing fentanyl and possessing with intent to distribute heroin were added by superseding indictment.
On August 31, 2023, Larkins pleaded guilty to possessing with intent to distribute heroin.
This case was investigated by the Beaverton Police Department with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and FBI. It was prosecuted by Parakram Singh and Robert Trisotto, Assistant U.S. Attorneys for the District of Oregon.
Portland Man Who Claimed to be a Foreign Exchange Currency Trader Indicted for Wire FraudRead the Press Release
PORTLAND, Ore.—A Portland man, who for more than a decade claimed to be a successful foreign exchange currency trader to solicit millions of dollars in investments, has been indicted in federal court for wire fraud.
William Bennington, 52, a resident of Portland, has been charged with five counts of wire fraud.
According to the indictment, from March 2012 until at least October 2022, Bennington is alleged to have knowingly and intentionally devised and carried out a scheme wherein he purported to be a wealthy foreign exchange currency trader to solicit investments in WBFX LLC, a foreign currency investment company Bennington incorporated in Oregon in 2010. Bennington promised his investors annual returns of up to 80 percent and repayment terms as short as six months. He further falsely claimed to have written a proprietary trading algorithm, which he alleged was the source of his wealth.
Over the course of his scheme, Bennington is alleged to have caused at least five individual victims to pay him more than $2 million. Instead of investing his victims’ money in foreign exchange currency markets as promised, Bennington spent it on various personal expenses.
Bennington appeared in federal court today before a U.S. Magistrate Judge. He was arraigned, pleaded not guilty, and released pending a five-day jury trial scheduled to begin on January 9, 2024.
Wire fraud is punishable by up to 20 years in federal prison per count of conviction.
This case was investigated by the FBI. It is being prosecuted by Robert S. Trisotto, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Portland Area Man Charged with Coercing and Enticing a Minor OnlineRead the Press Release
PORTLAND, Ore.—A transient man residing in Tigard, Oregon is facing federal charges for using social media to coerce and entice an 11-year-old child into engaging in criminal sexual activity.
Jakob Joshua Stickney, 25, has been charged by criminal complaint with coercing and enticing a minor.
According to court documents, in October 2023, the FBI and Portland Police Bureau (PPB) began investigating Stickney after receiving information that he had been engaging in sexually explicit communications with a 11-year-old child on Discord, an instant messaging social media application. On multiple occasions, Stickney, who used by the names “UNHOLY,” “unholy_xx2,” or “Unholy_22x” online, attempted to arrange an in-person meetup with the child. On at least one occasion, Stickney went in person to the child’s house where he was observed and confronted by the child’s mother, who reported the contact to law enforcement.
Stickney was located November 17, 2023, in Tigard and arrested without incident. He made his first appearance in federal court today before a U.S. Magistrate Judge and was ordered detained pending further court proceedings.
This case was investigated by the FBI and PPB. It is being prosecuted by Eliza Carmen Rodriguez, Assistant U.S. Attorney for the District of Oregon.
Anyone who has information about possible crimes committed by Stickney, or the physical or online exploitation of any children, are encouraged to call the FBI at (503) 224-4181 or submit a tip online at tips.fbi.gov.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Federal Charges Filed After "Fentanyl Press" Found in Gladstone ApartmentRead the Press Release
PORTLAND, Ore.—An 18-year-old drug trafficker with ties to a recent fatal overdose is facing federal charges after he was caught transporting several packages of powdered fentanyl and a 20-ton shop press used to manufacture fentanyl bricks was found in his apartment.
Cristhian Martinez, 18, of Gladstone, Oregon, has been charged by criminal complaint with possessing with intent to distribute fentanyl and possessing a firearm in furtherance of a drug trafficking crime.
According to court documents, in September 2023, members of the Clackamas County Interagency Task Force (CCITF) were called to investigate a fatal overdose in Clackamas County. While processing the scene, investigators discovered numerous counterfeit M30 Oxycodone pills believed to be manufactured with fentanyl. Martinez was soon identified as the person who sold fentanyl to the deceased victim’s dealer.
On November 16, 2023, investigators located Martinez traveling north from California into Oregon, followed his vehicle and conducted a traffic stop in Gladstone. During a K-9 sweep of Martinez’s vehicle, investigators found multiple concealed packages containing more than 1,000 grams of compressed fentanyl.
Later the same day, investigators executed a federal search warrant on Martinez’s Gladstone apartment where they located a fentanyl manufacturing and distribution operation. They seized additional quantities of fentanyl, a 20-ton shop press used to produce bricks of fentanyl powder, ten handguns, an AR-15 style assault rifle, ammunition, and other materials consistent with drug trafficking.
Martinez made his first appearance in federal court today before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
This case was investigated by the FBI, CCITF, and Westside Interagency Narcotics team (WIN). It is being prosecuted by Scott M. Kerin, Assistant U.S. Attorney for the District of Oregon.
CCITF, led by the Clackamas County Sheriff’s Office, works to disrupt and dismantle drug trafficking organizations operating in and around Clackamas County, and reduce illegal drugs and related crimes throughout the community. The task force is comprised of members of the Clackamas County Sheriff’s Office, Canby Police Department, Oregon State Police, FBI, and Homeland Security Investigations (HSI).
WIN is a Washington County-based interagency drug interdiction task force that includes members from the Washington County Sheriff’s Office, Beaverton and Hillsboro Police Departments, Oregon National Guard Counter Drug Program, FBI, U.S. Drug Enforcement Administration (DEA), and HSI.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Federal Charges Filed After Southern Oregon Traffic Stop Nets More than 100 Pounds of FentanylRead the Press Release
PORTLAND, Ore.—A suspected drug trafficker is facing federal charges after he was caught by southern Oregon law enforcement transporting more than 100 pounds of fentanyl on U.S. Route 97 near Collier Memorial State Park.
Jothan Paul Barrios-Chable, 20, of Portland, has been charged by criminal complaint with possession with intent to distribute fentanyl.
According to court documents, on November 8, 2023, investigators from the Medford Area Drug and Gang Enforcement Team (MADGE) and Homeland Security Investigations, Medford, located Barrios-Chable traveling north on Highway 97 through Klamath Falls, Oregon, and a Medford Police Department canine officer stopped his vehicle just south of Collier Memorial State Park.
Detectives searched Barrios-Chable’s vehicle and located two suitcases, a backpack, and a small satchel. Each suitcase contained approximately twenty heat-sealed kilogram bricks of a narcotic later confirmed to be fentanyl. The backpack contained seven additional kilogram bricks of fentanyl and the satchel contained a loaded semi-automatic pistol. Further analysis determined that together the heat-sealed bricks contained approximately 117 pounds of fentanyl, including packaging.
Barrios-Chable made his first appearance in federal court today before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
This case was investigated by MADGE, Homeland Security Investigations (HSI), and the Oregon State Police (OSP). It is being prosecuted by Marco A. Boccato, Assistant U.S. Attorney for the District of Oregon.
MADGE is a gang and narcotics enforcement team comprised of local, state, and federal investigators that work together to dismantle drug trafficking and other criminal organizations operating in and around Jackson County, Oregon. MADGE member agencies include the Medford Police Department, Jackson County Sheriff and District Attorney’s Offices, Jackson County Community Corrections, HSI, and FBI.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Justice Department and City of Portland, Oregon, Seek Independent Monitor and Partial Termination of Consent Decree Covering the Portland Police Bureau after Substantial Progress in Policing ReformRead the Press Release
The Justice Department and the city of Portland, Oregon, filed a joint motion seeking court approval to terminate certain portions of the consent decree covering the Portland Police Bureau (PPB).
The joint motion is based on one year of collaborative discussions between the department, the City, and key community stakeholders with a U.S. Magistrate Judge. Specifically, the joint motion requests:
- Terminating certain provisions based on the city and PPB’s sustained substantial compliance for at least three years. These provisions cover electronic control weapons (ECWs); Behavioral Health Unit; Training Advisory Committee; Enhanced Crisis Intervention Team; Behavioral Health Response Team; Service Coordination Team; Bureau of Emergency Communications; and Citizen Review Committee;
- Transferring to the city and PPB the responsibility for assessing and reporting their compliance with provisions covering community-based mental health services, a behavioral health advisory committee, portions of community oversight, and PPB’s stops data and annual reports;
- Appointing an independent monitor to assess the city’s compliance with the remaining provisions covering uses of force, training, PPB’s employee information system, and accountability.
“Ensuing effective and constitutional policing is one of the Justice Department’s highest priorities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Under this consent decree, the Portland Police Bureau has made substantial progress toward meaningful policing reform for the entire Portland community. The action we are taking now is a true testament to the collaborative efforts of the police, city officials and community which have helped transform aspects of policing over the last eight years. The Justice Department will continue to support the community, the city and the police as they forge ahead toward achieving full compliance with the consent decree.”
“The Portland Police Bureau is committed to providing just and equitable policing for all Portlanders. We have seen this commitment repeatedly, firsthand, throughout the life of this settlement agreement,” said U.S. Attorney Natalie Wight for the District of Oregon. “The city has remained intently focused on improving its public safety services amid an incredibly challenging period marked by increasing violence, a global pandemic, and a historic addiction crisis. Despite these challenges, the police bureau has persevered and continued to achieve its objectives. We are proud to join the city today in marking this important milestone.”
PPB has made meaningful change in reaching compliance with numerous provisions of the consent decree, including:
- PPB’s use of force against those with mental illness is now extremely low, occurring in about 0.5% of encounters (one in 209) and most of that is the lowest level of force, which does not cause injury;
- PPB has significantly reduced the use of ECWs and when officers do use ECWs, the use is in line with policy and national standards;
- PPB’s Behavioral Health Unit provides coordination and oversight of PPB’s various units that intersect with people in crisis, including the Enhanced Crisis Intervention Team, the Behavioral Health Response Teams and the Service Coordination Team, and interfaces with community partners across the region. A Portland State University study found that every dollar the City spends on the Service Coordination Team “has a corresponding $20.61 in avoided cost for the community;”
- The city’s Bureau of Emergency Communications has adopted policies and training to dispatch an appropriate first responder to calls for service that have a nexus to a person in mental health crisis; and
- PPB’s Training Advisory Committee has held open public meetings to provide valuable citizen input to PPB’s Training Division.
If the court grants the joint motion, the parties will issue a public request for proposal seeking candidates for the Monitor role. Finalists will participate in a public town hall to answer community questions before the parties select a Monitor for the court to appoint. Once chosen, the Monitor will publicly report to the court every six months on the City’s progress and prepare outcome assessments measuring PPB’s performance implementing reforms.
The District Court for the District of Oregon entered the settlement agreement in July 2015. The agreement and information about the Civil Rights Division are available on the division’s website at Special Litigation Section Cases and Matters.
DEA Investigations Result in Three Southern Oregon Drug Traffickers Pleading Guilty in Federal CourtRead the Press Release
MEDFORD, Ore.—The U.S. Attorney’s Office for the District of Oregon announced today that three southern Oregon drug traffickers, including the head of a Klamath Falls, Oregon, drug trafficking organization, have pleaded guilty in federal court following investigations by the U.S. Drug Enforcement Administration’s (DEA) Medford resident office.
Juan Jessie Martinez-Gil, 59, a former resident of Reno, Nevada, pleaded guilty today to conspiring to distribute and possess with intent to distribute methamphetamine and fentanyl. Candice Nadine Mckee, 31, a distributor in Martinez-Gil’s network and resident of Lakeview, Oregon, pleaded guilty Monday to possessing with intent to distribute fentanyl.
Also on Monday, in a separate criminal case, Jessie Cole Merkel, 31, of Redding, California, pleaded guilty to one count of distributing fentanyl.
U.S. v. Martinez-Gil et al.
According to court documents, between August 2019 and September 2021, Martinez-Gil, the head of a Klamath Falls area drug trafficking organization, conspired with various associates, including McKee, to possess and distribute large quantities of methamphetamine and fentanyl, in the form of counterfeit Oxycodone pills, in and around Klamath Falls. A coordinated law enforcement operation conducted in September 2021 led to the arrests Martinez-Gil and several of his co-conspirators. Federal search warrants were executed on five locations and two vehicles. Over the course of the investigation, DEA special agents, working with other southern Oregon law enforcement agencies, seized approximately 17 pounds of methamphetamine and 700 counterfeit Oxycodone pills.
Martinez-Gil will be sentenced on February 22, 2024, by U.S. District Court Judge Michael J. McShane. He faces a maximum sentence of life in prison with a 10-year mandatory minimum sentence. Mckee will be sentenced the same day and faces a maximum sentence of 25 years in prison.
U.S. v. Merkel
According to court documents, between February and April 2022, Merkel, a known northern California drug dealer responsible for trafficking quantities of fentanyl from California to Oregon, sold fentanyl to undercover law enforcement officers on two separate occasions. On April 14, 2022, Merkel was arrested while traveling from California to Oregon.
Merkel will be sentenced on February 22, 2024, by Judge McShane. He faces a maximum sentence of 20 years in prison, a $1 million fine, and three years’ supervised release.
Martinez-Gil et al. was investigated by the DEA Medford Resident Office with assistance from the Basin Interagency Narcotics Enforcement Team (BINET), a Klamath Falls area narcotics task force comprised of Oregon State Police, the Klamath Falls Police Department, and Oregon National Guard.
Merkel was investigated by the DEA Medford Resident Office with assistance from Homeland Security Investigations (HSI), Oregon State Police, and the Central Point Police Department.
Both cases were prosecuted by the U.S. Attorney’s Office for the District of Oregon.
Albany Man Indicted in Federal Court for Sexually Abusing a ToddlerRead the Press Release
EUGENE, Ore.—An Albany, Oregon man has been indicted in federal court for sexually abusing a toddler on at least five separate occasions, announced the U.S. Attorney’s Office for the District of Oregon.
Kevin Walter Taylor, 33, has been charged with five counts of using a child to produce a visual depiction of sexually explicit conduct, four counts of distributing child pornography, and one count of possessing child pornography.
According to court documents, on the morning of September 8, 2023, special agents from Homeland Security Investigations (HSI) discovered material online depicting child sexual abuse and determined that Taylor was likely committing the abuse from his home in Albany. Within hours, HSI agents and officers from the Albany Police Department obtained and executed a federal search warrant on Taylor’s residence. The same night, HSI and Albany Police arrested Taylor and rescued the toddler victim. When taken into protective custody, the toddler victim was still wearing the same clothes as those depicted in the abuse images allegedly produced and distributed by Taylor hours earlier.
Taylor was arraigned in federal court today by a U.S. Magistrate Judge. He pleaded not guilty and was ordered detained pending a jury trial scheduled to begin on December 27, 2023.
Using a child to produce a visual depiction of sexually explicit conduct is punishable by up to 30 years in federal prison with a 15-year mandatory minimum sentence. Distributing and possessing child pornography are punishable by up to 20 years in prison with a 5-year mandatory minimum sentence.
This case was investigated by HSI in conjunction with the Albany Police Department. It is being prosecuted by William M. McLaren, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org.
Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, they re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Second Senior Member of the Hoover Criminal Gang Sentenced to Life in Federal Prison for Role in Violent Racketeering ConspiracyRead the Press Release
PORTLAND, Ore.—A second senior member of the Hoover Criminal Gang was sentenced to life in federal prison today for conspiring to commit racketeering through various criminal acts spanning decades, including murder, robbery, and drug dealing.
Ronald Clayton Rhodes, 38, of Portland, was sentenced to life in federal prison plus 10 years and five years’ supervised release.
According to court documents, the Hoovers are a criminal street gang operating in Oregon known to engage in acts of violence including murder, robbery, and drug dealing. The Hoovers originated in Los Angeles in the late 1960s and established a presence in Portland in the early 1980s. The gang has a loose hierarchical structure in which members have different amounts of power and influence based on age and gang activity. To maintain and increase one’s position in the gang, members are expected to carry out violence on behalf of the enterprise.
The Hoovers are rivals with many Portland gangs, including multiple Blood and Crip sets, and are self-described “everybody killers.” Hoover members are expected to use violence to retaliate any perceived slight or actual act of violence against a Hoover member or ally.
Rhodes joined the Hoovers in 2005 and spent 10 of his 11 years with the gang in prison. In the brief periods of time he spent out of custody, he committed one murder, one attempted murder, one home invasion robbery, and dealt drugs. Rhodes, known by fellow gang members as “Big Fly,” played a leadership role in the gang, setting a violent example for multiple “Lil Fly” gang members who, like Rhodes, committed violent criminal acts to elevate their status in the gang.
On November 7, 2019, a federal grand jury in Portland returned a 13-count superseding indictment charging Rhodes; fellow senior Hoover gang member Lorenzo Laron Jones, 50, also of Portland; and two accomplices with racketeering conspiracy, murder in aid of racketeering, using and carrying a firearm during a crime of violence and causing death using a firearm.
On October 19, 2022, a federal jury in Portland found Rhodes and Jones guilty on multiple counts including racketeering conspiracy, murder in aid of racketeering, and using and carrying a firearm during a crime of violence. Among other criminal acts, Rhodes was proven to have participated in the murder of Portland resident Kyle Polk on December 16, 2015, near a convenience store in southeast Portland.
On October 26, 2023, Jones was also sentenced to life in federal prison plus ten years.
As part of the government’s ongoing investigation into the Hoover Criminal Gang’s racketeering activities, several other Hoover members and associates face pending federal charges or have been convicted and sentenced in federal court for crimes committed in support or on behalf of the gang’s criminal enterprise.
This case was investigated by the FBI, Portland Police Bureau, and Multnomah County Sheriff’s Office with assistance from the Gresham Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Homeland Security Investigations (HSI), Eugene Police Department, and Oregon State Police Forensic Services Division. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This prosecution is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the U.S. by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Former CEO of Sunwest Management Ordered to Pay over $74 Million in Restitution to More than 1,400 VictimsRead the Press Release
PORTLAND, Ore.—The U.S. Attorney’s Office for the District of Oregon announced today that the former CEO of Sunwest Management and associated companies, who previously admitted to orchestrating one of the largest financial fraud schemes in Oregon history, was ordered to pay over $74 million in restitution to more than 1,400 victims.
Jon Michael Harder, 58, a resident of Canyonville, Oregon, who pleaded guilty in 2015 to one count of wire fraud and one count of money laundering, was ordered to pay $74,062,211 in restitution to his victims.
According to court documents, Harder formerly controlled a network of companies that bought, constructed, and managed assisted living facilities. At its height, the organization, Sunwest Management and its related companies, owned approximately 300 assisted living facilities that served more than 15,000 residents. As CEO of Sunwest, Harder knowingly and intentionally misled hundreds of investors about the nature and risks of their investment in Sunwest housing facilities and development projects. He further misled his investors about the financial health of Sunwest, failing to disclose that the company continuously operated at substantial monthly losses. In total, Harder misled more than 1,400 investors, causing losses exceeding $120 million.
On September 18, 2012, a federal grand jury in Portland returned a 56-count indictment charging Harder with mail fraud, wire fraud, and money laundering. On January 8, 2015, Harder pleaded guilty to one count each of wire fraud and money laundering. On November 18, 2015, Harder was sentenced to 180 months in federal prison and three years’ supervised release.
On January 13, 2021, after Harder had served just over five years of his 15-year prison sentence, President Donald J. Trump commuted his sentence to time-served.
This case was investigated by IRS-Criminal Investigation, the U.S. Postal Inspection Service, FBI, and the Justice Department’s U.S. Trustee Program. Restitution was litigated by Claire M. Fay, Assistant U.S. Attorney for the District of Oregon.
Oregon Company Pays $1.7 Million for Accepting Payments from Unlicensed Money Transmitting BusinessRead the Press Release
PORTLAND, Ore.—The U.S. Attorney’s Office for the District of Oregon announced today that Oregon Tool, Inc., a Portland-based manufacturer of professional-grade cutting tools, which at all relevant times was known as Blount, Inc., has entered into a non-prosecution agreement and paid $1.7 million for accepting payments for products sold to two distributors transmitted through an unlicensed money transmitting business linked by the FBI to a trade-based money laundering scheme in Nigeria.
In December 2019, the FBI began investigating a criminal organization based in Nigeria that operated several online fraud schemes, including romance scams, targeting elderly women in the United States. Over the course of this investigation, the FBI identified a Nigeria-based black market currency exchange network that offered U.S. dollar deposits into U.S.-based bank accounts in exchange for Nigerian currency provided in Nigeria. The U.S. dollars transmitted by the network were the proceeds of financial fraud schemes perpetrated against at least two dozen victims in the United States.
Between 2012 and 2020, Blount’s two Nigerian distributors used the unlicensed money transmitting business to convert Nigerian naira to U.S. dollars which were used to pay for Blount products. In March 2012, the U.S. Secret Service notified Blount’s then-general counsel that the agency was preparing to seize one of the Nigerian distributor’s bank accounts, because it was allegedly being funded primarily by fraud and the proceeds were being used to pay Blount.
From November 2016 to December 2017, Blount credited more than $974,000 in deposits to the distributor. Those deposits originated from sources including individuals, many of whom the FBI later assessed were women in the United States over the age of 60 who had been the victim of romance fraud schemes; various business LLCs; and other anonymous cash depositors with no logical business relationship or established history with the distributor or Blount. Two of the deposits were made by an individual who believed the money would purchase artwork for someone they had met on a dating website. Another payment was made by a person residing in Beaverton, Oregon at the request of someone on a dating website.
Between April 2017 and February 2018, unbeknownst to Blount, a second Nigerian distributor received more than $652,000 to its U.S.-based bank account that the FBI linked to fraud. The distributor used these funds, which it received from multiple individuals in their late 60s, to pay Blount. As with the fraud victims associated with the first Nigerian distributor, the individuals who made these payments had no logical business relationship with Blount and several later reported being the victim of romance scams or other online fraud schemes.
In January 2022, the FBI notified Oregon Tool of its investigations involving the company and provided details of the fraudulent deposits made by its Nigerian distributors. Prior to this notification, Oregon Tool had, in November 2021, terminated its relationship with one of the two distributors. After the FBI’s notification, the company promptly terminated its association with the second.
Oregon Tool cooperated fully with the government’s investigation of this matter and, under new ownership, has implemented policies to prevent its future association with unlicensed money transmitting businesses. Among other remedial measures, the company has adopted a global anti-money laundering policy restricting third-party payments and an enhanced training program for relevant personnel. None of the senior executives implicated in the improper activity by Blount Inc. are currently employed by Oregon Tool.
The U.S. Attorney’s Office and FBI intend to file a civil forfeiture complaint against the $1.7 million paid by Oregon Tool and will seek to distribute those funds to victims of this fraud scheme.
This case was investigated by the FBI. The terms of this non-prosecution agreement were negotiated by the Criminal Division of the U.S. Attorney’s Office for the District of Oregon. The related financial forfeitures are being handled by the Asset Recovery and Money Laundering Division of the U.S. Attorney’s Office for the District of Oregon.
oregon_tool_npa_final_signed.pdfLongtime Hoover Criminal Gang Member Sentenced to Life in Federal Prison for Racketeering Conspiracy, Murder in Aid of RacketeeringRead the Press Release
PORTLAND, Ore.—A longtime Hoover Criminal Gang member who for more than thirty years engaged in a violent pattern of criminal racketeering activity, including numerous acts of murder, robbery, and drug distribution, was sentenced today to life in federal prison.
Lorenzo Laron Jones, 50, a Portland resident, was sentenced to life in federal prison plus 10 years and five years’ supervised release.
“The Hoovers are a notorious violent criminal organization and Lorenzo Jones was among the gang’s most senior and violent members,” said Natalie Wight, U.S. Attorney for the District of Oregon. “This prosecution is an important milestone in our effort to combat gun violence in Portland and surrounding communities. We will continue working with our partners to investigate and prosecute violent gangs that disrupt the security and safety of our neighborhoods.”
“Lorenzo Jones was not only a leader of a violent street gang, he was also recruiting and grooming kids on the streets of Portland to carry out violent acts on behalf of this gang. He’s been referred to as a ‘shot caller’, but he’s actually a violent criminal who used guns and drugs to wreak havoc on our shared community,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “Jones will now spend the rest of his life where he belongs, in federal prison. The FBI and our law enforcement partners are committed to disrupting and dismantling the most violent criminal organizations in Oregon to ensure a safer community.”
“For decades, the Portland Police Bureau has consistently worked to address the public safety threat posed by organized criminal gangs,” said Portland Chief of Police Bob Day. “This sentence will send a powerful message that organizations that engage in criminal violence will be held accountable. We are grateful for our partnerships with skilled investigators and federal prosecutors with whom we have collaborated to achieve this important sentence, and look forward to continuing this critical work toward making our community safer.”
“Through years of collaboration and multijurisdictional cooperation, a violent criminal is no longer in our community,” said Multnomah County Sheriff Nicole Morrisey O’Donnell. “MCSO will continue investing in this important investigative work, so that crime victims and survivors get justice. Together with our partners, we are building safer and stronger communities.”
According to court documents, the Hoovers are a criminal street gang operating in Oregon known to engage in acts of violence including murder, robbery, and drug dealing. The Hoovers originated in Los Angeles in the late 1960s and established a presence in Portland in the early 1980s. The gang has a loose hierarchical structure in which members have different amounts of power and influence based on age and gang activity. To maintain status and increase one’s position in the gang, members are expected to carry out violence on behalf of the enterprise.
The Hoovers are rivals with many Portland gangs, including multiple Blood and Crip sets, and are self-described “everybody killers.” Hoover members are expected to use violence to retaliate any perceived slight or actual act of violence against a Hoover member or ally.
Jones is longtime member and self-proclaimed “shot caller” of the Hoovers who rose through the ranks of the criminal organization from baby gangster to gangster to original gangster. Multiple witnesses described Jones as a “big homie” who played a leadership role in the gang, mentoring younger members and recruits, and using them to conduct business and violence for the gang.
On November 7, 2019, a federal grand jury in Portland returned a 13-count superseding indictment charging Jones; fellow senior Hoover gang member Ronald Clayton Rhodes, 38, also of Portland; and two accomplices with racketeering conspiracy, murder in aid of racketeering, using and carrying a firearm during a crime of violence and causing death using a firearm.
On October 19, 2022, a federal jury in Portland found Jones and Rhodes guilty on multiple counts including racketeering conspiracy, murder in aid of racketeering, and using and carrying a firearm during a crime of violence. During trial, the government proved beyond a reasonable doubt that Jones murdered Wilbert Butler on September 17, 2017, in Portland. Jones was also proven to have engaged in multiple attempted murders, illegally possessed firearms as a convicted felon, and distributed controlled substances throughout the Portland area.
On October 27, 2023, Rhodes will be sentenced by U.S. District Court Judge Michael J. McShane. Like Jones, Rhodes faces a mandatory sentence of life in federal prison.
As part of the government’s ongoing investigation into the Hoover Criminal Gang’s racketeering activities, several other Hoover members and associates face pending federal charges or have been convicted and sentenced in federal court for crimes committed in support or on behalf of the gang’s criminal enterprise.
This case was investigated by the FBI, Portland Police Bureau, and Multnomah County Sheriff’s Office with assistance from the Gresham Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Homeland Security Investigations (HSI), Eugene Police Department, and Oregon State Police Forensic Services Division. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This prosecution is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the U.S. by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Jackson County Man Sentenced to 10 Years in Federal Prison for Distributing Child PornographyRead the Press Release
PORTLAND, Ore.—A Jackson County, Oregon man with a lengthy criminal history was sentenced to 10 years in federal prison today for distributing child pornography online using Tumblr, a microblogging and social networking website.
Thomas Ray Taylor, 50, a resident of Eagle Point, Oregon, was sentenced to 120 months in federal prison and five years’ supervised release. Taylor was also ordered to pay $27,000 in restitution to his victims.
According to court documents, in November 2018, officers from the Eagle Point Police Department received a tip from the National Center for Missing and Exploited Children (NCMEC) that an individual residing in Eagle Point, who was later identified as Taylor, was suspected of uploading images and videos depicting child sexual abuse to Tumblr.
On March 13, 2019, investigators met Taylor at his place of employment and seized his cell phone. Taylor admitted to viewing child pornography and told police about several digital devices he possessed. Later the same day, police executed a search warrant on Taylor’s residence and seized multiple devices. A forensic examination of the devices later confirmed that Taylor possessed more than 1,000 illicit images and videos, some of which he had shared online.
On October 2, 2019, a federal grand jury in Medford returned a three-count indictment charging Taylor with possessing and distributing child pornography. On September 20, 2021, he pleaded guilty to one count of distributing child pornography.
After pleading guilty, Taylor absconded his pretrial supervision and his whereabouts were unknown to law enforcement for more than 10 months. On October 8, 2022, he was located and arrested in Lee County, Florida.
This case was investigated by the FBI with assistance from the Eagle Point Police Department. It was prosecuted by Judith H. Harper, Assistant U.S. Attorney for the District of Oregon.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Off-Duty Commercial Airline Pilot Charged in Federal Court for Interfering with Flight CrewRead the Press Release
PORTLAND, Ore.—An off-duty commercial airline pilot, who was arrested on Sunday after he attempted to shut down the engines of passenger plane in flight, has been charged in federal court.
Joseph David Emerson, 44, of Pleasant Hill, California, has been charged by criminal complaint with one count of interfering with flight crew members and attendants.
According to court documents, on October 22, 2023, Port of Portland police officers responded to a report of inbound aircraft that had diverted from its route between Everett, Washington, and San Francisco to Portland International Airport due to an inflight disturbance. Police dispatch reported that Emerson, an off-duty Alaska Airlines pilot seated in a cockpit jump seat, had attempted to shut down the plane’s engines during flight.
After landing, responding officers interviewed the two pilots. The pilots recounted that, approximately halfway between Astoria, Oregon, and Portland, after engaging with them in casual conversation, Emerson attempted to grab and pull two red fire handles that would have activated the plane’s emergency fire suppression system and cut off fuel to its engines. After a brief physical struggle with the pilots, Emerson exited the cockpit.
Flight attendants placed Emerson in wrist restraints and seated him in the rear of the aircraft. During the flight’s descent, Emerson tried to grab the handle of an emergency exit. A flight attendant stopped him by placing her hands on top of his.
After landing in Portland, Emerson was arrested without further incident and booked into the Multnomah County Detention Center on multiple state charges of attempted murder and reckless endangerment. He remains in custody in Multnomah County on a federal hold pending his first appearance in federal court on a later date.
This case was investigated by the FBI and Port of Portland Police Department. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Former Oregon Corrections Nurse Sentenced to 30 Years in Federal Prison for Sexually Assaulting Nine Female InmatesRead the Press Release
A former Oregon Department of Corrections employee was sentenced yesterday for sexually assaulting nine female inmates while serving as a nurse at the Coffee Creek Correctional Facility, Oregon’s only women’s prison.
Tony Daniel Klein, 38, of Clackamas County, Oregon, was sentenced to 30 years in prison and five years of supervised release. A restitution hearing will be held at a later date.
“The sentence in this case should send a significant message to any official working inside jails and prisons across our country, including those who provide medical care, that they will be held accountable when they sexually assault women inmates in their custody,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Women detained inside jails and prisons should be able to turn to medical providers for care and not subjected to exploitation by those bent on abusing their power and position. We will listen to and investigate credible allegations put forward by people who are sexually assaulted and, where appropriate, bring federal prosecutions. The Justice Department stands ready to hold accountable those who abuse their authority by sexual assaulting people in their custody and under their care.”
“Today’s sentence sends a clear message that using a position of authority to prey on individuals in custody will never be tolerated by the Justice Department,” said U.S. Attorney Natalie Wight for the District of Oregon. “Holding Tony Klein accountable for his crimes would not have been possible without the courage and resolve of the women he abused and the dedication of our partners at the FBI and Civil Rights Division.”
“We know this prison sentence cannot undo the trauma Tony Klein inflicted on numerous victims, but we hope this brings them one step closer to healing,” said Special Agent in Charge Kieran L. Ramsey of the FBI Portland Field Office. “As a state prison nurse, Klein abused his position and abused multiple women, violating the public’s trust, while doing everything he could to avoid being caught. The investigators and prosecutors should be applauded for their efforts to hold Klein accountable, but we recognize this lengthy sentence is also because of a group of brave women who came forward and helped ensure that Klein was held accountable for being a sexual predator within Coffee Creek Correctional Facility.”
According to court documents, from 2010 until January 2018, Klein served as a nurse at the Coffee Creek Correctional Facility in Wilsonville, Oregon. In his position, Klein interacted with female inmates who either sought medical treatment or worked as orderlies in the prison’s medical unit. Aided by his access to the women and his position of power as a corrections employee, Klein sexually assaulted or engaged in nonconsensual sexual conduct with many female inmates entrusted to his care.
By virtue of his position as a medical provider, Klein was often alone with his victims and assaulted many before, during or after medical treatment. For women who worked in the medical unit, Klein manufactured reasons to get them alone in secluded areas such as medical rooms, janitor’s closets or behind privacy curtains. Klein made it clear to his victims that he was in a position of power over them, and that they would not be believed if they tried reporting his abuse. Fearing punishment if they fought back against or reported his misconduct, most of Klein’s victims submitted to his unwanted advances or endured his assaults.
On March 8, 2022, a federal grand jury in Portland returned an indictment charging Klein with depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault. The indictment also charged Klein with perjury.
On July 25, a federal jury in Portland found Klein guilty of 17 counts of depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault and four counts of perjury.
The FBI Portland Field Office investigated the case.
Trial Attorney Cameron A. Bell of the Civil Rights Division’s Criminal Section and Assistant U.S. Attorney Gavin W. Bruce for the District of Oregon prosecuted the case. Assistant U.S. Attorney Hannah Horsley for the District of Oregon assisted the trial team.
Former Oregon Corrections Nurse Sentenced to 30 Years in Federal Prison for Sexually Assaulting Nine Female InmatesRead the Press Release
PORTLAND, Ore.—A former Oregon Department of Corrections employee was sentenced to 30 years in federal prison today for sexually assaulting nine female inmates while serving as a nurse at the Coffee Creek Correctional Facility, Oregon’s only women’s prison.
Tony Daniel Klein, 39, of Clackamas County, Oregon, was sentenced to 360 months in federal prison and five years’ supervised release.
“Today’s sentence sends a clear message that using a position of authority to prey on individuals in custody will never be tolerated by the Department of Justice. Holding Tony Klein accountable for his crimes would not have been possible without the courage and resolve of the women he abused and the dedication of our partners at the FBI and Civil Rights Division,” said Natalie Wight, U.S. Attorney for the District of Oregon.
“The sentence in this case should send a significant message to any official working inside jails and prisons across our country, including those who provide medical care, that they will be held accountable when they sexually assault women inmates in their custody,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Women detained inside jails and prisons should be able to turn to medical providers for care and not subjected to exploitation by those bent on abusing their power and position. We will listen to and investigate credible allegations put forward by people who are sexually assaulted and, where appropriate, bring federal prosecutions. The Justice Department stands ready to hold accountable those who abuse their authority by sexual assaulting people in their custody and under their care.”
“We know this prison sentence cannot undo the trauma Tony Klein inflicted on numerous victims, but we hope this brings them one step closer to healing,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “As a state prison nurse, Klein abused his position and abused multiple women, violating the public’s trust, while doing everything he could to avoid being caught. The investigators and prosecutors should be applauded for their efforts to hold Klein accountable, but we recognize this lengthy sentence is also because of a group of brave women who came forward and helped ensure that Klein was held accountable for being a sexual predator within Coffee Creek Correctional Facility.”
According to court documents, from 2010 until January 2018, Klein served as a nurse at the Coffee Creek Correctional Facility in Wilsonville, Oregon. In his position, Klein interacted with female inmates who either sought medical treatment or worked as orderlies in the prison’s medical unit. Aided by his access to the women and his position of power as a corrections employee, Klein sexually assaulted and engaged in nonconsensual sexual conduct with many female inmates entrusted to his care.
By virtue of his position as a medical provider, Klein was often alone with his victims and assaulted many before, during, or after medical treatment. For women who worked in the medical unit, Klein manufactured reasons to get them alone in secluded areas such as medical rooms, janitor’s closets, or behind privacy curtains. Klein made it clear to his victims that he was in a position of power over them, and they would not be believed if they tried reporting his abuse. Fearing punishment if they fought back against or reported his conduct, most of Klein’s victims submitted to his unwanted advances or endured his assaults.
On March 8, 2022, a federal grand jury in Portland returned an indictment charging Klein with multiple civil rights crimes. On July 25, 2023, a federal jury in Portland found Klein guilty of 17 counts of depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault and four counts of perjury.
This case was investigated by the FBI Portland Field Office. It was prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon, and Cameron A. Bell, Trial Attorney for the Civil Rights Division’s Criminal Section. Assistant U.S. Attorney Hannah Horsley assisted the trial team.
Clackamas County Man Sentenced to 20 Years in Federal Prison for Sexually Exploiting and Extorting Three Canadian Children OnlineRead the Press Release
PORTLAND, Ore.—A Clackamas County, Oregon man was sentenced to 20 years in federal prison today for using social media to stalk three Canadian children online and coerce them into producing and sharing sexually explicit photos and videos of themselves.
Kevin Robert McCarty, 37, of Happy Valley, Oregon, was sentenced to 20 years in federal prison and a life term of supervised release.
According to court documents, in September 2021, Homeland Security Investigations (HSI) agents in Portland and Vancouver, Canada began investigating an individual later determined to be McCarty for exploiting young children online. Beginning in July 2020 and continuing until November 2021, McCarty, who went by the alias “Robbie MacKenzie” online, used various social media platforms, including Snapchat and Instagram, to coerce three Canadian children into producing and sending him sexually explicit photos and videos of themselves.
Once the children sent McCarty photos or videos, he demanded more. If the children refused, McCarty threatened to send the photos and videos he had already obtained to the minor victims’ friends and families, which he did on several occasions. On at least two occasions, McCarty told his victims they could either comply with his demands or commit suicide.
On November 16, 2021, McCarty was charged by criminal complaint with sexually exploiting children, distributing child pornography, cyberstalking, enticing a child online, and transferring obscene material to a minor. On November 18, 2021, HSI agents served a search warrant at the Happy Valley residence McCarty shared with his mother, sister, and sister’s family. After learning McCarty was visiting a cousin in Riverside, California, agents located and arrested McCarty in Riverside the same day.
On February 15, 2023, McCarty waived indictment and pleaded guilty to a felony information charging him with one count of enticing a minor online and two counts of sexually exploiting children.
This case was investigated by HSI with assistance from the Royal Canadian Mounted Police. It was prosecuted by Gary Y. Sussman, Assistant U.S. Attorney for the District of Oregon.
Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org.
Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, they re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Former Olympic Equestrian Sentenced to Federal Prison for Sexually Abusing Minor StudentRead the Press Release
PORTLAND, Ore.—A former Olympic equestrian who in retirement became a world-class equestrian coach was sentenced to federal prison today for sexually abusing a minor student.
Richard Rankin Fellers, 63, of Sherwood, Oregon, was sentenced to 50 months in federal prison and five years’ supervised release.
According to court documents, from late 2019 until the summer of 2020, Fellers maintained an intimate sexual relationship with a minor female equestrian student who he had been coaching since the student was 14 years old. The relationship, which began when the student was 16 years old, culminated with a multiday road trip in June 2020 to an equestrian event in Michigan. Investigators later learned Fellers planned the trip so he could engage in sexual conduct with the student.
On May 24, 2023, Fellers was charged by criminal information with one count of traveling across state lines to engage in illicit sexual conduct with a minor. On July 13, 2023, he pleaded guilty.
Fellers has a pending state criminal case in Washington County Circuit Court where he is facing four counts of second-degree sex abuse for illegal sexual conduct with the same minor student. As part of a global resolution with the U.S. Attorney’s Office and the Washington County District Attorney’s Office, Fellers’ federal prison sentence will run concurrently with any state prison term imposed when he is sentenced on October 27, 2023, in Washington County.
Fellers was ordered to voluntarily surrender into the custody of the U.S. Marshals Service following sentencing.
This case was investigated by the FBI with assistance from the Washington County Sheriff’s Office. It was prosecuted by Gary Y. Sussman and Kelly A. Zusman, Assistant U.S. Attorneys for the District of Oregon.
Anyone who has information about the physical or online abuse of children are encouraged to call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Baker County Repeat Offender Sentenced to More than 15 Years in Federal Prison for Illegally Possessing Methamphetamine and FirearmsRead the Press Release
EUGENE, Ore.—On September 28, 2023, a Baker County, Oregon man with a lengthy criminal history, who fled from a traffic stop at more than 100 mph and threatened a shootout with police, was sentenced to more than 15 years in federal prison for illegally possessing methamphetamine and firearms.
Zachary Charles Persicke, 38, was sentenced to 188 months in federal prison and five years’ supervised release.
According to court documents, in late September 2021, as part of an investigation of Persicke for dealing drugs and illegally possessing firearms, Baker County law enforcement obtained a state search warrant for Persicke’s person and an associated residence. Law enforcement observed Persicke in a vehicle and attempted a traffic stop. While fleeing from police and reaching speeds of more than 100 mph, Persicke called 911, told the dispatcher he had a weapon, and threatened to engage in a shootout. After driving over a spike strip placed by law enforcement, Persicke pulled over and surrendered without incident. In a search of Persicke’s vehicle, officers located and seized more than 300 grams of methamphetamine, a loaded .45 caliber pistol, and an assault-style rifle.
On November 18, 2021, a federal grand jury in Eugene returned a three-count indictment charging Persicke with possessing with intent to distribute methamphetamine, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime. On April 5, 2023, Persicke pleaded guilty to a two-count superseding criminal information charging him with possessing with intent to distribute methamphetamine and illegally possessing a firearm as a convicted felon.
This case was investigated by the Baker City Police Department with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Oregon State Police and the Baker County Sheriff’s Office. It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon.
Portland Gang Member Sentenced to Federal Prison for Straw Purchasing 64 Firearms and Trafficking Dozens to Unlawful PossessorsRead the Press Release
PORTLAND, Ore.—A self-identified member of Portland’s Unthank Park Hustlers, a local Bloods gang set, was sentenced to federal prison today for straw purchasing more than five dozen firearms from area gun shops and trafficking many of the guns to individuals prohibited by law from purchasing or possessing them.
Edward Charles Green, 25, of Gresham, Oregon, was sentenced to 30 months in federal prison and three years’ supervised release.
According to court documents, in May 2021, agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) opened an investigation after receiving information from the Gresham Police Department (GPD) and Multnomah County Sheriff’s Office (MCSO) describing several shooting incidents allegedly involving Edward Green and his twin brother, Thomas Green III, also 25 and from Gresham. At around the same time, ATF agents began receiving information alleging the brothers were also responsible for straw purchasing dozens of firearms from gun shops across the Portland metro area.
Early indications of the Green brothers’ straw purchasing activity were uncovered on April 23, 2020, when PPB officers responded to reports of a house struck by gunfire on Northeast Sumner Street in Portland. Officers observed that the gun appeared to have been fired from inside the Greens’ father’s nearby home, leaving a small hole in their father’s front window. After telling officers he threw a rock through his own window, the Greens’ father changed his explanation and claimed a gun accidentally fired when he was showing his son how to clean it. PPB located and seized three handguns and an AK-47 from the residence. ATF agents later determined Edward Green had straw purchased three of the four guns seized, indicating on a legally-required purchase form that the firearms were for himself and not purchased on behalf of another person.
Between August 25 and August 30, 2020, PPB officers recovered four more firearms straw purchased by Edward Green. One of the firearms was recovered after officers responded to a shooting incident outside the brothers’ southeast Portland apartment. Three others were recovered from a vehicle that had been involved in a shooting near Portland Adventist Hospital.
On November 11, 2020, MCSO deputies responded to a Fairview, Oregon car crash caused by gunfire involving Edward Green. After executing a search warrant on a backpack recovered from Green’s vehicle, the deputies found two more pistols Green had purchased and two pounds of packaged marijuana. A few months later, on January 23, 2021, MCSO deputies recovered another firearm straw purchased by Green during a traffic stop of other individuals.
In May 2021, GPD officers responded to two separate shooting incidents at a house shared by the Green brothers. During the first shooting, on May 12, 2021, an unknown assailant fired several rounds into the house. During the second shooting, on May 21, 2021, a drive-by assailant fired 14 additional rounds into the house. An unknown person in the house fired 30 rounds in response, some of which struck occupied neighboring houses. On June 3, 2021, members of the Metro Safe Streets Task Force executed a search warrant on the residence and found nine empty semi-automatic gun cases, several dozen spent bullets and cartridge casings, 27 firearm and rifle magazines, a range bag with more than 400 spent cartridges, and five receipts for recent gun purchases made by the Green brothers. Forensic analyses linked some of these items to at least 10 different shootings in the Portland area between April 6, 2020, and July 11, 2021.
In July and August 2021, two more firearms linked to the Green brothers were recovered by law enforcement. In total, between April 5, 2020, and August 30, 2021, area law enforcement officers recovered 12 firearms straw purchased by the Green brothers. A subsequent review of ATF and State of Oregon records revealed that in an 18-month period beginning April 1, 2020, the brothers straw purchased 82 firearms from Portland area gun shops.
On September 28, 2021, the Greens were charged by criminal complaint with falsifying information in connection with the acquisition of a firearm and making false statements to a federal firearms licensee. The next day, on September 29, 2021, Thomas Green III was arrested at the apartment of a gang associate in Portland. One week later, on October 6, 2021, Edward Green was arrested by ATF agents at his father’s northeast Portland residence.
On October 21, 2021, a federal grand jury in Portland returned an indictment charging the Greens with 41 counts of making false statements during the purchase of firearms. After the Greens were charged with these crimes, police continued recovering firearms purchased by the brothers. One gun, a .45 caliber Glock pistol, was recovered during the execution of a search warrant on the residence of another known Unthank Park Hustler gang member and associate of the Greens. The firearm was linked to 17 shootings in and around Portland in a 13-month period, including two homicides.
On June 23, 2023, the Green brothers pleaded guilty. Thomas Green III will be sentenced on October 10, 2023.
This case was investigated by members of the Metro Safe Streets Task Force including ATF, FBI, GPD, MCSO, and PPB. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
Straw purchasing firearms is a serious federal crime that involves buying guns for someone who is prohibited by law from possessing one or for someone who does not want his or her name associated with the purchase. According to the Bureau of Justice Statistics, 80 percent of criminals obtain their firearms from friends or family members or other illegal sources. To learn more about the public safety risks posed by straw purchasing firearms, please visit www.dontlie.org.
Formed in April 2021, the Metro Safe Streets Task Force is a multi-agency initiative focused on investigating and prosecuting gun crimes in Multnomah County. As part of this effort, federally-deputized officers from the Portland Police Bureau, Multnomah County Sheriff’s Office, and Gresham Police Department work with agents from the FBI and ATF to investigate gun crimes after they occur and, where appropriate and supported by evidence, charge those responsible in state or federal court. Prosecutors from the Multnomah County District Attorney’s Office and the U.S. Attorney’s Office for the District of Oregon work closely with task force officers to determine if state or federal charges are warranted and which jurisdiction is most appropriate for adjudication.
California Real Estate Developer Sentenced to Federal Prison for Using Stolen Identities to Obtain Covid-Relief Program FundsRead the Press Release
PORTLAND, Ore.—A California real estate developer was sentenced to federal prison today for using stolen identities to fraudulently obtain more than $1.3 million in loans intended to help small businesses during the COVID-19 pandemic.
Alfred E. Nevis, 53, was sentenced to 70 months in federal prison and three years’ supervised release. Nevis was also ordered to pay more than $1.3 million in restitution to the U.S. Small Business Administration (SBA) and to forfeit another $1.3 million to the United States Treasury.
According to court documents, from April 1, 2020, through at least August 6, 2020, Nevis used the identities of multiple individuals known to him—including current and former employees, business associates, and their spouses—to illegally obtain Economic Injury Disaster Loans (EIDLs) disbursed by the SBA. The EIDL program was one of several economic relief programs originally authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES) passed in March 2020 to provide emergency financial assistance to American employers.
To facilitate his scheme, Nevis used the stolen identities to register straw corporations, obtain Employer Identification Numbers (EINs) from the IRS, and submit loan applications to SBA on behalf of the newly-registered corporations. In one instance, Nevis claimed a straw corporation called Isley Farms, registered in Oregon, had 12 employees and generated more than $725,000 in revenue in a 12-month period ending in January 2020.
Between April 1, 2020, and September 25, 2020, Nevis submitted at least 22 EIDL applications using the stolen identities of at least eight individuals. Together, these applications sought nearly $2.8 million from SBA. By August 2020, Nevis had obtained more than $1.3 million in EIDL payouts and laundered at least $160,000 of his ill-gotten gains.
On May 17, 2022, a federal grand jury in Portland returned an indictment charging Nevis with wire fraud, aggravated identity theft, and money laundering. On May 2, 2023, he pleaded guilty to all three charges.
This case was investigated by the U.S. Treasury Inspector General for Tax Administration (TIGTA), the SBA Office of Inspector General, the Federal Deposit Insurance Corporation (FDIC) Office of Inspector General, and the FBI. It was prosecuted by Ryan W. Bounds, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Portland Man Sentenced to 25 Years in Federal Prison for Drug and Gun CrimesRead the Press Release
PORTLAND, Ore.—A Portland man whose 20-year federal prison term was cut short by a commutation was sentenced to an additional 25 years in prison today for dealing counterfeit oxycodone pills containing fentanyl analogue, money laundering, and unlawfully possessing firearms, all while on supervised release from his last federal conviction.
Dontae Lamont Hunt, 42, was sentenced to 300 months in federal prison and five years’ supervised release. Hunt was also ordered to pay $60,000 to satisfy a forfeiture money judgment.
In September 2005, Hunt was sentenced to 240 months in federal prison and eight years’ supervised release after pleading guilty to possessing with intent to distribute crack cocaine and carrying a firearm during and in relation to a drug trafficking crime. In October 2016, Hunt was released from prison early, to a halfway house, after receiving a sentence commutation.
According to court documents and trial testimony, only months after receiving his commutation, Hunt began distributing counterfeit oxycodone pills laced with carfentanil, a potent controlled substance sometimes used as an elephant tranquilizer. In December 2017, Hunt was shot multiple times outside an apartment building in Eugene, Oregon. A surveillance video of the shooting showed Hunt walking in a nearby parking lot while talking on a cellphone and carrying a satchel. Immediately after the shooting, Hunt’s girlfriend came to his aid, retrieved the satchel, and placed it in a vehicle used to drop Hunt off at a Eugene hospital.
After departing the hospital, the vehicle was stopped by Eugene police officers for a traffic violation and searched. Officers recovered a bloodstained satchel containing two loaded firearms, both of which were later determined to have Hunt’s DNA on them. Back at the shooting scene, officers found a large amount of blood and an iPhone near where Hunt was shot. On the phone, investigators found evidence of Hunt’s drug trafficking, including text messages and photos of what appeared to be counterfeit Oxycodone pills. Further investigation revealed that Hunt distributed the counterfeit pills in and around Portland and that his drug trafficking was connected to a fatal drug overdose in June 2018.
In September 2018, investigators searched three properties linked to Hunt, including his residence in Northeast Portland. At his residence, Hunt refused commands to surrender and remained alone upstairs for approximately 15 minutes. After he was taken into custody, Portland Police Bureau officers found blue pills adjacent to an upstairs toilet, consistent with and indicative of Hunt disposing of evidence. Agents also located several dozen additional blue pills concealed in a jar of baby ointment, three firearms, and a gun box labeled with the make, model, and serial number of one of the firearms found in the bloodstained satchel in Eugene. Lab reports later confirmed the pills seized contained fentanyl analogue. Cellphones seized from Hunt’s residence contained additional evidence of his drug trafficking activities. Agents also recovered more than $40,00 in cash and seized multiple vehicles.
In October 2022, a federal jury found Hunt guilty on multiple gun, drug, and money laundering charges.
This case was investigated jointly by the Portland Police Bureau, IRS-Criminal Investigation, and FBI with assistance from U.S. Drug Enforcement Administration and the Eugene Police Department. It was prosecuted by Peter Sax, Gary Sussman, and Suzanne Miles, Assistant U.S. Attorneys for the District of Oregon. Forfeiture litigation was handled by Assistant U.S. Attorney Julia Jarrett.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Portland Man Sentenced to Federal Prison for Assaulting U.S. Probation Officer While on Supervised ReleaseRead the Press Release
PORTLAND, Ore.—A Portland man pleaded guilty and was sentenced to federal prison today for assaulting a U.S. Probation Officer during a supervised release home visit.
Andre Eugene Shaw, 39, was sentenced to 63 months in federal prison and three years’ supervised release.
According to court documents, on April 14, 2021, two U.S. Probation Officers conducted a home visit with Shaw at his Portland residence. At the time, Shaw was on supervised release for multiple federal crimes, including extorting individuals engaged in the production of child pornography, money laundering, and possessing an unregistered short-barreled rifle, and restricted from possessing certain electronic devices, including cellphones.
During the home visit, the probation officers observed an unauthorized cellphone in Shaw’s hallway closet. When one of the officers attempted to seize the cellphone, Shaw struck the officer in the face. He then grabbed the officer by her shirt and pushed her to the ground before fleeing his residence. The officer sustained cuts to her lip and nose.
The second probation officer pursued Shaw on foot outside the residence, ordering him to stop. Shaw ran away from the home and temporarily out of the officer’s view. Soon after, Shaw reappeared, began walking back toward the probation officers with his hands behind his head, and was placed under arrest. The cell phone Shaw prevented the probation officers from seizing was never recovered.
On April 16, 2021, Shaw was charged by criminal complaint with assaulting a federal officer. Later, on May 19, 2021, a federal grand jury in Portland returned a two-count indictment charging Shaw with assaulting a federal officer and assaulting or resisting a person authorized to make searches and seizures.
In August 2019, Shaw was involved in a similar confrontation with staff at a community reentry center for recently incarcerated individuals. When staff at the facility attempted to seize Shaw’s cellphone, he ripped it out of a staff member’s hand and swallowed the SIM card. Shaw was sentenced to 14 months in prison following the incident.
This case was investigated by the FBI and prosecuted by Marco A. Boccato and Gavin W. Bruce, Assistant U.S. Attorneys for the District of Oregon.
Former Portland Marathon President Sentenced in Federal CourtRead the Press Release
PORTLAND, Ore.—The former president and event director of the Portland Marathon pleaded guilty and was sentenced in federal court today for evading taxes due on the funds he stole from the charitable organization that had backed the race since the early 1980s.
Lester V. Smith, Jr., 83, of Tomball, Texas, was sentenced to three years’ federal probation to include eight months of home confinement. Smith was also ordered to pay $411,279 in restitution to the IRS.
Prior to being sentenced, Smith pleaded guilty to one count of attempting to evade and defeat income taxes.
According to court documents, for nearly 35 years, Smith served as the president and event director of Portland Marathon Inc. (PMI), the charitable organization formerly responsible for planning and operating the Portland Marathon. In these roles, Smith managed the organization’s day-to-day operations and finances, and had sole authority to approve expenses paid from PMI’s business bank account.
Beginning in January 2012 and continuing through 2017, Smith made or directed others to make unauthorized transfers of funds from PMI’s bank account to his own personal checking account, paid various personal credit cards with PMI funds, and wrote unauthorized checks from PMI payable to himself. On one occasion, Smith used a PMI check to purchase a $60,000 Infiniti sport utility vehicle. Smith also used stolen funds to pay for home remodeling projects, shopping sprees at department stores, home décor, furniture, and other luxury goods and services.
Smith and another individual also incorporated a for-profit company called Next Events Productions, LLC to consult with PMI about setting up running events. Between 2012 and 2017, PMI made more than $302,000 in payments to Next Events. Investigators later discovered bank records from Next Events showing that once PMI funds were deposited, a substantial portion was transferred to Smith’s personal bank account.
While defrauding PMI, Smith also substantially underreported more than $1.2 million in taxable income to the IRS. Despite retaining an accountant to prepare his and his wife’s personal income tax returns for 2012 through 2017, Smith failed to disclose to the accountant payments received from PMI, the purchase of the Infiniti SUV with PMI funds, or funds received from PMI via Next Events.
On February 17, 2022, a federal grand jury in Portland returned a seven-count indictment charging Smith with wire fraud and attempting to evade and defeat income taxes.
This case was investigated by the FBI and IRS Criminal Investigation. It was prosecuted by Claire M. Fay, Assistant U.S. Attorney for the District of Oregon.
Senior Hoover Criminal Gang Member Sentenced to Federal Prison for Illegally Possessing a FirearmRead the Press Release
PORTLAND, Ore.—A senior Hoover Criminal Gang member was sentenced to federal prison today for illegally possessing a firearm as a convicted felon.
Eugene Michael Brown, 39, aka “Big Truth,” was sentenced to 30 months in federal prison and three years’ supervised release.
According to court documents, as part of an ongoing federal racketeering investigation of the Hoover Criminal Gang, law enforcement obtained photos online of Brown, a convicted felon, posing with other known Hoover members.
On the evening spanning May 21 and 22, 2022, Brown, who at the time was on post-prison supervision, and several other Hoover members went to an adult club in northwest Portland. Shortly after Brown’s arrival at the club, a physical fight broke out. The fight, between Hoover members and other patrons, spilled out into the club’s parking lot and shots were fired. Video surveillance showed Brown leave the club with a gun and head toward his vehicle. Brown is not believed to have fired any gunshots during this incident. He and four other Hoover members were later charged in Multnomah County Circuit Court for their involvement in the altercation.
Two weeks later, on July 6, 2022, Brown and his girlfriend got into an argument at a gas station on Northeast Broadway Street in Portland and investigators located a 9mm shell casing at the scene. Two days later, investigators executed a search warrant on Brown’s residence and located two 9mm firearms as well as Hoover related clothing, writing, drawings, and photos consistent with Brown’s continued membership in the gang. Lab tests later confirmed Brown’s DNA was present on both firearms.
On November 2, 2022, a federal grand jury in Portland returned an indictment charging Brown with illegally possessing a firearm as a convicted felon. On June 16, 2023, he pleaded guilty to the single charge.
This case was investigated by the FBI with assistance from the Portland Police Bureau, Multnomah County Sheriff’s Office, and Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This prosecution is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the U.S. by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Former Aequitas CEO and Company Executives Sentenced to Federal Prison for Roles in $300 Million Fraud ConspiracyRead the Press Release
PORTLAND, Ore.—Following their conviction at trial, three former executives of Aequitas Management, LLC, and associated companies, were sentenced to federal prison today for their roles in a vast fraud conspiracy wherein the executives raised nearly $300 million from defrauded investors.
Robert J. Jesenik, 63, former chief executive officer of Aequitas and resident of Lake Oswego, Oregon, was sentenced to 14 years in prison and ordered to forfeit more than $1.5 million; Andrew N. MacRitchie, 59, formerly of Palm Harbor, Florida, was sentenced to 70 months in prison and ordered to forfeit $689,662; and Brian K. Rice, 56, of Portland, was sentenced to 37 months in prison and ordered to forfeit $116,627. Restitution will be determined at a later date.
“When a large investment company led by greedy executives collapses, it can destroy the lives of the victim investors and their families. The victims in this case experienced delayed retirements, lost college savings, physical and mental illness, and many lives were forever changed because of these defendants,” said Ethan Knight, Chief of the Economic Crimes Unit for the U.S. Attorney’s Office. “Bob Jesenik and other former Aequitas executives cheated their investors out of millions and went to extraordinary lengths to cover-up the rapidly-declining financial condition of their company. The sentences imposed today reflect the seriousness of these crimes and should serve as warning to other executives or financial professionals contemplating fraud as a viable path to wealth.”
“This is one of the largest fraud cases ever investigated by the Portland FBI with hundreds of millions of dollars in losses,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “For years, the defendants deliberately deceived countless investors both internationally and domestically through an elaborate web of lies. Many of those investors were right here in Oregon. These sentences send a strong message that the FBI, our partners, and the United States Attorney's Office will continue to work together to investigate and prosecute those who perpetrate these kinds of fraud schemes for their personal gain.”
“A scam is a scam, no matter how sophisticated or professional it appears,” said Adam Jobes, Special Agent in Charge, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “The extensive scale of this scheme was matched only by the efforts taken to unravel the truth. Unjust gain is never secure, and today’s sentencings demonstrate that IRS:CI is committed to holding fraudsters accountable for their actions.”
According to court documents, Jesenik, MacRitchie, Rice, and others used Aequitas, formerly headquartered in Lake Oswego, to solicit investments in a variety of notes and funds, many of which were purportedly backed by trade receivables in education, health care, transportation, and other consumer credit areas. At its peak, Aequitas employed nearly 200 people.
From June 2014 through February 2016, the former executives solicited investors by misrepresenting Aequitas’ use of investor money, the financial health and strength of the company and its subsidiaries, and the risks associated with its investments and investment strategies. Collectively, the defendants also failed to disclose other critical facts about the company, including its near-constant liquidity and cash-flow crises, the use of investor money to repay other investors and to defray operating expenses, and the lack of collateral to secure funds.
In 2005, Jesenik founded the Aequitas group of companies, and, as chief executive officer, controlled the organization’s structure and had ultimate decision-making authority over company activities. As elicited through trial testimony, Jesenik was a micromanager deeply entrenched in the day-to-day workings of Aequitas. He also served as the company’s principal pitchman, frequently telling others that Aequitas would one day rival leading asset management firms.
MacRitchie was Aequitas’s executive vice president and chief compliance officer responsible for the development and implementation of risk management and compliance processes and procedures. MacRitchie oversaw the company’s accounting, legal, and auditing functions, and participated in fundraising. He also established Aequitas’s New York office and directed the company’s “Lux Fund,” a Luxembourg-based fund used to solicit international investors.
Rice served as Aequitas’s executive vice president and president of wealth management. Among other responsibilities, Rice oversaw the solicitation of investments through registered investment advisors (RIA) and managed Aequitas’s affiliated RIAs.
The company’s largest holdings were from various hospital networks, a consumer debt-consolidator, a motorcycle lender, and Corinthian Colleges, one of the nation’s largest operators of for-profit technical and post-secondary schools. The student loans Aequitas owned from Corinthian Colleges, valued at more than $200 million, were by far the company’s largest single category of receivables.
By early 2014, the U.S. Department of Education began scrutinizing Corinthian’s graduation and job-placement rates and, by June of 2014, announced it would defer the payment of federal-aid funds to the schools. Soon after, Corinthian defaulted on its monthly recourse payment to Aequitas, costing the company more than $4 million per month.
The collapse of Corinthian Colleges set off a series of events that ultimately led to Aequitas’s own demise. Meanwhile, Jesenik, MacRitchie, Rice, and others committed numerous financial crimes in an effort to conceal Aequitas’ bleak financial picture. In June 2014, they prepared a letter to investors claiming that Corinthian’s woes would not impact Aequitas’s ability to recoup its investment from student borrowers. At the same time, they continued soliciting new non-equity investments in the company, falsely claiming Aequitas used new investment funds to purchase receivables when, in reality, they were using the funds to pay the company’s bills and prior investors. By July 2014, Aequitas was effectively insolvent, and, in March 2016, the company collapsed.
On July 13, 2022, a federal grand jury in Portland returned a 31-count superseding indictment charging Jesenik, MacRitchie, and Rice with one count each of conspiracy to commit mail and wire fraud and conspiracy to commit money laundering, and 28 counts of wire fraud. Jesenik was also charged with a single count of making a false statement on a loan application. On May 15, 2023, after a six-week trial, a federal jury found Jesenik, MacRitchie, and Rice guilty of conspiring with one another to commit mail and wire fraud and 28 individual counts of wire fraud. Jesenik was also convicted of making a false statement on a loan application.
In 2019, former Aequitas executives and co-conspirators Brian A. Oliver, 58, of Aurora, Oregon, and Olaf Janke, 52, of Portland, pleaded guilty to conspiring to commit mail and wire fraud and money laundering. Janke will be sentenced on October 18, 2023, and, as part of his plea agreement, has agreed to pay full restitution. Following his death on July 7, 2023, Oliver’s guilty plea was vacated and his charges were dismissed.
On May 26, 2022, former Aequitas senior executive and chief financial officer Nelson Scott Gillis, 70, of Lake Oswego, pleaded guilty to making a false statement to a bank. He will be sentenced on October 10, 2023, and has also agreed to pay full restitution.
This case was investigated by the FBI, IRS-Criminal Investigation, and U.S. Department of Labor Employee Benefits Security Administration. It was prosecuted by Ryan W. Bounds and Christopher L. Cardani, Assistant U.S. Attorneys for the District of Oregon, and Siddharth Dadhich, Special Assistant U.S. Attorney for the District of Oregon. Assistant U.S. Attorney Hannah Horsley assisted the trial team.
Federal Jury Convicts Man of Assaulting Girlfriend on the Warm Springs Indian ReservationRead the Press Release
PORTLAND, Ore.—A federal jury in Portland found a Warm Springs, Oregon man guilty today of assaulting his girlfriend and leaving her lying injured in the driveway of her home on the Warm Springs Indian Reservation.
Maron Brent Graybael, Jr., 38, was found guilty of one count of assault resulting in serious bodily injury.
“Domestic violence is a devastating crime that inflicts severe harm on individuals and communities,” said Natalie Wight, U.S. Attorney for the District of Oregon. “Our office remains intently focused on holding abusers accountable for their actions and stopping this violence in our communities.”
“For generations, Native American and Indigenous women have disproportionately been victims of violent crime,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “The FBI and Warm Springs Tribal Police, alongside other federal, state, and local partners remain dedicated to working together to investigate the most serious crimes affecting our Tribal communities.”
According to court documents, on May 16, 2023, Graybael Jr. became angry at his girlfriend, grabbed her by her hair, and punched her more than ten times with a closed fist in her abdomen. After the woman fell to the ground, Graybael Jr. kicked her, grabbed her by her hair again, and slammed her head into the ground multiple times. He then left the woman, seriously injured, lying in her driveway, and walked away. After several minutes, the woman called 911 to report her own assault and injuries. Police responded and she was transported to a local hospital.
On June 1, 2023, Graybael Jr. was charged by criminal complaint with assault resulting in serious bodily injury. One week later, on June 7, 2023, a federal grand jury in Portland indicted him on the same charge.
Graybael Jr. faces a maximum sentence of 10 years in prison, a $250,000 fine, and five years of supervised release. He will be sentenced on November 27, 2023, by U.S. District Court Judge Karin J. Immergut.
This case was investigated by the FBI and the Warm Springs Tribal Police Department. It was prosecuted by Pamela Paaso and Suzanne Miles, Assistant U.S. Attorneys for the District of Oregon.
Domestic violence is a serious crime that can include both physical and emotional abuse, and it is frequently hidden from public view. Many survivors suffer in silence, afraid to seek help or not knowing where to turn. The traumatic effects of domestic violence also extend beyond the abused person, impacting family members, friends, and communities.
If you or someone you know are in immediate danger, please call 911.
If you need assistance or know someone who needs help, please contact the National Domestic Violence Hotline at 1-800-799-SAFE (7233). Many communities throughout the country have also created support networks to assist survivors in the process of recovery.
The StrongHearts Native Helpline offers culturally specific support and advocacy for American Indian and Alaska Native survivors of domestic violence. Please call 1-844-762-8483 or visit www.strongheartshelpline.org for more information.
Southern Oregon Man Sentenced to 15 Years in Federal Prison for Illegally Possessing a Firearm and MethamphetamineRead the Press Release
MEDFORD, Ore.—A southern Oregon man was sentenced to more than 15 years in federal prison today after he violated the terms of his supervised release by possessing a firearm and methamphetamine.
James Charles Danis, 41, of Phoenix, Oregon, was sentenced to 188 months in federal prison and five years’ supervised release.
According to court documents, on March 20, 2020, while under an active arrest warrant for violating the terms of his federal supervised release, Danis was spotted by a deputy U.S. Marshal leaving a motel in Medford. The deputy contacted detectives from the Medford Area Drug and Gang Enforcement (MADGE) team to assist with an arrest. When the deputy and the assisting officers confronted Danis, he fled in a vehicle and led officers from the Medford and Central Point police departments on a pursuit through both cities.
Despite multiple attempts to stop Danis, the pursuit ended when he crashed his vehicle through a fence into the background of a local residence, causing extensive damage. Danis continued trying to drive his blocked vehicle away from scene until officers removed him from it and placed him under arrest. A search of Danis’ person, vehicle, and motel room returned more than 300 grams of methamphetamine, multiple pounds of marijuana, drug paraphernalia and packing materials, a semi-automatic pistol, and ammunition.
On April 28, 2020, Danis was charged by criminal complaint with illegally possessing a firearm as a convicted felon, possessing a firearm in furtherance of a drug trafficking crime, and possessing with intent to distribute methamphetamine. Later, on July 23, 2020, a federal grand jury in Medford indicted Danis on the same charges.
On August 23, 2022, Danis pleaded guilty to illegally possessing a firearm as a convicted felon and possessing with intent to distribute methamphetamine.
This case was investigated by the U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) with assistance from MADGE and the Medford and Central Point Police Departments. It was prosecuted by Judith R. Harper, Assistant U.S. Attorney for the District of Oregon.
Jury Convicts Salem Man for Illegally Transferring a Machine GunRead the Press Release
PORTLAND, Ore.—On August 24, 2023, a federal jury in Portland found a convicted felon from Salem, Oregon guilty of illegally transferring a machine gun.
Daniel Matthew Kittson, 61, was convicted of one count of illegally transferring a machine gun. He was found not guilty of illegally possessing a firearm as a convicted felon.
According to court documents, in December 2019, a special agent from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) learned that an individual, later identified as Kittson, possessed and was attempting to sell a Russian PPSh-41, a machine gun capable of firing approximately 900 rounds per minute. After identifying Kittson, investigators learned that he had prior felony convictions for attempted murder, first degree manslaughter, and felon in possession of a weapon, making it illegal for him to possess any type of firearm.
In early January 2020, investigators communicated with Kittson on two separate occasions to arrange a controlled purchase of the machine gun and, on January 10, 2020, completed the transaction. Following their purchase, investigators tested the firearm and confirmed that it was indeed a functional machine gun.
On March 9, 2021, a federal grand jury in Portland returned a two-count indictment charging Kittson with illegally possessing and transferring a machine gun and illegally possessing a firearm as a convicted felon.
On May 28, 2021, Kittson was arrested without incident by the U.S. Marshals Service and was released following his first appearance in federal court. In June 2022, Kittson absconded his pretrial supervision. Three months later, on September 27, 2022, he was located and arrested in Crook County, Oregon in possession of a firearm and small quantities of methamphetamine and heroin.
Illegally transferring a machine gun is punishable by up to ten years in federal prison.
Kittson will be sentenced in December 2023 by U.S. District Court Judge Karin J. Immergut.
This case was investigated by ATF. It was prosecuted by Leah K. Bolstad and Nicole M. Bockelman, Assistant U.S. Attorneys for the District of Oregon.
Central Oregon Drug Trafficker Sentenced to Federal PrisonRead the Press Release
EUGENE, Ore.—On August 16, 2023, a Deschutes County, Oregon woman was sentenced to federal prison for trafficking large quantities of methamphetamine and fentanyl to Oregon for distribution.
Krista Vela, 39, was sentenced to 84 months in federal prison and five years’ supervised release.
“Today marks a significant victory in our ongoing fight against the scourge of methamphetamine and fentanyl trafficking. With the successful arrest and conviction of Krista Vela, we have dealt a decisive blow to the criminal networks that seek to spread destruction in the central Oregon community,” said Sergeant Kent van der Kamp of the Deschutes County Sheriff’s Office. “This outcome is a testament to the tireless efforts of the Central Oregon Drug Enforcement Team (CODE), and our partners at the U.S. Attorney’s Office. We remain resolute in our commitment to ensure the safety of central Oregon, and this case serves as a powerful reminder that those who peddle in illegal drugs will face the full force of justice.”
According to court documents, in November 2020, as part of a broader drug trafficking investigation, the Deschutes County Sheriff’s Office and CODE identified Vela as a key source of supply for a prominent area drug dealer. In early December, investigators seized several pieces of luggage being removed from a hotel room rented by Vela in Sunriver, Oregon. The bags contained drug packaging materials, a digital scale, a GPS tracking device, 15 kilograms of methamphetamine, and 2 kilograms of fentanyl. One of the bags also contained several pieces of paperwork with Vela’s name on them.
On December 6, 2021, Vela was charged by criminal complaint with conspiracy to possess and possess with intent to distribute methamphetamine and fentanyl. Later, on April 21, 2022, a federal grand jury in Eugene returned a two-count indictment charging Vela and an accomplice with conspiring with one another to distribute and possess with intent to distribute methamphetamine and fentanyl. On July 5, 2023, Vela pleaded guilty to both charges.
Vela’s sentence will run concurrent to an 84-month federal prison sentence imposed on March 16, 2023, in the District of Montana for a separate drug trafficking conviction.
This case was investigated by Homeland Security Investigations (HSI), the Deschutes County Sheriff’s Office, and CODE. It was prosecuted by Adam E. Delph, Assistant U.S. Attorney for the District of Oregon.
The CODE team is a multi-jurisdictional narcotics task force supported by the Oregon-Idaho High-Intensity Drug Trafficking Area (HIDTA) program. CODE includes members of the Bend, Redmond, Prineville, Madras, Sunriver, and Black Butte Police Departments; the Warm Springs Tribal Police Department; the Deschutes, Crook, and Jefferson County Sheriff and District Attorney’s Offices; the Oregon State Police; the Oregon National Guard; DEA; and the FBI.
Portland Man Sentenced to Federal Prison for Illegally Possessing a Firearm and Money LaunderingRead the Press Release
PORTLAND, Ore.—A Portland man was sentenced to federal prison today after he was caught engaging in an identity theft and bank fraud scheme and illegally possessing an AK-style assault rifle while on supervision following his release from state prison.
Quandre Leroy Hollingsworth, 30, was sentenced to 48 months in federal prison and three years’ supervised release. He was also ordered to pay $73,904 in restitution to his victims.
According to court documents, on May 24, 2019, Hollingsworth was a passenger in a vehicle stopped by police as part of an ongoing investigation into money laundering and fraud activity. Hollingsworth was arrested on a parole violation warrant for a state robbery conviction. During his arrest, officers found a wallet on Hollingsworth’s person containing multiple identification and credit cards bearing the names of other individuals. Officers also located a receipt for a storage locker rental.
As the investigation continued, law enforcement located a fraud report from a local credit union submitted by one of the individuals whose identification cards was found in Hollingsworth’s wallet. Credit union surveillance footage obtained by law enforcement showed Hollingworth depositing four fraudulent checks and withdrawing cash between March 24-28, 2019.
On July 15, 2019, a search warrant was obtained and executed on the storage locker matching the receipt found during investigators’ original traffic stop. Inside the locker, they located an AK-style assault rifle, ammunition, multiple pieces of stolen mail, passports, driver’s licenses, and birth certificates. Hollingsworth’s DNA profile was later matched to DNA recovered from the seized rifle.
On July 20, 2022, Hollingsworth was charged by criminal complaint with one count of bank fraud. Later, on October 18, 2022, a federal grand jury in Portland returned a two-count indictment charging Hollingsworth with illegally possessing a firearm as a convicted felon and conspiring to commit money laundering. On December 21, 2022, he pleaded guilty to both charges.
This case was investigated by IRS-Criminal Investigation (IRS:CI) with assistance from the Portland Police Bureau. It was prosecuted by Gregory R. Nyhus, Assistant U.S. Attorney for the District of Oregon.
Eastern Oregon Man Caught with Methamphetamine and a Stolen Firearm While on Supervised Release Sentenced to Federal PrisonRead the Press Release
MEDFORD, Ore.—An Eastern Oregon man with a lengthy criminal history was sentenced to federal prison today after he was arrested with more than two pounds of methamphetamine and a stolen firearm while on supervision following his release from state prison.
Tom Raymond Carroll, 39, was sentenced to 151 months in federal prison and five years’ supervised release.
According to court documents, in February 2021, special agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) identified Carroll as a drug dealer operating in Baker and Malheur Counties in Eastern Oregon. Carroll had recently been released from Oregon state prison following convictions for drug trafficking and illegally possessing a firearm. On February 20, 2021, law enforcement conducted a controlled purchase of methamphetamine and heroin from Carroll. During the transaction, Carroll warned the purchasers to be careful because someone had recently died from the drugs he was distributing.
In early May 2021, law enforcement obtained and executed state search warrants for Carroll’s vehicle and person and a hotel room he was renting in Baker City, Oregon. A backpack found in his hotel room contained more than two pounds of methamphetamine, a stolen firearm, drug ledgers and paraphernalia, and more than $20,000 in cash.
On May 20, 2021, a federal grand jury in Medford returned a three-count indictment charging Carroll with possessing with intent to distribute methamphetamine, illegally possessing a firearm as a convicted felon, and possessing a firearm in furtherance of a drug trafficking crime. On March 20, 2023, Carroll pleaded guilty to possessing with intent to distribute methamphetamine.
This case was investigated by ATF with assistance from the Baker City Police Department, Baker County Sheriff’s Office, Malheur County Sheriff’s Office, Ontario Police Department, and Oregon State Police. It was prosecuted by Marco A. Boccato, Assistant U.S. Attorney for the District of Oregon.
Corvallis Man Sentenced to Federal Prison for Orchestrating Fraud Scheme Claiming to Support Christian Missionaries and OrganizationsRead the Press Release
EUGENE, Ore.—A Corvallis, Oregon man was sentenced to federal prison today for orchestrating an investment fraud scheme that falsely claimed to support various Christian missionaries and organizations.
Erik J. Hass, 53, was sentenced to 30 months in federal prison and three years’ supervised release. He was also ordered to pay more than $1.75 million in restitution to his victims.
According to court documents, in January 2013, Hass founded Simply Gains, Inc., an organization he claimed supported Christian missionaries and organizations while offering significant returns for investors. Hass solicited members of his church, coworkers, and other acquaintances to invest in the organization via self-directed retirement and cash accounts. In exchange, he gave investors unsecured promissory notes and promised compounded annual returns of up to 30%.
Hass also claimed he would only profit from the investment scheme if monthly returns were higher than 2%. Yet, from the start, Hass began taking a salary drawn from investors’ funds and used the proceeds to pay for personal expenses. Throughout the scheme, Hass sent investors account statements showing fictitious gains and account balances and false IRS 1099-INT forms.
Hass continued accepting investments well into 2018, knowing he could not honor his investment claims. Instead, these new investments were used to fund Ponzi payments to older investors who had requested withdrawals from their accounts. In total, at least 20 investors lost more than $1.75 million combined investing in Hass’ scheme.
On June 9, 2020, a federal grand jury in Eugene returned an 8-count indictment charging Hass with wire fraud, mail fraud, and money laundering. On February 21, 2023, he pleaded guilty to five counts of wire fraud and two counts of mail fraud.
This case was investigated by the FBI and Oregon Division of Financial Regulation. It was prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.
U.S. Forest Service Wins Civil Case Supporting Forest Restoration Projects in the Fremont-Winema National ForestRead the Press Release
MEDFORD, Ore.—The U.S. Attorney’s Office for the District of Oregon announced today that an order granting summary judgment in favor of the U.S. Forest Service was entered in a civil case challenging the agency’s commercial thinning of timber conducted as part of forest restoration efforts in the Fremont-Winema National Forest.
In December 2021 and May 2022, after an environmental effects review and public outreach, the Forest Service approved three restoration projects covering more than 91,000 acres in the Fremont-Winema National Forest designed to reduce the risk of severe wildfire in dry forestlands and improve degraded forest health and habitats. To achieve the agency’s restoration goals, it proposed various activities in the three projects including, but not limited to, small tree thinning, prescribed burning, juniper cutting, meadow enhancement, stream restoration, and the commercial sale of select forest products.
As part of each of the three restoration projects, the Forest Service approved between 3,000 and 16,000 acres of commercial thinning. Commercial and non-commercial thinning are longstanding timber management tools the Forest Service uses to improve timber stand growth and reduce fire hazard through the removal of select trees in overly dense and deteriorated stands. The Fremont-Winema National Forest has recently suffered from major wildfires including the 400,000-acre Bootleg Fire in 2021.
On July 12, 2022, Oregon Wild and WildEarth Guardians, two non-profit corporations, brought suit challenging the Forest Service’s use of commercial thinning as part of the restoration projects, alleging violations of the Administrative Procedure Act (APA) and the National Environmental Policy Act (NEPA).
On August 4, 2023, U.S. District Court Judge Michael J. McShane issued a summary judgment order concluding that the Forest Service had not in fact violated APA or NEPA. The court found the Forest Service’s use of NEPA procedures to approve the projects was lawful and reasonably determined.
The U.S. Forest Service was represented in this matter by Sean E. Martin, Assistant United States Attorney for the District of Oregon.
Klamath Falls Man Indicted for Kidnapping and Sexually Assaulting Seattle Woman, Additional Victims SoughtRead the Press Release
PORTLAND, Ore.—A federal grand jury in Portland returned an indictment today charging a Klamath Falls, Oregon, man with kidnapping and sexually assaulting a Seattle woman and forcing her into a makeshift cell he constructed in his garage.
Negasi Zuberi, 29, also known as Sakima, Justin Hyche, and Justin Kouassi, has been charged with interstate kidnapping and transporting an individual across state lines with intent to engage in criminal sexual activity.
According to court documents, on July 15, 2023, Zuberi was in Seattle when he is alleged to have posed as a police officer, pointed a taser at an adult woman, placed her in handcuffs, and forced her into the backseat of his vehicle. Zuberi then transported the woman approximately 450 miles back to his home in Klamath Falls, stopping along the way to sexually assault her and cover her face with a sweatshirt.
When Zuberi arrived at his residence, he moved the woman from his vehicle into a makeshift cell he had constructed in his garage. The woman repeatedly banged on the cell door until it broke open and she escaped. She retrieved a handgun from Zuberi’s vehicle, fled his garage, and flagged down a passing motorist who called 911.
The next day, on July 16, 2023, two Nevada State Patrol officers located Zuberi in a retail parking lot in Reno, Nevada. After a short standoff, Zuberi surrendered to law enforcement and was taken into custody.
On July 26, 2023, Zuberi made his first appearance in federal court before a U.S. Magistrate Judge in the District of Nevada. He was ordered detained pending his transfer to the District of Oregon.
Interstate kidnapping is punishable by up to life in federal prison and transporting an individual across state lines with intent to engage in criminal sexual activity is punishable by up to 10 years in federal prison.
This case was investigated by the FBI Portland Field Office, Klamath Falls Police Department, and Oregon State Police with assistance from the U.S. Attorney’s Office for the District of Nevada; Klamath County District Attorney’s Office; Reno, Nevada Police Department; Washoe County, Nevada District Attorney’s Office; and Nevada State Police. Assistant U.S. Attorney John C. Brassell is prosecuting the case for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Zuberi has lived in ten different states over the last ten years including California, Washington, Oregon, Colorado, Utah, Florida, New York, New Jersey, Alabama, and Nevada, and federal law enforcement has reason to believe he may have victimized additional women.
If you or someone you know have information about possible crimes committed by Zuberi, please visit fbi.gov/sakimavictims or call 1-800-Call-FBI.
Former Oregon Corrections Nurse Found Guilty of Sexually Assaulting Nine Female InmatesRead the Press Release
PORTLAND, Ore.—A federal jury in Portland found a former Oregon Department of Corrections employee guilty today of sexually assaulting nine female inmates while serving as a nurse at the Coffee Creek Correctional Facility, Oregon’s only women’s prison.
Tony Daniel Klein, 38, of Clackamas County, Oregon, was convicted of 17 counts of depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault and four counts of perjury.
“Tony Klein used his position of authority to prey on women in custody who were in a uniquely vulnerable position. He further led his victims to believe they had no power to resist or report his abuse,” said Natalie Wight, U.S. Attorney for the District of Oregon. “This verdict would not have been possible without the courage and resolve of these women and the dedication of our partners at the FBI and Civil Rights Division.”
“This defendant is being held accountable for sexually assaulting female inmates under his care, custody and control,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Abuses of power and authority, like this, where the defendant took advantage of his position as a medical professional to satisfy his own sexual desires, will not be tolerated, and justice will be pursued. We thank the survivors of these sexual assaults for having the courage to come forward and tell their story. The Civil Rights Division will continue to vigorously hold accountable those who abuse their authority by committing sexual assault.”
“As a state prison nurse, Mr. Klein used his position to intimidate and sexually assault multiple women. His heinous actions were only brought to light by a small group of courageous women who came forward, even despite their precarious circumstances of being incarcerated. Their willingness to report their victimization undoubtedly saved others from Mr. Klein’s predatory actions,” said Kieran L. Ramsey, Special Agent in Charge of the FBI Portland Field Office. “This verdict demonstrates the commitment by the FBI and our partners at the U.S. Attorney’s Office to hold accountable public officials, who not only violate the public trust, but even go so far as to commit monstrous actions such as those proven at trial in this case.”
According to court documents, from 2010 until January 2018, Klein served as a nurse at the Coffee Creek Correctional Facility in Wilsonville, Oregon. In his position, Klein interacted with female inmates who either sought medical treatment or worked as orderlies in the prison’s medical unit. Aided by his access to the women and his position of power as a corrections employee, Klein sexually assaulted or engaged in nonconsensual sexual conduct with many female inmates entrusted to his care.
By virtue of his position as a medical provider, Klein was often alone with his victims and assaulted many before, during, or after medical treatment. For women who worked in the medical unit, Klein manufactured reasons to get them alone in secluded areas such as medical rooms, janitor’s closets, or behind privacy curtains. Klein made it clear to his victims that he was in a position of power over them, and they would not be believed if they tried reporting his abuse. Fearing punishment if they fought back against or reported his conduct, most of Klein’s victims submitted to his unwanted advances or endured his assaults.
On March 8, 2022, a federal grand jury in Portland returned an indictment charging Klein with depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault and perjury.
Following announcement of the jury’s verdict, Klein was remanded into the custody of U.S. Marshals Service pending his sentencing on October 17, 2023, before U.S. District Court Judge Michael H. Simon. Klein faces a maximum sentence of life in prison.
This case was investigated by the FBI Portland Field Office. It was prosecuted by Cameron A. Bell, Trial Attorney for the Civil Rights Division’s Criminal Section, and Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon. Assistant U.S. Attorney Hannah Horsley assisted the trial team.
Former Oregon Corrections Nurse Found Guilty of Sexually Assaulting Nine Female InmatesRead the Press Release
Note: This release has been updated to reflect the correct number of victims.
A federal jury in Portland, Oregon, convicted a former Oregon Department of Corrections employee guilty today of sexually assaulting nine female inmates while serving as a nurse at the Coffee Creek Correctional Facility, Oregon’s only women’s prison.
Tony Daniel Klein, 38, of Clackamas County, was convicted of 17 counts of depriving his victims of their constitutional right not to be subjected to cruel and unusual punishment by sexual assault and four counts of perjury.
“No woman held inside a jail or prison should be subject to sexual assault at the hands of the officials who work there,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Abuses of power and authority, like this, where the defendant took advantage of his position as a medical professional to satisfy his own sexual desires, will not be tolerated, and justice will be pursued. We thank the survivors of these sexual assaults for having the courage to come forward and tell their story. The Civil Rights Division will continue to vigorously hold prison officials accountable when they abuse their authority by committing sexual assault.”
“Tony Klein used his position of authority to prey on women in custody who were in a uniquely vulnerable position. He further led his victims to believe they had no power to resist or report his abuse,” said U.S. Attorney Natalie Wight for the District of Oregon. “This verdict would not have been possible without the courage and resolve of these women and the dedication of our partners at the FBI and Civil Rights Division.”
“The FBI and our partners remain committed to investigating violations of civil rights in all circumstances,” said FBI Assistant Director Luis Quesada of the Criminal Investigative Division. “The defendant in this case exploited the trust placed in him as a corrections nurse to sexually assault women in his care, but thanks to the bravery of the women who came forward, we are able to pursue justice and prevent future victimization.”
According to court documents, from 2010 until January 2018, Klein served as a nurse at the Coffee Creek Correctional Facility in Wilsonville, Oregon. In his position, Klein interacted with female inmates who either sought medical treatment or worked as orderlies in the prison’s medical unit. Aided by his access to the women and his position of power as a corrections employee, Klein sexually assaulted or engaged in nonconsensual sexual conduct with many female inmates entrusted to his care.
By virtue of his position as a medical provider, Klein was often alone with his victims and assaulted many before, during, or after medical treatment. For women who worked in the medical unit, Klein manufactured reasons to get them alone in secluded areas such as medical rooms, janitor’s closets or behind privacy curtains. Klein made it clear to his victims that he was in a position of power over them, and they would not be believed if they tried reporting his abuse. Fearing punishment if they fought back against or reported his conduct, most of Klein’s victims submitted to his unwanted advances or endured his assaults.
Klein faces a maximum sentence of life in prison. Sentencing is set for Oct. 17 before U.S. District Court Judge Michael H. Simon.
This FBI Portland Field Office investigated the case.
Assistant U.S. Attorney Gavin W. Bruce for the District of Oregon and Trial Attorney Cameron A. Bell of the Civil Rights Division’s Criminal Section prosecuted the case, with assistance from Assistant U.S. Attorney Hannah Horsley for the District of Oregon.
First Tribal Community Response Plan Adopted in the District of OregonRead the Press Release
PORTLAND, Ore.—In a first for the District of Oregon, the Confederated Tribes of Warm Springs Tribal Council has unanimously adopted a Missing and Murdered Indigenous Persons (MMIP) Tribal Community Response Plan (TCRP).
“When someone goes missing from a Tribal community, it is an urgent and time-sensitive situation. A community response plan ensures that all available resources—government, law enforcement, and community members—are quickly deployed in support of a full and thorough investigation,” said Natalie Wight, U.S. Attorney for the District of Oregon. “We thank the Confederated Tribes of Warm Springs for their leadership in addressing this important issue.”
A TCRP is a guide for how Tribal law enforcement and community members will respond when someone goes missing from a Tribal community. TCRPs are tailored to the needs, resources, and culture of individual Tribal communities. The Warm Springs TCRP was created in partnership with the U.S. Attorney’s Office for the District of Oregon as part of the U.S. Department of Justice national MMIP initiative. The District of Oregon is one of six pilot program districts working to develop community response plans in accordance with this initiative.
The Warm Springs TCRP establishes four different sets of guidelines relevant to MMIP: law enforcement, victim services, public and media communications, and community outreach. The overall goal of the TCRP is to recognize the critical need for an immediate and consistent response to missing persons reports from the Warm Springs Indian Reservation, establish a formal process for responding to and investigating these reports, and outline the actions that will be taken by Tribal authorities.
In early 2022, the District of Oregon established an MMIP Working Group to increase multi-agency communication and collaboration in support of and response to Oregon-connected MMIP cases. The working group includes at least one representative from each of the nine federally recognized Tribes in Oregon, the FBI, Bureau of Indian Affairs, U.S. Department of Interior Regional Solicitor’s Office, U.S. Marshals Service, Oregon Department of Justice, Oregon State Medical Examiner’s Office, and Oregon State Police.
If you have questions about the U.S. Attorney’s Office MMIP program, please email [email protected] or call (503) 727-1000.
Southern Oregon Dairy Pleads Guilty to Violating the Clean Water ActRead the Press Release
MEDFORD, Ore.—On July 17, 2023, a family-owned dairy located near Grants Pass, Oregon, pleaded guilty and was sentenced in federal court for violating the Clean Water Act by negligently discharging cow manure into a nearby creek and river.
Noble Marital Trust dba Noble Family Dairy pleaded guilty to one count of negligently discharging a pollutant in violation of a National Pollution Discharge Elimination System (NPDES) permit and was ordered to pay a $25,000 fine.
“By disregarding the maximum number of cattle allowed by its waste management permit, the Noble Family Dairy caused significant environmental harm to two waterways shared and enjoyed by countless Rogue Valley residents and visitors,” said Nathan J. Lichvarcik, Chief of the U.S. Attorney’s Office Eugene and Medford Branch Offices. “Our nation’s environmental laws exist to protect human health and the environment, and we will continue working closely with our partners at EPA to hold accountable anyone who violates them.”
“This defendant’s actions caused the discharge of manure into the Applegate River and Caris Creek, causing significantly elevated levels of E. coli in the water,” said Acting Special Agent in Charge Benjamin Carr of EPA’s Criminal Investigation Division in Oregon. “EPA and its partners will continue to protect the waters of the United States from illegal pollution discharges that contribute to serious health problems and put our communities at risk.”
According to court documents, Noble Family Dairy is a commercial dairy consisting of a farm and large concentrated animal feeding operation located approximately 13 miles southeast of Grants Pass off Oregon Route 238. In early 2019, the dairy had 130 more head of cattle than it was permitted under its state-issued waste management plan permit causing its manure lagoons to fill more rapidly. As a result, dairy operators applied manure to its fields throughout the rainy season and dug a trench to capture the runoff. In late February 2019, heavy rainfall and flooding caused the dairy’s runoff trench to fail and discharge manure into Caris Creek and, ultimately, the Applegate River.
In March 2019, an inspector from the Oregon Department of Agriculture (ODA) visited the dairy and observed that the trench had been repaired but had as much as 18 inches of solid manure collecting in places. The inspector further observed what appeared to be islands of solid manure in Caris Creek and manure visibly discharging from the creek into the Applegate River. Despite these illegal discharges and the trench’s recent failure, the dairy continued applying liquid manure to its fields.
On April 19, 2023, Noble Family Dairy was charged by criminal information with one count of discharging a pollutant in violation of a NPDES permit, a misdemeanor crime under the Clean Water Act.
This case was investigated by the Environmental Protection Agency Criminal Investigation Division (EPA CID) with assistance from the Oregon Department of Environmental Quality (ODEQ) and ODA. It was prosecuted Judith R. Harper, Assistant U.S. Attorney for the District of Oregon, and Gwendolyn Russell, Special Assistant U.S. Attorney for the District of Oregon.
Manure and wastewater from dairies and other concentrated animal feeding operations have the potential to contribute pollutants such as nitrogen and phosphorus, organic matter, sediments, pathogens, hormones and antibiotics to the environment.
If you witness an environmental event that may lead to an immediate threat to human health or the environment, please call 9-1-1. After alerting local emergency authorities, please also report incidents to the EPA’s National Response Center by calling 1-800-424-8802.
Gresham Man Caught Transporting Methamphetamine to Central Oregon Sentenced to 10 Years in Federal PrisonRead the Press Release
EUGENE, Ore.—A Gresham, Oregon man with a lengthy criminal history was sentenced to 10 years in federal prison Wednesday after he was arrested transporting methamphetamine in Deschutes County.
Dennis Richard DeChenne Jr., 39, was sentenced to 130 months in federal prison and five years’ supervised release.
According to court documents, in April 2020, the Central Oregon Drug Enforcement (CODE) team began investigating DeChenne after learning he was involved in transporting large quantities of methamphetamine and heroin from the Portland area to Central Oregon for resale. Investigators determined that DeChenne, after transporting the drugs, would stay in a Bend, Oregon hotel for several days at a time and use local runners to sell the drugs.
Near midnight on August 19, 2020, CODE team members located DeChenne at a casino in southern Oregon. He was arrested the next day by Deschutes County Sheriff’s Office deputies. The deputies located two pounds of methamphetamine and a loaded pistol in DeChenne’s vehicle.
On July 28, 2021, DeChenne was charged by criminal information with possessing with intent to distribute methamphetamine. On April 7, 2023, he pleaded guilty to the single charge.
This case was investigated by CODE and the U.S. Drug Enforcement Administration (DEA). It was prosecuted by Jeffrey S. Sweet, Assistant U.S. Attorney for the District of Oregon.
The CODE team is a multi-jurisdictional narcotics task force supported by the Oregon-Idaho High-Intensity Drug Trafficking Area (HIDTA) program. CODE includes members of the Bend, Redmond, Prineville, Madras, Sunriver, and Black Butte Police Departments; the Warm Springs Tribal Police Department; the Deschutes, Crook, and Jefferson County Sheriff and District Attorney’s Offices; the Oregon State Police; the Oregon National Guard; DEA; and the FBI.
Man on Parole After Murder Conviction Sentenced to Prison for Identity Theft and Making False Statements During the Purchase of a FirearmRead the Press Release
PORTLAND, Ore.—A felon who fled his parole on a murder conviction and moved to Oregon was sentenced to federal prison today for using stolen identities to apply for multiple Oregon driver’s licenses and making false statements while attempting to purchase multiple firearms.
Johnny Lee Allen, 45, was sentenced to 51 months in federal prison and three years’ supervised release.
According to court documents, in 1999, Allen was convicted of second-degree murder in Douglas County, Nebraska and sentenced to 35-50 years in prison. Shortly after he was released from Nebraska state custody in April 2019, he cut off his electronic monitoring bracelet and fled the state. Four months later, he used a stolen identity to obtain a Wyoming identification card. In late August 2019, he showed up at a DMV office in Gresham, Oregon and applied for and obtained an Oregon identification card using the same stolen identity. Two months later, in October 2019, Allen used the stolen identity a third time to apply for an Oregon driver’s license.
During the same time period, Allen used fraudulently-obtained identity documents for multiple firearm transactions. On November 1, 2019, he attempted to purchase a semi-automatic rifle, but cancelled the transaction when the background check was delayed. The next day, a woman Allen was dating purchased a .40 caliber pistol. Over the next nine months, Allen loaned the pistol to three different pawn shops in exchange for cash. In November 2020, Allen attempted to purchase a second firearm, but again cancelled the transaction rather than wait for a background check to be completed.
In July 2022, Allen used his brother’s identity to apply for a second Oregon driver’s license. His second attempt at an Oregon license failed when he used the same address he had used to obtain the first and his photo was flagged for potential fraud in the state’s DMV system.
On July 29, 2022, Allen was charged by criminal complaint with Social Security fraud and aggravated identity theft. On December 20, 2022, he was arrested in Oregon City, Oregon. During his arrest, law enforcement located and seized four different fraudulent pieces of identification on Allen’s person. All were obtained using the personal information of Allen’s first identity theft victim.
On March 22, 2023, Allen pleaded guilty to a two-count criminal information charging him with aggravated identity theft and making a false statement during the purchase of a firearm.
This case was investigated by the Social Security Administration Office of Inspector General (SSA-OIG) with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). It was prosecuted by Rachel Sowray, Special Assistant U.S. Attorney for the District of Oregon.
Former Portland Area Non-Profit Director Sentenced to Federal Prison for Stealing Covid Relief FundsRead the Press Release
PORTLAND, Ore.—A former Portland area non-profit director was sentenced to federal prison today for stealing more than $321,000 in federal funds intended to help small businesses during the COVID-19 pandemic.
Theodore Johnson, 62, a Portland resident, was sentenced to 15 months in federal prison and three years’ supervised release. He was also ordered to pay approximately $321,000 in restitution to two banks, the U.S. Small Business Administration and the Oregon Department of Administrative Services.
According to court documents, in February 2017, Johnson incorporated and began serving as the director of operations for Ten Penny International Housing Foundation, an Oregon-based non-profit organization. After Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act in March 2020 to provide emergency financial assistance to American employers, Johnson saw an opportunity to fraudulently obtain government funds on Ten Penny’s behalf.
In early March 2021, Johnson submitted his first of three Paycheck Protection Program (PPP) applications, falsely claiming Ten Penny employed 16 people and had an average monthly payroll of more than $57,000. To support his application, Johnson submitted fraudulent tax documents and created an electronic counterfeit IRS stamp to make it appear as though his forms had been received by the IRS. Based on these false claims, Northeast Bank issued a PPP loan worth more than $143,000 to Ten Penny.
Two months later, in May 2021, Johnson submitted two more fraudulent PPP loan applications. In these applications, he again falsely claimed Ten Penny employed 16 people and had an average monthly payroll of at least $50,000. Johnson further falsely claimed to have used the entirety of his first PPP loan for eligible expenses. As a result, Central Willamette Credit Union issued Johnson a second PPP loan worth more than $130,000.
In addition to his three fraudulent PPP loan applications, Johnson submitted a fraudulent Oregon Cares Fund application on behalf of Ten Penny and received an additional $34,975.
On October 31, 2022, Johnson was charged by criminal information with one count of bank fraud and two months later, on December 29, 2022, pleaded guilty to the single charge.
This case was investigated by the SBA Office of Inspector General and U.S. Treasury Inspector General for Tax Administration (TIGTA). It was prosecuted by Meredith D.M. Bateman, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Portland Man Charged with Assaulting a Federal OfficerRead the Press Release
PORTLAND, Ore.—A local man is facing federal charges today after he assaulted and injured a court security officer at Pioneer Federal Courthouse in downtown Portland.
Jett Avery Thomas, 39, a Portland resident, has been charged by criminal complaint with assaulting an employee of the United States with a dangerous weapon and causing bodily injury.
According to court documents, on the morning of July 3, 2023, Thomas threw an object at the Pioneer Federal Courthouse in downtown Portland. After a court security officer attempted to address him, Thomas charged up the front steps of the courthouse. The officer retreated into the courthouse and attempted to secure the door behind him. Before he could do so, Thomas grabbed the door, forced it open, and assaulted the officer. The struggle continued outside the door, where Thomas continued assaulting the officer, striking him with a hard object and placing him in a chokehold. The officer accessed his service weapon and fired two shots into Thomas’ torso.
Thomas was apprehended, provided first aid, and transported to a local hospital where he underwent surgery for his injuries. The officer was also transported to a local hospital where he was treated for his injuries and later released.
Thomas will make his first appearance in federal court at a later date. If convicted, he faces a maximum sentence of 20 years in federal prison.
This case was investigated by the FBI and U.S. Marshals Service with assistance from the Federal Protective Service and Portland Police Bureau. It is being prosecuted by Scott M. Kerin, Assistant U.S. Attorney for the District of Oregon.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.