Middle District of Pennsylvania
Press releases recorded for this federal judicial district.
Westfield Resident Charged with Social Security Benefits FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced today that charges have been filed against Rose M. Hager of Westfield, Pennsylvania.
According to United States Attorney Peter J. Smith, Hager, age 63, is charged in a one-count Information with conversion of government funds by receiving Supplemental Security Income (SSI) benefits from the Social Security Administration in March 2011 to which she was not entitled.
The investigation was conducted by the Social Security Administration Office of Inspector General, Office of Investigations. Assistant United States Attorney Wayne P. Samuelson is assigned to prosecute the case.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 1 year imprisonment, a term of supervised release following imprisonment, and a fine of over $300,000 as well as significant tax penalties. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
****Luzerne County Woman Charged with Tampering with Consumer ProductRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that a Felony Information has been filed in U.S. District Court in Scranton against Yolanda Holman, age 35, Wilkes-Barre, Pennsylvania, charging her with tampering with a consumer product that affected interstate commerce.
According to United States Attorney Peter J. Smith, the Information alleges that on or about August 23, 2013, Holman knowingly and intentionally tainted a bottle of non-prescription children’s pain reliever with prescription pills and other medication and caused it to be taken to a retail store in Wilkes-Barre as a returned item.
U.S. Attorney Smith stated that suspected tainted containers related to this incident were recovered and were in the possession of law enforcement officers or otherwise destroyed. The tainted containers present no danger to the public.
If convicted, the defendant could be imprisoned for 10 years and fined in the amount of $250,000.
The investigation was conducted by agents of the Federal Bureau of Investigation – Scranton Resident Office. Prosecution is assigned to Assistant United States Attorney Michelle Olshefski.Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 10 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.Two Men Sentenced for Interstate Stolen Credit Card Scheme and Bank FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that two men convicted by a Harrisburg jury of stealing over a hundred credit card numbers from over 25 banks and credit unions were sentenced Wednesday to federal prison.
According to United States Attorney Peter J. Smith, Wednesday, Chief Judge Christopher C. Conner sentenced Ramil Kismat, of New York, to 64 months in prison, as well as a period of two years of supervised release following incarceration. Previously, Chief Judge Conner had sentenced the co-defendant, Sergey Sorokin, of New Jersey, to 58 months of incarceration followed by two years of supervised release. Sorokin faces deportation to Russia following service of his sentence.
In November 2012, a jury convicted Kismat and Sorokin of fraudulently obtaining over 100 credit card and debit card numbers from a variety of banks and credit unions. These stolen credit card numbers were embossed on cards for use in retail establishments. Between June and October 2010, Kismat and Sorokin used these credit and debit card numbers at of stores throughout the Mid-Atlantic states.
The scheme was initially discovered by investigators for Target Stores in the Harrisburg area. They observed two individuals repeatedly entering their stores, attempting to purchase gift cards with multiple credit cards, many of which were regularly declined. Through a comprehensive investigation conducted with the United States Secret Service, the scheme was uncovered and Kismat and Sorokin were identified and charged. The evidence revealed their activities took place primarily at Target stores in New Jersey, Pennsylvania, and Maryland. Evidence also showed that credit cards were used at other retailers. The potential loss from the defendants’ use of these fraudulent credit cards in this four-month period was over half a million dollars.
Although the primary victims in this case were the 25 financial institutions and over a hundred citizens whose accounts were compromised, Target Stores provided substantial investigative resources in solving and prosecuting this case. The U.S. Attorney’s Office also acknowledged the efforts of the United States Secret Service, Silver Spring Township Police, Swatara Township Police, and Wegman's Stores for their efforts.
The case was prosecuted by Assistant U.S. Attorney Michael A. Consiglio.
New Jersey Man Charged with Possession of Heroin as Result of Carlisle Truck Stop ArrestRead the Press Release
A New Jersey man was indicted by a federal grand jury in Harrisburg yesterday on charges of possessing more than 3 ounces of heroin with the intent to distribute.
United States Attorney Peter J. Smith announced that Rafael Cabrera, 35, of Passaic, New Jersey, was charged in a two count indictment with possessing at least 100 grams of heroin with the intent to distribute it and with traveling in interstate commerce to distribute the drug. Cabrera was arrested on February 11, 2013 at a truck stop in Carlisle by federal and state agents who were conducting surveillance of the location and waiting for Cabrera to arrive. A search of Cabrera and his vehicle led to the alleged seizure of the heroin.
Cabrera faces a mandatory minimum sentence of 5 years and up to a maximum of 40 years in prison if convicted and faces a potential combined maximum fine of $1.25 million.
The case was investigated by the Federal Bureau of Investigation and the Pennsylvania State Police. Prosecution of the case has been assigned to Assistant United States Attorney William A. Behe.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Lehigh County Couple Charged with Passing Counterfeit U.S. Currency in Five Pennsylvania CountiesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Mohammed Abughaniyeh, age 29, of Laury’s Station, Pennsylvania, and Stacy Miller, age 25, of Whitehall, Pennsylvania, were indicted yesterday by a federal grand jury in Harrisburg and charged with Uttering Counterfeit Obligations of the United States.
According to U.S. Attorney Peter J. Smith, in October 2013 and November 2013, Abughaniyeh and Miller allegedly passed counterfeit $100 bills, at businesses in Mifflin, Blair, Clearfield, Indiana, and Bedford Counties. If convicted, they each face up to 20 years’ imprisonment and a fine of up to $250,000.
This case is being investigated by the United States Secret Service and the Pennsylvania State Police and is being prosecuted by Assistant United States Attorney Daryl F. Bloom.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.Eight Charged Federally for Illegal Distribution of Bath Salts in Bradford CountyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a federal grand jury returned an indictment on December 10, 2013 charging a six Bradford County residents and two New York State residents with illegally importing and distributing bath salts in the Bradford County area.
According to United States Attorney Peter J. Smith, Seth Barnes,38 of Milan, PA; Brad Brown, 45, formerly of Towanda; Corey Dobbins, 39, formerly of Rome, PA; April Fuller,48 of Monroeton, PA; Robert Howe,26 of Elmira, NY; Patrick Russell, 48 of LeRaysville, PA; Kenneth Rider, 55 of Monroeton, PA and Chris Thompson, 41 of Cooper Plains, NY, were charged by the grand jury with importing and distributing Methylone, a Schedule I controlled substance and Alpha-PVP, a Schedule I controlled substance analogue. All eight individuals were arrested Wednesday and appeared before a U.S. Magistrate Karoline Mehalchick for their initial appearance and pled not guilty.
Chad McLinko, 31, of Towanda, who was charged by a Criminal Complaint with distributing methylone and a-pvp, was also arrested yesterday. McLinko is alleged to be associated with those individuals indicted on December 10, 2013.
Methylone and Alpha-PVP are among the group of substances commonly known as “bath salts”. Controlled substance analogues are substances with similar chemical properties and pharmacological effects on the human body. Federal law provides for controlled substances to be treated as Schedule I controlled substances for the purpose of criminal prosecution.This case was the result of a joint investigation between the Drug Enforcement Administration, the Pennsylvania State Police and the Athens Borough Police Department.
Prosecution is assigned to Assistant United States Attorney Amy C. Phillips.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Former Lackawanna County Family Court Guardian Ad Litem Pleads Guilty to Federal Income Tax FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that on Monday, Danielle Ross Pietralczyk, age 37, of Jermyn, Pennsylvania, pleaded guilty before U.S. District Court Judge A. Richard Caputo to tax evasion and filing a false federal income tax return.
According to United States Attorney Peter J. Smith, tax returns verified by Ross under penalty of perjury failed to report any amounts of income she received from private paying clients while acting as the sole guardian ad litem for the Lackawanna County Family Court. The only income Ross reported for 2009 and 2010 was her County compensation reported on 1099 Forms which she received as an independent contractor hired by Lackawanna County.
As the sole guardian ad litem for the Lackawanna County Family Court, Ross was provided with an annual compensation of $38,000. However, pursuant to a contract between Ross and Lackawanna County, Ross was permitted to bill private paying parties above her County compensation at a rate of $50 per hour. Ross managed and exercised complete control over her private billings and income. That income was known only to Ross and not Lackawanna County, nor was Lackawanna County required to approve Ross’s private billings.Ross was indicted in February 2013.
The case was investigated by joint investigation by the Internal Revenue Service (IRS), the Federal Bureau of Investigation (FBI), and the Lackawanna County District Attorney’s Office. Prosecution is assigned to Assistant United States Attorney Michelle Olshefski.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is five years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Harrisburg Woman Sentenced for Harboring Illegal AliensRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that Nura Ziadeh, age 62, of Harrisburg, Pennsylvania, was sentenced yesterday in Harrisburg by United States Senior District Court Judge William W. Caldwell to 15 months’ imprisonment. Judge Caldwell further ordered that Ziadeh pay $21,300 in restitution.
According to United States Attorney Peter J. Smith, in 2006, the U.S. Department of State, Diplomatic Security Service, began reviewing A-3 Non-Immigrant Visa (NIV) applications submitted at diplomatic facilities in Jakarta and Surabaya, Indonesia, for suspected fraudulent activity.
A-3 NIVs are for personal or domestic employees of foreign government officials who are serving their country in the United States in an official capacity. Recipients of A-3 NIVs are not permitted to work for private employers for any reason.
The investigation revealed that during 2007 through 2010, Ziadeh, formerly of Jakarta, Indonesia, worked in association with some of her family members still residing in Jakarta, to recruit poor, uneducated Indonesian women to come to Jakarta for eventual transportation to the U.S. and other countries under false pretenses to serve as domestic employees.
Once inside the United States, Ziadeh would charge those seeking domestic employees thousands of dollars to employ one of the women for two years. The women would be required to work an average of 12 to 17 hours per day, seven days per week. In turn, the employers would pay the women substandard wages, approximately $250-$400 per month. Some of the women were not paid at all. However, if the women left before the two years, Ziadeh threatened that they would be required to pay a fine. Ziadeh also held the women’s passports and luggage to ensure they would not try to “escape.”
The investigation identified at least 49 female victims.
Ziadeh was indicted in February 2012, along with her husband, Rashid Ziadeh and daughter, Mannatullah Ziadeh. They were charged with Transporting and Harboring Illegal Aliens and Aiding and Abetting. Nura and Rashid Ziadeh pleaded guilty in March 2013. Rashid Ziadeh was sentenced to probation.
This case was investigated by the United States Department of State's Diplomatic Security Service and Office of Inspector General, U.S. Department of Homeland Security Investigations, and Lower Paxton Police Department. The case was prosecuted by Assistant United States Attorney Daryl F. Bloom.
Court Upholds Revocation of Federal Firearms License of Adams County Gun DealerRead the Press Release
Peter J. Smith, United States Attorney for the Middle District of Pennsylvania and Essam Rabadi, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, Philadelphia Field Division jointly announced today that the U.S. Court of Appeals for the Third Circuit upheld the revocation of the Federal Firearms License (FFL) of Scott W. Taylor, d/b/a Taylor’s Trading Post, located in Biglerville, Pennsylvania.
In early 2010, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted a compliance inspection of Taylor’s business, which was operated out of his home in Biglerville. ATF discovered that over a three-year period of time, Taylor had committed more than 10,000 violations of the Gun Control Act, which requires firearm dealers to keep detailed and timely records of the purchase and sale of firearms.
Law enforcement relies on these records to apprehend criminals who use firearms to commit crimes and to ensure that firearms are not being sold to persons not authorized to possess them.
Despite buying and selling thousands of guns over that three-year period, Taylor failed to record the purchase of 5,715 firearms, the sale of 2,856 firearms, and keep records of the disposition of 1,618 additional firearms – with about 160 of the firearms remaining unaccounted for. Taylor also admitted to possessing a firearm with an obliterated serial number, which he knew was illegal and failing to report it to law enforcement.
As a result of the large volume of guns that Taylor never recorded, it took nine months and the assistance of additional ATF agents to complete the compliance inspection. Ultimately, in November 2011, ATF revoked Taylor’s Federal Firearms License. Taylor challenged this administrative action claiming his three-year failure to comply with the record requirements had not been willful.
U.S. District Court Judge John E. Jones, III, adopted findings resulting from a hearing before Chief Magistrate Judge Martin C. Carlson in which the violations were found to be willful because Taylor admitted he knew the law required him to keep the records and had kept the records in the past, but then failed to keep the records for three years while he continued to buy and sell thousands of guns each year.
Taylor appealed his license revocation to the Third Circuit Court of Appeals claiming that his three-year failure to record firearm sales and purchases were not willful. The Court of Appeals disagreed, finding that the facts established that there was “no question that Taylor violated the [Gun Control Act]” and that his violations were “willful.” As a result of this ruling, Taylor remains unable to engage in the business of dealing in firearms.
This case was handled by Assistant United States Attorney Kate L. Mershimer of the Civil Division of the U.S. Attorney’s Office and ATF Associate Chief Counsel Jeffrey A. Cohen and ATF Division Counsel J. Kevin White.
Philadelphia Man Pleads Guilty to Armed Robbery of Kranich’s Jewelry Store in State CollegeRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Rodger Kent Williams, age 41, pleaded guilty Tuesday before U.S. District Court Judge Matthew W. Brann in Williamsport to interference with commerce by violence, and use and possession of a firearm during a crime of violence in connection with the armed robbery of Kranich’s Jewelry store. Williams also pleaded guilty to one count of interference with commerce by robbery in connection with the armed robbery of another jewelry store in Cary, North Carolina which was transferred from the Eastern District of North Carolina at Raleigh.
According to United States Attorney Peter J. Smith, Williams was indicted in Williamsport on June 13, 2013, following the armed robbery of Kranich’s Jewelry store on January 9, 2013, and the North Carolina jewelry store on January 28, 2013.
Williams and other individuals traveled from Philadelphia to State College where they entered Kranich’s Jewelry store and ordered the store employees to provide display case keys and get on the floor at the rear of the store. Williams displayed a .357 revolver to the employees during the robbery. Williams and the conspirators then took jewelry, rings, a watch, and other valuable merchandise from the store display cases and safes and directly off the person of one of the store employees.
Williams was also indicted on federal charges in Raleigh, North Carolina arising from the robbery of another jewelry store on January 28, 2013, in Cary, North Carolina. In that case, Williams and other individuals again traveled from Philadelphia to J.M. Edwards Fine Jewelry, where Williams displayed the .357 revolver, and then he and the other conspirators robbed the store of jewelry and other items. Police officers apprehended Williams as he exited the store in Cary and recovered the firearms and stolen merchandise. That charge was transferred to the Middle District of Pennsylvania.
The case was investigated by the State College Police Department; the Cary, North Carolina Police Department; and the Federal Bureau of Investigation, Philadelphia and Charlotte Divisions. Prosecution of this matter has been assigned to Assistant United States Attorney George J. Rocktashel. Mr. Smith expressed his thanks for the assistance and support of the United States Attorney’s Office in the Eastern District of North Carolina in coordinating the transfer of charges to Pennsylvania for the guilty plea and sentencing.Judge Brann ordered a presentence investigation and set the case for a presentence conference on March 20, 2014, when sentencing will be scheduled.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is life imprisonment and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Luzerne County Man Charged with Drug and Gun OffensesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Kingston resident was indicted by a federal grand jury today for trafficking in illegal drugs and illegally possessing a firearm.
According to United States Attorney Peter J. Smith, the grand jury alleges that James Featherstone, age 33, distributed cocaine and heroin in Luzerne County during March through September of 2013, and illegally possessed a firearm as a convicted felon and in connection with his drug trafficking activities.
The Indictment charges Featherstone with seven counts of drug trafficking, one count of possessing a firearm in furtherance of drug trafficking, and one count of illegally possessing a firearm as a convicted felon.
The charges stem from an investigation by The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Pennsylvania State Police, Kingston Police, and the Luzerne County District Attorney’s Office.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years in prison and a $1 million fine for each of the drug charges; a mandatory five-year prison sentence and possible life sentence if convicted of possessing a firearm in connection with drug trafficking; and a mandatory 15 years in prison and a possible life sentence if convicted of the felon in possession of a firearm charge as an “armed career criminal.”
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Dingmans Ferry Man Charged with Assaulting A Federal Law Enforcement Officer at the Delaware Water GapRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania, announced that a felony Criminal Information charging Brian Michael Herdman, age 52, of Dingmans Ferry, Pennsylvania, was filed in the United States District Court in Scranton, Monday.
According to United States Attorney Peter J. Smith, Herdman was charged with allegedly assaulting a United States Park Ranger at the Delaware Water Gap National Recreational Area on September 4, 2013.
The investigation was conducted by the United States Park Service and Federal Bureau of Investigation. The case is assigned to Assistant United States Attorney Todd K. Hinkley.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is eight years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Carbon County Man Pleads Guilty to Federal Cocaine Trafficking ChargesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a man from Carbon County pleaded guilty today before Senior United States District Judge Edwin M. Kosik to the charge of aiding and abetting the distribution of cocaine.
According to United States Attorney Peter J. Smith, Alexander Sommers, age 47, of Summit Hill, Carbon County, admitted to assisting others in distributing crack cocaine and powder cocaine in the Carbon County area between January 2011 and December 2012.
Previously, Victoria Argott, age 34, of Lansford, Carbon County, the former girlfriend of Sommers, was sentenced to 40 months in federal prison for participating in the same cocaine trafficking conspiracy.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Nesquehoning and Lansford Police Departments in Carbon County.
The case is being prosecuted by Assistant United States Attorney Robert J. O’Hara.
In this particular case, the maximum penalty under the federal statute is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Waynesboro Chiropractor Pleads GuiltyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that a Waynesboro, PA chiropractor has pleaded guilty to charges stemming from a bogus automobile accident personal injury claim.
According to United States Attorney Peter J. Smith, Lawrence S. Herman, age 47, a resident of Frederick, Maryland and the owner/operator of “Herman Chiropractic” in Waynesboro, PA, pleaded guilty to a one count Information charging him with False Statements in Health Care Matters. Herman entered his guilty plea today in United States District Court in Harrisburg before the Honorable Sylvia Rambo in Harrisburg. The plea was entered by Herman pursuant to a plea agreement with the government.
The charges stem from a claim Herman submitted to the USAA insurance company in May 2012 for injuries allegedly suffered in an August 16, 2011 automobile accident in Maryland. In May of 2012 Herman supported his claim with records indicating he was treated by a chiropractor for neck and back injuries between August 2011 and January 2012. When USAA did not immediately honor the claim, Herman hired a Baltimore area law firm to demand $60,000 from USAA for reimbursement of his chiropractic treatment expenses; and for pain and suffering.During the guilty plea hearing, Herman admitted the chiropractic treatment records were false and were created, at his direction, by a chiropractor who worked for him in his Waynesboro office. To conceal the fact the chiropractor was his employee, the fraudulent treatment records were submitted to USAA under a fictitious business letterhead created by Herman.
Assistant U.S. Attorney Kim Douglas Daniel stated during the hearing that Herman was not injured in the accident and in fact participated in several 5K, 10K, Half-Marathon and Marathon foot races during the period when Herman was supposedly being treated for his injuries in late 2011.
The case was investigated by the Harrisburg Office of the FBI and is being prosecuted by Assistant United States Attorney Kim Douglas Daniel.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is five years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
New York Man Sentenced to 136 Months’ Imprisonment for EscapeRead the Press Release
And Robbery Of Dunmore Bank
The United States Attorney’s Office for the Middle District of Pennsylvania announced that today Senior United States District Court Judge James M. Munley sentenced Romeal Price, age 36, of Brooklyn, New York, to 11 years and four months’ imprisonment for escape and bank robbery.
According to United States Attorney Peter J. Smith, Romeal Price appeared for sentencing today in Federal Court in Scranton following an earlier guilty plea wherein he admitted to bank robbery and escaping from the Catholic Social Services Residential Reentry Center on June 18, 2013.
At the time of his escape, Price was serving the remaining few months of a 15-year federal prison sentence from 2001. Ten days after his escape, he robbed the Pennstar Bank, in Dunmore, Pennsylvania, of approximately $11,000. Following the robbery, Price fled to New York City. On July 17, 2013, deputies from the United States Marshals Service arrested Price in a New York City apartment without incident.
In October 2013, Vanessa Ramos, age 23, pleaded guilty to aiding and abetting the bank robbery by acting as the getaway driver for Romeal Price. Ramos is awaiting sentencing.
The case was investigated by the United States Marshals Service, the Federal Bureau of Investigation, and the Dunmore Police Department. The case is being prosecuted by Assistant U.S. Attorney John Gurganus.
Lebanon County Man Charged with Million Dollar Investment Fraud SchemeRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced the filing of an Information in U.S. District Court in Harrisburg Thursday charging Christopher Burhans, age 64, of Lebanon County, Pennsylvania, with conspiracy to commit mail fraud.
According to United States Attorney Peter J. Smith, in or about 2003, Burhans started a private mortgage company known as Angelic Ventures. The stated business purpose of Angelic Ventures was to solicit private investors to provide money for private mortgages. Later, in about 2006, Burhans started a business known as Home Buyers Solutions, Inc. ("HBSI"). HBSI, like Angelic Ventures, was in the business of making private real estate loans financed with private investor funds. Burhans operated both businesses out of his home located at 847 Maple Street, Lebanon, Pa.
Burhans carried out the scheme to defraud the individuals who invested in Angelic Ventures and HBSI by placing advertisements in several farming newspapers, including "Fish Wrapper," "Die Botschaft," and "Lancaster Farming," announcing an investment opportunity with Angelic Ventures and HBSI. In the advertisement, Burhans represented that the investments were insured, secured, and promised rates of return as high as 12%.
Burhans falsely represented to investors that their money would be solely used to make loans for the purchase of real estate.Between on or about April 1, 2005, to on or about May 1, 2007, Burhans received and deposited into the Angelic Ventures Real Estate Escrow Account approximately $1,880,150.00 received from investors.
Between on or about November 2006, to on or about April 2008, Burhans received and deposited into the HBSI bank account approximately $450,000 received from HBSI investors.
In December 2009, Burhans wrote to Angelic Ventures and HBSI investors stating that due to the downturn in the economy, Angelic Ventures and HBSI were no longer in business. In the December 2009 letter, Burhans misrepresented to investors that the business losses "ate up even our reserves and all our own personal belongings." As of December 2009, Burhans owed Angelic Ventures and HBSI investors in excess of $1,000,000.
Burhans misappropriated much of the money he received form investors. He diverted money to other businesses he owned and for his own personal needs and expenses, including payment of a salary for himself, his wife and son. Burhans also used investor money to purchase multiple timeshares he used for vacation.
The investigation was conducted by the Federal Bureau of Investigations. The case is being prosecuted by Assistant U.S. Attorney Joseph J. Terz.
The U.S. Attorney’s Office also filed a plea agreement which must be approved by the District Court.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is five years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Spouse of Former Lackawanna County Guardian Ad Litem Pleads Guilty to Federal Income Tax Fraud MisdemeanorRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Walter J. Pietralczyk, Jr., age 39, pleaded guilty today to a tax fraud misdemeanor before U.S. Magistrate Judge Thomas M. Blewitt in Scranton.
Pietralczyk is the spouse of Lackawanna County Attorney and former Family Court Guardian Ad Litem Danielle Ross Pietralczyk, both of Jermyn, Pennsylvania.
According to United States Attorney Peter J. Smith, an indictment filed against Ross in February 2013 alleged that the couple’s joint federal tax returns verified by Ross under penalty of perjury failed to report income she received from private paying clients while acting as the guardian ad litem for the Lackawanna County Family Court. The only income Ross reported for 2009 and 2010 was her County compensation reported on 1099 Forms which she received as an independent contractor hired by Lackawanna County.
The indictment charged that as the sole guardian ad litem for the Lackawanna County Family Court, Ross was paid an annual compensation of $38,000. Pursuant to the contract between Ross and Lackawanna County, Ross was permitted to bill private paying parties above her County compensation at a rate of $50 per hour. Those payments were not reported as income for tax purposes.
The investigation continued beyond the original indictment and ultimately implicated Pietralczyk in the submission of false information to the IRS on tax returns filed by the couple.
Pietralczyk was charged in an Information filed by the U.S. Attorney’s Office in November 2013.
Pursuant to the terms of plea agreements with the Government, both Ross and Pietralczyk have agreed that the tax loss to the United States as a result of the fraud is more than $30,000 but less than $80,000. The restitution amount that will be imposed upon the couple will be determined by the Court as part of the sentences. Pietralczyk’s plea relates to the 2009 tax return.
Ross is scheduled to enter her guilty plea on December 16, 2013, before U.S. Senior District Court Judge A. Richard Caputo. She was dismissed from her position as County Guardian Ad Litem earlier this year.
The prosecutions are the result of a joint investigation by the United States Internal Revenue Service (IRS), the Federal Bureau of Investigation (FBI), and the Lackawanna County District Attorney’s Office. Prosecution is assigned to Assistant United States Attorney Michelle Olshefski, assisted by Assistant U.S. Attorney William Houser.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute for Pietralczyk is one year imprisonment, a term of supervised release following imprisonment, and a fine.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Two Luzerne County Men Charged with Sex Trafficking of Children and Producing and Transporting Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that two Pittston residents were indicted by a federal grand jury in Scranton today for sex trafficking of children and producing and distributing child pornography.
According to United States Attorney Peter J. Smith, the indictment alleges that Gregory Boone, age 29, and Randy Coleman, Jr., age 33, conspired to use minor females to engage in prostitution during August and September 2013 and used cell phones to produce and transmit images of child pornography which were used in “escort services” advertisements on a website.
The indictment alleges that Boone, Coleman, and others whose identities are known to the grand jury, recruited at least three minor females–and attempted to recruit a fourth–to engage in prostitution in Luzerne, Lackawanna, and Dauphin Counties, took photographs of the minors and posted them on the website, rented motel rooms for customers to meet with minors for sex, and shared in the profits of the prostitution activities.
Both defendants are charged with conspiracy to commit sex trafficking of children; sex trafficking of children as aiders and abettors; conspiracy to produce child pornography; three counts of producing child pornography as aiders and abettors; conspiracy to transport and ship child pornography; and three counts of transporting and shipping child pornography as aiders and abettors.
The charges stem from an investigation by the U. S. Department of Homeland Security(HSI) Immigration and Customs Enforcement(ICE), the Pennsylvania State Police, the Pittston Police, and the Luzerne County District Attorney’s Office. The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, each defendant faces a mandatory minimum sentence of 15 years’ imprisonment and a possible maximum sentence of 30 years’ imprisonment on the child pornography production charges; a mandatory minimum sentence of 10 years’ imprisonment and a possible life imprisonment sentence on the sex trafficking of children offenses; and a mandatory minimum sentence of five years’ imprisonment and a possible maximum sentence of 20 years’ imprisonment on the transporting child pornography charges.
In addition to a prison sentence, both defendants also face a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc and click on the tab “resources.”
Indictments Unsealed Charging Four Individuals Associated with Penn National Racetrack with FraudRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced the unsealing of indictments charging three thoroughbred horse trainers and an employee of Penn National Racetrack in Grantville with fraud in connection with horse races at that track. The indictments were returned by a federal grand jury in Harrisburg on Wednesday and were unsealed following arrests of four individuals earlier today.
According to United States Attorney Peter J. Smith, David Wells, 39, of Grantville, Sam Webb, 63, of Jonestown, Patricia Anne Rogers, 43, of Hummelstown, and Danny Robertson, 63, of Hershey, were charged individually in four separate indictments.
Wells, Webb and Rogers, all horse trainers, were charged with allegedly devising a scheme to defraud those betting on thoroughbred races at Penn National Racetrack by attempting to administer, and administering in violation of state racing rules and regulations, substances prohibited from being introduced into a horse within 24 hours of when the horse is scheduled to race.
The indictment also alleges that it is also a violation of state law to rig or attempt to rig a publicly exhibited contest such as a thoroughbred horse race. Races at Penn National Racetrack are simulcast to approximately 116 sites across the United States and in other countries by wire and television to allow bettors to wager on the Penn National races without being in attendance at that track.
According to the indictment, Robertson was employed by the track as the clocker to provide racing officials and others with the official workout times for horses at Penn National, information relied upon by the betting public. The trainers, like the owners, stand to profit financially from the purse offered for that race if the horse that is entered finishes in first, second or third place.
The indictment charging Webb alleges that Webb was detected by track security personnel on May 2, 2013, in a stall at the racetrack in possession of hypodermic syringes, needles and bottles of medications preparing to inject the horse “Papaleo” that Webb trained and which was scheduled to run in the sixth race that day. The horse was scratched from the race by racing officials.
The indictment charging Rogers alleges that Rogers was caught by track security personnel on August 21, 2013, at a stall at the racetrack in possession of hypodermic syringes and needles and bottles of medications and was observed injecting or attempting to inject a substance into a horse named “Strong Resolve” that she trained and that was scheduled to run in the second race that day. The horse was scratched from the race by racing officials. Rogers was also charged with conspiring with a person known to the grand jury to attempt to commit wire fraud.
The indictment charging Wells alleges that Wells, both a trainer and horse owner, for several years up to and including February 2012, would routinely inject prohibited substances into horses he trained and other horses he both trained and owned, by use of hypodermic syringes and needles and otherwise. It is also alleged that Wells was routinely in possession of those prohibited items at the racetrack in violation of state rules, regulations and laws.
The indictment charging Robertson alleges that Robertson was an employee of the racetrack, working in the capacity of clocker whose duties included being present when horses would have their official workout. Robertson was to verify that the horse being timed was the actual horse the trainer represented it to be, to accurately record the distance each horse ran, and the time it ran that distance in and then to provide that information to racing officials for inclusion in the official public daily racing program.
Robertson also allegedly sent the workout time information interstate by wire via computer to Equibase, a Kentucky based company that provides information on a racehorse’s past performance and workout times to media outlets and publications as well as on its own website. The workout time information is allegedly relied upon by the betting public in deciding which horses to wager on in any given race.
The Robertson indictment alleges that Robertson, in exchange for cash given to him by trainers known and unknown to the grand jury, would provide false workout times to racing officials and to Equibase. The times Robertson turned in allegedly, at times, included completely fabricated time for horses that did not workout at all at the track. The indictment alleges Robertson profited personally from the scheme, the betting public was defrauded and Robertson’s employer, Hollywood Casino and Racetrack, was denied of its right to Robertson’s honest services.
The investigation which is continuing is being conducted by the Harrisburg office of the FBI, the Commonwealth of Pennsylvania Department of Agriculture’s Horse Racing Commission, the Pennsylvania State Police, the Dauphin County District Attorney’s Office, and the U.S. Department of Agriculture.
Each defendant faces up to 20 years imprisonment and a $250,000.00 fine if convicted of wire fraud or attempted wire fraud. Each defendant faces an additional 5 years imprisonment and a $250,000.00 fine if convicted of using and attempting to use the intestate wire mechanism provided by the simulcasting of races to defraud or for attempting to defraud the public through the rigging of a publicly exhibited contest in violation of state law. Rogers faces an additional potential 20 year term of imprisonment and a $250,000.00 fine if convicted of the charge of conspiring to commit wire fraud.
Prosecution has been assigned to Assistant U.S. Attorney William A. Behe.
The case has been assigned to Senior U.S. District Court Judge William W. Caldwell.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Second Superseding Indictment Returned Charging Former Pennsylvania State Senator Raphael J. MustoRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that a second superseding indictment has been returned against former State Senator Raphael J. Musto, Pennsylvania 14th Senatorial District. This new indictment amends previous charges brought against Senator Musto, who is currently scheduled for trial on January 6, 2014.
According to United States Attorney Peter J. Smith, Senator Musto, age 85, of Pittston, was originally charged in an indictment in November 2011. Those charges alleged that Senator Musto accepted $25,000 cash payment from a construction contractor whom had developed various properties in Lackawanna and Luzerne Counties. Senator Musto accepted the $25,000 in cash, as well as other things of value from the contractor, as part of a stream of benefits designed to secure Senator Musto’s continued support of various construction projects which were to the financial benefit of the company.In addition, Senator Musto was alleged to have accepted thousands of dollars in cash from another individual affiliated with Northeast Pennsylvania municipal authorities. That cash payment was accepted by Senator Musto as a reward for prior official action taken by the senator where he assisted the municipal authorities obtain loans and grants. In addition, Senator Musto accepted these funds intending to be influenced in his future official decisions.
In October 2012, the original indictment was superseded by a grand jury to include two new charges of public corruption. In 2006, Senator Musto is alleged to have accepted $1,000 and other benefits from an individual affiliated with a municipality in return for his assistance with passing through a loan application for the municipality. Senator Musto is alleged to have done the same, for the same individual, in 2008, again in return for his assistance with the passage of a loan application for local municipalities.The Indictment returned Wednesday amended portions of this indictment to include a broader array of things of value provided to Senator Musto and changed one of the charges in the indictment.
In October 2012, attorneys for Senator Musto filed a motion with the court to dismiss the pending charges, or to indefinitely postpone the trial, because of Senator Musto’s physical health. The government objected to this request and Senior United States District Court Judge A. Richard Caputo agreed. The defense appealed this decision to the Third Circuit Court of Appeals. The appeals court denied the appeal and on October 22, 2013, the case was returned to Judge Caputo who scheduled it for trial on January 6, 2014.
On November 15, 2013, Senator Musto filed a renewed motion with the court to indefinitely postpone the trial. In this latest motion, the defense has identified the senator’s deteriorating physical health as well was his mental competency to stand trial as reasons for the trial postponement. The United States has not agreed with this request and will be filing a response asking Judge Caputo to schedule a hearing where the defense will be required to prove that Senator Musto is unable to withstand trial and/or assist his attorneys.This case is part of an investigation by the Federal Bureau of Investigation and the Internal Revenue Service and is being prosecuted by a team of federal prosecutors led by Senior Litigation Counsel Gordon Zubrod and includes Assistant U.S. Attorneys William Houser, Michael Consiglio, Amy Phillips John Gurganus and Criminal Division Chief Christian Fisanick.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
Federal Jury Convicts York County Man for Receipt of Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a jury in Harrisburg has found a York County man guilty of two counts of receipt of child pornography.
Following a three-day trial, early Wednesday evening, the jury convicted Lawrence B. Blevins, Jr., age 44, of West Manchester, Pennsylvania, of downloading child pornography from the internet. The trial was held before Chief United States District Court Judge Christopher C. Conner. A sentencing date has not been set. Blevins faces a 15-year mandatory minimum sentence.
The case arose from an investigation by West Manchester Township Police into a network of individuals who shared child pornography over the internet. On December 29, 2011, West Manchester Township Police executed a search warrant at Blevins’s residence and recovered multiple computers and external storage devices from his room. Police found over a half million images of child pornography and hundreds of videos. He was arrested and charged by local officials. On September 26, 2012, a federal grand jury returned a two-count indictment charging Blevins with possession of child pornography.
United States Attorney Peter J. Smith stated that the prosecution is part of the continuing cooperation between state and federal authorities in the Project Safe Childhood program. The investigation was conducted by West Manchester Township Police Department, the Northern York Regional Police Department, and the U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). The prosecutor assigned to the case is Assistant United States Attorney Michael A. Consiglio.
Statement of the United States Attorney Regarding the U.S. District Court’s Ruling in United States vs. Anthony Lupas, Jr.Read the Press Release
Yesterday, Judge Mariani ruled that Lupas was not competent to stand trial at the present time and ordered that Lupas be placed in the custody of the Attorney General to determine whether there is a substantial probability Lupas will attain the capacity to permit proceedings in this case to go forward in the future.
The ruling came after a hearing and the consideration of reports and conclusions of health care professionals. The government had full opportunity to present evidence and arguments in support of its position. The Court’s 43 page ruling is very detailed. There is no legal or factual basis for the government to appeal the decision, or to ask the Court to reconsider it, at this time.
The charges in this case are extremely serious; the matter is of great concern to the alleged victims and the general public in Luzerne County; the defendant is a prominent lawyer. At the same time, under the law, the mental competency of a defendant to stand trial is a basic requirement of our system. The law provides for a careful and lengthy process to determine a defendant’s mental competency. As Judge Mariani noted in his ruling, the decision is not the final step in the criminal justice process or the final word on whether or not Lupas will be competent to stand trial. After further hospitalization and examination of the defendant while he is in the custody of the Attorney General, the government will have the opportunity to review the results and present its position to the Court. This is the procedure mandated by law in these situations within the federal system.
Shamokin Dam Resident Charged with Providing Contraband to Allenwood InmateRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that charges have been filed against Andrea Gemberling, of Shamokin Dam, Pennsylvania.
According to United States Attorney Peter J. Smith, Gemberling, age 39, is charged in a one-count Information with providing contraband – tobacco and a cell phone to an inmate serving a sentence at the Allenwood Federal Penitentiary, White Deer, Pennsylvania.
The investigation was conducted by the U.S. Department of Justice Office of Inspector General, and Special Investigation Service. Assistant United States Attorney Wayne P. Samuelson is assigned to prosecute the case.Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is one year imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Appeals Court Affirms Sentence for Olson’s Wire Fraud OffenseRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that the Third Circuit Court of Appeals Monday affirmed the 65-month prison sentence imposed by Senior U.S. District Court Judge James M. Munley on Jeffrey Olson for his scheme to defraud investors of $2.8 million and for violating conditions of his supervised release.
According to United States Attorney Peter J. Smith, Olson, age 51, who resided in Pocono Lake during the time of the offense, previously pleaded guilty to wire fraud in connection with soliciting investments in a business called Northco Investments between 2008 and 2011. Olson was sentenced to prison in February 2013.
Olson was charged in May 2011, as a result of an investigation by the Federal Bureau of Investigation.
In his appeal, Olson challenged the validity of his guilty plea; claimed that the government promised him a lesser sentence; and argued that consecutive sentences for the wire fraud offense and his supervised release violation were unreasonable. The Third Circuit Court rejected each of those claims and noted that Judge Munley’s sentence was “premised upon appropriate and judicious consideration of the relevant factors.”
Assistant United States Attorney Francis P. Sempa prosecuted the case and handled the appeal for the government.
Gettysburg Attorney Pleads Guilty to Defrauding Clients of OverRead the Press Release
$3 Million
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Wendy Weikal-Beauchat, age 46, of Gettysburg, Pennsylvania, pleaded guilty today to wire fraud and money laundering before U.S. District Court Judge John E. Jones, III.
According to United States Attorney Peter J. Smith, Weikal-Beauchat, a former attorney at a Gettysburg law firm, was charged earlier this month with defrauding eight clients of more than $3 million from 2007 through 2013. She misappropriated client funds to pay for her business and personal expenses.
Weikal-Beauchat concealed her fraudulent actions by providing clients with bogus Certificates of Deposit and IRS 1099 Interest Forms. The investigation is continuing in an effort to identify other clients who may have been victimized by her scheme.
The investigation is being conducted by Internal Revenue Service, Criminal Investigations, and the FBI.
The case is being prosecuted by Assistant U.S. Attorney Joseph J. Terz and Special Assistant U.S. Attorney Brian Sinnett from the Adams County District Attorney’s Office.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.In this case, the maximum penalty under the federal statute is 30 years’ imprisonment, a term of supervised release following imprisonment, a forfeiture and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Former Vice President at Harrisburg Area Community College Pleads GuiltyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Nancy Rockey, age 55, of Harrisburg, Pennsylvania, pleaded guilty Thursday to wire fraud before U.S. District Court Chief Judge Christopher C. Conner.
According to United States Attorney Peter J. Smith, Rockey was employed by Harrisburg Area Community College (HACC) from 1980 until her resignation in February 2012. At the time of her resignation, Rockey was Vice-President of the Harrisburg campus and Vice-President of College and Community Development.
In October 2013, Rockey was charged with using a credit card issued by HACC, to make online purchases of Target gift cards which she then used to purchase non-work-related items for herself, her family, and her friends. Rockey then created bogus invoices, later submitted to the HACC Finance Office, to conceal the unauthorized purchases.
Rockey is charged with purchasing $228,000 worth of gift cards with her HACC credit card.
The investigation was conducted by the FBI and the Dauphin County Criminal Investigations Division. The case is being prosecuted by Assistant U.S. Attorney Joseph J. Terz.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Former Teller Charged with Bank TheftRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 35-year-old Scranton man was charged today with stealing money from a bank where he worked as a teller.
According to United States Attorney Peter J. Smith, his office filed a criminal Information against Gary Fletcher, charging him with the theft of more than $8,000 from Fidelity Deposit and Discount Bank.
The charge against Fletcher resulted from an investigation by the Federal Bureau of Investigation.
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 10 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Third Carbon County Woman Pleads Guilty to Federal Cocaine Trafficking ChargesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a third woman from Carbon County pleaded guilty today before Senior United States District Judge Edwin M. Kosik to the charge of conspiracy to distribute cocaine.
According to United States Attorney Peter J. Smith, Ceres Lozada, age 27, of Nesquehoning, Carbon County, admitted to participating in a conspiracy to distribute crack cocaine and powder cocaine in the Carbon County area between January 2010 and December 2012.
Previously, Bonnie Vosburgh, age 22, of Nesquehoning, and Victoria Argott, age 34, of Lansford, entered guilty pleas and admitted to participating in the same cocaine trafficking conspiracy.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Nesquehoning and Lansford Police Departments in Carbon County.
The case is being prosecuted by Assistant United States Attorney Robert J. O’Hara.
In this particular case, the maximum penalty under the federal statute is 40 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Harrisburg Man Classified as “Armed Career Criminal” and Sentenced to 224 Months in Federal Firearms CaseRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Eric Chambers, age 44, of Harrisburg, was sentenced today by Senior U.S. District Court Judge William W. Caldwell, following Chambers’ conviction at a jury trial for possession of a firearm by a convicted felon.
On June 12, 2013, a federal jury convicted Chambers of possessing a loaded firearm in a motel in Swatara Township on January 9, 2012.
According to United States Attorney Peter J. Smith, Judge Caldwell classified Eric Chambers as an “Armed Career Criminal,” a determination that allows for additional penalties to be imposed once an individual has previously been convicted of three violent crimes or serious drug offenses. Judge Caldwell sentenced Chambers to 200 months’ incarceration to be followed by five years of supervised release and a fine of $2,100 for the firearms conviction. Judge Caldwell also sentenced Chambers to a consecutive 24 month sentence for violating the terms of his supervised release.Judge Caldwell ordered that this 224-month sentence be served consecutively to a 25-50 year sentence Chambers received in July 2013 after he was convicted by a jury in Dauphin County Court of Common Pleas of Attempted Homicide for his involvement in a shooting that occurred in September 2011.
This investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms & Explosives; the Harrisburg Police Bureau; and Swatara Township Police Department and is being prosecuted by Assistant United States Attorney Meredith A. Taylor.
Schuylkill County Man Sentenced to Prison for Oxycontin Trafficking ConspiracyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 43-year-old Tamaqua, Pennsylvania resident was sentenced to nearly seven months in prison today by Senior U.S. District Court Judge Edwin M. Kosik for his role in an Oxycontin trafficking conspiracy that operated in Schuylkill and Berks County in 2011.
According to United States Attorney Peter J. Smith, Michael Beaver previously admitted to conspiring with at least two others to unlawfully distribute 80mg Oxycontin pills.
Beaver was indicted by a federal grand jury in April 2011, as a result of an investigation by the Drug Enforcement Administration and the Pennsylvania State Police. He pleaded guilty in October 2011.
Judge Kosik also ordered Beaver to pay a $300 fine and a $100 special assessment. Beaver was placed on supervised release for three years, including six months on home confinement with electronic monitoring.
Two of Beaver’s co-defendants previously entered guilty pleas in the case. Richard Law was sentenced to 15 months in prison. Stephen Nesspor was sentenced to one year in prison.
The case was prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Harrisburg Woman Charged with ConspiracyRead the Press Release
To Submit False Claims To The IRS
The U.S. Attorney's Office for the Middle District of Pennsylvania announced that Stephanie A. Metz, age 25, of Harrisburg, Pennsylvania, was charged Tuesday with conspiracy to submit 33 fraudulent income tax returns to the IRS requesting $242,095 in fraudulent tax refunds for the years 2010 and 2011.
According to U.S. Attorney Peter J. Smith, Metz provided a co-conspirator with addresses where the fraudulent income tax refund checks could be delivered by mail and was paid a fee for each refund check she delivered to her co-conspirator. For the tax years 2010 and 2011, Metz provided addresses for 33 fraudulent income tax returns requesting $242,095 in fraudulent tax refunds. The IRS paid out $57,216 to the co-conspirator before the scheme was detected in early 2012.
The investigation is part of a project known as Operation Mass Mail involving the filing of hundreds of thousands of false returns using stolen identity information of residents of Puerto Rico. The investigation was conducted by the Criminal Investigation Division of the IRS and is assigned to Senior Litigation Counsel Bruce Brandler.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 10 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Harrisburg Man Charged Federally with Use of the Telephone and Text Messaging to Entice A Minor to Engage in Sexual ActivityRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, along with Pennsylvania Attorney General Kathleen Kane and Pennsylvania State Police Commissioner Frank Noonan announced that a federal grand jury in Harrisburg returned an indictment today charging Matthew Baratucci, age 29, of Harrisburg, Pennsylvania, for attempted coercion and enticement of a minor to engage in sexual activity.
According to United States Attorney Peter J. Smith, the charge resulted from Baratucci allegedly soliciting several women via the telephone and text messaging in October 2013, to allow him to engage in sexual activity with minor females aged five through nine years old. Baratucci is also facing state charges related to the alleged incidents.
The case is the result of a joint investigation by the United States Postal Inspection Service, the Pennsylvania Office of Attorney General, the Pennsylvania State Police, and the Lower Paxton Police Department.
Anyone with information about this case or the defendant, Matthew Baratucci, is asked to contact U.S. Postal Inspector Michael Corricelli at 717-257-5581.
Prosecution is assigned to Assistant United States Attorney Daryl F. Bloom.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the minimum penalty under the federal statute is ten years’ imprisonment and the maximum is life imprisonment, term of supervised release following imprisonment of up to life, and a $250,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.New York City Man Sentenced to Prison for Federal Cocaine Trafficking ChargesRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a New York City man was sentenced today by Senior United States District Judge Edwin M. Kosik to serve 40 months in prison on the charge of conspiracy to distribute cocaine.
According to United States Attorney Peter J. Smith, Richard Caba-Batista, age 35, formerly of New York City, previously admitted to participating in a drug-trafficking conspiracy which obtained cocaine in Texas and New York City and distributed the cocaine in the Monroe County and Northampton County areas in 2011.
Caba-Batista also faces deportation proceedings.
In addition to the prison term, Senior Judge Kosik also ordered that Caba-Batista be supervised by a probation officer for four years following his prison sentence if he is not deported.
Previously, Dickson Gutierrez, age 37, and Jhonathan Gutierrez-Esquea, age 33, both formerly of Stroudsburg, were sentenced to 60 months in prison for participating in the same cocaine-trafficking conspiracy. As part of his plea agreement, Dickson Gutierrez also agreed to forfeit to the United States two properties in the Dominican Republic which were purchased with the proceeds of cocaine trafficking activity.
The investigation was conducted by the Drug Enforcement Administration, the Stroud Area Regional Police Department and the Internal Revenue Service, Criminal Investigations.
The case was prosecuted by Assistant United States Attorney Robert J. O’Hara.
Gettysburg Attorney Charged Federally with Defrauding Clients of over $3 MillionRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced the filing of an Information in U.S. District Court in Harrisburg today charging Wendy Weikal-Beauchat, age 46, of Gettysburg, Pennsylvania, with wire fraud and money laundering.
According to United States Attorney Peter J. Smith, Beauchat is charged with defrauding eight clients of more than $3,000,000 during the period from 2007 through 2013. Beauchat, an attorney, was a member of a law firm located in Gettysburg until February 2012. According to the law firm website, Beauchat’s area of concentration was estate planning and long-term care planning.
Beauchat allegedly misappropriated client funds to pay for her business and personal expenses.
It is charged that she concealed her fraudulent actions by providing clients with bogus Certificates of Deposit and IRS 1099 Interest Forms. The investigation is continuing in an effort to identify other clients who may have been victimized in Beauchat’s scheme.
The investigation is being conducted by Internal Revenue Service, Criminal Investigations and the FBI.
"The IRS enforces the nation's tax laws, but also takes particular interest in cases where someone, for their own personal benefit, has taken what belonged to others,” said Akeia Conner, Special Agent in Charge, IRS Criminal Investigation. With both law enforcement and financial investigation expertise, our agents are uniquely qualified to assist with these types of cases by following the money. IRS Criminal Investigation is proud to bring our forensic accounting skills to this joint venture and help put a stop to this and other types of white collar crime."
“When a lawyer, an officer of the court, defrauds clients, it’s a serious crime – and a heinous breach of trust,” said FBI Special Agent in Charge Edward J. Hanko. “The FBI is committed to investigating financial schemes at every level, and working with our partners to hold white-collar crooks accountable.”
The case is being prosecuted by Assistant U.S. Attorney Joseph J. Terz and Special Assistant U.S. Attorney Brian Sinnett, from the Adams County District Attorney’s Office.
The U.S. Attorney’s Office also filed a plea agreement which must be approved by the District Court.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 30 years’ imprisonment, a term of supervised release following imprisonment, a forfeiture and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Cameron County Man Sentenced to 171 Months in Prison for Armed CarjackingRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that Thomas Edward Smith, age 59, of Emporium, Pennsylvania, was sentenced on November 1 by Chief U.S. District Court Judge Christopher C. Conner to a 171-month term of imprisonment and three years of supervised release for armed carjacking.
According to United States Attorney Peter J. Smith, on August 8, 2012, Thomas Smith pretended to be working on a car parked along a street in Emporium and flagged down an employee of Citizens & Northern Bank. Smith entered the vehicle and pulled out a handgun. Smith then directed the victim to drive to the Citizens & Northern Bank branch in Emporium. Smith told the victim this would be "the worst day of her life," that the victim and the bank had taken his house away from him in a bank foreclosure, and that the victim and another bank employee were now "going to pay for it." The victim jumped out of the vehicle to escape from Smith, who then also fled from the vehicle.
Smith was indicted in September 2012. In August 2013, Smith was convicted of carjacking, brandishing a gun during a crime of violence and receiving a stolen firearm stemming from an armed carjacking.
The case was investigated by the Emporium Borough Police Department, the Cameron County Sheriff, the Pennsylvania State Police, and the Federal Bureau of Investigation. Prosecution was handled by Assistant United States Attorney George J. Rocktashel.Pittston ManRead the Press Release
Sentenced For Involvement In Cocaine Distribution Conspiracy
The United States Attorney's Office for the Middle District of Pennsylvania announced today that Senior United States District Court Judge Edwin M. Kosik has sentenced Frank Louis Suriano, age 45, of Pittston, Pennsylvania, to 30 months’ imprisonment for his involvement in a conspiracy to distribute more than 500 grams of cocaine between 2002 and April 2012.
According to United States Attorney Peter J. Smith, Suriano’s role in the conspiracy included driving to New York City on numerous occasions to obtain cocaine for distribution in the Pittston area. A co-conspirator of Suriano, John Estock, was sentenced by Judge Kosik to 24 months’ imprisonment on October 8, 2013. In addition to the 30-month term of imprisonment, Judge Kosik also ordered that Suriano be placed on supervised release for a period of four years following the service of his sentence, and that he pay a $600 fine.The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and the Pennsylvania Attorney General’s Office. Assistant United States Attorney John Gurganus prosecuted the case
Luzerne County Man Pleads Guilty to Jewelry Store Robberies, Bank Robbery, and FraudRead the Press Release
The United States Attorney's Office for the Middle District of Pennsylvania announced that Kirk Robinson, age 45, of Wilkes-Barre, Pennsylvania, has pleaded guilty to being involved in two Luzerne County jewelry store robberies, a bank robbery, as well as an insurance fraud scheme.
According to United States Attorney Peter J. Smith, Robinson pleaded guilty in federal court on October 24, 2013, before Senior United States District Judge James M. Munley. Robinson pleaded guilty to conspiring with others to carry firearms in relation to the robbery of Steve Hydock Diamonds Jewelry store, Kingston, Pennsylvania, on May 5, 2008 and Dunay Jewelry store, Wilkes-Barre, Pennsylvania, on May 14, 2008. He also pleaded guilty to the armed bank robbery of the M&T Bank, Hanover Township, occurring on October 30, 2010. At his guilty plea, Robinson admitted that he planned and acted as a getaway driver in those three robberies. Additionally, Robinson pleaded guilty to using the mail in a scheme to defraud an insurance company of $43,000. Robinson admitted that the scheme involved staging a robbery with a confederate, and filing a police report wherein he falsely claimed an armed robber stole jewelry from him.
The case was investigated by the Federal Bureau of Investigation; the Kingston Police Department; the Hanover Township Police; and the Wilkes-Barre Police Department. Prosecution has been assigned to Assistant United States Attorney John C. Gurganus.The sentence following this guilty plea will be imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this particular case, the maximum penalty under the federal statute is 85 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Harrisburg Man Sentenced to 11 Years for Drug TraffickingRead the Press Release
The United States Attorney's Office for the Middle District Pennsylvania announced that Marlon T. Holmes, a/k/a “Peanut,” age 37, of Harrisburg, Pennsylvania, was sentenced to 11 years in federal prison for drug trafficking.
According to United States Attorney Peter J. Smith, Holmes was charged with cocaine trafficking in Harrisburg from 2007 through October 2008. A grand jury indicted Holmes in 2008, but he remained a fugitive for approximately three years before he was arrested by authorities in November 2011. In June 2012, Holmes entered a guilty plea to cocaine and crack cocaine trafficking before the Senior United States District Court Judge William A. Caldwell.
Today, Judge Caldwell sentenced Holmes to a sentence of 11 years of incarceration and a fine of $900. Upon his release from prison, Holmes must serve three years of supervised release.
The United States Drug Enforcement Administration, the Dauphin County Drug Task Force, and the Harrisburg Bureau of Police worked together on this investigation. Prosecution was assigned to Assistant United States Attorney Michael A. Consiglio.Duryea WomanRead the Press Release
Sentenced For Involvement In Cocaine Distribution Conspiracy
The United States Attorney's Office for the Middle District of Pennsylvania announced today that Senior United States District Court Judge Edwin M. Kosik has sentenced Leslie Williams, age 31, of Duryea, Pennsylvania, to one year of imprisonment for her involvement in a cocaine distribution ring centered in Pittston, Pennsylvania.
According to United States Attorney Peter J. Smith, Williams admitted her role of receiving and distributing cocaine at a bar in Luzerne County where she worked during her guilty plea to the charge. In addition to the one-year term of imprisonment, Judge Kosik also ordered that Williams be placed on supervised release for a period of two years following the service of her sentence.The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and the Pennsylvania Attorney General’s Office. Assistant United States Attorney John Gurganus prosecuted the case.
Former Carbon County Man Pleads Guilty to Receiving and Distributing Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 32-year-old former Lehighton resident pleaded guilty today to receiving and distributing child pornography before Senior U.S. District Court Judge Edwin M. Kosik.
According to United States Attorney Peter J. Smith, the defendant, Stephen Puza, III, admitted to using a computer to download and share numerous images of child pornography during July 2011 through September 2013. Puza was living in Bethlehem, Pennsylvania, at the time of his arrest.
Puza was indicted by a federal grand jury on September 10, 2013, as a result of an investigation by the Federal Bureau of Investigation, the Pennsylvania State Police, and Lehighton Borough Police.
Puza faces a mandatory minimum sentence of five years in prison and a possible maximum sentence of 20 years in prison, and a fine of $250,000. Puza remains in custody pending his sentencing.
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. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Peckville Man Sentenced for Online Enticement of MinorsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Mark Kandel, age 53, was sentenced today in federal court in Wilkes-Barre by U.S. District Judge A. Richard Caputo to 174 months’ imprisonment to be followed by a lifetime term of supervised release upon the completion of imprisonment and will be subject to the registration and reporting requirements of the Adam Walsh Act.
According to United States Attorney Peter J. Smith, Kandel was indicted in December 2012 after he used the internet and a cellular device in attempts to persuade, induce, entice, and coerce minors to engage in sexual activity. Kandel pleaded guilty in June 2013.
This case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case was investigated by the FBI, the Lackawanna County District Attorney’s Office and the Blakely Police Department. The case was prosecuted by Assistant United States Attorney Michelle Olshefski.
Columbia County Men Charged in Internet "Bath Salts" and "Spice" Trafficking NetworkRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced the unsealing of a seven-count indictment returned by a federal grand jury in Williamsport on October 10, 2013 charging Paul Chomiak, Lindsay Lee-Lampshire, Adam Stein, and Kyle Savitski with mail fraud conspiracy, conspiracy to distribute controlled substance analogues, distribution of controlled substance analogues, conspiracy to introduce and introduction of misbranded drugs, and conspiracy to commit money laundering offenses. The indictment also charged four businesses allegedly used to commit the offenses, Reflectionz and Symplegades Requiem, both based in Bloomsburg, Pennsylvania and Anima Entertainment, LLC and Extelligence Internet Services based in Kalamazoo, Michigan.
The indictment was unsealed following the arrests.
According to United States Attorney Peter J. Smith, the indictment alleges that from September 2009 through the present, Chomiak, Lee-Lampshire, Stein, and Savitski marketed and distributed controlled substance analogues and misbranded drugs, commonly referred to as “bath salts” and “spice,” using Internet web sites and two stores in Bloomsburg operated as Symplegades Requiem and Reflectionz. The indictment alleges that the defendants fraudulently marketed the products as novelties not for human consumption, when in fact the products were being used to obtain the same physical effects as controlled substances.
Chomiak, age 47, and Stein, age 23, and Savitski, age 23, reside in Bloomsburg. Lee-Lampshire, age 30, is a resident of Kalamazoo, Michigan.
The case was investigated by the Federal Bureau of Investigation, the Food and Drug Administration, the United States Postal Inspection Service, and the Columbia County Drug Task Force. Prosecution has been assigned to Assistant United States Attorney George J. Rocktashel.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Guyanan Citizen Sentenced to 104 Months’ Imprisonment for Drug TraffickingRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania, announced that Augustine DeCruz, age 59, was sentenced Wednesday by United States District Judge A. Richard Caputo to 104 months’ imprisonment for possession with intent to distribute cocaine and crack cocaine and possessing and carrying a firearm during, in relation to, and in furtherance of possessing with intent to distribute cocaine and crack cocaine. DeCruz, a native and citizen of Guyana, who is in the United States illegally, formerly resided in Wilkes-Barre, Pennsylvania.
According to United States Attorney Peter J. Smith, on February 10, 2011 and February 16, 2011, members of the Pennsylvania State Police Vice and Narcotics Unit based at PSP Wyoming, Luzerne County, executed search warrants on DeCruz’s residence located on Pennsylvania Avenue, Wilkes-Barre, Luzerne County. During the search, troopers seized approximately 77 grams of cocaine base, (crack cocaine), 85 grams of cocaine hydrochloride (powder cocaine), two handguns, a rifle, approximately $2,500 in U.S. currency, a surveillance system, and a large amount of packaging material.
In addition to the items found during the search warrant of DeCruz’s residence, police were able to make multiple controlled purchases of cocaine from DeCruz during transactions that occurred in Wilkes-Barre, Pennsylvania. After his arrest by local authorities, DeCruz’s criminal case was adopted for federal prosecution.
The investigation was conducted by the U.S. Department of Homeland Security, Homeland Security Investigations and the Pennsylvania State Police. The case was prosecuted by Special Assistant United States Attorney Brian G. McDonnell.
Steelton Resident Involved in Confrontation with Harrisburg Police Charged with Federal Firearm ViolationsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that Donnell Thomas, 26, of Steelton, Pennsylvania, was indicted today by a federal grand jury in Harrisburg, Pennsylvania. The indictment charges Thomas with Possession of a Firearm by a Convicted Felon, Possession of a Firearm in furtherance of Drug Trafficking, Possession with Intent to Distribute a Controlled Substance, and Possession of a Firearm with an Obliterated Serial Number.
According to United States Attorney Peter J. Smith, the charges against Thomas are a result of allegations that in February 2013, Thomas attempted to ram a vehicle being driven by uniformed officers from the Harrisburg Police Bureau. He then fled from those officers but was ultimately apprehended after discarding a firearm with an obliterated serial number from the waistband of his pants. Upon his arrest, bags containing an alleged controlled substance were seized from his person and his vehicle.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives and the Harrisburg Police Bureau and is being prosecuted by Assistant United States Attorney Meredith A. Taylor as part of the on-going cooperative effort by federal, county and Harrisburg law enforcement agencies to fight violent crime in the city.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Luzerne County Man Pleads Guilty to Receiving and Distributing Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a 38-year-old Luzerne County resident pleaded guilty today to receiving and distributing child pornography before U.S. District Court Judge Malachy E. Mannion.
According to United States Attorney Peter J. Smith, the defendant, Michael Shaw, of Luzerne, Pennsylvania, admitted to using a computer to download and trade images of child pornography during 2012 through June 5, 2013.
The charge against Shaw resulted from an investigation by special agents and task force officers of the Federal Bureau of Investigation, investigators from the Pennsylvania State Police, detectives from the Luzerne County District Attorney’s Office, and local police.
Shaw faces a mandatory minimum sentence of five years in prison and a possible maximum sentence of 20 years in prison, and a fine of $250,000. Judge Mannion ordered that Shaw remain in custody pending his sentencing.
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. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
The case is being prosecuted by Assistant U.S. Attorney Francis P. Sempa.
Harrisburg Man Charged Federally for Attempting to Arrange Son’s Escape from PrisonRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a federal grand jury in Harrisburg returned an indictment today charging William Trickett Smith, Sr., age 76, with attempting to arrange a prison escape, lying to federal agents about it, and trying to persuade someone else to lie to federal agents.
According to United States Attorney Peter J. Smith, the charges stem from events surrounding the arrest and extradition of the defendant’s son, William Trickett Smith, II. In 2007, Smith II was arrested in Pennsylvania, and charged in Peru for the murder of his wife. Peruvian authorities sought his extradition.
The indictment alleges that during 2009 and 2010, Smith Sr., Harrisburg, devised a plan to have his son escape from custody after Smith Sr. filed a false private criminal complaint by paying off a magisterial district justice to schedule a hearing that would require Smith II to be transported and paying off a constable who would be picked to transport him. The Indictment alleges that when the plan failed because the criminal complaint was not approved by the district attorney, Smith Sr. then allegedly devised another plan for his son’s escape by paying off a prison guard. That plan also failed because Smith II was moved to a different prison. The indictment alleges that in 2010, Smith Sr. lied about his plans and actions when questioned by the Federal Bureau of Investigation and also tried to persuade another individual to lie to the FBI about Smith Sr.’s actions.
The case was investigated by the Federal Bureau of Investigation, the United States Marshals Service, the Dauphin County District Attorney’s Office, the Pennsylvania Department of Corrections-Office of Professional Responsibility and the Perry County Prison. The case is being prosecuted by Assistant U.S. Attorney James T. Clancy.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Tobyhanna Man Pleads Guilty to Preparing and Filing False Tax ReturnsRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that on October 17, Brandon Hill, age 32, pleaded guilty before U.S. District Court Senior Judge Edwin M. Kosik to preparing and filing false tax returns.
According to United States Attorney Peter J. Smith, Hill was responsible for the preparation of approximately 60 false returns in the years 2009, 2010 and 2011. Hill prepared false returns for himself as well as others. The total amount of refunds which Hill was responsible for falsely claiming was $291,103.
Hill was charged in September 2013.
The case was investigated by the Criminal Investigation Division of the Internal Revenue Service. The case is being prosecuted by Assistant U.S. Attorney Lorna N. Graham.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is -five years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Sunbury Woman Indicted for Theft of MailRead the Press Release
And Access Device Fraud
The United States Attorney’s Office for the Middle District of Pennsylvania announced the return of an eight-count indictment by a federal grand jury in Williamsport on October 10, charging Amy Jenkins, age 39, with theft of mail, possession of stolen mail, fraud in connection with access devices, and aggravated identity theft.
According to United States Attorney Peter J. Smith, the indictment alleges that from November 2012 through April 2013, Jenkins stole mail from mail boxes in the 178 zip code area. Jenkins removed and possessed credit cards and related correspondence and other account information from the stolen mail with the intent to defraud.
The case was investigated by the United States Postal Inspection Service and the Pennsylvania State Police. Prosecution of this matter has been assigned to Assistant United States Attorney George J. Rocktashel.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 47 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
Scranton Man Pleads Guilty to Receiving, Distributing, and Possessing Child PornographyRead the Press Release
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Scranton man pleaded guilty on October 3, in federal court, admitting to the receipt, distribution, and possession of thousands of images and videos of child pornography.
According to United States Attorney Peter J. Smith, Daniel Albert Mall, age 34, entered his guilty plea before Senior United States District Court Judge Edwin M. Kosik.
The case against Mall stems from an investigation by the Federal Bureau of Investigation and the Lackawanna County District Attorney’s Office-Internet Crimes Against Children Task Force.
Mall was indicted in July 2012 and charged with committing the offenses between 2001 and 2012. He was arrested on May 30, 2012.
Prosecution is assigned to Assistant United States Attorney Michelle Olshefski.
A sentence following a finding of guilty is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
In this case, the maximum penalty under the federal statute is 20 years’ imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant’s educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
This case was brought as part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Monroe County Man Sentenced to Prison ForRead the Press Release
Federal Cocaine Trafficking Charges
The United States Attorney’s Office for the Middle District of Pennsylvania announced that a Monroe County man was sentenced today by Senior United States District Judge Edwin M. Kosik to serve 24 months in prison on the charge of conspiracy to distribute cocaine.
According to United States Attorney Peter J. Smith, Lenix Gutierrez-Esquea, age 31, formerly of Stroudsburg, Monroe County, previously admitted to participating in a drug-trafficking conspiracy which obtained cocaine in Texas and distributed the cocaine in the Monroe County and Northampton County areas in 2011.
Gutierrez-Esquea also faces deportation proceedings.
In addition to the prison term, Senior Judge Kosik also ordered that Gutierrez-Esquea be supervised by a probation officer for three years following his prison sentence if he is not deported.
Previously, Dickson Gutierrez, age 37, and Jhonathan Gutierrez-Esquea, age 33, both formerly of Stroudsburg, were sentenced to 60 months in prison for participating in the same cocaine-trafficking conspiracy. As part of his plea agreement, Dickson Gutierrez also agreed to forfeit to the United States two properties in the Dominican Republic which were purchased with the proceeds of cocaine trafficking activity.
The investigation was conducted by the Drug Enforcement Administration, the Stroud Area Regional Police Department and the Internal Revenue Service, Criminal Investigations.
The case was prosecuted by Assistant United States Attorney Robert J. O’Hara.