District of Oregon
Press releases recorded for this federal judicial district.
Eugene Jury Convicts Methamphetamine TraffickersRead the Press Release
EUGENE, Ore.—U.S. Attorney Billy J. Williams announced today that a federal jury in Eugene has found two men guilty of trafficking methamphetamine from Southern California to Central Oregon and the Portland Metropolitan Area for distribution.
On August 9, 2019, Ronald Wayne Thrasher, 49, of Madras, Oregon, was found guilty of purchasing and transporting methamphetamine for distribution. Thrasher’s supplier, Russell Marvin Jones, 53, of Gresham, Oregon, was found guilty of selling methamphetamine and possessing a stolen firearm. Both men were also found guilty of being felons in possession of a firearm.
Thrasher and Jones have each served time in prison for past convictions. Thrasher served time in federal prison for being a felon in possession of a firearm and Jones in Oregon state prison for first degree manslaughter.
Nine co-defendants have previously pleaded guilty to conspiring with Thrasher to possess with intent to distribute methamphetamine and are awaiting sentencing: Jordan Michael Johnson, 57, of San Diego, California; Brenda Ann Lederman, 46, of Santee, California; Jason James Puckett, 46, of Prineville, Oregon; Tyler Wayne Fuller, 30, Renee Marie Scarlett, 48, and Talina Shantel Ortiz, 45, of Madras; Jacklin Renee Bowlby, 36, of Bend, Oregon; Kerry Wayne Hopson, 33, of Redmond, Oregon; and Mistie Dawn Cooper, 39, of Alfalfa, Oregon. Fuller also pleaded guilty to robbing a bank in Madras.
According to court documents and testimony produced at trial, in spring of 2016, Thrasher became acquainted with multiple co-defendants who were engaged in trafficking methamphetamine from Santee, San Diego and Portland for resale in Central Oregon. Thrasher used these connections to establish a source of supply for his own methamphetamine use and distribution.
In early 2017, after his primary supplier was arrested in Redmond, an associate introduced Thrasher to Jones, a methamphetamine manufacturer, dealer and user in the Portland, Oregon area. On or about February 17, 2017, Thrasher traveled to Portland with his associates to meet Jones. During this meeting, Jones sold Thrasher several pounds of methamphetamine. On March 20, 2017, after several additional methamphetamine deals, Jones sold Thrasher a stolen firearm.
By April 2017, Thrasher was distributing methamphetamine via multiple associates throughout Central Oregon. On April 9, 2017, he was introduced to new California-based methamphetamine suppliers including Stevens. Two weeks later, Thrasher and an associate drove to Santee to meet with his new suppliers. During this meeting, Thrasher purchased approximately 13 pounds of methamphetamine from Stevens.
In May 2017, a Central Oregon Drug Enforcement (CODE) team investigation identified Thrasher as a high-volume methamphetamine supplier and distributor. On May 29, 2017, CODE detectives assisted by a U.S. Drug Enforcement Administration (DEA) agent arrested Thrasher and seized approximately 16 pounds of methamphetamine, $16,000 in cash, records of drug sales and the stolen firearm from his residence in Madras.
Thrasher and Jones will be sentenced on February 4, 2020 and November 14, 2019, respectively, before U.S. District Court Judge Michael J. McShane.
This case was investigated by CODE, DEA, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Oregon State Police. It was prosecuted Frank R. Papagni Jr. and Judi Harper, Assistant U.S. Attorneys for the District of Oregon, with the assistance of the Jefferson, Crook and Deschutes County District Attorney’s Offices.
Two Charged for Hoax Bomb Threat at Deschutes County CourthouseRead the Press Release
EUGENE, Ore.—A federal criminal complaint was unsealed today charging two defendants with placing a hoax bomb at the Deschutes County Courthouse on July 29, 2019.
Kellie Kent Cameron, 31, and Jonathan Tyler Allen, 23, both of Bend, Oregon, were charged with conspiracy to make a threat regarding explosive materials in violation of 18 U.S.C. §§ 844(e) and (n) and false information and hoaxes in violation of 18 U.S.C. § 1038.
This case is being investigated by the FBI and the Deschutes County Sheriff’s Office and is being prosecuted by Nathan J. Lichvarcik, 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.
Portland Man Pleads Guilty to Clean Water Act Violation for Discharging Oil into Willamette RiverRead the Press Release
PORTLAND, Ore.—A local man pleaded guilty today in federal court for violating the Clean Water Act by negligently discharging oil into the Willamette River in Portland.
Robert La Rue Webb, II, 59, pleaded guilty to one count of negligently discharging harmful quantities of oil into a water of the U.S.
According to court documents and disclosures at the hearing, on January 22, 2018, Webb, an employee of the engineering firm Mott MacDonald, was pumping oil into a 10,000-gallon used-oil tank at the Union Pacific Albina Railyard in Portland. While operating the pump, Webb walked away to make a phone call and was still distracted by his cell phone as the tank overflowed. More than 1,000 gallons of oil entered a storm water drain and were discharged into the Willamette River, resulting in a sheen and discoloration of the river’s surface.
Webb faces a maximum sentence of one year in prison, a $25,000 per day fine and one year of supervised release. He will be sentenced on October 28, 2019 before U.S. District Court Judge Michael W. Mosman.
This case was investigated by the EPA Criminal Investigation Division. It is being prosecuted by Ryan W. Bounds, an assistant U.S. attorney for the District of Oregon, and Will McLaren, a special assistant U.S. attorney for the district and criminal enforcement counsel for EPA Region 10.
"Froggy Robber" Pleads Guilty to Armed Bank Robbery ChargesRead the Press Release
According to court documents, between November 2017 and April 2018, Sanchez-Lopez stole more than $87,000 from the following six banks in Oregon and Southwest Washington:
- On November 27, 2017, $9,710 was stolen from the Albina Community Bank located at 2002 NE Martin Luther King Jr. Boulevard in Portland.
- On December 27, 2017, $26,000 was stolen from the Wells Fargo Bank located at 8699 SW Main Street in Wilsonville, Oregon.
- On January 11, 2018, $11,580.99 was stolen from the Wells Fargo Bank located at 6785 Beaverton Hillsdale Highway in Beaverton, Oregon.
- On January 30, 2018, $6,720 was stolen from the U.S. Bank located at 52313 Columbia River Highway in Scappoose, Oregon.
- On February 12, 2018, $15,400 was stolen from the Wells Fargo Bank located at 1800 Main Street in Vancouver, Washington.
- On April 30, 2018, 33,357 was stolen from the Wells Fargo Bank located at 7200 NE Butler Street in Hillsboro, Oregon.
In all six robberies, Sanchez-Lopez jumped over the bank teller counter and threatened bank employees with a knife.
Each bank robbery charge carries a maximum sentence of 25 years in prison, a $250,000 fine and three years’ supervised release. Sanchez-Lopez will be sentenced on November 5, 2019 before U.S. District Court Judge Michael W. Mosman.
As a non-citizen and lawful permanent resident, Sanchez-Lopez’s guilty plea will subject him to removal from the U.S. by immigration authorities.
This case was investigated by the FBI and is being prosecuted by John C. Brassell, Assistant U.S. Attorney for the District of Oregon.
Eagle Point Drug Trafficker Sentenced to 120 Months in Federal Prison for Distributing MethamphetamineRead the Press Release
PORTLAND, Ore.—Rodrigo Caro-Gonzalez, 35, a noted drug trafficker residing in Eagle Point, Oregon, was sentenced today to 120 months in federal prison and five years’ supervised release for conspiring to distribute methamphetamine and illegally possessing a firearm.
According to court documents, the U.S. Drug Enforcement Administration (DEA) began investigating Caro-Gonzalez in May 2016. A few months later, based on a tip, the Oregon State Police (OSP) stopped a car driven by one of Caro-Gonzalez’s associates carrying more than 30 pounds of methamphetamine. The investigation of Caro-Gonzalez continued when, in March 2017, a person believed to have obtained methamphetamine from Caro-Gonzalez was stopped with approximately 16 pounds of methamphetamine.
Later in March 2017, a confidential source met with Caro-Gonzalez and a third associate. The group arranged a drug deal. The deal never occurred, but the associate was arrested a few days later with more than five pounds of methamphetamine. The DEA then executed a search warrant at Caro-Gonzalez’s Eagle Point residence and seized $9,585, an AK-style firearm, a thirty-round magazine, a pistol and ammunition. Caro-Gonzalez admitted to being in the U.S. illegally, making his possession of the weapons unlawful.
On April 2, 2019, Caro-Gonzalez pleaded guilty to one count each of conspiracy to distribute and possess with the intent to distribute methamphetamine and possessing a firearm as an illegal alien.
This case was investigated by DEA, the Springfield Police Department, INET and OSP and prosecuted by Jeffrey Sweet, Assistant U.S. Attorney for the District of Oregon.
The case was brought as part of Project Safe Neighborhoods (PSN). PSN is 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.
Trail, Oregon Couple Sentenced to Federal Prison for Serial Bank RobberyRead the Press Release
EUGENE, Ore.—An Oregon couple was sentenced today to federal prison for robbing six banks in four Southern Oregon counties over a two month period.
John Steven Shepard, 38, of Trail, Oregon, was sentenced to 51 months in prison and three years’ supervised release. Kimberly Ann Blank, 39, also of Trail, was sentenced to 33 months in prison and three years’ supervised release.
According to court documents, on January 27, 2017, Shepard robbed the Evergreen Bank in Rogue River, Oregon. He fled with $1,950 in a vehicle driven by Blank. During the robbery, Shepard wore a cowboy hat and a jacket, the first of many disguises.
Five days later, Shepard robbed the Key Bank in Grants Pass, Oregon wearing a wig, glasses and a hat. He left the bank with $10,145 as a security dye pack hidden in the money spewed a cloud of red smoke. A witness said it looked like a road flare had gone off in Shepard’s pocket. Again, he fled in a vehicle driven by Blank.
Between February 7 and March 30, 2017, Shepard, wearing various disguises, robbed four additional banks with Blank’s assistance: Banner Banks in Riddle and Cottage Grove Oregon, a Bank of the Cascades in Medford, Oregon, and an Umpqua Bank in Ashland, Oregon.
After their final robbery, police located Blank in a vehicle matching the description of the getaway vehicle used in previous robberies. Shepard was located nearby in a second vehicle. Both were released while police obtained search warrants for Blank’s car and the couple’s residence in Trail. On April 4, 2017, Shepard and Blank were arrested in Fortuna, California.
During sentencing, U.S. District Court Judge Ann L. Aiken ordered Shepard and Blank each to pay $31,045 in restitution. On April 17, 2019, Shepard and Blank each pleaded guilty to multiple counts of bank robbery.
This case was investigated by the FBI working together with the City of Medford, Grants Pass, Cottage Grove, Ashland and Rogue River Police Departments and the Douglas County Sheriff’s Office. It was prosecuted by Jeffrey Sweet, Assistant U.S. Attorney for the District of Oregon, working together with the Josephine and Jackson County District Attorney’s Offices.
Repeat Offender Sentenced to 125 Months in Federal Prison for Dealing MethamphetamineRead the Press Release
EUGENE, Ore.—Randall Neal Wynn, 59, of Goshen, Oregon, was sentenced today to 125 months in federal prison and five years’ supervised release for possessing methamphetamine.
According to court documents, Wyn’s criminal history spans nearly four decades. His drug, gun and elude offenses date back to the 1980s, and he has previously been sentenced to prison on at least six separate occasions, including a 17-year sentence imposed in 1993.
After multiple supervised release violations and four additional years in prison, Wynn’s criminal behavior continued. A Lane County Interagency Narcotics Team (INET) investigation revealed, in 2017, that Wynn was again dealing methamphetamine. INET arrested Wynn twice in 2017, after searches led to the seizure of narcotics, weapons and cash.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) also investigated Wynn, as did the City of Springfield and Cottage Grove, Oregon Police Departments. On March 22, 2018, ATF arrested Wynn in Cottage Grove, seizing more than a pound of methamphetamine and a quarter pound of heroin.
Wynn’s criminal conduct has repeatedly endangered the public. In 1985, Wynn eluded police in a vehicle, nearly striking two officers; in 1993, while under the influence of drugs and alcohol, he seriously injured a woman in a head-on crash, causing her to be taken by life flight to a Portland-area hospital; and on multiple occasions in 2018, Wynn evaded police in dangerous vehicle escapes.
On December 12, 2018, Wynn pleaded guilty to two counts of possession with intent to distribute methamphetamine.
This case was investigated by ATF, INET and the City of Springfield and Cottage Grove Police Departments, with assistance from the U.S. Marshals Service. It was prosecuted by Jeffrey Sweet, Assistant U.S. Attorney for the District of Oregon, working with the Lane County District Attorney’s Office.
Third Portland-Area Man Sentenced in Methamphetamine Trafficking ConspiracyRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that a third Portland-area man was sentenced to federal prison for his role in a conspiracy to traffic large quantities of methamphetamine into the Portland Metropolitan Area.
Ulises Mayares Jr., 26, of Portland, was sentenced today to 48 months in prison and five years’ supervised release for conspiracy to possess with the intent to distribute methamphetamine.
Mayares’ sentence follows two sentences previously imposed for related conduct. On June 3, 2019, Francisco Alvarez, 49, also of Portland, was sentenced to 188 months in prison and five years’ supervised release. On May 1, 2019, Carlos Ortega-Estrella, 35, of Beaverton, Oregon, was sentenced to 140 months in prison and five years’ supervised release.
According to court documents, over a period of years, Alvarez, a convicted felon, supervised a drug trafficking organization responsible for obtaining hundreds of pounds of methamphetamine from a supplier for distribution in and around Portland. He was typically the only person in the trafficking organization who had direct contact with Ortega-Estrella, his supplier.
Alvarez supervised multiple runners, including Mayares, who stored methamphetamine, firearms and large amounts of cash in locations throughout Multnomah County. Mayares was Alvarez’s closest associate and supervising runner. He was responsible for obtaining methamphetamine from Alvarez, storing it, giving it to other runners to distribute and collecting money from other runners for their services. Mayares admitted to making some deliveries himself and, at times, dealing directly with Ortega-Estrella.
Ortega-Estrella would transport large quantities of drugs from California and deliver them to Oregon. He maintained two separate residences in Beaverton, Oregon to store and repackage methamphetamine, heroin and cocaine. Upon searching these properties, investigators found several pounds of these drugs along with two assault-style weapons, four semiautomatic pistols and approximately $90,000 in cash.
In a search of Mayares’ residence, investigators seized an additional 28 pounds of methamphetamine, $90,000 in cash, and two handguns.
Ortega-Estrella pleaded guilty to possession with intent to distribute methamphetamine on June 20, 2018. Alvarez and Mayares each pleaded guilty to conspiracy to possess with the intent to distribute methamphetamine on March 11 and 21, 2019, respectively.
This case was investigated by the U.S. Drug Enforcement Administration (DEA), the Gresham Police Department and the Multnomah County Sheriff’s Office. It was prosecuted by the U.S. Attorney’s Office for the District of Oregon.
Yamhill County Photographer Charged with Producing Child PornographyRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that Robert Arnold Koester, 52, a photographer from Yamhill County, Oregon, has been charged with six counts of production of child pornography.
According to the indictment, beginning in January 2015, Koester is alleged to have knowingly coerced six minor victims in Oregon to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct.
Koester is a suspected serial sexual predator who took nude photos of models and is alleged to have sexually assaulted many of these models, some of whom are minors. Koester, also known as Bert Kay, Rhake Winter, and Qitooly, has potentially been engaging in these criminal acts since 1994, continuing until his initial arrest in Carlsbad, California, on November 13, 2018.
Koester faces dozens of additional state and federal charges for related criminal conduct in Yamhill County and Carlsbad. On November 15, 2018, Koester was charged in San Diego County Superior Court with six felony counts involving sex crimes against minors. A week later, 35 additional related state charges were added. On February 6, 2019, Koester was charged with 32 related felony charges in Yamhill County Circuit Court. And finally, on March 7, 2019, Koester was charged in a two-count criminal information with production of child pornography by the U.S. Attorney’s Office in the Southern District of California.
Federal law enforcement officials across the country have been working closely with local law enforcement in Carlsbad, Yamhill County and elsewhere to identify potential victims in this case. The FBI has created an online system to collect victim information.
If you have information about this ongoing investigation or believe you or someone you know may have been victimized by Koester, the FBI requests that you complete this secure, confidential online questionnaire. Information and tips from the public may also be submitted confidentially via email to [email protected].
Identified victims may be eligible for certain services and rights under federal and/or state law. More information is available at fbi.gov/modelcase.
This case was investigated by the FBI in Portland and San Diego, the Yamhill County Sheriff’s Office and the Carlsbad Police Department. It is being prosecuted by Ravi Sinha, 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.
Area Man Sentenced to 110 Months in Federal Prison for Bank RobberyRead the Press Release
EUGENE, Ore.—Dannie Kay Alston, 67, was sentenced today to 110 months in federal prison and three years’ supervised release for robbing four Oregon and Southwest Washington banks in a four-week period beginning in August 2017. Alston has no known permanent residence.
On February 21, 2019, Alston pleaded guilty in federal court to the following bank robberies:
- August 7, 2017; Chase Bank in Vancouver, Washington; collecting $2,300
- August 15, 2017; Wells Fargo Bank in Medford, Oregon; collecting $4,690
- August 24, 2017; Wells Fargo Bank in Salem, Oregon; collecting $1,317
- September 9, 2017; First Interstate Bank in Roseburg, Oregon; collecting $3,441
In each of his robberies, Alston attempted to disguise his identity by wearing sunglasses and some type of ball or ski cap. He communicated with the targeted bank tellers primarily through handwritten notes or signs. At his last robbery, in Roseburg, witnesses were able to provide a description of Alston’s getaway vehicle, leading to his quick arrest by the Oregon State Police. Police recovered the note used in the Roseburg robbery, a starter’s pistol with loaded caps, a Taser, sunglasses, wig and $3,441 cash from Alston’s person and vehicle.
Alston is a career offender with a criminal history spanning five decades and four states. He has previous burglary convictions in California and Texas, robbery convictions in California, Florida and Oregon, as well as assault, theft and narcotics convictions.
During sentencing, U.S. District Court Judge Michael J. McShane ordered Alston to pay $11,748 in restitution.
This case was investigated by the FBI, Clark County Washington Sheriff’s Office, Medford Police Department, Oregon State Police and Roseburg Police Department. It was prosecuted by Pamela Paaso, Assistant U.S. Attorney for the District of Oregon.
The case is part of Project Safe Neighborhoods (PSN). PSN is 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.
Lake Oswego Man Sentenced to Federal Prison for Distributing Fentanyl from China Leading to Overdose DeathRead the Press Release
PORTLAND, Ore.—Joseph Richard Caruso, 34, a prolific darknet narcotics vendor residing in Lake Oswego, Oregon, was sentenced today to 87 months in federal prison and three years’ supervised release for illegally distributing fentanyl that was linked to a 2017 fatal overdose in Wisconsin.
“A highly-coordinated effort by four law enforcement agencies led to Mr. Caruso’s arrest less than two days after his most recent inbound fentanyl package was discovered. It’s this sort of nimble and decisive law enforcement work that’s required to keep synthetic opioids off of our streets and prevent additional overdoses,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “I applaud the tremendous work of everyone involved in this case.”
“This sentence is a significant step forward in eliminating deadly drugs from our community,” said Brad Bench, Special Agent in Charge of HSI Seattle. “Fentanyl is an extremely deadly substance. Blatant disregard for the safety of those who could have come into contact with it will not be tolerated. This case is a testament to the hard work HSI, and our law enforcement partners, do every day to combat these drugs from making it to our streets.”
According to court documents, on November 19, 2017, a U.S. Postal Inspection Service inspector discovered a suspicious package addressed to Caruso at the U.S. Postal Service Portland Air Cargo Center. The package was transported to the Portland Police Bureau’s Drugs and Vice Division for further examination in a safe environment. Wearing a ventilated hood for protection, a Homeland Security Investigations (HSI) agent assigned to the High Intensity Drug Trafficking Area Interdiction Taskforce opened the heat-sealed package and found a clear Ziploc baggie containing a fine powdery substance. A test conducted the following day at the Oregon State Police Laboratory confirmed the substance was cyclopropylfentanyl, a power opioid and Schedule I controlled substance.
Investigators removed the cyclopropylfentanyl from the package and replaced it with an inert powder similar in appearance. On November 21, 2017, they conducted a controlled delivery of the package with the inert powder to Caruso’s residence in Lake Oswego. Shortly thereafter, Caruso was observed retrieving the package from his apartment postal box. HSI agents and other task force officers confronted Caruso and placed him under arrest.
On April 3, 2019, Caruso pleaded guilty to one count of distributing a controlled substance resulting in death. At sentencing, he was ordered to forfeit more than $764,000 and a 2013 Audi A4 sedan.
This case was investigated by the High Intensity Drug Trafficking Area Interdiction Taskforce, Homeland Security Investigations, the U.S. Postal Inspection Service and the Portland Police Bureau Drugs and Vice Division. It was prosecuted by Scott M. Kerin and Julia E. Jarrett, Assistant U.S. Attorneys for the District of Oregon.
The Oregon HIDTA program was established by the White House Office of National Drug Control Policy (ONDCP) in June of 1999. In 2015 the program expanded into Idaho and was renamed the Oregon-Idaho HIDTA. The Oregon-Idaho HIDTA consists of 14 counties and the Warm Springs Indian Reservation. Counties in the HIDTA include Oregon’s Clackamas, Deschutes, Douglas, Jackson, Lane, Linn, Malheur, Marion, Multnomah, Umatilla and Washington counties, and Idaho’s Ada, Bannock and Canyon counties.
Drug abuse affects communities across the nation, and opioid abuse continues to be particularly devastating. The CDC reports that from 1999 to 2016, more than 630,000 people have died from a drug overdoses. In 2016, 66% of drug overdose deaths involved an opioid. Drug overdose is now the leading cause of injury or death in the United States. In Oregon, the total number of deaths related to drug use increased 11 percent between from 2013 to 2017, with 546 known drug related deaths in 2017.
If you or someone you know suffers from addiction, please call the Lines for Life substance abuse helpline at 1-800-923-4357 or visit www.linesforlife.org. Phone support is available 24 hours a day, seven days a week. You can also text “RecoveryNow” to 839863 between 8am and 11pm Pacific Time daily.
Happy Valley Man Sentenced to 57 Months in Federal Prison for Distributing Fentanyl and Possessing a Machine GunRead the Press Release
PORTLAND, Ore.—Johnell Lee Cleveland, 37, of Happy Valley, Oregon, was sentenced today to 57 months in federal prison and three years’ supervised release for distributing cyclopropyl fentanyl, possessing a machine gun and money laundering.
According to court documents, in March 2018, the Portland Police Bureau (PPB), FBI, and IRS executed a series of search warrants on Cleveland’s residence in Happy Valley, his storage unit in Clackamas, Oregon and a stash house in Vancouver, Washington as part of an ongoing investigation of Cleveland, a suspected distributor of oxycodone pills in the Portland, Oregon metropolitan area.
During the search of Cleveland’s home in Happy Valley, investigators seized $27,372 in cash, seven firearms, a ballistic vest, and more than 300 suspected oxycodone pills wrapped in two plastic baggies. One of the firearms seized was a fully-automatic machine gun with a drum magazine. In Cleveland’s garage, investigators found a white Mercedes-Benz with exterior bullet holes believed to be involved in a December 2017 downtown Portland shooting that left one man critically injured.
In searches of Cleveland’s storage unit and the Vancouver stash house, investigators found an additional $124,040 in cash, more than 900 additional suspected oxycodone pills and more than $100,000 worth of jewelry and Rolex watches. Laboratory tests revealed that the suspected oxycodone were in fact counterfeit pills made with cyclopropyl fentanyl, a powerful synthetic opioid.
On March 22, 2019, Cleveland pleaded guilty to one count of conspiring to distribute cyclopropyl-fentanyl, one count of possessing a machine gun and two counts of money laundering. As part of his plea, Cleveland agreed to abandon any interest in the seized firearms and forfeit all criminally-derived proceeds as identified by the government.
Cleveland is currently awaiting trial in Multnomah County Circuit Court for attempted murder with a firearm related to the December 2017 shooting in Portland.
This case was investigated by PPB, FBI and IRS Criminal Investigation. It was prosecuted by Peter Sax and Benjamin Tolkoff, Assistant U.S. Attorneys for the District of Oregon.
Darknet Drug Dealer Sentenced to 86 Months in Federal PrisonRead the Press Release
PORTLAND, Ore.—Skylaar Daylan Ford, 24, of Portland, Oregon, was sentenced today to 86 months in federal prison and three years’ supervised release for using the darknet to sell ecstasy to customers across the U.S.
According to court documents, in June 2017, Ford was on post-prison supervision after a previous conviction for possession of a Schedule II controlled substance in Lane County Circuit Court. During a June 9, 2017 visit to and search of Ford’s Northeast Portland home, a Multnomah County Probation and Parole Officer found more than 100 grams of heroin. Upon discovery of the heroin, the probation and parole officer contacted the Portland Police Bureau for assistance. PPB officers and a Homeland Security Investigations (HSI) agent responded.
When the officers and agent arrived, they placed Ford under arrest and received consent to search his residence. During the search, the HSI agent located an unopened parcel addressed to Ford. The package was opened and found to contain nearly 500 grams of 3,4-methylenedioxymethamphetamine (MDMA) also known as “ecstasy” or “molly.” Ford admitted to purchasing the ecstasy from a vendor in the Netherlands and reselling on AlphaBay, a darknet marketplace. Investigators were later able to confirm that Ford had been an AlphaBay vendor since November 2016 and had completed more than 500 confirmed sales of ecstasy.
On January 9, 2019, Ford pleaded guilty to one count of possession with intent to distribute MDMA, a Schedule I controlled substance. As part of his plea agreement, Ford agreed to forfeit any property used to facilitate his crimes as identified by the government.
This case was investigated by HSI and the Portland Police Bureau. It was prosecuted by Scott M. Kerin, Assistant U.S. Attorney for the District of Oregon.
Warm Springs Man Sentenced to 25 Years in Federal Prison for the Repeated Sexual Abuse of a ChildRead the Press Release
PORTLAND, Ore.—Robert Glenn Warner, 36, a member of the Confederated Tribes of the Warm Springs Indian Reservation, was sentenced today to 300 months in federal prison and 10 years’ supervised release for the repeated sexual abuse and rape of an 11-year-old child.
“This young victim demonstrated tremendous courage in reporting Warner’s repeated abuse and fully participating in the judicial process. Her brave actions put in motion our ability to stop this heinous crime and prosecute the defendant. The U.S. Attorney’s Office remains fiercely committed to holding child predators accountable and safeguarding the rights and dignity of victims,” said Billy J. Williams, U.S. Attorney for the District of Oregon.
“Warner used his position of power to perpetrate multiple, violent sexual assaults on a victim who was vulnerable and accessible. We are thankful to the victim, who has shown great strength, and to our partners at the Warm Springs Tribal Police who help end the abuse of this child,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon.
According to court documents, in July 2016, the victim, a minor member of the Warm Springs Tribe, told a friend’s mother that they had been repeatedly sexually abused and raped by Warner, a person known to the victim. Most recently, Warner raped the victim in a trailer parked in a wood cutting lot on the outskirts of the Warm Springs Reservation. The victim reported the abuse to the Warm Springs Tribal Police Department and Warner was arrested the same day.
On July 16, 2018, Warner pleaded guilty to one count of abusive sexual contact with a minor before U.S. District Court Judge Michael H. Simon.
This case was investigated by the Warm Springs Tribal Police Department and the FBI. It was prosecuted by Natalie Wight, 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 (503) 224-4181 or submit a tip online at tips.fbi.gov.
On March 3, 1994, the FBI initiated “Operation Safe Trails” with the Navajo Department of Law Enforcement in Flagstaff, Arizona. The operation, which would later evolve into the Safe Trails Task Force (STTF) Program, unites FBI and other federal, state, local, and tribal law enforcement agencies in a collaborative effort to combat the growth of crime in Indian Country. STTFs allow participating agencies to combine limited resources and increase investigative coordination in Indian Country to target violent crime, drugs, gangs, and gaming violations.
Oregon Man Pleads Guilty for Instagram Threats Against Portland Mayor Ted WheelerRead the Press Release
PORTLAND, Ore.—Kermit Tyler Poulson, 40, pleaded guilty today to one count of transmitting threatening communications with the intent to extort Portland Mayor Ted Wheeler.
According to court documents, on October 9, 2018, Poulson posted multiple threatening comments on Mayor Wheeler’s personal Instagram account. Poulson threatened to firebomb the mayor’s home if he did not immediately fire a Portland police officer recently involved in an on-duty shooting. Investigators tracked the IP address associated with the comments to a Portland residence where Poulson was staying. Poulson was present when investigators searched the property and after initially making a number of misleading statements, admitted that he alone was responsible for the comments.
Poulson faces a maximum sentence of two years in prison, a $250,000 fine and three years of supervised release. He will be sentenced on October 2, 2019 before U.S. District Court Judge Michael H. Simon.
As part of the plea agreement, Poulson has agreed to forfeit property used to facilitate his crimes identified by the government prior to sentencing.
This case was investigated by the Portland FBI Joint Terrorism Task Force (JTTF) and the Portland Police Bureau (PPB). The Portland JTTF includes FBI special agents and more than a dozen state and local law enforcement officers.
Bandon Educational Assistant and Coach Sentenced to 30 Years in Federal Prison for Sexually Abusing an InfantRead the Press Release
MEDFORD, Ore.—U.S. Attorney Billy J. Williams announced today that former Bandon School District educational assistant and coach Sean Jeffrey Haga, 33, was sentenced to 360 months in federal prison and a life term of supervised release for sexually abusing a 2-month-old infant and distributing photos of the abuse on the internet.
“Mere hours passed between FBI agents first discovering the photographic evidence of Sean Haga’s abuse online and their rescue of the infant victim assisted by local law enforcement. Unfortunately, Haga’s victimization of this child did not stop with his arrest. These images will continue to be circulated on the internet forever, a heartbreaking fact this child will one day come to understand,” said U.S. Attorney Williams. “We believe the sentence imposed will prevent Haga from abusing other children and hope that it brings some measure of solace and comfort to the victim’s family and community.”
“The sexual abuse of this victim—an infant—is reprehensible. Sean Haga's further exploitation of this baby as he shared that abuse with other pedophiles is unconscionable. I want to thank the FBI agents and local partners at the Bandon Police Department and Coos County Sheriff's Office who worked around the clock to rescue this child and arrest Haga,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon.
On June 17, 2016, Haga shared photos depicting the sexual abuse of children online with an undercover FBI task force officer using Kik Messenger, an instant messaging mobile application. Haga told the undercover officer that he wanted to travel to have sex with the officer’s minor daughter and that he possessed photos of himself sexually abusing a minor victim. Haga sent multiple pictures depicting this abuse to the undercover officer.
The FBI worked through the night to identify the person associated with the Kik account and the location from which it was being used. Based on the information collected, FBI agents from the Medford Resident Agency were able to obtain search and arrests warrants for Haga who was arrested on June 18, 2016 without incident.
On April 25, 2018, Haga pleaded guilty to one count of sexual exploitation of a minor.
This case was investigated by the FBI and prosecuted by Judi Harper and Amy Potter, Assistant U.S. Attorneys for the District of Oregon.
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.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at (503) 224-4181 or submit a tip online at tips.fbi.gov.
U.S. Attorney's Office to Join FBI, Local Law Enforcement for House of Worship Safety SeminarRead the Press Release
PORTLAND—U.S. Attorney Billy J. Williams announced today that the U.S. Attorney’s Office will join the FBI and other Portland area law enforcement agencies to host a safety and security seminar for faith communities.
Leaders and subject matter experts from the U.S. Attorney’s Office, the FBI, Oregon State Police, Portland Police Bureau and the Multnomah, Clackamas and Washington County Sheriffs’ Offices will jointly present information designed to support and update existing house of worship security protocols and preparedness measures.
All senior faith leaders and congregation security personnel in Multnomah, Clackamas and Washington counties are encouraged to attend. The training will include a robust question and answer period.
Please note: this training is being offered for information and preparedness purposes only and is not responsive to any active or known threats to area congregations.
WHAT: Safety Seminar for Faith Communities
WHEN: Sunday, June 30, 2019 from 3:00-6:00pm PDT
WHERE: Congregation Neveh Shalom—2900 SW Peaceful Lane, Portland, Oregon
This training is free and designed for senior faith leaders and congregation security personnel.
A news conference featuring senior leaders from OneCOP and participating law enforcement agencies will be held on Thursday, June 27, 2019 at 12:30 p.m. on the 15th floor of the Justice Center (Chief's Office Conference Room). Media can arrive at 12:00 p.m. for set-up and a representative will meet interested media in the lobby to assist with entry.
Attorney General's Advisory Subcommittee on Native American Issues Meets to Discuss Violent Crime in Indian CountryRead the Press Release
WASHINGTON— Attorney General William P. Barr’s Advisory Subcommittee on Native American Issues (NAIS) convened this week during the U.S. Attorney’s National Conference in Washington, D.C., to discuss a wide range of justice issues affecting Indian Country, announced U.S. Attorney Trent Shores, Subcommittee Chair, U.S. Attorney Kurt Alme, Subcommittee Vice Chair and U.S. Attorney Billy J. Williams, Subcommittee Member.
“The Native American Issues Subcommittee is focused on reducing violent crime against women and children in Indian Country, including missing and murdered indigenous persons,” said U.S. Attorney Trent Shores. “I am thankful for Attorney General Barr’s leadership on these issues. He understands the law enforcement and jurisdictional challenges faced by Native Americans and Alaska Natives. We look forward to working with him and with our federal, tribal, state and local partners to find viable solutions that will improve public safety in Indian country.”
“Pursuing justice on behalf of native women is a priority for our office and has been for many years. We are deeply committed to the advancing rights of native women, increasing their access to justice, and combatting invisibility and erasure” said Billy J. Williams, U.S. Attorney for the District of Oregon. “Reducing violence in tribal communities, especially against native women, is a sacred duty. I look forward to continuing to work with my colleagues from the Native American Issues Subcommittee on this issue and many others affecting public safety in Indian Country.”
On Tuesday, the NAIS met with Tara Katuk Mac Lean Sweeney, Assistant Secretary of Indian Affairs, Department of the Interior, and discussed cross-agency collaboration in order to provide more responsive and effective justice services to Indian Country. They further discussed Indian Country case investigations, case intake and tracking databases, and tribal law enforcement resource allocation. The NAIS also reviewed President Trump’s priorities for Indian Country justice. Those priorities include protecting Native American children in the Indian Health Services system, collaboration among Department of Justice, the Department of the Interior, and tribal law enforcement agencies, reducing violent crime, and providing services to help victims to overcome trauma.
On Wednesday, Trent Shores, NAIS Chair and U.S. Attorney for the Northern District of Oklahoma, moderated a panel titled Murdered and Missing Indigenous Women: A Crisis in Urban America & Indian Country. Panelists included Charles Addington, Director of the Office of Justice Services, Bureau of Indian Affairs; Kurt Alme, U.S. Attorney for the District of Montana; Tracy Toulou, Director of the Office of Tribal Justice; Laura Rogers, Acting Director of the Office on Violence Against Women; and Bryan Vorndran, Deputy Assistant Director of the FBI. The panel discussed the development and implementation of protocols to investigate murdered and missing indigenous persons and how to more accurately measure the scope of the problem in both urban America and Indian Country in order to develop strategies to address it.
In August, the subcommittee is scheduled to reconvene in Indian Country in New Mexico.
The NAIS consists of the approximately 53 U.S. Attorneys serving in districts that include Indian Country or one or more federally recognized tribes. The NAIS focuses exclusively on Indian Country issues, both criminal and civil, and makes policy recommendations to the Attorney General regarding public safety and legal issues that impact tribal communities.
The NAIS is the longest standing subcommittee to the Attorney General’s Advisory Committee and helps develop, shape, and otherwise implement justice policies affecting Native Americans and Alaska Natives. The NAIS has identified four priority areas: 1) Violent crime 2) Law enforcement resources 3) Drug trafficking and substance abuse, and 4) White collar crime.
Portland Man Pleads Guilty to Cyberstalking and Anonymous Telephone HarassmentRead the Press Release
PORTLAND, Ore.—On June 24, 2019, Bob Ibenne Ugwa, 50, of Portland, pleaded guilty to cyberstalking and anonymous telecommunications harassment after making repeated threatening and harassing telephone calls to seven individuals over an eight-year period.
According to court documents, between 2011 and 2018, Ugwa made thousands of anonymous, interstate telephone calls from Oregon to seven victims in Pennsylvania. In these calls, Ugwa threatened or harassed each victim by breathing heavily, moaning, and saying sexually explicit things. Telephone records were used to confirm Ugwa’s threatening calls. Each of the victims made multiple unsuccessful attempts to stop Ugwa from calling, citing substantial emotional distress.
Ugwa faces a maximum sentence of five years in prison, a $250,000 fine and three years of supervised release. He will be sentenced on September 10, 2019 before U.S. District Court Judge Michael W. Mosman.
This case was investigated by the FBI and is being prosecuted by Hannah Horsley, Assistant U.S. Attorney for the District of Oregon.
Former President of Oregon Foster Care Agency Sentenced to Federal Prison for Theft, Money Laundering and Tax EvasionRead the Press Release
PORTLAND, Ore.—Mary Holden Ayala, 59, of Portland, was sentenced today to 33 months in federal prison and three years’ supervised release for stealing over $1 million from an Oregon foster care agency, money laundering and filing false personal income tax returns.
On February 7, 2019, after eight days of trial, Ayala was convicted by a federal jury in Portland on five counts of theft concerning programs receiving federal funds, two counts of engaging in monetary transactions in criminally derived property and seven counts of filing a false federal tax return.
From at least 2008 to 2015, Ayala, a longtime Portland resident, served as the President, Executive Director and primary agent of Give Us This Day (GUTD), a private foster care agency and residential program for youth.
“Mary Holden Ayala was responsible for protecting and caring for children in Oregon’s foster care system. Instead she callously stole from them,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “Stealing from vulnerable children she was entrusted to serve with taxpayer money is a despicable act and warrants severe consequences.”
“Foster children have already lost almost everything—their parents, their homes, their sense of security. Mary Holden Ayala took from them the last thing they had—faith in a foster care system that is supposed to give them a chance at a better life. To steal from society’s most vulnerable children to enrich yourself is simply unconscionable,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon.
“Mary Ayala’s crimes include stealing funds intended to provide support for juvenile foster kids entrusted in her care, spending the funds selfishly on a luxurious lifestyle, and then hiding her personal use of the funds by filing false tax returns,” said IRS Criminal Investigation Special Agent in Charge Justin Campbell. “Today’s sentence holds Ayala accountable. IRS Criminal Investigation is proud to work with our partners and investigate those who steal from the most vulnerable in our society.”
“Stealing money meant to pay for foster care expenses is reprehensible,” said Special Agent in Charge Steven Ryan of the HHS Office of Inspector General. “Such greed-fueled fraud can impact those in need and cheats taxpayers; however, today’s sentence shows that our hardworking investigators and law enforcement partners are committed to making sure criminals are held accountable for their actions.”
According to court documents, since its inception in 1979, GUTD was primarily funded by the Oregon state and federal government for foster care services including hiring and screening foster parents for community placements, compensating foster parents for services and placing foster children in residential or group homes. GUTD federal funding originated from the Administration for Children and Families, a division of the U.S. Department of Health and Human Services, and was administrated by ODHS.
From 2009 through 2015, Ayala exercised sole and complete control over GUTD finances. No other GUTD employee or board member had access to the organization’s bank accounts or statements during this time. With no internal controls in place, Ayala wrote checks, used the GUTD debit card and withdrew cash at will, using the organization’s bank accounts as her own.
Ayala used the money stolen from GUTD to pay her mortgage, remodel her home and fund other retail, travel and transportation expenses. Additionally, she used the money to fund other, non-GUTD business ventures including a media company, Big Mary’s fish and ribs restaurant in Portland, and to purchase and flip a commercial property.
In total, Ayala stole over $1 million from GUTD. As a result, her employees, foster parents and foster children in GUTD’s care suffered. GUTD residential house managers complained about a lack of basic necessities, including but not limited to food, toiletries and cleaning supplies.
In 2015, the day after Ayala resigned her position at GUTD, she filed five false federal income tax returns for tax years 2009 through 2013. Shortly thereafter, she filed a sixth false return for tax year 2014. Ayala failed to file a tax return in 2015.
During sentencing, U.S. District Court Judge Marco A. Hernandez ordered Ayala to pay $239,192 in restitution to the IRS and $1,025,235 to satisfy a forfeiture money judgement. The court also forfeited to the U.S. more than $451,000 in net proceeds from the sale of a commercial property on NE Martin Luther King Boulevard in Portland that Ayala purchased with stolen GUTD funds.
In a superseding indictment returned on May 3, 2017, a federal grand jury in Portland charged Ayala with five counts of theft concerning programs receiving federal funds, one count of concealment of money laundering, one count of failure to file a personal federal tax return and two counts each of engaging in monetary transactions with criminally derived property and filing a false personal federal tax return. The government dropped the concealment of money laundering charge prior to trial.
This case was investigated by the FBI, the Department of Health and Human Services Office of Inspector General and IRS-Criminal Investigation. It was prosecuted by Donna Maddux, Clemon Ashley and Julia Jarrett, Assistant U.S. Attorneys for the District of Oregon.
Cottage Grove Man Sentenced to Federal Prison for Hash Oil ExplosionRead the Press Release
PORTLAND, Ore.—Eric L. Scully, of Cottage Grove, Oregon, was sentenced today to 78 months in federal prison and five years’ supervised release for endangering human life and illegally possessing and manufacturing marijuana during a November 2017 butane honey oil (BHO) explosion in Cottage Grove.
Scully was also sentenced to six months in prison for violating the supervised release conditions of a previous federal money laundering conviction. The two prison sentences will run consecutively, for a total of 84 months in prison.
According to court documents, on November 16, 2017, the Cottage Grove Police and Fire Departments responded to an explosion at a storage facility in Cottage Grove. Officers found Scully at a local hospital where he was being treated for serious burn injuries. Investigators later learned that, at the time of the explosion, at least three other individuals were inside the facility.
Two days later, Cottage Grove Police and U.S. Drug Enforcement Administration (DEA) agents executed a search warrant at the storage facility. Inside, they found a large, sophisticated, and unlicensed BHO extraction lab. BHO is a concentrated form of marijuana extracted using highly flammable or combustible solvents. During the search, agents found 1,200 pounds of processed marijuana, 728 marijuana plants and over 80 pounds of marijuana extract.
The investigation determined that while manufacturing BHO, one of Scully’s machines, located in a room containing highly combustible materials and equipment, caught fire. The machine and combustibles exploded, injuring Scully and placing the other individuals present at substantial risk of harm.
At the time of the explosion, Scully was on federal supervision stemming from a money laundering conviction from 2016. In that case, Scully owned and operated a large, illegal marijuana grow in Eugene from 2012 through 2014. That investigation found that Scully collected over $1,000,000 in proceeds from his illegal business, which fed a luxury lifestyle of high-end cars, watches, jewelry, clothing, real estate, and firearms. At the time of the search Scully’s properties in 2015, investigators uncovered over 230 pounds of marijuana, 219 marijuana plants, $179,860 in cash, and numerous high-value items and vehicles.
Scully pleaded guilty to money laundering and served a 90-day prison sentence at the beginning of 2017. While in prison, Scully continued to actively develop his illegal BHO business in Cottage Grove, and expanded the operation while on federal supervision up to the date of the explosion.
During sentencing, Scully was ordered to forfeit the personal property used to facilitate his crimes, which includes a truck, trailer, and over $25,000 in cash
On November 15, 2018, Scully pleaded guilty to one count each of endangering human life and illegally possessing and manufacturing marijuana.
This case was investigated by DEA and the Cottage Grove Police Department. It is being prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.
Lebanon, Oregon Business Owner Charged with Tax Evasion and Theft of Government FundsRead the Press Release
PORTLAND, Ore.—A federal grand jury in Portland returned a six-count indictment today charging Lebanon, Oregon business owner Robert A. Lund, 62, with evading $1.7 million in income taxes, failing to file individual income tax returns, obstructing or impeding the IRS and theft of government funds as part of a multi-year scheme to defraud the U.S.
According to the indictment, in June 2002, after an IRS audit and a lengthy period of litigation, the U.S. Court of Appeals for the Ninth Circuit affirmed a U.S. Tax Court finding that Lund owed more than $444,000 in underreported tax liabilities. After the ruling, the IRS Collection Division continued its efforts to collect the taxes Lund owed. In response, Lund sent the IRS frivolous correspondence, threatened to the sue the IRS Revenue Officers, attempted to quash various summonses and subpoenas, filed false bankruptcy petitions, transferred real property to nominees and used nominees to open financial accounts and conceal his income.
From December 2000 to November 2013, Lund incorporated or controlled over 160 nominee business entities and used them to conceal his assets and income from the IRS. He operated four businesses—a computer consulting company, a bookstore, a nutrition store and a scuba diving company—from a building in downtown Albany, Oregon. Additionally, he operated a trailer park in Sweet Home, Oregon from which he rented trailer units to individuals receiving government rental assistance.
Lund will be arraigned on July 10, 2019 in Portland.
This case was investigated by IRS Criminal Investigation and the Oregon Department of Human Services and is being prosecuted by Seth D. Uram and Clemon D. Ashley, Assistant U.S. Attorneys 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.
Warm Springs Man Sentenced to Federal Prison for Involuntary Manslaughter and Illegal Firearm PossessionRead the Press Release
PORTLAND, Ore.—Harold Blackwolf Jr., 35, of Warm Springs, Oregon, was sentenced today to 71 months in federal prison and three years’ supervised release for involuntary manslaughter and possession of a firearm as a convicted felon.
According to court documents, on September 28, 2017, Blackwolf was at a friend’s house on the Warm Springs Indian Reservation. While under the influence of alcohol, Blackwolf left his friend’s house and entered his Dodge Durango, a sport utility vehicle. Blackwolf drove away at a high rate of speed with his headlights off. As he was departing, he struck two adult men who were in the road, killing both. Blackwolf, a convicted felon, was arrested on April 20, 2018 and found to be in possession of a Taurus .38 special revolver.
A restitution hearing before U.S. District Court Judge Anna J. Brown will be held at a later date.
On February 27, 2019, Blackwolf pleaded guilty to two counts of involuntary manslaughter and one count of felon in possession of a firearm.
This case was investigated by the FBI and the Warm Springs Tribal Police Department. It was prosecuted by Paul Maloney, Benjamin Tolkoff and Craig Gabriel, Assistant U.S. Attorneys for the District of Oregon.
On March 3, 1994, the FBI initiated “Operation Safe Trails” with the Navajo Department of Law Enforcement in Flagstaff, Arizona. The operation, which would later evolve into the Safe Trails Task Force (STTF) Program, unites FBI and other federal, state, local, and tribal law enforcement agencies in a collaborative effort to combat the growth of crime in Indian Country. STTFs allow participating agencies to combine limited resources and increase investigative coordination in Indian Country to target violent crime, drugs, gangs, and gaming violations.
Umatilla Woman Sentenced to Federal Prison for Scissor AttackRead the Press Release
PORTLAND, Ore.—Christina Sue Barkley, 30, an enrolled member of the Confederated Tribes of the Umatilla Indian Reservation and resident of Pilot Rock, Oregon, was sentenced today to 21 months in federal prison and three years’ supervised release for assault with a dangerous weapon.
According to court documents, during a psychotic episode on March 31, 2018, Barkley came into a room where another adult member of the tribe was making necklaces and stabbed the victim with a pair of scissors. The victim tried to get away, but she fell while backing away from Barkley. Barkley jumped on top of the victim and continued stabbing her. The assault continued until the victim’s spouse walked into the room and pulled Barkley off the victim.
The victim sustained multiple serious injuries, was taken to St. Anthony Hospital in Pendleton, Oregon and later transported via Life Flight to Oregon Health and Sciences University in Portland for additional treatment.
During sentencing, U.S. District Court Judge Michael W. Mosman ordered Barkley to continue mental health treatment, substance abuse treatment, and to participate in anger management and family counseling as part of her supervised release.
On February 20, 2019, Barkley pleaded guilty to one count of assault with a dangerous weapon.
This case was investigated by the FBI and the Umatilla Tribal Police Department. It was prosecuted by Jennifer Martin, Assistant U.S. Attorney for the District of Oregon.
Otis, Oregon Man Sentenced to Eight Years in Federal Prison for Distributing Child Pornography Using DropboxRead the Press Release
PORTLAND, Ore.—William Borges, 21, of Otis, Oregon, was sentenced today to 96 months in federal prison and five years’ supervised release for distributing child pornography.
According to court documents, investigators identified Borges in September 2016 as part of an ongoing investigation by the FBI’s Sacramento Field Office into the use of Dropbox, a cloud-based file sharing application, to distribute media depicting the sexual exploitation of children. A federal search warrant issued to Dropbox produced the email address Borges used to create a Dropbox account identified by investigators as containing child pornography. Investigators later matched three video uploads to Dropbox depicting the sexual abuse of young children to the IP address of Borges’ home in Otis. During a search of Borges’ home, he admitted to possessing child pornography and trading images and videos using Kik Messenger and Dropbox.
On November 13, 2018, Borges pleaded guilty to one count of distributing child pornography.
The FBI Sacramento Child Exploitation Task Force (CETF) and FBI Salem Resident Agency investigated this case. It was prosecuted by Amy Potter, Assistant U.S. Attorney for the District of Oregon.
The FBI’s CETF conducts sexual exploitation investigations—many of them undercover—in coordination with other federal, state, and local law enforcement agencies. The CETF is committed to locating and arresting those who prey on children as well as recovering underage victims of sex trafficking and child exploitation.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at (503) 224-4181 or submit a tip online at www.fbi.gov/tips.
Madras Man Sentenced to Probation for Discharging Firearm During Road Rage Incident on Warm Springs Indian ReservationRead the Press Release
PORTLAND, Ore.—Dat Quoc Do, 28, of Madras, Oregon, was sentenced today to three years’ probation after being convicted at trial for the unlawful use of a firearm during a road rage altercation on the Warm Springs Indian Reservation in September 2017.
According to court documents and information shared during trial, on September 14, 2017, Do was riding in the front passenger seat of a vehicle driven by his girlfriend. The two were driving at night eastbound on Highway 26 on the Warm Springs Indian Reservation when they came upon another eastbound vehicle being driven by an adult member of the tribe. Also in the second vehicle were the driver’s adult daughter and her 12-year-old niece.
Do’s girlfriend was driving aggressively and tailgating the crime victims’ vehicle for over a mile when the crime victim motioned for her to pass. At some point in the encounter, the driver’s adult teen daughter threw a water bottle at, but did not hit Do’s vehicle. In response, Do fired several shots out the front passenger window of their vehicle, but did not hit the crime victims’ vehicle. After the initial shooting, Do’s girlfriend raised the passenger window and continued to tailgate the other vehicle. When she had a clear lane to pass, Do’s girlfriend moved to change lanes.
As Do’s girlfriend began to overtake the other car, Do extended his hand holding a handgun out of their vehicle’s front passenger window. Believing that Do was pointing the gun in her direction, the victim driver rapidly applied her brakes. Do fired several additional rounds as they drove away.
The victim driver called Warm Springs Tribal Police to report the incident while continuing to follow Do’s vehicle. A patrol officer later stopped their vehicle and ordered Do and his girlfriend out at gunpoint. Both were taken into custody. Officers recovered a Springfield Armory XD .45 caliber handgun in the front-passenger door pocket of the vehicle and a .45 caliber magazine partially loaded with five rounds in the center console.
During sentencing, U.S. District Court Judge Michael H. Simon ordered Do to pay $1,158 in restitution to his victims to cover their lost wages during trial preparation and mileage to and from pretrial meetings, trial and sentencing in Portland.
On March 15, 2019, Do was convicted by a federal jury in Portland on two counts of unlawful use of a weapon.
This case was investigated by the FBI and the Warm Springs Tribal Police Department and prosecuted by Paul T. Maloney and Lewis S. Burkhart, Assistant U.S. Attorneys for the District of Oregon.
On March 3, 1994, the FBI initiated “Operation Safe Trails” with the Navajo Department of Law Enforcement in Flagstaff, Arizona. The operation, which would later evolve into the Safe Trails Task Force (STTF) Program, unites FBI and other federal, state, local, and tribal law enforcement agencies in a collaborative effort to combat the growth of crime in Indian Country. STTFs allow participating agencies to combine limited resources and increase investigative coordination in Indian Country to target violent crime, drugs, gangs, and gaming violations.
Former Aequitas Owner and Chief Financial Officer Pleads Guilty in Fraud and Money Laundering ConspiracyRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that Olaf Janke, a former owner and chief financial officer of Aequitas Management, LLC and several other Aequitas-owned entities, has pleaded guilty to conspiring to commit mail and wire fraud and money laundering.
According to court documents, Janke, 48, of Portland, Oregon, along with Brian A. Oliver, 54, of Aurora, Oregon and other unnamed co-conspirators, used the Lake Oswego, Oregon, company 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. Janke was the company’s chief financial officer and executive vice president until early 2015 and shared responsibility for the operation and management of Aequitas-affiliated companies and investment products as well as for the use of investor money.
From June 2014 through February 2016, Janke, Oliver and others solicited investors by misrepresenting the company’s use of investor money, the financial health and strength of Aequitas and its related companies, and the risks associated with its investments and investment strategies. Janke and his co-conspirators 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 March 2015, Janke ended his employment with the Aequitas companies and cashed out his equity in Aequitas Management. From January 2015 through June 2015, he received more than $1.3 million for his equity, knowing that it was paid with fraudulently obtained investor money.
Janke faces a maximum sentence of 30 years in prison, fines of $500,000 or twice the gross monetary gains or losses resulting from his crimes, and three years’ supervised release. He will be sentenced on September 25, 2019 before U.S. District Court Judge Michael H. Simon.
As part of the plea agreement, Janke has agreed to pay restitution in full to each of the victims as determined and ordered by the court.
Co-conspirator Oliver pleaded guilty to the same charges on April 19, 2019.
This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. It is being prosecuted by Scott E. Bradford and Ryan W. Bounds, Assistant U.S. Attorneys for the District of Oregon.
Pill Mill Clinic Manager Sentenced to Nine Years in Federal Prison for Illegal Opioid DistributionRead the Press Release
PORTLAND, Ore.—Osasuyi Kenneth Idumwonyi, 58, of Houston, Texas was sentenced today to 108 months in federal prison and three years’ supervised release for illegally distributing opioids.
According to court documents, in January 2015, Idumwonyi along with codefendant and former nurse practitioner Julie Ann DeMille opened the Fusion Wellness Clinic on Southeast 122nd Avenue in Portland. From the clinic’s opening until July 2016, DeMille illegally wrote thousands of prescriptions for opioids including oxycodone and hydrocodone.
Idumwonyi has a history of operating medical clinics purporting to offer legitimate pain management services. His earliest clinic was started in 2009 in Houston, Texas. To maintain an appearance of legitimacy, Idumwonyi would employ physicians or nurse practitioners who were willing to illegally prescribe controlled substances in a manner that would not draw the attention of law enforcement or state regulators.
Idumwonyi and DeMille first met in late 2010 or early 2011. A mutual acquaintance with healthcare industry experience knew of DeMille as someone who willing to write illegal prescriptions. At the time, DeMille lived in the Houston area and was licensed to dispense controlled substances by the State of Texas.
Idumwonyi hired DeMille after interviewing her about her willingness to write prescriptions for a specific combination of controlled substances that were in demand at the time in Houston. Idumwonyi and DeMille worked together at his clinics in Houston from early 2011 to mid-2014.
As early as 2013, DeMille began planning a move from Houston, Texas to Portland. She was attracted to Oregon where licensed nurse practitioners can write prescriptions without the oversight and approval of a physician. She moved to Portland in 2014 and was hired by a publicly funded, county health clinic. From the beginning, DeMille planned to subsidize her county income by operating an illegal opioid pill mill.
After DeMille arranged to lease an office for newly-created Fusion Wellness Clinic, Idumwonyi drove a moving truck from Houston to Portland with the equipment from their last pill mill. Idumwonyi chose not move to Oregon and instead made plans to commute between Houston and Portland each week.
From January 2015 to his arrest in July 2016, Idumwonyi served as the gatekeeper, office manager and enforcer for the Fusion Wellness Clinic. He oversaw the recruitment of new patients, reviewed intake paperwork, collected payments, coordinated with patients and DeMille to ensure the patients received the drugs they were seeking and supervised the clinic’s two other employees. Idumwonyi’s patient-recruiting efforts included visiting a Narcotics Anonymous meeting and a homeless shelter in search of people susceptible to opiate addiction.
Idumwonyi eventually began to require some patients to kick back a portion of their prescribed pills to him for the “privilege” of returning to the clinic for additional prescriptions. He also required other patients to sell him a portion of their oxycodone pills, which he gave to his girlfriend, who was heavily addicted to the drug.
Idumwonyi and DeMille split the clinic’s cash proceeds. In a typical day at the clinic, DeMille saw up to 20 patients, charging each $200 in cash. In 2015, the clinic generated at least $388,000 in revenue. In 2015 alone, according to data from the Oregon Prescription Drug Monitoring Program, DeMille wrote more than 1,940 prescriptions for controlled substances. Together, these prescriptions resulted in the distribution of more than 219,000 pills, 96.7% of which were opioids.
Idumwonyi pleaded guilty on February 28, 2017 to conspiring to distribute or dispense and possessing with intent to distribute or dispense oxycodone and hydrocodone.
During sentencing, U.S. District Court Judge Robert E. Jones ordered Idumwonyi to pay $294,000 to satisfy a forfeiture money judgement, representing illegal proceeds from the clinic that were traced to Idumwonyi’s bank accounts.
Codefendant DeMille was sentenced on March 26, 2019 to four years in federal prison for illegally distributing prescription opioids, filing a false tax return and lying to federal agents.
This case was investigated by the Drug Enforcement Administration, U.S. Marshals Service and Portland Police Bureau. It was prosecuted by Thomas S. Ratcliffe and Donna Brecker Maddux, Assistant U.S. Attorneys for the District of Oregon.
Drug abuse affects communities across the nation, and opioid abuse continues to be particularly devastating. The CDC reports that from 1999 to 2016, more than 630,000 people have died from a drug overdoses. In 2016, 66% of drug overdose deaths involved an opioid. Drug overdose is now the leading cause of injury or death in the United States.
In Oregon, the total number of deaths related to drug use increased 11 percent between from 2013 to 2017, with 546 known drug related deaths in 2017. Nearly half of all prescriptions for controlled substances filled at Oregon retail pharmacies in 2017 were for opioids. Oregon has one of the highest rates of prescription opioid misuse in the country, with an average of three deaths every week from prescription opioid overdose.
If you or someone you know suffers from addiction, please call the Lines for Life substance abuse helpline at 1-800-923-4357 or visit www.linesforlife.org. Phone support is available 24 hours a day, seven days a week. You can also text “RecoveryNow” to 839863 between 8am and 11pm Pacific Time daily.
Umatilla Man Sentenced for Strangling Victim Near ChildrenRead the Press Release
PORTLAND, Ore.—Joel Malcom Salt, 29, of Umatilla, Oregon, was sentenced today to time served, having already served 22 months in custody, plus three years’ supervised release for strangling his significant other in the presence of their four children.
According to court documents, on April 12, 2017, Salt, a Navajo Indian, violated a tribal protective order by going to the crime victim’s house. The victim is an enrolled member of the Confederated Tribes of the Umatilla Indian Reservation, who lives on the reservation with their four children. When Salt arrived at the house, he grabbed the victim by her hair, threw her to the ground in front of their children, and dragged her to the bedroom. Once in the bedroom, Salt pinned the victim to the floor, punched her and strangled her, causing her to lose consciousness several times.
To divert his attention, victim told Salt their children probably left the house to tell her father, who lived next door, that Salt was beating her. Hearing this, Salt released his victim and left the room to check. While he was out of the room, the victim escaped out of the window and ran to her father’s house. Her father retrieved the four children and called the police. Salt fled before the police arrived, but was later arrested.
On June 13, 2017, a federal grand jury in Portland returned a one-count indictment charging Salt with assault by strangulation. He pleaded guilty to the charge on November 27, 2018.
During sentencing, U.S. District Court Judge Anna J. Brown ordered Salt to attend an intensive batterer’s intervention program and to undergo substance abuse and mental health treatment. Among other conditions of supervision, Salt is prohibited from entering the Umatilla Indian Reservation or contacting the victim and their children without advance approval of his probation officer and notice to the United States Attorney’s Office.
This case was investigated by the Umatilla Tribal Police Department and FBI Portland’s Safe Trails Task Force. It was prosecuted by Jennifer Martin, Assistant U.S. Attorney for the District of Oregon.
The Safe Trails Task Force (STTF) unites FBI and federal, state, local, and tribal law enforcement agencies in a collaborative effort to combat the growth of crime in Indian Country. STTF allows participating agencies to combine limited resources and increase investigative coordination in Indian Country to target violent crime, drugs, gangs and gaming violations.
Un hombre de Oregón condenado a 15 meses de cárcel federal por un delito de odio con una iglesia en Eugene como objetivoRead the Press Release
Benjamín Jaramillo Hernández, de 70 años, de Eugene, Oregón, fue condenado ayer a 15 meses de cárcel federal y tres años de libertad vigilada por el delito de odio que cometió contra la iglesia católica St. Mary Catholic Church en Eugene en septiembre del 2018 y por la posesión ilícita de municiones. Eric Dreiband, el Fiscal General Auxiliar de la División de Derechos Civiles, y Billy J. Williams, el Fiscal Federal para el Distrito de Oregón lo anunciaron.
«El Departamento de Justicia no tolerará amenazas de violencia e intimidación odiosa», declaró el Fiscal General Auxiliar Eric Dreiband. «Tal y como se ha demostrado en este caso, la División de Derechos Civiles enjuiciará activamente a cualquier persona que vulnere el derecho de individuos o comunidades enteras al libre ejercicio de sus creencias religiosas».
«El Sr. Hernández empleó intimidación y amenazas de violencia para aterrorizar una congregación, pero el daño provocado por delitos de odio como este se extiende más allá de individuos específicos o los grupos que son el objetivo del mismo. Estos delitos amenazan la seguridad, la libertad y el bienestar de comunidades enteras», dijo Billy J. Williams, el Fiscal Federal para el Distrito de Oregón. «Ninguna condena puede revertir el daño causado por el Sr. Hernández, pero esperamos que ofrezca cierto sentido de justicia a los feligreses de St. Mary y a la comunidad entera de Eugene».
«Nuestro derecho a rezar de manera libre y sin miedo es fundamental en la vida en los Estados Unidos», comentó Renn Cannon, el Agente Especial Encargado del FBI en Oregón. «Sea cual sea su religión, el FBI y nuestros socios trabajaremos para proteger su derecho a expresar sus creencias y a vivir en paz».
Según los documentos judiciales, el 9 de septiembre del 2018, Hernández fue escoltado fuera de la propiedad de St. Mary tras un ataque de ira durante el sacramento de la comunión. Cinco días más tarde, el 14 de septiembre, un empleado de la iglesia informó a la Policía de Eugene que alguien había dispensado aerosol de pimienta en los mangos de las puertas exteriores y en la ranura para el correo de la puerta principal de la oficina de St. Mary. Los empleados declararon sentir una sensación de ardor en sus dedos y dificultades para respirar. Un policía de Eugene y un agente del FBI identificaron a Hernández en unas videosecuencias de vigilancia de la iglesia como la persona responsable de los dos incidentes.
El 16 de septiembre del 2018, a Hernández lo vieron nuevamente cerca de St. Mary. Un testigo vio a Hernández al otro lado de la calle de la iglesia cuando paró cerca de la Biblioteca Municipal de Eugene y gritó al testigo, «Aquí tengo algo para tí», mientras señalaba a una bolsa que llevaba consigo.
Varios días más tarde, el 20 de septiembre, los empleados de St. Mary avisaron que habían encontrado una nota amenazante y siete balas explosivas de una Sig de 10mm en la oficina. La nota amenazaba a la iglesia con «2 MP5 con 50 cartuchos cada uno», un tipo de metralleta. La nota concluyó así: «A Eugene lo van a poner en el [palabrota] mapa».
Un policía de Eugene revisó nuevamente las videosecuencias de vigilancia de la iglesia e identificó a Hernández como el individuo que había dejado la nota y las balas. El 21 de septiembre del 2018, Hernández fue detenido por la Policía de Eugene en la Biblioteca Municipal de Eugene. Durante un registro de Hernández, los agentes hallaron una lata parcialmente vacía de aerosol de pimienta, tres cartuchos de una escopeta .410 y 13 balas explosivas de una Sig de 10mm. Las balas de 10mm eran de la misma marca y el mismo calibre que las balas que se encontraron en St. Mary junto con la nota amenazante.
El 12 de febrero del 2019, Hernández se declaró culpable ante la lectura formal de dos cargos de obstrucción o intento a obstrucción al libre ejercicio de creencias religiosas y la posesión ilícita de municiones.
El personal y los feligreses de St. Mary Catholic Church han declarado que las amenazas de Hernández los han dañado físicamente y los ha dejado asustados y preocupados por su propia seguridad y sin la posibilidad de participar libremente en el ejercicio de sus creencias religiosas. El acoso ha afectado no solo a feligreses individuales sino a la parroquia completa. Varios miembros de la comunidad de St. Mary han declarado que la iglesia ha sufrido una baja en asistencia y en los donativos semanales tras la conducta de Hernández.
Este caso fue investigado por la Policía de Eugene y el FBI y enjuiciado por Gavin W. Bruce, un Fiscal Federal Auxiliar de la Fiscalía Federal de Oregón, Cameron Bell, un Abogado de Litigios de la División de Derechos Civiles.
Para más información sobre el trabajo del Departamento de Justicia por combatir y prevenir los delitos de odio, vaya a www.justice.gov/hatecrimes: es un único portal con enlaces a recursos del Departamento de Justicia relacionados con delitos de odio para la policía, los medios de comunicación, investigadores, víctimas, grupos de apoyo y otras organizaciones y personas.
Southern Oregon Man Sentenced to 46 Months in Federal Prison for Interstate Trafficking of MarijuanaRead the Press Release
PORTLAND, Ore.—Daniel Stewart Gregg, 67, of Ashland, Oregon, was sentenced today to 46 months in federal prison and two years’ supervised release for engaging in a conspiracy to traffic Oregon-grown marijuana across state lines.
According to court documents, in 2015, Illinois law enforcement seized a 354-pound load of marijuana originating in Southern Oregon, valued at approximately $885,000. Following the seizure, investigators seized more than $153,000 from the courier’s residence in North Carolina. Further investigation revealed that Gregg had coordinated this shipment and other later out-of-state shipments of marijuana.
On June 8, 2018, Gregg waived indictment and pleaded guilty to a single count of conspiring to distribute a controlled substance.
Gregg has a long history with controlled substances. He was convicted of marijuana possession in 1970 and 1975, of distributing a hallucinogen in 2004 for which he served 15 months in federal prison and of selling marijuana in 2012.
This case was investigated by the U.S. Drug Enforcement Administration (DEA), Homeland Security Investigations, Internal Revenue Service, Medford Police Department and prosecuted by Julia E. Jarrett and Steven T. Mygrant, Assistant U.S. Attorneys for the District of Oregon.
This case was brought as part of the Justice Department’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the department’s strategy for reducing the availability of drugs in the U.S. OCDETF was established in 1982 to mount a comprehensive attack on drug trafficking by disrupting and dismantling major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in coordination with state and local law enforcement.
Oregon Man Sentenced to 15 Months in Federal Prison for Hate Crime Targeting Eugene ChurchRead the Press Release
EUGENE, Ore.—Benjamin Jaramillo Hernandez, 69, of Eugene, Oregon, was sentenced today to 15 months in federal prison and three years’ supervised release for committing a hate crime targeting St. Mary Catholic Church in Eugene in September 2018 and illegally possessing ammunition. The announcement was made by Assistant Attorney General Eric Dreiband of Department of Justice’s Civil Rights Division and U.S. Attorney Billy J. Williams of the District of Oregon.
“Threats of violence and hateful intimidation will not be tolerated by the Department of Justice,” said Assistant Attorney General Dreiband. “As demonstrated by this case, the Civil Rights Division will vigorously prosecute those who violate the right of individuals or entire communities to freely exercise their religious beliefs.”
“Mr. Hernandez used intimidation and threats of violence to terrorize a single congregation, but the harm from hate crimes like this extends beyond the specific individuals or group targeted. These crimes threaten the security, freedom and well-being of entire communities,” said U.S. Attorney Williams. “No conviction can reverse the harm caused by Mr. Hernandez, but we hope it provides some measure of justice to St. Mary parishioners and the entire Eugene community.”
“Our right to worship freely and without fear is fundamental to life in America,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “Whatever your faith, the FBI and our partners will work to protect your right to express your beliefs and live in peace.”
According to court documents, on Sept. 9, 2018, Hernandez was escorted from St. Mary property following an angry outburst during the sacrament of communion. Five days later, on September 14, a church employee reported to the Eugene Police Department that someone had dispensed pepper spray on the exterior door handles and through the mail slot of the St. Mary office front door. Employees reported burning sensations in their fingers and respiratory distress. A Eugene police officer and FBI agent identified Hernandez in church surveillance footage as the person responsible for both incidents.
On Sept. 16, 2018, Hernandez was again spotted near St. Mary. A witness saw Hernandez across the street from the church when he stopped near the Eugene Public Library and shouted at the witness, “I’ve got something for you right here,” while pointing to a bag he was carrying.
A few days later, on Sept. 20, St. Mary employees reported finding a threatening note and seven 10mm Sig hollow point bullets left in the office. The note threatened the church with “2 MP5s w/ 50 rounds each,” a type of submachine gun. The note concluded: “Eugene is going on the [expletive] map.”
A Eugene police officer again reviewed church surveillance footage and identified Hernandez as the individual who dropped off the note and bullets. On September 21, 2018, Eugene Police arrested Hernandez at the Eugene Public Library. During a search of Hernandez’s person, officers located a partially empty can of pepper spray, three .410 shotgun shells, and thirteen 10mm Sig hollow point bullets. The 10mm bullets were the same brand and caliber as the bullets left at St. Mary with the threatening note.
On Feb. 12, 2019, Hernandez pleaded guilty to a two-count information charging him with obstruction or attempted obstruction of persons in the free exercise of their religious beliefs and unlawful possession of ammunition.
St. Mary Catholic Church staff and parishioners have reported that Hernandez’s threats have left staff and churchgoers physically injured, frightened, concerned about their own safety and unable to participate freely in the exercise of their religious beliefs. The harassment has not only affected individual parishioners, but the parish as a whole. Multiple members of the St. Mary community have reported that the church has experienced a drop in attendance and in weekly collections after Hernandez’s conduct.
This case was investigated by the Eugene Police Department and the FBI and prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon, and Cameron Bell, Trial Attorney for the Civil Rights Division.
For more information about the Department of Justice’s work to combat and prevent hate crimes, visit www.justice.gov/hatecrimes: a one-stop portal with links to department hate crimes resources for law enforcement, media, researchers, victims, advocacy groups, and other organizations and individuals.
Oregon Man Sentenced to 15 Months in Federal Prison for Hate Crime Targeting Eugene ChurchRead the Press Release
Benjamin Jaramillo Hernandez, 70, of Eugene, Oregon, was sentenced yesterday to 15 months in federal prison and three years’ supervised release for committing a hate crime targeting St. Mary Catholic Church in Eugene in September 2018 and illegally possessing ammunition. The announcement was made by Assistant Attorney General Eric Dreiband of Department of Justice’s Civil Rights Division and U.S. Attorney Billy J. Williams of the District of Oregon.
“Threats of violence and hateful intimidation will not be tolerated by the Department of Justice,” said Assistant Attorney General Eric Dreiband. “As demonstrated by this case, the Civil Rights Division will vigorously prosecute those who violate the right of individuals or entire communities to freely exercise their religious beliefs.”
“Mr. Hernandez used intimidation and threats of violence to terrorize a single congregation, but the harm from hate crimes like this extends beyond the specific individuals or group targeted. These crimes threaten the security, freedom and well-being of entire communities,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “No conviction can reverse the harm caused by Mr. Hernandez, but we hope it provides some measure of justice to St. Mary parishioners and the entire Eugene community.”
“Our right to worship freely and without fear is fundamental to life in America,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “Whatever your faith, the FBI and our partners will work to protect your right to express your beliefs and live in peace.”
According to court documents, on Sept. 9, 2018, Hernandez was escorted from St. Mary property following an angry outburst during the sacrament of communion. Five days later, on September 14, a church employee reported to the Eugene Police Department that someone had dispensed pepper spray on the exterior door handles and through the mail slot of the St. Mary office front door. Employees reported burning sensations in their fingers and respiratory distress. A Eugene police officer and FBI agent identified Hernandez in church surveillance footage as the person responsible for both incidents.
On Sept. 16, 2018, Hernandez was again spotted near St. Mary. A witness saw Hernandez across the street from the church when he stopped near the Eugene Public Library and shouted at the witness, “I’ve got something for you right here,” while pointing to a bag he was carrying.
A few days later, on September 20, St. Mary employees reported finding a threatening note and seven 10mm Sig hollow point bullets left in the office. The note threatened the church with “2 MP5s w/ 50 rounds each,” a type of submachine gun. The note concluded: “Eugene is going on the [expletive] map.”
A Eugene police officer again reviewed church surveillance footage and identified Hernandez as the individual who dropped off the note and bullets. On Sept. 21, 2018, Eugene Police arrested Hernandez at the Eugene Public Library. During a search of Hernandez’s person, officers located a partially empty can of pepper spray, three .410 shotgun shells, and thirteen 10mm Sig hollow point bullets. The 10mm bullets were the same brand and caliber as the bullets left at St. Mary with the threatening note.
On Feb. 12, 2019, Hernandez pleaded guilty to a two-count Information charging him with obstruction or attempted obstruction of persons in the free exercise of their religious beliefs and unlawful possession of ammunition.
St. Mary Catholic Church staff and parishioners have reported that Hernandez’s threats have left staff and churchgoers physically injured, frightened, concerned about their own safety and unable to participate freely in the exercise of their religious beliefs. The harassment has not only affected individual parishioners, but the parish as a whole. Multiple members of the St. Mary community have reported that the church has experienced a drop in attendance and in weekly collections after Hernandez’s conduct.
This case was investigated by the Eugene Police Department and the FBI and prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon, and Cameron Bell, Trial Attorney for the Civil Rights Division.
For more information about Department of Justice’s work to combat and prevent hate crimes, visit www.justice.gov/hatecrimes: a one-stop portal with links to Department of Justice hate crimes resources for law enforcement, media, researchers, victims, advocacy groups, and other organizations and individuals.
Portland Man Pleads Guilty to Production of Child PornographyRead the Press Release
PORTLAND, Ore.—Juan Carlos Ramon, 33, of Portland, pleaded guilty today to two counts of production of child pornography after sexually exploiting two minor victims, aged six and eight, using musical.ly, a social media application now known as TikTok.
According to court documents, on or about June 28, 2017, Ramon began communicating with two minors using the musical.ly app. He used the screen name “@lexithetiger” and pretended to be a minor female. Ramon encouraged his victims to play a “Simon Says” type game where he would send sexually explicit photos of a minor female and ask his victims to take and send him photos imitating the positions and acts depicted. The minor victims agreed and sent Ramon a series of progressively more explicit self-produced images. A relative of the two victims later discovered the communications and reported it to law enforcement.
Each count of production of child pornography carries a maximum sentence of 30 years in prison with a 15-year mandatory minimum, a $250,000 fine, a $5,000 special assessment and a life term of supervised release with a five-year mandatory minimum. Ramon will be sentenced on September 5, 2019 before U.S. District Court Judge Robert E. Jones.
As part of the plea agreement, Ramon has agreed to pay restitution to his victims identified by the government prior to sentencing and as ordered by the court.
This case was investigated by FBI Portland’s Child Exploitation Task Force (CETF) and is being prosecuted by Natalie Wight, Assistant U.S. Attorney for the District of Oregon.
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.
The FBI’s Child Exploitation Task Force (CETF) conducts sexual exploitation investigations – many of them undercover – in coordination with other federal, state, and local law enforcement agencies. The Portland FBI’s CETF consists of agents and task force officers from the Beaverton Police Department, Portland Police Bureau, Tigard Police Department, Hillsboro Police Department, and the Clackamas County Sheriff’s Office. The FBI’s CETF is committed to locating and arresting those who prey on children as well as recovering underage victims of sex trafficking and child exploitation.
Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at (503) 224-4181 or submit a tip online at www.fbi.gov/tips.
Former Burns Municipal Airport Manager Sentenced to Probation for Stealing Surplus Federal PropertyRead the Press Release
EUGENE, Ore.—Jeffrey Robert Cotton, 45, the former Manager of the Burns Municipal Airport in Burns, Oregon, was sentenced today to 4 years’ probation and 300 hours of community service for stealing thousands of dollars of equipment that rightfully belonged to the City of Burns, by converting to his personal use property acquired through the Federal Personal Property Utilization Program.
The Federal Personal Property Utilization Program is intended to benefit state and local governments and eligible organizations by giving them property the federal government no longer needs at no cost.
According to court documents, between 2014 and 2016, Cotton acquired, allegedly on behalf of the airport, numerous pieces of federal excess property including a heater/air conditioner, commercial lighting sets and various trucks and vans, tractors, and other heavy equipment.
Throughout the acquisition process, Cotton failed to fully inform or notify the City of Burns, its mayor, city manager or city council of the federal excess property obtained on its behalf. Instead, Cotton illegally converted much of the property to his personal use, either by titling property in his own name or transferring the property to Emergency Equipment Solutions, Inc. (EES), a nonprofit fully owned and operated by Cotton.
When confronted with the theft, Cotton lied and misrepresented information regarding how he had obtained the property. Additionally, Cotton signed phony bills of sale falsely representing that EES had purchased the property. Records show thousands of dollars were transferred from EES to Cotton personally.
On April 11, 2019, Cotton pleaded guilty to two counts of theft from a local government receiving federal funds.
This case was investigated by the General Services Administration Office of Inspector General and the FBI, and was prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.
Chinese National Pleads Guilty to Trafficking Counterfeit IPhones from Hong KongRead the Press Release
PORTLAND, Ore.—Quan Jiang, 30, a Chinese national and former engineering student at Linn Benton Community College in Albany, Oregon, pleaded guilty today to one count of trafficking in counterfeit goods, specifically fake and altered Apple iPhones. Jiang would import the counterfeit devices from Hong Kong and submit them to Apple in exchange for genuine warranty replacement phones to be sold on the Chinese market.
“Counterfeiting undermines commerce and inevitably leads to increased prices for goods enjoyed by millions of consumers,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “The investigators who worked this case and others like it provide an invaluable public service to American companies, entrepreneurs, and consumers alike in preserving a competitive market free of criminal interference.”
“Individuals who deal in counterfeit goods would have you believe that these are victimless crimes,” said Brad Bench, Special Agent in Charge of Homeland Security Investigations (HSI) Seattle. “Do not be fooled, they’re not. Not only do they hurt the economy and legitimate businesses, but they also impact consumers directly. HSI and our law enforcement partners will continue to fight counterfeiting across all industries.”
According to court documents, between January 1, 2016, and February 1, 2018, Jiang would regularly receive packages containing between 20 and 30 counterfeit iPhones from associates in Hong Kong. Using various assumed names, Jiang would submit each iPhone to Apple individually in person or online for a warranty replacement; he would then ship the genuine replacement devices he received back to China for resale. In exchange for his service, Jiang’s associate would pay Jiang’s mother, also residing in China, who would in turn deposit the money into Jiang’s bank account.
Jiang later admitted to investigators that he knew the devices were counterfeit and that it was illegal to submit them to Apple as genuine products still under warranty. In just over two years, Jiang imported more than 2,000 inoperable counterfeit iPhones. He ultimately obtained approximately 1,500 genuine replacement iPhones, each with an approximate resale value of $600.
Jiang faces a maximum sentence of ten years in prison, a $2,000,000 fine or twice his proceeds, whichever is greater, and three years of supervised release. He will be sentenced on August 28, 2019 before U.S. District Court Judge Anna J. Brown.
As part of the plea agreement, Jiang has agreed to pay $200,000 in restitution to Apple.
This case was investigated by U.S. Immigration and Customs Enforcement, Homeland Security Investigations (ICE-HSI) and prosecuted by Ryan W. Bounds, Assistant U.S. Attorney for the District of Oregon.
Jury Convicts Portland Drug TraffickerRead the Press Release
PORTLAND, Ore.—A federal jury in Portland returned guilty verdicts today against a Portland man who was accused of distributing large quantities of methamphetamine throughout Multnomah County, Oregon.
Amadeo Lupercio-Quezada, 39, was convicted after a two-day trial of conspiring to possess within intent to distribute methamphetamine; possessing with intent to distribute methamphetamine, heroin and cocaine; and possessing a firearm in furtherance of a drug trafficking crime.
According to court documents and information entered at trial, in October 2017, a Gresham Police detective learned that Lupercio-Quezada and co-defendant Maribel Sebastian-Evangelista were distributing large amounts of methamphetamine throughout Multnomah County. Lupercio-Quezada would physically complete the sales after Sebastian-Evangelista would arrange deals by phone. Thereafter, the detective and other members of the Gresham Police Department Special Enforcement Team initiated four controlled purchases of methamphetamine from Lupercio-Quezada and Sebastian-Evangelista between October and December 2017.
All four controlled purchases took place at Lupercio-Quezada’s residence on E. Burnside Street in Portland and resulted in the officers successfully purchasing ounce quantities of methamphetamine. Officers later searched the residence pursuant to a state search warrant and found distribution quantities of methamphetamine, heroin and cocaine, an ID card with Lupercio-Quezada’s photo, $14,500 in cash as well as a .380 caliber Glock model 42 semi-automatic pistol located near the drugs.
Lupercio-Quezada faces a maximum sentence of life in prison with consecutive mandatory minimum sentences of 10 and 5 years for the drug and gun charges, respectively; a $250,000 fine and a life term of supervised release. He will be sentenced on August 21, 2019 before U.S. District Court Judge Michael W. Mosman.
This case was investigated by the Gresham Police Department Special Enforcement Team and was prosecuted by Kemp L. Strickland and Sarah Barr, Assistant U.S. Attorneys for the District of Oregon.
Jury Convicts Beaverton Man for Assaulting Federal Task Force Officers with Explosive DeviceRead the Press Release
PORTLAND, Ore.—A federal jury in Portland returned guilty verdicts today against a Beaverton, Oregon man who detonated an improvised explosive device containing triacetone triperoxide (TATP), assaulting two members of the Portland Joint Terrorism Task Force (JTTF) on October 11, 2017.
Jason Paul Schaefer, 27, was convicted after a six-day trial of two counts of assaulting a federal officer and one count each of carrying and using a destructive device during and in relation to a crime of violence, carrying and using an explosive during the commission of a federal felony, unlawful transport of explosive materials, possession of an unregistered destructive device and being a felon in possession of explosives.
“Without the hard work and dedication of the JTTF agents and partners who pursued and investigated Mr. Schaefer, he might still be on the street furthering his deadly pursuits. We are extremely fortunate that Mr. Schaefer did not succeed in his attempt to take the lives of two JTTF officers in October 2017,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “This case affirms the critical work of our law enforcement partners on the JTTF in keeping Oregon communities safe.”
“Our JTTF agents and task force partners put their lives on the line every day for the people of Oregon,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “Mr. Schaefer made a series of choices that led to his encounter with law enforcement on that day. He alone is responsible for the physical harm that both he and the responding task force officer suffered. Today's verdict is just and will help ensure the safety of the community in the future.”
“The Oregon State Police is proud of the collaboration among our local and federal partners on the JTTF, with our mutual goal to keep Oregon safe. We are grateful that our troopers and taskforce officers were not seriously injured during this rapidly developing event. OSP is also appreciative of the time and attention of the U.S. Attorney's Office to seek justice in this case,” said Travis Hampton, Superintendent of the Oregon State Police.
“The Washington County Sheriff’s Office would like to thank the U.S. Attorney’s Office, the JTTF and partnering agencies for their hard work in this investigation. We value these important public safety partnerships that work tirelessly to keep our communities safe,” said Pat Garrett, Washington County Sheriff.
According to court documents and evidence presented at trial, on or about September 21, 2017, FBI Portland determined that Schaefer had purchased several items that could be used to make a bomb. Schaefer was known to federal investigators after an April 2017 incident where he threatened to kill his landlords and used mercury to deter people from entering an apartment garage he rented in Beaverton. The incident led to Schaefer being arrested and prosecuted for illegally possessing body armor.
On October 11, 2017, federal agents and task force officers executed a search warrant on Schaefer’s Beaverton apartment. Schaefer arrived that morning at a meeting with his probation officer to find two federal agents there to meet him. They notified Schaefer of the warrant and asked if his property was booby trapped. Schaeffer told the agents that it was not and the search commenced.
After a brief conversation with the agents, Schaefer departed in a white sport utility vehicle. The agents followed Schaefer, but lost him. Meanwhile, agents searching Schaefer’s apartment found several explosive precursors and electronic matches. While the search was ongoing, Schaefer returned to the apartment and threatened a task force officer before fleeing.
Two task force officers pursued Schaefer who soon got stuck in traffic. The officers approached Schaefer on foot and ordered him out of the vehicle. Schaefer did not comply, threatened to kill the officers and ignited an explosive device concealed in a cigarette pack. The blast caused significant injury to Schaefer’s hand and sent debris flying into one of the officers, who suffered bodily injury. Following the explosion, Schaefer was arrested and officers found a second cigarette pack containing explosives in his vehicle.
Schaefer faces a maximum sentence of life in prison with a 30-year mandatory minimum. He will be sentenced on August 13, 2019 before U.S. District Court Judge Marco A. Hernandez.
This case was prosecuted by the U.S. Attorney’s Office for the District of Oregon. It was investigated by the Portland JTTF. The Portland JTTF includes FBI special agents and more than a dozen state and local law enforcement officers.
Convicted Felon Sentenced to over 13 Years in Prison After Bend Police Sieze Large Quantity of Methamphetamine and FirearmRead the Press Release
EUGENE, Ore.—Christopher Michael Soares, 35, of Southern Oregon, was sentenced today to 160 months in federal prison and five years’ supervised release for possessing with the intent to distribute methamphetamine in Bend, Oregon.
According to court documents, on June 28, 2016, police officers in Bend stopped Soares while he was driving a vehicle with two other occupants. When officers searched Soares’ person, they found 99 grams of methamphetamine, 56 grams of heroin and a 9mm firearm. Soares was later arrested on three separate occasions in Jackson County for additional drug and firearms offenses.
In September 2016, Soares was charged by federal criminal complaint for the June 2018 incident in Bend. He later pleaded guilty to one count of possession with intent to distribute 50 grams or more of methamphetamine. Facing state and federal charges, the parties, including state prosecutors in Jackson County, agreed to a global resolution to resolve all of Soares’ pending criminal cases.
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Bend Police Department, Medford Police Department and Deschutes County Sheriff’s Office. It was prosecuted by Nathan J. Lichvarcik, Assistant U.S. Attorney for the District of Oregon.
The case was brought as part of Project Safe Neighborhoods (PSN). PSN is 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.
U.S. Attorney Letter to Portland City Council on Police Bureau Gun Violence Reduction TeamRead the Press Release
Dear Mayor Wheeler and Commissioners,
I am writing in support of the Portland Police Bureau’s Gun Violence Reduction Team. I want to make sure you are aware this unit of PPB’s Tactical Operations Division is part of a multi-agency metro region collaboration to reduce gun violence in Multnomah County. This unit is made up of officers with significant regional expertise and a deep knowledge of the community.
As part of the Justice Department’s National Project Safe Neighborhood program, the Portland Area Crime Gun Initiative was formed in August 2017 with partners from the U.S. Attorney’s Office, Portland Police Bureau, Gresham Police Department, Multnomah County Sheriff’s Office, Multnomah County District Attorney’s Office, Oregon State Police, Oregon State Crime Lab, FBI and ATF. Using national research in reducing gun violence, partners committed to improving policies, practices and collaboration when responding to shootings in the metro area including outreach and prevention efforts. Part of the improvements undertaken by PPB included revised policies on investigating gun crimes and creating the Gun Violence Reduction Team to examine and triage investigations on every shooting in the city. Some of the data and successes of this effort were contained in a recent PPB press release on gun violence in Portland.
Using objective ballistics technology and shared investigative resources, we are connecting the dots more rapidly on shootings and increasing the opportunity to prevent the next tragedy.
The Gun Violence Reduction Team has been a critical partner in the Portland Area Crime Gun Initiative and officers have been active in training other investigators in Oregon and Washington. Local and federal partners have committed resources to this effort for the benefit of the community including providing needed training and federally funded equipment for investigators.
Thank you for your continued support for this critical public safety effort.
Sincerely,
BILLY J. WILLIAMS
United States Attorney
U.S. Attorney's Office Joins in Recognizing National Police Week, May 12-18, 2019Read the Press Release
PORTLAND—Billy J. Williams, U.S. Attorney for the District of Oregon, recognizes the service and sacrifice of federal, state, local and tribal law enforcement officers on the occasion of National Police Week.
The District of Oregon had one line-of-duty death in 2018. On Friday, March 2, 2018, Officer Malcus Williams, a 21-year veteran of the Ashland Police Department, passed away after suffering a major medical event while on the scene of a call. Officer Williams is survived by his wife, Ona, and three daughters, Savannah, Georgia and Brooklyn, and his sisters Cindy and Amy. In a ceremony on May 7, 2019, Officer Williams was added to Oregon’s Fallen Law Enforcement Memorial at the Oregon Public Safety Academy in Salem, Oregon.
“National Police Week offers a time to honor the courage and commitment shown by law enforcement officers here in the District of Oregon and across the nation. One officer death is too many,” said U.S. Attorney Williams. “In 2018, we lost Officer Malcus Williams of the Ashland Police Department. As his family and colleagues know well, Officer Williams was a selfless public servant who embodied every noble trait his fellow citizens look for in a police officer. He was courageous, professional, hardworking and steadfastly dedicated to his community.”
According to statistics collected by the FBI, 106 law enforcement officers were killed in line-of-duty incidents in 2018 – a 14 percent increase from 2017 when 93 law enforcement officers were killed in line-of-duty incidents.
For comprehensive data tables about these incidents and brief narratives describing the fatal attacks and selected assaults resulting in injury, please see the 2018 edition of Law Enforcement Officers Killed and Assaulted report, released this week.
In October 1962, Congress passed and President Kennedy signed a joint resolution declaring May 15th as National Peace Officers Memorial Day to honor law enforcement officers killed or disabled in the line of duty. The resolution also created National Police Week as an annual tribute to law enforcement service and sacrifice.
During Police Week, which is observed from Sunday, May 12 to Saturday, May 18, 2019, our nation celebrates the contributions of police officers from around the country, recognizing their hard work, dedication, loyalty and commitment in keeping our communities safe.
The names of all 106 fallen officers nationwide were formally dedicated on the National Law Enforcement Officers Memorial in Washington, DC, during the 31st Annual Candlelight Vigil on the evening of May 13, 2019.
No tickets are required to attend the vigil and everyone is welcome. For additional information, please call 202-737-3400. The Candlelight Vigil is one of many commemorative events taking place in the nation’s capital during National Police Week 2019.
For more information about other National Police Week events, please visit www.policeweek.org.
Former Portland Attorney Charged with Embezzling Client FundsRead the Press Release
PORTLAND, Ore.—A 24-count indictment was unsealed in federal court today charging former Portland attorney Lori E. Deveny, 53, with mail, wire and bank fraud; aggravated identity theft; money laundering and both filing false tax returns and failing to file tax returns as part of a scheme to defraud her clients and use the proceeds to pay for personal expenses.
According to the indictment, between April 2011 and May 2019, Deveny is alleged to have systematically stolen funds she held in trust for her clients. The funds were derived from insurance proceeds due and payable to her clients. Deveny is accused of forging client signatures on settlement documents she sent to various insurance companies, making unauthorized transfers of funds to personal accounts and falsely telling clients that the insurance companies were to blame for delays in settling claims. Many of Deveny’s clients never received the insurance payout they were owed.
Deveny is also alleged to have used stolen funds to pay for personal credit card and loan payments, numerous big game hunting trips to Africa and the resulting taxidermy costs, other vacations, her husband’s photography business, home remodeling, expensive cigars and other expenses associated with a lavish lifestyle.
Deveny was released pending trial. A 7-day jury trial is scheduled for July 16, 2019 before U.S. District Court Judge Michael W. Mosman.
This case was investigated by IRS Criminal Investigation and the FBI and is being prosecuted by Claire M. Fay, 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.
Texas Man Pleads Guilty for Role in Interstate Marijuana Trafficking ConspiracyRead the Press Release
PORTLAND, Ore.—Trent Lamar Knight, 31, of Houston, Texas, pleaded guilty today for his role in a conspiracy to traffic marijuana grown in Portland to Texas.
Drug proceeds, in the form of bulk U.S. currency, were returned to Oregon via U.S. mail and passenger luggage on commercial airlines. As part of this investigation, federal authorities have seized approximately 11,000 marijuana plants, 546 pounds of processed marijuana, more than $2.8 million in cash, 51 firearms, 26 vehicles, trailers, pieces of heavy equipment, a yacht, and three houses used as marijuana grow sites, all since August 2017.
Knight pleaded guilty to one count each of conspiring to manufacture, possess with intent to distribute, and distribute marijuana, maintaining drug-involved premises and using and carrying a firearm during and in relation to a drug trafficking crime.
Conspiring to manufacture, possess with intent to distribute, and distribute marijuana and maintaining drug involved premises carries a maximum sentence of 40 years in prison, a $5 million fine and a lifetime of supervised release. Using or carrying a firearm in relation to a drug trafficking crime carries a maximum sentence of life in prison with a mandatory minimum of seven years, a $250,000 fine and five years’ supervised release.
Knight will be sentenced on August 14, 2019 before U.S. District Court Judge Robert E. Jones.
As part of his plea agreement, Knight has agreed to forfeit any criminally-derived proceeds and property used to facilitate his crimes identified by the government prior to sentencing.
Co-defendants Brittany Lesanta Kizzee, 28, of Houston, Paul Eugene Thomas, 38, and Raleigh Dragon Lau, 33, both of Portland; and Cole William Griffiths, 30, of Hood River, Oregon have all pleaded guilty on related charges. Griffiths and Thomas will be sentenced on August 5 and 6, 2019, respectively. Kizzee and Lau will both be sentenced on August 7, 2019. Finally, co-defendant Jody Tremayne Wafer, 29, also of Houston, is scheduled for trial on June 18, 2019.
This case was investigated by the U.S. Drug Enforcement Administration, IRS Criminal Investigation, Homeland Security Investigations and the FBI. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case was brought as part of the Justice Department’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the department’s strategy for reducing the availability of drugs in the U.S. OCDETF was established in 1982 to mount a comprehensive attack on drug trafficking by disrupting and dismantling major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in coordination with state and local law enforcement.
Portland Man Sentenced to Federal Prison for Attempting to Bribe Ice Deportation OfficerRead the Press Release
PORTLAND, Ore.—Antonio Oswaldo Burgos, 48, of Portland, was sentenced today to four months in federal prison and three years’ supervised release for attempting to bribe a U.S. Immigration and Customs Enforcement (ICE) deportation officer.
According to court documents, on May 24, 2018, Burgos followed an ICE deportation officer in his vehicle from the ICE office in Portland until the officer stopped in a parking lot in Vancouver, Washington. The defendant offered the officer money to deport his wife who he had met in El Salvador and was in the process of divorcing. The officer declined Burgos’ offer and reported the event to the ICE Office of Professional Responsibility (OPR).
On May 31, 2018, the officer made a recorded call to Burgos with the assistance of an OPR investigation team. Burgos offered to the pay the officer $3,000 to remove his wife from the U.S. On June 5, 2018, the officer and OPR team made a second recorded call on which Burgos again offered to pay the officer for his wife’s removal. Burgos and the officer proceeded to discuss logistics for an in-person meeting.
On June 6, 2018, Burgos met the officer in a pre-determined location and offered to pay $4,000 for the removal of his wife and his wife’s minor child from a previous relationship.
On November 20, 2018, Burgos pleaded guilty to one count of bribery of a public official.
This case was jointly investigated by ICE OPR and Homeland Security Investigations. It was prosecuted by Rachel K. Sowray and Claire M. Fay, Assistant U.S. Attorneys for the District of Oregon.
Maryland Man Pleads Guilty to Cyber Intrusion Damaging Oregon's Medicaid Management SystemRead the Press Release
PORTLAND, Ore.—Hossein Heydari, 61, of Gaithersburg, Maryland, pleaded guilty today to one count of fraud and related activity in connection with computers after intentionally damaging the Oregon Medicaid Management Information System (MMIS) and causing it to fail.
“Mr. Heydari’s illegal intrusion of the Oregon Medicaid system posed a serious risk to public health, jeopardizing patient medical exams, diagnoses and treatment,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “If not properly secured, network insiders can pose a serious cyber threat to businesses and government agencies alike.”
“It is very important that the FBI and its partners work to deter future attacks by holding people such as Mr. Heydari responsible for their actions,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “If any company or agency in the state suspects a system compromise, contact the FBI’s Oregon Cyber Task Force right away so that our experts can help to mitigate the damage and work to identify the intruder.”
According to court documents, Heydari was formerly employed by Hewlett Packard Enterprises (HPE) as a system administrator and technical support specialist. As part of an HPE contract with the Oregon Health Authority, Heydari had administrative access to Oregon MMIS servers located in Salem, Oregon. On October 28, 2016, Heydari was laid off by HPE. A few days later, he intentionally altered part of the MMIS system causing it to fail and resulting in an 8-hour loss of user functionality.
The Oregon MMIS is a marketplace for medical care providers, pharmacies and patients to exchange eligibility information for care, prescriptions and other benefits provided by Medicaid.
Heydari faces a maximum sentence of 10 years in prison, a $250,000 fine and three years of supervised release. He will be sentenced on August 12, 2019 before U.S. District Court Judge Michael H. Simon.
As part of the plea agreement, Heydari has agreed to pay $44,777 in restitution to the Oregon Health Authority and $31,195 to HPE.
This case was investigated by the FBI’s Oregon Cybercrime Task Force and is being prosecuted by Quinn P. Harrington, Assistant U.S. Attorney for the District of Oregon.
Any public or private entity suspecting a cyber intrusion or attack should contact the FBI through the Internet Crime Complaint Center at www.ic3.gov or by calling your nearest FBI office.
Portland Man Sentenced to 14 Years in Federal Prison for Dealing Oxycodone and Money LaunderingRead the Press Release
Downloadable file: Government Sentencing Memo (w/ Photos)
PORTLAND, Ore.—Shawn Terrell Crane, 39, of Portland, was sentenced today to 168 months in federal prison and three years’ supervised release for conspiring to distribute oxycodone and laundering drug proceeds.
The case against Crane is the result of a lengthy FBI and Portland Police Bureau investigation of a Portland-area drug trafficking organization that included a three-month wiretap of Crane’s cell phones. Crane is the leader of a criminal conspiracy that sourced oxycodone pills from Fresno, California and transported them to Oregon by vehicle and U.S. mail for distribution in and around the Portland metropolitan area.
During the course of the conspiracy, Crane was responsible for distributing more than 30,000 oxycodone pills and arranging for hundreds of thousands of dollars in cash to be deposited into third-party bank accounts to conceal its source. He used violence and the threat of violence to bolster his position of authority within the drug trafficking organization, intimidate competition and achieve his objectives. On one occasion, Crane videotaped himself assaulting and robbing a drug customer while armed with a gun. Crane then sent the video to others, boasting of his willingness to engage in violence without backup from his associates.
Crane previously pleaded guilty to one count of conspiracy to distribute oxycodone and one count of conspiracy to launder drug proceeds on May 3, 2018.
The FBI and Portland Police Bureau investigated this case. It was prosecuted by Leah K. Bolstad and Peter D. Sax, Assistant U.S. Attorneys 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.
Former Bend Campus Security Officer Receives Second Life Sentence for Federal Kidnapping and CarjackingRead the Press Release
EUGENE, Ore.—Edwin Enoc Lara, 34, a former campus safety officer at Central Oregon Community College and resident of Bend, Oregon, was sentenced today to life in federal prison for kidnapping and carjacking.
“Edwin Lara is a ruthless killer who will rightfully spend the rest of his life in prison,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “There is simply no place in civil society for this type of horrific violence. I sincerely hope Lara’s two life sentences will bring some measure of comfort to his victims and their families. Their courage and perseverance throughout Lara’s lengthy state and federal cases are an inspiration to the entire law enforcement community.”
According to court documents, between July 24 and July 26, 2016, Lara went on a violent crime spree that left multiple victims and their families in its wake. Early on the morning of July 24, 2016, Lara brutally murdered 23-year-old Bend resident Kaylee Sawyer, a crime for which he would later receive a life sentence in Deschutes County Circuit Court.
After the murder, on July 25, 2016, Lara fled to Salem, Oregon where he carjacked and kidnapped a young woman at gun point. Lara told his victim he was a police officer and showed her news reports about what he had done to Kaylee Sawyer. He then forced her to travel with him to California. Along the way, Lara decided to stop at a hotel in Cottage Grove, Oregon. Inside the hotel room, Lara handcuffed his victim, forced her to take sleeping pills, and made a series of physical advances leading her to believe he might sexually assault her.
A short while later, after receiving a phone call and growing concerned that law enforcement was nearing his location, Lara left the hotel with his victim and continued traveling toward California. At some point during the drive, Lara sought to change vehicles to avoid detection and stopped at two rest areas looking for another vehicle to steal.
In the early morning hours on July 26, 2016, Lara stopped at a motel in Yreka, California where he spotted an elderly man near his vehicle. Lara parked, grabbed his victim by the hand and approached the man. With his gun visible, Lara told the man that he needed his vehicle. When the man wouldn’t comply, Lara shot him in the abdomen. At this point, Lara’s victim pleaded with him to let her go, but he again grabbed her hand and forced her to flee with him by foot to a nearby gas station.
At the gas station, Lara found his next victims, two young men and their elderly grandmother, sitting inside a vehicle. After threatening to shoot them, Lara entered their vehicle with his Oregon victim and forced them to drive off. During the drive, Lara confessed to his victims that he had an “urge to kill” and had already murdered a young woman in Bend and shot a man in Yreka. Lara eventually dropped his three California victims on the side of the road, again threatened to kill them and continued driving southbound with his Oregon victim. Soon after, California law enforcement caught up with Lara and arrested him.
On November 16, 2016, a federal grand jury in Eugene returned a four-count indictment charging Lara with one count each of kidnapping and carjacking, and two counts of using, carrying, and brandishing a firearm during and in relation to a crime of violence. Prior to sentencing, Lara pleaded guilty to the kidnapping and carjacking charges before U.S. District Court Judge Michael J. McShane.
This case was investigated by the Redmond Police Department, Bend Police Department, Deschutes County Sheriff’s Office, Oregon State Police and other local law enforcement agencies in California with the assistance of the FBI. It was prosecuted by Nathan J. Lichvarcik, Assistant U.S. Attorney for the District of Oregon.
The case is part of Project Safe Neighborhoods (PSN). PSN is 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.
Two Nigerian Nationals Indicted in Bitcoin Fraud SchemeRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that two Nigerian nationals have been charged in a 13-count indictment alleging they engaged in an online scheme to defraud victims of bitcoin virtual currency.
In an indictment filed on April 18, 2019, Onwuemerie Ogor Gift, 24, and Kelvin Usifoh, age unknown, were charged with one count each of conspiracy to commit wire fraud and money laundering and 11 counts of wire fraud.
As alleged in the indictment, the scheme began when Gift and Usifoh purchased the URL www.wealthcurrency.com and published various webpages promising investors 20-50 percent returns on investments of bitcoin with zero risk and instant withdrawals. They actively encouraged victims to transfer bitcoin to private virtual currency wallets and made numerous false claims including that their bitcoins would be invested using “unique trading methods” and they would maintain a “constant high interest rate.” They created additional websites perpetuating the same scheme including www.boomcurrency.com and www.merrycurrency.com.
Beginning in December 2017 and continuing until at June 2018, Gift and Usifoh are alleged to have knowingly conspired to defraud three victims, one residing in Oregon and two in California. A photo of a fourth victim was used to create a false persona used in furtherance of the scheme. After receiving bitcoin transfers from their victims, Gift and Usifoh would transfer the bitcoin to other accounts and eventually exchange it for Nigerian Naira. The indictment alleges that in just over six months, the defendants stole 10.88 bitcoins worth approximately $59,000 from the three victims. In total, the government alleges Gift and Usifoh received more than 50 bitcoins as part of the scheme.
This case was investigated by the FBI and is being prosecuted by Quinn P. Harrington, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty.
The Securities and Exchange Commission's Office of Investor Education and Advocacy today issued an Investor Alert to warn investors about investment scams involving websites touting advisory and trading businesses related to digital assets.
Two More Plead Guilty for Roles in Interstate Marijuana Trafficking ConspiracyRead the Press Release
PORTLAND, Ore.—In related criminal cases, Cole Williams Griffiths and Raleigh Dragon Lau pleaded guilty today for their roles in a conspiracy to traffic marijuana grown in Hood River, Oregon and Portland to Virginia, Texas, and Florida.
Drug proceeds, in the form of bulk U.S. currency, were returned to Oregon via U.S. mail and passenger luggage on commercial airlines. As part of this investigation, federal authorities have seized approximately 11,000 marijuana plants, 546 pounds of processed marijuana, more than $2.8 million in cash, 51 firearms, 26 vehicles, trailers, pieces of heavy equipment, a yacht, and three houses used as marijuana grow sites, all since August 2017.
Griffiths, 30, of Hood River, and Lau, 33, of Portland, both pleaded guilty to conspiring to manufacture, possess with intent to distribute, and distribute marijuana, maintaining drug-involved premises, and money laundering.
Conspiring to manufacture, possess with intent to distribute, and distribute marijuana and maintaining drug involved premises carries a maximum sentence of life in prison, a mandatory minimum sentence of 10 years in prison, a $10 million fine, and a lifetime of supervised release. Money laundering carries a max sentence of 20 years in prison, a $250,000 fine, and three years’ supervised release.
Griffiths and Lau will be sentenced on August 5 and 7, 2019, respectively, before U.S. District Court Judge Robert E. Jones.
As part of their plea agreements, Griffiths and Lau have agreed to forfeit any criminally-derived proceeds and property used to facilitate his crimes identified by the government prior to sentencing.
Co-defendants Brittany Lesanta Kizzee, 28, of Houston, Texas and Paul Eugene Thomas, 38, of Portland, pleaded guilty on November 27, 2018 and April 10, 2019, respectively. Thomas will be sentenced on August 6, 2019, and Kizzee will be sentenced on August 7, 2019. Co-defendant Trent Lamar Knight, 30, of Houston, is scheduled to plead guilty on May 8, 2019. Finally, co-defendant Jody Tremayne Wafer, 29, of Houston, is scheduled for trial on June 18, 2019.
This case was investigated by the U.S. Drug Enforcement Administration, IRS Criminal Investigation, Homeland Security Investigations and the FBI. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case was brought as part of the Justice Department’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the department’s strategy for reducing the availability of drugs in the U.S. OCDETF was established in 1982 to mount a comprehensive attack on drug trafficking by disrupting and dismantling major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in coordination with state and local law enforcement.
Washington State Man Accused of Marketing Fraudulent Tax Avoidance Schemes Disguised as Churches, Other EntitiesRead the Press Release
PORTLAND, Ore.—A federal grand jury in Portland has returned a seven-count indictment charging Glen Stoll, 68, a resident of Washington State, with multiple crimes stemming from a scheme whereby he organized, promoted, and marketed fraudulent tax avoidance strategies. Stoll made his initial appearance in the District of Oregon today before U.S. Magistrate Judge Stacie F. Beckerman.
Stoll is charged with one count each of conspiracy to defraud the U.S., conspiracy to commit bank fraud, bank fraud, and making a false statement on a loan application and three counts of tax evasion.
As alleged in the indictment, Stoll served as the director of an entity called Remedies at Law. Stoll used Remedies at Law and other related entities, including the Oregon-based Embassy of Heaven, to promote schemes designed to assist people in evading the assessment and collection of federal income taxes. Stoll advised clients that they could avoid paying taxes by creating a church or ministry and placing their assets and income in so-called ministerial trusts. Stoll referred to himself as a “general counsel” with legal experience when, in reality, he held no license to practice law.
Beginning in September 2007, Stoll assisted former Oregon couple Karl and Laurie Brady with the creation of two “ministerial trusts” called Progeny Services and Progeny Foundation. At Stoll’s direction, Karl Brady opened bank accounts for the nominee entities, issued checks from his business payable to Progeny Services or Progeny Foundation, and deposited the checks into the nominee accounts. This enabled the Brady’s to avoid the assessment of federal income tax while maintaining full access to the money for personal and family expenses.
From 2008 through 2015, at Stoll’s direction, Karl Brady filed no personal income tax returns despite receiving more than $3 million and ignored repeated letters from the IRS notifying him of his failure to file. This scheme allowed Brady to evade in excess of $1.2 million dollars in income taxes.
Separately, in 2015, Stoll assisted Brady in defrauding two of Brady’s mortgage lenders. Stoll assisted Brady in submitting a false short sale application and other fraudulent documents to avoid repayment on a vacation rental in Hawaii. At Stoll’s direction, Brady’s short sale application included a letter claiming he and his wife were under the complete care of a church ministry, had no income, no assets, and were completely dependent on a church. Relying on this false information, the lenders authorized the short sale and suffered combines losses of approximately $120,000.
This case was investigated by IRS Criminal Investigation and is being prosecuted by Donna Brecker Maddux, 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.